Axiata Sustainability

ADVANCING SOCIAL EMPOWERMENT

The social value we generate

Our Suppliers

A fundamental component of our varied businesses, our supplier base of more than 5,600 provide us with products and services which support the continuity of our daily operations, making a substantial impact on the environment, local communities and national economies in the process.

We hold all our suppliers to high standards of conduct in relation to the environment and human rights, amongst other areas, in order to maximise positive impact across our value chain. Moreover, in contributing to national development agendas in our markets of operation, we view our supplier relationships as long-term investments, prioritising the appointment of local suppliers wherever possible.

Outlook

Effective supply chain management plays a vital role in managing our performance and exposure to supply chain risks. The performance and responsibility of our suppliers also impact our own services and extend across our ecosystem. In view of this, we will continuously collaborate with our suppliers to enhance industry standards across our value chain and beyond our supplier community.

We intend to integrate more positive attributes to our suppliers through our supply chain dealings, such as increasing their attention on sustainability management. With the increased efforts in the year ahead on understanding and reducing our Scope 3 emissions (emissions of our suppliers) we aim for a collaborative approach towards meeting larger industry and national climate goals.

  • Supply Chain Management

To balance the need for service reliability and continuity with social, environmental and ethical risks across our supply chain, all suppliers are thoroughly screened to meet our requirements and must adhere to the standards of the Axiata Supplier Code of Conduct – including those related to sustainable business practices – at all times. Furthering positive impact on ESG issues, we provide our suppliers with training to develop key competencies and implement best practices in sustainability,  improving their standing within their respective fields too.

Finally, we hold ourselves accountable to ethical practices in our supplier dealings, with the Speak Up hotline providing a means for suppliers to voice any concerns without any fear of retaliation or unfair treatment.

Supplier Breakdown and Spending Across MNO and Corporate Centre in 2021

Note: Graphs represent spending across Axiata Procurement Centre, which excludes edotco

Collaborating To Unlock Shared Value

With the goal of collaborating to unlock shared value, Axiata Procurement Centre conducted a virtual supplier forum in 2021, identifying opportunities for cost optimisation, efficiency improvement, digitisation and revenue generation. Reflecting our commitment to mutually beneficial, long-term supplier relationships, we also provide our suppliers with training in key areas such as:

Health, safety, security and environmental awareness
Process and risk mitigation
Our ethics and integrity standards
Anti-bribery and anti-corruption
Digitising business processes

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