Singtel Group Sustainability Report
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Singtel Group Sustainability Report 2017
Contents
Overview Social
01 About this Report 01 06 People 28
02 Message from Chairman 02 • Diversity 29
and Group CEO
• Human Capital Development 32
03 About the Singtel Group 07
• People Performance Indicators 36
• Key Highlights FY2017 08
07 Community 38
• Performance Highlights FY2017 09
• Inclusion of Vulnerable Groups 39
• 2020 Targets 10
• Digital Citizenship and 42
04 Sustainability at Singtel 12 Online Safety
• Value Chain and 16 Governance
Supply Chain Analysis
• UN Sustainable 18 08 Marketplace and Customers 45
Development Goals • Customer Experience 45
• Summary of Material Topics 20 • Ethical and Responsible 46
and UN SDGs Business Practices
Environment
09 GRI Content Index 52
05 Environment 21 10 UN Global Compact Principles 56
• Climate Change and Carbon 23 11 Independent Limited 57
• Waste Management 25 Assurance Statement
• Environmental Performance 27
Indicators
01 About
this Report
This is the third Group dollars, using the exchange rate of of the disclosures. The findings of
Sustainability Report by Singapore A$1 to S$1.0426. [102–51] [102–52] the external assurance engagement
Telecommunications Limited are shared with Singtel’s senior
(Singtel). It covers the sustainability No restatements were made from management. [102–56]
performance of our operations the previous report except the
in Singapore, where Singtel is financial figures for 2016 in the FEEDBACK
headquartered, and Optus, our Economic Performance table (see We are fully committed to listening
wholly-owned subsidiary in page 9). There were no significant to our stakeholders and we
Australia, for the financial year changes to the organisation and our welcome feedback on this report
1 April 2016 to 31 March 2017 supply chain during this reporting and any aspect of our sustainability
(FY2017). [102–1] [102–3] [102–50] cycle. [102–10] [102–48] performance. Please address all
feedback to Vice President, Group
Optus continues to produce a GRI STANDARDS Sustainability, at csr@singtel.com.
standalone Sustainability Report This report has been prepared in [102–53]
on our sustainability programmes accordance with the GRI Standards:
in Australia (www.optus.com.au/ Core option. The GRI content index
about/sustainabilityreport2017). and the relevant references are
provided on pages 52–55. [102–54]
This Sustainability Report covers
the company’s strategies, initiatives EXTERNAL ASSURANCE
and performance in relation We have engaged Ernst & Young to
to Environmental, Social and independently assure a selection of
Governance (ESG) issues. All data, our key ESG disclosures. Please refer
statistics and improvement targets to pages 57–64 for the assurance
are in relation to the Group’s statement and scope details, and
operations in Singapore and the external assurance column of
Australia unless stated otherwise. the GRI content index on pages
Group-level figures are in Singapore 52–55 for the assurance coverage
1
02 Message from Chairman
and Group CEO [102–14]
During the year, we undertook a
formal stakeholder engagement
and materiality assessment to
update our 2014 findings which
helped shape our sustainability
strategy and roadmap. The
refresh saw certain issues rise in
importance with our stakeholders
and on our materiality agenda.
Personal data privacy and
protection rose further to become
the top issue, driven by greater
awareness and global high profile
incidents of cyber hacking
of corporate networks and social
media accounts.
The Singtel Board views these risks
and opportunities as important
drivers to value creation, risk
management and long-term growth
for our organisation. The Board
also provides oversight through the
Singtel Management Committee and
Risk Management Committee where
these material topics are reviewed.
More details are found within our
third Singtel Group Sustainability
Report 2017.
Below are highlights of some of our
achievements and next steps.
We are happy to announce that enterprise customers are also
2016 was another milestone year focusing on sustainability and LEAVING THE SMALLEST
for sustainability development and responsible practices in their ENVIRONMENTAL FOOTPRINT
progress for the Singtel Group. supply chain. As a Group with a vast and growing
network, electricity consumption
With the 2016 Paris Agreement, As many sectors in the macro- as well as its associated carbon
there has been greater interest economy have been undergoing footprint is our main environmental
around the world in what some form of restructuring, issues and supply chain issue. This was
companies are doing to reduce such as employee well-being, also validated in the 2016 Life
their carbon footprint. More skills and training, as well as talent Cycle Assessment of our value
emphasis is being placed on how development and retention have chain where 60% of the Group’s
companies manage waste, build come to the fore. There are also carbon footprint was found to
resilience in the face of climate more in-depth dialogues now in be in our extensive supply chain.
change, and ensure that corporate the social and public sectors about We have made good progress in
giving is done in a strategic and vulnerable communities and understanding and reporting our
sustainable manner. More of our digital citizenship. carbon footprint as part of CDP,
2
We have made good progress in understanding concerns and engaged our suppliers
to understand their approach,
and reporting our carbon footprint as part of policies and actions to address these
CDP, which in 2016 acknowledged Singtel as possible ESG risks. In the next 12
one of the top three Singapore companies with months, we will extend the review
comprehensive disclosures and performance to the next cohort of our 51-100
largest suppliers and their supply
of our carbon footprint. chain.
We are also in the process of
which in 2016 acknowledged Singtel outages from the public grid due to establishing a regional Supplier
as one of the top three Singapore environment calamities and natural Code of Conduct and policy with
companies with comprehensive disasters. We have thus increased our regional mobile associates, as
disclosures and performance of our our power self-generation and we see an opportunity to collaborate
carbon footprint. storage capabilities in parts of our with and engage our supply chains
Optus network. collectively, given that many are
We recently commenced a the same global equipment and
comprehensive exercise to begin In February this year, our proactive device vendors.
developing our ‘Science Based network adaptation got to play a
Targets’ for carbon reduction. This crucial role. Sydney’s temperatures INVESTING IN OUR PEOPLE
exercise, which will stretch into 2018, surged to record highs that month With people as our greatest assets,
involves mapping and aligning our which placed significant strain on the we continue to focus on developing
carbon reduction target and action public energy grid. We were able to them and their career with us.
