CSR - MSi

MICRO-STAR INTERNATIONAL CORPORATE
SOCIAL RESPONSIBILITY REPORT 2010
Beautiful life and
Green Homeland

MSI 2010 Corporate Social Responsibility Report
1 Editing Principles ...................................................................... 2
1.1 About the Report .................................................................................. 2
1.2 Reporting Period and Cycle ................................................................. 2
1.3 Report Content and Boundary ............................................................ 2
1.4 Reporting Framework .......................................................................... 2
1.5 Identification and Engagement of Stakeholders ............................... 3
2 CEO Commitment .................................................................... 4
2.1 President’s Report ................................................................................ 4
3 Company Profile ....................................................................... 5
3.1 Introduction .......................................................................................... 5
3.2 Business Overview ............................................................................... 7
3.3 Financial Performance ......................................................................... 7
3.4 Business Development ........................................................................ 8
3.5 Corporate Governance ........................................................................ 8
3.6 Business Strategy .............................................................................. 10
3.7 Risk Management .............................................................................. 11
3.8 Trade Association ............................................................................... 13
3.9 Awards ................................................................................................ 13
4 Environmental Policy ............................................................. 14
4.1 Organization and Missions ................................................................ 14
4.2 System & Certification ....................................................................... 15
4.3 Green Policy ....................................................................................... 16
4.4 Challenges and Opportunities of Climate Change .......................... 18
4.5 Greenhouse Gas Inventory ............................................................... 19
1
MSI 2010 Corporate Social Responsibility Report
4.6 Environmental Performance Indicators ........................................... 20
4.7 Green Products ................................................................................... 22
4.8 Promotion of Energy Conservation .................................................. 23
5 Social Policy ............................................................................ 25
5.1 Our Customers ................................................................................... 25
5.1.1 Customer Service and Customer Satisfaction ................................. 25
5.2 Our Employees ................................................................................... 26
5.2.1 Workforce ............................................................................................ 26
5.2.2 Employee Development .................................................................... 29
5.2.3 Wages and Benefits ........................................................................... 30
5.2.4 Health, Safety and Risk Management .............................................. 32
5.2.5 Employee Health ................................................................................ 35
5.3 Suppliers ............................................................................................. 36
5.3.1 Supplier Policy ................................................................................... 36
5.3.2 Supplier Management ....................................................................... 36
5.3.3 Contractor Management ................................................................... 37
6 Public Welfare .......................................................................... 38
6.1 Community Giveback ........................................................................ 38
6.2 Corporate Volunteer ........................................................................... 41
1 Supplemental information 1: Contact Window ................... 43
2 Supplemental Information 2: GRI G3 Content Index .......... 43

2010
Corporate Social
Responsibility Report
1. Editing Principles
1.1 About the Report
Micro-Star International (MSI) takes “Excellent Product, Superior
Quality, Perfect Service, and Customer Satisfaction” as its business
tenets and the goals of sustained operation since inception on August
4, 1986. We endeavor to achieve excellence in product quality, services
and operating performance and share the results of our efforts with our
clients, consumers, employees, shareholders and investors.
Thus in September 2008, we published the first corporate social
responsibility report- MSI Corporate Social Responsibility Report 2008 to
share with our stakeholders our operating performance over the years
and our efforts in addressing the environmental issues and caring for
the society. This report is the third release. We disclosure the financial
performance, supplier management, employee caring, environmental
performance indicators, social welfare, and the relevant information
about msi. We welcome any comment or feedback from our stakeholder,
their opinions will be the base for us to improve and adjust ourselves.
1.2 Reporting Period and Cycle
The MSI Corporate Social Responsibility Report 2009 covers the period
from January 1, 2009 to December 31, 2009. We will publish it in both
Chinese and English language, and make it available on our website
(http://tw.msi.com/html/popup/csr/index.php)for perusal and download
by the public. The last one was released on October 2009. From 2010, we
will publish it before August, so the public can understand the operating
status of MSI earlier.
2
1.3 Report Content and Boundary
Editing Principles
This report includes the data of MSI, MSI computer (Shenzhen), MSI
Electronics (Kunshan), and the worldwide subsidiaries of MSI, and
covers financial information, business operation, environmental issues
concerning product responsibility and environmental protection, and
social issues concerning employees, suppliers and contractors, and public
interest activities.
1.4 Reporting Framework
The MSI Corporate Social Responsibility Report 2010 is published
in Chinese and English in reference to the generation of sustainability
reporting guidelines of Global Reporting initiative (GRI G3). The report
also declares GRI Application Level C and encloses a GRI G3 Content
index. The report will be laid out by electronic file, and to cut down the
printing of hardcopy reports as to reduce the material use and the impact
of environment.

1.5 Identification and Engagement of Stakeholders
MSI stakeholders include primarily shareholders, investors,
clients, consumers, suppliers, contractors, government agencies and
communities. The table below outlines the methods and channels we use
to communicate with our stakeholders, the frequency of communication,
issues of concern to the stakeholders and how we address those issues.
All communications with our stakeholders are documented and saved for
analysis, improvement and follow-up.
3
MSI 2010 Corporate Social Responsibility Report
Stakeholder Engagement Methods
Communication
Frequency of
Stakeholder methods and channels communication Issues of concern Our response
Shareholders/
investors
Clients/
consumers
Suppliers/
contractors
Employees
Community
Government
agencies
Media
1. Shareholders’ meeting.
2. Investor conference.
3. Financial report.
4. Website.
5. News release.
1. Website.
2. Online service.
3. 080 service hotline.
4. Showrooms and service
centers.
5. Customer satisfaction
survey.
1. E-mail.
2. Teleconferencing.
3. Suppliers conference.
4. Green Product Management
platform (online)
1. Gathering (year-end
banquet)
2. Labor- management
meeting.
3. E-mail.
4. Bulletin board.
5. Employee hotline.
6. Suggestion box.
7. Employee satisfaction
survey.
8. Employee meeting.
1. Telephone communication.
2. Community activities.
1. Press conference.
2. Press release.
1. Once a year.
2. From time to time.
3. Four times a year.
4. All year round.
5. From time to time.
1. Irregularly.
2. As initiated by client.
3. As initiated by client.
4. As initiated by client.
5. Irregularly.
1. Irregularly.
2. Irregularly.
3. When needed.
4. Latest information
posted from time to
time.
1. Once a year.
2. Four times a year.
3. Announcement posted
from time to time.
4. Announcement posted
from time to time.
5. As initiated by
employee.
6. As initiated by
employee.
7. Once a year.
8. Once a year.
1. Irregularly.
2. Irregularly.
1. Financial reports.
1. Four times a year.
2. Provide reports or make 2. As needed.
reply in a timely manner as
requested or required by
the competent authorities.
Press conference and
press release when
needed.
1. Corporate profits.
2. Operating status.
1. Product quality.
2. Product prices.
3. After-sale service.
Supply chain
conditions (products,
delivery date, financial
control, ESH
requirements).
1. Wages.
2. Benefits.
3. Work Conditions.
4. Career development.
1. Impact on
community
environment.
2. Giveback and
contribution to
community.
3. Job opportunities
for the locals.
1. Operating status of
the company.
2. Labor- management
relationship.
1. Operating status of
the company.
We hold regular shareholders’
meeting, in which the responsible
officers are present to answer
questions of concern to the
investors, and update the company’s
financial information on company
website regularly to enhance
information transparency.
Consumers can receive instant
technical assistance and have their
questions answered through website
and 080 phone service, and learn
about the latest product information
through our constantly updated
website.
Aside from communicating our
policies and objectives to our
suppliers and contractors through
the annual corporate social
responsibility report, we would
exchange opinions and engage in
discussions with suppliers and
contractors via e-mail, phone or
in-person meeting from time to time.
In the future, we will also use the
online support system as a
communication platform with our
suppliers.
Employees can obtain corporate
information via e-mail, bulletin
board and annual corporate reports,
and express their views and
opinions via labor-management
meetings, suggestion box and
employee hotline.
We create job opportunities for the
locals and try to give back to the
community by adopting road trees,
and providing monetary and
material support. We have setted up
msi corporate volunteer team since
2009 to enhance our support to local
community.
We pay tax honestly, comply with
the laws and regulations of local
governments, support the activities
of the competent authorities, and
readily respond to the request or
demand of the competent
authorities.
Based on the needs of internal
operations and activities, we hold
press conference or make press
release from time to time.

2010
Corporate Social
Responsibility Report
2. CEO Commitment
2.1 President’s Report
We have been introducing consumer-oriented products with emphasis
on quality perfection, innovation excellence and localization services.
After more than twenty years of unceasing efforts, we are now world’s
top three and leading motherboard and graphics card maker. Our
excellent products and corporate brand image have long been recognized
by consumers around the world and well received in the global markets.
We have been heading into the R&D and production of notebook
computers and all-in-one (AIO) PC in recent years to response to marker
and consumer demands. The purpose is to build a complete product line
and boost MSI’s brand recognition and market visibility. Bur we started
out as a motherboard and graphics card manufacturer. Motherboard
and graphics card products are our core business. We fully realize that
you must shore up the core business before branching out. Thus we
will continue to seek innovation and continue R&D on motherboard and
graphics card products and introduce products that meet consumers’
expectation.
In the 21 st century, the world will be faced with more political,
economic and social problems as well as challenges and difficulties
brought about by climate change. For a business to survive and even
grow in such formidable environment, it must been continually innovated
and modified the facets of its economic, environment and social. In
economical aspect, we will adjust our step to face more and more
challenge and to pursue the p stabilizing grow of profit and revenue. In
social aspect, starting from employee care within and then outreaching
to the social and even the world, a business can maintain flexibility, vigor
and adaptability by keeping communication, interaction with, and readily
responding to the outside world and stakeholders. In environmental
aspect, we know environmental policy is not merely a slogan, cherishing
4
Editing Principles
the earth and being friendly to the environment must be implemented in
daily activity. Thus we will heed the domestic and foreign environmental
regulations and international trends, develop low energy consumption
products, to promote energy conservation inside the company. We hope
such corporate culture will take root inside MSI and be implemented in
our daily operations. This is the only way to answer to challenges, also the
goal and commitment that we will continue to work towards. More so,
this is our embodiment of corporate citizenship.

3. Company Profile
3.1 Introduction
MSI was established on August 4, 1986.
Headquartered in Taipei, Taiwan, MSI has
production lines at MSI Computer (Shenzhen)
and MSI Electronics (Kunshan), and 28
subsidiaries and service centers spread around
the world in Europe, Asia, America and Oceania
to provide global client with timely services and
respond to their needs.
In 2009, MSI and subsidiaries reported a
consolidated revenue of NT$82.2 billion, while
MSI alone recorded NT$82.77 billion in revenue,
NT$240 million in earnings, and EPS of NT$0.23.
As of year-end 2009, MSI and subsidiaries had a
global workforce of 15,587 employees.
MSI Computer (Shenzhen) Co., Ltd.
5
MSI 2010 Corporate Social Responsibility Report
Address: Shenzhen, Guangdong. Date of establishment: April 2000.
Functions: Manufacture of motherboards and graphics cards, system assembly and others.
MSI Electronics (Kunshan) Co., Ltd.
Headquarters
Date of establishment:
1986 (moved to current location in 1997).
Address:
Taipei, Taiwan.
Chairman & President:
Joseph Hsu.
Capital:
NT$10.69 billion
Number of employees:
15,587 worldwide (as of year-end 2009).
Functions:
Administration, R&D, business, sales and marketing.
Address: Kunshan, Jiangsu. Date of establishment: December 2001.
Functions: Manufacture of motherboards, graphics cards, notebook computers, R&D and others.

