Stakeholder Engagement

Stakeholder Engagement

TSMC established a systematic model for materiality analysis in line with the GRI Standards and AA 1000 Stakeholder Engagement Standards (SES). Incorporating three phases and seven steps, the analysis is conducted to create TSMC's materiality matrix, and serves as a foundation for further developing TSMC's sustainability strategy and its short-term, medium-term, and long-term corporate sustainability goals. Materiality analysis is also an important reference for identifying material issues to be disclosed in the Company's Corporate Social Responsibility (CSR) Report.

Materiality Matrix

Material Issues in TSMC Value Chain

Operational Impact
Focuses Material Issues Operational Impact GRI Standards Topics Upstream TSMC Operations Downstream
Innovation / R&D Revenue Cost Customer Satisfaction Brand / Reputation Risk c Procurement Wafer fabrication Packaging / testing Customer usage
Ethical Management Ethics Anti-corruption, anti-competitive behavior
Regulatory compliance Environmental compliance, socioeconomic compliance
Innovation and Service Innovation management Energy
Sustainable products Customer health and safety
Product quality Customer health and safety
Customer service Customer privacy
Responsible Supply Chain Supplier sustainability management Procurement practices, supplier environmental assessment, supplier social assessment
Green Manufacturing Energy management Energy
Climate change Emissions, economic performance
Water management Water, effluents, and waste
Air pollution control Emissions
Waste management Effluents and waste
Inclusive Workplace Talent attraction and retention Economic performance, employment, diversity and equal opportunity, market status
Talent development Training and education
Human rights Labor management relations, non-discrimination, freedom of association and collective bargaining, child labor, forced or compulsory labor, human rights assessment
Occupational safety and health Occupational safety and health
Common Good Social participation Economic performance, indirect economic impacts, local communities

Stakeholder Communication