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YEARS OF

SUSTAINABLE VALUE
& UNITING LIVES
sustainability report 2015-2016
SUSTAINABILITY REPORT 2015-2016

KEY HIGHLIGHTS

21,000 39
TOTAL SHAREHOLDERS MORE THAN
VENDORS WORLDWIDE
ASSETS FUNDS STOOD AT ENROLLED OPERATIONS
RM8.3
OF MORE THAN
UNDER OUR

RM27.2
14
ACROSS

BUMIPUTERA
EMPLOYEES VENDOR
BILLION BILLION WORLDWIDE DEVELOPMENT
PROGRAMME (BVDP)
AS AT 31 DECEMBER 2016 AS AT 31 DECEMBER 2016 AS AT 31 DECEMBER 2016 COUNTRIES

RM39.5 RM1.06 52.94%


MORE THAN

MILLION*
SPENT ON
CORPORATE
27,704
UNDERPRIVILEGED
MILLION
INVESTED IN
OF OUR OPERATIONS
ARE COVERED BY
ISO 14001

54.94% BY
PRIMARY AND SECONDARY
COMMUNITY SCHOOLS STUDENTS #uem50 CSR OHSAS 18001 AND
BENEFITED FROM OUR
CONTRIBUTIONS PROVIDED ASSISTANCE
IN 2015 AND 2016 BACK-TO-SCHOOL TO 3,200 INDIVIDUALS 82% BY

* INCLUSIVE OF ZAKAT
PROGRAMME ACROSS EIGHT STATES ISO 9001 CERTIFICATION
DISBURSEMENT IN 2015 AND 2016

906
SUPPORT LOCAL INJURY
FREQUENCY RATE
SUPPORT THE

HIRING WITH UNITED NATION SUSTAINABLE


REDUCED BY DEVELOPMENT GOALS
>99%
OF WORKFORCE BEING
UEM ALERT
VOLUNTEERS 27%
IN TRANSFORMING OUR WORLD

LOCAL AS AT 31 DECEMBER 2016 IN 2016 COMPARED TO 2015


SUSTAINABILITY REPORT 2015-2016

50 Years of Sustainable Value & Uniting Lives


UEM Group is celebrating five decades of excellence in sustainability achievements. Our businesses
hold top positions in key markets, categories and industry segments around the world with a
well-diversified portfolio of strong brands and leading technologies. We have an excellent track
record of financial performance. As we continue to empower and unite lives, we focus on delivering
value throughout the entire life-cycle of our operations. All of this is only possible with a highly
engaged and passionate global team, united by a common purpose and strong values.

FEATURES OF THIS REPORT

This report is available at www.uem.com.my

To access our Sustainability Report on your mobile device, please download a QR Code reader and scan the image on the left.

EXPRESSWAYS TOWNSHIP & PROPERTY ENGINEERING & CONSTRUCTION ASSET & FACILITY
DEVELOPMENT MANAGEMENT

Visit us at
www.uem.com.my
SUSTAINABILITY REPORT 2015-2016

WHATS
INSIDE
About This Report 2 Our Sustainability Commitment 31
Corporate Profile 3 Our Approach to Stakeholder Engagement 34
Corporate Structure 6 2015-2016 Event Highlights 35
Presence Worldwide 7 Materiality 40
Core Businesses 8 Corporate Governance 43
Board of Directors 14 Economic 48
Leaders of UEM Group of Companies 16 Environment 56
Milestones 18 Social 66
UEM Groups 50th Anniversary 23 UEM Group Sustainability Pledge - Moving Forward 120
Key Achievements and Awards 24 Glossary 121
Message from the Group Managing Director/ 28 GRI Index Table 124
Chief Executive Officer

UEM GROUP BERHAD 1


SUSTAINABILITY REPORT 2015-2016

ABOUT THIS REPORT

UEM Group Berhad Report Coverage Guidelines

(UEM Group) UEM Group of Companies refers to UEM


Group and its subsidiaries also known
Principal Guideline:
Global Reporting Initiative (GRI) G4
Sustainability Report as Operating Companies comprising Sustainability Reporting Guidelines
2015-2016 is the PLUS Malaysia Berhad (PLUS), UEM
Sunrise Berhad (UEM Sunrise), UEM Additional Guidelines:
second consolidated Builders Berhad (UEM Builders), Cement Bu rsa Ma la ysi a S ustainability
Sustainability Report Industries of Malaysia Berhad (CIMA) and
UEM Edgenta Berhad (UEM Edgenta).
Reporting Guide
Silver Book GLC Transformation
to be produced by Manual: Achieving Value through
UEM Group and its Reporting Cycle Social Responsibility
International Organisation for
subsidiaries (UEM Biennially
Standardization (ISO) 26000:2010
Group of Companies). Reporting Period
Guidance on Social Responsibility
Judges feedback from various
This report represents This report covers UEM Group of sustainability reporting awards
group-wide economic, Companies performance from
1 January 2015 to 31 December 2016.
environmental and social
performance. Report Quality FEEDBACK
This report is available to all
The principles of balance, comparability,
stakeholders in hard copy on request or
accuracy, timeliness, clarity and reliability can be downloaded from our corporate
UEM Group of have been applied in the preparation of website www.uem.com.my
Companies delivers this report. Sustainability trends from
two previous years have been provided
increased value to so that meaningful comparisons can be For further enquiries, please contact:

clients, shareholders made.


Corporate Responsibility
and other stakeholders Report Content UEM Group Berhad (6551-K)
17-2 Mercu UEM
by embedding The principles of stakeholder Jalan Stesen Sentral 5
inclusiveness, sustainability context,
sustainability across materiality and completeness were
Kuala Lumpur Sentral
50470 Kuala Lumpur
its service lines and applied in defining the report content. All Malaysia
stakeholder concerns and sustainability
operations. issues were incorporated into UEM Tel : +603-2727 6868
Fax : +603-2727 2222
Group of Companies strategic planning
Email : uemcomms@uemnet.com
processes and are presented in this
report.

2 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

CORPORATE PROFILE

UEM Group is Malaysias leading engineering-based


infrastructure and services conglomerate and an
international entity operating in emerging and matured
economies. We focus on four key businesses namely
Expressways, Township & Property Development,
Engineering & Construction and Asset & Facility
Management.

We have the ability, expertise and resources to deliver and manage key infrastructure development projects
and services for the public and private sectors.

WE BUILD AND WE BUILD BRIDGES, WE BUILD WE BUILD


MAINTAIN URBAN TRANSITS PROPERTIES AND AND SERVICE
EXPRESSWAYS AND AIRPORTS TOWNSHIPS FOR HOSPITALS SO
THAT TRAVERSE SO THAT PEOPLE COMMUNITIES TO INDIVIDUALS ARE
THE NATION ARE BETTER LIVE AND GROW CARED FOR
CONNECTED

We have more than 21,000 employees. Our core geographic market and headquarters are in Malaysia. We also
have a significant presence in India, Indonesia, Singapore, Taiwan, Australia, New Zealand, Canada, South
Africa and the Middle East.

UEM Group is a wholly owned subsidiary of Khazanah Nasional Berhad, the strategic investment fund of the
Government of Malaysia.

As at end December 2016, our total assets were RM27.2 billion while our shareholders funds stood at
approximately RM8.3 billion.

UEM GROUP BERHAD 3


SUSTAINABILITY REPORT 2015-2016

CORPORATE PROFILE

VISION
Uniting lives for a better future
To continuously provide infrastructure
and related services that connect communities
and improve their lives. We realise this by being
a trusted provider of world-class products
and services.

MISSION
Pushing boundaries
and innovating to advance
communities
UEM Group connects and improves the lives
of communities by relentlessly enhancing
and engineering the way we progress
we empower our workforce, simplify solutions
and implement world-class innovations.

4 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

CORPORATE PROFILE

VALUES
We are an enterprising
entity that embraces
teamwork, integrity
and passion with a focus
on success
Strong values define our culture
and help us execute UEM Groups
strategy in line with our Vision
and Mission.

ENTERPRISING TEAMWORK SUCCESS INTEGRITY PASSION


We are enterprising We practise teamwork, We achieve success We hold true to ethical We are passionate,
and competitive with mutual respect, open by pushing boundaries, and professional driven, competent
a mind-set geared communications and thinking creatively behaviour to set the and committed
towards creating empowerment while resulting in out-of-the- highest standards of to gain knowledge
greater value for embracing diversity box innovative ideas integrity, honesty and improve skill
our stakeholders. and inclusiveness and solutions. and trust. sets to achieve
to foster internal personal growth
and external and exceptional
collaborations. performance.

