On-site Audits | ACER ESG
On-site Audits
Acer’s suppliers must respect labor rights, adopt environmentally responsible manufacturing processes, and provide safe working conditions. We implement the latest version of the RBA Code of Conduct, which encompasses five key areas: labor, health and safety, environment, ethics, and management systems. Acer requires suppliers to conduct regular RBA on-site audits (or obtain SA8000 certification) by third party to ensure compliance with the RBA Code of Conduct and identify deficiencies in the suppliers' execution in the above five areas. Additionally, suppliers are required to implement improvements within a specified timeframe to continuously enhance the social and environmental responsibility of Acer’s supply chain. For suppliers with non-conformance priority finding or challenges in implementing improvement plans, discussions and progress tracking will be conducted via telephone or video conferencing to ensure the timeliness and effectiveness of improvement measures.
In addition to auditing all significant suppliers, we expand our audit scope to fulfill our management responsibilities for supply chain by including subcontractors and key component suppliers in the regular RBA VAP audit by third party,
2025 On-Site Audit Results
More than 170,000 direct supplier employees were audited, 3,602 direct employees were interviewed
Acer uses risk assessment results of the ESG scorecard as the basis for performing on-site audits and assessments.We examine the country risk, manufacturing processes, and products of each supplier, along with results of previous audits, as well as taking into account the concerns of stakeholders when setting out our annual audit plan.
In addition to requiring key suppliers to undergo second-party or third-party on-site audits, Acer further expands the scope of its supply chain due diligence responsibility by including OEM manufacturers and critical component suppliers in regular Responsible Business Alliance (RBA) Validated Audit Process (VAP) audits, supplemented by ad hoc sampling audits as needed. In 2025, a total of 69 tier-1 suppliers were audited (99 cumulative audit instances), including one new supplier, with 100% of audits performed on-site. One supplier was disqualified due to non-conformance with Ace's supplier social and environmental management requirements. The audited suppliers collectively employ more than 170,000 direct employees, of whom 3,602 were interviewed during the audit process. Over 90% of suppliers adopted the RBA Validated Audit Process (VAP), The achievement rate of the execution rate for important suppliers was 97.5%. As the RBA VAP certification is valid for two years, certain suppliers are not included in the current reporting scope due to certification cycles not yet expiring or audits still being scheduled. To provide an overview of our supplier oversight and continuous improvement efforts, we have compiled a summary of our supplier audit and corrective action reports.
Percentage of Audits of Higher Risk First-Tier Suppliers
The total RBA audit score is 200 points, and suppliers scoring below 120 points (Silver-level threshold) are classified as high risk. In 2025, two suppliers were identified as higher-risk vendors. One of them was subsequently disqualified, while the other was classified as a "supplier with significant potential adverse impact." We held online improvement plan discussions and progress review meetings to provide immediate and effective assistance with feasible solutions and technical advice. After suppliers demonstrated concrete improvement outcomes, all cases were closed through third-party RBA verification reviews. There was 1 on-site factory audit, with a total audit rate of 100%.
First-tier Suppliers | High-risk Suppliers | |
|---|---|---|
% Receiving RBA VAP-Equivalent Audit | 97.5% | 100% |
According to the aforementioned details, from 2008 to 2025, Acer has conducted a total of 1,279 audits on first-tier suppliers. Furthermore, to effectively enhance the implementation of the supply chain, since 2017, Acer has required first-tier suppliers to conduct risk assessments on their important material suppliers at the next tier before audits. Summarizing the assessments,6.1% were classified as high-risk and 20.8% as moderate-risk. Following this policy, audit activities continued in 2025, with a total of 1,028 audits conducted on second-tier factories. Since 2021, Acer has further deepened supply chain execution by extending audit activities to third-tier suppliers, achieving 469 audits in 2025.
Looking ahead to 2026, we have set annual RBA on-site audit compliance targets as follows: labor 87%, health and safety 87%, environment 95%, ethics 95%, and management systems 95%. We will also continue to drive audit activities for second and thirdtier
suppliers, actively enhancing improvements in labor practices and working environments, and deepening the long-term positive impact on the entire supply chain.
2026 RBA Site Audit Compliance Targets
Labor
87 %
Health and Safety
87 %
Environment
95 %
Ethics
95 %
Management Systems
95 %
Manufacturing Supplier Direct Employees and Cumulative Direct Employees Audited, 2021-2025
Manufacturing Supplier Employees and Cumulative Direct Employees Interviewed and Audited,2021-2025
2025 Audit Results Analysis
From on-site audit results, we see that the greatest proportion of non-compliance occurred in labor issues, followed (in order) by health & safety, environmental, management system, and ethics.
