Fy2021 LONGEVITY REPORT - THE BOUSTEAD WAY / Boustead Projects Limited FY2021 Sustainability Report
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fy2021 LONGEVITY REPORT / THE BOUSTEAD WAY / Boustead Projects Limited FY2021 Sustainability Report
01 BOUSTEAD PROJECTS LIMITED FY2O21 LONGEVITY REPORT
LONGEVITY REPORTING PURSUING BUSINESS WITH DEVELOPING OUR BEST ASSET – CONSERVING OUR COLLECTIVE
INTRODUCTION OTHER INFORMATION
FRAMEWORK A GREATER PURPOSE BOUSTEAD PROJECTS EMPLOYEES HOME – PLANET EARTH
CORPORATE PROFILE TABLE OF CONTENTS
Established in 1996 and listed on the SGX adoption of transformative methodologies
Mainboard, Boustead Projects Limited including full-fledged IDD and Industry 4.0 SECTION 1 – INTRODUCTION
(SGX:AVM) is a leading provider of innovative technologies and augmented by strategic Corporate Profile 1
real estate solutions with a regional presence partnerships which enable the co-creation Defining Longevity 2
across Singapore, China, Malaysia and of smart, eco-sustainable and future-ready Letter to Stakeholders 3
Vietnam. Our core businesses are uniquely developments. Our wholly-owned engineering The Boustead Way, Mission, Vision & Business Model 6
integrated to support the business park and & construction subsidiary in Singapore, Longevity Reporting Framework 8
industrial real estate ecosystem, comprising: Boustead Projects E&C Pte Ltd (“BP E&C”) 1.1 About this Report 8
is the eco-sustainability leader in pioneering 1.2 Board Longevity Statement 10
• Turnkey engineering, full-fledged Green Mark Platinum-rated new private sector 1.3 Corporate Stewardship & Strategies 11
integrated digital delivery (“IDD”), and industrial developments under the Building 1.4 Environmental, Social & Governance Materiality Assessment 13
project and construction management & Construction Authority (“BCA”) Green 1.5 FY2021 Longevity Performance Summary 27
encompassing design-and-build; Mark Programme and a national champion
• Real estate development, asset and leasing of best practices for quality, environmental
SECTION 2 – PURSUING BUSINESS WITH A GREATER PURPOSE
management; and and workplace safety and health (“WSH”)
• Real estate fund management including management. BP E&C’s related achievements 25 Years of Pioneership & Transforming Asia’s Built Environment 32
being the sponsor and manager of include being the quality leader on the BCA 2.1 Integrated Industrial Real Estate Solutions Provider 33
Boustead Industrial Fund, a scalable CONQUAS all-time top 100 industrial projects 2.2 Smart Eco-Sustainable Solutions 37
private real estate trust platform for list, one of only eight bizSAFE Mentors and 2.3 Quality 42
business park, logistics and industrial also bizSAFE Star, receiving numerous awards 2.4 Transformation Initiatives 45
properties, and joint owner of Echo for exemplary WSH performance. 2.5 FY2021 Direct Economic Value Generation & Distribution 52
Base-BP Capital Pte Ltd, an Asia-centric
fund management and services platform We were also awarded the Singapore SECTION 3 – DEVELOPING OUR BEST ASSET
focused on smart buildings and integrated Corporate Governance Award in the Newly – BOUSTEAD PROJECTS EMPLOYEES
developments. Listed Category at the Securities Investors
Association (Singapore) Investors’ Choice A People-to-People Business 57
To date, we have constructed and/or Awards 2017 and are one of only 92 SGX- 3.1 Code of Conduct 58
developed more than 3,000,000 square listed corporations on the SGX Fast Track 3.2 Team Development Programme 60
metres of real estate for clients including Programme – which aims to affirm listed 3.3 Positive Work Environment 67
Fortune 500, S&P 500 and Euronext 100 issuers that have been publicly recognised for 3.4 Supply Chain Management 72
corporations, across diverse sectors like high corporate governance standards and for 3.5 COVID-19 & Infectious Disease Outbreaks 73
aerospace, business park, food, healthcare maintaining a good compliance track record
and pharmaceutical, high-tech manufacturing, – with prioritised clearance for their corporate SECTION 4 – CONSERVING OUR COLLECTIVE HOME
logistics, research & development, technology action submissions. We are also listed on the – PLANET EARTH
and waste management, among others. Under MSCI World Micro Cap Index and FTSE ST
the Boustead Development Partnership with a Fledgling Index. Planet Earth 78
reputable Middle East sovereign wealth fund, 4.1 Environmental Stewardship 79
we have developed or redeveloped more than Boustead Projects is a 53%-owned subsidiary 4.2 Legal & Regulatory Compliance 87
half a million square metres of real estate in of Boustead Singapore Limited (SGX:F9D), 4.3 Community Development 89
Singapore including landmark developments a progressive global infrastructure-related 4.4 Conclusion 90
like ALICE@Mediapolis and GSK Asia House. engineering and technology group which is
separately listed on the SGX Mainboard. OTHER INFORMATION
Our in-house capabilities are backed by
GRI Content Index 91
core engineering expertise, the progressive Visit us at www.bousteadprojects.com.