roadmap to the global, national and activate our energy storage and self- In Singapore, we ramped up our
sector carbon target reductions generation to significantly offload reskilling programme and widened
needed to achieve the 2016 Paris our power demand equivalent to our talent programme to include
Agreement, which is to reduce powering up 2,238 homes for a more promising talent at every level
carbon and cap temperature change day from the grid. This enabled the of the organisation in leadership and
to below 2 degrees centigrade by the grid to support other critical public career development. Our graduate
end of the century. services and infrastructure which management programme was
would otherwise have been at risk recently ranked 17 out of the Top 75
For electronic waste, we are pleased of power outage or cut-back. Such employers in Australia.
to have forged a strategic partnership interdependencies with other public
with SingPost to establish a national infrastructure during extreme climate Diversity and inclusion remain a key
e-waste recycling programme. conditions were already identified focus for the Singtel Group, with
Combining the extensive retail in our climate change adaptation continued efforts to mentor and
footprint of both companies and and resilience review conducted coach women talent for leadership
leveraging the postal and reverse across our Singapore and Australian positions in Australia. We also
logistics capability of our partner, operations in 2015. recognise the need to raise disability
our programme aims to increase employment, which is where our
consumer awareness and the rate During the year, we launched community programme to develop
of e-waste recycling and recovery a systematic and progressive skills and support for the disabled
in Singapore. engagement and assessment with play a critical role.
our top 50 suppliers, constituting
We continue to review and adapt 75% of our vendor spend, to ENABLING OUR COMMUNITIES
our network infrastructure to the understand the environmental, We continue to scale our reach and
longer-term risks of climate change. social and governance (ESG) risks impact of our strategic community
In Australia, we are progressively within their operations and supply programmes through advocacy,
building network resilience to energy chain. We identified areas of greatest innovation and partnership.
3
Message from Chairman
and Group CEO
In the area of digital citizenship
and cyber wellness, our Digital
Thumbprint Programme is now run
regionally in Singapore, Australia
and the Philippines. We continue
to roll out our programme to the
high schools in Australia. We are a
long-time supporter of Australia’s
Kids Helpline, which has also
identified digital citizenship and
cyber wellness issues becoming an
increasing concern for children,
parents and schools.
In Singapore, as a continuation of
our digital citizenship programmes
in primary schools, we co-funded
and supported our long-time
social enterprise partner DQ
Institute, the brainchild of the
iZ HERO programme, to develop
and launch the new #DQEveryChild
programme.
This programme, which has a new
global Digital Intelligent Quotient
or DQ measurement, takes our
approach and reach in primary
schools to a new level: gamifying
learning and assessing the DQ of
students and important attributes of
knowledge, responsibility and safety
in a digital world. #DQEveryChild
has already received much global disability agency SG Enable, business, an area we recognise
interest at the World Economic Australian Network on Disability we can do more. This programme
Forum and attention of many and the Singapore Business Network complements the Singtel Enabling
governments and educators. on DisAbility (SBNoD), which Innovation Centre launched in
we co-founded in May 2015, to October 2015.
Our various Digital Thumbprint collaboratively develop and launch
initiatives have reached more than the RISE Mentoring Programme for We also continue to work with the
160,000 students in the past two tertiary students with disabilities. Australian Business and Community
years. We are well on track to Network (ABCN), where Optus
achieving our 2020 target to reach We participated in the pilot run staff volunteers mentor over
over half a million students and which had 15 students with 600 students from vulnerable
youth in Singapore and Australia. disabilities mentored by 15 backgrounds each year. Through
executives. We are creating greater such programmes, we hope to
In 2016, Singtel played an empathy and champions within our complete the loop of our community
instrumental role in forging a leaders to advocate and support efforts in enabling the inclusion and
partnership between the national disability employment within the independence of vulnerable persons
4
Our various Digital Makers 2017 programme to include included in the World’s Most Ethical
a regional element, with Globe Companies 2017 by Ethisphere.
Thumbprint initiatives Future Makers launched by Globe, In 2016 Singtel was listed on
have reached more our Philippine associate. FTSE4Good, one of the premier
than 160,000 students global sustainability indices.
in the past two years. COLLABORATION TO SCALE OUR
CORPORATE SUSTAINABILITY Earlier this year, Singtel made our
We are well on track REACH AND IMPACT debut among the 100 World’s
to achieving our 2020 Through our sustainability journey, Most Sustainable Corporations.
target to reach over we have come to recognise the Regionally, Singtel received the
half a million students importance of partnership and Top CSR Advocates Award in the
collaboration in achieving collective Asia Corporate Excellence and
and youth in Singapore positive outcomes. Whether in Sustainability Awards, and Asia’s Best
and Australia. the environment, supply chain Community Reporting in the Asia
or community space, fostering Sustainability Reporting Awards 2016.
partnership and collaboration Locally, the Global Compact Network
in our community. For them to has always been a key pillar of Singapore recognised Singtel in
find employment is the ultimate our approach. the inaugural Apex Honour Roll, at
in achieving independence and to the Apex Corporate Sustainability
realise their potential and contribute Be it ABCN, SBNoD, the Australian Awards 2016.
back to society and economic Business Roundtable for Disaster
development. Resilience and Safer Communities We are honoured to have been
or partners of our Future Makers recognised in these ways. But more
We are pleased to have successfully and other community programmes, importantly, they tell us we are on the
launched and completed the our efforts and impact would not right track and focusing correctly on
inaugural Singtel and Optus Future have been possible without taking those material topics that concern
Makers social innovation programme such a collaborative approach, our key stakeholders. As sustainability
during the year. Our programme which incidentally is the crux of UN issues and risks constantly evolve,
provided funding and capacity Sustainable Development Goal 17. we see this as an ongoing journey
building for 18 start-ups and non- as we track towards our 2020
profit organisations leveraging Throughout the year, we hosted sustainability targets.
technology and innovation to solve and also participated in business
social issues. Several have since roundtables to share and discuss On behalf of the Singtel Board
gone on to raise additional funding topics such as sustainability and Management, we would like
for their business plans, or tied up reporting, supply chain and to thank all our staff, partners and
with other partnerships which we community engagement and stakeholders who have been with
connected them to. partnerships. We see ourselves us throughout our sustainability
playing a key role to advocate and journey. We look forward to your
The social sector today clearly shape corporate sustainability and continued engagement, partnership
under-leverages technology and share best practices. and support.
innovation, something which is
core to our business. We see RECOGNITION OF OUR
ourselves playing a pivotal role PROGRESS TOWARDS A
to help build the ecosystem SUSTAINABLE FUTURE
and connect partnerships in the We are pleased that our efforts SIMON ISRAEL
non-profit and start-up sector, in corporate sustainability have Chairman
while involving our staff in skilled been recognised globally, regionally
volunteering. We have expanded and locally. For the seventh CHUA SOCK KOONG
the new run of the Singtel Future consecutive year, Singtel was Group CEO
5
6
03 About the
Singtel Group
The Singtel Group is Asia’s leading communications technology group providing a
portfolio of services including ICT, pay TV as well as voice and data solutions over fixed,
wireless and internet platforms. The Group has about 640 million mobile customers
in 22 countries across Asia, Australia and Africa. We also have a vast network of offices
throughout Europe and the United States to serve enterprise customers. Singtel is listed
on the Singapore Exchange (SGX) and the Group employs more than 25,000 people
worldwide, with about 13,000 employees in Singapore and 9,000 in Australia.
