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1、1ZTO Express(Cayman)Inc.2019 ESG ReportZTO Express(Cayman)Inc.ESG ReportBringing Happinessto More Peoplethrough Our ServicesHeadquarters Address:1685 Huazhi Road,Huaxin Town,Qingpu District,ShanghaiCompany Website:Postal Code:2017082019ZTO Express(Cayman)Inc.ESG Report0102ZTO Express(Cayman)Inc.2019

2、 ESG ReportIntroductionThis annual ESG report is the second public release by ZTO Express(Cayman)Inc.,and the one for the previous year was published on May 20,2019CoverageThe report covers ZTO Express(Cayman)Inc.and its subsidiaries.For readers convenience,ZTO Express,ZTO,the Company,and We are als

3、o used to address the GroupTime frameThe report covers the period from January 1,2019 to December 31,2019(Please note that part of the content may be out of this time frame)ReferencesSustainability Reporting Guidelines(GRI Standards)by the Global Reporting InitiativeChina Corporate Social Responsibi

4、lity Reporting Guidelines(CASS-CSR4.0)by the Chinese Academy of Social SciencesGB/T36001-2015,Guidance on Social Responsibility ReportingDataAll the data in the report come from ZTO Express(Cayman)Inc.s public files and statistical reports,which have been reviewed by relevant departments.Unless othe

5、rwise stated,the financial data in the report are based on RMB.To the best of our knowledge,the report does not contain any false records,misleading statements or material omissionsPreparation processEarly stage preparations,drafting,review,design&release,and feedbackInformationWebsite:Headquarters

6、address:1685 Huazhi Road,Huaxin Town,Qingpu District,Shanghai,201708Tel.:95311E-mail:About the ReportBringing Happiness to More People through Our Services0304ZTO Express(Cayman)Inc.2019 ESG ReportContents3571 P47 P53 P54 P37 P39 P43 P83 P86 P87 Win-win Cooperation Joint Development with Industries

7、Exploration Linking Global NetworkGiving back Shouldering ResponsibilityFEATURE19FIGHTING AGAINST COVID-19 WITH CONCERTED EFFORTSMOVING DOWN TO THE GRASSROOTS AND MAKING UTMOST EFFORTS TO SUPPORT THE GOAL OF BUILDING A MODERATELY PROSPEROUS SOCIETY IN ALL ASPECTS91LOOKING AHEADSTRIVING FOR HIGH-QUAL

8、ITY DEVELOPMENTCONCERTED EFFORTS FOR A BEAUTIFUL LIFE93APPENDIX Whole-hearted Service Customer-oriented Guarantee Comprehensive Procurement ManagementEnvironment Developing Green Express Delivery Upgrading Expanding to Multi-mode Operations Breakthrough Improving Transportation EfficiencyDriving For

9、ce Intelligent and Innovative TechnologiesP01P05P07P17P93About the ReportChairmans Letter:Getting Ready to Set off Again on a New Starting Point of 10 Billion ParcelsABOUT ZTOCare from LeadersKey Performance P73 P81 P82 Trust Stimulating the Vitality of Talents Empowerment Shared Success Synergy Sup

10、porting E-commerce0506ZTO Express(Cayman)Inc.2019 ESG ReportABOUT ZTOChairmans LetterCare from LeadersChairmans LetterOn the single day of November 11,2019,ZTO Express achieved good results as it received over 200 million orders and picked up over 100 million parcels through its whole network.On the

11、 next day(November 12),the annual parcel volume of the Company had exceeded 10 billion.This is another new milestone in the history of ZTO.The new milestone is a result of the hard work of every ordinary employee of ZTO in the past 17 years.It is not only an affirmation of our past efforts,but also

12、a spur to the future.The express delivery industry has broad prospects and huge potential.The ambitious ZTOers,with a dream of building an enterprise of 100-year history,keep climbing and striving to create a new tomorrow.Standing on a starting point of 10 billion,we must stay vigilant.Standing on a

13、 new starting point and embarking on a new journey means that ZTO will gather more resources and shoulder greater responsibilities.Express delivery is a link between goods and users,and a bridge between production and consumption.In the future,we will link more users and goods,improve our service ca

14、pabilities and quality,help more people start businesses and find jobs to achieve a new better life,and better meet market demands and expectations.We will better help users improve quality and efficiency,and reduce the logistics cost of the whole society.We will stick to high-quality development,ad

15、here to green development,assist targeted poverty alleviation and rural revitalization,and live up to higher requirements and expectations of our society.Standing on a starting point of 10 billion,we should have more confidence and trust!Looking back on the past 17 years,the development of ZTO relie

16、s on the trust of every member of the big ZTO family.Along the way,the reason why we have been able to develop from catching up to leading the industry is that our pragmatic and dedicated ZTOers trust the platform of ZTO.We believe that this industry will prosper,and we also have more confidence tha

17、t ZTO will prosper,as our platform is fair,just,transparent and willing to share.For this trust,ZTO will continue to handle and balance the relationship between short-term and long-term development,the relationship between partial and whole,and the relationship between the interests of the platform

18、and the outlets.The development speed depends on the level of trust.Only with trust,can we unite like a fortress,be practical and realistic.Only with more trust,can we gather more strength and become stronger.Standing on a starting point of 10 billion,we should work harder!Fortune rewards the dilige

19、nt,and no pains no gains.Happiness is achieved through hard work.Happiness is created with our down-to-earth attitude,step by step through 17 years of trials and hardships.In the face of a Chinese express delivery market with infinite possibilities,potentials and prospects,ZTO,which is already in th

20、e forefront,will face a new situation-co-existence of challenges and opportunities.But we have the confidence that,we can and we will create a more brilliant future through unremitting efforts and hard work!Getting Ready to Set off Again on a New Starting Point of 10 Billion Parcels0708ZTO Express(C

21、ayman)Inc.2019 ESG ReportABOUT ZTOChairmans LetterCare from LeadersFounded on May 8,2002,ZTO Express(Cayman)Inc.is a logistics conglomerate integrating multiple services including domestic and international express delivery,express freight,commerce,warehousing,finance,aviation,media and intelligent

22、technologies.In October 2016,ZTO was listed on the New York Stock Exchange,and was the largest IPO in the U.S.capital markets that year.As the first Chinese express delivery company listed in America,ZTO Express has created unprecedented global visibility for the Chinese express delivery industry.Ad

23、hering to the mission of Bringing happiness to more people through our services,ZTO has grown into the largest express delivery enterprise in terms of volume,with the most stable development in China.In 2019,market share of ZTO reached 19.1%with 12.1 billion parcels,for the fourth consecutive year.T

24、he service quality has topped the industry for many consecutive years,and ranked No.1 among Tongda operators(referring to ZTO Express,YTO Express,STO Express,Yunda Express and Best Express).By the end of 2019,ZTO Express had nearly 30,000 service outlets and more than 4,800 direct network partners,c

25、overed over 98%of cities and counties,and over 90%of towns,becoming the largest network with the most extensive,the most intensive and the deepest coverage among the private operators in China.ZTO Express has a strong operation capacity,having more than 7,350 line-haul vehicles,of which more than 4,

26、650 are 15 to 17-meter long high-capacity vehicles,more than 2,600 line-haul routes,91 sorting hubs and 265 sets of automated sorting equipment.On the Nov.11 shopping festival of 2019,ZTO express received more than 200 million orders and delivered over 100 million packages.ABOUT ZTOIntroduction to t

27、he CompanyCore PhilosophyZTO Express 201912.1 billion parcels30,000 service outlets4,800direct network partners 19.1%MissionDevelopment philosophyCore valuesManagement philosophyOperation philosophyCorporate spiritVisionSafety philosophyService philosophyTalent philosophyBringing happiness to more p

28、eople through our servicesStable,strong,ambitious and change-seekingShared success,trust and accountability,innovation and entrepreneurshipFair,efficient,and result-orientedIntegrity,transparency and win-win resultsPersistence,focus,and perseveranceBecoming a respected enterprise with dignity,sustai

29、nability and longevity for centuries to comeSafety is benefitAll for outlets,and all for customersTalents are the hard powerwithnearlymarket share of ZTO reachedmore than0910ZTO Express(Cayman)Inc.2019 ESG Report2019 China Express Delivery Quantity and Quality Improvement AwardChina Post and Express

30、 News OfficeChina Road Freight Industry Golden Transport Award Annual Leading BrandThe Sub Committee for Freight Industry of CFLPMember Unit of Targeted Poverty AlleviationChina Express AssociationFive-Star FleetThe Sub Committee for Freight Industry of China Federation of Logistics and Purchasing(C

31、FLP)2019 Top 100 Shanghai EnterprisesShanghai Enterprise Federation,Shanghai Entrepreneurs Association,Shanghai Federation of Economic Organizations,and Jiefang Daily2019AprilAugustAugustDecember2020.All-Asia Executive Team Best ESG/SRI MetricsInstitutional Investor2019 China Express Delivery Indust

32、rys Social Responsibility AwardChina Post and Express News OfficeJanuaryJanuaryJanuaryChairman Lai won the 2019 China Express Delivery Charming Person AwardChina Post and Express News OfficeHonors&AwardsDecemberChairman Lai Meisong won the 2019 Ram Charan Management Practice Award Grand PrizeHarvard

33、 Business ReviewDecemberABOUT ZTOChairmans LetterCare from Leaders1112ZTO Express(Cayman)Inc.2019 ESG ReportAs a company listed on the New York Stock Exchange and registered in the Cayman Islands,ZTO Express is subject to relevant laws,regulations and rules,such as the U.S.Securities Exchange Act of

34、 1934,the NYSE Listing Requirements,the Cayman Islands Company Law and the Articles of Association of ZTO Express.In order to further standardize the operation of the Company,improve its governance level as a listed company and ensure the realization of the Companys overall strategic goals,the Compa

35、ny has built up a legal,compliant,complete and sound corporate governance structure to strengthen the balance between internal and external supervision,protect the legitimate rights of shareholders,actively resolve various risk issues,effectively prevent and control major and serious incidents,impro

36、ve the overall value of the enterprise,and contribute to the stable and healthy development of Chinas capital market.In order to improve the corporate governance structure,complete the operating system of the Groups board of directors(BoD),strengthen the functions and responsibilities of directors,a

37、nd improve the working efficiency of the BoD,ZTO Express has set up three committees under the BoD:the Audit Committee,the Remuneration Committee,and the Corporate Governance and Nomination Committee,which are responsible for regularly formulating and reviewing the corporate governance principles ad

38、opted by the BoD,as well as advising the BoD on all matters related to corporate governance and the corrective measures to be taken,to ensure that the enterprises management and operation have met the compliance requirements and the Companys development plan.The BoD also includes foreigners and expe

39、rts in finance,technology and logistics to support the Company to make comprehensive,integrated and professional strategic decisions and judgments.Governance StructureCorporate GovernanceResponsible for the selection,evaluation and supervision of the Companys independent auditing institution,supervi