3.2 Business Overview
Products and Services
MSI started out as motherboard and graphics card manufacturer and
supplier, but we have been actively investing in the R&D and production
of new product lines in recent years, including notebook computer,
consumer electronics, industrial computer, All-in-One, and smart robot.
We set our short-term, medium-term and long-term goals based on the
scheme of maintaining stable profit levels with existing product lines and
developing new clients and markets with new product lines.
Products Mix
Product type Main products
Motherboard Intel and AMD motherboards
Graphics card NVIDIA and ATI graphics cards
Server
Server motherboard, workstation
motherboard, rack-mounted server
Barebone
All-in-one PC, mini PC, Wind Nettop PC,
home theater PC
Industrial
computer
Consumer
electronics
Notebook
computer
Robot Smart robot
Industrial motherboard, industrial computer
system
Automotive electronic products,
communication products
Others Cloud computing
3.3 Financial Performance
Damped by global financial storm, our consolidated revenue for the
year amounted to NT$82.77 billion, a decrease of 15% as compared
to 2008. Our consolidated after-tax profit was NT$240 million, and our
earnings per share dropped to NT$0.23.
7
MSI 2010 Corporate Social Responsibility Report
In the effort of business development, we will continue to develop
new emerging markets to disperse the impact of market saturation
in developed countries and exchange rate fluctuation on our profits.
Internally we will continue to nurture outstanding sales and marketing
personnel, get a better grasp on the market dynamics, establish good
rapport with distributors, and step up marketing efforts to enhance brand
recognition with the ultimate goals of boosting sales, revenue and brand
affiliation.
Revenue – by Product
In NT$1,000
Motherboard Graphics card Others
2007-2009 Financial Performance
NT$1,000
100000000
80000000
60000000
40000000
20000000
0
2007
Highlights
In NT$1,000
Sales revenue
90,589,643
Net income
2,912,697
2008
Sales revenue
97,773,051
Net income
2,269,634
2009
Sales revenue
82,773,488
Net income
241,246
Global Sales Distribution,
2007-2009
NT$1,000
100000000
80000000
60000000
40000000
20000000
0
2007
2008
2009
Europe Asia America Others Taiwan
2007-2009 Shareholder Structure
In NT$1,000
Government agencies
Financial institutions
Other institutional investors
Foreign institutional and individual investors
Individuals

2010
3.4 Business Development
Corporate Social
Responsibility Report
The MSI notebook is gaining positive consumer feedback and
recognition in world markets and heading toward the ranking of world’s
top ten notebook brands. In our OEM service, we continue to work with
large multinational corporations, improve product quality and cut down
production costs through rigorous quality control and enhanced economy
of scale. High-quality, low-cost, wide-variety and complete product line
are our unwavering commitment to consumers.
Challenges, Opportunities and Response Measures
The life cycle of information products is getting increasingly shorter
in recent years as the electronic industry evolves rapidly and becomes
globalized. Manufacturers try to shorten the time to market to vie for profit
or even business survival. In the face of such intense competition, we
respond to market challenges by nurturing outstanding R&D personnel,
superior know-how, integrated supply chain and diversified operations:
z
Outstanding R&D personnel and superior know-how: Our R&D
unit is staffed with highly experienced professional personnel and
most of our executive officers heading respective business division
have more than twenty years of R&D experience. We also input
abundant resources to support the R&D of new technology and
encourage employees to receive on-the-job training to enhance their
professional capabilities. In recent years, we vigorously embark on
campus recruitment for we believe talented professionals will create
leading technology, which in turn will create a bigger niche and more
development opportunities for the company.
8
z
z
Company Profile
Diversified operations: We make substantial investment in the R&D of
notebook computer, consumer electronics, industrial computer, AIO
PC, smart robot and cloud computing products and technologies to
create complete product lines, offer our clients diverse options and
create potential for market development. The availability of internal
technical support and collaboration also enables us to introduce
products with functions that appeal to the diverse demands of
consumers.
Integrated supply chain: As we diversify our operations, both our
demands for raw materials and the scale of production increase, which
will help stabilize our supply chain and lower the overall production
costs. Drawing on the strength of integrated supply chain in Taiwan’s
ICT industry, we will vie for ODM/OEM orders from large multinational
corporations to ensure stable growth and profit.
3.5 Corporate Governance
We observe the Corporate Governance Best-Practice Principles for
TSE/GTSM Listed Companies promulgated by Taiwan Stock Exchange in
corporate management and governance, including:
(1) Setting up a spokesperson system to handle the suggestions or
complaints of shareholders;
(2) Setting up a shareholder registrar unit to keep track of information
concerning our major shareholders;
(3) Establishing risk control mechanism and firewalls with respect to
affiliates;
(4) The board of directors periodically evaluating the independence of
certifying accountant;
(5) Periodically disclosing company’s financial and corporate
governance related information on company website; and
(6) Assigning different units to communicate with and respond to the
questions of stakeholders.

Board of Directors
For the purposes of enhancing our business performance, maintaining
industrial competence and retaining talented personnel, we hope to
bring more valuable senior employees with professional knowledge
and a wealth of industry experience into corporate governance. Thus the
Board of Directors underwent re-election in 2009, in which two senior
employees were elected to replace the independent directors. As a result,
our Board of Directors previously with five non-independent directors
and two independent directors now comprises seven directors to carry on
corporate governance related operations.
Organizational Structure
We set up an independent Finance & Accounting Department, Human
Resources Department, and Administration Department that were
previously under the Administration Division. So our organizational
structure has evolved from the previous two offices and eight divisions to
two offices, three departments and seven divisions.
1. Auditing Office: In charge investigating and evaluating the
implementation of internal controls and operating performance of
various functions.
2. President’s Office: Overseeing business operations and development
relating to ESH, legal affairs, IPR management, and information
security.
3. Finance & Accounting Department:
(1) Accounting Section: In charge of account processing, voucher
preparation, preparation and analysis of financial reports.
(2) Finance Section: In charge of fund management, risk management,
investment management, and registrar and transfer operation.
4. Administration Division: In charge of general affairs, general works
and asset management.
5. Human Resources Department: In charge of personnel administration,
human resources development, employee benefits, education and
training.
6. Sales & Marketing Division: In charge of order handling, market
development, gathering of business intelligence, and credit check
operation.
7. Materials Division: In charge of material procurement, control, and
production scheduling.
9
8. R&D Division: In charge of product design, development, quality
control, and production technology.
9. Production Division: In charge of production and process
arrangement.
10. Quality Assurance Division: In charge of product quality, customer
complaints and after-sale services.
11. CE Product Business Unit: In charge of development and sales of
consumer electronic products.
12. NB Business Unit: In charge of notebook development and sales
Sales &
Marketing
Division
MSI 2010 Corporate Social Responsibility Report
Materials
Division
R&D
Division
Political Contribution
Supervisor
Auditing Office
Finance &
Accounting
Division
MSI Organization Chart
Human
Resources
Division
Shareholders’
Meeting
Board of
Directors
Chairman
President
Administration
Division
Production
Division
President’s
Office
Business
Planning Office
Legal Affairs
Office
Management
System Center
Quality
Assurance
Division
Global Operation
Management Office
Information
Technology Service
CE Product
Business
Unit
IIPO
Green Project Team
Materials
Division
We are politically neutral and do not make any political contribution or
engage in lobbying. We did not make any political donation in 2009.
Financial government assistance
We hadn’t received any financial assistance or bailout bill by
government in 2009.

2010
3.6 Business Strategy
Damped by global financial storm, we face the harshest challenge since
our establishment, we try to learn from the painful lessons by undertaking
self-inspection and self-criticism. On the other hand, we keep a positive
perspective on the whole predicament, taking the crisis as an opportunity
and modifying our business strategies as follows:
(1) Business: Expanding brand market share and vying for more
profitable OEM orders.
(2) R&D: Developing high-end mainstream products and responding to
market demands in a timely manner.
(3) Finance: Giving quotes in major currencies to hedge and reduce the
effect of exchange rate fluctuation on profit.
(4) Service: Harnessing customer loyalty with excellent after-sale service
and service efficiency.
(5) Management: Enhancing manpower, asset and cost management
with global information system.
(6) Production: Introducing online supplier management system to
enable timely and flexible production line and material management.
(7) Sales: Getting a better grasp on the market and customers and
setting specific sales and profit targets for respective market.
Research and Development
Corporate Social
Responsibility Report
The electronic industry is intensively competitive, and R&D capability
has become a key to the core competency and future development of
an enterprise. We started to hold internal innovation contest in 2008 to
encourage employees, to come up with innovative ideas and inventions
for MSI’s products. Ideas proposed by employees are assessed and taken
into consideration in product development as we strive to enhance our
product functions and market competitiveness. Through the internal
innovation contests, MSI employees have made 1,200 propositions as of
now, and patent application has been filed for 25 of them.
10
Patent Application and Patent
Granted Worldwide. 2004-2009
Number of patent applications
Number of patents granted
Patent Application and Patent
Granted in Taiwan, 2004-2009
Number of patent applications
Number of patents granted
Exchange of Knowledge and Passing on Experience
Company Profile
We began the first factory communication conference between
MSI Shenzhen and MSI Kunshan in 2008. It is hoped that through
communication and learning between their management, the two plants
can learn from each other’s core competency in manufacturing technology
and management experience. By exchanging management mechanism
and differences in actual operating process flows, the two plants can
achieve beneficent interaction conducive to learning and growing.
Given the success of the first factory communication conference in
2008, we continued the event in 2009. Aside from including the features in
2008, we also identified three objectives for the 2009 event:
(1) Focusing on the level of observation and learning and enhancing
the depth and breadth of observation;
(2) Reducing communication barriers and identifying common values
and visions; and
(3) Establishing similar management mechanism and enhancing
information transparency.

After a few days of observation and learning, the two plants learned
from each other’s management advantage and narrow the differences in
management mechanism. The most important result is that they were able
to maximize the exchange of knowledge and passing on of experience. We
have identified factory communication conference as one of the key tasks
for continual improvement. In the future, we will continue the exchange
and learning between plants and launch such exchange between
headquarters and plants. It is hoped through exchange in technology,
system and culture among our operations in Taiwan and China, we can
achieve the circulation of know-how and talents and sharing of corporate
culture.
Poster for Factory Communication Conference
Personnel of two plants attending the communication conference
11
MSI 2010 Corporate Social Responsibility Report
3.7 Risk Management
The impact of global financial storm in 2008 was extended to 2009.
The general lack of confidence in economy has led to weak consumer
demand, inflation, shortage of raw materials and price hike. Under such
macroeconomic environment, cost control and the ability to keep in line
with market demands become keys to profitability. Thus we implement
operational and financial controls to keep all kinds of latent risks to the
minimum.
(1) Understand more about the sales channels and get better grasp to
reflect consumer demands in product R&D and marketing strategies
in a timely manner;
(2) Expand the economy of scale in production and material purchase
by offering OEM services, and enhance the cooperation with key
component suppliers to keep a stable supply chain and readily
respond to market demands;
(3) Implement rigorous quality control to maintain standard production
process and quality and enhance product competitiveness;
(4) Periodically review the growth of respective business division, and
set reasonable sales target and profit margin in line with regional
and market potentials;
(5) Reexamine and adjust strategic targets on a quarterly basis, and
promptly undergo organizational adjustment and modification of
marketing strategies to reflect changed profit target.
(6) Readily grasp the daily status of shipment, inventory, purchase
orders, and working capital of MSI operations around the world
through IT system; and
(7) Call global managers meeting once every six months to report
on and review the business operations of the company and make
strategic adjustment to achieve the most effective allocation of
corporate resources.

Financial Risk Control
2010
Corporate Social
Responsibility Report
(1) We employ total risk management and control system to identify
latent market risk, credit risk, liquidity risk, and cash flow risk, and
implement necessary controls and response measures;
(2) All of our purchases and sales are denominated in USD to reduce
the impact of exchange rate fluctuation on profit; and
(3) We do not undertake interest rate related transactions. We engage in
derivatives transactions for hedging purpose only to render our fund
utilization more flexible while lowering the risk of exchange rate
fluctuation.
Business Continuity Plan (BCP)
We established an internal crisis management cabinet and conducted
the first BCP drill in 2008. The purpose is to set up a crisis response team,
familiarize employees with the crisis handling process and prepare them
for crisis to keep a major disaster from disrupting business operation,
delaying shipment personnel casualty, and to minimize personnel,
financial and monetary loss in such an event.
We carried out the second BCP drill against the scenario of H1N1
epidemics in 2009. This practice was conducted to make sure that in the
case of a H1N1 outbreak, we are prepared to respond to and control the
extent of contagion in the shortest possible time and able to maintain
good internal and external communication to ensure that the company
operations, production and shipment are not disrupted. In the post-drill
self-review, we found that we are inadequate in making effective utilization
of medical resources and the assignment of epidemic control team. To
make sure the effect of the drill would last and enhance the rapid response
capability of our employees, we will standardize the operating procedure
and continue to carry out internal audits of the BCP system.
12
Company Profile
In the future, BU or LOB will take turns conducting BCP drill. Each drill
is documented and reviewed afterwards. We hope to create a benign cycle
via P(Plan)-D(Do)-C(Check)-A(Action) and internalize such knowledge
and experience in the daily operations of the company to retain existing
customers, improve competitive edge, earn new customers, enhance the
benefit of resource preparedness and lower operating costs, comply with
prevailing laws and regulations, and showcase the operating capabilities,
protect the personal safety of employees and reduce the latent risks in
work environment; and decrease the incidence of accidents and reduce
reliance on key assets.
BCP goals
Survivability
Maintain the basic survivability of
business
Income/profit protection
Protect the financial targets of
business
Sustained business development
Maintain the ability to sell products or
services
Business image
Prevent loss of corporate image
caused by business disruption