Acknowledgements 98
02 BOUSTEAD PROJECTS LIMITED FY2O21 LONGEVITY REPORT
LONGEVITY REPORTING PURSUING BUSINESS WITH DEVELOPING OUR BEST ASSET – CONSERVING OUR COLLECTIVE
INTRODUCTION OTHER INFORMATION
FRAMEWORK A GREATER PURPOSE BOUSTEAD PROJECTS EMPLOYEES HOME – PLANET EARTH
DEFINING LONGEVITY
longevity
1. Long life.
2. Long existence or service.
- Lexico Powered by Oxford1 14 YEARS 25 YEARS (SILVER JUBILEE) 193 YEARS
Average lifespan Boustead Projects’ age today and Boustead Group’s age
of S&P 500 counting today and counting
corporation2
Welcome to the Boustead Projects Limited progressive Industry 4.0 transformation Regardless of how COVID-19 or any longevity and protect the viability and long-
FY2021 Longevity Report. standards. We also share in the enduring other major crises may change the way term value of our businesses and the wider
heritage of the Boustead Group under we operate, one thing is indelible – our ecosystem that we are interconnected
As Singapore’s leading real estate solutions Boustead Singapore Limited, which has distinct brand of entrepreneurialism, with. We also share how we strive towards
provider for smart, eco-sustainable and contributed almost two centuries of institutionalised in a corporate culture that what the Boustead Group has achieved
future-ready business park and industrial progress and maintains their longstanding links back to the Boustead Group’s earliest in longevity over almost two centuries
developments, we have demonstrated position as Singapore’s oldest continuous days of trading. We embrace the Boustead and how this translates to delivering
over two decades of pioneership and organisation – a practical and symbolic Way, which prioritises the pursuit of sustainable shared socio-economic value
innovation in industrial real estate solutions reflection of longevity. business with a greater purpose. It is about and progress to key stakeholders, along
including the engineering, construction and creating sustainable shared socio-economic with the communities that we reside in and
development of advanced facilities serving Sustainability reporting has taken centre value instead of maximising short-term our collective home – Planet Earth. Our
some of the world’s best corporations. Our stage among the world’s latest corporate profit; promoting adaptability and resilience; performance, policies and practices on
contributions to transforming Singapore reporting initiatives. However, we prefer and favouring longevity over sentimentality. material economic, environmental, social
and Asia’s built environment sector have the term ‘Longevity Reporting’, being deeply It is also a position, a value, a commercial and governance topics are explained. As a
been accompanied by transformative rooted in the enduring heritage of the sensibility that runs through every layer of trustworthy corporate citizen, we are highly
technologies that are shaping all aspects of Boustead Group. This past year, we also our organisation. reflective about how our actions ‘ripple upon
our business in an even more sustainable tackled the challenging environment posed the pond of life’.
manner and enabling clients with custom- by the COVID-19 pandemic, an existential In this report, we hope that you gain an
built, smart, eco-sustainable and future- threat to the longevity and wellbeing of the in-depth understanding of how we remain
ready developments founded upon world. progressive and resilient, ensure our
1. “Meaning of Longevity in English.” Lexico.com, Dictionary.com and Oxford University Press, www.lexico.com/definition/longevity. Accessed 28 July 2021.
2. Handscomb, Christopher and Shail Thaker. “Activate Agility: The Five Avenues to Success.” McKinsey & Company, 1 February 2018, www.mckinsey.com/business-functions/organization/our-insights/the-organization-blog/activate-
agility-get-these-five-things-right. Accessed 28 July 2021.
03 BOUSTEAD PROJECTS LIMITED FY2O21 LONGEVITY REPORT
LONGEVITY REPORTING PURSUING BUSINESS WITH DEVELOPING OUR BEST ASSET – CONSERVING OUR COLLECTIVE
INTRODUCTION OTHER INFORMATION
FRAMEWORK A GREATER PURPOSE BOUSTEAD PROJECTS EMPLOYEES HOME – PLANET EARTH
LETTER TO STAKEHOLDERS
transaction one-off gain of S$134.8 this was buffered by this business
million (the “BIF Value Unlocking Gain”), segment’s S$19.9 million share of the BIF
recorded following our sale of interests Value Unlocking Gain, due to the reversal
in 14 leasehold properties to BIF – full of previously eliminated construction
disposal of 11 properties and partial margin attributable to the E&C business
disposal of equity interests in a subsidiary segment. FY2021 has been by far the
and two joint ventures – selected from most challenging year in our history since
our portfolio of 25 leasehold properties. 1996. While the Asian Financial Crisis,
The BIF Value Unlocking Gain more Dot-com Bust and Global Financial Crisis
than offset the E&C business segment’s significantly affected the E&C business
elevated pandemic-related costs, lower segment during those crises, they were
margins on current projects and lower largely financial crises in nature that
quantum of cost savings from previously reduced foreign direct investments in
completed projects. Had net profit Singapore and in turn the pipeline of
John Lim Kok Min Thomas Chu Kok Hong
been adjusted to exclude the BIF Value enquiries for this business segment’s
Chairman Managing Director Unlocking Gain, there would have been solutions. In contrast, this pandemic has
a net loss but this was contained at dented not only business development
Dear Fellow Stakeholders, S$3.2 million, thanks to our entire team’s activities but has directly affected project
Our total revenue was 29% lower year- commitment, progressive transformative execution, from prolonged project
It is our pleasure to present to you the on-year at S$301.4 million. Traditionally, technologies put in place in past years closures to significantly lower productivity
Boustead Projects Limited FY2021 our Engineering & Construction (“E&C”) and a number of cost management and a severe shortage of foreign labour
Longevity Report for the financial year business segment has been the key driver measures implemented during FY2021. resources. This combination of multiple
ended 31 March 2021. of revenue and also a substantial profit simultaneous impacts has left behind
contributor. However, during FY2021, FY2021 – A Tale of Two Businesses sector-wide repercussions.
