ESG Report 2020

The United Laboratories is committed to ensuring of our suppliers to ensure the quality and stable an efficient and excellent business operating supply of raw materials. At the same time, the model, proactively identifying and eliminating Group has established the Patient Personal environmental and social risks in its operations, Information Protection System and The United and building a safe and robust pharmaceutical Laboratories Information Confidentiality System to company. The Group has established a vertically reduce the risk of information leakage and protect integrated production and operation model and the Group's internal information and customer select new suppliers and conducted regular audits privacy. Sustainable Supply Chain Management Superior supply chain management is the basis for management. Through the implementation of production enterprises to maintain stable and material supplier management procedures, the efficient production. The United Laboratories sees Group maintains a healthy and sustainable supply sustainable operation of the supply chain as a chain system. In terms of contract management, prerequisite for ensuring business operations, and the Group s procurement contracts will enumerate it is also seen as a great opportunity to boost items such as quality requirements of goods, productivity. delivery standards, delivery terms, intellectual property rights, and integrity clauses to guarantee the quality of suppliers' supply and lower the legal The Group has been persistent in optimising the and social risks of the supply chain. supply chain system, procurement process, and supplier development, supervision, evaluation, and ’ OPERATIONAL EXCELLENCE Supply Chain Standards for Quality Control of Pharmaceutical Production Measures for the Supervision and Administration of Drug Production Contract Law of the People ’ s Republic of China Measures for the Supervision and Administration of Circulation of Pharmaceuticals The Group has established a vertical integration of intermediates and active pharmaceutical production and operation model of “ pharmaceutical ingredients, and then delivers them to the Group's intermediates - bulk medicines - finished products ” . other production sites for the production of Inner Mongolia Company purchases major raw , which are finally materials for the production of pharmaceutical sold to end users through various channels. bulk medicine and finished products Realm Relevant Laws and Regulations 44 Environmental, Social and Governance Report 2020 The United Laboratories International Holdings Limited