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用友网络:用友2023年可持续发展(ESG)报告(英文版)2024-03-30  

About the Report
Yonyou Network Technology Co., Ltd. ("Yonyou", "the Group", "the Company" and "we") has been
disclosing its non-financial information annually since 2011, with a total of 13 social responsibility/
sustainability reports issued by 2023.




      Reporting Scope                                                                                     Data and Information Disclosure
      Organizations covered by the Report: The report is primarily about Yonyou Network                   The data and information disclosed in the Report are derived from:
      Technology Co., Ltd., and covers its headquarters, industrial parks, subsidiaries in China and
      abroad, its controlling shareholders and actual controllers.                                         Internal data collection system and relevant statistical statements of the Company

      Reporting Period: From January 1, 2023 to December 31, 2023. Part of the Report is beyond            Outstanding sustainability practices of the Company
      the reporting period in order to ensure consistency.
                                                                                                           Questionnaires developed to collect qualitative and quantitative information based on the
      Release Cycle: This is an annual report. The previous report was released in March 2023.             report framework

                                                                                                          All financial data disclosed in the Report is derived from the Yonyou Network Technology Co.,
                                                                                                          Ltd. 2022 Annual Report ("Annual Report"). Should there be any inconsistencies between the
                                                                                                          Report and the Annual Report, the Annual Report shall prevail. Unless otherwise indicated, the
                                                                                                          currency used is RMB.
      Reporting Standards
      The report has been prepared to comply with the GRI Sustainability Reporting Standards by
      the Global Sustainability Standards Board (GSSB) and the United Nations 2030 Agenda for

                                                                                                          How to Get the Report
      Sustainable Development (SDGs). For the disclosure of indicators in this report, please refer
      to the "GRI Content Index" and the "SDGs Index" in the "Content Index" section. As a listed
      company on the main board of Shanghai Stock Exchange (hereinafter referred to as "SSE")
      (stock code: 600588), this report also refers to the social responsibility disclosure suggestions   The Report is released in electronic version, it can be downloaded from our website:
      of SSE.                                                                                             http://www.yonyou.com/.
CONTENTS

Chairman's Message            01   Feature Story                       07   Future Purpose                             53

                                   Let Leading Practices Become        07
                                   Universally Beneficial
About Yonyou                  03                                            Content Index                              55

Company Profile               03                                            GRI Content Index                          55
ESG Management Framework      04                                            UN Sustainable Development Goals           56
                                                                            (SDGs) Index
Awards and Recognitions       05
Social Responsibility         06
Certifications




13                                 25                                       39
Environmental:                     Social:                                  Governance:
Guarding Lucid Waters              Co-Creating a Better Life                Creating Long-term Value
and Lush Mountains
Enables the green             15   Creating a New Environment for      27   Drive the Continuous Improvement of        41
transformation of thousands        Comprehensive Development of             Corporate Governance Effectiveness
of industries                      Employees                                                                           44
                                                                            Continuously Improving Compliance
Building a Green and Low-     22   Building a New Ecosystem and        34   and Operational Systems
Carbon Operating System            Mutual Benefit for the Industry
                                                                            Building a Secure Barrier in the Digital   46
                                   Empowering a New Mechanism          36   Economy Era
                                   for Charitable Causes for Society
                                      Chairman's Message   About Yonyou   Feature Story   Environmental Chapter         Social Chapter        Governance Chapter        Future Purpose         Content Index
Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




Chairman's Message

                                                                                          In 2023, as the wave of technological innovation           foundational to our long-term healthy development,
                                                                                          surged forward, the era of AI's widespread application     establishing comprehensive management
                                                                                          based on large models heralded a shift in global IT        mechanisms and deepening technological innovation
                                                                                          technology and industry innovation from a cloud-           to fortify the security barriers of the digital economy
                                                                                          centric to an AI-centric new phase. This year, we          era.
                                                                                          diligently pursued our corporate mission to "use
                                                                                          creativity and technology to drive business and social     People-focused, we're painting a "new vision" for
                                                                                          progress," focusing on new patterns of business            a better life for the people. As an industry leader
                                                                                          innovation. We iteratively upgraded the "Great Power"      and a large, listed company, we earnestly undertake
                                                                                          YonBIP and launched the first enterprise service large     our mission and responsibility in the socioeconomic
                                                                                          model in the industry, YonGPT. This development            development process. Adhering to a people-centric
                                                                                          enables the creation of new productive forces and          approach, we strived to make our company a platform
                                                                                          new drivers of growth across a multitude of industries.    where "employees work happily, achieve success,
                                                                                                                                                     and share triumphs." We’ve built a multi-level,
                                                                                          Empowered by technology, we strive to become               multi-dimensional employee growth system, working
                                                                                          the "core force" driving a comprehensive                   together to create a better life. Focusing on business
                                                                                          green transformation of economic and social                development, we continuously attracted and gathered
                                                                                          development. We actively responded to the                  the powerful efficacy of our ecosystem partners to
                                                                                          national "dual carbon" strategy, seamlessly                create a thriving business environment. Leveraging
                                                                                          integrating environment, social and governance             our technological strengths, we built and continuously
                                                                                          (ESG) concepts with the innovation and upgrade of          improved an ecological model that empowers public
                                                                                          our products and services. Seizing the opportunity         welfare organizations with technology, constructing a
                                                                                          of our "industry-focused" strategic transformation,        branded public welfare project system to contribute to
                                                                                          we used innovations like "platform + dual carbon"          a better life for the people.
                                                                                          to provide precise green solutions to dozens of
                                                                                          industries, including steel metallurgy, chemicals          Unwavering and hopeful for the future, we firmly
                                                                                          and manufacturing, and civil aviation, powerfully          believe that our core values of "Friend of Users,
                                                                                          enabling a comprehensive green transformation              Continuous Innovation, and Professional Struggle"
                                                                                          of the economy and society. We also actively built         will endow Yonyou with greater confidence and
                                                                                          an environmentally friendly operational system,            motivation in an increasingly uncertain development
                                                                                          diversifying and deepening green operational               environment. We will persistently collaborate
                                                                                          practices, and striving to achieve "dual carbon" goals     with stakeholders, including ecosystem partners,
                                                                                          through our actions.                                       employees, and customers, to practice sustainable
                                                                                                                                                     development concepts. We'll fully explore the
                                                                                          By sticking to the right path and innovation, we           potential of technological innovation, ensuring digital
                                                                                          built a solid "stable foundation" for creating             intelligence succeeds in more enterprises and public
                                                                                          long-term value. In 2023, we restructured the              organizations, and continually contribute to the high-
                                                                                          Board's Strategic Committee into the Committee             quality development of the economy and society.
                                                                                          on Strategy and Sustainable Development, further
                                                                                          enhancing our company’s top-level ESG design
                                                                                          and elevating our ESG management level. Under this
                                                                                          new ESG framework, we more efficiently explored
                                                                                          best practices in modern corporate governance,
                                                                                                                                                                                         Wang Wenjing
                                                                                          continually enhancing the performance capabilities of                                         Chairman & CEO
                                                                                          our directors, supervisors, and senior management,                          Yonyou Network Technology Co., Ltd.
                                                                                          ensuring transparent information disclosure, and
                                                                                          focusing on key compliance operations. We've always
                                                                                          viewed data security and privacy protection as




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                                                 Chairman's Message              About Yonyou            Feature Story   Environmental Chapter         Social Chapter        Governance Chapter         Future Purpose         Content Index
Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




About Yonyou
                                                                                                                         Environmental, Social and Governance (ESG)
                                                                                                                         Management Framework
                                                                                                                         To comprehensively enhance our company's ESG governance level and strengthen our core competitiveness and
                                                                                                                         sustainable development capabilities, in 2023, we reorganized the Board Strategy Committee to the Board Strategy

Company Profile
                                                                                                                         and Sustainable Development Committee, which is now fully responsible for formulating and supervising the
                                                                                                                         company's strategy and sustainable development plans.

Founded in 1988, Yonyou Network Technology Co., Ltd. (Stock Code: 600588) is a global leading provider of digital        We establish a Sustainability Committee under the Group Executive Council, chaired by the Group CEO and
and intelligent services, software for enterprises and public organizations. Yonyou is continuously committed to         consisting of vice presidents from key positions. taking overall responsibility for the Company's environment,
using creativity and technology to promote business and social progress. Through the popularization of YonBIP            society and governance (ESG) work. Under the Sustainable Development Committee, there are subcommittees for
(Yonyou Business Innovation Platform), serving enterprises in their digital and intelligent transformation and           Product and Service Innovation Group, Green Operations Group, Social Harmony Group, Corporate Governance
business innovation, achieving success for millions of enterprises.                                                      Group, and Information Disclosure Group. Each group is responsible for advancing the Company's sustainable
                                                                                                                         development initiatives in their respective areas, ensuring the realization of the Company's long-term sustainable
YonBIP (Yonyou Business Innovation Platform), in terms of platform technology and application architecture, filed        development goals.
and industry applications, and ecosystem, has realized comprehensive breakthrough and innovation, achieving
a global leading level. Since its launch, it has been selected and applied by a number of industry-leading large
and medium-sized enterprises. It has become the preferred platform for digital intelligence construction for many                          Yonyou Environmental, Social and Governance (ESG) Management Framework
leading enterprises of various sizes in China and around the world, bringing unique value to enterprises, industries,
the economy, and society. It has been recognized by Chinese key central media as the "great power" for enterprise                                   We actively researched and proposed suggestions for the Company's long-term
digital intelligence.                                                                                                                               strategic development planning;

YonBIP is positioned as a digital intelligence business application-level infrastructure and a co-creation platform                                 We actively conducted studies and made recommendations on the Company's ESG
for the enterprise service industry. It provides innovative services covering 10 areas of enterprise production,             Board Strategy         strategies and objectives;
operation, and management, including intelligent finance, digital human resources, smart supply chain, intelligent          and Sustainable
                                                                                                                             Development            We actively scrutinized the progress of work implementation of ESG strategies and
procurement, intelligent manufacturing, digital marketing, digital and intelligent research, digital projects, digital
                                                                                                                              Committee             objectives, listened to the work report of the Company's President's Council and offer
and intelligent assets, collaborative office, and so on. It has accumulated nearly 100 leading enterprises' practices
                                                                                                                                                    feedbacks;
in business and management digital intelligence innovation in various sub-industries, enabling enterprises to
advance their digital transformation, become digital and intelligent enterprises, and move towards high-quality                                     We examined the Company's annual social responsibility report (ESG report) and
development.                                                                                                                                        provided opinions.

Yonyou adheres to the core values of "Friend of Users, Continuous Innovation, and Professional Struggle," and
create value for customers. Currently, Yonyou has over 230 branches, 3 major industrial parks, 9 innovation centers,            Executive           Responsible for the specific implementation of ESG matters, we reported to the Board
and more than 25,000 employees worldwide. In the future, Yonyou will collaborate with hundreds of thousands                    Sustainable          Strategy and Sustainable Development Committee on the execution of ESG strategies
of ecological partners and hundreds of millions of community individuals, making digital intelligence successful              Development           and decisions, and provided necessary information for the research and suggestions
in more enterprises and public organizations, helping enterprises develop with high quality, enabling industrial            (ESG) Committee         on ESG development.
upgrading, serving the national economic transformation, and contributing to the construction of the digital
economy.




        230                                                       100
                                                                                                                                                      Board Strategy and Sustainable Development Committee

over                                                     nearly
Branches worldwide                                       Innovative practices in sub-sector industries                                                  Executive Sustainable Development (ESG) Committee




      According to Gartner research, yonyou is the only Asia-Pacific manufacturer in the top 10 of the global
      ERP SaaS market, and the only Chinese enterprise SaaS manufacturer listed in the top 10 of the global                    Product
                                                                                                                                                       Green                                         Corporate              Information
      Application Platform Software, and ranks among the top 10 in the global Financial Management System                    and Service                                   Social Harmony
                                                                                                                                                     Operations                                     Governance               Disclosure
      (FMS) market and Enterprise Asset Management (EAM) market.                                                             Innovation                                        Group
                                                                                                                                                       Group                                          Group                    Group
                                                                                                                                Group
      According to IDC data, yonyou continues to lead the Chinese enterprise cloud service market, ranking first
      in the market share of Chinese application Platform as a Service APaaS, China's enterprise applying SaaS,
      and it has ranked first in the market share of super-large and large enterprises applying SaaS in China for
      many years in a row. It is a major brand of China's enterprise digital and intelligent service and independent
      innovation of software localization.
                                                                                                                                      Environmental                            Social                           Governance




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                                            Chairman's Message               About Yonyou              Feature Story   Environmental Chapter         Social Chapter         Governance Chapter            Future Purpose    Content Index
Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




Awards and Recognitions                                                                                                Social Responsibility Certifications
                                                                                                                       In 2023, Yonyou continued to promote the social responsibility work to be organized, professional and systematic,
               Granted By                                                Awards
                                                                                                                       completed the supervision and follow-up review of ISO 14001 (environmental management system), ISO 45001
 China Information Technology         2022 Top 100 Software and Information Technology Service                         (occupational health and safety management system), SA 8000 (social responsibility standard) and other
 Industry Federation                  Competitiveness Enterprises                                                      authoritative certifications, thereby solidifying our company's social responsibility management system.
                                      The 2nd prize of the National final Leader Group of "Industrial Internet +
 The 5th China Industrial Internet    Product Service solution" Competition
 Competition
                                      Most Commercial Value Award
                                      Top 10 of the Global ERP SaaS Market
                                      Top 10 of the Global Application Platform Software Market
 Gartner                              Top 10 of the Global FMS Market
                                      Top 5 of the Global EAM Market
                                      Magic Quadrant  for Cloud HCM Suites for 1,000+Employee Enterprises
                                      Top 1 of the China aPaaS Market Share
 IDC
                                      Top 1 of the China EA SaaS Market Share
 Hurun Research Institute             Hurun China IIoT Top 30 2023
 EDGE AWARDS                          Annual Best Enterprise Service Brand List
 People’s Daily Online               2022 "People's Craftsmanship Product Award"
 2022 Energy Annual Conference
 and 14th China Energy Enterprise     Energy Digital Intelligence Excellent Leading Enterprise Award
 Senior Forum
 EO Intelligence                      Top 60 Information and Innovation Manufacturers in China
 China Entrepreneur                   25 Influential Enterprise Leaders for 2023
 China Culture Administration         Benchmark units of party building and corporate culture in the new era
 Association                          1st Prize for Excellent Cases of Cultural Strong Enterprises
                                      Top 100 Enterprises in Digital Trade in 2023
                                      Top 25 Global Digital Technology Trade Innovation Enterprises in 2023
                                      Top 10 of the Global Enterprise Application Software Market
 CCID Consultant                      China PaaS Market Leaders Quadrant                                                                                                SA 8000 Certification
                                      New Generation Information Technology Innovation Products for 2022-2023
                                      Leading Enterprise in New Generation Information Technology for 2022-2023
                                      New Generation Information Technology Leaders for 2022-2023
 Dictionary of Data Management        Outstanding Product Award of Data Governance
 China Information Technology
                                      Famous Software and Information Technology Service Enterprises in 2023
 Industry Federation
 China Media Culture Promotion        Excellent Cases of Digital Intelligence Culture Typical Scenarios for Future
 Association                          Benchmark Enterprises in Intelligent Manufacturing in 2023
 China Light Industry Information     Advanced Demonstration Cases of Digital Transformation in the Consumer
 Center                               Goods Industry in 2023
 Kantar Group                         Top 100 Most Valuable Chinese Brands by Kaidu BrandZ in 2023
 China Academy of Information and     Outstanding contributors to the Integrated Platform as a Service (iPaaS)
 Communications Technology            series standards
 CHINA ASSOCIATION FOR PUBLIC
                                      Excellent Cases of Digital Transformation of Listed Companies in 2023
 COMPANIES
 2023 China International Big Data
                                      Excellent technological achievements in 2023
 Industry Expo
 Ministry of Industry and
                                      Ministry of Industry and Information Technology Industrial Internet
 Information Technology
                                      Security Real Network drill excellent Defense practice Enterprise
 Cybersecurity Administration
 Future Turing and Public Network
                                      Top 10 AI celebrity enterprises
 Poster News
 Koo Gallery                          2022 Huawei Cloud Store "Joint Venture Leap Award"                                                      ISO 14001 Certification                           ISO 45001 Certification




