REPORT 2019 A Corporate Legacy Serving Multiple Generations - Boustead Singapore Limited Sustainability Report 2019

 
REPORT 2019 A Corporate Legacy Serving Multiple Generations - Boustead Singapore Limited Sustainability Report 2019
A Corporate Legacy Serving Multiple Generations

REPORT 2019
Boustead Singapore Limited
Sustainability Report 2019
REPORT 2019 A Corporate Legacy Serving Multiple Generations - Boustead Singapore Limited Sustainability Report 2019
01   BOUSTEAD SINGAPORE LIMITED LONGEVITY REPORT 2019

                                   LONGEVITY REPORTING         PURSUING BUSINESS WITH     DEVELOPING OUR BEST ASSET –    CONSERVING OUR COLLECTIVE
        INTRODUCTION                                                                                                                                        OTHER INFORMATION
                                       FRAMEWORK                 A GREATER PURPOSE          BOUSTEAD MEN & WOMEN           HOME – PLANET EARTH

CORPORATE PROFILE                                                                                                TABLE OF CONTENTS
Established in 1828, Boustead                innovative medical solutions that
                                                                                                                 SECTION 1 – INTRODUCTION
Singapore Limited (SGX:F9D) is a             address age-related chronic diseases
progressive global Infrastructure-Related    and mobility issues, with a focus on                                Corporate Profile                                               01
Engineering and Technology Group             rehabilitative care, sleep care and sports                          Defining Longevity                                              02
listed on the SGX Mainboard.                 science in the Asia Pacific.                                        Chairman’s Longevity Message                                    03
                                                                                                                 1.1 Mission, Vision & Business Model                            04
                                                                                                                 1.2 Corporate Stewardship & Strategies                          06
Focusing on the niche engineering and        With a vast global network stretching                               1.3 FY2019 Longevity Performance Summary                        08
development of key infrastructure to         across Asia, Australia, Europe, Africa
support sustainable economic growth          and the Americas, we are ready to serve
                                                                                                                 SECTION 2 – LONGEVITY REPORTING FRAMEWORK
in global markets, our strong suite          the world. To date, we have undertaken
of engineering services comprises            infrastructure-related projects in 87                               2.1 About this Report                                           12
Energy-Related Engineering and               countries and territories globally.                                 2.2 Environmental, Social & Governance Materiality Assessment   13
Real Estate Solutions, centred on
energy infrastructure and smart eco-         In 2008 and 2009, we were recognised                                SECTION 3 – PURSUING BUSINESS WITH A GREATER PURPOSE
sustainable business park and industrial     in the prestigious Forbes Asia 200
                                                                                                                 3.1 Knowledge-Driven Business                                   20
developments.                                Best Under A Billion as one of the
                                                                                                                 3.2 Smart Eco-Sustainable Solutions                             23
                                             Asia Pacific’s 200 best public-listed                               3.3 Quality                                                     34
In addition, we provide technology-          corporations under US$1 billion in                                  3.4 Transformation Initiatives                                  38
driven transformative solutions to           revenue. In 2015, we were also the                                  3.5 FY2019 Economic Value Generation & Distribution             45
improve quality of life for all walks of     winner of the Singapore Golden Jubilee
life. Geospatial Technology provides         Business Award, in recognition of                                   SECTION 4 – DEVELOPING OUR BEST ASSET
professional services and exclusively        the best 50 Singapore corporations                                  – BOUSTEAD MEN & WOMEN
distributes Esri’s ArcGIS technology         who have achieved and contributed
– the world’s leading geographic             to Singapore’s progress and success                                 4.1 Code of Conduct                                             48
                                                                                                                 4.2 Team Development Programme                                  50
information system and location              over the past half-century since
                                                                                                                 4.3 Creating a Positive Work Environment                        57
analytics platform – to major markets        independence. In 2017, we were ranked                               4.4 Supply Chain Management                                     61
across Australia and parts of South          by FinanceAsia as Singapore’s Best
East Asia. The software creates digital      Small-Cap in the annual Asia’s Best
infrastructure solutions that enable         Companies Poll. We are also listed on                               SECTION 5 – CONSERVING OUR COLLECTIVE HOME
                                                                                                                 – PLANET EARTH
smart nations, smart cities and smart        the MSCI World Micro Cap Index, FTSE
communities by solving the world’s           Global Small Cap Index, FTSE Developed                              5.1 Environmental Stewardship                                   62
largest problems through effective and       Small Cap Index and FTSE ST Small Cap                               5.2 Legal & Regulatory Compliance                               67
sustainable planning and management          Index.                                                              5.3 Community Development                                       69
of key infrastructure and resources.                                                                             5.4 Conclusion                                                  73
Healthcare Technology provides niche         Visit us at www.boustead.sg.
                                                                                                                 SECTION 6 – OTHER INFORMATION
                                                                                                                 GRI Content Index                                               74
                                                                                                                 Acknowledgements                                                80
REPORT 2019 A Corporate Legacy Serving Multiple Generations - Boustead Singapore Limited Sustainability Report 2019
02      BOUSTEAD SINGAPORE LIMITED LONGEVITY REPORT 2019

                                               LONGEVITY REPORTING                    PURSUING BUSINESS WITH               DEVELOPING OUR BEST ASSET –              CONSERVING OUR COLLECTIVE
           INTRODUCTION                                                                                                                                                                                         OTHER INFORMATION
                                                   FRAMEWORK                            A GREATER PURPOSE                    BOUSTEAD MEN & WOMEN                     HOME – PLANET EARTH

DEFINING LONGEVITY

longevity
1. Long life.
2. Long existence or service.
- Lexico Powered by Oxford1                                           14 years                                                                                                                               191 years
                                                                      Average lifespan of S&P 500 corporation2                                                                                               Boustead Group’s age
                                                                                                                                                                                                             today and counting

Welcome to Boustead Singapore                                life but not only that, a long life in service.              we ensure the longevity of our business
Limited’s FY2019 Longevity Report.                           We celebrate 191 years of progress                           and the wider ecosystem that we are
                                                             and multi-generational success,                              interconnected with. We also share how
This year, as Singapore celebrates                           extending an unrivalled milestone in                         this translates to delivering sustainable
its historic Bicentennial, Boustead                          Singapore’s corporate history as we                          value and progress to key stakeholders,
continues on our journey to build                            maintain our longstanding position                           along with the communities that we
businesses that transcend generations                        as Singapore’s oldest continuous                             reside in and our collective home –
and deliver progress.                                        business – a practical and symbolic                          Planet Earth. Our performance, policies
                                                             reflection of longevity. We are in the                       and practices on material economic,
Even as sustainability reporting takes                       business of building businesses that                         environmental, social and governance
centre stage among the world’s latest                        can transcend generations and provide                        topics are explained. As a responsible
corporate reporting initiatives, we feel                     a positive impact on future generations,                     global corporate citizen, we are highly
that at our age, the term ‘Longevity                         just as they have benefitted multiple                        reflective about how our actions ‘ripple
Reporting’ is more all encompassing and                      generations over the past two centuries.                     upon the pond of life’.
relevant than ‘Sustainability Reporting’.
                                                             As you read this report, we hope that you
As a corporation, we have enjoyed a long                     gain an in-depth understanding of how
1.   “Definition of Longevity in English.” Lexico.com, Dictionary.com and Oxford University Press, www.lexico.com/en/definition/longevity. Accessed 18 July 2019.
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 18 July 2019.
REPORT 2019 A Corporate Legacy Serving Multiple Generations - Boustead Singapore Limited Sustainability Report 2019
03    BOUSTEAD SINGAPORE LIMITED LONGEVITY REPORT 2019

