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A.General introduction B.Strategy
and management
C1.
Econom
C2.
Environmen
C4.
Labors
C5.Human
Rights
C6.
Society
Third party auditing opinions Table of Articles in GRI Report Guidance
   
      Management measures
      Performance indicators
  1、 Health and safety of clients
  2、 Logos of products and services
  3、 Marketing and advertising
  4、 Customer privacy
  5、 Compliance
 
 
Management measures
 

1. Goal and performance:
COSCO Group has established its principle for products and services as "Safety, Promptness, High-quality and High-efficiency", COSCO's overall business goal has been set as "Accurate decision, scientific management, quality service, building harmonious enterprise, implementing comprehensive risk management and Global Compact and sustainable development, realizing harmony and sustainable development between enterprise value and human environment and natural resource". The group adheres to the policy of "Safety as Top Priority" in shipping, logistics and ship-building & ship-repairing sectors to ensure the heath and the safety of clients; the principle of "high-quality and high-efficiency" is to provide satisfactory products and considerate services for clients; with the philosophy of "harmonious development", COSCO works with clients to jointly build an integrity and compliant production and consumption environment. As of end of 2006, no safety events on client's health and safety caused by the breach of product and service-related regulations had happened to COSCO Group, nor any event caused by the breach of rules and regulations related to information and logos of products and services. COSCO is also free from any event of breaching the relevant regulations and rules in such marketing campaigns as advertising, product promotion and commercial sponsorship, nor the substantial fines due to breaching the laws and regulations for provision of relevant products and services.
2. Policies and stipulations:
COSCO Group and its shipping, logistics and ship-building & ship-repairing companies establish the operation quality management systems, develop relevant management programs on product design and R&D, contract control, production implementation, upstream and downstream industry chain management and process control of primary working procedures. They include the requirements related to clients' health and safety and the quality of products and services into the system for control and management to ensure meeting the clients' requirements and guarantee their health and safety. Through establishing the safety management system, shipping companies execute the management over ships, cargos and mariners in a move to ensure the safety of ships and cargos of clients. COSCO's shipping, logistics and ship-building & ship-repairing companies leverage effective channels to communicate with customers on information related to shipping, logistics and ship-building & ship-repairing or inform the public these information. Related companies also establish mechanisms to conduct the customer satisfaction surveys through letters, telephone or on-site survey, in a move to understand the customers' ideas and suggestions on the company's products and services. For house B/L, transportation contracts or ship-building & ship-repairing agreements, COSCO will formulate the confidential terms and conditions for the customer's privacy and information, ensuring that customer's privacy will not be violated.
3. Organization and liability:
COSCO's strategic development department is responsible for the running and the control of the headquarters' management systems in quality, environment and occupational health; the transportation department is responsible for formulating policies and guidelines for the group's transportation business, while the safety technology supervision department for the safety of ships, mariners and cargos during the transportation. The primary duties of the above departments are: maintaining the normal operation of the management systems such as quality management system, assisting subsidiaries to effectively run the management systems, guiding subsidiaries to implement the health and safety management, organizing the signing of the strategic cooperation agreements for COSCO and supervising the honest operation of subsidiaries. The strategic development department or other corresponding departments are responsible for the running and the maintenance of the management systems in subsidiaries as well as the customer satisfaction surveys. The safety technology supervision department or other corresponding departments are responsible for the health and the safety of ships, vehicles and equipment as well as employees and clients. The market department or other corresponding departments are responsible for signing and performing contracts and agreements. The primary duties of the above departments in the subsidiaries are: maintaining the normal operation of the management systems such as quality management system, conducting customer satisfaction surveys, analyzing and improving the imperfection, signing and performing production contracts, formulating product and service information and distribute these information, health and safety management during production, tracking the international conventions and domestic laws to ensure the compliance and the compliant operation of their companies.
4. Training and promotion:
COSCO Group establishes mechanisms and invests money to conduct the training and the promotion related to the product liability in multiple ways. The annual training program involves customer health and safety related to products and services, categories and provision of product and service information, laws and regulations related to products and services, industry-related regulations, respecting customers' privacy, compliant operation and compliant production. The group trains employees through such methods as self-studying, classes and entrustment to help employees understand products and services, know well of the product and service information, master the requirements of related laws and regulations, understand the confidentiality of customer privacy and improve employees' awareness of product liability. COSCO and its subsidiaries also strengthens the promotion and penetration of the information on liabilities in products and services via the portal websites and professional websites, enabling more people to understand the company's related regulations on product liability and the promises to the society, which can also play a roles in supervising. COSCO and its subsidiaries also organizes the evaluation for related staff on the dynamic tracking and implementation of relevant rules and regulations for products and services through the system compliance assessment once a year, which further improves the employees' awareness of importance of the compliant operation.
5. Supervision and certification:
COSCO Group's supervision over the liability on products and services is mainly realized through the following channels. The first is the quarterly monitoring, internal audit and management review mechanism established in the systems, which can supervise and check the operation of the management systems to find and analyze the weaknesses and further improve the management systems through formulating and implementing the correction measures. The second is the once-a-year third party supervision and audit, finding problems and improve the systems through formulating and implementing the correction measures. The third is to establish the indicator systems covering annual operation targets, balanced score cards and performance indicator for daily and annual evaluation. The fourth is that the special auditing departments of COSCO and its subsidiaries are responsible for supervising and auditing the business disciplines and organization of products and services. The final is to get customers' ideas and suggestions through conducting customer satisfaction surveys, thus accepting the supervision of the public. COSCO's comprehensive management systems including quality and environment management systems have passed the joint certification of DNV and CSS. Moreover, with the establishment of the global compact and the sustainable development management systems, the quality, environment and occupational health & safety management systems will be improved. Second-tier companies also organize the certification for established quality and environment management systems in succession.
 
 
Cosco 2007.12