Sustainability
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Sustainability Statement

OVERVIEW

We are proud to present our ninth annual Sustainability Report which reflects our Group’s sustainability efforts in 2024. As a globally diversified entity, we encounter not only challenges but also opportunities for advancement. Embracing this potential for growth, we have refined our employment practices, enriched our community engagements, embraced eco- conscious processes, and pursued digitalization initiatives. We strive to integrate the highest standards of governance into our sustainability initiatives and daily business processes.

Our Sustainability Report has been produced in accordance with Bursa Malaysia’s Enhanced Sustainability Reporting Requirements.

 

GOVERNANCE STRUCTURE

As part of our commitment to sustainability, we have established a clear governance structure to ensure strategic oversight, compliance, and effective risk management across our business operations.

Sustainability matters are first discussed during the quarterly Executive Committee (“EXCO”) meetings, providing a platform for Senior Management to highlight and deliberate on key issues, track progress, and align on strategic actions. Insights and recommendations from the EXCO are then escalated to the Risk Management and Sustainability Committee (“RMSC”), which is responsible for driving sustainability policies, monitoring risks, and ensuring appropriate mitigation measures are in place.

The RMSC reviews and refines sustainability strategies, assesses internal controls, and prepares key findings for the Board of Directors. The Board holds ultimate responsibility for sustainability, endorsing strategies, approving frameworks, and integrating sustainability considerations into the Enterprise Risk Management ("ERM") framework to guide long-term decision-making.

This structured approach ensures that sustainability remains a core focus at every level of the organization, reinforcing OHB’s commitment to continuous improvement, stakeholder value creation, and long-term business resilience.

The illustration below further depicts our current sustainability governance structure. We will continue our efforts to periodically review and refresh our sustainability governance structure to ensure our economic, environmental, social and governance material matters are adequately overseen and managed.

                                                                             

RMU: Risk Management Unit – each unit represents entity within the Group i.e. core business segments in OHB, subsidiaries and significant associates including joint ventures of the Group, where appropriate

SCOPE

Our Sustainability Report covers the sustainability performance and progress from all segments for the financial year ended December 2023, unless otherwise stated.


SUSTAINABILITY MATTERS

The three sustainability matters are as follows:-

1.     Economic

Our focus on creating long-term sustainable growth for our stakeholders requires us to constantly review our business practices. This facilitates the delivery of economic performance built on good corporate governance and high ethical standards. We ensure compliance with various national laws in Malaysia, Indonesia, Singapore, Australia, New Zealand, and other markets where we carry out our business activities.

2.     Environment

We strive to reduce our environmental footprint by adopting best practices in our daily operations, monitoring our performance against key indicators, and taking appropriate corrective action when necessary to reduce our environmental impact. We work with our stakeholders to enhance awareness of environmental issues, promote sustainable practices, and utilise operational processes that do not adversely affect the environments in which we operate.

3.     Social

We consider our people to be our greatest asset, and we strive to provide them with adequate support, protection, and growth opportunities at the workplace. We also believe that the Group’s success and growth should bring meaningful impact to the communities in which we conduct our business.

4.     Governance

We recognize that effective governance is essential to achieving our sustainability goals. To uphold the highest standards of accountability and integrity, we have adopted a robust corporate governance framework that aligns with industry best practices and regulatory requirements. Our framework is guided by the Main Market Listing Requirements, the Malaysian Code on Corporate Governance ("MCCG"), Bursa Malaysia’s Sustainability Reporting Guide (3rd Edition) and Bursa Malaysia’s Corporate Governance Guide (4th Edition).

For more detailed disclosures on our sustainability efforts and material matters, please refer to our Sustainability Report 2024, publicly available online via our website at www.ohb.com.my.

 

FORWARD-LOOKING STATEMENT

The report outlines the organization’s commitment to sustainability across Economic, Environmental, Social, and Governance ("EESG") dimensions, addressing global challenges like climate change, biodiversity loss, and social equity. It emphasizes sustainable economic growth through innovation, digital transformation, and resilient supply chains, while integrating climate-related risks into financial decisions. Governance is strengthened by transparency, accountability, and zero-tolerance for bribery, with proactive stakeholder engagement to anticipate risks. The organization values its diverse workforce, fostering inclusion, training, and well-being to drive innovation. Environmental efforts focus on water and energy efficiency, waste reduction, and climate change management.

Sustainability governance has long been integral into our operations, and the past year was utilized to fortify reporting structures, aligning sustainability objectives with business goals to enhance value generation across operations, supply chains, and communities. Driven by this momentum, our Group remains committed to sustainability leadership, driving positive change for present and future generations. Moving forward, we will continue to enhance disclosures and reporting approaches, delivering measurable progress within the four pillars of sustainability and creating long-term value for stakeholders, communities, and the environment.