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                                                  Chairman's Message               About Yonyou              Feature Story     Environmental Chapter           Social Chapter         Governance Chapter         Future Purpose         Content Index
Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




Feature Story:                                                                                                                 Expanding Horizons and Incremental
                                                                                                                               Growth, Digitalization is No Longer a
Let Leading Practices Become Universally                                                                                       Distant Goal for Enterprises

Beneficial                                                                                                                     As a global leading enterprise of digital and intelligent software and
                                                                                                                               services, Yonyou has always adhered to the practice of 'creating new
                                                                                                                                                                                                                  As of the end of 2023



                                                                                                                                                                                                                  3.18
                                                                                                                               value through digitalization as the basis and intelligence', taking the
                                                                                                                               responsibility of 'Great Power Brand' to constantly exploring its own
                                                                                                                               potential for technological innovation. Over decades, Yonyou focused
                                                                                                                               on the actual needs of enterprise digital and intellectual development,            Million enterprises Yonyou Jingzhi
In this new era and journey, comprehensively advancing the construction of a powerful country and the great                    successively creating cutting-edge products including Yonyou BIP,                  Industrial Internet Platform had
rejuvenation of the nation through Chinese path to modernization is a crucial task. This is an essential path to               Yonyou Jingzhi Industrial Internet Platform, and Yonyou BIP Intelligent            served
                                                                                                                               Manufacturing Solutions. Collaborating with numerous enterprises to


                                                                                                                                                                                                                  1.44
shape new competitive advantages and a necessary choice to continuously meet the people's aspirations for a
better life. Adhering to the philosophy of "making leadership universally beneficial," creating a model for digital and        explore the best path for digital and intelligent transformation, we drive
intelligent transformation, and continuously extending leading practices to various industries and enterprises are             the deep application and development of industrial digital intelligence.
central to accelerating the digital and intelligent transformation process across numerous sectors. This approach is
                                                                                                                               In 2023, Yonyou launched the world's first integrated intelligent                  Million sets of industrial
the key to enabling every enterprise to gain diverse capabilities towards new industrialization.
                                                                                                                               manufacturing operations management platform (MOM) as the core                     equipment connected
Yonyou launched the first Enterprise Management Software (ERP) in 1997, and being the first in the industry to                 engine, providing industrial enterprises with an integrated production and


                                                                                                                                                                                                                  22,000
propose the concept of "Digital and Intelligent Transformation" (digitalization + intellectualization) in 2017. Yonyou         operations control platform. This platform assists enterprises in achieving
start building and operating the world-leading Business Innovation Platform (BIP), and iterative Yonyou BIP to                 full element linkage in production and full value chain integration, guiding
Yonyou BIP3 in 2022, and fully utilizing artificial intelligence in 2023 with the release of the industry's first enterprise   numerous industrial enterprises towards steady high-quality development.
service model, YonGPT. Yonyou focuses on the characteristics of the era and the actual needs of enterprises in the             By the end of 2023, Yonyou Jingzhi Industrial Internet Platform had                Public welfare apps accumulated
economic and social development, continuously enhancing the inclusiveness of digital intelligence technology                   served 3.18 million enterprises, connected 1.44 million sets of industrial



                                                                                                                                                                                                                  2,926
through technological innovation, helping thousands of enterprises to move steadily forward in the wave of digital             equipment, accumulated 22,000 public welfare apps and 2,926 industrial
intelligence.                                                                                                                  mechanism models, and united 6,600 ecological partners, continuously
                                                                                                                               maintaining its global leadership position.

                                                                                                                               Yonyou, recognizing the key role of intelligent manufacturing in the               Industrial mechanism models
                                                                                                                               process of new industrialization, has built the "Yonyou BIP Intelligent


                                        2017                                                      2023                                                                                                                   2,900
                                                                                                                               Manufacturing Solution based on the Industrial Internet" based on
                                                                                                                               decades of digital practice in the manufacturing sector. This solution
                                                                                                                                                                                                                  over
                                                                                                                               deeply integrates new generation information technology with advanced
       Launched the first                                        Iterate Yonyou BIP to                                         production management models, assisting enterprises in quickly                     Industrial models from Yonyou's
     Enterprise Management                                            Yonyou BIP3                                              developing key core capabilities needed for intelligent manufacturing.             Jingzhi Industrial Big Data Center
         Software (ERP)                                                                                                        Additionally, addressing pain points in industrial production digitalization,
                                    Propose the concept                                                                        such as significant industrial differences, inefficiencies in industrial supply
                                  of "Digital and Intelligent                                                                  chains, and mismatches between on-site management and information
                                 Transformation" and start                                    Release the industry's           systems, Yonyou's solution, including technologies and services like
                                 building and operating the                               first large enterprise service       Industrial Internet Identification Resolution and Intelligent Operation
                                   world-leading Business                                              model                   Platforms, helps enterprises build an intelligent production platform that


           1997                                                      2022
                                     Innovation Platform                                                                       connects across companies, disciplines, and systems. It achieves a digital
                                         ——YonBIP                                                                            twin encompassing all elements, the entire industrial chain, and the entire
                                                                                                                               value chain, driving production operations with industrial big data and
                                                                                                                               reshaping high-quality enterprise competitiveness through digital and
                                                                                                                               intelligent innovation. By the end of 2023, Yonyou's Jingzhi Industrial Big
                                                                                                                               Data Center had aggregated billions of data points from a million industrial
                                                                                                                               enterprises and developed over 2,900 industrial models.




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                                                  Chairman's Message              About Yonyou              Feature Story     Environmental Chapter          Social Chapter           Governance Chapter        Future Purpose          Content Index
Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




                                                                                                                              In July 2023, Yonyou released the industry's first enterprise service model, YonGPT, which is an important
                                                                                                                              component of Yonyou BIP, it is compatible with the industry's mainstream general-purpose language models. By
                                                                                                                              providing general capability services, field services, and industry services, YonGPT achieves enterprise intelligence
                                                                                                                              in four aspects: business operations, human-computer interaction, knowledge generation, and application
                                                                                                                              generation.



                                                                                                                              YonGPT is centered around "intelligent business operations," "natural human-computer interaction," "smart
                                                                                                                              knowledge generation," and "semantic application generation," constructing a "large model that better
In July 2023, Yonyou was invited to attend the 2023 Global Digital Economy Conference co-hosted by the People's               understands enterprise services." It offers pervasive intelligence and intelligent applications throughout the entire
Government of Beijing Municipality, the National Development and Reform Commission, the Ministry of Industry                  value chain and all scenarios, deeply integrated into the customer's business forefront.
and Information Technology, and the Ministry of Commerce. Yonyou exhibited its data intelligence solution based
on "Industrial Big Data + AI". This solution leverages big data technology and the latest generation of AI technology,
integrating with the entire industrial lifecycle business scenarios. It unlocks the value of industrial big data, assisting
manufacturing enterprises in developing core capabilities like rational production scheduling, optimization of
                                                                                                                                   Intelligent Business Operations                             Natural Human-Computer Interaction
ingredients, and quality diagnosis, making production simpler, quality more stable, costs lower, and decision-
making more scientific.                                                                                                            YonGPT, with its powerful data analysis and                 Through its powerful natural language processing
                                                                                                                                   forecasting capabilities, offers deep insights              and understanding capabilities, YonGPT enables
                                                                                                                                   into enterprise operations, identifies potential            enterprise applications and services to engage in
                                                                                                                                   business risks and opportunities, and                       natural and smooth dialogues with users. It adopts

Focusing on the Forefront, Large Models Make                                                                                       provides intelligent solutions. This enhances
                                                                                                                                   the level of business decision-making and
                                                                                                                                                                                               a human-centric approach to invoke, connect, and
                                                                                                                                                                                               assemble different applications, accomplishing
Digital and Intelligent Innovation More Accessible                                                                                 operational efficiency.                                     tasks more naturally and efficiently.

Currently, artificial intelligence is driving widespread technological transformations and industrial reshaping
worldwide. The generative artificial intelligence based on large models has garnered significant attention in
the industrial sector. Establishing industry-specific large models and accelerating their deep integration with
various industries have become crucial measures for empowering industry optimization and upgrading, driving a                      Smart Knowledge Generation                                  Semantic Application Generation
comprehensive leap in productivity. It also serves as one of the vital drivers for genuinely promoting the widespread
                                                                                                                                   YonGPT extracts and integrates knowledge                    By understanding user needs, business
benefits of digital and intelligent technology, helping enterprises to develop core technologies in the digital
                                                                                                                                   from vast amounts of data and information,                  operations, and data characteristics, YonGPT
economy era.
                                                                                                                                   generating new and valuable knowledge                       can autonomously generate semantically
Yonyou initiated the training of a large enterprise service model at the beginning of 2023, leveraging its leading                 content. This includes industry solutions and               capable applications, significantly enhances
and comprehensive system of enterprise software and service products, a customer base spanning millions across                     expertise sharing, helping enterprises and                  the efficiency of creating personalized
dozens of industries, and 35 years of accumulated industry knowledge and experience serving enterprise clients.                    users fully utilize their knowledge reserves                application services for enterprises.
Yonyou's artificial intelligence team, utilizing a vast amount of business application data, along with enterprise                 and promoting the dissemination and
application scenarios and field expertise, has labeled a substantial volume of enterprise service corpus data. This                application of knowledge.
process has generated an extensive range of training materials for the enterprise service model, integrating business
knowledge and field experience into the model, ensuring its professionalism, practicality, and leading edge




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                                                Chairman's Message              About Yonyou              Feature Story   Environmental Chapter         Social Chapter        Governance Chapter         Future Purpose         Content Index
Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




                                                                                                                          In November 2023, Sinochem and Yonyou Recruitment Cloud deepened their collaboration, integrating intelligent
                                                                                                                          recruitment based on YonGPT, focusing on the "talent discovery" scenario. They delved into the existing talent pool
                                                                                                                          according to job requirements, intelligently recommending highly matched candidates. Additionally, leveraging
                                                                                                                          YonGPT's autonomous learning ability, the system optimizes recommendation rules based on the preferences of
                                                                                                                          recruitment personnel, continuously enhancing the precision of job-candidate matching.



                                                                                                                          By the end of 2023, numerous large enterprises, including Sinochem, XCMG Group, HUAYOU COBALT, and SZYD
                                                                                                                          had successively integrated YonGPT. Together with Yonyou, they are exploring a new era of digital intelligence
                                                                                                                          development for enterprises in the digital economy era.




                                                                                                                                  "Yonyou will continue to iterate and train YonGPT, and constantly enrich various enterprise
                                                                                                                                  services based on the large model. We hope to continuously empower our customers' digital
                                                                                                                                  and intelligent construction and operation through innovative products and services, making
                                                                                                                                  digital and intelligent success in more enterprises and public organizations in China and
                                                                                                                                  globally."


                                                                                                                                                                                                               ——Wang Wenjing
YonGPT has innovatively developed dozens of intelligent applications powered by the enterprise service large
model, including business insights, intelligent order generation, supplier risk control, dynamic inventory
optimization, intelligent talent discovery, intelligent recruitment, intelligent budget analysis, intelligent travel
expense control, and code generation. Moreover, YonGPT, targeting complex industry application scenarios, can
also provide more proficient intelligent scene services through fine-tuning of industry models.




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                                               Chairman's Message              About Yonyou   Feature Story   Environmental Chapter   Social Chapter   Governance Chapter   Future Purpose   Content Index
Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




Environmental:
Guarding Lucid Waters
and Lush Mountains
Promoting the comprehensive green transformation of economic and
social development is integral to grasping the new development stage,
implementing new development concepts, building a new development
pattern, and driving high-quality development. It is an inevitable choice
for the comprehensive construction of a modern socialist country. In
recent years, from the issuance of documents such as the Working
Guidance for Carbon Dioxide Peaking and Carbon Neutrality in Full and
Faithful Implementation of the New Development Philosophy , to the
Action Plan for Carbon Peaking Before 2023 , provinces nationwide have
been comprehensively formulating and advancing implementation plans.
Additionally, various departments have successively introduced "dual
carbon" action plans for key fields and industries. With top-level designs
above and implementation paths below, China has established the "1+N"
policy system for carbon peaking and neutrality, outlining a construction
blueprint for achieving the "dual carbon" goals.

As a global leader in enterprise digital intelligence software and services,
Yonyou focuses on strategic planning in the "dual carbon" field. We fully
integrate environmental, social, and governance concepts with innovation
in products and services. Utilizing our rich digital intelligence service
capabilities, we continuously explore sustainable solutions that support
the green transformation of various industries. Simultaneously, we actively
deepen the construction of an environmentally friendly operational
system and mechanism, implementing a series of high-quality practices to
address climate change, thereby actively protecting our lucid waters and
lush mountains with practical actions.




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                                               Chairman's Message            About Yonyou             Feature Story   Environmental Chapter         Social Chapter        Governance Chapter          Future Purpose         Content Index
Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




Enables the green transformation
of thousands of industries

Continuously Improve Top-Level Design
Yonyou focus on significant green development plans, including the 14th Five-Year Plan for Industrial Green
Development , integrating the concrete requirements for green development with the formulation of the
Company's development strategy. Centering around the decisive role of digital intelligence in promoting the green
transformation across all industries, we have established a working mechanism led by the Board of Directors'
Strategic and Sustainable Development Committee. This mechanism involves the Sustainable Development (ESG)
Committee, under the Group President, responsible for formulating implementation plans, and the Sustainable
Development (ESG) Coordination Groups of each business line, in charge of executing these plans. This ensures our
sustainable solutions powerfully enable the green transformation of various industries.



