Sayga, the Journey and promise continues... Sustainability Highlights Report Sayga, the Journey and promise continues

Sustainability Highlights Report CONTENTS ABOUT THIS REPORT

About this report 5

Message from the MD 6 “Sayga….the Journey and promise continues” Our CSR Commitment 7 is the first report of this nature that Sayga produces. We are proud to have taken this undertaking in what we believe is the first Sudanese Company’s attempt to do so…

CSR Strategic Focus Areas 8 As a privately owned company, we have chosen to do this voluntarily so as to share with stakeholders what we are doing and where we want to go; as we believe that only CSR Action Plan 10 through our concerted efforts can sustainable development be realized… Our business has a purpose beyond profit and our ultimate aim is really about mak- ing a difference in people’s lives. This report is not a measurement of achievements Our Commitment to the UNGC 15 and progress in a defined year, but more of a self assessment; sharing highlights and contributions…

We tried to compile the material into a few clear sections set around our four main cor- nerstones – Our Business, Our People, Our Environment and Our Society. To highlight our main and largest social investments, we reserved the OUT OF THE BOX section at OUR BUSINESS 16 the end of the report.

We look forward to hearing your candid input and any feedback you may have. OUR PEOPLE 38 Stakeholder feedback is indeed an essential part of our CSR Commitment and it is why we undertook the production of this report… OUR ENVIRONMENT 46

OUR SOCIETY 56

OUT OF THE BOX 66

SAYGA- Sustainability Highlights Report 2010 4 SAYGA- Sustainability Highlights Report 2010 5 Message from the MD OUR Commitment to CSR

Our CSR long term goal: Dear Reader,

“Sayga’s journey started over sixty years ago. It was a modest beginning by a genera- “We are at the forefront of the Sudanese visers, our strategic CSR takes into our core strengths by adopting a few fo- tion who put the seeds for our group. It was my father’s generation, a generation so Businesses to integrate CSR in our busi- consideration: cus areas for our business CSR Strategic pure and so committed to building a strong nation through a positive role for private ness strategy. We continue to contribute Engagements. The areas identified were: enterprise. They passed a legacy of their high values which Sayga and my generation to upgrading the Sudanese Food Indus- • We take a long-term approach to ad- fully treasure. These values we feel a strong responsibility to sustain, nurture and try and the Sudanese economy by guar- dressing a social issue, acknowledging 1- Health and Nutrition. above all pass to generations to come. anteeing sustainability in all our busi- the inevitable link between business 2- Environment ness activities.” and society. Our lives and our role is challenging because we live in Sudan, a country torn by cul- 3- Capacity Building. tural differences and a competition for resources. Nevertheless, Sayga’s position as a At Sayga, we believe that our best con- • W e use all assets , pursuing concerted leader in the supply of basic foods allows us to bring communities together through tribution to society is by being good at efforts and taking ownership of a so- We are currently exploring with esteemed common denominators, a shared need for nutrition and a love for Food. what we do, by taking responsibility for cial problem, pushing beyond easy academic institutions and UN Agencies our products and services and by invest- solutions. and Local NGOS, further partnership and CSR for Sayga has a purpose beyond profit. It is our livelihood, our sustainability as a ing in positive change and implement- collaboration opportunities to maximize business and a community in these difficult times. It is bringing people together, it is • W e target issues that affect the drivers ing innovative and creative ways to add the benefits in relation to our existing ini- about serving the community, it is about higher causes, it is nation building through of competitiveness, where it can simul- value. tiatives and sponsor new projects in the adding value. taneously benefit business and society. areas of focus. Worthy to note that we We recognize that our society (and glo- • We identify and measure explicit busi- are guided by our CSR Policy in all we do. While we aspire for higher and higher causes, our feet remain firmly on the ground. bally) continues to face major economic CSR to us is the challenges of reaching out every day to every part of the country ness and social outcomes and tailor re- The policy spells out our commitments challenges coupled with unprecedented porting to inform strategy to our stakeholders in our everyday busi- through our mobile bakery school, its transforming bakeries to cleaner and greener environmental challenges. We took the sources of energy, it is creating jobs, building human capital, it is our contribution to ness; our ethics and guiding principles time to look critically and assess how Hence, rather than taking everything at the cultural arena, it is improving food safety, it is milk collection centres, it is adding are outlined in Our Operating Principles and where we can best apply our ex- once, we’d rather dig deep and leverage and Values Policy Guidelines. value every second of the day to the economy, to society and to the environment. pertise and resources to address these In Sayga we live, we breathe social responsibility, it is in our DNA. It is also our firm challenges. belief that we are passing the torch. Therefore, and always in this full knowledge we Adopting the “Authentic Engagement believe our lasting legacy for many generations to come will always be not recognition Framework”, developed by FSG ad- for our success… but for our values.”

Ihab Latif Managing Director

Sayga Investment Company Ltd.

SAYGA- Sustainability Highlights Report 2010 6 SAYGA- Sustainability Highlights Report 2010 7 CSR Strategic Focus Areas Our CSR Strategy key focus areas are:

1. Health & Nutrition Partnership Development is an essential mechanism for capacity building and for adopting the most effective and efficient approaches in the specified priority areas. Even the best – resourced 2. Capacity Building efforts eventually run into limitations on scale, only collaboration allows parties to share knowledge and information, pool scarce or diverse assets and resources, access new sources of innovation, and create economies of scale. Partnerships can also generate new capabilities 3. Environment and change operating environments in ways that create new strategic opportunities. We will forge partnerships at different levels and with different entities – government, think tanks , academic insitiutions, UN agencies, and civil society organizations. If opportunities are availed, With Culture as a cross cutting theme under the partnering with other businesses as well for the common good. overarching umbrella of Strategic Partnerships

STRATEGIC PARTNERSHIPS

We take it upon ourselves to provide capacity building initiatives within our spheres of influence, covering our internal and external The Food sector is so deeply connected to the state of stakeholders. natural resources, expanding economic opportunity “Capacity building encompasses human resource development goes hand in hand with environmental sustainability. (HRD) as an essential part of development. It is based on the The two agendas are increasingly interrelated and concept that education and training lie at the heart of development as a food company we felt that this should be an efforts and that without HRD most development interventions area of specific concern. We have already led the will be ineffective. It focuses on a series of actions directed at CAPACITY HEALTH & ENVIROMENT way in initiating innovative ideas to fight climate helping participants in the development process to increase their change and reduce the carbon footprint both in our knowledge, skills and understandings and to develop the attitudes BUILDING NUTRITION operations and within our business industry. Also needed to bring about the desired developmental change”. being in a conflict/post conflict state where tension over natural resources use has been a factor causing armed conflict in some areas, we believe it is an area that we should also try to contribute to and address.

CULTURE Addressing cultural issues when it comes to behavioural changes is key to the success of any initiative. It is important to incorporate and address culture in everything we do - whether we are developing products to cater for traditional preferences or sending The importance of access to healthy food choices for all is high on messages to adopt a healthy, nutritious diet on the one the local and global health policy agenda and the ability to make hand or encouraging people to adopt more responsible informed decisions about what we eat and drink is central to our behaviour when it comes to environment or business health and wellbeing. The Global Hunger Index –value for 2009 conduct at times. rated Sudan as ‘ SERIOUS’ and conflict being a main factor besides poverty. Yet malnutrition is found to be caused by both poverty and lack of awareness. As a food company, this is a ‘natural focus area’ and we feel responsible to address issues of food safety, food security, food quality and nutrition. We shall strive to make our products, which serve as staple food to millions, affordable and accessible to all.

SAYGA- Sustainability Highlights Report 2010 8 SAYGA- Sustainability Highlights Report 2010 9 CSR ACTION PLAN CSR ACTION PLAN

FOCUS BUSINESS PURPOSE / IN PLACE/ Achievements Planned Actions 2009 - 2012 AREA AREA OBJECTIVE

Products & Services Contribute to the Baking Development Center on-site broad portfolio of Increase number of beneficiaries: development of the training programs for bakers, members of the public (rep- Food Industry and resenting all sectors of society) Ensure a wider public is aware of these free always seek ways courses and availed opportunity to be trained at to add most value. 58000 beneficiaries since its foundation the BDC. Training and knowl- edge sharing as a Training in culinary , baking and basic management skills. Introduce SAYGA AWARD for outstanding Baker- means to improve ies achieving the Sayga Model. people’s livelihoods Recently certified by Vocational Training Authorities. FOCUS BUSINESS PURPOSE / IN PLACE/ Achievements Planned Actions 2009 - 2012 and businesses. AREA AREA OBJECTIVE In partnership with the Ministry of Education, provided major input into the development of the School Curricula Increase outreach activities through procurement for Home Economics classes . of more Mobile Bakery Schools (3 new MBS in Across BUs Promote CSR inter- Participated in a number of events and conferences , Take Part in Ministry of Welfare Oct. 2010 confer- 2010) nally and externally some of which are: ence on CSR. Mobile Bakery Schools offsite & upcountry activities , tar- and support nation- geting vulnerable sectors and rural populations. Explore long-term involvement in cultural, envi- al CSR campaigns UNGC Sudan Network Launch and presented Green Bak- UNGC COP Training Workshop , Q4 2010. ronmental, health and nutrition awareness issues and efforts and ery, Dec. 2008. # of existing Schools (2) each equipped with Water while conducting Baking Courses in upcountry showcase Sayga’s Attend GC local & international meetings. supply/Generator cities to maximize benefits and impact of our role sharing various SSMO Corporate Responsibility Seminar guests in services. initiatives. Nov,2009. Take part in upcoming CSR local, national events Nobo/Pasta Kitchen Programs for all of the above target to share best practices. beneficiaries. Responsible Investment, PRI & GC event in March 2010. Outstanding modern kitchen, featuring multimedia Awareness raising campaign to encourage all equipment. R&D Unit to continue supporting product Devel- Engaged Senior Managers in CSR Discussions 2007 at staff to contribute in CSR initiatives. Sayga and DG level Training is led by Famous Chefs. opment to serve local needs and preferences in partnership with other academic and technical Hold an annual CSR Week to raise staff aware- Recipe Books developed and distributed. institutions. Supported establishment of CSR Department at Group ness of CSR issues and how individual action Level, 2008. can make a differece. Recognize and reward CSR (Offering women opportunities to improve their living champions during this week. standards by being empowered with tools and knowledge Have become an official participant in the UNGC since that can be applied to start their own businesses.) 2009. Include CSR in the induction session for new staff so that they are informed of our commitments to R&D Unit supports Product Development, catering to lo- CAPACITY BUILDINGCAPACITY CSR and their roles and responsibilities. cal needs and preferences. CAPACITY BUILDINGCAPACITY Annually publish a Sustainability Report (accord- Led the fight against the use of Potassium Bromate, ing to international standards) to communicate through raising awareness campaigns and developing our progress towards targets and our CSR com- flour improvers. mitments and be the first Sudanese company to Products and Focus on education Al- Awal Brand Initiatives for Promoting Excellence, Crafts- Use innovative and creative ways to reward top do so. Services as a tool for devel- manship & Education. students each year opment and rec- ognize and reward Annual Event started in 2009 where Sayga recognizes and excellence. rewards the top students in different fields of the Suda- nese Certificate – highlighting technical and vocational Annual Budget to support development of select- streams as essential areas for the nation’s development.. ed schools (meeting Sayga’s selection criteria) .

Al-Awal Brand Initiatives in supporting Education & As a special area of focus , support & develop- Schools ment of Institutes for Children with Disabilities/ Special Needs . 10 Selected Schools are to be supported in various means (renovation/furniture/equipment) to send a strong message that excellence is rewarded and should be maintained.

