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Sustainability Statement This Sustainability Statement Covers Activities That Are Significant Stakeholder Groups

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Sustainability Statement This Sustainability Statement Covers Activities That Are Significant Stakeholder Groups Sunway Construction Annual Report 2017 Sunway Construction Annual Report 2017 ABOUT ThIS SUSTAINABILITy STATEmENT This Sustainability Statement covers activities that are significant stakeholder groups. This objective study helps identify the most SUSTAINABILITy to Sunway Construction's business and stakeholders and how important aspects of sustainability for our stakeholders and the these material aspects are disclosed. This statement summarises Group. the Group's progress in 2017 including the policies, practices and 71 About This Sustainability Statement procedures developed. fEEDBAcK For further information, please contact: 72 Stakeholder Engagement Sunway Construction's commitment to maintaining the highest ng Bee lien levels of transparency and accountability continue to propel the Chief Financial Officer 74 Material Aspects Company to the next reporting level, year on year. Our inclusion Level 8, Menara Sunway, in the FTSe4Good Index was reaffirmed in 2017. Jalan Lagoon Timur, 76 Sustainability Performance Bandar Sunway, 47500 Subang Jaya, ScOPE Of ThIS REPORT Selangor Darul Ehsan, Malaysia. 80 Economic REPORTING PERIOD T (603) 5639 9645 1 January 2017 to 31 December 2017 f (603) 5639 9530 85 Environmental REPORTING cycLE cONTINUING OUR SUSTAINABILITy JOURNEy 95 Social: Labour and Decent Work Annually We have been strategically pursuing a sustainability agenda for many years. We continue to work proactively towards long-term 113 Social: Human Rights ORGANISATIONS cOvERED success by improving operational eco-efficiency and embedding Sunway Construction Group Berhad and its active subsidiaries sustainability approaches into our business practices. Our 114 Social: Society Sunway Construction Sdn Bhd, Sunway Engineering Sdn Bhd, continuous improvement provides a competitive advantage Sunway Geotechnics (M) Sdn Bhd, Sunway Precast Industries Sdn and we deliver awareness and education programmes with our 115 Social: Product Responsibility Bhd and Sunway Concrete Products (S) Pte Ltd. employees, regularly. Our sustainability journey's success is affected by stakeholder engagement. We have continued to seek 124 Sustainable Development Goals More detailed information on Sunway's divisions and subsidiaries out stakeholders with the experience and expertise to contribute can be viewed in the Group Corporate Structure section of this annual to our pursuit of greater sustainability. Constructive engagement report. References to `SunCon', `SunCon Group', `the Group', `the with other stakeholders is also welcomed. Company', `the Organisation' and `we' refer to Sunway Construction Group Berhad and/or its divisions and subsidiaries. health, We will manage and utilise resources and Safety and operations in a manner that protects the safety The data is presented in the most accurate manner possible, Environment and health of our people, neighbours, customers using quantitative indicators where relevant. Group data and visitors. Our safety, health and environment and information are presented whenever possible. However, responsibilities extend beyond the protection and initiatives and/or data by particular divisions or subsidiaries have improvement of our own facilities. been highlighted as indicated in the text. Innovation Our success requires a continuous stream of GUIDELINES breakthrough ideas that lead to improved solutions and services. Principal Guideline · Global Reporting Initiative (GRI) Standards Ethics and We care how results are achieved, Integrity demonstrating honest and ethical behaviour Additional Guidelines in all activities. Maintaining the highest · Bursa Malaysia's Sustainability Reporting Guide professional and personal standards along · International Organisation for Standardisation (ISO) 26000:2010 with a well-founded reputation for scrupulous Guidance on Social Responsibility dealing are priceless assets. REPORT cONTENT community A successful business affects the economy The contents of this report have been determined after and Society of the local community far more than considering the materiality of different aspects and issues by philanthropy. Engaging with key community asking the following three questions: stakeholders is an important part of · What are the regulatory requirements? sustainable business development. · What is material for our stakeholders and their interests? Our People In line with our tagline of "Constructing Dreams, Our legacy is built on sustainable practices. This · What is material for the Company's business? Developing Careers" and our core values of Creating an everlaSting Integrity, Humility and Excellence, we strive to legaCy With a is a belief held close to our heart. It is our duty RELIABILITy AND RELEvANcE Of INfORmATION create an environment where all individuals BalanCeD mixtUre to ensure that we stand firm in our beliefs for DIScLOSED are fairly treated while being empowered to contribute to the development of the workforce. An external consultant is engaged to improve the materiality We do not tolerate any form of discrimination, the betterment of everything and everyone that processes by seeking the views of representatives from all surrounds us. harassment or unethical conduct. 