                                                   We regularly held ESG thematic seminars to analyze and
                                                   identify major green development issues highly relevant to                                     YonBIP's Sustainable development application architecture
                           Board Strategy          the Company's strategic development.
     Identification       and Sustainable
      and Decision         Development             We actively guided and supervised the research and
                            Committee              formulation of the Company's strategic planning related
                                                   to clean technology development with identified green
                                                   development issues.


                                                   Under the guidance of the Board's Strategy and Sustainable
                                                   Development Committee, and in line with the cutting-edge
                             Executive             trends in clean technology development, we designed and
      Planning
                           Sustainable             planned innovative product and service solutions within the
        and
                        Development (ESG)          "dual carbon" target framework.
     Supervision
                            Committee
                                                   We actively formulated a carbon reduction strategy for the
                                                   Company, organizing research related to goal setting.


                                                   We proactively established specialized coordination groups
                                                   such as the Product and Service Innovation Group and
                           Business Line           Green Operations Group. Guided by the strategic plans
                            Sustainable            and deployments of our decision-makers, we developed
 Implementation
                           Development             and ensured the implementation of these plans, aiding in
  and Execution
                        (ESG) Coordination         the green transformation of our customers' and ecological
                              Groups               partners' businesses and management. Simultaneously,
                                                   we promoted the practical application of green operation
                                                   measures across the Company.



In 2023, we further explored the core role of digital and intelligent technology in achieving intensive, energy-      In August 2023, Yonyou launched its sustainable development solution – Yonyou ESG Cloud at the 2023 Global
saving, and environmentally friendly production and services. Utilizing "platform + dual carbon" and other clean      Business Innovation Conference. This solution is characterized by a strong correlation between business, finance,
technology innovations and applications, we built industry-oriented, one-stop sustainable development solutions,      materials, and carbon, and integrates all these elements, is natively integrated with Yonyou BIP and leverages
supporting steady progress in green transformation across all industries. Additionally, we explored and established   advanced technologies from the BIP such as IoT, big data, cloud computing, blockchain, AI, and edge computing.
a mechanism to identify customers with sustainable development goals, offering targeted sustainable solutions         This allows businesses and organizations to accurately calculate and manage carbon emissions, also provides
to key customers in green transformation, including high carbon-emitting enterprises, continually contributing to     third-party ESG-related organizations with traceable, verifiable, auditable, certifiable, and trustworthy data and
solving the challenges and difficulties faced by enterprises in their green transition.                               processes.




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Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




Iterative Upgrade Implementation Plan
Entering the stage of high-quality development, promoting industrial innovation through technological innovation,
especially by fostering new industries, new models, and new dynamics with disruptive and cutting-edge
technologies, and developing new quality productivity, have become the core themes of the new era. In 2023, we
further explored the crucial role of enterprise digitization transformation and digital business innovation in driving
our own green transformation process. Relying on the largest organizational reform in the Company's history, while
collaboratively accelerating digital and intelligent business innovation with customers and partners, we precisely
identified the pain points and challenges of the industry's green transformation. Utilizing industry-specific green
development solutions, we effectively propelled the sustainable, green, and low-carbon business models of various
industries into the "fast lane."


                      We actively focused on the global energy transition trend of "low-carbon and clean energy", and guided by
                      the concept of "Green Network, Digital Intelligence Driven", we consider the digital transformation of energy
      Energy
                      enterprises as our core strategy. We have developed the Yonyou BIP solution for the energy industry, leveraging
                      digital intelligence technology to drive the green and low-carbon transformation of energy enterprises.



                      We actively focused on the key aspect of carbon emission management in civil aviation — jet fuel usage.
                      Relying on Yonyou BIP, we have created an "Airline Intelligent Fuel Saving & Carbon Emission Reduction" smart
      Aviation        data analysis platform for airlines. We provided comprehensive data-driven solutions, assisting airlines in
                      implementing precise carbon emission data collection, automatically generating carbon emission monitoring
                      reports, and comprehensively monitoring fuel-saving targets, effectively promoting green aviation.                        In April 2023, we launched a new generation of smart energy solutions tailored to the digital transformation needs
                                                                                                                                                of industries such as coal, coal chemical, power, new energy, and oil and gas. With a focus on carbon measurement,
                                                                                                                                                control, and energy-saving and carbon-reduction requirements in the energy sector, we utilized smart technology
                     We redefined the technological approach to scrap steel grading, decomposing and managing the software system,
                                                                                                                                                as the foundation. We seamlessly integrated carbon research, commitment, taxation, measurement, footprint, and
                     grading rule models, deep learning models, image acquisition, and hardware network. By utilizing large-scale
                     artificial intelligence models, we significantly enhanced the efficiency and quality of scrap steel identification.
                                                                                                                                                energy-saving and carbon-reduction utilization into the business system, promoting optimization of production
                                                                                                                                                technology and the establishment of a green, low-carbon system, strongly support the " dual carbon" goals.
                     At the end of 2023, Yonyou BIP Scrap Steel Intelligent Grading 3 has served more than 40 global steel companies
                     and scrap steel recycling enterprises, including Ansteel Group, Jiyuan Iro&Steel, Jingye Group, Xinyang Vanadium
                     Titanium Steel , Minyuan Steel Group, Zongheng Iron and Steel, Nanjing Iron&Steel Group, Baode Iron and Steel,
                     Xingcheng Special Steal, Zhongshu Special Steel, Hangzhou Iron&Steel Droup, Longteng Special Steel, Yaxin Iron and
       Steel
                     Steel, Sanbao Iron and Steel, Tokyo Trading, etc., with a cumulative sales of 248 sets, a cumulative intelligent grading
     Metallurgy      of 311,000 vehicles, and 5.65 million tons of scrap steel, with an accuracy rate of over 96%. Yonyou BIP has become
                     the domestic scrap steel intelligent grading system with the highest number of contracts, the most intelligent
                     grading vehicles, the highest acceptance quantity, and the best industry reputation. While helping companies reduce
                     procurement costs, it has promoted the level of green circular development to a new level.
                     The "Scrap Steel Intelligent Grading Solution Based on Industrial Internet Platform" has continued to serve more
                     than 40 steel companies and scrap steel recycling enterprises, with a cumulative cost reduction and efficiency
                     improvement of tens of millions of yuan, and has helped reduce carbon dioxide emissions by 9.04 million tons.



                     We actively focused on the transformation and upgrading of key enterprises and the improvement of
                     green manufacturing systems. Using "Smart+" as our approach, we concentrate on constructing intelligent
 Chemicals and
                     management, operations, factories, and industrial internet for chemical and paper enterprises. This helps
 Papermaking         businesses fundamentally achieve energy conservation, consumption reduction, quality improvement,
                     efficiency enhancement, and environmental protection through emissions reduction.



                     We actively respond to the strategic deployment of building a beautiful China, firmly embracing the concept
                     that "lucid waters and lush mountains are invaluable assets." Leveraging our advanced technological
                     capabilities, we robustly support pollution control enterprises in their quality improvement and upgrades,
 Environment         continuously contributing to the sustained enhancement of ecological and environmental quality.
  Protection         By the end of 2023, we had formed collaborations with 168 environmental protection enterprises, with a total
                     investment in related technology development reaching 116 million yuan. It is projected that by the end of                 Achieving full-process perception, measurement, and insight in the supply chain is a crucial aspect of building a
                     2024, the revenue generated from collaborations with environmental protection enterprises will have grown by
                                                                                                                                                green supply chain and attaining sustainable development in the energy industry. In March 2023, we launched a
                     18% compared to 2023.
                                                                                                                                                digitalized procurement and supply chain solution for the energy sector. This solution offers an integrated digital
                                                                                                                                                approach across four dimensions: intelligent procurement, material supermarket, supply chain collaboration,
                                                                                                                                                and integrated warehousing and distribution. It empowers three core metrics: cost, efficiency, and reliability. This
1. Scrap steel is a green resource and the only alternative to iron ore for steelmaking, making it of great environmental                       initiative aids businesses in optimizing procurement management costs, enhancing supply chain collaborative
   value to the steel industry.                                                                                                                 efficiency, and achieving a green and low-carbon transformation in the supply chain system.


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Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




Based on Yonyou BIP Intelligent Fuel Saving & Carbon Reduction Data Analysis Platform, Chengdu Airlines has
successfully established a fuel data visualization platform. Leveraging 35 visual data analysis interfaces, the
platform handles over 500 million data points, resulting in an annual saving of more than 3 million yuan in aviation   In February 2023, we collaborated with Minyuan Steel Group to construct the " 5G + ultra-low emission fugitive
fuel costs.                                                                                                            emission management, control and governance integrated platform". This collaboration aided Minyuan Steel
                                                                                                                       Group in accomplishing the ultra-low emission transformation and assessment monitoring required by the China
                                                                                                                       Industrial Association. It was also selected as the fifth batch of "green factories" by the Ministry of Industry and
                                                                                                                       Information Technology of China.




Focusing on enhancing urban wastewater and sewage treatment capabilities, we collaborated with Jiangsu
Pengyao Environmental Protection Group to build a digitalized water operation management platform centered on
sewage treatment in 2023. This platform achieves controllable, visible, perceivable, and predictable water station     In February 2023, we collaborated in the Jiyuan Iron&Steel Group "5G+ Innovative Application to Assist Energy
data; can effectively addresses long-standing pain points such as multiple sites, difficult management, high costs,    Saving and Emission Reduction in the Steel Industry" project, and won the first prize in the "Smart Energy Special
low efficiency, multiple platforms, and scattered data. This initiative significantly boosts the efficiency of urban   Competition" of the Ministry of Industry and Information Technology's "Blossom Cup" 5G Application Contest for
sewage treatment for businesses.                                                                                       the fourth season.




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Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




                                                                                                                      Building a Green and Low-Carbon
Furthermore, as a global leader in cloud services, we continuously deepen the pivotal role of cloud service
technology in aiding energy conservation and consumption reduction, committed to implementing the "dual



                                                                                                                      Operating System
carbon" goals with our partners.




                                                                                                                    Steadily Promotion
                                                   YonBIP
                                              Procurement Cloud                                                     We have long upheld the principles of green, environmental protection, and intelligence. We continuously explore
                                                                                                                    green and low-carbon management and operational mechanisms that align with our Company's actual situation,
                                                                                                                    constantly improving the execution and supervision of related objectives. This ensures that our green operation
                                                                                                                    management plans are effectively implemented, steadily advancing the company towards the "dual carbon" goals.
                                                                                                                    In 2023, we invested more than 9 million yuan in environmental protection funds, which were used for key tasks
                                                                                                                    such as optimizing garbage classification and collection, upgrading and retrofitting energy-saving equipment, and
                                                                                                                    promoting environmental protection culture, achieving good results.

                                    YonBIP                          YonBIP                                          In 2022, under the guidance of the Group's Sustainable Development (ESG) Committee, the Company's Green
                              Collaborative Cloud                  Tax Cloud                                        Operation Working Group compiled and published the Carbon Peak Implementation Plan of Yonyou Industrial
                                                                                                                    Park . In 2023, we took active measures and solidly advanced the relevant work according to the established goals,
                                                                                                                    achieving commendable results.




                                                                                                                                       Yonyou Industrial Park (Beijing) will achieve carbon peak by 2030 (coverage category 1 and
                                                                                                                                       2) and carbon neutrality by 2060.
                                                                                                                      Overall Goal




                   By the end of 2023, there have been 468,000 enterprises registered on YonBIP procurement                                                                                                         The status of goal
                   cloud supply platform, 139 large and medium-sized enterprises rely on YonBIP procurement                                              Goals                           2023 Progress
   YonBIP                                                                                                                                                                                                             achievement
                   cloud to achieve 25,000 online bidding, 23,000 participating suppliers, and 50.6 billion yuan
Procurement
                   in winning bids. 708 large and medium-sized enterprises relying on procurement cloud have                                                                         In 2023, the park began
    Cloud                                                                                                                              Yonyou Industrial Park (Beijing) will
                   achieved 983,000 online inquiries, 118,000 participating suppliers, and 827.6 billion yuan in                                                                     using green electricity
                                                                                                                                       achieve green power accounting
                   winning bids; A total of 50 million yuan of travel costs has been saved.                                                                                          for the first time, totaling
                                                                                                                                       for not less than 50% of total power
                                                                                                                                                                                     2,500 megawatts, which
                                                                                                                                                                                                                      In progress
                                                                                                                         Green         consumption no later than 2025, and
                                                                                                                         Energy                                                      accounted for 6% of its
                                                                                                                                       green power coverage of 100% by 2030.
                                                                                                                                                                                     total electricity usage.

                   By the end of 2023, YonBIP Collaborative Cloud has served more than 2.15 million enterprises                                                                      In 2023, the park's western
                   and organizations, of which the "You Space" collaborative platform built based on YonBIP                            Yonyou Industrial Park (Beijing) will
                                                                                                                                                                                     and central areas used a
   YonBIP          collaborative cloud has served more than 10,000 large and medium-sized customers, 120,000                           realize that the proportion of reclaimed
                                                                                                                                                                                     total of 59,781 cubic meters
Collaborative      paid enterprise customers, and more than 22.6 million end users. It has been selected as the                        water used for green land irrigation will
                                                                                                                                                                                     of recycled water. Plans
    Cloud          office product catalog recommended by more than 30 provincial and municipal governments,                            not be less than 50% of the total water
                                                                                                                                                                                     are underway to extend
                                                                                                                                                                                                                      In progress
                   and has become an important tool to comprehensively promote "paperless" office and                     Water        consumption no later than 2023, and
                                                                                                                                                                                     recycled water usage to the
                   promote resource conservation.                                                                                      100% reclaimed water coverage will be
                                                                                                                                                                                     eastern area of the park in
                                                                                                                                       achieved no later than 2024.
                                                                                                                                                                                     2024.

                                                                                                                                                                                     In 2023, all shuttle buses
                                                                                                                                       Yonyou Industrial Park (Beijing) will         were replaced by electric
                   By the end of 2023, we have provided more than 82,000 tax-paying enterprises with tax-related,
                                                                                                                                       realize the overall replacement of fuel       vehicles, and routes were
   YonBIP          invoice-related and electronic accounting archiving services, with 309 million electronic
  Tax Cloud        invoices issued, 214 million invoices received, and 9 million electronic accounting vouchers,
                                                                                                                                       shuttle buses no later than 2025, and         adjusted in real-time based      Completed
                                                                                                                        Green          achieve 100% new energy shuttle bus           on passenger occupancy
                   has achieved a cumulative carbon reduction of 532 tons.                                            Commuting        coverage.                                     rates to minimize resource
                                                                                                                                                                                     wastage.