[102–2] [102–4] [102–5] [102–6] [102–7]
OUR BUSINESS UNITS across geographical boundaries. Please refer to our Annual Report
[102–2] [102–6] These solutions include workforce for more details of our products and
mobility, data hosting, cloud, network services, activities, markets served
GROUP CONSUMER infrastructure, analytics and cyber- and customer base.
Consolidates the Group’s consumer- security capabilities.
related functions, including our Corporate Vision and Mission
international business in the GROUP DIGITAL LIFE We aspire to be Asia Pacific’s best
emerging markets, and delivers Drives the Group’s efforts to be at communications technology
a complete and integrated suite the forefront in the digital space, company. Creating and delivering
of services, including mobile, focusing on creating new revenue value to our customers, employees
broadband and TV to consumers. platforms, such as premium over- and shareholders is fundamental to
the-top video, digital marketing and our business. We help people and
GROUP ENTERPRISE advanced analytics. Also connects the enterprises stay connected all the
Provides innovative and start-ups ecosystem to identify early time, no matter where they are, by
comprehensive ICT solutions to innovations that can contribute to the making communications easier,
the Group’s enterprise customers overall business of the Singtel Group. faster and more reliable.
Our Core Values [102–16]
Our five core values – Customer
Focus, Challenger Spirit, Teamwork,
Integrity and Personal Excellence –
form the foundation of our culture
and the way we interact with each
other, conduct our business and
go to market. They foster a culture
that is open and innovative, and
that promotes mutual trust and
engagement. These values drive
our relationships with customers,
suppliers, people and all other
stakeholders.
7
Key Highlights
FY2017
COMMUNITY
ENVIRONMENT • Community investment of S$16.8 million in
Singapore and Australia
• Celebrated 15th anniversary of Singtel
• Commenced Science Based Targets Touching Lives Fund, our corporate
programme to achieve carbon reduction philanthropy programme in Singapore
• Achieved an estimated energy savings of • Launched ‘Pathways to Employment’
543 GJ/year or 65 tCO2e/year and programme in Australia
198 GJ/year or 24 tCO2e/year though
the adoption of more energy efficient • Conducted 10 workshops for 2,500 senior
T5 and LED lightings and operational citizens in Singapore on using smartphones
improvements of Air Handling Units and staying safe online as part of our digital
inclusion and well-being programmes
• Achieved improvement in electricity
intensity of 177 kWh/TB from 260 kWh/TB • Singtel and Optus Future Makers 2016
last year supported 18 start-ups and non-profit
organisations in Singapore and Australia
• B score in CDP 2016 for Singtel Group’s with over S$480,000 in cash grants and
climate change disclosure and performance other programme benefits
• Our first Green Mark Award (Platinum) • Singtel became the strategic partner of
by BCA for our office at 1 Serangoon North #DQEveryChild programme which created
Singapore the world’s first measurement for Digital
Intelligence Quotient
PEOPLE MARKETPLACE
• 12% of total employees working in high AND CUSTOMERS
growth emerging technology segments,
compared with < 1% five years ago • Included in World’s Most Ethical Companies
• Training investment of S$25.1 million in 2017 for the seventh consecutive year
Singapore and Australia • Clinched top spots in three categories of Best
• Launched a new Cyber Security Associates Customer Experience, Best Contact Centre and
and Technologists (CSAT) Programme with Best Use of CEM Technology at the Customer
IMDA and CSA of Singapore for talent pipeline Experience Asia Excellence Awards 2016
and industry capacity building • Total capital investment of S$2.26 billion in
• Offered programmes to support employees' Singapore and Australia
life-long learning • All new suppliers in FY2017 were assessed
• Supported SG Enable’s pilot 12-week RISE against social and environmental criteria
Mentoring Programme for tertiary students through our sustainability questionnaire as part of
with disabilities in Singapore their on-boarding tender process
• Won the HR Excellence Awards 2016 and • Piloted the Singtel Contractor Accreditation
Singapore HR Awards 2016 scheme as our new health and safety initiatives
for our contractors in Singapore
8Performance Highlights
FY2017 [102–7] [201–1]
SINGTEL OPTUS SINGTEL GROUP
2017 2016 2015 2017 2016 2015 2017 2016 2015
ENVIRONMENT
Total energy use (GJ) 1,404,843 1,379,633 1,338,904 1,702,440 1,657,262 1,533,360 3,107,283 3,036,895 2,872,264
Energy intensity (GJ/S$M revenue) 177 180 182 194 178 155 186 179 167
Total carbon emissions (tCO2e) 2 173,811 174,112 176,454 418,269 420,827 402,750 592,080 594,938 579,205
Carbon emissions intensity (tCO2e/TB) 3 0.06 0.09 0.12 0.19 0.29 0.43 0.12 0.18 0.24
Water use (m3) 4 814,447 756,398 691,389 82,111 70,254 60,422 896,558 826,652 751,811
Total waste, hazardous and
4,613 4,223 4,015 1,853 1,503 1,425 6,466 5,726 5,440
non-hazardous (tonnes) 5
PEOPLE
Total employees by gender
• Male 63% 63% 62% 68% 67% 68% 65% 65% 65%
• Female 37% 37% 38% 32% 33% 32% 35% 35% 35%
Employee turnover (%) 16% 15% 16% 15% 11% 10% 16% 13% 13%
Total training investment ($M) S$13.8 S$10.9 S$10.0 A$10.8 A$10.9 A$11.5 S$25.1 S$22.1 S$22.9
Average training hours per employee 30.4 32.5 33.3 30.9 31.7 32.2 30.5 32.2 32.8
Employee health and safety 6
• Workplace injury incidence rate 1.3 1.3 1.4 1.3 1.3 2.6 1.3 1.3 1.9
• Workplace injury frequency rate 0.6 0.6 0.6 0.8 0.8 1.3 0.7 0.7 0.9
• Workplace injury severity rate 3.3 5.9 7.4 8.7 12.9 18.6 5.1 8.3 11.3
COMMUNITY
Community Investment ($M) S$8.3 S$26.7 S$10.1 A$8.2 A$8.7 A$8.7 S$16.8 S$35.6 S$19.9
Total staff volunteering hours 17,140 15,981 15,109 16,420 16,194 11,505 33,560 32,175 26,614
MARKETPLACE AND CUSTOMERS
Capital investment ($M) S$851 S$825 S$789 A$1,348 A$1,083 A$1,285 S$2,261 S$1,930 S$2,238
Mobile network investment ($M) S$168 S$211 S$233 A$678 A$536 A$793 S$875 S$758 S$1,124
ECONOMIC PERFORMANCE
Revenue ($M) 7,928 7,663 7,348 8,784 9,298 9,875 16,711 16,961 17,223
Operating costs ($M) 5,776 5,524 5,262 6,153 6,573 7,022 11,929 12,097 12,284
Staff costs ($M) 1,448 1,358 1,273 1,075 1,099 1,194 2,523 2,457 2,467
Tax expense ($M) 1,191 1,198 1,092 356 399 418 1,548 1,597 1,510
Net profit ($M) 3,023 2,953 2,840 830 918 942 3,853 3,871 3,782
1
Exchange rate of A$1 = S$1.0426.
