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2018 Sustainability Report

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2018 Sustainability Report 2018 Sustainability Report Championing Impact & Sustainability - “Building prosperity & self-suffciency across Africa” 6 7 The Dangote Way Building prosperity & self-sufficiency across Africa The Dangote Way is based upon the Seven Sustainability Pillars that support our approach to creating a world-class, multinational manufacturing company. Driven by the highest levels of governance, it is embedded in our corporate culture and guides our approach to building a prosperous and sustainable business. “The 7 Pillars of Sustainability are at the core of The Dangote Way, which reflects my personal commitment to build a socially responsible and impactful business that serves all stakeholders.” Dangote Cement | Sustainability Report 2018 Dangote Cement | Sustainability Report 2018 8 9 “It’s not all about making money. It’s about making impact. For more than 20 years, Dangote was just a trading company. Then we decided we wanted to be an industrial giant — and we had to start somewhere. It wasn’t just about cement. It was about industrialisation. If you look at what Dangote Group is doing, it’s about improving people’s lives”. The global business space is fast re- grow sustainably and make even we are enacting the philosophy that all levels of employees are involved We also realise that the adoption of industrialization. If you look at what evolving. More and more, the critical greater impact. a win-win approach to business in walking the talk on sustainability. global sustainability principles and Dangote Group is doing, it’s about question that entrepreneurs and helps us build a sustainable and In the year under review, Dangote standards is good for our business. improving people’s lives”. CEOs are made to answer is: “what For us operationalizing the Dangote respected brand. We propose to Cement Group held its first ever is the impact of your business on Way means supporting Africa to earn our social license to operate by Sustainability Week across its We remain strongly optimistic We aim to be the number one in stakeholders and the society?” develop rapidly and sustainably. building sustainable local economies Nigerian and Pan African operations. about Africa’s economic prospects everything that we do. Our business This is why we continue to invest around all our areas of operation. I am proud that over 500 Dangote and are committed to using our strategy has always been one that At Dangote Cement, we strongly in sectors that have the potential to employees took part in social quality products, services and enables our ‘play to win’ approach. agree that every business must bolster infrastructure development, We value the contributions of our impact initiatives that further investments to expedite the Sustainability is gaining more ask itself this pertinent question as massive job creation, and to stakeholders towards the success strengthened our relationship with continent’s sustainable growth and traction across the Dangote Group part of a continuous performance reverse Africa’s decades of import story that the Dangote brand has host communities. development. There are challenges, as we deepen our commitment self-assessment. The traditional dependence which has stifled local become. We will continue to engage no doubt; but none that we cannot, to deploying a win-win approach notion of business as a ‘profit only’ industries and foreign exchange our host communities and build To keep our sustainability journey with the support of our valued to business partnerships, whilst venture, is fast being eroded by earnings. long-lasting, mutually beneficial on track, we also understand the stakeholders, overcome. retaining industry leadership in new global realities. The value that a relationships. We understand importance of leveraging global We thank you all for your faith in Nigeria, Africa and globally. business creates for its employees, For example, from importing 68% the importance of securing the partnerships, including the United us and your loyalty to the Dangote customers, shareholders, investors, of its cement needs as at 2004, well-being of our people, local Nations Global Compact, the World brand. Together, we will continue to governments and host communities Nigeria is now a net exporter of the communities, and the natural Economic Forum, and the Global take our brand and our continent to is now rightly seen as integral to commodity, due mostly to Dangote environment. We have in 2018 Cement and Concrete Association. greater heights. ‘who’ and ‘what’ that brand is. Cement’s huge investments and invested significant resources to We are committed to sustainability aggressive expansion. Today, ensure that our business operations principles and standards such as Like I said, during a 2017 interview It is therefore part of our business Dangote Cement makes up seven do not jeopardise the health and the IFC Performance Standards, with Bloomberg ‚ “It’s not all about strategy to always ensure that our out of every 10 bags of cement safety of our employees and the Nigerian Stock Exchange making money. It’s about making market presence is positively felt, used across Africa. As we grow, affected stakeholders. Sustainability Disclosure Guidelines impact. For more than 20 years, not just in the local communities we are committed to ensuring that and the Global Reporting Initiative. Dangote was just a trading company. where our businesses are directly our business growth translates to We cannot achieve these objectives As one of the 10 biggest cement Then we decided we wanted to sited, but within the larger positive socio-economic progress in without the active involvement of companies in the world, we be an industrial giant — and we ALIKO DANGOTE population and host countries. This the markets where we do business. all members of the Dangote family. recognise the need to align with had to start somewhere. It wasn’t Chairman of the Board & Group is the only way we can continue to Through our sustainability function, This is why we ensure that global standards and best practices. just about cement. It was about President/CEO, Dangote Group Dangote Cement | Sustainability Report 2018 Dangote Cement | Sustainability Report 2018 10 11 environmental footprints across schools, hospitals, housing, and a Beyond our financial numbers, our huge value chain, as well as new African future that we all will we are excited about the progress positively and sustainably enhance be proud of. We are in business our Sustainability & Governance the socioeconomic potentials of our not just to make profits, but also Team has recorded across our host communities. to impact our societies and world, other performance parameters CEO’s positively. We will strive to sustain in 2018, defined by The Dangote For us, in 2018 the definition our first position in profitability, Way and the 7 Sustainability Statement of business growth has been market leadership, sustainable Pillar Methodology we adopted. ENGR JOSEPH MAKOJU A Successful Year and Strategy expanded beyond prioritising growth and development impact This involves reporting more Group Managing Director/ operations, finance and risk on our local communities, markets, comprehensively including our Chief Executive Officer for Sustainable Growth management to include the economies and countries in which financial, economic, operational, development of a corporate culture we operate. institutional, social, environmental that prioritises compliance with and cultural sustainability and national laws, regulations and global This is why we have commissioned impact. I am pleased to present The global cement industry and report impact in our home in our sustainability journey. We best practices, improves the health a five year sustainability impact our first substantive stand- continues to experience country. For instance, the gross are building the needed capacity, and safety of our employees and plan (2019-2023) that would alone Sustainability Report. It is exponential growth driven mostly value we created in our Nigerian systems, processes and policy products, and continuously tracks enable us use our business heartwarming to report that our by rapid expansions in urbanisation, operations rose from N476 billion framework that would enable us and reports our performance in the operations to achieve sustainable sustainability vision has been industrialisation and infrastructure as at financial year 2017 to N504 lead this evolving sustainability management of our environmental, development. We are focused on embraced by our board directors development especially in billion in 2018, representing a space in Nigeria, Africa and economic and social risks. We aim ensuring that our market presence as well as even the reception desk emerging economies. Recent 5.9% growth. On social impact, global. We are excited about how to optimise the positive impact we and operations in our different where you are welcomed to our studies estimate that until 2025, the number of students in Nigerian far we have gone in our goal of make in the lives of our employees, host countries lead to positive offices. the cement industry will grow local communities that benefited embedding sustainability into every investors and shareholders, local impact on employment numbers, by an annual aggregate of 7.3%. from our scholarship schemes aspect of our business operations communities and the larger society. school enrolment, primary We will continue to leverage our This prospect represents great doubled from about 400 in 2017 as evidenced. Our commitment
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