3.8 Trade Association
We are a member of a number of associations in Taiwan and China.
Becoming a member of international organizations or institutions is the
goal we work on as we endeavor to enhance the international visibility of
our products.
Association Participant Status Purpose
Taiwan Electrical and
Electronic
Manufacturers’
Association (TEEMA)
Taipei Computer
Association
The Institute of Internal
Auditors, ROC (Taiwan)
Institute of Electrical
and Electronics
Engineers (IEEE)
Robotics Association
Taiwan
Taiwan Businessmen
Association of Shihyan
Taiwan Chamber of
Commerce Shihyan
Shenzhen Customs
Honesty League
Association
Shenzhen Baoan
District Bureau of Labor
Affairs
Taiwan Businessmen
Association Kunshan
Kunshan Human
Resources Association
China Customs Brokers
Association
China Commodity
Inspection Association
MSI Taiwan
MSI Taiwan
MSI Taiwan
MSI Taiwan
MSI Taiwan
MSI Shenzhen
MSI Shenzhen
MSI Shenzhen
MSI Shenzhen
MSI Kunshan
MSI Kunshan
MSI Kunshan
MSI Kunshan
Member
Member
Member
Member
Director
Member
Member
Member
Member
Member
Member
Member
Member
Stay in touch with industrial
development and trends, and enhance
communication
Stay in touch with industrial
development and trends, and enhance
communication
Promote corporate governance
Stay in touch with industrial
development and trends, and enhance
communication
Stay in touch with industrial
development and trends, and enhance
communication
Stay in touch with industrial
development and trends, and enhance
communication
Stay in touch with industrial
development and trends, and enhance
communication
To be included in the administration of
customs declaration
Promote labor-management relationship
and worker management
Stay in touch with industrial
development and trends, and enhance
communication
Keep track of state policies and
regulations and stay in touch with the
status of local human resources
To be included in the administration of
customs declaration
Keep track of state policies and
regulations and stay in touch with the
status of local human resources
13
3.9 Awards
MSI 2010 Corporate Social Responsibility Report
Awards received in 2009
Big B Ba B ng-Fuzion
Gam Ga G ing ng Motherbo rb ard
Mo Mot Mo M oth the ther err rboaar
bo ards a s & &Add & Add On ca
rds
Tele T leemati
m cs Box
Ca Car Ca C El E ecct ecctron c ics icsProducts Pr Prod
oducts
Named Taiwan Top 20 International Brands
two years in a row.
Received Best Choice of Computex Taipei
Award from the world’s second largest ICT
tradeshow.
Received Taiwan Excellence Award eleven
years in a row.
Ranked in 2009 Corporate Citizen Top 50 by Common Wealth
Magazine.
Received 2009 Fifth Corporate Social Responsibility Award from
Views Monthly Magazine.
Named “Reader’s Top Choice of IT Brand” by readers of the
biggest IT print media in China.

2010
Corporate Social
Responsibility Report
4 Environmental Policy
According to the data of International Energy Agency (IEA), Taiwan’s
carbon dioxide emissions per capita is 12.08 tons a year, ranking 18th
in the world, but 1st in Asia. The most direct impact of carbon dioxide
emissions is worsened global warming and erratic climate patterns with
increased incidence of natural disasters around the world that result in
the loss of lives and properties.
Environmental policy is not merely a slogan. We hope to show our love
for Earth and environmental friendliness through actions. Thus we not
only promote energy conservation inside the company and develop low
energy consumption products, we also heed the domestic and foreign
environmental regulations and international trends, and participate in
environmental protection activities. We take the initiative to disclose the
greenhouse gas (GHG) emissions from our internal activities starting
2008, and will continue to promote and participate in environmental
protection activities to demonstrate our beliefs in cherishing the
environment and sustainable earth in actions.
4.1 Organization and Missions
We establish two units – Management System Center and Green
Project Team under the President’s Office. The former is in charge of
organization-related environmental issues, while the latter is in charge
of product-related environmental issues. Through clear division of labor
and full authorization from senior management to make sure all MSI
products and services consume minimum resource during production
and small amount of energy in use to achieve the goals of minimal
environmental impact and sustainable earth.
14
z
z
Company Profile
Green Project Team: This unit is in charge of tracking, understanding
and responding to domestic and foreign regulations related to MSI
products, assisting in the planning and R&D of green products
or energy consumption and plan execution, supervising and
communicating with material suppliers, and responding to the
concerns of customers, consumers and governments over MSI
products for the ultimate purposes of making sure our products meet
the regulatory requirements of each country, enhancing product
performance and efficiency, and reducing the environmental impact of
MSI products.
Management System Center: This unit is in charge of tracking,
understanding and responding to domestic and foreign environmental,
safety and health (ESH) related regulations, formulating the annual
ESH system and compliance with international standards, ensuring
the normal operation of ESH operation, reducing process risk and
ensuring process risk control, and responding to the concerns of
customers, consumers, communities, suppliers and governments over
ESH issues to continuously improving the overall ESH performance of
the company, reducing organizational risks and operation impact on
the environment.
Management
System Center
President’s Office
Green Project
Team

4.2 System & Certification
The purposes of establishing and implementing all kinds of standards
and systems are to improve product efficiency and quality, ensure the
health and safety of our work environment, boost work morale and
dignity at work, provide reasonable wages and benefits to employees,
and ensure observance of corporate ethics. Through the normal system
operation of P-D-C-A, we are able to ensure the smooth operations of the
company, boost overall performance, ensure a safe, healthy and dignified
work environment for our employees, and provide outstanding products
to our clients and consumers.
MSI, MSI Shenzhen, and MSI Kunshan have all been ISO 9001 (quality
system), ISO 14001 (environmental management system), and OHSAS
18001 (occupational health and safety) certified. MSI Shenzhen and MSI
Kunshan are the production facilities of the company. Thus we started to
implement hazardous substance process management at those plants
in early 2006 and they became QC080000 certified at the end of 2006.
Through system operation and control, we are able to effectively control
product quality and work environment to reduce the impact of our daily
activities on the environment.
To better control the GHG emission of our operations, we lead the pack
of electronic companies by simultaneously implementing ISO14064-1
(quantification and reporting of GHG emissions and removals) at MSI,
MSI Shenzhen, and MSI Kunshan and conducting third-party verification
of emission data in 2008. We are now continuously promoting companywide
GHG reduction program.
We conducted the first external EICC (Electronic Industry Code of
Conduct) audit in 2009. The audit covered labor practices in the areas
of labor, health and safety, environment, management systems, and
ethics, and compliance with ISO 14001, OHSAS18001, QC08000, ISO9001,
and SA8000. The reason why we conducted an external EICC audit is to
undergo a general examination of all company systems and use the audit
findings as basis for future self-inspection and continual improvement.
15
MSI 2010 Corporate Social Responsibility Report
According to the audit report prepared by the verification service
provider in April 2009, our business practices were largely in compliance
with the EICC requirements with room for improvement for some items.
Based on the audit results, we held an intra-company conference meeting
involving operations in Taiwan and China and embarked on improvement
of software and hardware equipment and adjustment of operational
processes.
We will continue to promote the normal functioning of our systems
according to the established processes and implement them in the
daily operations of the organization and incorporate them into the
organizational performance.
MSI GHG Inventory Certificate

4.3 Green Policy
2010
Corporate Social
Responsibility Report
Following the enforcement of RoHS and WEEE in 2006, European
Union (EU) will implement the ErP Directive (Energy-related Products)
in 2010 to regulate the energy consumption of products along with the
latest U.S. Energy Star requirements. The ErP requires the manufacturers
of energy-using products to incorporate ecodesign requirements into
the life cycle of a product, from design, R&D, manufacture to disposal. In
production, considerations should be given to energy-saving, improved
energy efficiency, improved fan noise, lowered temperature and use of
minimal hazardous materials.
Thus we take ecodesign into consideration during the R&D and
design phases of a product. All of our products use environmentally
friendly materials for packaging to make sure our products meet the
RoHS, WEEE and ErP requirements. Our ultimate goal is to develop
products that are environmentally friendly and offer great performance.
Eco-label represents a country’s highest environmental requirements
for a product. It is the basic threshold of green procurement for
governments around the world and indicates that the product meets
the environmental requirements for design, use, recycling, energy
consumption and low toxicity. Our All-in-One (AIO) PC has received
Taiwan Green Mark certification in 2009, the first AIO certified by Taiwan
Green Mark. MSI AIO’s certification represents the recognition of our
many years of efforts and that MSI product offers reliable quality and
embraces the eco concept in every detail. Our AIO is also expected to
receive EU Flower and Czech eco-label certification in 2010.
16
EU Ecolabel
MSI has received Taiwan Green Mark Certificate
Company Profile
Czech Ecolabel

Green Supply Chain
In response to the increasingly stringent environmental regulations
and the demands of our international clientele, provide environmentally
friendly products and services to consumers and move towards the
goals of green design, green resources and green technology, we have
built a Green Product Management (GPM) platform in 2009. It is hoped
that through the GPM platform, MSI and its suppliers will work together
towards the aforementioned goals, starting with the procurement of raw
materials to render all MSI products conform to the four tenets of “low
hazard”, “extended product life”, “energy saving” and “ease of recycling”
and observe the three Rs -- reduce, reuse, recycle. And through this online
system to:
z make sure that our products comply with the environmental regulations
of different countries;
z reduce man-made errors and save costs of labor; and
z enhance product competitiveness and market response capabilities.
After receiving a notice from the GPM platform, a supplier should
upload documents, including “Material Composition Declaration”,
“Approval Sheet”, “Material Safety Data Sheet”, and “Environmental
Compliance Certificate” for review. If a supplier is unable to meet the
requirements, MSI order to the supplier and the use of its supply will be
suspended until the supplier has submitted all required documentation
and passed the review. This way we can control our supplies at the source.
17
MSI 2010 Corporate Social Responsibility Report
MSI Products and ErP and Taiwan Green Mark Certification
Product Part Number
ErP Taiwan Green
Certification
Mark Certification
Pending November 2009
Pending Pending
Pending Pending
Pending Pending
Pending
November 2009
Pending
Pending
Pending
Pending
Pending
Pending
Pending

2010
Corporate Social
Responsibility Report
Diagram of MSI Green Product Management Platform
Supplier
Upload declaration,
test reports and
report update
Bill of
Material
ERP
Green Parts
Database
Green Platform
MSI Taipei/Plants
Part number, document
review, test data review,
data inquiry, supplier audit
Regulations/market/customer
requirements
Customer/market demands
Part qualification data
Part testing data or report
We held suppliers conference in Taipei, Baan (Shenzhen) and Kunshan
respectively in December 2009. More than 600 people from 400 suppliers
attended those conferences.
We explicitly declared in the
conferences the four product
tenets and three Rs of MSI
and hoped that suppliers
would incorporate the ideas of
energy conservation, enhanced
efficiency and decreased use
of hazardous substances in the
design stage of their products,
that the whole supply chain
will endeavor and collaborate
towards the goals of sustainable
environment.
18
Company Profile
4.4 Challenges and Opportunities of Climate Change
For us, environmental protection is not an appeal to emotion, nor a
tax-saving scheme. It is a one-way path that we must tread. Maybe not
all environmental actions we take will be a success, for we do have other
factors, such as manpower and costs to consider. But we are willing to
embrace the issues starting from ourselves and starting with our own
environment and products. We endeavor to adopt business practices
that produce less impact on the environment and to cut down the use
of hazardous materials in our products so that our next generation and
generations thereafter could benefit from our efforts.
The biggest impacts of climate change on businesses are imbalance
of material supply and demand, rising costs and transportation problem.
We address these problems with an IT system. Our IT system monitors
the daily operations of our establishments around the world, including
the status of shipment, inventory, purchase orders, and working capital,
and there are alarm indicators set to control material costs and product
transportation. Senior management of the company will hold regular
meetings to review the control status of those operations.
Aside from constant monitoring through the IT system, we continue
to offer energy-saving product designs, ex. Circu-Pipe cooling solution,
Dual Core Cell technologh and turbo battery technology, and design
easy to disassemble and easy to recycle products and packaging, and
cut down the use of composite materials to address the problems of
material shortage and rising costs. We also continue to promote energy
saving measures and activities inside the company. For example, we
switch energy-saving T5 lighting fixtures, use environmentally friendly
utensils inside the plant, and encourage employees to switch off unused
lights, share rides to work and walk stairs instead of taking elevators. We
also take the initiative to disclose our GHG emissions since 2008 to have
a better grasp of our own GHG emissions and carry on GHG reduction
activities.