40、sing the disclosure of Companys annually and quarterly audited financial reports,supervising the accounting and financial reporting procedures,controlling the Companys internal risk control system to ensure the authenticity of the financial statements used by the BoD and published by the Company,as

41、well as supervising the Company to comply with various forms of compliance requirements.Assisting the BoD in supervising the Companys remuneration system and employees benefits plans,assessing and approving the remuneration structure,including all forms of remuneration related to directors and senio

42、r executives.Audit CommitteeRemuneration CommitteeAssisting the BoD in selecting candidates who meet the qualifications as directors of the Company,providing recommendations to the BoD on the composition of the BoD,rules of procedure,committee composition,etc.and supervising and evaluating the work

43、of the BoD.Corporate Governance and Nomination CommitteeOn November 25,2019,ZTO Express Investor Day was held at the Groups headquarters,attracting more than 100 investors from domestic and abroad to participate.Through on-site interaction,visit and online live broadcast,the event deepened investors

44、 and the capital markets understanding of ZTO,and enhanced their confidence.Breakthrough and Transform ZTO Express inaugural Investor DayStrengthening corporate internal control and risk management is an important measure to defuse risks and realize the Companys operational goals.ZTO Express has est

45、ablished a comprehensive internal control procedure and division of responsibilities,to assess risk levels in time,update the internal control procedure and activities and reduce the risks to an acceptable level.The Company has set up an internal audit and compliance department and employed professi

46、onal qualified consultants to form a project team to conduct continuous and independent assessment of the Companys risks and internal control,and summarize and rectify problems identified.The BoD and the Audit Committee conduct internal control supervision on the Companys operational status and fina

47、ncial statement in the current quarter,future business forecast and internal control.In addition,ZTO also employs professional legal advisers on U.S.securities to provide services related to domestic and foreign laws for the Company,provide information on the latest laws and regulations in time and

48、review the Companys public announcements issued quarterly to ensure that relevant information is accurate and in line with relevant laws and regulations.Improving Risk ControlZTO Express operates with integrity,abides by business ethics,and has formulated and published the Code of Business Conduct a

49、nd Ethics.We strictly carry out supervision and discipline enforcement and accountability,intensify warning and education,and take the initiative to maintain a fair,just and orderly market environment,so as to provide strong support for the enterprise to embark on transformation and innovation,achie

50、ve quality development and create a new situation.The Company has set up a discipline supervision committee,and developed and issued the Code of Conduct for Honest Practice,which is available on the OA platform.The Code of Conduct for Honest Practice specifies relevant provisions on supervision,repo

51、rting and punishment for violations,and defines the basic code of conduct on the basis of 10 Prohibitions.New recruits should sign a Letter of Commitment to Honest Practice when signing their labor contracts with the Company.Complying with Business EthicsCase StudyTimely and accurate disclosure of c

52、orporate information and maintenance of investor relations are indispensable links in performing shareholders responsibilities.ZTO Express pays high attention to the maintenance and management of investor relations,and strictly abides by the information disclosure obligations under the U.S.securitie

53、s and exchange rules,the NYSE Listing Requirements and other applicable laws and regulations.The company has set up a specific investor relations department,to regularly hold roadshows and reverse roadshows,arrange investors visits,as well as respond to investors concerns.At the same time,the Compan

54、y discloses its major events,developments and operations,and other information to the public through the Companys investor relations(IR)website,press conference,and the websites designated by the U.S.Securities and Exchange Commission in a timely,complete and accurate manner,to strengthen communicat

55、ion with investors and effectively protect their legitimate rights and interests.In 2019,the Company published more than 50 press releases,announcements and related documents,hosted meetings with more than 900 institutional investors,and participated in more than 20 roadshows,ZTO express were covere

56、d by more than 30 major Chinese and foreign securities companies and investment banks.ZTO Express also won the award of 2019 All-Asia Best Investor Relations Program by Institutional Investor.Safeguarding Shareholders Rights and InterestsABOUT ZTOChairmans LetterCare from Leaders1314ZTO Express(Caym

57、an)Inc.2019 ESG ReportABOUT ZTOChairmans LetterCare from LeadersEvery company should pay close attention to every policy and legislation of the country as well as its impact on marketing,and formulate strategies for marketing campaigns in accordance with the political and legal environment to safegu

58、ard its legal interests.ZTO Express prohibits political involvement of any kind on the Companys behalf,bribery,or exchanging political donations for interests.The Company has set up the Discipline Supervision Committee(DSC),which is the supreme body for the supervision of honest practice,and respons

59、ible for publicizing and implementing the Code of Conduct for Honest Practice,so as to build a fair and just environment.The Chairman of the Company acts as the director member of the committee.Prohibition on soliciting or accepting bribesProhibition on concealing or covering up any behavior that vi

60、olates the Code of Conduct for Honest Practice or other rules or disciplinesProhibition on cheating or making a false report of or lying about working performance to gain honors or material rewards for individuals or departmentsProhibition on extravagance and waste or incompliantly improving the exp

61、ense standard on business travel,business meal or other business activitiesProhibition on seeking for business expansion,trading opportunities,promotion,rewards or other purposes by offering bribes to customers,partners,superior leaders or other relevant parties,or in other illegal ways Prohibition

62、on trading with the Company illegallyProhibition on taking advantage of the position to transfer the Companys transaction opportunities or management resourcesProhibition on violating financial regulations to dispose the Companys capitals without authorizationProhibition on arbitrarily taking advant

63、age of or leaking to others the Companys business secrets or inside informationProhibition on embezzling the Companys assets or interests1516ZTO Express(Cayman)Inc.2019 ESG ReportDelivery safety of the postal industry is a matter involving national security,public safety as well as the information a

64、nd property safety of the people.ZTO Express actively implements the decisions and arrangements of the CPC Central Committee,the State Council and the State Post Bureau regarding the prevention and elimination of major risks.ZTO Express proactively implements work safety policies that emphasize safe

65、ty first,focus on prevention,and treat accidents comprehensively.ZTO has established a sound work safety management system,and it continuously enhances every outlets safety awareness and skills,thus promoting a safe working environment.The Company has strictly implemented the Peoples Republic of Chi

66、na Postal Law,Postal Industry Safety Supervision and Management Measures,Express Delivery Safety Operational Regulations and other laws and regulations.It also ensured that the three systems(Real-name System,Open-box Inspection System,and Machine Inspection System)are in place to further assure deli

67、very safety and the safety of employees,users and property,and promote the sustainable and healthy development of the postal industry.In 2019,ZTO Express provided safety education and training for 7,169.33 hours,with the participation of 909,274 person,and the company carried out safety inspection f

68、or 9,654 times with a 97.6%rectification rate of potential safety hazards.Enhancing Safety ManagementZTO Express organized training on emergency rescue Couriers,a new first-aid force at your side.ZTO Express held the 2019 Company-wide Safety Supervision Meeting.The SSC of ZTO Express carried out a f

69、ire drill.ZTO Express organized operators to participate in an oath-taking and signing activity on delivery safety to celebrate the 70th anniversary of the founding of the P.R.C.provided safety education and training for7,169.33hourswith the participation of909,274personscarried out safety inspectio

70、n for9,654times2019ZTO Express has a diversified supervision and reporting channels,including whistleblowing letter box,President mailbox and 24/7 complaint hotlines(including hotlines for service complaints,safety supervision,logistical support,etc.).For real-name reporting,the Company will reply w

71、ithin 30 days and treat whistleblowers information confidentially.The supervision department is in charge of the whistleblowing letter box and examines corresponding records every week.The DSC is responsible for making preliminary investigation of the reported matter to determine whether it is false

72、 or insignificant.If it is not false or insignificant,the discipline inspection personnel will investigate the matter,produce a report based on the investigation result and propose handling recommendations.The DSC is responsible for recording the reported matter and filing all process-related docume

73、nts.Relevant reports,investigation and handling results will be reported to the CEO at least once per quarter.The internal audit and compliance department will communicate with the supervision department quarterly to confirm if there is any major reported matter;otherwise,the major matter will be re

74、ported to the Audit Committee.ABOUT ZTOChairmans LetterCare from LeadersDiscipline Supervision Committee(DSC):the supreme body of honest supervision organizations,consisting of director member,deputy director member,members and committee secretary.Safety Supervision Center(SSC):the actual execution

75、section of supervision,independent of any department,unit or individual.Responsible people of units:the first responsible person,responsible for the honest building work of the unit and signing a Letter of Commitment to Honest Business Building with the DSC.Discipline Supervision Committee(supreme b

76、ody)Units(the first responsible person)Honest Supervision Department of the Safety Supervision Center(supervision department)1718ZTO Express(Cayman)Inc.2019 ESG ReportCare from LeadersI am very happy to see the development of ZTO in the past years.You work on the right path,with devotion and perseve

77、rance.Your strategy is in line with the reality.Stick to it,and you will have a great future.-Ma Junsheng,Director General of the SPB On January 8Mr.Wu Xiaojun,Vice Governor of Jiangxi Province made an inspection visit to the Provincial Center of ZTO Express in Jiangxi.On February 12Mr.Cai Qi,Secret

78、ary,CPC Beijing Municipal Committee expressed regards to ZTO couriers,Thank you for your hard work.On March 28Mr.Li Qiang,member of the Political Bureau of the CPC Central Committee and Secretary of CPC Shanghai Municipal Committee inspected the HQ of ZTO Express.On May 10Premier Li Keqiang chaired

79、a symposium to listen to the opinions and suggestions of the heads of businesses on the implementation of the tax and fee reduction policy.Chairman Lai was invited to attend and spoke at the meeting.On February 1President Xi Jinping walked into an express delivery service outlet at Shitou Hutong in

80、Qianmen,Beijing,to visit and express solicitude to the couriers,learn about their work and life situations.You are the most diligent workers,running like industrious little bees,and exposed to the sun and rain.It is not easy,he also expressed Spring-Festival greetings to all workers in the industry

81、nationwide.On January 16Mr.Xu Kunlin,Vice Mayor of Shanghai,made an inspection visit to the headquarters of ZTO Express and held a symposium with express and logistics enterprises.On February 21Mr.Ma Junsheng,Director-General of the SPB,and Ms.Wang Hongyan,Executive Secretary of the Secretariat of t

82、he Central Committee of the Communist Youth League,inspected ZTO Express Beijing sorting hub,expressed gratitude to the front line young workers,and communicated face to face with ZTO employees and youth representatives.On April 20Mr.Wang Jiarui,Vice Chairman of the 12th CPPCC National Committee,acc

83、ompanied by Mr.Ma Junsheng,Director-General of the SPB,visited ZTO Express provincial Center in Yunnan.On September 6Mr.Li Qiang,Secretary of CPC Shanghai Municipal Committee,presided over a symposium of entrepreneurs,at which Chairman Lai introduced the integrated development history of ZTO and the

