ESG

Overview

ESG Value

CLASSYS is dedicated to delivering customer-oriented and innovative products and solutions, enabling beauty and happiness for all.
We firmly believe that ESG values will help shaping CLASSYS’ sustainable future, and We are committed to exploring and implementing ways for the company and society to coexist and thrive together.

ESG Strategy

CLASSYS drives sustainable ESG value creation through stakeholder communication. Our transparent and professional governance, focused on ethical management, supports strategic initiatives like mutual growth, quality management, and carbon neutrality. Through cross-functional collaboration, we embody ESG values, keeping stakeholders informed of our sustainable progress and processes.

ESG Ratings

CLASSYS are committed to creating ESG value.
  • KCGSB+(2022)
  • SUSTINVESTA(2022)
  • Recognized as an Excellent Company in Governance by KCGS (2024)
  • SUSTINVESTAA(2023)
  • KCGSB+(2023)
  • MSCIBBB(2023)
  • MSCIA(2024)
  • KCGSA+(2024)
  • SUSTINVESTAA(2024)
  • Recognized as an Excellent Company in Governance by KCGS (2024)

ESG Report

CLASSYS Sustainability reportCLASSYS transparently reports on our actions to shape a sustainable future.
History

ESG Policy

We establish and implement policies for ESG value. We will communicate transparently with stakeholders about our progress and performance in accordance with these policies.

Environmental

Building Carbon Neutrality and Environmental Governance

Classys is committed to achieving carbon neutrality by 2050. To that end, we are driving a range of initiatives to reduce greenhouse gas emissions and build a robust governance system for carbon neutrality.
Our ESG strategies and performance are reviewed and approved by the Board of Directors, while a dedicated team is in charge of setting environmental goals, monitoring progress, and leading environmental campaigns.
In addition, our EHS (Environment, Health & Safety) team proactively monitors regulatory changes related to the environment and develops responsive action plans. Each department across the company works collaboratively to meet established environmental objectives.
The EHS team also monitors the execution of environmental initiatives, offers guidance when needed, and reports regularly to the CEO.
  • Establishing Board oversight
  • Dedicated EHS Team
  • Regular screening of environmental and safety laws and regulations
  • Energy and GHG inventory and monitoring
  • Company-wide education and campaigns
  • Additional KPIs for environmental indicators
  • Linking performance evaluation to compensation
  • Fostering a culture of embodying ESG
  • Continuous performance analysis and improvement

Our Environmental Management System and ISO 14001 Certification

Environmental Compliance

Classys regularly identifies EHS risks at business sites and within production processes, deriving key tasks for improvement. We monitor task implementation through indicator reviews and regular assessment. A regional environmental regulations database tracks legislative trends in real time, allowing us to proactively assess and address compliance risks. We help employees cultivate environmental compliance capabilities through regular training and awareness campaigns, while EHS personnel receive specialized training and benchmark best practices from leading environmental businesses. These accomplishments in our environmental management practices are then published in our annual sustainability reports, ensuring transparent communication with stakeholders.
Through this proactive framework, Classys has not experienced any violations of environmental regulations, incidents, or related lawsuits to date. We remain committed to ongoing compliance and risk management in adherence to environmental laws.

Social

Sustainable Growth and Mutual Growth

CLASSYS is seeking talented people who can grow sustainably together, driven by customer-oriented values.
We provide diverse opportunities for shared growth.

Growth for Our Sustainable Future

  • Respecting
    diversity
  • Onboarding
    education
  • Core Values
    education
  • Leadership training
    programs
  • Expert training
    programs
  • Fair
    evaluations

Embracing Diversity and Creating a Welcoming Work Environment

CLASSYS believes in providing equal opportunities during talent recruitment and has implemented various programs to foster a harmonious work-life balance.
  • Support for personal
    development

    (up to KRW 1,000,000 per year)
  • Staggered working hours
    (between 8 am to 10 am)
  • Lunch and
    dinner provided
  • Support for
    in-house club activities
  • Support for
    holiday bonuses
  • In-house cafeterias
    and lounges
  • Support for health
    check-ups
  • Shortened working hours during pregnancy
  • Parental leave
  • Pre and
    postnatal leave
  • Support for
    vacation allowances
  • Flexible use of
    paid time off
  • Congratulatory and Condolence Support
  • Summer Vacation
    Allowance
  • Long-Service Awards

A MOEL-designated Best Job-Creation Company

Health, Safety, and Information Security

CLASSYS employs secure and transparent management practices to prevent disasters and incidents.
  • Operating a Dedicated EHS Team
  • Managing Safety and Health Regulations
  • Implementing Safety Accident Prevention Measures
  • Developing and Enforcing Accident Prevention Strategies
  • Company-wide Education and Campaigns
  • Performance Measurement and Continuous Improvement
  • Operating a Dedicated IT Team
  • Managing Information Protection and Privacy Policies
  • Establishing Information Security Systems
  • Regularly Disposing of Personal Information
  • Preventive Management of Information Incidents
  • Company-wide Education and Campaigns

Quality Management

CLASSYS has implemented a robust quality management system and
processes to ensure the production of highly reliable and top-quality products.
  • Compliance with Good Manufacturing
    Practice (GMP) certification from the
    Ministry of Food and Drug Safety (MFDS)
    for our production and quality management
    of medical devices
  • Compliance with ISO 13485 for
    a quality management system
    in the medical device industry
  • Qualified product approvals from reputable
    authorities such as the Ministry of
    Food and Drug Safety Administration and
    CE certification
  • In-House Quality Inspections
  • Continuous Quality Improvements
    • Product Education
    • Expert Training Programs
    • Suggestion System
    • TFT Program, etc.
  • Thorough Tracking Management
    • UDI
    • Serial