4.5 Greenhouse Gas Inventory
We start undertaking GHG inventory accounting since 2007, the first
company in Taiwan’s electronic industry to do so. Our aim is to have a firm
grasp on the level of GHG produced from our business activities. To raise
the awareness of our employees to the importance of GHG reduction, we
have enlisted the service of outside professionals to give training on GHG
many times as we vigorously promote the work of GHG reduction.
We conduct the inventory accounting in accordance with ISO14064-1
and the GHG Protocol. The inventory boundary covers MSI Taiwan, MSI
Shenzhen and MSI Kunshan. By sources, the emissions are defined under
Scope 1, direct GHG emission, and Scope 2, indirect GHG emission. The
inventory is taken on six types of gas: carbon dioxide (CO2), methane
(CH4), nitrous oxide (N2O), hydrofluorocarbons (HFCs), perfluorocarbons
(PFCs), and hexafluoro-sulfide (SF6).
GHG Training Class
19
MSI 2010 Corporate Social Responsibility Report
2007~2009 MSI Greenhouse Gas Inventory – Boundary,
Standards and Emissions
MSI Greenhouse Gas Inventory
Year Boundary Standards
Total
emissions
1. MSI
ISO 14064-1 113,675 metric ton
2. MSI Shenzhen The GHG Co2e
3. MSI Kunshan Protocol
1. MSI
2. MSI Shenzhen
3. MSI Kunshan
1. MSI
2. MSI Shenzhen
3. MSI Kunshan
ISO 14064-1
The GHG
Protocol
ISO 14064-1
The GHG
Protocol
2009 Emission Ratios of
Various Greenhouse Gases
121,605 metric ton
Co2e
100,336 metric ton
Co2e
Major
sources
Outsourcing
electricity
Outsourcing
electricity
Outsourcing
electricity
Remark
Verified by
third-party
Verified by
third-party
Verified by
third-party
Emissions of Six Types of
GHGs, 2007 ~ 2009
Our operations consist of primarily R&D in office setting and factory
assembly activities and are free of any heavily polluting or energy
consuming processes. The major source of our GHG emission is
outsourcing electricity. Our 2009 total GHG inventory was 100,336 tonnes
of CO2e, a decrease of 21,269 tonnes or 17.5% as compared to 2008 GHG
emissions totaling 121,605 CO2e.

2010
Corporate Social
Responsibility Report
However if measured by revenue versus CO2e emission (eco-efficiency
per $1 million in revenue), the carbon emissions per 1,000 tonnes
generated NT$8,249,6000 in revenue in 2009 as compared to NT$8,040,200
in revenue in 2008, indicating some improvement resulting from our
internal campaign of energy conservation and carbon reduction. We will
continue to promote such activities to work towards the goal of continuous
decline in GHG emission per $1 million in revenue.
2007 eco-efficiency
indicator
2008 eco-efficiency
indicator
2009 eco-efficiency
indicator
Revenue
($1 million) 90589.943
= = = 796.92
CO2 emissions
(1,000 tonnes)
113.675
Revenue
($1 million) 97773.051
= = = 804.02
CO2 emissions
(1,000 tonnes)
121.605
Revenue
($1 million) 82773.488
= = = 824.96
CO2 emissions
(1,000 tonnes)
100.336
Year CO2e emissions Revenue ($1,000) Eco-efficiency
(tonnes)
indicator
20
4.6 Environmental Performance Indicators
Gasoline and Diesel Consumption
Environmental Policy
We use gasoline mainly as fuel for company vehicles in the conduct
of business and consumed altogether 70 kiloliters of gasoline in 2009.
We use diesel for boilers and emergency generators and consumed
577.565 kiloliters of diesel in 2009. We use liquefied petroleum gas (LPG)
for employee cafeteria cooking and consumed 192 tonnes in 2009, an
increase of 97 tonnes as compared to the level in 2008. This is because
the consumption of LPG was paid for by the food service provider prior to
2007. Starting in 2008, we gradually decrease the percentage of payment
on LPG consumption by food service provider and assume a higher
share of their costs in exchange of better food quality and service for our
employees.
Total Gasoline and Diesel Consumption, 2007~2009
Gasoline Diesel LPG

Waste Management
We underwent a new round of waste hauler selection in 2009. It
is hoped that through open tendering, we could engage legal and
appropriate waste haulers and make sure the manner of waste disposal
by the haulers would create minimal impact on the environment. The
selection process entailed qualification review and qualified bidders were
then compared with respect to methods of waste transport and disposal.
We engage mainly in the assembly of electronic products. Thus the
solid waste we generate mainly including IC tray, tin slag, waste plastic,
mixed metals and waste paper. IT tray, tin slag, waste plastic, waste paper
and mixed metals are processed and recycled by professional waste
hauler, whereas general waste, mainly including refuse are collected
by the water hauler and hauled to incinerator or landfill for disposal.
Hazardous waste, including waste light tubes, gloves with oil smudge,
waste battery, and waste solvents are collected by the waste hauler and
then buried or treated in other manners. In 2009, we generated 5,223,632
kg of total recyclable solid waste and 10,812,353 kg of non-recyclable solid
waste.
Total recycled solid waste, 2007~2009
MSI MSI Shenzhen MSI Kunshan
(Unit: kilogram)
21
MSI 2010 Corporate Social Responsibility Report
Transport of Toxic Waste and Serious Leak
We do not use any toxic material or article in our operations so we
do not have to any problem associated with toxic waste production,
transport or leak. We don’t receive any fine or disciplinary action related
to environmental violation by government in 2009.
Environmental Expenditure
Environmental expenditures are expenditures related to activities
for preventing, decreasing or eliminating pollution or public hazard
generated in the process of production and consumption, which exclude
expenditures on work safety, eco-conservation, and natural resources
management, daily cleaning expenses, neighborhood fellowship budget,
pollution-related damages and fines paid for environmental violation.
We engage mainly in factory assembly and R&D in office setting that
are free of any polluting activities. But to ensure worker health and safety
in the work environment and prevent environmental pollution, we still
conduct internal and external audits to keep the risk of hazards to the
minimum. We also undertake process improvement and process change
to ensure a safe, cozy and pollution-free work environment.
2009 Environmental Expenditures (In NTD)
Total
expenditures Purpose
Pollution
prevention
Waste
disposal
Breakdown
Air pollution control
Water pollution control
Noise and vibration
pollution control
Soil and ground water
pollution control
General waste
disposal
Hazardous
waste disposal

4.7 Green Products
Industrial Computer
WindBox II (MS-9A25)
Smart robot
TGR-W1
2010
Corporate Social
Responsibility Report
MS-9A25 features light, fan-less, mini-size. Made with
industrial-grade motherboard, high quality and high
stability are the main appeal of this product.
TGR-W1 is the best embodiment of smart robot that can
perform the functions of greeting guests, guide, making
introduction, security and socializing.
Notebook Computer
X320
X320 with its 13.4 inch screen having the golden ratio of
16:9 is only 1.98cm thick with 6mm at the thinnest part.
It features an 8-cell battery that could last as long as 10
hours, while weighing only 1.3 kg in total, an advantage
unparalleled by other notebooks.
Motherboard
P55-GD65
Xtreme Speed motherboard P55-GD65 offers the
functions of APS (Active Phase Switching), real-time
detection, and module phase switch, and more than
93% power saving.
22
Graphics Card
N275GTX Lightning
Environmental Policy
N275GTX Lightning is built to military specifications
and features 10-phase PWM power supply that leads the
same class of products on the market. It comes with an
8-cm dual fan to rapidly dissipate the generated heat and
keep the operation stable.

Graphics Card
R4890 Cyclone
AIO & BB
AE-1900
Built in with Intel Atom, AE-1900
supports Windows XP operating
system while consuming little power
and offering stability. Its 18.5-inch
screen makes it particularly suitable
for use by students, children and
elderly people.
AIO & BB
AE-2220
R4890 Cyclone is the flagship graphics card product of MSI
in 2009. It leads the industry by using a huge 10-cm fan,
coupled with special cyclonic blade design, pure-cooper
base amount and aluminum fins, offering consumers
brand new experience in style and performance.
AE-2220 offers a 21.5-inch touch control
screen. Its 500GB hard drive coupled
with Windows 7 operating system
and high-performance audio-video
functions makes it particularly suitable
for use by professionals or for home
entertainment purpose.
23
MSI 2010 Corporate Social Responsibility Report
4.8 Promotion of Energy Conservation
Our operations consume principally water and electricity, while the
consumption of other resources, including gasoline and diesel for cars
and natural gas for cafeteria cooking amounts to less than 10% of water
and electricity consumption. Thus our energy conservation efforts focus
on the reduction of water and electricity consumption as described below:
Electricity Conservation
1. Zone power control: Each
production line in the plant
is installed with a meter to
control the air conditioning,
lighting, and power use in the
zone. The same power control
scheme is used for public
chiller room and nitrogen air
compressor room.
2. Lighting adjustment: The
lighting throughout the plant
is checked to determine the
Maintain lighting needed for operation to cut down the use
of light tubes.
required luminosity, and extra light tubes in office area and public
area are removed to save electricity.
3. Adjusting the outlet water temperature of chiller: We have adjusted
the outlet water temperature of chiller to 7 degree from 6.5 degree.
4. Onsite control of air conditioners: User units would carry out onsite
control of air conditioner to avoid unnecessary waste resulting from
the uniform setting of temperature. The thermostatic and hydrostatic
areas in the warehouse are reduced in view of the use situation.

2010
5. Installing split-type air conditioners in
some R&D areas: As air conditioning
system is not required in some R&D
areas after the staff has left for the
day, the chillers in those areas are
turned off after work.
6. Changing the method of central
air conditioning system control:
Currently blower coil pipes of the
central air conditioning system are
separately controlled with a threespeed
switch. We plan to switch to the
use of temperature controller.
7. Cutting down the working hours of air
handling unit of the air conditioning
system in some areas.
Corporate Social
Responsibility Report
8. Installing solar panel and solar water heater in some areas of the
plant.
Water Conservation
1. Mobile water pumps: Use collected rainwater for landscape watering.
2. Stepped-up patrol inspection: Increase the patrol inspection of water
systems to reduce water loss.
3. Recycling and reutilization plan: The MSI Shenzhen began to
experiment with water recycling in 2009. The project is still in trial
operation and not fully implemented yet.
Fuel Oil Conservation
Use air compressor heat recovery system
1. Controlling the opening hours of boiler in living area: Use IC card to
control the use of hot water so as to reduce the use of fuel oil.
2. Air compressor heat recovery system: The heat generated by the air
compressor is recycled for heating to reduce the use of fuel oil.
24
Environmental Policy
Rainwater replacing tap water for landscape watering to achieve water conservation
while creating a green work environment
Water consumption, 2007-2009 Electricity consumption, 2007-2009
2000000
1500000
1000000
500000
0
MSI MSI Shenzhen MSI Kunshan
MSI MSI Shenzhen MSI Kunshan
Through the implementation of energy conservation measures, we
were able to reduce the consumption of water by 1,508,754 tonnes and
electricity by 102,561,530 kWh in 2009.