84、 Yangtze River Delta,and made suggestions for accelerating the development of Lin-gang Special Area of the Shanghai Pilot FTZ and the demonstration zone for integrated ecological and green development in the Yangtze River Delta region.On October 1A grand gathering celebrating the 70th anniversary of

85、 the founding of the P.R.C.was held at Tiananmen Square in Beijing.In the mass pageantry,1,000 couriers,including 91 ZTO Express employees,representing 4 million workers in the postal industry,formed a Beautiful Life square with square dancing aunties and sanitation workers,and walked through Tianan

86、men Square with their heads held high.Chairman Lai and others were invited to the scene.On November 11When ZTOs annual parcel volume exceeded 10 billion,Director-General Ma Junsheng of the SPB sent a congratulatory message:Warmly congratulate ZTO Express on breaking through the annual parcel volume

87、of 10 billion.I hope the ZTOers will remain true to your original aspiration,keep your mission firmly in mind,forge ahead with determination,strive to be the top,pass on value with perseverance and ingenuity,and achieve excellence through co-construction and sharing.I hope that you will vigorously c

88、arry forward the spirit of little bees and work tirelessly to become a creator and guardian of a beautiful life with high-quality express service!Be a dreamer in a new era!On December 30Mr.Ma Junsheng,Director-General of the SPB visited the HQ of ZTO Express to learn about the overall development of

89、 the enterprise.ABOUT ZTOChairmans LetterCare from Leaders1920FEATUREZTO Express(Cayman)Inc.2019 ESG ReportThe COVID-19 is merciless but love does exist among people.In early 2020,the COVID-19 pandemic broke out.ZTO Express proactively shouldered responsibilities and fulfilled its original aspiratio

90、n and mission of Bring happiness to more people through our services with practical actions.Working with government departments at all levels,caring enterprises,charitable organizations and other communities,we provided transportation and distribution services for relief supplies.The members of the

91、big ZTO family donated money and goods for pandemic prevention and control and joined hands to combat COVID-19.FEATUREFIGHTING AGAINST COVID-19 WITH CONCERTED EFFORTSScan the QR code to watch ZTOs theme MV on fighting against COVID-19Gathering strength of all the service outlets to support transport

92、ation of response suppliesAt the beginning of the outbreak,ZTO Express set up an emergency response leading group and a front line command and control group immediately to fully coordinate land and air transportation resources and provide enabling service support for epidemic prevention and control

93、in the country.On January 25,2020,ZTO Express opened free green channels for supplies related to epidemic prevention and control from the whole country to key epidemic-affected areas in Hubei Province to guarantee their transportation.By the end of March 2020,ZTO had delivered more-than-700-ton medi

94、cal and rescue supplies to Hubei Province,including masks,protective clothing,disinfectants,medical gloves,livelihood support materials,etc.After the outbreak of the epidemic,the Hubei Provincial Center of ZTO Express participated in the epidemic prevention&control efforts and the transportation of

95、supplies right away,converted its sorting hub into a warehouse,cooperated with third-party charity organizations to manage and distribute rescue supplies and coordinated and scheduled its transportation capacity and personnel in the whole province for rescue transportation.Around February 1,the medi

96、cal masks,gloves and other materials coordinated and raised by the National Health Commission for epidemic prevention were needed to be transported to Wuhan urgently.In order to support the epidemic prevention&control efforts in Wuhan,the headquarters of ZTO Express made a quick response and set up

97、a special coordination team to undertake the transportation task.Jiangxi Provincial Center dispatched vehicles imminently,and designated Yu Lianhua,a driver with rich driving experience,to send those relief materials to Wuhan.Since the outbreak of COVID-19,overseas Chinese associations,overseas Chin

98、ese and international friends in Japan,Indonesia,the United Arab Emirates(UAE),Cambodia and other countries and regions had contacted ZTO International and entrusted us to deliver the epidemic prevention supplies they raised to China.The HQ of ZTO International and its overseas teams coordinated rel

99、evant transportation capacities urgently,promoted cross-border transportation of such supplies,and seized every second to transport urgently-needed supplies to China.By the end of March 2020,ZTO had coordinated its teams around the world to On February 16,ZTO International,in collaboration with dome

100、stic and foreign resources,chartered an airliner as a cargo plane,transporting 1.14 million masks and other medical and epidemic prevention supplies raised by overseas Chinese in Cambodia to Changshui Airport in Kunming.After the arrival and clearance of the goods,the Yunnan Provincial Center of ZTO

101、 Express acted quickly and shipped those materials to Kunming Sorting hub for sorting.After that,vehicles were dispatched to transport them directly to the front line for domestic epidemic prevention and control.ZTO Express(Cayman)Inc.,together with its eco-system affiliates,such as ZTO Internationa

102、l,ZTO Freight,and ZTO Cloud Warehouse,leveraged their advantageous resources and worked with different communities to fight against the epidemic.ZTO InternationalZTO Internationals global action in support of domestic epidemic response effortstransport the medical supplies raised by overseas Chinese

103、 from Japan,Indonesia,the UAE,Cambodia,Russia,Germany and other countries to China,and directly to the front line.A total of more than 2,000 boxes of rescue materials,including more than 1.5 million masks,were transported.2122FEATUREZTO Express(Cayman)Inc.2019 ESG ReportOn January 29,ZTO Freight urg

104、ently coordinated vehicles to offer public-good transportation services for supporting materials to Hubei and transported 1,000 boxes of protective supplies donated by caring enterprises to Zhongnan Hospital of Wuhan University.On January 27,ZTO Cloud Warehousing Technology Co.,Ltd.,in collaboration

105、 with the customers,transported 13,600 boxes of self-heating rice worth more than RMB200,000 to two hospitals in Wuhan from Wuhu of Anhui,providing steaming rice for medical staff fighting on the front line.On March 5,the 200 tons rice donated by the Myanmar government to Hubei arrived at Ruili port

106、 in Yunnan.ZTO Express and ZTO Freight collaborated to arrange seven high capacity trailer trucks and 14 drivers to transport such charity materials to Wuhan in 40+hours across 2,300 kilometers.On February 11,ZTO Cloud Warehouse Technology opened 80 warehouses to hospitals,local governments,enterpri

107、ses,institutions and charities,providing free services such as receiving site,storage,distribution and delivery for anti-epidemic materials.During the epidemic,ZTO Express,while fully supporting the front line and transporting anti-epidemic materials for medical staff,also cared about communities.It

108、 delivered daily necessities to residents voluntarily to meet daily needs of citizens and sent study materials to students to support the orderly restoration of education.Caring about communities and trying to guarantee citizens daily necessitiesSince February 17,Chengdong Outlet in Yichang,Hubei,as

109、 one of the first express delivery companies to resume work in Yichang,served as a little bee transporting materials during the epidemic period,providing transportation services of grain,oil,vegetables,eggs,disinfectants and other living materials to Hubei Yichang municipal government agencies,medic

110、al institutions and residents.On February 28,ZTO Express Shanxi Provincial Center undertook the teaching materials distribution project,sorted,packaged,and delivered more than 300,000 sets of textbooks to the primary schools,junior high and senior high schools in Taiyuan within 15 days.ZTO FreightZT

111、O Cloud Warehouse2324FEATUREZTO Express(Cayman)Inc.2019 ESG ReportEnhancing prevention&control to comprehensively protect employees healthIn face of the COVID-19 pandemic,ZTO Express responded quickly and took measures to enhance safety protection in all areas,did a good job in pandemic prevention a

112、nd control across the whole network and safeguarded employees health.ZTO Express actively responded to and implemented the epidemic prevention and control requirements of the country and governments at all levels.Every provincial center and outlet in every city and province disinfected the productio

113、n sites,facilities and equipment thoroughly;A special fund of RMB100 million for COVID-19 epidemic prevention&control was set up as a safety guarantee to front line workers after re-opening;The Company made centralized procurement and distribution of all prevention materials,provided a full range of

114、 protective equipment for all front line couriers throughout the country and stipulated that during the outgoing delivery period,the courier must wear masks,gloves,goggles and other protective tools for their own safety and the safety of our customers.The outlets were equipped with infrared thermome

115、ters which were used to measure the temperature of staff at the outlets and customers entering the outlets every day.The heads of outlets collected information about the epidemic situation in the neighborhoods,informed staff of the latest information and gave warnings every day at the beginning of t

116、he work;Strengthened COVID-19 risk awareness and the education on protection knowledge,as well as relieved employees mental stress through various forms such as posters,audio broadcasting,and video programs;Thorough and strict disinfectionSetting up a special fundEquipping with protection toolsDaily

117、 temperature measurementKeeping an eye on epidemic situationThorough disinfection of vehicles before entering the production siteTemperature measurement every day中通快遞集團 2019 年企業社會責任報告Scan the QR code to watch ZTOs efforts in effective prevention of the epidemic and to support orderly production resu

118、mptionStrengthening publicity and education on epidemic prevention2526FEATUREZTO Express(Cayman)Inc.2019 ESG ReportIn face of the COVID-19,with simple but forceful petitions,they volunteered to shoulder responsibilities and delivered all kinds of prevention materials to the front line.When the pande

119、mic strikes,help will come from all sides.Who are they?They are the most beautiful ZTO Blue on the front line against COVID-19.Salute to COVID-19 pioneer fighterswas the first day on the lunar calendar of China.That evening,Wang Shencai and Xiong Chuying,drivers of ZTO,drove trucks carrying 100,000

120、medical masks from Ningguo,Anhui,across Anhui and Jiangxi,to Wuhan,Hubei,a heavily affected area by the COVID-19 epidemic.The goods and materials were successfully delivered,and they were isolated willingly after return.January 25Zheng Wei,head of ZTO Laohekou Outlet,Xiangyang,Hubei,and his friends

121、set up a WeChat group called Boundless Love to raise epidemic prevention materials for the front line.On January 26Huang Wei,head of Lichuan Outlet,ZTO Hubei,took the initiative to undertake all the medical supplies transportation tasks of Lichuan municipal government and also launched a raising cam

122、paign that raised 200,000 masks to local hospitals.On January 25Xiao You,an operator of Wuhan Sorting hub of ZTO Express,took over the relevant delivery work of Han Hong Love Charity Foundation and acted as the general dispatcher of love materials.He was on call 24 hours a day.Due to concerns on the

123、 possible delay of the transportation of materials,he turned up the volume of his cell phone to the maximum extent and didnt dare to fall into a deep sleep.On January 26On January 25,Yu Yangyang,an operator of Minhang Pujiang Outlet,ZTO Shanghai,received a call from Manager Chen of the Logistics Dep

124、artment of Shanghai ZJ Bio-Tech Co.,Ltd.,saying that the company had developed a batch of COVID-19 test kits,and hoped ZTO could help transport to hospitals and quarantine stations in Shanghai.Yu immediately reported to Wu Huijie,the head of the outlet.Hearing about that,Wu not only was willing to b

125、e the carrier of these test kits,but also offered to bear all the express delivery costs.Different from general parcels,those test kits have high requirements for both the storage conditions(should be protected from light and stored at low temperature of-205)and the delivery time.A little carelessne

126、ss in the transportation process may affect the final test results.For this reason,Pujiang Outlet opened a green channel and designated Yu and his colleagues to deliver directly from the place of departure to the destination point to point,without the need to transit.Entrusted with the mission,Yu es

127、corted those test kits and other supporting medical devices to major hospitals and quarantine stations in Shanghai,Ningbo and Hangzhou.At the same time,he also witnessed the effort of everyone to race against the virus:more than 200 employees in the Bio-Tech company rushed to make test kits all nigh

128、t long,the traffic polices at the expressway toll station were on duty 24/7,and the medical staff in the infection department were well-armed regardless their clothes were soaked.Speed A Courier Who Delivers COVID-19 Test KitsCase Study2728FEATUREZTO Express(Cayman)Inc.2019 ESG ReportFrom top to bot

129、tom,ZTO Express stayed united and shouldered our responsibilities.The Company carried out epidemic response efforts,transported supplies to the front line,supported the resumption of work and production,and guaranteed peoples daily necessities.The Company was highly recognized by governments,media,b

130、usinesses,and other entities.ZTO,with the support of all walks of life,will continue to march ahead and win the war against COVID-19 together with the people of the whole country.The encouragement from the society supports ZTO to march aheadThe recovery of the express delivery and logistics industry

131、 is more than a matter related to the enterprises,it is a guarantee and support to the whole society.On February 7,ZTO Express was the first to announce the establishment of a special fund of RMB100 million for COVID-19 epidemic prevention&control,which may be the largest amount used to guarantee th

132、e operation of express front line after the outbreak of the epidemic.It has a strong reference value for express delivery companies to support effective prevention and control of the epidemic and scientific and orderly resumption of production.The amount of RMB100 million not only relieves the worri

133、es of front line employees such as couriers,drivers and sorting hub employees to the greatest extent,but also makes employees of the whole network feel more secure.This is a major arrangement made by ZTO as a benchmark company to guarantee work resumption.Huang Gang,Chairman of HeadscmChibi Pufang H

134、ospital and Tongji Chibi Hospital expressed their gratitude to ZTO Express for free transportation of epidemic prevention materials to Chibi day and night.Shenzhen Guangming Honghuashan Primary School expressed its appreciation to ZTO Express for delivering new textbooks to its students free of char

135、ge.On February 7,2020,ZTO announced the establishment of a special fund of RMB100 million,which is an assurance for all ZTO employees,and also signifies a critical action of ZTO in epidemic response.During this special period,working together to overcome the difficulties-this kind of confidence and

136、belief of leaving no one behind is the most admirable aspect of ZTOs RMB100 million special fund,and what tens of thousands of outlets,franchisees and front line employees are aspiring for.In addition to delivering relief materials to the epidemic area and taking social responsibilities,many practic

137、es of ZTO in promoting work and production resumption are worthy of recognition.Starting from mid-February,ZTOs production capacity has recovered at an amazing speed day by day.Through this period,ZTOs overall cooperation and coordination ability forged and strengthened in this anti-epidemic war has

138、 not only enhanced its brand,but also brought many intangible values that cannot be underestimated in a competitive market in the future.-From a WeChat official account Yi Zhan(meaning courier station)On March 9,the Joint Prevention and Control Mechanism of the State Council held a press conference.

139、Li Jie,a courier from Beijing Changwa Road Outlet of ZTO Express,was invited,as a representative of couriers,to share with the public their services for epidemic prevention and control and for the resumption of work and production.Lichuan COVID-19 Epidemic Prevention and Control Command Center expre

140、ssed its gratitude to ZTO Lichuan for providing timely and free storage and transportation of protective materials.Hubei Provincial Postal Administration sent a thank-you letter to ZTO Hubei and its subordinate outlets for actively responding to the call of the SPB,CPC Hubei Provincial Committee and

141、 Hubei Provincial Government,and fully supporting the epidemic prevention and control work.The Embassy of the Peoples Republic of China in Myanmar expressed its gratitude to ZTO International for free transportation of 200 tons of rice donated by the Myanmar government to Hubei Province.Comments fro

142、m governmentsComments from mediaComments from schoolsComments from industry KOLComments from schoolsScan to watch the live video of the Press Conference2930FEATUREZTO Express(Cayman)Inc.2019 ESG ReportWhen visiting Guangshan County of Henan,General Secretary Xi Jinping emphasized the need to activel

143、y develop rural e-commerce and express delivery businesses,to expand the sales channel of agricultural products and increase farmers income.In 2019,18 government agencies,including the Ministry of Transport and the SPB,jointly issued the Implementation Opinions on Conscientiously Implementing the Im

144、portant Instructions of General Secretary Xi Jinping to Promote the Quality Development of the Postal Industry.It points out that by 2022,direct mail services should be available to every village,express delivery outlets should be available to every town,and administrative villages should be basical

145、ly covered by e-commerce delivery service with the help of postal and express channels.ZTO Express has been actively exploring the rural market,accelerating the construction and improvement of the rural service network,promoting the standardized construction of service outlets in towns.ZTO continued

146、 to develop delivery services for agriculture,rural areas and rural residents in a bid to constantly meet the needs of the rural residents for delivery services in the new era.By the end of 2019,ZTO Express had nearly 30,000 service outlets and more than 4,800 direct network partners covering over 9

147、8%of cities and counties and over 90%of towns.ZTO Express has the largest network with the most extensive,the most intensive and the deepest coverage among the private operators in China.Entering rural marketnearly30,000 service outletsmore than4,800 direct network partnersGansu Tianshui Outlet of Z

148、TO Express cooperated with local e-commerce enterprises to empower the last-mile express delivery,created a new way of rural express+e-commerce-based poverty alleviation and further improved the construction of rural logistics and distribution system in Qinzhou District.By the end of 2019,Qinzhou Di

149、strict had successfully established 184 village-level service outlets,including 42 national poverty-stricken villages,to solve the last-mile delivery problem in the rural areas of Tianshui.Qinzhou District had successfully established184 village-level service outletsFEATUREThe express delivery indus

150、try is a modern leading industry,which can help the development of manufacturing,promote the transformation of circulation mode and drive the upgrading of consumption.It has a resource advantage in serving agriculture,rural areas and rural residents and plays an important role in rural revitalizatio

151、n.Standing ahead of the year of decisive victory for building a moderately prosperous society in all aspects and achieving the first centenary goal,in order to implement the decisions and arrangements of the CPC Central Committee and the State Council on winning the battle against poverty,ZTO Expres

152、s has actively explored the rural market,and focused on the project of bringing express delivery services into villages by accelerating the construction of rural service outlets,improving the last-mile network of rural logistics infrastructure and promoting the coverage of logistics services in rura

153、l areas.ZTO Express has promoted a two-way circulation channel for agricultural products to the city and industrial products to the countryside,which stimulated consumption in rural areas,comprehensively promoted the high-quality development of rural logistics and provided a solid service guarantee

154、for winning the battle against poverty and implementing the strategy of rural revitalization.MOVING DOWN TO THE GRASSROOTS AND MAKING UTMOST EFFORTS TO SUPPORT THE GOAL OF BUILDING A MODERATELY PROSPEROUS SOCIETY IN ALL ASPECTS3132FEATUREZTO Express(Cayman)Inc.2019 ESG ReportThe model of Internet+Ex

155、press has accelerated the integration of online and offline,driven the development of experience economy and sharing economy,promoted the in-depth integration of traditional retail business and e-commerce platforms and greatly released the potentials of rural market.In 2019,China carried out 163 one

156、 place,one product express delivery projects to serve modern agriculture,with each having an annual parcel volume of more than one million.The parcels collected from/delivered to rural areas totaled 15 billion,supporting more than RMB870 billion of industrial products to the countryside and agricult

157、ural products to cities.Express delivery has become an important driver to stimulate rural consumption and prosper rural economy.By leveraging its advantages,ZTO Express acts as a bridge and link for agricultural products to the city and industrial products to the countryside,and accelerates the exp

158、ress business to penetrate to the grassroots,to better facilitate rural consumption,improve rural residents consumption quality,reduce rural consumption cost,and enable more and better industrial products to reach the countryside.ZTO Express also actively pushed forward the linking between productio

159、n and sales,promoted the interconnection between agriculture and businesses,unblocked the circulation channels of agricultural products with the help of e-commerce platforms and activated the rural market in two ways.Activating rural marketWalking into the vast field of Zhouzhi County,which is locat

160、ed in the northern foot of Qinling Mountains,you will see a green ocean of kiwi fruit.Kiwi fruit has become a pillar industry for local farmers to increase their income.Every year,when the Mid-Autumn Festival is approaching,it is also a peak season for kiwi fruit picking and sales.Express delivery i

161、s the main channel for kiwi fruit to be sold across the whole country.Over the years,ZTO Express has helped Zhouzhi kiwi fruit to become famous,ZTO Express Assisting Sales of Zhouzhi Kiwi Fruit across the CountryCase Studyand blazed a trail of wealth from fresh fruit+express by connecting outlets wi

162、th fruit farmers.As it is easy for newly picked kiwi fruit to get rotten,in order to help fruit farmers deliver kiwi fruit successfully,in 2019,the Shaanxi Provincial Center of ZTO Express made arrangements in advance,increasing transportation vehicles and couriers to provide door-to-door service in

163、 the field,guide fruit farmers to cool kiwi fruit or place it in the warehouse for one night before packaging,so as to ensure fresh kiwi fruit to be delivered to the customers without any damage.3334FEATUREZTO Express(Cayman)Inc.2019 ESG ReportIn April 2019,the SPB and other departments jointly issu

164、ed the Opinions on Promoting the Postal Industry to Serve Rural Revitalization,which points out to actively promote the model of e-commerce and express delivery-assisted poverty alleviation and accelerate poverty alleviation work through industry development.Bringing express delivery services to the

165、 countryside has been integrated into the national poverty alleviation plan.By continuously improving the distribution network layout in rural areas,and by means of technology enablement,express delivery can boost the development of rural e-commerce,help agricultural products be sold to all parts of

166、 the country at the lowest cost,and realize the full-link management from farmlands to dining table.ZTO Express keeps exploring the industry-assisted poverty alleviation model of express+rural e-commerce+agricultural products+farmers,and has fully integrated its business resources such as ZTO Busine

167、ss and Zhongkuai Media,to solve the problem of impeded sales channels for agricultural products,help poor areas develop modern pillar agriculture,drive local poor households to increase their income,sell more agricultural products at higher prices and further away,and contribute to the national rura

168、l revitalization strategy by relying on emerging business patterns such as e-commerce platform,group-buying and live streaming,and through model innovation,platform innovation and project innovation.Assisting poverty alleviation through industry developmentZTO Liangli Outlet in Dangshan,Anhui helped

