CONTENTS

1.

About this Report

2

2.

Message from the Chairman

3

3.

About Us

4

4.

Sustainable Development Governance

12

5.

Building a Bridge for Students to Achieve Success by an "Ingenious" Gench

20

5.1

Excellent educational philosophy

20

5.2

Rich teaching resources

21

5.3

Strict quality management

22

5.4

Open foreign exchanges

23

6.

Building a Bridge for Teachers to Fulfil Their Career Goals by a "Comforting" Gench

26

6.1

Stringent employment standards

26

6.2

Considerate staff care

27

6.3

Well-established training system

29

7. Building a Bridge for Society to Satisfy Its Need for Educated Talents by a "Reassuring"

Gench

33

7.1

Robust compliance operation

33

7.2

Comprehensive logistics support

37

7.3

Sincere exchange of opinions

42

7.4

Reciprocal supply management

45

7.5

Environmentally-friendly green campus

46

7.6

Warmhearted social practices

53

8.

Future Prospects

55

Appendix I: Key Performance Indicators

56

Appendix II: Environmental, Social and Governance Reporting Guide Index

59

Appendix III: Opinions and Feedback

64

1. About this Report

Shanghai Gench Education Group Limited ("Gench Education" or the "Company"), together with its subsidiaries (collectively the "Group" or "we", "us" or "our"), is delighted to publish its first environmental, social and governance report (the "ESG Report") with an aim to disclose the Group's environmental, social and governance performance in relation to corporate social responsibility and sustainable development.

BASIS FOR PREPARATION

This report was prepared in accordance with the Environmental, Social and Governance Reporting Guide (hereinafter the "Guide") as set out in Appendix 27 to the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited ("Hong Kong Stock Exchange"), the scope and content of which are also in compliance with the disclosure requirements of the "comply or explain" provisions in the Guide. In addition, this report was also prepared under the disclosure requirements of the newly-revised Environmental, Social and Governance Reporting Guide.

The Group has observed and applied the four reporting principles, namely, materiality, quantitative, balance and consistency, set out in the Guide in the preparation of this report. We have communicated with key stakeholders to understand their degree of concern on the environmental, social and governance issues relating to our business, in order to determine the framework and content of this report and prioritise the disclosures based on the principle of materiality. This report has adopted the principles of quantitative and consistency for the calculation. If there are any changes in the calculation method or any other relevant factors affecting a meaningful comparison in the future, we will clearly explain in the report. Our reporting gives a view of the Group's sustainable development performance during the Reporting Period in a balanced and impartial manner.

SCOPE OF THE REPORT

This report focuses on disclosing the Group's overall and quantitative sustainable development performance during the period from 1 January 2019 to 31 December 2019 (hereinafter the "Reporting Period" or the "Year"). Unless otherwise specified, the scope of this report is consistent with that of the Group's annual report this year, including Shanghai Gench Education Group Limited, Shanghai Gench Education Holdings Limited, Gench Education Group (Hong Kong) Limited, Gench Education Group US, Inc, Wangting Education Technology (Shanghai) Limited, Shanghai Jianqiao (Group) Co., Ltd., Shanghai Jian Qiao Investment Development Co., Ltd. and Shanghai Jian Qiao University.

SOURCE OF DATA

All the data and cases in this report come from the statistics reports and relevant documents of the Group. The Group warrants that there are no false representations or misleading statements in this report, and is responsible for the truthfulness, accuracy and completeness of the contents herein.

APPROVAL OF AND ACCESS TO THE REPORT

This report has been considered and approved for publication by the board of directors (the "Board") of the Group on 24 July 2020. This report includes both Chinese and English versions. If there is any discrepancy, the Chinese version shall prevail. An electronic version of this report is available at the section under the "Investors Relations" on the official website of the Company (www.genchedugroup.com).

OPINIONS AND FEEDBACK

We attach high importance to your opinions and feedback on this report. If you have any queries or suggestions, please feel free to contact us through the following channels:

Address: 40th Floor, Sunlight Tower, No. 248 Queen's Road East, Wan Chai, Hong Kong

E-mail address: ir@gench.edu.cn

2 Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report

2. Message from the Chairman

2019 is an extraordinary year to the Group. Through our committed and ongoing efforts in 2019, the Company was listed on the Main Board of The Stock Exchange of Hong Kong Limited on 16 January 2020, which represents an important milestone in our business development and forward movement. We operate a private university which is the largest in Shanghai and the best in the first-tier cities*. While maintaining the rapid scale growth of this university, we uphold the belief of "Thanksgiving, Return, Loving and Responsibility" towards a path of sustainable development to vigorously promote the environmental, social and governance work.

We insist on "building a bridge for students to achieve success". We provide our students with high quality education focusing on applied sciences and covering a full range of practical major offerings. By virtue of the professional courses designed by us closely based on the market demands and through international cooperation, industry-teaching integration, school-industry collaboration and other strategies, we expand the global views, improve the comprehensive quality and enhance the job market competitiveness of our students, which lays a solid foundation for our University to achieve a higher initial employment rate of graduates. In May 2018, we started to implement the ISO 9001 quality management system and developed quality criteria for various education and teaching links, so as to ensure the extremely high teaching quality of our talent development. As at 30 September 2019, our University has entered into 68 cooperation agreements with different overseas institutions to set up international programmes, carry out a variety of overseas exchanges and studies for students, and actively facilitate internationalised school running, with a view to broadening the global views of students.

We are committed to "building a bridge for teachers to fulfil their career goals". We formulate fair and rigorous employment rules and assessment measures to manage our teaching team. With considerate care for our staff and well-established training system in place, we also build an elite team with both integrity and ability and improve the abilities of teachers at teaching and education, thereby building a solid bridge for teachers to get rooted and fulfil their career goals.

We realise "building a bridge for society to satisfy its need for educated talents". We exercise stringent management and law-based governance of our University in accordance with the code of conduct with integrity and compliance operation, protect the privacy and interests of students and their parents, respect intellectual property, and build a responsible supply chain management system. We show high concern about the needs of students, their parents and teachers, establish a sound health and safety management system and various communication channels to provide a healthy and safe campus to students and teachers, and listen to their needs through sincere exchange of opinions with them. To build a low-carbon and green campus, we have formulated the Corporate Sustainable Development Policy to implement energy saving and emission reduction and mitigate climate changes. We take an active part in various charitable activities, voluntary services and social practices.

For sustainable development, Gench Education fulfils its corporate social responsibilities and stays true to its original intention to forge ahead in promoting the environmental, social and governance work. Meanwhile, we continue to implement the basic task of nurturing capable and upright graduates by leveraging on the strengths of private university system in innovation to continuously improve the quality of applied talent development and cultivate more appropriate talents catering for the needs of social development.

Mr. Zhou Xingzeng

Chairman and Executive Director

  • According to the ranking of CUAA.net in 2020, Shanghai Jian Qiao University ranks first in terms of comprehensive strengths of private universities in the first-tier cities in the PRC for 2020.

Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report

3

3. About Us

OUR PROFILE

Shanghai Gench Education Group Limited (1525.HK) operates a leading private university in Shanghai, which is also a leading private university in the entire Yangtze River Delta, as measured by total full-time student enrolment. Since our commencement of investment in the education industry in 2000, the Group has operated a private university in Shanghai for over 19 years. Currently, we operate Shanghai Jian Qiao University ("our University").

OUR MILESTONES

2000

The predecessor of our University, namely, Private Shanghai Jian Qiao Vocational College# (民辦上海建橋

職業技術學院), was established as a private college which mainly provided higher vocational education at

junior college level.

2003

The predecessor of our University changed its name to Shanghai Jian Qiao Vocational College# (上海建橋職

業技術學院).

2005

Shanghai Jian Qiao Vocational College# (上海建橋職業技術學院) transformed into our University, a higher

education institute which is entitled to provide undergraduate education in addition to higher vocational

education, and changed its name to Shanghai Jian Qiao University (上海建橋學院).

2015

Our University moved from its previous campus in Kangqiao County to a new campus in Lingang New City

area in Pudong New Area, Shanghai.

2017

Our University was included in the "Additional Institutions with the Master's Degree Conferring

Qualification Pending Approval in Shanghai".

2020

The Group was listed on the Main Board of the Stock Exchange on 16 January 2020 with stock code: 1525.

OUR HONOURS**

Major honours of our school:

Name of award

Level of award

Awarding unit

Time of award

Shanghai Civilised Campus for Year 2017-2018

Provincial level

Shanghai Municipal People's Government

April 2019

(2017-2018年度上海市文明校園)

(上海市人民政府)

The general Party branch of the Information

Provincial level

Ministry of Education of the People's Republic of

December 2019

Technology School of Shanghai Jian Qiao University

China

was included in the second batch of the 100

"National Model Schools and Departments in Party

Building Work" (上海建橋學院信息技術學院黨總

支入選第二批100個「全國黨建工作標桿院系」)

The Party branch of the teaching staff at the

Provincial level

Ministry of Education of the People's Republic of

December 2019

Mechatronic Engineering Department of Shanghai

China

Jian Qiao University was included in the second

batch of the 1,000 "National Model Branches in Party

Building Work" (上海建橋學院機械電子系教工黨

支部入選第二批千個「全國黨建工作樣板支部」)

Demonstration Unit of Economical Public Institution

Provincial level

National Government Offices Administration,

February 2019

(節約型公共機構示範單位)

National Development and Reform

Commission and the Ministry of Finance

  • For identification only
  • Our honours are ranked according to the importance of the awards the Group obtained in 2019.

4 Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report

3. About Us

Major honours of our school (Continued):

Name of award

Level of award

Awarding unit

Time of award

National Advanced Unit in Campus Management of

Provincial level

China Association for Campus Management

March 2019

Higher Education Institutions (全國高校後勤事業發

(中國教育後勤協會)

展先進單位)

Shanghai Model School for Law-based Governance

Commission, office and

Shanghai Municipal Education Commission

March 2019

(上海市依法治校示範校)

bureau level

(上海市教育委員會)

Shanghai May Day Labour Award (上海市五一勞動

Commission, office and

Shanghai Municipal Federation of Trade Unions

May 2019

獎狀)

bureau level

(上海市總工會)

Shanghai Characteristic University in Party Building

Commission, office and

CPC Shanghai Education and Hygiene

July 2019

Work (上海黨建工作特色高校)

bureau level

Committee# (中共上海市教育衛生委員會)

Model Cultivate School for Informationised Education

Commission, office and

Shanghai Municipal Education Commission

June 2019

Application in Shanghai (上海市教育信息化應用標

bureau level

(上海市教育委員會)

桿培育校)

Excellent Case of Refined and Detailed Implementation

Commission, office and

CPC Shanghai Education and Hygiene

May 2019

of the Core Socialist Values of Shanghai Education

bureau level

Committee# (中共上海市教育衛生委員會)

System for 2019 (2019年上海市教育系統落細落小

and Shanghai Municipal Education

落實社會主義核心價值觀優秀案例)

Commission (上海市教育委員會)

Shanghai Education System 8 March Red-Banner Group

Commission, office and

Shanghai Teacher's Union (中國教育工會上海市 March 2019

(上海市教育系統三八紅旗集體)

bureau level

委員會) and Shanghai Education System

Women Work Committee# (上海市教育系統

婦女工作委員會)

"Outstanding Group" in Volunteer Activity at Shanghai

Commission, office and

Office of Shanghai Spiritual Civilization

May 2019

Science and Technology Museum for 2018 (2018

bureau level

Establishment Committee (上海市精神文明建

度上海科技館志願者活動「優秀集體」)

設委員會辦公室)

  • For identification only

Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report

5

3. About Us

Major honours of our teachers:

Name of award

Name of teacher

Level of award

Awarding unit

Time of award

First prize in conventional teaching -

Chen Suting

Shanghai municipal

Shanghai Municipal Education

October 2019

backbone teacher group at the "Fourth

level

Commission (上海市教育委員會)

Teaching Skills Competition for Teachers

from Private Higher Education

Institutions in Shanghai for 2019" (2019

年第四屆上海市民辦高校教師教學技能

大賽」常規教學 - 骨幹教師組一等獎)

First prize in conventional teaching - junior

Xiao Jing

Shanghai municipal

Shanghai Municipal Education

October 2019

teacher group at the "Fourth Teaching

level

Commission (上海市教育委員會)

Skills Competition for Teachers from

Private Higher Education Institutions in

Shanghai for 2019" (2019年第四屆上海

市民辦高校教師教學技能大賽」常規教

- 初任教師組一等獎)

Second prize at the "Teaching Competition

Li Lan

for Ideological and Political Theory (An

Outline of Modern and Contemporary

Chinese History) of Higher Education

Institutions in Shanghai for 2019" (2019

年上海高校思想政治理論課大比武《中

國近現代史綱要課程》」二等獎)

Second prize at the "First Teaching Skills

Xiao Jing

Competition for Teachers from Private

Higher Education Institutions in the

Yangtze River Delta Region" (「第一屆長

三角地區民辦高校教師教學技能大賽」

二等獎)

Shanghai municipal

CPC Shanghai Education and Hygiene October 2019

level

Work Committee# (中共上海市教

育衛生工作委員會) and Shanghai

Municipal Education Commission

(上海市教育委員會)

"Yangtze River Delta"

Shanghai Municipal Education

November 2019

(Shanghai, Jiangsu,

Commission (上海市教育委員會),

Zhejiang and Anhui)

Jiangsu Education Department (

蘇省教育廳), Education

Department of Zhejiang Province

(浙江省教育廳) and Education

Department of Anhui Province (

徽省教育廳)

  • For identification only

6 Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report

3. About Us

Major honours of our teachers (Continued):

Name of award

Name of teacher

Level of award

Awarding unit

Time of award

Second prize in professional skills, second

Xie Danping

Shanghai municipal

Shanghai Municipal Education

December 2019

prize in basic abilities, second prize in

level

Commission (上海市教育委員會)

micro lectures and second prize in

all-round abilities at the "Basic Skills

Demonstration of Music and Dance

Teachers from Ordinary Higher Education

Institutions in Shanghai for 2019" (2019

年上海市普通高等學校音樂、舞蹈教師

基本功展示」-專業技能二等獎、基礎

能力二等獎、微課二等獎、全能二等獎)

Second prize at Shanghai Qualifying Match of

Xiao Jing

Shanghai municipal

Shanghai Municipal Education

December 2019

the "First Smart Teaching Competition for

level

Commission (上海市教育委員會)

Teachers from Normal Universities and

Colleges in the Yangtze River Delta

Region" (「首屆長三角師範院校教師智慧

教學大賽」-上海市選拔賽二等獎)

National third prize at the "Teaching Star"

Xia Weifan, Xue

National level

Foreign Language Teaching and

June 2019

Competition organised by Foreign

Fan and Gui

Research Press

Language Teaching and Research Press

Ruisi

(外研社「教學之星」大賽全國三等獎)

Third prize at the "First Smart Teaching

Xiao Jing

Competition for Teachers from Normal

Universities and Colleges in the Yangtze

River Delta Region" (「首屆長三角師範院

校教師智慧教學大賽」三等獎)

"Yangtze River Delta"

Shanghai Municipal Education

December 2019

(Shanghai, Jiangsu,

Commission (上海市教育委員會),

Zhejiang and Anhui)

Jiangsu Education Department (

蘇省教育廳), Education

Department of Zhejiang Province

(浙江省教育廳) and Education

Department of Anhui Province (

徽省教育廳)

Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report

7

3. About Us

Major honours of our students:

Level of

Name of competition

competition

Level of award

Organiser

Time of award

2019 National English Competition for

National level

College Students (NECCS)

Tenth Contest of "Lan Qiao Cup" (第十屆

National level

「藍橋杯」大賽)

Fourteenth Sports Dance Championship for

National level

Chinese College Students (Final) (第十四

屆中國大學生體育舞蹈錦標賽

(總決賽))

Contest for International Trade Major of

National level

Business Elites Challenge of Chinese

Higher Education Institutions (全國高校

商業精英挑戰賽國際貿易專業競賽)

Tenth Sunshine Sports Table Tennis

National level

Competition for Chinese College Students

(第十屆中國大學生陽光體育乒乓球

比賽)

2019 National Teaching Effectiveness of

National level

Secretary Practice and Expertise

Innovation Demonstration Competition

(2019年全國秘書實訓教學成果與專業

技能創新展示大賽)

Eleventh National Advertising Art Design

National level

Competition for College Students (第十一

屆全國大學生廣告藝術大賽)

Chinese Collegiate "Computing"

National level

Competition (中國大學生「計算機設計」

大賽)

  • For identification only

4 first prizes, 23 second prizes and 40 third prizes

first prize and third prize

third place, fourth place, etc.

second prize

first prize in group category

1 grand award, 1 first prize and 2 second prizes

first prize and second prize

second prize

National Foreign Languages Teaching

May 2019

Advisory Board of higher education

institutions under the Ministry of

Education (教育部高等學校大學外

語教學指導委員會) and National

Foreign Languages Teaching and

Research Association of higher

education institutions# (高等學校

大學外語教學研究會)

Ministry of Industry and Information

May 2019

Technology

Federation of University Sports of

May 2019

China (中國大學生體育協會)

National Teaching Advisory Board for

June 2019

Economy and Trade Major of higher

education institutions under the

Ministry of Education# (教育部高

等學校經濟與貿易類專業教學指

導委員會)

Federation of University Sports of

June 2019

China (中國大學生體育協會)

The Chinese Secretary Institute of

July 2019

Higher Education (中國高等教育學

會秘書學專業委員會)

China Association of Higher Education

August 2019

(中國高等教育學會) and National

Teaching Advisory Board for

Journalism and Communication

Major of higher education

institutions under the Ministry of

Education# (教育部高等學校新聞

傳播學類專業教學指導委員會)

Ministry of Education

August 2019

8 Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report

3. About Us

Major honours of our students (Continued):

Level of

Name of competition

competition

2019 China Competition of Creative

National level

Packaging Design (2019年中國包裝創意

設計大賽)

2019 China Collegiate Computing

National level

Competition (2019中國高校計算機大賽)

2019-2020 China University Darts League

National level

(Shanghai) (2019-2020全國大學生飛鏢

聯賽(上海站))

2019 "Guangyi-Baijue Cup" National

National level

Diamond Grading Competition

(2019「廣藝 - 百爵杯」全國鑽石分級

競賽)

2019 (25th) National University Fencing

National level

Championship (2019年第二十五屆中國

大學生擊劍錦標賽)

2019 China University Boxing Championship National level

(2019年全國大學生拳擊錦標賽)

Contest for International Trade Major of

Municipal level

Shanghai University Business Challenge

(上海市高校商業精英挑戰賽國際貿易

專業競賽)

Shanghai Higher Education Institution Darts

Municipal level

League in 2018(上海高校飛鏢聯賽

2018賽季))

Level of award

Organiser

Time of award

3 second prizes and 16

China Packaging Federation (中國包

August 2019

third prizes

裝聯合會)

2 third prizes

Ministry of Education

September 2019

4 first places, 5 second

Federation of University Sports of

October 2019

places, 2 third places

China (中國大學生體育協會)

and 7 fifth places

first prize, second prize

Gems & Jewelry Trade Association of

November 2019

and outstanding

China (中國珠寶玉石首飾行業協

award

)

2 first places, 2 first

Federation of University Sports of

November 2019

places in group

China (中國大學生體育協會)

category, 2 second

places, 1 second

place in group

category, 2 third

places, 2 fifth places

and 1 fifth place in

group category

1 first place, 2 third

Chinese Boxing Federation

November 2019

places, 3 fifth places

(中國拳擊協會) and Federation of

nationwide, 1 sixth

University Sports of China

place in group

(中國大學生體育協會)

category, 1 seventh

place in group

category and 2

outstanding athlete

awards

5 third places

Shanghai Municipal Education

April 2019

Commission (上海市教育委員會)

Overall winner in group

Federation of University Sports of

April 2019

category and overall

Shanghai (上海市大學生體育協會)

winner in women

group

Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report

9

3. About Us

Major honours of our students (Continued):

Level of

Name of competition

competition

Eighth University Student Mechanical

Municipal level

Engineering Innovation Competition of

Shanghai (第八屆上海市大學生機械工程

創新大賽)

Tenth Contest of "Lan Qiao Cup" in

Municipal level

Shanghai (第十屆「藍橋杯」上海賽)

Level of award

Organiser

Time of award

5 first prizes and 3

Shanghai Municipal Education

May 2019

second prizes

Commission (上海市教育委員會)

3 first prizes, 8 second

Ministry of Industry and Information

May 2019

prizes and 18 third

Technology

prizes

Sixteenth "Challenge Cup" National

Municipal level

University Student Extracurricular

Sciences and Technology Project Shanghai

Regional Competition (第十六屆「挑戰

杯」全國大學生課外學術科技作品競賽

上海市選拔賽)

Sunshine Sports League for Students in

Municipal level

Shanghai (上海市學生陽光體育大聯賽)

Ninth "Shang Tu Cup" CAD and Innovative

Municipal level

Design Competition (第九屆「上圖杯」先

進成圖技術與創新設計大賽)

Fourth "Hui Chuang Qing Chun" Design

Municipal level

Competition (第四屆「匯創青春」設計大

)

1 first prize and 2 third prizes

11 first places in respective group, 7 second places in respective group, 3 third places in respective group, 1 fourth place, 1 fifth place in respective group, 2 sixth places in respective group and 2 eighth places in respective group

4 first prizes and 11 second prizes

4 first prizes, 7 second prizes and 19 third prizes

Shanghai Municipal Education

May 2019

Commission (上海市教育委員會)

Organising Committee of Sunshine May 2019

Sports League for Students in

Shanghai# (上海市學生陽光體育大

聯賽組織委員會)

Shanghai Municipal Education

June 2019

Commission (上海市教育委員會)

Shanghai Municipal Education

June 2019

Commission (上海市教育委員會)

2019 (Eleventh) Shanghai University Student

Municipal level

Computer Application Ability

Competition (2019(第十一屆)上海市

大學生計算機應用能力大賽)

Eleventh National Advertising Art Design

Municipal level

Competition for College Students

(Shanghai Zone) (第十一屆全國大學生廣

告藝術大賽(上海賽區))

  • For identification only

1 first prize, 6 second

Shanghai Municipal Education

June 2019

prizes, 10 third

Commission (上海市教育委員會)

prizes and 1 winning

award

1 first prize, 6 second

Shanghai Municipal Education

July 2019

prizes, 17 third

Commission (上海市教育委員會)

prizes and 15

outstanding awards

10 Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report

3. About Us

Major honours of our students (Continued):

Level of

Name of competition

competition

Level of award

Organiser

Time of award

Fifth China College Students "Internet Plus"

Municipal level

Innovation and Entrepreneurship

Competition (Shanghai Zone) (第五屆中

國「互聯網+」大學生創新創業大賽(上海

賽區))

Ninth National University Students

Municipal level

E-Commerce Innovation Competition

Shanghai Zone (第九屆全國大學生電子

商務「創新、創意及創業」挑戰賽(上海

賽區))

2019 National Undergraduate Electronics

Municipal level

Design Contest Shanghai Zone (2019年全

國大學生電子設計競賽(上海賽區))

2019 (Sixth) "Shanghai University Students

Municipal level

Entrepreneurial Decision-making

Simulation Competition" (2019(第六

)「上海市大學生創業決策仿真大賽」)

5 bronze prizes and 1 winning award

2 third prizes

3 second prizes, 2 third prizes and 3 successful participant awards

1 grand award, 1 first prize, 10 second prizes and 14 third prizes

Shanghai Municipal Education

July 2019

Commission (上海市教育委員會)

Shanghai Municipal Education

July 2019

Commission (上海市教育委員會)

Higher Education Division of Shanghai

September 2019

Municipal Education Commission

(上海市教育委員會高教處)

Shanghai Municipal Education

November 2019

Commission (上海市教育委員會)

2019 Shanghai University Students "Creation Municipal level

Cup" Competition (2019年上海市大學生

「創造杯」大賽)

Shanghai University Students Engineering

Municipal level

Training Integrated Ability Competition

(上海市大學生工程訓練綜合能力競賽)

2019 Shanghai Vocational Skills Competition

Municipal level

(XR Product Development Technology)

(2019年上海市職業技能大賽XR產品開

發技術大賽)

  • For identification only

1 first prize, 1 third

Shanghai Municipal Education

November 2019

prize, 1 internet

Commission (上海市教育委員會)

popularity award, 2

on-site popularity

awards and 2

winning awards

first prize and second

Shanghai Municipal Education

December 2019

prize

Commission (上海市教育委員會)

2 third prizes

Shanghai Internet of Things Industry

December 2019

Association (上海市物聯網行業協

) and Industry-Research

Cooperation and Education

Association of Shanghai# (上海產學

合作教育協會)

Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report 11

4. Sustainable Development Governance

STATEMENT OF THE BOARD

The Group has established a sustainable development governance structure to strengthen our management of sustainable development. The Board is responsible for the overall supervision of the sustainable development of the Group, and conducts regular discussion, review and check on the Group's management approach, strategies, risks, performance and progress in respect of environmental, social and governance.

In order to exert the effectiveness of sustainable development governance effectively, the Board has allowed the Group to set up an Environmental, Social and Governance Working Group and authorised it to supervise and promote the implementation of various environmental, social and governance issues. Under the authority of the Board, the Environmental, Social and Governance Working Group will consider the opinions collected during the communication with various stakeholders and the results of the materiality assessment when formulating the environmental, social and governance management approach and strategies, to determine the Group's sustainable development focus and priorities, and submit the same for approval and confirmation by the Board. In the future, we will review the progress based on the Group's goals relating to environmental, social and governance to monitor and improve the work of sustainable development.

SUSTAINABLE DEVELOPMENT GOVERNANCE

The Group's sustainable development governance structure builds on good corporate governance and strict ethical standards. We seek to reinforce such governance structure through building bridges for students to achieve success, for society to satisfy its need for educated talents and for teachers to fulfil their career goals and integrating economic, social and environmental considerations into all levels of our business operating decision-making processes.

Board

Environmental, Social and

Governance Working Group

Sustainable Development

Communication and

Engagement Committee

Sustainable Development Governance Structure

BOARD

The Board of the Group listens to material issues of sustainable development reported by the Environmental, Social and Governance Working Group and fulfilment progress of targets relating to environmental, social and governance in the quarterly board meeting and monitors the performance and progress of the Group's sustainable development.

The Board is also responsible for monitoring our risk management, regularly identifying and analysing various risks in business operations, and reviewing management procedures, and keeping the summary in the enterprise risk register for review by the audit committee.

12 Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report

4. Sustainable Development Governance

ENVIRONMENTAL, SOCIAL AND GOVERNANCE WORKING GROUP

The Group's Environmental, Social and Governance Working Group is chaired by our deputy chief executive officer, Mr. Wang Bangyong. Other members are our senior management and middle level management from the finance department, investor relations department, human resources department, administration department, assets management office, educational administration office, foreign exchange office and other departments.

The Environmental, Social and Governance Working Group reports relevant material sustainable development matters to the Board on a regular basis via Board meeting. The Working Group also reviews the fulfilment of the Group's performance in terms of our goals relating to environmental, social and governance and feasibility of the sustainable development initiatives that have been recommended by the person-in-charge of each functional department via the Communication and Engagement Committee.

The members of the Working Group are carefully selected to ensure that employees with different backgrounds and varying levels of expertise, seniority and business functions are incorporated.

SUSTAINABLE DEVELOPMENT COMMUNICATION AND ENGAGEMENT COMMITTEE

The Sustainable Development Communication and Engagement Committee is responsible for identifying and prioritising the communication relating to environment, society and governance and engagement plans and overseeing the implementation thereof. Committee members are composed of representatives from different departments within the Company.

INTEGRATING SUSTAINABLE DEVELOPMENT STRATEGY INTO OUR BUSINESS OPERATIONS

Employee Engagement

Engagement and support of our employees are important factors for the success of the sustainable development strategy of the Group. We have developed a rational performance assessment system to actively encourage our employees to take part in the Group's sustainable development initiatives.

Business Integration and Budgeting

The Group implements sustainable development initiatives in our day-to-day operations and integrates the same into the decision-making at functional level of Shanghai Jian Qiao University under the Group. The logistics and security office, assets management office and other departments of our University have also incorporated sustainable development strategy into their annual budgets and submitted proposed budget allocations to the Environmental, Social and Governance Working Group via the Communication and Engagement Committee.

Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report 13

4. Sustainable Development Governance

Risk Management

In 2019, we conducted a "top-down,bottom-up and all levels combined" risk identification exercise, as led by the quality and planning office of our University and facilitated by an external consultant. By doing this, new risk areas were identified for further consideration and evaluation of their impacts on our business, whilst existing risks were also analysed from a new perspective.

Corporate Sustainable Development Policy

In addition to extensive development of our education cause, the Group also fulfils its corporate social responsibilities to advance the social development. During the Year, we have formulated and published our first Corporate Sustainable Development Policy to guide the Company's business operations. It reflects that the Group firmly believes that our education and teaching business, supply chain and the communities in which our University operates can create long-term and far-reaching value for us. These factors are always considered during the inception, design, execution and cultivation phases of the course offerings and integration modes in production, education and research involved in the education and teaching business of the Group.

In order to effectively implement sustainable development policies, we have formulated the following policies targeted for various environmental and social impacts:

Corporate Sustainable

Internal Control Manual

Various Health and Safety

School Information Security

Development Policy

for Risks to Anti-corruption

Management Measures

Management Measures

Governance

Patent Management

Management Measures

Administrative Measures for

Supplier Management

Measures

for Students' Assessment

Handling Opinions and

Procedures

on Teachers

Complaints

Various Management Measures

Various Implementation

Implementation Measures

Safety Management

on Human Resources

Measures on Teachers'

for Three-Year Energy

Rules on Prevention of

Trainings

Saving and Emissions

Flood and Typhoon

Reduction Action from

2017 to 2019

14 Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report

4. Sustainable Development Governance

STAKEHOLDER ENGAGEMENT

It is an integral part of our daily operations to communicate with our shareholders/investors, students/parents, teachers and other employees, business partners, suppliers, governments and regulators, industry associations, alumni, communities and non-governmental organisations, the public and other stakeholders and promote its participation in sustainable development governance. These stakeholders are both internal and external interest groups who have a significant impact on our business or who experience significant impacts from our operations. We regularly engage with our stakeholders in appropriate ways so that we can understand their expectations and demands and respond to their concerns through our operations in respect of the environment, society and governance.

STAKEHOLDER GROUPS AND METHODS OF ENGAGEMENT

Main methods for communication

Major stakeholders

Expectations and demands

and response

Shareholders/investors

Investment returns

Annual general meeting and other

Business growth

general meetings

Robust operation

Interim and annual reports

Corporate communication

Results announcement

Shareholder visit programmes

Investor meetings

Environmental, social and

governance (ESG) meetings

Students/parents

Teaching quality

Feedback in class

Robust operation

Satisfaction questionnaire

Healthy and safe campus

Regular visits

Student privacy protection

Parent meetings

Employment rate

Online platforms

Phone calls

Mailboxes

Teachers and other

Teaching quality

Survey on employees' views

employees

Career development

Channels for employees to express

Compensation and benefit

their views (forms, suggestion

packages

boxes, etc.)

Healthy and safe working

Work performance appraisals and

environment

interviews

Fair treatment

Group discussions

Meetings and interviews

Seminars/workshops/lectures

Volunteer activities

Business partners

Teaching quality and effectiveness

Strategic cooperation projects

Business growth

Exchange activities

Meetings

Visits

Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report 15

4. Sustainable Development Governance

Main methods for communication

Major stakeholders

Expectations and demands

and response

Suppliers

Fair and impartial procurement

Supplier management procedures

Operating with integrity

Supplier/contractor appraisal

system

Field inspections

Meetings

Governments and regulators

Compliant and rational operation

Meetings

Business growth

Consulting

Teaching quality

Lectures

Information transparency

Industry associations

Compliant and rational operation

Organisation of industry activities

Teaching quality

Consulting

Lectures

School visits

Alumni

Teaching quality

School website

School reputation

School alumni activities

Media reports

Communities and non-

Facilitating community

Community activities

governmental

development

Volunteer activities

organisations

Participating in public welfare and

Donations

charity

Education funds/scholarships

Environmental protection

Seminars/lectures/workshops

Meetings

Public

Teaching quality

School website

Teacher qualifications

School activities

Information transparency

Media reports

WeChat official accounts

16 Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report

4. Sustainable Development Governance

MATERIALITY ASSESSMENT AND ANALYSIS

Material Issues

For the purposes of the Group and our ESG Report, materiality is defined as any factor that has a present or future impact on our ability to achieve our sustainable development vision. We believe that balancing internal and external viewpoints is critical to define and manage sustainable development issues that are relevant to our business and our stakeholders.

To further identify the material issues of practice and disclosure for corporate environment, society and governance and raise in the report pertinent ESG issues in response to the concerns and demands of our stakeholders, we have conducted a materiality assessment to identify the most material ESG issues while maintaining regular communications with our stakeholders. The steps of our materiality assessment during the Year are as follows:

1. Identifying key stakeholders and material ESG issues

    • We identified our key stakeholders and 30 material ESG issues through consultation with our external consultant and analysis of business operations, development strategy and planning
  1. Stakeholder engagement
    • In 2019, we conducted online questionnaires, interviews and communications with over 150 stakeholders to understand their concerns and expectations on the Group in respect of the environment, society and governance
  2. Ranking material ESG issues
    • By quantitative analysis and prioritising of various ESG issues shown in the results of surveys on our stakeholders, we identified 8 issues of high materiality, including "health and safety assurance for students", "teaching quality control and management", "compliance operation and integrity", etc., and 17 issues of moderate materiality and 5 issues of general materiality
  3. Confirmation by the management of the Group
    • The analysis results of material ESG issues were submitted to the Board of the Group for discussions on the demands highly concerned by our stakeholders and adjustments to our sustainable development strategy and management policy as appropriate

Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report 17

4. Sustainable Development Governance

Importance to Stakeholders

Materiality Matrix for ESG Issues

Issues of Moderate Materiality

Issues of High Materiality

1

2

3

17

4

7

5

20

8

6

21

14

9

18

10

15

11

19

27

24

22

16

13

12

29

25

23

30

28

26

Issues of General Materiality

Importance to Gench Education

Building a Bridge for Students to Achieve Success by an "Ingenious"Gench

Building a Bridge for Teachers to Fulfil Their Career Goals by a "Comforting" Gench

Building a Bridge for Society to Satisfy Its Need for Educated Talent by a "Reassuring" Gench

ESG issues of high materiality

Responding sections

1

Health and safety assurance for students

Building a Bridge for Society to Satisfy Its Need for Educated

Talents by a "Reassuring" Gench

2

Teaching quality control and management

Building a Bridge for Students to Achieve Success by an

"Ingenious" Gench

3

Compliance operation and integrity

Building a Bridge for Society to Satisfy Its Need for Educated

Talents by a "Reassuring" Gench

4

Nurturing virtues of teachers

Building a Bridge for Teachers to Fulfil Their Career Goals by a

"Comforting" Gench

5

Educational philosophy and goal

Building a Bridge for Students to Achieve Success by an

"Ingenious" Gench

6

Health and safety assurance for staff

Building a Bridge for Society to Satisfy Its Need for Educated

Talents by a "Reassuring" Gench

7

Teaching resources

Building a Bridge for Students to Achieve Success by an

"Ingenious" Gench

8

Teaching team management

Building a Bridge for Teachers to Fulfil Their Career Goals by a

"Comforting" Gench

ESG issues of moderate materiality

Responding sections

9

Student satisfaction

Building a Bridge for Society to Satisfy Its Need for Educated

Talents by a "Reassuring" Gench

10

Protection of student and parent privacy

Building a Bridge for Society to Satisfy Its Need for Educated

Talents by a "Reassuring" Gench

11

Employment rate of graduates

Building a Bridge for Students to Achieve Success by an

"Ingenious" Gench

12

Equal employment system

Building a Bridge for Teachers to Fulfil Their Career Goals by a

"Comforting" Gench

18 Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report

4. Sustainable Development Governance

ESG issues of moderate materiality

Responding sections

13

Employment interests and benefits

Building a Bridge for Teachers to Fulfil Their Career Goals by a

"Comforting" Gench

14

Protection of intellectual property

Building a Bridge for Society to Satisfy Its Need for Educated

Talents by a "Reassuring" Gench

15

Communication with students and parents and

Building a Bridge for Society to Satisfy Its Need for Educated

handling of complaints

Talents by a "Reassuring" Gench

16

Staff training and development

Building a Bridge for Teachers to Fulfil Their Career Goals by a

"Comforting" Gench

17

Smart campus

Building a Bridge for Students to Achieve Success by an

"Ingenious" Gench

18

Responsible procurement

Building a Bridge for Society to Satisfy Its Need for Educated

Talents by a "Reassuring" Gench

19

Green campus and office

Building a Bridge for Society to Satisfy Its Need for Educated

Talents by a "Reassuring" Gench

20

Innovative teaching and research system

Building a Bridge for Students to Achieve Success by an

"Ingenious" Gench

21

Environmental education on staff and students

Building a Bridge for Society to Satisfy Its Need for Educated

Talents by a "Reassuring" Gench

22

Waste management

Building a Bridge for Society to Satisfy Its Need for Educated

Talents by a "Reassuring" Gench

23

Energy consumption and efficiency

Building a Bridge for Society to Satisfy Its Need for Educated

Talents by a "Reassuring" Gench

24

Utilisation of resources and materials

Building a Bridge for Society to Satisfy Its Need for Educated

Talents by a "Reassuring" Gench

25

Pollution and emissions reduction

Building a Bridge for Society to Satisfy Its Need for Educated

Talents by a "Reassuring" Gench

ESG issues of general materiality

Responding sections

26

Community care

Building a Bridge for Society to Satisfy Its Need for Educated

Talents by a "Reassuring" Gench

27

Participation in public welfare and charity

Building a Bridge for Society to Satisfy Its Need for Educated

Talents by a "Reassuring" Gench

28

Water consumption and efficiency

Building a Bridge for Society to Satisfy Its Need for Educated

Talents by a "Reassuring" Gench

29

Greenhouse gas emissions and management

Building a Bridge for Society to Satisfy Its Need for Educated

Talents by a "Reassuring" Gench

30

Combating climate change

Building a Bridge for Society to Satisfy Its Need for Educated

Talents by a "Reassuring" Gench

Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report 19

5. Building a Bridge for Students to Achieve Success by an "Ingenious"

Gench

5.1 EXCELLENT EDUCATIONAL PHILOSOPHY

The Group's Shanghai Jian Qiao University takes "Thanksgiving, Return, Loving, Responsibility" as its motto, and "building bridges for students to achieve success, for teachers to fulfil their career goals, and for society to satisfy its need for educated talents (為學生建成才之橋,為教師建立業之橋,為社會建育人之橋)" as its mission. With the quality policy of "People-oriented, Moral Education Prioritised, Law-Abiding, Strict Management", our University provides students with quality education centering on applied sciences. Our comprehensive curriculums, which encompass a broad range of practical major offerings, are designed to equip our students with practical skills and enable them to meet the demands of the rapidly evolving job market. We conduct broad market survey to determine demand in the job market and develop corresponding majors and courses, bringing about a high initial employment rate for our graduates, which were about 99.3%, 99.8%, 99.0%, and 99.0%, as of 2016, 2017, 2018 and 2019, respectively. We collaborate closely with enterprise partners and have established school-industry collaboration programmes, including two industry-teaching integration and innovation bases under the Ministry of Education, to help our students acquire readily applicable skills and find desirable employment.

Our University maintains a focus on applied undergraduate education, facing the modern service industry and advanced manufacturing industry, integrating with Lingang, keeping a foothold in Pudong, serving Shanghai and radiating the Yangtze River Delta, exploring the multi-level vocational education of higher vocational - undergraduate - professional master's degree, cultivating high-quality applied technology specialists with good moral cultivation, solid theoretical foundation, strong practical ability, and innovative spirit and international vision who are engaged in the front-line work of production, construction, management and service. Relying on the industrial development and social development needs of Pudong New Area, especially the Lingang New Area, and focusing on key areas such as intelligent manufacturing, modern services, culture and creativity, we strive to establish 8 professional clusters which are closely connected to the Lingang industrial chain, including the intelligent manufacturing professional cluster, ICT professional cluster, finance, trade and logistics professional cluster, leisure service professional cluster, aviation service professional cluster, jewelry, new media and creative design professional cluster, applied foreign language professional cluster and modern livelihood service professional cluster.

According to the overall deployment and school-running orientation of the Thirteenth Five-Year Plan, our University has taken the initiative to adapt to the national opening-up strategy, and actively promote the international education to broaden the students' international horizons. Our University is the first private university in Shanghai to obtain the admission qualification for international students, and is also listed as a university supported by Shanghai government scholarship for international students. We has developed close cooperation and exchanges with many overseas universities, covering business, mechatronics, information, art, design, jewelry, language and other professional fields. Our University has formulated relevant management measures to ensure the orderly progress of the project, with remarkable results, and has formed a relatively vivid and active atmosphere of international exchange and cooperation, which has vigorously promoted our transformation into a university of applied technology.

20 Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report

5. Building a Bridge for Students to Achieve Success by an "Ingenious" Gench

5.2 RICH TEACHING RESOURCES

As at the latest practicable date, the university has a site area of approximately 532,587 sq.m., with a gross floor area of approximately 424,255 sq.m. Our University is a boarding school with on-campus dormitories. Our University facilities include classrooms, laboratories and training studios, conference halls, gymnasiums, outdoor playing fields, libraries, administrative offices, canteens and student dormitories. Our University has 10 colleges, 1 section and 1 department, including the college of business, the college of mechanical and electrical engineering, the college of journalism and communications, the college of information technology, the college of foreign languages, the college of art design, the college of gemology, the college of Marxism, the vocational college, the international design college, the section of physical education and the department of preschool education. As of 30 September 2019, our University offered 54 majors and concentrations in its formal undergraduate programme in a wide range of areas, including, among others, mechanical and electrical engineering, business administration, engineering management, gemology, accounting and international economics and trade, and additional 13 majors in its junior college programme, including, among others, mechatronics technology, international business, airline services and business English. Subjects of our University cover 7 branches, including economics, management, literature, engineering, science, art and education.

As of 30 September 2019, our University had a total of 19,857 full-time students under enrolment and employed a total of 841 full-time teachers. Our University has sent a total of nearly 45,800 qualified graduates to society for 17 years. It has 173 multimedia classrooms, 18 voice classrooms and a high-quality recording classroom; 9 experimental centres including economic and trade management experimental centre, mechanical and electrical engineering experimental centre, language experimental centre, journalism and communications experimental centre, information technology experimental centre, art creation and design centre, gemology experimental centre, nursing experimental training centre and university computing centre, and 174 different laboratories; a large integrated gymnasium, track field, football field, basketball court, tennis court, volleyball court, golf practicing area and so on. Through years of construction, our University has achieved full wireless network coverage, and has successively built information platforms such as scientific research management information system, personnel management system, teaching system, library management system, academic work system, card system and logistics service system, to build a digital campus.

Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report 21

5. Building a Bridge for Students to Achieve Success by an "Ingenious" Gench

5.3 STRICT QUALITY MANAGEMENT

The quality of teaching is particularly important to the development of higher education, and the construction of the quality assurance system is the key to the cultivation of talents in colleges and universities. Our University has always taken quality construction as an important support to achieve endogenous development. In order to implement the concept of comprehensive quality management, we started the construction of the ISO 9001 quality management system in 2017 and received certification from the Shanghai Audit Center of Quality System in May 2018. We have implemented the ISO 9001 quality management system in our daily practice to optimise our management system.

Our University has established an effective teaching quality assurance system and formulated quality standards for all aspects of education and teaching. Under the guidance of ISO 9001 quality management system, we implement the quality policy of people-oriented, moral education prioritised, law-abiding and strict management. We interpreted the four stages of "Plan, Do, Check, Act (PDCA)" in management as a quality assurance system of ex-ante prevention, progressing monitoring and cyclic improvement, forming a mechanism of self-discovery,self-correction and self-improvement. Our University has built a quality assurance system for undergraduate teaching with multi-departmental collaboration at university and colleges and deep involvement of third-party assessment, and according to the process of "standard - implementation - checking - evaluation - feedback - improvement", it has gradually formed a multi-level and multi-dimensionalclose-loop quality monitoring system to ensure the quality of every aspect of talent cultivation through various quality management efforts, such as Excellent Gench Programme (卓越建橋計劃), Secondary College KPI Management Examination, internal/external review of professional standard assessments, Mycos research, internal/external teaching supervision, classroom observation by middle management, student information feedback, identification and handling of teaching accidents, etc.

22 Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report

5. Building a Bridge for Students to Achieve Success by an "Ingenious" Gench

5.4 OPEN FOREIGN EXCHANGES

According to the overall deployment and school-running orientation of the Thirteenth Five-Year Plan, the university has taken the initiative to adapt to the national opening-up strategy, and actively promote the international education to broaden the students' international horizons.

Objective

An international school-running system that focuses

on diversified cooperation in the context of globalisation

As of 30 September 2019, our University had entered into

68 collaborative agreements with different overseas institutions to establish international programs covering vast majority of majors for undergraduate programme, including an undergraduate education programme in mechanical design, manufacturing and automation (aviation machinery maintenance) in collaboration with the Vaughn College of Aeronautics and Technology in USA; a 3+2 master's programme in collaboration with the Kyoto College of Graduate Studies for Informatics in Japan; an undergraduate education programme in

business administration (luxury brand management) in collaboration with the ICN Business School in France, etc. Our University has incorporated the core curriculum of the partner into its cultivation plan, introduced English-medium professional courses, with young core teachers serving as teaching assistants, and adopted forms such as guidance and assistance to help students adapt to foreign teaching models, making full use of curriculum resources and promoting the progress of school-levelEnglish-medium courses. To bridge the language gap, we have introduced a funding policy to support students for overseas language enrichment. In the Year, a total of 387 students went abroad to participate in professional studies for six months or more.

We have established an overseas internship site to develop our students' language application and professional skills. Currently, we have established internship bases in Japan, Thailand, Sri Lanka and the UK. For example, students majoring in Japanese may study and practise at Japanese language schools and specialised technology companies to put their language and professional skills into practice. Students from the college of gemology may participate in the Asian Institute of Gemological Sciences (AIGS) in Thailand for a gemstone identification course, which is a proper supplement and in-depth extension of their first class teaching by increasing their practical market experience through the identification and evaluation of gemstone samples and visits to gemstone mining factories and trading markets, etc. A total of 163 students participated in various overseas study and internship programmes in the Year.

Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report 23

5. Building a Bridge for Students to Achieve Success by an "Ingenious" Gench

We established a college of international design with English-medium courses, which enrols students from Russia, Romania, Indonesia, Korea, and other countries for undergraduate degrees. Our University cooperates with universities in Denmark, Germany and France to organise international semester programmes, in which international students and Chinese students participate in joint classes for professional courses, corporate visits and Chinese cultural experiences, etc. We are a university supported by Shanghai government scholarship for international students and have held the Shanghai Summer School (Chinese Go) programme for several consecutive years to promote Chinese Go and culture. In the Year, a total of 124 long-term and short-term international students have come to study at our University.

2019 Cross-Strait Private University Presidents Forum

Six senior high school principals from Korea and

Indonesia visiting our University

Foreign students in French classes learning Chinese martial arts

2019 Summer School - opening ceremony of Chinese Go class

24 Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report

5. Building a Bridge for Students to Achieve Success by an "Ingenious" Gench

LIST OF 2019 STUDENT DISPATCH PROGRAMMES OF SHANGHAI JIAN QIAO UNIVERSITY

Number of

students

Country/region

Cooperating college/institution

Form of cooperation

dispatched

Shih Hsin University

Joint professional course

49

Taiwan

programme

Chung Yuan Christian University

Joint professional course

1

programme

• Vaughn College of Aeronautics and

Sino-foreign cooperative education

35

America

Technology

programme

• Western Oregon University

Dual degree study programme

5

Nuertingen-Geislingen University

Long-term exchange programme

3

Study and internship programme

13

Germany

• University of Applied Languages, SDI

Dual degree study programme

5

Munich

Long-term exchange programme

1

• Technical University of Applied Sciences

Long-term exchange programme

7

Wildau

Thailand

AIGS of Thailand, Ruhitha Jewelry

International course certificate

32

Company of Sri Lanka

programme

• DAIWA Academy Japanese Language

Long-term study programme

8

Study and internship programme

4

• Kwassui Women's University

Long-term study programme

2

3+2 bachelor to master programme

71

Japan

• Kyoto College of Graduate Studies for

(3+2本升碩項目)

Informatics

3+2 junior college degree to master

57

programme (3+2專升碩項目)

• Kyoto Informatics - Tokyo Computer

Study and internship programme

31

Company

• Kyoshin Education Group (Osaka)

Study and internship programme

47

Korea

• Myongji University

Short-term study programme

10

Australia

• Phoenix Academy

Summer camp

29

Canada

• Algonquin College

Long-term study programme

1

Summer camp

29

France

• ICN Business School

Dual degree study programme

11

Others studying abroad for postgraduate and short-term exchanges

99

Total

550

Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report 25

6. Building a Bridge for Teachers to Fulfil Their Career Goals by a

"Comforting" Gench

6.1 STRINGENT EMPLOYMENT STANDARDS

Gench Education strictly abides by the Labour Contract Law of the People's Republic of China, Management of Labour Work and Personnel in Shanghai, Provisions on the Prohibition of Using Child Labour and other relevant employment laws and regulations that have a significant impact on us and are related to compensation and dismissal, recruitment and promotion, working hours, rest periods, equal opportunity, diversity, anti-discrimination, and other benefits and welfare, and we have established a comprehensive employment management system with a range of employment-related system documents including Human Resources Management Procedures, Administrative Measures for Recruitment of Teachers and Staff, Administrative Measures for Annual Assessment of Teachers and Staff and Administrative Measures for Attendance of Teachers and Staff. The Human Resources Management Procedures regulates a complete employment management system, including human resources planning, recruitment and employment, job promotion, attendance and appraisal, training and development, remuneration and rewards and punishment, and resignation. System documents, such as the Administrative Measures for Attendance of Teachers and Staff and Principles on Schedule Arrangement and Implementation Measures, regulate the working hours and vacations of teachers and staff. The details of the employees of the Group are listed in Appendix I: Key Performance Indicators. The distribution of employees in different age groups can show the diversification of our employees. Employees aged below 40 and over 50 accounted for 53.6% and 23.4% of the total number of employees, respectively. We cherish senior talents, as their valuable experience can enrich the qualifications of our team.

We make a recruitment plan for the next academic year every year, and each employing department fills in the demand plan form signed by the relevant leadership and reports to the human resources office for summary preliminary examination, and after the leadership approval and confirmation of the recruitment plan, the human resources office organises the open recruitment. The candidates are examined by the relevant functional leaders and experts of the hiring college for written tests, interviews and other comprehensive examinations. We select suitable candidates on the basis of merit in accordance with the qualifications, experience, ability and other conditions appropriate to the position in question in a fair and impartial manner. The Group treats employees and candidates on an equal basis, and never discriminates against them due to gender, age, marital status, race, religion, etc..

Candidates are required to provide the proof of their identity, education, skills, work and other supporting documents during the interview, and the human resources office verifies the originals of the relevant documents to ensure the authenticity of the candidates' identity and qualifications, and strictly prohibit the employment of child labour. If the candidates' qualifications are found to be inconsistent, we will terminate their recruitment immediately. We will sign labour contracts with successful candidates, which stipulate the salary, benefits and holidays available to the employees. Forced labour is strictly prohibited. If any violation is found, we will deal with it strictly according to law. We will review the employment system to ensure that there are no children or forced labour. During the Year, the Group did not have any cases of hiring of child labour or forced labour, which highlights our strict employment system.

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6. Building a Bridge for Teachers to Fulfil Their Career Goals by a "Comforting" Gench

In order to correctly evaluate the moral and talent performance and work performance of the staff, we have formulated the Administrative Measures for Annual Assessment of Teachers and Staff to motivate teachers and staff to be more committed to their duties, improve their work efficiency and performance, become good teachers and staff with ideals and beliefs, moral sentiments, solid knowledge and a loving heart. The following four assessment criteria are used to evaluate the ethics and work performance of our teachers and staff, and the results of the annual assessment are used as the basis for awards, promotions, advancement and salary promotions. Teachers and staff with excellent appraisal scores will receive year-end performance pay, monthly performance pay and various allowances and bonuses in recognition of their outstanding performance.

Professional

ethics and Performance virtue

Capacity Working

building culture

We are concerned about the retention of every employee and have formulated the Administrative Measures for the Resignation of Teachers and Staff. When a teacher or staff submits his or her resignation, the head of the college or department will meet and communicate with him or her, make efforts to retain the teacher or staff with good performance, and explore the possibility of improving his or her working environment, conditions and treatment.

6.2 CONSIDERATE STAFF CARE

Employees are a valuable asset to the Gench Education in maintaining a quality education. We understand that a generous salary and benefits package is the driving force behind our staff's continuous improvement, so we care about our staff's needs and provide them with a generous salary and benefits package to encourage them to devote themselves to their work. In order to improve the performance-oriented remuneration system, enhance the motivation of the staff, reflect the salary reform strategy of "more pay for more work" and position-related salary, we have formulated the Measures for the Implementation of Remuneration Reform to create a positive work culture.

In addition to the statutory five insurances and housing fund, in order to reflect the care of Gench Education for teachers and staff, we set up the "Charity Fund of Jian Qiao University" in September 2007, providing financial assistance to teachers and staff with serious illnesses and financial hardships to tide them over, and to help other staff in need. In addition, in order to protect the interests of teachers and staff and to alleviate the hardships caused by illness and hospitalisation, we subsidise the premiums for each teacher and staff member who participates in supplemental medical insurance.

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6. Building a Bridge for Teachers to Fulfil Their Career Goals by a "Comforting" Gench

Our employees are entitled to sick leave, medical leave, wedding leave, bereavement leave, family leave, maternity leave, paternity leave, nursing leave for late childbirth and other leaves. In order to be sensitive to the needs of working mothers, female staff members with children under the age of one year are entitled to two breastfeeding breaks per day. In addition, to help our staff recuperate physically and mentally, each eligible staff member is entitled to a one-time subsidy of RMB2,000 for a summer retreat activity in Mainland China to relax and rejuvenate during the Year.

Summer retreat travel - Hulunbuir

Summer retreat travel - Xinjiang

In addition, we organise a number of festivals and recreational activities for our staff, such as New Year's parties for teachers and staff, staff sports meeting, teachers and staff meetings, etc., to increase their sense of belonging and to promote staff cohesion.

New Year's parties for teachers and staff

Staff sports meeting

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6. Building a Bridge for Teachers to Fulfil Their Career Goals by a "Comforting" Gench

6.3 WELL-ESTABLISHED TRAINING SYSTEM

In order to improve the quality of talents training and the development of our University, and to consolidate Gench Education's position as a leading private university in China, we are committed to building a strong teaching force with high moral character and excellent talent. Therefore, we pay high attention to teacher training and development. We have established a comprehensive training system in accordance with the Thirteenth Five-Year Plan for Teacher Development to provide appropriate training for teachers at different stages of development, to improve their professional level.

We have established corresponding in-service training and incentive policies for young and middle-aged core teachers, and formulated the Administrative Measures for the Implementation of Further Education Training for Teachers and Staff, the Measures for the Implementation of "Young Lead Talents Programme for Gench", the Measures for the Implementation of Domestic Visiting Scholar Programme for Young Teachers, the Measures for the Implementation of Overseas Visiting Scholar Programme for Teachers, the Measures for the Implementation of industry-university-research practice Programme for Teachers and the Measures for the Implementation of "Financial Assistance Programme for the Training of Young Teachers in Shanghai Universities" to comprehensively strengthen the establishment of various talent teams.