2
The carbon emissions reported in the table is based on the reporting requirements of the WRI and WBCSD ‘GHG Protocol Corporate Accounting and
Reporting Standard’. The equivalent CO2 emissions for electricity use are calculated based on the updated simple operating margin grid emission factors
from the National Environment Agency in Singapore for the relevant time period and from corresponding states in Australia. Scope 1 direct emissions
are calculated using the 2010 Guidelines to EFRA/DECC’s GHG conversion factors for company reporting (Annex 1). Scope 3 other indirect emissions are
calculated using the 2010 Guidelines to conversion factors for DEFRA/DECC’s GHG company reporting (Annex 6 and 7).
3
Covers scope 1 and 2 only.
4
Water use for Optus Sydney campus only.
5
Waste across facility under Optus waste direct contract and not inclusive of all sites.
6
Workplace Health and Safety metrics are based on the International Labour Organization (ILO) definitions.
92020 Targets
We have set the following 2020 targets across our four sustainability pillars.
TOP MATERIAL ISSUES 2020 FY2017
FOR THE SINGTEL GROUP TARGET ACHIEVEMENTS
ENVIRONMENT
To manage and minimise our environmental footprint across our business value chain
Climate Change Reduce our carbon emissions Our energy consumption grew by 2.5% YOY as we expanded
And Carbon intensity of kWh/TB by 30% by 2020 our network coverage and capacity to provide our customers
and 50% by 2030 using 2015 as with the best experience. However we delivered better data
baseline and carbon efficiency on our networks where we achieved
49% improvement in our intensity measure of kWh/TB against
baseline year of FY2015. While we are well ahead of our original
target of reducing our carbon emission intensity of kWh/TB
by 50% between 2015 and 2030, it is our intent to develop
additional Science Based Targets (see page 23–25)
Waste + Over 85% of our hazardous waste was recycled in FY2017
Management (see page 25)
PEOPLE
To be an admired employer known for fair and inclusive employment practices which promote diversity and equal opportunity
Diversity + Launched a Group Diversity microsite on our staff portal
Espresso to help drive staff awareness by serving as a one-
stop information and resource site (see page 29)
Talent Attraction Increase 2% pipeline and intake for Launched Singtel Apprenticeship Programme with Singapore
and Retention management associates and cadets, Institute of Technology to nurture ICT and cyber security
improve gender mix and retention of talents (see page 32)
talent pool by 2% YOY using 2015 as
baseline
Training and Training investment of S$100 million Total training investment of S$25.1 million in FY2017
Education between 2016 and 2020 (see page 34)
Cumulative S$47.2 million of training investment
since FY2016
Employee Health Zero fatality rate Zero fatality rate (see page 35)
and Safety
COMMUNITY
To enable the inclusion and well-being of people, and help them realise their potential through our digital technologies and
innovative programmes
Inclusion of Community investment of S$100 Continued with our community programmes and community
Vulnerable million to support vulnerable persons investment in FY2017 was S$16.8 million (see page 38)
Groups through our various enabling and
inclusion programmes between 2016 Cumulative S$52.4 million of community investment
and 2020 since FY2016
Digital Reach at least half a million students, Our digital citizenship programmes reached over 60,000
Citizenship and parents and educators in Singapore and students in Singapore and Australia in FY2017 (see page 42–43)
Online Safety Australia through our digital citizenship
and outreach programmes between Cumulative >160,000 students reached since FY2016
2016 and 2020
+ We are in the process of target setting as these topics have only been identified from our recent materiality assessment.