FY2021 has been a milestone year, the pandemic and ensuing spread of In FY2021, the fortunes of our two key
in which we delivered a record profit COVID-19 within the community and business segments – E&C and Real Estate During this crisis, priorities were first and
attributable to shareholders (“net foreign labour dormitories, forced the – were a striking contrast which also foremost placed on safeguarding the
profit”) crossing the S$100 million mark Singapore Government to impose a four- revealed the effectiveness of our business wellbeing of our stakeholders including
for the first time and finishing 493% month shutdown of the built environment model that unites the entire industrial real our team, subcontractors and their
higher year-on-year at S$131.7 million. sector, which affected all of our Singapore estate value chain. employees, clients and surrounding
This significant accomplishment was project sites. Following the reopening of communities by implementing strict
underpinned by the successful launch of the built environment sector, we enacted E&C business segment revenue was 32% health checks, social distancing
Boustead Industrial Fund (“BIF”), a value- a gradual ramp-up in construction lower year-on-year at S$264.7 million, due measures, split teams and remote
unlocking event that had been anticipated activities in line with government to the prolonged closure of Singapore working arrangements. Following the
by shareholders and which we prioritised advisories and safe management project sites and conditions imposed by reopening of our offices and project sites,
to deliver. Nonetheless, hidden beneath measures, although this was far from our and in response to the pandemic. E&C whether here in Singapore or overseas,
this achievement was an environment pre-pandemic peak. business segment profit before income the emphasis was placed on disinfecting,
fraught with the toughest challenges that tax (“PBT”) was 84% lower year-on-year at reconfiguring our mental frames of mind
we have had to face as an organisation, Our record net profit of S$131.7 million S$3.1 million, hit by elevated pandemic- and physical spaces to ensure safe
brought on by the COVID-19 pandemic. was supported by BIF’s value-unlocking related costs on multiple fronts, although distancing and implementing strict safe
04 BOUSTEAD PROJECTS LIMITED FY2O21 LONGEVITY REPORT
LONGEVITY REPORTING PURSUING BUSINESS WITH DEVELOPING OUR BEST ASSET – CONSERVING OUR COLLECTIVE
INTRODUCTION OTHER INFORMATION
FRAMEWORK A GREATER PURPOSE BOUSTEAD PROJECTS EMPLOYEES HOME – PLANET EARTH
management measures. We also initiated received its temporary occupation permit the need for stakeholders to be present in Other than being instrumental in the
difficult but important conversations with just after the end of FY2021. the same room. successful launch of BIF, the Real Estate
our team, clients and subcontractors on business segment was also responsible
topics such as project schedule revisions, While Singapore projects faced Technologies were also implemented for securing a number of sizeable leases
cost sharing and how to progress pandemic-related delays, specified to enhance onsite safe management for leasehold properties, both completed
forward in the face of unprecedented extensions of time were also received measures – among the world’s strictest and under development. New leases
challenges. Great efforts were expended under the COVID-19 (Temporary – at project sites. In a partnership with totalled over 53,700 square metres of net
to understand the positions of all key Measures) Act 2020. Overseas, the TraceSafe under the Open Innovation lettable area – with the likes of Zuellig
stakeholders to ensure that collectively situation was much better for projects in Platform, we outfitted our team and Pharma, NETS, Shopee, JustCo and a
we survive this pandemic. China and Malaysia. Sizeable projects in subcontractors’ employees at one Fortune 500 corporation – over the course
these two overseas markets – including project site with TraceSafe’s wearable of FY2021. 351 on Braddell and Razer
We also proactively took several our largest project captured in FY2021 to safety devices. Attached to helmets, SEA HQ also achieved at least two-thirds
measures to mitigate the impact of design and build an advanced integrated these devices can withstand the rugged committed occupancy prior to receiving
delays and to protect the viability and high-tech manufacturing and office facility conditions of the built environment sector temporary occupation permits.
long-term value of our businesses. in Penang, Malaysia for a Fortune 500 and are able to provide real-time contact
Cost management measures included technology corporation – progressed on tracing, safe distancing and geofencing Transforming Our Business Model with
organisation-wide cost reviews, a salary schedule, facing only minor disruptions. capabilities onsite. These devices send Boustead Industrial Fund
freeze for our entire team and a reduction signals to individual workers when they The Board had made the establishment
in Board fees and senior management Technology continued to play a key breach safe boundaries of separated work of BIF a priority pre-pandemic but it
salaries since June 2020. Our Board and role in mitigating risks associated zones or are too close to one another, was thanks to the commitment of our
executive directors took 10% reductions with the pandemic, allowing for highly making everybody onsite safer. With the team that BIF was able to launch during
in directors’ fees and base salaries collaborative activities including successful implementation at the first the pandemic, even as stakeholder
respectively, while the rest of our senior integrated digital delivery (“IDD”), design, project site, TraceSafe is now being rolled engagements had become more complex
management team was subjected to value engineering and construction to out across all project sites. and global travel restrictions had taken
tiered 5% to 7.5% reductions in base be conducted in a productive and safe effect. Had our team not gone through
salaries. manner. In contrast to the impact on the E&C extraordinary efforts, any launch would
business segment, Real Estate business likely have been delayed by another year.
Following the reopening of Singapore During FY2021, our IDD Team continued segment revenue was 7% higher year-
project sites in mid-FY2021, the E&C to push forward with transformative on-year at S$36.7 million, mainly due BIF represents our maiden full-fledged
business segment commenced on technologies implementation and to a full-year of rental contribution from private real estate trust. Strategically, BIF
making up lost ground on several projects strengthened value propositions in 7D the fully-leased Boustead Industrial has transformed our business model and
in Singapore including our two largest building information modelling (“BIM”) by Park Phase 1 in Vietnam, a short-term integrated platform that unites all parts
projects for JTC Kranji Green and Surbana utilising 3D scanning, artificial intelligence sublease for 36 Tuas Road and increased of the industrial real estate value chain –
Jurong Campus. By the end of FY2021, and machine learning, augmented reality management fees from Boustead from value-added capabilities spanning
the E&C business segment was also (“AR”) and virtual reality (“VR”), data Development Partnership. Real Estate E&C and real estate development and
able to secure the temporary occupation analytics and drone technology. Our team business segment PBT was exponentially asset management services to fund
permits for joint development projects and stakeholders were able to tap on a higher after adding in this business management services. This significantly
– 351 on Braddell and Bombardier combination of AR and VR and Cloud- segment’s super majority share of the enhances our offerings to clients and
Singapore Service Centre Phase 2 – while based sharing platforms to review virtual BIF Value Unlocking Gain, leading to our adds greater flexibility to our structuring
another joint development, Razer SEA HQ 7D BIM models simultaneously, without record net profit. of potential development opportunities.