Our Quality Management System and ISO 13485 Certification

End-to-End Quality Management Process

  • Risk and Quality Management at the R&D Stage
    – Identifying and minimizing risk factors from the earliest design stages based on ISO 14971
    – Ensuring product safety and efficacy through multidimensional testing, including material properties, usability, and environmental adaptability
  • Quality and Risk Management in the Supply Chain
    – Managing raw material quality through supplier evaluations
    – Driving continuous quality improvements across the supply chain based on a CAPA (Corrective and Preventive Action) system
  • Quality and Risk Control in the Manufacturing Stage
    – Adhering to global quality standards such as ISO 13485, GMP, and MDSAP
    – Applying preventive quality management methodologies to ensure consistent product quality and prevent recurrence of quality issues
  • Quality and Risk Management in Sales and Distribution
    – Enabling product traceability through serial number tracking
    – Ensuring quality throughout the distribution process through dealer and user training
  • Quality and Risk Monitoring during Customer Use and Support
    – Providing user education and accurate product information
    – Collecting and incorporating customer feedback to implement user centered quality improvements
  • Post-Market Surveillance
    – Conducting post-market studies and responding to quality claims
    – Continuously improving product quality through data-driven analysis and actions

Governance

Results of the 10th Annual General Shareholders’ Meeting

Agenda Item Result Ratio to Total Voting Shares Remarks
Attendance
Rate
Approval Rate Dissent/ Abstention Rate
Agenda Item 1. Approval of the 10th Consolidated and Separate Financial Statements (Cash Dividend of KRW 257 per Share) Approved 75.9% 74.8% 1.1%
Agenda Item 2. Partial Amendment to the Articles of Incorporation Approved 75.9% 75.9% 0.0%
Agenda Item 3. Appointment of Shin Kyung-ja as an Outside Director Approved 75.9% 75.9% 0.0%
Agenda Item 4. Appointment of Shin Kyung-ja as an Audit Committee Member Approved 47.3% 99.9% 0.1%
Agenda Item 5. Approval of Remuneration Ceiling for Directors Approved 75.9% 75.9% 0.1%
Agenda Item 6. Approval of Stock Option Grant by BOD Resolution Approved 75.9% 75.9% 0.1%

(Note 1) The number of shares with restricted voting rights under the Commercial Act was excluded.

Dividend information for the last 5 years

Category Cash dividend per share (KRW) Total cash dividends (KRW) Consolidated cash dividend payout ratio (%) Dividend yield (%)
2020 60 3,882,550,080 10.2% 0.4%
2021 66 4,271,313,024 9.8% 0.3%
2022 116 7,471,451,656 9.9% 0.6%
2023 200 12,799,903,800 17.2% 0.5%
2024 257 16,833,843,352 17.2% 0.5%

Appointment and Composition of the Board of Directors

The board of directors (BOD) is responsible for determining the company’s management objectives and strategies, as well as effectively supervising management to promote growth and protect stakeholders’ interests. To fulfill these functions effectively, the BOD is organized and operated with transparency in accordance with all legal procedures. The BOD consists of directors appointed by the GSM in accordance with the Korean Commercial Act and Classys’ Articles of Incorporation. As of the end of March 2025, the BOD comprised eight directors: one executive director, four non-executive directors, and three outside directors. Information on director candidates is disclosed in detail in the notice of convocation and the electronic voting system, with final appointments confirmed at the GSM. In accordance with Article 363 of the Commercial Act and Article 21 of the Articles of Incorporation, shareholders are notified at least two weeks prior to the meeting by written or electronic notice, specifying the date, location, and agenda. When the appointment of directors is included on the agenda, candidate names, backgrounds, and relevant information are provided. Director candidates are recommended from various channels, including shareholders and stakeholders. Evaluation and selection criteria comprehensively consider diversity, expertise, and alignment with the company’s direction. Factors such as race, nationality, gender, place of origin, or religion are not limiting. Rather, independence of judgment is a key criterion. Candidates who share the company’s vision and management philosophy and can provide meaningful insights are selected. For independent directors, candidates undergo additional review and recommendation by the Nomination Committee to ensure objectivity. The committee also reviews selection criteria annually to ensure appropriateness and continuous improvement.