169、 local fruit farmers sell more than 12,500 kilograms of yellow peaches through the group buying platform Youmi of Zhongkuai Media,with a daily dispatched volume of more than 3,000 parcels.At 18:32:25 on November 12,2019,the bamboo fungus product of Mr.Yuan,a cooperative farmer of ZTO Sichuan Changni

170、ng Outlet,luckily became the No.10 billionth parcel of ZTO Express in 2019.100,000+online views in 5 hours,Zhongkuai Medias live short video business helped agricultural products go out of the mountains.On June 16,2019,Pingquan Pavilion jointly built by ZTO Business and Pingquan Municipal Government

171、 was officially launched on the platform of ZTBest,assisting local featured agricultural products to build their brands.3536ZTO Express(Cayman)Inc.2019 ESG Report中通快遞集團 2019 年企業社會責任報告通力以致遠美好生活達萬家中流當奮楫高質發展譜新篇35At the 2019 national postal management work conference,it was proposed that the whole indus

172、try should follow the principle of consolidation,enhancement,improvement and smoothness and the guideline of connecting and integrating upstream and downstream,expanding the industrial chain,expanding the convergence of interests and building an ecosystem,so as to better satisfy peoples demand for a

173、 better life and support the high-quality development of economy.ZTO Express adheres to a customer-centric concept,strives to comprehensively deepen supply-side structural reform,and pursues innovation-driven development,transformation and efficiency improvement.The Company strives to enhance servic

174、e capabilities,extend service scope and improve service quality with the aim to promote the shift from leading advantage to absolute and ecological advantage,and fully embark on a new chapter of sustainable and high-quality development.STRIVING FOR HIGH-QUALITY DEVELOPMENTCHAPTER 1：Upgrading Expandi

175、ng to Multi-mode Operations Breakthrough Improving Transportation Efficiency Driving Force Intelligent and Innovative Technologies Whole-hearted Service Customer-oriented Guarantee Comprehensive Procurement ManagementEnvironment Developing Green Express Delivery P37 P39 P43 P47 P53P543738STRIVING FO

176、R HIGH-QUALITY DEVELOPMENTCONCERTED EFFORTS FOR A BEAUTIFUL LIFEZTO Express(Cayman)Inc.2019 ESG ReportUpgradingExpanding to Multi-mode OperationsWith the further development of Chinas market economy,the modern express delivery industry serves a wide array of social and economic sectors,its service o

177、bjects are also diversified.In order to meet the increasing needs of commerce,trade and peoples life,express delivery companies keep expanding and transforming their business sectors,pursue joint development,technological modernization and service diversification,and strive to accelerate the transfo

178、rmation to comprehensive logistics providers.Following the corporate mission of Bringing happiness to more people through our services,ZTO Express focuses on its main business of express delivery,and takes the express service network as the core to rapidly expand an ecosystem of one body and eight w

179、ings,integrating express delivery,international business,freight,commerce,cloud warehouse,aviation,finance,intelligent technology and media.We are committed to providing high-quality services and products to meet the needs of customers,and help customers reduce costs,improve efficiency and create va

180、lue.Getting Exposure(Driving traffic)Invigorate CapabilitiesBusiness ConversionServing the Industry&Full Truckload(FTL)Development EngineResource MonetizationEmpowermentResource SupportWarehouse-Distribution IntegrationDifferentiated ServiceFinancial SupportTechnology EnablementBetter ServiceBetter&

181、FasterFaster ServiceLess Than Truckload(LTL)37383940STRIVING FOR HIGH-QUALITY DEVELOPMENTCONCERTED EFFORTS FOR A BEAUTIFUL LIFEZTO Express(Cayman)Inc.2019 ESG ReportOn the morning of October 22,2019,a Boeing 737-800 all-cargo aircraft painted with the logo of ZTO Express took off from Nanchang and l

182、anded at Tianjin Binhai International Airport after about 2 hours,marking a new breakthrough of ZTO Express in air freight.The all-cargo plane is operated by ZTO Express and Tianjin Air Cargo.It flies a round trip between Tianjin and Nanchang every Saturday.The opening of this route enables ZTO to l

183、everage the transportation capacity resource,including the bellyhold capacity resource,of the all-cargo plane,which reduces the time spent in the middle link,and makes the transit of the express items in the whole process more stable and more efficient.By integrating upstream and downstream resource

184、s,optimizing cargo air transportation,and expanding ground extension services,ZTO has realized the integration of air and land transportation,which provides new business scenarios for its network,further shortens the service time and improves customer experience.TianjinNanchangBreakthroughImproving

185、Transportation EfficiencyEnhanced transportation capacity is the key to efficient delivery service for customers.The express industry keeps improving its own transportation capacity,and actively promote the project of transporting express items by rail,ship and airplane.The industry deeply integrate

186、 with the transportation industry so as to meet the higher demand for timeliness under the circumstances of market development and consumption upgrading.ZTO Express has increased investment in core resources,continuously improving the adoption rate of self-owned line-haul vehicles and connecting wit

187、h various advantageous transportation resources such as air transportation and railway transportation,to optimize the structure of transportation capacity,accelerate the formation of an all-round multimodal transportation system covering road,air and rail,and further improve the Companys transportat

188、ion efficiency through a wide and deep network of service outlets for the last-mile pick-up and delivery.By the end of 2019,ZTO Express had more than 2,600 line-haul routes,more than 7,350 line-haul trucks which included more than 6,450 self-operated trucks.Among the self-owned trucks,over 4,650 wer

189、e high-capacity trucks,guaranteeing the transportation of more than 40 million parcels per day.Maiden Flight of ZTO Express First All-Cargo Aircraft SucceededCase Study4142STRIVING FOR HIGH-QUALITY DEVELOPMENTCONCERTED EFFORTS FOR A BEAUTIFUL LIFEZTO Express(Cayman)Inc.2019 ESG ReportBenefitting fro

190、m its unique geographical location and climatic environment,Jiang County in Yuncheng of Shanxi Province,enjoys a reputation as the hometown of cherry.In order to better help the sales of the cherries from Jiang County,ZTO Express Shanxi Provincial Center,on the basis of the original scheduled land a

191、nd air transport lines and in collaboration with China Railway Express,established a cooperation team to assist the transportation of cherries to Taiyuan City,and successfully opened some special fruit lines,such as Houma-Taiyuan,Taiyuan-Xian,and Taiyuan-Wuhan.In this way,cherries picked in the earl

192、y morning could be placed at the consumers dining tables in the afternoon,saving 18 hours compared with traditional freight transportation.Since late May,Yantai of Shandong Province had entered a cherry month.In order to deliver Yantais cherries,fresh and intact,to all parts of the country,ZTO Expre

193、ss Shandong Provincial Center and ZTO Yantai provided prioritized service for fresh delivery,required the cold chain vehicles loaded with cherries to transit on a priority basis and the cherries not to be kept in the warehouse overnight,and streamlining the sorting and packaging process as much as p

194、ossible.In the delivery stage,the couriers were required to notify the recipients by phone and complete the delivery and signing for acceptance on the same day.In addition,ZTO Yantai selected cherries of different maturity grades for delivery based on the distance to the destination to reduce the lo

195、ss of cherries.These practices were widely recognized by customers.In 2019,ZTO Express Gansu Provincial Center and Longnan Airport worked together and opened a special air freight line for cherries,with daily air transportation of about 2 tons and 4 tons at the peak.On May 28,a ZTO van loaded with Q

196、inzhou Cherries picked in the morning from Tianshui set out from Tianjiazhuang E-commerce Cold Chain Center in Taijing Town,Qinzhou District,Tianshui City,and drove into the freight center of Longnan Airport.Then the cherries took the flight CZ8434 of China Southern Airlines,two and a half hours lat

197、er,they were delivered fresh from the field to the hands of consumers in Shenzhen.Yuncheng of ShanxiA special fruit line opened for half-day deliveryYantai of ShandongMaturity-based customized shipmentTianshui of GansuCold chain+aviation=Same day delivery to ShenzhenIn May 2019,the cherry producing

198、areas across the country entered the peak days of shipping.Several centers and outlets of ZTO used multiple channels including cold chain,aviation and high-speed train to ensure fresh cherries to be sent to the whole country.Cold Chain+Aviation+High-Speed Train,ZTO Escorting Fresh Cherries to the Wh

199、ole CountryCase Study4344STRIVING FOR HIGH-QUALITY DEVELOPMENTCONCERTED EFFORTS FOR A BEAUTIFUL LIFEZTO Express(Cayman)Inc.2019 ESG ReportZTO Express cooperated with MoonX in developing driverless logistics vehicles,which can intelligently cope with a variety of complex road conditions.On October 25

200、,2019,ZTO Express obtained the Deqing Open Road Transportation Business License for Intelligent Connected Vehicles,becoming one of the first batch of express delivery enterprises that have obtained the commercial license of driverless logistics vehicles.ZTO Express cooperated with AutoX in the devel

201、opment of an unmanned distribution vehicle.Its independently developed high-precision map and positioning system,which integrates cameras and laser radars,can achieve positioning with higher accuracy.The application of AI technology enables it to accurately identify and avoid obstacles such as pedes

202、trians and vehicles.It can achieve intelligent pickup/delivery according to the sequence in which the user makes an appointment for pick-up,maximizing the application of intelligent technologies.As in remote mountainous areas,the population density is low,the geographical space is wide,the total vol

203、ume of logistics is small,and the area is not fully covered by the express network.It is not easy to deliver express parcels to these areas and the distribution cost is high.ZTO Express uses gas-electric hybrid UAVs for those areas,which can improve the delivery efficiency by about 50%to 60%.Driving

204、 ForceIntelligent and Innovative TechnologiesSci-tech innovation is the backbone for the express delivery industry to deepen the supply-side structural reform.Mr.Ma Junsheng,Director-General of the SPB,pointed out that the industry should focus on intelligence+,vigorously implement sci-tech innovati

205、ons,seize the important opportunity of accelerated development of AI,5G communications and Internet of Things,and upgrade from Internet+to intelligence+.ZTO Express has always closely linked sci-tech innovations with the Companys strategy and business,established a sound Internet product R&D system,

206、and promoted the landing of many advanced technologies.The Company keeps upgrading its strategic planning of small front end and large middle end,and has built a business middle end that covers the whole ecosystem and multiple scenarios,to gather a variety of data flows,such as transaction flow,logi

207、stics flow,capital flow and information flow,and realize online and standardized operations.At the same time,ZTO keeps strengthening the development and cultivation of sci-tech talents by establishing a R&D team for application and technology platform,which is responsible for the R&D of micro-servic

208、e application architecture,AI,big data and DevOps automatic operation and maintenance.The Company has successively established professional quality teams-a big data,intelligence and advanced algorithm team and an intelligent hardware team,and built up a sound quality improvement system to guarantee

