Global
Megatrends
Identifying and managing our risks is vital for the sustainability of our business. As a conglomerate, our business operations, management and growth are influenced by a wide range of risks, ranging from local to regional and global risks.
Out of the five global shifts that are reshaping the world we live in, we recognised three that will have a significant impact on our businesses. Subsequently, we identified the risks and potential consequences of these trends, which guide us in better managing our Company’s material issues in the environmental, social and governance areas.
RISK THEMES
- Planetary health: The planet cannot wait
RISKS
- Climate action failure
- Human environmental damage
CONSEQUENCES
-
Extreme
weather -
Biodiversity
loss -
Natural
resources crises -
Zoonotic
diseases
MATERIAL ISSUES
ENVIRONMENTAL
- Physical Impacts of Climate Change
- Ecology & Biodiversity
- Resource Management (Energy)
- Resource Management (Water)
- Resource Management (Supply Chain & Materials)
- Pollution (Waste / Effluents)
- Pollution (Emission)
OPPORTUNITIES
AND OUR
RESPONSE
Planetary Health recognises that human health and the health of our planet are inextricably linked, and that our civilisation depends on human health, flourishing natural systems and the wise stewardship of natural resources. With natural systems being degraded to an extent unprecedented in human history, both our health and that of our planet are in peril. Climate action failure and rapid negative environmental impacts from human activities will result in extreme weather conditions, biodiversity loss and natural resources crises. As a result, the physical effects of climate change, as well as the resulting ecological and biodiversity imbalance, will pose significant risks to our business and livelihood. Therefore, we are committed to better resource management in order to improve resource efficiency, reduce waste and reduce pollution through responsible business practices.
RISK THEMES
- Employees
- Communities
- Customers
RISKS
- Workforce trends
- Health & well-being
CONSEQUENCES
- Future of work
- Livelihood crises
MATERIAL ISSUES
SOCIAL
- Indirect Economic Impact
- Human Capital Development
- Diversity and Inclusion
- Labour Standards and Practices
- Health and Safety
- Customer Responsibility
- Community Enrichment
OPPORTUNITIES
AND OUR
RESPONSE
After nearly two years of upheaval in labour markets caused by the COVID-19 pandemic, many advanced economies are recovering with plenty of job openings. However, workers have not yet fully returned. The introduction of a younger workforce as a result of an ageing population, combined with major human rights movements in recent years, is also influencing social change movements, characterised by the evolution of people’s behaviour, cultural norms and attitudes towards the workplace environment. If the broader trend of plentiful jobs and insufficient workers continues, it can have major implications for growth, inequality and inflation. For this reason, we are committed to our employees’ welfare, with an emphasis on a workspace that is safe, respectful, inclusive and diverse to ensure our talent pipeline is safeguarded. As workplaces evolve, we will be prepared for the future of work within our organisation.
At the same time, we will continue to be involved in nation-building by supporting and contributing to our communities over time through various community enrichment projects, as well as relief efforts where livelihoods are affected by disasters.
RISK THEMES
- Connectivity blind spots
RISKS
- Digital power concentration
- Cybersecurity failure
CONSEQUENCES
- Digital inequality
MATERIAL ISSUES
GOVERNANCE
- Corporate Governance
- Customer Responsibility
- Business Ethics
- Resource Management (Supply Chain & Materials)
- Risk & Crisis Management
- Corporate Governance
- Business Ethics
- Risk & Crisis Management
- Customer Responsibility
- Resource Management (Supply Chain & Materials)
OPPORTUNITIES
AND OUR
RESPONSE
New technologies lie at the heart of resolving or accelerating the megatrends (enablers). Machines will learn faster than humans and personal data will be a valuable commodity. Technology will enable solutions to climate change and population problems. The flipside to this is the risk of digital power concentration within a small number of individuals or businesses that will result in digital inequality. Additionally, a failure in cybersecurity will result in breaches of our customers’ and people’s privacy. While we spend to innovate our businesses with digital solutions that will boost long-term growth, we need to put in place strong governance and business ethics to minimise threats to our business security and stakeholders’ privacy.
