Axiata Sustainability

ADVANCING ACCOUNTABILITY

How our governance practices drive long-term value​

Business Ethics & Compliance

We ensure that our OpCos maintain strict compliance with all applicable laws, regulatory requirements and policies across our markets of operation, conscious that any incidence of non-compliance or unethical business conduct poses a significant risk to our ability to maintain and expand upon our established market positions.

With oversight from the Board Risk & Compliance Committee (BRCC), and driven through Risk & Compliance divisions set up across our companies, Group-wide policies and standards help to mitigate all relevant risks in this area, with specific focus placed on risks related to data privacy, Anti-Bribery and Anti-Corruption (ABAC) and regulatory compliance.

Our efforts revolve around four key policies, two of which were revised or developed anew in 2021, and all of which reflect our UI.EP core values.

Outlook

While we have already heightened efforts in the year to standardise and ensure compliance to operating responsibly, with integrity and professionalism, we are cognisant that good business conduct is an ‘always-on’ imperative. A corruption risk register is being enhanced at Group and OpCos and will be completed within the year. We will continue to strengthen the execution of our business commitment to ethical standards and ensure appropriate mechanisms are well understood and solidified to manage, identify and control breaches.

The Axiata Code of Conduct

Revised in 2021, the code outlines our commitment to conduct business in a manner that is efficient, effective and fair, including in relation to anti-competitive conduct by our companies and suppliers.

Anti-Bribery & Anti-Corruption (ABAC) Policy

Revised in 2021, the policy details our zero-tolerance policy towards bribery and corruption across all stakeholders, with all OpCos also revising their ABAC policies in 2021 to be in line with the Group’s.

Gifts, Donations & Sponsorship (GDS) Policy

Provides guidelines to all stakeholders on how to manage and respond to gift, donation and sponsorship related matters.

Axiata Whistleblowing
/ Speaking Up Policy

Governs the whistleblowing process, establishing a mechanism for all stakeholders to voice and register any concerns relating to any actual or suspected misconduct, illegal or unethical behaviour, without fear of retaliation or unfair treatment.

  • Developing Specific & Purpose-Fit Policies

In addressing compliance risks specific to certain business operations and activities, additional policies to our key policies are developed by Group Risk and Compliance to provide detailed guidance.

In 2021, a Group-wide Branding, Advertising, Marketing and Sponsorships Policy (BAMS) was launched to govern conduct by Group and OpCo branding and marketing teams, while targeted ABAC training continues to be delivered to divisions considered to be at a higher risk of bribery and corruption, including Finance, HR, Procurement and Sales.

  • Managing Human Rights Risks

Human rights risks cover matters that relate to labour rights, working conditions and treating stakeholders fairly. In addition to requiring our suppliers to comply with applicable labour laws and regulations, and to the international labour rights and principles established by the International Labour Organization, we maintain oversight of a broad range of potential risks across our customers, workforce, suppliers and local communities.

Stakeholders and Human Rights Risks

Customers

  • Artificial Intelligence and Big Data analytics
  • Privacy and freedom of expression
  • Online safety

Workforce

  • Freedom of association, collective
    bargaining
  • Non-discrimination
  • Fair remuneration
  • Forced labour

Suppliers

  • Child labour
  • Forced labour
  • Conflict mineral standards

Community

  • Community impacts from building and maintaining infrastructure
  • Practising Full Tax Transparency

In addition to direct investments in our communities, our tax contributions form an important means of aiding the nation-building efforts of the countries we operate in, with compliance to tax law and obligations.

Full details of our tax contributions in 2021 can be found in the National Contribution section of our Sustainability and National Contribution Report 2021.

In 2021, we contributed
USD1.7 billion in direct and indirect taxes and fees to the governments of all countries where we operate.

Description of our material matters

Our material matters are determined through a bi-yearly process of materiality assessment, detailed below:

1. Review Of Material Matters

We review and update our material matters in response to changes in our business landscape, risk environment, internal policies, KPIs, emerging local and global sustainability trends, regulatory developments and stakeholder opinions. Our review also incorporates peer benchmarking.

2. Stakeholder Engagement

We conducted a structured stakeholder prioritisation exercise by leveraging insights from our dialogue with various stakeholders on our material matters. This allows us to identify the influence and dependence of key stakeholders on the Group. We then engage with the prioritised stakeholders to obtain their feedback on material matters.

3. Sustainability Impact Assessment

Upon identification of our material matters, we conducted workshops within the Group to further prioritise materiality matters from the business perspective.

Description of sustainability material matters - Next Generation Digital Champion

Material matter

Description

Material matter

Description

Sustainable Business Growth

Consideration of Economic, Environmental and Social (EES), and positive direct and indirect value creation in our strategic investment decisions to enhance our shareholder returns

Network Quality & Coverage

Enhancing network quality and coverage through continuous improvements in efficiency, availability and reliability

Digital Inclusion

Providing affordable and innovative products and services in bridging the digital gap

Digitisation & Modernisation

Technological innovation to enhance key internal business functions, improve process efficiency and effectiveness, and promote innovation and business continuity

Description of sustainability material matters - Environment

Material matter

Description

Material matter

Description

Climate Action

Internal controls and monitoring mechanisms to manage environmental impacts

Resource & Waste Management

Towards circular economy within our operations as well as the solutions we can provide our customers and supply chains waste management

Description of sustainability material matters - Social

Material matter

Description

Material matter

Description

Fair Employment & Welfare

Fostering fair recruitment practices by embracing diversity and inclusion in the workforce, and offering employees fair compensation and benefits

Talent Development

Promote development and uplift competencies of employees to respond to the rapidly changing and complex business environment

Employee Health, Safety & Wellbeing

Providing for the health, safety and wellbeing of our employees in ways that address key challenges and bring value to their livelihood in the workplace

Customer Service

Delivering a differentiated user experience for customers, and offering the most affordable products and services relative to customer promise in our highly competitive markets

Supply Chain Management

Consideration of EES factors across supply chain management and processes

Community Development

Financial and non-financial contributions to support local communities, underprivileged and underserved groups

Emergency & Disaster Response

Providing society in times of emergency and disaster, through the contribution of our business streams in disaster response

Description of sustainability material matters - Governance

Material matter

Description

Material matter

Description

Business Ethics & Compliance

Enhance business integrity compliance within the ambit of Malaysian and international laws on bribery and corruption

Data Privacy & Cyber Security

Protection of all data, information and intellectual property against cyber security breaches

Regulatory & Political Risk

Management of the evolving changes in the regulatory landscape and political context