Careers and Term

Name Key Experience Appointment date* Term of office
Baek, Seung Han
CEO
& Chair of the Board
B.A., Health Science, Yonsei University 2022.03.31 2022.04.18 ~
2026.03.27
MBA, Helsinki School of Economics
2017-2022 CEO, Beckman Coulter Korea
2017-2022 Director, Danaher Korea
2019-2021 Chair, In Vitro Diagnostic Products Committee of Korea Medical Devices Industry Association
2022-present CEO, CLASSYS Inc.
Kim, Dong Wook
Non-executive director
BE in Electrical Engineering, Seoul National University 2022.03.31 2022.03.31 ~
2026.03.27
MBA, Columbia Business School
2006-2020 Managing Director, Citigroup Global Market Security
2020-present Partner, Bain Capital Private Equity
2022-present Non-executive director, CLASSYS Inc.
Kim, Hyunseung
Non-executive director
BS in Industrial Engineering, Seoul National University 2022.03.31 2022.03.31 ~
2026.03.27
2018-present Senior executive director, Bain Capital Private Equity
2022-present Non-executive director, CLASSYS Inc.
Choi, Yong Min
Non-executive director
Bachelor of Science in Applied Mathematics & Economics, Brown University 2024.03.28 2024.03.29 ~
2026.03.27
2014-2022 Principal, Bain Capital Private Equity (Asia), LLC (Hong Kong)
2022-2025 Managing Director, Bain Capital (Korea) Co., Ltd.
2024-present Non-executive director, CLASSYS Inc.
Park, Wan Jin
Non-executive director
BA of Economics, Stanford University 2022.03.31 2022.03.31 ~
2026.03.27
MS of Management Science & Engineering, Stanford University
2016-present Managing director, Bain Capital Private Equity
2022-present Non-executive director, CLASSYS Inc.
Park, Jun Hong
Outside director
BA in Management, Seoul National University 2022.03.31 2022.03.31 ~
2026.03.27
MA, Business School, Seoul National University
MBA, University of Michigan—Ann Arbor
2017-2020 Managing director/Vice president, Johnson & Johnson, Vietnam
2022-present Outside director, Ildong Holdings Co., Ltd
2022-present  Outside director and Audit Committee member,
CLASSYS Inc.
Kwon, Hyuk Jin
Outside director
BA in Economics, College of Social Science, Seoul National University 2022.03.31 2022.03.31 ~
2026.03.27
MA in Financial Management, Business School, Seoul National University
Ph.D in Finance & Accounting, Business School, Dongguk University
2020-2021 Director/Vice president, Jungjin Accounting Corp.
2021-2024 Full-Time auditor, Kolon Life Science
2021-present Adjunct Prof., Dongguk Univ. (Dept. of Accounting)
2022-present Outside director and chair of Audit Committee, CLASSYS Inc.
Shin, Kyung-ja
Outside director
B.A./M.A. in English Lit., Ewha Womans University 2025.03.31 2025.03.31 ~ 2026.03.30
MBA, The Fuqua School of Business, Duke University
2016-present Head of Marketing, Asia Pacific Platform & Device, Google
2025-present Outside director and Audit Committee member, Classys

* The above appointment date reflects the initial appointment date, even if reappointed.

Board Skill Matrix

Category Baek,  Seung Han Kim, Dong Wook Kim, Hyun seung Choi, Yong Min Park, Wan Jin Park, Jung Hong Kwon, Hyuk Jin Shin, Kyung-ja
Committees, etc. Audit Committee
Nomination Committee
Compensation Committee
Outside Directors Council
BSM Medical Equipment Industry
Healthcare and Beauty Industries
Accounting and Finance ○**
Sales and Marketing
Diversity
M&A

*●: Chair
** Certified public accountant

Activities

2024

Date Agenda Result Outside directors’ Approval/ Attendance/ Capacity
Feb. 14, 2024 Report Agenda 1) Report by the CEO on the Internal Controls Operation Status over Financial Reporting
Agenda 1. Approval of the 9th Financial Statements
Agenda 2. Approval of the 9th Business Report
Agenda 3. Approval of Bonus Payments
Agenda 4. Amendment of Internal Accounting Management Regulations and Guidelines
Reported
Approved
Approved
Approved
Approved
3/3/3
Feb. 27, 2024 Agenda 1. Approval of the Cancellation of Treasury Stock
Agenda 2. Resolution on Dividends
Approved
Approved
3/3/3
Mar. 13, 2024 Report Agenda 1) Report on the Internal Controls Evaluation over Financial Reporting by the Audit Committee
Agenda 1. Partial Amendment of Board Operating Policies
Agenda 2. Cancellation of Stock Option Grant
Agneda 3. Nomination of Director and Audit Committee Member Candidates
Agenda 4. Convening of Regular General Shareholders’ Meeting and Submission of Agenda
Agenda 5. Evaluation of the Board of Directors, Board Committees, and Individual Directors
Reported
Approved
Approved
Approved
Approved
Approved
3/3/3
Mar. 29, 2024 Agenda 1. Appointment of CEO Approved 3/3/3
Mar. 29, 2024 Agenda 1. Appointment of Compensation Committee Members
Agenda 2. Appointment of Nomination Committee Members
Agenda 3. Selection of Lead Outside Director
Agenda 4. Approval of Remuneration for Registered Directors
Report Agenda 1) Report on the Evaluation of the Audit Committee’s Audit Activities
Report Agenda 2) Report on Adjustments to Financial Statements Before and After Auditing
Approved
Approved
Approved
Approved
Reported
Reported
3/3/3
May 8, 2024 Reporting Agenda 1) Q1 Financial Results
Reporting Agenda 2) Business Plan
Reporting Agenda 3) Anti-Corruption Plan
Agenda 1. Establishment of Compliance Program guidelines
Agenda 2. Appointment and Dismissal of Compliance Officer
Agenda 3. ESG Materiality Assessment Results
Agenda 4. ESG Management Performance Results
Agenda 5. Establishment of a Local Subsidiary in Japan
Reported
Reported
Reported
Approved
Approved
Approved
Approved
Approved
3/3/3
June 25, 2024 Agenda 1. Cancellation of Stock Option Grant
Agenda 2. Approval of Stock Option Grant
Approved Approved 3/3/3
June 25, 2024 Agenda 1. Approval of Merger Agreement
Agenda 2. Determining the Record Date for Shareholder
Approved Approved 3/3/3
June 25, 2024 Agenda 1. Approval of Special Bonus Agreement Approved 3/3/3
Aug. 13, 2024 Report Agenda 1) Q2 Financial Results
Report Agenda 2) Compliance Program Operation Plan
Reported Reported 3/3/3
Aug. 13, 2024 Agenda 1. Approval of a Small-Scale Merger Approved 3/3/3
Sep. 14, 2024 Agenda 1. Approval of Supplemental Special Bonus Agreement
Agenda 2. Approval of Supplemental Agreement on Post-Closing Adjustment for Share Purchase Agreement
Agenda 3. Approval of Non-Exercise of Termination Right and Continuation of Merger
Approved Approved Approved 3/3/3
Sep. 19, 2024 Agenda 1. Approval of Change in GSM Date for Final Merger Report Approved 3/3/3
Sep. 25, 2025 Agenda 1. Approval of Loan to Ilooda Co., Ltd. Approved 3/3/3
Sep. 25, 2025 Agenda 1. Approval of Settlement Agreement for Damages Approved 3/3/3
Oct. 2, 2024 Agenda 1. Report and Disclosure of Merger Progress Report
Agenda 2. Notification of Registration of Branch Office
Approved Approved 3/3/3
Nov. 8, 2024 Report Agenda 1) Q3 Financial Results
Report Agenda 2) Succession Plan
Report Agenda 3) Financial and Non-Financial Risks Activities of Chief Risk Officer
Report Agenda 4) Report on Environmental and Occupational Health & Safety Management Performance Results Report
Agenda 5) Evaluation of Compliance Controls and Programs Effectiveness
Agenda 1. Appointment of Compliance Officer
Agenda 2. Approval of Concurrent Service as Director and Auditor at Subsidiaries
Reported Reported Reported Reported Reported Approved Approved 3/3/3
Nov. 8, 2024 Agenda 1. Approval of Branch Office Establishment Approved 3/3/3
Dec. 10, 2024 Agenda 1. Approval of Treasury Stock Trust Agreement Approved 3/3/3
Dec. 17, 2024 Agenda 1. Approval of Additional Capital Contribution and Debt Guarantee for the Japan Subsidiary Approved 3/3/3

