MISC Annual Report 2017

MISC BERHAD | Annual Report 2017 46 SUSTAINABILITY@MISC SUSTAINABILITY STRATEGY UPDATES Governance & Business Ethics 2020 TARGETS PROGRESS 2018 NEXT STEPS 4. Business conduct & ethics : Business ethics and ethical conduct embedded as a cultural component within the organisation. 5. Board oversight on sustainability : Formal inclusion of sustainability on the Board agenda. • Integration of Compliance and Ethics management into the Board and Management Committee (MC) agenda has been fully established and on-going. • Established communication and awareness programmes which includes the "See, Speak, Support” campaign, to raise awareness on the Code of Conduct and Business Ethics andWhistleblowing. • The MISC Integrity Day, which was part of the CoBE “See, Speak Support” campaign was held on 24 November 2017, with the key objective to demonstrate commitment from the Board Members and Senior Management. • Rolled-out and implemented CoBE training programmes for employees including 98% of MISC Group of Companies based at MISC HQ. • The Anti-Bribery and Corruption (ABC) Risk assessment dialogues were completed with recommended way forward. • Improvement of the implementation process on due diligence (Ethics and Compliance) including the engagement with third party compliance service provider to conduct enhanced due diligence. • Completed an end-to-end review of the Whistleblowing (WB) Management process and completed several enhancement of the WB process including : - Development of the Whistleblowing Management Procedures; and - Enhancement to the WBC reporting structures and Terms of Reference (TORs). • Completed the formal adoption of the Economic Sanctions and Export Policy. • Planning and development for the inclusion of Sustainability on Board agenda according to Bursa guideliness. • Monitor, review and assess the effectiveness of communications and awareness programmes (e.g. Culture survey to gauge the level of understanding and awareness on Compliance and Ethics culture in MISC). • Regularly provide updates to the Board and MC on Compliance and Ethics Initiatives. • Continuation of the : - Annual refresher training course. - CoBE Awareness sessions for third parties to MISC, with focus on MISC’s vendors. - Conflict of interest disclosure to employees and also Board of Directors (BOD). • Following the anti-bribery and risk assessment exercise, to implement approved action items on Way Forward : - ISO 37001: Anti-Bribery Management System Certification. - Enhancement of Supply Chain Management. - Effective Audit Enforcement (to specifically include scope on Bribery and Corruption) - Training and awareness to third parties in supply chain. • Present to BOD on MISC Sustainability Programmes and Initiatives. MISSION OBJECTIVES To maintain a sustainable governance and business ethics framework. • Transparency & Trust W i t h a vast global outreach t hat operates across markets and cultures , conduct i ng ourselves w i t h t he h i ghest standards of i ntegr i ty i s a key pr i or i ty. Our focus i s on embedd i ng bus i ness et h i cs and et h i cal conduct as a cultural component t hroughout t he organ i sat i on.