UEM GROUP BERHAD 5


SUSTAINABILITY REPORT 2015-2016

CORPORATE STRUCTURE

100%

EXPRESSWAYS TOWNSHIP ENGINEERING ASSET & FACILITY


& PROPERTY & CONSTRUCTION MANAGEMENT
DEVELOPMENT
100%
100% 69%
PLUS Expressways International Berhad
66%

51%
100%
PLUS Malaysia Berhad

Listed on Main Market of Bursa Malaysia Securities Berhad

Companies/shareholding as at 31 December 2016

6 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

PRESENCE WORLDWIDE

1
3

4 8 9
5

10
11

12

13
7

14

LEGEND
1. Canada 8. India
Expressways
2. United States of America 9. Taiwan
Township & Property 3. United Kingdom 10. Malaysia
Development 4. Saudi Arabia 11. Singapore
5. Qatar 12. Indonesia
Engineering & Construction
6. United Arab Emirates (UAE) 13. Australia
Asset & Facility Management 7. South Africa 14. New Zealand

UEM GROUP BERHAD 7


SUSTAINABILITY REPORT 2015-2016

CORE BUSINESSES

01 EXPRESSWAYS For more information on PLUS, visit www.plus.com.my

PLUS MALAYSIA BERHAD (PLUS)


PLUS, the expressway arm of UEM Group, is the largest highway operator in Malaysia
and has been operating the countrys toll roads since 1988.

PLUS operates and maintains almost 1,200 kilometres (km) of expressways stretching
from the border of Thailand in the North to Singapore in the South as well as on the East
Coast.

PLUS EXPRESSWAYS INTERNATIONAL BERHAD (PEIB)


PEIB is the international expressway arm of UEM Group with presence in India, via
Uniquest Infra Ventures Private Limited and Indonesia via PT Lintas Marga Sedaya.

8 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

CORE BUSINESSES

02
TOWNSHIP & PROPERTY DEVELOPMENT For more information on UEM Sunrise, visit www.uemsunrise.com

UEM SUNRISE BERHAD (UEM SUNRISE)

Listed on the Main Market of Bursa Malaysia, UEM Sunrise has core competencies in
macro township development; high-rise residential, commercial, retail and integrated
developments; as well as property management and project & construction services.

Internationally, UEM Sunrises presence extends into Canada, Australia, South Africa
and Singapore.

UEM GROUP BERHAD 9


SUSTAINABILITY REPORT 2015-2016

CORE BUSINESSES

03
ENGINEERING & CONSTRUCTION For more information on UEM Builders, visit www.uembuilders.com

UEM BUILDERS BERHAD (UEM BUILDERS)

UEM Builders is an international construction company with a strong track record in


delivering key infrastructure projects. Over the years, it has spearheaded numerous
projects of national significance spanning highways, bridges, stadiums, railways and
urban transits, water infrastructure, airports, hospitals, institutions, commercial
buildings and residential developments for both the public and private sectors, locally
and internationally.

10 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

CORE BUSINESSES

03
ENGINEERING & CONSTRUCTION For more information on OPUS, visit www.uemedgenta.com

OPUS GROUP BERHAD (OPUS)


Opus, a subsidiary of UEM Edgenta Berhad, is a leading multidisciplinary consultancy
that has served over 12,000 worldwide clients to date. Major projects comprise of
Expressways & Highways, Built Environment, Airports & Railways, and Utilities.
Headquartered in Malaysia, Opus presence extends to New Zealand, Australia, the
United Kingdom, Canada, the United States and the Middle East.

UEM GROUP BERHAD 11


SUSTAINABILITY REPORT 2015-2016

CORE BUSINESSES

03
ENGINEERING & CONSTRUCTION For more information on CIMA, visit www.cima.com.my

CEMENT INDUSTRIES OF MALAYSIA BERHAD (CIMA)


CIMA is one of the leading cement manufacturers in Malaysia and is known for producing
and distributing high-quality cement, ready mixed concrete and related products
since 1975. CIMAs corporate office is located in Kuala Lumpur and it has two plants
strategically located in Bukit Ketri, Perlis and Bahau, Negeri Sembilan. It has a total
cement production capacity of 7.2 million tonnes per annum.

12 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

CORE BUSINESSES

04
ASSET & FACILITY MANAGEMENT For more information on UEM Edgenta, visit www.uemedgenta.com

UEM EDGENTA BERHAD (UEM EDGENTA)


UEM Edgenta is one of the regions largest Total Asset Solutions entities.

Listed on the Main Market of Bursa Malaysia with a market capitalisation of RM2.9 billion
as at 31 December 2016, UEM Edgenta is a leader in Total Asset Solutions providing
three key offerings namely Consultancy, Services and Solutions across four core sectors
Healthcare, Infrastructure, Real Estate and Water. UEM Edgenta provides full suite of
services throughout their asset life cycles and these include consultancy, procurement and
construction planning, operations and maintenance, as well as optimisation, rehabilitation
and upgrades.

UEM Edgenta has a workforce of 19,000 multi-national and multi-disciplinary employees


spread across Malaysia, New Zealand, Australia, the United Kingdom, Canada, the United
States, India, Indonesia, Singapore, Taiwan and the Middle East.

UEM GROUP BERHAD 13


SUSTAINABILITY REPORT 2015-2016

BOARD OF DIRECTORS

Standing left to right


Tan Sri Dato Ir Omar Ibrahim Tan Sri Dato Sri Zamzamzairani Mohd Isa Lim Tau Kien
Independent Non-Executive Director Non-Independent Non-Executive Director Independent Non-Executive Director

Sitting left to right


Abdul Kadir Md Kassim Academician Tan Sri Dr Ahmad Tajuddin Ali, * Tan Sri Dato Sri Zamzamzairani Mohd Isa was
Independent Non-Executive Director FASc, P.Eng appointed as a Non-Independent Non-Executive
Director of UEM Group Berhad on 9 May 2017.
Chairman

14 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

BOARD OF DIRECTORS

Standing left to right


Dato Izzaddin Idris Wong Shu Hsien Zaiviji Ismail
Group Managing Director/ Non-Independent Non-Executive Director Non-Independent Non-Executive Director
Chief Executive Officer

Sitting left to right


Dato Noorazman Abd Aziz Dato Mohamed Nasri Sallehuddin * Dato Noorazman Abd Aziz was appointed as
Deputy Chairman Non-Independent Non-Executive Director Non-Executive Deputy Chairman of UEM Group
Non-Independent Non-Executive Director Berhad on 14 April 2017.

UEM GROUP BERHAD 15


SUSTAINABILITY REPORT 2015-2016

LEADERS OF UEM GROUP OF COMPANIES

Standing left to right


Rohit Chandak Anwar Syahrin Abdul Ajib Preamakanthan D Kanapathy
Chief Executive Officer Managing Director/Chief Executive Officer Chief Operating Officer
Uniquest Infra Ventures Private Limited UEM Sunrise Berhad UEM Builders Berhad

Sitting left to right


Mohd Yusri Md Yusof Datuk Azman Ismail * Datuk Azman Ismail was appointed as the Managing Director of PLUS
Managing Director Managing Director Malaysia Berhad on 1 January 2017.
Cement Industries of Malaysia Berhad PLUS Malaysia Berhad

16 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

LEADERS OF UEM GROUP OF COMPANIES

Standing left to right


Datuk Nik Airina Nik Jaffar Datuk Ir. Mohd Zulastri Mohd Amin
Managing Director President Director
PLUS Expressways International Berhad PT Lintas Marga Sedaya

Sitting left to right


Dato Izzaddin Idris Dato Azmir Merican
Group Managing Director/Chief Executive Officer Managing Director/Chief Executive Officer
UEM Group Berhad UEM Edgenta Berhad

UEM GROUP BERHAD 17


SUSTAINABILITY REPORT 2015-2016

MILESTONES

2015
FEB 24 UEM Group JUN 13 UEM Group

In support of the Governments Bumiputera Empowerment Indonesian President Joko Widodo inaugurated the
Agenda, UEM Group and Majlis Amanah Rakyat or MARA 116.75km Cikopo-Palimanan toll road which is the
signed an MoU which will see both parties exploring longest toll road ever built in Indonesia and one of the
potential cooperation and collaboration targeting largest constructions ever built jointly by Indonesian and
Malaysias Bumiputera community. Areas of potential Malaysian companies.
cooperation include education, entrepreneurship,
investment and management services.
JUN 30 PLUS

MAR 9 CIMA

CIMA continues to organise tuition classes for UPSR


students for Daerah Jempol/Jelebu and Kuala Pilah and
also several adopted schools in Perlis. The programme
has seen over 1,500 students from 43 schools benefiting
from this programme.

PLUS completed the 63.3 km Fourth Lane Widening Project


MAR 11 UEM Edgenta covering
- Interchange Shah Alam to Interchange Sg.Buloh (16.1km)
- Interchange Bukit Lanjan to Jln Duta Toll (7km)

Edgenta Mediserve Sdn Bhd (Edgenta Mediserve)
- Interchange Sg.Buloh to Interchange Rawang (13.1km)
signed the 10-year Hospital Support Services (HSS) new
- Interchange Nilai Utara to Interchange Nilai (5.2km)
Concession Agreement with the Government of Malaysia.
- Interchange Nilai to Interchange Port Dickson (21.9km)
Southbound only
APR 6 UEM Edgenta
JUL 1 UEM Group
UEM Edgenta completed the acquisition of an 80% equity
stake in KFM Holdings Sdn Bhd, an integrated facilities
management service provider specialising in green
building solutions with a client base in Malaysia and the
United Arab Emirates.

