Corporate Governance Structure
Governance Structure
Fusheng Precision believes that strong governance is the foundation of sustainable business. Centered on integrity, we have established a comprehensive governance system and continuously refine management processes to ensure that every decision and action complies with laws, regulations, and the highest ethical standards.
Through rigorous monitoring and reporting mechanisms, we implement our Corporate Governance Code, Integrity Management Procedures, and Anti-Corruption Policies, demonstrating our commitment to transparent and ethical operations.
Implementation & Transparent Disclosure
To ensure the Board’s professionalism and independence, we conduct regular performance evaluations, provide ongoing training, and set long-term development goals. All governance operations and outcomes are publicly disclosed in our annual report and governance section on the website, allowing shareholders, investors, and the public to track our progress.
We believe that trust and value are built on integrity and transparency, forming the foundation for a resilient and sustainable future.
Company Structure
Organizational Responsibilities
Description
The Board of Directors of the Company, composed of 7 directors, including 3 independent directors (42.9% of the total directors), holds the board meetings at least once a quarter. In addition, the members of the Board of Directors all have the professional, diverse and complementary backgrounds required for the Company’s operation, which would continue to enhance the functions of the Board of Directors, improve the leadership and management of the management team, attach importance to the protection of shareholders’ rights and interests and the ensure the correctness and transparency of information.
Description
The audit committee of the Company, composed of 3 independent directors, holds meetings at least once a quarter and is responsible for the implementation of the proper presentation of the Company’s financial statements, the selection (dismissal) and determination of independence and performance of certified public accountants, the effective implementation of the Company’s internal control, the Company’s compliance with relevant laws and regulations, and the management and control of the Company’s existing or potential risks, etc.
8 meetings were held in 2024, with a member attendance rate of 100%.
Description
The remuneration committee of the Company, composed of 3 independent directors, holds at least two meetings every year and is responsible for regularly reviewing remuneration regulations and proposing amendments, formulating and regularly reviewing annual and long-term performance goals and remuneration policies, systems, standards and structures for directors and managers of the Company, regularly assessing the achievement of performance goals of directors and managers of the Company, and determining the content and amount of their respective wage and remuneration, and submitting the proposal to the Board of Directors for discussion.
4 meetings were held in 2024, with a member attendance rate of 100.
Description
Assist the Board of Directors and managers in examining and reviewing the defects of the internal control system and measuring the effectiveness and efficiency of business operations, and provide proposals of improvement in a timely manner to ensure the continuous and effective implementation of the internal control system and serve as the basis for reviewing and revising the internal control system. In 2024, the audit office of the Company conducted two separate discussions with independent directors and certified public accountants to communicate on the implementation, the tracking of the improvement of defects and the effectiveness of audit works.
Description
The accounting manager is also our corporate governance officer.The corporate governance officer is responsible for executing matters related to the Board of Directors’ and shareholders’ meetings, preparing minutes of the Board of Directors’ and shareholders’ meetings, assisting directors in their appointment and continuing education, providing directors with the information required for business execution, and assist directors in complying with any other matters stipulated in laws, regulations, the articles of association or contracts, etc.
The corporate governance officer of the Company had completed 18 hours of continuing education courses in 2024.
Description
Our CFO is also our Chief Sustainability Officer. Fusheng Precision and its subsidiaries worldwide has formed the ESG task force based on different functions to implement the Company’s ESG strategies. We report to the Board of Directors at least once a year on the implementation of sustainable development initiatives. Carbon inventory is a specific project, with results reported to the Board of Directors quarterly.