ENHANCED TRAINING FOR NEW TEACHERS AND STAFF

  • Based on teaching experience, the trainings are classified into three stages: basic teaching skills training, Gench characteristic teaching training, and teacher ethics and school rules training

MENTORSHIP MECHANISM FOR YOUNG TEACHERS

  • Every new young teacher is assigned middle-aged or elderly teachers with good ideological quality, high academic level and rich teaching experience as a mentor, and a practical training plan is formulated to promote their access to new post and improve their teaching concepts and professional skills
  • Mentoring young teachers in learning and teaching
  • Mentoring young teachers about how to teach and assist students to establish an upright personality

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6. Building a Bridge for Teachers to Fulfil Their Career Goals by a "Comforting" Gench

MULTI-LEVEL AND MULTI-TYPE TEACHER TRAINING SYSTEM

  • Professional development projects for teachers: domestic visiting scholar programme, overseas visiting scholar programme and industry-university-research practice in enterprises
    • Selecting and sending excellent teachers to be visiting scholars in high level and distinctive universities at home and abroad, so that they can participate in scientific research in their universities under the guidance of famous teachers, and keep abreast of and track the domestic and overseas cutting-edge educational concepts, teaching contents, teaching methods, teaching management, as well as academic cutting-edge trends and development tendency, so as to improve their teaching and research abilities and academic level as soon as possible
    • Accelerating the training of dual-qualified teachers, encourage teachers to participate in research and development, work or internship in enterprises, design institutes, research institutes and other units through various forms, so that under the guidance of relevant business experts, they enhance their professional practice ability, keep track of the industry trends and development tendency and develop dual-qualified quality
  • Professional teacher project
    • Selecting and sending teachers to participate in various types of training organised by the professional teacher project in private universities, including new teacher training, teaching skill training, scientific research ability training, teacher training for management positions, professional training for "dual-qualified" teachers and so on
  • Doctoral education project
    • Our University provides financial support for teachers to study for doctoral degrees, improves the level of academic degrees, creates a sound working and learning environment for doctoral candidate teachers, and provides academic leave for doctoral candidate teachers in order to give them sufficient time to complete their studies. Meanwhile, we also hold doctoral symposiums to understand the difficulties encountered by doctoral students and provide targeted assistance to help them successfully complete their studies

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6. Building a Bridge for Teachers to Fulfil Their Career Goals by a "Comforting" Gench

MULTI-LEVEL AND MULTI-TYPE TEACHER TRAINING SYSTEM

  • Teaching ability improvement project
    • Our University has established a teaching development centre, and a special institution responsible for the improvement of teaching ability, whose responsibility is to formulate and continuously improve professional development plans and systems for the training and development of young teachers, promote the normalisation and institutionalisation of teacher training and development and focus on improving the development of teachers' teaching abilities and sustainable professional development in accordance with the university's development plans and the current teaching staff
  • Development Grant Programme for Young University Teacher
    • Our University implements the "Development Grant Programme for Young University Teacher in Shanghai", which mainly provides financial assistance to young teachers who have worked in universities for less than two years, are lecturers or below, have a master's degree or higher, and have not independently undertaken teaching and research projects, to carry out teaching and research initiation work. The grant is RMB40,000 to RMB50,000, and the university provides each young teacher with a mentor, who will guide the young teacher from the opening to the end of the project, and help the young teacher improve his or her research ability and academic level

ESTABLISHING "PROFESSIONAL DEVELOPMENT GROUPS FOR TEACHERS"

  • The University has established special professional development groups for teachers focusing on teaching reform, courses and majors development and personal development to enable teachers help each other, create synergy and develop in teams

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6. Building a Bridge for Teachers to Fulfil Their Career Goals by a "Comforting" Gench

REVISING THE MEASURES FOR THE EVALUATION OF

PROFESSIONAL AND TECHNICAL POSTS TO FACILITATE THE

PROMOTION OF TEACHERS' TITLES

  • According to the title reviewers of the Education Commission, with the actual situation of our University, the university has revised the Measures for the Evaluation of Professional and Technical Posts to create a fair and open environment for teachers to promote their professional titles, change the dissertation-based approach, strengthen the assessment of teacher ethics and teaching ability, and added certain levels of teaching awards, excellent teaching materials, teaching team awards and other awards as the selection conditions, so that teachers' professional and technical titles can be promoted more smoothly, which is more conducive to the development of teachers' careers

Training Participation of Teachers and Staff in 2019

There were 150 participants in the training of new teachers and staff, including 45 teachers with no teaching experience. There were 2,492 teachers and staff participated in the training organised by the teaching development center. The off-campus training for teachers and staff mainly include teacher development project of Shanghai Municipal Education Commission, the professional teacher project of private universities and colleges organized by private colleges and universities, as well as all kinds of professional skill trainings. There were 53 participants in the new teacher training of professional teacher project, 2 participants in the scientific research training of professional teacher project, 2 participants in the preschool education training of professional teacher project and 4 participants in the overseas course study programme; 1 participant in the overseas visiting scholar programme, 1 participant in the domestic visiting scholar programme and 1 participant in the industry-university-research practice programme of the teacher development project organised by Shanghai Municipal Education Commission. As for degree advancement, 6 new teachers are pursuing doctoral degrees, bringing the total number of doctoral teachers to 42 over the Year.

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7. Building a Bridge for Society to Satisfy Its Need for Educated

Talents by a "Reassuring" Gench

As a leading private university in the Yangtze River Delta, Gench Education insists on "People-oriented, Moral Education Prioritised, Law-Abiding, Strict Management", strictly abides by laws and regulations, strives to operate with integrity and compliance and protects campus health and safety, information and privacy security and intellectual properties. We value the opinions and communication of students and parents, implement responsible supply chain management to establish an environmentally-friendly campus, and practise philanthropy, which lays a great foundation to ensure the steady development of our business.

7.1 ROBUST COMPLIANCE OPERATION

Gench Education adheres to clean and compliant operations, strict compliance with the Criminal Law of the People's Republic of China, Anti-Money Laundering Law of the People's Republic of China, Guidelines for Integrity and Self-discipline of the Communist Party of China, the Guidance on Strengthening Integrity Risk Prevention and Control and other relevant Chinese laws and regulations and guidelines that have a significant impact on the issuer and are related to bribery, extortion, fraud and money laundering. In order to build an integrity and compliance culture for the whole Group, we have carried out the project of Construction of Integrity Risk Prevention and Control System of Shanghai Jian Qiao University, introducing risk management theory and modern quality management methods into our integrity risk prevention and control system, and deducing the four stages of management "Plan, Do, Check, Act" into three major steps of ex-ante prevention, progressing monitoring and ex-post process to control and supervise in power operation. We have developed the Integrity Risk Internal Control Manual for Shanghai Jian Qiao University, which divided our integrity risk internal control into school-level internal control construction and business-level internal control system, and established the implementation flow chart of integrity risk project to effectively fight against fraud, corruption, abuse of power and undesirable work styles such as formalism, bureaucratism, hedonism, and extravagance (四風), thereby preventing bribery, extortion, fraud, money laundering and other corruption. We also formulated the Compilation Document of Integrity Risk Prevention and Control System for Shanghai Jian Qiao University, which is a compilation of all the system documents related to integrity risk prevention and control as a guideline for all teachers and staff to promote integrity in their daily business operations. In terms of mechanism construction, our University implements the ISO 9001 quality management system, allowing the integrity risk prevention and control system to be properly implemented.

Integrity Risk Internal Control Manual

Compilation Document of Integrity Risk Prevention and

for Shanghai Jian Qiao University

Control System for Shanghai Jian Qiao University

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7. Building a Bridge for Society to Satisfy Its Need for Educated Talents by a "Reassuring" Gench

Communication and coordination

Defining the environment

Risk assessment (identification, analysis and evaluation)

Establishment of a standardised workflow

(work system)

Formation of Internal Control Manual of Integrity Risk

for Shanghai Jian Qiao University

Regular monitoring and review of integrity risk

Risk treatment

Research and training

Implementation flow chart of integrity risk project

In order to further regulate the integrity and self-discipline of the Group's management at all levels and all employees, the Group manages in accordance with the law, and strictly enforces work discipline. We have formulated a series of regulations on the construction of Party integrity, such as the Certain Provisions on Integrity and Self-Discipline of Management Cadres of Shanghai Jian Qiao University, Opinions on the Implementation of Responsibility System for the Construction of Party Integrity in Shanghai Jian Qiao University, Work Plan for Regulating the Illegal Acceptance and Delivery of Gifts, Vouchers and Shopping Cards, Certain Opinions on Further Regulating the Conduct of Leading Cadres in Receiving Remuneration in University and so on, which set out the main responsibilities of the leadership team and the discipline inspection organisation, strengthened inspection and evaluation and pursued strict accountability, and strictly prohibited all leaders and teachers and staff from accepting gifts in violation of the rules and from using public funds for travel, taking bribery, extorting, fraud and other purposes that violate laws and regulations.

We have set up a discipline inspection office, a correspondence and visit office and a grassroots discipline inspection team to comprehensively monitor the implementation of the Group's integrity building. We attach great importance to the letters of petition and visits, and have formulated the Administrative Measures for the Dealing of Opinions and Complaints and established several channels for letters of petition and reports, such as emails, letters, phone calls and visits. Upon receipt of complaints and reports on corruption, the Group will carefully investigate and verify the contents, and promptly investigate and deal with issues relating to Party integrity and corruption through correspondence and clues.

In order to promote the culture of integrity, strengthen anti-corruption education and address both symptoms and root causes in the Group, we have developed the Manual of Integrity Risk Prevention and Control Trainings in Shanghai Jian Qiao University, and properly carried out the prevention and control of anti-corruption. During the Year, we held several anti-corruption trainings on integrity risk prevention and control to discipline inspection members in the university, the Party Committee organisation department, the discipline inspection office, each Party office and branch discipline inspection members and the internal auditors of relevant functional offices to guide the internal control, and timely delivered the message of new deployment and new requirements of integrity and corruption prevention.

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7. Building a Bridge for Society to Satisfy Its Need for Educated Talents by a "Reassuring" Gench

During the Reporting Period, the Group did not have any case involving corruption litigation, fully reflecting the effective implementation of the various Party integrity construction and training.

Integrity risk prevention and control trainings in Shanghai Jian Qiao University

In addition, we strictly comply with the requirements of laws and regulations such as the Non-state Education Promotion Law of the People's Republic of China and the Advertising Law of the People's Republic of China. We have established rigorous system documents on external information management, such as Measures for the Implementation of External Information Dissemination, Measures for the Implementation of External Information and Publicity, Administrative Measures for New Media Platforms and Administrative Measures for Campus Publicity, to regulate all the Group's information dissemination and publicity. Any form of information release and promotion in the name of our University must be approved by the publicity department of our University to ensure the accuracy, timeliness and effectiveness of the information on the principles of truthfulness, timeliness, and seriousness.

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7. Building a Bridge for Society to Satisfy Its Need for Educated Talents by a "Reassuring" Gench

Information Privacy Security

We are committed to protecting the privacy of students and parents, and have developed Administrative Measures on Confidentiality and Administrative Measures on Records to strengthen the confidentiality of information management and effectively prevent the loss or leakage of information due to negligent management and to prevent theft. The following are the priorities of our information confidentiality efforts:

  • Define classified and unclassified computers according to their purpose and employees should not take portable classified computers out of the office without permission;
  • Important departmental personnel who are classified shall keep all mobile classified storage devices secure and shall not leave the school with them without permission;
  • Employees in each department should have the approval of the appropriate department head for information posted online;
  • The confidential level of documents are classified according to their content and shall be kept secure;
  • The management of the place where important and confidential documents are stored should be strengthened, and unrelated personnel should not be allowed to stay.

We strictly abide by the Regulations of the People's Republic of China for Safety Protection of Computer Information Systems, Shanghai Thirteenth Five-Year Plan for Informatisation of Education, Notice on the Development of Security Level Protection of Information Systems in Shanghai's Education Industry and other national and local laws and regulations and guidelines. In order to further improve the level of information security protection of the Group, we have formulated system documents such as the Administrative Measures for the Information Security in University and the Administrative Measures for the Information System to regulate the management of campus information and network security, strengthen and standardise the construction and management of information systems, make more efficient use of resources and ensure the security and stable operation of information systems in university.

Defending Intellectual Property

We understand the importance of respecting intellectual property and the fruits of intellectual work, and strictly abide by the Intellectual Property Law of the People's Republic of China, the Patent Law of the People's Republic of China, the Copyright Law of the People's Republic of China and other relevant laws. In order to safeguard the legitimate rights and interests of the Group and our research personnel, encourage the enthusiasm of our teachers and students to invent and create, and promote the development and progress of our research, we have formulated the Administrative Measures on Patent to strengthen the protection of intellectual property of our University and others. The Administrative Measures on Patent stipulate that the right to apply for a patent for inventions and creations made by teachers and students in the course of their work belongs to the university. Once a patent is approved, no unit or individual has the right to use or assign it without permission from our University. For non-job inventions, the right to apply for a patent belongs to the inventor or designer, and no unit or individual may infringe on his or her patent application and patent rights.

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7. Building a Bridge for Society to Satisfy Its Need for Educated Talents by a "Reassuring" Gench

In order to encourage our students, teachers and staff to actively carry out scientific research and technological development, to create an atmosphere of new inventions and technologies, and to speed up the transformation to a university of applied technology, the technologies invented in the course of their work will be rewarded and honoured according to the Measures for the Implementation of Rewards for Scientific Research Achievements if they are granted patents. During the Reporting Period, a total of 263 inventions were able to maintain patent registration, while 61 new inventions and patents were granted, representing an encouraging achievement in the research field.

7.2 COMPREHENSIVE LOGISTICS SUPPORT

Gench Education has been concerned and focused on the safety and health of teachers and students. We strictly abided by the Food Safety Law of the People's Republic of China, the Operating Rules on Food Safety in Catering Services, the School Hygiene Working Regulations, the Fire Control Law of the People's Republic of China and other relevant laws and regulations, and developed a comprehensive health and safety management system, from campus safety, food safety, health and safety education, disease prevention and control, emergency response plans and other systems and measures for teachers and students to build a healthy and safe campus.

Campus Safety

Campus safety work involves many aspects. We have established a number of safety management measures for fire safety, dormitory safety, laboratory safety, etc. to ensure the safety of teachers and students in an all-round way.

In order to strengthen campus fire safety and fire prevention, we formulated the Administrative Measures on Fire Safety to protect the lives and property of teachers and students and maintain a good educational order. We established a volunteer fire department in accordance with the fire code, and have developed appropriate firefighting and emergency evacuation plans and conducted drills. Fire prevention inspectors conduct three fire prevention inspections per day in the entire university area to identify potential fire safety hazards and carry out corrective work in a timely manner. In order to improve the fire safety knowledge of our employees, we carried out publicity, education and training on fire control knowledge and skills.

Fire safety is also very important in the student dormitories and fire safety equipment in the dormitories is inspected and recorded on a bi-weekly basis. Every semester, staff and students are trained in fire safety knowledge, use of firefighting equipment and fire evacuation drills.