SAYGA- Sustainability Highlights Report 2010 10 SAYGA- Sustainability Highlights Report 2010 11 CSR ACTION PLAN CSR ACTION PLAN

FOCUS BUSINESS PURPOSE / FOCUS BUSINESS PURPOSE / IN PLACE/ Achievements Planned Actions 2009 - 2012 IN PLACE/ Achievements Planned Actions 2009 - 2012 AREA AREA OBJECTIVE AREA AREA OBJECTIVE

Products and Applying innovative Green Bakery Initiative to reduce Carbon Footprint An extra 1000 bakeries to become ‘Green’ and es- Technical Services Ensure a rigorous ISO 14001 Identify/Document Environmental Aspects and Services solutions to address pecially in conflict affected areas, hence widening (QMS) and robust Envi- their Impact by Q1 of 2011 environmental is- 1032 Bakeries in different states of Sudan have switched coverage. ronmental Manage- Gap Audit & Training Champions on ISO 14001 by Lloyds sues through our from wood to LPG. ment System is in Register Quality Assurance Co. took place on July 2010. Address Gaps and gain ISO 14001 Certification by core business. Explore partnership with other Organizations to place in accordance Q4 2011 reduce Carbon Footprint via Sayga’s Green Bak- with international ery or other similar initiatives standards. Manufacturing Ensure Energy Ef- Power System Improvements Project, 2005. Continue Lightening Redesign for the rest of the Raise Aware- Engagement in Environmental activities: Sayga GREEN Bag Environmental Campaign, Oc- ficiency to minimize facilities. ness and promote tober 2010 involving Staff & Neighborhood. environmental im- 8% Reduction in Energy loss at East Power Station, in- Environmental Cleaning Campaigns in the neighbourhood. pact and improve creased level of Safety Introduce the use of solar energy in the yard light- Protection.. Engagement with local suppliers and service energy consumption ing and the advertizing boards by the end of 2011 Celebrated Environment Day providers on environmental issues as part of pre- – higher levels of Mill A Electro Flow System – 12% energy savings. selection, renewal of contracts procedures.

safety and efficiency. To enhance the usage of the variable speed drives ENVIRONMENT Celebrated TREE DAY (Tree plantation and plans to install Redesign, Power cables and Lightening –ongoing (Phases in big motors by mid of 2011(CO2 reduction = 457 more Green Bakeries at ElObeid State. A,B completed) ton/year) DAL Group Environmental Forum Sayga Production Line- power factor correction To develop condition monitoring system for the lighting level, voltage losses in cables, motors ef- R&D, Products and Access to healthy Led the fight against using Potassium Bromate in the bak- BDC to Introduce new recipes that address mal- Energy Committee formed in 2008 ficiency & steam leakage by end of 2010 Services food choices that are ing industry. nutrition, especially in MBS upcountry trips. affordable. Diesel System Efficiency project To use glass tenting films (IQUE-V-Cool) in our Developed new product ZADNA – sorghum – a leading Nutrition Campaign using IEC Material glass curtain walls to reduce the electricity con- cereal grain and the staple food for most of Sudanese people and that is high in iron and protein. First to avail Pasta Plant boilers fuel from Diesel to LPG, 25.9% reduc- sumption in our AC systems by Q2,2012. Continue developing new solutions and investi- it processed, ensuring high quality, hygiene and safety. tion in CO2 emission gate possibility of producing fortified food prod- ucts accustomed to different regional needs. ASMAR – Wholegrain is another of our products that Generator Operation, 28.3% CO2 reduction. is also considered staple food and rich in vitamins and Food & Kids , a new program to be offered at BDC minerals. to school students to raise youth’s awareness Energy awareness campaign launched. with food basics, hygiene, nutrition and healthy eating. International Auditors assure compliance with interna- tional standards. Ensure highest level GMPs adopted since 2005. HACCP for other facilities and target more of food safety and accreditations. Across BUs Resource efficiency Paperless system at Maintenance Department: Develop relationship further with ENVIROWISE hygiene are always ISO 9001 accreditations acquired. and reduction of (UK based organization) for support with regards realized. Target 2 – 3 different Health Awareness initiatives waste. 80% reduction in use of paper to resource efficiency in the areas of packaging to staff each year. material. HACCP for Pasta Plant (Reduce, Re-Use, Pasta Plant:

ENVIRONMENT Explore possibility of associating Mobile Bakery Recycle) Minimizing stretch wrap waste by 2011 Baking Development Center training includes hygiene and safety element. School campaigns with Health related Awareness Reduced carton waste by 21.5% activities while visiting rural areas. Explore internal recyclying opportunities Engagement with staff on Health Awareness & Health Reduce Rolls Waste by 8% issues: Develop milk run distribution system for bakery Expand the use of LEAN tools to be applied across flour products to ensure continuous supply of Mill C: ALL BUs and functions, such as 5s and Kaizan. Breast Cancer Awareness session to females of DAL Group fresh products. - Optimize use of raw wheat by 50% -less consumption Positive HSE Culture Campaign. HEALTH & NUTRITIONHEALTH by 50%, Conduct Firedrills for all Khartoum site areas and Products and In partnership with LIPTON - 600 Lipton branded tables (each with umbrella 2nd phase targeting a wider outreach – another - 50% reduction in Power consumption, Internal Firefighting training to employees. Services the Municipality, and stove) were distributed free of charge to tea ladies in 600 units to be distributed including areas out- improve conditions Greater Khartoum Area . side Greater Khartoum.. - Flour packaging (1kg) reduced pack size to eliminate for tea ladies in the waste, streets and create a more organized Through 5S Program : and better managed presentation to this Excess Furniture offered for re-use. informal & vulner- able sector address- Paper and plastic given away for free to other small fac- ing health and safety tories to use for the production of egg trays and plastic issues. plates.

Office supplies were donated to Hospital Institutions.

Scrap- aluminum, iron, and wood were sold to designated suppliers and revenue used to support schools in labor- ers’ residential areas.

SAYGA- Sustainability Highlights Report 2010 12 SAYGA- Sustainability Highlights Report 2010 13 CSR ACTION PLAN OUR COMMITMENT TO THE UNGC

FOCUS BUSINESS PURPOSE / IN PLACE/ Achievements Planned Actions 2009 - 2012 AREA AREA OBJECTIVE

In partnership with Collect milk from - Identified the number and area of farms in greater - Build specifically located collection centres Blue Nile Diary Co. farms throughout Khartoum. throughout greater Khartoum. all of Greater Khar- Products toum and improve - Identified the current issues faced by the farmers. - Provide farmers with training in terms of food Sayga Investment Company Ltd is proud to be a signatory of the United Nations Global the farming prac- hygiene as well as best farming practices Compact tices and in turn the - Identified the current feeding habits of the farmers to standard of living for their herds. - Provide the farmers with feeding programs for The Global Compact identifies ten universal principles on human rights, labor, the environ- the farmer as well their herds. as improving the - Capabilities built in order to process the huge quantities ment, and anti-corruption, and requires companies around the world to support and abide quality of finished of milk and make it safe for consumption. by these principles. The signing of this agreement reaffirms Sayga’s commitment to pursuing product currently consumed in Sudan. its efforts in corporate social responsibility. These ten principles are aligned with our Operat- Services To provide farmers List of issues suffered by farmers. - Provide a service department at every collection ing Principles and Values Policy guide. in Greater Khartoum centre. with Services which Types of diseases suffered by the herds. Sayga has been supportive of the GC Sudan Network since before its launch and has would enable them - Provide a free of charge animal production spe- advocated for the UNGC from within DAL Group premises and via DG's Cultural Forum, to produce better Types of medicines currently used. cialist to consult farmers on how to improve their quality milk. yields. it launched the Africa Leads – UNGC Publication (Dec. 2008). We have participated and presented in both the Launch Event and the recently organized conference on - Provide a free of charge veterinary service to farmers in order to support them to keep a “Responsible Business and Investment Practices in Conflict Affected Countries” shar- HEALTH & NUTRITIONHEALTH healthy herd. ing the Baking Development Center as an example of a strategic social investment.

- Provide reduced price medicines to the farmers. Sayga Co Ltd reasserts its commitment to the UNGC and in further advancing its ef- forts to help achieve the sustainable development of societies and the attainment of the Millennium Development Goals, by actively promoting CSR and by learning and adopting best practices from all around the globe.

SAYGA- Sustainability Highlights Report 2010 14 SAYGA- Sustainability Highlights Report 2010 15 SAYGA CSR & Sustainability Review 2009 SAYGA CSR & Sustainability Review 2009

• DAL Group OUR BUSINESS • Sayga at a glance • Organizational Structure • Process Efficiency • Our Stakeholders • Strategic Alliances: We value Partnerships • Stakeholder Engagements: We value our agents and customers • Our Marketing Activities: Sayga , Leading the Way. Giving our products a Human Face DAL Group Sayga at a Glance

Sayga Investment Co. Ltd. is one of the fastest growing DAL Group companies. Our success is due to maintaining exceptionally high standards across all our products and services, en- suring that Sayga continues to lead the way in Sudan’s food industry. We aspire to becom- Since its establishment in 1951, under the name of Sayer & Colley, DAL Group has steadily grown into the largest and most diversified privately owned group of com- ing the first regional and diversified food company in Sudan. This is only achieved through panies in Sudan. Underpinned by strong, clear business principles and ethics, DAL a balanced approach to economic, environmental and social considerations. We believe our Group today consists of independent companies that are efficiently and responsibly sustainability depends on realizing the right balance of all three. engaged in food industries, engineering, agriculture, automotives, medical services, property development and education sectors, each playing a leading role in its own field.

DAL Group is committed to growth, focused on quality and always thoughtful of our ever-growing family of employees. At DAL, we believe in the power of people, as a OUR BASIC BELIEFS valuable asset. It is our ongoing philosophy to attract, develop, recognize and retain AND VALUES the finest talent available in our industry. However, the aforementioned in totality is OUR MISSION: • We provide a range of quality anchored by a strong belief in the welfare of our customers. food products for people in To profitably manufacture, pack and distribute high-quality Sudan and in neighbouring We encourage innovative thinking, expecting execution and best in class in all critical countries. facets of our operations. We are committed to the concept of continuous improvement products at competitive prices, throughout Sudan and be- We pay particular attention and competitive benchmarking in worldwide sourcing, manufacturing, distribution, yond . • and our customer value proposition. to ensuring our products meet the needs of local At Sayga, we believe that our business has “A Purpose Beyond Profit”. We believe in Our success is simply based on both the quality of our associates and the standards markets and support something much greater than the return on capital employed where we aspire to make and values we set and lead by. Our mission is to enhance our capability to add value people’s traditional a sustainable business for a sustainable world. Sayga plays a vital role in the eco- preferences. by developing and operating businesses to international standards within Sudan. This nomic landscape of the community and is a trusted partner and employer as it delivers is the driving force behind the group's constant pursuit of excellence. • We create a new era in superior value and growth to our shareholders. Employees, governments, investors Sudanese enterprise by “We are committed by our beliefs to contribute to integrating economic, social and and our communities benefit economically from Sayga’s activities. By creating jobs, exemplifying international environmental considerations” enabling technology transfer, building human capital and physical infrastructure, gen- business standards. erating tax revenue, providing business opportunities to local suppliers and of course We provide the best through Osama Daoud Abdel latif \ DAL Group Chairman a variety of products to consumers and other businesses we believe we are contrib- • adopting state of the art uting to sustainable development and enacting our role as a responsible corporate manufacturing technology. citizen in the best ways possible. • We ensure the timely Each of these contributions has multiplier effects on development; At Sayga we be- delivery of products to our lieve in the interdependence of the system and look for ways from within our daily customers wherever they operations to continue to add value economically, socially and environmentally. It is are, without waste. therefore difficult to share the real impact our operations and activities have on the • We contribute to the economy and various stakeholders. economy and make a difference as a company and individuals to the daily life of our community by being good corporate citizens. • We highly value our employees and recognize that our success depends on their active engagement, loyalty and commitment.