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Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




Optimized Management
We integrated the concepts of green, environmental, and intelligent operation throughout the construction and
operational processes of our three major industrial parks in Beijing, Nanchang, and Sanya. This approach involves
fully protecting the native ecological environment while employing new energy-saving and environmentally
friendly technologies and materials, such as ground source heat pumps, energy storage, rainwater harvesting,
energy-saving masonry blocks, and solar landscape lighting. These initiatives promote the application of a circular
economy in the parks, significantly reducing waste emissions and effectively enhancing the level of green and low-
carbon operation and management. In 2023, aligning with the natural environmental features of the industrial
park's location and its actual operational requirements, we specifically implemented several green operation
projects, receiving widespread acclaim.



 Industrial Park                         Main Tasks                                      Achievement
                       Energy System Renovation: We invested 7.28  Following the renovation, the park's
                       million yuan to implement the first phase of     energy supply system showed significant
                       the ground source heat pump and ice storage      energy-saving effects, achieving physical
                                                                                                                           In 2023, we focused on enhancing employee experience and reducing operational carbon footprint, fully
                       central air conditioning renovation project.     energy savings of 1.078 million kWh, with a
                                                                                                                           implementing the BIP Expense Control and Business Travel Platform. Throughout the year, a total of 227,000
                       This involved replacing the heat pump units      comprehensive energy-saving percentage
                                                                                                                           reimbursement documents were automatically and intelligently generated, accounting for 55.6% of all
                       and circulating water pumps at the energy        of 21.66%. During the 2022-2023 heating
                                                                                                                           reimbursement documents. This saved 49,000 hours of reporting time. Concurrently, it conserved 668,000 sheets
                       station, upgrading the energy storage system     season and the 2023 cooling season,
                                                                                                                           of printing paper, equivalent to a reduction of 1.35 tons in carbon emissions. The digital employee independently
                       to water storage, and refurbishing the interior  compared to the conventional water-
                                                                                                                           audited 133,000 documents (unmanned mode), accounting for 32.5% of the total documents. Intelligent audit
                       of the cooling tower along with upgrading the    cooled unit cooling method of gas boilers,
         Yonyou                                                                                                            checks were executed on 10.56 million checkpoints (5.21 million in business management and 5.35 million in
     Industrial Park   electrical automation equipment.                 the energy supply system reduced carbon
                                                                                                                           invoice compliance), saving 41,000 hours in auditing time.
        (Beijing)                                                       dioxide emissions by 2,087.6 tons.
                       Lighting and Energy Consumption
                       Management Optimization: We actively             The lighting renovation and energy
                       continued to advance the transformation of       consumption management optimization

                                                                                                                           Strengthening Concept
                       traditional lighting, replacing 500 energy-      achieved more than a 30% energy saving
                       saving LED lights within the year; we also       compared to the previous year.
                       replaced 15 high-energy-consuming water
                       heaters with energy-efficient ones and                                                              We fully implement the new development concept, actively advocating, and encouraging our employees to apply
                       descaled the water heaters quarterly to                                                             green and environmentally friendly principles in their work and daily lives. In 2023, we organized our employees
                       enhance their efficiency.                                                                           to participate in activities such as tree planting festivals and eco-friendly hiking, working together with every staff
                                                                                                                           member to jointly protect our beautiful home.
                       Intelligent Operation for Heating and              In 2023, this system achieved an electricity
                       Cooling: Enhanced efficiency in the use            saving of 567,192 kWh, reducing carbon
                       of ground source heat pumps and energy             dioxide emissions by 372.6 tons.
                       storage central air conditioning, significantly
                                                                          In 2023, the photovoltaic power generation
                       reducing energy consumption generated by
                                                                          reached 419,736 kWh, reducing carbon dioxide
                       traditional energy methods.
                                                                          emissions by approximately 253.53 tons.
                       Photovoltaic Power Generation:
         Yonyou                                                        In recent years, related projects have
                       Strengthened the capacity of the photovoltaic
     Industrial Park                                                   successively been recognized as Jiangxi
                       power station in the park, steadily increasing
       (Nanchang)                                                      Province's Renewable Energy Application
                       the proportion of clean energy.
                                                                       Demonstration Project, Green Building
                                                                       Design Identification Two-Star Building,
                                                                       Jiangxi Province Quality Construction
                                                                       Project Award, and the Ministry of Housing
                                                                       and Urban-Rural Development's Green
                                                                       Construction Science and Technology
                                                                       Demonstration Project.
                       Energy Substitution and Consumption            The project has been awarded the
        Yonyou         Reduction: The park adopted a solar water      Hainan Province Green Building Design
     Industrial Park   heating system and installed external shading  Identification Two-Star Building.
        (Sanya)        devices on building facades to reduce energy                                                             In March, June, and October of 2023, we organized online and offline environmental protection activities,
                       consumption in buildings.                                                                                                                with over 3000 employee participations.




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Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




Social:
Co-Creating a Better
Life
Opinions of the Central Committee of the Communist Party of China
and the State Council on Promoting the Development and Growth of the
Private Economy state: The private economy is a vital force in advancing
Chinese path to modernization and a significant foundation for high-
quality development. It is an important power in fully building a modern
socialist country and achieving the second Centenary Goal. Promoting
stable employment, driving industrial chain development, focusing on
common prosperity, and actively fulfilling social responsibilities are
the inherent duties of private enterprises, especially large listed private
enterprises, in aiding high-quality development and helping the people
better share the fruits of economic growth.

Yonyou is keenly aware of its mission and responsibility in the process
of high-quality economic and social development. Centering on people,
we implement multiple measures and dimensions to create talent
development channels, comprehensively enhancing employee capabilities
and helping them realize greater value. We continue to cultivate industry
ecosystems, working together with a broad range of stakeholders to
build a prosperous business environment. Relying on our advantageous
technological strength, we empower social welfare with practical actions,
contributing to the digital transformation of public welfare undertakings.
By deepening our focus on social responsibility, including the protection
of commercial cultural heritage and employee volunteer activities, we
deeply commit to our corporate social responsibilities in the new era. With
the sense of responsibility of a "Great Power Brand," we contribute to the
people's pursuit of a better life.




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                                                   Chairman's Message              About Yonyou              Feature Story   Environmental Chapter         Social Chapter          Governance Chapter           Future Purpose          Content Index
Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




Creating a New Environment for
                                                                                                                                   Campus Recruitment


Comprehensive Development of
                                                                                                                               In 2023, we continued our campus recruitment efforts, utilizing both online and offline methods for
                                                                                                                               promoting to students, contributing to broaden employment channels for fresh graduates.


Employees                                                                                                                      We held the 2023 Spring Campus Recruitment "Youwei Youth Sharing" and "Interviewer Answering
                                                                                                                               Questions"; held online lectures such as the 2024 Autumn Campus Recruitment "Q & A Special Session for
                                                                                                                               High Potential Batch", " Seniors Special Session for High Potential Batch", "Q&A Special Session for Advanced
                                                                                                                               Batch", "Senior Special Session for Advanced Batch" and other online lectures have been watched 36,011
                                                                                                                               times online, and the number of school recruits reached 871 in 2023.

Talent Attraction                                                                                                              In 2023, we actively promoted school-enterprise cooperation, holding our inaugural school-enterprise
                                                                                                                               exchange meeting. This aimed to advance the integration of industry and education, collectively exploring
Yonyou strictly complies with laws and regulations such as the Labor Law of            In 2023,                                talent cultivation and school-enterprise cooperation in the context of digital and intelligent transformation.
the People's Republic of China and the Labor Contract Law of the People's                                                      Nearly a hundred teachers from Project 211 key universities and colleges attended the meeting, including


                                                                                       34.0
Republic of China , continuously advancing Yonyou's vision of a platform                                                       several secretaries and deans.
where "employees work happily, achieve career success, and share in
                                                                                                      %                        We actively explored various modes of school-enterprise cooperation, providing colleges with students'
success", we established a system structure composed of Yonyou Group
                                                                                                                               practice training bases, establishing joint laboratories, setting up in-school scholarships, and conducting
Recruitment Management Rules and Yonyou Group Intern Management                        Female employees
                                                                                                                               specialized lectures at universities, etc. These efforts aim to help universities cultivate high-quality talents
Rules , etc. , forming a complete talent attraction mechanism, and building a


                                                                                       1,192
                                                                                                                               with strong theoretical and practical abilities.
compliant, harmonious and equal employment system.
                                                                                                                               In 2023, we established in-depth school-enterprise cooperation with nearly 30 universities, including
We are committed to treating all candidates fairly and justly, with no
                                                                                                                               Tsinghua University, Harbin Institute of Technology, Beijing University of Aeronautics and Astronautics,
discrimination based on race, skin color, religion, gender, age, disability,           Employees from minority groups
                                                                                                                               Beijing University of Posts and Telecommunications, Renmin University of China, Central University of
marital status, nationality, ethnicity, or any other legally protected status.


                                                                                       5,719
                                                                                                                               Finance and Economics, Northeastern University, Dalian University of Technology, Dalian Maritime University,
We firmly oppose and prohibit any form of child labor and forced labor.
                                                                                                                               Hebei University of Technology, and Taiyuan University of Technology, etc., supports the training and
Upholding equality and diversity in our recruitment process, we support the
                                                                                                                               employment of university talents.
career development of female and minority employees, this approach helps
attract outstanding talents from various backgrounds and skills, thus building         New employees recruited through
a competitive team. In 2023, female employees accounting for 34.0% of the              diversified recruitment channels
total workforce, and 1,192 employees from minority groups.

We build and continuously improve the Company's employer brand
communication matrix, convey real employer information and employee
experience to potential employees through various social communication
channels. We engage in diverse forms of cooperation with universities,
promoting our employer brand to fresh graduates and attracting outstanding
young talents and help the Company improve the quality and efficiency of
recruitment. In 2023, we recruited a total of 5,719 new employees through
diversified recruitment channels, and provided internships for 5,132 interns.



         Social Recruitment
     Based on business development and team requirements, we formulate clear talent acquisition plans,
     regularly assess and adjust our talent acquisition strategies to ensure the process is scientific and efficient.

         Diverse recruitment channels: We carried out multi-channel recruitment through job websites, social
         media, talent markets, and more, continuously attracting excellent talent to enhance and expand the
         Company's talent pool.
         Diversity in talent backgrounds: We extensively recruited employees with diverse backgrounds,
         cultures, and skills to increase the team's diversity and innovativeness; we deeply implemented the
         introduction of overseas talents, providing strong support for the Company's globalization business.
         Interviewer empowerment certification: We established competency standards for interviewers,
         standardized the interview process and criteria, and comprehensively improved the professionalism and
         expertise of interviewers. It became mandatory for interviewers to be certified for their role. During the
         year, a total of 2,478 people obtained interviewer certification.
                                                                                                                                                              Yonyou 2023 School-Enterprise Exchange Meeting




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Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




                                                                                                                          Development Channels
Talent Development
                                                                                                                          We earnestly practice the value of "professional struggle", implement the "multi-channel" development mechanism
                                                                                                                          for employees to achieve separate development pathways for the management line (M series) and the professional
Staff Training                                                                                                            line (P series). In 2023, we continued to optimize the “fast lane” development policy, offering broader
                                                                                                                          development opportunities for talented individuals. Simultaneously, we introduced several new job series in our
In 2023, we continued to optimize our employee development policies,                 In 2023,                             professional development system, clearly defining the developmental path and job requirements for each series,
constantly strengthening the institutional foundation of Yonyou's talent                                                  providing more accurate and comprehensive guidance for the development of employees' professional ability.


                                                                                     174
system. During the year, we developed and published the Yonyou BIP Product
Management Rules for Knowledge Learning and Examination Certification to
ensure that employees master the essential knowledge and skills of Yonyou                                                                                               Leadership Development
BIP products according to business needs, advancing the implementation               Training sessions conducted by
of the Yonyou BIP strategy. Additionally, Yonyou Group Professional                  Yonyou Learning and Training
                                                                                                                                 Cadre Standards Construction             Cadre Talent Inventory                  Cadre Rank Evaluation
Development and Management System was updated to include requirements                Center for all kinds of employees
for employees' product learning, examination, and certification.                                                                 We established the                     During the annual                      In 2023, we conducted an


                                                                                     7,856
                                                                                                                                 cadre 12358 system and                 organizational review and              optimization of the cadre
We have established a three-level training system consisting of Yonyou                                                           continuously promoted                  talent inventory project, we           rank evaluation standards
Learning and Training Center, training posts in business units at headquarters,                                                  the implementation of                  conducted a talent inventory           and workflow processes.
and training posts in front-line institutions to form a training mechanism           Person-times trained                        cadre 12358 system on the              for key positions across the           Throughout the year,
with clear hierarchy and clear focus to help employees continuously improve                                                      ground.                                entire group, recorded the             we completed the 2023
their core competitiveness. In 2023, Yonyou Learning and Training Center                                                                                                historical evaluations of              annual group cadre rank
conducted 174 training sessions for all kinds of employees, trained 7,856                                                                                               cadres in archives, and created        evaluation.
person-times, and scored 4.7 points (out of 5 points) in training satisfaction.                                                                                         profiles of cadre talents.




    "Youwei           We developed and launched the New Employee Training System V1.0, promoting the
  Youth" New          implementation of the "online self-learning + integrated training + on-the-job learning"
   Employee           model for new employees across various organizations, aims to achieve comprehensive
    Training          enhancement in cultural integration, strategic consensus, and job competency.


  BIP Product         The all-hand's product learning and examination system optimization were carried out, and
  Knowledge
                      we applied the certification results in professional job reviews, cadre appointments, and
 Learning and
                      the regularization of new employees. In 2023, a total of 20,787 employees completed their
 Examination
  for All Staff       learning, with an examination pass rate of 88.17%, and 20,361 people received certification.


                      Successfully conducted nine phases of the new grassroots cadre initiation program, covering
                      six organizations and subsidiaries.
                      We conducted cadre training and empowerment, evaluating their progress through
     Foster of        performance reviews, and facilitated newly appointed grassroots cadres to achieve role
      Cadre           transformation, competency in management abilities, and fulfillment of business objectives.
                      Conducted talent acceleration boot camps, covering hundreds of outstanding grassroots
                      cadres from various business units and subsidiaries, combining selection and training, and
                      identifying top talents for group-level reporting at the conclusion of the program.


                      Learning Map Construction: Customized learning maps were created for different professional                      Professional Development                                           Job Rotation Development
                      sequences. Throughout the year, we completed the development of learning maps for R&D,                 We initiated the Group's Outstanding Talent                      We actively promote cross-functional and
                      sales, implementation, and pre-sales sequences, organizing a total of 168 learning plans.              Program to discover, identify, and cultivate high-               cross-organizational job rotations, encouraging
 Professional         Course System Development: We advanced the construction of courses in areas such as                    potential talents. By inventorying the talent pool,              employees from functions like marketing,
   Capacity           intelligent accounting and digital intelligence human resources, effectively promoting the             we produced talent profiles, recommended                         research and development, and services to rotate
   Training           professional capacity building of functional departments.                                              matching talents, and conducted intensive                        among different business units, enhancing their
                                                                                                                             training. We selected key talents at both the group              global perspective and cultivates versatile talents.
                      AI Training: We developed the AI Empowering Office Efficiency series of micro-courses to help
                                                                                                                             and BG/BU levels, and designed subsequent
                      employees enhance their understanding and application of artificial intelligence, effectively
                                                                                                                             development plans for these key talents.
                      aiding in the improvement of their work quality and efficiency.