The laboratory is a key area for maintaining safety. According to the Administrative Measures on Laboratory Safety and Laboratory Safety Management System, the office of the laboratory safety leading group of each college is responsible for carrying out laboratory safety inspection, and the person in charge of each laboratory establishes a safety inspection system, properly handles laboratory materials and carries out regular inspections. At the same time, the laboratory safety responsibility is brought into the security comprehensive management safety responsibility system in university, clearly defining safety responsibilities and safety management requirements.

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7. Building a Bridge for Society to Satisfy Its Need for Educated Talents by a "Reassuring" Gench

Food Hygiene and Safety

The Group attaches great importance to food safety on campus and has established a number of food hygiene and safety management systems and documents relating to campus canteens and catering shops, such as Measures for the Implementation of Food Safety Inspections, Administrative Measures on the Responsibility of Food Hygiene Principals, Measures for the Implementation of Accountability for Food Hygiene and Safety and Measures for the Implementation of All-round Quantitative Assessment of Canteens, to ensure food hygiene and safety on campus.

Food safety managers organise daily hygiene inspections and department heads organise monthly appraisals of food safety personnel. The food used in the canteen should adhere to the principle of checking before use, without deteriorated and moldy raw materials, and canteen employees should regularly check the shelf life of food to prevent expiration and deterioration. Fresh raw vegetables must be picked, washed, soaked and passed through the water in a single procedure to be free of any other impurities to prevent food poisoning accidents. The raw, cooked and semi-finished food should be stored separately, and the plate and knife of raw and cooked food should be dedicated and marked, and should not be mixed in use. Tableware are washed, watered and disinfected in a complete cleaning process.

We assess the hygiene and safety of the canteen through different levels of assessors and assessment methods, and the principal in charge of the whole university canteen is responsible for the supervision and inspection of the meals and food hygiene and safety, regularly convening a joint meeting of the persons in charge of college logistics, health, canteen and the food control committee to discuss and study the hygiene and safety, and regularly reporting to the office of the principal on the work of the canteen, listening to the opinions and suggestions of teachers and students on the hygiene and safety of the canteen, and continuously improving and optimising the food hygiene and safety.

WHO WE SERVE: TEACHERS AND STUDENTS IN UNIVERSITY

  • Anonymous assessment of the canteen by filling out a satisfaction questionnaire

SCHOOL-LEVEL INSPECTORS: SPECIAL INSPECTORS OF THE TEACHERS AND STAFF CANTEEN MONITORING GROUP, STUDENT MEAL COMMITTEE

  • Identify problems through occasional food hygiene and safety inspections and report them timely

INTERNAL INSPECTORS: FOOD HYGIENE SAFETY OFFICERS ON EACH FLOOR

  • Formulate quantitative assessment results through regular inspections

If the canteen and catering shops and employees are found to have violated food hygiene and safety during assessment and inspection, we will punish the violators according to the Measures for Implementing Penalties for Canteen and Catering Shops, so as to ensure the food hygiene and safety of the campus to achieve a strict control to protect the health and safety of teachers and students.

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Safety and Health Education

Student safety and health education is an important part of university education. Since 2018, the university student safety education course has been upgraded to a required general education course at Shanghai Jian Qiao University, totaling 16 hours of credit for completing this course and exams for 1 credit. In 2018 to 2020, we taught the course to over 10,500 freshmen, with a total of 888 classes and 1,776 hours of instruction on topics such as basic firefighting, traffic safety, healthcare and food safety, hands-on firefighting and hands-on healthcare.

THE FOURTH SHANGHAI UNIVERSITY STUDENTS SAFETY QUIZ

COMPETITION IN PRIVATE SECTOR

  • In order to popularise the knowledge of safety culture of university students and further improve their understanding of the importance of safety, on 1 November 2019, the Fourth Shanghai University Students Safety Quiz Competition in Private Sector hosted by Shanghai Municipal Education Commission, and undertaken by Security Committee of Shanghai Association of Higher Education and Shanghai Jian Qiao University was successfully held in Shang Jian Qiao University, and our University won the second prize.
  • The theme of the competition was "Take Responsibility for My Own Safety and Contribute to University Safety (我的安全我做主,學校安全共分擔)", which involved university students' theoretical knowledge of safety, emergency handling measures, etc., and also added the competitive firefighting exercises into the selection process, in which the splendid performance of the Shanghai Jian Qiao University team fully demonstrated the high level of safety knowledge and practical firefighting skills of our University students.

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7. Building a Bridge for Society to Satisfy Its Need for Educated Talents by a "Reassuring" Gench

In addition to the physical health of students, Gench Education also cares about their mental health. We formulated the Administrative Measures of Student Mental Health Education and Crisis Intervention to strengthen student mental health education and psychological crisis prevention and management. We have established a three-tier network for mental health education:

  • First-tiernetwork: mainly composed of psychological commissioners of class and community, and members of the university psychology association, to develop peer support among students, create a good atmosphere for mental health education and strengthen communication between students and teachers;
  • Second-tiernetwork: the psychological counselors of each college (department), supplemented by other student counselors, are mainly responsible for mental health education in their colleges (departments), while actively cooperating with the university's mental health education and counseling centre;
  • Third-tiernetwork: composed of full-time and part-time teachers from the university's mental health education and counseling centre, who are responsible for the overall mental health education of the university.

In addition, mental health education takes classroom teaching and extracurricular activities as its main content and channel, forming a mental health education work system that closely integrates classroom and extracurricular activities, education and guidance, and consultation and self-adjustment.

Disease Prevention and Control and Health Management

In order to strengthen the prevention and control of diseases and health management of students, we have formulated a series of implementation measures to safeguard the physical and mental health of students. We have formulated the Measures for the Implementation of the Detection, Information Record and Reporting of Infectious Diseases among Students to regulate the detection, information record and reporting of infectious diseases and to control the spread thereof, in a timely manner, so as to achieve "early detection, reporting, isolation and treatment". The Measures for the Implementation of Student Health Records stipulate that the information for the physical examination of freshmen shall be kept by our University to be better responsible for the health of university students, and the health records of university students shall be established to grasp the health status of students during the university period, so as to facilitate the management of their physical and mental health.

Emergency Response Plan

In order to actively deal with all kinds of emergency and unexpected accidents that may occur, organise and handle them quickly and effectively, prevent them from spreading and expanding, minimize casualties and property losses, and safeguard the lives and properties of teachers and students, we have established a number of emergency response plans to quickly and efficiently deal with accidents including fire accidents, hazardous chemical accidents, medical office emergencies, campus emergencies and sudden outbreaks of infectious diseases.

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Employee Health and Safety

Gench Education cares about the health and safety of each employee, and has held a number of activities to protect the physical and mental health and safety of employees. We arrange free health check-ups for all of our employees every year, with proper check-up items arranged for men, unmarried women and married women respectively. And employees over the age of 40 receive additional health check-ups. In order for our teachers and staff to better read their own medical reports and understand their own health, we have invited medical experts from the East Hospital of Shanghai Sixth People's Hospital to interpret the medical reports for them.

We take care of our employees' physical health as well as their mental health. During the Year, we invited Ms. Zhang Haiyan, an expert in psychology, to establish a "Mental Health Maintenance Workshop" for teachers and staff in our University, and nearly 40 employees participated in the activity. We also held a mental health workshop on the theme of "Reform of Senior High School Entrance Examination - Challenges to School and Family Education". Ms. Zhou Xiaomin, Principal of Shanghai Lingang Experimental Middle School, was invited to ease the anxiety of parents of students to take the senior high school entrance examination, and teachers and staff with children who will be entering kindergarten, elementary and junior high schools attended the event.

Mental Health Maintenance Workshop

"Reform of Senior High School Entrance Examination -

Challenges to School and Family Education"

mental health workshop

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7. Building a Bridge for Society to Satisfy Its Need for Educated Talents by a "Reassuring" Gench

During the Year, we held a legal knowledge lecture on the theme of "Legal Common Sense on Personal Injury Compensation for Employees", at which the division of responsibility and reasonable recognition of losses when employees are injured at work was specially analysed, and a series of measures were offered to avoid risks from the perspective of employees and employers respectively. Employees were also reminded to raise their awareness of self-safety and take safety measures at work. A total of more than 50 employees in the university attended the lecture.

Legal knowledge lecture on the theme of "Legal Common Sense

on Personal Injury Compensation for Employees"

During the Year, we had no work-related injuries, fully reflecting the effectiveness of our measures to protect the health and safety of our employees.

7.3 SINCERE EXCHANGE OF OPINIONS

We see the valuable feedback and comments from students and parents as an important way to improve the quality of teaching in our University. We value student response to and evaluation of our University's teaching in a variety of courses, and have developed the Administrative Measures on Students' Evaluation of Teachers. We initiate online students' evaluation of their teachers during the 13th week of each semester to collect students' comments and suggestions on teaching and to survey the achievement of the course's teaching objectives. The results will be analysed statistically, and the data will be used in two ways: first, the results will be provided to each college as a basis for the Outstanding Teaching Award; second, an annual report on teaching quality and improvement will be completed and provided as a reference for teachers to make decisions on improving teaching and courses design. During the Year, our students gave our teachers a 99.7% positive rating.

99.7%

Teaching

satisfaction

rating

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7. Building a Bridge for Society to Satisfy Its Need for Educated Talents by a "Reassuring" Gench

In order to strengthen our communication with students, parents and teachers and staff, to effectively collect their opinions, suggestions or complaints, and to protect the rights and interests of relevant stakeholders, we have formulated the Administrative Measures for Handling Opinions and Complaints. We have established various communication channels, with our University offices responsible for the management of comments, suggestions and complaints in university; and each department and college responsible for receiving and dealing with comments, suggestions and complaints from their respective operations and jurisdictions. The time limit for handling letters of petition generally refers to the State Council Regulation on Letters and Visits and the Regulations of Shanghai Municipality on the Making and Handling of Petition Letters and Calls. Referrals should normally be processed within 30 working days. Letters received by the Principal's Office shall normally be acknowledged in writing to the correspondent within 15 working days of receipt. During the Year, the Group received 64 comments and complaints as well as letters and visits, all of which were responded to and resolved in a timely manner.

We regularly organise "Principal Online" events, where the principal meets with student representatives face-to-face to discuss topics of common concern. Heads of relevant functional departments related to students, such as the academic affairs department, the logistics and security office and the student affairs department, attended the symposium. Student representatives from different grades and majors spoke enthusiastically at the meeting, and raised issues related to university education and teaching, management services, and so on, and put forward suggestions for the development of our University. The person in charge of the relevant functional departments answered the questions and problems faced by the students one by one, coordinated the relevant management services, created good conditions for the students' study and life, and put forward specific suggestions and requirements for the students from the study and life, health education and other aspects.

Our University organises regular student seminars and campus open day activities, inviting students to learn about campus administration department, participate in departmental management, understand departmental workflow, listen to students' opinions and obtain their approval.

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7. Building a Bridge for Society to Satisfy Its Need for Educated Talents by a "Reassuring" Gench

In the Year, our University leaders led middle management cadres to conduct research on the needs of working students, integrating more than 100 opinions and suggestions and implementing them one by one, which won the praise of teachers and students.

Principal's

Phone call

Visit

mailbox

E-mail Letter Fax

Effective communication channels

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7.4 RECIPROCAL SUPPLY MANAGEMENT

In order to strengthen the Group's supply chain management, standardise procurement procedures, enhance the quality and efficiency of suppliers, ensure the quality of procured products and services, Gench Education has formulated system documents such as Supplier Management Procedures and Procurement Management Procedures to comprehensively reduce supply chain risks and improve procurement performance.

Supplier Integration and Management

According to the Supplier Management Procedures, we review the qualification documents, performance data, samples and other information provided by the suppliers, and take the suppliers' qualification, quality, price, compliance with laws and regulations and other criteria to decide whether to include them in the supplier management system, and regularly assess and establish the List of Qualified Suppliers. We will also consider whether the supplier has a quality management system certificate, such as ISO 9001. To ensure the quality of suppliers, the asset management department regularly evaluates the quality, cost performance, delivery capability and compliance rate of suppliers listed in the List of Qualified Suppliers, and will either remove them from the list or put them on inspection period if they fail to meet the standards.

Procurement Management

In accordance with the Procurement Management Procedures, the Group exercises strict control over the procurement process and suppliers to ensure that the products and services procured meet the specified requirements. We procure products or services from the List of Qualified Suppliers based on quality, cost performance and other considerations. We have established an effective procurement oversight mechanism to increase the transparency and integrity of the procurement supply process.

Supplier Integrity and Safety Management

In order to ensure that our suppliers maintain integrity and self-discipline in engineering construction, we will sign the Integrity and Self-discipline Agreement with our suppliers, which strictly prohibits them from offering any benefits or financial rewards to our employees, confirming that all business transactions with us are in strict compliance with national laws and regulations and enterprise rules and regulations to ensure that the products or services supplied to us are authentic and reliable, and any fraud and other illegal activities are prohibited. We have also signed a Safety and Civilisation Construction Agreement with our contractors to ensure that they comply with health- and safety-related laws and regulations during construction.

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7. Building a Bridge for Society to Satisfy Its Need for Educated Talents by a "Reassuring" Gench

Green Procurement

We advocate green procurement and will consider whether our products and services will have any adverse impact on the environment during procurement. We will also take into account environmental protection principles, such as products that can be reused and use environmentally-friendly materials, energy efficiency, use of clean energy, water consumption, etc., and implement green supply chain management. We strictly implement a mandatory procurement system for energy-saving and environmentally-friendly products and give priority to energy-saving,water-saving and material-saving products. We have formulated the Three-year(2017-2019) Energy Conservation and Emissions Reduction Action to monitor and manage whether environmentally-friendly products are prioritised when purchasing supplies.

During the Year, we had 71 major suppliers, all in Mainland China. Our cooperation is all carried out in accordance with the relevant supplier management and procurement management systems we have formulated. A breakdown of the number of suppliers by geographic region is as follows:

3

1 1 1 1

5

Shanghai

Beijing

Jiangsu

Guangdong

Jiangxi

Zhejiang

59

Hubei

7.5 ENVIRONMENTALLY-FRIENDLY GREEN CAMPUS

As a responsible higher education group, Gench Education attaches great importance to environmental sustainability and has formulated the Corporate Sustainable Development Policy covering the area of environmental protection to enhance the Group's environmental performance. We require our employees to strictly comply with relevant national environmental laws and regulations, such as the Environmental Protection Law of the People's Republic of China, Law of the People's Republic of China on the Prevention and Control of Environmental Pollution by Solid Wastes and Energy Conservation Law of the People's Republic of China. We belong to the education industry and have a relatively small impact on the environment and natural resources. The major impacts are the consumption of electricity, the use of water, the use of school and office supplies, the production of waste from school, offices and canteens, and vehicle use. We have formulated a series of effective systems and measures to reduce exhaust gas and greenhouse gas emissions, discharge to water and land, hazardous and non-hazardous waste, and minimise the impact on the environment and natural resources in our daily business operations, so as to build a green campus to contribute to the protection of the environment. During the Year, there were no incidents related to non-compliance associated with the environment and emissions within the Group.

