How to Select Component Suppliers Used in AC/DC Power Adapter

This page introduces our supplier selection methods and policies. As a manufacturer of AC/DC Power Adapter and switching power supplies, we adopt high-quality components with competitive material costs, based on strong relationships of trust and cooperative frameworks with our suppliers, in the development, manufacturing, and sales of products ranging from standard items to custom power supplies.

Basic Procurement Principles

In the development, manufacturing, and sales of AC/DC Power Adapter and switching power supplies, we procure materials based on the principles of fairness and equity. We also believe that the stable procurement of high-quality components is founded on mutual trust and cooperative relationships with our suppliers.

Principle	Description
Fairness	Transactions with suppliers are conducted appropriately in accordance with prescribed procedures.
Equity	All suppliers are treated equally, and no specific business partner is given unfair preferential treatment.

Furthermore, in our cooperative relationships with suppliers, we emphasize collaboration aimed at improving technical capabilities, stabilizing Products quality, and achieving competitive material costs.

Supplier Selection Policy

We conduct business with suppliers that meet the following conditions.

No.	Transaction Conditions
1	Must have a stable management foundation and production facilities
2	Must conduct management in compliance with laws and social norms
3	Must possess advanced technical capabilities that contribute to our Products
4	Must incorporate environmental management into business operations based on our green procurement standards

Selection of Excellent Suppliers Based on QCDS+E

In addition to the above transaction terms, we select excellent suppliers based on "stable and optimal QCDS+E." We focus not only on past and present performance but also on competitive business strategies and initiatives for the future.

Item	Name	Evaluation Criteria
Q	Quality	Ability to continuously supply properly quality-controlled procured products
C	Cost	Ability to supply cost-competitive procured products
D	Delivery	Ability to respond to timely and appropriate quantity supply
S	Service	Ability to provide multifaceted services
E	Environment	Engagement in reducing the environmental impact of procured products for environmental conservation

Internal Review and External Audit

Based on the above policy, we implement the following four-stage review process for new suppliers. In addition, we conduct annual follow-up audits for existing suppliers to improve Products quality.

Step 1: Risk Assessment

We assess risks such as whether the new supplier is a sound company, has a stable management foundation, and has no financial problems. In addition to the submission of documents such as business licenses, we may request investigations by external research agencies as necessary.

Step 2: Self-audit through document review

Before the on-site audit, we first request a document review to confirm whether the basic requirements are met. In addition to quality-related matters, the document review also covers compliance with ISO certification and environmental standards.

Step 3: On-site audit through factory visit

After passing the document review, an on-site factory audit is conducted. The Quality Audit Department, CE (Component Approval Department), and Purchasing Department jointly visit the site and carry out a document audit, including ISO-related documentation, in addition to a general process audit.

Step 4: Final Evaluation

Based on the audit results, if improvements are required, a corrective action report will be requested. Companies that achieve our passing standard of 90 points or higher will be approved as official business partners.

Annual Follow-up Audit: We conduct annual follow-up audits for existing suppliers as well to continuously confirm the maintenance and improvement of quality standards.

For more details about our parts and materials management, please also see the following pages.

Our Approach to Quality:
Our Approach to Quality / RoHS2 Compliance / Red Phosphorus (Ion Migration) Countermeasures / Quality Control System for Our AC/DC Power Adapter