Endorsed in December 2016 and formally rolled out in 2017, the MISC Sustainability Strategy constitutes our six identified sustainability pillars, namely the Customers, Shareholders, Governance & Business Ethics, Employees, Environment and Community pillars. This strategy will act as our five-year roadmap to guide us further in conducting business as a responsible corporate citizen in way that will enhance our social integrity, improve our environmental stewardship and create economic value for our stakeholders.
Our ambition is to take sustainability leadership in our sector with it being embedded into our business philosophy, principles and value systems, organisational structures, and business operations. We are confident that these ambitions can be realized with MISC’s Sustainability Strategy, which will essentially be our guide towards achieving our sustainability ambitions and objectives.
This strategy will ensure our material areas and the initiatives we embark on are in line with our Vision and Mission as well as our Corporate Strategy ‘MISC 2020’ and aligned to the requirements of impending regulations/legislations and the expectations of our stakeholder community, adapting to the volatile shipping industry and strengthening our market position. Together, MISC’s Vision and Mission, the MISC 2020 Corporate Strategy and our Sustainability Strategy, will act as our compass for the Group as we steer towards a successful journey.
Development of the Strategy
Following on from the identification of the material matters, workshops were conducted for each of the sustainability pillars, for the purpose of agreeing on and prioritising the material issues. The workshops served as a platform to formalise and prioritise material areas for MISC, as well as to derive action plans in order to address these areas. The outcome of these workshops was consolidated and culminated into the MISC Sustainability Strategy.
There were a total of three workshops for each of the six pillars, with representation from identified key focal persons across the BUs, SUs and Subsidiaries within the Group. Representation from across the Group was encouraged to ensure all thoughts, views and concerned were represented are consistent. This ensures that the strategy is not just unique to a specific unit/part of the organisation but is indeed relevant and applicable across the Group and safeguards against any misrepresentation upon completion of the strategy. There were a total of 18 workshops conducted across all sustainability pillars.
In deriving MISC’s Sustainability Strategy, the work and processes conducted were indeed thorough, comprehensive and voluminous, to ensure an effective and efficient plan that is considerate to materiality, meaningful, substantial and relevant to the Group. The overall process is captured in the following diagram:
Identifying material issues based on strategic elements , Workshop on Sustainability
1. Identifying material issues based on strategic elements
- Consolidating findings from internal assessment, stakeholder engagement
- Categorising material issues
2. Engaging internal stakeholders within the Group (First Workshop)
- Workshop on sustainability
- Sharing of material issues and findings derived from Step 1
- Sharing of best practives and examples from other organisations
Agreement and prioritisation of material issues with internal stakeholders (Second Workshop) , Development of Action Plans (Third Workshop) , Approval of MISC's Sustainability Strategy
1. Agreement and prioritisation of material issues with internal stakeholders (Second Workshop)
- Discussion with internal stakeholders to identify material issues based on sharing of findings
- Stakeholders to brainstorm and identify potential solutions to address material issues
2. Development of Action Plans (Third Workshop)
- Internal stakeholders to present proposed solutions and actions plans (short, medium, long-term) to address material issues, forming MISC's Sustainability Strategy
3. Approval of MISC's Sustainability Strategy
- Presentation of MISC's Sustainability Strategy to President/Group CEO and the Management Committee (MC) for approval and endorsement
implementation of MISC's Sustainability Strategy , Reporting and Monitoring Strategy Implementation
1. Implementation of MISC's Sustainability Strategy
- Derivation of measurable KPI's from MISC's Sustainability Strategy - channelled back to relevant stakeholders/departments
- Inclusion of these KPIs into Scorecards
2. Reporting and Monitoring Strategy Implementation
- Public reporting on the development of MISC's Sustainability Strategy in MISC's Sustainability Report
- Monitoring of strategy implementation and performance
MISC Sustainability Strategy
The strategy is essentially a five-year roadmap with specific targets to be achieved by the year 2020, in parallel with our five-year business plan MISC2020. The strategy addresses 11 key aspects which are grouped according to the relevance with our six sustainability pillars of Customers, Shareholders, Governance & Business Ethics, Employees, Environment and Community into clear targets. For each of the targets, key milestones, objectives and action plans were derived for each year leading up to the year 2020.
Despite the variation in the functions and operations of the different BUs, SUs and Subsidiaries, and in having their own set of issues and expectations, the strategy was developed in consideration of this to ensure its relevance in applicability and implementation for the Group as a whole.
At MISC, the strategy is to focus on providing the best service and experience to all our customers – through stringent health and safety standards, operational responsiveness, and tailored solutions in order to exceed customer expectations.
We strive to constantly create value and deliver sustainable returns to our shareholders and investors, through the strengthening of the Group’s core businesses and capitalising on growth opportunities in the future.
Sound internal controls are established to complement business policies and uphold good governance practices. This is fundamental towards not only winning the confidence of investors, but are also prerequisites to achieving the Company’s objectives of enhancing and protecting long-term shareholder value.
In line with our mission to promote individual and team excellence, we are committed towards improving employee competency and skill levels, as well developing leadership capabilities so that our employees are able to successfully tackle business challenges head on.
Our approach towards mitigating our environmental impact has been captured in the Group’s Mission, one of which is ‘to care for the environment and operate responsibly’. Operating in a responsible manner and minimising impact on the environment is key to the way business is managed at MISC.
In support of our mission ‘to create a positive difference to the lives of communities’, our primary focus in on value creation through the provision of education and career opportunities through the Group’s maritime academy, ALAM, and also through the various community outreach programmes carried out.