Risk Management

1. Risk Management Policies and Procedures

       In order to manage the various risks that may be faced by the operation, to shape the business strategy and organizational culture that emphasizes risk management, and to establish an overall risk management system, the Company has established “Risk Management Policies and Procedures” as the highest guiding principles of the Company’s risk management. It was approved by the Company’s Board of Directors in August 2020, and the Board of Directors and key subsidiaries, managers and employees of all levels have jointly participated in the promotion of implementation. The risk management team reports to the Risk Management Committee and the Board of Directors on the operation of risk management at least once a year, and the most recent report is dated November 13, 2020.

2. Risk management scope

       The company integrates and manages all potential risks that may affect operations and profitability in an active and cost-effective manner, including hazard risks, operational risks, financial risks, strategic risks, contract risks and other risks.

3. Risk management organizational structure

4. 2020 Operation Status

       Risk management is the key to the operation of a company. Oneness Biotech aims to effectively manage and control risks, establish a complete risk management system, and integrate the spirit of risk management into the company’s operating strategy. At present, “Risk Management Policies and Procedures” have been developed. The Board of Directors is the highest unit of the risk management policies and is responsible for approving, reviewing, and supervising the company’s risk management policies to ensure the effectiveness of risk management. The Risk Management Committee regularly listens to the company’s risk management team reports, and supervises the implementation of risk management by the Company and its key subsidiaries. At the same time, internal promotion of risk management is not only the responsibility of a specific unit, and all colleagues should recognize the need to share responsibilities. Thus, from the perspective of the overall operation of the company, the authority and responsibility units identify the relevant risk factors, measure and analyze the impact of each risk on the company’s operations, and develop risk control measures to control the various risks that may be faced by operating activities within the company’s scope. Furthermore, in order to continuously improve the risk management system, in addition to inherent risk issues such as ethical corporate governance, operational development, and new drug research and development, in the future, the Company will incorporate green environmental protection and labor human rights issues related to corporate sustainable operation into risk management, and formulate corresponding management and control measures of the company to improve risk management and control, and ensure the achievement of sustainable business goals.