Distribution of Non-Compliance Found in Audits
Significant Deficiencies (defined as Priority Non-Conformances) and Other Deficiencies
RBA Code of Conduct Conformance
* The data cover all suppliers subject to VAP audits by third parties, a total of 92.
Important Issues and Tracking of Improvements in 2025
 | Labor RightsThe major labor and human rights non-conformities identified primarily relate to working hours and employee benefits. Other findings included efficiencies in fire safety and emergency evacuation management, as well as inadequate labeling and maintenance of controlled equipment. |
 | Working HoursWorking hours-related issues are mainly associated with excessive overtime. Although there has been significant year-on-year improvement, continued efforts together with suppliers remain necessary. For these non-conformities, suppliers have implemented systematic improvement actions. Measures include expanding recruitment channels through new media platforms, such as online live-streaming and social media, to strengthen talent acquisition and alleviate labor shortages. Suppliers are also encouraged to establish formal "Working Hours Management" procedures, develop phased reduction plans, and continuously drive implementation. Acer has incorporated RBA working hours requirements and relevant legal regulations into training programs and regularly conducts online training for supplier managers. In addition, some suppliers have begun coordinating workforce support across multiple sites within their own industrial parks to enhance labor flexibility and staffing resilience. Furthermore, production capacity utilization is linked with overtime rates to enable more precise working hours control, ensuring long-term compliance with labor regulations and RBA standards. |
 | Labor Wages and BenefitsRegarding labor compensation and benefits, for non-conformities related to attendance bonuses, management of labor dispatch agencies, and social insurance coverage, suppliers are encouraged to adopt systematic and transparent improvement measures. Employee attendance performance is incorporated into the overall individual performance and compensation system to ensure a fair and predictable reward mechanism. In addition, updated labor regulations and relevant internal company policies are regularly communicated to ensure employees fully understand their rights and entitlements. For labor dispatch management, suppliers are required to establish regular audit mechanisms to verify the compliance of wage payments by staffing agencies. At the same time, questionnaires are distributed to dispatched workers to identify potential risks at an early stage and enable timely corrective actions. Through the integration of governance, training, and oversight, Acer and its suppliers aim to ensure that compensation and benefits management fully complies with applicable legal requirements. |
 | Environmental Safety and HealthIn the area of occupational health and safety, the primary non-conformities relate to workplace safety, emergency preparedness, and process control. After issue clarification, structural corrective measures have been implemented. The root causes include delays in building acceptance certification, improper use of personal protective equipment (PPE), failure to conduct post-employment health examinations, outdated hazard signage following facility layout changes, and deficiencies in the maintenance of emergency exits and fire safety systems. In response, it has been clearly stipulated that workspaces without completed fire safety and building completion inspections are strictly prohibited from being used, ensuring a lawful and safe working environment. For equipment management, suppliers are required to display clear warning labels on controlled equipment and simultaneously post corresponding PPE requirements, specifications, and standard operating procedures (SOPs) to strengthen on-site visual management. For high-risk workstations, pre-employment safety briefings and pre-departure health examinations are enforced to ensure comprehensive employee health monitoring. In addition, periodic spot checks are conducted to ensure that emergency exits and related safety facilities are included in routine inspection priorities. These measures aim to ensure equipment readiness and emergency response capability, while comprehensively enhancing factory safety governance standards and protecting employee rights in specialized work environments. |
 | Environmental Safety and HealthIn the area of occupational health and safety, the primary non-conformities relate to workplace safety, emergency preparedness, and process control. After issue clarification, structural corrective measures have been implemented. The root causes include delays in building acceptance certification, improper use of personal protective equipment (PPE), failure to conduct post-employment health examinations, outdated hazard signage following facility layout changes, and deficiencies in the maintenance of emergency exits and fire safety systems. In response, it has been clearly stipulated that workspaces without completed fire safety and building completion inspections are strictly prohibited from being used, ensuring a lawful and safe working environment. For equipment management, suppliers are required to display clear warning labels on controlled equipment and simultaneously post corresponding PPE requirements, specifications, and standard operating procedures (SOPs) to strengthen on-site visual management. For high-risk workstations, pre-employment safety briefings and pre-departure health examinations are enforced to ensure comprehensive employee health monitoring. In addition, periodic spot checks are conducted to ensure that emergency exits and related safety facilities are included in routine inspection priorities. These measures aim to ensure equipment readiness and emergency response capability, while comprehensively enhancing factory safety governance standards and protecting employee rights in specialized work environments. |
Corrective Action Reports (CAR)
Acer issues Corrective Action Request (CAR) reports to higher-risk suppliers found to have non-compliance during audits. Upon receiving the report, suppliers are required to submit a written CAR within 30 days. Acer's audit management personnel conduct a written review, and continuous improvement tracking is carried out monthly. Improvement results are confirmed during the following year's on-site audits. For suppliers with higher audit risk results, Acer adjusts and manages procurement strategies accordingly. In 2024, a follow-up statistical audit was conducted on the VAP scores of suppliers who were still actively trading. It was found that there were a total of 11 priority non-conformance items and 456 other non-conformance defects. As of December 31, 2024, corrective actions have been implemented and continuously tracked for all cases, with 11 priority nonconformance items and 456 other non-conformance defects fully addressed. The implementation rate of corrective measures stands at 100%. Additionally, the corrective measures for other non-conformance items have also been fully implemented, achieving an implementation rate of 100%.