2023

Date Agenda Result Outside directors’ Approval/ Attendance/ Capacity
Feb. 15, 2023 Report Agenda 1) Report by the CEO on the Internal Controls Operation Status over Financial Reporting
Agenda 1. Approval of the 8th Financial Statements
Agenda 2. Approval of the 8th Business Report
Agenda 3. Approval of the Introduction of Electronic Voting
Agenda 4. Approval of Bonus Payments
Reported
Approved
Approved
Approved
Approved
3/3/3
Mar. 13, 2023 Report Agenda 1) Report by the Audit Committee on the Internal Controls Evaluation over Financial reporting
Agenda 1. Amendment of the Articles of Incorporation
Agenda 2. Resolution on Dividends
Agenda 3. Amendment of Stock Option Regulations
Agenda 4. Granting of Stock Options
Agenda 5. Convening of Regular General Shareholders’ Meeting
Reported
Approved
Approved
Approved
Approved
Approved
3/3/3
Mar. 13, 2023 Agenda 1. Approval of the Extension of the Trust Contract for the Acquisition of Treasury Stock Approved 3/3/3
Mar. 30, 2023 Report Agenda 1) Report on Adjustments to Financial Statements Before and After Auditing
Report Agenda 2) Report on the Audit Committee’s Evaluation of Audit Activities
Agenda 1. Approval of Remuneration for Registered Directors
Reported
Reported
Approved
3/3/3
Mar. 30, 2023 Agenda 1. Granting of Stock Options Approved 3/3/3
May. 04, 2023 Agenda 1. Acquisition of Redeemable Convertible Preferred Stock of Another Company Approved 3/3/3
May. 18, 2023 Report Agenda 1) Q1 Settlement Results
Report Agenda 2) ESG Strategy Report
Agenda 1. Partial Amendment of Board Operating Policies
Agenda 2. Selection of Lead Outside Director
Agenda 3. Establishment and Appointment of Members of the Compensation Committee
Agenda 4. Establishment and Appointment of Members of the Nomination Committee
Agenda 5. Approval of Asset Management Plan
Reported
Reported
Approved
Approved
Approved
Approved
Approved
3/3/3
Aug. 10, 2023 Report Agenda 1) Q2 Settlement Results
Agenda 1. Approval of ESG Materiality and Business Performance
Reported
Approved
3/3/3
Sep. 04, 2023 Agenda 1. Decision to Purchase Shares Issued by Another Company
Agenda 2. Approval of Extension of Trust Contract for the Acquisition of Treasury Stock
Approved
Approved
3/3/3
Nov. 07, 2023 Report Agenda 1) Q3 Settlement Results
Report Agenda 2) Succession Plan
Report Agenda 3) Risk Management Activities of the Chief Risk Officer (Financial/Non-financial)
Report Agenda 4) Anti-corruption Plan Implementation Results According to Classys’ Code of Ethics
Reported
Reported
Reported
Reported
3/3/3
Nov. 07, 2023 Agenda 1. Approval of Termination of Trust Contract for the Acquisition of Treasury Stock Approved 3/3/3
Dec. 20, 2023 Agenda 1. Approval of New ERP Development Approved Approved 3/3/3

Outside Directors Council

Introduction

To strengthen the independence of outside directors in supervising and supporting executive management, Classys operates an Outside Directors Council consisting of all our outside directors. Its composition is made up solely of outside directors, excluding management, ensures free and objective discussions within the council, and promotes the company’s growth and shareholder rights.
As decided by the outside directors, Park Jun-hong, an outside director who had previously served as the head of a global pharmaceutical and healthcare subsidiary, was appointed to lead the Outside Directors Council in 2023. The council collects opinions from outside directors and communicates them to the board and/or management. Additionally, Classys supports the operation of the council by providing all the necessary resources and, if needed, covers the costs of any consulting experts.

