1、NYSE:ZTOSEHK:2057.HKZTO Express(Cayman)Inc.2022Environmental,Social and Governance ReportAbout the reportChairmans messageAbout ZTOESG managementCorporate governanceServing customers with heartTopic:Bringing express delivery services into villages,building business-friendly and beautiful cities and

2、countrysideTopic:Red engine,unleashing new drivers for high-quality developmentHand in hand with partners for win-win resultsBuilding an eco-friendly business for a better environmentPutting people first,building dream togetherAppendix:Key Performance Indicators(KPIs)Appendix:Index of ESG Indicators

3、IntroductionReferencesScope and boundaryData source and reliability commitmentConfirmation and approvalAccess and contact informationGathering consensus and pooling strengthsCultivating new drivers for growth through Party buildingStrengthening cultural leadership to drive developmentProviding quali

4、ty servicesInnovative business developmentEmpowering network partnersStrengthening supplier managementPromoting the development of the industryConsolidating environmental managementResponding to climate changePromoting green packagingStrengthening pollution prevention and controlEnsuring the protect

5、ion of employees rights and interestsReinforcing the protection of occupational health and safetyHelping employees growCaring for employees with heartGiving back to the community with loveCompany ProfileCore Philosophy Honors&Awards ESG management strucutreStakeholder engagementAssessment of materia

6、lity issuesCompliant and clean operationLine of defense for risk managementStrengthening the network for bringing express delivery into villagesPromoting the prosperity of county businessEmpowering farmers to expand sales and increase income ESG ReprotZTO EAbout the reportIntroductionThis report is

7、the sixth Environmental,Social and Governance Report(hereinafter referred to as this report or ESG report)released by ZTO Express(Cayman)Inc.As used in this report,ZTO Express,the Companyand we refers to ZTO Express(Cayman)Inc.and its subsidiaries.The purpose of this report is to provide factual dis

8、closure of the Companys ESG perfor-mance and fulfillment practices with respect to shareholders,customers,partners,employees,the environment,communi-ties and other key stakeholders.Unless otherwise stated,this report covers the financial year from January,to Decem-ber,(the reporting period).Referenc

9、esThis report is prepared with reference to the Appendix:Environmental,Social and Governance Reporting Guide of Main Board Listing Rules of Hong Kong Stock Exchange(hereinafter referred to as the ESG Guide of HKEX),the GRI Sustainability Reporting Standards released by the Global Sustainability Stan

10、dards Board(hereinafter referred to as the GRI Standards),the China CSR Reporting Guidelines of the Chinese Academy of Social Sciences(CASS-CSR.),and the SDG Compass.The preparation of this report is subject to the following principles:Materiality:The materiality of the ESG issues is determined by t

11、he Board,and stakeholder communication,identification of materiality issues,and materiality issues matrix have all been disclosed in this report.Quantitative:The measurement standards,methodologies,assumptions and/or calculation tools of the key performance indicators in this report,as well as the s

12、ource of the conversion factors used,have been explained in the reports explanatory notes.Balance:This report presents the Companys performance during the reporting period in an unbiased manner,avoiding selections,omissions,or presentation formats that might improperly influence the decisions or jud

13、gments of readers of the report.Consistency:Unless otherwise stated,the statistical methods and scope used in the disclosure of data in this report are consistent with those used in previous years.To facilitate readers reference,an index of ESG indicators is provided in Appendix II of this report.Sc

14、ope and boundaryUnless otherwise stated,the scope of the policies and data provided in this report are consistent with those referred to in the annual report.Data source and reliability commitmentThe data and cases in the report are mainly obtained from the statistical reports and relevant files of

15、the Company,and reviewed by various departments.The Board undertakes that the report does not contain any false records or misleading statements and that Board is responsible for the authenticity,accuracy and completeness of the report.Confirmation and approvalThis report was approved by the Board o

16、n March,Access and contact informationReaders may access the electronic version of this report on the Investor Relationship section of the Companys official website at .If you have any comments or suggestions on the Companys environmental,social and governance disclosures and performance,please cont

17、act us through the following means:Address of ZTO headquarters:Huazhi Road,Huaxin Town,Qingpu District,ShanghaiPostal Code:Tel：E-mail：Bringing Happiness To MorePeople Through Our Services ESG ReprotZTO ETwenty years have passed,and ZTO Express has entered its youthful years.Since the establishment i

18、n,ZTO Express has gone through the three stages of trailing behind,catching up and surpassing,and grown into the worlds largest express delivery enterprise by business scale.In recent years,we have made vigorous efforts to construct the ecosystem,and moved from the unitary business of express delive

19、ry service into a multi-dimensional network of business ecosystems.We have planned and created business segments including international,less-than-truckload(LTL),cloud warehouse,commerce,digital marketing,finance,air freight,cold chain and Tuxi,and embarked on a development path characterized by int

20、egrat-ed ecosystem construction,reaching new highs for seven straight years in terms of the market share,service quality and operation capacity.We have all along kept in mind our founding aspiration of benefiting ourselves,benefiting others and benefiting the society,and committed to the mission of

21、bringing happiness to more people through our services.First,benefiting ourselves.We have created a network-based cooperation mechanism featuring collective creation,crowd-sourcing,crowd-funding and collective support,helping hundreds of thousands of families to start their own business and live a n

22、ew and better life.In particular,we have helped many ZTO employees,who have just entered the workforce or migrated from rural areas to cities,find their life goals and realize their social values.We have cultivated the ZTO family culture,established a multi-channel and multi-layered career developme

23、nt mechanism,and introduced the+welfare care system.We have also set up a mutual fund in the network to help employees in need,established the practice of holding group weddings,created the ZTO Home and ZTO Academy,and leveraged multiple channels to enrich employees cultural life,all in an effort to

24、 promote an enjoyable working atmosphere in the Company.ZTO has made dream come true for countless employees and provided a common cause for the ZTO family.Second,benefiting others.We are committed to doing our best to meet the needs of consumers and customers,and providing better and higher-quality

25、 services for all.The express delivery industry serves all cities and sectors.Leverag-ing our strengths of network operation and business scale,we have contributed to the growth of countless customers,and helped them reduce inventory,raise efficiency,bring down costs,improve services,increase benefi

26、ts,create values and boost competitiveness.We are also helping to bring industrial products to the countryside,take agricultural products to the cities,and send Chinese products to the overseas markets,and established an all-round service system covering the whole process from factories to consumers

27、,from farm fields to dining tables,and from mainland to overseas.Third,benefiting the society.We are actively fulfilling our social responsibilities,which have won the recogni-tion and trust of the public.We have inspired many young people to return to their hometown and start their own business,and

28、 helped the local villagers in remote mountainous areas sell and transport agricultural products at low cost,contributing our share to poverty alleviation and rural revitalization.We have promoted the use of high-capacity and low-emission models,introduced green packaging,and made continuous innovat

29、ion and breakthroughs in low-carbon and environmen-tal protection.We have rushed to the assistance of pandemic response and disaster relief,mobilized all available resources to secure the delivery of material supplies,and ensured the smooth functioning of supply chains vital to peoples livelihood.We

30、 have offered donations for the construction of hope schools,and actively donated materials and provided voluntary services to help the disabled.We are also playing an increasingly important role in ensuring stability on six fronts and protection in six areas and reducing the logistics cost of the w

31、hole society.At the age of twenty,ZTO is brimming with youthful energy and ready to set on a new journey.Looking back at the past twenty years,we have no regret for the hard struggle.What we have gained in this process is the quality of honesty,the spirit of perseverance and the unyielding resolve t

32、hat define all ZTO associates.The marathon of the express delivery business has come to a critical juncture,and our golden era is just beginning.The road ahead may be long and tortuous,but step by step we will surely reach our destination.Only with actions,can we find solutions to the problems we fa

33、ce.Actions speak louder than words.We have to maintain strategic determination,think and act in the same direction,refrain from arrogance and impatience,and keep our feet on the ground.We must always keep in mind our original aspirations,strengthen confidence,stay resolved to gain victory,and make i

34、nnovative and unremitting efforts to deliver our task.Let us join hands to work for shared success and create new glories together!Chairmans Message Chairman of the Board of Directors and Chief Executive Officer Lai Meisong ESG ReprotZTO EAbout ZTOFounded on May,ZTO Express is a logistics conglom-er

35、ate integrating multiple services including domestic and international express delivery,less-than-truckload(LTL),commerce,cloud warehouse,cold chain,finance,air freight,Tuxi and digital marketing.On October,ZTO Express was listed on the New York Stock Exchange(NYSE).On September,ZTO Express was list

36、ed on the main board of the HKEX,becoming the first Chinese express deliv-ery company listed in both the United States and Hong Kong,China.In,the Company applied to the HKEX with regards to the Primary Conversion.After the conversion took effect,the Company will be dual primary-listed on the HKEX an

37、d the NYSE.ZTO Express is the worlds largest express delivery company in terms of parcel volume.In,ZTO Express grew parcel volume to.billion,up.%year over year,higher than the average growth of Chinas express delivery industry.ZTO Express has ranked first in the industry for seven consecutive years,

38、capturing a market share of.%.ZTO Express has the largest network with the most exten-sive,the most intensive and the deepest coverage among the private operators in China.As of the end of,ZTO Express had over,service outlets,domestic sorting hubs,sets of automated sorting equipment,around,direct ne

39、twork partners,over,line-haul vehicles,including,high-capacity trailer trucks,over,line-haul routes,as well as a network reaching more than%of the county-level cities,and covering over%of the village-level cities.Village-level cities coverage rate%+High-capacity trailer trucks,YoY growth rate.%24.38

40、9Parcel volumebillion98Domestic sorting hubs31,000+ZTO service outlets 99%+County-level cities coverage5,900Direct network partners11,000+Self owned line-haul vehicles sets of automated sorting equipment ESG ReprotZTO EHonors&Awards Core PhilosophyDuring the reporting period,the Company received the

