AL-SALAM REIT ANNUAL REPORT 2018

AL-SALĀM REIT ANNUAL REPORT 2018 68 As part of the Manager’s initiatives to have more sustainable operations for the properties of the REIT, the Manager ensures that the Board of Directors (“Board”) and the Sustainability Steering Committee (“SSC”) take ownership of their responsibilities to incorporate sustainable roles and establish a sustainable tone at the top. Responsibilities Of The Board • Endorses and oversees the implementation of the REIT’s sustainable strategy to ensure key targets aremet. • Takes responsibility and accountability for the REIT’s communication on sustainability issues to stakeholders. • Establishes a culture of integrity by placing emphasis on communication about sustainability across the REIT. • Endorses material sustainability matters and the governance structure. Responsibilities Of The SSC • Develops the overarching sustainability strategy for the REIT based onmaterial sustainability matters identiied by the Sustainability Working Committee. • Provide recommendations and improvements to the Board on the material sustainability matters related to the REIT. • Formulates targets and initiatives to achieve sustainability goals pledged by the REIT. • Assesses the efectiveness of the sustainable initiatives put in place, and monitors and maintains records on these initiatives. The Board and SSC discuss highlights of the REIT’s sustainability initiatives on a periodic basis to ensure that the goals are met through efective implementation and monitoring. Governance And Accountability Engaging Stakeholders Engaging with the stakeholders is part of the Manager’s key agendas for having a sustainability-focused REIT to understand the concerns of the primary stakeholders and be receptive towards the input received. The table below shows the key stakeholders and themethods of engagement by theManager on behalf of the REIT. Stakeholders Employees Investors Tenants Property/Maintenance Managers Regulatory Agencies and Statutory Bodies Suppliers Non-Governmental Organisations (“NGOs”) Areas of Concern • Career Development • Staf Well-being • Employee Beneit • Corporate Financial Performance • Corporate Governance • Safety and Security • Investor Relationship Management • Safety and Security • Business Activity and Ethics • Marketing and Financial Performance • Tenants and Occupancy • Facility Management • Administration and Risk Management • Labour Practices • Environmental Management and Compliance • Transparent Procurement Process • Social Contribution • Environmental Impact Methods of Engagement • Performance Appraisal • Training Programme • Employee Satisfaction Survey • Medical and Group Takaful Coverage • Annual General Meeting • Corporate Website • Investor Feedback Management • Contract Agreement • Tenant Survey • Joint Community Programme • Contract Agreement • Evaluation and Performance Review • Regular Building Audits • Regular Meeting • Regular Inspection • Evaluation and Performance Review • Community Events