                                      LONGEVITY REPORTING         PURSUING BUSINESS WITH       DEVELOPING OUR BEST ASSET –      CONSERVING OUR COLLECTIVE
         INTRODUCTION                                                                                                                                              OTHER INFORMATION
                                          FRAMEWORK                 A GREATER PURPOSE            BOUSTEAD MEN & WOMEN             HOME – PLANET EARTH

CHAIRMAN’S LONGEVITY MESSAGE
                                                are intertwined, with the common goals of     We will be actively working on capital               diseases, be able to get up and walk
                                                engendering longevity and progress, and       deployment for various proposed strategic            again.
                                                constantly seeking competitive positioning    growth programmes, all of which will help
                                                in a hyper competitive world. Passing         us contribute to achieving most – if not         Staying true to our mission, vision,
                                                through the passages of change and time       all – of the United Nations’ 17 Sustainable      steadfast corporate values and the focus
                                                together, both nation and corporation         Development Goals and underpin our long-         on pursuing business with a greater
                                                have lived through major upheavals –          term performance.                                purpose, will help us to ensure long-term
                                                World War I, the Great Depression, World                                                       progress for stakeholders by knocking
                                                War II, Malaysia’s and then Singapore’s       Our focus will be on areas that promote          down barriers, opening our minds to new
                                                independence, the Asian Financial Crisis,     greater effectiveness and progress in big        ideas and promoting longevity to transcend
                                                Dotcom Bubble and Global Financial            data, Internet of Things, smart nations,         generations.
                                                Crisis. Longevity and progress have been      smart cities, smart communities and
                                                achieved, although these should never be      solve the pain points of society including       As you read this report, we hope that you
                                                taken for granted.                            improving the quality of life for all walks      gain an in-depth understanding of how
Dear Fellow Stakeholders,                                                                     of life. We will continue to invest in           we ensure the longevity of our business
                                                Connected to this, I highlighted in our       transformative technologies across:              and the wider ecosystem that that we are
It gives me great pleasure to present to you    inaugural Longevity Report how longevity      •     Boustead Projects’ smart eco-              interconnected with. We also share how
the Boustead FY2019 Longevity Report            is a combination of key ingredients                 sustainable business park and              this translates to delivering sustainable
for the financial year ended 31 March           that has allowed us to thrive in a totally          industrial real estate solutions that      value and progress to key stakeholders,
2019.                                           interconnected and interdependent                   support Singapore’s Super Low              along with the communities that we reside
                                                ecosystem of physical, social and symbolic          Energy framework (such as for              in and our collective home – Planet Earth.
This year, our heartiest congratulations go     relationships that stretch over time. Our           Surbana Jurong Campus) to satisfying       Our performance, policies and practices on
out to our home nation, Singapore on the        leadership and teams are not only experts           the world’s insatiable appetite for data   material economic, environmental, social
celebration of its historic Bicentennial, 200   in their own respective industries but also         (our partnership with DSCO);               and governance topics are explained.
years after Sir Stamford Raffles and Major      have a keen understanding of cultural         •     Our Geospatial Technology                  Our focus is not just on the end product
General William Farquhar first stepped          norms, history, the interconnectedness              Division’s smart mapping capabilities      but every part of the journey that takes us
onto our shores in 1819. Only nine              and interdependence of ecosystems                   underpinning everything from               there, the very ‘fabric of life’.
short years later in 1828, our company’s        across relationships, space and time,               big data location analytics to
founder, Mr Edward Boustead chose to            and the megatrends that are present                 smart cities and most importantly,         Thank you for entrusting us with the role
establish Boustead in Singapore, thanks         before us and will drive our future. As we          helping clients to gain invaluable         of being a responsible global corporate
to Sir Raffles and General Farquhar’s early     sense and adapt to shifts in the global             insights on interconnectedness and         citizen, one which we hope to honour
initiatives to turn Singapore’s strategic       landscape, our embrace of change derives            interdependence of ecosystems, given       for many more centuries to come. This
location into the gateway between China,        progress which ultimately determines                that the human brain processes visual      journey is an ultramarathon, one which we
India and South East Asia.                      our fate as a responsible global corporate          information 60,000 times faster than       will continue running and hope to have you
                                                citizen. We are in the business of building         alphanumeric data; and                     join, even if only for part of the way. Have
 ‘Transcending Generations’ is a phrase         businesses that can transcend generations     •     Our Healthcare Technology Division’s       an enjoyable and insightful read.
that aptly captures the successful              and provide a positive impact on future             aim to address age-related chronic
transformation of both Singapore as a           generations, just as they have benefitted           diseases and mobility issues, helping
nation and Boustead as a corporation over       multiple generations over the past two              ageing populations to age gracefully       Wong Fong Fui
these two centuries. Our two heritages          centuries.                                          and when afflicted by chronic              Chairman & Group Chief Executive Officer
REPORT 2019 A Corporate Legacy Serving Multiple Generations - Boustead Singapore Limited Sustainability Report 2019
04     BOUSTEAD SINGAPORE LIMITED LONGEVITY REPORT 2019

                                             LONGEVITY REPORTING                          PURSUING BUSINESS WITH                          DEVELOPING OUR BEST ASSET –                          CONSERVING OUR COLLECTIVE
          INTRODUCTION                                                                                                                                                                                                                         OTHER INFORMATION
                                                 FRAMEWORK                                  A GREATER PURPOSE                               BOUSTEAD MEN & WOMEN                                 HOME – PLANET EARTH

 1.1 MISSION, VISION & BUSINESS                                                                                                                                                                                        1.1.4 Corporate Values
 MODEL
                                                                                                                                                                                                                       a) Striving for progress
 1.1.1 Mission                                                                                                                                                                                                         We want to be distinguished for:
 To utilise our vast experience and expertise                                                                                                                                                                          • Our industry leadership, client-focus and
 accumulated since 1828 to provide                                                                                                                                                                                        strong suite of smart eco-sustainable products,
 progressive smart eco-sustainable solutions                                                                                                                                                                              services and solutions;
 to communities around the world.                                                                                                                                                                                      • Our professionalism, financial performance,
                                                                                                                                                                                                                          proven business and management model, and
                                                                                                   ld                                         Repu
                                                                                               r                  mation                      prov table
                                                                                                                                                                                                                          successful growth strategies; and
 1.1.2 Vision
                                                                                            wo              n sfor                                en              Be                                                   • Our contribution to economic, environmental
 To be the premier global service provider of
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                                                                                                           a                                          tra bra        a
 niche smart eco-sustainable infrastructure-                                                         ca                                                  c k nd                                                           and social progress in global communities.
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 We owe our success to our experienced and
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 versatile teams who possess in-depth domain
                                                                               Business                                                                                                                                progress to key stakeholders.