41、 following awards:Corporate missionBringing happiness to more peoplethrough our servicesCorporate visionBecoming a respected enterprise with dignity,sustainability,and longevity for centuries to comeCore values Shared success,trust and accountability,innovation and entrepreneurshipCorporate spirit P

42、ersistence,focus,and perseveranceManagement philosophy Fair,efficient,and result-orientedOperation philosophyIntegrity,transparency and win-win resultsDevelopment philosophy Stable,strong,ambitious and change-seekingTalent philosophy Talents are the hard powerSafety philosophy Safety is benefitServi

43、ce philosophy All around outlets,and all for customersHonors(incomplete list)Award institutionNational Model Case of Consumption Supporting Rural Revitalization National Development and Reform CommissionNational Demonstration Post of Youth Safety Production in the Post and Express Delivery Industry

44、State Post BureauEnterprise Donation Award,First Shanghai Charity Award Shanghai Municipal Peoples GovernmentModel Express Delivery Service Provider of Shanghai-Shanghai Postal AdministrationWomen Pioneer Post of Shanghai Leading Group of the Women Pioneer Campaign in Shanghai,Shanghai Womens Federa

45、tionTop Ten Service Enterprises of Qingpu District Shanghai Qingpu District Peoples GovernmentOutstanding Innovation and Entrepreneurship Talent Team of Qingpu District Shanghai Qingpu District Peoples GovernmentTop Enterprises of Excellence of Qingpu District Shanghai Qingpu District Peoples Govern

46、mentTop Chinese Private Enterprises (th place)All-China Federation of Industry and CommerceTop Private Enterprises in R&D Investment and Invention Patents (rd place)All-China Federation of Industry and CommerceThird Prize,CFLP Science and Technology Progress AwardChina Federation of Logistics&Purcha

47、sing(CFLP)Top Chinese Logistics Enterprises (th place)China Federation of Logistics&Purchasing(CFLP)Top Chinese Private Logistics Enterprises (th place)China Federation of Logistics&Purchasing(CFLP)Kantar BrandzTM Top Most Valuable Chinese Brands (nd place)KantarFortune Global in (st place)Forbes Gr

48、oupFortune China in (th place)Fortune(Chinese Edition)CICC Wealth ManagementBest ESG Award of the Forum on Global Investment Trend&sixth Golden Hong Kong Equities AwardsZhitong Finance,RoyalFlush,China Galaxy Securities,CGSMost Valuable Enterprise in Logistics Industry-Peoples Transportation Magazin

49、e,Logistics Investment and Financing Network,IT OrangeMost Valuable Chinese Stock,seventh Zhitong Finance Chart of Listed Companies Zhitong Finance,RoyalFlushSFEO List of Most Valuable Production Service Brands of Shanghai(st place)Shanghai Federation of Industrial Economics and Shanghai Federation

50、of Economic Organizations in collaboration with Shanghai Institute of Corporate Culture&BrandTop Enterprises in Shanghai (th place)Shanghai Federation of Enterprises,Shanghai Entrepre-neurs Association,Shanghai Federation of Economic Organizations,Jiefang DailyModel Enterprise,Shanghai CSR Report Mo

51、del Enterprise CertificateShanghai Federation of Economic Organizations and Shanghai Federation of Industrial EconomicsHuapu Award,th China Brand Festival of Brand Alliance Brand Alliance ESG ReprotZTO EESG managementBringing happiness to more people through our services is the mission of ZTO Expres

52、s.We believe that sound Environmental,Social and Governance(ESG)management is an important driving force for achieving this mission.Therefore,we continue to improve the ESG management system,focus on the coordinated and sustainable develop-ment of upstream and downstream industries,build ESG standar

53、ds that are in line with international standards and have Chinese characteristics,and contribute ZTOs wisdom to the sustainable development of the express delivery industry.ESG management structureZTO Express deeply understands that ESG is a yardstick for measuring the value,responsibility,and risk

54、of an enter-prise,and that improving ESG management is the only way toward the goal of becoming a respected enterprise with dignity,sustainability,and longevity for centuries to come.The Board of Directors is the highest decision-making body of the ESG management system.The ESG Committee under the B

55、oard is responsible for assisting the Board in reviewing and evaluating the overall development and implementation of the Companys ESG,reviewing the ESG work outcomes and reports,and proposing suggestions for improvement;the ESG Working Group is the main execu-tive body of ESG policies,providing adv

56、ice and assistance to the Board on ESG-related matters,and coordinating various centers and functional departments to jointly carry out ESG work.We ensure that an ESG meeting is held every year to integrate ESG planning into the entire process of enterprise operation and management and promote high-

57、quality development of the enterprise.Stakeholder engagementZTO Express focuses on establishing a long-term and effective communication mechanism with stakehold-ers,and endeavors to learn about their opinions and values in time,and provide effective responses to protect the long-term rights and inte

58、rests of stakeholders.We identify ESG issues that are of concern to all parties,integrate them into the Companys operation and management process,and strive to create shared values and pursue win-win cooperation with our stakeholders.During the reporting period,the Board discussed a range of importa

59、nt ESG topics,including carbon targets and climate risk identification,further clarified future ESG goals,and linked the progress of ESG goals to the remuneration of Board members.Through timely and accurate analysis of current progress,the Board makes regular adjustment of strategies,and develops i

60、mprovement plans to make sure that the ESG strategy can function effectively in the opera-tion of ZTO Express,and create distinctive and meaningful ZTO solutions based on practice.ZTO Express ESG management structureStakeholder categoryTopics of interestCommunication channels Compliance Rural revita

61、lization Green development Support for community development Submission of official documents Thematic session Regular announcement Reception of government research teamGovernment and regulatory agencies Operational risk management Regulating corporate governance Data privacy and security Investor r

62、ights Shareholders meeting Release of corporate earnings Press release,announcement and road showShareholders and investors Secure delivery and transportation Product and service optimization Data privacy and security Satisfaction survey Regular communication and talks Customer surveyCustomers and C

63、onsumers Compensation and benefits Secure delivery Health and safety Career development Employee communication Staff training Employee activityEmployees Customer satisfaction Support for outlet development Outlet assessment Outlet visitFranchise outlets Supply chain ESG management Supplier assessmen

64、t Supplier visitSuppliers and Contractors Progress of industry Business integrity Open and transparent bidding process Industry exchange Field surveyPartners Community development Rural revitalization Charity campaign Volunteer serviceCommunity Support for community development Rural revitalization

65、Technology innovation Press release Media communication Social responsibility and sustainability disclosureMediaBoard of Directors ESG CommitteeSupervise and manage ESG strategy,develop policiesESG Working GroupRelevant functional departmentsImplement ESG-related policies and objectivesImplement and

66、 execute specific ESG actions,and coordinate and promote the implementation of relevant ESG workDecision-makingOrganizationExecution ESG ReprotZTO EImportance to the sustainable development of ZTOAssessment of materiality issuesIn accordance with the ESG Guide of HKEX,with reference to the GRI stand

67、ards,SASB and issues of concerns to the capital market rating agencies and peers,and taking into account industry characteristics and corporate culture,ZTO Express has identified materiality issues that are highly relevant to the Company.Through interviews with internal and external stakeholders,que

68、stionnaire surveys,and feedback of the management team,we have ranked these issues based on their importance.Among them,there are critical issues,important issues,and general issues.The topics of high importance constitute the key part of this report,and we will disclose the relevant contents in det

69、ail in this report.Process of Identification and Assessment of Material TopicsIdentification of potential materiality issuesWe identified material topics for the Companys business based on regulatory requirements,peer practices,media analysis,and capital market concernsMateriality matrixWe scored an

70、d ranked all topics in terms of their materiality for the Company and for stakeholders and formed our materiality matrixStakeholder engagementWe formulated a stakeholder engagement plan under which we conducted in-depth interviews and distributed ESG materiality surveys to governments and regulators

71、,shareholders and investors,employees,consumers,and the public to understand key ESG topics of concern to stakeholders.Confirmation of materiality issuesWe then submitted the materiality matrix to management for confirmation of the identified topics and their degree of materialityLowImportance to st

72、akeholdersHighHighMateriality matrix of ZTO Express Degree Occupational health and safety Diversity and inclusion Critical issues Data and privacy safety Delivery safety Compliance and business ethics Energy management and GHG emission Reduction of pollution Use of packaging materials Response to cl

73、imate change Staff training and development Important issues Employee rights,interests and benefits Supply chain management Quality customer service Rural revitalization and common prosperity Product service and innovatio Win-win cooperation Corporate governance Risk management Water resources manag

74、ement General issues Waste management Community participationIssues ESG ReprotZTO EZTOs risk management system Risk trainingZTO Express conducts risk management training for all employees,including the basic concept of risk control,risk audit process and optimization,and continuously enhances employ

75、ees crisis awareness in practice.At the same time,the Company actively carries out research and discussion on risk prevention and early-warning mechanism,mobilizes employees initiative through field research,and guides them to discover,collect and avoid risks.We have set up a risk reporting hotline

76、and added the Risk Control Guardian Award to encourage all employees and external partners to voluntarily identify and report risks,so as to boost the initiative of risk prevention,push for the transition from passive to active management in risk prevention,and improve the Companys risk management p

77、erformance.Line of defense for risk managementFocusing on the three links of identification,prevention and control,ZTO Express has made effective efforts to identify the potential risks in all aspects of operation,and strengthen education,supervision and system construction.We have put in place thre

78、e lines of defense to make sure that every ZTO Express employee firmly establishes the awareness of operation compliance and efficient performance of duties,actively identified and continuously controlled potential risk points to minimize the occurrence of risks,and cultivated a sound risk managemen

79、t culture within the enterprise.Risk management structureZTO Express has established a standardized and effective risk management system,with the Discipline and Supervision Committee providing direct leadership,and the Audit Committee supporting the work of risk screening,classified assessment and r