Members
Name Key Experience Appointment date* Term of office
Park, Jun Hong
Outside director
BA in Management, Seoul National University 2022.03.31 2022.03.31 ~
2026.03.27
MA, Business School, Seoul National University
MBA, University of Michigan—Ann Arbor
2017-2020 Managing director/Vice president, Johnson & Johnson, Vietnam
2022-present Outside director, Ildong Holdings Co., Ltd
2022-present  Outside director and Audit Committee member,
CLASSYS Inc.
Kwon, Hyuk Jin
Outside director
BA in Economics, College of Social Science, Seoul National University 2022.03.31 2022.03.31 ~
2026.03.27
MA in Financial Management, Business School, Seoul National University
Ph.D in Finance & Accounting, Business School, Dongguk University
2020-2021 Director/Vice president, Jungjin Accounting Corp.
2021-2024 Full-Time auditor, Kolon Life Science
2021-present Adjunct Prof., Dongguk Univ. (Dept. of Accounting)
2022-present Outside director and chair of Audit Committee, CLASSYS Inc.
Shin, Kyung-ja
Outside director
B.A./M.A. in English Lit., Ewha Womans University 2025.03.31 2025.03.31 ~ 2026.03.30
MBA, The Fuqua School of Business, Duke University
2016-present Head of Marketing, Asia Pacific Platform & Device, Google
2025-present Outside director and Audit Committee member, Classys

* The above appointment date reflects the initial appointment date, even if reappointed.

Activities

2024

Date Agenda Result
Sep.25, 2024 Agenda 1. Report and Discussion on PMI Outcomes Approved

2023

Date Agenda Result
Nov.29, 2023 Agenda 1. Discussion on the Board Evaluation Proposal Approved

Compensation Committee

Introduction

Classys is committed to ensuring objectivity and fairness in decisions regarding the compensation of executive directors. To that end, we have established a Compensation Committee composed exclusively of directors who have no personal or professional ties to the executive directors. This committee is tasked with aligning the executive compensation package with the company’s long-term goals and interests.
The Compensation Committee employs a holistic approach in evaluating compensation packages. This includes consideration of both short-term and long-term goals as well as a blend of financial and non-financial indicators. It conducts regular reviews and evaluations to check if compensations are appropriately made, considering both financial indicators—business performance, profitability, and stock performance—and non-financial indicators—sustainable management factors and productivity. This comprehensive evaluation guarantees that compensation for executive directors is in line with the company’s strategy and performance in both financial and non-financial areas.
Additionally, the committee reviews the balance between financial and non-financial incentives. Financial incentives include short-term performance-based bonuses and long-term performance-based rewards such as stock options, which are directly linked to pre-defined performance goals and the company’s long-term growth. Non-financial incentives include recognition of leadership, supportive work environments promoting innovation, and career growth.
The Compensation Committee and the BoD actively discuss evaluating and adjusting the compensation structure as needed. Through this approach, Classys aligns the interests of executive directors with those of the company, thus promoting sustainable long-term value creation.

Members
Name Key Experience Appointment date Term of office
Kwon, Hyuk Jin
Outside director & Chair of the Compensation Committee
BA in Economics, College of Social Science, Seoul National University 2023.05.18 2023.05.18~
2026.03.27
MA in Financial Management, Business School, Seoul National University
Ph.D in Finance & Accounting, Business School, Dongguk University
2020-2021 Director/Vice president, Jungjin Accounting Corp.
2021-2024 Full-Time auditor, Kolon Life Science
2021-present Adjunct Prof., Dongguk Univ. (Dept. of Accounting)
2022-present Outside director and chair of Audit Committee, CLASSYS Inc.
Kim, Dong Wook
Non-executive director
BE in Electrical Engineering, Seoul National University 2023.05.18 2023.05.18~
2026.03.27
MBA, Columbia Business School
2006-2020 Managing Director, Citigroup Global Market Security
2020-present Partner, Bain Capital Private Equity
2022-present Non-executive director, CLASSYS Inc.
Park, Wan Jin
Non-executive director
BA of Economics, Stanford University 2023.05.18 2023.05.18~
2026.03.27
MS of Management Science & Engineering, Stanford University
2016-present Managing director, Bain Capital Private Equity
2022-present Non-executive director, CLASSYS Inc.
Activities

2024

Date Agenda Result
Feb. 27, 2024 Agenda 1. Stock Ownership Guidelines
Agenda 2. Clawback Policy for Variable Compensation
Agenda 3. Review of Individual Performance and Performance-based Compensation for Executive Director(s)
Agenda 4. Review of Remuneration Limits for Registered Directors to be Proposed at the General Shareholders’ Meeting
Approved
Approved
Approved
Approved
Nov. 8, 2024 Agenda 1. Appointment of Committee Chair
Agenda 2. Short-Term Incentive Criteria for Executive Directors
Approved
Approved