SAYGA- Sustainability Highlights Report 2010 18 SAYGA- Sustainability Highlights Report 2010 19 Economic Performance Highlights: • Consistent and high-quality flour, pasta, semolina, sorghum and Major and direct impacts for the year • In FY2009 Sayga spent $29m on capital • Sayga’s continuing business generated 2009 are highlighted: to maintain and grow its production. an increased EBIT (Earnings before bran manufacturing. Over the coming year (FY2010) Sayga Interest and Tax) FY2009 up by 3.8% • Packing sugar, milk powder. Notwithstanding trying global economic has budgeted $40m of which a large from the FY2008 audited results. circumstances, and Sudan’s acute for- • Unique sorghum milling portion is already committed in Stor- Sayga is Sudan’s premier food company CP) accreditation, an internationally rec- eign currency shortages, Sayga deliv- • Operating free cash flow (cash from op- technology. age Capacity upgrades ($8m), Fleet and one of the country’s most dynamic ognized food safety system, in addition ered a satisfactory financial performance erations less capital expenditures) is an • Largest milling capacity in Sudan. expansion ($8m), Animal Feed capa- and successful organizations. It is well- to Lloyd’s Register of Quality Assurance for the year FY2009. important benchmark of economic per- bilities ($12m) and ICT infrastructure positioned to be Sudan’s first regional (ISO9001:2000) in July 2001 which was • Specialized milling and product formance. In FY2009, Sayga’s growth, ($2.5m) food company and partner of choice. recently renewed to (ISO 9001:2008). customization. • In FY2009 Sayga increased its flour cost savings, and working capital pro- With a powerful supply chain, Sayga Sayga’s successful foray into a diversi- production by 6.2% • Local procurement amounted to ductivity drove operating free cash to boasts its own bulk-grain terminal and fied food company positions us as a mar- $53.9m. Where possible efforts are 12.8% of revenue. • In FY2009 Sayga imported 58% of the storage silos at Port Sudan, enabling the ket leader in both local home-grown and made to procure goods and services total wheat imported into Sudan for supply of our mills with approximately multinational brands. Sayga packages locally and this reflects in a continuing commercial milling 1,500,000 MTs of grains, annually. powdered milk under the Foremost and rising trend where local purchases in- Capo brands and household sugar under • Sayga employs 1,173 people in FY2009 creased to 14.9% from 12.6% in FY2008 Deliveries are handled through both road the Safi brand, and produces a success- which was an increase of 7% on FY2008. and rail transportation, including Sayga’s ful range of Nobo and Milli pastas. New The outlook and head count budget for own fleet of railway locomotives (4) , in developments include the introduction FY2010 is to increase the staff compli- addition to 3 shunters and 250 wagons. of Zadna sorghum flour as part of a tra- ment by 27% to 1,490 employees With a geographic presence in 90% of ditional foods product range. In 2008, Sudan, coverage is wide with depots in Sayga became the partner of choice for Khartoum, Medani, Obeid and Port Su- global food companies Kraft and Uni- dan, with new depots in Kosti and Juba. Lever, strengthening Sayga’s leadership position in the local and regional food In 1996, Sayga Flour Mills began produc- A sustainable business is a profitable business, we are proud markets. ing Sayga’s flagship product, high-quality Gari Free Zones (GFZ- No customs that our business operations continue to grow enabling us to bakery flour, supplying the dietary needs deliver our best to all our stakeholders and proving that bal- of the majority of the Sudanese popula- duties) – the largest and most ancing profit, planet and people is indeed the way forward. tion. This wheat-based flour is produced flexible bond storage facility in by highly sophisticated Swiss machinery Khartoum… DAL’s was the first with fully-automated production lines warehousing operation in the for flour, semolina and bran to meet the country to be awarded the ISO various requirements of both the retail and industrial food sectors. A pioneer in 9001:2008 certification. setting standards in the food industry, applying Good Manufacturing Practices (GMP) since 2005, Sayga is the first Su- danese company to be awarded Hazard Analysis and Critical Control Point (HAC-

SAYGA- Sustainability Highlights Report 2010 20 SAYGA- Sustainability Highlights Report 2010 21 Our Products Our Markets

R E D

S E

Wadi Halfa A

Abu Hamed Port Sudan Suakin Dongola Karima Merowe Atbara Ed Damer

Shendi

Omdurman Halfa al Kassala Khartoum Gadida Hassahesa Wad Medani El Gitaina Gedaref El Diwaim Al Managil Geneina Al Fasher El Obeid Rabak Sinnar Kosti En Nahud

Nyala Abu Zabad Renk Ed Damazin Ed Da‘ein

El Muglad Kadugli Ed Dalang

Malakal

Wau

Rumbek

Juba

Existing Depots

Existing Distribution Centers

SAYGA- Sustainability Highlights Report 2010 22 SAYGA- Sustainability Highlights Report 2010 23 Our Business/ Organizational Structure:

Our strength stems from our talented people, our clear structures and our efficient processes.

Sayga’s business structure is progressively revised to accommodate the business fast growth and to allow the organization to meet current challenges and incorporate future opportunities. Business segmentation strategy sessions are periodically con- ducted involving the leadership team, Kepner-Tregoe Consultancy and key business managers to ensure that Sayga is well positioned to accommodate new and existing businesses. Sayga’s current Business Model includes three types of Organizational activities: 1. Management Activities 2. Core Activities CSR Responsibility @ Sayga 3. Support Activities Management activities are the responsibility of the Sayga Leadership team and in- The Managing Director of Sayga, Mr. Ihab budgeting team in coordination with the managers who hold ultimate account- clude the following process areas: Latif, takes pride in leading and support- Strategic Planning unit. Sayga Manage- ability for their business areas includ- ing the Corporate Social Responsibility ment encourages product/brand related ing CSR initiatives which is considered - Develop long term strategies & plans activities and engagements. Taking this initiatives as well as Corporate level en- as one of the KPI’s of their performance. - Business Development approach, CSR initiatives are given high- gagements as part of its CSR Strategy. Key/Strategic CSR engagements get dis- - Manage improvement & changes er priority and are considered part and cussed in monthly management meet- parcel of Sayga’s daily business activi- CSR Focal points within the different ings with the Managing Director. - Corporate Social Responsibility ties. Under the direction of the MD, the business areas work closely with the DAL Group CSR Manager and CSR Supervi- - Direct & review execution of business plans Human Resources Department, with the other respective unit(s), handles the op- sors to implement different initiatives. - Develop Enterprise level brand portfolio erational aspects of the different initia- This is for functional/technical support where they get the advise and expertise - Business review & audit tives. Corporate Social Responsibility is a critical part of Sayga’s Strategy and Busi- but their responsibility in terms of report- The Leadership Team also comprises of temporary and long term committees of ex- ness Plans and is a main element within ing falls under the Department Manager. pert focal points with responsibilities to HSE and QA at a senior level. strategy formulation discussions. It has The Sayga Leadership Team plays a key its separate budget allocation each year. role in CSR responsibility and account- Performance of expenditure on CSR ini- ability as it’s comprised of department tiatives is monitored and tracked by the

SAYGA- Sustainability Highlights Report 2010 24 SAYGA- Sustainability Highlights Report 2010 25 CSR Accountability & Organization Organizational Structure

SAYGA- Sustainability Highlights Report 2010 26 SAYGA- Sustainability Highlights Report 2010 27 The Organization Structure translates into the below process areas view: Process Efficiency

Having realized the effectiveness of Busi- ness Process Management in realizing and sustaining operational excellence, Sayga has adopted BPM as a key element of its management system apparatus. “The difference between Good and Great companies are the sys- tems which are driving them.“ – Ihab Latif Business Process Management is the mechanism we use to address common, platform-wide strategic planning, corpo- rate performance and business process improvement issues in order to support and facilitate successful implementation of strategies and ensure achievement of business plans.

Sayga’s BPM unit was formed in 2004 and has engaged with different areas • A suite of BPM services have been de- of the business in workshops aiming to fined and a number of initiatives have create a comprehensive business model been successfully implemented, BPM and analyzing the business structure and Week in 2007 and several workshops segmentation. Since then, it has contrib- within Sayga and other DAL Food Di- uted significantly in the development of vision Companies, including design- business models for Sayga’s new busi- ing an enterprise business model for nesses to ensure successful implemen- Sayga, documenting Sayga’s business tation and integration. processes and drawing roadmaps for improving some of the most critical The main foucs is on: process areas.

• Integrating BPM and Corporate Plan- • Dev eloping BPM organization and gov- ning & Performance Management (CP ernance framework and adapting to & PM). match Sayga’s fast growth rate.

• Providing BPM and CP&PM tools. The implementation of BPM in Sayga • B PM infrastructure is in place – Sayga is yet another manifestation of Sayga’s has selected ARIS methodology and relentless pursuit of excellence, its BPM suite as platforms for launching progressive thinking and its readiness its BPM initiative. to take long leaps and wide strides in achieving it.

SAYGA- Sustainability Highlights Report 2010 28 SAYGA- Sustainability Highlights Report 2010 29 Our Stakeholders Strategic Alliances: We Value Partnerships & Believe in Synergies EXAMPLES OF OUR STRATEGIC ALLIANCES:

With the Public Sector: The Sudan Railways Corporation

Agents & Customers Shareholders To attain sustained success and realize secured and offering better services to our goals for a more efficient and effec- other users as well. This investment not Employees tive business, we many times need to un- only has economic and social impacts, dertake major investments. One of our but an environmental one as well. Rail- Research Institutions & Think Tanks most strategic investments is an alliance ways prove to be more economically vi- with the Sudan Railways Corporation. able, safer and with a minimum impact We needed to meet our expansion needs on the environment and considered Competitors and to develop the capacity, efficiency Industry Associations much more energy efficient than other and cost effectiveness of our logistics modes of transport. At Sayga, we have operations, realizing that the reform of moved more towards using rail for trans- our ailing national railways will result in port rather than road for all of the above benefits to us and others as well. This Business Partners Media reasons. We believe that in a country like investment has revived the entire sector, ours, investments in infrastructure reap generating more revenue to the Railways huge benefits to many stakeholders at Corporation, ensuring more jobs are different levels. General Public

Government and Local Authorities

Parent Company – DAL Group Suppliers

SAYGA- Sustainability Highlights Report 2010 30 SAYGA- Sustainability Highlights Report 2010 31 With UN Agencies: The With DAL Sister World Food Program Companies: Sayga has started recently supporting the WFP (since 2009) and was then lim- 1- Localizing production ited to discharging WFP bulk vessels and of wheat cargo bagging, for local consumption and to countries in the region. Currently The Wadi Halfa Project, in partnership we are also supporting and facilitating with DAL Agriculture, is a good example customs clearance, stevedoring, and of our expansion and growth aspiration. ensuring an expedited discharging of We aspire to make Sudan the breadbas- vessels for timely delivery of food grains ket of the region and it is worthy to note to beneficiaries. Moreover, we offer our that our business has evolved from be- silos for storage of bulk cargo in prepa- ing an importer of wheat flour in Sudan ration of bagging process. Our business in 1993 to millers of imported Australian partnership with the UN Agency is one wheat since 1996 and lately Canadian that we are proud of and consider it the Ship unloading and handling facilities in Port Sudan wheat as well. In 2004 we identified a stepping stone for further collaboration need for localizing the wheat production to realize Food Security in Sudan and in Sudan; as a growing percentage of the eliminate hunger and malnutrition. As Sudanese population now depend on This investment will bring tremendous a responsible food company, we always wheat as their staple diet, and also con- benefits to our nation beyond the food aim to provide high quality, nutritious sidering economic challenges and risks security aspects. It will completely flour- food that is affordable and accessible associated with the sustainability of the ish the economy of Wadi Halfa, creating and we are currently exploring with WFP existing supply chain and the need to employment and training opportunities and other entities the possibility of pro- look for sustainable options. to thousands of people locally and will viding fortified foods. contribute significantly to the re-settle- Since then and in partnership with DAL ment of locals within that region. Group sister Company DAL Agriculture, we are investing in a 1 Million Fadden project in “Wadi Halfa”, Northern Sudan, to secure the future production of Wheat and ensure sustainability of our flour supply to the people of Sudan and per- haps the surrounding countries.