05 BOUSTEAD PROJECTS LIMITED FY2O21 LONGEVITY REPORT
LONGEVITY REPORTING PURSUING BUSINESS WITH DEVELOPING OUR BEST ASSET – CONSERVING OUR COLLECTIVE
INTRODUCTION OTHER INFORMATION
FRAMEWORK A GREATER PURPOSE BOUSTEAD PROJECTS EMPLOYEES HOME – PLANET EARTH
Even as the bulk of our wholly-owned leasehold portfolios, particularly in consummated, KBILF Phase 1 will allow In this report, we hope that you gain
leasehold properties has now been overseas markets. our joint venture fund to acquire seed an in-depth understanding of how we
sold into BIF, we still retain a pipeline of assets amounting to about US$141 remain progressive and resilient, ensure
leasehold properties – mainly under joint FY2022 – Another Difficult Year on the million in gross asset value covering our longevity and protect the viability
ventures – with over S$700 million in Path to Recovery about 840,000 square metres of land and long-term value of our businesses
expected market valuation. Once eligible Given that the margins for projects area and about 550,000 square metres of and the wider ecosystem that we are
assets in Singapore are stabilised, they secured pre-pandemic do not take into gross leasable area. KBILF Phase 2 will interconnected with. We also share how
will have the potential to be injected consideration subsequent elevated costs, lead to the acquisition of other potential we strive towards what the Boustead
into BIF. With our existing portfolio and the E&C business segment’s performance industrial real estate assets under an Group has achieved in longevity over
future pipeline of secured development will continue to be affected in FY2022, identified pipeline of targets, which almost two centuries and how this
projects, we expect that there will be a as we complete the last of such projects. would have the potential to double the translates to delivering sustainable shared
steady stream of sponsor assets that can Despite the pandemic, we secured about land area and gross leasable area in the socio-economic value and progress to key
be progressively injected into BIF over S$178 million in contracts during FY2021 portfolio. As one of the only economies stakeholders, along with the communities
several years. As the 100% manager that are contractually more risk-mitigated to witness GDP growth during the that we reside in and our collective home
and 25% unitholder of BIF, Boustead and protected against pandemic-related pandemic, Vietnam’s potential remains – Planet Earth. Our performance, policies
Projects will continue to reap the benefits disruptions, which will help us even if the intact. Demographically, Vietnam enjoys and practices on material economic,
of properties sold to BIF, especially when pandemic persists. Nonetheless, lower a sizeable young population and a skilled environmental, social and governance
it expands. Holding the manager role, productivity and foreign labour shortages workforce catered to the industrial sector. topics are explained.
we will be entitled to base management are expected to remain in the foreseeable Geopolitically, Vietnam is well located
fees, development fees, acquisition future. geographically and has been a beneficiary Thank you for entrusting us with the role
fees, divestment fees and property of the world’s political situation. of being a trustworthy corporate citizen,
management fees, similar to what Although things may remain slow in some one which we hope to honour for many
listed REIT managers would receive for areas, this will not deter us from building Apart from KBILF, we are also pursuing more decades to come, as we continue
managing their respective listed REITs. upon our credible reputation for being a number of development opportunities, to be highly reflective about how our
progressive, as demonstrated by our both here in Singapore and overseas, and actions ‘ripple upon the pond of life’. This
BIF has also established our new fund continuing enhancement of our business possess the financial strength to diversify journey is an ultramarathon, which we will
management business, in which we are model, transformative technological our revenue and profit streams in multiple continue running in the Boustead Way
now able to bring in and manage third- implementations and most recent industry sectors, real estate sectors and and hope to have you join, even if only for
party investors’ funds for investments in addition of BIF. Our cash levels and geographic markets. part of the way. Have an enjoyable and
stabilised recurring-income assets. This balance sheet have never been stronger. insightful read.
flexibility opens our business model to a Our progressive reputation for
new set of partners, especially those more Many questions have been posed on transformation continues to contribute in- May you and your loved ones stay well,
interested in investments in de-risked our next steps after the formation of BIF, built resilience that will help us to prevail healthy and safe during these tumultuous
assets rather than partnerships for joint especially our capital expenditure plans in this difficult environment. In addition, times.
development projects which carry higher and how we plan to reinvest. As seen investments in refining our smart, eco-
risk profiles. with our recent announcement of the sustainable and future-ready business John Lim Kok Min
signing of the option agreement for the park and industrial real estate solutions, Chairman
BIF represents a model on which we can intended formation of KTG & Boustead and ConTech and PropTech will continue,
base potential future real estate trusts on, Industrial Logistics Fund (“KBILF”), we helping to ensure longevity for ourselves Thomas Chu Kok Hong
if we are able to build up other sizeable have already taken our next steps. Once and our stakeholders. Managing Director
06 BOUSTEAD PROJECTS LIMITED FY2O21 LONGEVITY REPORT
LONGEVITY REPORTING PURSUING BUSINESS WITH DEVELOPING OUR BEST ASSET – CONSERVING OUR COLLECTIVE
INTRODUCTION OTHER INFORMATION
FRAMEWORK A GREATER PURPOSE BOUSTEAD PROJECTS EMPLOYEES HOME – PLANET EARTH
THE BOUSTEAD WAY, MISSION, VISION & BUSINESS MODEL
The Boustead Way Business Model
The Boustead Way prioritises the In order to achieve our mission,
pursuit of business with a greater vision and long-term objectives,
purpose. It is about creating we rely on our business drivers:
sustainable shared socio-economic business platforms, strategies and
value versus maximising short-term e w o r ld
business model value chain – guided
profit; promoting adaptability and yo n th by the Boustead Way, along with
c iall
resilience; and favouring longevity so our fundamental principles and
nd l
over sentimentality. It is a position,
lly
a gica Re g strong human-centric corporate
ta n olo tion exp ional Be
a value, a commercial sensibility ch rma ans values. These business drivers
Te nsfo ion
en
that runs through every layer of our highlight how we combine our
ad
m
tra
ap
on
organisation. core competencies and strategies
t
in
ab
vir
ha Bu to allow us to achieve our long-
le
ec
en
si
,
an
ety tal
Mission u term objectives to be adaptable
ly,
d re
n
Gr
al
cal
ne
me
To provide technology-driven design, Inte and resilient, deliver sustainable
ion
lv
ow rtfolio
gr
ss
silie
ss
omi
n
s
engineering and delivery of end-to- shared socio-economic value and
de
saf
Quality and enviro
oc u
ing
p
po
Business mo
latf
Pa
impact econ
nt
end smart eco-sustainable real estate progress to key stakeholders, and
ity
health and
(“EHS”) f
leasehold
solutions that can be deployed in any make a positive impact economically,
orms
alism
sector and market. The environmentally and socially on the
Flexibi
Boustead Way world.