209、the normal operation of products.In 2019,ZTO Express continued to increase investment in R&D in intelligent technology to build an all-scenario,full-link digital,interconnected and intelligent business map,to develop digital smart logistics covering the whole links from order placing to delivery,and

210、 realize the Internet of Everything within reach.To satisfy the needs of different customers,such as merchants on e-commerce platforms and WeChat,individual consumers,and enterprise customers,ZTO Express has developed more than 50 channels for order placing,including WeChat public official account,a

211、pplet,APP,call center,express housekeeper,and self-service touch-screen printer,in a bid to develop quality and convenient one-stop order placing service.Convenient order placingEfficient transportationZTO Express uses the express route traffic and direction model to dynamically predict the transpor

212、tation capacity demand based on the cargo volume,seamlessly dispatch transportation capacity,accurately allocate personnel,reduce the links the express items go through,greatly improve the vehicle loading rate,and achieve the optimal transportation efficiency and cost.The Company also uses the GIS s

213、ystem for real-time monitoring,video cloud and the Galaxy system for visualized dynamic tracking,monitoring and analysis of the real-time locations of the vehicles and traffic conditions,to ensure the safety and controllability of the parcels during transportation.Automated sortingThe automated sort

214、ing system developed by ZTO can sort about 24,000 parcels per hour in one layer and 48,000 parcels per hour in two layers,with the sorting accuracy reaching 99.99%.The intelligent sorting cabinet provides a comprehensive sorting solution for sorting hubs and service outlets,helps the sorting hub to

215、move the sorting process forward with parcels directly sorted to each courier through the combined use of software and hardware.By the end of 2019,ZTO had put into operation 265 sets of automated sorting equipment.Intelligent deliveryIn order to provide customers with diversified and efficient last-

216、mile service,ZTO Express has introduced intelligent equipment such as UAVs,autonomous driving vehicles and driverless delivery vehicles to adapt to different delivery scenarios and improve the delivery efficiency.Unmanned ZTO lockers have been set up in communities,schools and office buildings to pr

217、ovide users with 24/7 services such as pick-up,delivery and temporary storage,reduce the delivery pressure on couriers and improve the delivery volume of outlets.Last-mile posts were built up to act as a logistics service platform oriented to communities,schools,supermarkets,property management comp

218、anies and agents,providing parcel pick-up and delivery services to secure last-mile resources and improve service outlets profitability.ZTO Express(Cayman)Inc.2019 ESG ReportZTO Express Is Developing Full-link Digital Smart Logistics4645STRIVING FOR HIGH-QUALITY DEVELOPMENTCONCERTED EFFORTS FOR A BE

219、AUTIFUL LIFEZTO Express(Cayman)Inc.2019 ESG ReportExpress HousekeeperExpress SupermarketOnline CustomerExpress LockersOnline Business HallZTO Treasure BoxData CockpitOfficialWebsitePrivacyNumberCloud PrintingWMSOA/HRCloudCallSmart ArbitrationShip with QRTicketing SystemZhangzhongtong AppCustomer CRM

220、Scan/Dynamic Weighing MachineVideo CloudShenzhou SystemMaterial SalesXingluo SystemZTO Premium DeliveryEco-friendly BagsTruck Transportation SystemAutomated SortingIntelligent Sorting CabinetStarair Union AviationPDA DevicesQimen SystemZTO InternationalOperational ControlZTO FinanceZhongkuai MediaZT

221、O BusinessPangu SystemGIS4748STRIVING FOR HIGH-QUALITY DEVELOPMENTCONCERTED EFFORTS FOR A BEAUTIFUL LIFEZTO Express(Cayman)Inc.2019 ESG ReportImproving Service SystemOrganizational Structure of Service Quality CenterZTO Express attaches great importance to enhancing the service quality system.The Co

222、mpany established a Service Quality Center(SQC)and makes constant efforts to optimize its organizational structure.SQC consists of Customer Service Division,Arbitration Division,Quality Control Division and Value-added Service Division,with the aim to fully protect the interests of customers.At the

223、same time,in order to effectively implement various quality management work,ZTO Express strives to build a high-quality and high-level service team,by regularly training customer service agents throughout the network in terms of quality improvement,standardized service and attitude improvement,and p

224、romoting and popularizing various knowledge and service standards on customer service,to improve the service capabilities of its customer service agents.In 2019,such training covered 94%of the customer service representatives at ZTO Express.Service Quality CenterCSDMainly responsible for customer re

225、lationship management,analysis of customer information,optimization and improvement of the service mechanism,improvement and implementation of service measuresQCDAnalyze problems existing in outlets based on the data of the AD and the CSD,and make special rectification;improve the service quality of

226、 the whole network to provide value-added benefits for the supply chain;carry out quality inspection of the phone calls answered at the HQ+provincial centers,to improve the general quality of calls answeringVASDADDeal with problems relating to express items between the networks internal outlets,and

227、maintain harmonious and healthy development of the networkIntegrate the value-added products with receiving end,processing end and internal cooperating,provide in-depth service,effectively realize early warning for the process and result guarantee,and build a differentiated full-link value-added aft

228、er-sales service system with better services and better experienceWhole-hearted ServiceCustomer-orientedCurrently,Chinas economy is shifting from high-speed growth to high-quality development,and is in a critical period of transforming the development mode,optimizing the economic structure and chang

229、ing driving forces.Therefore,it is urgent for the express delivery industry to promote reforms in service quality,efficiency and driving forces to achieve high-quality development.Following the service philosophy of all for outlets and all for customers,ZTO Express has always kept in mind providing

230、timely,punctual,safe and convenient services.We have been improving the weak links,building a sound customer service system,exploring innovative intelligent service models surrounding customer experience,and improving after-sales services,so as to fully protect customers rights and interests,continu

231、ously improve the service quality,and continue to meet consumers needs that shift from basic services to high-end and premium services.Assistant OfficeCustomer Service Division(CSD)Value-added Service Division(VASD)Arbitration Division(AD)Quality Control Division(QCD)4950STRIVING FOR HIGH-QUALITY DE

232、VELOPMENTCONCERTED EFFORTS FOR A BEAUTIFUL LIFEZTO Express(Cayman)Inc.2019 ESG ReportOptimizing Customer ServiceZTO Express is committed to providing customers with quality and convenient whole-process services,and launched an innovative after-sales service system named Aftersales Guarantee,and inte

233、lligent voice agent,to improve the comprehensive service efficiency and ability by digitization.The Company also established a sound customer complaint handling mechanism to ensure that customers problems can be solved in a timely and effective manner.A CRM system has been put in use at the Customer

234、 Service Center to optimize the complaint handling process and improve the handling efficiency.Internal and external channels including 95311 hotline,online customer service on the official website,Cainiao channel,and WeChat applet have been built to ensure the instant acceptance of customer complai

235、nts.An online customer service system covering the whole network has been established,enabling customers to directly contact the corresponding outlet to ensure the speed of complaint handling.In addition,a customer follow-up mechanism has been set up and the HQ is responsible for follow-up and provi

236、ding feedback on the results to ensure that the complaints are resolved once for all.During theDouble 11 peak period(Nov.11)600,000the daily incoming calls received by the intelligent voice agent was about16%at the lowestreducing the rate of shifting to manual customer service toOn December 26,2019,

237、the 2019 grand ceremony of ZTO Express Service Quality Center was held at the Companys HQZTO Express SQC 2019 Conference on Work Arrangement and New Regulations Publicity and Implementation TrainingOn September 18,2019,an intelligent voice agent supporting different scenarios was officially launched

238、,which is conducive to cost reduction and efficiency improvement of the whole network and further improvement of customer experience.When the customer dials the customer service hotline of ZTO Express,the intelligent voice agent will interact with the customer through the open voice prompts and assi

239、st the customer to complete complex business needs such as order placing,reminder,complaint against parcels that have been signed but not received.At the same time,the intelligent customer service robot can independently make outbound calls,customer follow-ups and satisfaction surveys.The intelligen

240、t customer service agent can solve up to 90%of related businesses,meet customers personalized and humanized interactive service demands and create the most intelligent consulting experience for customers.The customer satisfaction rate has been raised to 92.5%.During the Double 11 peak period(Nov.11)

241、,the daily incoming calls received by the intelligent voice agent was about 600,000,reducing the rate of shifting to manual customer service to 16%at the lowest,and improving customer service efficiency by 500%.Intelligent Voice Agent Supporting Different Scenarios Put in UseCase Study%500improving

242、customer service efficiency by5152STRIVING FOR HIGH-QUALITY DEVELOPMENTCONCERTED EFFORTS FOR A BEAUTIFUL LIFEZTO Express(Cayman)Inc.2019 ESG ReportProtecting Customers InformationZTO Express attaches great importance to the protection of the privacy of hundreds of millions of users,and has exerted f

243、ull efforts to build an information security protection system with robust defense,fast response and strong awareness.We have applied real-person authentication,password-less sign-in,real-time risk control of data leakage and other security technologies,and comprehensively promoted the use of privac

244、y waybills to protect user information security from both source management and delivery end point.We have strengthened internal management,signed the confidentiality commitment to personal information,encrypted the stored customers information as well as standardized the entry and query behaviors o

245、f user information.We have developed ZTO Treasure Box,which conducts real-person authentication with the industry-leading biometric identification technology to reduce the probability of illegal login.We have developed security audit,which can analyze and identify the operation security level accord

246、ing to user behaviors,limit sensitive operations and push relevant information to the responsible person instantly.Taking advantage of the block chain technology,we have built a Block Chain Tracing System for ZTO Premium Agricultural Products(ZTBest platform),which stores all the information of the

247、agricultural products from production to consumption on the block chain platform for enterprises and consumers to query,so as to avoid information tampering in the whole process.In 2019,ZTO Express passed the ISO27001 certification of international information security management system.Its 7 system

248、s completed the third level certification of Chinas National Information Security Protection Level Certification.The Company also cooperated with the SPB in implementing and constructing the Green Shield Project and actively responded to the national call to build a real name delivery information sy

249、stem.Listening to Customers OpinionsZTO Express has been broadening the communication channels with customers to listen to customers opinions and suggestions carefully,and continuously optimizing the management of customer service based on its own reality,striving to build a better corporate brand i

250、mage.We have opened a customer service column on the official website to publish customer service information,set up online customer service to answer customers questions,opened WeChat and Weibo accounts to extend communication channels,organized offline face-to-face communication activities to expa

251、nd the coverage of communication and released annual reports,social responsibility reports and magazines to disclose corporate information.In 2019,the SQC of ZTO Express received more than 180 million incoming calls and conducted satisfaction surveys via 95311,CloudCall and online channels,the resul

252、ts of which showed that the customer satisfaction rate reached 95.22%,up by 3.87%year on year.Working scene of customer service agents at the Service Quality Centerthe SQC of ZTO Express received more thanthe customer satisfaction rate reached95.22%180million incoming callssystems completed the thir

253、d level certification of Chinas National Information Security Protection Level Certification75354STRIVING FOR HIGH-QUALITY DEVELOPMENTCONCERTED EFFORTS FOR A BEAUTIFUL LIFEZTO Express(Cayman)Inc.2019 ESG ReportExit mechanismGuaranteeComprehensive Procurement ManagementZTO Express persists in the pro

254、curement principle of fair and justice and is committed to improving supplier management and promoting sunshine procurement.While paying attention to the quality of suppliers products and services,we also take into account suppliers fulfillment of social responsibility and environmental protection r

255、esponsibility to ensure high-quality supplier resources.By the end of 2019,ZTO has had hundreds of the core suppliers to the HQ of ZTO,including 5 major vehicle suppliers,all of which are world-famous truck suppliers,having leading advantages in environmental protection and fuel-saving technologies.

