Jia Wenli (Fujian) Cosmetics Co., Ltd.

Social Quality Credit Report

1. Preface
1.1 Objective statement of report
　　Jiawenli (Fujian) Cosmetics Co., Ltd. upholds the management concept of "love, confidence, determination, integration, responsibility and progress" and the quality policy of "quality first, honesty and compliance, continuous improvement, customer satisfaction". It strictly carries out work in accordance with the State's relevant laws, regulations and related industry standards. According to the daily quality work of the company, the related data of the company's quality credit work are summarized and sorted out, and Corporate Social Quality Credit Report for 2017 is compiled. The company is responsible for the objectivity of the evaluation report and the scientificity of the current evaluation conclusion.

 1.2 Company Profiles

Since Ms. LUO LIH-FEN founded the first beauty salon in Taiwan in 1986, Jia Wenli (Fujian) Cosmetics Co., Ltd. has been pursuing professional quality and accumulating beautiful energy. The founder, Ms.LUO LIH-FEN, attached great importance to the domestic market. In 2002, Xiamen Jiawenli Cosmetics Co., Ltd. was established in Xiamen City, Fujian Province, China. In 2006, it moved to No. 15-17 General Factory of Baijiao Industrial Park, Zhangzhou Taiwanese Investment Zone.

The company also expresses the esteem of inner beauty with action. It actively gives back to society through public welfare undertakings. Over the years, the company has continued to help women in one parent family and dropout students through Xiamen Women and Children Development Foundation, sponsored student subsidies of Eastern Liaoning University and participated in the Bazaar Charity.

The company has successively passed the ISO 22716, ISO 14001 management system certification and three-level standards safety production standardization. Now it has LUO LIH-FEN, GLINGLUO, SUNLILY, DRAISE and other private brands. The company has obtained 7 patents for invention and 22 patents for appearance through independent research and development. In recent years, the company has been developing steadily and paying taxes honestly. It has been honored with the title of "big tax-payer" in the Taiwanese Investment Zone in 2013, 2014, 2015 and 2016 and the title of "The Hero of Economic Construction" in 2017. The company has acquired the qualifications of Zhangzhou Technical Center and Zhangzhou Universities & Colleges Graduates' Internship Base, which is a key listed reserve enterprise in Fujian Province.

The company will make continuous efforts to strive for provincial technology center, national high-tech enterprises and Famous Trademark of China. The company will continue to promote management innovation and technological innovation, enhance product competitiveness in order to enhance brand value. The company will also strive for excellence through scientific and technological innovation and it will become a leading brand of cosmetics and become a kingdom of beauty business with high-technology, internationalization and specialization and achieve sustainable business.

2. The main body of quality credit report
2.1 Quality management concept of enterprise

Jia Wenli (Fujian) Cosmetics Co., Ltd. has always regarded "the leading brand of cosmetics" as the pursuit of innovation and development. The company regards "quality first, honesty and compliance, continuous improvement, customer satisfaction" as the quality policy. It adheres to the implementation of the main responsibility of enterprise quality, it strictly abides by the relevant laws and regulations of the state and it always strictly demands on itself with internal control standards that is higher than the national standards.

        The company carries out ISO 22716 quality management system and integrates the quality management concept into the whole process of enterprise operation. The company starts with multi-task and multi-links, such as product design, raw material selection, production technology, process monitoring, finished product packaging, factory inspection, storage and transportation and so on, which are interlocking and gradually achieve total quality management (TQM).

Future development of company:

For partners: Establish long-term stable cooperation, form community of interests with partners (including suppliers, dealers, research institutes, beauty salons, etc.), continue to have win-win cooperation, grow together and share success with partners.

For shareholders: The Group is highly responsible for all shareholders and continuously improves the quality of management, reduces business risks and pursues sustainable development. The Group is committed to sustaining reasonable and stable long-term returns for shareholders and sharing long-term development results with stakeholders.

For employees: The Group fully respects the rights and interests of employees, provides development platform and growth space for employees and enables employees to grow together with the enterprise.

For society: The Group actively fulfills the obligations of corporate citizenship, pays attention to environmental protection, gives back to the public and stays committed to the establishment of a responsible corporate moral model.

2.2 Internal quality management

2.2.1 Quality control organ

The company takes the management representative as the total quality management general manager, appoints a Chief Quality Officer of enterprise, and cooperates with all functional departments to participate in quality management. The Product Insurance Department is responsible for supervising the workers' operation of the production process, environmental hygiene and inspection of raw and auxiliary materials, packaging materials, semi-finished products and the quality of finished products; the Production Department is responsible for product safety and product quality during the production process, which may insure that products meet customers' requirements.
　　All functional departments perform their respective duties and strictly abide by the Quality Environment Manual formulated by the company.

 2.2.2 Quality Management System
　　The company passed the ISO 22716 quality management system certification, at the same time, the company is guided by the important thought of scientific development and adheres to the quality management strategy. The company focuses on the tasks and overall requirements of quality management and actively implements and seriously deploys them.

The concrete work thought is: the company takes the quality and safety as the foundation of the enterprise construction, standardizes the operation, comprehensively implements the quality management responsibility system, strengthens the supervision, enhances the whole quality level of the company and makes great efforts to create the high-quality products. Under the joint efforts of all the staff and workers, the product quality of the company can be guaranteed, the quality consciousness of the management personnel is constantly improved, the process control means are strengthened steadily and the quality management system continues to operate effectively. In order to maintain the effective operation and the continuous improvement of the quality management system, the company strictly implements the internal audit, management review, product monitoring and measurement, corrective and preventive measures and other control procedures.