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                                                                                                                                                                                                                       c) Keeping an open mind

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                                                                                                                                                                                                                       We endeavour to push the boundaries of
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 technology value chains.
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 As a knowledge-driven corporation, we employ
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 geographic markets covering 87 countries and                                                                          y                              Qu                                                               We believe in acting honourably in the way that
                                                                                                                                                                                                                       we conduct business. We are committed to
 territories globally.
                                                                                                                                                                                                                       building a climate of fairness, honesty, trust and
                                                                                      Ri

                                                                                                                                                     d                                                                 sincerity with all key stakeholders.
 At our very core is our mission and vision, fortified                                        an

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 by our fundamental principles and strong human-                                                d                                 Strategies     g
                                                                                                     re                                       rin xp                                                                   e) Upholding excellence
 centric corporate values: progress, respect, open                                                     wa                                  ee nt e
                                                                                                           rd                          i n                                                                             We aim to deliver excellence in everything we do.
 mindedness, conduct, excellence, service and                                                                  bala                 Eng eme
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 safety (PROCESS). Over time, we established
                                                                                                     De                             a                                                                                  f) Servicing our clients
 our reputation for integrity, quality, reliability
                                                                                                        live                                     ss
 and trust, which together with our corporate                                                                r su                        r o gre                                                                       We aim to gain an in-depth understanding of
                                                                                                                  staina               p                                                                               our clients’ needs so that we are able to deliver
 values and business drivers, help us to achieve                                                                         ble value and                                                                                 progressive answers to them in the fast-paced
 our long-term objectives to be adaptable and
 relevant, deliver sustainable value and progress                                                                                                                                                                      global business environment.
 to key stakeholders, and make a positive impact
 economically, environmentally and socially on                                                                                                                                                                         g) Prioritising safety
 the world. We are a responsible global corporate                                                                                                                                                                      We believe in making safety an inherent part
 citizen with a greater purpose in mind.                                                                                                                                                                               of our products, services, solutions and the
                                                                                                                                                                                                                       environment we operate in.
REPORT 2019 A Corporate Legacy Serving Multiple Generations - Boustead Singapore Limited Sustainability Report 2019
05    BOUSTEAD SINGAPORE LIMITED LONGEVITY REPORT 2019

                                                                    LONGEVITY REPORTING                                          PURSUING BUSINESS WITH          DEVELOPING OUR BEST ASSET –           CONSERVING OUR COLLECTIVE
           INTRODUCTION                                                                                                                                                                                                                         OTHER INFORMATION
                                                                        FRAMEWORK                                                  A GREATER PURPOSE               BOUSTEAD MEN & WOMEN                  HOME – PLANET EARTH

 1.1.5 Achieving Our Mission, Vision &
                                                                                                           Business Platforms
 Long-Term Objectives
 In order to achieve our mission, vision and long-                                                        Positioning and presence                              Performance                                             People
 term objectives, we rely on our business drivers:                                                        • Successful spotting and positioning on global       • Extensive track record                                • World-class teams
 business platforms, strategies and business                                                                megatrends                                          • Delivery of world-class projects                      • Empowering culture
 model value chain.                                                                                       • Global view with local market knowledge             • Solutions in energy, water, real estate, geospatial   • Fair and non-discriminatory employment
                                                                                                          • Focus on development in high growth markets           technology and healthcare                               practices
                                                                                                          • Broad coverage of industries                        • Commitments to quality and EHS performance            • Ability to attract, develop, motivate and retain
                                                                                                          • Infrastructure-related projects in 87 countries                                                               talent
                                                                                                            and territories                                                                                             • Industry technical experts
                                                                                                          • More than 13,000 clients globally including
                                                                                                            world’s best corporations

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                                                  va                                                      Reputable brand and proven track record               Partnerships, acquisitions and investments              Engineering and management expertise
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                                                                                                          With a strong brand heritage, we have established     Our continuous search for strategic partnerships,       Our teams offer in-depth domain expertise and
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                               es ti                                                                      reputable positions in a broad range of industries,   catalytic acquisitions and investments is aimed at      deliver value engineering, helping clients to
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         Bus                                                                                              bringing together in-depth domain expertise and       accelerating our business expansion, enhancing          achieve highly effective and cost competitive
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            for s                                                                                         proven technologies in over 1,300 projects in         capabilities, broadening revenue streams and            solutions that raise efficiency and sustainability
                                                                 De

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                                                                                                          87 countries and territories.                         driving sustainable long-term growth.                   while eliminating wastage.
                                                Eng and

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                                                                                                          Risk and reward balance                               Quality and EHS focus                                   Technological transformation
                                                                            tainable value and pr
                                                       ring
                       Strategies

                                                                                                          We are vigilant in ensuring that our strategies to    We strive to achieve the highest standards in           We aim to incorporate transformative
                                                          e

Business
                                                            t

 drivers                                                                                                  enhance stakeholder value are well-supported by       quality and workplace EHS, for the wellbeing and        technologies into our products, services and
                                                                                                          sound risk management.                                protection of every individual. We are a leader         solutions, and be a market leader in the world of
                                               bala ward
                                                   nce
                                              and isk

                                                                                                                                                                and active participant in the bizSAFE Programme         Industry 4.0.
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             ss                                                                                                                                                 initiated by the Workplace Safety & Health Council.
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                      Make a
                                                                                                                                                    excellence through
                                                                                                           Design smart eco-                        undertaking design,                                                             Generate revenue, profit and
                                                                                                                                                    process, detailed and                  Deliver efficiency, performance
                                                                                                           sustainable products,                                                                                                    cash flow in a sustainable
                                                                                                                                                    value engineering, project             and value to clients
                                                                                                           services and solutions                                                                                                   manner
                                                                                                                                                    management, quality and
                                                                                                                                                    EHS supervision, installation,
                                                                                                                                                    commissioning and training

                                                                                                           Be adaptable and relevant, deliver sustainable value and progress, and make a positive impact on the world
REPORT 2019 A Corporate Legacy Serving Multiple Generations - Boustead Singapore Limited Sustainability Report 2019
06   BOUSTEAD SINGAPORE LIMITED LONGEVITY REPORT 2019

                                   LONGEVITY REPORTING        PURSUING BUSINESS WITH   DEVELOPING OUR BEST ASSET –   CONSERVING OUR COLLECTIVE
        INTRODUCTION                                                                                                                                      OTHER INFORMATION
                                       FRAMEWORK                A GREATER PURPOSE        BOUSTEAD MEN & WOMEN          HOME – PLANET EARTH