10TOP MATERIAL ISSUES 2020 FY2017
FOR THE SINGTEL GROUP TARGET ACHIEVEMENTS
MARKETPLACE AND CUSTOMERS
To be recognised as a responsible and innovative market leader who offers excellent customer experience
Customer Lead in ‘Customer Experience’ in major Top spots in three categories of Best Customer
Satisfaction customer satisfaction measurement tools Experience, Best Contact Centre and Best Use of
and indices over tier one telcos in Singapore CEM Technology at the Customer Experience Asia
and Australia Excellence Awards (see page 45)
Product and Invest in our networks to meet and exceed the Total capital investment of S$2.26 billion in FY2017
Service Quality quality of service standards set by the relevant (see page 46)
local authorities while addressing the topic of
long-term climate change adaptation Cumulative S$4.19 billion of capital investment since
FY2016
Innovation Continue to develop new digital business Continued to drive innovation at both our core and
and services that take advantage of industry digital businesses through partnerships, acquisitions
changes, leveraging our assets like customer and organic innovation (see page 46)
knowledge and intelligent networks, as well
as mobile data growth across our markets
Customer Health Maintain 100% compliance with RF radiation 100% compliant in FY2017 (see page 46–47)
and Safety levels and safety guidelines set by local
regulators and ICNIRP
Customer Data Uphold the highest standards of customer Took additional steps to improve our process for
Privacy and data privacy protection and ensure managing data security risks such as conducting
Protection compliance by our supply chain an annual refresher programme for our people to
reinforce their knowledge of the PDPA
(see page 47–48)
Fair Marketing Uphold the highest standards of professional Adherence to various laws and guidelines such
Communications values and integrity as Singapore Code of Advertising Practice, IMDA
Codes of Practice and Guidelines and PDPA
(see page 48)
Anti-Corruption Uphold and adhere to the Group’s zero Zero tolerance policy towards fraud, corruption
tolerance policy towards fraud, corruption and unethical actions (see page 48–49)
and unethical actions
Sustainable To become an industry leader in this area by Strengthened our Sustainable Supply Chain
Supply Chain 2020: Management efforts by building a supplier
Management 100% contracted procurement spend self-assessment questionnaire based on industry
in line with Singtel Group sustainable best practices to gather inputs from our key
procurement policy suppliers in FY2017 (see page 50–51)
Drive responsible business practices across
our supply chain in the areas of human and
labour rights as well as environment
1104 Sustainability
at Singtel
We are committed to creating sustainable and long-term business growth, while leading and
shaping positive change for our marketplace and customers, the communities we operate in,
our people and the environment.
Digital Inclusion &
Citizenship Well-being
Climate
Change & Education &
Carbon Employment
The Most
Connected
Communities
Product
Stewardship
The Smallest
Footprint Sustainability
Framework The Highest
The Best Quality Service
Experience & Products
Material Aspects
The
Best Our Greatest Ethical &
Talent Asset Responsible
Practices
A Diverse & Health &
Inclusive Safety
Workplace Always #1
SUSTAINABILITY STRATEGY Our sustainability strategy focuses management, business units, local
As a leader in the market, we on four key pillars: Environment, and regional working groups are
are in a position to unlock the People, Community, and Marketplace involved in driving our sustainability
potential of connectivity and and Customers. agenda (see website for details).
make a difference to the lives
of our customers and the wider GOVERNANCE STRUCTURE AND Our environmental, social and
community, through our network ESG ACCOUNTABILITY governance (ESG) performance is
investments, product and service Sustainability is governed across integral to our success as we strive to
innovations, and the skills and various levels in the organisation. All build a sustainable future. Our Senior
passion of our people. stakeholders including the board, Management is assessed through a
12balanced scorecard based on two gives us the opportunity to Sustainability is
broad target categories: Business initiate collaboration and be part
targets (financial, strategy, customer of formulating or facilitating a
governed across
and business processes which solution. the various levels in
embed ESG aspects) and People the organisation. All
targets (leadership competencies, We take employee engagement stakeholders including
core values, people development seriously as we know that engaged
and staff engagement). The ESG employees feel happier at work,
the board, management,
KPIs vary for each management perform better and are more business units, local
executive. motivated to succeed – ultimately and regional working
contributing to our business groups are involved in
Our Group CEO has specific ESG performance.
KPIs tied to her performance-based
driving the sustainability
compensation such as creating a The Singtel Group Your Voice agenda within the
bigger impact in the four areas of Survey 2016 had 92% participation Singtel Group.
our community strategy: enabling rate with a Group engagement
innovation, digital citizenship, score of 79, a one-point increase
volunteerism and community from a year ago. We found that MATERIALITY REFRESH [102–46]
involvement, and ensuring many of our employees strongly Following an extensive materiality
safety and health considerations believe in our core values and assessment in FY2015, we conducted
in corporate processes and are committed to achieving our a Group-wide exercise during the
decision-making. Our Group Chief common goals. Corporate social year to review the relevance of our
Information Officer is primarily responsibility and Sustainability material topics, identify if there has
accountable for data privacy and continues to be among the top been any shift in priorities among
protection across the business and staff engagement drivers for the our stakeholders and examine any
supply chain, as Chairperson of Group, indicating that most of our emerging areas of concern.
the Data Protection Governance people identify with and support
Committee. Group Chief Corporate the company’s community and The assessment was conducted
Officer who looks after Group environmental programmes. according to the GRI Standards’
Procurement has responsibility and Principles for defining report content
oversight of the sustainable supply We actively engage external and covered our operations in
chain management strategy. These stakeholders, such as our Singapore (Singtel) and Australia
are examples of how we ensure involvement in national (Optus). Our associate and regional
clear lines of overall ownership and committees like the Singapore businesses, minority stakes and
accountability for ESG issues among Enabling Masterplan 3 and the shell entities were not included in
our senior management. [102–18] National Volunteer Resource this exercise.
Committee, and through the
STAKEHOLDER ENGAGEMENT AND Australian Business Roundtable We applied the materiality principle
MATERIALITY REVIEW (ABR) for Disaster Resilience for defining report content based on
We are fully committed to on-going and Safer Communities. We also inputs from:
engagement with our stakeholders actively participate in and host • Survey results from both internal
such as employees, community panel discussions and roundtables (top management and employees)
partners, non-profit organisations to learn, contribute, advocate and external stakeholders (e.g.
and government agencies. We find and seek opportunities for consumers, corporate customers,
regular engagement very effective collaboration. Further details of investors and key suppliers)
for keeping pulse on what is our stakeholder engagement can • Findings of the Life Cycle
happening on the ground and be found on our website. [102–40] Assessment
what concerns and priorities our [102–42] [102–43] [102–44] • Review of industry practices and
stakeholders have. This often [SDG 17] global peers
13Sustainability at Singtel
The findings from this materiality RESULTS FROM MATERIALITY Three new topics – anti-corruption,
review has helped us to prioritise the ASSESSMENT diversity and waste management
important topics for Singtel, Optus The findings of the materiality – have emerged from this review,
and the Singtel Group. The exercise assessment have been plotted bringing the total number of material
also provided an opportunity for us in the materiality matrix based topics from 13 to 16. We have been
to formally receive and understand on their impact to the Group’s reporting on these three topics in our
how our stakeholders perceive the business, and against their last two Group sustainability reports.
importance and impact of each importance to both internal We also assessed their relevance and
topic, and address their concerns and external stakeholders impact on our Singapore and Australia
(Figure 4.1). (Figure 4.2). operations and which specific
stakeholder groups outside our
organisation as part of our Value Chain
and Supply Chain analysis update
Figure 4.1 Singtel Group’s Materiality Review Process (Table 4.3). [102–49]
It is noteworthy that Customer Data
Establish a universe of environmental,
Privacy and Protection has moved up
social and economic issues
to become the most important topic
among our stakeholders, who have
also singled out Corruption. These can
be attributed to greater awareness
and the high profile global incidents of
Consider both ‘internal business’ and ‘external stakeholders’
cyber attacks on corporate networks
perspectives from a combination of information sources
and social media accounts as well as
corporate corruption scandals.