Large wheat and grain storage capacity silo in Port Sudan and Khartoum

SAYGA- Sustainability Highlights Report 2010 32 SAYGA- Sustainability Highlights Report 2010 33 2- Milk Collection Centers and Animal Stakeholders Feed. As part of an integrated DAL Group the milk collection centers in designated Engagement: We Project, Sayga together with Blue Nile areas around Khartoum and working Dairy Company and DAL Medical is un- on recipes for animal feed which will be dertaking a project to address farmers made available to the farmers ; the next and herds issues that will ultimately in- phase is to avail relevant training to farm- Value Our Agents crease farm yields. The project is a holis- ers around what to feed and when. This tic one integrating a number of elements; is yet another project that Sayga is in- infrastructure, capacity building training volved in. Investments will yield returns and Customers to farmers, veterinary services as well to all stakeholders and upgrade health as provision of medicine as part of this and hygiene standards related to pro- initiative. Sayga is involved in setting duction of milk and veterinary services. We Value and develop Our Agents:

Sayga has the largest, most far-reaching sustainability and realize real progress, agents distribution centers network in Sayga invests in availing various cours- Sudan. Our relationship with our agents es to the agents and their employees. has always been special and unique and Courses in customers’ service, manage- we are convinced that only through their ment, accounting, bakery management Sayga“ is a pioneer in introducing prosperity and wellbeing, can we realize and others are among the areas covered. the “After-Sales” services concept our goals. Sayga has undertaken upon Furthermore, we organize overseas trips itself to offer a distinguished package to introduce agents to the latest tech- in Sudan. As a Main Agent, and of facilities and services to our agents. nologies and practices in the world. We walking the talk with Sayga since We build and furnish agents distribu- provide high quality technical support its establishment, Sayga has de- tion centers to reflect the elegance and and regular maintenance besides con- veloped me as an individual and excellence that Sayga embodies. Sayga, sultancy services in the different areas has inspired me with a vision sometimes also rents centers on behalf varying from bakery establishment to of the agents and we also offer bakery developing new products. Our relation- for success! …Dealing with both equipment at competitive rates, subsi- ship with our agents is not limited to Sayga management and employ- dized and with installments scheduled professional services and facilitations; ees has broadened my knowledge over a long period. but also reflects our Sudanese traditions and experience throughout the and values that go beyond the business Worthy to note that also during the finan- years and through its different relationship to the personal domains. cial crisis, Sayga recognized its agents’ We regularly organize social gatherings, Capacity Building activities. I’m needs and provided soft loans and fi- celebrate special occasions, and annu- proud to consider myself a gradu- nancial support to ensure the smooth ally sponsor a number of agents to go ate of the “Sayga Academy. running of their businesses and hence for their Hajj (Pilgrimage). Our most re- We have sustained important partnerships and alliances with contributed to stabilizing the economy. cent activity was sending a group to at- a number of stakeholders, including research and academic Sayga did not limit itself to providing tend the 2010 World Cup celebrations ” financial support only, however, and centers and recognize that we all have our special strengths in South Africa. Our agents are invalu- emanating from our firm belief in the - Abdel Salam El Toum, Khartoum Com- and core competencies and only through collaboration could able and indeed vital to our success and value of human development to drive pany Manager we achieve the greatest impact for the benefit of all. sustainability.

SAYGA- Sustainability Highlights Report 2010 34 SAYGA- Sustainability Highlights Report 2010 35 We value and listen to our customers: Our Marketing Ensuring that our products and services in our understanding of this world. De- are of the highest quality, guaranteeing ciphering our customer code to deliver hygiene and food safety is our utmost their innate needs, uncovering opportu- Sayga“ looks for the comfort of Activities: Giving Our responsibility towards our customers. We nities through leaving no unturned stone are proud to have acquired recognized to share our partners’ unprecedented its customers … through their accreditations in this area and we shall success and becoming the suppliers technical support they realized Products a Human Face continue to seek excellence to deliver the preferred customer is what we at Sayga that we are not working in the best. Part of our continuous endeavors consistently aim towards achieving to best way possible so they brought to provide what is expected, is through maximize our strength. Stakeholder us all together and organized We try to do things listening to our customers. ALWAYS. engagement is how we accomplish this. Our ongoing 360 degree research allows training programs to show us the differently : Our unique CRM – Customer Relationship Manage- us to leverage on our stakeholder knowl- right way to bake , they even got marketing activities ment is very important at Sayga and edge, hence offering us a competitive international experts … Whenever we value and appreciate our customers advantage that establishes our company Thinking of the broader society and the and huge fireworks show. Zadna’s launch in all we do, striving to guarantee their they feel there is any benefit as a pioneer contributor to the Sudanese they can give ;they do it without bigger picture is reflected in all that we reflected the richness of Sudan’s herit- satisfaction always. We have launched age and culture, the beauty and richness market. do and our marketing activities are but Our fleet distributes our diversified food our Call Center specifically to ensure hesitation of diversity that should be preserved. one of many examples that reflect a portfolio. that customers needs and concerns get deep sense of responsibility and sensi- It was a great example of how can the addressed in a timely manner and taken ” tivity. CSR has indeed become a culture launch of a product be turned into a sym- Largest agents distribution network in care of. We aim to provide regular feed- A Sayga Customer • embedded in our thinking and behavior, bol of unity and peace. Sudan back on concerns raised and ensure sat- the past few years have seen more ex- isfaction with feedback given. Our serv- Another example of how we seek to add amples of what we can call “responsible Largest direct delivery fleet in Khartoum value is the recent CAPO (instant powder • ice is based on our respect for customers marketing” which ties the company to milk) Summer Festival… this time the ef- After-sales technical support and their welfare; our commitment to societal activities and concerns that in- • forts were to bring families to celebrate providing them with services that meet cur benefit to a large number of people and have fun along the beach which was CRM and call center or exceed their expectations and working or sectors. This is a serious indicator of • attended by hundreds of families. The with them to develop both their business our responsibility ‘thermometer’; a clear idea behind the festival is to support Distribute local brands and multinational and ours. example of this is the launch of ZADNA – • children’s creativity through providing a partners brands (Kraft and UniLever) which is the brand name for a number of At Sayga, we realize that our core number of initiatives and activities that traditional products. The first one to be strength lies in the world around us and range from crafts to sports, horseriding (Owned fleet consists of 4 heavy trucks, 124 launched of these products was the sor- and many other outdoor games. Also trucks, and 94 light vehicles) ghum whose production demonstrated competitions were organized where a breakthrough in the milling industry families can take part and again aiming worldwide and in Sudan specifically. at creating social bonds and enforcing ZADNA is a name stemming from ‘zad’ familial ties. The Festival included both which means food and is an embodiment entertaining activities and cultural ones, of everything traditional and considered which included music and poetry that re- the staple food for many of the peoples flect the different parts of Sudan. A mes- of Sudan. To reflect this, a huge festi- sage we are intent on sending is that of val was organized that was attended by celebrating unity and diversity. close to 40,000 spectators at a popular football stadium and a great cultural “People’s lives are improved as busi- event was presented. Sudanese culture nesses leverage their expertise, realize from the different parts of Sudan, espe- commercial success and run their opera- cially with relation to sowing practices tions responsibly.” was reflected in forms of folklore dances, poetry, songs and different forms of art

SAYGA- Sustainability Highlights Report 2010 36 SAYGA- Sustainability Highlights Report 2010 37 SAYGA CSR & Sustainability Review 2009

• Overview OUR PEOPLE • Equal Opportunities and Diversity • Work Environment • Health & Safety • Employee Benefits • Performance Management • Skills & Talent Development • Our People... an endless pool of good will • Emplo yee Engagements “Sayga is a company that Overview invests in its staff and in Sayga is a company committed to both its internal and external stakeholders. We be- building their competen- lieve our most prized asset is our people. Our philosophy focuses on management of the work environment in a way that provides a positive, healthy and conducive cies. I have attended many environment. We endeavor to promote at all levels core values which include respect, courses – customer service, integrity, recognition and development. We believe that only through creating a work environment where people can realize their potential, can we enhance our value as a public speaking, communi- company. cation skills and in the 13 yrs I have continuously worked We represent excellence in all what we do and what we are..... for Sayga, I always found re- spect from its management Equal Opportunities and endless cooperation and and Diversity I deal with them as my chil- We are proud to be an equal opportunity dren.. I work diligently with employer, recommitted to workforce di- my colleagues towards mak- versity. Recognizing the fact that women are an integral part of society. Sudan’s ing Sayga prosper as it is a multicultural ethnography makes Sayga company that respects its a melting pot of cultures and a diverse employees and hence finds work force including an international amalgamation. from us all the love.” Given the increased numbers of females Mr Abdel Raheem Mohd Nur in the job market, we are committed to Bashraik , Receptionist. strengthen a culture of inclusion. We recruit, retain and develop the best em- ployees. We have set targets to be met and are working diligently to have a healthy and productive workforce and we are proud to have 23% females in senior positions and as first line manag- ers across the various departments.

