Harmonizing management goals with social demands to
improve business value and achieve sustainable growth.
Introduction of Ethics
and Conduct Regulations
The purpose and objective of the Ethics and Conduct Regulations in Lotte Shopping Co., Ltd.
To be reborn as a world-renowned distribution business that aims at the betterment of humanity, environment-friendliness, and cultural life, we attempt to promote the social and national development in pursuit of the customers’ affluent life by observing ethical values, fair trade, and ethics management.
The background of establishing the Ethics and Conduct Regulations in Lotte Shopping Co., Ltd.
When a business loses ethicality, it causes fall of the business credit rating externally while being disregarded by the consumers and investors. As the business ethicality gets exposed instantly due to the developed information exchange, the business may suffer from severe social disapproval. Also, it diminishes the ethics and devotion of the employees internally. Ultimately, the vicious circle of reduced sales and profit in the business continues.
The major contents of Ethics and Conduct Regulations in Lotte Shopping Co., Ltd.
Plege on
customers
Customer respect,
customer satisfaction,
creation of customer
trust
Responsibility
and obligation
on stockholders
Security of sincere
management,
transparency of
management, right to
know among the
stockholders
Basic ethics of
the emplyees
Standard observance,
good faith, mutual
respect, ability
development
Proper
relationship
with partners
Fair trade, pursuit of
mutual development,
prohibition of non-
ethical acts to partners
Social and
national
responsibility
Stable business activity,
non-political accident
prevention
Introduction of the Office of Ethics Management in Lotte Shopping Co., Ltd.
It aims to evaluate the practice of Ethics and Conduct Regulations and ethics code of Lotte and Lotte Shopping Co., Ltd. In addition to the external PR, it also promotes the effective operation of the self-developed ethics code program.
Meanwhile, it intends to solve all issues occurring in the company, such as internal and external unfair trade andsexual harassment in the workplace, through a report system. Such efforts will serve the role of a compass for the practice of business ethics as it prevents non-ethical activities through the education on business ethics.
Report Center
The Office of Ethics Management in Lotte Shopping Co., Ltd. welcomes reports and suggestions on contradictory business ethics. We will do our best to reflect your suggestions to the ethics management.
Report Center
ADDRESS Management Improvement Team of Lotte Department
Store Zip code) 100-070, 701, Taeyang Bldg, 11, Namdaemun-ro
7-gil, Jung-gu, Seoul
Protection of an internal reporter For the settlement of practical business ethics, we provide a protection system for an internal reporter. We promise to take every possible means for the effective operation of the system and the protection of a reporter.
Full text of Ethics
and Conduct Regulations
The purpose and objective of the Ethics and Conduct Regulations in Lotte Shopping Co., Ltd.
For the realization of the sustainable growth as a topnotch global business, Lotte Shopping Co., Ltd. exerts the utmost efforts for CSR of the business and pursues the common interest of the interested parties, nation, and mankind by thinking, judging, and taking action. To realize these, the Ethics and Conduct Regulations to be
Chapter 1. General provisions
Article 1 [ Purpose ]
This regulations aims to accelerate the ethical management activities by setting the standards of the proper acts and value judgment of Lotte Shopping Co., Ltd. and the matters related to the afore-mentioned objectives.
Article 2 [ Application scope ]
This regulations aims to accelerate the ethical manage
Article 3 [ Application scope ]
Chapter 2 Pledge to the customers
We will prioritize our customers, respect customer opinions, act with sincerity, and continue creating new values based on our customers’ perspectives so as to win their endless trust.
Article 4 [ Customer respect ]
We will always courteously listen to customer opinions, actively address the customers’ valid demands, and think from the perspective of our customers when making all decisions and actions.
Article 5 [ Customer satisfaction ]
We will embody the spirit of customer respect to maximize customer satisfaction.
Article 6 [ Creation of customer trust ]
We will attend our customers with sincerity to rise as a well-recognized and trusted corporation.
Chapter 3 Responsibility and obligation on the stockholders
We will raise the market value of our stocks through sincere management based on righteousness, innovation, and transparency.
Article 7 [ Customer respect ]
All employees will adhere to the company’s articles of association, company rules, and relevant laws to carry out sincere management and improve company value.
Article 8 [ Transparency maintenance ]
The management documents will adhere to the general principles of business management and will be properly prepared and notified according to the business accounting standards.
Article 9 [ The right to know among the stockholders ]
We will respect the stockholders’ right to know and respect their valid requests or suggestions.
Chapter 4 Basic ethics of employees
The employees of Lotte Shopping Co., Ltd. will always prioritize customer value and pursue a customer-oriented, fair, and bright corporate culture based on customer trust. Based on this ideology, we will exert our utmost efforts to uphold the company’s reputation and individual workers' dignity through adherence to positive law, social regulations, and ethical values. We will also sincerely fulfill our responsibilities and obligations as employees and use mutual respect, active attitude, and creativity to contribute to the development of the company.