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                                                 Chairman's Message               About Yonyou           Feature Story   Environmental Chapter          Social Chapter          Governance Chapter           Future Purpose          Content Index
Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




Talent Retention
                                                                                                                         Employee Care
We established a scientifically effective incentive system to fully unleash the
potential for employee growth. In 2023, we revised and improved the Post             5.2                                 Optimizing the Workplace Environment
Performance Management System of Yonyou Network Technology Co., Ltd.                 Million yuan reward fund was
and the 2023 Implementation Rules of Annual Post Performance Management.                                                 We are committed to creating a safe, comfortable, and inclusive workplace environment to ensure the physical
                                                                                     issued to 23 teams
We continually refined and upgraded the target process management and                                                    and mental health and work efficiency of our employees. In 2023, we enhanced employees' work experience in



                                                                                     2,615
assessment evaluation process, ensuring a scientific and efficient target                                                all aspects, including a green and environmentally friendly working environment, a convenient and comfortable
management system and performance management system.                                                                     commuting experience, and a healthy and safe workplace life.

In 2023, in accordance with the Company's Incentive Measures for Innovative          Outstanding employees received
Achievements , we continued to reward teams and employees who have                                                                 Provide a Quality Office Environment                              Facilitate Daily Employee Commuting
                                                                                     equity rewards during the year
produced innovative achievements in products and services, business


                                                                                     22,000
models, solutions, management, etc. During the year, we issued a reward                                                       We provided a safe working environment for                       Provided shuttle bus services, with 3 shuttle bus
fund of 5.2 million yuan to 23 teams. In addition, we continued to promote                                                    our employees, and adhered to the selection                      routes connecting key areas and transport hubs,
medium and long-term incentive plans such as equity incentives. A total of                                                    of green and environmentally friendly furniture                  as well as 11 city rail feeder buses to enhance
2,615 outstanding employees received equity rewards during the year.                 People underwent lightweight             for employees, and all furniture panels were of                  the employee commuting experience.
                                                                                     and agile assessments across the         high-quality environmental protection E1 level.
We actively implemented lightweight and agile assessments for over 22,000
                                                                                     group
people across the group, and continuously promoted the implementation of                                                      We conduct safety and quality inspection
                                                                                                                              for new office areas, and regularly clean and


                                                                                     4,181
a performance assessment result communication and feedback mechanism
in 2023. Throughout the year, we achieved 4,181 instances of communication                                                    disinfect the central air conditioning systems.
feedback, covering 100% of the organization, playing a significant role in
promoting employee goal achievement, personal growth and development,
                                                                                     Instances of communication
and organizational goal accomplishment. Cadres at all levels and line business
                                                                                     feedback
directors/project managers of the Company provided comprehensive                                                                   Safeguard the Health and Safety of Employees
feedback on the performance results of employees, and timely recorded the
communication results in the "My Feedback" module of the "You Space"
                                                                                                                              Added 4 automatic external defibrillators (AEDs) in all areas of the park to effectively guarantee the emergency
continuous performance system, which was delivered to the employees in
                                                                                                                              rescue needs of employees.
real time.
                                                                                                                              Conducted safety inspection once a month to ensure the safety of electricity, gas and fire protection and
                                                                                                                              increased frequency during major festivals or extended holidays.


Employee Communication
                                                                                                                              Carried out fire drills twice a year, normalized the promotion of safety production, use of firefighting equipment,
                                                                                                                              safe use of electricity and other publicity activities, and built safety protection barriers.

We fully respect and guarantee employees' rights to be informed,
participate, express, and supervise in management affairs, continuously              3                                        Regularly inspected the safety of all catering service providers in the park, the environmental safety and food
                                                                                                                              safety guarantee work of the restaurant in the park was highly recognized by the regulatory authorities.
improve the trade union organization and the democratic management                   Sessions of the group-level
system based primarily on the employees' representative assembly,                    cultural program "CEO Meetup"
and regularly convene these assemblies. We actively listen to employee               were held
opinions and establish efficient and transparent communication channels.


                                                                                     1,081
Relying on the Company's internal SNS (Social Networking Service)
community and You Space and other information applications, we
                                                                                                                         Deepening the Employee Care
encourage all employees to express their views and suggestions on issues                                                 In 2023, we continued to carry out various activities, offer more fringe benefits to help employees maintain physical
related to company management and technological development, fully                   Attendees on-site
                                                                                                                         and mental health, and achieve happy work and healthy life.
understand employees' core concerns, and incorporate key suggestions


                                                                                     813
into the optimization of the Company's daily operations.
                                                                                                                                                                    Employee Benefits Innovation
In 2023, focusing on our annual strategic theme, we held three sessions of
the group-level cultural program "CEO Meetup". The Group CEO engaged                 Questions wew collected from                                         Adopting the concept of "My Benefits, My Choice," employees are free to choose
closely with employees, having open and sincere dialogues about strategy,            employees                               Customized Benefits          their customized benefits based on their preferences during festive seasons,
business, culture, and personal insights. The events were attended by 1,081                                                                               significantly increasing their participation and satisfaction.
individuals on-site, with over 35,000 participants online. We collected 813
questions from employees and answered 65 of them during the sessions.                                                                                     To alleviate occupational health issues caused by prolonged sitting among
Beyond addressing inquiries on-site, we continued to actively resolve                                                       Year-Round Traditional
                                                                                                                                                          employees, we provide irregular monthly eye care and traditional Chinese
issues related to system process optimization, business resource support,                                                     Chinese Medicine
                                                                                                                                                          medicine treatments for shoulder and neck issues. This includes prevention and
                                                                                                                                  Treatments
and office equipment upgrades, effectively creating value for both the                                                                                    massage therapy for common ailments.
organization and its employees.




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                                             Chairman's Message             About Yonyou             Feature Story    Environmental Chapter          Social Chapter         Governance Chapter           Future Purpose          Content Index
Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




                                                                                                                      Building a New Ecosystem and
                                                                                                                      Mutual Benefit for the Industry
                                                                                                                      In 2023, we comprehensively upgraded our ecosystem strategy, focusing on "Deep Industry Cultivation and Large-
                                                                                                                      Scale Development." We deepened industry-oriented operations and strengthened cooperation with various types of
                                                                                                                      ecological partners such as Independent Software Vendors (ISVs), Technology/Platform/Solution Strategic Partners
                                                                                                                      (GTPs), Professional Service Partners (ISPs), and Value-Added Resellers (VARs). We continued to build a closely
                                                                                                                      collaborative Yonyou ecosystem partner network, jointly creating industry-integrated joint solutions and domain
                                                                                                                      application services, bringing more professional and large-scale digital intelligence services to various industries. By
                                                                                                                      the end of 2023, the Company had a total of 3,305 registered ISV partners (including Changjie Tong), with ISV ecosystem
                                                                                                                      cooperation in industry and scale accelerating. The total number of ecological solutions reached 302. Products
                                                                                                                      developed based on the YonBuilder low-code platform reached a total of 70. With 202 selected fusion partners, we
                                                                                                                      nurtured 3 partners with revenues of 20 million each, more than 10 partners with 10 million each, and over 20 partners
                                                                                                                      with 5 million each, becoming the fastest-growing enterprise digital intelligence ISV ecosystem in China.
In 2023, we completed a 130,000-       During the Mid-Autumn Festival of 2023, we hosted the "Moon Over



                                                                                                                      3,305                                     302                                        202
word book titled Professional          the Sea, More Complete with You" event in the park, aimed at fostering
Endeavor , which narrates the          friendship and unity among employees, and together experiencing the
stories of 35 representative           warmth and joy of the Mid-Autumn Festival.
Yonyou employees, it further
                                                                                                                      Registered ISV partners                   Ecological solutions                       Selected fusion partners
enhances Yonyou members'
                                                                                                                      (including Chanjet)
identification with the Company's


                                                                                                                      3                                                      10                                   20
development values.

                                                                                                                                                                more than                                  over
                                                                                                                      Partners with a scale of 20 million       Partners with a scale of 10 million        Partners with a scale of 5 million




                                                                                                                                        Yonyou Hosts ISV Ecological Forum, Seeking the Development of a Digital and
                                                                                                                          Case
                                                                                                                                        Intelligent Ecology


                                                                                                                      In August 2023, Yonyou hosted the "Deepening Industry Digitization, Connecting to Drive Growth" ISV Ecological
                                                                                                                      Forum at the National Convention and Exhibition Center in Shanghai. Leaders and partner representatives
                                                                                                                      from Cattle and Cow Club, Yonyou Industrial Investment, iUAP Platform, Customer Technical Solutions and
                                                                                                                      Empowerment, Developer Ecology, and ISV Ecology delved deeply into the development trends of the SaaS
                                                                                                                      ecosystem, comprehensively interpreted the digitalization ecosystem pattern, growth space, and Yonyou's
                                                                                                                      comprehensive empowerment system for ISV partners in terms of technology, policies, and investments. They
                                                                                                                      openly shared valuable practical experiences of partners collaborating with Yonyou to assist customers in digital
                                                                                                                      transformation, witnessing the flourishing development of Yonyou's ISV ecosystem together with hundreds of
                                                                                                                      partners present at the forum.




In October 2023, the Company organized the "Rescue
Single Dogs and Cats" event, aimed at caring for
single employees and encouraging them to find
partners and step towards happiness. This event was
jointly participated in by single men and women from
                                                           In 2023, the Yonyou Company Club organized
universities, hospitals, and institutions in Haidian
                                                           shuttlecock, group badminton, and basketball
District, in collaboration with Yonyou. We conducted
                                                           leagues, with a total of 300 people participating in the
various interactive games at the event to promote
                                                           competitions, greatly enriched the employees' leisure
interaction, deepen understanding and break the ice.
                                                           time.



33                                                                                                                                                                                                                                          34
                                                 Chairman's Message               About Yonyou        Feature Story    Environmental Chapter          Social Chapter         Governance Chapter        Future Purpose        Content Index
Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




                                                                                                                       Empowering a New Mechanism for
                  Yonyou Collaborates with ISV Ecological Partners to Empower the Intelligent
     Case
                  Transformation of the Food Processing Industry


Yonyou, in collaboration with ISV ecological partner Weisai Technology,                                                Charitable Causes for Society
focuses on the core business needs of Beijing Ershang Group, a leading
enterprise in the food processing industry. Leveraging the native development


                                                                                                                                                                                                        6.757
of the Yonyou YonBuilder platform and deep integration with the Yonyou BIP
                                                                                                                       Under the overall management of the Yonyou Foundation, we have
platform, they swiftly achieved enterprise-wide data collection, transmission,
                                                                                                                       constructed three major public welfare brands: "Yonyou Public Welfare
and sharing within the factory by connecting production line equipment,
                                                                                                                       Cloud" project aimed at promoting the intelligent development of the             Million yuan in charitable
materials, personnel, and systems. Simultaneously, they provided real-time
                                                                                                                       public welfare industry, the "Great Wall of Commerce" funding project            contributions
monitoring, statistics, and analysis of key indicators at various production
                                                                                                                       dedicated to advancing the protection of Chinese business cultural


                                                                                                                                                                                                        3,025.5
stages, offering data services for continuous improvement and management
                                                                                                                       heritage, and the employee volunteer service team "Walk side by side with
decision-making to the enterprise. This effectively addressed longstanding
                                                                                                                       friendship." These brands serve as the core of our public welfare system,
industry pain points in the food processing sector, such as challenges in
                                                                                                                       covering various societal, business, and internal spheres. In 2023, we
data collection during production processes, coarse granularity of data
                                                                                                                       further refined institutional documents such as the Yonyou Foundation            Hours for volunteer service
collection nodes, and inadequacies in supply chain inventory management
                                                                                                                       Volunteer Management Measures , the Companionship in Love Volunteer
functionalities for on-site fine management. This solution has been effectively
                                                                                                                       Service Team Charter , and the Companionship in Love Volunteer Incentive
implemented in over thirty factories under Beijing Ershang Group, establishing
                                                                                                                       Mechanism , strengthening the organization of employee volunteer
a standardized management system and achieving the digital transformation
                                                                                                                       services and cultural development. During the year, we conducted two
and innovative digital business in the food processing industry.
                                                                                                                       sessions of social responsibility training that covered all employees, with
                                                                                                                       a total charitable contribution of 6.757 million yuan. Additionally, 217
                                                                                                                       volunteers cumulatively contributed 3,025.5 hours of service.




                  Yonyou Leads the Establishment of the Pharmaceutical Industry Ecological Alliance,
     Case
                  Deepening Digitization in the Healthcare Sector                                                      Yonyou Public Welfare Cloud

Yonyou actively collaborates with multiple ISV ecological partners to develop innovative products through              Yonyou Public Welfare Cloud Project offers public welfare organizations
the YonBIP platform, enhancing solutions for various sub-sectors such as pharmaceutical manufacturing,                 free, professional, efficient, and practical integrated products and services
pharmaceutical distribution, and medical devices. This initiative rapidly develops products rich in industry           for finance and project management. In 2023, we released the Digital
characteristics, aiding agile project delivery for clients. In April 2023, Yonyou hosted the "In-depth Pharma,         Intelligence Solutions and Case Studies for the Public Welfare Industry ,
Ecological Convergence" Ecological Innovation Forum. Zhou Jun, Assistant General Manager of Yonyou's                   continuing to increase our investments and serving more public welfare
Pharmaceutical and Pharmaceutical Distribution Industry Division, shared insights on Yonyou's Pharmaceutical           organizations. During the year, we provided products and services to 48
Industry Ecological Strategy , showcasing Yonyou's comprehensive business layout, ecological circle construction,      public welfare organizations. Yonyou Public Welfare Cloud Project was
and achievements in the pharmaceutical sector. During the forum, Yonyou spearheaded the formation of the               selected as part of the China Computer Federation (CCF) Technology
Pharmaceutical Industry Ecological Alliance. Yonyou will collaborate with ecological partners to construct scenario-   Public Welfare Case Collection 2023 Annual Outstanding Cases .
based solutions for enterprises, vigorously promoting specialized construction and digital transformation in the
pharmaceutical industry.