2023

Date Agenda Result
Nov. 22, 2023 Agenda 1. Criteria for Short-term Incentive Payments for Executive Director(s) Approved

Nomination Committee

Introduction

Classys’ Nomination Committee reviews and evaluates candidates for outside director positions. Candidates must meet the qualifications required by relevant laws and the company’s articles of incorporation, have no significant conflicts of interest with Classys, and be able to make independent management decisions and supervise management effectively. The committee selects candidates with extensive knowledge and experience in areas such as the medical device industry, healthcare and beauty, accounting and finance, sales and marketing, diversity, and M&A. It prioritizes candidates who can independently make assessments from diverse perspectives, regardless of their race, nationality, gender, region of origin, religion, or professional background.
To ensure fairness in the recommendation and appointment process of outside directors, Classys provides detailed information about candidates, including their key career achievements, relationship with the company, and reasons for the recommendation, through a shareholders’ meeting notice and reference materials.

Members
Name Key Experience Appointment date Term of office
Park, Jun Hong
Lead Outside director
BA in Management, Seoul National University 2025.03.31 2025.03.31 ~
2026.03.27
MA, Business School, Seoul National University
MBA, University of Michigan—Ann Arbor
2017-2020 Managing director/Vice president, Johnson & Johnson, Vietnam
2022-present Outside director, Ildong Holdings Co., Ltd
2022-present  Outside director, CLASSYS Inc.
Baek,  Seung Han
Executive director
B.A., Health Science, Yonsei University 2023.05.18 2023.05.18~
2026.03.27
MBA, Helsinki School of Economics
2017-2022 CEO, Beckman Coulter Korea
2017-2022 Director, Danaher Korea
2019-2021 Chair, In Vitro Diagnostic Products Committee of Korea Medical Devices Industry Association
2022-present CEO, CLASSYS Inc.
Kim, Hyunseung
Non-executive director
BS in Industrial Engineering, Seoul National University 2023.05.18 2023.05.18~
2026.03.27
2018-present Senior executive director, Bain Capital Private Equity
2022-present Non-executive director, CLASSYS Inc.
Activities

2024

Date Agenda Result
Mar. 12, 2024 Agenda 1. Recommendation of Outside Director Candidates Approved
Nov. 8, 2024 Agenda 1. Appointment of Committee Chair
Agenda 2. Establishment of Criteria for Selecting Outside Director Candidates
Approved
Approved

2023

Date Agenda Result
Nov. 29, 2023 Agenda 1. Establishment of Criteria for Selecting Outside Director Candidates Approved

Introduction

Members of the Audit Committee are appointed at the general shareholders’ meeting, with due consideration given to legal requirements and independence. The Audit Committee is composed of individuals with expertise in accounting, finance, and relevant industry knowledge, and who are free from any material interests with the company or its management, thereby ensuring independence in their supervisory role.
The committee reviews and oversees key management activities, including financial audits and evaluations of the internal accounting control system. It also monitors the operation of internal control mechanisms and deliberates on matters submitted to the general shareholders’ meeting, as well as other duties specified in the Articles of Incorporation. The Audit Committee discusses agenda items such as internal accounting controls and internal audit results, maintaining regular communication with external auditors.
Classys provides the Audit Committee with the necessary management data to perform its duties and regularly shares updates on key corporate matters to support the committee’s oversight. To enhance members’ understanding of the business and maintain their auditing expertise, the company also conducts regular training sessions.

Members

Name Key Experience Appointment date* Term of office
Park, Jun Hong
Lead Outside director
BA in Management, Seoul National University 2022.03.31 2022.03.31 ~
2026.03.27
MA, Business School, Seoul National University
MBA, University of Michigan—Ann Arbor
2017-2020 Managing director/Vice president, Johnson & Johnson, Vietnam
2022-present Outside director, Ildong Holdings Co., Ltd
2022-present  Outside director and Audit Committee member, CLASSYS Inc.
Kwon, Hyuk Jin
Outside director
BA in Economics, College of Social Science, Seoul National University 2022.03.31 2022.03.31 ~
2026.03.27
MA in Financial Management, Business School, Seoul National University
Ph.D in Finance & Accounting, Business School, Dongguk University
2020-2021 Director/Vice president, Jungjin Accounting Corp.
2021-2024 Full-Time auditor, Kolon Life Science
2021-present Adjunct Prof., Dongguk Univ. (Dept. of Accounting)
2022-present Outside director and chair of Audit Committee, CLASSYS Inc.
Shin, Kyung-ja
Outside director
B.A./M.A. in English Lit., Ewha Womans University 2025.03.31 2025.03.31 ~ 2026.03.30
MBA, The Fuqua School of Business, Duke University
2016-present Head of Marketing, Asia Pacific Platform & Device, Google
2025-present Outside director and Audit Committee member, Classys

* The above appointment date reflects the initial appointment date, even if reappointed.