5 Social Policy
Global climate change has affected every facet of our lives. Agriculture,
transportation, economy, trade, finance, security, health and even
international relations fall under the influence of climate change. Thus
environmental protection and being eco-friendly are no longer an option,
but the obligation of an enterprise.
As a corporate citizen, we do not have the public power or mandate
of government agencies. But we can start with our own supply chain
management. Thus we drafted “Corporate Social Responsibility
Requirements” in 2009, urging our suppliers to ensure a safe work
environment for their employees, treat their employees with respect and
dignity, and ensure that their processes and products are environmentally
responsible. We hope that supply chain collaboration will allow us to
provide our customers and consumers with more eco-friendly and more
human rights conscious products and services.
5.1 Our Customers
After more than two decades of efforts, MSI has become a world
leading and top three motherboard and graphics card manufacturer.
This honor is the result of our longstanding efforts in seeking quality
perfection, continuous innovation and R&D, introducing market leading
products, and providing localized and timely customer services. This is
also why our products have received market recognition and are popular
among consumers.
Customer satisfaction is built upon quality products and good services,
while products, services and customers are keys to the sustained
operation of MSI. The sale of a product is not the end of a transaction. Our
ultimate goal is total customer satisfaction. Thus aside from embarking on
R&D to roll out better and better green products, we endeavor to provide
prompt and efficient services satisfactory to customers.
25
MSI 2010 Corporate Social Responsibility Report
5.1.1 Customer Service and Customer Satisfaction
Our customer service covers all MSI products, including motherboard,
graphics card, server, notebook, barebone, and consumer electronics.
Service
Online technical
support
080 service
hotline
Contents
Technical support, checking repair status, general
customer service
Technical support, checking repair status, online
service request, satisfaction survey
Our products are sold through agents and distributors. In general,
after-sale service for agents takes 14 days. Repair typically takes 1 day for
consumers or distributors, which, under special circumstances, could be
extended to 7 days with the consent of customer.
Starting in 2006, consumers in Taiwan can drop off MSI products for
repair at the nearby convenience store and receive the repaired product at
an address they designate. As of 2009, we have served 16,210 customers
through the convenience store venue.
Number of Customers Served through Convenience
Store Drop-Off in Taiwan Area, 2006 ~ 2009
8000
7000
6000
5000
4000
3000
2000
1000
0
2007 2008 2009
Agent
Agent sends
product for repair
Consumer/ Distributor
Consumer sends a
product for repair
Service center
receives the product
Sent back to manufacturer
MSI receives
the product
MSI receives
the product
Repair
process
Generally 14 days according to the
after-sale service agreement
About 1 day
Service center
makes repair
About 7 days
Repair
process
MSI makes
delivery
Service center
delivers the product
MSI returns the
product

2010
Corporate Social
Responsibility Report
In other parts of the world, we have service centers and contracted
service centers to provide localized technical support. Consumers can also
make product inquiry and inquiry of repair status through local customer
service hotline and online repair service.
Customer Satisfaction
We conduct annual OEM customer satisfaction survey for our MB, VGA,
EPS and SPD products. The survey focuses on product quality, product
development, consumer support, prices and time of delivery. Based on
the survey results, we will compare the advantages of MSI products
with those of competitors and produce an analysis report. Items that
customers are dissatisfied with as found in the survey will be forwarded
to responsible units to look into and make improvement. CQS will follow
up on the improvement actions taken to make sure all deficiencies are
remedied.
For end consumers, we would ask them to fill out a written survey
under the assistance of customer service personnel when they make a
purchase or send a product for repair. Consumers can also express their
opinion or make comment on our products by phone or via the online
customer service system.
26
5.2 Our Employees
Environmental Policy
We believe only outstanding and happy employees and a pleasant
workplace can create maximum profit for the company and attain the
ultimate goal of “Green Homeland and Beautiful Life.” Thus achieving the
four tenets of MSI - “Excellent Product, Superior Quality, Perfect Service,
and Customer Satisfaction”and providing our employees with a healthy,
safe and pleasant work environmenthave become the goals we work
towards persistently. We offer our employee wages and benefits better
than what are required by law and continue to improve the quality of work
environment through upgraded software and hardware facilities. We wish
to reward our employees with a diverse and balanced work environment
conducive to the enhancement of professional knowhow and personal
growth while they work hard and create profit for the company. We
believe such an approach will bring progress to the company and create
a benign cycle where the company and the employees stride forward
synchronously.
5.2.1 Workforce
Workforce Structure
As of year-end 2009, MSI had 15,587 employees worldwideOf the
total workforce, 9,545 or 61% were male, including 790 managerial
officers.6,042 or 39% were female, including 162 managerial officers, we
had about the same number and percentage of female managers as those
in 2008. We also had 31 foreign employees, accounting for 1.9% of total
workforce.
In 2009, we had about the same number and percentage of female
managers as those in 2008. Female managers accounted for 21% of all
managerial officers.

MSI Workforce Worldwide by
Gender, 2007 ~ 2009
Male Female
Number of Managers Worldwide
by Gender, 2007 ~ 2009
(Persons)
Female
2009 Workforce Composition 2009 Workforce by Age
Manufacturing and R&D
Sales, management and administration
Male
27
MSI 2010 Corporate Social Responsibility Report
2009 Workforce by Education Monthly Employee Turnover in 2009
Employee Turnover
100
80
60
40
20
0
Our employee turnover at various plants in the first half of 2009 was relatively
low as the world was still struggling to pull out of a financial storm. But as the
global economy rebounded, our employee turnover also rose. As the global
demands recover, worker shortage will become a challenge we must address in
2010. It will also be an important key to whether we are able to regain profitability.
Equal Employment Opportunity
When we recruit employees, we only consider the capability and moral
characters of the candidate without differential treatment or discrimination
because of a candidate’s gender, religion, race, or political affiliation.
We also declare explicitly in our “Employee Recruitment Guidelines”
that “We will not engage in differential treatment based on race, social
class, nationality, religion, handicap, gender, sexual orientation, union
membership or political affiliation.”

2010
Performance Management
Corporate Social
Responsibility Report
To achieve effective use of human resources, boost the personal
performance of employees and achieve the targets set by the company,
MSI Taiwan, MSI (Shenzhen) and MSI (Kunshan) simultaneously
implemented a new performance management system in 2009. This
new performance system aims to link up personal performance with
organizational targets, allows employees and their supervisors to check
and follow up personal work performance and receive reminder at any
time. To ensure that the set targets are reasonable and the progress
status is within grasp, the new performance system also allows BU or
LOB executives to have a ready grasp of the performance of employees
at various locations, and based on which, make manpower assignment
and arrangement. This system will greatly improve our administrative
efficiency and response capability, reduce the cost and time delay in
manpower control, thereby effectively enhancing the overall performance
of the company.
Business Integrity and No Improper Advantage
All MSI employees are required to comply with the laws, codes and
government orders of the country in which they work as well as MSI’s
code of conduct for employees. Employees are not allowed to receive
gifts from customers or suppliers, unless it is in consistence with local
customs (ex. In Taiwan, it is typical tor customers or suppliers to send gifts
on festival holidays, such as Dragon Boat Festival, Mid-Autumn Festival
and Chinese New Years). To prevent improper acceptance of gifts and
provide our employees with uniform guidelines, we specify the scope of
gifts that employees may receive from suppliers or customers and require
documentation of gifts received. Such transparent, uniform and standard
handling process helps us uphold business integrity and maintain a
friendly relationship with our customers.
Child Labor Avoidance and Contracted Labor Management
We may be under the pressure of labor shortage from time to time
when there is a mass production target or delivery deadline to meet.
But under the premise of “people first” and “respecting human rights”,
28
Environmental Policy
we explicitly prohibit the use of child labor and forced labor. To prevent
the situation of fake or borrowed ID, we would undergo employee ID
inspection and set up rules and requirements for the nature of work that
employees age 16 ~ 18 may engage in, prohibit workers under age 18 to
engage in hazardous work, and avoid assigning workers under age 18
to night shift. In 2009, underage workers age 16-18 comprised 5% of our
workforce.
We work with local schools in China to offer internship program for
their students that helps local students to learn and gain work experience
while alleviating the financial burden of their family and learning to be
financially independent. In 2009, we had around 3,000 students who
participated in the internship program as contracted worker.
Employee Communication and Freedom of Association
The MSI Shenzhen and MSI Kunshan plants have union established, where
employee representatives hold meeting with management twice a year to discuss
issues of concern, employee welfare and the working of union.
All employees are free to decide whether to join the union and elect labor
representatives. Currently about 4,000 employees at our plants in China have
joined the union.
MSI Taiwan
MSI Shenzhen
MSI Kunshan
Communication
channel
1. Labor-management
meeting.
2. Employee communication
session
3. E-mail.
4. Employee complaint
hotline
5. Employee discussion
zone
6. The Safety & Health
committee of Labor
1. Four times a year
2. Once a year
3. All year round
4. All year round
5. All year round
6. Four times a year
1. Labor-management issues
2. Employee benefits
1. Union 1. Four times a year 1. Routine operation of
union and member
recruitment
2. Employee meeting
3. E-mail
4. Complaint hotline
5. Employee interview
Communication
frequency
2. From time to time
3. All year round
4. All year round
5. From time to time
Issues
2. Discussion of management
measures
3. Labor-management issues
4. Employee benefits and
activities

Prevention of Sexual Harassment and Handling Procedure
We have set up an internal sexual harassment complaint mailbox and hotline
that are managed by assigned staff. We have also drafted the “Sexual Harassment
Prevention Measures and Complaint and Disciplinary Procedure.” All sexual
harassment cases are reported to the most senior officer of Human Resources.
When a complaint is filed, a seven-person panel consisting of 3 management
representatives and 4 labor representatives (women must comprise the majority
of the team) must be formed in seven days to conduct investigation and review,
and come up with a decision and disciplinary action in three weeks thereafter to
uphold gender equality at work and human dignity.
5.2.2 Employee Development
Education and Training
All MSI employees are offered a variety of learning channels and resources
to study and develop, including on-the-job training, outside training, seminars,
speechs, and in-house e-learning system. In 2009, 15,529 person-times received a
total of 336,461 hours of training, averaging 21.7 hours per employee.
Average Hours of Training Per Employee, 2007 ~ 2009
400000
350000
300000
250000
200000
150000
100000
50000
0
Total person-times Total hours
Average hours per employee
25
20
15
29
MSI 2010 Corporate Social Responsibility Report
Curriculums
Orientation
Consensus Training
Basic Technical
Training
Management
Knowhow Training
On-job training
Quality Education
Training
Occupational Health,
Safety and
Environment Training
Self-motivation
Project Training
MSI Training System
Purpose
To help new employees understand the corporate
organization and culture; carried out on the day a new
employee reports to work in principle.
To help new employees understand the internal
management policies and basic operating procedures;
carried out in two months after a new employee reports to
work in principle.
To provide new employees with basic training of knowledge
and skills needed for the job; carried out in three months
after a new employee reports to work in principle.
To foster the management capabilities of worker or
supervisor.
To hone the professional knowledge and skills of employees
relating to their jobs.
To raise employee awareness to quality and cultivate and
improve their knowledge, skills and attitude towards quality.
To provide employees with training that raises their
awareness to work safety, occupational health and
environmental protection.
To help employees achieve personal growth and
improvement in line with their willingness to learn.
Training programs offered in line with company policy or
specific needs.
Our training is conducted through in-house training with in-house
resource, in-house training with outside resource, and outside training.
In-house training with in-house resource is conducted with colleagues as
instructor or using internal resource to hire free instructor to help save
costs and encourage self-fortification. In-house training with outside
resource is a training class arranged by a department and taught by
outside expert or scholar for the purpose of enhancing the professional
competence of employees. Outside training is where an employee
receives training at an outside consulting firm, training institute, school or
government agency under the recommendation of his or her superior or
by his or her own request.

MSI University
2010
Corporate Social
Responsibility Report
Given the highly competitive nature of the electronic industry, talent
development, key technology R&D, and management capabilities become
the three key factors critical to the development of an enterprise. We
realize that having an outstanding workforce is closely associated with the
future development of MSI. Thus we embarked on the preparation for MSI
University in 2009. The preparation entails planning for the establishment
of professional colleges in line with the needs of respective business
division, and a leadership college that cultivates managers of various
levels with required management and leadership capabilities. Under
the support and assistance of management, the technical management
college at the Kunshan plant has started school in August 2009, offering
a series of courses for workers and supervisors. Professional courses on
R&D, sales and marketing, and leadership will subsequently be offered at
all three campuses.
The establishment of MSI University signifies the simultaneous launch
of systemic personnel cultivation programs in Taiwan and China. While
employees enhance their personal work competence through learning,
they will reflect the learning results in work. For MSI, it will lead to the
improvement of overall organizational performance and bring about the
learning atmosphere within the organization and the creation of positive
corporate culture. The ultimate goals of MSI University are to achieve
resources integration, internalize and retain knowledge and experience
within the organization, cultivate and retain outstanding personnel, and
attract outside talents.
MSI University
Kunshan Campus
Taipei Campus Baoan Campus
By organizational functions By development needs
30
5.2.3 Wages and Benefits
Equal Pay and Vacation System
Environmental Policy
Our payroll system is designed based on personal education and
experience, company performance and ability to pay, job grade and title,
and personal performance review, and adjusted in reference to the pay
adjustment of government agencies and industry wage level. Employees
receive equal pay for equal work regardless of gender. The wage level
of employees is not influenced by gender, race, religion or political
affiliation.
Employee wages consist of direct pay and indirect pay. Direct pay
includes base pay, supervisory differential, and bonus (mid-year bonus
and year-end bonus). Indirect pay includes travel subsidies, money gifts
for the occasions of wedding, childbirth, festival holidays and birthday,
condolence payment in case of hospitalization for injury or illness, or
funeral of family members, and group activities. In concurrence with the
amendment of Labor Pension Act, we have adopted the new pension
system since July 1, 2005, according to which the company will contribute
6% of the wages of an employee into his or her personal retirement
account each month.
Besides legal holidays, an employee is entitled to seven days of
vacation a year once he or she has reported to work for three months
(to be granted pro rata according to the date of employment), and all
employees are eligible for matrimonial leave, maternity leave, funeral
leave, paternity leave, paid sick leave, and flexi-leave. In addition,
employees are offered two days of fully paid “family rest day” during
normal work days, hoping that employees have the chance to take some
time away from work and enjoy normal family life, strike a balance
between work and family and get fully rested.