256、The Company has further improved the supplier entry,management and exit mechanism,implemented supplier list management,and formulated a qualified supplier list.The Procurement Management Department of the HQ is responsible for selecting high-quality and qualified suppliers through multiple ways such

257、 as bidding and enquiry.Collection of suppliers basic information,evaluation and trial of product performance and quality,examination of suppliers social responsibility and environmental performance;Adopting hierarchical management,determining the purchase scale based on the suppliers certification

258、level,assessing suppliers at the end of each year;Terminating cooperation with suppliers who have serious delivery problems or fail to pass the year-end assessment.ZTO Express relies on the BestCool bidding system to realize IT-based,automated tendering and bidding process.Among others,the intellige

259、nt bid evaluation system has not only improved the efficiency of bid evaluation but also ensured open,fair and just bidding.IT-based Management of SuppliersCase StudyEnvironmentDeveloping Green Express DeliveryAs an express&logistics enterprise,the potential impacts that ZTO may have on environment

260、include:(1)Packaging waste.Express delivery may generate a large amount of packaging waste such as packaging boxes and packaging paper,which will place a burden on the environment if not disposed properly.(2)Emission of harmful gas during transportation.Line haul for express delivery mainly relies o

261、n trucks,therefore fuel saving and emission reduction of the fleet is also an important part of environmental protection;(3)Exhaust gas,sewage and wastes produced in normal production and life.As a logistics service provider,ZTO does not generate or discharge a large amount of hazardous waste,non-ha

262、zardous waste or oil pollution in the operation process,therefore,there is no relevant data statistics about oil spill etc.But the Company clearly stipulates that it is not allowed to discard hazardous chemicals and waste arbitrarily,which should be disposed by a professional waste management compan

263、y.Green Management SystemThe Company strictly abides by environmental protection laws such as the Environmental Protection Law of the Peoples Republic of China,and the Law of the Peoples Republic of China on the Prevention and Control of Atmospheric Pollution,and has formulated several guideline doc

264、uments such as the Green Procurement System of ZTO Express and the Green Development Guidelines of ZTO Express(Draft).Under the leadership of the Executive Vice President,the Energy Conservation,Environmental Protection and Green Project Department have been established to lead the formulation,imple

265、mentation and supervision of the environmental protection system throughout the whole network.We also have been improving the Companys environmental protection system and enhancing green standards,green publicity,green training,green system,green checking,and green technology,to realize the Companys

266、 sustainable development and align it with environmental protection.In addition,ZTO express development and research center released the Green Postal Technology Guide in September 2019,which clearly defines the tasks and work directions in four express delivery links,i.e.pick-up,distribution,transpo

267、rtation and delivery,and aims to gradually improve the adoption of green technologies in the daily operation of the Company.Entry mechanism(new suppliers)Daily managementSupplier List Management5556STRIVING FOR HIGH-QUALITY DEVELOPMENTCONCERTED EFFORTS FOR A BEAUTIFUL LIFEZTO Express(Cayman)Inc.2019

268、 ESG ReportEnvironmental Management SystemEnvironmental Protection Results and ObjectivesIn order to promote ecological protection in the industry,the SPB proposed to implement a 9571 Project in 2019 with goals of,i.e.,the utilization rate of e-waybills reaching 95%,no secondary packaging for more t

269、han 50%of e-commerce express parcels,the utilization rate of recyclable transit bags reaching 70%,and setting up packaging waste recovery facilities in 10,000 postal and express delivery outlets.In response to the call of the state,ZTO has set short-term and long-term sustainable development goals.A

270、s a result,by the end of 2019,the utilization rate of e-waybills in the whole network of ZTO had reached 99.9%,the proportion of e-commerce express parcels without secondary packaging in the year was about 10%,recyclable bags had been mutually recognized and distributed among 86 centers in the whole

271、 network,and the coverage rate of eco-friendly bags was about 45%,and the set-up of waste recovery facilities for 10,000 service outlets at the last-mile points in the whole network had been completed.In 2020,the SPB put forward a 9792 Project on the basis of the 9571 Project,that is,the use of slim

272、 tape below 45mm for packaging reaching 90%,the proportion of e-commerce express parcels without secondary packaging reaching 70%,the utilization rate of recyclable transit bags reaching 90%,and setting up standard packaging waste recovery facilities at another 20,000 postal and express delivery out

273、lets.As a leading enterprise in the express delivery industry,ZTO takes an active role and has set up the overall green development objective for 2020 based on the requirements of 9792.BrandThe number of recyclable packaging bags planned to put in use in 2020The number of recyclable document bags pl

274、anned to put in use in 2020Proportion of packaging with slim tape below 45mm in 2020Utilization rate of recyclable bags in 2020The number of new waste recovery facilities in 2020Utilization rate of single-sheet e-waybillProportion of e-commerce postal/express items without secondary packagingWays to

275、 promote eco-friendly bags ZTO9 million6 million 90%90%20,000 40%70%Online,ZTO Cloud ClassEnvironmental Protection Objectives of ZTO Express in 2020Energy Saving,Environmental Protection and Green Development Project TeamIndustry-Academy-Research Institute Cooperation and Standards Revision9792 Gree

276、n Development ObjectivesPublicity&Training on Environmental ProtectionTechnological innovation and technical supportGreen Operation/Operation SystemGreen Office SystemPublic Affairs Center/Human Resource CenterTechnology&Information CenterOperation Management CenterDevelopment and Research CenterAss

277、et Management CenterGreen Procurement SystemProcurement Management DepartmentGreen Technology GuideGreen Technology Guide Developing the end-point outlets to improve the success rate of first-time delivery and reduce pollution from secondary delivery Optimizing vehicle route to reduce energy consump

278、tion Expanding the scale of green fleet Package recovery&reuse Encouraging the use of dumping trailers and multimodal transport to improve the efficiency and reduce energy consumption&pollutant emission Optimizing line-haul routes and loading rate to improve transport efficiency and reduce departure

279、 vehicles Dual-way information feedback during transportation to facilitate resource allocation&dispatch Promoting e-waybills to reduce printing Promoting recyclable packaging and using degradable materials Increasing the use of green vehicles with zero emission and zero noise Optimizing the vehicle

280、 route to reduce energy consumption&emission of carbon dioxide Rational arrangement of the distribution sites by adapting to the surrounding environment Promoting intelligent equipment&technology to reduce the involvement of human labor and increase the utilization rate of resources Encouraging the

281、use of recyclable,eco-friendly sorting bags,pallets and recyclable boxes Selecting green equipment with low energy consumption and low noiseGreen developmentPickupTransportationDistributionDeliveryOthers Incorporating green concept and technology into the training system Green charity,developing gre

282、en logistics charitable fund Promoting online office to reduce the use of paper Green procurement:developing a green procurement system,and improving the list of green suppliers and the feedback mechanism5758STRIVING FOR HIGH-QUALITY DEVELOPMENTCONCERTED EFFORTS FOR A BEAUTIFUL LIFEZTO Express(Cayma

283、n)Inc.2019 ESG ReportCarbon IntensityAccording to the carbon emission conversion formula provided in the Measurement of Greenhouse Gas Emission in Express Delivery Industry issued by the SPB in 2014,ZTO Express made calculation of its data based on the Companys business model with reasonable assumpt

284、ions,and the result showed that the carbon emission displayed a downward trend for three consecutive years.The Company plans to reduce the unit parcel carbon emission by 20%in five years through the following measures.Carbon Emission of ZTO Express(Cayman)Inc.in 2017-2019ZTO Express(Cayman)Inc.(not

285、including franchise outlets)201720182019Direct greenhouse gas emissionsCO2 emissions(tCO2)526,654 612,947 703,515 Indirect greenhouse gas emissionsCO2 emissions(tCO2)72,449 101,429 137,770 Other indirect greenhouse gas emissions-Tape(kgCO2)185,390 233,593 469,395-Waybills(kgCO2)36,368,467 35,955,523

286、 65,958,545-Others(kgCO2)20,104,783 27,556,387 39,184,769 Subtotal CO2 emissions(tCO2)56,659 63,746 105,613 Total carbon emissions(tCO2)655,762 778,122 946,898 kgCO2/RMB10,000 revenue 501 442 428 Year-over-year growth-12%-3%kgCO2/parcel 0.105 0.091 0.078 Year-over-year growth-13%-14%each single-shee

287、t can saveequivalent to a saving of aboutRMBmillion60in the use of paper consumablesof thermal paper consumablesthe utilization rate of e-waybills in ZTOs whole network had reached%99.85Green PackagingE-waybillsZTO Express continues to promote green,reduced and recyclable packaging,increases investm

288、ent in the research and development and innovation of green packaging products,promotes the use of e-waybills,eco-friendly packaging bags and biodegradable packing bags,to lessen the negative impact of packaging consumables on the ecological environment.Meanwhile,the Company takes the initiative to

289、recycle packaging materials,and guide consumers to reuse packaging cartons,to improve the resource utilization efficiency.ZTO Express has been promoting e-waybills throughout the whole network since 2014.Compared with traditional paper waybills,e-waybills can save 80%of paper consumables.By the end

290、of 2019,the adoption rate of e-waybills in ZTOs whole network had reached 99.85%.With the continuous advancement of technologies and the diversified requirements of application scenarios,the e-waybill has evolved from four sheets to three and two and becomes smaller and smaller,effectively reducing

291、the waste of paper resources.In 2019,as the Company was promoting last-mile construction,more and more users have accepted last-mile posts,express lockers and other kinds of last-mile presense,changing users pickup and delivery habits.Single-sheet e-waybill emerged,which replaces the previous delive

292、ry receipt sheet that should be signed by the recipient.Compared with the two-sheets e-waybill,each single-sheet can save 45%of thermal paper consumables,for the whole company,equivalent to a saving of about RMB60 million in the use of paper consumables in 2019.Single-sheet e-waybillTwo-sheet e-wayb

