Social
Supply Chain Management
Strengthening Sustainable Cooperation Through
Supply Chain Management based on ESG Shared Growth
HD Korea Shipbuilding & Offshore Engineering operates its supply chain by applying global ESG standards across the entire upstream and downstream supply chain. We build competitive and responsible partnerships through operating various shared growth programs and fostering continuous cooperation through financial and welfare support for internal and external partner companies. HD Korea Shipbuilding & Offshore Engineering promotes sustainable development through a supply chain management philosophy based on ESG & shared growth. We enhance management capabilities through ESG diagnostic, education, and consulting, and provide practical support programs by gathering diverse opinions across the supply chain.
Supply Chain Management and Shared Growth Activities
Shared Growth Fund
We operate a shared growth fund designed to alleviate the interest burden for partner companies by leveraging the fund's returns. Partner companies with excellent technological capabilities and high growth potential can benefit from financing at lower interest rates compared to commercial financial institutions by using the shared growth fund.
Joint Labor Welfare Fund
We operate a joint labor welfare fund that supports various welfare areas, including medical support funds and children's scholarships, for employees of our partner companies by jointly establishing funds with them.
Welfare Fund
We strive to enhance the welfare of our partner companies through multifaceted support. We provide scholarships (early childhood education support funds, high school tuition and operating expenses, university admission fees and tuition) for children of partner company employees, as well as various welfare funds including support for Lunar New Year and Chuseok holiday travel expenses, summer vacation expenses, professional qualification acquisition incentives, fitting worker job skill incentives, and young employee retention incentives.
ESG Integrated Supply Chain Risk Management
HD Korea Shipbuilding & Offshore Engineering and its shipbuilding subsidiaries are establishing a supply chain risk management system that integrates ESG evaluation of shipbuilding partners, financial assessment, supply and demand evaluation, and rating evaluations such as innovation, quality, and delivery, to identify potential risks that threaten supply chain sustainability. We comprehensively identify and evaluate risks from financial, non-financial, and ESG perspectives, develop response measures, and support the construction of ESG management capabilities. Additionally, we strive to stabilize the quality and delivery of partner-supplied products by offering awards and incentives to outstanding partner companies based on evaluation results.
Sustainable Supply Chain
To fulfill its corporate social responsibility, HD Korea Shipbuilding & Offshore Engineering establishes and operates sustainable supply chain policies, aiming to build a healthy corporate ecosystem that grows together by promoting win-win cooperation with partner companies. For a healthy and sustainable supply chain, HD Korea Shipbuilding & Offshore Engineering operates its supply chain with consideration for areas such as human rights management, safety and health, environmental protection, and ethics.
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