Care and Concern for Employees
We implemented the “Employee Assistance Program” (EAP) in 2009.
The EAP covers five areas – Law and Life, Money Management and
Tax, Health and Wellness, Psychological Counseling, and Management
Counseling, under which, employees and their families with questions
on family and marriage, tax, health and career development can seek the
assistance of professionals and consultants. By extending our concern for
the wellbeing of our employees to their families, we hope to provide our
employees with a total care program that helps them achieve balanced
development of body and mind.
Career and work
Family and marriage
Childcare and parenting
Relationship issues
Interpersonal relationship
Employee Assistance Program (EAP)
Psychological
Counseling
Management
Counseling
Law and Life
EAP and people management
Team leader skills
Management case discussion
Employee recommended issues
Employee Welfare Committee
Transaction dispute
Car accident compensation
Family and marriage
Inheritance issues
Money
Management
and Tax
Health and
Wellness
Tax issues
Wealth management issues
Debt issues
Female health issues
Male health issues
Second opinion on medical
treatment
Baby/infant health care
Eldercare
We establish an Employee Welfare Committee in accordance with the
internal Employee Welfare Regulations. The company contributes 0.05%
of its annual revenue and each employee contributes 0.5% of their wages
to the budget of the Committee, including money gifts for three festival
holidays, employee birthday, employee travel subsidies and Year-end
gifts. The Committee is composed of worker representatives who are in
charge of planning and implementing programs and activities relating to
employee welfare.
31
MSI 2010 Corporate Social Responsibility Report
Wide Variety of Activities
We have built the facilities of
employee cafeteria, reading room,
billiard room, dance studio, exercise
machines or gym, basketball court,
tennis court, and Internet café. The
Employee Welfare Committee of the
plant would also subsidize all kinds of
group activities that benefit the body
and mind of employees. We also
hold company-wide travel, arts and
cultural activities, or movie nights
every year in the hope to enrich the
lives of employees and help them
enjoy a wholesome and balanced work and family life.
Non-toxic cockroach bait DIY activity – learning
environmentally friendly solution while
fellowshipping with coworkers
Fun family outing
z Company-wide activities: Including year-end banquet and one-day trip;
more than 18,000 employees and families attended the events.
z Arts and cultural activities and speech: We held 14 company-wide
speech and movie night activities; more than 1,800 employees attended
the activities.

2010
Corporate Social
Responsibility Report
z Group activities: We have 29 employee groups set up, which enjoy
more than 1,500 members. Each group meets or holds activity 1 ~ 4
times a week to give members the opportunity to move their body, use
their brain, or play with their hands. In 2009, employee groups held
more than 1,500 classes.
z Sports contests: The employee groups take turns sponsoring
basketball, table tennis, bowling, soft ball and badminton contests. In
2009, 16 sports contests participated by more than 1,000 employees
were held.
Wide variety of leisure activities for employees
32
Wide variety of leisure facilitiest
Tennis
court
Exercise
machines or
gym
Karaoke
room
Reading
room
Basketball
court
Internet
café
Badminton
court
Billiard
room
5.2.4 Health, Safety and Risk Management
MSI Taiwan
MSI Shenzhen
MSI Kunshan
Social Policy
MSI Taiwan, MSI Shenzhen and MSI Kunshan have all passed ISO 14001
and OHSAS 18001 certification. We ensure the normal functioning of our
system through daily check, internal audit, external audit and fire drill to
achieve the dual purposes of maintaining the health of employees and
providing a comfortable and safe work environment.
Organization and Responsibility
All three MSI plants (MSI Taiwan, MSI Shenzhen and MSI Kunshan) have
an ESH unit in place. The ESH unit in Taiwan is responsible for the central
planning of the annual health, safety and risk management program of all
three plants, while the execution and maintenance of routine operations
are handled by the professional personnel at respective plant. The ESH
personnel at the three plants hold an inter-plant ESH meeting once every
month. The meeting entails routine report on the status of safety, health
and environmental operations at each plant, discussion of ESH issues,
and proposition of improvement actions. Such regular meetings have
helped reduce the incidence of occupational injury and boost employee
satisfaction.

Workplace Injury
The plants hired more new workers
in 2008 to meet the needs of increased
capacity and some new workers had not
developed enough safety consciousness,
hence resulting in a rising trend in work
injuries. To address workplace injury issue,
we start from improving the work process
flows by posting detailed operating steps
and reminders at each production line and
painting the floors of workshops to mark
the separate lanes for pedestrians and
vehicles. We also install bells on forklift
and stackers to alert passing pedestrians,
and install mirrors at each turn of the
plant to minimize latent hazards in the
work environment.
Trends of Disabling Injury Frequency Rate
(DIFR) and Disabling Injury Severity Rate
(DISR), 2007 ~ 2009
100
80
60
40
20
0
DIFR DISR
The measures we have implemented evidently work as shown in the
significant improvement in the incidence of occupational injury with
disabling injury frequency rate dropping from 0.79 to 0.43 and disabling
injury severity rate dropping from 6 to 3. We will continue to improve
workplace safety as we endeavor towards to goal of zero-accident
workplace.
Emergency Response
To minimize workplace risks and keep injury and fatality to the
minimum when accident does happen, we take fire drill and chemical
leak drill in turns each year. The drill takes into account the nature of our
operations and associated latent risks, and covers dormitory area. The
purposes of the drills are:
1. to enable personnel understand the latent risk of accident and imbue
them with the basic concept of emergency response;
33
MSI 2010 Corporate Social Responsibility Report
2. to familiarize personnel with the
use of in-house fire extinguishers
and fire escape equipment;
3. to explain the composition of fire
safety and emergency response
team to make sure the emergency
response organization fully
functions and is able to effectively
evacuate the crowd in case of an
accident; and
4. to familiarize personnel with the
escape routes and emergency
rendezvous points to reduce the
incidence of stampede during
emergency evacuation.
We give foremost consideration to
personal safety. Our concern is not
limited to company employees. We
give equal consideration and equal
treatment to company contractors.
Thus aside from company employees,
contractors are also required to
participate in emergency response
training and fire drill. Through education, training and practice, we make
sure that all people working in the plant have heightened awareness to
safety and emergency response capability.
Monitoring and Testing
Education, training and practice enhance the
safety awareness and emergency response
capability of personnel
Employees typically spend more than 8 hours a day at workplace, and
their health is inevitably influenced by the conditions of environmental
they work in. Thus we conduct testing of lightning arrester, noise,
environment, waste water, drinking water, cooking fumes and food
to ensure the personal safety and health of employees with objective
scientific tests.

2010
To step up the management of
electrical safety, we install infrared
thermometers to test the high and
low voltage of electrical devices in
the plant and promptly undergo
inspection or replacement once
voltage irregularity is found to keep
the hazard of electrical equipment to
the minimum.
Corporate Social
Responsibility Report
All MSI plants come with cafeteria,
Environmental testing
coffee bar and bakery to provide
employees with convenient services. All such contractors must pass
qualification screening and are subject to constant onsite audit and
occasional environmental testing. Food samples are sent to an impartial
third party for testing from time to time to ensure its safety and sanitation.
We also conduct cafeteria food satisfaction survey every year to make
sure the food prepared by cafeteria contractor is “nutritious”, “wholesome”,
and in addition, “tasty”, for enjoyable food and healthy food can coexist.
Delicious, wholesome and nutritionally balanced cafeteria food
34
2009 Environmental Testing Items and Results
Social Policy
Clean and cozy dining environment
Test item Plant tested Result
Lightning arrester MSIS, MSIK
Normal
Boundary noise MSIT, MSIS, MSIK Normal
Workshop environment MSIS, MSIK
Normal
Wastewater MSIT, MSIS, MSIK Normal
Drinking water MSIT, MSIS, MSIK Normal
Cooking fumes MSIS, MSIK
Normal
Cafeteria food sample MSIT, MSIS, MSIK Normal
Personal Safety Gear Management
We explicitly declare in the “MSI Environmental, Safety, Health and
Corporate Social Responsibility Policy” that we will “step up the discovery
of latent risks and reduce risks to tolerable levels.” To achieve such goal,
ESH representatives selected by respective units together with the inhouse
ESH personnel would conduct latent risk assessment with respect
to operational characteristics and process every year, and based on the
risk level, examine the purchase, registration, pickup and use of personal
safety gear to ensure the work safety of personnel. We also conduct patrol
inspection and annual internal and external audits to ensure the correct
use of personal safety gear during work.

5.2.5 Employee Health
All plants have an infirmary staffed by professional and qualified
doctors and nurses to provide professional healthcare services. Besides
general outpatient care, the infirmary also provides the services of blood
drawing for testing and health counseling, and helps employees and their
families with refill prescriptions to pick up medications.
Health Care and Health Promotion
To care for the health of our employees, the physical examination
of employees paid for by the company covers more items than those
required by law. We offered
employees with preventive physical
exam program the first time in 2009
in the hope to ensure the health of
employees through early discovery
and early treatment.
We sponsor a series of health
care and health checkup activities,
including psychological counseling,
office health stretch exercise, Pap
Employees lining up to donate blood
smear, bone density exam, and flu
shot. We have also sponsored a number of blood donation drives to show
our care to the health and life of other people.
H1N1 Epidemic Control
When there was a global outbreak of H1N1 flu epidemic, our human
resources, general affairs, ESH units and infirmary promptly form an
emergency response team and establish a reporting system. The team
updated the disease information on a daily basis, carried out education
among employees, and published health reminders. The team also made
anti-septic liquid available at main entrances and exits for employees to
manage their own personal hygiene.
35
MSI 2010 Corporate Social Responsibility Report
During the epidemic period, all
plant visitors were required to have
their body temperature measured and
fill out a form to determine whether
they came from an epidemic area. All
visitors were also required to wear
a mask when they entered the plant.
To prevent the risk brought about by
employees returning from epidemic
area, we would track daily the list of
returning personnel and the flights
they took to keep track of their health
status.
January
February
March
April
May
June
July
August
September
October
November
December
Hepatitis B vaccination 200 persons
Routine check up for women of childbearing age
General health checkup
Health checkup for underage workers
Blood donation drive
Pap smear
Bone density exam
Seasonal flu shot
H1N1 vaccination
persons
persons
persons
persons
persons
persons
H1N1 vaccination
persons
Annual health checkup for employees who joined MSI in the last two years
Occupational health checkup
persons
Blood donation drive
persons
Employees received the CPR training
persons
persons
persons
MSI Taiwan MSI Shenzhen MSI Kunshan