Percentage of Priority Non-Conformance with Corrective Measures Implemented
100 %
Other Non-Conformances with Corrective Measures Implemented
100 %
Important Issues and Corrective Actions for On-site Audits
Labor
Health and Safety
Management
Environment
RBA Code of Conduct | A3.1、A3.2 and A.M.2.2 Working Hours
Main Issue
Workweek exceeded 60 hours; Workers were not allowed at least one rest day in seven days
Corrective Action
- Expand recruitment channels through new media, including online live-streaming and social media platforms for job postings
- Establish a "Working Hours Management" procedure and develop a phased reduction plan for continuous implementation
- Use RBA working hours standards and relevant regulations as training materials and conduct regular employee training
- Include weekly working hours performance in management review meetings for timely evaluation and adjustment
- Design and improve automation tools and fixtures to enhance operational efficiency
- Coordinate and flexibly allocate workforce support across other facilities within the industrial park
- Link production capacity utilization with overtime rates to strengthen working hours control
- Redesign workflow and provide cross-skill training to enhance manpower flexibility
RBA Code of Conduct | A4.1、4.3 Wages and Benefits
Main Issue
- Attendance bonus distribution
- Management of labor dispatch agencies
- Social insurance coverage expansion
Corrective Action
- Integrate attendance performance into the overall individual performance and compensation system
- Regularly issue updates on labor rights regulations and related internal company policies to ensure employees are fully informed of their right
- Include calculation methods for wages and social insurance contributions in new employee training programs and provide calculation support tools
- Conduct regular audits on the compliance of wage payments by labor dispatch agencies
- Periodically distribute questionnaires to dispatched workers to identify risks early and implement timely corrective actions
RBA Code of Conduct | B1.1、B1.2、B2.3 and B.M.2.2 Occupational Safety, Emergency Preparedness, Industrial Hygiene
Main Issue
- Building inspection inadequate
- Improper use of personal protective equipment
- Post-employment health examination for departing employees
- Outdated safety signage not updated following facility layout changes
- Maintenance gaps in emergency exits and fire safety systems
Corrective Action
- Prohibit the use of any building areas that have not fully obtained fire safety and completion acceptance approvals
- Post warning labels on controlled equipment and display corresponding PPE requirements, specifications, and standard operating procedures (SOPs)
- Implement pre-employment safety briefings for special workstations and require completion of health examinations prior to employee departure
- Ensure that any factory layout changes are jointly reviewed with fire safety and occupational safety personnel and included as part of the engineering acceptance process
- Include emergency escape facilities in daily inspections
RBA Code of Conduct | E4.3 Supplier Responsibilities
Main Issue
-
Workweek exceeded 60 hours; Workers were not allowed at least one day off in seven days
-
Universal Social Insurance Coverage
Corrective Action
- Continue promoting regular RBA audits by Tier-1 suppliers on Tier-2 suppliers to ensure the continuity and effectiveness of corrective actions
- Although excessive overtime has improved year by year, continuous improvement of labor awareness and work process improvements remain necessary
RBA Code of Conduct | C6.1 and C.M.3.1 Energy and Greenhouse Gases; Communication
Main Issue
-
Incomplete Scope 3 greenhouse gas inventory
Corrective Action
- Strengthen supply chain communication channels and optimize questionnaire design to improve the timeliness and accuracy of data collection
- Establish a cloud-based database system