While Supply Chain Management
is now rated lower in importance
Identify a list of potential material topics compared to its previous ranking,
our stakeholders recognised this
topic has an even greater impact on
our business. In this year’s review,
community-related topics on
INTERNAL AND EXTERNAL PERSPECTIVE Inclusion of Vulnerable Groups and
Apply the materiality principle to prioritise impact and importance of Digital Citizenship and Online Safety
identified topics using internal and external stakeholder feedback, are both rated medium in
Life Cycle Assessment results, and industry and peer review importance to stakeholders
and impact on business. Waste
management has also become a
new material topic raised by our
stakeholders.
Prioritise top material topics across the Singtel Group
For the purpose of the report structure
and clarity, the material topics
are grouped into key themes and
categorised according to our four
Map top material topics against key business value chains for sustainability pillars of Environment
granular impact and risk assessment (E), People (S), Community (S), and
Marketplace and Customers (G), which
14Figure 4.2 Singtel Group Materiality Matrix
• Innovation • Customer data privacy and
• Training and education protection
• Talent attraction and retention • Customer satisfaction
High
• Fair marketing • Anti-corruption
communications • Product and service quality
• Customer health and safety • Employee health and safety
Importance to Stakeholders
• Diversity
• Digital citizenship and • Supply chain management
Medium
online safety
• Climate change and carbon
• Inclusion of
vulnerable groups
• Waste management
Low
Low Medium High
Impact to Business
Sustainability Pillars
Environment People Community Marketplace and Customers
correspond to the ESG framework. young in our community on safety For the purpose
The relevant GRI Standards disclosures and responsibility in the cyber world,
have been linked to each topic and and offer cyber security solutions to
of the report
the topic’s impact boundary has been our enterprise customers. structure and
established (Table 4.6). clarity, the material
Innovation, for example, does not topics are grouped
A HOLISTIC APPROACH TO apply only to our products and
ADDRESS OUR MATERIAL TOPICS services but also social innovation,
into key themes
While these represent individual where we build capacity with our and categorised
material topics and themes identified broader ecosystem to solve social according to our four
through our stakeholder engagement issues. sustainability pillars.
and materiality review process, many
are related with interdependencies. ESG matters are equally a focus
in our own operations as with our
Hence, we adopt a holistic approach supply chain. We will provide more
to address our material topics, for examples of how these issues are
instance, the way we address data interrelated and interdependent in
privacy in our operations, educate the this report.
15Value Chain and
Supply Chain Analysis [102–9] [103–1]
Table 4.3
Suppliers Infrastructure Operations Products Distribution Customers
Applicable 1 2 6 1 2 13 1 2 3 4 5 6 1 4 8 1 2 6 2 7 8
Material Topics
13 15 16 7 13 15 10 11 13 14 9 11 13 16 9 12 13 14 15
Voice & SMS
Infrastructure Customers
Own network Customer (e.g. local,
platform Own stores (e.g. residents,
3G/4G management roaming,
vendors travellers)
international)
Mobile Children &
Other Franchise
operators Data youth
Device Network &
(e.g. (e.g. local,
vendors IT operations
interconnect, roaming)
Direct sales Enterprises
roaming)
Group
Consumer
Next
Own network
Generation Customer
(e.g. ADSL, Own stores Customers
Network & management
cable, fibre)
other carriers Fixed
Fixed broadband
Broadband (e.g. ADSL, Children &
Other operators Franchise
Customer cable, fibre) youth
(e.g. fibre, Network &
equipment
submarine IT operations
vendors
cables) Direct sales Enterprises
Own network Cloud
Infrastructure Service
(e.g. IP VPN, data Enterprises
platform vendors delivery
centres/servers) Managed hosting
Group Managed
Enterprise Services
Customer Managed security
Other operators Monitoring &
equipment Government
(e.g. fibre) maintenance
vendors Contact centres
Data analytics
Customers
Advertising Telco data
Delivery (e.g. resident,
agencies centres/servers Customer
through travellers)
Group management
Digital apps & widgets,
Digital
Marketing
Advertisement
Life banners, MMS,
Emerging
Online mobile search,
Advertisement customers
content Advertisers QR codes, SMS
platform
providers
Enterprises
Legend:
1 2 3 4 5 6 7 8
Climate Waste Diversity Talent Training Employee health Inclusion of Digital
change and management attraction and and education and safety vulnerable citizenship and
carbon retention groups online safety
9 10 11 12 13 14 15 16
Customer Product and Innovation Customer Customer data Fair marketing Anti- Supply chain
satisfaction service quality health and privacy and communications corruption management
safety protection
16Life Cycle Assessment
Our Life Cycle Assessment (LCA) looked at the direct and indirect impacts of our whole business operations.
The LCA looked at key areas across our business and our top 90 suppliers, including consideration of
sector-specific economic forces and social hotspots, such as human and labour rights issues.
