Quality Integrity Report

1、 Report preparation specifications

The "Quality Integrity Report of Zhejiang Huixin Transmission Machinery Co., Ltd." reviews the concepts, systems, measures, and achievements of Zhejiang Huixin Transmission Machinery Co., Ltd. in quality management, product quality responsibility, and quality integrity management. Regarding the disclosure content of this report, the explanation is as follows: (1) Report scope: Organizational scope of the report: Zhejiang Huixin Transmission Machinery Co., Ltd. Report time range: January 2019 to December 2019 Report release cycle: This report is an annual report. (2) Objectivity statement of the report content. This report is entirely based on the actual production and operation situation of the company, and the content is objective and fair, without any false information, and is regularly disclosed, To accept social supervision and guidance.

2、 Speech by the General Manager of the company

Dear government quality supervision department, friends and colleagues from all walks of life: Zhejiang Huixin Transmission Machinery Co., Ltd. sincerely thanks all users of society for their love, support, and cooperation! Our company has advanced production processes and equipment, established a strict quality control system and a comprehensive after-sales service system, and is committed to developing into a reducer product manufacturer that is synchronized with and even leading internationally, with advanced manufacturing technology as the core. The company always adheres to the vision goal of "becoming a world-class gearbox equipment manufacturer and creating value for customers", adheres to the corporate mission of "serving the country through industry and contributing to society", and adheres to the core values of "respecting heaven and loving others - maintaining reverence for the laws of nature and inner morality". We continuously provide our users with environmentally friendly, safe, high-performance, and reliable high-quality products. Since its establishment, the company has received the care and help of leaders at all levels and friends from all sectors of society, as well as the valuable support of various distribution agents and supplier friends. On behalf of all employees of the company, I would like to express my sincerest gratitude to all leaders, friends from all walks of life, and all new and old customers who have cared for and supported the development of our company!

3、 Enterprise Introduction

Zhejiang Huixin Transmission Machinery Co., Ltd. Established in the 1980s, located in Ouhai District, Wenzhou City, Zhejiang Province. It is a professional R& D. A high-tech manufacturing enterprise that mainly produces and sells reducers, and is also a senior member unit of the China Reducer Association and the China Gear Professional Association. The company has an exquisite and excellent technical service team and numerous cutting-edge processing and testing equipment in China, aiming to create efficient services and more excellent quality. The company adheres to promoting sustainable development of the enterprise through technological innovation. Its main series of products include cycloidal reducers, worm gear reducers, mechanical continuously variable transmissions, modular reducers with hard tooth surfaces, and industrial gearboxes with hard tooth surfaces, which have won the trust and praise of users for many years. The company's unremitting pursuit is to "gather the elites of the world and improve the quality of the Xin nation". We believe that high cost performance products and services, as well as nearly thirty years of honest management, will definitely lay a solid foundation for mutual trust, mutual benefit, and mutually beneficial cooperation, and create brilliance together with our partners who work together with Huixin!

Enterprise Quality Integrity Report

1、 Enterprise Quality Philosophy

The quality philosophy of the company is: "Grasping the market depends on quality, customer satisfaction depends on sincerity." Quality is the foundation of the company's entrepreneurship and development. Strengthening quality awareness and implementing quality responsibilities are the primary tasks for implementing quality concepts. The basic concept of "who produces, who is responsible, and who benefits, who is responsible" should be widely promoted and implemented throughout the company. Especially for operators and managers, they should actively establish quality awareness and take responsibility for quality.