MAY 25 UEM Edgenta

UEM Edgenta secured major local and overseas contracts Uniquest Infra Ventures Private Limited commenced
worth more than RM4.72 billion in 2014 and 2015. commercial operations or toll collection of its first
greenfield project in the country. The 123.4km highway
connects Jetpur and Somnath in the state of Gujarat.

18 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

MILESTONES

JUL 28 UEM Sunrise SEP 9 PLUS

PLUS implemented Electronic Toll Collection (ETC) as


an initiative to facilitate faster transaction at the Penang
Bridge Toll Plaza, Jitra and Bukit Kayu Hitam Toll
Plazas (on the North-South Expressway) and Lunas and
Kubang Semang Toll Plazas (on the Butterworth-Kulim
Expressway, BKE).

Full implementation of ETC in PLUS highway is targeted to


UEM Sunrise and Mitsui & Co. Ltd. entered into a joint be completed by end of 2016.
venture agreement with Nusajaya Tech Park Sdn Bhd, a
company jointly owned by Asias leading business space
solutions provider, Ascendas, to offer Build-to-Suit SEP 26 UEM Sunrise
properties for lease in Nusajaya Tech Park, Iskandar
Malaysia.
UEM Sunrise launched several projects in 2015 which
has a gross development value of some RM2 billion.
These include The Conservatory in Melbourne, Serene
AUG 5 PLUS
Heights in Bangi, Sefina in MontKiara and Estuari in
Puteri Harbour.
PLUS continues its initiative in spreading road safety
messages to the public through a mural contest for
secondary schools. The Malaysians Unite For Road OCT 21 UEM Sunrise
Safety (MUFORS) Inter-School Mural Competition was
once again staged in 2015 and it was the fourth time the

In October, UEM Sunrise formally commenced
mural contest has been organized since 2009.
construction of Aurora Melbourne Central.

AUG 11 PLUS
OCT 26 UEM Sunrise

A new interchange was introduced in Bandar Ainsdale for UEM Sunrise acquired its third property in Melbourne,
NSE users heading towards Seremban. The interchange, Australia a 21-storey, 16,000 square metres office tower
which acts as an alternative route to Seremban, is a on 412 St Kilda Road for AUD$58 million (approximately
twelve-lane toll plaza where users can pay by cash, RM161 million). It is located at a strategic corner site of
Touch n Go or SmartTAGs. St Kilda Road, one of the main routes into the Melbourne
CBD.

AUG 26 UEM Edgenta

Joint venture with Resource Data Management Asia


Sdn Bhd and formation of Edgenta Energy Services Sdn
Bhd to offer energy management solutions and remote
monitoring services.

UEM GROUP BERHAD 19


SUSTAINABILITY REPORT 2015-2016

MILESTONES

2015
OCT 29 PLUS DEC 5-6 UEM Sunrise

The fourth ISKARNIVAL, organised by Khazanah Nasional,


Iskandar Investment Berhad and UEM Sunrise,
attracted more than 100,000 visitors.

DEC 18 UEM Group


UEM Groups Back-to-School Programme sees an
increase in number of recipients from 11,000 in 2014 to
more than 14,000 in 2015 including deserving employees
across UEM Group of Companies. A total of 311 personnel
1,000 PLUS staff participated in the Companys annual
and 706 children received Back-to-School provisions.
PLUS Community Day programme which takes place
on a single day at 26 locations across the country.
DEC UEM Builders

UEM Builders in a joint venture with Samsung Korea


NOV 14 UEM Sunrise
secured the contract to construct the 644 metres
Merdeka PNB118 Tower, set to be the tallest building
UEM Sunrise undertook many education-based CR
in Southeast Asia and the second highest in the world
projects throughout the year including the annual 7th
after Burj Khalifa.
Pintar Al-Quran Programme with the Khatam Al-Quran
ceremony to mark the notable achievement of 151
pre-schoolers from its seven adopted KEMAS
kindergartens around Gelang Patah.

NOV 21 CIMA


CIMA collaborates with University Malaysia Perlis
Malaysia (UniMAP) on research to optimize the overall
energy replacement efficiency of solid fossil fuel with
rice husk.

NOV 25 UEM Group

UEM Group built 58 homes for the 2014 flood victims


of Kuala Krai, Kelantan.

20 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

MILESTONES

2016
JAN 13 UEM Sunrise & UEM Edgenta FEB 22 UEM Sunrise


SUTL Enterprise Limited, via its wholly-owned
subsidiary SUTL Marina Holdings Pte. Ltd. entered into
an agreement with UEM Sunrise via UEM Land Berhad
to incorporate, finance and operate a joint venture
company to develop the existing private marina, a mega
yacht marina and a public marina in Puteri Harbour of
Iskandar Puteri in Iskandar Malaysia, Johor.
Malaysias first holistic township management services
operator was formed via a joint venture between MAR 10 UEM Group
UEM Sunrise Edgenta TMS Sdn Bhd and Township
Management Services Sdn Bhd, the latter being a
wholly owned subsidiary of Medini Iskandar Malaysia
Sdn Bhd.

FEB 10 UEM Builders

The upgrading of the 3.2km elevated Bayan Lepas


Expressway (BLE) from Batu Maung to Sungai Nibong, Various activities were organised to celebrate UEM
Penang was completed and opened to motorists on Groups Golden Jubilee including nationwide Corporate
6 April 2016 by Minister of Works, YB Dato Sri Haji Responsibility (CR) initiatives and Charity Run held in
Fadillah Yusof. The project was not only completed Kuala Lumpur; Kangar, Perlis; and Iskandar Puteri,
on schedule and below budget but it recorded zero Johor Bahru. Proceeds were donated to selected
fatalities and more than 3.3 million man hours worked charitable organisations.
without lost time injury.
MAR 14 UEM Sunrise
FEB 16 UEM Sunrise
UEM Sunrise completed the topping out for the
high-rise component of its Symphony Hills development
in Cyberjaya, Selangor known as Verdi eco dominiums.
The topping out ceremony signified the structure
completion of the development in accordance with the
projects schedule.

UEM Sunrise entered into a Joint Venture Agreement


APR 7 UEM Sunrise
with diversified investment conglomerate, Mulpha
International Berhad, to develop three land parcels
fronting the Malaysia-Singapore Second Link in UEM Sunrise completed the mixed use development
Iskandar Malaysia, Johor. project, Teega @Puteri Harbour located in Iskandar
Puteri, Johor in accordance with the projects
schedule. Built on 10 acres of land in UEM Sunrises
Puteri Harbour, the project commands a gross
development value of RM1.34 billion and comprises
four components Teega Residence, Teega Suites,
Teega Tower and Teega Walk.

UEM GROUP BERHAD 21


SUSTAINABILITY REPORT 2015-2016

MILESTONES

2016
MAY 25
UEM Sunrise AUG 29 UEM Edgenta

U E M S u n r i s e s u p ma r ke t high-rise residential
property, 28 MontKiara in the Central Region was
named the World Silver Winner by FIABCI World Prix
dExcellence Awards 2016 in Panama.

MAY 27
UEM Sunrise
Operationalisation of the Command and Contact Centre
(CnC).
UEM Sunrise signed a Joint Land Development
Agreement with Telekom Malaysia Berhad to
develop a 1.69 acre land parcel in Jalan Raja Chulan, SEP 29 PLUS
Kuala Lumpur into a high-rise mixed development
comprising serviced apartments and retail elements.

JUN 5 UEM Sunrise

In ensuring the public enjoy a more comfortable journey


on its highways, PLUS allocated some RM25 million in
2016 to upgrade selected Rest and Service Areas (RSAs)
and lay bys. It has invested almost RM260 million for the
same since 2005.
UEM Sunrise completed 351 landed units of Bayu
Nusantara in Iskandar Puteri, presentation ceremony
was organised and graced by the Chief Minister of Johor,
OCT 5 UEM Group

comprising 241 units of Rumah Mampu Milik Johor


measuring 18 x 60; 80 units of Perumahan Komuniti UEM Group announced that it is investing some
Johor measuring 16 x 55 and 30 units of Kedai Kos RM150 million on an integrated Enterprise Resource
Sederhana measuring 20 x 60. To symbolise the Planning (ERP) Cloud Solution for the Company
developments completion, a key presentation ceremony and its subsidiaries with an aim to revolutionize its
was organised and graced by the Chief Minister of Johor, technological capabilities.
Dato Mohamed Khaled Nordin, accompanied by Tan Sri
Dr. Ir. Ahmad Tajuddin Ali, Chairman of UEM Sunrise. DEC 15 UEM Edgenta

JUN 7 PLUS With the acquisition of Asia Integrated Facility Solutions


Pte. Ltd., which owns UEMS Pte. Ltd. (UEMS), UEM
Official opening of Alor Pongsu Elevated Interchange Edgenta has expanded into a regional hospital support
which provided direct access to the NSE for residents of services provider in the public and private healthcare
Alor Pongsu, Bagan Serai, Selama and surrounding areas sectors with footprints in Singapore and Taiwan.
reduces travel time from the North and South to Alor
Pongsu for 45 minutes to 10 minutes.

