2021 Annual Social Responsibility Report

Shandong Bangju Industrial Co., Ltd.

2021Annual Social Responsibility Report

I. Preface

In order to implement the scientific outlook on development, build a harmonious society, actively undertake social responsibilities, standardize the company's social behavior, consciously accept social supervision, and form a mechanism of self-restraint and self-development, we hereby release the Annual Social Responsibility Report of Shandong Bangju Industrial Co., Ltd.2021The annual social responsibility report is as follows:

The company always adheres to"Continuous innovation, pioneering and enterprising, serving customers, and giving back to society" as its purpose, and upholds the business philosophy of "seeking trust through quality, seeking market through trust, prioritizing users, and achieving win-win cooperation" to sincerely provide the best quality product services to a wide range of customers.

Integrating the fulfillment of social responsibilities into the company's development strategy, production operations, and corporate culture as a conscious action to implement the scientific outlook on development and build a harmonious society.

II. Company Overview

Shandong Bangju Industrial Co., Ltd. was established inMay 2016, located at the southern end of Yihe Road, Southern New City, Gangcheng District, Jinan City, Shandong Province. It is adjacent to Laigang and close to National Highway 205, Beijing-Shanghai, Bolei, Qingyin, and Tailai Expressways, with convenient transportation. The company covers an area of over 300 acres, with a registered capital of 150 million and a total investment of 2 billion. It currently has more than 180 employees.

The company adheres tothe development concept of "synchronizing with the market and connecting with the world," equipped with advanced production equipment and testing instruments from both domestic and international sources. The company's smelting system includes a 30t electric furnace, a 40t refining furnace, a 40t vacuum degassing furnace, a gas-protected pouring system, and supporting high-efficiency dust removal systems, circulating water treatment systems, etc.; the forging system includes a 1600t oil pressure quick forging unit, a 4500t oil pressure quick forging unit, and supporting fully hydraulic manipulators, large rail-type material handlers, large natural gas heating furnaces, heat treatment furnaces, resistance-type trolley heat treatment furnaces, large saws, etc.; the machining system includes large lathes, gantry milling machines, boring machines, grinding machines, drilling machines, etc.

The company's physical and chemical testing center is equipped with American Thermo direct-reading spectrometers, German Spectro direct-reading spectrometers, German Eltra carbon-sulfur analyzers, American Leco nitrogen-hydrogen-oxygen analyzers, German Zeiss metallographic microscopes, tensile testing machines, low-temperature impact testing machines, bench Brinell hardness testers, ultrasonic flaw detectors, and other precision inspection and testing equipment to meet the physical and chemical testing requirements of various products.

The companywas recognized as a national high-tech enterprise in 2018, awarded the "Specialized, Refined, Characteristic, and Innovative" enterprise in Shandong Province in 2021, selected as a military-civilian integration enterprise in Jinan City, and obtained more than 100 utility model patent certificates for production lines of industrial molds and tools, among which four scientific research projects, including "Research on Non-metallic Inclusion Control Technology of Large Steel Ingots," were listed as Jinan City enterprise technology innovation projects. The company has passed ISO9001 quality management system certification, ISO14001 environmental management system certification, ISO45001 occupational health and safety management system certification, and certifications from the Norwegian Classification Society and the American Bureau of Shipping.

The company has an annual production capacity of15tens of thousands of castings and forgings, mainly producing high-quality alloy structural steel, industrial mold steel, bearing steel, gear steel, vehicle steel, high-speed steel, wind power steel, and other high-end special steel castings and forgings. The products are widely used in industries such as automobiles, high-speed rail, military industry, shipbuilding, metallurgy, wind power, petroleum, machinery equipment, and aerospace. In addition to meeting the needs of high-end domestic users, the products are also exported to Europe, America, and Southeast Asia. The product quality is recognized by domestic and foreign customers.

The company aims to create quality brands and build a first-class image, with integrity as its foundation and innovation as its pursuit, sincerely inviting colleagues from all walks of life to work together to create a bright future for the steel casting industry and jointly create a splendid chapter in life.