80、etrospective review.Meanwhile,we have invited third-party institutions to carry out risk assessment and audit,and tasked all the operation departments and outlets in various centers to implement risk tracking and rectification,thus extending risk control to all aspects of operation to ensure effecti

81、ve prevention and resolution of potential risk points.During the reporting period,we strengthened the whole process of risk prevention in strict accordance with the requirements of Sarbanes-Oxley Act(SOX)to ensure prevention beforehand,ongoing supervision and follow-up control,taking our risk manage

82、ment work up to a new level.Corporate governanceCompliance is the foundation of the Companys development,and integrity,transparency and win-win results are ZTOs business philosophy.ZTO Express follows the principles of honesty and credibility in business ethics,continuously strengthens its risk cont

83、rol system,improves its ability to conduct sound operation and governance,and endeavors to keep the Company on the track of sustained and steady progress.Compliant and clean operationZTO Express has internalized compliance in its DNA and externalized it in actions.We observe business ethics,and have

84、 established a full-fledged compliance system and strengthened compliance training.The requirements of legal compli-ance not only cover all employees of ZTO Express,but also draw the bottom line for franchisees,suppliers and partners.Internally,we have formulated a series of compliance codes of cond

85、uct based on the Employee Handbook and relevant business management policies,and provided supervisory guidance to employees through compliance surveillance and training;externally,we have introduced clear provisions,restrictions and supervisory measures for compliance and business ethics in contract

86、 terms,supplier access requirements and franchisee requirements to foster a clean and upright atmosphere of cooperation and ensure the healthy and sustainable development of the Company.Business ethics and anti-corruptionZTO Express strictly abides by the Company Law of the Peoples Republic of China

87、,the Law of the Peoples Republic of China against Unfair Competition,the Law of the Peoples Republic of China against Corruption and Bribery,the Criminal Law of the Peoples Republic of China,the Supervision Law of the Peoples Republic of China and other laws and regula-tions.During the reporting per

88、iod,ZTO Express revised and issued the Implementation Regulations on Integrity Supervi-sion,which set clear constraints on acts such as corruption,bribery,fraud,money laundering,unfair competition and conflict of interest,optimized the work management process,clarified and refined the auditing stand

89、ards,and gradually put in place a business ethics management system with scientific content,rigorous procedures and full supporting measures.We incorporated the business ethics and corruption risks in our operations into audit supervision,and completed internal auditing covering all operating locati

90、ons on a regular basis.The Company has also launched a clean business campaign to cultivate the clean business culture,promote the ethos of pride in honesty and shame in corrup-tion,and tighten the safety valve in all aspects of operation regulations.In addition,the Company published the Code of Bus

91、iness Conduct and Ethics on its official website and promulgated the new Regulations on Network Supervision Management,further refining the code of conduct,binding requirements and principles of treatment and punishment for management personnel,service outlets and suppliers.The acts of non-complianc

92、e will be investigated on an on-going basis,and dealt with in accordance with relevant policies,laws and regulations.During the reporting period,the Company conducted various forms of integrity awareness campaigns targeting at Board directors,employees,outsourced personnel and contractors;there were

93、 no major violations or disputes regarding business ethics and anti-corruption for the Compa-ny and its employees.Reporting mechanism and whistleblower protectionZTO Express has zero tolerance for violations of integrity regulations.We have opened up channels for public supervision,encouraged employ

94、ees to exercise their right to supervision,strengthened internal management and constraints,estab-lished all-weather reporting channels including emails,hotlines and direct feedback to the supervisory department,and published the English version of reporting channels on our official website.We activ

95、ely guide and handle issues reported by employees in accordance with the Measures for Rewarding Whistle-blowing,focus on clue investigation as well as inspection and supervision,and provide good services for redressing the dishonest behavior and problem of corruption affecting our employees.At the s

96、ame time,we attach importance to the protection of whistleblowers.We have put in place the relevant protection system to safeguard their privacy and safety,deny any possibility of retaliation against whistleblowers,and provide strong guarantee for the creation of a clean and honest working environme

97、nt.ZTOs complaint reporting channelsDirect reportingDirect reporting tothe regulatory authoritiesReporting Reporting hotline+(86)Third line of defenseAudit CommitteeSecond line of defenseInternal audit departmentFirst line of defenseFunctional departmentsRisk managementsystemD

98、evelop and regularly review risk management strategies and systems Regularly conduct risk screening,classified assessment,and retrospective reviewResponsible for risk tracking and rectification,preventing and resolving potential risk points ESG ReprotZTO E1Bringing express delivery services into vil

99、lages,building business-friendly and beautiful cities and countrysideOn February,the Opinions of the CPC Central Committee and the State Council on the Key Work of Comprehensively Promoting Rural Revitalization in (Central Document No.of)proposed to accel-erate the expansion of rural network of logi

100、stics and express delivery services,implement the express delivery into village project,focus on industry to promote rural development,and advance the building of the county-township-village logistics systems.Responding to the call of the state,ZTO Express actively worked to bring express delivery i

101、nto village with efforts in organizational leadership,network layout,policy support and resource integration,and pushed for the construction of the rural logistics system to support rural revitalization.During the reporting period,the State Post Bureau announced gold medal projects of express delive

102、ry services for modern agriculture with annual shipment volume exceeding million pieces.According to statistics,ZTO covered such projects,playing an increasingly visible role in boosting rural revitalization.Strengthening the network for bringing express delivery into villagesZTO Express continues t

103、o promote the express delivery into villages project,and strengthen the rural express delivery network,incorporating more and more villages into the modern logistics network.In this process,we have comprehensively improved the performance of express delivery services in rural areas by addressing pro

104、blems such as high delivery costs,long delivery distances and insufficient orders,and expanded consump-tion to second-and third-tier markets,further satisfying the production and livelihood needs of rural residents,unlocking the consumption potential of rural areas and turning rural areas into a new

105、 growth pole of the express delivery industry.In terms of dispatch,during this years Double Eleven(from:on October to:on November),the parcels received by ZTO from rural areas rose by.%compared with last year.Most of the agricultural products ended up on the dining tables of the residents of Shangha

106、i,Beijing,Guang-zhou,Shenzhen and Hangzhou,which are the Top destination cities of ZTO parcels from the countryside.In terms of delivery,the volume of parcels sent to the rural areas in the second half of the year was five times that of the same period last year.TopicC A S EIn January,ZTO launched a

107、 pilot program in Luchuan County,Guangxi,and built it as a showroom of rural express delivery services,setting up village outlets in just one month;in addition,we introduced an app for rural outlets through cooperation with upstream e-commerce platforms to increase the parcel volume,which helped fix

108、 the problem of low volume and high cost.At present,the courier coverage rate in Luchuan County has reached%,and the business volume is%higher compared with the past.Leveraging its catalytic effect as a champion company,ZTO Express continues to promote the express delivery into villages project in S

109、henyang,Liaoning Province,addressing the problems of immediate concerns to the people,and breaking the bottleneck in last-mile delivery.We further expanded the coverage of rural logistics network,provided diversified express delivery services for rural residents,further opened up the upward channel

110、for agricultural products,and accelerated the construction of supply chain delivery services,sending agricultural products to all parts of the country through our logistics network.During the reporting period,the volume of parcel delivery in Shenyang continued to climb,and the coverage rate of villa

111、ges reached%.Opening a showroom of rural express delivery services,unfolding a new chapter in bringing express delivery to villagesC A S EBreaking the bottleneck in last-mile delivery,express delivery covering all villages in Shenyang,Liaoning Province ESG ReprotZTO E2Promoting the prosperity of cou

112、nty businessBuilding on the project of express delivery into villages,ZTO Express is also promoting express delivery based in villag-es.Through its balanced distribution of resources,ZTO has facilitated the export of products from counties and villages and generated stable sources of income for rura

113、l outlets.In the meantime,ZTO also brings business and employment opportunities to the countryside,and attracts more and more villagers to return to their hometowns,realize their dreams of entrepreneurship,and make greater contributions to the prosperity of their hometowns,paving the way for high-qu

114、ality development of the county economy.C A S EThe sustainable operation of Tuxi outlets in the villages is attrib-utable to the hard work and persistence of all the managers and business teams.Feng Yinquan,head of the ZTO network in Rong County,Guangxi,actively engaged with the supply chain channel

115、s of supermarkets.In the stage of site selection,he conducted detailed field research,and determined the size and location of each outlet according to the research results.He made vigorous efforts on the building of supply chains for supermarkets,and established the express+business model to ensure

116、sufficient products for all village outlets.He also took steps on cost reduction to ensure the outlets efficient opera-tion.The outlet in Yangyuan County,located in the deeper valleys of the Daliang Mountains in Sichuan Province,chose the approach of cooperation with the local village committee,and

117、turned supermarkets that provide express delivery services into a collective economic project of the village,thus overcom-ing the challenge of high cost for bringing express delivery into villages.Haiyan in Zhejiang Province,Shouguang in Shan-dong Province,and Tonglu in Hangzhou all introduced their

118、 own express delivery based in villages operations,and continued to explore new and locally distinctive models for transitioning from express delivery into villages to express delivery based in villages,build stable and profitable rural outlets,and promote the development of county business.ZTO Expr

119、ess is promoting the express delivery into villages project in Longli County and helping more and more Guizhou products get out of the mountains.The agglomeration effect of logistics and trade products has brought conve-nience to the development of industries in the surrounding areas and saved costs

120、.As a result,industries such as furniture production and processing of agricultural and sideline products all developed at a faster pace.On average,more than million parcels were sorted and processed by ZTO on a daily basis,creating nearly,jobs in Longli County.At the same time,Longli County acceler

121、ated the integration of big data and the real economy in the logistics,industry and other sectors,focused on promoting the digital operation of restaurants,scenic spots,parking lots and other places to provide benchmarks and pilot demonstrations for the industry,and pushed for the in-depth integrati