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                                                Chairman's Message         About Yonyou             Feature Story   Environmental Chapter               Social Chapter            Governance Chapter            Future Purpose          Content Index
Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report


                          List of newly signed public welfare organizations in 2023
                                                                                                                    Arrangement and Protection
                                                                                                                    of China's Commercial Cultural Heritage
Number Organization                                         Number Organization



                                                                                                                                                                                                                 29.905
1         Beijing Antai Charity Foundation                  26       Ulanqab Public Welfare Promotion
                                                                                                                    In July 2017, we officially launched the "Great Wall of Commerce" project, aimed at
                                                                     Association
                                                                                                                    excavating, protecting, organizing, researching, and showcasing China's commercial
2         The Open University of China Education
          Foundation (Beijing)                                                                                    cultural heritage through supporting theoretical research, historical data collation,        Million yuan had been
                                                            27       Xi'an Guangyuan Education Support
                                                                     Charity Centre                                 and database construction. After seven years of development, the " Great Wall of             cumulatively donated to the
3         Hengshan Foundation                                                                                       Commerce" project has become a representative brand in public welfare initiatives,           "Great Wall of Commerce" project
                                                            28                                                      exerting significant influence in the academic community and introducing new                 by the end of 2023
                                                                     Yiyang Ant Social Work Service Center
4         Evergreen Center for Sustainable                                                                          perspectives and methods to China's public welfare sector.


                                                                                                                                                                                                                 136
          Development                                       29       Yile Social Work Service Center, Yunlong       In July 2023, we announced the seventh "Great Wall of Commerce" funding project,
                                                                     County
5         Beijing Yunju Temple Charitable Foundation                                                                donating 3 million yuan to support 15 outstanding projects focused on commercial
                                                                                                                    technology and data heritage, received widespread acclaim and attention from                 Projects had been supported
                                                            30       Zhejiang Foundation of Nanhu School
6         Beijing All in One Foundation                                                                             various social sectors. Numerous renowned academic public accounts, including
                                                                     Affiliated To Beijing Normal University
                                                                                                                    those focusing on quantitative historical research, Chinese economic history, and
7         Chengdu Wuhou Community Development                                                                       industrial history, have published related information. The project received coverage
          Foundation                                        31       Zhejiang Yuhua Public Welfare of Seniors
                                                                     Development Center                             from several well-known media outlets such as Guangming Net, Phoenix Net, and
                                                                                                                    Public Welfare Times. By the end of 2023, the " Great Wall of Commerce" project had
8         Enshi Volunteer Association                                                                               been cumulatively donated 29.905 million yuan, supporting 136 projects.
                                                            32       Wanzhou District Deli Social Work Service
9         Fujian Education Aid Association                           Center, Chongqing
                                                                                                                                                  2023 "Great Wall of Commerce" new funding projects (part)
10        One Heart Foundation of FuJian Province           33       DNVa Foundation                                 Number       Project Title                                                  Responsible Institution
                                                                                                                                  High-Resolution Reconstruction and Information
                                                                                                                                                                                                 Institute of Chinese Historical Geography,
11        Gansu QingSuo Philanthropy Development            34       Beijing Reteng Foundation                       1            Accessibility Analysis of Modern China Commercial
                                                                                                                                                                                                 Fudan University
          Center                                                                                                                  Information Networks (1903-1942)
                                                            35       Chengdu Jinniu Community Development                         Research on the "Suzhou Numerals Code" of China's              School of Humanities and
                                                                                                                     2
12        Guangzhou Shi Yuan Charitable Foundation                   Foundation                                                   Commercial Digital Cultural Heritage                           communication, Ningbo University
                                                                                                                                  Organization and Research of Chinese Maritime Customs          School of History and Cultural Heritage,
13        Family Education Promotion Association,                                                                    3
                                                            36       Chengdu Concentric Charity Public Service                    Publications in the Shanghai Library Collection                Xiamen University
          Zengcheng District, Guangzhou                              Center                                                       Research on the Interaction between Commercial Development     Institute of Economics, Chinese Academy
                                                                                                                     4
                                                                                                                                  and the Monetary Evolution since the Qing Dynasty              of Social Sciences
14        Lezhong Social Work Service Center,               37       Gongming Public Welfare Center for                           Arrangement, Research, and Database Construction of the Department of History, Jiangxi Normal
          Zengcheng District, Guangzhou                                                                              5
                                                                     Disability Inclusion, Guangzhou                              Documents of Tongrentang Pharmacy in Huizhou, Jixi             University
                                                                                                                                  Collection and Compilation of Sino-Foreign Commercial Judicial Department of History, School of Liberal
15        Guizhou For Love Qianxing Public Service                                                                   6
                                                            38       Guolanying Arts Development Foundation                       Archives of the French Mixed Court of Shanghai (1869-1931)     Arts, Shanghai University
          Center
                                                                                                                                                                                                 Department of History, School of
                                                                                                                                  Research on the Price Data in Rural Households' Account
                                                            39       Hui County Volunteer Service Center             7                                                                           Humanities, Shanghai Jiao Tong
16        Houma City Social Work Service Center                                                                                   Books in Qing Dynasty
                                                                                                                                                                                                 University
                                                            40       Jiande Guangfu Charitable Foundation                         Collection and Organization of Salt Price Historical Data in Department of History, Sun Yat-sen
17        Shandong Zhongtou Philanthropic                                                                            8
                                                                                                                                  the Qing Dynasty                                               University
          Foundation
                                                            41       Jiangxi Love Public Welfare Association
18        Shaanxi Youth Entrepreneurship and
          Employment Foundation                             42       Nanchong Charity Federation                    "Walk side by side with
19        Shanghai PuTuoDistrict Merry Memory               43
                                                                                                                    friendship" Employee Volunteer Services
                                                                     Nanning Huiguang Social Work Service
          Senior Care Center                                         Center                                         Our employee volunteer service strategy focuses on professional and environmental
                                                                                                                    volunteer services. We engage in volunteer activities through various forms,
20        Shenzhen Social Commonweal Foundation             44       Shanghai Make-A-Wish Charity Foundation        including connecting with external resources and collaborating with outstanding
21        Shenzhen We-i Charity Foundation                                                                          charitable organizations. By the end of 2023, the "Walk side by side with friendship"
                                                            45       Shenzhen Dapeng Coral Conservation             volunteer service team had 501 officially registered volunteers. During the year, 217
                                                                     Volunteer Federation                           volunteers contributed a total of 3,025.5 hours of service; 8 individuals participated in
22        Education Foundation of Shenzhen
          University of Advanced Technology                                                                         professional volunteer activities conducted under the Yonyou Public Welfare Cloud
                                                            46       Xuzhou Yitong Social Work Development          project, accumulating approximately 3,270.5 hours of service.                                In the outstanding volunteer
                                                                     Center


                                                                                                                    501                                              3,270.5
23        Songyuan Blue Sky Volunteer Association                                                                                                                                                                recognition event of 2022, we actively
                                                            47                                                                                                                                                   encouraged employees to participate
24        TianJin Xinyu Public Foundation                            BAYU Public Welfare Development Center
                                                                     of Yuzhong District, Chongqing                                                                                                              in volunteer services and specially
                                                                                                                    Officially registered volunteers in the          Hours of accumulated service time           acknowledged those volunteers
25        Weifang New-achieve Social Work Service
                                                            48       Jafron sunshine Medical Foundation             "Walk side by side with friendship"                                                          who made exceptional efforts for the
          Center
                                                                                                                    volunteer service team                                                                       community, environment, and others.


37                                                                                                                                                                                                                                                  38
03
                                                Chairman's Message            About Yonyou   Feature Story   Environmental Chapter   Social Chapter   Governance Chapter   Future Purpose   Content Index
Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




Governance:
Creating Long-term
Value
Listed companies are the cornerstone of the capital market and a key
driving force for the high-quality development of China's economy. In
recent years, with the introduction of policies such as Opinions on Further
Improving the Quality of Listed Companies and the implementation
of multiple rounds of action plans to enhance the quality of listed
companies, robust support has been provided for the stable and healthy
development of China's capital market. Facing the profound changes
in internal and external environmental development trends, solidifying
corporate governance concepts and persistently focusing on standardized
development is an essential aspect of continuously enhancing the
developmental quality of listed companies. This is also an inevitable
requirement as the economy and society enter a stage of high-quality
development.

As a large, listed enterprise, Yonyou consistently adheres to exploring
the best practices in modern corporate governance. With a focus on the
intrinsic requirements for high-quality corporate development, Yonyou
deeply integrates the concepts of Environment, Social, and Governance
(ESG) into all aspects of business operations. We have established an
ESG management mechanism that spans from the board of directors to
the grassroots frontline and continuously improve the related system
infrastructure. Focusing on key aspects of corporate governance such
as investor relations management, information disclosure, and data
and privacy security, we consistently deepen our capacity building and
reinforce a culture of compliance, laying a solid foundation for the long-
term sustainable development of the enterprise.




39
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                                               Chairman's Message                      About Yonyou                                 Feature Story   Environmental Chapter             Social Chapter          Governance Chapter           Future Purpose        Content Index
Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




Drive the Continuous Improvement of                                                                                                                 Independence and Diversity
                                                                                                                                                    of the Board of Directors
Corporate Governance Effectiveness
                                                                                                                                                                                                                                            1/2
                                                                                                                                                    In 2023, in accordance with new regulatory requirements such as the Measures
                                                                                                                                                    for the Administration of Independent Directors of Listed Companies,
                                                                                                                                                    we revised and improved the Working System for Independent Directors
                                                                                                                                                                                                                                            Independent directors in the
                                                                                                                                                    of Yonyou Network Technology Co., Ltd. This revision standardized the
Establish a Solid Governance Foundation
                                                                                                                                                                                                                                            board of directors by the end of
                                                                                                                                                    appointment conditions and election procedures for independent directors,
                                                                                                                                                                                                                                            2023
                                                                                                                                                    considering factors like educational background, industry experience, and
In 2023, in accordance with the Company Law of the People's Republic of China and the Securities Law of the                                         professional skills, and it stipulated that independent directors should ideally
People's Republic of China, we revised and improved various system norms including the Rules of Procedure for                                       serve in no more than three domestic listed companies.
the Board of Directors of Yonyou Network Technology Co., Ltd., the Articles of Association of Yonyou Network
                                                                                                                                                    By the end of 2023, independent directors comprised half of our Board,
Technology Co., Ltd., and the Implementation Details of the Board's Strategic Committee . This continuous effort
                                                                                                                                                    bringing diverse expertise from regulatory agencies, information technology,
aims to better translate institutional advantages into governance efficacy.
                                                                                                                                                    and corporate management. The independent directors actively participated
We established a corporate governance system comprised of the Shareholders Meeting, Board of Directors, Board of                                    in the work of the Board's special committees and effectively played an
Supervisors, and senior management. The Shareholders' Meeting is the highest authority in Yonyou, responsible for                                   independent role in the Board's decision-making. Two of them served
managing significant corporate matters. The Board of Directors acts as the decision-making institution, undertaking                                 as chairpersons of the Audit Committee, Nomination Committee, and
responsibilities related to business operations decisions. The Board of Supervisors, serving as the supervisory                                     Related Transactions and Control Committee. In the future, Yonyou will
body, oversees the fulfillment of duties by the directors and management and is accountable to the Shareholders                                     continue to optimize the composition of the Board members, strengthen the
Meeting. This governance structure of "three committees and one layer" ensures that each entity performs its                                        independence of the Board, enhance the diversity of the Board, and advance
respective duties, effectively balances and coordinates operations, thereby guaranteeing that Yonyou's corporate                                    the recruitment of female directors to ensure efficient operation of the Board.
governance is standardized, scientific, and efficient.



                                            In 2023, Yonyou convened
                                                                                                                                                    Investor Communication and
      The shareholders' meeting was held 2 times, deliberating and passing 2 proposals, such as the Company's
                                                                                                                                                    Information Disclosure

                                                                                                                                                                                                                                            321
      2022 Annual Financial Settlement Scheme and the Proposal on Amending Certain Clauses of the Company's
      Fundraising Management Method .                                                                                                               We always adhere to the compliance, transparency and professionalism
                                                                                                                                                    of information disclosure, constantly improve the timeliness and quality of
      The board of directors convened 7 times, deliberating and passing 55 proposals, including the Company's                                       information disclosure through multiple channels, and ensure that investors             Investor hotline calls were
      2022 Sustainable Development (ESG) Report, the Proposal on Renaming the Ninth Board of Directors'                                             timely, complete, accurate and equal access to company-related information.             answered
      Strategic Committee and Revising the Implementation Rules of the Board's Strategic Committee , and the                                        In 2023, we completed the preparation of 147 temporary announcements and


                                                                                                                                                                                                                                            16
      Company's 2023 Employee Stock Ownership Plan Management Rules .                                                                               the disclosure of relevant documents, such as the announcement of share
                                                                                                                                                    repurchase, equity incentive, and the use and management of raised funds,
      The supervisory board met 6 times, deliberating and passing 27 proposals, such as the Company's 2022                                          through the website of the Shanghai Stock Exchange, the Shanghai Securities
      Board of Directors Report and the Company's 2022 Supervisory Board Report.                                                                    News, the Securities Daily, the China Securities News, the Securities Times and         Questions on the SSE E interactive
                                                                                                                                                    other legal information disclosure media.                                               platform were answered



                                                                                                                                                                                                                                            121
                                                                                                                                                    We attach great importance to the protection of the rights and interests of minority
Under Yonyou's Board of Directors, various specialized                                                                                              shareholders. During the year, we answered 321 investor hotline calls, answered
                                                                The highest authority                                    The highest
committees are established, including the Audit                         body                                           supervisory body             16 questions on the SSE E interactive platform, and responded to 121 investor
Committee, Nomination Committee, Compensation                                                                                                       emails. Additionally, we held three regular report performance briefings, ensuring
                                                                                    the shareholders'                           the supervisory                                                                                             Investor emails were responded
and Assessment Committee, Strategy and Sustainable                                       meeting                                     board          investors are well-informed about the latest developments of the Company. In



                                                                                                                                                                                                                                            3
Development Committee, and Related Transactions                                                                                                     2023, we actively engaged in thorough discussions with investors regarding ESG-
                                                                The highest decision-                 decision-
and Control Committee. Among them, the Strategy                     making body                        making
                                                                                                                            supervise
                                                                                                                                                    related issues. Addressing investor concerns about corporate governance, energy
and Sustainable Development Committee is wholly                               the board of directors                                                conservation and emission reduction, and employee benefits, the Company's
responsible for the Company's ESG (Environment,                                                                                                     investor relations coordinated with the ESG Committee to actively respond,
                                                                                                                                                                                                                                            Regular report performance
Social, and Governance) initiatives, offering                                                                                                       ensuring transparency and efficiency in our ESG efforts.
                                                                                                                                                                                                                                            briefings were held
strategic guidance and decision-making support
                                                               The highest executive
for Yonyou's long-term sustainable development.                        body                           Executive
                                                                                                                            supervise
In 2023, Yonyou held a total of 9 special committee                             management team
meetings. These meetings focused on key topics such
as internal control audits, selection of directors and
                                                                                                 Human Resources




senior management, equity incentives, and related
                                                                                                              Departments
                                                                       Department


                                                                               Department


                                                                                         Department


                                                                                                   Department
                                                                        Business




                                                                                           Finance




                                                                                                                 Other
                                                                                  Legal




transactions, providing crucial support for enhancing
the Company's governance and operational efficiency.