The companyThe management team is divided intooffices, finance department,sales department,,production technology department,,equipment engineering department,,safety and environmental protection department,,quality management department, material procurement department, service guarantee department, and other departments.

Company Name:Shandong Bangju Industrial Co., Ltd.

Company Website:http://www.bangjugroup.com/

Company Address:Southern end of Yihe Road, Southern New City, Gangcheng District, Jinan City, Shandong Province

III. Culture

Company Vision:To excel in the main business and pursue excellence.

Company Mission:To provide customers with satisfactory products and services; to create a happy life for employees; to contribute value to society.

Company Core Values:Integrity——To be honest and trustworthy, speaking truthfully and acting practically;

                Innovation——To be based on leading and pioneering;

                Achievements——Performance first, creating excellence;

                Win-win——Cooperation for mutual benefit and co-creation of development.

The company attaches great importance to team building, regularly organizes employees to visit advanced enterprises for learning, invites social institutions for professional training, enriches employees' cultural life, and enhances the cohesion and combat effectiveness of the enterprise.

IV. Product Quality

The company has always adhered tothe quality policy of "survival by quality, brand building by quality, seeking benefits through quality, and promoting development through quality." It regards product quality as the lifeline of the enterprise, strictly controls product quality, establishes a long-term mechanism for product quality management and a comprehensive quality management system, and strengthens quality control and assurance in all aspects, including raw material control, technical support, production process control, and sales link control, to provide customers with reliable products. The company has been recognized as a national high-tech enterprise and a "specialized, refined, characteristic, and innovative" enterprise in Shandong Province.

V. Social Welfare

The company always regards caring for social construction and actively participating in public welfare as an important content and specific embodiment of fulfilling social responsibility, contributing to social public undertakings through its own development.. In the past two years, it has helped10 impoverished college students enroll, provided teaching assistance on Teacher's Day, and visited elderly people over 60 in Bianjiaquan Village and surrounding villages during the Chongyang Festival, distributing consolation items.

Six,Employee Rights Protection

1. The company strictly abides by the "Labor Law" and "Labor Contract Law", standardizes the implementation of labor employment systems, and signs labor contracts with employees through equal negotiation. The company continuously negotiates and adjusts wages to maintain a steady increase in employee salary levels.

2,The companyAdhere tothe concept of "valuing talent and knowledge" in education and materials, and build a work, study, and living environment with distinctive culture.Bangju IndustryThe company has implemented measures to attract and introduce talent, solving issues such as spouses' employment and housing for the introduced talents, allowing them to feel that our work is sincere, making them happy to come and satisfied to work. Through this measure, we have introduced many talents with college degrees or above and mid-to-senior technical titles from all over the country in recent years.Manyengineering and technical personnel with college degrees or above and management talents, providing talent assurance for the company's technological innovation and development.Advocate a people-oriented approach and improve the salary distribution system based on job performance. For key core talents, increase introduction, reserve, and training, provide opportunities and platforms for employee growth, create a good competitive environment for employee development, and promote the common growth of employees and the company.

3. The company’s labor union fully performs its function of representing employee interests, regularly convening employee representative meetings. When formulating, amending, or deciding on regulations or major matters directly related to employees' interests, the union and employee representatives participate, ensuring employees' rights to know, participate, vote, and supervise; and widely listen to employees' opinions and suggestions through rationalization proposals and supervision checks; providing warmth to employees in difficulty and conducting consolation and assistance work.

Strictly implement labor safety, environmental hygiene laws and regulations, and standards, actively take various measures to improve and perfect labor safety and health conditions. Reiterate

4,the importance of variousnormative documents for safety production, and carry out work in accordance with legal standards in all aspects such as project construction, cost investment, essential safety of equipment and facilities, implementation of responsibility systems, safety inspections, hazard rectification, and operation of environmental protection facilities.Seven,

Protection of Supplier and Customer Rights1. The company always focuses on "customer as the focal point", highlights quality mechanisms, and comprehensively improves the effectiveness of the service system; through "practical, solid, implementable, strict, and serious" work, effectively improves product and service quality levels, providing users with high-performance, high-quality, and highly reliable products and truly satisfactory services.