Figure 4.4 Life Cycle Assessment of our business operations
Mobile phone Product A Business Unit B Network equipment
Raw Materials
Raw Materials
Raw Materials
Manufacturing
Raw Materials INDIRECT
Manufacturing
IMPACT
Distribution
Manufacturing
Delivery
Installation
Manufacturing
Distribution
ORGANISATION
Distribution
Use/ DIRECT
Sale Maintenance/ IMPACT
Installation Repair
Installation
Use/
Use/ Maintenance/
Maintenance/ Repair
Repair
Use/
Maintenance/
Repair Deconstruction
Deconstruction
Deconstruction
Deconstruction
INDIRECT
Waste/ IMPACT
Waste/ Waste/ Reprocessing
Waste/ Reprocessing Reprocessing
Reprocessing
17UN Sustainable Development Goals
Table 4.5 Singtel Group programmes and UN SDGs
SDG SINGTEL GROUP'S POSITION SINGTEL GROUP'S EFFORTS AND PROGRAMMES
The Singtel Group views Workplace health and safety:
any potential risk to the We provide a safe work environment for our people and actively promote
health and safety of our awareness of workplace occupational health and safety. All our Field Operations
stakeholders seriously, employees must attend mandatory training that will enable them to perform their
Goal 3: Good Health and we actively promote assigned roles safely and effectively. We achieved bizSAFE Star certification and
and Well-being health, safety and well- our WSH management system was certified to the Singapore Standard SS506 and
Ensure healthy lives and being at the workplace OHSAS 18001. page 34–35
promote well-being for and in the broader
all at all ages community. Digital citizenship:
Our efforts in cyber wellness and digital citizenship are part and parcel of the well-
being and safety agenda. page 42–43
Electromagnetic energy:
We monitor research findings on EME and comply with ICNIRP and ARPANSA
standards. In Singapore, we engage NEA to conduct EME measurements at
locations of concern. In Australia, we design and deploy our network to comply
with the relevant Federal Government mandated exposure standards. page 46–47
The Singtel Group has Staff training and development:
an important role in We invest heavily in skills training, education and development of our people.
enabling the progress, page 34
Goal 4: Quality development and
Education inclusion of vulnerable Vulnerable children and youth:
segments of the We support the education of children with special needs, at-risk youth and young
Ensure inclusive and society through the people transiting to the workforce. page 39–43
equitable quality support of education
education and promote and skills development Digital citizenship:
lifelong learning opportunities. We actively promote responsible digital citizenship. We became a strategic partner of
opportunities for all the #DQEveryChild learning programme which created the world’s first measurement
of Digital Intelligence Quotient. page 42–43
The Singtel Group treats Gender representation at work:
everyone with respect Female employees are well represented across all levels of the organisation. The
and consideration at Singtel Group has an equitable remuneration structure that has no gender bias and is
all times, regardless of based on work performance. We established new recruitment standards that require
gender, age, ethnicity, a minimum of one female candidate to be shortlisted and one female interviewer to
Goal 5: Gender Equality language, cultural be included for middle management roles at Optus. We launched a Gender Diversity
Achieve gender equality background, physical Project to better understand the working experience of female employees in Optus
and empower all women ability, religious belief Networks and their retention drivers. page 29–30, 37
and girls and lifestyle choice.
Staff awareness:
We celebrated International Women’s Day across the Group by thanking our female
staff for their contributions. We also created a special microsite where we curated
videos of inspiring women and their work, with a section for employees to dedicate a
message to the women in their life. page 30
The Singtel Group is Sustainable energy sources:
committed to adopting We continue to explore opportunities in alternative energy forms to reduce our grid
cleaner energy to reduce dependency. Details of our efforts can be found at our website. page 25
our reliance on fossil
fuels. Greening our networks:
Goal 7: Affordable and
We continue to invest in greening our networks and implement energy efficiency
Clean Energy
programmes. page 23–25
Increase substantially
the share of renewable
energy in the global
energy mix
The Singtel Group is Multigenerational workplace:
committed to growing We worked with UTES and revised our re-employment terms and conditions by
with our people and enhancing medical benefits, approving eligibility for flexible family leave and
making the company a implementing consistent base pay for employees who reach retirement age. page 30
Goal 8: Decent Work vibrant workplace across
and Economic Growth our global operations. Fair employment:
Promote sustained, We employ over 25,000 people worldwide representing about 90 different
inclusive and sustainable nationalities. We strive to create an open and trusting work environment characterised
economic growth, full and by equal opportunity, as well as a diverse, inclusive, collaborative and learning culture.
productive employment We have been a signatory of the UN Global Compact since 2007. We also have a
and decent work for all sustainable supply chain management programme to promote and monitor human
and labour rights practices among our vendors. page 28–31, 50–51
18With the launch of the UN SDGs 2030 in 2015, we undertook an additional mapping last year to assess how our
key focus and programmes relate to these goals, and the areas that we believe we have most impact as a business.
Table 4.5 shows some of our key efforts and programmes in relation to the key SDGs.
SDG SINGTEL GROUP'S POSITION SINGTEL GROUP'S EFFORTS AND PROGRAMMES
The Singtel Group Social innovation:
innovates continuously Our social innovation programme, the Singtel and Optus Future Makers, supports
to stay at the forefront charities, social entrepreneurs and social enterprises that believe technological
to bring the latest and innovation plays a key role in addressing social causes in Singapore and Australia.
Goal 9: Industry, the best services to our page 44
Innovation and customers, and works
Infrastructure with changemakers to Infrastructure:
bring creative solutions to We continuously invest in our fixed and mobile networks to offer a superior customer
Build resilient
solve social problems. experience. We also invest in cyber security to protect the ICT infrastructure of
infrastructure, promote
our enterprise customers as well as training of cyber security and smart cities
inclusive and sustainable
professionals. page 32, 46
industrialisation and
foster innovation
Innovation:
We continuously innovate to bring the latest and the best services and experience to
our customers. page 46
The Singtel Group is Workplace diversity:
committed to creating We create an open and trusting workplace environment characterised by equal
equal opportunity for opportunity, as well as a diverse, inclusive, collaborative and learning culture. We
Goal 10: Reduced both our people and launched a Group Diversity microsite on our staff portal to help drive awareness and
Inequality our communities. serve as a one-stop information site for upcoming events, trainings, useful resources
and news on various diversity topics. page 28–32
Reduce inequality within
and among countries
Equal opportunity:
We supported SG Enable’s pilot 12-week RISE Mentoring Programme in Singapore
with four executives from Consumer Operations, Finance, HR and IT who mentored
tertiary students with disabilities. page 31
The Singtel Group Inclusive smart cities:
leverages our ICT We actively support Smart City and Smart Nation visions and we are developing
competence to develop a suite of smart home solutions for our customers. We conducted workshops for
solutions that improve senior citizens in Singapore to use smartphones and social media apps, as well as
Goal 11: Sustainable quality of living, and online safety tips like protecting their online privacy and against scams. We are also
Cities and Communities focuses on building a founding partner of the Australian Business Roundtable for Disaster Resilience and
Make cities and human a resilient network Safer Communities. page 40
settlements inclusive, infrastructure.