2、 Quality management

2.1 Quality Management Organization: The General Manager of the company personally presides over the investigation, discussion, and formulation of business strategies centered on quality. The deputy general manager and management representative of the company are fully responsible for the product quality and safety work of the company, and organize the formulation of the company's quality development strategy, annual quality work plan, and quality and safety assurance measures; Establish and implement advanced quality management systems and methods; Organize and implement mass quality activities such as quality improvement and quality tackling; Equip corresponding personnel and define their responsibilities, authorities, and interrelationships to ensure the establishment and maintenance of the quality management system, and promote continuous improvement. The quality management organization chart is as follows:

2.2 Quality Management System

Quality is the life of a company, and from the first day of its establishment, the general manager of the company regards product quality as the top priority. In quality management work, we have a high vision and develop quality policies and objectives that are suitable for the actual development of the enterprise. Striving for the best is not the best, only the better. We strive to create high-quality products with meticulous care and professional quality, always striving to win the satisfaction of customers with better quality. The company has successively passed various certifications such as the ISO9001 quality management system. The top leaders of the company pay attention to customers, attach importance to product quality, and maintain and improve the system, and the quality awareness of employees is generally high. The company leaders pay attention to the construction of infrastructure, invest funds year by year to purchase production and testing equipment, and renovate related facilities; At the same time, sufficient professional and technical personnel are recruited to enhance the guarantee ability of scientific research and production, and resource allocation meets the current needs of scientific research and production. In daily practical work, the system is continuously improved, updated, and improved, and the annual internal audit and management review work of the system is carefully organized and deployed. Through the annual internal audit, management review, and external supervision review, the system is continuously improved, ensuring the adequacy and effectiveness of our company's quality management system operation, and effectively ensuring product quality.

3、 Enterprise Quality Integrity

3.1 Quality integrity management

As a company, the premise for sustainable and healthy development is to operate in accordance with the law and be honest and trustworthy. The reason why our company's products have a good reputation, which can withstand the consideration of time, is entirely due to our company's honest management. For many years, the company has been operating with a high sense of responsibility towards consumers and employees. From the management to frontline employees, we always adhere to putting product quality first and considering quality as the life of the enterprise. We strictly follow national standards and relevant laws and regulations in design and development, procurement, production process control, product testing, after-sales service, and other aspects. We achieve tracking, monitoring, and management throughout the entire process from design and development to procurement, production, and after-sales, in order to provide customers with products that meet their needs and expectations. The company promotes its core values of "Respecting Heaven and Loving Love - Maintaining Respect for the Laws of Nature, and Respecting Inner Moral Laws" to all employees through education, training, and distribution of "Employee Handbook".

3.2 Quality Culture Construction Quality culture is an important component of corporate culture, which comprehensively reflects the purpose, concept, and ethical code of conduct pursued by enterprises in terms of quality. The core competitiveness of modern enterprises is not products and services, but excellent corporate culture. The company has formed a good atmosphere within the enterprise where everyone cares about quality and everyone is responsible for creating a brand. The company has also carried out a wide range of lively quality awareness activities to accelerate the transformation of outdated quality concepts among all employees, enhance their competitiveness and sense of responsibility, firmly establish a spirit of love and dedication among employees, and strive to meet customer requirements. Employees always remind themselves in their positions that the entire process of product implementation, including design and development, procurement, production, inspection, and after-sales service, directly affects the quality of the product and its market reputation. Therefore, strict quality control has become a conscious awareness of employees. The improvement of quality awareness has led to a high enthusiasm for all employees to participate in quality management. In the construction of quality culture, the company not only attaches great importance to the construction of information systems, enhancing its own technical strength, and improving its core competitiveness, but also attaches great importance to the education and training of employees. The company should develop a detailed employee training plan and organize its implementation every year based on the needs of employees in each position. If the department requests training as needed, it should also arrange it as much as possible. There are also various ways of training, including hiring internal and external engineers to teach, constantly updating knowledge and skills to keep up with the constantly evolving society and market, and evaluating the effectiveness of the training. In addition to hiring or introducing some talents, the company pays more attention to identifying and cultivating talents from within, and dares to discover and promote technical and management talents from frontline employees, not only based on their diplomas but also their level. They also pay attention to the combination of old and new, using old to lead new, and maintaining the vitality and continuity of the team. Through years of training and adjustment, the company has a clear management and technical talent pool, forming a good team of key positions, and laying the personnel foundation for the healthy development of quality management.