1.2 CORPORATE STEWARDSHIP &
STRATEGIES                                    Longevity Reporting Structure

1.2.1 Corporate Stewardship for
Longevity
Our Board of Directors is responsible for                                                           Board of Directors
Boustead’s corporate stewardship and
strategies. In line with this, our Board
also oversees performance, policies and
practices in relation to environmental,
social and governance (“ESG”) topics.                                                                    Group                                           Group
                                                                                                   Longevity Reporting                               Advisory Panel
                                                                                                    Champion & Lead                                   (Group HQ)
A Group Longevity Reporting Champion
& Lead reports directly to our Board. The
Group Longevity Reporting Champion
– supported by a Group Advisory
Panel – oversees appointed Subsidiary                                                                  Subsidiary                                      Subsidiary
Longevity Reporting Champions who are                                                              Longevity Reporting                               Advisory Panel
                                                                                                      Champions                                    (Subsidiary Heads)
responsible for implementing the Group
Longevity Reporting Framework (with
material references to Global Reporting
Initiative Standards) and reporting
subsidiary level data on material ESG                         Subsidiary                               Subsidiary                                     Subsidiary
topics on a quarterly basis.                             Business Development                           Finance                                    Human Resource
                                                          Longevity Reporting                      Longevity Reporting                            Longevity Reporting
1.2.2 Corporate Governance
As part of our Board’s responsibility
for our corporate stewardship and                                                                                                                      Subsidiary
strategies, our Board is committed to                         Subsidiary                               Subsidiary
                                                                                                                                                 Quality, Environmental,
                                                                Legal                                  Operations
maintaining a high standard of corporate                                                                                                           Health and Safety
                                                          Longevity Reporting                      Longevity Reporting
governance and transparency within our                                                                                                            Longevity Reporting
Group, in line with the principles set out
in the Code of Corporate Governance
2012 (“CG Code”). This establishes and
maintains our Group’s ethical and legal
environment to preserve the interests of
shareholders and all stakeholders.
REPORT 2019 A Corporate Legacy Serving Multiple Generations - Boustead Singapore Limited Sustainability Report 2019
07       BOUSTEAD SINGAPORE LIMITED LONGEVITY REPORT 2019

                                             LONGEVITY REPORTING           PURSUING BUSINESS WITH            DEVELOPING OUR BEST ASSET –         CONSERVING OUR COLLECTIVE
            INTRODUCTION                                                                                                                                                           OTHER INFORMATION
                                                 FRAMEWORK                   A GREATER PURPOSE                 BOUSTEAD MEN & WOMEN                HOME – PLANET EARTH

Our Board is made up of respected                      2. Wong Yu Loon                                       More information on the individual                 is referenced in this report, rather than
business leaders and individuals with                     Executive Director & Deputy Group                  profiles of our directors is available             completely repeated.
decades of commercial experience                          Chief Executive Officer                            within the Boustead FY2019 Annual
and diverse backgrounds. Half of                                                                             Report from pages 54 to 55 and 62 to 84.           1.2.3 Board Longevity Statement
our Board is made up of independent                    3. Loh Kai Keong                                                                                         Our Board is committed to ensuring
directors, with three Board Committees                    Non-Executive Director & Consultant                Our latest Corporate Governance Report             our longevity and longstanding position
each headed by an independent non-                                                                           (“CG Report”) outlines our corporate               as Singapore’s oldest continuous
executive director.                                    4. Dr Tan Khee Giap                                   governance practices with specific                 business. This includes reviewing our
                                                          Independent Non-Executive Director                 reference made to the principles and               performance, policies and practices in
Our Board currently comprises:                                                                               guidelines of the CG Code, which forms             relation to material ESG topics.
                                                       5. Chong Ngien Cheong                                 part of our continuing obligations under
1. Wong Fong Fui                                          Independent Non-Executive Director                 the SGX Mainboard Listing Manual.                  Our Board is assisted in this by our
   Chairman & Group Chief Executive                                                                          Our latest CG Report is available in its           robust existing systems including audit,
   Officer                                             6. Godfrey Ernest Scotchbrook                         full text within the Boustead FY2019               compliance, enterprise risk, financial,
                                                          Independent Non-Executive Director                 Annual Report from pages 66 to 84 and              environmental, health and safety, human
                                                                                                                                                                resource, information technology and
                                                                                                                                                                operational management systems,
Board & Board Committee Oversight Responsibilities                                                                                                              along with the implementation of our
                                                                        3 2 1 4 5 6                                                                             Longevity Reporting Framework. Our
                                                                                                                                                                Board assesses opportunities and
                                                                          Board                                                                                 risks presented by material ESG topics.
                                                                                                                                                                This helps our Board to determine
•    Corporate governance                              • Annual operating and capital budgets            •   Annual reports, accounts and financial reporting
•    Ethics, values and standards                      • Business affairs and management team            •   Shareholders’ meetings
                                                                                                                                                                the appropriate strategies, policies
•    Sustainability issues                               performance                                     •   Dividend payments and distributions                and practices that will provide us with
•    Risk appetite and internal controls               • Financial performance                           •   Material acquisition and disposal of assets        the adaptability and flexibility to seize
•    Corporate strategies and policies                                                                                                                          opportunities to deliver sustainable
                                                                                                                                                                value and progress to key stakeholders,
                       3 4 5 6                                             1 5 4                                                  3 6 5                         while being well-supported by sound
                                                                                                                                                                risk management. Our risk appetite
             Audit & Risk Committee                                Nominating Committee                           Remuneration Committee                        considers material ESG topics that may
                                                                                                                                                                affect reputational risk, ethical and moral
• Internal controls                                    • Appointments and reappointments of Board        • Remuneration policies and packages of Board
• External and internal audit plans and results          Directors, Board Committee members and senior     Directors and senior management                      considerations, and have significant
• External and internal audit functions                  management                                                                                             financial and non-financial implications.
• Enterprise risk management                           • Board and senior management succession
• Interested person transactions and conflict of       • Board performance
  interest                                             • Board professional development and training
• Internal investigations and whistle-blowing            programmes
• Annual reports, accounts and financial reporting     • Board independence and conflict of interest

    Independent director    Non-independent director
REPORT 2019 A Corporate Legacy Serving Multiple Generations - Boustead Singapore Limited Sustainability Report 2019
08   BOUSTEAD SINGAPORE LIMITED LONGEVITY REPORT 2019

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                                    FRAMEWORK                A GREATER PURPOSE        BOUSTEAD MEN & WOMEN          HOME – PLANET EARTH