22 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

In 2016, UEM Group celebrated its


50th Anniversary with its internal
and external stakeholders.
The Golden Jubilee celebration provided an opportunity for UEM Group to recall five
decades of excellence and challenges faced while communicating our future journey
with stakeholders.

Activities and initiatives held in conjunction with this celebration included Charity
Run, Internal Quiz & Slogan Competition and Tahlil/Majlis Doa Selamat, and
#uem50 CSR activities. Commemorative gifts were given to staff and a special
coffee table book was published.

Commemorative
Charity Run
Gifts

Charity Run was held between 13 March Commemorative Gifts were distributed to
and 6 August 2016 at three venues namely personnel of UEM Group of Companies.
the New Klang Valley Expressway (NKVE), In addition, UEM Group also provided a
Stadium Tuanku Syed Putra in Kangar, Golden Gift one-time cash gift that ranges
Perlis and Iskandar Puteri in Johor. from RM2,000 to RM5,000 per person for
all UEM Group of Companies employees
Our stakeholders and their family members earning RM6,000 or less a month. It was
were invited to take part in the run to also extended to its UEM Group SL1M
celebrate this special occasion. Funds trainees. Key and several external
raised were donated to Yayasan Kanser stakeholders were also presented with
Tunku Laksmana Johor, Yayasan Tuanku a commemorative gift a customised
Syed Putra, IJN Foundation, The Malaysia gold plated watch designed for the 50th
Association for the Blind and The National Anniversary celebration, as well as a
Autism Society of Malaysia. Each beneficiary coffee table book.
received RM88,800.
#uem50 CSR
Internal Quiz Project
& Slogan Competition
#uem50 CSR Project had two phases.
An Internal Quiz & Slogan Competition was The first phase focused on lightening
organised to garner internal participation the financial burden of underprivileged
and create excitement amongst personnel individuals. The second phase concentrated
of UEM Group of Companies. Cash prizes on improving the quality of their living
and hampers were accorded to winners of conditions and establishments in need of
the quiz and slogan competition. assistance.

UEM GROUP BERHAD 23


SUSTAINABILITY REPORT 2015-2016

KEY ACHIEVEMENTS AND AWARDS

UEM Group of Companies prides itself on providing high-quality deliverables


and services to both clients and industries at large. Being at the forefront
of industry innovation, our commitment to quality and excellence is reflected
in the industry awards received over the years.

1 International Clen Marina Award 4 Malaysia Landscape Architecture Award 2016

2 QLASSIC Excellent Award 2015/2016 5 28 MontKiara FIABCI Prix dExcellence Awards 2016

3 2015 Frost & Sullivan Asia Pacific Integrated Facilities 6 Starproperty.my Awards 2016
Management Competitive Strategy Innovation
& Leadership Award

1
2

3
4

24 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

KEY ACHIEVEMENTS AND AWARDS

7 Malaysian Landscape Architecture Award 9 Arcoris MontKiara Certified Five Star in SHASSIC
(11 Mont Kiara & Beethoven, Symphony Hills) Assessment

8 Malaysian Landscape Architecture Award 10 Teega @ Puteri Harbour Certified Five Star in SHASSIC
(11 Mont Kiara & Beethoven, Symphony Hills) Assessment

9
8
5 7
10

UEM GROUP BERHAD 25


SUSTAINABILITY REPORT 2015-2016

KEY ACHIEVEMENTS AND AWARDS

Summary of Achievements in 2015 and 2016

Gradmalaysia.com Malaysias 100 Leading Graduate Employers


UEM Sunrise Berhad Ranked 4th Top 100 Employers 2015

Asia Pacific Property Awards 2015 2016


Residensi Sefina MontKiara Best Residential High-Rise Architecture Malaysia

ILAM-MLAA 2014
11 MontKiara Property Developer Award
Symphony Hills Beethoven
Property Developer Award

Property Insight Prestigious Developer Awards 2015


UEM Sunrise Berhad Top 10 Developers Award

Property Insight Prestigious Developer Awards 2015


UEM Sunrise Berhad Top 10 Developers Award

Frost and Sullivan Excellence Awards 2015


UEM Sunrise Berhad Builder of the Year

The Edge Top Property Developers Awards 2015


UEM Sunrise Berhad Ranked 7th Top Property Developer

iProperty.com Peoples Choice Awards 2015


Residensi Sefina MontKiara Best High-Rise Development

Iskandar Malaysia Social Hero Award 2015


UEM Sunrise Berhad Corporate Social Responsibility Category

iProperty.com Peoples Choice Awards 2015


Residensi Sefina MontKiara Best High-Rise Development

TABAS (Tapak Bina Sejahtera) Award 2015


Verdi eco-dominiums

26 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

KEY ACHIEVEMENTS AND AWARDS

2015 2016
Top 20 Shortlisted Company for ACCA MaSRA 2015 MATRADE Award (Cross Border Investment)

International Convention on Quality Control Circles (Gold Award) Anugerah Emas-3-Bintang Konvensyen Team Excellence
Peringkat Wilayah 2016
Malaysia 100 Excellent Enterprise (Golden Eagle Award)
3-Star Gold Award at the 6th Annual Productivity and Innovation
Malaysia Power Brand Award (Established Brand Award)
Conference & Exposition (APIC 2016)
National Team Excellence (NTEx) (Innovative and Creative
Anugerah 5S-Hijau from SIRIM Berhad for four RSAs namely
Circle 3 Star Gold Award)
Seremban Arah Utara, Dengkil Arah Utara, Nilai Arah Utara and
The Brand Laureate Award (Most Eminent Brand Icon Leadership Nilai Arah Selatan
Award)

Property Insight Prestigious Development Awards 2015 All-Star Award Starproperty.my Awards
(Top 10 Developer Award) (Top 10 Ranked Developers of the Year)
Frost & Sullivan Excellence Awards (Builder of the Year Award) Malaysia Landscape Architecture Award
Malaysian Landscape Architecture Award a) Developer Category - Property Developer Awards in Landscape
(11 Mont Kiara & Beethoven, Symphony Hills) Planning and Development for Elevated Gardens @Mozart
of Symphony Hills, Cyberjaya
Asia Pacific Property Awards
(Residensi Sefina Mont Kiara Best Residential High-Rise b) Developer Category - Property Developer Awards in Landscape
Architecture Malaysia) Planning and Development for Opera House Clubhouse
of Symphony Hills, Cyberjaya
By Institute of Landscape Malaysia
FIABCI World Prix DExcellence Awards 2016 (World Silver Winner
for High Rise Residential Category)
QLASSIC Excellent Award 2015-2016
The Edge Malaysias Property Excellence Award (Top 10 Property
Developers Award)

Malaysian Construction Industry Excellence Award (MCIEA) 2016 Malaysian Construction Industry Excellence Award (MCIEA)
(Jambatan Sultan Abdul Halim Muadzam Shah - The Best for Cikampek-Palimanan Highway, Indonesia
Project Award)
Malaysian Construction Industry Excellence Award (MCIEA)
(Kolej Yayasan UEM Special Award IBS)

FTSE4Good Bursa Malaysia 2016 Frost & Sullivan Malaysia Facilities Management Company
of the Year Award
2015 Frost & Sullivan Asia Pacific Integrated Facilities
Management Competitive Strategy Innovation & Leadership Award NCE 100 Company of the Year 2016 Award
FORBES ASIAs Best Under a Billion 2015 FTSE4Good Bursa Malaysia Index
Gold Awards (3 and 2 stars) at the Annual Productivity Malaysia Productivity & Innovation Class (MPIC) Membership
& Innovation Conference & Exposition (APIC) 2015
Energy Management Gold Standard (EMGS) Certification
Special Mention under the Best Project Award (Infrastructure
Commercial Project Leadership Award
Project Major) by the Malaysian Construction Industry Excellence
Award 2015 (MCIEA)

UEM GROUP BERHAD 27


SUSTAINABILITY REPORT 2015-2016

MESSAGE FROM THE GROUP MANAGING DIRECTOR/


CHIEF EXECUTIVE OFFICER

In the past, every time I meet


someone new, they often asked
what it is that UEM Group does.
Over the years, as the Company
becomes more prominent and
public awareness of UEM Group
grew, the questions have expanded
to, are you environmentally
sustainable and why do people
work at UEM Group of Companies,
and my favourite, what are you
doing to ensure a sustainable
future for Malaysia?

