We are pleased to share with you DIALOG’s Sustainability Report for the financial year ended 30 June 2022.
The Group’s continued strength and resilience in the face of challenges brought on by the COVID-19 pandemic, increasingly volatile geopolitical climate and gloomy economic outlook is a testament to our long-standing commitment to manage DIALOG’s business in a sustainable, responsible and holistic manner.
In view of the rapid changes taking place in the industry and the world today, the Group reviewed and refreshed the Environmental, Social and Governance (“ESG”) framework and introduced an ESG Roadmap in FY2022. Accordingly, our ESG agenda and material topics are now centered upon the following 3 pillars:
DIALOG’s sustainability governance is supported by key policies, systems, processes, standard operating procedures and best practices.
Formed in October 2021, the Sustainability Development Working Committee (“SDWC”), chaired by the Managing Director of Business Excellence reports sustainability progress and performance to the Executive Leadership Team andBoard of Directors periodically.
In FY2022, the Group conducted a reassessment of its material topics which involved a structured process to identify, engage, prioritise and validate material Environment, Social and Governance ("ESG") topics with a clear focus on key impacts, risks and opportunities. Based on our materiality assessment process, DIALOG’s material ESG topics are as follows:
In FY2022, the Group introduced its ESG Strategy Framework based on the 16 material topics. Represented by the 3 pillars of Environment (E), Social (S) and Governance (G) respectively, this framework will help stakeholders understand how the Group manages its risks and opportunities around sustainability issues.
As a leading integrated technical service provider to the energy sector in Malaysia and internationally, DIALOG supports the aspirations of United Nations 17 Sustainable Development Goals (“SDGs”) which were introduced at the 2030 Agenda for Sustainable Development in September 2015. Based on the Group’s current ESG initiatives, the Group is aligned with the above SDGs.
Moving forward, the Group will enhance our ESG initiatives to prioritise our key SDGs.
In line with DIALOG’s efforts to accelerate our ESG journey, this high-level roadmap provides an overview of the initiatives the Group intends to achieve in the short to medium-term.
The Group is committed to operating responsibly to ensure we minimise our impact to the environment, taking into consideration our role in tackling the climate change crisis, energy consumption, greenhouse gas emissions, the protection of biodiversity, water consumption, waste management and prevention of pollution.
To tackle this issue of climate change, in FY2022, we completed the development of the initial phase our Climate Change Strategy, and have begun to implement the initiatives identified therein.
DIALOG sets and maintains standards of environmental management via the Group’s Health, Safety & Environment Management System (“HSEMS”). Furthermore, DIALOG demonstrates and communicates our commitment to keep our environmental footprint to a minimum, through our HSE Policy and Renewables Council, where we have stated that we will strive to:
DIALOG’s HSEMS provides the procedures and work systems for the management of the Group’s air emissions, water management, and waste & effluent management. We ensure that all our operations comply with environmental regulations across all our operating locations.
Detailed Environmental Impact Assessments (“DEIA”) are carried out and is mandatory for DIALOG’s new projects or expansion of existing projects. The scope of the DEIAs include impact assessments on biodiversity, water pollution, air quality, noise pollution and waste management. These are then used to derive site specific Environmental Management Plans (“EMP”) and ongoing Environment Monitoring Management Plans for the duration of the project. In order to ensure compliance with EMPs, we also engage with the registered DOE Consultant to conduct yearly environmental audits based on the DEIAs and EMPs.
DIALOG remains committed to reducing our impact on biodiversity through close engagement with local governments and regulators as well as working with local or international organisations and NGOs.
People are integral to the sustainability of any organisation. Employees, suppliers and the surrounding community have to work in tandem to create long lasting value for all stakeholders. As such, DIALOG strives to make a positive impact on our employees, suppliers and the communities in which we operate.
Aside from protecting the Group against financial, operational and legal ramifications, a good OSH track record helps DIALOG attract and retain talent, instil and maintain trust with our customers and stakeholders, and secures our license to operate.
DIALOG’s HSE Policy drives our commitment to our stakeholders with respect to HSE.
Our employees are our most valuable asset. They are critical to the sustainability of the Group’s business as their performance directly affects the outcome of our deliverables to our valued clients and stakeholders.
Community Engagement is important to us because the majority of our workforce is local, and positively impacting these communities will ultimately contribute to the sustainability of the Group’s business. Furthermore, it helps reinforce our commitment to social development and corporate responsibility.
DIALOG supports the MyKasih Foundation, a private non-profit organisation with a vision to create loving and caring neighbourhoods all over Malaysia. In addition to the MyKasih Foundation, DIALOG also provides funding support to other charitable initiatives that reach out to the communities in which we operate.
We uphold the highest standards of governance, business ethics, integrity and transparency as robust governance and ethical behaviour is the bedrock of every responsibly managed organisation.
DIALOG adheres to good governance as advocated by the Malaysian Code on Corporate Governance 2017 (“the Code”). The Principles and Practices of the code, where necessary and appropriate, are carried out across the Group to ensure that high standards of transparency, accountability and integrity are attained in managing the Group’s business. During the year we continued to enforce the following stringent policies and guidelines to ensure integrity and ethical practices are upheld:
At DIALOG, ethical behaviour is of paramount importance to us, and we take compliance with our established Code of Business Ethics and related policies seriously. The implementation of Corporate Liability involving commercial organisations under Malaysia Anti-CorruptionCommission’s (“MACC”) Section 17A which took effect on 1 June 2020 resonates with our objective in fostering a business environment free of bribery and corruption.
Bribery and corruption are not only against our values, but the destructive consequences arising from them could negatively impact DIALOG’s employee morale, reputation and financial standing.
At DIALOG, we have established in all our lines of business, an effective risk management process to identify, evaluate, monitor and manage the uncertainties which could either be threats or opportunities within the environment where DIALOG operates.
Risk Management is a prevalent feature of DIALOG’s ways of working. Risk Management processes are governed by the Risk Management policy and framework.The Group Risk Management works closely with business lines to ensure that there is an on-going process of identifying, evaluating and managing significant business risk exposure.
As an integrated technical services provider to the energy sector, DIALOG’s business model is well structured to address the volatility risk posed by oil prices and currency movements to the sustainability of the Group. The Group has proactively adopted various strategies in our business, including: