Compliance is ZTE’s top priority and a key part of its global business strategy.
ZTE has made compliance a key cornerstone of all aspects of its business across all major areas, including anti-bribery and anti-corruption, export control compliance, and data protection. We have instituted extensive compliance practices through its People, Process, Technology, and Industry Outreach.
ZTE has implemented a compliance program that transcends all levels of the company, and the Compliance Management Committee (CMC) organizes the company’s overall compliance efforts. Under the leadership of the CMC,the Company established an efficient and professional compliance management team to reinforce the rules and regulations through the Center of Expertise (COE) and to get closer to the business through 17 business unit (BU) compliance teams. The COE and BU teams conduct compliance management of the company's business modules and subsidiaries. ZTE has over 400 compliance points of contact (POCs)throughout the global organization that ensure compliance management of subsidiaries, and transmit compliance concepts and policies to the front lines of marketing and business. Apart from the COE-BU-POC team, ZTE has a Compliance Audit Dept. (CAD) to independently audit compliance, conduct independent investigations, and set up the Global Law & Policy Research Institute be the think tank of ZTE. Currently, ZTE has more than 400 full-time legal and compliance personnel, accounting for approximately 6% of ZTE’s total employees.
ZTE is building best-in-class compliance programs, featuring continuous improvements to ensure policies and procedures are fully implemented, prevent systemic risks, and safeguard the interests of ZTE and its business partners. ZTE’s compliance enhancements observe international standards and rules, and are implemented through approaches that provide support and accountability within ZTE. To help hold the company accountable, ZTE has also established multiple whistle-blowing channels, including a whistle-blowing platform managed by an independent third party, for employees to report compliance violations more freely.
ZTE recognizes the importance of technology and automation in a global compliance program. ZTE uses a Robotic Process Automation (RPA) to automate its compliance management process. For example, ZTE has implemented SAP Global Trade Systems (GTS) software, a trade compliance tool used by many major multinational corporations, to ensure that transactions comply with U.S. export control laws and has automated its compliance management process.
ZTE conducts industry outreach through symposia, compliance associations, and other communications channels with business partners, government agencies, and external advisors to stay abreast of various regulations changes and compliance best practices.
In June 2019, ZTE was included in the FTSE4Good Index Series (a tool for investors seeking to invest in companies that demonstrate good sustainability practices) for the second consecutive year, scoring full marks in the category of Anti-Corruption Compliance.
In November 2020, ZTE passed the ISO 37001:2016 certification for its anti-bribery management system, and obtained China's first ANAB (ANSI-ASQ National Accreditation Board) accredited ISO 37001:2016 certificate issued by the British Standards Institution (BSI).
ZTE’s wireless 5G products successfully obtained the ISO/IEC 27701:2019 standard certification in May 2020 after undergoing a two-stage audit and comprehensive evaluation by BSI. This is the industry’s authoritative privacy information system certification, and demonstrates that ZTE’s 5G services are in strict compliance with internationally-recognized information security standards. In May 2021, ZTE has received the ISO/IEC 27701:2019 certificate again, with a validity period of three years. Also, this certificate has been accredited by the ANSI National Accreditation Board (ANAB).