Innovate for sustainable
business growth
Pursue proactive
market leadership
Embrace responsible
business practices
Build customer loyalty
and satisfaction
  FY2012
Performance
FY2013
Targets
       
01   02   03   04   05   06   07
Supply chain survey
To determine the level of understanding and extent of application of sustainability strategies and practices of our Tier 1 vendors, the Procurement department conducted a survey of 10 global and local companies. The questionnaire survey covered a number of Global Reporting Initiative (GRI) indicators and United Nations Global Compact (UNGC) principles and we received a 100% response rate. The results allowed us to better identify and understand the vendors’ current and future sustainability issues, and how these relate to Singtel’s own requirements.

Around 90% of our Tier 1 vendors declared that they have related policies and processes in place to address some of the environmental and social issues relevant to their sector. Issues such as potential environmental impact, clear labelling, screening of human rights, child labour and forced labour were all addressed to some degree.

Issues covered by the Sustainability Survey of vendors
Category
Issues
CSR Policy Awareness
and Implementation


Goal and objectives
Level of implementation
Awareness level of employees
Human Rights and
Labour Conditions




Human rights
Prohibition of forced labour
Prohibition of inhumane treatment
Prohibition of child labour
Prohibition of discrimination
Health, Safety and
Environment (HSE)






Potential environmental impact
Pollution prevention
Recycling
Energy conservation
Waste minimisation
Sustainable transport options
Employee health and safety management
 
Moving responsible procurement forward
Singtel was greatly encouraged by the positive outcome of the sustainability survey. Moving forward we want the tender process to identify organisations that are unable to meet our required standards or encourage them towards improved performance.

We are currently in the process of developing a Code of Conduct for Vendors for inclusion into our tender pack. This initiative, which should be ready for implementation in FY2013, will provide clear expectations for vendors in all procurement dealings with Singtel, ensuring that internationally recognised procurement standards are understood and followed.

Environmental considerations have already been incorporated into the tender evaluation phase and higher evaluation points can be given to products or services which have less impact on the environment. For example, in a tender for air-conditioning chillers at one of our Data Centres, we awarded to a vendor whose products met higher environmental standards relating to the use of a specific
greenhouse gas.

We are also assessing the immediate inclusion of at least two GRI indicators or UNGC principles into our tender evaluations. We hope to raise awareness and enforce the application of pro-human rights criteria during the tender process. The two issues being addressed are child and forced labour.
 
Child Labour - Vendors will ensure their hiring practices conform to the International Labour Organisation (ILO) Conventions for minimum working age and child labour. Vendors are encouraged to develop lawful workplace apprenticeship programmes for the educational benefit of their workers.

Forced Labour - Vendors should strictly comply with the Forced Labour Convention as it is a criminal act which prohibits the use of forced labour in their operations. Forced labour is defined as any work or service that someone performs involuntarily, including under threat of physical harm or other such penalty.
 
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