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Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




                                                                                                                    Continuously Improving Compliance
                                Yonyou Network Investor Communication Channels




       Investor hotline calls
                                           "Investors Step into Yonyou"
                                                 Series Activities
                                                                                    Official Website "Investor
                                                                                       Relations Column"
                                                                                                                    and Operational Systems
  We provide answers to                   In 2023, Yonyou actively                 We regularly publish all
  investors' concerns, actively           cooperated with                          external announcements           Business Ethics
  communicate the Company's               organizations such as Wanhe              on the "Investor Relations
  business progress and                   Securities and Bank of China             Column" page. With a             Organizational and Systematic Safeguards
  industry trends, listen to their        International Securities,                monthly cycle, we disclose
  suggestions, and promptly               inviting small and medium                information on product           We established an independent Group Audit and Supervision Department, separate from business and other functional
  relay feedback to the                   investors to visit Yonyou, and           development, business            departments, responsible for the Company's internal audit, investigation of reported illegal and non-compliant behaviors,
  Company's management.                   participate in activities such           operations, and model            and handling of violations. This department is accountable to the Board's Office and reports to it. A member appointed by
                                          as tours, on-site exchanges,             customer contracts.              the Board's Office (the director in charge) represents the Board's Office in overseeing the audit and supervision work. A senior
                                          and Q&A sessions.                                                         management member is also appointed to concurrently serve as the General Manager of the Group Audit and Supervision
                                                                                                                    Department, responsible for the internal audit and supervision work under the leadership of the director in charge.

                                                                                                                    We have established a comprehensive internal control management system covering financial management, risk
                                                                                                                    management, compliance review, and other areas. In 2023, we publicly posted systems such as the Supervision System of
                                                                                                                    Yonyou Network Technology Co., Ltd. and the Internal Audit System of Yonyou Network Technology Co., Ltd. Internal Audit
                  Shanghai Stock Exchange and Bank of China Securities Jointly Organize "I am a Shareholder"        System online. This initiative was aimed at enabling employees and other stakeholders to gain a more comprehensive and in-
     Case
                  Event, Investors Gain In-Depth Understanding of Yonyou Networks.                                  depth understanding of the Company's management norms and behavior guidelines, thereby enhancing the transparency
                                                                                                                    and compliance of the Company.
In November 2023, Bank of China Securities, in collaboration with the Shanghai Stock Exchange, organized
the "I am a Shareholder" event at Yonyou Networks. Fourteen investor clients from the Beijing branch of Bank
of China Securities participated in this event. Wang Ke, the Director of Investor Relations at Yonyou Networks,
                                                                                                                    Audit and Supervision
reviewed the 35-year development journey of Yonyou and introduced the latest R&D application achievements.          In 2023, we made solid progress in audit supervision, carrying out 48 audit supervision projects including departure
She also answered the questions raised by investors one by one. This event provided the investors with a more       audit, performance audit, special audit, and internal control evaluation during the year, covering all the Company's
comprehensive and multidimensional understanding of Yonyou, guiding them to better recognize the investment         main business operations and significant risk areas. In total, 69 audit projects were conducted, identifying over
value of Yonyou and fostering a positive awareness of exercising their rights as shareholders.                      300 issues. Additionally, we engaged external organizations to conduct annual internal control audits, providing a
                                                                                                                    comprehensive and objective assessment of the Company's internal control processes. Upon identifying issues and
                                                                                                                    risks during the audit process, we promptly proposed rectification measures and organized orderly rectification
                                                                                                                    efforts, enhancing the Company's operational efficiency and risk resistance, ensuring standardized and efficient
                                                                                                                    operational management, and safeguarding the Company's sustainable development.

                                                                                                                    We are committed to helping the group build a scientific business operation management system that adheres to
                                                                                                                    the principle of "establishing rules beforehand, controlling risks during, and strict accountability afterward." We
                                                                                                                    actively constructed and operated a comprehensive, compliant, fair, and efficient audit and supervision system.
                                                                                                                    Through audit activities, reporting channels, and internal feedback, we conducted comprehensive supervision of all
                                                                                                                    company employees, partners, and suppliers; conducted initial inquiries, case establishment, and investigations for
                                                                                                                    illegal and non-compliant matters strictly according to procedural regulations, ensuring the compliance of the audit
                                                                                                                    and supervision work itself; and implemented a multi-department joint meeting and collective decision-making
                                                                                                                    mechanism for handling non-compliant behaviors, ensuring the fairness of the outcomes. In 2023, the Company
                                                                                                                    further strengthened the supervision team, intensified efforts to crack down on violations and disciplinary offenses,
                                                                                                                    reinforced the promotion of a culture of integrity, and fully safeguarded Yonyou's long-term healthy development.



                                                                                                                    Reporting and Protection of Informants
                                                                                                                    We have developed and perfected the Yonyou Group Reporting Management Regulations , applicable to all group
                                                                                                                    employees, including interns and contract staff, as well as external consultants, supplier service personnel, and
                                                                                                                    partners involved in joint on-site development. We will reward informants whose reports are substantiated through
                                                                                                                    investigation and make significant contributions to the Company. Simultaneously, we require staff who receive
                                                                                                                    reports or participate in investigations to strictly adhere to confidentiality, not to disclose the identity of the
                                                                                                                    complainant or reporter to any department or individual without authorization, and prohibit any discriminatory or
                                                                                                                    retaliatory actions against informants, ensuring their protection during the investigation process.




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                                                       Chairman's Message                About Yonyou         Feature Story   Environmental Chapter          Social Chapter        Governance Chapter          Future Purpose         Content Index
Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




                                                                                                                              Building a Secure Barrier in the
Employee Behavior Management and Incorruptibility Education



                                                                                                                              Digital Economy Era
We continue to build a long-term mechanism of " Dare not corrupt, can't corrupt, and don't want to corrupt",
deepen the approach of addressing both symptoms and root causes, and strive to create a clear, honest, and
integrity-driven cultural ecosystem for the Company. We seriously address any behavior that violates the
Company's integrity management system in accordance with the Employee Standard of Commercial Conduct and
Regulations of Yonyou Network Technology Co., Ltd. on Punishment of Employees' Violations . In 2023, we released
the "Eight Dos and Don'ts" for Yonyou cadre behavior, emphasizing the need to adhere to "transparent operations."             We strictly comply with laws and regulations such as the Network Security Law of the People's Republic of China,
Throughout the year, we dealt with 23 employees for violations, including two cases where employees were                      the Data Security Law of the People's Republic of China, Administrative Measures for Data Security in the Field of
dismissed or disciplined for corruption.                                                                                      Industry and Information Technology (for Trial Implementation) and Interim Measures for the Administration of
                                                                                                                              Generative Artificial Intelligence Service to establish our data security and privacy protection governance system.
In 2023, we conducted a total of 239.1 hours of business ethics training for all new employees. At the same time,
we carried out three comprehensive integrity promotion and education activities for all employees, partners, and              We have set up the Group Information Security and Privacy Protection Committee, with subordinate Information
suppliers. These efforts aimed to fully integrate the concept of business compliance into the minds and hearts of             Security and Privacy Protection Leadership Group, Information Security Working Group, and Privacy Protection
our employees, and, in collaboration with partners and suppliers, build a transparent, fair, and integrity-driven             Working Group. The members of these groups include security directors from 23 industry and business divisions,
business environment.                                                                                                         who are fully responsible for the group's information security and privacy protection tasks.



                                                                                                                                                       Assessed the overall security risks according to the Company's development strategy
                                                                                                                                                       and national laws and regulations and industry regulatory requirements, and
Responsible Procurement                                                                                                           Information          formulated the Group's overall information security and privacy protection strategy
                                                                                                                                    Security           and goals.
                                                                                                                                  and Privacy
In 2023, we further strengthened the construction of the supplier management system, revised he Yonyou Procurement                                     Provided decision-making and resources for information security and privacy
                                                                                                                                   Protection
Management System , and improved the management methods and work mechanisms related to supplier selection,                          Leading            protection work, and reviewed and approved important matters related to information
training, assessment, supervision, elimination, and safety management. We promoted the establishment of an ESG                       Group             security. Coordinated and promoted the construction of various safety tools and
supply chain management system to deepen the construction of a sustainable supply chain.                                                               protective measures, guided and designed and supervised the implementation of
                                                                                                                                                       various safety work.


                                                                                                                                  Information          We promoted internal security governance, handled security incidents, and promoted
                        Yonyou Supplier Management                                                                                  Security
                                                                                                                                                       the promotion and implementation of various Group security requirements within the
                                                                                                                                    Working
             To enhance supplier management efficiency and improve                                                                   Group             organization to meet regulatory compliance and Group security objectives.
             supplier experience, we adopted a role management approach.
   Supplier
             Suppliers were categorized into four types based on different
  Admission                                                                                                                                            Interpreted relevant national laws and regulations on privacy protection and met
             backgrounds, with distinct admission criteria and material                                                             Privacy
             requirements for each category.                                                                                                           customers' needs for privacy protection. Handled privacy security risks, optimized
                                                                                                                                    Working
                                                                                                                                                       privacy protection systems and processes, and promoted the realization and
                                                                                                                                     Group
                                                                                                                                                       implementation of privacy protection foundations.
                 We mandated ESG social responsibility audits for corporate-type
                 suppliers, covering the establishment of anti-corruption policies
                 and the construction of social responsibility management systems.
                 By the end of 2023, our Sunshine Cooperation Commitment and
     Supplier    Supplier Social Responsibility Commitment signed have covered                                                                                         Yonyou Group Board of Directors
     Auditing
                 100% of the Company's suppliers.
                 We require all suppliers to fill out a safety audit form before being                                                                                  Yonyou Group Executive Council
                 added to our database and to sign a security confidentiality
                 agreement based on the project background.                                                                           Group Product and Business         Group Information Security and           Group Technical Planning
                                                                                                                                   Planning Management Committee          Privacy Protection Committee            Management Committee
                 We actively conducted safety assessments on suppliers involved in
                 supply chain security during their admission phase, evaluating their
  Supplier       performance and capabilities in data and network security.
 Assessment
                 Annual supplier re-evaluations are conducted, assessing risks and                                                                                      Information Security and Privacy
                 potential on both the project and operational sides of the suppliers.                                                                                     Protection Leadership Team


                 We conduct special on-site inspections during supplier admission
  Supplier
 Supervision     certification and re-evaluation, based on the importance of                                                             Information Security Working Group                          Privacy Protection Working Group
                 upcoming projects or past comprehensive performance.
                                                                                                 Inspection of Lenovo




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                                               Chairman's Message             About Yonyou            Feature Story   Environmental Chapter                 Social Chapter       Governance Chapter            Future Purpose           Content Index
Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




Data Security
                                                                                                                            Upstream supply chain                                                                  Downstream supply chain
                                                                                                                                                                         Supply chain self-security
                                                                                                                               security control                                                                        security control


Institutional Safeguards                                                                                                                                               Trusted research, development,                Project delivery and
                                                                                                                            Supplier Management
                                                                                                                                                                               and operations                         customer service
We practice the principles of "people-centricity" and "everyone is responsible for cybersecurity," continually
improving our security management system. In 2023, we revised the Yonyou Data Management System , clarifying                                                              Security                                Implement
                                                                                                                                                                                                                                       Client device
                                                                                                                           Supplier            Procurement                                  Security design                          and open source
the departments responsible for data and privacy protection. We standardized the methods for data and privacy             admission            management               requirements                               security
                                                                                                                                                                                                                                     software security
protection and set clear standards for data classification and grading, ensuring orderly and efficient collection,
management, processing, and application of data resources. Throughout the year, various product lines and                                                                  Secure
                                                                                                                                                                                            Security testing
                                                                                                                                                                                                                  Deployment             Service
subsidiaries implemented data classification and grading as per the data management system, encrypting and                                                              development                                 security             security

anonymizing sensitive data.                                                                                                   Third-party security
                                                                                                                                 management
Our system applies to all domestic organizations within the group headquarters. Subsidiaries within the group
develop their own data management systems based on the group system, while overseas entities create
appropriate data management systems combining the group system with local legal requirements.                                                                                            Product security emergency response
                                                                                                                            Third-party product security



                                                                                                                             Third-party service security
Risk Management and Emergency Mechanisms                                                                                                                                         PSIRT organization                   Vulnerability collection

                                                                                                                           Third-party personnel security
We developed Yonyou Group Operational Security Management Specification and YonBIP Network and Information
Security Emergency Plan , establishing and improving mechanisms for the prevention and emergency handling of
                                                                                                                                                                              Vulnerability remediation               Vulnerability disclosure
network and information security incidents. We standardized the emergency response processes and measures for              Open source software security
security incidents, enhancing our ability to respond to network and information security events and ensuring the
secure and stable operation of crucial YonBIP networks and information systems.

We continually improve our security risk management mechanisms to comprehensively prevent data breach
risks. In 2023, we progressively advanced the construction of a zero-trust security system, unified our account
management systems, and strengthened authentication and authorization mechanisms. Through situational                 Security Auditing
awareness systems and normalized monitoring of internet exposure, we provide timely security alerts for potential
risks and, through an internal security notification mechanism, send emails for security rectification to relevant
                                                                                                                      We actively engaged external organizations to conduct regular IT audits annually, ensuring that information
departments, urging them to make timely corrections.
                                                                                                                      assets are fully protected. In 2023, these external organizations audited the Company's overall information system
For potential data leakage incidents, we established a robust response mechanism. In the event of a data breach,      control environment and mechanisms, ensuring the effective implementation of internal controls for information
We can immediately take protective and isolation measures, disconnecting the affected systems or devices from the     technology and the ability to identify threats related to information systems and assess the impact of each threat.
network to prevent further leakage and damage. Operational and technical personnel urgently carry out recovery
or rebuilding work, continually tracking subsequent issue resolution until closure.




Supply Chain Information Security Management

We are committed to enhancing our supply chain security management capabilities, ensuring a secure and reliable
supply chain. In 2023, we formulated and revised several institutional documents, including Yonyou Group Supply
Chain Security Management Specification, Yonyou Group Project Implementation and Customer Service Security
Management Specification , and Yonyou Group Product Security and Emergency Response Management Rules . This
achieved security control throughout the entire supply chain, from upstream to downstream.

For upstream suppliers, we required them to sign security confidentiality agreements, perform security audits
for supplier onboarding, and conduct at least annual security assessments. We reviewed suppliers' security
qualifications, information security and privacy protection, and compliance with security agreements. In 2023, we
conducted security audits on hundreds of suppliers.

For downstream customers, we standardized security work methods and requirements for frontline
implementation, services, customization development, and partner management departments, ensuring the
security of customer systems and data. By timely sending risk notification letters and providing free patch
distribution tools and repair verification tools, we effectively reduced customer security risks.