293、ill45%5960STRIVING FOR HIGH-QUALITY DEVELOPMENTCONCERTED EFFORTS FOR A BEAUTIFUL LIFEZTO Express(Cayman)Inc.2019 ESG ReportRecyclable packaging bagsGreen transit bagsBiodegradable packing bagsIn 2019,ZTO Express upgraded its original eco-friendly bags and independently developed a whole life cycle m

294、anagement system of eco-friendly bags.During the Double 11 period,the Company put in 1 million recyclable packaging bags with RFID chips for recyclable use among 91 sorting hubs and outlets across the country.RFID chips can realize systematic tracking management of the eco-friendly bags during their

295、 life cycles.Compared with traditional disposable woven bags,eco-friendly bags are strong and durable,can be reused for more than 100 times and save more than 50%cost per usage.The eco-friendly bags put in use in 2019 replaced more than 100 million disposable woven bags,avoiding the generation of ab

296、out 16,000 tons of waste.Using polypropylene as the raw material,the head of ZTO Express Renqiu Outlet in Cangzhou,Hebei,developed a new type of large capacity eco-friendly bag,which is durable,reusable,recyclable and reprocessable.ZTO Express put green biodegradable packaging bags into use in some

297、regions,which are reliable in quality and controllable in degradation.Under the set conditions,such bags can be oxidized and biodegraded through the synergistic effects of light,heat,oxygen,microorganism and water,until they are completely degraded,causing no harm to the environment.The green transi

298、t bag has obtained the utility model patent and design patent from the National Intellectual Property AdministrationReduced packaging consumables and secondary recyclingZTO Express promotes the use of recyclable filling materials such as newspapers,inflatable plastic film bags,and bubble bags,to imp

299、rove the recycling rate of resources.The Company advocates separate charging for express fee and packaging fee,and consumers can choose whether they need additional express packaging,thereby gradually guiding outlets and consumers to raise their environmental protection awareness and encouraging the

300、 secondary use of idle cartons.At some outlets,customers can use the reused express package to deduct part of the express delivery fee.On August 20,2019,ZTO Express fully joined the Recycling Program of Cainiao Alliance and has placed packaging recycling boxes at more than 20,000 express delivery ou

301、tlets to support classified recycling and reuse of those cartons.On November 20,2019,responding to the National Carton Recycling Day activity,ZTO Express set up green recycling points at multiple communities across the country,calling on everyone to recycle cartons.save more thanthe Company put in 1

302、 million recyclable packaging bags with RFID chips for recyclable use amongeco-friendly bagscan be reused for more thanRecyclable packaging bags with RFID chipsA biodegradable packaging bagGreen transit bags91sorting hubs50%cost per usage100times6162STRIVING FOR HIGH-QUALITY DEVELOPMENTCONCERTED EFF

303、ORTS FOR A BEAUTIFUL LIFEZTO Express(Cayman)Inc.2019 ESG ReportEco-friendly fleetIn line with the gradual improvement of domestic emission standards,ZTO Express has been phasing out the vehicles at National IV Emission Standards,and all the newly purchased ones conform to either National V or Nation

304、al VI Standards.By the end of 2019,more than 60%of ZTOs own fleet was composed of vehicles at the National V or National VI Standards.Line-haul optimizationHigh-capacity trailer trucksZTO Express increasingly adopts high capacity trailer trucks to increase transportation capacity and reduce costs,co

305、mpared with the traditional 9.6-meter vehicle,the fuel consumption per parcel can be cut down by 55%and the pollutant emission can be reduced by more than 70%.By the end of 2019,ZTO Express had more than 4,650 high capacity trailer trucks,each of which could save 2 liters of fuel per 100 km compared

306、 with traditional vehicles and could reduce the emission of carbon dioxide by about 73,000 tons annually.Green TransportationZTO has been always committed to reducing the impact of transportation on environment.Each transportation vehicle is equipped with Beidou positioning equipment to monitor if t

307、heres any abnormity in the transportation process together with GIS(Geographic Information System),and plan proper transportation routes.High capacity trailer trucks have been vigorously promoted to improve energy efficiency and reduce pollutant emissions.Meanwhile,at the outlets,eco-friendly transp

308、ortation vehicles such as new-energy vehicles and battery-powered cars are used to realize green pickup and delivery for the last-mile,forming a full coverage of energy conservation,emission reduction and green transportation.61High-capacity trailer trucksZTO Express uses cloud computing and big dat

309、a(Galaxy System)to optimize the driving routes and shifts of line-haul trucks,reduce the average mileage of congested routes and avoid long-term waiting caused by congestion.Scientific algorithms can improve the loading rate,cut down the departure shifts and effectively reduce pollution emissions.By

310、 the end of 2019,there were more than 2,600 line haul routes in the whole network,with an average loading rate of over 80%.more thanwith an average loading rate of over2,60080line haul routes in the whole network%Outsourced fleetWhen selecting the outsourced fleet,ZTO Express takes into consideratio

311、n whether its vehicles meet the national emission standards.As the outsourced fleet may be not as good as its own fleet in terms of management and cost-effectiveness,the Companys internal supervision department regularly issues operation management reports on the outsourced vehicles to timely identi

312、fy loopholes in managing the outsourced vehicles and fix the operation regulations.In the future,the Company will further reduce the proportion of outsourced vehicles to ensure efficiency,high-quality,green and energy-saving logistics services.ZTO Express had more than4,650high capacity trailer truc

313、ksreduce the emission of carbon dioxide by about73,000tons annually6364STRIVING FOR HIGH-QUALITY DEVELOPMENTCONCERTED EFFORTS FOR A BEAUTIFUL LIFEZTO Express(Cayman)Inc.2019 ESG Report63 Compared with fuel vehicles,the emissions ofGreen last-mile deliveryZTO Express keeps improving the scale of gree

314、n fleet including green distribution vehicles powered by electricity,hybrid electricity and fuel cell across the whole network.The Company has introduced drones in remote areas to ease the burden on ground traffic and reduce unit energy consumption,and also increased the number of self-pickup equipm

315、ent and outlets to reduce the frequency and distance of delivery.63Electric cycles/tricycles for pickup/delivery at last-mileNew-energy vehicle for pickup/delivery at last-mileNew-energy vehicles for line haulIn 2019,ZTO Express began to use new-energy vehicles in line haul,which consume liquefied n

316、atural gas.Compared with fuel vehicles,the emissions of CO2,CO and NOx in the exhaust gas are reduced by about 20%,97%and 90%respectively,basically free of PM2.5(fine particulate matters),lead,sulfide,benzene and other harmful substances.It is planned that by the end of 2022,the proportion of new-en

317、ergy vehicles will reach 10%in line haul.New-energy vehicle for line haulbasically free of PM2.5(fine particulate matters),lead,sulfide,benzene and other harmful substancesCO2 is reduced by aboutNOx is reduced by aboutCO is reduced by about 20%97%90%6566STRIVING FOR HIGH-QUALITY DEVELOPMENTCONCERTED

318、 EFFORTS FOR A BEAUTIFUL LIFEZTO Express(Cayman)Inc.2019 ESG Report65Green EquipmentZTO Express vigorously promotes the use of energy-saving and environmental protection equipment in operation and production.In the sorting process,green equipment with low energy consumption,low noise and low polluti

319、on is promoted;and in the transportation and delivery process,more green vehicles that have zero emission and zero noise are used.Intelligent sorting equipmentZTO applies a large amount of intelligent sorting equipment in the sorting process,such as automated sorting equipment for small and bulky pa

320、rcels,extendable conveyor belt and dynamic weighting machines,which can save sorting time and labor cost,reduce the wear of express parcels during loading and unloading,lower parcel damage rate,cut the consumption of consumables such as buffers and packaging tape,as well as facilitate the recycling

321、of packaging.Automated sorting equipment for bulky parcelsAutomated sorting equipment for small parcelsreduce the wear of express parcelslower parcel damage ratefacilitate the recycling of packaging6768STRIVING FOR HIGH-QUALITY DEVELOPMENTCONCERTED EFFORTS FOR A BEAUTIFUL LIFEZTO Express(Cayman)Inc.

322、2019 ESG ReportAluminum-alloy arc carriageAluminum-alloy arc carriage is gradually replacing the iron carriage,as the former can not only expand the capacity but also reduce the weight,thereby effectively reducing fuel consumption.It can save more than 1 liter of diesel per hundred kilometers.Beside

323、s,aluminum-alloy carriage is more corrosion-resistant,and has a longer service life and higher recycling value.Green OfficeZTO Express pays attention to energy conservation and emission reduction in the operation and office links,carries out green park construction,promotes the use of clean energy s

324、uch as solar energy in its sorting hubs,and promotes paperless office via digital and intelligent system management to reduce the comprehensive energy consumption in production.In 2019,the Company made the following attempts in applying renewable energy:Installing air-source heat pump heaters at the

325、 HQs living quarters,the energy consumption of which is 1/7-1/4 of conventional water heaters;Promoting the use of purification and power-saving equipment for industrial power grid in the whole network,which is expected to save around 8%of electricity after installation；In July 2019,the Company star

326、ted a trial of using hydrogen vehicles for last-mile delivery in its outlets in Guangdong.High-capacity trailer trucks with iron carriagesAluminum-alloy arc carriage010203Green CultureZTO Express attaches great importance to guiding employees to build a concept of environmental protection,and dissem

327、inates environmental protection knowledge,the Companys environmental management system,as well as energy conservation and emission reduction technologies and measures through various ways,such as induction training,pre-job training,poster posting,banner hanging,leaflet issuing,and self-owned media c

328、ommunication to comprehensively improve employees environmental protection awareness.The Company carries out researches on the industrys green development.In November 2019,ZTO Expresss Development and Research Center published the Report on the Current Situation and Development of the Green Process

329、of E-commerce Express Delivery Packaging in China,to boost the usage of green package.The Company has also actively organized and participated in environmental protection activities for public good and advocated a concept of energy-saving and low-carbon life to the public,to promote green and sustai

330、nable social development.6970STRIVING FOR HIGH-QUALITY DEVELOPMENTCONCERTED EFFORTS FOR A BEAUTIFUL LIFEZTO Express(Cayman)Inc.2019 ESG ReportFollowing the new development trend of green logistics,ZTO has adhered to the philosophy of green development and actively implemented eco-friendly growth mod

331、els throughout the whole network in recent years.The Company has made a strategic decision of pursuing green development,shouldering social responsibilities and assisting agriculture and poverty alleviation for rural revitalization,and incorporated the concept of environmental protection into its Em

332、ployee Handbook.The HR and training department of the HQ organized training on the Use and Promotion of Eco-Friendly Bags through various channels and ways,such as DingTalk live broadcast,to promote the concept of environmental protection and relevant experience.The duration of a single course was 1

333、.5 hours and more than 10,000 people directly participated in the training,covering all primary outlets and some secondary outlets of the whole network.At the same time,the training course was recorded into a video and is now available for all employees to watch and learn independently on ZTO Cloud Class.On July 23,2019,ZTO Express invited Shanghai Qingpu District Urban Management and Law Enforcem