1、01ZTO Express(Cayman)Inc.2020 ESG ReportBringing Happiness to More People through Our ServicesZTO Express(Cayman)Inc.ESG Report0203About the ReportIntroductionThis annual Environmental,Social and Governance(ESG)report is published by ZTO Express(Cayman)Inc.,and it covers ZTO Express(Cayman)Inc.and i
2、ts subsidiaries.For readers convenience,ZTO Express,ZTO,the Company,and We are also used.Time frameThe time frame of this report is consistent with that of the Annual Report of ZTO Express(Cayman)Inc.,which is from January 1,2020 to December 31,2020,unless otherwise specified.ReferencesThe report wa
3、s prepared with reference to the Environmental,Social and Governance Reporting Guide(ESG Guide)of Main Board Listing Rules of Hong Kong Stock Exchange(HKEX),China CSR Reporting Guidelines(CASS-CSR4.0)by the Chinese Academy of Social Sciences(CASS),SDG Compass-the guide for business action on the SDG
4、s,and Sustainability Reporting Guidelines(GRI Standards)by the Global Reporting Initiative.Preparation processThe report was prepared with reference to the above-mentioned standards and followed the steps of peer comparison,information collection,information review,report writing,data review,managem
5、ent approval and report release,to ensure the completeness,materiality,authenticity,and balance of the report.DataAll data in the report were obtained from public data and ZTO Expresss statistics,which have been reviewed by relevant parties.Unless otherwise stated,the financial data in the report ar
6、e in RMB.Quality commitmentThe Company promises that the report does not contain any false records,misleading statements,or material omissions.Access to the reportThe report is available in an electronic format,which can be accessed in the Financial Reports section under the Companys Investor Relati
7、ons website.Information The Company Website:HQ address:1685 Huazhi Road,Huaxin Town,Qingpu District,Shanghai 201708Tel.:95311Email:Bringing Happiness to More People through Our Services0405About the ReportChairmans Letter:2057,Lets Set off Again!ABOUT ZTOLooking into FutureAppendixCONTENTS2687576121
8、415161718192044722225303234465258636772727374FEATURECHAPTER 1CHAPTER 2Social Responsibility ManagementSTAYING UNITED TO COMBAT COVID-19 AND WORKING TOGETHER TO OVERCOME DIFFICULTIESStaying True to Our Original Aspirations,Enhancing Confidence,Empowering Employees and Solidifying the Foundation for D
9、evelopmentMOVING FORWARD WITH PERSEVERANCE AND UNITY AND WINNING TRUST BY HELPING AND BENEFITING OTHERS Rushing to the Rescue to Facilitate the Transportation of MaterialsWatching out for Each Other to Serve Millions of HouseholdsAdopting Multiple Measures to Protect the Health and Safety of Frontli
10、ne CouriersStabilizing Employment and Improving Peoples Livelihood and Well-beingSaluting to Our Heroes Amidst the Fight Against the PandemicWinning Nationwide Recognition and Highlighting Our Commitments to Take ResponsibilitiesPutting Customers FirstLogistics Empowered by Smart and Innovative Tech
11、nologyAccelerating the“Going Global”ProcessImplementing Safe Delivery RequirementsProtecting the Green EnvironmentConsolidating Business Management and GovernanceCaring for the Career Development of EmployeesJoining Hands with Partners for Win-Win ResultsServing the Development of Agriculture,Rural
12、Areas and FarmersGiving Back to the Society and Serving Peoples Well-BeingsResponsibility StrategyResponsibility GovernanceResponsibility CommunicationTopic Analysis0607Chairmans LetterZTO Express(Cayman)Inc.2020 ESG ReportChairmans LetterOn Sep.29,2020,10 representatives,including members of our ZT
13、O family and our network partners jointly sounded the gong to celebrate the listing of ZTO Express on the Hong Kong Stock Exchange(HKEX),marking a new milestone in our development journey.Our stock code is 2057 on the HKEX,with 20 representing the year of 2020,and 57 representing the business volume
14、 of ZTO on the first day of incorporation.The collision of these two figures starts a new journey for ZTO Express.On this new journey,we have responsibilities ahead of us.Today we take this step forward.This is not only a recognition of our past achievements,but also a challenge for us in the future
15、.It means that we need to take greater responsibility.The express delivery industry connects cities and industries and serves tens of millions of users.It is a link between production and consumption and a bridge between products and users,and is considered a basic,strategic and leading industry tha
16、t supports the development of the national economy.It is featured by a huge market,promising prospects and tremendous potentials.It not only helps more people start their own career and businesses and live a better new life,but also helps customers reduce costs,improve efficiency,create value and en
17、hance competitiveness.Moreover,it can help address social problems,reduce logistics costs for the whole society,and make the chain“from factory to user,from farm to table shorter and flatter.The secondary listing of ZTO in Hong Kong is to better fulfill the above-mentioned responsibilities and bette
18、r adapt ZTO to the future.On this new journey,we are in front of change and unchanged.Along the way,the Company has grown from a small company into an large enterprise,our performance keeps improving,and our family keeps expanding.However,what remains unchanged is our core values of“shared success,t
19、rust and accountability,innovation and entrepreneurship”,our management philosophy of“fair,efficient,and result-oriented”,and our corporate culture of“integrity,simplicity,efficiency and trust”.These have enabled ZTO Express to build on its past and achieve rapid development.We have taken solid step
20、s on the road of implementing the mission of“bringing happiness to more people through our services and become a key player in Chinas express delivery industry.In the future,we will stay true to our original aspirations,stick to our mission and take our listing on HKEX as a starting point to explore
21、 and win a better future in the digital economy with our trust,simplicity,diligence,technology and wisdom.On this new journey,we are not afraid of challenges ahead of us.We are fully aware that the road ahead will be tougher and more challenging,but we firmly believe that as long as we stick to the
22、right direction,make solid and substantial efforts,leverage the advantages of Chinas mega-market and the huge potentials of domestic demands,keep abreast of the dual circulation trend with domestic circulation as the mainstay and with domestic and international circulation reinforcing each other and
23、 form competitive edges in fully-integrated comprehensive logistics,ZTO Express will definitely march into a bright future with more solid steps.2057,Lets Set off Again!0809ABOUT ZTOZTO Express(Cayman)Inc.2020 ESG ReportABOUT ZTOCompany OverviewCore PhilosophyFounded on May 8,2002,ZTO Express(Cayman
24、)Inc.is a logistics conglomerate integrating multiple services including domestic and international express delivery,express freight,commerce,warehousing,cold chain,finance,aviation,intelligent technologies,and media.On Oct.27,2016,ZTO Express(Cayman)Inc.was listed on the New York Stock Exchange(NYS
25、E),creating unprecedented global visibility for the Chinese express delivery industry.On Sep.29,2020,the Company was listed on the main board of the HKEX,becoming the first Chinese express delivery company listed in both the United States and Hong Kong,and the first stock of innovative logistics on
26、the HKEX.ZTO has grown into the largest express delivery enterprise in the world in terms of parcel volume.In 2020,the business of ZTO Express maintained high-speed growth,with the parcel volume reaching 17 billion,up 40.3%year-on-year,growing faster than the industry average.The Company ranked No.1
27、 in the industry for five consecutive years and captured 20.4%market share.On Sep.1,2020,ZTO Express processed its 10 billionth parcel for the year,and this took only eight months and one day,setting the record again.ZTO Express has the largest network with the most extensive,the deepest and the mos
28、t intensive coverage among the private operators in China.By the end of 2020,ZTO Express had nearly 30,000 service outlets and over 68,000 last-mile delivery posts,which covered over 99%of cities and counties in China.ZTO Express possesses the worlds leading express delivery capabilities,including 9
29、4 domestic sorting hubs equipped with more than 339 sets of automation equipment.For instance,the sorting hub in Guangzhou became the worlds first sorting hub with a daily parcel volume exceeding 10 million during the June 18 promotion campaign in 2020.The Company vigorously promote the usage of tra
30、iler trucks,owning more than 10,450 line-haul vehicles,of which about 7,900 are high-capacity vehicles over 15 meters.During its development and growth,ZTO Express has been actively fulfilling corporate social responsibilities with a full range of practical actions.The Company made unremitting effor
31、ts in green development,safety assurance,targeted poverty alleviation and rural revitalization,and actively repaid the society and spread positive energy of the industry through a wide range of public welfare activities such as disaster relief,poverty alleviation,education aid,free delivery of epide
32、mic prevention and control materials.While growing and expanding our main business of express delivery,ZTO Express actively expands into the upstream and downstream of the industry chain and into the ecosystem,and established a number of industry-leading specialized logistics companies in express fr
33、eight,warehousing,cold chain,aviation,and international business.By integrating various network and social resources,the Company has developed a diversity of business segments into an integrated and comprehensive logistics ecosystem and provides a package of logistics solutions for customers such as
34、 e-commerce,agriculture,manufacturing,and high-tech enterprises to help them save costs,enhance efficiency,improve experience,and create value.In addition,ZTO Express also relies on our own parcel flow and last-mile presence to actively explore new business opportunities.Operation philosophyService
35、philosophySafety philosophyTalent philosophyDevelopment philosophyDiversified EcosystemOne Body,Multiple WingsDevelopment Engine,Blood Transfusion and Blood MakingResources Monetization,Unlocking Power of TrafficActivating Strength,Enabling and AdditionDifferentiated Offering,LTL and FTL TransportIn
36、tegrated Warehouse and Distribution,Serving IndustryResource Support,Business ConversionImprove QoS,Speed up Business DevelopmentTechnology Empowers Faster and Better DeliveryCold Chain Connecting China and the WorldBecoming a respected enterprise with dignity,sustainability and longevity for centur
37、ies to comeBringing happiness to more people through our servicesPersistence,focus,and perseveranceAll for outlets,and all for customersTalents are the hard powerStable,strong,ambitious and change-seekingFair,efficient,and result-orientedIntegrity,transparency and win-win resultsSafety is benefitSha
38、red success,trust and accountability,innovation and entrepreneurshipVisionCore valuesMissionCorporate spiritManagement philosophy1011ABOUT ZTOZTO Express(Cayman)Inc.2020 ESG Report2020 Top 50 Chinese Logistics CompaniesCFLP2020 Outstanding Talent Team in Innovation and Entrepreneurship of Qingpu Dis
39、trictLeading Group for Talent Work in Qingpu District,ShanghaiCaring EnterpriseZhejiang Provincial Disabled Persons FederationZhejiang Foundation for Disabled Persons2020 Top 100 Excellent Enterprises of Qingpu District Peoples Government of Qingpu District,Shanghai2020 Special Anti-Epidemic Contrib
40、ution Award of Express Delivery IndustryChina Post and Express News2020 Social Responsibility Award of Express Delivery IndustryChina Post and Express News2020 International Development Award of Express Delivery Industry China Post and Express News2020 Quality Development Award of Express Delivery I
41、ndustry China Post and Express News2020 Express Freight Development Award China Post and Express NewsNational Advanced Transportation Unit in Response to COVID-19CCTA2020 Annual Best Employers in Chinas Logistics FieldLogistics BusinessDec.Jan.Mar.May.Jun.Software EnterpriseShanghai Software Industr
42、y Association(SSIA)Enterprise with AAA-Level Credit Rating Zhiyunxin Credit Rating Jiangsu Co.,Ltd.2020 BrandZ Top 100 Most Valuable Chinese BrandsWPP,KantarJul.Nov.2020 Golden Wing Award(Outstanding Contribution)of Unmanned System Industry Organizing Committee for 2020 Global Unmanned System Confer
43、ence;Association for Unmanned Vehicle Systems New Technology of China;National UAV Association Cooperation and Mutual Aid Alliance;YouUAV.com2020 Top 50 China Concept Stocks with the Best Investment ValueCaijing MagazineTiger SecuritiesThe Most-Anticipated IPO of 2020GelonghuiNational Civilized Unit
44、 of Transportation IndustryMinistry of Transport of ChinaSep.AAAAA Logistics CompanyChina Federation of Logistics and Purchasing(CFLP)Third Prize of Science and Technology ProgressCFLP2020 National Leading Logistics EnterpriseChina Communications and Transportation Association(CCTA)2020 National Lea
45、ding Logistics Enterprise CSR AwardCCTATop 500 Chinese Private EnterprisesAll-China Federation of Industry and Commerce(ACFIC)2020 Top 100 Private Enterprises in Chinas Service IndustryACFICHeadquarters of Private CompaniesShanghai Municipal Commission of Commerce;Shanghai Development and Reform Com
46、mission;Shanghai Municipal Commission of Economy and Information Technology;Shanghai Federation of Industry and CommerceMost Honored CompanyBest ESGInstitutional InvestorAug.2020 Shanghai Top 100 EnterprisesShanghai Enterprise Confederation;Shanghai Entrepreneurs Association;Shanghai Federation of E
47、conomic Organizations;Jiefang DailyHonors&Awards20202021FEATUREZTO Express(Cayman)Inc.2020 ESG Report1213At the beginning of 2020,the COVID-19 pandemic swept across the country,affecting hundreds of millions of people throughout China.After the outbreak of the pandemic,the CPC Central Committee and
48、the State Council attached great importance to the epidemic prevention and control work and made arrangements for prevention and control in a timely manner.The relevant departments and regional governments fulfilled their responsibilities,and all sectors of society gave their full support to the eff
49、orts to fight against the pandemic and effectively protect the safety and health of people.Despite the sudden outbreak of the pandemic,actions speak louder than words.With the trust and expectations of the society,the Company responded quickly,pooled the forces of different players in the logistics
50、ecosystem,and fully supported the transportation of anti-epidemic materials;the Company made financial and in-kind donations,and contributed to the fight against the pandemic with actions;played an anchoring role in protecting peoples livelihood by delivering daily necessities to thousands of househ
51、olds through unobstructed delivery channels;the Company set up multiple task forces to coordinate operations,assess the epidemic situation,purchase and distribute protective materials,investigate hidden risks,and implement prevention and control measures,and made every effort to ensure the health of
52、 employees,and safe operation of the entire network.On Feb.26,2020,All-China Federation of Industry and Commerce(ACFIC)and CCTV-6 Movie Channel jointly launched the Entrepreneurs Series with the theme of Moving Forward Through Thick and Thin-a series of social welfare videos,inviting outstanding ent
53、repreneurs to speak out for their efforts in response to the pandemic.Lai Meisong,Chairman of ZTO Express,was invited to participate in the program as the only representative of the logistics industry.On the evening of March 22,2020,reporters from Peoples Daily and CCTV News visited ZTO Wuhan Sortin
54、g Hub in Hubei Province to broadcast live the epidemic prevention and control work and the resumption of work and production at Wuhan Sorting Hub.The entire company must be keenly aware of the importance and urgency of the epidemic prevention and control work.Firstly,we must ensure the health and sa
55、fety of all our family members;secondly,we must ensure the safe operation of our network during this extraordinary period of the pandemic;and thirdly,we must ensure that we can better fulfill our social responsibilities to serve people and benefit society during this major public health emergency.-L
56、ai Meisong,Chairman of ZTO ExpressScan the QR code to watch the video of social welfareScan the QR code to watch the video titled Wuhan Transit Center resumed work and ZTO Wuhan came backSTAYING UNITED TO COMBAT COVID-19 AND WORKING TOGETHER TO OVERCOME DIFFICULTIESFEATURES c a n a n d w a t c h the
57、 Fighting the Pandemic MV“”FEATUREZTO Express(Cayman)Inc.2020 ESG Report1415Rushing to the Rescue to Facilitate the Transportation of MaterialsWatching out for Each Other to Serve Millions of HouseholdsAt the beginning of the outbreak,ZTO Express immediately established an emergency leading group an
58、d a front-line command team to coordinate transportation and human resources to provide enabling services and support for the nationwide efforts on epidemic prevention and control.On Jan.25,2020,the Company opened a free green channel for the transportation of anti-epidemic materials from the whole
59、country to the key epidemic areas in Hubei.After the epidemic situation in Hubei improved,the Company provided free delivery of luggage for medical teams coming from around the country to the aid of Hubei,upon their return home.In the two months when the epidemic was the most serious,the Company,tog
60、ether with caring people both at home and abroad,delivered more than 700 tons of masks,protective clothing,disinfectant,medical gloves,and basic livelihood materials to Hubei on many occasions for free.In addition,the eco-system business segments of ZTO have also joined the fight against the epidemi
61、c.They leveraged their respective advantages in resources and worked together with all sectors of society to combat the epidemic and overcome the difficulties.Specifically,ZTO International transported medical supplies and materials raised by overseas Chinese in Japan,Indonesia,UAE,Cambodia,Russia,G
62、ermany,etc.,directly to the front line of the fight against the epidemic for free;ZTO Freight urgently coordinated vehicles to offer public welfare transportation services;ZTO Cloud Warehouse opened the warehouse and distribution centers for hospitals,governments,enterprises,institutions,and charity
63、 organizations to provide the facilities as well as free services such as warehousing,distribution,and delivery.The postal system is one of the important strategic infrastructure and social organization systems,which connects thousands of cities and industries and serves hundreds of millions of hous
64、eholds.It is essential to the nation,the peoples livelihood and their development.In the early stage of the epidemic,economic activities across the country almost stagnated,and express delivery became an important channel for ordinary people to access daily necessities.The express delivery industry
65、played an anchoring role in protecting peoples livelihood.Since the start of the fight against the pandemic,the entire network stayed united and promoted the fixed-point pickup and delivery,appointment delivery,and non door to door delivery to ensure unimpeded delivery channels.The Company also dist
66、ributed living necessities for community residents and learning materials to students free of charge,ensuring that residents could have vegetables in the basket and students could keep learning during class suspension.On Jan.24,2020In Feb.2020On April 12,2020On March 12,2020ZTO Express Jiangyin,Jian
67、gsu Province,organized personnel to transport two trucks of relief supplies to Wuhan for free.ZTO Express carries RMB400,000 worth of epidemic prevention materials donated by Hubei Yingcheng City and sends them to Suifenhe City,Heilongjiang Province,to support medical w o r k e r s a n d e p i d e m
68、 i c prevention and control staff.Shandong Radio and TV Stations Integrated Media Information Center,together with Qilu Grain and Oil,launched a lightning-speed public-good campaign to transport medical supplies and food such as flour,noodles,steamed buns,apples,etc.,to the frontline of Hubei.Shando
69、ng Management Center of ZTO Express took the initiative to undertake the delivery of 20 tons of apples.ZTOs outlet in Xingwen County,Yibin City,Sichuan Province collaborated with local schools to deliver more than 15,000 teaching and learning materials for more than 1,500 students free of charge,hel
70、ping them learn better during the epidemic.FEATUREZTO Express(Cayman)Inc.2020 ESG Report1617Adopting Multiple Measures to Protect the Health and Safety of Frontline CouriersThe front-line couriers come from the society and serve the society.They are hard-working bees,creators and guardians of good l
71、ife,and the fighters working on the frontline against the epidemic.They played an indispensable role in ensuring unimpeded economic circulation,facilitating production and life,and promoting social harmony.ZTO Express actively responded to the requirements of the CPC Central Committee and the State
72、Post Bureau(SPB).The Company focused on effective prevention and control of the epidemic on one hand,and the scientific and orderly resumption of production on the other hand.The Company also made significant efforts on epidemic prevention and control throughout the entire network to protect the saf
73、ety and health of front-line employees to the maximum extent.Disinfecting every incoming and outgoing vehicleKeeping masks on during sorting operationsDisinfect every expressBanners for epidemic prevention and educationComprehensive and strict disinfectionThe Company proactively responded to and imp
74、lemented the requirements of the governments at all levels on epidemic prevention and control,and conducted comprehensive disinfection of operation sites,facilities and equipment at management centers and outlets at all levels nationwide.Setting up a special fundThe Company set up a special fund of
75、RMB100 million for COVID-19 prevention and control,with a focus on protection for frontline staff upon their return to work.Providing safety subsidiesA return-to-work safety subsidy of RMB100 was provided to each frontline staff.Boosting the confidence of outletsThe Company introduced discounted and
76、 interest-free loan policies for the outlets to enhance their ability to recover and develop.Providing protective gearsThe Company provided a full set of protective gears for frontline staff,and required couriers to wear masks,gloves and goggles before going out.Daily health checkAll outlets were eq
77、uipped with infrared thermometers to conduct daily temperature checks on the staff and customers entering the outlets.Dynamic notification of epidemic situationThe heads of the outlets gathered the epidemic dynamics in the surrounding communities,informed the staff before work every day,and reminded
78、 them of the relevant precautions in a timely manner.Strengthening awareness and education on epidemic prevention and controlThrough posters,audio broadcasts,video programs and other diversified forms,the Company made continuous efforts to enhance the staffs awareness of the risks of epidemic and th
79、eir knowledge of disease prevention and control,and made efforts to relieve their psychological stress.Stabilizing Employment and Improving Peoples Livelihood and Well-beingEmployment is pivotal to peoples livelihood,and stable employment is in a paramount position in China policy of ensuring stabil
80、ity on the six fronts(employment,finance,foreign trade,foreign investment,domestic investment,and market expectations).Following the important instructions of General Secretary Xi Jinping and the arrangements of the CPC Central Committee and the State Council to combat the pandemic and stabilize emp
81、loyment,ZTO Express made solid and efficient efforts to stabilize and expand employment,increased production capacity in various regions,and created more than 53,000 jobs across the network.In addition to direct recruitment,the Company also made positive contributions to stabilizing employment and p
82、rotecting peoples livelihood by creating employment opportunities for more people by strengthening network construction and driving the development of related industries,and creating new opportunities for entrepreneurship and employment in the post-epidemic era.In the meantime,ZTO Express also adher
83、ed to the core philosophy shared success and upgraded a traditional franchise-based express delivery enterprise into a modern entrepreneurship&innovation platform,which features the sharing of the income generated by express delivery services with our network partners and consumers to the maximum ex
84、tent.On March 5,2020,ZTO Freight and ZTO Finance launched a support program to provide financial support to outlets facing practical difficulties,help them further enhance their risk-resisting abilities,boost their development,and truly achieve stable employment and the protection of peoples livelih
85、ood.ZTO Express created more than 53,000 jobs across the network in 2020(including outsourced staff)couriers 28,000+operators(including outsourced staff)14,000+drivers(including outsourced staff)7,800+FEATUREZTO Express(Cayman)Inc.2020 ESG Report1819Saluting to Our Frontline Heroes Amidst the Fight
86、Against the PandemicSince the outbreak of the epidemic,the ZTOers have been actively involved in the front line of the battle against the virus.We stayed true to our original aspirations and fulfilled our responsibilities.There emerged a number of anti-epidemic pioneers,who have the courage to take
87、on responsibilities,dare to act,and are willing to contribute.In order to reward role models,encourage fighting will,and enhance the determination and confidence of all the staff to combat the pandemic,ZTO Express selected and commended 350 individuals and collectives as anti-epidemic pioneers in th
88、ree batches,and allocated funds from ZTO Special Fund to award 5,000 to 10,000 yuan to the drivers who helped Wuhan during the pandemic.Despite of all the difficulties and dangers,ZTOers feared no hardships,took the lead and showed great courage in the fight against the epidemic.Our couriers were br
89、ave to be pioneers and are willing to make sacrifices to ensure the epidemic prevention and control.Their remarkable behaviors were highly recognized by different communities.In late October 2020,five employees of ZTO Express were awarded the title of Outstanding Individuals to Combat COVID-19 at th
90、e meeting held by the Ministry of Transport.Wei JianbinGeneral Manager of Tibet Center of ZTO Express Cui FushanGeneral Manager of Jinan Center of ZTO ExpressWang HaojieBusiness Manager of Shanghai Center of ZTO Express Xiong Chuyingdriver of Ningguo Center of ZTO ExpressScan the QR code for the ful
91、l list of anti-epidemic pioneers of ZTOLiu Zhazhen(Manchu)safety supervisor of Shenyang Center of ZTO Express Winning Nationwide Recognition and Highlighting Our Commitments to Take Social ResponsibilitiesEven the shortest journey cant be finished without taking the first step.With determination,ZTO
92、 Express took on our responsibility and made every effort to ensure the delivery of anti-epidemic materials and basic living supplies for residents and made scientifical planning for the resumption of work and production.The Company became an indispensable and important force in the national economi
93、c operation system and played an important supporting role in the epidemic prevention and control battle,which was highly acclaimed by the government,media and industry.On Jan.18,2021,the third session of the seventh Council and the 2021 annual working conference of China Communications and Transpor
94、tation Association(CCTA)was held in Beijing.With its excellent performance in ensuring the transportation of anti-epidemic materials during the epidemic,ZTO Express was awarded the honorary title of National Advanced Transportation Unit in Response to COVID-19.We are touched,warmed,encouraged and in
95、spired by what you have done,and now we do not worry anymore.-From the entire medical team dispatched in the first batch from Shandong Province to HubeiYour company actively responded to the governments call,strictly implemented the epidemic prevention and control requirements and arrangements of ou
96、r citys epidemic prevention and control center,bravely assumed your responsibility,rushed to the rescue day and night,and continuously distributed all kinds of emergency medical rescue materials to the frontline.You have contributed industry strength to winning the fight against the epidemic.-Yichan
97、g City Postal AdministrationIn the critical stage of epidemic prevention and control,your company stepped forward,regardless of gains and losses,overcame numerous difficulties,and rushed to the rescue day and night,which effectively resolved the shortage of anti-epidemic materials in our district,an
98、d provided strong support for our work,including ensuring supplies for the production,mobilization of materials,and ensuring stability in supply and price.”-Economic Commission of Qingpu District,Shanghai Let us work together,overcome difficulties together,unite as one,to win this battle.-Guangdong
99、Charity FederationZTO is my lifelong comrades in arms,and my lifelong good friends.We have come to serve the society and contribute to the country together.We will do more positive energy things that are beneficial to the society and the people together in the future.Beijing Hanhong Charity Foundati
100、on Hanhong“”2021Chairmans LetterZTO Express(Cayman)Inc.2020 ESG ReportIt was proposed in the 2020 National Postal Management Conference that the whole industry should adhere to the general principle of seeking progress while maintaining stability,insist on the new development concept,adhere to the s
101、upply side structural reform as the main line,and persist in the reform and opening up as the driving force to promote high-quality development.ZTO Express adheres to its original aspirations and takes the“bringing express delivery services to villages and factories and going global”project as the e
102、ntry point;enhances confidence,synergy,and execution,further improves our advantages,and shores up our weak spots;pursues a path of high-quality development,empowering employees and solidifying the foundation based on high requirements,effectively improves quality and efficiency,pursues ecosystem sy
103、nergy at high levels,and follows high standard for green development;the Company will promote the transformation of our leadership advantages into absolute advantages and ecosystem advantages via the adoption of digital and smart technologies,and strive to become a respected enterprise with dignity,
104、sustainability and longevity for centuries to come.Putting Customers FirstAccelerating the“Going Global”ProcessImplementing Safe Delivery RequirementsProtecting the Green EnvironmentLogistics Empowered by Smart and Innovative Technology2225303234STAYING TRUE TO OUR ORIGINAL ASPIRATIONS,ENHANCING CON
105、FIDENCE,EMPOWERING EMPLOYEES AND SOLIDIFYING THE FOUNDATION FOR DEVELOPMENTCHAPTER 12223ZTO Express(Cayman)Inc.2020 ESG ReportChapter 1 Staying True to Our Original Aspirations,Enhancing Confidence,Empowering Employees and Solidifying the Foundation for DevelopmentPutting Customers FirstImproving Se
106、rvice SystemOptimizing Customer ServiceFollowing the service philosophy of“all for network partners and customers”,ZTO Express has always dedicated to providing efficient,safe and convenient services.We have been building a sound customer service system,optimizing customer service experience,and imp
107、roving after-sales services to promote the steady improvement in the quality of services(QoS).As a result,we have won the trust and support of more and more customers.In the public satisfaction of express service released by the state post office from 2014 to 2020,ZTO Express has ranked No.1 through
108、out the years among“Tongda”operators(ZTO Express,YTO Express,STO Express and Yunda Express).ZTO Express attaches importance to strengthening the building of the QoS system.We established the QoS Center and four functional supervisory departments,namely the Customer Service Department,the Arbitration
109、 Department,the Quality Management Department,and the Value-Added Service(VAS)Department,to oversee the QoS of the entire network.We adopted centralized management and distributed operation for nearly 20,000 customer service agents across the network,formed a set of sound HQ-Center-Outlet service su
110、pervision mechanism to protect customer rights and interests.Following the service philosophy of“all for network partners and customers”,ZTO Express puts customer experience in the first place,explores innovations on smart service models,and strengthens after-sales service guarantee.ZTO Express make
111、s every effort to protect the rights and interests of customers,continues to promote steady improvement in QoS,and continues to meet consumers needs that shift from basic services to high-end and premium services.Organizational Structure of QoS CenterCustomer Service Process QoS CenterAssistant Depa
112、rtmentCustomer Service DepartmentArbitration DepartmentQuality Management DepartmentVAS DepartmentConduct service data analysis,discover problems in service process and customer experience,and make corrections,improvements,and optimizations.responsible for developing customer service supervision sys
113、tem and service process system,analyzing customer attributes,optimizing and improving service mechanism,improving and implementing service measures,and enhancing customer experience.responsible for arbitrating disputes between network outlets and transit centers,and concerning the responsibility in
114、all links of express delivery to maintain the harmonious and healthy development of the network.responsible for analyzing network problems based on data from the Arbitration Department and Customer Service Department,carrying out targeted and special rectification campaigns,carrying out quality insp
115、ection on call services and internal training,and effectively promoting the improvement of QoS across the network.responsible for integrating value-added products from the receiving end,the processing end and within the internal network,achieving efficient linkage and providing in-depth services,eff
116、ectively realizing process warning and result guarantee,and creating a differentiated value-added after-sales service system across the chain with better services and experience.Customer callsAnswered by 95311/online robotsAnswered by 95311/online operatorsBackstage customer service Customer feedbac
117、kExternal processing(customer)Internal rights protection(outlets)SatisfiedUnsatisfiedfollow up 201820192020Customer satisfaction%83.183.484.92425ZTO Express(Cayman)Inc.2020 ESG ReportChapter 1 Staying True to Our Original Aspirations,Enhancing Confidence,Empowering Employees and Solidifying the Foun
118、dation for DevelopmentListening to the voice of CustomersZTO Express cares about customers opinions and feedbacks.Based on its situation,the Company continuously optimizes the management on customer service,and strives to build a more attractive corporate brand image.The Company opened a customer se
119、rvice column on its official website to publish customer service information;set up online customer service to answer customers queries;opened WeChat and Weibo accounts to extend communication channels;organized offline face-to-face communication activities to expand communication coverage;published
120、 annual reports,social responsibility reports,magazines,etc.to disclose corporate information.Improving Customer ExperienceEnhancing Service Awareness Improving After-Sales ServiceZTO Express is fully committed to building a professional service team.The Company regularly conducts training on qualit
121、y improvement,standardized services and attitude improvement for customer service agents and couriers across the network,promotes and spreads customer service knowledge and service standards across the network,and continuously improves the service capabilities of customer service agents and couriers
122、.In order to ensure the quality of after-sales service,ZTO Express launched the“Shou Hou Bao”after-sales service system to improve the efficiency and capability of comprehensive services by digital means,while establishing a sound customer complaint handling mechanism to ensure that customers proble
123、ms are resolved in a timely and effective manner.The Companys Customer Service Center launched a CRM system to optimize the complaint handling process and shorten the processing time.The Company established both internal and external channels,including 95311 hotline,online customer service on the of
124、ficial website,Cainiao channel,and WeChat applet,to ensure the instant acceptance of customer complaints.The Company also established an online customer service system covering the entire network to enable customers to directly contact the corresponding outlets and guarantee the speed of complaint h
125、andling.The Company also set up a customer follow-up mechanism,with the HQ tracking feedback results,to ensure that complaints are resolved once for all.In September 2019,ZTO Express launched smart voice-based customer service system supporting a whole range of scenarios,which enables interactions w
126、ith users through open voice prompts and assists customers in completing complex business processes such as placing orders,sending reminders and submitting complaints.In 2020,this system was further upgraded to support speech recognition and enable customers to inquire various express parcels issues
127、 such as checking the status and sending reminders by dictating order numbers.At the same time,it enables customized responses based on different scenarios,significantly improving the flow of interactions and user experience.The courses of ZTO Express KEY Program are based on real cases of our trans
128、it centers,network managers,customer service agents and couriers,and summarize practical experience to help all staff improve QoS,increase efficiency,shore up weak spots in business development and enhance capacity.Direct Chain-Openness-Coexistence 2020 ZTO Express Customer Open DayWith the adoption
129、 of new technologies such as cloud computing,big data,mobile Internet and AI,the logistics industry has moved from the traditional model of manual work to a new era driven by technology.ZTO Express has fully implemented the Guiding Opinions of the State Post Bureau on Promoting Scientific and Techno
130、logical Innovations in the Postal Industry,seizes the important opportunities presented by the development of AI,5G and IoT,continues to increase R&D investment,and enhances application of new technologies.The Company continues to enhance the effectiveness and efficiency of digital management of big
131、 data and cloud computing to provide a strong guarantee for cost reduction and efficiency improvement in every link.Strengthening Innovation ManagementZTO Express has closely integrated technological innovations with the Companys strategy and business and has established a comprehensive Internet pro
132、duct R&D system.The Company set up a R&D team and promoted the implementation of many advanced technologies.The Company has built up eight digital product lines:marketing,customer service,last-mile network,transit center,transportation,finance,smart equipment,and collaborative office.The IT,digital
133、and smart tools have been widely used in all aspects of express delivery.In 2020,the Company focused on five major aspects:experience,efficiency,data,innovation and ecosystem to accelerate breakthroughs and achieve innovative development.Logistics Empowered by Smart and Innovative TechnologyAt the e
134、xperience level:digitization will deepen c o n n e c t i o n s w i t h customers,improve their digital experience and pursue user satisfaction.At the efficiency levelcore operational capabilities will deepen product coverage based on business scenarios and flexibly and quickly support business opera
135、tions.At the data levelbreak data barriers across the entire network and move business operations and business indicators online.At the innovation levelpromote intelligent routing projects,reduce transportation costs of centers and outlets,and stimulate resource vitality.At the ecosystem levelcollab
136、orate with ecosystem partners to focus on building a one-stop integrated supply chain platform to support the rapid development of integrated supply chain business.2627ZTO Express(Cayman)Inc.2020 ESG ReportChapter 1 Staying True to Our Original Aspirations,Enhancing Confidence,Empowering Employees a
137、nd Solidifying the Foundation for DevelopmentEmpowering Smart Express DeliveryScientific and technological innovations play important roles in deepening the supply-side structural reform of the express delivery industry and offer key support for promoting the transformation and upgrading of the indu
138、stry and improving quality and efficiency.ZTO Express continued to increase the R&D and investment in automated and intelligent equipment and empowered the entire network through new technology with the aim to improve logistics efficiency.The Company kept upgrading its strategic planning of“small fr
139、ont office and large middle office”and built up a business middle office that covers the whole ecosystem and multiple scenarios,to gather a variety of data flows,such as“transaction flow”,“logistics flow”,“capital flow”and“message flow”,and achieve online and standardized services.In response to the
140、 needs of different customers,such as vendors on e-commerce platforms and WeChat,individual customers,and corporate customers,ZTO Express has developed more than 50 channels for order placing,including WeChat public official account,applet,APP,call center,express housekeeper,self-service touch-scree
141、n cloud-based printer,and smart mail desks.ZTO Express is committed to developing high-quality and convenient“one-stop”order placing service.ZTO Express uses the route traffic flow model to dynamically predict the transportation capacity demand based on the cargo volume,seamlessly dispatch transport
142、ation capacity,accurately allocate personnel,reduce the flow links of express items,greatly improve the vehicle loading rate,and achieve the optimal transportation efficiency and cost.The Company also uses the GIS system for real-time monitoring,uses video cloud and the Galaxy system for visualized
143、dynamic tracking as well as monitoring and analysis of the real-time location of the vehicles and the traffic conditions,to ensure the safety and controllability of the parcels during transportation.In 2020,the Company engaged in deep cooperation with Datang Telecom and other enterprises in BRT and
144、tried to use autonomous driving to transport express shipments during nighttime.The automated sorting system independently developed by ZTO can sort about 24,000 parcels per hour in one layer and about 48,000 parcels per hour in two layers,with the sorting accuracy reaching 99.99%.The intelligent so
145、rting cabinet provides a comprehensive sorting solution for the centers distribution and the outlets delivery sorting,and helps the transit center advance the sorting process and directly distribute the sorted items to the dispatchers at the outlets through the combined use of software and hardware.
146、By the end of 2020,ZTO had put into operation 339 sets of automated sorting equipment in the whole network.ZTO Express has introduced intelligent equipment such as UAVs,driverless logistics vehicles and driverless delivery vehicles to adapt to different delivery scenarios and improve timeliness and
147、efficiency.Unmanned self-pickup cabinets have been set up in communities,schools and office buildings to provide users with services such as pick-up,posting and temporary storage,reducing the delivery pressure on couriers.ConvenientEffi cientIntelligent DeliveryOrder Placing TransportationAutomated
148、SortingZTO smart delivery bucket is a terminal delivery device that can reduce the cost of outlets and improve customer experience.It combines intelligent hardware with intelligent system to reduce the security risk of delivery,reduce the waiting time of users,and optimize the high cost of random pi
149、ckup of outlets.ZTO Express launched the operation of Tuxi Express Post in 2017,aiming at offering diversified last-mile services to communities and campuses,reducing the cost of dispatch operations,and solving the headache of nobody signing for the receipt of express items when users are not at hom
150、e.Haiyan EL-61 is a pure electric logistics drone launched by ZTO Express,which can meet the needs of various application scenarios such as last-mile delivery,rural areas,e-commerce,medical emergency response and emergency rescue.The unmanned logistics vehicle introduced by ZTO Express is used for l
151、ow-speed unmanned distribution for last mile,and different intelligent devices can be built based on demands and applied to diverse new retail scenarios to accelerate the construction of a new comprehensive smart logistics network.2928ZTO Express(Cayman)Inc.2020 ESG ReportChapter 1 Staying True to O
152、ur Original Aspirations,Enhancing Confidence,Empowering Employees and Solidifying the Foundation for DevelopmentZTO Express Is Developing Full-link Digital Smart LogisticsExpress HousekeeperExpress SupermarketOnline CustomerExpress LockersOnline Business HallZTO Treasure BoxData CockpitOfficialWebsi
153、tePrivacyNumberCloud PrintingWMSOA/HRCloudCallSmart ArbitrationShip with QRTicketing SystemZhangzhongtong AppCustomer CRMScan/Dynamic Weighing MachineVideo CloudShenzhou SystemMaterial SalesXingluo SystemZTO Premium DeliveryEco-friendly BagsTruck Transportation SystemAutomated SortingIntelligent Sor
154、ting CabinetStarair Union AviationPDA DevicesQimen SystemZTO InternationalOperational ControlZTO FinanceZhongkuai MediaZTO BusinessPangu SystemGIS3031ZTO Express(Cayman)Inc.2020 ESG ReportChapter 1 Staying True to Our Original Aspirations,Enhancing Confidence,Empowering Employees and Solidifying the
155、 Foundation for DevelopmentZTO InternationalZTO International handles the international business.Since its establishment in 2014,ZTO International has been committed to providing global customers with more convenient and efficient one-stop logistics supply chain solutions,with a goal of becoming a g
156、lobal first-class comprehensive logistics service provider.As of the end of 2020,ZTO International have built up our presence in Southeast Asia,the Middle East,Europe and the United States,Japan and the Republic of Korea,Australia and other countries and regions,and operated diversified,multi-catego
157、ry cross-border logistics businesses such as bonded services,direct mail,integrated warehousing&distribution,and special line service.The Company has built up overseas networks in Cambodia,Vietnam,Laos,Myanmar and other countries to directly serve the local markets and people with localized manageme
158、nt.In addition,in order to further promote the deployment of overseas networks,ZTO International has achieved initial results in business diversification,product internationalization and service globalization,as well as established a“multi-channel,diversified and all-round”service model based on the
159、 multi-level market demands of B2B,B2C,C2C,and BBC.The express delivery industry carries the functions of politics,trade and personnel communication.It is a bridge that facilitates the interconnection among countries along the“One Belt and One Road”and plays an important role in promoting internatio
160、nal exchanges and serving economic and trade development.ZTO Express actively responds to the national call to participate in the“One Belt and One Road”Initiative and the call of the State Post Bureau for“bringing express delivery services to villages and factories and going global”.ZTO Express reli
161、es on ZTO International to accelerate the expansion into the international logistics.In line with the strategic policies and development needs of the countries along the“One Belt and One Road”,the Company set up overseas transit warehouses,opened special international business lines,and connected wi
162、th overseas logistics systems.The Company aims to build a convenient,unimpeded,inclusive cross-border delivery network based on the neighboring countries,covering the One Belt and One Road and providing global consumers with a full range of express delivery and logistics solutions.At the same time,t
163、he Company aims to enhance the development of express delivery and logistics in those countries and improve the well-being of the people in those countries to achieve common prosperity.Network coverage of ZTO InternationalOn Nov.20,2020,the China-Myanmar international express air cargo route success
164、fully made its maiden voyage,marking a new journey for ZTO Express Myanmar to offer the dual-mode(land+air)delivery services.On Feb.19,2020,ZTO Express Thailand held an inauguration for the trial operation at its transit center in Bangkok,marking the official launch of its nationwide express deliver
165、y services in Thailand.Accelerating the“Going Global”ProcessAt 21:03,Nov.12,2020,Chhuon Sokong,who lives in Phnom Penh,capital of Cambodia,received the clothes he bought on the Chinese e-commerce platform on the Double 11 day.This was the first cross-border order that completed by ZTO International
166、and signed for by the customer at that day.The parcel was delivered from China to Cambodia by ZTO International in 34 hours.New speed!ZTO International completed the delivery of the first cross-border order of Double 11 in 34 hours.Case3233ZTO Express(Cayman)Inc.2020 ESG ReportChapter 1 Staying True
167、 to Our Original Aspirations,Enhancing Confidence,Empowering Employees and Solidifying the Foundation for DevelopmentImplementing Safe Delivery RequirementsDelivery safety is closely related to the good life of people.ZTO Express earnestly implements the work safety policies that emphasize“putting s
168、afety first,focusing on prevention,and exercising comprehensive controls”.The Company has established a sound work safety management system,and continuously strengthens the whole networks safety awareness and skills.The Company implements work safety requirements in every aspect of the operations an
169、d strictly implements the three systems(Real-name System,Open-box Inspection System,and Machine Inspection System)to defuse hidden risks,prevent and curb serious accidents,mass incidents,and other occurrences,and contribute to public safety and the long-term stability of the country,and the creation
170、 of a safe and stable environment for delivery services.Enhancing Safety ManagementZTO Express continues to improve the safety management system and optimize the management and control framework,system procedures and system tools;the Company established a three-tiered organization and management mec
171、hanism for safety management with safety officers at the front end,safety work leadership group at the middle end and the safety management committee at the headquarter.Vertically,the safety responsibilities of every post and every employee are clearly identified;horizontally,the management work cov
172、ers every aspect of the operations so as to receive feedback,execute plans and respond immediately;The Company developed a series of work safety rules and regulations and safe operation requirements,such as Safety Supervision and Punishment Regulations,Postal Route Safety Management Regulations,and
173、Regulations on Accountability for Safety Accidents and made constant improvements;the Company strengthened the construction of safety emergency response management mechanism,formulated emergency response plans such as the Public Health Emergency Response Plan,and standardized emergency management an
174、d response procedures for safety accidents.The Company regularly investigates potential safety hazards to strictly prevent safety accidents.In 2020,the Companys Lost Time Injury Rate(LTIR)was 0.68.Implementing the Three SystemsThe Company strictly implements the“Postal Law of the Peoples Republic of
175、 China”,“Postal Industry Safety Supervision and Management Measures”,“Express Delivery Safety Operational Regulations”and other laws and regulations and strictly implements the three systems:Real-name System,Open-box Inspection System,and Machine Inspection System to improve the safety and security
176、of delivery.Real-name posting and deliveryInspection for acceptanceMachine inspectionThe Company strictly implements the real-name registration system and has built up systems such as Real-name Registration for Express Delivery Services,Notice to Customers Regarding the Implementation of the Real-Na
177、me System for Express Delivery,Regulations on Real-name System for Express Delivery to standardize the express delivery process;the Company also organized trainings on real-name system for front-line staff to ensure its implementation;the Company conducted monthly special supervision on the implemen
178、tation of real-name system in each outlet,and established punishment and supervision and reporting mechanisms to strengthen outlet management.In 2020,the real-name online registration rate is 99.9%for ZTO Express.Outlets are required to post a list of prohibited items and safe delivery requirements
179、in the business hall and educate the customers about the concept of safe delivery;in the inspection process,all couriers are required to implement the open-box inspection system and strictly abide by the principle of not accepting prohibited items for delivery and limiting the scope of restricted it
180、ems to guarantee the safety and compliance of the delivery.The Company constantly u p g ra d e s t h e s e c u r i t y inspection equipment,and jointly developed security inspection machines with independent IPs,advanced technology,faster speed and better effectiveness with Nuctech and other institu
181、tions to ensure the effectiveness of security inspection;the Company introduced a new cross-belt security inspection machine to improve work efficiency and save manpower.100%of the items are checked through the security inspection machines to ensure the safety of parcels.Carrying out Safety Awarenes
182、s and Education CampaignsZTO Express actively carries out safety education and emergency drills to build and raise the safety awareness of employees;conducts pre-job training,safety training for operators,safety training during peak seasons,etc.,to strengthen employees knowledge and skills on work s
183、afety;supervises the execution of emergency drills at management centers at the provincial branch levels,transit centers and outlets,and when necessary,designates staff to witness and guide the drills;regularly sorts out typical cases,notifies the entire network,and improves the safety protection aw
184、areness of all employees;makes full use of the ZTO Magazine,WeChat subscription account,Intranet and other channels,to disseminate office,operation,and postal safety knowledge.In 2020,the entire network conducted 14,469 safety trainings with a total of 1,638,763 participants,and conducted 237 emerge
185、ncy drills with a total of 30,569 participants.ZTO Dongguan Management Center conducts a fire drill201820192020LTIR(per 200,000 working hours)1.280.910.683435ZTO Express(Cayman)Inc.2020 ESG ReportChapter 1 Staying True to Our Original Aspirations,Enhancing Confidence,Empowering Employees and Solidif
186、ying the Foundation for DevelopmentZTO Express actively implements Xi Jinpings thought on ecological civilization construction and the decisions and arrangements of the State Post Bureau,adheres to the concept of green development,and continuously establishes and improves the green management system
187、 and mechanism;the Company strengthens the identification of environmental impact factors,strives to develop a green,low-carbon,and circular business model,and continues to explore a green development path for the whole life cycle of express delivery so as to lead the sustainable development of the
188、industry and even the society.ZTO Express strictly abides by the Environmental Protection Law of the Peoples Republic of China,the Energy Conservation Law of the Peoples Republic of China and other relevant environmental protection laws,and formulated framework documents such as the Guiding Plan for
189、 Green Development of ZTO Express(Draft),and ZTO Express Green Procurement System;the Company established a project team on energy conservation,environmental protection and green development at the headquarter level,with the executive vice president as the team leader,and with management centers to
190、carry out green and environmental protection work based on their respective responsibilities;at the county and district level,the Company established environmental protection teams which would report directly to the headquarter in accordance with the requirements of the local postal administrations;
191、the Company established and improved environmental protection systems and mechanisms such as green standards,green publicity,green training,green systems,green inspections,and green technologies,formulated and implemented a road map,identified the list of tasks and the way forward for the collection
192、,sorting,transportation,and distribution and other operational links,decomposed and implemented various green development tasks to promote the Companys green development step by step.In 2020,the State Post Bureau proposed the 9792 project,that is,the packaging ratio of slim tape below 45 mm reaches
193、90%,70%of e-commerce express items will no longer be repackaged,90%of recycling transfer bags will be used,and 20,000 newly added postal delivery outlets will provide packaging waste recycling facilities.ZTO Express actively responded to the call,developed annual green development objectives,and too
194、k concrete actions to promote the green development of the express delivery industry.As of the end of 2020,the Companys packaging ratio of slim tape below 45 mm reached around 90%,over 70%of e-commerce express items were not repackaged,the use of recyclable transfer bags in the entire network reache
195、d 95.22%,and approximately 21,000 packaging wastes recycling devices were added.Strengthening Green ManagementGreen Management SystemEnvironmental Protection Objectives and OutcomesProtecting the Green EnvironmentTraining and AssessmentTechnical Innovation and Technical SupportHuman Resource Managem
196、ent CenterTechnology and Information Center Development&Research CenterPublic Affairs Management CenterAssets Management Center Operation Management CenterOther Partners,etc.Packaging Management,Energy Saving and Emission Reduction of Production OperationsCooperation with Industry,Academia and Resea
197、rch Institutes,Revisions to Relevant StandardsPublicity,GuidanceGreen Site Construction and Green OfficeDivision of laborTeam Leader Executive Vice PresidentOrganizational Structure of the Project Team on Energy Conservation,Environmental Protection and Green Development Project Team on Energy Conse
198、rvation,Environmental Protection and Green DevelopmentIndicators201820192020energy consumptionPower consumption(MWh)105,655 143,510 180,284 Diesel oil consumption(t)190,949 219,164 243,569 Water consumption(kt)2,8552,5713,404Packaging consumption cellulose tape(kg)84,482 117,891 161,901 express shee
199、t(kg)19,207,010 26,099,456 21,521,319 Waterproof bag(kg)1,022,880 1,359,364 1,854,855 Envelope(kg)9,589,500 12,864,269 17,548,803 the Companys packaging ratio of slim tape below 45 mm reached arounde-commerce express items were not repackagedthe use of recyclable transfer bags in the entire network
200、reachedpackaging wastes recycling devices were added9095.227021,000As of the end of 2020%3637ZTO Express(Cayman)Inc.2020 ESG ReportChapter 1 Staying True to Our Original Aspirations,Enhancing Confidence,Empowering Employees and Solidifying the Foundation for Development010203Carbon Emission Measurem
201、ent of ZTO Express(Excluding Franchisees)ZTO Express investigates the environmental impacts of each link in the express delivery process,confirming that the Companys possible environmental impacts were mainly concentrated in the packaging,transportation,and production&operation links.In the producti
202、on and operation process,the Company has relatively limited negative impact on the environment,and there isnt material amount of hazardous waste or non-hazardous waste discharge,and the fuel pollution is slight.Therefore,no corresponding statistics have been formed in this regard,but the Company cle
203、arly stipulates that the waste generated in the production and operation link shall not be discarded at random and must be handed over to dedicated organizations for disposal.At the same time,the Company strives to reduce the possible negative impact of packaging and transportation on the environmen
204、t by purchasing environment-friendly raw materials,increasing R&D investment on energy saving,upgrading outdated equipment,and promoting energy-saving transportation vehicles.ZTO Express takes the initiative to track the consumption of various energy resources and CO2 emissions related to the expres
205、s delivery industry in real time while improving the existing energy-saving and environment-friendly technologies and equipment.The Company is committed to contributing ZTOs wisdom to the industrys low-carbon development.According to the carbon emission conversion formula provided in the Measurement
206、 of Greenhouse Gas Emissions by Express Delivery Industry issued by the SPB in 2014,ZTO Express has reasonably estimated carbon emissions based on the Companys business model,and the results showed that the Companys carbon emissions have been on a downward trend for four consecutive years.ZTO Expres
207、s continues to promote low-carbon development.In January 2021,the Company officially joined the Science-Based Targets initiative(SBTi),which was launched by World Wide Fund for Nature(WWF),CDP,the World Resources Institute(WRI)and the United Nations Global Compact(UNGC),and submitted a commitment le
208、tter on science-based carbon targets in response to the carbon peak and carbon neutrality targets.Environmental Impact InvestigationCarbon Intensity ManagementIndicators201820192020Direct greenhouse gas(GHG)emissionsCo2emissions(tCo2)612,947 703,515 769,921 Indirect GHG emissionsCo2emissions(tCo2)10
209、1,429 137,770 173,072 Other Indirect GHG emissions-Tape(tCo2)234 469 1146-Waybill(tCo2)35,956 65,959 40,288-Others(tCo2)27,556 39,185 54,967Subtotal:CO2 emissions(tCO2)63,746 105,613 96,401 Total carbon emissions(tCo2)778,122 946,898 1,039,394 CO2 emissions/10,000-yuan revenue(KgCo2)442 428 412 Year
210、-on-year(YoY)growth-12%-3%-4%CO2 emissions/express item(KgCo2)0.091 0.078 0.061 YoY growth-13%-14%-22%Packagingw a s t e s f r o m packaging boxes,packaging paper,etc.Transportationexhaust gases emitted during transportation,etc.e x h a u s t g a s e s,wastewater and solid waste generated in product
211、ion and life.Waste from production processThe potential impact on the environment of ZTO Express3839ZTO Express(Cayman)Inc.2020 ESG ReportChapter 1 Staying True to Our Original Aspirations,Enhancing Confidence,Empowering Employees and Solidifying the Foundation for DevelopmentDeveloping Green Expres
212、s DeliveryAs a listed express delivery company,ZTO Express has been fulfilling the social responsibility for years and has practiced green development and environmental protection in daily operations.The Company has made a lot of efforts in promoting the green,reduced,and recyclable packaging for ex
213、press items,reducing vehicle emissions and energy consumption of service and production.Practicing Green ProcurementPromoting Green Packaging E-waybillsZTO Express continues to implement the strategic arrangements of the SPBs Party Leadership Group on the industrys ecological and environmental prote
214、ction work,establishes and practices the concept of green and low-carbon development,and improves the green procurement framework.The low-carbon,environmental protection,energy saving,emission reduction,use of degradable and recyclable materials,supplier requirements,and other restrictive conditions
215、 were incorporated into the procurement system,and a green procurement system was established to guide the green procurement work.The Company updated the ZTO Express Green Procurement System in August 2019,identifying 15 types of green and environmental protection categories,and according to the gre
216、en environmental protection standards,different categories that purchased need to correspond to different standards.A list-based management approach was introduced.The Company strictly follows the requirements of the State Post Bureau to purchase packaging products that comply with or exceed nationa
217、l and industry standards.When purchasing and using packaging products from suppliers,suppliers are required to provide a compliance test report issued by a qualified third-party testing agency.In 2020,the Company met the environmental protection standards in envelope printing and packaging consumabl
218、es procurement,further promoting the creation of a green supply chain.ZTO Express continues to promote green,reduced,and recyclable packaging,and promotes the use of e-waybills,green bags,environment-friendly fillers,etc.;the Company actively recycles packaging materials,and guides consumers to re-u
219、se idle packaging to reduce resource waste;the Company has developed environment-friendly bag systems to intelligently monitor the real-time dynamics and distribution of recyclable transfer bags,and has implemented the concept of green development in distribution,packaging,allocation,operation,and b
220、illing.In 2019,with the advancement of the construction of last-mile facilities,the acceptance of express delivery posts and express delivery cabinets has gradually increased,and the habits of users receiving and sending express delivery items have also changed.The single-sheet e-waybills emerged.Co
221、mpared with the traditional 5-sheet waybills,80%paper can be saved.As of the end of 2020,the utilization of e-waybills reached 99.93%in the Company,of which the utilization of single-sheet e-waybills reached 91.4%,equivalent to saving about 520,000 fast-growing eucalyptus trees.Green Recyclable Tran
222、sit BagsZTO Express upgraded the original eco-friendly bags to green recyclable transit bags in 2019,and independently developed a full-lifecycle management system for eco-bags to realize the systematic tracking and management of the eco-bags during its entire lifecycle.Compared with the traditional
223、 disposable woven bag,the green recyclable transit bag is stronger and more durable,can be reused more than 100 times,and saves more than 50%of the single use cost.As of the end of 2020,ZTO Express put in use nearly 9 million green recyclable transit bags on the entire network,replacing the use of a
224、bout 900 million disposable woven bags and reducing the generation of about 81,000 tons of garbage.With green packaging,we need to adhere to the use of standardized,reduced and recyclable packaging,strengthen collaboration with upstream and downstream,pay attention to resource conservation,eliminate
225、 excessive packaging,and avoid waste and environmental pollution.Objectives of Green Express DeliverySlim TapeZTO Express actively responds to the Tape Slimming plan,gives priority to purchasing slim tape below 45 mm that meets national standards,industry standards and relevant national regulations,
226、and gradually promotes its use throughout the network to reduce the use of tape during production and operation.As of the end of 2020,the packaging ratio of slim tape below 45 mm reached nearly 90%,and all the newly purchased tapes in 2020 were 100%of slim tape.Recyclable transit bagsZTO Express put
227、 into use the degradable waterproof bags in October 2020.The bag is featured by reliable quality,strong sealing,tear resistance and load-bearing strength,and it is non-toxic,odorless,and harmless to humans.After use,they can be degraded into carbon dioxide,water and organic fertilizer in the compost
228、ing state.Degradable Waterproof BagsDegradable waterproof bagsGreen Dispatch Transit BagsZTO Express has put into use green bio-degradable packing bags made of polypropylene in some regions.The product is green,environment-friendly,and reusable and provides huge space.Under the set conditions,such b
229、ags 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.4041ZTO Express(Cayman)Inc.2020 ESG ReportChapter 1 Staying True to Our Original Aspirations,Enhancing Confidence,Emp
230、owering Employees and Solidifying the Foundation for DevelopmentRecycling box for express packaging wasteDeveloping Circular EconomyThe mixing of wastes from express packaging materials with domestic waste increases not only the pressure on the environment but also the cost of social management.Proc
231、eeding from the perspective of developing the circular economy,ZTO Express promotes the development of green and circular economy through package recycling and other methods.Recycling of Packaging WasteI n 2 0 2 0,Z T O E x p r e s s continued to promote the“Recycling Program”and placed over 21,000
232、package recycling boxes throughout the network,covering 20,943 agent points,to promote the sorting,recycling,and reuse of express packaging.Reduced Use of Consumables and Secondary RecoveryZTO Express actively promotes the use of recyclable packaging and filling materials such as newspapers,inflatab
233、le plastic bags,and air bubble bags to improve resource recycling;the Company advocates the separate billing for express delivery and packaging,and consumers can choose whether to require the packaging for express delivery.The Company encourages the secondary use of idle packaging,and gradually guid
234、es outlets and consumers to increase environmental awareness;some outlets support the use of secondary express packaging to deduct part of the express delivery fees when customers send parcels or support express carton recycling in the form of matching donations.Optimizing Green TransportationOptimi
235、zing Line-Haul TransportationPromoting High-Capacity VehiclesGreen Last-Mile DeliveryZTO Express is committed to reducing the impact of transportation on the environment and incorporates energy-saving and emission reduction targets into the overall supervision on the express transportation.As of the
236、 end of 2020,over 86%self-owned line-haul vehicles met the National IV/V Emission Standards,and OBD(on-board diagnostic system)were installed on newly purchased vehicles to detect the emission of exhaust gases.ZTO Express equips each shuttle truck with the BeiDou Navigation Satellite System(BDS)equi
237、pment and the Galaxy system,combined with GIS(Geographic Information System),to monitor abnormalities during transportation,optimize the driving routes and shifts of conventional trunk and branch lines,reduce the average mileage of congested routes,and reduce additional energy consumption generated
238、due to unreasonable transportation routes;the Company adopts advanced algorithms to increase the loading rate,and reduce the departure frequency in a bid to effectively reduce the pollution emissions.As of the end of 2020,there were more than 3,600 line-haul routes across the whole network.In the li
239、ne-haul transportation,ZTO Express promotes high-capacity trucks to improve energy efficiency and reduce pollutant emissions.Compared with the 9.6-meter traditional vans,the high-capacity truck has more than doubled carrying capacity;each vehicle can save 2 liters of diesel fuel per 100 kilometers,a
240、nd reduce the diesel consumption by 55%and the pollutant emissions by over 70%per parcel.As of the end of 2020,the Company had approximately 7,900 high-capacity trucks.ZTO Express continues to increase the scale of its green fleet,using electric,hybrid electric,and fuel cell-powered green delivery v
241、ehicles;the Company introduces drones in remote areas to reduce the burden on ground transportation and reduce unit energy consumption;the Company increases the use of self-pickup equipment and last-mile posts to shorten the frequency and distance of delivery.4243ZTO Express(Cayman)Inc.2020 ESG Repo
242、rtChapter 1 Staying True to Our Original Aspirations,Enhancing Confidence,Empowering Employees and Solidifying the Foundation for DevelopmentUsing Urea for Cleaner EmissionsZTO Express continues to increase the amount of urea used in vehicles,conducts training on the performance of new vehicles and
243、standard driving for all fleets,and regulates the use of urea in vehicles.The urea solution can produce nitrogen,oxygen and water through reduction reaction with NOx,thereby reducing NOx emissions and purifying exhaust gases;at the same time,it can optimize engine performance and fuel consumption,an
244、d reduce diesel consumption by 5-7%.NEVs for pickup and deliveryIn Sep 2020,ZTO Express and Cummins jointly released an efficient clean energy power solution for the logistics industry.Using New Energy Vehicles(NEVs)At the pickup and delivery ends,ZTO Express mainly uses electric vans with a volume
245、of 12-14 cubic meters,which can accommodate more than 3,000 parcels,and can endure 70 kilometers when fully charged.Compared with traditional fuel-powered vans,electric vans have no exhaust emission or air pollution.In the line-haul transportation,the Company tries to use NEVs fueled by liquefied na
246、tural gases(LNGs).Compared with traditional fuel vehicles,the CO2 emissions in the exhaust of NEVs are reduced by about 20%,CO emissions reduced by about 97%,and NOx emissions reduced by about 90%and basically contain no harmful substances such as PM2.5(fine particles),lead,sulfide,and benzene with
247、better safety.NEVs for line-haul transportationSmart Sorting EquipmentZTO Express uses a large number of large/small automated sorting equipments in the sorting hubs,which saves sorting time and labor costs,while reducing the wear and tear of express items during the loading and unloading process,re
248、ducing the rate of damage to express items,and reducing the amount of consumables such as buffers and packaging tape.This provides facilitations for the recycling and reuse of packaging materials.As of the end of 2020,the Company put into use 339 sets of large/small automated sorting equipment in 94
249、 sorting hubs across the network.Using Green EquipmentZTO Express vigorously promotes the use of energy-saving and environment-friendly equipment in operation and production.In the sorting,the Company actively promotes low-energy,low-noise,and low-pollution green facilities;in the transportation and
250、 distribution,the Company increases the use of zero emission,zero noise green vehicles.Automated sorting equipmentAluminum alloy arc bodyAluminum Alloy Arc BodyZTO Express has gradually replaced iron truck bodies with aluminum alloy arc bodies.While upgrading capacity,aluminum alloy arc bodies also
251、reduce weight and fuel consumption;aluminum alloy bodies are more corrosion-resistant,have a longer service life,and a higher recycling value.Green OfficeIn the office,the Company clearly requires all employees to strictly implement the systems and regulations on saving water and electricity so as t
252、o cultivate low-carbon habits in the office;through digital and intelligent system management such as e-magazines and online approvals,the Company aims to reduce comprehensive energy consumption in the office and production;actively constructs green industrial parks and promotes the use of solar ene
253、rgy in transit centers such as the ones in Hangzhou and Taizhou.Promoting Green DevelopmentZTO Express earnestly implements the spirit of the important documents of the State Post Bureau on green development and ecological and environmental protection,conducts benchmarking exercises,and strives to g
254、ain a deep understanding of the spirits.The Company strives to promote green development across the entire network through internal promotion meetings,intranet notifications,ZTO Cloud Class,Zhangzhongtong App,ZTOs official website,ZTO official WeChat accounts and other channels.In 2020,the Company o
255、rganized 10 training programs on ecological and environmental protection.In addition,the Company conducts the Green Pioneer Award every year to make comprehensive evaluations and encourage all outlets to actively promote green development.Advocating a Green CultureZTO Express starts from small and i
256、nsignificant points and integrates a green culture into all aspects of business operations.Solar panels in the sorting hub 4445Chairmans LetterZTO Express(Cayman)Inc.2020 ESG ReportUpholding the mission and original aspiration of“Bringing Happiness to More People through Our Services”,ZTO Express fi
257、rmly believes that only by benefiting the society and others can we better achieve self-development,and only companies that benefit the society and the people can grow,prosper,and achieve the sustainable growth.ZTO Express aims to meet the urgent needs of the government and help people in need and i
258、n hardship,practice its social responsibility with actions,and become a respected century-old company.MOVING FORWARD WITH PERSEVERANCE AND UNITY AND WINNING TRUST BY HELPING AND BENEFITING OTHERSCHAPTER 24652586367Consolidating Business Management and GovernanceCaring for the Career Development of E
259、mployeesJoining Hands with Partners for Win-Win ResultsServing the Development of Agriculture,Rural Areas and FarmersGiving Back to the Society and Serving Peoples Well-Beings4647ZTO Express(Cayman)Inc.2020 ESG ReportCHAPTER 2 MOVING FORWARD WITH PERSEVERANCE AND UNITY AND WINNING TRUST BY HELPING A
260、ND BENEFITING OTHERSStandardizing Corporate OperationsZTO Express strictly complies with the requirements of the Company Law of the Peoples Republic of China,Securities Law of the Peoples Republic of China,Code of Corporate Governance for Listed Companies,Rules Governing the Listing of Securities on
261、 the Stock Exchange of Hong Kong Limited(Hong Kong Listing Rules)and other requirements.In light of the actual situation of the Company and from the perspective of achieving the Companys strategic goals and the interests of all shareholders,the Company continues to strengthen internal management,imp
262、rove corporate governance structure,and standardize corporate operations.The General Meeting of Shareholders(GMS),the Board of Directors(BoD),the Board of Supervisors and the management have well-defined powers and responsibilities.The management of the Company faithfully perform their duties,make s
263、cientific decisions,coordinate operations,and jointly ensure the realization of the overall strategic goals of the Company.General Meeting of ShareholdersBoDRemuneration CommitteeAudit CommitteeCorporate Governance and Nomination CommitteeEnvironmental,Social and Governance CommitteeManagementCorpor
264、ate Governance and Nomination CommitteeAudit CommitteeRemuneration CommitteeAssisting the BoD in selecting candidates who meet the qualifications as directors of the Company;advising the BoD on the composition of the BoD,rules of procedure,committee composition,and other related matters;and supervis
265、ing and evaluating the work of the BoD.Responsible for the selection,evaluation and supervision of the Companys independent audit;supervising the Companys annual audit and disclosure of quar terly performance results;supervising the accounting and financial reporting procedures,and managing the Comp
266、anys internal risk control system,to ensure the authenticity of the financial statements used by the BoD and published by the Company.Assisting the BoD in supervising the Companys remuneration system and employees benefit plans,assessing and approving the remuneration structure,including all forms o
267、f remuneration related to directors and senior executives.Environmental,Social and Governance CommitteeAssisting the BoD to formulate and review the Companys ESG policies and making recommendations on the ESG issues during the Companys development;Linking the executive compensation with ESG indicato
268、rs.Board of Directors(BoD)The BoD of ZTO Express ensures the efficiency and effectiveness of the Companys operations by developing appropriate risk control policies and procedures;continuously improves the operational system of the BoD,strengthens the functions and responsibilities of directors,and
269、improves the efficiency of the BoD.The BoD has set up three committees: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 adopted by the BoD,as well as
270、advising the BoD on all matters related to corporate governance and the corrective measures to be taken,so as to ensure that the management and operation meet the compliance requirements and match the Companys development plan.Consolidating Business Management and Governance4849ZTO Express(Cayman)In
271、c.2020 ESG ReportCHAPTER 2 MOVING FORWARD WITH PERSEVERANCE AND UNITY AND WINNING TRUST BY HELPING AND BENEFITING OTHERSSafeguarding Shareholders Rights and InterestsControlling Business RisksZTO Express continues to improve the corporate governance structure,execute strict internal control(IC)syste
272、m,standardize information disclosure,and maintain an active relationship with investors,and strives to maximize the long-term interests for shareholders.ZTO Express has developed a sound internal control and risk management system,integrating the risk management process into all aspects of managemen
273、t and operation.The Company strengthens compliance execution throughout the process,and strictly follows regulatory and compliance requirements.The Company has obtained the certifications of ISO9001 quality management system,ISO27001 information security management system,ISO27701 international priv
274、acy information management system,and certification for intellectual property standard compliance.ZTO Express attaches great importance to the maintenance and management of investor relations,strictly abides by the information disclosure obligations under the securities trading rules of the United S
275、tates,Hong Kong Listing Rules and NYSE Listing Rules and other applicable laws and regulations.The Company has set up a dedicated Investor Relations Department,which is responsible for holding regular roadshows and reverse roadshows,receiving investors visits,and responding to investors concerns.At
276、the same time,we disclose the Companys major events,development and operation information,and other information to the public in an active,complete and accurate manner.We also release announcements through official channels such as the investor relations website and press conferences,to strengthen c
277、ommunication with investors and effectively protect their legitimate rights and interests.Compliance with laws and regulations is a basic requirement for a companys stable operation.ZTO Express abides by the principles of honest and law-abiding business operations.In accordance with Chinas national
278、conditions and laws and regulations,the Company has established a sound law-abiding and compliance system in the fields of fair competition,labor security,intellectual property(IP)protection,environmental protection,consumer protection,and clean operation to ensure the Companys business activities a
279、re legal,compliant and standardized.The Company also carried out a series of campaigns,such as publicity and awareness-raising,to promote the concept of the rule of law and the awareness of law-abiding and compliant operation in all aspects,through multiple channels with priorities.The rule of law c
280、ulture of the Company was further promoted.ZTO Express continues to optimize the construction of the Companys internal control and risk management system,promotes the further integration of risk management with business development,and provides a strong guarantee for the realization of strategic goa
281、ls.The Companys internal audit department and compliance department hire professional consultants to form project teams to conduct continuous and independent assessment of the Companys risks and internal controls and summarize and rectify the deficiencies identified.In 2020,the Companys management a
282、nd control of major risks was good,no significant or material internal control defects were found,and no major controllable risk loss events occurred.ZTO Express answers questions and queries from investors through a diversity of channels,including IR hotline,IR mailbox,General Meeting of Shareholde
283、rs,communication with the management,investment summits,and teleconferences,effectively maintains sound relations with investors and helps investors gain a deeper understanding of the operation,business,development strategy and investment value of the Company.In 2020,ZTO Express published more than
284、80 press releases,announcements and related documents,received visits of over 1,000 domestic and foreign investment institutions,and participated in more than 40 roadshows.Our stock was covered by over 40 major domestic and foreign securities firms and investment banks.Standardizing Information Disc
285、losureAdhering to Operational ComplianceStrengthening Risk SupervisionCommunication with InvestorsIndicators Unit20192020Percentage of legal staff covered by compliance trainings%100100Economic contract review rate%100100Economic contract performance rate%100100On Sep.29,2020,ZTO Express announced t
286、he successful secondary listing in Hong Kong,which further strengthened the connections with the Asian capital market,and also received more investors attention and support.In the future,ZTO Express will continue to maintain open,transparent and timely communication with the capital market and provi
287、de support for its development into a world-class comprehensive logistics service provider.Secondary Listing of ZTO Express in Hong KongCase5051ZTO Express(Cayman)Inc.2020 ESG ReportCHAPTER 2 MOVING FORWARD WITH PERSEVERANCE AND UNITY AND WINNING TRUST BY HELPING AND BENEFITING OTHERSInformation Sec
288、urity Protection SystemZTO Express strictly implements the requirements of Multi-level Protection Scheme(MLPS)for information security,and regularly evaluates user information security management.The Companys information system has obtained the national MLPS record-keeping certificate.In accordance
289、with the national MLPS requirements,the certification review is carried out every year to ensure the security of the information system.The Company also strictly manages the registration,entry,collection and archiving of customer files,and implements security technologies such as real-person authent
290、ication,password-free login,and real-time risk control of data leakage on the entire network,and comprehensively promotes privacy waybill to protect user information security from end-to end.Enhancing Employees Awareness of Information ProtectionIn order to increase the employees awareness of inform
291、ation security,the Company issued the Notice on Further Strengthening Information Security Protection through multiple channels on the intranet to disseminate the relevant legal knowledge,such as knowledge about the Constitution of the Peoples Republic of China,and the Criminal Law of the Peoples Re
292、public of Law”;establishes the information security training system,and organizes monthly information security awareness training and assessment.In 2020,the Company conducted 6 information security-related training sessions,with a total of 1,600 participants.Emergency HandlingZTO Express develops em
293、ergency response plans to deal with information leakage.Once an information leakage incident occurs,the Companys information security experts will respond in the first place.At the same time,an emergency response team,composed of multiple departments including the security supervision center,network
294、 management center,technology and information center,was established.Based on the division of responsibilities stipulated in the emergency plan,they would quickly handle incidents and implement remedial measures to ensure the effective handling and control of the incidents and improve incident handl
295、ing efficiency.Protecting Intellectual Property(IP)Prioritizing Information SecurityBuilding a Strong Line of Defense against CorruptionZTO Express attaches great importance to the protection of IP.According to the Patent Law of the Peoples Republic of China and other laws and regulations,the Compan
296、y has developed an internal patent management system,and pays attention to respecting and protecting the IPs of others in its business activities,including IT system development,production and operation,preparation of internal publications,official websites,public account operation,and corporate pub
297、licity.At the same time,ZTO Express also set up the monitoring of IP declarations in the security portal to promote the construction of management systems,greatly improving efficiency and standardization of management.In Sep.2018,ZTO Technology formulated the IP development strategy phase I,complete
298、d the construction of the IP management system from scratch,and introduced the supporting IP management system.As of the end of 2020,ZTO Technology applied for 389 patents and 195 software copyrights and spent about RMB333,000 in rewards.ZTO Express attaches great importance to the internal informat
299、ion security management and control within the Company.The Company formulated the ZTO Express Data Security Management System to strengthen the information risk awareness of internal personnel,and developed emergency response plans in advance for handling information security-related emergencies.The
300、 Company aims to build up a comprehensive information security protection system featuring strong defense,strong awareness,and quick response.ZTO Express attaches great importance to building up a clean and honest company,unswervingly promotes the related work,and adopts a zero-tolerance attitude to
301、wards bribery,extortion,fraud and money laundering.ZTO Express passed BSI ISO/IEC 27701 privacy information management system certificationFormulated and published the Code of Business Conduct and Ethics,the Provisions of ZTO Express on the Code of Conduct for Honest Practice”,the Implementation Reg
302、ulations of ZTO Express on Integrity Supervision,ZTO Express Regulations on Integrity Review Work and strictly implements supervision and discipline enforcement accountability and strengthen warning&education;With each management center as a unit,each management center hires 1-3 integrity supervisor
303、s,responsible for reporting violations of ZTOs internal disciplines to the safety supervision department,commenting or criticizing the performance of duties and the handling of disciplinary cases by the safety supervision department,and putting forward suggestions,opinions and requirements on the in
304、tegrity and ethics building of ZTO Express;Developed and issued the Code of Conduct for Honest Practice to clarify the relevant provisions on whistleblowing and penalties for violations and published them on the OA platform.The Company defines the basic code of conduct with the ten prohibitions as t
305、he core of the honest practice,and requires new employees to sign a Letter of Commitment to Honest Practices while signing the labor contract;Strengthening anti-corruption training,strictly observing the bottom line of the profession,a n d c r e a t i n g a g o o d environment of diligence,integrity
306、,and honesty.Established the Disciplinary Supervision Committee as the supreme body for integrity supervision,with the chairman of ZTO Express serving as the Chairman of the Committee,responsible for advocating,promoting and implementing honest practices;5253ZTO Express(Cayman)Inc.2020 ESG ReportCHA
307、PTER 2 MOVING FORWARD WITH PERSEVERANCE AND UNITY AND WINNING TRUST BY HELPING AND BENEFITING OTHERSProtecting Basic Rights and InterestsZTO Express strictly abides by the Labor Law of the Peoples Republic of China and Labor Contract Law of the Peoples Republic of China and other applicable laws and
308、 regulations,and signs labor contracts with employees in accordance with the law.The Company strictly implements the statutory paid annual leave system and provides employees with a complete salary and benefits system to fully protect the basic rights and interests of employees.As of the end of 2020
309、,the total number of employees in the HQ and directly-operated companies of ZTO Express reached 22,536,with the labor contract signing rate reaching 100%,and the five insurance and one housing fund payment coverage rate reaching 100%.While achieving our own steady development,ZTO Express has not for
310、gotten to take on the responsibility of the industry and our social responsibility.The Company strives to create an army of workers with both ability and integrity by strengthening the protection of employees rights and building a multi-level talent training system so as to help develop a modern and
311、 competitive postal industry.Following a people-centric value proposition,ZTO Express continues to establish a sound employees rights protection system,and cares for every employee in terms of growth,life,emotions and other aspects.Starting from little things,the Company tries to create a warmer and
312、 more harmonious working environment for employees and build a broader value realization platform to share the results of corporate development with employees and make the Company a happy workplace and every ZTOer a happy employee.ZTO Express strictly abides by the equal employment guidelines,oppose
313、s all forms of discrimination due to differences in gender,age,place,education,religious belief,nationality,race,sexual orientation,disability,etc.,and opposes the use of child labor,forced labor,overtime work,harassment and abuse.The Company has taken effective measures to safeguard the legitimate
314、rights and interests of employees,and ensures that employees enjoy fair treatment in recruitment,labor,salary,training,promotion,compensation,vacations,etc.;the Company fully respects employees personal privacy rights and strictly keeps their personal information confidential.Protecting Human Rights
315、Number of employees by gender and age groupCaring for the Career Development of EmployeesZTO Express implements the principle of setting salary according to post and builds a remuneration system of monthly basic salary+monthly post salary+monthly performance salary+year-end performance bonus,supplem
316、ented by corresponding performance appraisal system,which highlights post value,performance contribution,and individuals ability.On the basis of paying social insurance in strict accordance with the regulations,the Company also offers supplementary group accident insurance for employees.We carry out
317、 family 1+1 activities to provide benefits for family members of our employees,grant the employees the leave for accompanying their children taking college entrance exams,and provide employees with telephone fee subsidies,high temperature subsidies,accommodation subsidies,professional skills subsidi
318、es and other benefits.ZTO Express issued and continues to improve the ZTO Express Trade Union Constitution to clarify the specific responsibilities of the trade union and its subordinate committees;strengthens the organization of trade union and carries out various theme activities around the protec
319、tion of employees rights and interests;strictly complies with the relevant regulations of the labor departments and implements a collective consultation system;actively encourages employees to participate in the Companys development and provide a basis for the decision-making of management of the Co
320、mpany;supervises the implementation of labor management,employee rewards and punishments,salary and benefits,safety and health,social insurance and other laws,regulations,and rules.As of the end of 2020,the Companys trade union has a total of 1,098 members.In addition,the Company continues to improv
321、e the timely and effective negotiation and communication mechanism and ensures unblocked channels for collecting employees feedbacks.Employees can provide real-time feedbacks and suggestions through internal communication platforms,face-to-face feedback and other channels;the Company fully protects
322、employees right to freedom of association,and employees can organize or participate in social groups in accordance with applicable legal procedures.Salary and BenefitsDemocratic Management Trade Union Member for Labor Relations Trade Union Member for Recreation&SportsTrade Union Member for Expenditu
323、re AuditTrade Union Member for Women Workers Trade Union Committee of ZTO Express Chairman of the Trade UnionIndicatorUnit201820192020Number of employees Person15,70019,00922,536Number of minority employees%4.95.76.6By genderNumber of male employees%68.867.665Number of female employees%31.232.435By
324、age group(to be adjusted based the actual conditions)Number of employees aged 29 and under(including 29)%19.525.030.3Number of employees aged 30-50(including 30 and 50)%69.365.562.5Number of employees aged over 50(excluding 50)%11.29.57.25455ZTO Express(Cayman)Inc.2020 ESG ReportCHAPTER 2 MOVING FOR
325、WARD WITH PERSEVERANCE AND UNITY AND WINNING TRUST BY HELPING AND BENEFITING OTHERSZTO Express strictly abides by the relevant provisions of the“Occupational Disease Prevention and Control Law of the Peoples Republic of China.The Company has passed the certification of the occupational health and sa
326、fety management system and formulated various occupational health management measures.The Company provides employees with free physical examinations and various healthcare consultations and services.The Company conducts occupational safety and health education to improve employees understanding of o
327、ccupational health-related knowledge and the importance of occupational health;the Company also focuses on spreading positive energy in the workplace,puts employees mental health in an important position,organizes and carries out mental health activities to help employees release mental pressure and
328、 face work and life in a positive tone.Occupational HealthSpecial Event on Mental Health Service organized by ZTO ExpressContributing to Employees Personal GrowthZTO Express actively responds to the strategy of“strengthening the Postal Industry with Talents”.The Company formulated the“ZTO Express Ta
329、lent Cultivation System”,and keeps promoting the policy of“one profession,two innovations and three methodologies”based on ZTO College.The Company has established a sound talent cultivation mechanism,created an online-offline combined training platform,and organized a series of talent pipeline train
330、ing and business support training,such as such as new employee training,young eagle training,flying eagle training,eagle training,centurion training,night class,TTT training,sound shaping training,to discover,develop and cultivate talent teams in a fair,just and open manner and provide human capital
331、 support for ZTOs sustainable development.In addition,the Company has also set up Management Trainee Program(a mentorship program)and established a mentor system to provide guidance for career planning of management trainees and address their work headaches;the Company also organizes and carries out
332、 vocational skills competition and other activities for employees to create a good atmosphere for learning professional skills and improve employees professional skills.In 2020,each employee took over 40 hours of various training on average.In order to further strengthen the building of the talent t
333、eams,ZTO Express introduced the“Eagle Training Program”in accordance with the“Talent Pipeline”HR strategy and the requirements of the“ZTOs Baiyou Plan for Talent Cultivation”.The program is divided into five levels:Young Eagle,Flying Eagle,Eagle,Elite Eagle,and Leading Eagle”and each level is launched for different target audience.The Company aims to develop and cultivate the strategic reserve tal