Governance


Sime Darby Plantation's (SDP) Board is accountable for the Group's sustainability commitments and performance. Through the establishment of a Sustainability Committee, the Board has oversight of SDP Group of Companies' objectives, policies and practices on sustainability.

Our Chief Sustainability Officer (CSO) plays an active role in our sustainability direction and performance. He also sets the agenda for the Company's sustainability initiatives and drives business units towards industry-leading performance.

Click here for our Sustainable Committee (SC) Term Of Reference.
 
 


Risk Management
Key Plantation Sustainability-Related Risks and Mitigation Measures

As part of our risk management, we have identified sustainability-related risks and mitigation measures. You can view our Key Plantation Sustinability-Related Risks and Mitigation Measures in our 2019 Sustainability Report insert SR link

Managing Our Material Matters
 
Material Matters Mitigation Strategies
SOCIAL AND ENVIRONMENTAL PERFORMANCE
  • Deforestation, Conservation & Biodiversity
  • Climate Change Impacts and Climate Resilience
  • Fire and Haze
  • Human Rights and Exploitation
  • Supply Chain Transparency and Sustainability
  • Smallholder Inclusion
  • Flawlessly implement sustainability standards such as the Roundtable on Sustainable Palm Oil (RSPO), Malaysian Sustainable Palm Oil (MSPO), and Indonesian Sustainable Palm Oil (ISPO)
  • Lead in development of new environmental and social performance standards and approaches, in line with stakeholder expectations.
  • Manage supply chain risks by improving traceability and engagement with suppliers.
  • Ensure inclusion of smallholders in a sustainable supply chain
  • Engagement and inclusion of stakeholders through collaborations and partnerships to co-develop solutions for material issues
  • Maintain high levels of disclosure and communicate effectively on material issues
OCCUPATIONAL SAFETY AND HEALTH PERFORMANCE
  • Fatalities, Injuries, Accidents of Employees
  • Effective implementation of Occupational Safety and Health (OSH) Systems and Standards across the entire Group
  • Continuous improvement of our OSH systems with a goal of achieving Zero Harm.
  • Increase awareness and accountability of safety & health by implementing campaigns and improvement initiatives
  • Develop a proactive safety and health culture by promoting concern reporting.
  • Implement targeted intervention programmes to tackle critical issues and locations
OPERATIONAL PERFORMANCE
  • Productivity & Efficiency Improvements
  • Disruption to Production due to External Factors
  • Quality and Safety of Products
  • Yield Intensification
  • Strategy execution in an effective manner:
    • Systematic replanting programme to ensure optimal output in the long-term.
    • Dedicated performance monitoring units to monitor operational performance.
    • Technical support to our Upstream and Sime Darby Oils businesses by advisors to ensure continuous operational excellence.
    • Focus on innovation to improve productivity, optimise efficiency of processes, and enhance quality of products and services.
  • Robust planning to optimise harvesting and crop recovery during wet weather conditions.
  • Irrigation mechanisms deployed during dry weather conditions.
  • Research & Development (R&D) for high-yielding and infection-resistant oil palm breeds as well as methods to manage diseases.
  • Ensuring robust safety and quality checks and adherence to food safety standards.
PEOPLE MANAGEMENT
  • Availability of Adequate
  • Manpower Minimum Wage
  • Succession Management
  • Robust development programmes to fill capability gaps in sustaining long term performance.
  • Sourcing of workers from a number of countries to reduce dependency on one source country.
  • Supervisory and technical training programmes for executives & non-executives, e.g. Staff and Supervisor Enhancement Programme, Harvesting Skills Training for plantation workers.
  • Mechanisation and productivity enhancement initiatives to reduce dependence on labour
COVID-19
  • Every effort has been made by management to contain the spread of the virus, which include:
    • Working from Home arrangements for employees
    • Restrictions and minimisation of business travel globally
    • Putting in place procedures across all our operations to protect the safety and health of all our employees
    • Full compliance with government guidelines and regulations in all countries, e.g. the Movement Control Order (MCO) in Malaysia
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