4、 Fundamentals of Enterprise Quality

4.1 Enterprise Product Standards

Our company adheres to customer requirements and actively adopts national and foreign standards in the design and production process, such as the International Organization for Standardization (ISO) standards, national standards (GB), industry standards, etc., greatly improving the quality of our products and promoting the development of the company's domestic and foreign markets. The company actively aligns with the Zhejiang manufacturing standard of T/ZZB 1033-2019 "FKRS Series Modular Reducers", and has also developed organizational environment and relevant party requirements management procedures, risk and opportunity response measures control procedures, identification and evaluation of environmental factors management procedures, hazard identification, risk assessment, and determination of control measures procedures, laws, regulations, and other requirements control program objectives Index and management plan control program Organizational change management control program Human resource management control program Infrastructure and work environment management program Monitoring and measurement resource control program and other management documents to standardize internal management work.

4.2 Enterprise measurement level

Send monitoring and measuring equipment to a department with verification or calibration qualifications for calibration or verification according to specified requirements, or compare it with measurement standards traceable to international or national sources, and organize calibration by the company according to specified time and procedure requirements. Clearly identify the calibration or verification status and keep calibration or verification records.

4.3 Certification and recognition status

The company has successively passed ISO 9001 quality management system, ISO 14001 environmental management system, ISO45001 occupational health and safety management system, etc. These certifications ensure the high quality of products, maintain a clean and pollution-free production environment, ensure the occupational health and safety of employees, comprehensively improve product quality, and ensure the norms and standards of various production and business activities.

4.4 Enterprise inspection level

The company strictly implements the "Metrology Law of the People's Republic of China" and other documents and regulations, and has established the "Monitoring and Measurement Resource Control Procedure". Quality inspection is fully responsible for the management of the company's measuring equipment, and full-time measuring personnel are responsible for the management, equipping, and regular calibration of the company's in use measuring equipment. At the same time, the company has strengthened professional training for measurement management personnel, providing strong guarantees for the standardization and standardization of measurement management in the company. The company's measuring instruments are equipped according to customer requirements, inspection standards, etc. At the same time, a complete testing system has been established, and enterprise testing centers with testing qualifications can conduct rigorous testing methods such as chemical analysis, mechanical testing, and physical testing. The company has established a comprehensive information management system, equipped with OA system and ERP system, which has laid a solid foundation for improving technological innovation ability, quality control ability, and enterprise management level. The main inspection or test items that can be carried out include: physical and chemical inspection, mechanical performance inspection, product pressure experiment, type and R&D experiment, etc.

4.5 Safety management of special equipment

The special equipment currently used by the company mainly includes cranes, forklifts, elevators, gas storage tanks, etc. According to the Special Equipment Safety Law of the People's Republic of China, management is strictly carried out in accordance with the requirements of laws and regulations. The company has formulated the "Infrastructure Control Procedure", established the "Equipment Management Ledger", and formulated specifications for the use, calibration, operator qualifications, maintenance and upkeep, emergency plans, and other aspects of special equipment. According to the requirements, the company conducts regular maintenance, invites qualified professional institutions to conduct annual inspections, and obtains calibration reports; Operators must undergo professional training and obtain certificates issued by professional institutions before they can take up their positions.