sion
Vision
ositive
To be the leading provider of
es
lity
innovative real estate solutions in Pr
of
ap
Pe
Asia, offering a full suite of smart eco- rseverance
Ris bal
st ons s,
en and
ake
ve iti hip
sustainable solutions that enhance
k a an
M
ts
ui ners
built environments and ecosystems.
nd ce
w
Pa q
re
m
ar Strategies
rt
s
d
rs
De
ac in
de
liv
ol
e
us
eh
rs
Integrated k
ta ta
in
ab capabilities eys
le o k
sh t
a red r ess
soci ro g
o-e conomic value a nd p
07 BOUSTEAD PROJECTS LIMITED FY2O21 LONGEVITY REPORT
LONGEVITY REPORTING PURSUING BUSINESS WITH DEVELOPING OUR BEST ASSET – CONSERVING OUR COLLECTIVE
INTRODUCTION OTHER INFORMATION
FRAMEWORK A GREATER PURPOSE BOUSTEAD PROJECTS EMPLOYEES HOME – PLANET EARTH
Business Platforms
Positioning and presence Performance People
• Extensive capabilities spanning • Market leader in Singapore with extensive • CONQUAS all-time top 100 industrial • Top engineering & construction team for
engineering & construction, development track record in delivering best-in-class projects quality leader advanced eco-sustainable business park
management, asset management and fund projects • Developer of Singapore’s first truly smart and industrial developments
management • Green Mark Platinum industrial leader with business park development • Empowering culture
• Successful spotting and positioning on firsts in heavy industry, aerospace sector • Developer, manager and owner of growing • Fair and non-discriminatory employment
megatrends and logistics sector categories and first leasehold portfolio • Ability to attract, develop, motivate and
• Growing Asian presence with local market Green Mark Platinum – Super Low Energy • Commitments to quality and EHS retain talent
knowledge large-scale business park and industrial performance • Industry technical experts
• Broad coverage of sectors, with clients development
among world’s best corporations
Strategies
Regional expansion Partnerships, acquisitions and investments Risk and reward balance Technological transformation
Our expansion into fast-growing Asian markets Our continuous search for strategic We are vigilant in ensuring that our strategies to Our ongoing business transformation
rides upon in-depth domain expertise, leading partnerships, catalytic acquisitions and enhance stakeholders’ shared socio-economic is supported by progressive adoption of
market positions and a diversified track record investments is aimed at accelerating our value are well-supported by sound risk digitally-enabled, productivity-enhancing
in delivering over 3,000,000 square metres of business expansion, enhancing capabilities, management. approaches like integrated digital delivery,
real estate. broadening revenue streams and driving building information modelling, design for
sustainable long-term growth. Quality and EHS focus manufacturing and assembly, and smart
Growing leasehold portfolio We strive to achieve the highest standards in building capabilities. We aim to be a market
Our growing leasehold portfolio of both Integrated capabilities quality and workplace EHS, building on our leader in the world of Industry 4.0.
wholly-owned and jointly-owned properties Our integrated suite of capabilities is aimed growing achievements under the Building &
contributes recurring, long-term income at helping clients to achieve highly effective Construction Authority Construction Quality
streams. and cost competitive solutions that raise Assessment System, Green & Gracious Builder
efficiency and multi-decade building lifecycle Scheme and Green Mark Certification Scheme,
sustainability. and the Workplace Safety & Health Council
bizSAFE Programme.
Business Model Value Chain
Uphold our excellent reputation for integrity, quality, reliability and trust
Commit to operational excellence
Design smart eco-sustainable through undertaking technology-
driven design, value engineering,
solutions including Green Mark Deliver efficiency, performance
project management, construction Generate revenue, profit and cash
Platinum-rated and LEED-rated and shared socio-economic value
management, quality and EHS flow in a sustainable manner
developments that meet Industry 4.0 to clients
supervision, development
transformation standards management, asset management
and fund management
Be adaptable and resilient, deliver sustainable shared socio-economic value and progress, and make a positive impact on the world
08 BOUSTEAD PROJECTS LIMITED FY2O21 LONGEVITY REPORT
LONGEVITY REPORTING PURSUING BUSINESS WITH DEVELOPING OUR BEST ASSET – CONSERVING OUR COLLECTIVE
INTRODUCTION OTHER INFORMATION
FRAMEWORK A GREATER PURPOSE BOUSTEAD PROJECTS EMPLOYEES HOME – PLANET EARTH
SECTION 1 – LONGEVITY REPORTING FRAMEWORK
SECTION 1 MATERIAL ESG TOPICS & 1.1 ABOUT THIS REPORT believe in upholding high standards of Security Management System, ISO
APPLICABLE GRI STANDARDS accurate, consistent, sincere, timely and 45001 Occupational Health & Safety
1.1.1 Report Period & Scope transparent disclosure, that provides Management System (upgraded from
This section covers the following This is the Boustead Projects clarity on our ESG performance and SS506 Part 1 and OHSAS 18001), and
material ESG topics and applicable GRI Limited FY2021 Longevity Report, trends over time. other key programmes such as the
Standards: an annual publication dedicated to Building & Construction Authority
• About this report providing a more holistic review of our This report should be read in Construction Quality Assessment
performance, especially covering non- conjunction with the Boustead Projects System, Green & Gracious Builder
GRI Standards financial areas such as environmental, Limited FY2021 Annual Report for Scheme and Green Mark Certification
/ 102-1 / 102-3 / 102-4 / 102-5 / 102-12 /
/ 102-45 / 102-46 / 102-47 / 102-48 / 102-49 /
social and governance (“ESG”) topics context. It should also be noted that Scheme, and the Workplace Safety &
/ 102-50 / 102-51 / 102-52 / 102-53 / 102-54 / that are material to our business and the governance topic has not been fully Health Council bizSAFE Programme.
