REPORT 2019 A Corporate Legacy Serving Multiple Generations - Boustead Singapore Limited Sustainability Report 2019
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A Corporate Legacy Serving Multiple Generations REPORT 2019 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
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.
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
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
he l tr
a tra bra a
niche smart eco-sustainable infrastructure- ca c k nd and social progress in global communities.
i
t
re a
da
g
on
related engineering services and technology
lo co
pt
ain
b) Respecting our team and stakeholders
ct
solutions.
nd
Bu
ab
ch
o
We believe in creating a work environment that
pa
hn
s
rd
e
le
promotes creativity, excitement and growth,
e im
ec
1.1.3 Business Model In
an
u
in
te and makes our team feel cared for, challenged,
cus T
al
Over Boustead’s prestigious and rich heritage of t
us
es
d re
lv
sitiv
191 years, we have been delivering sustainable empowered and respected because they are our
sp
Qu and safety (“EHS”) f al,
de
Par and investments ns
Prog
gr
fety best asset – they are Boustead. Creating the ideal
Tr
value and progress to key global stakeholders. res
leva
o
ity
t
Sa
latf
mo
o
nmen
s environment for them to thrive in will eventually
tner
We owe our success to our experienced and
Make a p
translate to delivering sustainable value and
orms
nt
versatile teams who possess in-depth domain
Business progress to key stakeholders.
Re
ships, acquisitio
Service
expertise and tremendous international
o
sp
r
experience and generally undertake the high
vi
c) Keeping an open mind
e ct
value-added activities across the engineering and
n
We endeavour to push the boundaries of
e
technology value chains.
d
paradigms, research and technologies to improve
ty an
Exc
ess
business performance and sustainability.
de en
As a knowledge-driven corporation, we employ
ell
dn
nc O
p
a business model with inbuilt exportability and
e e n
i
mi d) Adhering to the highest standards of
h
l
Re
a
flexibility, which has enabled us to adapt our Conduct
t
honourable conduct
y
al
bi a
l it
operations to diverse situations and widespread
lia
lit
he
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
e
an er
sk
tis
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
nc e g
m na
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.
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
Be ad
apt
abl
Reputab ea
nd
Strategies
le b
and pr ran re
ove d le
track re n
cor Par
va Reputable brand and proven track record Partnerships, acquisitions and investments Engineering and management expertise
d acq tn
With a strong brand heritage, we have established Our continuous search for strategic partnerships, Our teams offer in-depth domain expertise and
nt
inv uisi e
es ti reputable positions in a broad range of industries, catalytic acquisitions and investments is aimed at deliver value engineering, helping clients to
rs ns a ts
t
hi nd m xpertis
o en
ps
Bus bringing together in-depth domain expertise and accelerating our business expansion, enhancing achieve highly effective and cost competitive
m
plat ines
,
for s proven technologies in over 1,300 projects in capabilities, broadening revenue streams and solutions that raise efficiency and sustainability
De
m
s
live
87 countries and territories. driving sustainable long-term growth. while eliminating wastage.
Eng and
r sus
ana
e
inee
gemen
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.
re
R
ss initiated by the Workplace Safety & Health Council.
ine
ogr
Bus odel ain
m ch
ess
e
valu
E ty
a
us HS
li
Qu d
an foc Business Model Value Chain
ld
or
cal
w
logi th
e
Techno ation on Uphold our excellent reputation for integrity, quality, reliability and trust
nsfor m ct
tra
mpa
e i
itiv Commit to operational
pos
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
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.
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
08 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
1.3 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 savings09 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
1.3 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
successor10 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
1.3 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. 6711 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
1.3 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. 6912 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
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
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
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 security14 BOUSTEAD SINGAPORE LIMITED LONGEVITY REPORT 2019
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FRAMEWORK A GREATER PURPOSE BOUSTEAD MEN & WOMEN HOME – PLANET EARTH
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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INTRODUCTION OTHER INFORMATION
FRAMEWORK A GREATER PURPOSE BOUSTEAD MEN & WOMEN HOME – PLANET EARTH
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
Low16 BOUSTEAD SINGAPORE LIMITED LONGEVITY REPORT 2019
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FRAMEWORK A GREATER PURPOSE BOUSTEAD MEN & WOMEN HOME – PLANET EARTH
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 compliance17 BOUSTEAD SINGAPORE LIMITED LONGEVITY REPORT 2019
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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 Technology18 BOUSTEAD SINGAPORE LIMITED LONGEVITY REPORT 2019
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FRAMEWORK A GREATER PURPOSE BOUSTEAD MEN & WOMEN HOME – PLANET EARTH
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 expertise19 BOUSTEAD SINGAPORE LIMITED LONGEVITY REPORT 2019
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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 globallyYou can also read
