SECTION 06 pg. 110 AL-SALĀM REIT SUSTAINABLE SUPPLY CHAIN (CONT’D) Effective supply chain management contributes to tenant satisfaction, property value enhancement, and cost efficiency. While tenant lease structures influence contractor and service provider selection, Al-Salām REIT maintains oversight through a structured approval process, with substantial asset replacements requiring trustee consent. Management services for REIT properties encompass maintenance, cleaning, security, statutory property expenses, and insurance. The REIT’s suppliers, contractors, and service providers are assessed based on pricing, punctuality, quality, after-sales service, and responsiveness to complaints. Beyond its own operations, the REIT recognises that sustainable supply chains enhance risk resilience by reducing exposure to supply disruptions and reputational risks arising from non-compliant or unethical practices. Over the last years, the REIT conducted Environmental, Climate, and Social Risk Assessment Surveys for vendors on adherence to environmental regulations, climate resilience strategies, sustainability practices, labour law compliance, and human rights protections. In addition, vendors are required to declare their compliance with, and commitment to continue complying with, the ESG requirements established by the REIT, including all applicable laws, regulations, and guidelines in Malaysia. The compliance declaration covers the following areas: Environmental Compliance Social Compliance Governance Compliance • To comply with all applicable environmental laws and regulations relating to waste management, emissions, hazardous materials handling and environmental permitting. • To minimise pollution, carbon emissions, energy usage, water consumption and waste generation. • To implement reasonable mitigation measures for climate-related risks, in line with good industry practice. • To uphold human rights and fair labour practices including prohibition of forced labour, child labour, discrimination and harassment. • To provide wages, working hours, as well as a safe and healthy working environment in accordance with Malaysian labour laws and the Occupational Safety and Health Act. • To respect freedom of association, collective bargaining and lawful employee representation. • To operate with integrity, transparency, and in compliance with all applicable anti-corruption and anti-bribery laws in Malaysia. • To not offer, solicit or accept bribes, kickbacks, facilitation payments or improper gifts. SUSTAINABILITY STATEMENT
RkJQdWJsaXNoZXIy NDgzMzc=