5、 Product quality responsibility

5.1 Product Quality Commitment

Commitment to Quality and Integrity: The company solemnly promises to the entire society and uses this as a means of self-discipline: 1. Establish a quality and integrity education and reward and punishment system. Organize employees to learn quality integrity standards in accordance with system requirements, improve their awareness of quality integrity, and keep relevant records; Implement quality integrity responsibilities based on the job responsibilities of employees, establish a quality integrity performance evaluation and reward and punishment mechanism, and promote employees to actively participate in the construction of enterprise quality integrity. 2. Establish a quality integrity inspection system. Equip qualified or competent inspection personnel in accordance with relevant regulations; Strictly inspect or verify raw materials, purchased or outsourced parts, and keep relevant inspection or verification records according to regulations; Equip necessary factory inspection equipment, conduct strict quality inspection on the final product according to standard requirements, ensure that unqualified products do not leave the factory, and keep product factory inspection records according to regulations; Regularly verify or standardize the inspection and testing equipment in use to ensure that it meets the requirements. 3. Establish an after-sales service system. Provide product instructions to customers; Establish customer profiles; Establish an after-sales service network to help customers solve problems encountered during product use within the promised time, properly handle customer complaints and complaints about product quality, and strive to satisfy customers; Conduct customer satisfaction surveys to understand customer needs and continuously improve quality. 4. Our company has established an effective recall and traceability system for products related to human health, personal and property safety. Timely recall of products found to have defects; Timely and properly handle product quality accidents, and hold relevant responsible persons accountable. 5. Carry out quality integrity and self-discipline activities in the form of labeling to indicate quality. Express or make public commitments regarding the characteristics of the raw materials, quality performance, or quality level used in the product that reflect the quality status of the product. If the quality issues of our company's products result in domestic and foreign notifications, returns, or destruction, we voluntarily accept the relevant treatment required by the state and relevant treaties.

5.2 Product after-sales responsibility

The company has developed a complete set of rigorous and mature after-sales service systems, which can effectively and quickly trace, repair, replace, recall, etc. when there are quality, safety, and other hidden dangers in the factory products, ensuring the smooth and accurate recall of related hidden danger products and effective handling. The company solemnly promises that if there are quality issues with its products, and it is confirmed through joint investigation between the company and relevant departments that it is indeed the company's responsibility, the company will strictly comply with relevant laws and regulations such as the Product Quality Law, and sincerely apologize to customers. The company has never had an actual recall due to product quality and safety accidents this year.

5.3 Corporate Social Responsibility

5.3.1 Safety Management

In order to ensure the effective implementation of our company's safety production investment, the company has established a safety production management committee, implemented a hierarchical responsibility system for safety production management positions, signed a safety production responsibility letter, organized safety training, equipped with fire safety equipment, regularly conducted company wide safety inspections, developed emergency plans, and implemented safety "three simultaneities". The company establishes safety responsibilities for various functional departments and personnel at all levels. The company also formulates the following rules and regulations: (1) safety production inspection system; (2) Safety production education and training system; (3) Safety production assessment, reward and punishment system; (4) Work injury accident management system; (5) Equipment and facility safety management system; (6) Site safety management system; (7) Electrical safety management system; (8) Labor protection equipment management system; (9) Safety investment guarantee system; (10) Safety meeting system; (11) Fire safety management system. At the same time, the company has established a special account for safety production expenses, ensuring that the funds are used exclusively. Participate in work-related injury social insurance in accordance with the law, pay work-related injury insurance premiums for employees, and provide labor protection equipment that meets national or industry standards for employees. Provide three-level safety education and special operation personnel training for new employees entering the factory. The statistical report of work-related accidents should be handled according to the principle of "four not to let go". The company has established and improved job safety operating procedures, and trained operators on the safety operating procedures for their respective positions. The company adheres to the occupational health and safety management requirements of "continuous improvement, ensuring employee safety and health", fully relies on scientific management, adheres to safety first and prevention first, continuously improves the effectiveness of the management system, eliminates various hazards and hidden dangers to the maximum extent, avoids and reduces damage to the health and safety of employees and all personnel entering the workplace, and the company's property, and strives to improve the company's management level.

5.3.2 Environmental Protection

The company has identified applicable environmental laws and regulations in its daily management and strictly implemented national, provincial, and municipal environmental protection related laws and regulations. The main pollutant is domestic sewage. The company entrusts a third-party monitoring station to inspect the sewage, boundary noise, and unorganized emissions generated by the company every year. The test results all comply with relevant standards and there are no excessive emissions. The solid waste generated during the company's production process is entrusted to qualified enterprises for recycling and disposal, and there are no environmental pollution incidents. The company actively responds to the national call, saves resources, promotes clean production, and reduces pollutant emissions. The company has passed the ISO 14001 environmental management system certification.