2. The company adheres to the supplier management concept of "cooperation and win-win", promotes the common development of both supply and demand sides based on cooperation and integrity. Treat suppliers as an important link in the enterprise value chain, providing assistance and support in terms of funds, technology, etc. By deepening the supplier management mechanism and establishing long-term contact mechanisms with key suppliers, we promote suppliers to continuously improve service quality, thereby enhancing the quality management level of suppliers.

Eight, Talent Cultivation and Humanistic Care

The company organizes various on-the-job training

for over 400 person-times. It encourages employees to pursue self-study and has seen many employees obtain diplomas from colleges and vocational schools, boldly utilizing talent. In recent years, many grassroots employees have stepped into management and technical positions. The development of these initiatives has added vitality to the company's growth.Employees are the greatest wealth of the enterprise. Given the harsh living conditions in society, the company manages strictly from the perspective of caring for and protecting employees' fundamental interests, placing great importance on employees' lives and thoughts in daily work. To address employees' accommodation issues and create a warm home for them, the company renovated a dormitory building for employees to live in, installing air conditioning and heating in each dormitory to ensure rest during high temperatures and severe cold. Every year during the Spring Festival, the company's leadership visits all employees.

To enrich employees' leisure lives, the company is establishing a staff library, collecting over 700 books on various subjects such as governance, economics, technology, skills, professions, history, and humanities for employees to borrow and read during their leisure time. A 150m

gym has been renovated, fitness equipment has been purchased, and sound systems have been set up. Additionally, table tennis, basketball, and other facilities have been acquired, allowing employees to exercise and entertain during their leisure time, which not only improves their health but also enhances friendships. Employees' leisure lives are colorful.Nine, Green Manufacturing²The company emphasizes fulfilling its responsibilities for green manufacturing, making green manufacturing an important part of the company's sustainable development strategy, deeply integrating it into all aspects of product production, and actively practicing environmentally friendly and resource-saving development concepts.

The company has established a green manufacturing leadership group, advocates awareness of environmental protection in green manufacturing, and implements management indicators in every aspect of the product production process; first, the company strengthens publicity in various departments to raise environmental awareness among all employees. Secondly, a target responsibility system has been established from the company's top management to middle management and grassroots teams, forming a management network, setting management standards, operating procedures, and technical specifications, and requiring the establishment and improvement of clean production incentive mechanisms in terms of material rewards and honors to motivate employees; timely reporting of production and pollution discharge situations in various departments, ensuring responsibilities are in place, rewards and punishments are clear, and truly embedding the concept of green development into every employee's heart.

The company applies green building technology to construct and renovate factories, reasonably layouts the factory, intensively utilizes the factory area, and improves land resource utilization; promotes digital and intelligent control systems for resource energy and environment, utilizes efficient and advanced energy-saving equipment and technology to slow down the growth rate of energy consumption, and gradually increases the proportion of green low-carbon energy in the company.  

Formulate and implement a circular economy promotion plan, following the principles of

"reduction, reuse, and resource utilization", designing and constructing logistics projects according to environmental protection requirements, and promoting the circular development of enterprise operations.

To firmly establish the concept of green developmentand establish a long-term mechanism for clean production.

为牢固树立绿色发展理念,建立清洁生产长效机制To promote the company towards a path of clean production and green development, the company is carrying out clean production audits and clean transformation work in accordance with the requirements of the "Clean Production Promotion Law." The company has formed a clean production audit team and has initiated"Clean Production Plan" theme collection of rational suggestions. After discussions and decisions by the management and engineering technical personnel of the entire plant, clean production high-cost and medium-low-cost plans were formulated based on their own pollution generation and discharge processes and related situations, all of which were implemented, resulting in good environmental and economic benefits.

The company will continue to actively respond to the national call, adhere to the path of efficient, clean, and low-carbon green development,with a more enthusiastic work attitude and a pragmatic approach,further improve the circular economy industrial system,better fulfill social responsibilities and support social welfare undertakings,and make due contributions to resource conservation, the construction of an environmentally friendly society, and regional economic development.

                                 Shandong Bangju Industrial Co., Ltd.

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