AUO Corporation’s Biaxial Transformation Yields Resilience and Receives the National Quality Award

“This is the result of the collective efforts of all AUO employees,” said Paul Peng, Chairman of AUO. “Receiving the National Quality Award is not just an acknowledgment; it's a responsibility. It encourages AUO to continuously make improvements internally amidst the global industry transformation, implement risk management, strengthen operational control, and pursue the corporate goal of achieving excellence. We aspire to break boundaries not only in the field of display technology but also in collaboration with all stakeholders, continuously innovating towards a sustainable development vision, enhancing corporate value, and bringing boundless potential and a brighter future to the world.”

The National Quality Award is the highest honor for business quality management in Taiwan, initiated, presented, and recognized solely by the Executive Yuan. It includes categories such as comprehensive business quality and specific business fields, evaluating aspects including leadership, strategic management, research and innovation, customer and market development, human resources and knowledge management, information application strategy and management, process management, and operational performance. Through rigorous evaluation mechanisms and on-site inspections, AUO has demonstrated strong operational resilience and comprehensive quality management under its biaxial transformation, earning the Business Merit Award in the Total Business Excellence category of the 27^th National Quality Award.

Enhanced Operational Resilience through Integrating Biaxial Transformation with Comprehensive Quality Management

Over the past few years, AUO has been implementing its biaxial transformation strategy. "Go Premium" aims to maximize the added value of display technology, while "Go Vertical" deepens applications in vertical markets. It has steadily improved corporate operational resilience through diversified business investments and the establishment of ecosystem partnerships. AUO has also integrated "Total Quality Management (TQM)" into its organizational structure, forming the TQM committee and involving all employees in continuous optimization of organizational operations and management.

AUO’s achievements include the establishment of the AUO expert evaluation mechanisms in R&D, focusing on the development of products and services for medium and long-term niche markets, and integrating advanced display technologies into various fields, such as using AUO’s AmLED (Adaptive mini LED) technology for medical displays, providing exclusive local dimming display technology that offers precise image quality and enhances product stability. In terms of R&D outcomes, 97 percent of registered patents are invention patents. Furthermore, AUO was recognized as one of the "Top 100 Global Innovators" by Clarivate and LexisNexis, reflecting AUO’s robust capability to create high market value.

On the process front, AUO has gradually achieved green transformation through smart manufacturing. It has applied AI and big data in hardware and software on production lines, enabling remote monitoring and precise prediction of equipment maintenance needs through process smartification, automation, and standardization, increasing production efficiency and quality stability. AUO’s Taichung and Longtan fab received recognition and were selected as members of the Global Lighthouse Network. Furthermore, AUO has independently developed a 100 percent process water full-recycling solution for the manufacturing process, applied at its Longtan fab. AUO is also a member of the global renewable energy initiative, RE100, and the first company in the global display industry to commit fully using renewable energy by 2050, consistently offering smart and sustainable solutions.

In terms of customer engagement, AUO has deepened its presence in the existing display market. Notably, the company holds the leading position globally in automotive central information displays, and offers the most comprehensive range of display products in the gaming sector. AUO is also a pioneer in the automotive Display HMI (Human-Machine Interface), utilizing cutting-edge Micro LED display technology to create innovative smart cockpits and enhance human-machine interaction across various applications. Beyond display technology, AUO continues to research and innovate in various domains such as healthcare, mobility, retail, enterprise and education, intelligent service, and energy solutions, which collectively contribute to 17 percent of the overall revenue in the year 2023.

Cross-domain innovation efforts have also strengthened AUO's financial resilience. Over the past decade (2012 to 2023), its net debt-to-equity ratio has decreased from 90.7 percent to 16.9 percent. In the face of intense competition, AUO has demonstrated its long-term cumulative achievements, steadily enhancing its overall corporate value.

While developing its global businesses, AUO is firmly committed to investing resources and efforts in corporate governance, environmental sustainability, social engagement, and creating a friendly workplace. Through diverse channels and interactions with stakeholders, AUO strives to realize its vision of "Go Beyond CSR, Create Shared Values".

By achieving comprehensive quality management in organizational operations and demonstrating robust resilience, AUO receives the "National Quality Award," the highest recognition in business quality management in Taiwan. Pictured on the left is Chien-Jen Chen, Premier of the Executive Yuan, and on the right is Paul Peng, Chairman of AUO

AUO has been implementing its biaxial transformation strategy, focusing on aspects such as "Go Premium," to maximize the added value of display technology. This includes creating transparent Micro LED displays and applying them into smart cockpit designs to expand the diverse range of human-machine interaction applications

With one of its biaxial transformation strategies, "Go Vertical," AUO deepens its applications in vertical markets, such as replacing traditional posters with high-quality displays, creating paperless new retail environments, and providing consumers with high quality digital experiences

AUO has gradually achieved green transformation through smart manufacturing. It has applied AI and big data in hardware and software on production lines, enabling remote monitoring and precise prediction of equipment maintenance needs through process smartification, automation, and standardization, increasing production efficiency and quality stability