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                                                     Chairman's Message             About Yonyou               Feature Story   Environmental Chapter            Social Chapter         Governance Chapter            Future Purpose           Content Index
Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




                                                                                                                               Data Protection Mechanisms
Privacy Protection
                                                                                                                               We integrated data protection measures deeply into the product development process, ensuring that products
Institutional Safeguards                                                                                                       are compliant and secure before launch. For example, we establish a DPIA (Data Protection Impact Assessment)
                                                                                                                               system at the early stages of product development. This system assesses business scenarios involving personal
We place high emphasis on the protection of users' personal privacy and have developed and issued the Yonyou                   information in products, clarifies the protection needs and risks of personal information, and implements sensitive
Group Personal Information Protection Management Specification , applicable to all business groups (BG/BU),                    data identification management during the product design phase, identifying and marking sensitive data within the
functional organizations, regional institutions, industry customer business departments, and subsidiaries of the               product throughout its data lifecycle.
Yonyou Group. Overseas institutions formulate their own personal information and privacy protection standards in
reference to local laws and regulations. In 2023, we continuously updated and publicly released our product privacy            We offered customized data security capabilities for sensitive data management. By controlling access to sensitive
policies and registration agreements, such as the You Space Privacy Policy, Yonyou Cloud Registration Agreement,               personal information and encrypting its transmission and storage, and employing techniques like anonymization
and Youfeikong Privacy Policy , constantly refining rules for personal information processing and strengthening                to desensitize data, we enhance the overall security of the data. In 2023, we conducted data security governance for
privacy management.                                                                                                            group mobile apps, uniformly adopting HTTPS protocol encryption and implementing strict certificate verification
                                                                                                                               to further strengthen the protection of personal information.

Management Process
We actively uphold principles of transparency, compliance, and respect for users. Before collecting and processing
information, we seek user consent through pop-up forms, thereby fully safeguarding users' right to be informed                 Technological Ethics
and to make decisions. Throughout the entire lifecycle of information management, we strictly adhere to standards
regarding the collection, transmission, storage, use, and sharing of personal information, ensuring users' rights to           We regard technological ethics as a crucial foundation for technological innovation, committed to creating a harmonious,
access, modify, and delete their personal data. Additionally, we stringently regulate our collaborations with third            friendly, fair, inclusive, and safe algorithm system. We pay particular attention to respecting and protecting individual
parties, setting clear guidelines for the scope, duration, purpose, and method of third-party personal information             basic rights in technological ethics, especially safeguarding vulnerable groups, and striving to eliminate the digital divide,
collection. We commit to not renting, selling, or providing personal data to third parties for purposes other than             sharing the benefits of technological progress fairly with everyone.
transactions and services.
                                                                                                                               We actively promote the construction of a technological ethics and security risk governance system and mechanism. The
                                                                                                                               Yonyou Group YonBIP Algorithm Security Management Specification have been formulated, we integrate technological
               Yonyou Group Personal Information Protection Management Specification (Excerpt)
                                                                                                                               ethics management into the entire lifecycle of product development and business operations, achieving the goals
          Responding to Requests from Personal                                                                                 of open collaboration, shared responsibility, and agile governance in technological ethics. We effectively prevent
                                                                   Delegated Processing of Personal Information                technological ethics and security risks, establishing self-assessment mechanisms for algorithm security and monitoring
                 Information Subjects
                                                                                                                               systems to ensure that algorithms operate on a legal, compliant, and secure basis.
      For personal information queries and changes,              If it is necessary to entrust a third party to process
      the Company should provide customers with                  personal information collected by the Company, the
      a channel to query their personal information.             delegation should not exceed the scope of consent
      If a personal information subject finds that               authorized by the personal information subject.                                                  Algorithmic Technology Ethics and Safety Risks
      the Company holds incorrect or incomplete                  Evaluate the entrusted party to ensure they have an
      information about them, the company should                                                                                                                 The risk where the behavior and impact of the algorithm exceed the pre-set,
                                                                 adequate level of personal information protection. This                Loss of Control
      provide a method for them to request correction                                                                                                            understood, and controllable range of developers, designers, and deployers,
                                                                 includes but is not limited to security qualifications,                     Risk
      or supplementation.                                                                                                                                        negatively impacting societal values.
                                                                 personal information protection norms/data security
      For personal information deletion, the Company             regulations, capabilities, and practices.
      should provide a channel for customers to                  If the entrusted party does not process personal
      delete their personal information, especially                                                                                                              The risk of negative impact on societal values due to unreasonable use of
                                                                 information as required or fails to effectively                         Societal Risk
      if the personal information subject finds that                                                                                                             algorithms, including abuse and misuse.
                                                                 fulfill personal information security protection
      the Company has violated legal regulations or              responsibilities, the Company should demand that
      agreements made with them, the Company should              the entrusted party immediately delete all personal
      delete the personal information as requested.              information obtained from the Company.
                                                                                                                                         Infringement            The risk of algorithms infringing on basic human rights, including physical integrity,
      For withdrawal of personal information                     If entrusted by a third party to process personal                            Risk               privacy, property, etc., or causing negative impacts.
      authorization, a method for users to withdraw              information collected by that third party, a delegation
      their consent to the processing of their personal          contract must be signed with the third party. The
      information should be provided. After consent              personal information should be processed according
      is withdrawn, the Company should no longer                                                                                                                 The risk of algorithms leading to unfairness and injustice due to subjective or
                                                                 to the terms of the contract, and processing should not                Discriminatory
      process the corresponding personal information.                                                                                                            objective biases against specific human groups, resulting in rights infringements or
                                                                 exceed the agreed-upon purposes or methods. If the                           Risk
                                                                                                                                                                 negative impacts.
      If a product's service or operation is terminated,         delegation contract is not effective, invalid, revoked, or
      users should be notified at least thirty days in           terminated, the personal information must be returned
      advance, and after termination of the service or           to the data processor or deleted and not retained.                                              The risk of negative impacts on social trust and societal values due to improper
      operation, users' personal information should be                                                                                  Responsibility
                                                                                                                                                                 actions of parties involved with the algorithm or unclear delineation of
                                                                                                                                            Risk
      deleted or anonymized.                                                                                                                                     responsibilities.




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Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




Capacity Building and Industry
Ecosystem

Capacity Building

We are firmly advancing the construction of our emergency response
capabilities, organizing at least one emergency training annually. In 2023,
we conducted security training focused on the control measures and
recovery strategies outlined in our emergency plans. Additionally, we
organized information security awareness exams, covering over 15,000
participants across the group and its subsidiaries.

We regularly conduct security attack and defense drills to solidify our
security defenses. In 2023, adopting the "attack to defend" model, we
conducted internal security self-inspections and rectifications. The group
carried out 14 security attack and defense drills targeting critical internal
business and subsidiaries, significantly improving our overall security
level. Moreover, we actively participated in five national and Beijing-
level cybersecurity operations and were recognized for two consecutive
years by the National Information Security Vulnerability Sharing Platform
(CNVD) for our outstanding contribution to vulnerability handling. This
not only enhanced our internal emergency response capabilities but also
strengthened our collaboration and overall defense capabilities with
various regulatory departments.

We have obtained multiple information security system certifications,
including ISO 27001 (Information Security Management System),
ISO 27701 (Privacy Security Management System), ISO 27017 (Cloud
Computing Information Security Management System), ISO 27018 (Public
Cloud Personal Identifiable Information Management System), CSA-
Star (Cloud Security Management System), DCMM (Data Management
Capability Maturity Assessment), Level 3 Cybersecurity Protection, Trusted
Cloud Service, Trusted Cloud Security, Trusted R&D Operations, and EAL3+                                                                                Industry Activities and Standard Setting
(Information Technology Product Security Evaluation Certification). Our
certifications cover all products and services of the group, ensuring the                                                                               We actively participate in industry activities and engage in
security and compliance of products used by our customers. In 2023, we                                                                                  deep industry exchanges. As a member, we joined various
launched the Group Trust Center, further enhancing information security                                                                                 industry organizations, including the Technical Committee
transparency and enabling customers, partners, and other stakeholders to                                                                                for Information Security Standardization (TC260), the China
fully understand our information security management level.                                                                                             Communications Standards Association Cloud Computing and
                                                                                                                                                        Open-Source Promotion Committee (TC608), the Data Security
                                                                                                                                                        Industry Research Group of the China Computer Industry
                                                                                                                                                        Association Data Security Professional Committee, and the
Industry Ecosystem                                                                                                                                      "Zhuoxin Big Data" plan of the China Academy of Information
                                                                                                                                                        and Communications Technology. In 2023, we participated in
                                                                                                                                                        drafting several security-related standards led by the China
In 2023, we established good communication mechanisms and cooperative
                                                                                                                                                        Academy of Information and Communications Technology,
relationships with organizations such as the Ministry of Industry and
                                                                                                                                                        such as Business Security Capability Requirement s and Cloud
Information Technology and various local regulatory agencies, ensuring
                                                                                                                                                        Application Security Capability Requirements , contributing
the compliance and robustness of our business development. Throughout
                                                                                                                                                        to enhancing the overall security level of the industry with
the year, we formed close partnerships with several well-known security
                                                                                                                                                        Yonyou's efforts.
vendors to jointly provide security services to customers and create
comprehensive solutions. This not only enhanced our customers' security
capabilities but also drove technological innovation and service upgrades
across the industry.




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Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




             Future Purpose

             The year 2024 is crucial for achieving the goals and tasks
             of the 14th Five-Year Plan and a significant milestone in
             promoting high-quality development of the digital economy.
             This year, accelerating the formation of new productive
             forces and deepening the integration of the digital economy
             with the real economy will be essential paths to further
             promote innovative development in the digital economy.
             Utilizing new-generation information technologies to
             accelerate the scaled application of the industrial internet
             and thoroughly implement industrial digital transformation
             will be key actions and important tasks for developing new
             productive forces and creating new engines for economic
             growth.

             In the wave of the digital economy era, Yonyou has always
             stood at the forefront of technological innovation. With a
             forward-looking strategic vision, we lead the transformation
             and development of industries. Looking forward, we will
             deeply carry out the strategic layout of "Artificial Intelligence +
             Industrial Internet," focusing on the technological ecosystem
             centered on YonBIP. We will continue to explore and
             break through technological boundaries, drive digital and
             intelligent transformation of industries, and empower
             economic development, enrich people's lives, and enhance
             the modernization of social governance with a broader and
             more profound digital revolution.

             We are keenly aware that a company's success lies not only
             in its pursuit of wealth creation but also in its commitment
             to social responsibility. We will always stay focused on the
             strategic direction of sustainable development, integrate
             the concept of Environment, Social, and Governance (ESG)
             into every aspect of our company's operations, and work
             together with a wide range of stakeholders to explore new
             areas and opportunities in the digital economy. On the path
             of high-quality development supported by technological
             innovation, we are committed to creating long-term value
             and jointly writing a brilliant chapter for this era.




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                                               Chairman's Message               About Yonyou            Feature Story   Environmental Chapter          Social Chapter           Governance Chapter   Future Purpose   Content Index
Yonyou Network Technology Co., Ltd.
2023 Sustainability (ESG) Report




GRI Content Index                                                                                                       UN Sustainable Development
                                                                                                                        Goals (SDGs) Index
                      Yonyou Network Technology Co., Ltd. reported the information cited in this GRI Content
 Statement of use     Index Summary by reference to the GRI standard from January 1, 2023 to December 31,
                                                                                                                              Chapter                    Content                                        SDGS
                      2023 (some content is outside the above time frame).
 The title of GRI1                                                                                                                                Expanding Horizons and
                      GRI 1:Foundation 2021                                                                                                      Incremental Growth,
 used
                                                                                                                                                  Digitalization is No
                                                                                                                        Feature Story: Let        Longer a Distant Goal for
                                                                                                                        Leading Practices         Enterprises
         Chapter                               Content                                  GRI Standards
                                                                                                                        Become Universally        Focusing on the
                            Reporting Scope                                                                             Beneficial                Forefront, Large Models
                                                                                                                                                  Make Digital and
                            Reporting Standards
                                                                                                                                                  Intelligent Innovation
 About the report                                                           2-1, 2-2, 2-3
                            Data and Information Disclosure                                                                                       More Accessible

                            How to Get the Report
                                                                                                                                                 Enables the green
 Chairman's Message         /                                               2-22                                                                 transformation of
                                                                                                                        Environmental            thousands of industries
                            Company Profile                                                                             Chapter: Guarding
                            Organizational Structure                                                                    Lucid Waters and
                                                                                                                        Lush Mountains
 About Youyon               ESG management Framework                        2-1, 2-6, 2-9, 2-13, 2-14
                            Awards and Recognitions                                                                                              Building a Green and Low-
                                                                                                                                                 Carbon Operating System
                            Social Responsibility Certifications

                            Expanding Horizons and Incremental
 Feature Story: Let         Growth, Digitalization is No Longer a Distant
 Leading Practices          Goal for Enterprises                                                                                                 Creating a New Environment
                                                                            203-2
 Become Universally         Focusing on the Forefront, Large Models                                                                              for Comprehensive
 Beneficial                 Make Digital and Intelligent Innovation More                                                                         Development of Employees
                            Accessible
                            Enables the green transformation of                                                                                  Building a New Ecosystem
 Environmental                                                                                                          Social Chapter: Co-
                            thousands of industries                         3-3, 2-9, 2-12, 201-2, 301-1,                                        and Mutual Benefit for the
 Chapter: Guarding                                                                                                      Creating a Better Life
                                                                            302-1, 302-2, 302-4, 302-5, 303-1,                                   Industry
 Lucid Waters and Lush      Building a Green and Low-Carbon Operating       303-5, 305-5
 Mountains                  System
                                                                                                                                                 Empowering a New
                            Creating a New Environment for                                                                                       Mechanism for Charitable
                            Comprehensive Development of Employees                                                                               Causes for Society
                                                                            3-3, 2-7, 2-8, 401-1, 401-2, 403-2, 403-
 Social Chapter: Co-        Building a New Ecosystem and Mutual
                                                                            3, 403-6, 404-1, 404-2, 404-3, 405-1,                                Drive the Continuous
 Creating a Better Life     Benefit for the Industry
                                                                            406, 407, 408, 409, 413                                              Improvement of
                            Empowering a New Mechanism for                                                                                       Corporate Governance
                            Charitable Causes for Society                                                                                        Effectiveness
                            Drive the Continuous Improvement of
                            Corporate Governance Effectiveness                                                          Governance Chapter:      Continuously Improving
 Governance Chapter:                                                                                                    Creating Long-term       Compliance and
                            Continuously Improving Compliance and           3-3, 2-9, 2-12, 205-2, 205-3, 414-1,        Value                    Operational Systems
 Creating Long-term
                            Operational Systems                             418
 Value
                            Building a Secure Barrier in the Digital
                            Economy Era                                                                                                          Building a Secure Barrier in
                                                                                                                                                 the Digital Economy Era
 Future Purpose             /                                               /




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Yonyou Network Technology Co., Ltd.

Yonyou Industrial Park ( Beijing ) , No.68 Beiqing Road,
Haidian District, Beijing, China 100094
Web: www.yonyou.com
E-mail: ir@yonyou.com
Tel: 010-62436838