Chongqing Kebao Cable Co., Ltd.

Compliance Management

Building the cornerstone of high-quality development through compliance management

In today's increasingly competitive wire and cable industry, compliance management is not only the bottom line for stable business operations, but also the core competitiveness to win market trust. Chongqing Kebao Cable Co., Ltd. (hereinafter referred to as“); Kebao Cable” ）Integrating compliance management into the corporate DNA, through systematic construction, full process control, and cultural infiltration, we have built a compliance ecosystem covering the entire chain of research and development, production, and sales, providing solid guarantees for product quality and brand value.

1Top level design: Build“ Trinity” Compliance management system: Kebao Cable has established a multi-level compliance management framework based on the principles of comprehensive coverage, clear responsibilities, and collaborative linkage

Organizational system: Establish a compliance management committee led by the board of directors to coordinate compliance strategies; Establish a dedicated compliance department to independently supervise production, procurement, bidding and other processes, ensuring timely risk identification and response.

Institutional system: Develop the "Implementation Rules for Compliance Management" and special systems, covering ten major areas such as anti-corruption, information security, financial standards, and environmental protection. For example, in the bidding process, it is clear that '; The Three Public Principles; Openness, fairness, and impartiality are strictly prohibited, and qualification fraud and covert operations are strictly prohibited to prevent risks from the source.

Operating mechanism: Establish“ Risk Warning‐ Review‐ Rectification‐ Accountability” Closed loop, ensuring the implementation of the system through quarterly compliance audits and surprise inspections. In the past three years, more than 50 hidden dangers have been rectified, and the number of violations has decreased by 70%.
2Compliance Practice in Key Areas: From Quality Control to Green Production: Focusing on industry pain points, Kebao Cable embeds compliance requirements into core business scenarios

Quality compliance dual insurance

Supplier selection: Establish suppliers; Blacklist” Mechanism, implement performance integrity evaluation for material suppliers, and eliminate 8 unqualified suppliers by 2023.

Full process monitoring of production: relying on the ISO 9001 quality management system, three-level verification is implemented for raw material warehousing, process parameters, and finished product testing, with a digital traceability rate of 100% for key processes.

Zero tolerance for sampling issues: In response to historical sampling failures (such as excessive conductor resistance), a special improvement team has been established. Through process upgrades and testing equipment iterations, the product qualification rate for State Grid sampling will be increased to 98.5% by 2024.

Safety production compliance

Implement the 'Regulations on Enterprise Safety Production' and promote '; Full staff safety responsibility system:

The workshop is equipped with an intelligent monitoring system to provide real-time warnings of mechanical operation risks;

More than 20 emergency drills and compliance training sessions are conducted annually, and the employee safety certificate holding rate is 100%.

Environmental compliance pioneer

Strictly implement the ISO 14001 environmental management system, invest 12 million yuan to upgrade the wastewater treatment system, achieve a solid waste compliance disposal rate of 99%, and have been awarded the title of "Chongqing City"; Green factory;.
3Compliance culture: from institutional constraints to everyone's self-awareness: Kebao Cable firmly believes that compliance is not only a rule, but also a cultural identity.

Training penetration: New employees must learn the "Compliance Manual" upon entry, and management receives annual anti-corruption and data security training. The coverage rate of compliance exams for all employees is 100%.

Incentives and Accountability: Establishing“ Compliance Star; Awards to recognize contributors to risk prevention and control; Implement measures against violations; One vote veto; In the past two years, five cases of internal disciplinary violations have been held accountable.

Transparent communication: Open a compliance reporting platform, promise to respond within 48 hours, protect the rights and interests of whistleblowers, receive 37 improvement suggestions in 2024, with an adoption rate of over 80%.
4Compliance effectiveness: Empowering market trust and strategic upgrading: Continuous compliance investment translates into significant competitive advantage:

Certification endorsement: Obtained 7 major system certifications including ISO 9001 (quality), ISO 14001 (environment), GB/T 28001 (occupational health and safety), and the product complies with national standards and the EU RoHS directive.

Customer recognition: In the evaluation of suppliers by State Grid Corporation of China, the compliance score ranks among the top in the region, and it will regain its bidding qualifications in Shanghai, Jiangsu and other places in 2024.

Strategic upgrade: Compliance management supports the company's expansion into new energy tracks such as photovoltaic cables and offshore wind power cables, helps with market access in Southeast Asia, and promotes; Chinese Standards; go to sea.
5Future outlook: Compliance driven digitalization and globalization: Kebao Cable will continue to upgrade its compliance management:

Intelligent risk control: Introducing AI big data platform to capture real-time supply chain and production chain risk signals, achieving automated compliance warning;

International compliance integration: researching market regulations in Europe, America, and Southeast Asia, building cross-border compliance databases, and reducing trade barriers;

Industry Co construction: Jointly establish compliance courses with universities to provide professional talents for the industrial chain and promote the standardization of industry ecology.