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7. Building a Bridge for Society to Satisfy Its Need for Educated Talents by a "Reassuring" Gench

Actively Saving Energy and Reducing Emissions

In order to fully implement the national "Thirteenth Five-Year Plan" for energy conservation and emissions reduction and the "Thirteenth Five-Year Plan" for energy conservation and environmental protection in schools in Shanghai, and promote the active participation of all teachers, students and employees in energy conservation and emissions reduction, we have formulated the Implementation Measures for Three-year(2017-2019) Energy Conservation and Emissions Reduction Action, with commitments to implementing various measures on energy saving and emissions reduction to achieve the goals of the green campus construction in the "Thirteenth Five-Year Plan" of Shanghai Jian Qiao University.

Technical Transformation of Energy and Water Saving

TRANSFORMATION OF SMART LIGHTING CONTROL

The transformation of smart lighting control mainly includes the following two parts:

  • The first part is the energy-saving transformation of indoor lighting control. A smart lighting controller is used to detect the indoor illumination and people flow to control the lights on/off
  • The second part is a remote centralised control software system for lighting energy saving, which mainly includes a cloud platform, control software and mobile phone application, etc.

TRANSFORMATION OF AIR-CONDITIONING ENERGY SAVING

The transformation of air-conditioning energy saving includes the following two parts:

  • The first part is the transformation of the air-conditioning socket into a dedicated smart socket, thereby achieving the adjustment on energy-saving by ways of energy-saving standby mode as well as limiting temperature, time and power
  • The second part is the transformation of the air-conditioning controller into a smart one, thereby achieving the adjustment on energy-saving through controlling the air- conditioning signal line
  • In actual use, it will be designed and used separately according to different models and types of air conditioners

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7. Building a Bridge for Society to Satisfy Its Need for Educated Talents by a "Reassuring" Gench

TRANSFORMATION OF WATER SAVING

  • A total of 96 public urinal troughs in 8 male students' apartments in our University have been transformed, replacing the original flushing pipe with a diameter of 2mm to a stainless steel flushing pipe with a diameter of 1mm
  • The original long-running flushing was changed to the time controller with a solenoid valve. The interval and length of flushing are reasonably set for purpose of saving water based on breaks between classes and the peak period of toilet use

ESTABLISHMENT OF A GREEN DATA CENTRE

  • Establishing a green data centre in the university to publish daily information related to energy consumption of our University in real-time so that the teachers and students can keep abreast of it

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7. Building a Bridge for Society to Satisfy Its Need for Educated Talents by a "Reassuring" Gench

Green Office

OFFICE LIGHTING AND EQUIPMENT MANAGEMENT

  • Use as much natural light as possible in offices, conference rooms, corridors and other office areas

• Equip motion-sensing lights without using any long-lasting lights

  • Turn off computers, printers, photocopiers, projectors and other electrical equipment when they are not in use to reduce idle waste
  • Do not use any electric stoves and other high-power appliances in offices

AIR-CONDITIONING MANAGEMENT

• Strictly implement the temperature setting standards for our University's air- conditioning in summer and winter, locking the upper and lower temperature limits for air conditioners to no lower than 26°C in summer and no higher than 20°C in winter (a requirement of energy conservation regulations for public institutions)

  • Minimise the use of air conditioning if office areas can take advantage of natural ventilation
  • No air conditioning when no one is around, no doors or windows open when air conditioning is on

ELEVATOR MANAGEMENT

• Survey students, teachers and staff on their habits in terms of using elevator, according to which, reasonably allocate the number and period of elevator operation

  • Advocate no elevator access within three stories
  • Encourage students, teachers and staff to walk up and down stairs as much as possible when conditions are permitted

PAPER MANAGEMENT IN OFFICES

  • Implement paperless offices on campus and information portal, complete online

applications and electronic forms, advocate paperless and electronic office means as well as using television and telephone to convene conferences

  • Enhance staff's awareness towards informationisation and skills of using computer
  • Increase the utilisation of waste paper
  • Promote the use of environmentally-friendly recycled paper and other resource recycling products

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7. Building a Bridge for Society to Satisfy Its Need for Educated Talents by a "Reassuring" Gench

Green Transportation

OFFICIAL VEHICLE MANAGEMENT

• Adjust the existing regulations on the use of official vehicles, raise the standards and requirements for official vehicle applications, and strictly control the approval process for official vehicles

  • Encourage the teachers and staff to travel by shuttle buses and public transport

SHUTTLE BUS MANAGEMENT

• Enhance the service efficiency of shuttle buses, and the key to which is to increase the number of passengers per shuttle bus trip, and to a lesser extent, to rationalise the number of stops and routes

Through the above planning and implementation on the comprehensive energy saving and emissions reduction, we have achieved good results in energy conservation, water conservation, and air emissions reduction. We have no issue in sourcing water that is fit for purpose. Our air emissions are mainly generated from the use of vehicles belonging to the Group. For details of energy and water consumption and vehicles' air emissions during the Year, please refer to Appendix I: Key Performance Indicators.

Coping with Climate Change

In response to the Paris Agreement with the participation of many countries around the world and the national planning initiatives as issued by our country such as the National Response to Climate Change (2014-2020) (《國家 應對氣候變化 (2014-2020)), we are committed to mitigating and combating climate change in our daily operations through policies and measures on conserving energy, reducing emissions and consumption of natural resources, advocating green life as well as encouraging the eco-friendly scientific research.

The Group refers to the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD) to identify the risks of climate change to our material entities, such as those arising from natural disaster events such as typhoons, storms and floods. We have established the Safety Management System of Preventing Flood and Typhoon and the Emergency Response Plan for Preventing Flood and Typhoon to enhance our overall ability to prevent floods and typhoons and to resist the risk of natural disasters, thereby ensuring that we are capable of tackling natural disaster emergencies in a timely and efficient manner, to protect the lives of our students and teachers and the property safety of the university and to ensure the normal operation of our teaching, research and business.

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7. Building a Bridge for Society to Satisfy Its Need for Educated Talents by a "Reassuring" Gench

We calculate greenhouse gas (GHG) emissions based on ISO14064-1 stipulated by the International Organisation for Standardisation (ISO) and the GHG Protocol formulated by the World Resources Institute and the World Business Council for Sustainable Development. For details of our GHG emissions during the Reporting Period, please refer to Appendix I: Key Performance Indicators.

GREENING RENOVATION ON CAMPUS

  • Implement vertical greening
  • Add new varieties of seedlings and match them with the existing plants based on the different levels to form an orderly greening layering. While beautifying the campus environment, it also helps reduce carbon emissions

Advocating Green Lifestyle

In order to enhance the environmental awareness of the students, teachers and staff and to encourage them to adopt a green lifestyle to reduce waste, we have actively organised various waste reduction activities for encouraging them to live a greener life and adopt more eco-friendly office practices and to implement the environmental protection measures on energy conservation and emissions reduction.

GARBAGE SORTING MANAGEMENT

• Perform the knowledge publicity of garbage sorting, replace with sorting garbage cans, post signs for garbage sorting, arrange volunteers to supervise garbage sorting, and encourage the students, teachers and staff to dispose of household waste by sorting

ENHANCING THE RECYCLING RATE OF USED AND WASTE MATERIALS

• Recycle used clothes and old books and donate them to needy people in impoverished mountainous areas

REDUCING WASTE IN OUR DAILY LIVES

• Restaurants and guest houses reduce the use of disposable tableware and other items, and encourage the students, teachers and staff to live a thrift lifestyle

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7. Building a Bridge for Society to Satisfy Its Need for Educated Talents by a "Reassuring" Gench

The domestic waste of the Group is classified into four categories: dry waste, recyclables, wet waste and hazardous waste. The Group has implemented a system for separate collection of domestic waste at sources and at fixed locations within students, teachers and staff, canteens and shops, and has entrusted a qualified waste management company to collect and dispose of dry wastes. We strictly sort, categorise and rationally allocate recyclables, especially donating more than 800 pieces of clothing to the Hope Primary School through the "Weijia" project of our University, which realised the recycling and reuse of resources. In terms of the disposal of kitchen waste, we have purchased wet waste processors, and signed the Maintenance Service Contract with a qualified third-party manufacturer, so that kitchen waste can be processed on the spot on a daily basis, and will not be left on campus overnight or taken out of the campus. Regarding hazardous waste, electronic products, are recycled by qualified recycling companies for treatment.

Under our plan of promoting waste reduction and increasing the recycling rate of used and waste materials, we have achieved good results in waste reduction. For details of our waste data during the Year, please refer to Appendix I: Key Performance Indicators.

University-Enterprise Energy Saving Cooperation

To further increase the intensity of energy conservation and emissions reduction and achieve more effective results in environmental protection, we must rely on the promotion of innovative technology. Therefore, we have strengthened the cooperation with other companies and used social resources to promote environmental protection.

STRENGTHENING UNIVERSITY-ENTERPRISE ENERGY SAVING COOPERATION

Actively connecting with social resources, promoting the implementation of projects such as managing energy by signing contracts, as well as organising teachers and students to carry out exchange activities.

Charging stations for new energy vehicles installed by a third-party company are available for teachers, students and visitors, which are managed and maintained by the third-party company. At present, there are 4 charging stations in the parking lot of the affair centre, 5 in the underground parking lot of the library, 2 in the parking lot of southern dormitory, 4 in the parking lot of the overseas students' apartment, and 1 in the northern parking lot of the medical room.

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7. Building a Bridge for Society to Satisfy Its Need for Educated Talents by a "Reassuring" Gench

7.6 WARMHEARTED SOCIAL PRACTICES

Adhering to our University motto of "Thanksgiving, Return, Loving, Responsibility" and the volunteer spirit of "Devotion, Fraternity, Mutual Aid, Progress", we have been committed to the development of charitable causes and vigorously encouraging students to participate in volunteer services and social practices in order to give back to society.

Earnest Social Welfare Charities

Since the donation to the first Hope Primary School in Junan, Shandong in 2000, we have cooperated with the Shanghai Committee of the China Democratic League to build two or three Hope (Candlelight) Primary Schools each year, with an investment of approximately RMB180,000 to RMB350,000 per project and ancillary facility of RMB150,000 to RMB800,000. Since 2000, the Group has helped build more than 40 schools in 25 provinces.

"LITTLE CANDLES, BRIGHT FUTURE" POVERTY ALLEVIATION PROJECT

Since 2004, our University has been organising several students from one or two (Candlelight) Primary School(s) that we built to carry out a one-week "Shanghai trip" every summer vacation, which has lasted for 16 years.

From 15 to 21 July of the Year, 20 children from Shangcun Town Central School and Tianba Town Central School in Huize County, Yunnan Province were accompanied by volunteers who were teachers and students from our University to experience the charm of Shanghai. During the event, these children, who are in dire need but outstanding in school, were guided by our volunteers to visit the Chinese Art Palace and the Shanghai Kunqu Opera Troupe, appreciating the extensive and profound traditional Chinese art and culture; explored the infinite mysteries of nature and science at the Shanghai Science and Technology Museum and the Shanghai Natural History Museum; started a colourful and wonderful adventure in Haichang Polar Ocean World; appreciated the beauty of the fascinating city when visiting the Pearl of the East and the Pujiang River; learned the noble spirit of the heroes and martyrs at the site of the First Congress of the Communist Party of China and the Leifeng Hall of Shanghai Jian Qiao University.

In view of the lack of interest courses in mountain schools, this event was also interspersed with robot courses, 3D printing courses, natural science courses, jewelry courses, basketball courses, etc. that children are interested in.

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7. Building a Bridge for Society to Satisfy Its Need for Educated Talents by a "Reassuring" Gench

Caring Volunteer Service

In the Year, our University carried out in-depth volunteer activities of learning from Lei Feng, improved the long-term mechanism of volunteer service, and continuously enhanced the attractiveness and appeal of learning from Lei Feng activities. A total of 173 volunteer service activities were conducted during the Year, with more than 10,000 participants and more than 160,000 hours of volunteer services.

In March of the Year, Shanghai Youth Volunteer Service Base was inaugurated at Shanghai Jian Qiao University. We took our actions to practise the spirit of Lei Feng, and continued to promote the brand building of the volunteer service base, so that the normalisation, full coverage and long-term mechanism of volunteer activities could be developed soundly.

VOLUNTEER ACTIVITIES OF THE 2ND CHINA INTERNATIONAL IMPORT EXPO (CIIE)

From 5 to 10 November of the Year, during the 2nd CIIE, 176 students from our University served as volunteers, with more than 80 people added on the basis of last year. During the period of the 2nd CIIE, our volunteers were responsible for consulting guidelines, managing simultaneous interpretation machines, maintaining order and other arrangements, with the most enthusiastic attitude to help every domestic and foreign tourist and exhibitor tackle problems and difficulties. The work of our student volunteers was unanimously recognised and highly praised by the vast number of tourists and all staff.

54 Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report

8. Future Prospects

Looking forward, Gench Education will devote itself to the practice of sustainable development, and integrate sustainable development strategies into major environmental, social, and governance issues such as teaching quality, compliance operations, employee care, green campus and charity; will regularly identify and evaluate the risks related to environment, society and governance, and manage them through the continuous participation of stakeholders; coupled with the development needs of the times, continuously optimise the sustainable development policies and integrate them into the Group's business operations, achieving an effective implementation of the decent environment, society and governance.

We will continue to carry out strict quality control through the quality management system of ISO 9001, enhance the quality of teaching, speed up the adjustment of discipline and professional layout, further optimise the programmes of talent training, and actively expand the external exchange projects for students to cultivate elites equipped with international vision and competitiveness for the society.

We will continue to operate in an honest and compliant manner, strictly abide by laws and regulations, protect information and privacy security, maintain intellectual property rights, ensure the health and safety of students and teachers, strengthen supply chain management, and establish a win-win cooperation with supplier partners. We will also pay attention to the valuable opinions of students and parents to further reinforce the teaching quality.