Job Level Local Expat Total % Expat % Local

Top Management 10 1 11 9% 91%

Middle Management 75 25 100 25% 75%

Lower Management 247 10 257 4% 96%

Employees 898 38 936 4% 96%

Total 1230 74 1304 6% 94%

SAYGA- Sustainability Highlights Report 2010 40 SAYGA- Sustainability Highlights Report 2010 41 Sayga has maintained a steadfastness Health and Safety MD Walk about awards are also in which offers traditional food at a lower to tradition in all we do. Social occasions and commitment since its inception to place to reward HSE compliance and cost subsidized by Sayga’s management. in Sudan merit special support and we local capacities that are dedicated and We are committed to being the best in excellence. ensure that assistance is provided to able to grasp our vision. Our Expatriate our industry and to avail a safe and se- • Bank & ATM Services: To ease the im- our employees during occasions such staff is valued for transferring knowledge cure working environment that does not In 2010 and beyond, we are committed bursement of employees our organiza- as weddings and funerals by issuing and technology and we pride ourselves threaten the health or well being of our to continue improving safety awareness tion has introduced bank services where compensation in cash that is settled ac- for the different perspectives they bring people. Safety of our people precedes across our facilities and with our con- salaries are transferred monthly to the cording to our policies and procedures. to the table. We truly believe that in di- everything else and we strive to have tractors, challenging ourselves to always bank accounts in a timely manner. ATM‘s Moreover, the company itself gives sup- versity lies strength and we invest heav- “Work-Life Balance, from a sus- outstanding records to share with our meet the best standards. are located on our premises to allow our port that is not deductible from the em- ily in providing our staff with the best on tainable development perspec- stakeholders and to ensure high employ- employees to access their bank accounts ployees’ salary. quickly and at all times. the job learning experiences. tive, is fundamental to Sustain- ee retention. We are proud to have been Employee Benefits the first company in Sudan to be award- able Business which is ultimately In appreciation of our employees, Sayga • Free Products: We distribute free flour Work Environment ed the Safety Award of the International bundles on a monthly basis to all our about improving the quality of life Association Organization of Operative offers an attractive package of com- pensation and benefit programs. From employees which is presented in AL- We consider the work place in our or- for everyone. It results in a win Millers (IAOM) , recognizing the ‘out- AWAL Brand (total cost of 21,401.50 SDG ganization as an essential pillar of com- – win situation because people standing’ efforts in achieving a record- competitive base salaries to retirement plans, our goal is to support the health ($=8,560) -1321 bundles). During the fort for our employees. We are adamant will be more productive if they able ‘injury rate’ equal to or less than holy month of Ramadan we also offer a in availing a structure that is both effec- 2.5 during the entire 2008 calendar year. and wealth of our most valuable asset: are happy in their jobs and this our people. range of free products to our entire work- tive and efficient and supportive to ac- Sayga is also ISO 9001:2008 certified, force such as: milk powder, Lipton tea, complish our organizational goals. All is more likely if they are able to giving more assurance to the high level • Transportation: We provide transpor- flour, sugar and Tang , and this all rein- our premises are elegant and organized balance work commitments with and standards adopted. We have accom- tation and car schemes to all our em- forces how the company holds its people as we believe that our image should al- family life.” plished a lot in the past few years, in- ployees. We take seriously the smooth in high esteem and would like to share ways be that of quality and excellence. cluding organizing traffic campaigns, de- and safe transportation of our staff in their happiness with the advent of this All Sayga premises have been designed Lyn Mayes, Acting Operations Manager creasing onsite accidents and promoting terms of secured arrival and departure holy month. in a way so as to best serve and support a positive HSE culture not only internally New Zealand Business Council for Sus- to or from work regardless of time-day or our internal and external customers.New but amongst our external stakeholders night. At Sayga, all our actions and activities buildings are now more gender sensitive tainable Development as well. Up to date, more than 2000 peo- stem from our local culture and we por- as we have provided a rest area for our ple were trained from across the different • Medical: We offer medical coverage for tray Sudanese generousity and respect female employees. Recently, based on stakeholders groups on HSE issues. our employees and their dependants to the below quote, and the strong belief of ensure a healthy, productive work envi- Sayga’s management in the benefits of ronment and motivated employees. Work –Life-Balance initiatives and what it can bring to both the employees and • On- site Restaurant Facility: Our organ- the business, Sayga offered a flexibil- ization has been rapidly growing since ity option to office based staff to work 5 1996 from 40 employees in 1996 to 1235 days/week instead of 6 days/week to al- in 2010 and as a result of this expansion; low them an additional day off with their all our supporting functions and facilities families. This initiative was launched had to grow accordingly. In 2006 we de- across all DAL Group Companies as well. molished our cafeteria and have a new impressive restaurant in its place. We are proud to be unique in this aspect and of- fer a wide array of national and interna- tional menus. Since our employees are our most important asset, we also built another cafeteria in our main facility

SAYGA- Sustainability Highlights Report 2010 42 SAYGA- Sustainability Highlights Report 2010 43 Performance • HR Newsletter: HR News, HR Aspects, Taking our responsibility towards our CSR, Learning & Development, Educa- stakeholders seriously has allowed us to Our people.. an endless Management tional Tips and Entertainment that are pursue and be accountable to implement pool of goodwill issued electronically on a quarterly ISO 9001:2000 system in general and it’s Our incentives are extremely rewarding basis. training commitment (ISO: section 6.2) We are proud that a group of our employ- and based on performance linked to in- in particular and continually improve its ees have set up their own group volun- novation, motivation and excellence Skills & Talent effectiveness. teering their time, efforts and financial such as the technical services depart- contributions to ease the burdens of ment Innovation Award Framework. We Development Our training packages are designed those in need;the poor, the sick, and the offer annual bonuses to our employees to provide development opportunities elderly. A group who mobilize funds and based on performance appraisal rating We at Sayga are team builders and for all staff based on staff performance support from their fellow colleagues to received during the PA cycle by the end of believe in our people thus ensuring gaps and we adopt an ethical approach make a change. We are happy to have the year. The bonus paid ranges from 3x the propagation of the team spirit. Our to managing and developing employees them onboard and Sayga avails all sup- to 9x of the Base Pay payments based on training & development programs/ which is based on concern for people, port and encouragement to their noble a Rating Scale (1-5). We reward staff ob- opportunities are “timely fashioned, fairness and transparency. We try to efforts. taining Performance Rating 3 and above. fit-for purpose, customer-oriented, user keep on top of new technology, equip- We also regularly conduct surveys where friendly, aligned with product quality, ment, machinery, staff development and we measure our staff satisfaction and business goals and operations”. Training all relevant developments in the arena, feedback on the performance given and strategically builds competent staff that to increase employee commitment and we act on the findings. are an assurance of sustainability, and ensure their job satisfaction. promote competitive advantage. Total Amount paid for PA in 2010 is: SDG “Our continuous investment in skills de- 6,146,346.02 “Learning & Forward Thinking” is an in- velopment and training serves a wider herent objective of the company where social and economic purpose.” people are open and proactive to learn from each other, share knowledge, expe- rience, ideas, take risks, challenges and use them as learning tools.

Employee Communication: Communication in the workplace is the backbone of any business. We believe in the importance of effective and right- on time communication. In our organization we have different media channels that we use to communicate including:

• Bulletin boards that are located throughout all our buildings and manu- facturing areas.

• Emails: announcements, events, changes and offers right to the inbox.

• LCD Screens in the cafeteria and lobby.

• Sayga Intranet Portal/Share Point.

SAYGA- Sustainability Highlights Report 2010 44 SAYGA- Sustainability Highlights Report 2010 45 SAYGA CSR & Sustainability Review 2009 SAYGA CSR & Sustainability Review 2009

• Introduction OUR ENVIRONMENT • Energy Management • R esource Efficiency – Sayga Lean & Green • ISO 14001 EMS • Neighborhood Clean Up “Sayga is a respectable company, that had a lot of credit in secur- ing food to the peoples of Sudan. Its great expansion to adopt big ag- Introduction: ricultural projects has affected the country’s environment positively and recognizably. Sayga cared for the environment and the citizen and Are we part of the problem or the solution? contributed to their development. During my role as State Minister the past years, I have considered Sayga a friend to the Ministry in view of We believe that we can all be part of a ‘Green Economy’ and that we must diligently Ending 2006, Sayga’s application of the the collaborative efforts to advance the environment from different as- preserve the environment and try to find environmentally friendly technology and busi- Power Factor Correction System was pects. Even environmental awareness was one of the areas that Sayga ness processes to conduct our business. As part of our commitment and deep belief recognized by the NEC as best practice cared for, through dedicating a regular forum to discuss environmental that addressing issues, such as climate change or resource efficiency, need individual and we were requested to take part in action; we chose to be part of the solution. We have critically looked into our opera- a National TV show to demonstrate its concerns bringing together a pool of environmentalists, activists and tions and processes and assessed where we can make changes. This commitment has effectiveness and how it was applied at policy makers.” already produced significant results especially with regards to material usage reduc- Sayga. tion, energy consumption, greenhouse gas emissions and reduction, packaging re- duction among other areas demonstrating our ongoing commitment to improving the • Electro Flow System at Mill A was in- sustainability of our operations. Moreover, considerable cost reductions have been troduced to effectively optimize power made; to prove that environment conservation will always have a business case. quality and saving power. This invest- ment cost $97,000 and resulted in 12% In this section, we want to share our energy efficiency efforts up to date and some of energy savings. our achievements with regards to resource efficiency. • Redesigning of cables (resizing and routing) was completed for all main Initiatives : distribution power cables at Sayga Energy sites and this will be undertaken for A complete rehabilitation of the “ East any new project. This initiative resulted Management Power Station” and an overall re-en- in a minimized voltage drop and an gineering of the station took place. It overall reduction in cable resistance as The Power Systems Unit (PSU) aimed at having less noise, increasing the distances in the new routes were safety levels and decreasing power con- reduced. In 2004 Sayga decided to establish the sumption. The cost of this project was Power Systems Unit to focus on the en- $1.8 million including the new panels, • Redesigning lighting aimed at review- ergy management in all aspects to recog- generators and cables procured result- ing the lighting intensity across Sayga nize how much energy waste we have. In ing in a minimum of 8% energy losses and using high long life efficient lamps 2005 projects were proposed to achieve H.E Teresia Sericio, and an increased safety level. for food manufacturing. The plan to re- the minimum level of waste and high- duce energy consumption was divided Current State Minister – Ministry of est possible level of safety to protect Power Factor Correction for all Sayga into three phases; Phase A incurred Communications employees. Production Line was undergone before zero investment and a 50% reduction Former State Minister – the National Electricity Corporation actu- in energy consumption simply by man- The new power systems unit looked into ally made it mandatory for all “big loads” the main power distribution and back ually controlling usage, ensuring that Ministry of Environment and Urban in the national grid. These were installed power supply, lighting issues across lights are off when not needed and that Development near the production lines to increase ef- all offices are blacked out after working Sayga and the diesel supply system. fectiveness and resulted in: A number of initiatives under the title hours. Phase B utilized the costs saved “Power System Improvement Projects” • Impr ovement in the voltage drop which to replace all the lamps at Mill B with a were proposed and approved by top ultimately translates into lesser con- proper lighting system according to the international standards using industri- management. sumption for the benefit of the national grid supply. al electronic explosion proof lamps and to use the functional lamps from Mill B • R educing load on generators, hence as spare parts to the other mills. This reducing fuel consumption and leading was aimed to be repeated to cover all to a decreased level of emissions. Mills.

SAYGA- Sustainability Highlights Report 2010 48 SAYGA- Sustainability Highlights Report 2010 49 Total investments since 2006 amounted A lot of habits that need addressing re- to $110,000 and a 16% savings in elec- quire capturing hearts and minds, all en- Resource tricity consumption and a 50% reduction ergy consumption initiatives need eve- in busted lamps. Moreover, yard lighting ryone to believe that they have a role to was changed from vapor mercury lamps play and that every little helps!! Efficiency to metal halide lamps which deliver light tion of natural & human resources .We We have built a vision of manag- Lean Culture more efficiently and produce better air Sayga Lean and Green deploy a set of tools and techniques to ing our resources, processes and quality and have a positive effect on the consume the least natural and human products to have the least nega- We are using different tools to create a environmental waste stream. A long life In early 2009, Sayga adopted the LEAN business culture characterized by the IT’S NOT ONLY resources to produce exactly what our tive impact on the environment. system also ensures less landfill waste. approach to identify best practices for customer needs when needed. endless pursuit of the elimination of ABOUT POWER increasing efficiency, improving finan- To enhance our response to our waste. We see our people as our prob- Photo sensors were generalized across cial and operational performance. The We tend to specify activities that add val- customers and internal commu- lem solvers and we continuously focus SAVINGS IN THE the facilities to further reduce energy ultimate goal is to create a system that ue with the customer eyes, and then line on making sure that our people are consumption. This project resulted in nication by developing a simple consistently achieves excellence for up these activities together to produce integrated process across the en- supporting processes they can see, PSU!! 15% energy savings. customers, shareholders employees understand and believe in. required products or service. tire organization. We define what The Energy Management Committee and the environment.” We challenge ourselves to create ca- adds value only with the customer We are actively working to create high To show serious commitment for energy We are actively collaborating to create pable, adequate, available, flexible and perspective, aiming for 4 walls performance work teams environment savings and reduction of gas emissions, values, principles and initiatives to elimi- flowing production processes only pulled waste free business environment where; nate waste and minimize the consump- to consume resources when asked by Sayga Power Systems Unit were the Sayga established an Energy Manage- initially and reflect it where possi- We share One vision, ment Committee in 2008. customer. This results in higher value to pioneers in using the PAPERLESS feature ble to our society. in the asset management system used the customer, less raw materials waste, Empower and highly respect our people, for maintenance. Paper job cards were • The first initiative of the committee was less wasted worker effort, and an overall completely eliminated through purchasing to develop an Energy Management Pol- DO YOU KNOW THAT…. greener and more profitable company! Make room for legitimate mistakes, computers and training technicians on icy to show the commitment and sup- The leading similarity between the ben- Problems are exposed because of in- their use. All records were available in port of Sayga’s top management. Turning on Sayga’s offices overnight can The Lean and Green concept is efits of lean and the benefits of green creased trust, the system reducing paper circulation by waste energy to produce 27,000 bun- built around the premise of Waste is waste, and so it makes perfect sense 80%. • The diesel system efficiency initiative that in order to achieve higher levels of dles of Safi’s sugar!!!! Management. achieved notable results. Piping losses environmental performance, you have We are solution and not blame oriented were eliminated by 95%, allowing a 5% to follow a structured approach of waste Effective communication - Open two- for maintenance and water separation Waste Management at elimination. way vertical and horizontal communi- losses; Handling losses were reduced cation is in place by more than 86%; Spillage losses Sayga We have started by sharing the knowl- have been controlled by 100%. Meter- edge and actively changing the culture Commitment to being process and re- ing losses were controlled by adding by following structured events to bring sults driven. a meter for delivery in the railway site “We are convinced that sustain- knowledge to practice. To ease the proc- ess we have developed key people in U/G tank, and calibrating all meters in ability throughout the value add- synchrony with the main tank meter. various areas in the business to become ed chain, comprehensive product change agents. And have extended the • The pasta plant boilers fuel was responsibility and a clear commit- basic lean knowledge to include over changed from diesel to LPG to reduce ment to saving resources are all 750 engineers, machine operators, driv- the environmental impacts from the an integral part of our success” ers, and security guards. We did not stop gas emissions. The investment cost here but went beyond our 4-walls to in- $25,000 and resulted in a 15% reduc- Why use it if you don’t clude some of our customers and key lo- tion in CO2 emissions. cal suppliers. An Energy Awareness Campaign was run need it? throughout the company. The awareness focused in both energy saving tips for of- fices and for homes to build a green en- ergy culture among all employees & their families.

