Dear Stakeholders,
We are pleased to present DIALOG’s Sustainability Report for the financial year ended 30 June 2023.
Despite the challenges thrown up after the pandemic – geopolitical instability and a sluggish global economy, DIALOG continued to display resilience. It underscores our commitment to managing the Group in a sustainable manner.
In the changing landscape of the industry today, we believe in positively impacting our business and the communities where we operate. Following the introduction of a refreshed Environmental, Social and Governance (“ESG”) framework in FY2022, we took steps in FY2023 to develop goals, targets and initiatives of key material topics.
We introduced a Sustainability Policy in August 2023, which serves to integrate sustainability with the long-term viability of our business. This will lead to value creation and, thus, positive effects on the environment, the economy and our stakeholders.
DIALOG’s ESG agenda is centered upon the following 3 pillars:
DIALOG’s sustainability governance is supported by key policies, systems, processes, standard operating procedures and best practices.
We conduct a comprehensive materiality assessment every 4 years, with a midpoint review every 2 years. Based on the outcome of the extensive materiality assessment conducted in FY2022, we have identified 16 material topics that represent DIALOG’s most significant ESG impacts.
DIALOG supports the aspirations of the United Nations 17 Sustainable Development Goals (“SDGs”). Building upon the Group’s current ESG initiatives, DIALOG is prioritising 8 SDGs as listed in the table below. Together, these cement our dedication towards building a sustainable future for the communities in which we operate.
To accelerate our ESG journey, DIALOG has developed an ESG Roadmap, outlining the initiatives the Group aims to achieve in the short to medium-term. This proactive approach enables our organisation to evolve and allocate the appropriate resources toward accomplishing our Roadmap goals.
In August 2023, DIALOG introduced its Sustainability Policy which reinforces the Group’s commitment to sustainability as part of our corporate mission. We believe that in addition to helping curb global climate challenges, sustainability will help drive business opportunities and success.
As we lay the groundwork for sustainability, we have identified 5 key topics for goal and target setting for the short to medium-term. We will ensure that our initiatives stay relevant and on track to achieving our goals through regular reviews and refinements. We also intend to continuously expand its scope by setting goals and targets for more topics.
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 address the climate change challenge, we have formulated a Climate Change Strategy focusing on four areas: Decarbonisation, Sustainable and Renewables, Circular Economy, and Climate Risk Management. Each area has been identified to align with our internal operations and leverage on our business strengths, while creating a positive impact on a broader environment.
DIALOG sets and maintains standards of environmental management via the Group’s Health, Safety & Environment Management System (“HSEMS”). The Group demonstrates our commitment to keep our environmental footprint to a minimum through our HSE Policy, where we have stated that we will strive to:
HSEMS ensures proper procedures and work systems are in place to manage DIALOG’s air emissions, water, waste and effluent.
Detailed Environmental Impact Assessments (“DEIA”) are carried out and are mandatory for any new project, 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 assessments are then used to formulate site specific Environmental Management Plans (“EMP”) and ongoing Environment Monitoring Management Plans for the duration of the project. To ensure compliance with EMPs, we engage with registered DOE Consultants to conduct yearly environmental audits based on the DEIAs and EMPs.
DIALOG remains committed to minimising our impact on biodiversity through close engagement with local governments and regulators as well as working with local or international organisations and non-governmental organisations (“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 will be a positive impact on our employees, suppliers and the communities where we operate.
OSH impacts our operations, productivity and the long-term viability of operations. Aside from protecting the Group against financial, operational and legal ramifications, a good OSH track record will help attract and retain talent, instil trust in our customers and stakeholders, and guarantee our license to operate.
This ensures that we create value and meet our customers’ needs. As such, DIALOG is committed to protect the safety and health of our employees and the people we work with.
DIALOG’s HSE Policy drives our commitment to ourstakeholders 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.
As such, it is inherently important for us to manage our people holistically and effectively, especially as the competition for talent in the marketplace continues to intensify.
Community engagement is part of work culture of being caring and compassionate. It motivates people to be innovative in meeting ESG goals, as well as being aware of the communities that surround us. It positively impacts the communities and ultimately contributes to our sustainability.
DIALOG supports the MyKasih Foundation (“MyKasih”), a private non-profit organisation with a vision to create loving and caring neighbourhoods all over Malaysia.
At DIALOG, supply chain management remains paramount in achieving long-term success and resilience. We emphasise ethical and responsible business practices in our supply chain management approach. The supplier and contractor screening process commences with the evaluation of potential suppliers and contractors through a qualification process and invitation to bid.
We uphold the highest standards of governance, business ethics, integrity and transparency as robust governance and ethical behaviour are the bedrock of every responsibly managed organisation.
DIALOG adheres to good governance as advocated by the Malaysian Code on Corporate Governance(“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.
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 the Malaysian Anti-Corruption Commission’s (“MACC”) Section 17A which took effect on 1 June 2020 resonates with our objective of fostering a business environment free of bribery and corruption.
Risk Management is a prevalent feature of DIALOG’s ways of working. Risk Management processes are governed by the Risk Management policy and framework. Group Risk Management works closely with business lines to ensure that there is an ongoing process of identifying, evaluating and managing significant business risk exposures.
Taxes help spur economic growth and enable governments to meet societal demands. As a responsible corporate citizen, DIALOG observes all applicable laws, rules and regulations in meeting the group’s tax compliance and reporting responsibilities in countries where it operates.
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:
