Succession Planning and Operations for Board Members The structure of HIWIN Technologies' Board of Directors is determined based on the scale of business development and the shareholding of major shareholders, taking into account practical operational needs. The election of HIWIN Technologies' directors follows the candidate nomination system as stipulated in the Articles of Incorporation (each term lasts three years). The "Corporate Governance Best Practice Principles" and "Director Election Procedures" specify that the composition of the Board should consider diversity, with guidelines formulated based on the company’s operations, business model, and development. These guidelines include, but are not limited to, two major aspects: fundamental qualities and values, and professional knowledge and skills. HIWIN Technologies' director succession plan is built upon a candidate database based on the following criteria: Integrity, innovation, and decision-making capabilities aligned with the company’s core values. Each board member is expected to contribute to a diverse and development-oriented board. The overall expertise of the Board includes corporate strategy and management, accounting and taxation, finance, law, and agility. The selection process for director candidates strictly adheres to relevant regulations and rigorous review procedures to ensure that suitable new directors can be identified and appointed when vacancies arise or expansion is planned. HIWIN Technologies has established the "Board Performance Evaluation Measures," which assess the effectiveness of the Board through various metrics, including control over company goals and missions, understanding of responsibilities, internal relationship management and communication, professional competence and training, internal controls, and expression of concrete opinions. These evaluations serve as a reference for future director selection. HIWIN Technologies was founded in 1989 by Mr. Eric Y.T. Chuo, who served as both Chairman and President. On July 1, 2008, Ms. Enid H.C. Tsai succeeded as President, and on July 1, 2019, Mr. Eddie W. H. Chuo succeeded as Chairman. This reflects a planned and strategic succession. To support the company’s development and global expansion, a succession team has been built based on daily operations and the principle of collaboration among individuals with different traits and expertise. Succession Planning and Operations for Key Management Personnel HIWIN Technologies defines key management personnel as those at the Associate Vice President level and above. These individuals must understand the company’s vision and mission and share responsibility for business development. Each management level has designated deputies. In addition to professional competence and leadership, key managers must embody the company’s core values: professional standards, work passion, and professional ethics. To cultivate key management personnel and their deputies, training focuses on industry-specific expertise, corporate governance, and core competencies such as self-reflection, embracing change, and crisis management. This ensures the team remains current in leadership, management, technology, innovation, and industry trends. Through performance evaluations, diverse training, knowledge transfer, job rotation, and overseas assignments, HIWIN aims to objectively and comprehensively select suitable candidates to become managers in various fields and build a robust succession pipeline. HIWIN conducts consensus-building workshops for mid- to high-level managers at least once a year. These workshops focus on strategic planning and include topics such as systems thinking, high-performance leadership, organizational change and renewal, change management, strategic thinking, talent development and leadership succession, strategy mapping, and leadership development systems.