SAYGA- Sustainability Highlights Report 2010 50 SAYGA- Sustainability Highlights Report 2010 51 succeed without the commitment of our Case Study: Paperless buffers and unnecessary items were col- people, the project puts appreciation on lected in a companywide disposal area top of the must dos so at the end of every Environment displayed by categories to give a chance event , teams are thanked by the man- for other departments to pick what is re- agement team, given letters of apprecia- Although we are the biggest food manu- quired by them. tion and taken out to celebrate success facturing company in Sudan, we are still at fancy restaurants in Khartoum. It’s a facing high risks regarding funding our Furniture, Paper great family time where employees’ fami- overseas row, packaging and project ma- lies are always welcomed. terials due to sanctions and Forex fund and Plastic, Office limitations. This major challenge helped into developing our local suppliers to supplies, Scrap and IT meet our standards. equipment.. As part of this program, we initiated an effort targeting the commodities requisi- tions and purchasing process, including the raw materials, capital projects and Change Management operation requirements with an aver- the yard layout, leveling the number of Air pollution was also decreased through age cost of 50mln dollars monthly.The trucks available inside the site at any reduction of CO2 emissions from the boil- “ how could we add value? KaiZen focus was on process efficiency, volume point of time. er and generator (753 and 1332 tonnes Who could make best use of of paper work, time consumption and respectively). All the lean tools are built around peo- resource utilization. The aim was to im- these?” ple’s thinking and behaviour; ensuring Case Study: Pasta Plant plement a value adding process that 5S + Safety - a chance how to drive the thinking of people so minimizes the use of human effort and Operation that there could be a better way to run natural resources. Notable results were to reuse, recycle, today’s business. We are embodying sev- Another success story was that of the made in using less paper, written ap- Responsible practices surely have great eral principles and tactical methods of provals, unnecessary check points and Pasta plant were its overall performance reduce? bringing all ideas that can contribute in was optimized by leveraging the ISO and returns for our long term success and for movement of vehicles moving across 5s is a systematic, five –steps process the benefit of the society as well. In our achieving our common vision versus do- premises. HACCP certification which were seen as ing it ‘solo’ or based on isolated thinking. Lean enablers. The plant was able to for developing and maintaining a clean efforts to deal with the different items These principles and methods effectively The projects targeted different busi- achieve the following: and organized work environment, aim- collected – furniture, paper and plastic, engage employees in a continuous im- ness units and processes resulting in ing to reduce waste due to clutter, time office supplies, scrap and IT equipment; provement culture that naturally encour- increased safety and hygiene as well, • An ISO Certificate – In February 2009, consumed to find required materials and we asked ourselves: ages waste minimization, optimizing use the pasta plant became ISO certified. equipment, duplication of equipment, particularly with relation to warehous- Currently paper and plastic bags are giv- of resources and pollution prevention. ing. Overall safety level within site was floor space, and inconsistency. • In June, 2009 the plant became HACCP en away for free to factories to be used enhanced through the Sayga Premises certified reflecting that highest level The 5s steps can be summarized as as raw input to produce products such Key lean principles include involving em- Traffic Flow initiative which modified ployees in continual improvement and of food safety is guaranteed for our follows: as egg trays and plastic plates. A large problem solving activities by implement- customers. amount of shrink rap and plastic paper is In early 2010 we have started rolling out ing a rapid-plan-do-check-act framework also disposed of and given to plastic fac- In November 2009 lean management the 5s under the theme of “Safety is eve- to achieve results fast and build momen- tories for free. Excess office supplies in- & visual control concepts implementa- rybody’s business”. tum using Kaizen (continuous improve- cluding thousands of files, box files, pens tion started by conducting Kaizen as ment framework). We are conducting and calculators were donated through lo- an approach, to reduce pasta packing All employees in Sayga were involved in this with cross-functional teams follow- cal organizations to hospitals which are machines downtime by 80% and re- the exercise and it has resulted in cre- ing an organized use of common sense in the process of establishing records for duce the waste generated through the ating a high spirit of sharing and team to improve cost, quality, delivery, safety the hospital. Scrap including aluminum manufacturing activities by 80%. Results work. and responsiveness to customer needs. pieces, iron and wood were sold for re- were outstanding as an efficient proc- Teams are encouraged to bring prob- During the first S “Sort” all employees use by designated suppliers. All income ess was put in place, guaranteeing a fast lems to the surface and to use multiple within each department got to select is now collected to be used for school response to our customers’ needs and problem solving skills to resolve them. what was required to complete their funds; some schools where picked in the high quality products. Moreover, direct Recognizing that all are efforts would not job and remove everything not required same area where majority of the laborers environmental results were an increasing from their respective work areas. Then all live, our aim is to help those children to reduction in cartons waste, rolls waste.

SAYGA- Sustainability Highlights Report 2010 52 SAYGA- Sustainability Highlights Report 2010 53 have desks, chairs, toilets and drinking Although the lean program has been objectives we have in place. Infact, to en- water, as per their requirement. Old and kicked off mid 2009 but it was able to sure a rigorous and robust Environmen- unused IT equipment including screens, achieve a total of 1.7mln savings and is tal Management System is in place in ac- monitors, batteries and accessories were expected to deliver a 5.1 saving in 2010- cordance with international standards, all collected and we contacted small lo- 2011 from selected areas. Sayga initiated the ISO 14001 implemen- cal suppliers and provided them with the tation process on July 2010 by involving items to be used as spare parts. “Indeed, what it took was a will- its staff in an EMS practical Implementa- ingness to look at our activities tion training by Lloyds Register Quality This endeavor has become a process Co. A 2-Day course took place involving whereby on a regular basis waste gets with a different lens and challeng- ing ourselves to do things differ- around 20 employees (ISO 14001 Cham- disposed of from our operations, IT pions) from across different areas of the equipment is distributed to local sup- ently. GREEN is indeed a business Sayga business followed by a 2-Day Gap pliers as spare parts and scrap is reused imperative.” Audit activity. by factories. This has helped others and made us more aware of usage. We have extended these efforts to our custom- ISO 14001 EMS ers to help them in developing the way An Environmental Policy Statement was they run their business and we believe endorsed by the Managing Director, re- that this will increase their productivity, flecting the importance and senior com- eliminate waste and promote a resource mitment to the long term environmental efficient culture resulting in multiplier ef- fects beyond our spheres of influence.

Neighbourhood Clean The initiatives above reflect our internal achievements, and throughout the rest of Up Campaign the sections of this report we also share our various community initiatives – The We also regularly carry out clean- up cam- Port Sudan Project and El Obeid Tree Day paigns in the neighborhood, targeting all to show case our efforts in partnership the areas around Sayga. It was astound- with other stakeholders in addition to ing how much debris and pollution one our Environmental Forum and our ‘Green finds and it was a learning experience Bakery’ Project. All these initiative dem- finding out how small efforts make a big onstrate our commitment to addressing difference. We have also invested and environmental concerns in all our spheres continue to invest in cleaning the ditches of influence and beyond it. in the neighborhood to minimize or elimi- nate harm done during the rainy seasons and we try to engage always with our neighbors on environmental issues of concern. A “Sayga Green Bag Campaign” is to be launched end of 2010, targeting different and various stakeholders and adopting a new technique to capture hearts and minds.

SAYGA- Sustainability Highlights Report 2010 54 SAYGA- Sustainability Highlights Report 2010 55 SAYGA CSR & Sustainability Review 2009 SAYGA CSR & Sustainability Review 2009