1.3 FY2019 LONGEVITY
PERFORMANCE SUMMARY

                                                                                                                   Cumulative                  Estimated
                                                                                                                      Capacity                Cumulative
                                                                                                                      Attained                     Annual
                                                                 Unit                    Attained                         Prior                  Capacity
                                                      of Measurement                   in FY2019                    to FY2019                  or Savings     Page
Smart Eco-Sustainable Solutions
Performance
Waste heat recovery units’ estimated                             GWh                         498.4                      32,892.9                   33,390         29
annual energy recovery
Water and wastewater treatment plants’                    million cu m                        42.0                         545.1                     587          29
estimated annual treatment and recycling
Green Mark Platinum developments’                                GWh                           1.7                          35.4                       37         30
estimated annual energy savings
Green Mark Platinum developments’                                cu m                        4,390                       82,715                    87,000         30
estimated annual water savings
09   BOUSTEAD SINGAPORE LIMITED LONGEVITY REPORT 2019

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1.3 FY2019 LONGEVITY
PERFORMANCE SUMMARY (cont’d)

                                                                                                                                    2018
                                                                                   FY2018                 FY2019               Comparable                2018
                                                        Unit of                     Group                  Group                Industries            National
                                                  Measurement                 Performance            Performance                  Average             Average       Page
Operational Performance
Team Development Programme
Net hiring growth rate                                % of average                     +4.9                    +12.5                      3.9               1.2         53
                                                       headcount
Monthly hiring rate                                   % of average                      2.4                       3.2                     2.5               2.3         53
                                                       headcount
Monthly turnover rate                                 % of average                      2.0                       2.2                     1.7               1.8         57
                                                       headcount
Performance appraisals rate                           % of year-end                     90                        80                     n.a.               n.a.        54
                                                        headcount
Average annual training hours per team                   # of hours                     9.2                     10.6                     n.a.               n.a.        55
member
Average annual medical leave taken per                    # of days                     4.2                       4.7                    n.a.               n.a.        56
team member
Succession planning                           % of key managing                         60                        82                     n.a.               n.a.        56
                                                    directors and
                                                   chief executive
                                              officers covered by
                                                named deputy or
                                                        successor
10     BOUSTEAD SINGAPORE LIMITED LONGEVITY REPORT 2019

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          INTRODUCTION                                                                                                                                     OTHER INFORMATION
                                       FRAMEWORK                 A GREATER PURPOSE             BOUSTEAD MEN & WOMEN              HOME – PLANET EARTH

1.3 FY2019 LONGEVITY
PERFORMANCE SUMMARY (cont’d)

                                                                                                                                           2018
                                                                                    FY2018                     FY2019                 Comparable                2018
                                                           Unit of                   Group                      Group                  Industries            National
                                                     Measurement               Performance                Performance                    Average             Average       Page
Operational Performance
Workplace Safety and Health
Performance
Accident frequency rate among team and               # of workplace                         1.2                       0.7                        1.0               1.6         59
suppliers                                       accidents per million
                                                         man-hours
Accident severity rate among team and           # of lost man days to                       17                        12                         48                 66         59
suppliers                                       workplace accidents
                                               per million man-hours
Occupational disease incidence rate                # of occupational                         0                             0                   10.6               16.4         59
among team and suppliers                          disease cases per
                                                 100,000 employees
Environmental Stewardship
Average annual energy intensity:
     Design-and-build projects for Singapore        kWh per sq m of                       60.6                     186.5                        n.a.               n.a.        65
     only                                          constructed GFA
                                                     MJ per sq m of                      218.1                     671.5                        n.a.               n.a.        65
                                                   constructed GFA
     Administrative workplaces                    kWh per employee                      2,202.1                  2,523.0                        n.a.               n.a.        66
                                                   MJ per employee                      7,927.2                  9,082.5                        n.a.               n.a.        66
     Edward Boustead Centre                    kWh per sq m of GFA                       154.5                     146.1                        268               255          67
Average annual water intensity:
     Design-and-build projects for Singapore       cu m per sq m of                         0.3                       2.1                       n.a.               n.a.        65
     only                                          constructed GFA
     Administrative workplaces                   cu m per employee                        15.6                      15.3                        n.a.               n.a.        66
     Edward Boustead Centre                    cu m per sq m of GFA                         1.1                       1.2                        1.1               n.a.        67
11     BOUSTEAD SINGAPORE LIMITED LONGEVITY REPORT 2019

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1.3 FY2019 LONGEVITY
PERFORMANCE SUMMARY (cont’d)
                                                                                                                                      2019
                                                                                    FY2018               FY2019                  Comparable                2019
                                                         Unit of                     Group                Group                   Industries            National
                                                   Measurement                 Performance          Performance                     Average             Average       Page
Operational Performance
Legal Compliance

 Significant fines, non-monetary sanctions
 and cases brought against the Group
 through dispute resolution mechanisms
 in:
     Customer privacy                                  # of incidents                    0                            0                    n.a.               n.a.        49
     Economic areas                                    # of incidents                    0                            0                    n.a.               n.a.        69
     Environmental areas                               # of incidents                    0                            1                    n.a.               n.a.        69
     Social areas                                      # of incidents                    0                            1                    n.a.               n.a.        69
12   BOUSTEAD SINGAPORE LIMITED LONGEVITY REPORT 2019

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SECTION 2 – LONGEVITY REPORTING FRAMEWORK
2.1 ABOUT THIS REPORT                        2.1.2 Report Content                        2.1.3 Report Boundaries
                                             Content in this report was defined by       This report covers Boustead and our            Boustead Singapore Limited
2.1.1 Report Period & Scope                  identifying and prioritising our material   major subsidiaries globally including our      Company Registration Number:
This is the Boustead FY2019 Longevity        ESG topics through an ESG materiality       global headquarters and subsidiaries           197501036K
Report, a publication dedicated to           assessment process.                         within four divisions – Energy-Related
providing a more holistic review of our                                                  Engineering, Real Estate Solutions,            82 Ubi Avenue 4
performance, especially covering non-        This report has been prepared with          Geospatial Technology and Healthcare           #08-01 Edward Boustead Centre
financial areas such as environmental,       material references to Global Reporting     Technology.                                    Singapore 408832
social and governance (“ESG”) topics         Initiative (“GRI”) Standards: Core, with                                                   Main +65 6747 0016
that are material to our business and key    at least two years of comparative data      For a complete list of our significant         Fax +65 6741 8689
stakeholders.                                as required by GRI Standards: Core.         subsidiaries as at 31 March 2019, please
                                             The respective GRI Standards that have      refer to the Boustead FY2019 Annual            www.boustead.sg
This report contains at least two full-      been applied are available in the GRI       Report from pages 155 to 157.
years of data on material ESG topics and     Content Index listed on pages 74 to
is aligned with our financial reporting      79. References have also been made          We have not sought external assurance
period from 1 April 2018 to 31 March         to the United Nations Sustainable           for this report.
2019 (“FY2019”). Our previous report –       Development Goals.
inaugural report – was aligned with our                                                  2.1.4 Accessibility
financial reporting period from 1 April      This report fully complies with the         In line with our commitment to
2017 to 31 March 2018 (“FY2018”) and         requirements of the SGX-ST Listing          environmental sustainability, we will not
issued on 22 November 2018.                  Rules Practice Note 7.6 Sustainability      be printing any hard copies of this report.
                                             Reporting Guide.                            This report is available online at www.
This report should be read in                                                            boustead.sg/investor_centre.
conjunction with the Boustead FY2019         Where the relevant material ESG
Annual Report, Boustead Projects             topics have already been discussed in       The Longevity Report is an annual
FY2019 Annual Report and Boustead            detail in the Boustead FY2019 Annual        publication.
Projects FY2019 Longevity Report for         Report, we shall make reference to such
context. It should also be noted that        discussions without directly repeating      2.1.5 Feedback Channel
the governance topic has not been            them in this report.                        We welcome comments and feedback
fully discussed in this report. Our                                                      from our stakeholders in relation to this
latest Corporate Governance Report           Data is presented using the International   report and our performance, policies and
is available in its full text within the     System of Units where possible              practices discussed in this report. If you
Boustead FY2019 Annual Report from           or standard international units of          have any comments or feedback, please
pages 66 to 84.                              measurement, with conversion factors        e-mail ir.team@boustead.sg.
                                             mentioned in relevant sections.
The term ‘Longevity’ has been used           Monetary values are presented in our
in direct replacement of the term            functional reporting currency, Singapore
‘Sustainability’.                            dollars, unless otherwise indicated.
13    BOUSTEAD SINGAPORE LIMITED LONGEVITY REPORT 2019

