Frank Andrei O.
Ramiscal MASECO 3 Assignment
BSA-3A November 25, 2024
Acer Inc.
History
Acer Inc is a Taiwanese multinational company that produces computer hardware and
electronics, headquartered in Xizhi District, New Taipei City, Taiwan. Its products include desktop PCs,
laptop PCs, tablets, servers, storage devices, virtual reality devices, displays, smartphones, televisions
and peripherals, as well as gaming PCs and accessories under its Predator brand. As of 2024, Acer is the
world's sixth-largest personal computer vendor by unit sales. (Stamford 2024)
Acer was founded as Multitech in 1976 by Stan Shih, his wife Carolyn Yeh, and five others in
Hsinchu City, Taiwan. The company began with eleven employees and US$25,000 in capital. Initially, it
was primarily a distributor of electronic parts and a consultant in the use of microprocessor
technologies. It produced the Micro-Professor MPF-I training kit, then two Apple II clones–the
Microprofessor II and III–before joining the emerging IBM PC compatible market and becoming a
significant PC manufacturer. The company was renamed Acer in 1987.
Global presence
As of the end of December 2023, Acer had 7,813 employees worldwide: including 7,403 regular
employees, of whom 4,512 were male and 2,891 were female; and 410 fixed-term employees, of whom
325 were male and 85 were female. This Company’s staff are spread across 40 countries/territories. Of
these, 1,389 were supervisors, 2,270 were professionals, 893 were executives, and 3,261 were
technicians by job category; 3,681 were in Taiwan, 1,695 were in EMEA, 1,851 were in Pan Asia Pacific,
586 were in Pan America; the average age was 41.3 years old and the average years of experience was
9.5 years. In addition, we had 381 temporary staff, of which 297 are male and 84 females. Worldwide,
operating in 40 countries/territories and has presence in more than 160 countries.
Organizational Structure and mode of communication
Acer's corporate governance emphasizes the board of directors' responsibility to guide company
strategies, oversee management, and remain accountable to shareholders. The board operates in
compliance with legal and regulatory requirements, shareholders’ resolutions, and the company’s
articles of incorporation. Acer maintains a board structure with at least five members, determined based
on the company’s size, major shareholders, and operational needs. The board ensures its decisions are
implemented effectively by assigning responsibilities to appropriate personnel, tracking progress, and
reviewing outcomes in subsequent meetings.
Acer also prioritizes fostering positive labor-management relationships by promoting open
communication and respecting employee rights. In Taiwan, quarterly labor-management meetings
address employee needs, while labor unions operate in key regions such as Europe and China, covering
11.5% of the global workforce under collective agreements. Proposals from Employee Representatives
Organizations are reviewed locally, with group-level concerns escalated to Acer’s parent company for
resolution. This approach reflects Acer’s commitment to transparency, collaboration, and employee
well-being across its global operations.
Business Strategy
Frank Andrei O. Ramiscal MASECO 3 Assignment
BSA-3A November 25, 2024
Acer is proactively adapting to geopolitical and economic challenges by monitoring global
trends, managing inflation and currency fluctuations, optimizing inventory levels, and employing foreign
exchange hedging to mitigate risks. To address cybersecurity threats in AI and cloud services, Acer is
enhancing global information security measures and ensuring compliance with international privacy
laws. By mid-2023, Acer had regained stability in its computer business with improved inventory
management. The company also capitalized on emerging generative AI usage models, advanced its
multi-engine business strategy, and made significant progress in environmental sustainability efforts.
According to Acer’s chairman (2024) generation AI represents generative AI. Regarding the
opportunities bring from generative AI, Acer has executed its strategy on many fields, such as software,
hardware, applications, security and health. For AI PC, Acer ensures to stay ahead of the curve in both
software and hardware development. On each new development state, Acer may not only catch up but
also ensures to maintain its leading position. In the trend of AI PC, Acer has established long-term
collaborations with relevant supply chains and has prepared its production capacity accordingly.
Inventory management is critical in our industry, and thus we exercise great caution in this regard.
Supply Chain and Operations
Acer Inc. designs and assembles products like laptops and PCs by integrating outsourced
components, positioning itself as both a design and manufacturing company. Through its Acer
Responsible Supply Chain Management (ARSM) initiative, Acer ensures that all manufacturers and
service providers comply with the Responsible Business Alliance (RBA) Code and local regulations.
Annual supplier audits provide insight into workplace conditions and human rights practices, while
suppliers are encouraged to adopt corporate social and environmental responsibilities. Acer also
prompts suppliers to assess biodiversity risks at their sites and establish biodiversity commitments,
reflecting its broader commitment to sustainability.
To implement ARSM effectively, Acer’s procurement department collaborates with its ESG office
under the supervision of the Corporate Sustainability Committee and Board of Directors. This system
extends Acer’s social and environmental standards beyond first-tier suppliers to include second- and
third-tier suppliers in phases, amplifying the company’s impact across its supply chain. Through these
efforts, Acer not only maintains ethical and sustainable practices but also drives meaningful change
across its global network.
Cultural Adaptation
Acer's commitment to adapting to local cultures and needs has fueled its success as a global
technology leader. By tailoring products and business practices to diverse markets, Acer remains
competitive while addressing unique regional demands. Beyond business, Acer is making a significant
impact on education worldwide by promoting digital literacy and expanding technology access. Through
initiatives like donations to schools in Thailand, establishing a digital center for girls in Peru with AMD
and Women in Tech Perú, and supporting U.S. veterans through Tech for Troops, Acer fosters learning
and empowerment. Its #AcerBerbagi program in Indonesia further highlights its dedication to bridging
the digital divide, exemplifying Acer’s focus on community development and global inclusion.
Corporate Social Responsibility
In the 20th century, the rapid growth of the IT industry brought innovation but also heightened
the strain on natural resources, prompting calls for companies to adopt more environmentally and
Frank Andrei O. Ramiscal MASECO 3 Assignment
BSA-3A November 25, 2024
socially responsible practices. Business ethics emerged as a guiding philosophy, emphasizing the need
for organizations to balance economic goals with legal, social, and philanthropic responsibilities.
Corporate Social Responsibility (CSR) became a vital framework for achieving this balance, integrating
human, environmental, and community considerations into business operations. As a global PC leader,
Acer has embraced CSR since 2006, embedding sustainability into its operations and actively
participating in global initiatives to support sustainable development.
Challenges and Opportunities
Acer faces challenges in the global market, including stiff competition from larger players like
Lenovo and HP, as well as external pressures such as economic fluctuations, supply chain disruptions,
and cybersecurity risks. These factors have required the company to adopt agile operational strategies
to remain competitive. Despite these difficulties, Acer identifies opportunities in sustainability through
its Earthion initiative, focusing on eco-friendly practices, and in emerging technologies like generative
AI. Additionally, Acer aims to expand its reach by offering affordable, value-driven products that cater to
diverse consumer needs, particularly in gaming and education markets (Windows Central, 2024;
ResearchGate, 2024).
Conclusion
Acer Inc. has built a legacy of innovation and global influence. From its modest beginnings as a
Taiwanese startup in 1976, Acer has evolved into a top global PC manufacturer, recognized for its
emphasis on cutting-edge product design, cultural sensitivity, and commitment to sustainability. Its
governance reflects a strong dedication to ethical practices, transparency, and employee engagement,
ensuring operations align with compliance standards and corporate values. Acer’s efforts in Corporate
Social Responsibility (CSR) demonstrate a commitment to bridging digital divides, fostering
environmental stewardship, and supporting communities worldwide.
In a competitive market, Acer continues to adapt by embracing transformative technologies like
generative AI, enhancing its supply chain practices, and championing sustainability through its Earthion
initiative. By focusing on affordability and tailoring its approach to regional markets, Acer is well-
equipped to expand its influence in key sectors like education and gaming, while advancing its
sustainability goals. This forward-thinking strategy solidifies its role as a leader committed to shaping a
more inclusive and sustainable future.
References
https://images.acer.com/is/content/acer/2024Minutes-enpdf
https://images.acer.com/is/content/acer/A-1-1-E_2307pdf
https://www.acer.com/sustainability/uploads/files/shares/sustainability-
report/2023_Acer_Sustainability_Report.pdf
https://www.acer.com/sustainability/en/inclusive-workplace-and-society/attracting-and-developing-
talent/staff-structure
https://www.windowscentral.com
https://www.researchgate.net