key stakeholders. This report covers discussed in this report. Our latest
• Business model, strategies and our ESG performance under both core Corporate Governance Report (“CG This report has been prepared in
outlook business segments – Engineering Report”) is available in its full text within accordance with Global Reporting
GRI Standards & Construction (“E&C”) and Real the Boustead Projects Limited FY2021 Initiative (“GRI”) Standards: Core, with
/ 102-2 / 102-6 / 102-11/ 102-12 / Estate – including our headquarters, Annual Report from pages 58 to 88. at least three years of comparative data
• Corporate governance administrative offices, significant E&C as required by GRI Standards: Core.
project sites under our control and The terms ‘Longevity’ and The respective GRI Standards that have
GRI Standards management, and managed real estate ‘Sustainability’ are interchangeable. been applied are available in the GRI
/ 102-5 / 102-12 / 102-18 / 102-19 / 102-22 /
in all geographic markets where we Content Index listed on pages 91 to
/ 102-23 / 102-24 / 102-25 / 102-26 / 102-27 /
/ 102-28 / 102-29 / 102-30 / 102-31 / 102-32 / have a significant presence: Singapore, 1.1.2 Report Content 97. References have also been made
/ 102-33 / 102-35 / 102-36 / 102-37 / China, Malaysia and Vietnam, unless Content in this report was defined by to the United Nations’ 17 Sustainable
otherwise indicated. identifying and prioritising our material Development Goals.
• Environmental, social and
ESG topics through an ESG materiality
governance materiality assessment
This report contains at least four assessment process. Efforts were GRI Standards has been selected and
GRI Standards full-years of data on material ESG made to ensure that material ESG used within our Longevity Reporting
/ 102-12 / 102-20 / 102-21 / 102-29 / 102-40 / topics and is aligned with our financial topics are reflective of the current Framework – applied since we issued
/ 102-42 / 102-43 / 102-44 / 102-47 /
reporting period from 1 April 2020 to 31 ESG topics that are material to our our inaugural report – because it
March 2021 (“FY2021”). Our previous business and key stakeholders. Data represents not only the first global
report was aligned with our financial collection on material ESG topics is sustainability reporting framework
reporting period from 1 April 2019 to 31 also supported by our subsidiaries’ but is independent and continues to
March 2020 (“FY2020”) and issued on operations teams that oversee the be the only sustainability reporting
28 October 2020. Our inaugural report certification and implementation of ISO framework that can demonstrate
was issued on 22 November 2018. We 9001 Quality Management System, ISO widespread global adoption. According
voluntarily disclosed four full-years of 14001 Environmental Management to the KPMG Survey of Sustainability
historical data for comparison as we System, ISO/IEC 27001 Information Reporting 2020, 73% of the world’s 250
09 BOUSTEAD PROJECTS LIMITED FY2O21 LONGEVITY REPORT
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INTRODUCTION OTHER INFORMATION
FRAMEWORK A GREATER PURPOSE BOUSTEAD PROJECTS EMPLOYEES HOME – PLANET EARTH
largest corporations and 67% of the Where the relevant material ESG topics For a complete list of our significant
100 largest corporations in 52 countries have already been discussed in detail in associates and joint ventures as at Boustead Projects Limited
– a total of 5,200 corporations – use the Boustead Projects Limited FY2021 31 March 2021, please refer to the Company Registration Number:
GRI.1 GRI Standards are aligned with Annual Report, we shall make reference Boustead Projects Limited FY2021 199603900E
best practices, comprehensive, flexible, to such discussions without directly Annual Report from pages 134 to 137.
regularly updated, robust and provide replicating them in this report. 82 Ubi Avenue 4
a good base of ESG performance This report does not cover the activities #07-01 Edward Boustead Centre
comparison across organisations of all Data is presented using standard of associates and joint ventures where Singapore 408832
sizes and diverse sectors, allowing for international units of measurement, we have either joint or no responsibility Main: +65 6748 3945
organisations to select the appropriate with conversion factors mentioned in for management, as such activities Fax: +65 6748 9250
standards to collect and measure relevant sections. Monetary values are fall beyond our ability to unilaterally
ESG performance on a wide variety of presented in our functional reporting influence ESG performance, policies www.bousteadprojects.com
ESG topics. Therefore, GRI Standards currency, Singapore dollars, unless and practices.
demonstrate strong alignment and otherwise indicated.
excellent presentation capabilities for We have not sought external assurance
the ESG topics that are material to our Our Board reviewed and approved this for this report.
business and key stakeholders. report before it went into circulation.
1.1.4 Accessibility
In the future, we will review other 1.1.3 Report Boundaries In line with our commitment to
up-and-coming sustainability This report covers Boustead Projects environmental sustainability, this
reporting frameworks such as the and all non-dormant subsidiaries report has been issued in digital
Integrated Reporting Framework including our headquarters and format only. This report and previous
and SASB Standards issued by the subsidiaries in Singapore, China, reports are available online at www.
Value Reporting Foundation, and Indonesia, Malaysia and Vietnam, bousteadprojects.com/investor-
the Task Force on Climate-Related unless otherwise indicated. For centre/sustainability.
Financial Disclosures issued by the a complete list of our significant
Financial Stability Board. Assessments subsidiaries as at 31 March 2021, 1.1.5 Feedback Channel
will be made as to whether these please refer to the Boustead Projects We welcome comments and feedback
standards and disclosures should be Limited FY2021 Annual Report from from our stakeholders in relation to this
integrated into our Longevity Reporting pages 142 to 143. report and our performance, policies
Framework. and practices discussed in this report.
This report also covers all non- If you have any comments or feedback,
This report fully complies with the dormant associates and joint ventures please email ir.team@boustead.sg.
requirements of the SGX-ST Listing where we are entirely responsible
Rules Practice Note 7.6 Sustainability for management and managed real
Reporting Guide. estate, unless otherwise indicated.