Activities

2024

Date Agenda Result
Feb. 14, 2024 Report Agenda 1) Final Report on Internal Accounting Controls
Report Agenda 2) In-Person Report by the CEO on the Internal Controls Operation Status over Financial Reporting
Report Agenda 3) Report on the Financial Statements Settlement and the Business Report
Report Agenda 4) Report on External Audit Contract Conclusion
Report Agenda 5) Report on Internal Audit Results
Report Agenda 6) Report on the Operation Status of the Internal Reporting System
Report Agenda 7) Report on the Status of Disclosure Compliance
Agenda 1. Evaluation of the Internal Controls Operation Status over
Financial Reporting
Agenda 2. Revisions to the Internal Control over Financial Reporting Regulations and Guidelines
Reported
Reported
Reported
Reported
Reported
Reported
Reported
Approved
Approved
Mar. 13, 2024 Agenda 1. Review of Agenda Items for the Regular General Shareholders’ Meeting
Agenda 2. Evaluation of the Effectiveness of the Audit Committee, Its support Team, and Internal Accounting Control System
Agenda 3. Approval of the Audit Report and Auditors’ Opinion
Approved
Approved
Approved
Mar. 18, 2024 Report Agenda 1) Communication with the External Auditors Approved
Mar. 29, 2024 Agenda 1. Appointment of the Audit Committee Chair and Designation of the Order of Acting Chair in Case of Vacancy
Agenda 2. Appointment and Dismissal of the Audit Committee Support Team
Agenda 3. Post-evaluation of the External Auditors
Agenda 4. Approval of Annual Plans for the Audit Committee, Internal Audits, and Internal Control over Financial Reporting
Approved
Approved
Approved
Approved
May 8, 2024 Report Agenda 1) Q1 Financial Results
Report Agenda 2) Interim Report on Internal Accounting
Report Agenda 3) Operational Status of the Whistleblower System
Report Agenda 4) Disclosure Compliance Report
Reported Reported Reported Reported
May 29, 2024 Report Agenda 1) Communication with External Auditor Reported
Aug. 13, 2024 Report Agenda 1) Communication with External Auditor
Report Agenda 2) Q2 Financial Results
Report Agenda 3) Interim Report on Internal Accounting
Report Agenda 4) Outcome of Amendments to Accounting Guidelines for Tangible and Intangible Assets
Report Agenda 5) Internal Audit Results
Report Agenda 6) Operational Status of the Whistleblower System
Report Agenda 7) Disclosure Compliance Report
Reported Reported Reported Reported Reported Reported Reported
Nov. 8, 2024 Report Agenda 1) Q3 Financial Results
Report Agenda 2) Interim Report on Internal Accounting
Report Agenda 3) Operational Status of the Whistleblower System
Report Agenda 4) Report on the Status of Disclosure Compliance
Report Agenda 5) Ad Hoc Internal Audit Results
Reported Reported Reported Reported Reported
Dec. 17, 2024 Report Agenda 1) Communication with the External Auditor Reported

2023

Date Agenda Result/td>
Feb. 15, 2023 Report Agenda 1) Final Report on Internal Controls over Financial Reporting
Report Agenda 2) In-person Report by the CEO on the Internal Controls Operation Status over Financial Reporting
Report Agenda 3) Report on the Business Report and Financial Statements Settlement
Report Agenda 4) Report on External Audit Contract Conclusion
Report Agenda 5) Report on Internal Audit Results
Report Agenda 6) Operation Status of the Whistleblower System
Report Agenda 7) Report on the Status of Disclosure Compliance
Agenda 1. Evaluation of the Internal Controls Operation Status over Financial Reporting
(Report)
(Report)(Report)
(Report)
(Report)
(Report)
(Report)
Approved
Mar. 22, 2023 Report Agenda 1) Communication with the External Auditors
Agenda 1. Review of Agenda Items for the Regular General Shareholders’ Meeting
Agenda 2. Evaluation of Audit Activities
Agenda 3. Approval of the Audit Report and Audit Committee’s Opinion
(Report)
Approved
Approved
Approved
Mar. 30, 2023 Agenda 1. Post-evaluation of the External Auditor
Agenda 2. Approval of Three Agenda Items, Including the Audit Committee’s Operational Plan
Agenda 3. Appointment and Dismissal of the Audit Committee Support Team
Approved
Approved
Approved
May 18, 2023 Report Agenda 1) Q1 Settlement Results
Report Agenda 2) Interim Report on Internal Accounting Controls
Report Agenda 3) Report on the Evaluation of the Qualifications of Internal Accounting Control Personnel
Report Agenda 4) Operational Status of the Whistleblower System
Report Agenda 5) Report on the Status of Disclosure Compliance
Report Agenda 6) Communication with the External Auditor
(Report)
(Report)
(Report)
(Report)
(Report)
(Report)
Aug. 10, 2023 Report Agenda 1) Q2 Settlement Results
Report Agenda 2) Interim Report on Internal Accounting Controls
Report Agenda 3) Internal Audit Results
Report Agenda 4) Operational Status of the Whistleblower System
Report Agenda 5) Report on the Status of Disclosure Compliance
Report Agenda 6) Communication with the External Auditor
Report Agenda 7) Report on the Enactment and Revision of Four Items, Including Accounting Regulations
Agenda 1. Approval of Partial Revisions to the Audit Committee Policy and Whistleblower Policy
(Report)
(Report)
(Report)
(Report)
(Report)
(Report)
(Report)
Approved
Nov. 07, 2023 Report Agenda 1) Q3 Settlement Results
Report Agenda 2) Interim Report on Internal Accounting Controls
Report Agenda 3) Operational Status of the Whistleblower System
Report Agenda 4) Report on the Status of Disclosure Compliance
Report Agenda 5) Communication with the External Auditor
(Report)
(Report)
(Report)
(Report)
(Report)

Policies to ensure independence and expertise when appointing external auditor

For the appointment of an external auditor, the Audit Committee reviews proposals of firms and assesses candidates and approves the agenda item to appoint an external in accordance with the Act on External Audit of Stock Companies and a regulation regarding the appointment of an external auditor. Based on the approval of the Audit Committee, an external auditing contract is signed with external auditors. The Company consults with external auditors to determine the audit time, capacity, fees, and plan, ensuring the auditor’s independence. Also, the Audit Committee evaluates after the conclusion of the external audit whether the external auditor has fulfilled its duties and whether the content and frequency of communications were appropriate.