DATO IZZADDIN IDRIS What is interesting, particularly with celebrate the past but more importantly
Group Managing Director/ the advent of social media, is that such it allows us to commit to the future. Our
Chief Executive Officer (Group MD/CEO) questions can be both inquisitive and unwavering commitment remains to
rhetorical at the same time, and in such connect families and friends; to drive
an impassioned environment, it is easy for growth, business and economies; and
the message to get lost. I am thus pleased ultimately, to embrace diversity and foster
to have the opportunity to share with you unity.
here some of my thoughts on the matter
what we are doing and the way forward For UEM Group of Companies, the End
for UEM Group, all of which are related has always been the Beginning. By this, I
to Sustainability and are reflected in this mean from the day we were incorporated
Report. back in 1966, we focused on helping build
the nation and we do so optimally utilising
As we celebrate our 50th Anniversary in the nations resources, both natural
2016, we highlighted to our stakeholders and human, to create a better future for
that this milestone is significant as generations to come.
it provides us with an opportunity to

28 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

MESSAGE FROM THE GROUP MANAGING DIRECTOR/


CHIEF EXECUTIVE OFFICER

UEM Group of Companies has actively than the health and safety of our people. years include Education initiatives such
continued to protect the environment I am pleased to witness a decrease in as PINTAR School Adoption Programme.
by implementing measures that tackle total recordable injury rate of 27% in 2016 These include flagship activities such
climate change and improving resource compared to previous year. Our goal is zero as Motivational and Remedial Classes
productivity in its business activities. incidents and injuries, and we take our as well as non-flagship initiatives such
In order to enhance our sustainable responsibility of keeping our personnel, as Exam Clinics, Financial Literacy
environmental management which community and the environment safe Workshop for post UPSR students, and
requires us to make our business seriously. We will maintain this strong Teachers Workshop.
growth compatible with environmental focus in the future.
conservation, we are actively developing Our other education-focused initiatives
an environmentally-oriented business. Sustainable Education, Community include Tuition Programmes for a total of
We support the Malaysian Carbon Building and Value Creation continue to 1,000 students in 2015 and 2016; Back-
Reduction and Environmental form the cornerstone of UEM Groups to-School Programme where more than
Sustainability Tool (MyCREST) which Corporate Responsibility initiatives. In 27,700 students from across Peninsular
guides, assists, quantifies and reduces 2015 and 2016, UEM Group of Companies Malaysia received brand new bags,
the environmental and emissions impact spent a total of RM16.30 million uniforms and stationeries to start the new
of built environments. and RM23.20 million respectively on year in school; as well as other activities
developing local communities. including Hygiene Care Hey Day, PINTAR
As the world changes, so too the Al-Quran, scholarships by Yayasan UEM,
expectations of our industries, stakeholders The programmes which took place within and recognition of students achievements
and the communities at large. So today UEM Group of Companies during these two under the UEM Medal Award.
far from when construction, agriculture
and commodities that were once the
unquestioned lifeblood of our nation
it is now imperative that not only do
we harness and deliver products and
services in these industries but we do so
humanely, in every sense of the way.

We have for example established major


initiatives toward sustainable growth and
management including end-to-end digital
transformation, strategic partnerships
and incorporating advances in human
development. In October 2016, UEM
Group set the IT industry buzzing when we
announced a RM150 million commitment
to develop an integrated Enterprise
Resource Planning (ERP) cloud solution,
in partnership with industry leaders such
as Tech Mahindra, Oracle, PwC and Ernst
& Young, to drive and facilitate increased
efficiency and scalability throughout UEM
Group of Companies.

Our human resource has always and will


continue to be our greatest asset. No
aspect of performance is more important

UEM GROUP BERHAD 29


SUSTAINABILITY REPORT 2015-2016

MESSAGE FROM THE GROUP MANAGING DIRECTOR/


CHIEF EXECUTIVE OFFICER

We fully support our community and While we continue to receive host of UEM Group of Companies as we work
our UEM ALERT volunteers are ready accolades and global recognition for together to address commercial realities
to provide a helping hand wherever and both products and services such as the and meeting our communal as well as
whenever we jumped into action when FIABCI World Prix dExcellence Awards national responsibilities. It is, in many
unprecedented flooding hit Kelantan, 2016; Malaysian Construction Industry ways, inherent in all that we do.
Perak and Pahang in 2015, providing basic Excellence Award 2016; Frost & Sullivans
provisions and assistance to flood victims. Excellence Award 2016; and 2015 Forbes In conjunction with our 50th Anniversary,
In 2016, we expanded our contribution by Asias Best Under A Billion Award, we reflect on five decades of growing,
signing a Memorandum of Understanding nothing gives us more satisfaction than learning and building the country together.
with Ministry of Works to build 58 homes seeing a safe, productive workforce, We have been through many challenges
for some of the flood victims living in knowing that our students have scored and recorded many achievements to help
Kuala Krai, Kelantan (as we published straight As and to witness the smiling build this great nation of ours, and we
this Report, construction have completed faces of our community. will continue to do so. There is no better
and families have moved in to their new way to define a companys commitment
homes). The commitment to undertake all of to sustainability and longevity than to
this extends from the Board of Directors contribute to the greater national and
and myself as well as each personnel of global society for years to come.

30 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

OUR SUSTAINABILITY COMMITMENT

Sustainability is a deliberate choice for the future and a commitment to building


a better world. Sustainability is part of who we are and what we do each and
every day. Progress involves a balance of environmental stewardship, social
responsibility and economic growth and we believe a commitment to these
areas supports the enduring success of our stakeholders.

Sustainability Governance
Sustainability is central to how we grow as the countrys leading We support all sustainability measures at both the Group
engineering-based infrastructure and services group. Adding and operating company level. Each Operating Company has
sustainable value is the focus of our sustainable development established its own policies and procedures according to its
strategy which concentrates on Bursa Malaysias four pillars of nature of business.
sustainability: governance, economic, environmental and social.
Each pillar houses the values we commit to as a business in Integrating sustainability into all areas of business is key.
order to: Representatives from each Operating Company meet regularly to
ensure sustainability is considered and integrated throughout the
Manage a competitive and economically sustainable Group.
company
Deliver innovative solutions to meet stakeholders needs
Help them to achieve their goals.

OUR SUSTAINABILITY FOCUS AREAS

Creating a culture Operating Reducing and Continuous Adding value to


of excellence and responsibly as a managing our improvement of our stakeholders
HOW WE DELIVER

competitiveness community member operational impact health and safety by focusing on


and nurturing a through positive on the environment practices to meet innovation and
VALUES

knowledgeable contributions to in four key areas global standards and operational


society through improving the quality of energy & best practices in the improvements that
the continuous of life and making a climate, materials, workplace, project strengthen our ability
development of difference to society ecosystem and local sites and operating to deliver profitable
stakeholders. and the nation. communities. locations. and long-lasting
growth.

Education & Human Corporate Community Green Health Value


Capital Development Development Environment & Safety Creation

FOCUS AREAS

UEM GROUP BERHAD 31


SUSTAINABILITY REPORT 2015-2016

OUR SUSTAINABILITY COMMITMENT

Sustainability Policy
GOAL OUR COMMITMENT
At UEM Group of Companies, sustainability is more than merely
3 Guarantee a healthy and safe
a trend, report or statement. It is stewardship stewardship of
working environment.
the environment, stewardship of our economic and fiscal results,
and stewardship of the communities in which we live and work.

As a diverse group of four core businesses, developing a group-


4 Ensure inclusive and equitable
wide strategy is challenging. Over the past years, UEM Group of
quality education and promote
Companies has been advancing its sustainability journey, primarily
lifelong learning opportunities
on a company-by-company basis. UEM Groups vision and mission
for all.
and code of ethics are used as a guide without prescribing specific
objectives, goals or targets. Each company developed its own
plans with group-level corporate sustainability leadership driving
communications and knowledge sharing between companies.

UEM Group developed a Sustainability Policy in 2011 to inculcate


a philosophy of sustainable development into the activities of
4 and 8 Encourage the professional
UEM Group and its Operating Companies. Effective 2017 we
development and commitment
have streamlined the Sustainability Policies within UEM Group
of each employee.
of Companies to ensure harmony in approach and execution
throughout our activities.

5 and 10 Guarantee respect for diversity,


Our Commitment to the United Nations Sustainable
human rights and fundamental
Development Goals
social rights within the Group.

7 and 13 Combat climate change


through affordable and clean
energy.

9, 11 and 17 Build new models for relations


and value creation with our
stakeholders.

11 and 17 Contribute to local


development.

14 and 15 Conserve and restore


biodiversity.

32 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

OUR SUSTAINABILITY COMMITMENT

OUR STANCE OUR ACTION

Prevention in terms of health and safety prioritised by the Provide a safe and healthy environment that safeguards
Group. employees health
Reinforce the safety of each employee in the workplace

Good quality education is the right of all children, youths and In 2015 and 2016, UEM Group of Companies invested a
adults, not the privileged few. minimum of RM12.01 million in enhancing education
through various projects including the PINTAR School
Adoption Programme, UEM English Literacy Programme,
Tuition Programme, Yayasan Amir Trust Schools and the
Back-to-School Programme.
These programmes ensure that teachers, peers, communities,
curricula and learning resources equip students with the
relevant skills and competencies for 21st century employment.