1. “GRI Remains the Dominant Global Standard for Sustainability Reporting.” KPMG Survey of Sustainability Reporting 2020, KPMG International Ltd, December 2020, page 25, home.kpmg/xx/en/home/insights/2020/11/the-time-has-come-
survey-of-sustainability-reporting.html. Accessed 28 July 2021.10 BOUSTEAD PROJECTS LIMITED FY2O21 LONGEVITY REPORT
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INTRODUCTION OTHER INFORMATION
FRAMEWORK A GREATER PURPOSE BOUSTEAD PROJECTS EMPLOYEES HOME – PLANET EARTH
1.2 BOARD LONGEVITY STATEMENT to seize opportunities to deliver Longevity Reporting Structure
Our Board is committed to ensuring sustainable shared socio-economic
our longevity including reviewing our value and progress to key stakeholders,
performance, policies and practices while being well-supported by sound
Board of Directors
in relation to material environmental, risk management. Our risk appetite
social and governance (“ESG”) topics. considers material ESG topics that
may affect reputational risk, ethical
Our Board is assisted in this by the and moral considerations, and have
appointed Group Longevity Reporting significant financial and non-financial
Group
Champion & Lead (“Group Champion”), implications.
Longevity Reporting Group Headquarters
who is advised by our Executive
Champion & Lead
Directors and extended leadership Other than financial performance
team in Group Headquarters. The targets, our Board and the
Group Champion coordinates the Remuneration Committee have set
implementation of the Longevity key ESG performance targets for
Reporting Framework across the our Executive Directors to meet
functions. Our Board is further annually, which are directly tied to their
assisted by our existing robust systems remuneration packages. Our Executive Business Development Legal
including audit, compliance, enterprise Directors have further set key ESG Longevity Reporting Longevity Reporting
risk, financial, environmental, health performance targets for functional
and safety (“EHS”), human resource, IT directors and/or managers to meet
and operational management systems, annually, in relation to their respective
which feed into our Longevity Reporting functional roles and which are directly
Framework. tied to their respective remuneration Finance Human Resources
packages. Examples of such ESG Longevity Reporting Longevity Reporting
Our Board assesses opportunities and performance targets include targets for
risks presented by material ESG topics. improving eco-sustainability, quality,
This helps our Board to determine the EHS, team development and technology
appropriate strategies that will provide performance, policies and practices.
us with the adaptability and flexibility Operations Quality and EHS
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INTRODUCTION OTHER INFORMATION
FRAMEWORK A GREATER PURPOSE BOUSTEAD PROJECTS EMPLOYEES HOME – PLANET EARTH
1.3 CORPORATE STEWARDSHIP & Board & Board Committee Oversight Responsibilities & Key Terms of Reference
STRATEGIES
1.3.1 Corporate Stewardship for 3 2 1 4 5 6
Longevity Independent director Non-independent director
Our Board of Directors is collectively Board
responsible for our corporate
stewardship, overall leadership, • Corporate governance • Annual operating and capital budgets • Annual reports and financial statements
• Ethics, corporate values, culture and • Business affairs and senior management • Shareholder meetings
management, strategies, controls and
standards team performance • Dividend payments and distributions
long-term success. In line with this, • Sustainability performance • Financial performance • Material acquisitions and disposals of
our Board also oversees performance, • Risk appetite and internal controls assets
policies and practices in relation to • Corporate strategies and policies
ESG topics and considers ESG topics
integrally with all other aspects of their
1 4 5 3 2 1 4 5 6 1 5 6
collective responsibility.
1.3.2 Corporate Governance Audit & Risk Committee Nominating Committee Remuneration Committee
Our Board is committed to maintaining • Appointments and reappointments of • Appointments and reappointments • Remuneration policies and packages of
a high standard of corporate external auditors of Board Directors, Board Committee Board Directors and senior management
governance and transparency within • Internal controls members and senior management team team
the Group, in line with the principles • External and internal audit plans and • Board and senior management team • Service contracts of senior management
set out in the Code of Corporate results succession team
Governance 2018 (“CG Code”) and the • External and internal audit functions • Board performance • Senior management team performance
accompanying SGX Practice Guidance, • Enterprise risk management • Board professional development and
which forms part of our continuing • Interested person transactions and training programmes
conflict of interest • Board independence and conflict of
obligations to the SGX Mainboard
• Internal investigations and whistle- interest
Listing Rules. This establishes and blowing
maintains our Group’s ethical, legal and • Annual reports and financial statements
business environment to enhance the • Regulatory filings
interests of all key stakeholders.
Made up of well-respected and Our Board currently comprises: 3. Thomas Chu 6. Professor Yong Kwet Yew
experienced business and academic 1. John Lim Kok Min Managing Director Independent Non-Executive Director
leaders from diverse backgrounds, two- Chairman &
thirds of our Board is independent, with Independent Non-Executive Director 4. Tam Chee Chong More information on the individual
all three Board Committees headed by Independent Non-Executive Director profiles of our directors is available
an independent non-executive director. 2. Wong Yu Wei within the Boustead Projects Limited
Deputy Chairman & 5. Chong Lit Cheong FY2021 Annual Report from pages 46 to
Executive Director Independent Non-Executive Director 47, 69 and 83 to 88.12 BOUSTEAD PROJECTS LIMITED FY2O21 LONGEVITY REPORT
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FRAMEWORK A GREATER PURPOSE BOUSTEAD PROJECTS EMPLOYEES HOME – PLANET EARTH
Our latest CG Report outlines our available in its full text within the 1.3.3 Overall ESG Recognition on the SGX Mainboard in April 2015,
corporate governance practices Boustead Projects Limited FY2021 While gaining overall ESG recognition we have been recognised for our
with specific reference made to the Annual Report from pages 58 to 88 and from our key stakeholders is not an end performance, policies and practices in
principles and guidelines of the CG is referenced in this report, rather than in itself, it indicates that we are moving relation to overall management of ESG
Code and accompanying SGX Practice completely repeated. in the right direction as a trustworthy topics as shown on this page.
