Reporting on What Matters

Sustainability Framework and Group-wide Goals

The Group is committed to playing its part in achieving the United Nations Sustainable Development Goals and the ambitions set out in the 2015 Paris Agreement.

Following the three-step materiality assessment, the overall sustainability framework, approach and priorities of the Group are developed on four pillars: Governance, Environmental, Social, and Sustainable Business Model and Innovation. Each pillar is supported by the corresponding Group policies, leadership, and the collective efforts of the entire business. These four pillars guide the Group in setting the overall direction of its sustainability strategies for implementation across its businesses.

Nine Group-wide goals were developed to guide the Group’s sustainability strategies and initiatives. To focus on what matters the most, the Group has set out four priority focus areas.

1. Embed rigorous and effective governance

   • Maintain transparent corporate governance which guides the Group in making balanced decisions that benefit all stakeholders.

2. Operate responsibly with integrity

   • Adhere to the highest compliance and anti-corruption standards and always act with integrity;
   • Promote environments where employees feel comfortable speaking up;
   • Implement leading practice approaches to data privacy and cyber security.

3. Take action on climate change

   • Manage the physical and transition risks of climate change, and seize the opportunities arising from the transition to a low-carbon economy;
   • Encourage and embrace scientific and technological innovation to reduce the carbon footprints of the Group’s businesses at a faster rate, and contribute to helping to achieve the goals set out in the 2015 Paris Agreement, specifically to limit global warming to well below 2, preferably to 1.5 degree Celsius, compared to pre-industrial levels;
   • Develop carbon footprints including scope 1, 2 and 3 emissions along with the help of carbon experts;
   • Set medium and long-term targets on key performance indicators.

4. Protect natural resources

   • Conserve water and prevent air, water and land pollution.

5. Promote a circular economy

   • Integrate circular thinking into business strategies through responsible raw material sourcing, efficient production processes and product design, and inspiring sustainable consumer behaviours.

6. Create great places to work

   • Attract, develop and retain a high-performing and engaged workforce;
   • Make work an equitable, diverse and inclusive workplace;
   • Promote zero-harm and healthy workplaces.

7. Help to build thriving and resilient communities

   • Deliver business growth that benefits the communities in which the Group operates;
   • Invest in programmes for meaningful impact and foster long-term relationships.

8. Protect employees and support communities and other stakeholders through the pandemic

   • Keep employees safe by providing them with the tools and support to successfully work from home;
   • Protect the health and well-being of customers;
   • Maintain focus on supporting health care services and the needs of the vulnerable;
   • Prioritise health and wellness over profit whenever and wherever the Group’s employees or communities are at risk.

9. Offer customers sustainable products and invest in and embrace innovation to achieve transformational impacts

   • Invest in innovation that will have a transformational impact on sustainability and will ensure the Group’s business being ‘future-fit’;
   • Adapt products and services to be more sustainable, while always ensuring the highest levels of product and service quality and safety;
   • Communicate the sustainability benefits of products and services to customers with transparency and authenticity;
   • Partner with suppliers that share the Group’s sustainability priorities and uphold high levels of environmental and ethical conduct.

Priority focus area

While the goal — Take all steps to protect employees and support communities and other stakeholders through the pandemic — is not a perpetual goal as in the case of the others, it has been listed as a priority given the significance of the pandemic and to ensure resources are prioritised for its impacts and the path to recovery.

Stakeholder Engagement

The Group engages in open and transparent dialogues with key stakeholders including employees, customers, suppliers and business partners, shareholders and investors, banks and creditors, governments and regulators, local communities and non-governmental organisations. The Group regularly collects stakeholders’ views through a variety of channels, such as meetings, workshops, surveys and feedback programmes to understand their views and meet their expectations.

The Materiality Assessment Process

The Group conducted a materiality assessment to define the material sustainability issues faced by its operations that are perceived to be the most significant to the Group and its stakeholders. The materiality assessment of the Group is an iterative process conducted annually to account for new information and emerging trends by way of a three-step process: identification, prioritisation, and validation.

Identification
Identified potential sustainability issues relevant to the Group referencing:

• Material issues covered in industry specific materiality frameworks such as the Global Reporting Initiative Standards and the Sustainable Accounting Standards Board Standards;
• The United Nations Sustainable Development Goals;
• Environmental, Social, and Governance Rating Reports;
• Employee engagement survey;
• Research on emerging issues and global socio-economic trends.

Prioritisation

• Influence of identified material issues on business success was evaluated by members of the Sustainability Working Group.
• Prioritised issues that have a significant impact on the Group's ability to create long-term and sustainable value.

Validation

• Material issues were reviewed and approved by the Sustainability Working Group and then recommended to the Sustainability Committee for approval.

The following table summarises the material sustainability issues for the business:

The results facilitate the Group in steering its sustainability strategies, prioritisation of its sustainability activities, and the establishment of meaningful metrics for effective performance evaluation. The Group also sets specific targets and roadmaps to achieve its sustainability mission.

Key governance and sustainability policies and guidelines of the Group, the Corporate Governance Report and the Sustainability Report are posted on the website of the Company.