OUR SOCIETY • Social Contribution – Charitable Giving •The DAL Fora • Kaleidoscope Sayga is part of the society… Food Forum The Forum aims at providing a neutral At Sayga, we believe that societal issues are our concerns and that only through concerted efforts and smart partnerships could platform to bring public and private sec- we have a greater impact on addressing these issues. We can only then create and deliver sustainable and long term benefits and tor food industry professionals, together become active participants in our society, committed to making a positive and lasting contribution. with regulatory authority representa- tives, and civil society organizations to The UN Millennium Development Goals are referred to in our Kaleidoscope section in our efforts to raise awareness about these upgrade the food industry , collectively Cultural Forum global targets and to showcase that indeed every contribution serves a goal or more. Needless to say that through committing to act to address challenges and utilize be a responsible and successful business and contributing to the economic development of the country, we are hence contributing Environmental The DAL Cultural Forum (DCF) has been availed opportunities. to the advancement of people, as poverty is the root cause of most ailments. founded on the 29th of November 2007 Forum DAL FOOD FORUM aims to : as an initiative that introduces differ- In this section, we tried to give insight into another aspect of our impact on the community and broader society. We provide a por- ent cultural agendas to the employees tray of the different activities we participate in and support. We target action at different levels, through our well organized forums The purpose of this platform is to explore • Introduce new (local, regional or in- of DAL Group, their families, DAL Group that aim to provide the space and the enablers to bring together various stakeholders to discuss and address important issues; be areas of environmental concern, with a ternational) food safety initiatives and business partners and special interest it environmental, cultural, related to our Food Industry, or through direct support provided , or long term partnerships and commit- particular focus on their impact on Su- programs. groups - including music and art schools, ments with other societal actors including government institutions, NGOs and community based organizations. dan. The forums are run in conjunction • Promote joint collaboration amongst various cultural centres, organizations, with such bodies as the Higher Council and NGOs. for Environment and Natural Resources, the food manufacturers and regulators NGOs, donor and UN Agencies and en- to ensure food safety and security to the The main objective behind the DCF is to in our strategic direction and business with different stakeholders. Worthy to Social Contribution – vironment activists and bring esteemed consumer. enhance DAL’s social responsibility com- goals. Besides our long term strategic mention is that these fora were also pri- international speakers together with lo- mitment and brand image by utilizing investments, our ongoing impact on the marily launched to serve the purpose of • Enable Networking and the exchange Charitable Giving cal stakeholders from the government, culture and entertainment and provid- society is our involvement and role in ad- providing chances for intellectual dis- of ideas and knowledge , geared to the media, business and wider community. ing a diverse insight into the Sudanese In Sudan, corporate philanthropic activi- dressing their minor and major issues at course, awareness raising and entertain- Food Industry. tradition and other global traditions and ties stem from inherent basic beliefs and all times. Knowing full well that every lit- ment to our employees and their families • Provide food professionals with access Topics and areas of interest include: cultures. values of our faiths and culture; Sayga’s tle helps to make a change. amid the clear gap in such activities in to professional training . annual contributions are allocated to re- our society which has recently been pick- • Working with government to integrate • Provide expert speakers on a wide DCF inbreeds strong feelings of loyalty spond to various requests received for ing up again. the environment into development The DAL Fora range of topical issues of interest and belonging that in turn enhance em- funds , mostly given in kind (our prod- activities. ployee creativity and quality of work. It ucts and services) and in some specific Sayga, has been the drive and force be- Moreover, the sponsorship of book pub- • Bring together a pool of knowledge • Assisting raising public awareness is intended for DAL to be perceived as occasions in cash. Community based or- hind launching the DAL Forum; it initi- lishing and print is a clear demonstra- from representatives of DAL Food Com- about environmental risks and hot a strong effective brand that is a value- ganizations, charities and foundations, ated and sponsored the Environmental tion that Sayga holds culture and arts in panies from varied professional and issues. adding member of the community. societies, student societies among many Forum in 2007 followed by the Cultural high esteem and understands that the technical backgrounds. others are the beneficiaries. Forum in 2008 and recently the DAL Food real development of a country is based DAL Group aims to bridge cultural gaps • Helping ensure that Sudan meets its • Provide a platform for discussing food Forum in 2010. on much more than economic terms and and differences, and aims to help others environmental obligations. safety and current Good Manufacturing A special focus is made on vulnerable measures. understand Sudanese roots better, Su- sectors of the society, targeting poorest Practices. Sayga is a pioneer in forward thinking • Managing natural resources danese arts, music and poetry as well as of the poor and the marginalized, in ad- An account of topics and events spon- and creativity, as it was the first private sustainably. • Update industry on the latest regula- those of other nations. DAL Group audi- dition to the physically or mentally chal- sored since 2007 are all available in the sector entity in Sudan to adopt such a tory requirement and guidelines on food ences and employees represent diversity lenged in particular. Funds are also given recently compiled DAL FORUM BOOK- novel approach which was limited to oth- • Raising awareness about climate safety in the Middle East Region and and we expect to reflect that through our to support national campaigns address- LET, a production that reflects the level er public and civil society organizations. change, biodiversity, desertification, Sudan. external activities. ing societal issues or in many instances The Fora aim to bring together different of investment and resources that Sayga deforestation. as one off investments to support a cer- stakeholders to come together, discuss puts into supporting dialogue and social • Support strategies for food manufac- tain cause or development. In many cas- and engage on issues of concern and development. • Informing the legislative reform turing waste disposal systems. es, extraordinary funds are allocated to interest. The adoption of such fora has process. respond to natural disasters or extraor- been based on the premise and deep dinary events affecting the communities. • Engaging with other industries regard- understanding that social and economic ing environmental concerns. development go hand in hand; and that For us at Sayga, charitable giving is a a business only thrives where a society prerequisite of being accepted as an ac- thrives. tive player in the society and we take this as a responsibility to give back to soci- Also these Fora are seen as an important ety in ways other than those specified channel to interact and actively engage

SAYGA- Sustainability Highlights Report 2010 58 SAYGA- Sustainability Highlights Report 2010 59 AL-AWWAL: Rewarding Excellence

KALEIDOSCOPE In this initiative, our product Alawwal of the academic stream but all streams for a month in the United Kingdom and (arabic word meaning the winner, or one and a commitment to doing this annually get to learn about a new country, a great coming before the rest in rank) looks af- since 2009. civilization, its history and its culture … "A kaleidoscope is a tube of mirrors containing loose coloured beads, pebbles, or ter rewarding winners and namely the providing them with a taste of a multicul- other small coloured objects. The viewer looks in one end and light enters the other students who have come top of the class Sayga always does things differently , tural setting ,and a broadening of experi- end, reflecting off the mirrors. Kaleidoscopes operate on the principle of multiple re- in all the different educational streams we thought yes, we want to recognize ences that we are confident will support flection, where several mirrors are attached together." of the Sudanese Secondary General them but how can we add the most value them in aspiring to excel always… to these students lives and urge them In this section, we have put together bits and pieces of our engagements with the Certificate. to continue excelling ?? and we came The initiative transcends the effects on community that are indeed but small pebbles in a large ocean but we believe that in Many companies and institutions reward up with a totally new and different ap- the students as individuals, to encom- its totality it paints a pretty picture, the big picture. and recognize the top students, the aca- proach: what do they all need and can pass education in Sudan in its totality demic stream students. Those who have, make the most value from in any career and draw the attention of the concerned with flying colours, crossed over a major or choice they make in this highly com- officials and media to the importance of milestone pursuing higher education. petitive labour market?.. English Lan- giving more attention to technical and Yet we rarely heard about the other four guage and Computer skills! vocational education in the country… an streams of the Certificate - the Commer- area without which we, as a nation , will cial, Agricultural, Industrial and Domes- For the latter, top notch personal com- not be able to EXCEL…. tic/Women streams. puters were given to each student and for the former we came up with another Sayga brought another edge to the prac- idea… lets give them the chance to learn tice, shedding light on the remaining four English in the not so traditional way , streams… not just rewarding the ‘first’ within a classroom boundary… So we de- cided to send them to learn the language

SAYGA- Sustainability Highlights Report 2010 60 SAYGA- Sustainability Highlights Report 2010 61 Responsibility is shared…. Lipton World Food Day at Ahfad University supports as The Food and Agriculture Organization of There was an exhibition and presenta- the United Nations celebrates World Food tions, we participated in both and the Day each year on 16 October, the day on FAO Representative in Sudan, Mr Gana well which the Organization was founded in Diagne was in attendance. 1945. The celebration was a ‘’first of its kind in Sayga had a bread display in addition 43 years’’ as quoted by the Commission- A number of institutions and organiza- to our Dayman Amreen Kitchen. Recipe er. The event demonstrated a high level tions, concerned with issues of national books were distributed to the attendees of stakeholder engagement and reflect- food security, hunger, malnutrition and as well as give aways. Our role as Food ed the priceless value of partnership. Women make a crucial contribution to poverty take part and are actively present Makers remain large in trying to secure in the annual celebration. Sayga, with a affordable and nutritious food products To resolve the problem of water shortage household earnings and many are some- firm belief in the need to tackle these is- to the people of our nation.. facing the city, Sayga also rehabilitated times the sole breadwinners. A consider- sues in a more engaging format, actively the city’s Central Nursery’s main water able number sell tea and coffee to pedes- participated in the Day held at Ahfad Uni- well which will lead to an increase in pro- trians in the open roads; many of them versity for Women in Omdurman. ductivity from 10,000-20,000 trees a year are IDPs (internally displaced persons) to an astounding 100,000!!! The initia- whose best bet is such a job and many tive is also currently piloting the school others found this as the only decent form forest project complete with awareness of work they can have. leaflets containing attractive illustrations As it is an unlicensed form of work, these for the students. women risk the chance of getting raided Our Youth Our Future: Enabling the Disabled The program also included an Income by police and losing their tools or getting hurt. Generating Activity and Capacity Build- normality. Facilities are poor and scarce center as well as periodical maintenance ing Training for around 200 women in The Municipality, introduced the idea of and financial support is usually allocated for tools: fermenter, mixer, oven in addi- the city. In addition, and to ensure sus- the kiosks, in its efforts to organize the to other sectors of society. tion to the provision of 2 coolers and a tainability, Sayga extended its support city, and in light of recognizing that these refrigerator. Furthermore the company’s for the Integrated Women Development ladies depend on this activity as a source Youth represent many things - they are At Sayga, we believe that we can only contribution included transportation of Amidst great festivities and a warm wel- Center by rehabilitating the center, pro- of income. It was to aid in safeguarding the future, the joyous present and the excel at what we do by serving ALL sec- the children to and from their various lo- come from the people of Obeid the first viding cooking facilities, ovens, a mixer, these women’s interests and welfare. foundations of a healthy, prosperous so- tors of the community we are a part of. cations and full provision of the raw ma- of many trees was planted. fridge, stove, and various utensils. The ciety. Only with their well-being can we Usratna is an NGO meant to contribute to terials required for baking. Exhibitions of use of gas burners in traditional bakeries To ensure supporting such a deserving aspire to achieve anything small or great. caring for the disabled children, help cre- the training products were also support- Sayga and its partners: the Wali of North instead of firewood was advocated for, segment of the community, Sayga en- What we do today is of little meaning if all ating better opportunities in their lives, ed by providing cloths, table covers, T- Kordofan, Minister of General Education, to promote environmentally friendly and tered into a partnership with Khartoum efforts are not channeled to serve their and integrating the disabled children in shirts and bakery kits. We hope that the the Commissioner, NGOs and some rep- safe practices. We are always seeking State to finance provision of a number needs in some way and the sustainability the society. The initiative not only targets initiative will succeed at helping these resentatives from the local community partnership opportunities to add value of tables to the selected ladies. Through of any activity will be challenged. Disa- disabled children but IDP’s and street children and their families improve their commemorated August 2nd , 2010 as the and try to address through collective ac- the State Ministry of Social Welfare and bled children are those special group of children who can sometimes be equally livelihoods because instead of being a 47th Tree Festival Day. tion global and national concerns. woman and child affairs, 600 tables were children who have had the misfortune of underprivileged. The society trains the burden, they can be active, productive distributed to ladies in Khartoum, Khar- being mentally or physically challenged children in bakery, pottery, paper re- members of society. Great progress was toum North and Omdurman. This is to be so the term ‘’disabled’’ itself might not cycling, computer skills and literacy achieved from the bakery trainings and extended to a larger number and a wider be doing them great justice as it is not classes. even more rewarding than increasing outreach to support those outside Great- through their own choice. It is society’s the chances of these children at a bet- er Khartoum area as well. In partnership with USADC (a local NGO) neglect of them that empowers this dis- and other stakeholders Sayga has con- ter life is the smiles on their faces. Much ability by failing to provide their special tributed to Usratna by fully supporting appreciation also goes out to USADC for needs with the care they deserve. Even the training and capacity building of 265 their vision and dedication. Sayga’s sup- more difficult is the predicament of these beneficiaries from various IDP locations port and commitment to helping these children’s families and in Sudan little or around Greater Khartoum in the bakery children is ongoing to help provide these no social support is offered to them to component. This includes full techni- very ‘’special’’ kids what they need for a help them give their kids a measure of cal support of their vocational training brighter future.

SAYGA- Sustainability Highlights Report 2010 62 SAYGA- Sustainability Highlights Report 2010 63 BRIDGE OF HOPE – let be there no stone Port Sudan – towards greener unturned… pastures

Creating partnerships for a sustainable future is what we always aim for here at Sayga. We aspire to lend a helping hand, extend the bridges of hope and inspira- tion. Through our core business support areas, and other contributions, we ex- tend funds and technical expertise to dif- ferent vocational training organizations It is a Non-Profit Organization located Here is where our efforts and humble and centers. The Bridge of Hope is one of 30km south of Khartoum in the suburb contributions can make a great differ- these organizations. of Haj-Yousif. It provides a safe place ence to these children’s lives. for homeless street children and tries to As part of the “Port Sudan City Rehabili- All these efforts are part of the city’s SAYGA supported the Bridge of Hope or- give these children access to education tation and Development Project”, Sayga plans to rehabilitate Port Sudan as it is ganization by establishing a Commercial and better life opportunities. It provides undertook the ‘greening’ of expanse one of the main tourist attractions being Bakery Facility & Equipment and provi- 2 structured classrooms with basic aca- lands at the city entrance: 3,000m and privy to the beautiful red sea. demic curriculum geared towards provid- sion of Technical training to provide the 900m2 . ing a basis for the entry level enrollment youth with a capacity building program We believe such efforts bring a lot of in the Sudanese regular school system. and an income generating activity. Sayga PortSudan planted both lands us- return to the peoples of Port Sudan the For the older children, the Bridge of Hope ing imported grass, Palm trees and vari- city and Sudan the country. Tourism is http://www.lundinforafrica.org/s/ provides vocational and technical train- ous plants. Sayga also provided the Port an untapped treasure and all the munici- Bridge_of_Hope_Sudan.asp ing that can be used as a means of in- Sudan Grand Park with a number of wa- palities efforts to make Sudan cleaner come generation for the center, providing ter fountains. and greener should be supported by the a space from which they can learn a trade private sector. and gain confidence towards becoming change agents in their community.