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2.2 ENVIRONMENTAL, SOCIAL                           socially on the world. The views of both               2.2.1 Key Stakeholder Engagement                        have been identified, and highlighted
& GOVERNANCE MATERIALITY                            external and internal stakeholders are                 We define key stakeholders as being                     and prioritised material ESG topics of
ASSESSMENT                                          taken into account when determining                    groups that our business may have                       relevance to these key stakeholders.
Boustead conducts an environmental,                 ESG materiality.                                       a significant impact on or vice versa,                  Where materiality assessment
social and governance (“ESG”)                                                                              and who have a vested interest in the                   workshops could not be conducted
materiality assessment process in order             To ensure that material ESG topics                     way that we conduct business. After a                   face-to-face, they were conducted by
to determine material ESG topics that               remain up-to-date, we periodically review              thorough review, nine key stakeholders                  teleconferencing and videoconferencing
should be included in this report. ESG              current and emerging megatrends,                       were identified as shown here.                          methods. Following completion of the
topics are considered to be material if             changes in the economic, political,                                                                            materiality assessment workshops, we
they may have a significant impact on               regulatory and ESG landscape in the                    In FY2018, we conducted materiality                     were able to consolidate and validate
our business and ability to achieve our             geographic markets and industry                        assessment workshops with our                           12 material ESG topics for inclusion in
long-term objectives to be adaptable and            clusters that we operate in, along with                key team members including senior                       this report. Community development
relevant, deliver sustainable value and             the views of key stakeholders, and                     management and department heads at                      was not material but reported due
progress, and make a positive impact                update these into our assessment                       seven major subsidiaries, who acted as                  to its significance to the business
economically, environmentally and                   process.                                               proxies for the nine key stakeholders that              environment.

Key Stakeholders, Significance & Key Conversations
 Key Stakeholders                     Significance                                                                                   Key Conversations
Board and Team                                    Boustead Men and Women are our best asset. Attracting, developing,                 •   Economic performance
• Board of Directors                              managing and retaining our team is a core priority given our knowledge-            •   Business model, strategy and outlook
• Managers                                        driven business model, which generally focuses on high-value added                 •   Smart eco-sustainable products and services (together “solutions”)
• Executives                                      activities across the engineering and technology value chains. These               •   Corporate governance, policies and practices
• Non-executives                                  activities include design, engineering, project management and the                 •   Legal and regulatory compliance
                                                  application of proprietary domain expertise and extend over a global               •   Talent acquisition, development, management and retention
                                                  network of key stakeholder relationships. Creating the ideal environment for       •   Succession planning
                                                  our team to thrive in will eventually translate to delivery of sustainable value   •   Quality, environmental, health and safety (“QEHS”)
                                                  and progress to key stakeholders.                                                  •   Data and information security
                                                                                                                                     •   Responsible communications
Clients                                           We aim to gain an in-depth understanding of clients’ needs so that we              •   Solutions
• Direct clients                                  are able to deliver progressive answers to them in the fast-paced global           •   Legal and regulatory compliance
• End-user clients (clients of clients)           business environment. Collaborating with clients allows us to push the             •   QEHS
                                                  boundaries of paradigms, research and technologies to help clients improve         •   Data and information security
                                                  business performance and sustainability.
Strategic Partners                                Working with like-minded and reputable partners globally has allowed us to         •   Economic performance
• Product principals                              pool our complementary capabilities and expertise to widen our offerings           •   Business model, strategy and outlook
• Associated companies                            and concurrently take on larger-scale projects, while simultaneously               •   Solutions
• Joint ventures                                  reducing commercial, operational and ESG risks related to a particular             •   Corporate governance, policies and practices
• Co-investment partners                          geographic market or industry cluster. Our search and tie-ups with product         •   Legal and regulatory compliance
                                                  principals that offer proven transformative technologies also enable us to         •   QEHS
                                                  ensure that our solutions are relevant.                                            •   Data and information security
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Key Stakeholders, Significance & Key Conversations (cont'd)
Key Stakeholders                                 Significance                                                                      Key Conversations
Suppliers                                        We have a global network of major suppliers that supports the                     •   Economic performance
• Consultants                                    manufacturing and fabrication of solutions according to our designs. Major        •   Solutions
• Subcontractors                                 suppliers are selected based on pre-qualification assessments that include        •   Legal and regulatory compliance
• Suppliers                                      QEHS and other ESG factors, along with price.                                     •   QEHS
                                                                                                                                   •   Data and information security
Lenders                                          We have several principal bankers and lenders who support our business            •   Economic performance
• Banks                                          through the provision of bank loans and trade finance.                            •   Business model, strategy and outlook
• Financial institutions                                                                                                           •   Corporate governance, policies and practices
• Trustees                                                                                                                         •   Legal and regulatory compliance
Investors                                        As owners, shareholders share in our mission, vision, corporate values and        •   Economic performance
• Institutional investors                        goal to be a responsible global corporate citizen with a greater purpose          •   Business model, strategy and outlook
• Research analysts                              in mind. Ultimately, profit-driven motivations need to be aligned with our        •   Solutions
• Retail investors                               strong human-centric corporate values and allow us to deliver on our long-        •   Corporate governance, policies and practices
                                                 term objectives.                                                                  •   Talent acquisition, development, management and retention
                                                                                                                                   •   Succession planning
                                                                                                                                   •   Legal and regulatory compliance
                                                                                                                                   •   QEHS
                                                                                                                                   •   Data and information security
                                                                                                                                   •   Open and transparent communications
Media                                            The media continues to share our corporate story with the world, from             •   Economic performance
• Mainstream journalists                         economic performance to milestone achievements. As unofficial historians          •   Business model, strategy and outlook
• Online social media influencers                of our performance, the media helps us to stay on track.                          •   Solutions
                                                                                                                                   •   Legal and regulatory compliance
                                                                                                                                   •   QEHS
                                                                                                                                   •   Fact-based and timely communications
Governments and regulators                       Apart from being clients in certain divisions, governments and regulators         •   Corporate governance, policies and practices
• National government agencies                   provide us with our business licences to operate.                                 •   Legal and regulatory compliance
• State government agencies                                                                                                        •   Corporate taxes and relevant taxes
• Municipal government agencies                                                                                                    •   Talent acquisition, development, management and retention
• Regulators                                                                                                                       •   QEHS
                                                                                                                                   •   Data and information security
                                                                                                                                   •   Proactive communications
Local Communities                                Given our global business, we understand that we have an impact on                •   Legal and regulatory compliance
• Citizens                                       communities around the world, who may be direct beneficiaries of the              •   Solutions
• Communities surrounding projects               gainful employment we provide, community development programmes or                •   QEHS
• Beneficiaries of philanthropic contributions   indirect beneficiaries of projects undertaken for end-user clients that benefit   •   Interactive communications
• Indirect beneficiaries of projects             those communities. Local communities provide us with our social licences
  undertaken for end-user clients                to operate.
15   BOUSTEAD SINGAPORE LIMITED LONGEVITY REPORT 2019