Status of External Auditor Appointment

In accordance with Article 12① of the Act on External Audit of Stock Companies and Article 18① of its Enforcement Decree, Classys has entered into a three-year external audit contract with Ernst & Young Hanyoung for the fiscal years 2025 through 2027.

Name Appointment Term Remark
Ernst & Young Hanyoung Accounting Corporation Feb.06.2025 FY2025 ~ FY2027

Status of Non-Audit Services with the External Auditor

Classys has not entered into any non-audit service agreements with Ernst & Young Hanyoung, its external auditor. In the event that such an agreement is considered, the company evaluates whether the engagement may impair the auditor’s independence or audit quality and proceeds only after obtaining approval from the Audit Committee.

Compliance

Compliance Program?

Compliance Program(CP) is a system and code of conduct which is introduced and operated by companies to comply with the laws and regulations related to fair trade. The core part of CP is an establishment of a system that prevents risks that accompany violation of laws and regulations related to fair trade and development of the code of conduct.

CLASSYS Anti-Corruption Policy

CLASSYS, which strives to become a global company based on creative and challenge spirit for its management philosophy of "Respect for Human Life" and "Value Creation" hereby declares an anti-corruption policy to prevent corruption in order to strengthen compliance management. All employees must be fully aware of and comply with the anti-corruption policy.
    1. All corrupt practices including bribery are prohibited.

 

    1. All employees must strictly comply with all laws and internal regulations to prevent corruption.

 

    1. All perceived acts of corruption and potential for corruption shall be informed withou delay.

 

    1. All shall maintain and enhance personal dignity and company’s honor by practicing anti-corruption policies.

 

To prevent corruption, CLASSYS will strive to ahieve “Anti-Corruption Management Goals” by implementing “Anti-Corruption Policy” on all employees, under the direction of “Compliance Officer” who has independent authority to prevent corruption. CLASSYS will also do its best to continuously improve the anti-corruption management system. CEO of CLASSYS SH Beak

01
  • CEO’s Declaration of Commitment to Compliance
  • Reporting of key program operation details to the CEO
  • Designation of a Compliance Officer, establishment and operation of a compliance management organization
  • Creation and distribution of compliance manuals and guidelines
02
  • Employee training programs
  • Prior consultation system for fair trade
  • Monitoring of compliance with fair trade regulations
  • Fair trade compliance pledge
03
  • Fair trade-related incentives and employee sanctions for violating fair trade laws
  • Internal reporting system
Date Event Description
Aug 2023 Fair Trade Compliance Manual Creation Developed the initial compliance manual.
Mar 2024 Internal Report on Compliance Program Adoption Provided an internal update on the progress of implementing the compliance program.
May 2024 Appointment of Compliance Officer Appointed a Compliance Officer to oversee the program.
May 2024 Establishment of Compliance Standards Developed specific standards and guidelines for compliance.
May 2024 Creation of Compliance Portal Launched an online platform for compliance-related information and resources.
Aug 2024 Establishment of Compliance Operating Regulations Formalized the operational procedures for the compliance program.
Aug 2024 Creation of Compliance Guides and Checklists Developed detailed guides and checklists to assist employees in complying with regulations.
Aug 2024 Revision of Compliance Manual Updated the compliance manual to reflect recent changes and developments.
Aug 2024 Board Report on Compliance Program Status Provided an update to the board on the progress and effectiveness of the compliance program.
Aug 2023 – Present CEO’s Declaration of Commitment to Compliance The CEO has consistently expressed their commitment to compliance.
Aug 2023 – Present Employee Compliance Training Ongoing training programs to educate employees about compliance requirements.
Aug 2023 – Present Distribution of Compliance Newsletter Regular dissemination of compliance-related news and updates.

We would like to express our sincere gratitude to all of our partners for their various forms of cooperation. This ‘Partner Compliance’ program is designed to foster a mutually beneficial compliance partnership with your company.


Agreement on Classys Compliance Code of Conduct (English)
We/I pledge to abide by the following regarding Classys Compliance Code of Conduct and responsibilities in relation to transactions with CLASSYS.
1. We/I promise not to violate the relevant laws and regulations in conducting transactions with CLASSYS especially following laws.
– Bribery and anti-corruption laws
– Anti-money laundering and anti-terrorist financing
– Competition laws
– Global foreign trade laws and economic sanctions
2. We/I comply with the Classys Business Partner Code of Conduct.
3. In the event of an unethical act, we/I will accept any disadvantages such as termination of the contract or suspension of transactions, and we/I will not raise any civil or criminal objections in relation to your company’s disadvantageous disposition.
Classys Business Partner Code of Conduct
– We/I respect for human rights.
– We/I comply with healthy and safety laws.
– We/I comply with environmental laws.
– We/I with anti-corruption laws, anti-money laundering and terrorist financing laws, competition laws and global trade sanctions laws.
– Partners must not disclose or improperly use confidential information obtained from transactions with the CLASSYS and must comply with laws related to personal information protection.
– Partners are responsible for marketing, quality, and safety of product.