5.3 Suppliers
5.3.1 Supplier Policy
2010
Corporate Social
Responsibility Report
We firmly believe that fulfilling corporate social responsibility is critical
to the sustained operation of an enterprise. Besides implementing and
promoting Electronic Industry Code of Conduct (EICC) and “Corporate
Social Responsibility” inside MSI, we also hope that our suppliers would
provide a safe work environment for their employees and treat their
employees with respect and dignity, and ensure that their processes and
products are environmentally responsible. Thus we drafted “Corporate
Social Responsibility Requirements for Suppliers” in 2009, hoping that
close supply chain collaboration will bring more benefits to customers,
the environment and society as a whole.
Micro-Star International Co., Ltd.
Corporate Social Responsibility Requirements
Micro-Star International Co., Ltd. (“MSI”) firmly believes that fulfilling its economic, environmental and social responsibility is an important key to the
sustained operation of an enterprise. Thus MSI hopes that enterprises, customers and suppliers that it does business with proactively and vigorously
promote internal compliance with the following economic, environmental and social responsibility requirements to advance the welfare of their
customers, employees, suppliers, community, and other stakeholders.
1. Supplier undertakes not to use child labor or hire employees who work under
coercion or threat.
2. Supplier undertakes that all of its employees are treated with respect and
dignity that it will not engage in any practice that constitutes inhuman
treatment or any form of psychological or physical maltreatment,
harassment, or discrimination against its employees. Supplier undertakes
that the work hours, wages and benefits of its employees comply with the
local laws and regulations, and that its employees enjoy the right of free
association, the right to elect representatives and the right to collective
bargaining.
3. Supplier undertakes to provide its employees with a healthy, safe and cozy
work environment.
4. Supplier warrants that it will periodically identify hazards in the work
environment, assess the risks and reduce the risks to the minimum through
preventive and corrective actions.
5. Supplier undertakes to provide its employees with clean and sanitary
dormitory and cafeteria, including clean, sanitary equipment, drinking water,
food and storage equipment.
6. Supplier undertakes to obtain environment-related permits from the local
environment, and carry out periodic maintenance, update and report to keep
such permits valid.
7. Supplier undertakes to implement pollution control and energy conservation
on a continual basis and that its treatment of waste water, solid waste,
hazardous substances, and polluted air complies with the regulatory
requirements.
8. Supplier warrants that its products comply with the international
environmental requirements, do not contain banned/restricted substances
and comply with the MSI “Green Product Control Specifications.”
9. Supplier undertakes to move towards the adoption of a corporate social
responsibility management system and periodically identify and understand
applicable domestic and foreign laws and regulations as well as customer
requirements.
10. Supplier undertakes that it will establish risk identification and risk
management process or procedures to properly reduce risks or to carry out
risk control.
11. Supplier undertakes that it will establish goals, objectives and
implementation plan for corporate social responsibility and periodically
evaluate the effect of plan execution.
12. Supplier undertakes to periodically communicate its corporate social
responsibility goals, objectives and implementation plan with its customers,
suppliers and employees.
13. Supplier undertakes to uphold business integrity and explicitly prohibit the
acceptance of any form of improper advantage, and prohibit the acts of
corruption, blackmail or embezzlement.
14. Supplier undertakes to establish a mechanism that will keep the identities of
the person reporting improper practice and the person being reported
confidential.
15. Supplier undertakes to respect and protect intellectual property rights and
engage in fair trade, advertising and competition.
16. Supplier undertakes to disclose information on its organizational structure,
operating status, business activities, and financial performance according to
customary business practice.
17. Supplier undertakes to participate in public interest activities within the
extent of its capacity to promote social harmony and progress.
36
5.3.2 Supplier Management
Social Policy
To ensure that all MSI suppliers are in compliance with work and
environmental safety related requirements, treat their employees with
due respect and dignity, their products and processes are environmentally
responsible, and that the quality, delivery, price and service of suppliers
conform to MSI requirements, and to avoid the latent risk of disruption
to our operations due to internal unscrupulousness or operational
omission on the part of supplier, we conduct supplier questionnaire
survey to enhance the understanding of our suppliers. We also build a
green product management platform for better material management
and hold the first supplier conference in 2009 to enhance communication
and mutual understanding and ensure the smooth working of the
supply chain, thereby lowering any potential impact on and risk to our
operations.
Supplier Risk Control: Questionnaire Survey and Analysis
Starting in 2009, we ask our suppliers to sign a Supplier EICC
Agreement and embark on supplier questionnaire survey. The
signing of Supplier EICC Agreement is to make sure a supplier’s labor
management, internal operations and ESH systems comply with the EICC
requirements and has the supplier committed to continuous improvement
and maintaining the quality and timeliness of delivery. The supplier
questionnaire survey enables us to understand better the operating
conditions of suppliers and provide necessary assistance to them, if
necessary.
We conduct analysis and risk rating based on the information provided
in the returned supplier questionnaires. For suppliers receiving low risk
rating, we would continue to work with them. For medium-risk suppliers,
we would ask them to take remedial actions or undergo education
and training within a given time period. We will put high-risk suppliers
under management, audit and reassessment. So far we have conducted
questionnaire survey of close to 100 key suppliers.

5.3.3 Contractor Management
Providing our employees with a safe and cozy work environment is our
responsibility. But we should also demand that our contractors do the
same to truly fulfill the responsibility of a corporate citizen and embrace
corporate ethics. All MSI contractors must comply with our operating
requirements before they are contracted for the work or allowed to
perform work inside a MSI plant.
To ensure operational safety, the contractor must apply to the plant ESH
unit for a special operation permit when the contract work involves firing,
elevated operation, specific electrical work, hoisting, caging or confined
space. The ESH unit would review the qualifications of the operators and
post notice on environmental, safety and health matters at the worksite.
Sign-off is also required when the work is completed. All files on the
special operation are documented and saved for future reference.
Supervision and Evaluation
If there is concern for imminent danger or major violation of ESH
regulations during the work, the contractor will be asked to stop the work
immediately and will resume work only after the unit contracting out the
work and ESH unit of the plant have jointly accepted the remedial actions
taken by it. The whole process will be documented under the contractor’s
record as reference in future contracting and contractor evaluation.
Work Quality Assessment
After a contract work is completed, the unit contracting out the work
will fill out a Contractor Work Completion Assessment Sheet to grade
the work quality and ESH compliance of the contractor. Contractors that
receive a score of 85 points or high are graded Class A vendor; contractors
with a score of 84 ~ 65 points are graded Class B vendor, and contractors
with a score under 65 points are graded Class C vendor. The original of the
assessment sheet is turned over to the ESH unit for keeping as reference
for future selection of contractor.
37
Penalty
MSI 2010 Corporate Social Responsibility Report
Any employee can report contractor’s violation of MSI ESH rules to the
ESH unit. The ESH unit will, in view of the situation, deduct payment, or
ask the contractor to stop work, or in case of serious violation, remove the
contractor from the approved vendor list.
Professional, qualified contractor washed
the exterior of plant building

2010
6 Public Welfare
“Hope is like a road,
There was no road there to start with,
Corporate Social
Responsibility Report
But as more and more people walk along the same route, a road
takes shape.”----Lu Xun
Under the impact of global financial storm, we experienced the first
ever decline in revenue and profit in the history of the company in 2009. It
has been our tradition to participate in and avidly support public welfare
activities. But in the face of such harsh challenge, we did mull over the
question: “Do we really have extra strength and energy to help others?”
As we firmly believe that success brings not just happiness and wealth,
but also more obligations, and we believe in the sage teaching of “honor
old people as we do our own parents and care for other’s children as our
own”, we did not cut our public welfare budget, but instead, increased the
spending in 2009. We hope that our actions will set a good example and
inspire more enterprises to follow suit as we strive to help each other to
sail safely through this round of economic crisis.
Besides possessing outstanding work competences, we also desire our
employees to be a “better person” who make contribution to themselves,
others, the society, and even the world. Thus at MSI Taiwan and MSI
Shenzhen, we have organized respectively the “MSI Love Volunteer
Corps” and “MSIS Volunteer Brigade” to give employees full support
in getting involved in social and public welfare activities. While helping
others, volunteers could witness their own growth and progress, and the
positive influence of their actions on their own family, the company and
the society. Volunteer work is one of our ways to act on the vision of “Green
Homeland and Beautiful Life.”
38
6.1 Community Giveback
Giveback to the Local Community
Social Policy
We have adopted the trees along some road sections in Zhonghe
for more than 10 years in the hope to help improve the air quality of
surrounding environment and the living quality of the local residents and
address the noise problem in the area. We are also a long-term sponsor
of the voluntary police squad and fire brigade in Zhonghe district and the
local Bureau of Environmental Protection, providing them with supplies as
a token of our gratitude to the local government agencies. Without their
assistance, we will not be able to have a safe and cozy work environment.
Humanitarian Aid in the Aftermath of Typhoon Morakot
Typhoon Morakot ravaged southern Taiwan in 2009, leaving several
hundred people dead and tens of billions of dollars in damages. We held
a senior management meeting right after the news of disaster came out
to discuss what we could do to help. Without affecting the rescue work
of the government and relevant agencies, several of our senior executive
officers visited the disaster-hit areas many times to get a handle on the
situation and contact the local government to discuss possible aids. Soon
after that, we donated NT$11,660,000 as funds to aid the victims and help
them rebuild their homeland.
Industry-Academia Cooperation to Help the Present and the
Future of School Children
Taiwan has been losing many blue-collar jobs as enterprises in
Taiwan moved their factories en masse to China and Southeast Asia. The
governments do provide subsidies to low-income families. The money
might meet the basic needs of daily life of those families, but not enough
for the education of their kids.

We hoped to provide
assistance to the children of lowincome
family so they can go to
school without worrying about
tuition. Thus we decided a twoprong
approach by offering
“grant” and “extracurricular
opportunities” that we would
help pay tuition, and in addition,
provide more free learning
opportunities.
MSI grant recipients
Collaborating with Taipei County’s Bureau of Education, we have been
sponsoring free lunch for 669 kids of low-income families to make sure
children get balanced and sufficient nourishment so they can grow and
develop healthily.
The “Little Sun Children’s Computer and English Camp” is a program
we sponsor to help kids of low-income families after many rounds of
discussion with Taipei County’s Bureau of Education and Bureau of Social
Affairs. The program lasted more than three months and had 8 sessions.
Under the program, low-income family children under the assistance of
the Bureau of Social Affairs or referred by school were led by students
of Chihlee Institute of Technology and Huafan University to attend a two
days and one night computer and English camp. The children shared their
thoughts at the end of the activity: “It was such a pleasant and happy two
days. I didn’t like English to start with. But after the patient tutoring of
those big brothers and sisters, I found out that English is not hard at all!”
We believe education has far-reaching influence on a person’s life.
Education could have a bearing on a person’s employability and
hence his or her financial security. Education could also influence the
cultivation and development of a person’s character. The education of
a child could potentially affect a family, while the education of many
children could affect the development and future of a society. Thus we
started to set up a grant program at many elementary schools, junior
highs, high schools and colleges in Taipei County in 2009 in the hope to
give kids of low-income families more opportunities to learn.
39
MSI 2010 Corporate Social Responsibility Report
Our grant recipients include 89 grade 1 to grade 12 students from Taipei
Municipal Jianguo High School, Taipei Municipal ZhongShan Girls’ Senior
High School, National Chung Ho Senior High School, National Panchiao
Senior High School, National HsinChuang Senior High School, Chongcing
Junior High School and Tucheng Junior High School and 39 college
students. We hope more than NT$3 million of financial aid from MSI will
support them to finish school without interruption and eventually help
them obtain a better future.
Environmental Volunteers – Yangtai Mountain Cleaning Activity
Guangdong Yangtai Mountain is known for its rich and enchanting
natural landscape and a popular scenic spot in Shenzhen. Because
of the crowd of visitors who tend to toss garbage everywhere, the
scenes of trash scattering along the trails are common when you visit
Yangtai Mountain. So MSI Shenzhen decided to hold a Yangtai Mountain
hiking and cleaning activity where participants would help clean up the
environment while they have an exercise outing.
MSI Shenzhen employees patiently picked up trash scattered around the mountain
On the day of the activity, more than one hundred volunteers from MSI
Shenzhen brought their own trash bag and picked up waste paper, plastic
bags, and empty bottles discarded by tourists in the bushes and around
trees as they climbed up the trail. Participants who brought sickle also
trimmed the weeds at the trail entrance. At the end of the day, participants
had the chance to limber up and appreciate the beautiful sceneries of
Yangtai Mountain, made a contribution to environmental protection, and
set a good example of a good corporate citizen.

