CP(Compliance Program) Overview

    What is Compliance Program?

    The Compliance Program (CP) refers to an internal legal compliance system—encompassing education, monitoring, and oversight—voluntarily established and operated by companies as economic agents to uphold the order of fair competition and ensure autonomous compliance with fair trade laws and regulations during their economic activities.
    Since 2008, Chong KunDang has been operating its Compliance Program not only to prevent risks associated with violations of fair trade regulations, but also to embed a culture of legal compliance and establish a foundation for sound corporate governance.

    8 Steps in Compliance Program

    • 01

      Establishment and
      Implementation
      of CP
      Standardsand Procedures

    • 02

      CEO’s
      Commitment
      and Support for
      Compliance

    • 03

      Appointment of
      a Compliance
      Officer

    • 04

      Development
      and Utilization
      of a Compliance
      Manual

    • 05

      Continuous and
      Systematic
      Compliance
      Training

    • 06

      Establishment
      of an Internal
      Monitoring
      System

    • 07

      Disciplinary
      Actions for
      Violations

    • 08

      Effectiveness
      Assessment and
      Improvement Measures

    • 1. Establishment and Implementation of CP Standards and Procedures

      We establish and implement clear standards and procedures to ensure that all employees fully understand and comply with fair trade laws relevant to their work.

    • 2. CEO’s Commitmentand Support for Compliance

      The Chief Executive Officer publicly expresses the company’s strong commitment to compliance with fair trade laws and actively supports the implementation of the Compliance Program.

    • 3. Appointment of a Compliance Officer

      The Board of Directors or the highest decision-making body appoints a Compliance Officer who is entrusted with the responsibility of effectively managing and operating the CP within the organization.

    • 4. Development and Utilization of a Compliance Manual

      Under the responsibility of the Compliance Officer, a Compliance Manual is prepared, encompassing relevant fair trade regulations as well as CP standards and procedures. The manual is made readily accessible for use by all employees.

    • 5. Continuous and Systematic Compliance Training

      Regular and effective compliance training is provided for executives and employees, especially those in high-risk areas such as sales and purchasing, to ensure understanding and implementation of CP standards and fair trade regulations.

    • 6. Establishment of an Internal Monitoring System

      A reasonably designed monitoring and audit system is operated to prevent or detect any violations at an early stage. The results of monitoring and audits are reported at least twice a year to the Board of Directors or the highest decision-making body.

    • 7. Disciplinary Actions for Violations

      Internal regulations prescribe appropriate disciplinary actions proportional to the severity of violations committed by employees. The company responds proactively to any discovered violations and takes measures to prevent recurrence.

    • 8. Effectiveness Assessment and Improvement Measures

      To ensure the ongoing effectiveness of the CP, we regularly review and evaluate the standards, procedures, and operations of the program, and implement necessary improvements based on the findings.

      • *At Chong Kun Dang, we not only meet these eight key elements of the Compliance Program but also continue to enhance our standards to autonomously and effectively operate a more advanced compliance system.