Sustainability Statement

Straits Inter Logistics Berhad (“Straits” or the “Company”) and our subsidiaries (“the Group”) remain committed to conducting its businesses in a sustainable manner.

The Board of Directors (“Board”) is pleased to present its Sustainability Statement for the financial year ended 31 December 2020 (“FYE 2020”) which reflects on the sustainability efforts undertaken by the Group in the area of sustainability management. We perceived corporate sustainability as our commitment to create long term value for our shareholders, environment, economy and society through innovation and overall operational excellency. We understand our decisions today have an impact on our stakeholders and the success of their businesses in the future.

It is imperative for us to carry out our activities responsibly and with integrity. Our people are expected to behave in an honest and ethical manner in accordance with our policies, business rules and guidelines.

Our Sustainability Report 2020 is in accordance with Bursa Malaysia’s requirements and its Sustainability Reporting Guidelines.

In addition, the Group is taking into consideration the increasing importance and relevance of corporate sustainability measures in view of the COVID-19 global pandemic and its devastating impact on lives and livelihoods.

We are committed to implementing initiatives for the responsible management of Economic, Environmental and Social (“EES”) sustainability.

1. Governance Structure

The Group develops a Sustainability framework with assessment of environmental, economical and social factors that revolve around the business environment, industry, countries and various stakeholders that we are operating and working with, to address our sustainability agenda and align our business focus towards driving sustainability growth. We hold onto our framework as a tool to lead us to an effective long-term sustainability journey.

We had in January 2020 established our Sustainability Management Committee (“SMC”) which comprises key management personnel with direct reporting to the Group Managing Director (“Group MD”). SMC is to provide leadership and direction for the implementation of sustainability initiatives and reporting throughout the Group and all our subsidiaries.

SMC is responsible for the development of management action plans towards achieving the Group’s goal of being a sustainable organisation and drives various initiatives to identify and improve pertinent economic, environmental and social matters and other areas of concerns with the ultimate aim of achieving the goals of the Group.

2. Stakeholder Engagement

As part of its sustainability process, specifically in determining vital matters that are crucial for the Group and the environment, Straits continues to actively engage various stakeholders as our business involves environmental related activities. Thus, our stakeholders are not limited to authorities, clients, employees and shareholders only, but the communities as well. The Group has always been working closely with various stakeholders, which allows Straits to fully comprehend and complement various expectations and requirements from the stakeholders and enables us to better manage matters pertaining to sustainability and materiality. Hence, this directly improves our business operations and standings.

The engagement approach to key stakeholders can be summarised as below:

Stakeholder Group
Areas of Interest
Engagement Channels
  • Work life balance
  • Safe and conducive workplace
  • Compensation, welfare, and employee care
  • Career enhancements
  • Job security
  • Development through training
  • Fair HR policies and practices
  • Equitable treament of its employees irrespective of gender, age, ethnicity, nationality or religion
  • Business Unit Meetings
  • Management Meetings
  • In-House Communication
  • Informal periodic departmental meetings
  • Training programmes
  • Whistle-blowing channel
  • Open Door Culture
  • Company Dinners & Functions
  • e-Bulletin board, newsletter
  • Annual Performance review
  • Telephone and e-mail
  • Pricing
  • Service Delivery
  • Protection of customer privacy
  • Product risk
  • Equipment and cargoes safety
  • Service quality management
  • Business continuity
  • Customer feedback via customer satisfaction survey
  • Market researches
  • Site Visits
  • Website, social media
  • Proposals/Quotations/Agreements
  • Brochures
  • Corporate events
  • Promotion campaigns
  • Transparent Vendor Selection Process
  • Prompt Payment schedule
  • Competitive price and terms of payment
  • Clear procurement policies and practices
  • Sustainable supply chain management
  • Service quality
  • Health & safety policies
  • Maintaining good relationship
  • Supplier/Vendor Registration
  • Business Meetings
  • Site Visits
  • Supplier assessment review and performance
  • Pricing review - Approaching new suppliers for best price (Proposals/Quotations/Agreements)
  • Tenders are conducted in compliance with Limits of Authority ("LoA") and Standard Operating Procedures and Policies ("SOPP")
Shareholders or Investors
  • Ethics and integrity
  • Corporate transparency
  • Sustainable framework
  • Financial Performance
  • Business Strategy
  • Regulatory compliance
  • Corporate governance
  • Ethical business conduct
  • Internal control and risk management
  • Annual General Meetings
  • Announcement of financial results and other material matters on Bursa Malaysia's platform
  • Analyst Briefing
  • Annual Report
  • Press releases
  • Company's website
Regulatory Authorities 
  • Regulatory compliance
  • Approvals and permits Standards and certifications
  • Consultation sessions & Conferences
  • Meetings
  • Training programmes and dialogue
  • Audit and verification
  • Updating and renewal of permits & license
  • ISO and OHSAS certificate compliance
  • Business direction and key corporate development
  • Business Strategy & Economic Performance
  • Meetings and continuous correspondences
  • Annual reviews
  • Community Welfare & Engagement
  • Creating a positive impact on the surrounding communities
  • Responsible corporate citizen
  • Giving back to the community
  • Employment opportunity
  • Local recruiting and hiring
  • CSR Activities
  • Public engagement programmes
  • Internship Programme
3. Sustainability Matters

The SMC has identified and assessed material sustainability matters that are relevant to the Group’s business operations and influence stakeholders’ decisions. These material EES issues are determined based on their likelihood and potential impact on the Group’s business and long-term growth.

4. Key Sustainability Matters

  • 4.1 Economic and Business Performance

    The Covid-19 pandemic has brought about an unprecedented impact on businesses in various industries worldwide. Together with the Board, the management also identifies opportunities relevant to the long-term success of the Group. At the same time, various efforts are continuously being made to improve efficiency and profitability.

    The Group has also undertaken the following commitments and overall corporate governance practices:-

    • Adhering to the International Organisation for Standardisation (“ISO”) requirement in relation to our operation and processes;
    • Adhering to International Safety Management (“ISM”) Code; and
    • Compliance with all applicable laws and regulations, including but not limited to the Malaysian Anti-Corruption Act, Malaysian Penal Code (revised 1977) (and its amendments), the Companies Act 2016 (Malaysia) and other relevant regulations enforced in countries where we operate. These laws prohibit bribery and corruption. In response to the latest Malaysian regulatory development pertaining to anticorruption, Straits has established its Anti-Bribery and Corruption Policy (“ABC Policy”) in 2020.

    The Group sets out to extend our market presence and expand customer base by constantly improving our service quality, reliability and efficiency. At the same time, we also prioritise business ethics and integrity as well as good governance to build trust and maintain the confidence of our customers.

    Economic Growth is one of the primary factors that contribute to the business sustainability of the Group and it is crucial that the Group continues to be prepared and resilient against potential disruptions in our business strategies or operations. The Group is committed to achieve sustainable economic growth to enhance our shareholder’s returns and deliver fair rewards to our employees.

    The pandemic has accelerated the need for the Group to find greater flexibility and innovation in order to successfully navigate through this challenging situation. From the adoption of technology and changes to working arrangements, the Group has taken measures to ensure that the interests of stakeholders are safeguarded during the pandemic.

  • 4.2 Occupational safety and health
  • 4.3 Environmental compliance
  • 4.4 Human Capital - Employee Diversity
  • 4.5 Customer
  • 4.6 Community

The Group remains committed to carrying out its corporate responsibilities in preserving and creating shared values for its stakeholders even in challenging times. The Group continues to focus on managing its Material Sustainability Matters by seeking new areas where it can play a part in long-term value creation.

This Statement has been approved by the Board on 18 May 2021.