MacroHI Sustainability Progress & Goals 2022

Mid- and Long-term Sustainable Goals

As a Certified B Corporation, MacroHI strives to 'use business as a force for good.' Focusing on 5 of the 5 United Nations Sustainable Development Goals (SDGs), we are committed to becoming the best company "for" the world.

SDGs Sustainable Strategy - Highlights and Goals

	Key Results	Future Goals
SDG 3 Good Health and Well-being	✔Provide free scalp care products for severe dermatitis and psoriasis patients ✔Free scalp check all around Taiwan	Continuing to promote scalp health for all through R&D and brand power
SDG 10 Reduced Inequalities	✔Shampoo bottles feature braille bottle design for the blind ✔Organized 333+ scalp health/mindful activities for caregivers, benefiting 30,000+ people ✔Donated NTD$2.5+million dollars for charity sales in remote villages	Brands invest 1% of its annual revenue in caring for the disadvantaged, such as caregivers and education in remote areas
SDG 12 Responsible Consumption and Production	✔BS8001 Circular Economy Level 4 (Optimal) Certified ✔48,600+kg CO2e reduced by using PCR recycled plastic to make shampoo bottles ✔4 products ISO 14067 carbon footprint certified ✔1,000+ EC packaging box reduced ✔10 Stores become Circular Packaging Returning Points	Provide circular and sustainable scalp care solution 50% bottles from PCR recycled plastic Cradle to Cradle (C2C) Silver Level Certification
SDG 13 Climate Action	✔10% renewable energy used by headquarter since 2021 ✔30%+ waste reduction at headquarter offices	PAS 2060 Carbon Neutrality by 2024 50% Renewable Energy by 2024
SDG 17 Partnership for the Goals	✔20+ corporate partners joined our “Caregiver’s Alliance” ✔200+ salons joined our charity campaign raising funds for education in remote areas	To create positive impact by connecting internal, external, and upstream/downstream partners to participate in sustainability initiatives

8 Key Stakeholders of MacroHI

Consumers	Business Customers	Employees	Agents/Distributors
Suppliers	Business Partners	Community / NPOs	Banks / Investors

9 Material Issues in Sustainability

We collected and analyzed 1,177 internal and external partners' "Sustainability Questionnaires" and referred to the sustainability industry trends, and finalized the list or material issues by the Sustainability Committee.

Sustainable Products and Services
Sustainable Packaging and Circular Economy
Customer Health and Safety
Responsible Procurement
Worker's Health and Safety
Sustainability Strategy
Operational Eco-Efficiency
Corporate Citizenship and Philanthropy
Information Security and Privacy

Sustainability Materialiy Matrix

MacroHI B Corp Sustainability Impact Highlights and Future Goals

	2022 Highlights	Future Goals
Environment	✔BS8001 Circular Economy Level 4 (Optimal) Certified ✔10% renewable energy used by headquarter ✔48,600+kg CO2e reduced accumulatively by using PCR recycled plastic to make shampoo bottles ✔4 products ISO 14067 carbon footprint certified ✔1,000+ EC packaging box reduced ✔10 Stores become Circular Packaging Returning Points ✔30%+ waste reduction at headquarter offices	2022~2024 ✔50% Bottles from recycled plastic ✔FSC Certified paper packaging ✔Product Carbon reduction label ✔C2C circular economy (silver) certification ✔2024 Carbon Neutrality ✔2025 50% Renewable Energy
Community	✔ 60+ scalp health/mindful activities ✔ Engaged 17 business partners joining our "Caretiver's Alliance" ✔ Invited business partners to plant 300 trees together ✔Donated NTD$2.5+million dollars for charity sales in remote villages	✔5% revenue committed in CSR and sustainability ✔20+ activities benifiting 1000+ people annually, inviting 30+ organizations to join "Caregiver's Alliance"
Customers	✔Provide free scalp care products for severe dermatitis patients ✔Shampoo bottles featuring braille bottle design for the blind	✔Develop products for scalp care relief for patients
Workers	✔16hrs/year Paid volunteer leave, paid vaccination leave during pandemic ✔50% Female managers & workers ✔Enhanced child care benefits ✔4-6PM workout time each Friday, Sports competition rewards	✔Build a healthy, passionate, creative workplace where dreams come true
Governenace	✔Sustainability mission stated in company Charter ✔Established SDGs Roadmap ✔100% Participation of Sustainability Committee in Board of Directors ✔Held the 1st SDGs Consensus Camp	✔5% of every of every worker's (employees and managers) performance goals connected to ESG

Response to 2022 Labor Issue

Due to the recent major amendments to the law and change to remote work during the pandemic, there has been a window period and the lack of the system has not been detected. Therefore, part of the labor attendance record wasn't recorded daily to the minute, therefore failed to comply with the regulations and was fined NTD 40,000 dollars in 2022. In the follow-up, we review and revise relevant measures on a semi-annual basis. At the same time, by introducing digital HR system, the manual operation is changed to be checked through digital app, which not only greatly reduces operational risks, but also improves management control.