Datasonic Group Berhad Annual Report 2022

Datasonic Group Berhad 34 Sustainability Statement SUSTAINABLE PROCUREMENT Proper procurement management makes up one of the components to achieve sustainability and ensure our products are of high industry standards. We recognise that sustainability extends to the entire value chain including our vendors and business partners. These are communicated in the Group’s procurement policy, which outlines Datasonic’s commitment towards responsible sourcing of materials and services while being mindful of the environmental impact. Every year, the performances of our external providers are assessed continually against set criteria such as reliability, competitiveness of pricing, financial track record and business reputation, among others. This is in respect of the purchasing of notebook and desktop computers, software application, IT equipment and other IT-related accessories for internal usage and for our esteemed clients. In identifying suppliers for our purchasing activities, we undertake assessment on various criteria to fulfil Datasonic’s requirements in relation to commercial, financial, technical and operational aspects. In FY2022, Datasonic undertook the assessment of our existing and potential suppliers. In our assessment, we also strive to encourage the procurement of products that have minimal environmental and health impact on our surroundings. The environmental costs associated with our full product life cycles are also taken into consideration. Our SOP ensures that all suppliers are assessed in a transparent and fair procurement process. As we move ahead, we intend to include more criteria in relation to social and environmental aspects in our vendor selection process. Timeliness of Delivery Dependability and Reliability Quality of Service Internal Measures for Managing Anti-Bribery and Anti-Corruption Accurate and Reliable Information Prompt in Service and Response Time Business Reputation Financial Resilience of Suppliers Reasonable Terms and Conditions Competitive Pricing Supplier and Contractor Assessment Criteria FY2020 FY2021 FY2022 External Provider Assessment rating 75.0% 77.3% 78.6% For the year under review, the rating of our vendors improved as a result of our efforts in working closely with our suppliers to improve their performance in relation to quality, timeline and pricing, to name a few.

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