122、on of big data and the real economy on all fronts to drive Longlis social and economic prosperity.July is the harvesting season for the,+mu of crisp plums in Wushan County of Chongqing City,and ZTO Standard Express,a time-definite product of ZTO Express,entered Wushan,Chongqing,the hometown of Chine

123、se crisp plums.ZTO created an exclusive delivery route for Wushan crisp plums,and provided time-definite,customized packaging and cost-effective price-guarantee solutions to help send the fresh and crispy delicacies from the deep mountains to all corners.During the reporting period,the output of cri

124、sp plums in Wushan County was about,tons,with an output value of about.billion yuan.The crisp plums paved the way for the building of the rural industrial chain and enabled more than,farmers to earn a higher income.The Company is now implementing the express delivery into villages in Wushan County t

125、hrough express delivery-shuttle bus cooperation,the establishment of last-mile stores and other means,and the coverage rate of villages has reached%.Solving the difficulty of fruit transportation,from farm fields to dining tableC A S EIn May,due to the impact of the pandemic,a large number of season

126、al fruits such as cherries,peach,apples and pears in Shanxi were unable to be transported.To help solve the problem,ZTO immediately set up pickup points in the main fruit production regions of the province to support the upward mobility of agricultural products.The couriers of ZTO Express walked int

127、o the fields and helped the fruit farmers pack and put the fruits in the box.Considering the high requirements of cherry preservation,ZTO specially dispatched refrigerated transport vehicles,and launched a cold-chain transport service covering the whole country.In Shanxi Province alone,six cold-chai

128、n lines were opened.In one of the online livestreaming sessions,over,kg of cherries were sold,and all the cherries sent out on the same day were provided with the standard express service,which further improved the efficiency of delivery,ensured the delivery of fresh agricultural products from farm

129、fields to dining tables,and greatly protected the interests of the fruit farmers.Empowering farmers to expand sales and increase income3ZTO Express has opened a green channel for fruits delivery,and provides a series of services for local farmers such as picking,packing,and transportation.With our o

130、ne-on-one services for farmers,we have created a smooth delivery channel,and helped bring more agricultural products out of the mountains.Sending delicacies to all corners,Wushan crisp plums become the golden fruitC A S EYam plantation in Wen County,turning small yam into a big industryC A S EIn the

131、 golden autumn season,ZTO Express brought the express delivery vehicles into the yam plantation of Daquhe village of Wen County.The villagers cleaned the yams in the river,put them in gift boxes,and loaded them directly to the vehicles,solving the problems such as marketing difficulties,low prices,a

132、nd market domination by fake Wen County yams.With express delivery,the prices are less affected by market fluctuations,and the yams also sell better in the market.As a result,farmers can get paid with an income matched with their labor,and the villagers can land jobs in their hometown.With the help

133、of ZTO,Wen County expanded its product line,extended the yam industrial chain,increased the added value of yams,and raised the daily shipment from some parcels in to almost,parcels today.From express delivery into villages to express delivery based in villages,empowering the high-quality development

134、 of countiesC A S EZTO Express helps bring Guizhou products out of mountains,Longli takes on a new look ESG ReprotZTO ETopicRed engine,unleashing new drivers for high-quality developmentThe report of the th Community Party of China(CPC)Congress points out that party organizations at all levels shoul

135、d perform the duties entrusted to them by the CPC constitution,implement the CPCs lines and policies and the decisions and deployments of the Party central authorities,and mobilize the masses in various fields.The report also puts forward the requirement of strengthening CPC membership building in m

136、ixed ownership enterprises and non-public ownership enterprises,and motivate Party members to play a pioneering and exemplary role.ZTO Express attaches high importance to the pivotal role of Party building,and takes it as an important way to steer the direction,strengthen the foundation and empower

137、the high-quality development of the enterprise.The Party Commit-tee of the Company endeavors to find the areas where Party building can be connected to ZTOs development,and aligned with regional development,to foster an advanced corporate culture,and gather positive energy for business growth.We hav

138、e cultivated an innovative Party building brand,Happy ZTO Express.Through political,ideological and organizational leadership,our Party building efforts have created a favorable internal environment for the growth of the enterprise and developed a culture of happiness that is recognized by all our e

139、mployees.We have cultivated a red engine to promote high-quality business development,so that our Party members will stay committed to their original aspiration,the Company will keep peoples interests in mind,and our employees will embrace the spirit of craftsman-ship and contribute their share to t

140、he society.Special study session on learning from Mao Zedong in the Chongqing Management Center Special study session in the headquarters Gathering consensus and pooling strengths01Wherever our business goes,the Party organization will be built and the Party discipline will be observed-this is the g

141、uiding principle for the Party Committee of ZTO.To promote the red gene,build consensus and strength-en unity,the Party Committee of ZTO has organized more than twenty study sessions on Party history,and carried out a series of thematic lectures and training on Party history in the ZTO network,cover

142、ing subjects such as the reasons for learning from the Communist Party,the charm of Party history learning,the fine work style of the Party and the positive impact of Party building on business development,to bring the voice of the Party to all employ-ees.Special training session on Party conduct ed

143、ucation in the Sichuan Management Center Special study session on learning from Liu Hulan and other revolutionary women in the ZTO headquarters ESG ReprotZTO ECultivating new drivers for growth through Party building02Strengthening cultural leadership to drive development03ZTO Express resolutely imp

144、lements the Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era,firmly follows the red direction,and actively explores the means and pathways for integrating Party building with regional operations.Through online+offline essay and speech contests,Party-themed team-building eve

145、nts and other diversified forms of Party building activities,we have linked the Party building in the headquarters and regional operations,forged a stronger soul of ZTO,and further motivated the ZTO team.Party members of the Anhui Management Center watching the live broadcast of the th Party Congres

146、s Young Party members of the Chaoshan Management Center watching the live broadcast of the th Party Congress Group study session in the ZTO headquarters on the Report of General Secretary Xi Jinping to the th Party Congress Jiangsu Nanjing Center held the Ode to the Party singing contest ZTO held th

147、e annual award ceremony of Party building work&I love ZTO speech contestTaking the st anniversary of the founding of the Party as an opportunity,ZTO Express held a variety of Party building activities across the country under the guidance of local Party committees.Promoting the development of divers

148、ified Party building activities Party members of the Jiangsu Management Center watching the live broadcast of the th Party CongressThe year is the year of the th CPC National Congress.The CPC Committee of ZTO organized the whole network to study the decisions made at the th Party Congress,get clear

149、instructions from the Party for the new era,and seek motivation and inspirations through learning.Focusing on the guidelines for the development of the express delivery industry such as building a strong transportation country,connecting internal and external circulations,rural revitalization and gr

150、een development,we aim to combine the implementation of the decisions of the th Party Congress with the practice of high-quality development of ZTO Express.ESG ReprotZTO E Hubei ZTO Express,LTL and Cloud Warehouse jointly visited the Memorial Hall of the Revolutionary Martyrs in the Hubei-Henan-Anhu

151、i-Jiangsu Area and the former residence of Li Xiannian Young Party members volunteer service team of ZTO Party branch in HefeiIn carrying out theme education,four histories learning and education,Party history learning and education,ZTO Party Committee stresses the importance of combining learning a

152、nd application.Through the doing practical work for the people campaign,we endeavor to translate the results of learning into motivation for our work,and encourage our Party members to take part in the governance projects of the local communities.Red Express serving the grassroots of society Party b

153、uilding service center of the ZTO outlet in Dongcheng District,Beijing ZTO Party branch in Jinan organized a Party history learning session at the former site of the CPC Shandong Provincial Work Committee ZTO Party branch in Inner Mongolia visited Daqingshan Red Culture Park ZTO Party branch of the

154、Chaoshan Management Center visited Ye Jianying Memorial Hall in the Sanheba Memorial Park ESG ReprotZTO EServing Customerswith HeartThe Development Plan for the Express Industry in the 14th Five-Year Period released by the State Post Bureau stresses the importance of deepening structural reform on t

155、he supply side to bring express delivery services to villages and factories and to the overseas markets,promoting direct service sales,and pushing for innovation in services and technologies to transform and upgrade the industry.With the mission of bringing happiness to more people through our servi

156、ces and the pursuit of excellence and innovation,ZTO Express is committed to building a comprehensive logistics service platform by promoting digital smart logistics across the service chain,continuously improving the customer service system,and ensuring the security of customer information and priv

157、acy.Topics addressed in this chapterOur actionsQuality customer serviceData and privacy securityProduct and service innovationSecure delivery Protecting the security of customer privacy and optimizing customersservice experience through technology-service integration Deepening the application of dig

158、ital technologies with a focus on transformation and efficiency,and meeting diversified customer demands through product and service innovationSDGs addressed in this chapter ESG ReprotZTO EIntelligent arbitrationThrough intelligent applications,the Company is able to capture network data in a timely

159、 manner,track the whole service process on a real-time basis,and look for the causes of parcel abnormalities in the process.This has provided our service network with the tools of decision-making and management,and increased the timeliness of our services.Providing quality servicesCommitted to the s

160、ervice philosophy of all around outlets and all for customers,ZTO Express adopts the model of technol-ogy-service integration to improve the standards of customer services,and listens to customers opinions and suggestions.We have put in place a comprehensive and well-functioning information security

161、 protection system and strengthened the information risk awareness of our staff to ensure customers service experience and the protection of their rights and interests.ZTO Express strictly abides by the Law of the Peoples Republic of China on the Protection of Consumer Rights and Interests.We have s

162、et up the Service Quality Center,and made sustained efforts to strengthen our customer service mechanism,explore technology-assisted services,and improve the quality of our services.We also actively conduct satisfaction surveys to raise customer satisfaction.During the reporting period,we updated th

