Board Member Selection

Edison Opto has long embraced corporate governance and integrity-based business succession. In 2008, we introduced the independent director system, in 2011 established the Remuneration Committee, and since 2013 voluntarily adopted the Audit Committee system. In 2019, during the full re-election of the Board, we adopted the candidate nomination system, allowing shareholders to elect directors. At the same time, we implemented the principle that independent directors’ maximum tenure should not exceed nine years to ensure their independence.

The criteria for board member selection go beyond the necessary knowledge, skills, and character required to perform their duties. The Board applies a policy of diversity in selecting directors. (The selection standards are disclosed on the company website: Investor Relations > Corporate Governance > Board of Directors > Board Organization, URL: https://www.edison-opto.com/board-organization/.) This ensures alignment with the company’s governance goals, with many practices ahead of government regulatory requirements, promoting gradual optimization of board effectiveness.

In addition to professional backgrounds and expertise, directors must demonstrate long-term insight into business operations and corporate planning. To further enhance the Board’s professionalism, members are required to pursue continuous development. Beyond their existing professional expertise, directors are expected to attend courses in areas relevant to the company’s industry, such as finance, risk management, business, law, accounting, corporate social responsibility, internal control, and financial reporting responsibilities. Each director must complete at least six hours of training annually to ensure they maintain sufficient industry knowledge and stay updated.

Since 2020, the company has initiated a succession plan for the Chairman of the Board, cultivating senior internal managers, providing them with opportunities to participate in the Board, familiarizing them with its operations, and increasing their involvement in various business units through job rotations and overseas assignments.

Succession Planning for Key Management

Edison Opto emphasizes that key management members must not only possess strong professional skills but must also embody the core values of 'integrity, pragmatism, humility, and responsibility,' practicing our management philosophy of 'leading by example, doing what is promised.' This mindset and conduct must be cultivated over time and sincerely implemented.

The company currently has several key executives (General Managers and Deputy General Managers) responsible for overseeing production, sales, and R&D operations across the group’s plants. Through job rotation, overseas assignments, one-on-one mentoring, and guidance, along with support from heads of Finance, Audit, Legal, HR, and IT, management leaders receive comprehensive training beyond their core expertise. This includes courses on strategic planning, performance management, sustainability reporting, carbon footprint, and carbon tariffs. In 2024, 17 management training courses were conducted to strengthen the overall management capabilities of General and Deputy General Managers. Through executive meetings and cross-functional discussions, they deepen their understanding of management philosophy and enhance managerial skills, helping identify and develop future successors.

In response to organizational growth and development, the company not only recruits talented external managers but also actively cultivates high-potential middle and senior managers. By providing personalized mentoring, knowledge exchange, timely job rotations, and overseas assignments, we aim to build a well-rounded talent pool and strengthen the next-generation leadership team in a structured and goal-oriented manner.