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2.2.2 Material ESG Topics
                                                                                           Materiality Assessment Process

 Stage 1                                                       Stage 2                                        Stage 3                                            Stage 4
 Identification of key stakeholders                            Identification of potential ESG topics         Prioritisation of material ESG topics              Consolidation and validation of
 by our headquarters and major                                 by our headquarters and major                  by our headquarters and major                      material ESG topics for reporting
 subsidiaries                                                  subsidiaries                                   subsidiaries

2.2.3 Opportunities & Risks
We are vigilant in ensuring that our        Material ESG Topics Validated
strategies to enhance stakeholder           High
value are well-supported by sound risk
management. Our material ESG topics                                                                                                 Legend                       ESG Topics
                                                                                                                                      Material
present us with both opportunities                                                                                1 2 3 4             Not material but chosen    1 Business model, strategies and
(if we embrace the right approaches                                                                               5 6 7 8
                                                                                                                                      for reporting due to
                                                                                                                                      significance to business     outlook
to managing these ESG topics) and                                                                                                     environment
risks (if we neglect these ESG topics),                                                                           9 10 11 12                                     2 Corporate governance
                                            Importance to external stakeholders

which are supplemented by our robust
                                                                                                                                                                 3 Smart eco-sustainable solutions
existing systems and Enterprise Risk
Management Framework.                                                                                                                                            4 Quality and transformation
                                                                                                                                                                 5 Economic performance
                                                                                                                                                                 6 Business ethics
                                                                                                    13
                                                                                                                                                                 7 Data and information security
                                                                                                                                                                 8 Talent acquisition, development,
                                                                                                                                                                   management and retention
                                                                                                                                                                 9 Succession planning
                                                                                                                                                                 10 Health and safety
                                                                                                                                                                 11 Environment
                                                                                                                                                                 12 Legal and regulatory compliance
                                                                                                                                                                 13 Community development
                                                                                  Importance to internal stakeholders                 High
                                            Low
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Material ESG Topics Boundaries, Impact & Disclosures
Material ESG Topic                           Boundary and Impact                         GRI Standard Disclosures                     Addressed in this Report
Business model, strategies and outlook       • Most key stakeholders                     • General disclosures                        Section 1: Introduction
Corporate governance                         • Most key stakeholders                     • General disclosures                        Section 1: Introduction
Smart eco-sustainable solutions              • Most key stakeholders                     • GRI Standards not available                Section 3: Pursuing Business with a
                                                                                                                                                 Greater Purpose
Quality and transformation                   • Most key stakeholders                     • GRI Standards not available                Section 3: Pursuing Business with a
                                                                                                                                                 Greater Purpose
Economic performance                         • Most key stakeholders                     • Economic performance                       Section 3: Pursuing Business with a
                                                                                                                                                 Greater Purpose
Business ethics                              • Most key stakeholders                     • General disclosures                        Section 4: Developing Our Best Asset –
                                                                                         • Customer privacy                                      Boustead Men & Women
Data and information security                •   Board and team                          • Customer privacy                           Section 4: Developing Our Best Asset –
                                             •   Clients                                                                                         Boustead Men & Women
                                             •   Strategic partners
                                             •   Suppliers
                                             •   Investors
                                             •   Governments and regulators
Talent acquisition, development,             • Board and team                            • Employment                                 Section 4: Developing Our Best Asset –
management and retention                     • Investors                                 • Occupational health and safety                        Boustead Men & Women
                                             • Governments and regulators                • Training and education
Succession planning                          • Board and team                            • Employment                                 Section 4: Developing Our Best Asset –
                                             • Investors                                 • Training and education                                Boustead Men & Women
Health and safety                            • Most key stakeholders                     • Occupational health and safety             Section 4: Developing Our Best Asset –
                                                                                         • Socioeconomic compliance                              Boustead Men & Women
Environment                                  • Most key stakeholders                     • Energy                                     Section 5: Conserving Our Collective
                                                                                         • Water and effluents                                   Home – Planet Earth
                                                                                         • Environmental compliance
Legal and regulatory compliance              • Most key stakeholders                     • Environmental compliance                   Section 5: Conserving Our Collective
                                                                                         • Customer privacy                                      Home – Planet Earth
                                                                                         • Socioeconomic compliance
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In addition, on 1 January 2016, the
United Nations (“UN”) officially rolled
out 17 Sustainable Development
Goals (“SDGs”) of the 2030 Agenda
for Sustainable Development. The UN
SDGs universally apply to all countries
with the ultimate aim of mobilising
all stakeholders – governments, civil
societies, the private sector and
others – to collectively contribute to
ending poverty, fighting inequality and
tackling climate change through three
dimensions of sustainable development:
economic growth, social inclusion and
environmental protection.

We have summarised opportunities
and risks from material ESG topics
here, including how we can contribute
to achieving the UN SDGs through our
business and performance, policies and
practices in relation to material ESG
topics.

                                                Energy-Related Engineering      Real Estate Solutions        Geospatial Technology        Healthcare Technology
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Material ESG Topics Opportunities, Risks & United Nations Sustainable Development Goals
Material ESG             Opportunities                                                                   Risks                                                                         Supporting UN
Topic                                                                                                                                                                                  SDG
Business model,          • Enable adaptability, flexibility and capability to seize good opportunities   • Industry cycle recovery in global oil & gas ("O&G") industries may be       8, 11, 17
strategies and outlook     in timely manner                                                                derailed by current global trade war
                         • Generate reasonable free cash flow, sustainable value and progress for        • Industry cycle recovery in Singapore’s industrial real estate sector may
                           key stakeholders                                                                be derailed by property cooling measures and restrictions
                                                                                                         • Business model may be disrupted by disruptive technologies, loss of
                                                                                                           product distributorships, industry cycles and megatrends
Corporate governance, • Set business, compliance and ethical framework to enable us to                   • Under-compliance may create greater risks in all areas                      16
policies and practices  continue role as responsible global corporate citizen pursuing business          • Over-compliance may restrict adaptability, flexibility and unnecessarily
                        with greater purpose in mind                                                       tie up resources
Smart eco-sustainable    • Boost natural demand for solutions aligned with climate change and            • Demand may decline for specific solutions misaligned with climate      All
solutions                  ESG initiatives, particularly for waste heat recovery units, water and          change and ESG initiatives, particularly for equipment used by O&G
                           wastewater treatment plants, smart eco-sustainable business park                industries, non-eco-sustainable developments and wasteful construction
                           and industrial developments, geospatial technology and healthcare               methods
                           technology
Quality and              • Strengthen market leadership positions in respective industries             • Business model may be disrupted by disruptive technologies, loss of           All
transformation           • Gain competitive advantages through design, productivity and cost             product distributorships, industry cycles and megatrends
                           improvements                                                                • Market leadership positions and competitiveness may be eroded
                         • Widen offerings and solutions                                               • Sustainable value creation may be impeded with inability to uphold
                         • Help clients to successfully shift to Industry 4.0 transformation standards   quality and transformation
Economic                 • Provide capital to incubate and grow new                                      • Business model may be disrupted by disruptive technologies, loss of         8, 9
performance                and existing businesses                                                         product distributorships, industry cycles and megatrends
                         • Build trust with multiple generations of key stakeholders                     • Sustainable value creation may be impeded with loss of economic
                         • Generate reasonable free cash flow, sustainable value and progress for          performance
                           key stakeholders
Business ethics          • Build goodwill and trust with multiple generations of key stakeholders        • Unethical behaviour may undo goodwill and trust with multiple key           12, 16
                                                                                                           stakeholders
Data and information     • Build goodwill and trust with key stakeholders, especially clients,           • Cyber attacks, hacking and phishing strategies are more sophisticated       12, 16
security                   governments and regulators                                                      and may pose greater threats to even extremely secure IT networks
                         • Ensure data governance and integrity, particularly through deployment         • Data and information security breaches may result in significant
                           of integrated digital delivery, 7D building information modelling and           fines, losses of sensitive proprietary data and information, and affect
                           geospatial technology                                                           competitiveness
Talent acquisition,      • Create work environment that promotes creativity, excitement and              • Aggressive competitors may poach team members                               3, 5, 8, 10
development,               growth, and makes our team feel cared for, challenged, empowered and          • Domain expertise may be lost
management and             respected                                                                     • Hiring and retraining costs may be more expensive in both monetary
retention                • Translate to delivery of sustainable value and progress to key                  terms and time
                           stakeholders                                                                  • Sustainable value creation may be impeded with loss of team members
                         • Safeguard domain expertise
19   BOUSTEAD SINGAPORE LIMITED LONGEVITY REPORT 2019

                                      LONGEVITY REPORTING                 PURSUING BUSINESS WITH           DEVELOPING OUR BEST ASSET –       CONSERVING OUR COLLECTIVE
         INTRODUCTION                                                                                                                                                                OTHER INFORMATION
                                          FRAMEWORK                         A GREATER PURPOSE                BOUSTEAD MEN & WOMEN              HOME – PLANET EARTH

Material ESG Topics Opportunities, Risks & United Nations Sustainable Development Goals (cont'd)
Material ESG            Opportunities                                                                    Risks                                                                        Supporting UN
Topic                                                                                                                                                                                 SDG
Talent acquisition,     • Create work environment that promotes creativity, excitement and               • Aggressive competitors may poach team members                              3, 5, 8, 10
development,              growth, and makes our team feel cared for, challenged, empowered and           • Domain expertise may be lost
management and            respected                                                                      • Hiring and retraining costs may be more expensive in both monetary
retention               • Translate to delivery of sustainable value and progress to key                   terms and time
                          stakeholders                                                                   • Sustainable value creation may be impeded with loss of team members
                        • Safeguard domain expertise
Succession planning     • Provide talent with career prospects and ability to scale into leadership      • Earmarked leadership talent may leave or be poached due to                 5, 8, 10
                          positions                                                                        misperceptions about career prospects or misaliged expectations
                        • Safeguard domain expertise                                                     • Domain expertise may be lost
                        • Provide corporate stability and continuity in execution of strategies          • Hiring and retraining costs may be more expensive in both monetary
                                                                                                           terms and time
                                                                                                         • Sustainable value creation may be impeded with loss of team members
Health and safety       • Promote what is essential to longevity, which is prioritisation of life over   • Stricter legal and regulatory frameworks for health and safety issues      3
                          profit                                                                           may raise compliance costs
                        • Attract new team members and retain existing team members                      • Business licences to operate may be revoked under extreme non-
                                                                                                           compliance, resulting in existential threat
                                                                                                         • Significant fines, imprisonment, lawsuits, loss of economic performance
                                                                                                           and severe reputational damage may result from non-compliance
Environment             • Boost natural demand for solutions aligned with climate change and           • Demand may decline for specific solutions misaligned with climate            11, 12, 13
                          environmental initiatives, particularly for waste heat recovery units, water   change and environmental initiatives, particularly for equipment used
                          and wastewater treatment plants, smart eco-sustainable business park           by O&G industries, non-eco-sustainable developments and wasteful
                          and industrial developments, and geospatial technology                         construction methods
                        • Save costs over long-term                                                    • Business licences to operate may be revoked under extreme non-
                                                                                                         compliance, resulting in existential threat
                                                                                                       • Significant fines, imprisonment, lawsuits, loss of economic performance
                                                                                                         and severe reputational damage may result from non-compliance
Legal and regulatory    • Build goodwill and trust with key stakeholders, especially governments         • Stricter legal and regulatory frameworks for socio-economic issues         12, 16
compliance                and regulators                                                                   may raise compliance costs, in line with global ESG recognition and
                        • Translate to delivery of sustainable value and progress to key                   increased cross-border cooperation between jurisdictions
                          stakeholders                                                                   • Business licences to operate may be revoked under extreme non-
                                                                                                           compliance, resulting in existential threat
                                                                                                         • Significant fines, imprisonment, lawsuits, loss of economic performance
                                                                                                           and severe reputational damage may result from non-compliance
Community               • Build goodwill and trust with communities, who are providers of future         • Poor economic performance may hamper ability to contribute to              8, 10
development               talent                                                                           community development, both directly and indirectly
                        • Gain support of communities for projects globally
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