6、 Quality Risk Management

（1） Take preventive measures in advance and prepare well for production. If everything is done beforehand, it will be done immediately, and if it is not done beforehand, it will be abandoned. Before the product is officially put into production, it must go through a complete set of preparation activities. 1. Order review. The company organizes a review meeting for each order and contract to determine whether the company's production capacity can be reached, whether materials can be purchased, whether the price is reasonable, especially the quality, whether it can meet customer needs, and whether it can be tested. 2. Prenatal meeting. Before each production order, discussions are organized on technology, quality, production, and material management, mainly focusing on the structure, style, specifications, material performance, manufacturing process, etc. of the product to determine whether the technology can be achieved, whether there are risks in production, and whether quality issues can be controlled. 3. Trial production. Before mass production, products are produced in small batches to truly test the feasibility of theory from practice, ultimately determining whether the product can be launched in large quantities, and promptly identifying and resolving quality issues.

（2） Strictly control, minimize quality risks, and ensure quality control. Adhere to the one-stop supervision from design and development, raw material procurement, production, and inspection to minimize quality risks. 1. Design and development stage. The company always insists that the quality of its products is designed. According to the relevant design and development regulations, strive to do a good job in product project initiation, design review, and design verification. According to the design requirements, control the production of samples, identify quality problems in practice, overcome quality difficulties, and identify the prone points of quality problems. 2. Product production process. High quality products rely on standard and standardized production to achieve. The company adheres to the production philosophy of "getting things right the first time" and adheres to the principle of "three no's". The production line has formulated work instructions for each process based on the technical documents of the technical department. Each operator strictly operates according to the technical documents and work instructions, and always adheres to the principles and methods of comprehensive quality management. A system of first inspection, self inspection, random inspection, and final inspection (full inspection) has been established to ensure the quality assurance of the production process. 3. Quality inspection stage. Quality inspection is the ultimate guarantee of high product quality. We have established an inspection process consisting of incoming inspection, semi-finished product inspection, patrol inspection, final inspection, and outgoing inspection, with each process executed according to the inspection standards.

（3） 1. Actively respond and promptly handle quality complaints. To ensure continuous improvement of product quality, enhance the company's quality service level, and improve customer satisfaction, the company has established a complaint handling process in accordance with the requirements of the ISO9001 quality management system. The complaint handling process is: when the business receives information that may be a product complaint, it should immediately review or evaluate the information. These information may be the only information about this incident and should be included in the complaint record; Determine whether the information constitutes a product complaint, and if the information does not constitute a product complaint, no further action is required; Write the detailed information of the complaint in the record; Investigating product complaints, regardless of whether there is a root cause, should be conducted to determine whether non conformities have occurred and whether the corrective/corrective measures related to the complaint are appropriate. 2. The company conducts an annual questionnaire survey on customer satisfaction, which includes product quality, delivery time, service, and other aspects. Customers evaluate various aspects of product requirements and expectations, and then conduct statistical analysis of the data to determine the next direction for quality performance optimization and upgrading, as well as the goal of improving sales and service quality.

Conclusion of the report

Quality is the foundation of enterprise survival, and the level of quality is a barometer that reflects the comprehensive strength of the enterprise. To remain invincible in fierce competition, enterprises must pay close attention to quality and continuously improve their quality management level. The company always adheres to the quality policy of "grasping the market depends on quality, customer satisfaction depends on sincerity", with innovation as the premise to promote technological progress, implementing lean production, ensuring high-quality and efficient as the key, and establishing advanced testing systems as quality assurance, in order to establish an efficient quality management system and establish a quality concept for all employees. In the process of quality management, establish new quality concepts, strictly control quality checkpoints, promote quality culture construction, do a good job in quality publicity, improve employee quality awareness, adhere to the three principles of "not accepting defective products, not manufacturing defective products, and not flowing out defective products", and continue to strive for the goal of "Made in Zhejiang" being domestically leading and internationally first-class.