163、e Management Regulations of the Service Quality Center and optimized the subjects and rules of penalty and other contents.Management initiativesZTO Express is committed to building a complete,comprehensive and scientific customer experience monitoring capability.We continue to optimize our service m

164、odel by developing intelligent and efficient services,and focus on improving custom-ers logistics experience and meeting diverse customer demands with precision and efficiency to continuously improving customer experience.Customer feedbackZTO Express provides customers with smooth complaint channels

165、,and customers can make inquiries and give their feedback through multiple channels such as hotline,online customer service,App and official Wechat account.The Company has formulated the Service Supervision and Management Regulations and other systems,and established a closed-loop mechanism for hand

166、ling after-sales complaints.We listen to customers opinions,and make return visits and follow-ups in time to ensure the quality of our services.At the same time,the Company carries out supervision and tracking in the process based on the indicators of the service quality evaluation system,closely fo

167、llows the abnormalities in the network,and intervenes proactively to reduce the impact of abnormalities and service failures.During the reporting period,the customer complaint response rate and handling rate reached%.ZTO Express listens carefully to the voices of various types of customers,and regul

168、arly conducts nationwide satisfaction surveys on our business and individual customers through qualitative interviews,quantitative placements and field visits to collect customer feedback on our brand,products,services and other factors that affect customer satisfaction.Based on the survey results,w

169、e focus on analyzing factors affecting customer experience and satisfaction,and propose targeted measures to further improve the quality of customer services.During the reporting period,our customer satisfaction rate continued to rank top in the industry.Quality customer servicesInitiatives for effi

170、cient parcel deliveryChannels for customer complaintsZTOs intelligent customer service initiativesEncourage outlets to pick up,dispatch and deliver parcels more frequentlyWe encourage our outlets to pick up,dispatch and deliver parcels more frequently,and avoid centralized operation of all parcels t

171、o relieve the pressure of outlets and centers,and reduce the time spent by outlets in parcel pickup,delivery and signing.Encourage outlets to take direct route In order to reduce the overall time of parcel delivery,we encourage our outlets to change the mode of parcel dispatch,choose direct routes a

172、nd send parcels directly to last mile posts or dispatch outlets to improve the time efficiency.Reduce the volume of lost,damaged and untraceable parcelsWe have set up a special task force for the management of untraceable parcels to reduce the incidence rate of such parcels.We have also introduced t

173、he practice of shift operation,and require outlets to arrange for the drivers or accompanying personnel to sort and load the parcels in time after their arrival,so as to make sure that no parcel is stranded or left behind.Improve customer satisfaction with on-demand deliveryThrough customer profilin

174、g,we are able to provide targeted and personalized delivery services for them,and introduce on-de-mand delivery to improve customer satisfaction.Improve sorting and ex-ware-house efficiencyTo improve sorting efficiency,we require outlets to make reasonable site and capacity planning according to the

175、ir own parcel volume,install suitable sorting equipment,and make available the corresponding number of operators to ensure timely sorting and ex-warehouse operations.Intelligent service robot in all channelsThe Companys intelligent robots are now used in all channels and applied to more than busines

176、s scenarios such as order checking,order placing and consulting,etc.When customers are connected,they will first be received by robots,which raises the efficiency of problem acceptance,enhances the service capability of the network,and reason-ably reduces manpower costs.Intelligent quality inspectio

177、nThe Company has established an intelligent quality inspection system to supervise and manage calls and online communication texts.Through service tracking and automatic scoring of the system,we can efficiently and accurately locate the explicit and potential problems in our services,and make timely

178、 intervention to redress the problems.At the same time,through multi-dimensional data analysis,we are able to identify customer expectations and demands,and make informed decisions on performance improvement across the whole process.Intelligent processingThe Company has put in place an intelligent h

179、andling process,and adopted a closed-loop approach to processing customer requests in all channels and helping customers solve problems.We also provide customers with one-stop services to deliver services with greater efficiency.hotlineOnlinecustomerserviceExclusivecomplaintaccess onAPPInstantpush o

180、nAPPSpecialentry on ZTOExpress officialWechat accountAfter-salesservice of ExpressDeliveryButler ESG ReprotZTO EThe Companys main initiatives for the implementation of the three safety requirements in In addition,in order to further enrich the content of training courses,facilitate the learning of c

181、ustomer service assistants and couriers,and improve the efficiency of front-line empowerment,the Company has specially constructed a learning platform for couriers and customer service assistants.By the end of,a total of more than exclusive courses had been launched,with over,minutes of online cours

182、es,and accessed more than million times.Meanwhile,in terms of training format,we have designed a unique daily quiz learning module,which adds to the fun of training while spreading professional knowledge.Contents of training for customer service assistantsCustomer service training Customer service t

183、rainingIn order to help our front-line staff foster a stronger service awareness,improve their professional knowledge,compe-tence and work efficiency,and do a better job in providing standardized and professional customer services to enhance customer experience,the Company organizes and conducts tra

184、inings on different topics for different roles in the network.During the reporting period,we provided trainings for couriers and customer service assistants of the outlets,new recruits of functional departments at all levels under the Service Quality Center and primary-level managers,covering subjec

185、ts such as professional communication skills,ability to handle requests,standard service procedures for pickup and dispatch,and emotion management,to empower employees in all dimensions and aspects.A total of training sessions were conducted throughout the year,with,participants and a satisfaction r

186、ate of over%.Orientation trainingStage:After the customer service assistants join the company,the Company will organize an orientation training on corporate culture,the Companys intemal systems,safety and other subjects;Stage:Afrer entering the business department,the customer service assistants wil

187、l receive a training on the basics of the express delivery industry and the relevant systems of the industry through a combination of theories and practices;Stage:After the training is completed,the employees will take part in an exam and only those that can pass the exam can start their work.Daily

188、trainingCare-for-growth training:The Company regularly organizes training on psychological counselling,emotion management,skil enhancement and other related subjects;Online learning:The Company has developed an online learing platform for customer service assistants,with rich and diverse learning re

189、sources on subiects such as skill enhancement and emotion management.ZTO Express strictly implements the three safety requirements,and strengthens the management mechanism by devel-oping security management systems and equipment.We have reinforced security management in all links and continu-ously i

190、mproved the level of security to ensure the safety of delivery.Implementation of the three safety requirementsZTO Express conscientiously implements the Postal Law of the Peoples Republic of China,the Postal Industry Safety and Supervision and Management Measures,and the Express Delivery Safety Oper

191、ational Regulations,and strictly imple-ments the three safety requirements of real-name pickup,open-box inspection and machine examination to strengthen the safety management in all links and ensure the safety of parcel delivery.During the reporting period,the Company introduced special control meas

192、ures on prohibited parcels,battery-type restricted parcels and real-name pickup to continuously improve the safety management of parcel delivery.Delivery safety managementControl of prohibited parcels Adding an online alert function:We have added a reminder in the APP that will alert the customer if

193、 he types in a prohibited goods,to intercept the parcel directly at the front end;we have also added a similar alert function to the courier platform(Zhangzhongtong),through which the courier can check the list of prohibited goods in real time.Promoting public education of prohibited goods:We launch

194、ed three learning courses on prohibited goods during the reporting period to help the couriers and outlets gain a deeper understanding of prohibited goods.Test on the knowledge of prohibited goods:We added a test on the prohibit-ed goods in the courier platform,and assessed the couriers grasp of the

195、 relevant knowledge based on the test results to make the learning more targeted.Spot check of prohibited goods:We sent grid manager to check the imple-mentation of open-box inspection at the outlets,and request the outlets and couriers to strictly implement the three safety requirements.Control of

196、battery-typerestricted parcelsReal-name deliveryDuring the reporting period,the Company launched a rectification campaign on the irregularity of real-name information of the contracted customers of outlets and couriers in the system,and redressed a total of,customer accounts nationwide,achieving%cov

197、erage in the rectification of abnormal real-name information of all customers in the network.The Company conducts in-depth studies on the condi-tions of battery-type outlets,and imposes strict control and analysis of battery-type goods.We have established a record-keeping process for battery-type ri

198、sky goods,and strictly reviewed customer qualifications for battery-type products to ensure maximum safety of lithium battery business.ESG ReprotZTO EVehicle management Classified maintenance for different vehicle models and components;Timely adjustment of the maintenance cycle of the trailer box;Re

199、gular inspection of key components of the trailer box.Ensuring transportation safetyWhile complying with the three safety requirements,ZTO Express pays attention to the safety of vehicles and parcels in transportation,and strengthens the management and supervision of the transportation process in an

200、 effort to reduce related risks and avoid safety accidents.ZTO Express strictly abides by the Data Security Law of the Peoples Republic of China,the Cyber Security Law of the Peoples Republic of China,the Personal Information Protection Law of the Peoples Republic of China,the Regula-tions on the Se

201、curity Protection of Critical Information Infrastructure and other relevant national and industry laws and regulations,and has promulgated the Data Security Management Policy,the Measures for Security Incident Management,the Measures for Site Security Management,the Measures for Outlet Security Mana

202、gement and other systems.We have gradually improved our management system for information security and privacy protection.During the reporting period,we formulated and issued the Data Confidentiality Management Policy,with clear provi-sions for data classification and grading,confidentiality initiat

203、ives,management and improvement,responsibilities and penalties,to ensure information and data security.Security managementZTO Express attaches great importance to information security.The Groups Work Safety Committee is responsi-ble for the Companys overall information security work,and the Companys

204、 Vice President of Information Tech-nology is responsible for overseeing the work on information security and privacy protection.Through the implementation of initiatives on risk monitoring,security event response,personnel verification and system standardization,the Company has put in place a manag

205、ement system covering the whole process of advance prevention,ongoing monitoring and follow-up tracing to ensure the security of the Companys information and data.At the same time,the Company has released its public contact information and email address,through which the employees and the public can

206、 report any information security incident,and punishments will be made for information security and privacy leakage in line with the relevant policies according to the seriousness of the circumstances.Information and data securitySecuring the top three and aiming for the first place in the Cainiao S