70 71 Sunway Construction Annual Report 2017 Sunway Construction Annual Report 2017 SUSTAINABILITy GOvERNANcE SPONSOR HUMAN RESOURCES STAKEhOLDER ThEIR ExPEcTATION hOW WE ENGAGE hOW WE ADDRESS ThEIR ExPEcTATIONS In 2017, we established a formal sustainability committee. Chung Soo Kiong Sara elisha Lee Binti Abdullah Clients · Proper project management · Client Satisfaction Survey · Customer and consultant satisfaction improved from Members have been selected that can contribute the most in Managing Director Gerard Goh Nai King · Project completed in · Quality Assessment System 74.3% in 2016 to 75.7% in 2017 the areas of sustainability deemed important in the materiality compliance with standards, in Construction (QLASSIC) · Average QLASSIC score for projects assessed in 2017 matrix. The committee assists the Board in meeting its oversight ENVIRONMENTAL, high quality and on time · Progress meeting, updates was 77.2% compared with 73.3% in 2016 and a National responsibilities in relation to the Company's sustainability policies delivery and progress reports average of 72% SAFETY AND HEALTH · Safety and security of the · Monthly reports are submitted and regular meetings and practices. The duties of the committee include reviewing and Tan Huey Lynn construction sites held to manage expectations making recommendations to the Board on the Company's policy Authorities · Compliance with guidelines · Regular engagements and · Regular meetings with Department of Safety and Health and performance in relation to the environment, health, safety HEAD OF QUALITY ASSURANCE & Regulators and regulations invitations for site visits (DOSH) and Department of Environment (DOE) through and community. The committee have had five meetings during COMMITTEE Mohd Faudzi bin Hanafiah · Townhall meetings site visits the year. Ng Bee Lien · Parcel F project supported and participated in the Mini Konvensyen COMBI Tapak Bina Peringkat Putrajaya 2017 Chief Financial FINANCE organised by Jabatan Kesihatan Wilayah Persekutuan Officer Regine Soo Lay Yeen Kuala Lumpur & Putrajaya STAKEhOLDER · Third place for the Overall Wilayah COMBI implementation CONTRACTS & · Achieved a 5-star rating by DOSH for concreting, working ENGAGEmENT SECRETARY PROCUREMENT at heights and lifting at Parcel F Balqis Binti Manan Tin Chai Fong Shareholders, · e ffective communication of · Proactively engage with · Analyst house that covers SunCon Identifying key stakeholder groups helps us gauge the actual Tan Siew Lian Investors & business strategies the investment community - 2017 : 15 out of which 12 has buy call or potential impacts our business has on them and vice versa. Analysts · Timely and transparent through multiple channels - 2016 : 13 out of which 10 has buy call We engage with all stakeholder groups regularly through a reporting such as: · Received the MIRA Award for Best CFO for IR Best OPERATIONS & PROJECTS · Strong corporate governance · Statutory Announcements Website and Best IPO in 2016 and nominated under structured mechanism or predetermined schedules. While senior Subba Rao A/L V Semenchalam · Prudence Risk Management · Annual General Meetings 9 categories in 2017 management is primarily consulted during the preparation of this Wan Ahmad Shakeel Bin Wan · Market and business · Corporate events statement, its contents are aligned with stakeholder interests performance outlook and · Website Abdul Hapiz whenever possible. strategies · One-on-one management meetings · Conferences Interaction with stakeholders occurs throughout the various stages of projects as part of SunCon's business development process. These interactions cast light on stakeholders' preferences and expectations, which in turn allows sufficient resources to be allocated. Employees · Career development and · Employee engagement · An employee engagement Score of 69% in 2017 progression surveys compared with 59% in 2015 · Knowledge and skills · Dialogue and engagement · 2017 : SunCon MD Tour 2017 to Connect, Collaborate and enhancement · Subsidised employee trips Align at all project sites · Fair remuneration · Training programmes · Numerous activities organised by SunCon Social Club · Work-life balance · On-the-job training is deemed as a more effective · Safe, healthy and conducive strategy for developing our workforce LEAD ARCHITECT PROJECT MANAGER DRAFTING TECHNICIAN
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