MATERIALITY As we embark on the journey to improve our Sustainability response, it is important for us to understand the significance of our ESG impact to our wide range of stakeholders. This will help us prioritise and allocate our resources in a more efficient manner. In doing so, in FY2022, we undertook our first materiality determination process to identify the various Sustainability issues or matters that are most significant to our stakeholders. We conducted extensive research and consulted with our stakeholders to identify, assess and prioritise Sustainability issues relevant to the Group. As a result of this process, our first Sustainability Framework was created, outlining 12 material Sustainability issues which will form the focus of our efforts over the mediumto-long-term. SUSTAINABILITY STATEMENT MATERIALITY MATRIX The matrix shown below was generated as a result of our materiality determination process, detailing the significance of each Sustainability material matter to the Group and to our stakeholders. Moderate Very High An internal team mapped the material issues identified to those selected by industry peers, with the aim of validating our decisions and identifying any additional material issues for consideration. The material issues identified were further mapped against the national Sustainability commitments of Malaysia in order to isolate further material issues for consideration. Internal stakeholders were engaged to conduct a prioritisation exercise concerning the shortlist of relevant material issues, whilst considering the concerns of the external stakeholders we have been engaging. Based on the outcomes of the previous four stages, a final list of material issues was compiled for Board approval, in turn forming the foundation of the Group’s Sustainability Framework and informing the development of Group-wide Sustainability themes. 1 2 3 4 5 MATERIAL MATTERS Moderate Materiality High Materiality Very High Materiality SIGNIFICANCE TO THE GROUP SIGNIFICANCE TO THE STAKEHOLDERS GHG Emissions M1 M1 Workforce Management M5 M5 Resource Management M3 M3 Energy Management M2 M2 Employee Health & Safety M6 M6 Ecological Impact M4 M4 Product Quality & Safety M7 M7 Business Ethics M9 M9 Community Relations M8 M8 Business Model Resilience M10 M10 Data Privacy & Security M11 M11 Supply Chain Management M12 M12 A long list of Sustainability issues was derived based on Sustainability standards such as Sustainability Accounting Standards Board (“SASB”), GRI and the UN SDGs. Through internal consultations, the issues were narrowed down to those which are material to the Group. Identification Mapping to Industry Peers Prioritisation Finalisation Mapping to National Commitments DAGANG NeXCHANGE BERHAD 162
RkJQdWJsaXNoZXIy NDgzMzc=