TYM works with Shared Growth Committee on ESG, a first in the agricultural machinery industry
TYM announced last September 30 that it has signed an agreement with Shared Growth Committee to support the ESG goals and agenda of its partners, a first in the agricultural machinery industry. TYM CEO Kim Do-hoon and Chairman Kwon Ki-hong of the Shared Growth Committee attended the signing ceremony held in the conference room of TYM headquarters.
With this agreement, TYM plans to contribute a total of 200 million won in cooperation funds to enhance partner SMEs' ability to respond to ESG, develop customized ESG evaluation indicators and guidelines for partners, and comprehensively support sustainable management education, on-site diagnosis, and improvement guidance.
TYM plans to derive more universal and effective ESG indicators by analyzing indicators identified through CSR evaluation support projects for SMEs, global ESG standards, and evaluation criteria for global business partners. In addition to environmental, social, and governance areas such as climate change response, labor human rights and safety management, and transparent management systems, guidelines that can be used for field improvement will be developed separately.
TYM and the Commission will conduct preliminary screening and regular ESG evaluations once a year for 40 existing and new suppliers by November 2022 and issue ESG outstanding SME confirmations in the name of partners with excellent ESG evaluation indicators during the curriculum. Partner companies can expect to secure a corporate image that complies with social responsibility and improve external creditworthiness.
TYM plans to set a goal of achieving 80% of its partners' ESG excellence grades by 2024, and select more than 30 partners even after the end of the agreement period to conduct its own consulting using the ESG guidelines.
Meanwhile, the Shared Committee is an organization established to discover and discuss social conflict issues between companies to reach an agreement in the private sector, and to create and spread a culture of shared growth. The ESG support project for partners implemented by the Joint Committee is a project to comprehensively support ESG education, capacity diagnosis, and on-site inspection to improve ESG management awareness and strengthen small and medium-sized suppliers' capabilities.
Kim Do-hoon, CEO of TYM, said of the agreement, "It is a meaningful project to help small and medium-sized companies that lack budget and manpower improve their ESG response capabilities to secure sustainability at the supply chain level between large companies and suppliers." He also stressed the importance of ESG management, saying, "ESG management is a development that pursues harmony between the environment and economic growth, and our descendants should preserve the environment so that they can get what they need from nature."
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