Sustainability Governance
Our Board of Directors (Board) serves as the custodians of Pantech Group’s Sustainability matters, initiatives and performance, ensuring that Sustainability is integrated into the Group’s strategic direction and business operations. The Board is supported by the Sustainability Management Committee (SMC) comprising all five Executive Directors of the Group. The committee supports the Board in overseeing Pantech Group’s Sustainability strategies, policies and practices.
The Board proactively reviewed SMC’s roles and responsibility to better align business and Sustainability priorities while effectively managing sustainability risks. The Board also continuously enhances its knowledge on sustainability matters, including climate-related risks and opportunities through capacity-building programs. These efforts ensure informed decision-making and effective oversight. Additionally, the Board periodically assesses relevant sustainability competencies to strengthen leadership and oversight. Key performance indicators (KPIs) related to Sustainability are integrated into performance evaluation of the Board and senior management to drive accountability.
The SMC considers the economic, environmental and social impacts of Pantech’s business activities. They develop and maintain a Sustainability Strategy that aligns with the Group’s vision, mission and core values. Their responsibilities include guiding decision-making by establishing policies and guidelines in compliance to relevant regulations, monitoring Pantech Group’s ESG performance against key indicators, evaluating policy effectiveness and setting targets.
The SMC identifies areas for improvements and develops corrective actions and is empowered to engage external consultation for objective input and guidance. They lead the implementation taskforce, coordinate the execution of Sustainability strategy and provide regular updates to the Board on the Group’s performance against set targets.
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BOARD OF DIRECTORS
BOARD OF DIRECTORS
- Monitors and governs Sustainability strategies, policies and management of economic, environmental and social issues
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SUSTAINABILITY MANAGEMENT COMMITTEE (SMC)
SUSTAINABILITY MANAGEMENT COMMITTEE (SMC)
- Develops and implements Sustainability Strategy aligned with the group's vision, missions and core values
- Establishes Sustainability policies and guidelines to ensure compliance with relevant regulations
- Lead the Sustainability Taskforce to execute Sustainability Strategy and coordinate implementation across ESG areas:
Environment Social Governance - Pollutions & Resources
- Climate Change
- Water Security
- Labour Standards
- Health & Safety
- Human Rights & Community
- Risk Management
- Corporate Governance
- Anti-Corruption
- Reviews and monitors ESG performance and identifies areas for improvements
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COORDINATOR
COORDINATOR
- Intermediates between SMC and Sustainability Taskforce to communicate feedback between both parties
- Participates in executing and implementing the Sustainability Strategy set out by SMC
- Compiles the data for key indicators to be submitted to SMC on quarterly basis
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SUSTAINABILITY TASKFORCE
SUSTAINABILITY TASKFORCE
- Sets action plans and guides subsidiaries or departments involved in its implementation
- Collects, analysis and reports key indicator data to the Coordinator
Enhanced Governance / Independence of Audit
Pantech Group has on the advice of the Audit Committee (AC) that is chaired by an Independent Non-Executive Director, adopted a policy that requires the lead partners involved in the external audit be rotated every seven years and observe a cooling-off period of at least five years before re-appointment. This practice is overseen by the AC and is consistent with professional standards required by the Malaysian Institute of Accountants.
Further reading can be found in the updated AC terms of reference at our website: https://pantech-group.com/investor-relations/.
Anti-Bribery and Corruption
Peace,Justice and Strong Institutions
Pantech Group upholds the goal through ethical business practices, offering a secure reporting channel for misconduct and promote a diverse and inclusive workplace, contributing to a peaceful and just society.
- Ethical conduct is a non-negotiable commitment at Pantech Group
- Our core values emphasize honesty and integrity in all business activities
- Ethical practices build trust, strengthen relationships with stakeholders and enhance stakeholder confidence in Pantech Group
- All employees are required to comply with local laws and Pantech’s Code of Ethics (CoE)
- Zero-tolerance approach to corruption through Anti-Bribery & Corruption (ABAC) policy
- Regular workshops and training sessions conducted to reinforce anti-bribery and corruption practices
- A robust whistleblowing policy and secure channel for employees to report suspected wrongdoing
1. Corruption-related Risk Assessment
100% of our operations within the reporting scope underwent the corruption risk assessment.
In November 2023, Pantech Group completed a voluntary corruption risk assessment for all our Manufacturing and Trading entities within the scope of this report.
The comprehensive risk assessment has identified several risk areas rated as “Significant”.
- Collusion between initiator and suppliers/ customers
- Leakage of confidential information/ leakage of company information
- False medical certificates
- Theft/ misuse of company assets
- Selective tendering/ quotation – manipulation of procurement process
The report also reported on the existing controls to mitigate the operations assessed as Significant risk, listed as follows:
- Conduct awareness or education program in the form or workshop or training sessions
- Enforcement of Code of Conduct and disciplinary actions
- Job rotation
- Conduct internal audit
- Conflict of interest declaration
- Incorporating ABAC policy into client/ supplier registration form, ensuring transparency and compliance throughout the business relationships
- Standard checklist for inspection with multiple approvals
- Robust inventory system to simplify asset tracking and help prevent theft, ensuring greater security over our resources
- Due diligence and proper monitoring system in place to prevent manipulation of procurement process
2. Anti-Bribery and Corruption Training
| Employee by Function | Completion Rate (FY 2022) | Completion Rate (FY 2023) | Completion Rate (FY2024) |
|---|---|---|---|
| Management | 98.63% | ||
| Administrative | 99.50% | ||
| Operation | 99.89% |
| Employee by Level | Completion Rate (FY 2022) | Completion Rate (FY 2023) | Completion Rate (FY2024) |
|---|---|---|---|
| Board of Directors | 100.00% | ||
| Management | 98.11% | ||
| Executive / supervisory | 100.00% | ||
| Non-executive | 99.77% |
3. Bribery and Corruption Incidents
| FY2022 | FY2023 | FY2024 | |
|---|---|---|---|
| Confirmed incidents of corruption and action taken | 0 | 0 | 0 |
| Substantiated bribery cases reported | 0 | 0 | 0 |
| Substantiated corruption cases reported | 0 | 0 | 0 |
Data Privacy and Cybersecurity
Peace,Justice and Strong Institutions
Pantech Group upholds the goal through ethical business practices, offering a secure reporting channel for misconduct and promote a diverse and inclusive workplace, contributing to a peaceful and just society.
- Effective cybersecurity measures prevent disruptions to operations caused by cyberattacks and ensures business processes continue without significant interruptions
- Protecting sensitive data helps build and maintain customer trust
- Proactively addressing data privacy and cybersecurity reduces the risk of vulnerabilities and threats, minimizing potential damage and ensuring a safer digital environment
- Robust IT infrastructure in placed with embedded cybersecurity measures
- Limited data access to necessary personnel, with regular reviews to prevent unauthorised access
- Periodic audits of data privacy and security controls
- Advanced threat protection measures in placed including use of offsite backups, endpoint security and threat protection solutions for ransomware and malware detection
- Strict protocols for managing sensitive information
| FY2022 | FY2023 | FY2024 | |
|---|---|---|---|
| No. of substantiated complaints concerning breaches in data privacy and security | 0 |
Policies In Effect and Corporate Governance
Pantech Group has formalised the following policies which state our commitment and stand.
- Anti-Bribery and Corruption Policy
- Environmental Policy
- Fit and Proper Policy
- Human Rights Policy
- Occupational Safety and Health Policy
- Whistle Blowing Policy
Readings of the Board Charter, Terms of Reference and policies are available on our website: https://pantech-group.com/investor-relations/.
PANTECHCORP