SOCIAL RESPONSIBILITY REPORT - 2015 / 2016 ALIBABA GROUP
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2015 / 2016
ALIBABA GROUP C
S
SOCIAL
RESPONSIBILITY
R
REPORT
Only the corporate social responsibility that is rooted in a company’s business model can achieve sustainable development. All of the companies can find combination points of their business models and social responsibilities. Every person has the right to participate in public welfare undertakings. Facilitating by the Internet-based convenient environment, each and every one of us has the capability to perform social responsibilities.
2015 /2016
ALIBABA GROUP
Catalogue
SOCIAL
RESPONSIBILITY
REPORT
01 19 27 65
Message from CEO Social Responsibility Rooted Conducting Business with Appendix
in Business Model a Public Welfare Mind
Driven by Mission 21 Symbiotic Layer 29 Future Prospect 65
05 Led by Cultural
Guided by Strategy
22
23
Customers
Employees
29
41
Major Honors & Awards of Alibaba (2015-2016)
Key Performance Indicators
65
66
Globalization 23 Shareholders 46 GRI 4.0 / CASS-CSR 3.0 Index 67
Annual Focus
Rural E-Commerce 24 4IBSFE-BZFS 47 About Alibaba 69
Economy: 7 Big Data & Cloud Computing 24 Market 47 Reporting Specifications 71
New Business, New Ecology –
Starting from 3 Trillion yuan
Management Integration 25 Government 52 Suggestions & Opinions 72
Rural Areas: 9
E-Commerce Based Poverty Alleviation – Integrity and Compliance 25 Society 56
New Idea of Poverty Alleviation
Internal Audit & Internal Control 26 Environment 60
Urban Areas: 11
Amap Saves Cities with Traffic Jam
Platform Governance 26
Mass Entrepreneurship and Innovation: 13
Large Platform, Multi-Mode and Rich Ecology –
Alibaba’s Practice
Work: 15
DingTalk – a Way of Work
Message from 01.
CEO
2015/2016
ALIBABA GROUP
SOCIAL
RESPONSIBILITY
REPORT
Adhere to “public good mindset, business methods,” undertake more social respon-
sibilities
In the fiscal year of 2016, Alibaba Group, continuing to adhere to the idea of “public
good mindset, business methods,” was more than ever committed to integrating the
solving of social problems into its business model while helping the society through
Alibaba Foundation. It created an inclusive ecosystem, and encouraged involvement of
the people, so as to undertake more social responsibilities.
In March 2016, Alibaba witnessed an important milestone – the annual gross mer-
chandise volume (GMV) reached over three trillion yuan, making it to become the
largest retail platform in the world. The three trillion yuan volume was jointly achieved
by merchants, service providers, logistics partners, and other parties of the Alibaba
ecosystem. It also showed the ever increasing prosperity of the new economy that is
driven by science and technology. Alibaba has made more contributions to the
development of the society. Only in 2015, the retail ecosystem of Alibaba created 15
million job opportunities, helped establish hundreds of industrial clusters and served
tens of thousands of small- and medium-sized enterprises.
The rural strategy of Alibaba has achieved rapid development in the fiscal year of
2016, beginning to use the power of science and technology and ecosystem to change
the rural area conditions and realize the goal of e-commerce based poverty allevia-
tion. As of March 2016, the rural Taobao has had covered 14 thousand villages in
nearly 300 counties of 27 provinces (municipalities and autonomous regions). By
relying on e-commerce, we have effectively helped the people in vast rural areas enjoy
high-quality products, and facilitated the transfer of agricultural products from rural
areas to cities. We have also carried out e-commerce based new precision poverty
alleviation programs, helped build e-commerce infrastructure and service system in
rural areas, fostered e-commerce ecosystem and cultivated talents. In the fiscal year
of 2016, there were more than 800 national-level poverty-stricken counties on the
retail platforms of Alibaba, and the sales volume reached over 20 billion yuan.
As a global data-based logistics platform, the Cainiao Network of Alibaba has made
“green and environment protection” as its important development direction in the
future. To develop green and environmentally-friendly logistics is helpful to the
development of business, the improvement of efficiency and the reduction of costs; it
also promotes the industry to make contribution to the whole society. In this process,
we will develop new products, new materials, and new methods and means, truly
achieving the goal of green and environmentally-friendly logistics. In an era of full
integration of digital economy and real economy, Alibaba, in nature, is a digital
company, possessing three core businesses of commerce, cloud computing and
digital entertainment.
In the fiscal year of 2016, Alibaba continued to build cloud computing and big
data-based future business infrastructure. We have always believed that data is the
energy of future new economy and the core resource of Alibaba ecosystem. We will
continue to explore the power of big data, use Internet technology and mindset to
reconstruct various industry chains, improve cost efficiency and create chemical
reaction. We have believed strongly that using business methods to promote social
efficiency is the best way to undertake social responsibility.
“To make it easy to do business anywhere” is our mission, driving us to move forward.
It is also our source of inspiration for all of the products and innovations. Looking into
the future, the development of technologies will be accelerated, and we are in a
transitional period from the deep end of mobile Internet to Internet of Everything.
Alibaba will continue to give full play to the reachability of future physical terminals
and the power of cloud computing and big data, exert the strength of ecosystem,
promote platform-based empowerment, and support social development.
——Daniel Zhang, CEO of Alibaba Group
02.
Economy:
Annual Focus New Business, New Ecology –
Starting from 3 Trillion yuan
Rural Areas:
E-Commerce Based Poverty Alleviation –
New Idea of Poverty Alleviation
Urban Areas:
Amap Saves Cities with Traffic Jam
Mass Innovation and Entrepreneurship:
Large Platform, Multi-Mode and Rich Ecology –
Alibaba’s Practice
Work:
DingTalk – a Way of Work
The fast-growing Alibaba is creating value and changing the
society with its own way.
In this year, Alibaba has continued to hold fast to its mission, focus on social
demand, and exert its advantages, achieving fruitful results in terms of value
creation.
In this year, the “three trillion yuan,” “e-commerce based poverty alleviation,”
“smart transport,” “mass entrepreneurship and innovation” and “DingTalk” have
become keywords of Alibaba in changing the society.
2015/2016
ALIBABA GROUP
SOCIAL
RESPONSIBILITY
REPORT
Annual New Business, New Ecology –
Economic This is only the beginning
Focus Starting from 3 Trillion yuan
With the increasingly improvement
3 Trillion
RMB of new ecology, Alibaba thinks
more about of assuming social
responsibilities of promoting
domestic demand, creating job
opportunities and boosting rural
economy. The three trillion yuan is
only a new starting point of
Alibaba in the data technology era.
Three trillion yuan Integration of Busi-
Behind the
ness Ecology and
On March 21, 2016, the gross merchan- Internet Ecology 3 Trillion
dise volume (GMV) of Alibaba Group in
the fiscal year of 2016 reached over three The development of Internet technology 71 million Hundreds Hundreds of New industries
trillion yuan. continuously expands the industry bound- units of of thousands of With the promotion of Internet technology,
smart manufac- industrial small- and
ary. The new agriculture represented by industry findings take on new situation and
turing products clusters medium-sized
traditional business models are changing.
“rural Taobao,” “Taobao villages” and enterprises
91.2 billion yuan
e-commerce of rural products, the
The transaction volume on the day of advanced manufacturing industry repre- New job opportunities
November 11, 2015 amounted to 91.2
15 million 30 million
sented by smart manufacturing, large of of The development of e-commerce plays an
billion yuan. scale mass production and flexible important role in promoting social
retail jobs indirect job
opportunities employment.
production, and the tertiary industry
In business history, the retail platform of represented by Internet of Things, big data
Alibaba used 13 years to reach three and cloud computing forms a new busi-
New governance
trillion yuan, while that of Walmart is 54 ness ecosystem. The new technologies Credit
assessment More than 400 million consumers,
years. The three trillion yuan is not only and new ideas generated under this system one billion-odd commodities,
business achievement, but also the backdrop of new business and new 24 million plus of packages per day
ecology fully mobilizes the resources of and over ten million merchants are
driving force for new technologies and
creating new governance mode –
emerging industries. It creates new job the whole society, aiming to realize total platform governance.
participation and common prosperity of Platform
opportunities, forms new momentum,
governance
and breeds new organizations and new the people. The three trillion yuan is
governance modes. achieved under this new ecosystem. Information Commodity
protection management
mechanism system
Annual COUNTRY E-Commerce Based Poverty Alleviation –
Rural Areas
Focus New Idea of Poverty Alleviation
Alleviation
Poverty
The low- and middle-quality and low efficient E-Commerce Based
poverty alleviation is a common issue in Poverty Alleviation Break out of Taobao
China for a long time. Plus the system
defects, the traditional poverty alleviation Mr. Ren Qingyong in Dinglou Village, 69 years Dinglou Village is a remote village in Daji Town, Caoxian County of east
approach can hardly play its role. The old now, was poor. The small store he ran China’ s Shandong Province. Since 2009, villagers have started to run online
“precision poverty alleviation” requires made less than 10000 yuan every year. His stores selling costumes for kids one after another, finding a niche market more than 280
where their supply meets huge clients online. Online stores have changed run Taobao stores
enterprises to solve the poverty issue son and daughter-in-law had been working
the villagers’ lifestyle, and everyone is full of passion and vitality for their
through more effective approach. The outside for years, and his sick wife took startups. Now, it is hard to see villagers gathering to play cards or mahjong.
e-commerce is changing the traditional medicine all the year round. Since 2012, his
industrial poverty alleviation approach, son and daughter-in-law began to use The population of the village is 1107. There are more than 300 households in
bringing new idea for poverty alleviation in the village, among which more than 280, accounting for over 95 percent, run over 95 percent
computers and sell costumes online, and Mr.
Taobao stores selling mainly costumes, dance dresses and props. In 2013, in the village
rural areas. By relying on the “rural Taobao” Ren began to help his son and daugh- there were approximately 30 households manufacturing apparel with annual
strategy and starting from the technological ter-in-law send goods out while running his sales of more than one million yuan each, in which seven manufacturers
empowerment of “teaching to fish,” Alibaba store. As orders kept growing, his son and realized sales of more than five million yuan each and hired more than one
has established rural area-based e-com- daughter-in-law returned home to make thousand villagers from neighboring villages. Seven logistics companies
have set up offices in the village and receive and deliver goods at fixed times.
merce service system, fostered e-commerce clothes, and Mr. Ren began to learn how to
ecology, improved e-commerce infrastruc- use computers. At his senior age, Mr. Ren
27 million yuan
As the development of Dinglou Village promotes the online store business in
ture, and promoted poor masses to access to first learned Pinyin and then how to type neighboring villages, a costumes industry cluster covering Daji Town and the sales of the online
e-commerce, lifting more people out of Chinese characters. After learning how to other neighboring towns is formed. There are 2336 households with Internet in 2012
access in Daji Town, in which nearly 2000 households run online businesses.
poverty in both aspects of material life and use the computer, Mr. Ren began to help his
In 2012, the sales of the online costumes business in Daji Town reached
spiritual life. son to run an online store. In 2013 and 2014, about 27 million yuan, accounting for 9.5 percent of the gross output of the
he earned about 100 thousand yuan each town, and in 2013, the sales reached about 100 million yuan with about three 100 million yuan
year. million of taxes paid. Taobao stores have become one of the main industries the sales of the online
in Daji Town. At the 2nd Taobao Village Summit Forum held at the end of
2014, Daji Town was awarded the title of “Taobao Town.” in 2013
Annual
Urban Areas Amap Saves Cities with Traffic Jam
Focus
Big Data Era
Traffic jam not only increases travel time It Builds New Travel In cooperating with the “Shujia” (big data computing platform) of Aliyun, the Zhejiang Provincial Transport
and costs of residents, but also leads to a Capability of Big Data Era Department has integrated the historical data, real-time data and road network conditions of express ways
series of issues such as environmental and used the “Shujia” platform to conduct processing and analysis, forecasting the speed of the next hour
pollution, waste of resources and traffic at various road sections. The forecast accuracy is at more than 91 percent. The project has been opened to
AutoNavi Co. has established complete the public in the spring festival of 2016, covering a nearly 1300-kilometer-long road sections.
accidents. There are 50 cities in China that
face the issue of traffic jam, among which competitiveness that integrates products
25 face normalization of traffic jam, influ- and data and includes two ecologies of
encing 150 million people. Solving traffic users and enterprises. By establishing The provincial-level traffic big data could platform – the “traffic police cloud” launched by the Guizhou
jam needs smarter transport. For the past cooperative relations with local traffic Provincial Public Security Department is the first of its kind that operates in the internal network of public
authorities, it builds new travel capability security authorities. The cloud platform has provided effective support for public service, traffic manage-
14 years, AutoNavi Co. has built an ecologi-
of big data era. ment and actual combat training. Since establishing cooperative relations in 2015, the traffic police
cal and dynamic map that centers on travel
authorities of Guizhou Province have investigated and prosecuted 221 thousand illegal acts in traffic
and location information service, which not violation on the site and 648 thousand illegal acts off-site, up 77.4 percent and 162.4 percent respectively
only meets the demands of ordinary users, from a year earlier. The number of traffic accidents and traffic death toll on the expressways has reduced
but also implements open empowerment to by 83.72 percent and 78.26 percent respectively, creating a record in terms of traffic accident prevention
industries. It has gradually established a since the operation of the expressways.
smart transport system, aiming at solving
the livelihood issue resulted from traffic
jam.
Through in-depth cooperation with AutoNavi Co. and Alipay, the Wuhan Traffic Management Bureau has
improved accuracy of road conditions in the aspects of electronic map guiding, smart parking and connec-
tivity of traffic data. Since establishing cooperative relations, the accuracy of road conditions has improved
from the original 80 percent to 95 percent; the coverage has expanded from several main roads, bridges
and road tunnels to urban areas and the road network outside the “third ring” road of Wuhan; and the
release frequency of road conditions has shortened from the original 15 minutes to two minutes. With the
real-time information push of Amap and Alipay, the coverage of real-time road conditions has increased
from 410 thousand people to two million people.Annual Mass Entrepreneurship Large Platform, Multi-Mode and
Focus and Innovation Rich Ecology – Alibaba’s Practice In the fiscal year of 2016, the business platforms of Alibaba supported
more than ten million entrepreneurial people, including millions of
college students and young people. Through the upstream and down-
Innovation stream linkage, the platforms have significantly promoted the develop-
ment of e-commerce service industry, which includes the logistics,
marketing, operation, information technology, and customer service,
and so on.
Entrepreneurship In the future, Alibaba will continue to support mass entrepreneurship
and innovation:
China has accelerated the implementation Building Full-link Alibaba is constantly on the move, holds fast to its Support Mass Entrepreneurship
Service System mission and supports mass entrepreneurship
of strategy of innovation-driven develop- and innovation. and Innovation
ment, taken initiative to adapt and lead the
“new normal” of economic development, For the past 17 years, Alibaba has been
and promoted the initiative of mass entre- sticking to its mission, providing multi-dimen- Alibaba Entrepreneurial Base “Qian Xian Wan Cun”Plan
sional empowerment for entrepreneurs Alibaba has planned to operate 100 Alibaba has planned to invest ten billion yuan
preneurship and innovation across the entrepreneurial bases in the next two in the next three to five years, establishing one
through building full-link service system;
country. The mass entrepreneurship and years, directly fostering 30 thousand thousand county-level service centers and ten
continuously upgrading innovation mode
innovation can not only create job opportu- entrepreneurs. According to the “Maker thousand village-level service stations. At the
through the two ecological driving forces of Plus” support plan, the number of same time, it would launch a related talent
nities and increase income of residents, but technology and business; jointly promoting directly empowered entrepreneurs would cultivation plan with an investment of one
also promote vertical mobility of the society mass entrepreneurship and innovation and reach more than 100 thousand people, billion yuan, aiming at cultivating 100
and maintain social fairness and justice. sharing its fruitful results through mass and that of the benefited would amount thousand rural e-commerce leaders and one
to over one million people. million rural e-commerce practitioners and
Just as the winner of the 2006 Nobel Prize collaboration; and gradually forming a distinc-
developing the 100 thousand village-level
tive mode of “large platform + multi-mode +
in Economics Edmund S. Phelps put it, the stations to ecological service centers, public
rich ecology” in the aspect of supporting mass welfare centers and entrepreneurial centers.
mass entrepreneurship and innovation
entrepreneurship and innovation though
would bring “non-material benefits” to institutional guarantee and establishment of a
China. In the document of the “Implement- scalable business ecosystem.
Influential Industrial Clusters City Partner – “1st.1688.com”
ing Opinions of the General Office of the
Alibaba has planned to help transform Alibaba has planned to recruit 20 thousand city
State Council on Building Mass Entrepre-
and upgrade 100 industrial clusters partners in 2016, which covers 100 prefec-
neurship and Innovation Demonstration across the country and establish 200 ture-level cities and 300 county-level cities,
Bases,” Alibaba is the only Internet compa- industrial cluster demonstration zones, aiming at promoting one million community
encouraging local young people to stores and small supermarkets. By empower-
ny that has been selected into the first
participate in entrepreneurship and get ing city partners, Alibaba would provide
batch of 28 mass entrepreneurship and job opportunities. It would directly platform for returned young people to start
innovation bases. promote 100 thousand college students business, offer systematic and specialized
to start business in their hometowns and trainings and cultivate their entrepreneurial
create more than one million job skills of “Internet + circulation,” achieving
opportunities. sustainable development of entrepreneurship.Annual
Focus
Work DingTalk – a Way of Work
Efficiency
The high costs and low efficient communica- Amber Communications: Offcn Future Education:
DingTalk
tion as well as the failing of communication Efficient communications Work efficiency improved
in time have brought lots of negative impacts enhances work efficiency unimaginable
to corporate management and operation for “‘Ding’ important messages and notices to alert “Now one employee can finish the work which
a long time. DingTalk is a free multi-termi- recipients via phone calls! Get suggestions from took five employees six hours to finish in five
nal communication and coordination our bosses and feedback from our clients as minutes. Our efficiency is increased by tens of
platform launched by Alibaba for Chinese soon as possible and get off work on time.” times”.
enterprises. Through systematic solution, As advertising men, we work as hard as dogs. Our bosses Our company is dedicated to civil servant training. Once, as over
DingTalk could improve coordination and often said the company should protect animals and care about 100 people more than the usual registered to participate in one of
us. But, the reality was that we “saw dustmen working at four our programs, the location of the class had to be changed. We
communication efficiency of enterprises. o’ clock every morning,” which made us work overtime in sent mass text messages to the participants through our
The data showed by the end of March 31, tears. The main reason why we suffered was the communica- background system and asked them to confirm that they have
tions between people. received the message. As the system did not support direct
2016, about 1.5 million enterprises and receipt of their replies, they had to send their replies to a
organizations in China have chosen DingTalk Every idea, every sentence of a text or every picture needs to designated cell phone number, and we had to check their names
be confirmed, confirmed and confirmed by our bosses and recorded in our ERP system against the names of those who had
as their internal coordination software. clients. As the time we used to do something which really replied, in case any participant who had not received the
mattered was limited, we started to do it with cigarette in our message or read the message received would miss the class. We
hands while dozing off from time to time only at night. After asked five customer service representatives to work overtime to
the draft was worked out, the client hesitated and modified call every participant who had not replied and keep the record.
again and again. After changing many times, they found the They worked till 11 o’ clock that night. It took these five repre-
best was the first. After our company began to use DingTalk, sentatives 6 hours to identify the participants who had not replied
our client can be informed of every important message or and call them one by one.
notice with ‘Ding’ via a phone call! Immediate acquisition of
suggestions from our bosses and feedback from the client But now, the only thing we need to do is to input the phone
reduces the time to wait for communication greatly. numbers of participants into the back office system of DingTalk
and ‘Ding’ the mass messages out. All the participants will
Getting off work on time is not a daydream any longer. We receive the message, and we can see who have read the message
advertising men at Amber Communications are full of and who have not. We ‘DING’ the message again to those who
happiness now. We are so delighted that we are blushing. have not read the message. Now, one employee can do the work
which took five employees six hours to finish in five minutes. Our
efficiency is increased by tens of times.
Understanding the DingTalkResponsibility Model:
Alibaba Compass
Environmental
value
Shared
layer
Strategy
t En
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ar r
M
on
me
Em
Symbiotic
layer
rs
nt
plo
me
ye
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To make it easy
s
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to do business
anywhere
Ma
Core of the compass: ltu
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me
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To make it easy to do business anywhere Shareholders
nt
So
t
cia
en
“To make it easy to do business anywhere” is the mission of Alibaba and the foundation of Alibaba’ s
ic
S
e
oc
om
lv
Ec valu
nm iet
social responsibility system that is rooted in business model. er y
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Gov
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Framework of the compass:
Culture, strategy and management Stakeholders Economic value Social value Environmental value
Culture and management are highly integrated and mutually supported at Alibaba. As the foundation for High-quality products and services Employees’ rights and interests protection
Green choice
Alibaba to implement strategies, culture, management and the “three major strategies” provide strong Customers Science and technology innovation Customer satisfaction
Green transaction
support for Alibaba’ s social responsibility system. Only the highly integration of culture, management Inclusive finance service Information security
and strategy can provide full guarantee for social responsibility practice of Alibaba.
Competitive compensation Equal employment
Employees diversified benefits Basic rights and interests protection Healthy work environment
Training and career development Employee care
Inner circle of the compass:
Minority shareholders’ rights
Symbiotic layer and shared layer Shareholders Economic returns and interests protection Green investment
Information disclosure
Considering the relations between stakeholders and Alibaba, the customers, employees and sharehold-
Supply chain growth Responsibility procurement Green supply chain
ers form the symbiotic layer, while the market, society, government and environment form the shared
Promoting industry development cultivating industry talents Green logistics
layer. And all of those form the social responsibility ecosystem of Alibaba. The relations between Alibaba Market
boosting economic development Building industry platform Green initiative
and stakeholders are interdependent and mutually influenced. Alibaba needs support of stakeholders to Environmental protection exchange
achieve healthy development and creates values for stakeholders.
Paying taxes in full Legal compliance Supporting environmental protection
Promoting economic transformation and E-government affairs Promoting emission reduction
Government
upgrading Judicial sale by smart transport
Dynamic compass Fair competition
Alibaba performs economic, social and environmental responsibilities and creates economic, social and Promoting social employment Platform-based public welfare Environmental protection
Society
environmental values. The issues under the three values are attributed to various stakeholders (as Employee engagement in public welfare public welfare
shown in the following table). The outer triangular structure includes various issues of the three values, Reducing waste of resources Awakening awareness of Green building
and the symbiotic layer and shared layer rotate with one another to match the corresponding issues and energy environmental protection Green office
Environment
under those three values. Reduction of waste gas,
waste water and waste residueSocial Responsibility 03.
Driven by Mission
Led by Cultural
Guided by Strategy Globalization /
Rooted in
Rural E-Commerce /
Big Data & Cloud Computing
Business Model
Management Integration Integrity and Compliance /
Internal Audit & Internal Control /
Platform Governance
2015/2016
ALIBABA GROUP
SOCIAL
RESPONSIBILITY
REPORTALIBABA SOCIAL RESPONSIBILITY REPORT 2015/2016 Driven by Mission / Led by Cultural
Alibaba has carried the gene of social responsibility since its establish-
SOCIAL RESPONSIBILITY
ment. We not only adhere to the social responsibility-driven mission, but
ROOTED IN BUSINESS MODEL also integrate social responsibility idea into our culture and management,
achieving the cultural guidance and management integration of social
responsibility. In 2015, Alibaba put forward three major strategies of
globalization, rural e-commerce and big data & cloud computing, which
also carries the gene of social responsibility.
Customer First Integrity
The interests of our We expect our people to
Driven by Mission Led by Cultural community of buyers uphold the highest
and sellers must be standards of honesty and
Meet @ Alibaba our first priority to deliver on their
commitments
“To make it easy to do business anywhere” is both the We enable hundreds of millions of commercial Founded in the early stage of China’ s Internet develop-
mission of Alibaba and the reflection of inherent social and social interactions among our users, ment, Alibaba has put the Internet spirit of openness, Teamwork Passion
between consumers and merchants, and
responsibility of Alibaba. To build an open, coordinated and transparency, sharing and responsibility into its day-to-day We believe teamwork We expect our people to
among businesses every day. enables ordinary approach everything with
prosperous business ecosystem to let customers meet, operation. We not only use Internet culture to promote our people to achieve fire in their belly and
extraordinary things never give up on doing
work and live at Alibaba is the business vision rooted in its own development and progress, but also are committed to what they believe is right
mission. And to achieve this vision, we have formulated Work @ Alibaba broadcasting Internet culture in the whole ecosystem, so
transparent and fair rules, and built infrastructure for We empower our customers with the as to promote the development and progress of all
Embrace Change Commitment
business ecosystem, so as to guarantee the health and fundamental infrastructure for commerce and participants. Employees who
data technology, so that they can build In this fast-changing
demonstrate persever-
prosperity of the ecosystem and maintain the persistence world, we must be
businesses and create value that can be flexible, innovative ance and excellence are
and diversity of the ecology. shared among our ecosystem participants. Openness and ready to adapt to richly rewarded. Nothing
new business should be taken lightly as
We are committed to building open, coordinated and win-win we encourage our people
conditions in order to
business ecosystem, offering services to hundreds of millions of to “work happily, and live
By establishing social responsibility that is rooted in survive
ecosystem participants. seriously”
Live @ Alibaba
business model and creating values for stakeholders,
Transparency
Alibaba promotes social development and progress, and Alibaba has established distinctive common values in the process
We strive to expand our products and services We fully leverage the advantages of the Internet in information of development, which not only reflects our consistent pursuits of
then achieves the goal of making the company to last at to become central to the everyday lives of our communication and transparent information to empower the mission, but also our fundamental rules of doing things and
customers. customers to compete and obtain all information in a fair manner.
least 102 years. being ourselves. The values have become important component of
performance evaluation indicators for employees and crucial
Sharing
guarantee for us to maintain the persistent corporate culture and
102 Years Adhering to the idea of sharing, we actively build sharing cohesion. At Alibaba, culture is highly integrated into manage-
platforms and create the best places for all the platform ment, forming our distinctive culture-driven management system.
For a company that was founded in 1999, participants to bring into full play to their knowledge and
lasting at least 102 years means we will have experience.
Alibaba’ s persistence to culture is related to the interests of
spanned three centuries, an achievement that stakeholders. In the business ecosystem of Alibaba, all of the
few companies can claim. Our culture, Responsibility
participants including consumers, merchants, suppliers and other
business models and systems are built to last, While taking initiative to assume responsibilities, we are devoted people enjoy opportunities of growth and achieving benefits. We
so that we can achieve sustainability in the to promoting all of the ecosystem participants to actively assume respect entrepreneurship and innovation spirit and always pay
long run. responsibilities and be responsible for themselves and others. attention to and satisfy the demand of stakeholders, so as to
achieve business success and fast growth.ALIBABA SOCIAL RESPONSIBILITY REPORT 2015/2016 Guided by Strategy
SOCIAL RESPONSIBILITY
ROOTED IN BUSINESS MODEL
Guided by Strategy Globalization 1 Rural E-Commerce 2 Big Data Cloud Computing 3
The globalization strategy of Alibaba is “to bring the best of the As for the rural e-commerce strategy, Alibaba has planned to Alibaba holds that the human society has entered the era of data
Alibaba has always believed that to achieve sustainable world to China and to bring the best of China to the world.” Alibaba invest ten billion yuan, building a new online and offline e-com- technology from the era of Internet technology. In this era, big data
development we must establish a social responsibility provides payment system, logistics distribution system and other merce platform, which covers 100 thousand administrative would become new energy and cloud computing would become
strategy that is rooted in business model and could convenient facilities for small- and medium-sized enterprises and villages in one thousand counties. The strategy aims at changing new engine; data would become key resource and computing
consumers, letting them conduct business efficiently and the rural economy, injecting positive factors into rural society. It is would become core competitiveness. Alibaba is building important
integrate with corporate development strategy. Only by conveniently at anywhere in the world, so as to realize the not only the requirements of Alibaba’ s growth and business economic facilities for China’ s future business, which is based on
making social responsibility idea to become the gene of the strategic vision of globalization of “buy anywhere, sell anywhere.” strategy, but also can create huge value for rural development, its big data & cloud computing platform of Aliyun, making the big
Currently, the globalization strategy of Alibaba includes three letting the rural people enjoy urban life, the excellent talents data & cloud computing strategy to become the strong pillar of
company, can we maintain innovation and vitality and major components: global export, global import and global return to rural areas to start business, and the farmers buy means future business ecosystem.
achieve persistence and sustainability. business infrastructure that can be connected freely. The global of production from manufacturers directly (thus reduces
export connects Chinese merchants and global buyers, and is the production costs) and promote products to the whole world. More Aliyun has become China’ s largest and world’ s third largest
first step to realize cross-border trade. Global import means importantly, the returned excellent talents bring both the cloud computing service platform. In July 2015, Alibaba declared
At present, globalization, rural e-commerce and big data expanding importing business, making all of the global enterpris- knowledge and technology and the urban culture and lifestyle to to invest another six billion yuan to Aliyun strategy, using for the
are the three major strategies of Alibaba. In a certain es to sell its products and services to China through Alibaba’ s rural areas, changing the spiritual outlook there. expanding of international business, building of big data & cloud
platforms. Alibaba has always kept close relations with overseas computing infrastructure, R&D of forward-looking technologies
period of time, we will take the three strategies as the brands, governments of foreign countries and business organiza- In the past one year or so, rural Taobao fully leveraged its and construction of data technology ecosystem. By now, Aliyun has
basis and hold fast to the mission and responsibility, so as tions, committing to shaping a brand-new global business e-commerce advantages, overcame the obstacles in the aspects of opened eight data centers including those in Silicon Valley of the
to create greater social values. ecosystem. logistics and information flow by building county- and village-level United States, Hong Kong Special Administrative Region of China
service networks, and realized the two-way flow function of and Singapore, providing services for more than one million
In the next ten years or even twenty years, Alibaba, adhering to the “selling online products to rural areas and agricultural products to customers around the globe. In the future, Aliyun would set up
globalization goal of “serving two billion consumers and ten urban areas,” which are of helpful to the building of smart village new data centers in Japan, European countries and countries in
million small- and medium-sized enterprises around the globe,” and the promotion of rural urbanization process. Middle East, and so on.
Globalization 1 will finally realize the effective connection between global
consumers and merchants.
Rural E-Commerce 2 e-Commerce based poverty alleviation big data-based crackdown on counterfeit goods
rural economic development Shujia platform, smart transport
eWTP Initiative Cainiao Network
Big Data Cloud Computing 3 county-level e-commerce talent cultivation “Jun Xian Tu Zhi”
big data-based environmental protectionALIBABA SOCIAL RESPONSIBILITY REPORT 2015/2016 Management Integration
SOCIAL RESPONSIBILITY
ROOTED IN BUSINESS MODEL
Management Integration Integrity and Compliance 1 Integrity and Compliance 1 Internal Audit & Internal Control 2
The internal control system of Alibaba guarantees the company to
Alibaba conducts businesses with customers, partners, share-
As an international company, Alibaba, based on the abide by the applicable laws and regulations, so as to achieve
holders and other stakeholders in accordance with the require- Connecting to public welfare sustainable and healthy development. The management of Alibaba
structure that fits to the characteristics of international ments of relevant laws and regulations and the “Code of Business
is responsible for the formulation and implementation of internal
Conduct of Alibaba Group,” committing to following the highest Connecting to public welfare
company and guided by the strong corporate culture and institutions, and empowers the internal control department to fully
standard of code of business conduct. In principle, no Alibaba employee is allowed to receive any strengthen the internal control system relating to financial
common values, has gradually established strict and gift from any client. However, if the gift is in compliance statements and compliance, so as to help the management
Alibaba requires its employees and external partners to adhere to
distinctive management mode: conducting management with the business practices, it not only is unpractical to improve existing business processes, achieving higher operation
the values of integrity in conducting business and can never refuse it or return it to the client face to face, but also
on employees in accordance with dual evaluation stan- efficiency and better results. Through the good control environ-
tolerate any wrong conduct or illegal acts. It also conducts the makes the situation embarrassing. In this case, the ment, effective risk assessment system, diversified control
dards of “performance + values” and creating a relatively certification of the “Code of Business Conduct of Alibaba Group” employee can receive the gift on behalf of the Company at activities, smooth communication mechanism and responding
for all employees every year. Meanwhile, Alibaba delivers the first, and then declare and submit the gift received to the
stress-free work environment. Adhering to guidance of supervision mechanism, the employees of Alibaba can fully
integrity culture to the enterprises that engage in business with it. administration department of the Company. understand and abide by the internal control system, guaranteeing
rules and the cultivation of integration and compliance The partners could get the business compliance guidelines of
the overall integrity.
Alibaba at any time from its integrity and compliance department,
awareness of employees, we are committed to promoting The integrity and compliance department, together with
or report any suspicious events relating to wrong conduct or the administration department, donates fresh food
the stability of Alibaba’ s operation and development, truly illegal acts of Alibaba’ s employees. received as gifts to those in need, sell other articles Platform Governance 3
integrating the responsibility idea into the day-to-day work received as gifts through “Buy42” which is the first charity
To avoid negative influence of malpractices of employees, Alibaba online shop in China run by the disabled or within the
of employees and the lines of business, so as to achieve With the continuous enlarging of Alibaba’ s platforms, the number
has set up the integrity and compliance department, which is Company for charity, and donates cash received to charity of participants is growing and the diversification is increasing.
the goal of sustainable development. committed to the investigation of internal corruption cases. The bank accounts. All the proceeds obtained from selling the Difficult problems relating to the platforms such as counterfeit
customer service workers and merchants who are involved in articles are used for charitable purposes. We wish to turn goods and credit speculation among large amounts of transac-
corruption will be punished in accordance with the employee the gifts which our partners give us out of goodwill into tions have got wide attention from the government and the public,
discipline system and the member regulations. Through the power to help the vulnerable groups and make them feel and Alibaba has attached great importance to those problems. It is
adjustment of mechanism and improvement of businesses, more care and warmth. imperative to introduce a new governance mechanism to resolve
Alibaba encourages platform merchants to conduct honest
Integrity and Compliance 1 the problems, to establish an honest and transparent platform and
operation and provides fair and transparent business environment
to promote the healthy development of e-commerce platforms. In
for tens of millions of merchants to start and develop businesses.
Internal Audit & Internal Control 2 December 2015, Alibaba set up the platform governance
department for the first time, being responsible for maintenance
The anti-corruption work of the integrity and compliance
of e-commerce platform rules, protection of intellectual property
Platform Governance 3 department of Alibaba follows strict and transparent investigation
rights, crackdown on counterfeit goods and credit speculation, and
and handling principles, disclosing the cases in detail to all of its
other management issues. The department has selected
employees.
professional talents and integrated necessary internal resources,
conducting systematic management on credit speculation. And the
search department of Alibaba, through algorithm models and
manual inspection, has carried out monitoring on the whole
transaction chain of various fake transactions of bad merchants.Conducting Business 04.
Smbiotic Layer
Customers Integrity Crackdown on Credit Speculation /
Crackdown on Counterfeit Goods
Security
Service
with a Public
Building Infrastructure for Ecosystem /
Improving Customer Service System
Growth
Employees Basic Rights and Interests
Training and Development
Welfare Mind Building Happy Work Environment
Employee Care
Shareholders
Shared Layer
Market Responsible Supply Chain
Promoting Industrial Development
Ali Research Institute / Taobao University
Boosting Economic Development
Increasing Domestic Demand /
Promoting Transformation of
Traditional Economy to Internet Economy /
Boosting Development of Sharing Economy /
Supporting Economic Development of Rural Areas
Government Typhoon path analysis
Jun Xian Tu Zhi
Judicial Sale
Society Promoting Employment
Offering Entrepreneurship Stage
through Platform Support /
Realizing Value of Life through Empowerment
Public Welfare
Employee Engagement in Public Welfare /
Platform Public Welfare
Environment
Green Parks and Buildings
Big data supports environmental protection
Green Office
Environmental protection and public welfare
Cleaning Action / Nature Education /
Environment Cloud Char /
Global Public Welfare Programs on Environmental Protection
2015/2016
ALIBABA GROUP
SOCIAL
RESPONSIBILITY
REPORTALIBABA SOCIAL RESPONSIBILITY REPORT 2015/2016 Symbiotic Layer
“Conducting business with a public welfare mind” is the core reflection
CONDUCTING BUSINESS WITH
of Alibaba’s mode of action on social responsibility. The growth of
A PUBLIC WELFARE MIND Alibaba is closely related to the development of stakeholders. We have
integrated public welfare culture into the day-to-day work of employ-
ees and our business models and attached importance to the demand
of stakeholders. Through social responsibility practice, we promote the
development and progress of stakeholders, aiming at achieving
win-win results.
Symbiotic Layer Customers 1 Integrity
Alibaba is committed to becoming the global leader in fighting Alibaba has begun to integrate credit speculation and other fake
Customer, employees and shareholders are the closest Customers’ demand Our actions counterfeit and infringed goods and protecting intellectual transactions into the online credit reference system of merchants
stakeholders to Alibaba. We hold that only adhering to the Honest and fair transactions Crackdown on infringement of property rights, strives to maintain healthy e-commerce environ- and individuals. Any kind of fake transactions would be recorded
principle of “customer first” and creating enduring values intellectual property rights ment and promotes sound development of business ecosystem. and it would influence both the online and offline credit standing.
Transaction security guarantee
Building and improving security system We formulate platform rules and supervise the implementation of
for customers can we have the possibility to create values High-quality service
the rules, take a strong stance against counterfeit and forged
for shareholders. In the era of new economy, the most Capability improvement of
Improving customer service system
goods, make consumers to enjoy secure shopping, create fair and Cases of crackdown on
merchants
Platform tool support and resource CASE
sharing honest transaction environment for all customers, and protect the credit speculation in 2015
importance factor to make customers to satisfy is our
Boosting growth of merchants rights and interest of consumers based on the commitment of
employees. If there were no industrious, happy, passionate sellers, service supervision, transaction information recording and In April, Cainiao Smart Logistics Network Co. launched
and talented employees, there would be no values can we process guarantee, and so on. Meanwhile, we are dedicated to the big data-based anti-credit speculation system to
The existence and development of Alibaba is not because the using technological advantages to improve the reliability and conduct whole process monitoring of the transfer data of
deliver to customers. If there were no satisfied employees, ambitious strategy and perfect execution at all. It is because the accuracy of online transaction information, creating healthy logistics orders; the system can automatically identify the
there would be no satisfied customers, and if there were no persistence to the mission and the values of “customer first.” transaction environment. package delivery numbers relating to credit speculation,
and then conduct online interception
satisfied customers, there would be no satisfied share- Alibaba’ s mission determines that we would not become a
business empire. As an operator and service provider of a Crackdown on Credit Speculation In September, with the support of communications
holders. ecosystem, we achieve success by creating values for customers
Credit speculation harms the rights and interests of consumers, administrations, Alibaba took centralized control
and promoting their success. At Alibaba, the customers not only measures on “credit speculation self-media organiza-
destroys the impartial market traffic distribution system, and
include extensive small- and medium-sized enterprises and tions”
hinders the building of social integrity system and the develop-
Customers 1 entrepreneurs but also hundreds of millions of consumers. We
ment of e-commerce. Alihaba has constantly strengthened the
provide the platforms for them to exchange and interact and the Helped the public security authorities destroy China’ s
Integrity crackdown on credit speculation, and the main measures are as largest R&D team of password hacking software and the
fair competitive environment and technical services for them to
Security follows: largest illegally mobile phone verification code platform
conduct commerce and trade activities. We constantly carry out
Service
innovation in products, improve customer experience, help the
Growth “Setting up rules” – establishing internal institutions
Terminated contracts with 12 logistics companies with
customers to grow and protect their rights and nterests, jointly serious empty package speculation issues, and signed
building heathy business ecosystem. “Strengthening team building” – setting up professional team anti-credit speculation agreements with other logistics
Employee 2 “Focusing on special cases” – improving focus level companies
Basic Rights and Interests “Enhancing offline investigation” – promoting joint social governance
Transferred 54 big data-based investigation clues to
Training and Development “Utilizing Big data” – strengthening capability means market supervision authorities of Yuhang District in
Building Happy Work Environment Zhejiang Province and 45 clues have been investigated and
dealt with
Employee Care
Connected the platform-based e-commerce transaction
data and Internet finance data of Ant Financial Co., and
Shareholder 3