The ability to attract and gain loyalty is a major factor in our Identify and develop personal skills to facilitate each employees
performance. Skills and career development have been career growth
prioritised and employees performance and diversity are Empower employees so they can take control of their career
respected. plans and decision-making processes

UEM Group of Companies highly values social cohesion and Encourage two-way dialogue between management and
stability, respects diversity and equal opportunities while employees
fighting discrimination. Promote a culture of inclusivity and diversity

According to the latest IPCC report, worldwide greenhouse gas Improve the energy efficiency of our facilities
emissions must decrease by 70% by 2050 for global warming Increase the production and use of renewable or alternative
to be within +2 C. energy

UEM Group of Companies proposes solutions that cut across Establish responsible relationships with our stakeholders
regulatory, social and environmental issues to improve clients Provide solutions that are based on a circular economy and
performance. We interact with key players to innovate and shared performance principles
build new initiatives that create shared value.

We contribute to the dynamics of local development through Contribute to the resilience of cities and local areas
our strong roots in local management with an in-depth Offer employment and skills development opportunities to
knowledge of the areas where it operates. local communities
Deliver a positive impact on our local development activities

UEM Group strives to not only reduce the environmental footprint Raise awareness, involve more people internally and externally,
of its activities and those of its Operating Companies, but also and promote collaborative initiatives with local players
foster favourable conditions for the preservation and restoration
of species and their habitats.

UEM GROUP BERHAD 33


SUSTAINABILITY REPORT 2015-2016

OUR APPROACH TO STAKEHOLDER ENGAGEMENT

Engagement with stakeholders is a key component of UEM Groups


sustainability strategy. Stakeholder engagement is managed by various
Operating Companies each responsible for addressing concerns relevant
to their respective operations.

Stakeholders are regarded as all individuals, institutions and organisations that have a direct or indirect impact
on the activities of UEM Group of Companies or are directly or indirectly affected by these activities.

UEM Group of Companies operates in several countries and We engage with our many stakeholder groups in various
employs more than 21,000 employees. Due to the nature of our formal and informal settings across the entire UEM Group of
diverse business offering, we have a broad and complex range of Companies. Specific communication mechanisms and practices
stakeholders. Effective stakeholder engagement is essential for that increase the participation of stakeholders in decision-
good corporate governance and one of the core principles driving making mechanisms are effectively employed for all stakeholder
sustainability. groups and practices.

STAKEHOLDERS COMMUNICATION MECHANISM


Shareholders Investor presentations Analyst meetings
Financial reporting Annual General Meetings (AGM)
Corporate website Extraordinary General Meetings (EGM)
Investor meetings and presentations Annual Report
Employees Publications: Sustainability Reports, press Employee engagement survey
releases and corporate website Events and celebrations
Engagement sessions Social media
Social activities and clubs Emails and Intranet
Financiers and Fund Managers Analyst briefings Website
Financial performance results Sustainability Reports
Authorities Compliance reports
Federal and State Governments Interviews and meetings
Ministries and Agencies Conferences
Customers and Clients Publications: Sustainability Reports, press releases and corporate website
Meetings
Events and celebrations
Business Partners Publications: Sustainability Reports, press releases and corporate website
Meetings
Vendors and Suppliers Vendor performance reviews Vendor registration
Vendor perception surveys Vendor conferences and workshops
Vendor Development Programme
Community Members Social events Press releases
Local communities Sponsorships and donations Sustainability Reports
Community partners Social media
NGOs Corporate website
Media Media briefings Press releases
Events and road shows Advertorial & Advertisements
Corporate website and publications

34 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

2015-2016 EVENT HIGHLIGHTS

2015
JAN MAR APR
22 26 2

Post-Flood Cleanup UEM Group visit to The New Straits Times Inaugural UEM Group Lecture Series with
Machang, Kelantan Press (M) Berhad (NSTP) Dato Seri Robaayah Zambahari, Senior
Balai Berita Bangsar, Kuala Lumpur Consultant Cardiologist, National Heart
Institute Mercu UEM, Kuala Lumpur

MAY JUN
12 4

Health, Safety, Security & Environment UELP Graduation & Adoption of PINTAR School Programme
(HSSE) Practitioners Workshop Mercu UEM, Kuala Lumpur
Mercu UEM, Kuala Lumpur

AUG
7 9 23 24

GLC Open Day 2015 Giant Jalur Gemilang We Care We Share 2015
KL Convention Centre, Kuala Lumpur Mercu UEM, Kuala Lumpur Mercu UEM, Kuala Lumpur

UEM GROUP BERHAD 35


SUSTAINABILITY REPORT 2015-2016

2015-2016 EVENT HIGHLIGHTS

2015 2016
SEP JAN MAR
2 17 1

Rail Business Asia Back-to-School Programme UEM Group University of Malaya MoU
KL Convention Centre, Kuala Lumpur Mersing, Johor Signing Ceremony
University of Malaya, Kuala Lumpur

OCT MAR APR


29 10 1

UEM Group Inter-Department Bowling Launch of UEM Group 50th Anniversary UEM Group Lecture Series - Dato Sri
Tournament Mercu UEM, Kuala Lumpur Nazir Razak, Chairman of CIMB Group
NU Sentral, Kuala Lumpur Holdings Berhad
- Mercu UEM, Kuala Lumpur

NOV JUN
3 15

World Islamic Economic Forum 2015 KYUEM Awards Day 2016


Kuala Lumpur Lembah Beringin, Selangor

36 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

2015-2016 EVENT HIGHLIGHTS

AUG
4 18 19

UEM Group Lecture Series - Dato Sri UEM Group SL1M Open Day 2016
Shazalli Ramly, Managing Director/Group Mercu UEM, Kuala Lumpur
Chief Executive Officer, Telekom Malaysia
Berhad Mercu UEM, Kuala Lumpur

SEP
06 09 23

UEM Group Scholarship 2016 UEM Group Durian Party 2016 CIDB MCIEA Awards 2016
Mercu UEM, Kuala Lumpur Mercu UEM, Kuala Lumpur Kuala Lumpur

OCT
05 08

Project Enterprise: Digital Revolution Aidiladha Get-Together with Residents of #uem50 CSR Gotong-royong,
Signing Ceremony Pusat Jagaan Al-Fikrah Merlimau, Melaka
Mercu UEM, Kuala Lumpur Kajang, Selangor
UEM GROUP BERHAD 37
SUSTAINABILITY REPORT 2015-2016

2015-2016 EVENT HIGHLIGHTS

2016
OCT
14 18

#uem50 CSR Sekolah Agama Sri Bertam UEM Group Lecture Series -Datuk Mohamed Faroz Mohamed,
Batu Pahat, Johor Managing Director of Jakel Group of Companies
Mercu UEM, Kuala Lumpur

NOV
15 18

Back-to-School Programme Hygiene Care Hey Day, SK Telok Gadong,


SK Kg Batu, Kuala Lumpur Klang, Selangor

NOV
25 29

Majlis Penyerahan Rumah Kekal Mangsa Banjir Negeri UEM Group PINTAR Schools Teachers Programme
Kelantan Hotel Sentral, Kuala Lumpur
Kuala Lumpur

38 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

2015-2016 EVENT HIGHLIGHTS

20 26

UEM Group Deepavali 2016 Inter-Company Kolam Competition #uem50 CSR


Menara UEM, Kuala Lumpur Kuala Selangor, Selangor

23 24

UEM Award Ceremony Back-to-School Programme Back-to-School Programme


Mercu UEM, Kuala Lumpur SK Padang Temu, Melaka SK Pantai Kundur, Melaka

DEC
01 14

Year-end Staff Gathering UEM Group University Teknologi PETRONAS MoU Signing
Mercu UEM, Kuala Lumpur Ceremony
Mercu UEM, Kuala Lumpur

UEM GROUP BERHAD 39


SUSTAINABILITY REPORT 2015-2016

MATERIALITY

It is important that UEM Group of Companies sustainability strategy


and reporting reflects the issues that are most important to the Group
and its stakeholders, and which have the greatest impact on society, the planet
and the communities we work with.
UEM Group of Companies conducted a materiality review to identify the most material issues. The review is aligned with the Global
Reporting Initiative (GRI) G4 Reporting Principles and Standard Disclosures.

Identifying Material Issues


UEM Group of Companies sustainability strategies were developed and strengthened by conducting a materiality assessment through
which all Operating Companies defined issues of relevance to stakeholders and the businesses. The process began by capturing a
broad scope of issues that were relevant to each industry and Operating Company. Those topics were then filtered to produce a short
list of material issues.

Customers
Shareholders Employees Fund Managers Business Partners and Clients Suppliers

Stakeholder
Groups That
Took Part in the
Materiality Study

Federal and State Ministries Local Media NGOs


Governments and Agencies Communities

We commissioned an external consultant to conduct this comprehensive study in the last quarter of 2016. An impartial external
party was chosen to secure the anonymity of the respondents. A total of 222 responses were obtained in the study.