Article 10 [ Observation of regulations ]
Employees will refrain from all actions that go against positive law, company regulations, social values, and conscience.
Article 11 [ Good faith ]
We will give our best to sincerely complete all tasks that are our duties, and engage in our work in honesty and fairness,
Article 12 [ Mutual respect ]
We will respect individual value and inherent dignity of each person, and give our best to create a healthy and happy work life.
Article 13 [ Ability development ]
Based on a firm background knowledge and refinement required as a worker, we will take pride and confidence as a Lotte member.
Chapter 5 Proper relationship with partners
We will reinforce mutual trust and cooperation through transparency and fair trade, so as to pursue mutual growth under the free market competition.
Article 14 [ Fair trade]
Article 15 [ Pursuit of mutual development ]
Article 16 [ Prohibition of non-ethical acts on partners ]
Chapter 6 Social and national responsibility
By constantly reminding ourselves that the company exists only on top of a stable foundation in the nation and society, we will promote healthy business practices to develop the company and create social wealth, so as to contribute to bringing a bountiful life for the people and social development for the nation.
Article 17 [ Stable business activity]
We will respect social values to undertake practical and healthy business activities.
Article 18 [ Non-political intervention]
Lotte Shopping Co., Ltd. will refrain from meddling in politics.
Article 19 [ Environment-friendliness ]
We will continue to implement activities aimed at preserving the earth and exert our utmost efforts for saving the environment.
Article 20 [ Safety management and accident prevention ]
Lotte Shopping Co., Ltd. believes that the protection of safety for our employees, workers dispatched from suppliers, and customers is a crucial management requirement that should be complied by businesses. Furthermore, the Lotte Shopping Co., Ltd. personnel will ensure strict safety management for the customers and do their best to follow all regulations regarding accident prevention.
Supplementary provisions
Article 1 [ Period of execution ]
Article 2 [ Prohibition of retroactivity]
These provisions are not applicable for unethical behaviors conducted prior to the effective date.
Article 3 [ Installation and operation of Ethics Management Committee ]
Article 4 [ About report ]
For all actions that do not fit into the social norms listed in the provisions, the employees should report the action prior to or right after its occurrence. Reporting and handling procedures will be detailed in a separate regulation for the Ethics Management Committee.
Article 5 [ Operation of internal report system and protection of a reporter ]
Article 6 [ Reward and punishment]
Article 7 [ Standard of interpretation ]
Article 8 [ Revision ]
Renewal of the application of this provision will follow the decision by the board.
Detailed guideline of Ethics
and Conduct Regulations
"We promise to practice ethics management through ethical values and fair trade."
01. Pledge to the customers
1. Customer respect
We vow to always pay heed to customer opinions, comply with customer demands, and make our customers as the yardstick for all decisions and actions.
2. Customer satisfaction
We vow to sincerely respect our customers and maximize customer satisfaction.
3. Creation of customer trust
We vow to stay honest to our customers, to become a well-loved and trusted company.
02. Execution of objective and fair business
1. Clarity and transparency
Employees should perform their duties with clarity and transparency.
2. Standing up against unjust orders
Employees should stand up against wrongful orders that hamper the fairness of operations.
3. Ban on the abuse of power
Employees should not abuse their ranks or power to make unfair demands or benefit from unethical disbursements.
03. Relationship with partners
1. Fair business practice
Employees should refrain from complicating fair business practices by imposing the following onto suppliers.
2. Business meals with suppliers
All meal costs pertaining to meetings with suppliers will be paid by the company.
3. Supplier evaluation
Supplier evaluation will be conducted in a transparent and fair manner according to a clear standard.
4. Promises with the supplier
We will keep our promises with our suppliers
5. Fair information provision
We will not discriminate in providing information when consulting with the suppliers.
04. Prohibition of benefit acquisition using the company asset
1. Prohibition of utilizing company assets for personal use
Employees should refrain from using company assets for personal reasons.
2. Prohibition of secondary occupations, double occupations
Employees should refrain from engaging in secondary occupations or double occupations without the explicit approval from the company.
3. Effective management of company budgets
The company’s budgets should be used practically and efficiently according to the objectives and standards of the company.
05. Protection of company information
1. Prohibition on leaking confidential information
Employees should not leak confidential or highly classified company information to external parties, and even after leaving the company, the information acquired during work cannot be given to external parties without prior approval by the company.
2. Prohibition on using inner sources for personal gains
Employees should not use confidential information acquired during employment at the company to pursue personal gains.
3. Distortion or destruction of information
Employees should not distort, fabricate, or destroy information related to the company, and should not propagate false information or rumors.
06. CSR
1. Healthy corporate practices
Healthy and practical corporate practices that respect social norms and values.
2. Environment-friendly practices
Environment-friendly policies
3. Safety management and prevention of accidents
Safety management and accident prevention