promoted the inclusion of credit speculation records into
credit reference system, which greatly increased the
violation costs of credit speculatorsALIBABA SOCIAL RESPONSIBILITY REPORT 2015/2016 Symbiotic Layer
CONDUCTING BUSINESS WITH
A PUBLIC WELFARE MIND
Integrity Integrity
Crackdown on Counterfeit Goods Public reviewAs for the large amounts of management rules of
Alibaba’s offline crackdown on counterfeit goods
We have strived to build the Alibaba team into a national team to Taobao.com, some have been expired and some are unreasonable, Say no to imitation products, remove “Shanzhai
$PNQBSJTPOPGCBUDIPGDMVFT and the customer service deparment is incompetent to deal with
fight counterfeit goods. Alibaba not only fights counterfeit goods in CASE
brands” through big data + public review
its own business ecosystem but also in the whole industry and the 0OMJOFCFIBWJPSBOBMZTJT
all of them. To achieve timely updating and management, we have
established the public review system, mobilizing members to
whole society; not only fights online counterfeits goods on its own %BUBCBTFEQVSTVJOH Imitation products (Shanzhai products) refer to the goods which
platforms but also offline counterfeit goods and counterfeit goods optimize customer service. Taking the checkout of commodity are close to those goods of famous brands in trademarks,
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on other platforms; not only throws counterfeit goods out of management rules as the point of penetration, the public review appearances, and so on. Once an imitation is concerned,
$POEVDUJOHKPJOUPQFSBUJPOXJUIWBSJPVTQBSUJFT system has gradually developed into such aspects as punishment extremely complicated legal issues are likely to arise. As most
Alibaba but also strives to cut off the sales channels, making the
appeal, counterfeit goods appeal, transaction dispute judgement of the imitation products have quality problems to a certain
makers and sellers of counterfeit goods to be unprofitable.
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extent, more refunds occur than other goods.
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and “Tao girls” selection. With the growing of influnce, the public
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Crackdown on counterfeit goods with big data In September 2015, Alibaba launched the “big data + public
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committing to creating a social platform for solving disputes and
We have set up a 2000-odd people team to fight counterfeit goods. G review” mechanism, through which every trademark (product)
controversies. For example, the platform can be used to solve suspected of being an imitation screened with big data
In 2015, the real-time data operation speed of Alibaba’ s
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those issues that are diffcult to define or need more people’ s
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prevention and control system reached 100 million times per technologies is pushed to at least 800-1000 public reviewers for
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opnions to judge. Meanwhile, the paltform began to undertake the assessment. If a certain percentage of reviewers regard the
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second in terms of data analysis, successfully preventing 120
work of other platforms such as clearing up imitation and trademark (product) makes them confused, Tmall launches the
million pieces of information relating to counterfeit goods to administration mechanism on a timely manner to address the
trademark infringing brands, and unreasonable assessment
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release on Taobao.com. Through the analysis, refining, induction issue accordingly based on the specific situation. Nearly 200
judgement (abuse, leak of information, and so on). In 2016, the
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and modeling of large amounts of data, the system can deal with imitation brands have been identified and dealt with through the
public review platform will focus on rule review (general rules)
the counterfeiting directly or transfer the information to law mechanism.
and unreasonable rules checkout, find solutions and promote the
enforcement authorities and help them conduct offline crackdown
effective implementatin of revised rules.
operation. In the future, the mechanism will be made regular to cover all
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categories and brands on the Tmall platform.
As of the end of 2015, more than 800 thousand people have
In 2015, Alibaba, through big data analysis and routine counterfeit
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participated in public review work, and the number of partcipants
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goods monitoring mechanism, intercepted counterfeit goods in
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has reached over 40 million persons/times. A total of 1.71 million
cross-border transactions. It also set up professional team to As the lack of joint operation mechanism among e-commerce
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conduct in kind group sampling. The preliminary sampling showed F platforms, sellers of counterfeit goods take Alibaba as escrow
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that 11 groups of sellers were suspected to sell counterfeit goods, OW I QP QF transaction tool only, and the exhibition, promotion and price
FT JMMFHB IF P persons/times, and the amount of money involved was over 8.4
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involving in over 40 accounts and 5431 orders, and the amount of BUJP JUZX KPJ bargaining of counterfeit good are completed through social
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money involved reached 48 thousand U.S. dollars. $POE V D software. Some stores that have been shut down by Alibaba
continue to sell counterfeit goods on other platforms openly, while
the illegal industry chain participants such as click farming
Connecting to public welfare practitioners and credit speculators help promote the sales of
Crackdown on fake good in Foshan CASE counterfeit goods. To solve those issues, Alibaba has called on
As of June 2015, the accumulated public welfare fund rights holders, government, platforms and industry associations
In July, 2015, Foshan Public Security Bureau, together with Alibaba,
contributed by the public reviewers through case review to participate in joint social governance. Currently, Alibaba is
initiated a special action to crack down fake goods. They started from
has reached 720 thousand yuan. By using the fund, developing a “rights holder joint building system,” which is
drugs, foods and other categories of goods which concern the health forecasted to be launched in the third quarter of 2016, and at that
of the consumers. They cracked a series of influential cases such as Taobao.com purchased one-year term critical illness
insurance for nearly 15 thousand orphans, provided free time, the rights holders of system can use the function of
the red date & weight-reducing plum case, the QMShou detox
launch for nearly 200 thousand pupils in poverty-stricken “complaint with on click.” Also, Alibaba will provide clarified
capsule case, the fake Cartier case and the fake Head-Shoulders
case. By the end of November 2015, the campaign cracked down 32 areas and saved 3.6-million-hour-long life for pneumoco- complaint data for rights holders of the system, making the rights
gangs and detained 65 criminal suspects in relation to fake goods, niosis patients. protection results to be clear at a glance.
recovering more than 700 million yuan of financial losses.You can also read