207、ecurity Index rankingEnsuring the effective implementation of the security empowerment programs for all companies in the ecosystemRaising the information security awareness of the employees and the influence of SRCWe ranked the first place in the Cainiao Security Index for%of the days in the year.We

208、 organized a series of education and training activities on information security.We completed more than programs,includ-ing security empowerment of the ecosystem,host security empowerment,honeypot and compliance,and helped companies in the ecosystem deal with security risks.Target ProgressResponsibl

209、e for the main data protec-tion duties of the Company,including formulating and implementing data security protection strategies,dealing with information security-related incidents and conducting incident investigation,collaborating with and supervising the implementation of relevant departments,aud

210、iting their implementation results,and communi-cating with external stakeholders on their data protection needs,etc.Safety Management Center Information Security Control Department Responsible for the main security duties of the Compa-ny,including information security control.Work Safety Commit-teeo

211、f the GroupTechnology and Information CenterPerforming the duties and obligations of user data security protection,and implementing the measures required by the data protection procedures.Route management Setting specific transit time for different routes,taking into account the route mileage,road e

212、nvironment,weather and other natural factors afffecting the transportation by the shuttle trucks,to ensure driving safety;Binding parcels with truck labels,trailer boxes and truck headers throughout the transportation process to track the movement of parcels in transportation.For all parcels that ar

213、e bound with truck labels,the information of the truck drivers can al ways be accessed,to assign the responsibility for every parcel to a specific person.Personnel management Keeping the drivers of delivery trucks under watch throughout the transporta-tion process,and initiating the alarm function.T

214、he combination of constant reminder and management supervision substantially reduces the probability of safety accidents;Putting vehicles,drivers and trailer boxes into different groups,and binding experienced drivers with vehicles in good conditions for routes in mountainous areas to improve drivin

215、g safety in mountainous areas;During the reporting period,the Company organized training on topics such as Road Safety Mountain Road Driving Skills Road Safety Emergency Measures and Spontaneous Combustion Prevention and Self-Rescue,achieving a%training coverage and the participation of,trainces(per

216、son-times),notably improving drivers safety awareness.Initiatives for ensuring transportation safetyInformation security management mechanism of the Company ESG ReprotZTO EThe Company regularly evaluates the management of user information security.The Company has passed the certifi-cations of ISO,IS

217、O,GB/T and other information security systems,covering demand collection and analysis,design and development,application systems and IT infrastructure operation&maintenance services for the Companys core business systems.During the reporting period,we received the accreditation marks of the United K

218、ingdom Accreditation Service(UKAS)and China National Accreditation Service for Conformity Assessment(CNAS).At the same time,the Company regularly conducts audits on contents related to information security and privacy protection,and completed monthly security risk audits during the reporting period.

219、During the reporting period,the Company introduced a series of optimization measures,issued the Rules for Site Security Management,reinforced the management and control of part-time workers,and actively promoted the use of privacy.By the end of,the utilization rate of privacy waybills rose to%.Train

220、ing and educationZTO Express attaches great importance to cultivating employees awareness of information security.We have estab-lished an information security training system,and regularly organize education campaigns,training programs and examinations on information security across the Company and

221、the ecosystem to help our employees expand their knowledge on the subject and strengthen their security awareness.Special campaign-Information Security Enhancement MonthSpecial campaign-Cyber Security Awareness Week,including live streaming lecture on personal information protection,cyber security q

222、uizzes,etc.Special training on phishing Information Security Education section of the service number of the ZTO Information Security Depart-ment Security Test Training and training assessmentAll personnel of the network and the ecosystemFunctional staff of the network and the ecosystemAll Company em

223、ployeesAll Company employeesAll personnel of the network and the ecosystemTraining activitiesTraining participants,copies of information security pledges signed,participants(person-times)posts published through the year,which were read more than,timesThree sessionsNearly,copies of promotion material

224、s on information security distributed,participants(person-times)Training resultsInformation security management system certificationsInformation security training of the Company in Risk monitoring Implementing initiatives such as external monitoring,security alert cycles,intelligence sharing with ex

225、ternal companies,collection of vulnerability intelligence,public opinion monitoring,identification of society-level issues,and dark web monitoring;Intercepting high-risk logins or requiring secondary authentication based on events,environment,frequency and other factors to ensure the security of inf

226、ormation queries,logging records for each query,and conducting regular log audits to track and deal with identified problems.Handling of security incidents Formulating the Measures for Security Incident Manage-ment,with clear procedures for incident grading,corresponding initiatives,reviewing,etc.De

227、veloping the main process of emergency response,and regularly handling emergency incidents at both command and event levels.Vulnerability assessment Developing a scoring system for privacy vulnerability assessment,collecting privacy issues and carrying out rectification;Conducting security vulnerabi

228、lity assessment,and completing the emergency repair of the vulnerabilities to close the loop.Personnel verification Couriers can only register their account after completing personnel registration.Identity verification is required for account registra-tion,and customer information is only accessible

229、 after the registration is complete.System standardization Establishing a unified personnel and dispatch system;To hide identity information,the export function is disable for customer information.Initiatives for information security and privacy protection ESG ReprotZTO EInnovative business developm

230、entTaking technological innovation as the driving force,ZTO Express is committed to promoting the digitization of the whole process of express delivery,and increasing the application and dissemination of new technologies and equipment,while ensuring the security of the whole process of parcel delive

231、ry,and achieving the high-quality development of the enterprise.ZTO Express closely aligns technological innovation with the Companys strategy and business,actively carries out indepen-dent R&D,adopts digital technologies to cover multiple scenarios of the express delivery business,and continuously

232、expands product categories through innovation in R&D to meet diversified customer demands.R&D innovation managementZTO Express attaches high importance to automated,technology-powered and intelligent business development.We have established a research team and scaled up R&D investment to promote the

233、 deep integration of advanced technology and the Companys business,boost the end-to-end high-quality service and rapid delivery,and continuously improve the Companys research strength and comprehensive service capability.Technological innovationZTO Express is committed to promoting the construction

234、of the relevant work platforms in the production and research process.By transitioning from decentralized construction at the department level to unified construction at the corporate level,we have launched a one-stop work platform(DevOps),which provides the functions of the whole process of product

235、ion and research such as demand management,defect management,task management,version iteration management,project management,test management,target management,application and cluster manage-ment,release management,etc.Based on the mainstream open-source distributed architecture system in its design,

236、the platform provides flexible elastic storage expansion solutions.Covering the whole process of production and research,and breaking the information boundary,the platform paves the ground for open and efficient collaboration,and improves the business agility and R&D efficiency of products in all bu

237、siness lines.One-stop R&D platform,connecting the whole process of production and researchWith the further increase in the number of orders,equipment and personnel in management centers,the disadvan-tage of manual aggregation of operation data has become increasingly visible.During the reporting per

238、iod,ZTO Express designed and developed digital tools such as Double Eleven Data Big Screen and Smart Park to track operation data in real time,leading to greater efficiency in operation management.Iterative optimization of the system platform,raising operation and management efficiencyThe Double Ele

239、ven Data Big Screen provides an overview of real-time business volume,status of center operators,status of vehicle transportation,forecasted order volume,number of days for parcel clearance projected by the stress warning center and other information,providing a full range of digitized information s

240、upport for decision-making by the HQ and provincial/district management teams.Smart Park creates,in a top-down fashion,digital files for the parks,buildings,floors,areas,platforms and equip-ment of the management centers,providing a reliable data basis for the establishment of digital models of all

241、the transit centers and for the further implementation and optimization of operator performance at the centers.R&D innovation awards of the CompanyDuring the reporting period,the Company won the third prize of the CFLP Science and Technology Progress Award,the award of Outstanding Innovative Enterpr

242、ise in the Digital Transformation of Chinese Logistics Industry and other awards,and passed the CNAS certification for national measurement laboratory.AWARD CERTIFICATEAWARD CERTIFICATEAWARD CERTIFICATEAWARD CERTIFICATEZTO Express one-stop work platform of the production and research processOne-stop

243、 R&D platformAppServiceAxonServerCross-domain query aggregation serviceCQRS+EDAProject domainVirtual machinePhysical layerBasic service layerDomain modelerApplication service layerAccess layerFront presentation layerDAOState machineES QueryData cacheMessage queueContainerPlatformPhysical machineUser

244、 domainTool domainStreamline domainCommand busTime busQuery busMMySQLCACHESpring WebFlux NotificationQuality control domainProduct domainSimple servicesAPI Gateway+SSO-authentication,black&white list,flow controlBackground management platformDevelopment PlatformTreasure box application ESG ReprotZTO

245、 E Digital transformationGuided by the Internet+logistics philosophy,ZTO Express has created digital tools covering various scenarios and links on the service chain for the ecosystem business,and advanced the application of digital transformation in the whole life cycle of pickup,sortation,transport

246、ation and delivery to provide customers with high-quality service experience.During the reporting period,the Company continued to optimize and improve its information system,and released Center,Outlet,attendance management system,digital billboards,etc.,to expand the scenarios of business services a

247、nd improve the overall management efficiency and digitization level of the network.Protection of intellectual property rights(IPR)ZTO Express strictly complies with the requirements of the Trademark Law of the Peoples Republic of China,the Copyright Law of the Peoples Republic of China,the Patent La

248、w of the Peoples Republic of China,the Law of the Peoples Republic of China against Unfair Competition and other laws and regulations to strengthen the management and protection of patents,copyrights and other IPRs,and has obtained the certification of GB IPR Management System.During the reporting p

249、eriod,the Company updated the IPR Management Policy and revised the provisions on patent application,implementation process and other related items,further standardizing the Companys IPR management.During the reporting period,the Company obtained patents,software copyrights,and trade-marks,and inves