Guidance. Our latest CG Report is corporate citizen. Since our listing
Overall ESG Achievements & Significance
Achievements Significance
Nov 2019 • Boustead Projects named on SGX Fast Track Programme • Recognised among only 92 SGX-listed corporations on programme
affirming listed issuers publicly recognised for high corporate governance
standards and maintaining good compliance track record, with prioritised
clearance for their corporate action submissions
Mar 2019 • Boustead Projects Limited FY2018 Longevity Report nominated • Inaugural Boustead Projects Limited FY2018 Longevity Report – along
as Finalist for Asia’s Best First Time Sustainability Report at Asia with inaugural Boustead Singapore Limited FY2018 Longevity Report
Sustainability Reporting Awards 2018 – nominated among only eight finalists for Asia’s Best First Time
Sustainability Report
• Judged by Singapore’s academic and sustainability reporting
communities
• Presented by Asia’s foremost sustainability reporting awards
Sep 2017 • Boustead Projects awarded Singapore Corporate Governance Award, • Recognised for excellent standards of corporate governance
Newly Listed Category at Securities Investors Association (Singapore) • Judged by Singapore’s academic, accounting, financial, governance,
Investors’ Choice Awards 2017 investment, legal and media communities
• Presented by Singapore’s foremost retail investors association with
support of SGX
May 2017 • Boustead Projects E&C awarded Singapore Quality Class Certification in • Recognised for attaining robust business fundamentals and meeting
Enterprise Singapore Business Excellence Framework standards for good business performance based on global benchmarks
in areas including leadership, customers, strategy, people and process,
knowledge and results
• Presented by Singapore Government’s lead agency for enterprises13 BOUSTEAD PROJECTS LIMITED FY2O21 LONGEVITY REPORT
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FRAMEWORK A GREATER PURPOSE BOUSTEAD PROJECTS EMPLOYEES HOME – PLANET EARTH
1.4 ENVIRONMENTAL, SOCIAL key stakeholders, and make a positive in the geographic markets and sectors their significance, conversations and
& GOVERNANCE MATERIALITY impact economically, environmentally that we operate in, along with the views channels of communication, as shown
ASSESSMENT and socially on the world. The views of of key stakeholders. These are then on pages 13 to 17.
Boustead Projects conducted an ESG both external and internal stakeholders updated in our assessment process.
materiality assessment process in order are taken into account when In FY2021, most conversations with
to determine material ESG topics that determining the material ESG topics 1.4.1 Key Stakeholder Engagement key stakeholders were in relation to the
should be included in this report. ESG that should be included in this report. We define key stakeholders as being COVID-19 pandemic and the impact on
topics are considered to be material if groups that our business may have our business segments – E&C and Real
they may have a significant impact on To ensure that material ESG topics a significant impact on or vice versa, Estate – as well as how our response
our business and ability to achieve our remain up-to-date, we periodically and who have a vested interest in to the pandemic would impact key
long-term objectives to be adaptable review current and emerging the way that we conduct business. stakeholders. This was consistent
and resilient, deliver sustainable shared megatrends, changes in the economic, After a thorough review, nine key across almost all key stakeholder
socio-economic value and progress to political, regulatory and ESG landscape stakeholders were identified, along with groups.
Key Stakeholders, Significance & Conversations
Key Stakeholders Significance Conversations Engagement Channels
Board and Team Boustead Projects’ team is our best • Economic performance • Board meetings
• Board of Directors asset. Attracting, developing, managing • Business model, strategy and outlook • Townhalls
• Managers and retaining our team is a core priority • Smart eco-sustainable solutions • Quarterly newsletters
• Executives given our knowledge-driven business (“Solutions”) • Monthly management meetings
• Non-executives model, which generally focuses on • Corporate governance, policies and • Weekly functional meetings
high value-added activities across practices • Weekly QEHS meetings
the industrial real estate value chain. • Legal and regulatory compliance • Daily QEHS toolbox meetings
These activities include design, value • Talent acquisition, development, • Team training sessions
engineering, project management, management and retention • Cloud-based technology platforms
construction management, development • Succession planning • Code of Conduct
management, asset management and • Quality, environmental, health and • Team Development Programme
fund management and the application safety (“QEHS”) • Open door policy
of proprietary domain expertise that • Data and information security • Performance appraisals
extends over a regional network of key • Responsible communications • Team surveys
stakeholder relationships. Creating the • COVID-19 and infectious disease • Whistle-blowing mechanism
ideal environment for our team to thrive outbreaks • Virtual meetings
in will eventually translate to the delivery • Websites
of sustainable shared socio-economic
value and progress to key stakeholders.14 BOUSTEAD PROJECTS LIMITED FY2O21 LONGEVITY REPORT
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FRAMEWORK A GREATER PURPOSE BOUSTEAD PROJECTS EMPLOYEES HOME – PLANET EARTH
Key Stakeholders, Significance & Conversations (cont’d)
Key Stakeholders Significance Conversations Engagement Channels
Clients We aim to gain an in-depth • Economic performance • Business Development Team
• Direct clients understanding of clients’ needs so • Solutions communications and meetings
• End-user clients (clients of clients) that we are able to deliver progressive • Legal and regulatory compliance • Integrated Digital Delivery (“IDD”)
answers to them in the dynamic global • Talent acquisition, development, Team communications and meetings
business environment. Collaborating management and retention • Project Management Team
with clients allows us to push the • QEHS communications and meetings
boundaries of paradigms, research • Data and information security • Real Estate Team and Property
and technologies to help clients • COVID-19 and infectious disease Management Team communications
improve business performance and outbreaks and meetings
sustainability. • Project site visits
• Leasing and tenant policies and
surveys
• Annual reports (“ARs”) and longevity
reports (“LRs”)
• Quarterly newsletters
• Virtual meetings
• Websites
Strategic Partners Working with like-minded and • Economic performance • Business Development Team
• Technology partners reputable partners has allowed us to • Business model, strategy and outlook communications and meetings
• Associated companies pool our complementary capabilities • Solutions • IDD Team communications and
• Joint ventures and expertise to widen our offerings • Corporate governance, policies and meetings
• Co-investment partners and concurrently take on larger-scale practices • Project Management Team
projects, while simultaneously reducing • Legal and regulatory compliance communications and meetings
commercial, operational and ESG • QEHS • Construction and Site Management
risks related to a particular geographic • Data and information security Team communications and meetings
market or sector. Our partnerships with • COVID-19 and infectious disease • Real Estate Team communications
technology partners that offer proven outbreaks and meetings
transformative technologies also enable • Project site visits
us to ensure that our solutions are • ARs and LRs
progressive. • Quarterly newsletters
• Quarterly reports and updates
• Virtual meetings
• WebsitesYou can also read
