The subcontractors used in the HIMAX supply network are companies with stable and corporate ownership in all aspects. Each partner has equal responsibility to drive product development, and the risk of any subcontractor failing in its performance must be considered non-existent.

 

Subcontractors will monitor and review potential risks by identifying them, analyzing and assessing them, and addressing existing risks when necessary. This will be a continuous process throughout the manufacturing cycle and will be cycled because the time frame is four years and the production process is continuously repeated.

 

The team will ensure that controls are effective and efficient in terms of design and operation, and will continue to obtain further information from interested parties to improve risk assessments beyond identifying emerging risks.

 

Access to information between subcontracts in the supply network will be free, without any restrictions on the ability to identify, obtain and use data or information between the parties in the best and most effective way. Email, digital photos, Skype, WeChat and other communication lines will ensure acceptable access to information.

 

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The roles and responsibilities of key parties in the supply chain are mainly divided into three categories:

 

 

 

This involves all subcontractors, once the order is delivered, it will be analyzed, ordering materials, planning production, and adopting the most critical path strategy.

 

 

 

HIMAX will ensure the smooth progress of production without quality problems and defects, and plan the workforce. Production procedures, etc.
 

 

 

HIMAX will be responsible for the production of goods, and use reliable freight forwarders and freight suppliers to deliver goods to ensure timely delivery to customers. For special elements, especially requirements and contracts, the team will analyze whether these elements are present in the risk assessment process. From the current point of view, none of the goods produced is rare. HIMAX has long-term experience in producing different outdoor footwear and providing PPE products. In addition to its own laboratory / third-party laboratory, HIMAX also uses its own experience and skills to randomly check the production quality of goods.

 

Regarding the availability of raw materials, such as leather / textiles, etc., first of all, the quantities in the order are planned on a monthly / yearly basis, which guarantees that the risk of not receiving the order materials in time does not actually exist. None of the materials used to produce the goods for this order were so severe that they were difficult to obtain. More important here is the quality aspect of the delivered materials. The supply of raw materials is not a major issue. Quality assurance of these materials is key and will be handled accordingly so that any defects in the delivery of any given material supplier will be corrected immediately to avoid delays in delivery during the manufacturing process.

 

In terms of economic risks and exchange rate fluctuations, subcontractors in the supply network have a good reputation and the ability to accept credit from financial institutions, enabling orders to proceed smoothly at all stages of manufacturing and transportation. Exchange rate fluctuations will be guaranteed in Renminbi in USD immediately after receiving the order.