250、ted over.million yuan in total on IPR.In addition,in order to boost the IPR awareness of employees,unlock the energy of innovation and strengthen the capacity for IPR transfer and transformation,the Company regularly invites senior and professional lecturers to provide training on IPR,trademark and

251、copyright protection and innovation to employees.At the same time,the Company encourages employees to independently apply for patents and implements a patent incentive system to provide awards for inventors and their teams based on the quantity and quality of submitted patent applications.Center Pro

252、viding operation information,business information,service quality,basic information,center comparison and other functions to center and operation managers to give them a comprehensive picture of real-time and historical data,and support the data necessary for reducing center costs,improving operatio

253、n efficiency and strengthening service capabili-ties.Outlet Providing managers with basic information of outlets,business develop-ment,daily operation,last mile presence,cost policy and other related information,and helping front-line managers quickly locate and under-stand the situation of outlets

254、through-degree panoramic data coverage.Attendance management systemCompleting a series of tasks,including the review of facial sign-in services,software development and hardware debugging of the atten-dance device,and development of backstage management functions of the attendance system,and enablin

255、g the operator attendance function in centers of the network.Digital billboardGathering information on the transshipment capacity of all network centers,information on park scale,timetable data of the whole chain,data on service quality,inbound and outbound vehicles,data on the operation volume of t

256、he centers and data on large and small equipment,enabling real-time monitoring of operators and high-capacity trailers in the network all at once.SOFTWARE COPYRIGHTS19PATENTS65TRADEMARKS139TOTAL ON IPR1.19Digital transformationmillion yuanCertification of IPR management system ESG ReprotZTO E Bringi

257、ng express delivery services to overseas marketsActively responding to the going global development strategy and aiming for the goal of becoming a world-class integrated logistics service provider,ZTO Express has integrated the supply chains of overseas warehouses,special lines and cross-border e-co

258、mmerce based on ZTO Global Logistics,and developed a multi-channel,diversified and all-round service model to promote the internationalization of products and services,and provide customized one-stop logistics supply chain services.Products and services of ZTO InternationalCross-border servicesCross

259、-border export:Cross-border parcel delivery to more than countries and regions worldwide;Cross-border import:Full-chain delivery services from overseas destinations to the Chinese mainland;Transit and warehousing:Customizable,secure and speedy transit services from China to the rest of the world.Loc

260、al services in overseas destinationsWe have local transportation networks in six ASEAN countries,the ROK and five African countries,providing cross-border import and local delivery services.Local services in Chinas Hong Kong,Macao and Taiwan regionsWe provide local warehousing and delivery as well a

261、s import&export transit services in Chinas Hong Kong region.Special productsWe provide special services such as collection on delivery,cash on delivery,and time-definite parcels to meet the logistics demands under different scenarios.Innovative products and services launched by the Company in Beijin

262、g No.Logistics Center WarehouseZTO Express has established a well-functioning system of express delivery products,and expanded the product lines on a continuous basis.We have developed ZTO Standard,ZTO Expedited,ZTO Premium and other products in response to diversified customer demands,such as guara

263、nteed on-time delivery,delivery on demand,and compensation for late delivery,and provided personalized value-added services and customized products for platform or specific customers.At the same time,in response to the call of the State Post Bureau for bringing express delivery services to villages

264、and factories and to the overseas markets,we have expanded express delivery channels into factories and outbound express delivery channels,and actively built our last-mile presence to meet diversified and personalized market demands.Bringing express delivery services to factoriesZTO Express continue

265、s to promote the Express Delivery into Factories project and advance the integration of the indus-trial chain.Through our one-stop delivery services,we have continuously optimized the supply structure of the indus-try,and pushed for win-win cooperation with upstream and downstream enterprises.Produc

266、t innovationZTO Express and Foton Cummins Engine Co.,Ltd.carried out in-depth cooperation on the parts logistics center warehouse project and jointly built Beijing No.Logistics Center Warehouse.The warehouse enabled a switch from the original model of storage inside the factory to the out-of-factory

267、 model of centralized storage and manage-ment,quality inspection and order-based delivery,and upgraded the original approach of decentralized manage-ment by suppliers to unified and centralized management of suppliers inventory through the advanced warehouse management system.By changing the warehou

268、se model,the Company has freed its limited space for material storage and operation,and provided the needed space for the factory to adopt more automation and intelligent applications.In the meantime,the use of centralized management has helped the Company to further improve its management efficienc

269、y and reduce operating costs.In,we focused on promoting ZTO Standard in medium and high-end e-commerce,auto parts,medicine,clothing,C electronics,fresh and frozen foods industries.Under the current.version,we have adopted closed-loop management to last-mile services,and updated the means of last-mil

270、e dispatch based on different pickup scenarios,gradually shifting from product-centered to customer-centered.We provide our contract customers with the personalized service of simultane-ous dispatch of parcels with multiple waybill numbers in the same sales order.We have launched the freshness guara

271、ntee service for fruits and vegetables that need to stay fresh.For fresh product whose outer packaging is intact but%of the inside is damaged,compensation amounting to the products actual value will be provided.We are working with ByteDance to provide consumers with services including delivery appoi

272、ntment by telephone and delivery to the door on demand.We are working with platforms to intercept or enable individual customers to initiate interception on their own.Having skipping the step of communication with outlets,such a practice has simplified the operation at the platforms and outlets,and

273、improved the platforms interception efficiency in user refund and pandemic scenarios.Launched in February,the new function makes it easier for individual customers to initiate interception on their own.ZTO StandardSimultaneous dispatchFreshness guarantee On-demand deliverySimplified interceptionAddr

274、ess modifica-tion function for individual customersExpress delivery productsValue-added productsTargeted servicesJoint construction of warehouse,creating a new model of express delivery into factories ESG ReprotZTO EOn November,at the th China International Import Expo,Speedaf,an overseas express de

275、livery brand invested by ZTO Express,entered into strategic cooperation with Yunquna,a leading one-stop international logistics online service platform.The two sides will leverage their strengths to jointly develop full-chain digital intelligence services for cross-border e-commerce logistics in eme

276、rging markets such as Africa,the Middle East and South Asia.Going forward,the two sides will share resources and complement each others capabilities,optimize end-to-end logistics costs through technology-enabled logistics,continuously improve customer experience,create more values for customers,crea

277、te ultimate cost-effective services,cultivate one-stop,full-chain,visualized and integrated logistics service capabilities in emerging markets,and jointly build a high-end intelligent international logistics ecological environment.Tuxi Living Service Center+ZTO Express strives to build its own last-

278、mile delivery services.To establish stable service outlets in local communities and resolve the problem of last-mile delivery,ZTO Express has launched its new brand Tuxi.Capitalizing on the demand of self-pickup,Tuxi empowers community stores with the rigid demand of high-frequency visits by express

279、 delivery custom-ers.Following a collaborative approach,our goal is to build a network of community stores with a consistent image and diversified service capabilities.Through data-driven and technological innovation,we aim to improve the express delivery experience of our customers,and establish a

280、new type of community-based retail infrastructure that are closest to consum-ers based on family demands.Tuxi Living Service Center+Providing diversified last-mile services at flagship stores,communities,campuses and ZTO sign-in stations,saving the dispatch operation of couriers,reducing the possibi

281、lity of courier fines due to customer complaints on parcel signing,compet-ing for market share in last-mile delivery,and increasing the revenues of outlets.Tuxi courier cabinetProviding terminal devices for parcel pickup and delivery to schools,commu-nities,townships,property management centers,etc.

282、through the application of Internet of Things,big data and other technologies,offering pickup/delivery services on a/basis,and using intelligent delivery,combined with OTP cabinet opening,to remind the parcel receivers to collect the parcels in time.Tuxi distributionProviding last-mile delivery solu

283、tions for parcels sent by multiple courier brands,empowering outlets with reduced costs and higher efficiency,and providing intelligent identification and logistics tracking capability upon the arrival,delivery,dispatch and signing of parcels of multi courier brands.Sending sound and text alerts on

284、value-added intercepted parcels,and enabling bulk registration of problematic parcels.Tuxi products and servicesSpeedaf Express and Yunquna enter into strategic cooperation to strengthen cross-border e-commerce logistics services in emerging marketsStrategic cooperation with the one-stop internation

285、al logistics online service platform Yunquna Landmark events of ZTO Global Logistics in China-New Zealand air freight service fully upgradedAir cargo services from China to European countries officially launchedAir freightCross-border(China-Cambodia)cold chain service officially launchedCold chain l

286、ogistics service for flowers launched between China(Kunming)and Thailand(Bangkok)Cold ChainOcean freight line to Australia officially launchedOcean freightNew cold storage service launched by ZTO CambodiaRuili International Warehouse of ZTO Myanmar officially put into operationTransshipment warehous

287、es added in nine Chinese cities,including Shanghai,Kunshan,Shenzhen,Changsha and GuangzhouWarehousing ESG ReprotZTO EGuided by the philosophy of Internet+logistics,ZTO Express has independently developed a series of technological products,gradually put in place a digitized,connected and intelligent

288、business pattern covering various scenarios and links,cleared the obstacles in the digital loop of the logistics sector,and cultivated a digital and intelligent logistic system running through the whole process of convenient order placement-efficient pickup-smart transportation-automated sorting-int

289、elligent delivery.In addition,ZTO Express provides digitized scientific guidance on various aspects of vehicle management,including forecast of cargo volume at the centers,schedule planning,vehicle dispatch,parcel integration,vehicle tracking,and cost analysis,to discover problems in advance and mak

290、e timely adjustments in line with real operation scenarios,thus realizing efficient logistics management.Smart logisticsZTO Express has set up a production and research department for vehicle platform,and built its own IoV platform Zhongzhi IoV Service Platform,which provides terminal-device access

291、and self-management,vehicle and alarm data collection and notification,and support for vehicle operation and vehicle security scenarios.Through data collection on vehicle operation and driving behavior,and abnormality monitoring and alarm notification,the platform ensures vehicle safety throughout t

