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Business Continuity Management

UMC Business Continuity Management System Development and History

UMC recognizes the issue of business continuity, which means the importance of providing continuous services to strategic customers and stakeholders. UMC each fab has developed its BCP workbook (Business Continuity Plan workbook) since 1999. Hsinchu headquarter, Fab12A, and Fab12i passed ISO 22301:2012 verification sequentially since 2013 and became a leader in the semiconductor industry to receive ISO 22301 Business Continuity Management system verification. Composed of the management teams, UMC’s Taiwan headquarter established “Business Continuity Management Committee” to be in charge of resources integration, constant review of improvement plans, and, when risks arise, to ensures making all-out effort to maintain and recover the highest operation objectives and protect the utmost rights and interest of customers and stakeholders.

 

 

UMC Business Continuity Policy and Objective

Policy

  • UMC aims to provide customers with more excellent and continuous service.
  • UMC carries out business continuity system operation and resources integration to ensure the system’s effectiveness.
  • UMC reviews and improves continuously to enhance the resilience of responding to various disasters before/ during/ after the disruption from business impact to ensure the utmost rights and interests of customers and stakeholders.

Objectives

  • Personnel safety is the top business continuity objective.
  • UMC achieves its business continuity objective by reducing operational impact and shortening recovery time through thorough risk assessment and the establishment of preparedness as well as response capabilities to various disasters.
  • UMC follows ISO 22301 management system standard and executes BCP drill on a regular basis to review the effectiveness of business continuity plan and make continuous improvements.

 

 

BCM Framework

UMC follows the ISO22301 standard to establish, implement, monitor and maintain BCMs, with continual improvement of the system, to ensure that business operations continue during incidents or disasters, and to realize the goal of non-interrupted operation.


All UMC fabs and functional departments have deployed emergency response and recovery plans for specific events such as earthquake, fire, chemical spill, power disruption, water shortage and material shortage. BCP Exercise are conducted every year in order to continually improve emergency response and recovery procedures.

 

 

 

BCM Committee Organization Chart
umc_csr_risk_BCM-Framework_en.jpg

 

 

 

Stage 1. Emergency Response

Control and rescue (hours-days)

Limit the effect of incidents or disasters as per the emergency response plan.

 

 

Stage 2. Incident Management

Stabilization & mitigation (days-months)

Achieve minimum operational goals within the recovery time objective, RTO, as per the business continuity plan.

 

 

Stage 3. Business Recovery

Back to normal (months-year)

Recovery at the affected fab to restore its production capability back to normal within maximum acceptable downtime as per business recovery plan.

 

 

Operation of Business Continuity Management

The BCM management review meeting is held annually to review both risks from internal and external and how precisely and effectively BCM system is operated. Exercises on procedure are held periodically to sharpen response and recovery after incidents. Every fab will conduct BCP exercise at least one time per year, furthermore, we also conduct an MT level drill once every 3 years. The drill is convened by President Chien and related executive members including CFO, CHO, manufacturing vice president, manufacturing resource integration vice president, etc. We practice stakeholder’s communication tactics in various aspects, including employees, suppliers, customers, investment banks and social media. In addition, production allocation plans between different fabs are also adopted. It demonstrates UMC’s resilience in business continuity. The 2020 achievements and the certification plan for ISO22301 system are as follows:

 

 

Achievements in 2020

Future goals (2021-2025) Summary

Operation Results for BCM system

A total of 10 fab-wide BCP drills and various emergency response trainings and reviews for a total of 1,050 person-times participants were completed.

Continue to promote the business continuity management system in all UMC fabs :
⦁ 100% for 12-inch fabs
⦁ ≧50% for 8-inch fabs

 

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