SAYGA- Sustainability Highlights Report 2010 64 SAYGA- Sustainability Highlights Report 2010 65 THE BAKING DEVELOPMENT CENTER Featuring the Green Bakery and DAYMAN AMREEN Show

In this section, we’d like to share some of the initiatives we chose to invest in that we believe are perfect examples of how a company can “Corporate Social Responsibility is about creating new value through proactively create positive societal value by optimizing the the innovation that comes from giving more consideration to societal multipliers of their own business operations and practices… problems and from cultivating a deeper relationship with a variety of stakeholders.” Examples that embody innovative and creative social investments … where we really wanted to make a difference…

How can we add the most value we innovation and indeed a competitive food related organizations) and support asked ourselves and where can we really advantage. to this sector ensured a better quality of OUT OF THE BOX make a difference? food to the whole population. The idea was initiated based on the com- How best can we meet our business pany’s desire to positively influence and The goals of the school included combat- objectives while benefitting the com- upgrade the Baking Industry through ing and fighting harmful practices such mon good? availing specialized support to: as the usage of dangerous chemicals and unhygienic work environments. We tried to look at CSR strategically to • Ensure the production of high quality determine how can we apply our resourc- and healthy products. Worthy to note that Sayga lead the fight es, expertise and insights to activities against Potassium Bromate, which was that benefit the society. • Upgrade the competency of the peo- used as a flour improver, and although ple working in the industry (training in banned in many countries, was still in The Baking School bread making and pastries) use in Sudan. Sayga managed through • Develop businesses, whether through its training and high quality products to The first of its kind in Sudan, set up and providing soft skills (courses in Bakery influence changing the habits of bakers run with the support of national and in- management, sales, accounting, and by introducing them to safe improvers ternational expertise. hygiene) or through the provision of and as a result the usage of such harmful chemicals dropped recognizably. The BDC Story is a story of a business better tools, machinery and equipment plan that targeted the ultimate good, to produce end products of higher Changing habits and behaviors is quite for a company that realized that acting quality. challenging and to really effect a posi- responsibly is not only the right thing to The targeted industry includes baker- tive change, Sayga undertook many do, but is also a source of opportunity, ies, pastry labs, restaurants, hotels (all measures.

SAYGA- Sustainability Highlights Report 2010 66 SAYGA- Sustainability Highlights Report 2010 67 The training is fully sponsored by Sayga field. The BDC adopts a scientific and tions. Some women were also able to de- – transportation, tools , uniforms, teach- systematic approach, whereby follow up velop their businesses further and, truly, ing and production materials are availed and technical assistance is provided to the multiplier effects of such impact can for free. In some circumstances, pocket trainees post training. This is endorsed never really be easily assessed. money is paid to bakers so as to ensure by a rewards and recognition scheme that they do not miss out on the opportu- that is put in place to applaud best prac- Women entrepreneurs are vital to reduc- nity, especially that many wouldn’t afford tices and model applications. ing poverty and driving economic growth. to miss their daily wages. Sayga- being What has been achieved in the past ten sensitive to the needs and circumstances So what else is special years, besides the successful efforts to of the bakers ensured they were paid the upgrade the baking industry, ranging same amount of money they would have about the school? from outreach abilities to availing sup- incurred if they were working. In everything we do, we realize that we port to the vulnerable and marginalized have a bigger role to play and that we and physically challenged is remarkable. can contribute to society from within our Efforts that have been greatly appreci- area of expertise. ated by the community , strengthening our relationship with the different soci- In 2005, the school became a full fledged Besides securing high quality food, di- ety players. Introducing the Mobile center – the Sayga Baking Development versifying the options of Sudanese cui- Bakery School Center (BDC) . sine, the capacity building and aware- Surely sounds simple and straight for- ness raising programs ; we continue to ward, but our story is very different than if you weren’t able to come to Since our support and services was ex- avail resources to local NGOs , public any other. It’s an example where even we us we’d come to you… tended to the upcountry targeting in- institutions, academic institutions and were not able to anticipate the kind of dustry and non industry constituents as Universities supporting various purpos- impact our school would have. In 2002, the Mobile bakery school (fully well, the demand on courses has become es. The BDC also offers material support This initiative started , in 2000, train- equipped, state of the art facilities cost- huge. In a short period of time, we were in the form of products and that extends ing only fourteen to become one that ing $350,000 per unit) was introduced achieving record numbers of beneficiar- to the establishment of the bakery itself by 2010 has already trained more than so as to target those outside Khartoum ies and customers, strengthening our re- in certain circumstances (Bridge of Hope 58,000 beneficiaries. and our mission expanded to include all lationship with the different sectors and as an example). Sudan… stakeholders. Through collaborative efforts and in part- In 2003, Sayga introduced a new seg- By end of 2010 there will be 5 Mobile nership with different civil society organ- ment to benefit from these services, Bakery School units available, visit- izations and public sector authorities, we namely the household women and all ing special offsite locations and maxi- address various societal concerns (such other non industry related representa- mizing outreach to beneficiaries in the as malnutrition, reproductive health tives as well. New courses were then upcountry. and vaccination campaigns making use introduced to include making biscuits, of our modern facilities in distant rural savories, Middle Eastern sweets and Currently, there are: areas). We are currently partners with cooking classes to cater for the needs of 120 beneficiaries from the resident bak- Universities in ELobeid and Gezira States households and also aligned with the ex- ery per week. providing a TOT (Training of Trainers) pro- pansion of our products. gram targeting thousands of rural wom- 320 beneficiaries from the Mobile Bakery en. Training of women in the upcountry The Mobile Bakery School started work- Schools per week. and within the state had created end- ing with the communities, with univer- less income generating opportunities sities and research centers and a wide The school currently offers 24 different for women; improving their living condi- range of local NGOs and CBOs from dif- courses, continuously adding value at ferent parts of the country. With the in- both the industry and household levels. troduction of this segment, our outreach was huge and our contribution impact The Center received accreditation from multiplied fast. the Higher Council for Vocational Train- ing (Ministry of Labour) in May 2009. This motivated more trainees to attend as it ensured better working conditions for those seeking employment in the

SAYGA- Sustainability Highlights Report 2010 68 SAYGA- Sustainability Highlights Report 2010 69 to apply for carbon financing to ensure that this is supported and availed across The Green Sudan. Dayman

The Green Bakery Project demonstrates Bakery our strong commitment to address envi- Amreen... ronmental concerns within our Industry.

More than just a cooking Recently the interdependency between Food Industry. We were adamant on try- show global issues and concerns such as Cli- ing to influence the baking sector to be- Businesses can indeed al- mate Change, poverty, water scarcity, come an environmentally friendly one, food security and even armed conflict or atleast with minimum damages to the ways find green solutions!! has become increasingly evident. environment.

Hence the need to address issues such Sayga encouraged the bakeries by sup- Another novel engagement and commit- Season Two 2007: Season Three 2008: as environmental degradation and de- plying them with an advanced safe gas ment to make a difference Another arab chef but in a completely Making it more personal, and this time forestation should come as a priority burner which is dependent on LPG and A high quality production TV show, aim- new setting. We went outdoors and took in your home!! We targetted homes of on the agenda of all societal actors. The not firewood. A system with highest ing to further strengthen our relationship the viewers on a tour around our beloved married young couples and besides the interdependency of all merits these chal- standards of safety and security was with our customers and the general pub- country; exploring different traditions new recipes and exciting presentation, lenges as challenges to development procured from Italy for the bakeries and lic sending different messages and each and special cuisines, and reflecting the we gave a special gift to the couples by and sustainability. offered on subsidized loans; with Sayga season has its new theme... country's rich diversity. The season pro- renovating or furnishing a room in their contributing 30% of the cost to encour- At Sayga, we initiated the ‘Green Bakery’ vided extensive cultural knowledge and home. age bakeries to adopt this system. Project under “the promise to reshape FACTS: Season One 2006: unveiled hidden treasures of nature. the baking industry in Sudan in order to Carbon dioxide (CO2) is the main green- Season Four 2009: conform with the sustainable develop- house gas behind global warming.The • Increased production capacity. Featured the Popular Arab Chef, Osama ment agenda.” total carbon dioxide(CO2) saved ,by the El Sayed and Sudanese Nutritionist Hiba Culture, outdoor adventures in faraway • Zero production loss (temperature replacement of 1032 bakeries ,using Al Mutamad. The Chef explored with Su- lands exploring cuisines, was that sea- This is yet another initiative stemming control) 15-sacks of flour as an average per day, danese cuisine, giving creative sugges- son's flavour and this time with a group from the BDC. Once Sayga targeted cer- assuming 300 days per year, is estimated tions to the viewers and the nutrional of young ladies and gentlemen compet- tain behaviors and practices through its • Standard baking times to be equal to 0.025745 Gg CO2 for the value of each ingredient was discussed. ing for a prize! The prize had to support capacity building and awareness cam- period 2007 –2010. • Less maintenance cost for fire More than just cooking- we're learning a noble cause.. a project that will benefit paigns, it identified more to do. This chamber. about nutritional value that we never others and the season aimed to raise time we targeted both health and envi- These results revealed that atmospheric thought existed! awareness around societal concerns and ronmental issues caused by the use of CO2 is reduced by 0.025745Gg and there • 1032 Burners installed in varied geo- value of trying to make a difference. firewood in traditional bakeries and have is a potential for increasing this to the graphic areas. introduced the gas burner to be used in- higher possible quantities of saving CO2 stead. This saved trees and improved the emissions in cities and villages. • Resources dedicated for this project air quality inside the bakeries. By doing (4 Mobile canter W/S, 10 pickup so, we were addressing global concerns The Green Bakery project also aims to mobile W/S.) of Climate change and Green House Gas develop solutions to rely on solar power emissions. so as to cater for the different circum- • Four technicians located in up-coun- DAYMAN AMREEN.... about stances faced by the bakers such as LPG try to avail after installation services. We are committed to the environment and electricity supply concerns. We, at responsible marketing - both in our operations and also in pro- Sayga, believe in partnership and collab- brings together knowledge, moting environment conservation in the orating with others to attain the great- adventures, values and est impact and are currently looking into “We believe it is part of our Corpo- up-scaling possibilities with partners traditions and ofcourse our rate Social Responsibility to con- FOOD! tribute to the wider de-carboniza- http://www.daymanamreen.com/ tion of the economy.”

SAYGA- Sustainability Highlights Report 2010 70 SAYGA- Sustainability Highlights Report 2010 71 SAYGA, CONTINUES TO LEAD THE FOOD Sayga Investment Company Ltd awaits your valuable feedback on INDUSTRY THROUGH ITS INNOVATIVE our actitivities and this sustaina- AND GENEROUS INITIATIVES….. bility highlights report. Tel:+249 (0) 185 220 000 Fax:+249 (0) 185 220 264 Email: [email protected] SAYGA CSR & Sustainability Review 2009