292、he transportation process.Zhongzhi IoV Service Platform Digitized scientific guidance on vehicle managementVehicle management Transforming the maintenance process and processing the vehicle worksheet online to increase the efficiency and convenience of vehicle maintenance;Conducting dynamic route pl

293、anning to increase vehicle utilization and maximizing the use of vehicle resources;Setting up the operation command center to ensure/monitoring of the whole process from parcel pickup to vehicle dispatch.A special webpage for vehicle dispatching has been developed to help the command center monitor

294、the dispatch in real time and assist the front line to locate and solve problems at the earliest possible opportunity,thus completing the close loop.Talent cultivation Training is provided in two ways,i.e.face-to-face training and job rotation at HQ,to enable talent cultivation in the whole network;

295、During the reporting period,the Company carried out a six-month fleet/dispatch training to improve the dispatch centers comprehensive control over routes,costs and timetables.Building on its digital platform,ZTO Express has worked with its ecosystem partners to create the solution of ZTO Express Sma

296、rt Ecological Park by connecting data on various system platforms through technolo-gies such as Internet of Things,big data,artificial intelligence and D visualization.Through the applica-tion of the digital twin technology,we have constructed the digital base of the ZTO Express HQ,enabling all-dime

297、nsional,visualized digital twin governance and operation of vehicles,offices,security,production and other aspects of our business.We have also established an intelligent management platform featuring complete structure,data visualization and standard operation,which provides all the five functions

298、of logistic park management,i.e.perception,analysis,service,command and monitoring.The digital twin platform has addressed the pain points of insufficient service,weak security,low operation efficiency,high management cost and difficulties in business innovation.ZTOs digital twin platformZTO Express

299、 digital twin platform,empowering intelligent management of logistics parksZhongzhi IoV Service Platform,ensuring vehicle safety throughout the transportation process Refined management:The platform uses graphics to display the different status of vehicles,and allows the users to accurately grasp th

300、e vehicle conditions and potential problems.Having overcome the technological barriers in controllability,the Company has achieved technological independence and enhanced core competitiveness.Accurate business analysis:Base on the system data,the platform uses AI to analyze vehicle operation,driving

301、 behavior and other informa-tion,and provide the assessment results of vehicles and drivers,thus simplifying the settle-ment process.Safety warning:The platform monitors the drivers dangerous driving behavior and warns the driver by sending abnormality alarm to ensure the safety of people,vehicles a

302、nd goods.ESG ReprotZTO EThe express delivery business is well-equipped to connect production with consumption,and link products to their users.ZTO Express is taking full advantage of its bridging role and riding on the trend of integrated business development to strengthen collaboration with related

303、 industries.Based on the shared-success culture,ZTO Express has integrated the competitive resources of all stakeholders,established the link between upstream and downstream,empowered the last-mile outlets,advanced the cooperation and communication among industries,and joined hands with partners to

304、build the ecosystem and promote the sustainable development of the express delivery and logistics industry.Topics addressed in this chapterOur actionsSupply chain managementWin-win cooperationPromoting all-round empowerment and strengthening the frontline outletsActing on the principle of sustainabl

305、e procurement and improving the supply chain management systemConnecting upstream and downstream and pursuing win-win cooperation with partnersSDGs addressed in this chapterHand in Hand with Partners for Win-win Results ESG ReprotZTO EEmpowering network partnersCommitted to the principle of all for

306、outlets in its services,ZTO Express has adopted technology and training empower-ment to strengthen outlet capabilities and reinforce the service advantages of the network,thus improving the brand competitiveness of the Companys delivery business.Promoting the digital transformation of outletsZTO Exp

307、ress has adopted digital management tools to empower franchised outlets,promote their standardized develop-ment,and improve the management and operation efficiency of outlets.Improving outlet managementZTO Express pays high attention to the needs of outlets and has set up service hotlines to collect

308、 the opinions of outlets and couriers,and address their reported problems in time.At the same time,the Company has delegated a third-party professional institution to prepare the Research Report on the Healthiness&Survival and Development Status of Front-line Outlets.Using a combination of telephone

309、 interviews and field visits,the project monitors the healthiness index of the outlets,and learns about the current status and factors affecting the survival of frontline outlets.To address the current situation of the outlets,the Company promptly provided an interpretation of the report.During the

310、reporting period,we stepped up efforts on policy fairness and inclusiveness and protection of the rights and interests of frontline outlets,implemented the last-mile policies of the network,and further improved the management performance and capability of the outlets through business governance,busi

311、ness model adjustment,capacity building and other initia-tives.ZTOs Digital Management Measures to Empower Service OutletsReconstructing core workflow through RN technology scenario,leading to a%increase in the efficiency of pickup and delivery operations;Reducing the time gap between different vers

312、ions of courier app,leading to a%increase in business efficiency;By setting out online fulfillment requirements,including pre-delivery appointment with customer by phone and home delivery service,we have increased the efficiency of fulfillment control by%;By developing customer operation tools and c

313、arrying out marketing activities,we have formed a closed loop covering the whole process of issuing coupons to attract new customers,customer access,classifica-tion,quotation and reconciliation.Optimization of courier toolsPromotion of four-segment codeJoining hands with partners such as Cainiao and

314、 PDD to realize algorithm learning and printing of the four-segment code.By reading the code,the couriers are able to locate the outlet for the parcel in the sorting process,thus creating a new delivery model of direct sorting and direct delivery.By the end of,the accuracy rate of the four-segment c

315、ode had exceeded%,and over outlets are now using the code.Optimization of automated sortingUsing innovative address cutting to generate address piles of agent outlets,matching automated sorting equipment with agent outlets,and assigning automated sorting to courier stations.By the end of,automated s

316、orting equipment had been introduced in outlets,covering more than,last mile posts.This has further raised the efficiency of sorting and reduced the sorting costs of outlets.Optimization of management tools at the outletsImproving the management of outlets by optimizing inbound and outbound parcel t

317、racking,downward settlement,cost-volume-profit,quotation transformation,upgrade of personnel operation process,etc.Assisting outlets with skills trainingCommitted to supporting the team-building efforts of outlets,ZTO Express carries out regular training activities to improve the business skills of

318、relevant outlet personnel.In the meantime,to address the existing problems in the outlets,we provide regular empowerment,assisting outlets to improve their management by conducting data analysis,identifying key causes,providing corresponding solutions,etc.,and follow up on the execution and results

319、of above implementation.Training courses for outlet managersTo help our operation managers in the network refine their way of thinking,establish the cost and quality mindset,and adopt a more refined approach to management,we introduced a training program on management mindset for the operation manag

320、ers during the reporting period,which mainly included courses such as Teaching Power Improvement for Managers,Basic Mindset of Operation Management and Problem Mindset,which totaled.training hours and managers in total attended the training.Training on management mindset,strengthening the foundation

321、 of management ESG ReprotZTO EStrengthening supplier managementZTO Express continuously optimizes its management system and implements strict assessment standards for supplier admission.While ensuring the quality of products and services,we also pay attention to suppliers performance in aspects such

322、 as business ethics and environmental protection,in order to reduce the risks on the supply side and improve the overall management of the supply chain.Supplier management systemWith strict reference to the supplier management measures issued by the government,ZTO Express has adopted a series of int

323、ernal policies,including the Dynamic Supplier Management Policy,the Implementation Rules for Local Sourcing under the Procurement Management Policy,and the Management Measures for Bidding and Tendering of Transit Equipment,with clear procedures covering the full life cycle of supplier management,i.e

324、.introduction,evalua-tion and exit,and put in place a standardized,fair and unified supplier management system.We actively identify and evaluate the risks of suppliers,and take into full account the qualification,service capability and stability of suppliers in the admission and evaluation process.I

325、n the meantime,we have set out clear response measures for specific non-compliance events in the contract to minimize the risks of suppliers.In addition,we define suppliers that cooper-ate with the HQ on centralized procurement,which covers most raw materials,transit equipment,engineering parts,vehi

326、cles,and security items,as our key suppliers.Supplier management processAdmission The supplier or the relevant management department fills in the basic informa-tion of suppliers in the supplier portal system,and uploads admission application materials;The Business Department,Legal Department and Pro

327、curement Department review the suppliers admission application materials according to their respective duties.Evaluation The Company combines daily project management with annual evaluation to evaluate the performance of suppliers,and adopts a graded and classifica-tion-based approach to the managem

328、ent of different types of suppliers accord-ing to their evaluation results.Exit In the case of violation of policies,the supplier will be immediately disquali-fied,and removed from the qualified vendor pool.Supplier ESG ManagementThe Company upholds the principle of sustainable procurement and activ

329、ely integrates the ESG concept into supplier management.We have incorporated elements such as environment protection,quality management,business ethics and labour rights into the process of supplier admission and evaluation,and encouraged suppliers to continuously strengthen their ESG management.ESG

330、 management of the Companys suppliersEnvironmental We have formulated the Green Procurement System,established a standard working system for green procurement of the enterprise and introduced a list-based approach to management.We have chosen suppliers with the Certification of Green Express Packagi

331、ng Products.Social We have put in place a well-functioning quality management system,and passed the ISO quality management system certification.Governance We pay attention to supply chain corruption,require procurement personnel to sign commitment to integrity,ensure the compliance of both parties t

332、hrough the contract signed by suppliers,and take actions to prevent acts of unfair competition.ZTO Express continuously strengthens supplier management,and endeavors to establish a transparent,dynamic,traceable and accountable supply chain system.During the reporting period,we continued to promote o

333、nline supply chain management,and successively launched the local sourcing system,the online payment platform,and the online acceptance form for transit equipment,to further improve the efficiency of supply chain management.Total number of suppliers Chinese mainland Overseas regionsNumber of local suppliers(Shanghai area)Number of newly hired suppliersTotal number of supplier reviews conducted in,