40 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

MATERIALITY

Sustainability Areas Assessed in the Materiality Study

ECONOMIC

Economic and business performance, sustainable procurement, local hiring, nation building and
developing national infrastructure

ENVIRONMENT

GHG emissions & climate change energy, water, biodiversity, environmental impact from transportation

SOCIAL

Labour Practices and Decent Work


Safety and health, diversity and inclusivity, career development, recruiting and retaining,
remuneration and benefits, employee engagement and satisfaction

Human Rights
Child and compulsory labour, non-discrimination, unions and employee relations

Society
Community engagement, bribery and corruption, preventing anti-competition, benefiting local
communities, employee volunteerism and supporting charities

Product Responsibility
Customer satisfaction, customer privacy, public safety, quality management and responsible
marketing

Respondents were asked to select criteria deemed material to their chosen Operating Company.

A natural skew was discovered in the results as each stakeholder group was not represented equally. Unsurprisingly, the most
responses were received from employees; fewest were from partners.

An average score was calculated for all areas within each stakeholder group and division to rectify the sample imbalance. An
average rating from all stakeholder groups was then obtained.

Members of the Board of Directors were also asked to complete a similar survey. Their views represented each Operating Company
within the Group.

UEM GROUP BERHAD 41


SUSTAINABILITY REPORT 2015-2016

MATERIALITY

The Results
The results of the analysis were then used to develop a materiality matrix, with the level of importance to UEM Group of Companies
plotted along the X axis and importance to stakeholders on the Y axis. The matrix is presented in the following diagram.

31 32

30

29

28
21
RELEVANCE TO STAKEHOLDERS

27

20
8
14 24
23 26
7 19
25
13 18
22
6
17
4
12
16
5
11
3 15
1
10
2

IMPORTANCE TO UEM GROUP OF COMPANIES

1. Employee volunteerism 11. Environmental impact 17. Employee engagement 26. Recruiting/retaining
2. Local hiring from transportation & satisfaction employees
3. Wider community benefit 12. Employer/employee 18. Waste 27. Economic & business
relations 19. Training and career performance
4. Green building
13. Child & compulsory development 28. Quality
5. Anti-competition
labour 20. Responsible marketing 29. Customer feedback/
6. Responsible sourcing
14. Remuneration and 21. Customer privacy satisfaction
7. Nation building benefits
22. Discrimination 30. Public safety
8. Local communitity 15. GHG emissions & climate
23. Water 31. Corruption
engagement change
24 Stakeholder engagement 32. OSH
9. Sustainable procurement 16. Diversity & inclusivity
& supplier assessment performance 25. Energy
10. Biodiversity

42 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

CORPORATE GOVERNANCE

UEM Groups Board of Directors recognises the value of maintaining strong


corporate governance at UEM Group and across its Operating Companies.
This practice is essential in protecting business integrity and delivering
sustainable long-term stakeholder value.
We strive to adopt good governance, which guides us in managing sustainability and fulfilling our corporate responsibility effectively
and conscientiously. The Board and its respective committees discuss performance and implement plans based on our strategic
sustainable efforts.

The Operating Companies are responsible for driving sustainable practices across the Groups core businesses. This ongoing
commitment reflects the importance of sustainability and the fundamental role it plays in our business.

UEM Groups Management Committee is committed to best practices, focusing on overall strategic objectives, risk management,
code of conduct and the governance of rewards and remuneration. The Board and shareholders ensure that UEM Group is led in the
right direction through transparency, accountability and long-term stability. The Board aims to continuously enhance our corporate
governance to ensure compliance and relevance with industry best practices.

BOARD COMPOSITION
The Board of UEM Group is chaired by a Non-Independent Non-Executive Chairman. It comprises three Independent Non-Executive
Directors, with a total of nine members as at 31 December 2016, to ensure a balance of power and authority on the Board.

Please refer to UEM Groups website www.uem.com.my for the complete profiles of all Board members.

A number of the Board members also sit on the Boards of UEM Group of Companies to reflect our Managements representation
across our businesses and operations.

Their representations in the respective Operating Companies ensure that good corporate governance practices are observed and
consistently practised across the Board.

UEM Group Berhads Board of Directors PLUS PEIB UEM UEM CIMA UEM OPUS
Sunrise Builders Edgenta
Tan Sri Dr Ir Ahmad Tajuddin Ali, FASc, P. Eng

Dato Noorazman Abd Aziz

Tan Sri Dato Ir Omar Ibrahim

Lim Tau Kien

Dato Izzaddin Idris

Abdul Kadir Md Kassim

Zaiviji Ismail Abdullah

Wong Shu Hsien

Dato Mohamed Nasri Sallehuddin

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SUSTAINABILITY REPORT 2015-2016

CORPORATE GOVERNANCE

Responsibilities of UEM Groups Board Capacity Building


The Board provides stewardship in UEM Groups strategic To enhance the Boards skills and knowledge, UEM Group
direction and influences operations to maximise shareholder acknowledges that continuous capacity building is vital for our
value. The Boards principal responsibilities are as follows: Board members to keep abreast of the latest in technological
advancement, the economic landscape, regulatory compliance
Reviewing and adopting strategic and financial plans for and management strategies.
UEM Group.
Overseeing UEM Groups business conduct to evaluate and All newly appointed Directors will undergo a formal induction
review proper business management. programme provided by the Group MD/CEO and Key Management
Identifying principal risks and ensuring the implementation of UEM Group. All appointed Directors have attended relevant
of appropriate systems in managing these risks. training programmes and seminars organised by various
Overseeing succession planning, which includes key regulatory and professional bodies to further enhance their skills
management appointments, training, compensation, retention and capabilities.
and replacement.
Reviewing the adequacy and integrity of UEM Groups internal Number of Training Sessions Attended
control systems and management information systems to
ensure compliance with applicable laws, regulations, rules, UEM Group Berhads Board of Directors 2015 2016
directives and guidelines.
Tan Sri Dr Ir Ahmad Tajuddin Ali, FASc, 30 32
Formalising and reviewing performance of key sustainability
P. Eng
initiatives and recommending improvements in the aspects of
environmental, ethical, social and governance of the business. Dato Noorazman Abd Aziz 4 5

Tan Sri Dato Ir Omar Ibrahim 3 3


Access to Information and Advice
Lim Tau Kien 6 9
The Directors have full and unrestricted access to all information
pertaining to UEM Groups business affairs, whether as a full Dato Izzaddin Idris 9 12
Board member or in their individual capacity. This enables Abdul Kadir Md Kassim 1 6
them to discharge their duties effectively. There are matters
specifically reserved at the Boards discretion, as defined in the Zaiviji Ismail Abdullah 3 4
Companys Discretionary Authority Limit (DAL) to ensure that the Wong Shu Hsien 2 2
direction and control of UEM Group is firmly in place.
Dato Mohamed Nasri Sallehuddin - 3
The Board is furnished with an agenda and a set of papers is
delivered in advance prior to each Board meeting for the Directors
Nominations & Remuneration Committee
to review, evaluate and discuss. The Board papers contain
both quantitative and qualitative information, which include The Nominations & Remuneration Committee assists the Board
comprehensive management reports, minutes of meetings, in the nomination of new Directors and remuneration packages of
proposal papers and supporting documents. Executive Directors and Key Management. A Framework of Policies
based on which the Committee makes its recommendations to the
In discharging their duties, the Directors are assured of full and Board has been established for the nomination of new Directors
timely access to all relevant information pertaining to UEM Group. and remuneration of Executive Directors and Key Management.
They may, if necessary, obtain independent professional advice
from external consultants, with consent from the Chairman or
Committee Chairman.

44 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

CORPORATE GOVERNANCE

The Committee is also responsible for reviewing and implementing Risk Management Committee
evaluation procedures as well as reviewing proposals for
The Risk Management Committee (RMC) of UEM Group comprises
the remuneration package of each member of UEM Groups
the Group MD/CEO as the Chairman and co-opted members from
Committees, as and when instructed by the Board.
the Key Management team as appointed by the Chairman. The
RMC at the Operating Company level is headed by the respective
The Nominations & Remuneration Committee recommends to the
Companys MD/CEO.
Board the remuneration package of an Executive Director, while it
is the responsibility of the Board to approve the recommendation
UEM Groups RMC meets quarterly to, among others, review and
with the Executive Director concerned abstaining from deliberating
recommend the risk management policies and procedures for
and voting on the same.
the approval or acknowledgement of the Board; review on-going
adequacy and effectiveness of the risk management process;
Audit Committee
ensure that the Board receives adequate and appropriate
The Audit Committee supports the Boards oversight on UEM information for decision making and review; and commission
Groups financial performance and reporting to fulfil its statutory where required special projects to investigate, develop or report
and fiduciary responsibilities. This relates to internal controls, on specific aspects of the risk management processes of UEM
financial and accounting records, risk management, management Group of Companies.
information systems and policies as well as financial reporting
practices, of UEM Group. The Audit Committee also reviews any Risk Management
related party transactions and conflict of interest situations that
Business operations such as our cement production, clinical
may arise within UEM Group.
waste management, construction, and highway operations
and maintenance are particularly sensitive from a safety and
The following are the main duties and responsibilities of the Audit
environmental perspective. Therefore, appropriate consideration
Committee:
of sustainability issues is an integral part of our risk assessment.

