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Sustainbility Management Strategy

Sustainability Purpose

To become a top global company that can ensure its survival in the future, CJ CheilJedang creates the two core values, health
and safety and sustainable environment, across the purchase of raw materials, production, consumption, and disposal. To do so,
we aim to achieve the virtuous cycle of Nature to Nature in which we obtain resources from nature, provide food to consumers,
and return the resources to nature.

Sustainability Purpose : nature to nature. Core Values : Raw material, Disposal, Consumption, Production. Health and Safety : Delivering healthy and reliable food to consumers form nature to table. Sustainability Environment : Establishing an environment friendly cycle which obtains resources form nature and returns back to nature. Goals : Minimizing Environmental Impact, Securing Social Leadership, Achieving top-tier capability. Strategic Tasks : Responding to Climate Change, Procurement Of Sustainable Materials, Zero Human Rights Risk, Enhancement Of Health and Nutrition, Eco-Friendly Packaging, Development Of Eco-Friendly Materials Solution, Organizational Culture based on DEI * DEI: Diversity, Equity, Inclusion, Enhancement Of Health and Nutrition. Sustainable Supply Chain. Fundamentals : Establishment of Sustainability Management Governance•Efficient opertaion, Enhancement of Compliance, Reliable ESG Information · Communication

Key strategic tasks

The key strategic tasks are linked to our core values, Sustainable environment, Health and Safety.
We selected tasks as follows, based on their external priority and impact on business.

Core Values Category Strategic Tasks Task Details UN SDGs
Environment Responding to Climate Change Respond to climate change risks and achieve carbon neutrality by 2050
Procurement of Sustainable Materials Increase sourcing of material with enhanced traceability and transparency
Eco-Friendly Packaging Develop reusable·recyclable packaging material and reduce waste
Development of Eco-Friendly Materials Solution Develop large-scale solutions solutions including PHA using a variety of White Bio technologies
WELLNESS AND SAFETY Social Zero Human Rights Risk Preemptively manage human rights risks human rights risks for stakeholders
Organizational Culture based on DEI Establish organizational culture based on Diversity, Equity, Inclusion
Governance Enhancement Of Health And Nutrition Establish CJ Nutrient Policy and expand portfolio of health-oriented products
Sustainable Supply Chain Identify and manage ESG risks of suppliers at an early stage

Corporate Sustainability Governance

We established sustainability management governance to secure our ability to implement consistent and comprehensive sustainability
management and preemptive risk management in order to facilitate timely ESG-related decision-making. To this end, we established
the Corporate Sustainability Committee under the BOD, the highest decision-making body, the Corporate Sustainability Council chaired
by the CEO, the Sustainability Team, and a council composed based on the core ESG agenda.

The highest decision-making body : Corporate Sustainability Committee, Deliberation & Resolution of Strategy and Agenda, Review and Submission of Agenda. Management-level council : Corporate Sustainability Council(chaired by the CEO), Environment > Foods·Bio R&D Center, Food Business Administration Division, Food Production & Manufacturing Department, Change and Innovation Manager, Bio Engineering Division, White BIO CIC - Performance Review and Improvements. Social > Foods·Bio HR Division, Change and Innovation Manager. Economy·Governance > Foods·Grains·Bio Procurement Division, Food Research Institute, Marketing, Legal Affairs Division - Progress report. Dedicated organization : Sustainability Team - Identification of Agenda and Issue Discussion. Working-level Council : Working-level Council for Corporate Sustainability - Establishment of the Core ESG Agenda Council

Risk Management

Preemptive Risk Management

Establishment of the ‘Compliance Management System (CMS 2.0)’

CJ CheilJedang established its CMS (Compliance Management System) 2.0 to forecast risks and take effective measures against them. To enhance existing compliance management, the new system identifies and categorizes potential risks that may occur in each organization. It establishes control measures for each risk and clarifies the R&R of the department in charge (designing, managing, and supervising essential control activities for each risk) and the lead department (conducting activities according to the design of the department in charge) so that the Compliance Team can act as the company-wide risk control tower to organically manage risk across the lead departments, departments in charge, as well as the BOD and its committees.

CEO - CEO MESSAGE, Declaration of the Top Management. Policy : The CJ People’s Promise | Ethical Management Pledge | CP Program Code of Operation | Policy & Guide. Process - Identification → Assessment → Mitigation → RCSA → Monitoring. Governance - Compliance Management System - Board of Directors / Committees, Control Tower, Compliance Officer, Compliance Team, Department in Charge, Lead Department. CMS System, Regulatory Trend, Description, Training, Report, Announcement / FAQ, Process. 10 Major Risk Areas : Fair Trade, Quality Safety, Labor Rights, Environmental Safety(including the climate change), Consumer Protection, Indus trial Safety, Resource Preservation, Anti-Corruption, Property Rights Protection, Privacy Protection
10 Compliance
4대 주요 의무영역 공정거래, 품질안전, 환경안전, 산업안전과 부패방지, 개인정보, 자원보전, 노동인권, 재산권보호, 소비자보호
Key Tasks
Key Tasks
Current status of
ISO 37301 (compliance
management system)

CJ CheilJedang obtained the standardized ISO 37301(compliance management system) certification in December 2020 and is maintaining the certification through regular post management assessments. The most recent post assessment was conducted in October 2021.

CJ CheilJedang obtained the standardized ISO 37301(compliance management system) certification in December 2020 and is maintaining the certification through regular post management assessments. The most recent post assessment was conducted in October 2021.
ISO37301 Certificate
Expanding the Scope of
Global Compliance

With the expansion of its global business, CJ CheilJedang’s compliance issues outside of the country have also increased. In response to the need to strengthen the legal and compliance management and response of overseas subsidiaries, we identified 54 global compliance obligations based on the global ethical management policy. In addition, we plan to continuously advance global compliance management by setting priority global compliance obligations and directions.

  • Reinforce capacity of overseas departments and headquarters’ legal organizations and strengthen management
  • Conduct monitoring of major overseas corporations
  • Prepare global policy
  • Strengthen networks with global law firms
  • Link to ESG management
Risk Response Division

Situation Supervision Team CJ CheilJedang takes a three-step approach to potential risks in 16 categories, covering the environment (including climate change), industrial safety, quality, and processes, according to severity. We operate a company-wide risk management system to swiftly report and take countermeasures, within 24 hours, through the Risk Response Division whenever a risk is determined to be a major risk. In addition, we utilize an integrated risk management process to prevent any potential confusion or delays that may arise from a risk occurrence, initial recognition of the risk, or response measures.

CEO - Head of the Company-Wide Risk Response Division - Situation Supervision Team - On-Site Response Team, External Response Team, Internal Operation Support Team
Management of
potential risks

CJ CheilJedang is working to identify and preemptively respond to potential risks that can occur in its Food and BIO industries.

CJ CheilJedang is working to identify and preemptively respond to potential risks that can occur in its Food and BIO industries.