We will continue to recruit outstanding talents in a fair and equitable manner, seriously perform the comprehensive programme for the promotion and development of our teachers and staff. We also care for our employees to enhance their sense of belonging and well-being, and drive them to grow as our businesses develop.

We will continue to integrate the greening concept into the entire campus, from campus construction to school operation to save resources and water, reduce waste and air emissions, with commitments to low-carbon campus culture.

We will adhere to the school-running direction and the goal of education of nurturing capable and upright graduates, advocate the spirit of Lei Feng, continue to carry out charity projects, organise more volunteer services and social practice activities, to warm more people in need and give back to the society.

As a leading private university operator at home, we will promote the all-round development of students as the basis for high-quality education, and help them grow and succeed, thereby contributing to the sustainable development of the society, the country and the world.

Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report 55

Appendix I: Key Performance Indicators

Environmental Performance

Vehicles' air emissions

Nitrogen oxides (NOX)

Sulphur oxides (SOX)

Particulate matter (PM)

GHG emissions1

Direct GHG emissions (Scope 1)2

Indirect GHG emissions (Scope 2)3

Total GHG emissions (Scopes 1 & 2)

GHG emissions intensity

Intensity of GHG emissions (Area)

Intensity of GHG emissions (Number of people)

Energy consumption

Total energy consumption4 Intensity of energy consumption Total power consumption

Intensity of total power consumption (Area) Intensity of total power consumption

(Number of people) Natural gas consumption

Amount of gasoline consumed by fixed equipment Amount of gasoline consumed by vehicles Diesel consumption

Water consumption

Total water consumption

Intensity of total water consumption (Area) Intensity of total water consumption

(Number of people)

Hazardous waste

Total hazardous waste

Intensity of hazardous waste

Number of old computers produced

Number of old computers recycled

Waste toner cartridge produced

Non-hazardous waste

Total non-hazardous waste Intensity of non-hazardous waste Amount of non-hazardous waste recycled

Paper Consumption

Paper Consumption

Intensity of paper consumption

Unit

2019

kg

1,020.03

kg

1.13

kg

88.93

tonnes CO2e

7,365.15

tonnes CO2e

17,843.16

tonnes CO2e

25,208.31

tonnes CO

2

e/m2

0.05

tonnes CO2e/number of staff and student

1.20

MWh

38,386.81

MWh/number of staff and student

1.83

MWh

22,176.44

MWh/m2

0.04

MWh/number of staff and student

1.05

m3

387,329

m3

1,230

litres

39,256

litres

34,296

m3

834,415

m3/m2

1.57

m3/number of staff and student

39.68

tonnes

6.35

kg/number of staff and student

0.30

unit

1,500

unit

1,500

pieces

700

tonnes

1,716

tonnes/number of staff and student

0.08

tonnes

21

kg

8,028.27

kg/number of staff and student

0.38

  1. We refer to "How to Prepare an ESG Report - Appendix II: Reporting Guidance on Environmental KPIs" from the Hong Kong Stock Exchange to calculate the Group's GHG emissions in Scope 1 and Scope 2.
  2. Scope 1: Direct GHG emissions from the sources that are owned and controlled by the Group.
  3. Scope 2: GHG emissions indirectly caused by power, heating and cooling or steam purchased by the Group.
  4. The total energy consumption is the sum of total electricity consumption, natural gas consumption, gasoline consumption due to fixed equipment and vehicles, and diesel consumption (in MWh). For relevant unit conversion factors, please refer to the Energy Statistics Manual from the International Energy Agency.

56 Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report

Appendix I: Key Performance Indicators

Social Performance

Unit

2019

All employees

person

1,173

Total number of employees (by gender)

Female employees

person

653

Male employees

person

520

Total number of employees (by age group)

Below 40

person

629

40-50

person

269

Above 50

person

275

Total number of employees (by employee category)

Junior employees

person

1,080

Middle management

person

86

Senior management

person

7

Total number of employees (by region)

Employees in East China

person

1,173

Employee turnover rate (by gender)

Female employees

percentage

5.91%

Male employees

percentage

7.96%

Employee turnover rate (by age group)

Below 40

percentage

7.91%

40-50

percentage

4.27%

Above 50

percentage

6.78%

Employee turnover rate (by region)

Employees in East China

percentage

6.83%

Percentage of employees trained (by gender)

Female employees

percentage

98.47%

Male employees

percentage

97.31%

Percentage of employees trained (by employee category)

Junior employees

percentage

99.07%

Middle management

percentage

86.05%

Senior management

percentage

71.43%

Average training hours per employee (by gender)

Female employee

hour

54.20

Male employee

hour

44.30

Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report 57

Appendix I: Key Performance Indicators

Social Performance

Unit

2019

Average training hours per employee (by employee category)

Junior employee

hour

46.00

Middle management

hour

95.70

Senior management

hour

181.40

Occupational health and safety

Number of work-related fatalities in the past 3 years

person

0

(including the reporting period)

Lost days due to work injury

day

0

Anti-corruption

Number of concluded corruption-related litigation

case

0

cases against the Group or employees

58 Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report

Appendix II: Environmental, Social and Governance Reporting Guide Index

Contents of Indicators

Relevant Section

A. Environmental Category

A1 Emissions

General

Information on:

7.5 Environmentally-

Disclosure

(a) the policies; and

friendly green campus

(b) compliance with relevant laws and regulations that have

a significant impact on the issuer

relating to air and GHG emissions, discharges into water and

land, and generation of hazardous and non-hazardous waste.

A1.1

The types of emissions and respective emissions data.

A1.2

Direct (Scope 1) and energy indirect (Scope 2) GHG

emissions and, where appropriate, intensity.

A1.3

Total hazardous waste produced and, where appropriate,

intensity.

A1.4

Total non-hazardous waste produced and, where

appropriate, intensity.

A1.5

Description of emissions target(s) set and steps taken to

achieve them.

A1.6

Description of how hazardous and non-hazardous wastes are

handled, and a description of reduction target(s) set and

steps taken to achieve them.

Appendix I: Key Performance Indicators

Appendix I: Key Performance Indicators

Appendix I: Key Performance Indicators

Appendix I: Key Performance Indicators

7.5 Environmentally- friendly green campus

Since this year is the first year of preparing the ESG Report, the target(s) set will be disclosed in the future

7.5 Environmentally- friendly green campus

Since this year is the first year of preparing the ESG Report, the target(s) set will be disclosed in the future

Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report 59

Appendix II: Environmental, Social and Governance Reporting Guide Index

Contents of Indicators

A2 Use of

General

Policies on the efficient use of resources, including energy,

Resources

Disclosure

water and other raw materials.

A2.1

Direct and/or indirect energy consumption by type (e.g.

electricity, gas or oil) in total and intensity.

A2.2

Water consumption in total and intensity.

A2.3

Description of energy use efficiency target(s) set and steps

taken to achieve them.

A2.4

Description of whether there is any issue in sourcing water

that is fit for purpose, and water efficiency target(s) set and

steps taken to achieve them.

Relevant Section

7.5 Environmentally- friendly green campus

Appendix I: Key Performance Indicators

Appendix I: Key Performance Indicators

7.5 Environmentally- friendly green campus

Since this year is the first year of preparing the ESG Report, the target(s) set will be disclosed in the future

7.5 Environmentally- friendly green campus

Since this year is the first year of preparing the ESG Report, the target(s) set will be disclosed in the future

A2.5

Total packaging material used for finished products and,

N/A

where appropriate, with reference to per unit produced.

A3 Environment

General

Policies on minimizing the issuer's significant impact on the

7.5 Environmentally-

and Natural

Disclosure

environment and natural resources.

friendly green campus

Resources

A3.1

Description of the significant impacts of activities on the

7.5 Environmentally-

environment and natural resources and the actions taken to

friendly green campus

manage them.

A4 Climate

General

Policies on identification and mitigation of significant

7.5 Environmentally-

Change

Disclosure

climate-related issues which have impacted, and those which

friendly green campus

may impact, the issuer.

A4.1

Description of the significant climate-related issues which

7.5 Environmentally-

have impacted, and those which may impact, the issuer, and

friendly green campus

the actions taken to manage them.

60 Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report

Appendix II: Environmental, Social and Governance Reporting Guide Index

Contents of Indicators

Relevant Section

B. Social Category

B1 Employment

General

Information on:

6.1 Stringent

Disclosure

(a)

the policies; and

employment standards

(b) compliance with relevant laws and regulations that have

6.2 Considerate staff

care

a significant impact on the issuer

relating to compensation and dismissal, recruitment and

promotion, working hours, rest periods, equal opportunity,

diversity, anti-discrimination, and other benefits and welfare.

B1.1

Total workforce by gender, employment type, age group and

Appendix I: Key

geographical region.

Performance Indicators

B1.2

Employee turnover rate by gender, age group and

Appendix I: Key

geographical region.

Performance Indicators

B2 Health and

General

Information on:

7.2 Comprehensive

Safety

Disclosure

(a)

the policies; and

logistics support

(b) compliance with relevant laws and regulations that have

a significant impact on the issuer

relating to providing a safe working environment and

protecting employees from occupational hazards.

B2.1

Number and rate of work-related fatalities occurred in each

Appendix I: Key

of the past three years including the reporting year.

Performance Indicators

B2.2

Lost days due to work injury.

Appendix I: Key

Performance Indicators

B2.3

Description of occupational health and safety measures

7.2 Comprehensive

adopted, and how they are implemented and monitored.

logistics support

B3 Development

General

Policies on improving employees' knowledge and skills for

6.3 Well-established

and Training

Disclosure

discharging duties at work. Description of training activities.

training system

B3.1

The percentage of employees trained by gender and

Appendix I: Key

employee category (e.g. senior management, middle

Performance Indicators

management, etc.).

B3.2

The average training hours completed per employee by

Appendix I: Key

gender and employee category.

Performance Indicators

Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report 61

Appendix II: Environmental, Social and Governance Reporting Guide Index

Contents of Indicators

Relevant Section

B4 Labour

General

Information on:

6.1

Stringent

Standards

Disclosure

(a) the policies; and

employment standards

(b) compliance with relevant laws and regulations that have

6.2

Considerate staff

care

a significant impact on the issuer

relating to preventing child or forced labour.

B4.1

Description of measures to review employment practices to

6.1

Stringent

avoid child and forced labour.

employment standards

B4.2

Description of steps taken to eliminate such practices when

6.1

Stringent

discovered.

employment standards

B5 Supply Chain

General

Policies on managing environmental and social risks of the

7.4

Reciprocal supply

Management

Disclosure

supply chain.

management

B5.1

Number of suppliers by geographical region.

7.4

Reciprocal supply

management

B5.2

Description of practices relating to engaging suppliers,

7.4

Reciprocal supply

number of suppliers where the practices are being

management

implemented, and how they are implemented and

monitored.

B5.3

Description of practices used to identify environmental and

7.4

Reciprocal supply

social risks along the supply chain, and how they are

management

implemented and monitored.

B5.4

Description of practices used to promote environmentally

7.4

Reciprocal supply

preferable products and services when selecting suppliers,

management

and how they are implemented and monitored.

B6 Product

General

Information on:

Responsibility

Disclosure

(a) the policies; and

(b) compliance with relevant laws and regulations that have

a significant impact on the issuer

relating to health and safety, advertising, labelling and

privacy matters relating to products and services provided

and methods of redress.

B6.1

Percentage of total products sold or shipped subject to recalls

for safety and health reasons.

  1. Robust compliance operation
  2. Comprehensive logistics support

N/A

B6.2

Number of products and service related complaints received

7.3 Sincere exchange of

and how they are dealt with.

opinions

B6.3

Description of practices relating to observing and protecting

7.1

Robust compliance

intellectual property rights.

operation

B6.4

Description of quality assurance process and recall

5.3

Strict quality

procedures.

management

B6.5

Description of consumer data protection and privacy

7.1

Robust compliance

policies, how they are implemented and monitored.

operation

62 Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report

Appendix II: Environmental, Social and Governance Reporting Guide Index

Contents of Indicators

Relevant Section

B7 Anti-

General

Information on:

7.1 Robust compliance

corruption

Disclosure

(a) the policies; and

operation

(b) compliance with relevant laws and regulations that have

a significant impact on the issuer

relating to bribery, extortion, fraud and money laundering.

B7.1

Number of concluded legal cases regarding corrupt practices

7.1 Robust compliance

brought against the issuer or its employees during the

operation

reporting period and the outcomes of the cases.

Appendix I: Key

Performance Indicators

B7.2

Description of preventive measures and whistle-blowing

7.1 Robust compliance

procedures, and how they are implemented and monitored.

operation

B7.3

Description of anti-corruption training provided to directors

7.1 Robust compliance

and staff.

operation

B8 Community

General

Policies on community engagement to understand the needs

7.6 Warmhearted social

Investment

Disclosure

of the communities where the issuer operates and to ensure

practices

its activities take into consideration the communities'

interests.

B8.1

Focus areas of contribution (e.g. education, environmental

7.6 Warmhearted social

concerns, labour needs, health, culture, sport).

practices

B8.2

Resources contributed to the focus area.

7.6 Warmhearted social

practices

Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report 63

Appendix III: Opinions and Feedback

Dear Readers,

Thank you for reading our environmental, social and governance report in 2019. It would be very much appreciated if you could complete this Form of Opinions and give us your valuable comments to help us continuously improve our report.

If you have any comments or suggestions on the environmental, social and governance aspects of the Company, please email to ir@gench.edu.cn.

Form of Opinions and Feedback on the 2019 Environmental, Social and Governance Report of Shanghai Gench Education Group Limited

Name

Company

Position

Telephone number

Email address

Your comments on this report: (Please tick as appropriate)

Very good

Good

Fair

Poor

Very Poor

Your comment on this report on its reflection of the important information of the Group in respect of environmental, social and governance:

Your comment on the clarity, accuracy and completeness of the information and indicators disclosed in this report:

Your comment on the reader-friendliness of arrangement of content and style design of this report:

Which parts of the report are you most interested in?

What advice do you have for our future release of environmental, social and governance reports?

Thank you for your concern and support for Gench Education!

64 Shanghai Gench Education Group Limited - 2019 Environmental, Social and Governance Report

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Shanghai Gench Education Group Ltd. published this content on 26 July 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 26 July 2020 11:40:10 UTC