MISC Annual Report 2019

Last year, MISC won the Best in Business Responsibility and Ethics as well as Best in United Nations Sustainable Development Goals at the Sustainable Business Awards 2019. We also received a Special Recognition in Strategy and Sustainability Management, which is an affirmation that the world is watching us and that we are doing the right thing. Another aspect of sustainability that matters to us is the access to resources to fuel the organisation that will allow us to keep on doing what we do. I have explained at length the importance of financial resources to MISC as a group. The other important resource – our human capital. Our people, our greatest asset. Our greatest engine for growth. How do we perpetuate our ability to continuously have access to a healthy pool and pipeline of talents and future leaders? One of the biggest challenges that we have is getting the very best people, so we need to work with the industry to make the shipping industry more appealing. That is why we need to keep pushing the envelope in our human capital development although that is not something where we can see the results immediately. It goes without saying that succession planning is something the Board of Directors and the Management have emphasized over and over again as a key driver to our business sustainability. Besides training and development, we pay particular attention to inculcate the right corporate culture and DNA of the organisation across the Group, and the reason why we often refer to the “MISC family” as it is the multi-generation cultural values that will define who we are for generations to come. Culture eats strategy for breakfast, so the saying goes. We believe a sound strategy and culture will guarantee our sustainability. Looking Ahead I carry the same optimism from 2019 into 2020. This may sound ironic and to some, this may come across as even over-confidence. I assure you; we are not full of ourselves. There is a difference between false confidence and belief built on fundamentals. I have painstakingly explained our deliberate and disciplined approach in our analysis of long-term drivers that underpin how we set our growth strategies. I believe long-term data and the right data will not lie. Our belief in another exciting 2020 for MISC as a group is therefore, premised on what we see on a longer-term basis and matched by the opportunities that we are able to identify. As I write this, we have presently over USD6 billion of investment opportunities being pursued and everyone in the MISC family is excited about the success prospects. Truly, the tailwind that had started in 2018, blew hard in 2019 in support of our ability to deliver up to USD1.1 billion of new growth projects, and it is my conviction that it will continue to carry us into 2020. If we are able to convert some of these opportunities into actual success, we will make 2020 a year of accelerated growth for the Group. Note of Appreciation I wish to record my deep gratitude to our valued shareholders, customers and partners for their generous support as well as unwavering trust and confidence in MISC through all these years. I would also like to express my heartfelt appreciation to the MISC Board of Directors for their wise counsel in helping us chart a steady path forward. Your astute insights have proven instrumental in helping us make this journey, growing from strength to strength, to emerge an even more resilient and dynamic Group. Last but not least, my utmost gratitude goes to our leadership team and employees at sea and at shore, for their commitment, loyalty and invaluable contributions to MISC. Thank you for stepping up to the plate in braving this tempestuous industry and for inspiring each other with the spirit of innovation and collaboration towards shared success. I am confident of MISC’s tremendous potential and 2020 will be a pivotal year for us. The strategic decisions we have made over the past few years have placed us on a strong position to tap growth opportunities and deliver sustainable value. How we strategize our plans for the next phase of growth will determine how we write our future. In all that we undertake, we will ensure that we adopt a unified approach, a clear sense of direction for growth and a shared understanding of who we are and what we can achieve. Together with our People, energized by the Passion, courage and determination to create incredible Possibilities ahead, we will continue to make strong strides forward. YEE YANG CHIEN President/Group CEO 20 March 2020 President/Group CEO’s Review An oil tanker used to transport crude oil or other black oils is called a dirty tanker #whatyoudontknow 25 THE YEAR IN REVIEW ANNUAL REPORT 2019 24 MISC BERHAD PEOPLE. PASSION. POSSIBILITIES