safe, resilient and
sustainable
The Singtel Groups Going green:
actively monitors our We aim to reduce paper use in our business operations and actively promote the
waste management 3Rs – Reduce, Reuse and Recycle – to our people. We provide recycling facilities at
Goal 12: Responsible practices as part of our our retails shops in Singapore and Australia. We launched a joint e-waste recycling
Consumption and business operations programme in Singapore with SingPost. We continue to support the Mobile Muster
Production and environmental programme in Australia, and during the year, backed the campaign ‘Mobile for a Meal’
Ensure sustainable conservation efforts. where one meal was donated to a charity for every phone recycled. page 25–26
consumption and
production patterns
The Singtel Group Environmental focus:
is committed to We undertook a Science Based Targets programme and engaged experts on
understanding, managing developing science based targets to understand how the Singtel Group can align our
Goal 13: Climate Action and minimising our business with the Paris COP21 climate deal to keep global warming below 2°C. These
Take urgent action to environmental footprint targets will focus on reducing our Scope 1 and 2 emissions using a science based
combat climate change across our value chain, approach, while Scope 3 emissions will also be addressed through our supply chain
and its impacts including our business efforts. page 22
operations, suppliers and
customers.
The Singtel Group is Key partnerships:
committed to establishing We have formed strong relationships with key partners for our strategic programmes
partnerships and targeting at meeting our sustainability and community needs. These partners include:
collaborations to solve ABCN, ABR, DQ Institute, Global Compact Network Singapore, National Council
Goal 17: Partnerships some of the most pressing of Social Service, SG Enable, SPD, SingPost and Singapore Business Network on
for the Goals social or sustainability DisAbility. page 25–26, 39–40, 42–43
Revitalise the global needs, whether locally or
partnership for globally.
sustainable development
19Summary of Material Topics and UN
Sustainable Development Goals for the
Singtel Group [102–46] [102–47] [103–1]
Table 4.6
Our Top material topics
Sustainability for the Singtel Group UN Sustainable Material outside
Pillars (Singtel and Optus) GRI Standards disclosure Development Goals the organisation
Climate change and carbon Energy 7. Affordable and clean Society and suppliers
energy
Emissions 9. Industry, innovation and
infrastructure
Waste management Effluents and waste 11. Sustainable cities and Society
communities
ENVIRONMENT 12. Responsible consumption
and production
13. Climate action
17. Partnerships for the goals
Diversity Diversity and equal 3. Good health and Society
opportunity well-being
5. Gender equality
Talent attraction and retention Employment 8. Decent work and
economic growth
10. Reduced inequalities
PEOPLE Training and education Training and education
Employee health and safety Occupational Regulators
health and safety
Inclusion of vulnerable groups Economic performance 3. Good health and Communities
well-being
4. Quality education
Digital citizenship and Local communities Communities,
online safety 8. Decent work and particularly children
economic growth and youth
9. Industry, innovation
COMMUNITY and infrastructure
10. Reduced inequalities
11. Sustainable cities and
communities
17. Partnerships for the goals
Customer satisfaction – 3. Good health and Distributors
well-being and customers
5. Gender equality
Product and service quality Socio economic Customers and
compliance 8. Decent work and regulators
economic growth
Innovation Indirect economic impacts 9. Industry, innovation Advertisers for digital
and infrastructure advertising
11. Sustainable cities and
Customer health Customer health communities Customers and
and safety and safety 12. Responsible consumption regulators
and production
Customer data privacy Customer privacy Offshore and outsource
and protection vendors, particularly in
India and the Philippines
MARKETPLACE
AND Fair marketing communications Marketing and Customers, digital
CUSTOMERS labelling advertisers and
regulators
Anti-corruption Anti-corruption Suppliers and regulators
Supply chain management Supplier social assessment Mobile and fixed
broadband service
Supplier environmental vendors and distributors
assessment
2005 Environment –
The Smallest Footprint
We are committed to understanding, managing and minimising our environmental footprint
across our value chain, including our business operations, suppliers and customers.
OUR APPROACH The Singapore government has We are guided by our Environmental
With our refreshed materiality matrix also stepped up their efforts to Management System (EMS) and the
and clearer priorities reflected in our lower the nation’s environmental Group’s environmental strategy. We
Life Cycle Assessment (LCA), the Singtel impact through the introduction of continued our efforts to align with
Group is more focused than ever in increased water prices this year the ISO 14001 management system
moving towards decarbonisation and a planned carbon tax in 2019. and will be pursuing certification next
and better resource management We remain committed to aligning year across our entire operations
to minimise our environmental our business activities to support in Australia. This approach also
footprint. We continue to strengthen our the government’s agenda and reflects our support towards the
environmental programmes and focus on UN Sustainable Development precautionary principle of the ‘Rio
strategic initiatives which we believe will Goal 13 of Climate Action. Declaration on Environment’, 1992.
yield greater impact over the long term. [SDG 13] [102–11]
Figure 5.1
SINGTEL GROUP'S ENVIRONMENTAL STRATEGY
ADDRESSING INTEGRATING
CLIMATE CHANGE THE ENVIRONMENTAL PRODUCT ENGAGING OUR
AND CARBON AGENDA INTO STEWARDSHIP STAKEHOLDERS
OUR VALUE CHAIN
Mitigating our Ensuring our suppliers Responsible packaging Outlining the benefits of
greenhouse gas impact work in alignment with and end-of-life our ICT services to our
through performance Singtel Group's core treatment of customers and engaging
and efficiency sustainability values, product lines with stakeholders on
and work in partnership climate adaptation and
to minimise risk and resilience
maximise value
Adapting to the impacts Implementing Responsible for end-of- Engaging our staff
of Climate Change and governance life of our infrastructure through environmental
making our network frameworks that will and consumed products sustainability by
resilient provide environment and services supporting this at work
and financial value to and personally
the Group
Commenced Science Sustainable Supply Chain Undertook Life Cycle Identify the credentials
Based Targets Management programme Assessment of our ICT services and
Programme implementation communicate these
Provide streams for through business units
Energy initiatives and Integration of key customers to recycle end-of-
projects exploring requirements into the life products and accessories Project LESS activities
performance efficiency business including through our e-waste (Examples: Singtel annual
and renewable energies packaging, resource recycling programmes Plant-A-Tree Day, Earth Day,
efficiency and World Environment Day)
Adaptation electromagnetic energy Best practice model for
Action Planning our infrastructure and IT
equipment recycling
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