2.2.3 Quality and integrity of enterprise

2.2.3.1 Quality and integrity management

In order to further standardize the production of the company and ensure the quality of products, implement the main responsibility of product quality, improve the competitiveness of products, the company tries to create a quality integrity system. Based on Safety Technical Specification of Cosmetics (2015 edition) and taking product production licenses, national standards and other rules and regulations as the criterions, the company vigorously promotes the construction of quality and integrity system. To ensure the quality and integrity of the system carried out orderly, the company strictly controls the integrity of raw and auxiliary materials, production organizations, quality monitoring, quality and technical services, personnel integrity and constantly improves the integrity system construction of enterprises.

2.2.3.2 Construction of quality and culture

In the construction of quality and culture, the company provides the training opportunity for the staff to deeply understand the connotation of quality and culture. The company makes its employees understand that the excellent product quality comes from all aspects of the production process and inspires the concept of quality construction into all the employees of the company and comprehensively improves the quality consciousness of the employees.

In order to create a sound atmosphere of quality culture, the company actively advocates to focus on customers, leadership role and the participation of all staff. The company also launched a series of quality technical activities. In the process of improving the quality of products, the company gradually changes the employees' thinking imperceptibly, which may produce the "sense of identity" of the quality goal, the quality concept and the quality behavior standard of the enterprise. In this way, it may stimulate the staff's spirit of ownership and make them stand by the company, which will implement the quality culture construction in place.

2.2.4 The foundation of enterprise quality

2.2.4.1 The standard of enterprise product

The company mainly produces skin care lotion, cleansing lotion, make-up removing lotion, moisturizer, mask and other skin-care products. The current executive standards are mainly the national standards, light industry standards and enterprise standards. To ensure the passing rate of ex-factory products, the company has been adhering to the adoption of internal control standards that are higher than the national standards and constantly improves the quality of products to be strict with their own products, always put product quality first.

2.2.5 Responsibilities for product quality

2.2.5.1 Product quality commitment

The company is engaged in the production and sale of cosmetics products. At present, it has nearly 20 inspectors, including 80% bachelors. The inspectors all have good professional education, rich working experience and exquisite professional skills. From raw and auxiliary materials to finished products, the whole process is effectively monitored. The company understands the needs of customers before sale, and suggests the purpose and quantity of products to customers. The company also follows up on the use of customers during sales and provides timely advice and relevant data to customers. And it also visits customers regularly after sale to ask for the quality of products.

In order to fulfill the quality responsibility, continue to create the brand and effectively serve the customers, our company solemnly promises to customers as follows:
(1) Qualification rate of all the indication of outgoing product: 100%；

(2) Customer satisfaction≥95%；

  (3) The purchased raw and auxiliary materials and packaging materials are strictly in accordance with the standard inspection. The one that is not in accordance with the standard of storage, not to be used;

(4) Conduct internal and external quality audit and management review regularly every year;

The company is willing to accept the supervision of all walks of life and take the initiative to undertake the entity responsibility of quality.

2.2.5.2 Product recall

The enterprise strictly abides by the State's relevant laws and regulations, such as Cosmetic Health Supervision Regulations, Metrological Law and other relevant laws and regulations. In order to effectively serve customers, the after-sales service systems are established and Unqualified Control Program and Control Procedure of Product Recall are set up. To ensure the passing rate of ex-factory products, we have made sure that the quality of each process is checked layer by layer, and we control it in advance, start with the control of raw and auxiliary materials, and strengthen the disposal of defective products and nonconforming products in the process. The effective disposal procedures and methods are formed to ensure that guaranteed qualified rate of finished products.In order to further reduce the differences between batches in the production process, we continuously improve the quality of products through technical transformation.

So far, there is no compensation because of product dispute and the customer satisfaction is high. No major disqualification occurred and no product recalls occurred. According to Control Procedure of Product Recall, the company carries on the product simulation recall twice a year and conducts the analysis of the recall situation.

2.2.6 Quality risk management

2.2.6.1 The handling of quality complaints

In order to receive and deal with customers' complaints in time and improve customer satisfaction, the company has formulated documents such as Process Control Procedures Related to Customers, Information Communication Control Program and Handling Methods of Customer Complaints and it also set up and perfect the handling mechanism of customer complaint.

2.2.6.2 Quality risk monitoring

　　The company has always taken quality responsibility work as the top priority in ensuring and developing the company production and operation, and it has insisted on strengthening its leadership role. Control Procedure of Product Monitoring and Measurement , Control Procedure of Product Protection and Control Procedures of Production and Service Process were established and perfected, which laid a foundation for the further development of product safety. The company has taken a series of powerful measures to strengthen the supervision of enterprise product quality, standardize the production, monitor behavior, improve the production environment, which makes the product quality continuously improved and the product quality and safety is effectively guaranteed.

2.2.6.3 Emergency Management

As a cosmetic manufacturer, if a product indication does not meet the standard requirements, that is to say that the product is unqualified. In order to ensure the successful development of emergency handling of quality and safety accidents, the company has formulated Control Procedure of Nonconforming Product and Control Procedure of Corrective and Preventive Action. According to the company product quality tracing method, the Quality Assurance Division traces back the product, carefully analyzes the accident, finds out the cause, takes remedial and preventive measures and conducts responsibility investigation and handles so as to avoid another accident occurred.

3. Conclusion of report

　　The quality work has a long way to go. In the future, the company will conscientiously implement the national outline for quality development, fully implement the entity responsibility of the enterprise production, and continuously improve the product structure; the company will start with every link that affects the quality of the products, constantly improve the internal management system, continuously improve the quality of the quality management system, create a good corporate culture and excellent quality, build high-quality brand and dedicate to provide high-quality, safety and reassuring products to the vast number of customers ! We strive to build the product as a well-known brand in China's beauty industry.