Sustainability Statement 2

SUSTAINABILITY
STATEMENT

🔊

Sustainability Governance Structure

SAMEE believes in the importance of a proper and functional governance structure. Our governance structure ensures transparency, accountability, clearly defined roles and effective decision-making for sustainability strategies and implementation.

Figure 2:
Sustainability Governance
Structure of SAMEE

SAMEE’s proven governance structure adds value to stakeholders in all business and sustainability aspects. Sustainability is integrated into our daily strategy while we facilitate sustainability-related work with employees, partners, shareholders, government, customers, community and media. We are dedicated to upholding sound corporate governance, consistently upholding high moral standards in all facets of our operations and abiding by all applicable laws and regulations in the jurisdictions in which we conduct business.

Sustainability Approach

The EESG pillars of sustainability form the foundation of SAMEE’s Sustainability Policy (“Policy”) and we focus priority on governance considerations to reinforce our commitment to sustainability. The focus is on integrating economic, environmental, social and governance elements into daily operations while coordinating our actions with the SDGs of the United Nations.

In terms of approach and efforts, we ensure that all of our internal stakeholders are aware of our commitment to sustainability. For this reason, we continue to host pertinent sustainability-related workshops and talks for our internal stakeholders, particularly our heads of divisions and departments and we integrated our sustainability approach and initiatives into our orientation programme for our new employees to ensure we have a consistent and shared understanding of the sustainability initiatives and measures embraced by SAMEE.

We promote our sustainability principle and practices: Awareness, Comprehension, Commitment, Action, Evaluation and Monitoring among our leaders and internal and external stakeholders to achieve our sustainable goals.

Sustainability Framework

Economics

Society

Environment

Board Governance on EESG

Strategy

EESG Risks and opportunities integrated into SAMEE’s long-term strategy
EESG performance of monitoring, i.e., milestones and goals

Messaging

Ensure alignment of EESG messaging and activities with the company’s purpose and shareholders interests

Risk Assessment

Oversight on sustainability materiality
Allocation of oversight of the risks to full board/ individual committees

Reporting

Communication platform for the company’s EESG disclosure

Figure 3: Sustainability Framework and Board Governance on EESG

Stakeholder Engagement

SAMEE practices holistic and consistent stakeholder engagement with businesses, organisations and people with a stake or an influence in our daily business activities and long-term business planning. We believe open and transparent communication is key to maintaining stakeholder trust. This enables us to share our vision and commitment to a sustainable future and we treat this as one of the critical success factors for our business survival and growth plan.

In our effort to achieve maximum impact, SAMEE strives to achieve long-term partnerships with stakeholders in our employee and community programmes, government authorities, customers, suppliers and the media. For instance, business and trade associations such as the Federation of Malaysian Manufacturers (“FMM”) and the Malaysia Semiconductor Industry Association (“MSIA”).

We have assessed, prioritised and engaged with our stakeholders to ensure that we have identified and considered all the relevant stakeholders to further our sustainability approach and our business strategy, thereby realising a long-term business plan.

Board of Directors

Guides on key economic, business, environmental and social issues
Ensures practices in sustainability are incorporated into all critical decision-making processes and implementations
Approving the sustainability and risk management framework
Deliberates on sustainability and risk governance issues

Risk & Sustainability Committee

Review and recommend sustainability strategies and performance targets for SAMEE on a Group basis.

Sustainability Committee Working Group

Sustainability Committee Working Group (“SCWG”), comprising heads and members of our business units and divisions oversees the implementation, monitoring and delivery of the ESG initiatives and performance.

Our current stakeholder engagement approach is as follows:

Table 1: SAMEE’s Stakeholder Engagement

Stakeholders	Areas of Interest / Concerns	Engagement Channels	Sub-Group	Frequency
Internal Stakeholders
Employees /Management /Directors	Update on the current and future directions of SAMEE Update on the current and projected performance of SAMEE Opportunities for healthy career growth, upskilling, and learning & development Update on the current and future plans for the working environment, especially on job security, health and safety Safeguarding human rights and a humane & respectful workplace environment	Periodic and ad-hoc meetings and interactions Workshop discussions Weekly coordinating meeting and Weekly operation meeting Quarterly employee communication session Quarterly management meeting Annual Management Retreat/Conference Board and Board Committee meetings Plant/Factory visits Learning and development programmes Value Creation Programme Corporate volunteering programmes Induction training Employee performance appraisal Employee Engagement Surveys SAMEE eHub App on Smartphones HR participates in Career Talks during SAMEE Career Day and career fairs organised by Perkeso and Learning Institutions	Directors Management Permanent staff Contract staff	Annually Quarterly Monthly Weekly Ongoing
Shareholders / Investors	Current and projected growth opportunities and threats Funding needs Risk management Corporate governance ESG-compliant and initiatives Board representation and diversity	Timeliness and periodic Bursa announcements Analysts/fund managers presentations and briefing Analyst reports on SAMEE Media write-ups on SAMEE Annual General Meeting SAMEE Annual Report	Shareholders Investors Financial Institutions	Annually Quarterly Ongoing
External Stakeholders
Customers	Product & technology development and collaboration Quality & reliability of products & services with assurances Projected orders and commitments Timeline and timeliness in delivery Warranties and claims Customer service Pricing issues and trends International & specific standards and ESG-compliant Human/labour rights and safety Business Continuity Planning on delivery Collection aging/ schedule	Periodic and ad-hoc meetings and interactions Periodic and surprise quality control and audit by customers Monthly Operation Review Quarterly Business Review Conduct a Customer Satisfaction Survey	Customers representatives	Annually Quarterly Monthly Weekly Ongoing
Business Partners / Suppliers / Trade associations	Product & technology development and collaboration Quality & reliability of products & services with assurances Projected orders and commitments Timeline and timeliness in delivery Warranties and claims Customer service Pricing issues and trends International & specific standards and ESG-compliant Human/labour rights and safety Business Continuity Planning on supply Payment aging/schedule	Periodic and ad-hoc meetings and interactions Periodic and surprise quality control and audit on suppliers Monthly Operation Review Quarterly Business Review Participation in suppliers’ Customer Satisfaction Survey	Trade associations Roundtables	Annually Quarterly Ongoing
Community	Volunteering projects Donations in kind and monetary Health, safety and environmental initiatives	Initiatives & partnerships with NGOs Institution/University internship programme Corporate volunteering programmes (Blood Donation, Orphanage Visit, Cleaning & Painting event)	Local surrounding community Local government Local charities	Ongoing
Regulators	Meeting of all required operating licenses and regulations Compliance of all requirements from local councils and authorities (e.g., DOSH & DOE) Anti-Bribery & Corruption Human rights Ensuring all employees are protected by all relevant labour laws and requirements Hiring of only legitimate foreign workers Fair treatment of all employees Availability of whistle-blowing channels and protection for whistleblower	On-site inspection Safekeeping and availability of records for audit Correspondences with regulators Dialogues with regulators Participation of dialogues and forums	Health and Safety Department Department of Environment Labour Relations Department	Ongoing
Media	Financial reporting Transparency Business continuity	Media Release Media Interview Press Conference	Social media Newspapers	Ongoing

We also periodically conduct Employee Engagement Surveys to assess the views of our employees on several factors, including the work environment, compensation and benefits, job satisfaction and supervisory support. Although conducted anonymously, the results allow us to allocate resources and target relevant actions toward the employee category or site that most require it.

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