2010
Corporate Social
Responsibility Report
“Learn from Lei Feng” Community Service Activity
“Do you know what is psychological counseling?” This question unfolded
the community service activity taken place at the square of Bingxi Town
Xibei Elementary School. At 8:00AM on March 5, 2009, the MSI Kunshan
community service team set itself up at the square to provide free
psychological counseling, social security counseling, legal assistance and
simple electrical appliance repair services to the local residents.
The weather was not cooperative on that day. Local residents with
umbrellas in hand waited patiently
in drizzles to wait for their turn. In
the three hours of activity, family
relations, disease counseling, dating
and relationship issues were the
most frequently asked questions.
Local residents gave members of the
community service team unreserved
praises. One resident commented:
“The people from this company really
make you feel good. They give you
help, but also bring you warmth like a
family member.” This was the first time
MSI Kunshan held such community service. The activity was a relatively
short one. But we are glad that it has received the support and assistance of
Kunshan government. More so, we are glad that the local residents could
feel warmth from the society while getting help from us.
The local residents of Kunshan waited in
patience to receive counseling
MSI vs. Yuan Ze vs. Nepal “Reducing the Digital divide” Activity
The belief in the teaching of “honor old people as we do our own
parents and care for other’s children as our own” is the force that drives
MSI to participate in public welfare activities. We also believe that the
implementation of this idea should not be limited to our countrymen or
people in the same ethnic group as ourselves. Within our capacity, we like to
help socially disadvantaged people, wherever they are. Yuan Ze University
has been doing the work of teaching computer or building computer
software infrastructure in developing countries for several years. In 2009,
because of the financial storm, they could not find companies to donate
computer software and hardware this year. After learning the objectives of
the Volunteer Corps and the target recipients of their assistance program,
40
we promptly agreed to donate nine
computers needed for the program.
One member of the Yuan Ze activity
team commented: “We are surprised
that MSI made so fast a decision and
donate all brand new computers,
instead of second-hands. We didn’t
anticipate such swift action.”
Social Policy
Yuan Ze volunteers visited an
elementary school in Katmandu,
Nepal in June 2009 to start a 26-day
“Reduce the Digital divide” program.
The program included computer teaching, assistance in building a library,
and cultural exchange between Taiwan and Nepal. At the conclusion of the
program, the computers were left to the local teachers and students. MSI
also asked its agent in Nepal to check on the activity and offer assistance to
the maintenance and operation of computer afterwards.
MSI vs. Chung Yuan vs. Cambodia “Unceasing Love and
Second-hand Computer Raising” Project
We collaborated with Chung Yuan Christian University on this “secondhand
computer raising” project in the hope that 4,000 students and teachers
of Wat Bo Elementary School in Cambodia would have more opportunity to
learn how to operate a computer and use computer.
With 20 computers donated by
MSI, the school is able to set up the
first computer classroom in the local
community that allows students to
learn the basic computer skills and
teachers to learn advanced computer
skills. We are glad the collaboration
between business and school this time
allows us to extend the reach of our
community giveback efforts to another
corner of the world and give help to
those who most need it.
Nepalese teachers learned attentively how to
operate a MSI netbook
MSI representative Mr. Chien Wayne (left)
accepted a letter of appreciation from Chief
Secretary Dr. Wu Chiao-Ming of Chung Yuan
Christian University (right)

6.2 Corporate Volunteer
The financial storm led to record high unemployment in Taiwan and
caused more havoc to low-income families. Under the call of MSI top
management, we decided to make use of our core competency –
outstanding personnel and professional knowledge in computer to organize
the “MSI Love Volunteer Corps” that takes “reduce the digital divide” as its
primary mission and provide children of low-income families free computer
lessons.
Through the help of
representatives of the Chinese
Youth Peace Corps, it was decided
that the MSI volunteers would
provide computing instruction
for a period of 10 weeks, to 30
aboriginal children in Grades 3 to
6 from Hsintien Elementary School
and Ch’ing-t’an Elementary School.
To ensure efficient use of
resources and avoid unnecessary
waste, the volunteers carried out
a search to see which surplus materials were available within the company.
These included T-shirts, stationery, toys, environmentally-friendly shopping
bags, stickers, mugs etc. that had been prepared for various company
activities. The volunteers racked their brains to find ways to make the
computing classes as interesting and
exciting as possible for the children.
This often involved showing a side to
themselves that their colleagues would
not normally see; for example, they
might integrate songs (accompanied
by guitar) into the classes, tell jokes, or
finish the class with a dance. The goal
in all of these efforts was to attract and
retain the interest of the children. To
Under the leadership of senior management,
the “MSI Charity Volunteer Corps” is organized
41
MSI 2010 Corporate Social Responsibility Report
Volunteers gathered together after work to discuss the teaching program and the production of props
ensure that the instruction provided was of a high quality, with rich content,
the volunteers would take a packed evening meal to Conference Room to
prepare for the next weekmselves th off duty. Teaching squad leader Adam
recalls how tongue-tied he was during the first training session. With an
embarrassed laugh, he notes that having the experience of getting up in
front of a class to teach has helped to improve his verbal communication
skills, giving him an unexpected reward from his participation in the
volunteering activity.
As the volunteers became more adept and professional at teaching, the
students reported to class earlier and earlier each week. Before 9:30AM,
everybody was set to go…….. Once the class been cancelled because H1N1
epidemic had reached peak in Taiwan. After that, before the class began, all
staff must take the steps of measuring body temperature, hand disinfection,
and wearing mask to ensure the health of the students and the volunteers.
Students attentively received the instructions of volunteers

Results
The teaching and learning continued despite the inconvenience caused by wearing mask
Student parent’s
thank-you letter
2010
Corporate Social
Responsibility Report
At the end of the program, the students all learned the basic computer
knowledge and word processing. But the most surprising change is that
the most mischievous student received the best grade and never missed
a class. “I think mainly because we believe all kids have potential and all
kids have the ability to learn”, comments the volunteer in charge of this
activity. What to do when a student is absent-minded? We encourage;
what to do when a student refuses to work? We encourage; what to do
when a student plays video game in class? We encourage again and
again.
In the last week of the program, all volunteers felt both relief and the
reluctance to end. September 26, 2009 was the last week of the computer
class. On that day, volunteers said to the students “So long” instead of
“See you next week.”
A student’s graphic design
42
Feedback
Social Policy
During the activity, we received thank-you calls and letters from many
parents. Some parents wrote on the weekly student notebook: “Thank you
for holding this activity. This is really special for us!” Getting a thank-you
note from parents is not the purpose of this activity, still we feel heartwarming
upon receiving the recognition and become more determined
to carry on such volunteer activities. Internally, the biggest change is that
MSI colleagues become chummier with each other and learn to cherish
and appreciate more.
Ten weeks, two hours a week of computer teaching is just the starting
point of MSI Love Volunteer Corps. We will continue to contribute our
efforts to the people on this land and hope that such efforts will be seeds
sown in the land that will flower and bear fruits.

Supplemental information 1: Contact Window
This report is issued in Chinese and English version, both can be
downloaded from MSI’s website. We welcome any comment about this
report, and are very interested in receiving feedback from our readers.
Please send comments to below contact person.
MSI
Management System Center
Rene Kao
Address: No.69, Lide Street, Jhonghe City,
Taipei County, Taiwan
Tel:+886 2 3234-5599 Ext:2613
Email:renekao@msi.com.tw
43
MSI 2010 Corporate Social Responsibility Report
Supplemental Information 2: GRI G3 Content Index
GRI G3 Content Index
Categories Activities Page Note
1.Strategy and Analysis
1.1 CEO Statement p4
1.2 Key impacts, risks and opportunities P8, P17
2.Organizational Profile
2.1 Name of the reporting organization P5
2.2 Products and/or services P7
2.3 Operational structure P9
2.4 Headquarter location P5
2.5 Countries in operation P6
2.6 Nature of ownership P5
2.7 Markets served P6, P7
2.8 Scale of the organization P9
2.9 Significant organizational changes P9
2.10 Awards received P13
3.Report Parameters
3.1 Report period P2
3.2 Previous report P2
3.3 Reporting cycle P2
3.4 Contact point for questions P43
3.5 Content definition P2
3.6 Boundary of the report P2
3.7 Limitations on the report’s scope P2
3.8 JVs, subsidiaries, and outsourcing Not disclosure
3.9 Data measurement techniques Not disclosure
3.10 Effects of information re-statement Not disclosure
3.11 Changes from previous reports P2
3.12 Standard disclosures P43
3.13 External assurance Not disclosure
4.Governance, Commitments, and Engagement
4.1 Governance structure P9
4.2 Indication Whether chairperson is also
executive officer
P4

2010
4.3 Independent members at the board P8
4.4 Mechanisms for Shareholders/employee
participation
P3
4.5 Executive remuneration and
performance
Not disclosure
4.6 Process to avoid conflict of interest at the
board
Not disclosure
4.7 Process to determine board expertise on
sustainability
Not disclosure
4.8 Mission and value statements P4
4.9 Procedures for board governance
on management of economic,
environmental, and social performance
Not disclosure
4.10 Processes for evaluation of the board’s
economic, environmental, and social
performance
Not disclosure
4.11 Precautionary approach principle Not disclosure
4.12 External charters/principle Not disclosure
4.13 Association memberships P13
4.14 List of stakeholders P3
4.15 Stakeholder identification P3
4.16 Approaches to stakeholder engagement P3
4.17
Economic
Topics raised by stakeholders P3
EC1 Direct economic value P5, P7
EC2 Financial implications due to climate
change
P17
EC3 Benefit plan Not disclosure
EC4 Financial government assistance Not disclosure
EC5 Entry level Wage (Add) Not disclosure
EC6 Local suppliers Not disclosure
EC7 Local recruitment P28
EC8 Infrastructure investment and services
for public benefit
P38, P39
EC9 Indirect economic impacts Environmental
(Add)
Not disclosure
Environmental
Disclosure on management approach P14-20
EN1 Volume of materials used Not disclosure
Corporate Social
Responsibility Report Public Welfare
44
EN2 Recycled materials P20
EN3 Direct primary energy consumption P19
EN4 Indirect primary energy consumption P24
EN5 Energy conservation (Add) P23
EN6 Initiatives for energy-efficiency and
renewable energy
P19
EN7 Initiatives for reducing indirect energy
(Add)
P23
EN8 Water Withdrawal P24
EN9 Effect of water withdrawal (Add) Not disclosure
EN10 Water recycled (Add) Not disclosure
EN11 Land assets in sensitive areas Not disclosure
EN12 Impacts on biodiversity Not disclosure
EN13 Habitats protected or restored (Add) Not disclosure
EN14 Strategies for biodiversity (Add) Not disclosure
EN15 Endangered species (Add) Not disclosure
EN16 Greenhouse gas emissions P18
EN17 Other greenhouse gas emissions P18
EN18 Initiatives to reduce greenhouse gases
(Add)
P23
EN19 Ozone-depleting substance emission P18
EN20 NOX, SOX and other air emissions P18
EN21 Water discharge Not disclosure
EN22 Waste by disposal method P20
EN23 Significant spills P20
EN24 Movements of hazardous Waste (Add) P20
EN25 Habitats affected by discharge and runoff
(Add)
Not disclosure
EN26 Environmental impact mitigation P23
EN27 Packaging materials P17
EN28 Non-compliance sanctions P20
EN29 Environmental impact of transport (Add) Not disclosure
EN30 Environmental protection expenditure
(Add)
P20
(1) Social: Labor Practices and Decent Work
Disclosure on management approach P26-P25
LA1 Breakdown of Workforce P26

LA2 Employee turnover P27
LA3 Benefits to full-time employees (Add) P30
LA4 Employees with collective bargaining
agreements
Not disclosure
LA5 Minimum notice periods Not disclosure
LA6 Workforce in joint health committee
(Add)
P28
LA7 Occupational injuries and absenteeism P32
LA8 Training on serious diseases P35
LA9 Trade union agreements on health (Add) Not disclosure
LA10 Training per employee P28
LA11 Programs for lifelong learning (Add) P29
LA12 Career development (Add) P29
LA13 Composition of governance bodies Not disclosure
LA14 Gender pay disparity P30
(2) Social: Human Rights
Disclosure on management approach P27-P28
HR1 Human rights clauses investment Not disclosure
HR2 Supplier screening on human rights P36
HR3 Training on human rights (Add) P36
HR4 Discrimination P27
HR5 Association and collective bargaining P28
HR6 Child labor P27
HR7 Forced labor P27
HR8 Training for security personnel (Add) Not disclosure
HR9 Violations of rights of indigenous people
(Add)
Not disclosure
(3) Social: Society
Disclosure on management approach P9
S01 Impact on communities Not disclosure
S02 Corruption risks Not disclosure
S03 Anti-corruption training Not disclosure
S04 Actions against corruption P27
S05 Lobbying P9
S06 Political donations (Add) P9
S07 Anti-competitive behavior (Add) Not disclosure
S08 Regulatory non-compliance sanctions P20
45
MSI 2010 Corporate Social Responsibility Report
(4) Social: Product Responsibility
Disclosure on management approach P16-P17
PR1 Health and safety impacts along product
life cycle
Not disclosure
PR2 Non-compliance with health and safety
standards (Add)
Not disclosure
PR3 Production information P17, P21-P22
PR4 Non-compliance with product
information standards (Add)
Not disclosure
PR5 Customer satisfaction (Add) P25
PR6 Communication programs Not disclosure
PR7 Non-compliance in marketing practices
(Add)
Not disclosure
PR8 Complaints regarding customer privacy
(Add)
Not disclosure
PR9 Product non-compliance Not disclosure

MICRO-STAR INT’L CO., LTD
No.69 Lide Street, Jhonghe City,
Taipei County, Taiwan
Tel: (02)3234-5599
Fax: (02)3234-5488
www.msi.com