Climate Risk and Opportunity Management

In order to understand the risks and opportunities associated with climate change for MediaTek, the following description of management actions is based on the TCFD (Task Force on Climate-related Financial Disclosures) framework with the 4 dimensions of governance, strategy, risk management, indicators and targets:

Business Continuity Management

MediaTek takes the initiative in identifying risks caused by climate change (incl. water and power shortages, typhoons, and flooding) and relies on a business continuity management mechanism for the devising of contingency strategies for potential risks and thereby effectively control operational impacts and damage triggered by extreme climate patterns. We develop contingency strategies for a wide range of incidents that could potentially occur at our operating sites including natural disasters, typhoons, earthquakes, fire, power supply interruptions, and water shortages through our business continuity management mechanism to ensure rapid resumption of operations after disasters.

For instance, we immediately launch emergency response procedures if operational impacts and damage caused by climate change involve production or supply issues affecting the supply chain. A dedicated task force closely monitors potential risks affecting suppliers and adopts contingency measures (a key link of business continuity planning) as required to gain an effective grasp of supplier production and shipping conditions. Suppliers, on the other hand, are required to develop comprehensive emergency response plans. In case of natural disasters, MediaTek is notified immediately and concerted action is initiated to minimize potential damage and ensure prompt resumption of production.