Reviewing financial statements of UEM Group of Companies


Our robust Risk Management Framework provides a consistent
prior to approval by the Board.
approach to identifying, evaluating, monitoring and managing
Overseeing UEM Groups internal control structure to assure
risks and opportunities. Certain risks are identified as being a
operational effectiveness and efficiency, reduce the risk of
high priority for particular oversight by the Risk Committee, the
unreliable financial reporting, protect UEM Groups assets
Audit Committee and the Board. In 2016, these included business
from misappropriation and ensure legal and regulatory
and financial resilience, cybersecurity and safety risks including
compliance.
those arising from working at height, highway operations, plant
Assisting the Board in identifying high-impact risks in achieving
maintenance and waste handling. The health and safety of our
UEM Groups objectives and ensuring the implementation of
people and contractors are prioritised as it is central to business
appropriate measures to manage these risks.
success. We aim to improve this aspect by learning from our
Deliberating major findings from investigations by internal
experiences and positioning our culture where our teams have an
audit and reviewing the extent to which the recommendations
enhanced commitment and capability to manage risks that have
are implemented and the timeliness of the responses
the potential to cause harm.
received.
Recommending to the Board on the appointment and annual
As part of our relentless commitment to Health, Safety, Security
reappointment of external auditors and audit fees, taking into
and Environment (HSSE), we have also defined accountabilities in
consideration the independence and objectivity of the external
performance agreements or KPIs for certain Operating Companies.
auditors and the cost effectiveness of the audit.
The Group HSSE department also undertakes group-wide reviews,
which are formally communicated to the Group Board and Audit
Committee in monthly reports.

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SUSTAINABILITY REPORT 2015-2016

CORPORATE GOVERNANCE

Environmental challenges that directly affect the Groups response Ethical Business Conduct
strategies include the availability of key resources such as energy
Corporate Integrity
and limestone. We identify opportunities for energy efficiency
improvements including technologies for waste heat recovery, UEM Group adheres to the highest standards of conduct in
sourcing alternative energy to fossil fuels (coal) and recognising managing its business and serving its stakeholders. We are
possibilities for product/process innovation and new competitive committed to acting with integrity at all times when dealing with
advantage. It is important to obtain a full risk and opportunity our customers, employees, shareholders and society. This guides
picture and create a market-sensitive organisation that promotes everything we do the way we serve our clients and our work that
business growth. We are exposed to a range of regulatory helps them build better businesses.
developments and business conditions in geographical locations
where we operate due to our nature of business. We seek to Maintaining the highest ethical standards is critical. All employees
manage these risks through our relationships with governments follow not only those policies set forth by our clients but also UEM
and stakeholders, regular reviews of market conditions, our Groups comprehensive, strictly-enforced core values and code of
planning and investment processes, and our focus on meeting all ethics.
applicable licenses and regulatory requirements.
On 4 May 2016, UEM Group hosted an Integrity Forum Day which
Pursuing a responsible approach to business is essential for aimed to raise awareness of business ethics. This is part of the
achieving long-term success. Our approach continues to provide Groups implementation of the Corporate Integrity System (CIS).
an appropriate balance between economic and environmental The forum was moderated by Mohd Nizam bin Mohd Ali, Director
sustainability. of the Malaysian Institute of Integrity. Members of the panel
included Dato Izzaddin Idris, Group MD/CEO of UEM Group; Datuk
GOVERNING PRACTICES Dr Anis Yusal Yusoff, President and CEO of the Malaysian Institute
of Integrity; Dato Hajah Sutinah Sutan, Board member of the MRT
UEM Groups Code of Conduct sets out the appropriate conduct
Corp and Unni Krishnan Menon, Retainer Consultant for MIMOS,
required to improve governance standards to set a benchmark for
Malaysias forefront technology provider in Information and
ethical behaviour based on trustworthiness, social responsibility
Communications Technology, Industrial Electronics Technology
and accountability. Our directors and employees are expected to
and Nano-Semiconductor Technology.
conduct themselves ethically and professionally at all times to
protect and advance UEM Groups reputation.
Our Stand Against Corruption

UEM Groups governing practices are guided by the following: UEM Group engages with its stakeholders on the basis of
transparency, continuity, mutual trust and honesty.
Code of Conduct
Whistle Blower Policy The Group rejects all forms of bribery, corruption or any form of
UEM Group Berhad Privacy Policy unethical inducement and does not tolerate unethical behaviour
Group-wide Social Media Policy from its employees and both current or prospective vendors.
Donations & Sponsorships Disciplinary action is taken against any employee found to have
No Gifts Policy breached these basic ethical requirements.

Code of Conduct UEM Group is determined to conduct its business in an ethical and
lawful manner. Our code of conduct, business integrity policy and
Our Code of Conduct includes guidance on disclosing conflicts
anti-corruption compliance programme set the standard for our
of interest, maintaining confidentiality, our no gifts policy and
business practices and personal conduct.
practices relating to entertainment, personal solicitation and graft.

46 UEM GROUP BERHAD


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CORPORATE GOVERNANCE

The code builds trust and sets expectations while business There were no reported incidences of fines or penalties in relation
integrity defines the principles for our business integrity work to anti-competitive behaviour, monopolistic practices and non-
focusing on anti-corruption, risk and corporate responsibility. compliance issues during both years under review. There were
We also developed new procedures to help clarify and further also no complaints regarding breaches of customer privacy and
strengthen our compliance framework. losses of customer data received. UEM Group does not receive
financial assistance from the Malaysian Government and has not
Our Group-wide policies state clearly that all our business accepted any financial contributions or aid from political parties
functions must comply with the legal obligations and laws in every in the country.
industry in which we operate.
Donations & Sponsorship Policies and Guidelines
Whistle Blower Policy
Our Donations & Sponsorship Policies and Guidelines provide
The Whistle Blower Policy provides a mechanism for employees management and staff with the overall direction to promote good
to raise genuine concerns about unethical behaviour, actual or sustainable practices in the execution of business activities. They
suspected fraud or dishonesty, or violation of our Code of Conduct. also contain processes for a fair and just distribution of donations
and sponsorships.
UEM Group and its Operating Companies are committed to the
highest standards of professionalism, honesty, integrity and These guidelines also contain a written statement and parameters
ethical behaviour in the conduct of business and operations. We outlining UEM Group and its Operating Companies commitment
need to be aware of all compliance violations especially breaches to its objectives, targets and performance improvement.
of the law or violations of our business principles.
No Gifts Policy
Our Whistle Blower Policy or Whistle Blower Protection provides
UEM Group is committed to upholding its No Gifts or Favours
all stakeholders with a secure mechanism for reporting suspected
Policy as outlined in its Code of Conduct.
compliance violations. Anyone with knowledge of any actual or
potential improper conduct is encouraged to report it in good faith,
The policy, which includes festive gifts, reinforces our objective
without fear of reprisal.
of conducting our operations with the highest possible standards
of governance. It also inculcates the values of integrity and
Ethical concerns are investigated according to established
trustworthiness in our business dealings.
procedures and stakeholders support helps us live up to our
aspirations of being a responsible business partner.
Festive gifts delivered or received are returned to the sender
immediately.
UEM Group Privacy Policy
We introduced the UEM Group Berhad Privacy Policy in compliance
with the provisions of the Personal Data Protection Act 2010
(PDPA). The policy details the types, uses and protection principles
of personal information provided or made available to UEM Group.

Group-wide Social Media Policy


Our Group-wide Social Media Policy states the dos and donts for
employees using social media in their jobs or personal capacity to
ensure that UEM Groups reputation and interests are protected.
This policy also governs their actions in relation to potential
breaches of confidentiality and respect for the individuals and
communities with whom they interact.

UEM GROUP BERHAD 47


SUSTAINABILITY REPORT 2015-2016

Economic

Advancing the nation through


our roles in developing local
infrastructure, providing
employment and facilitating
healthy economic growth.

Developing the local economy


by prioritising local employment,
sourcing local products
and services as well as supporting
Bumiputera entrepreneurs.

48 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

ECONOMIC

UEM Group of Companies operates in accordance with the basic


principles of sustainable development. Our primary responsibility
is defining our social and environmental spheres of influence
alongside the economic impact they generate.

Sustainability is embedded into the decision-making, planning and investment processes across UEM Group of Companies to increase
sustainable value for all shareholders. We act in a manner that fully respects the decisions made today will shape the future.

LOCAL HIRING
Employing locals and sourcing local products and services
are important to both UEM Group of Companies and the wider
community. Our success depends on local knowledge as we strive
to improve local social and economic conditions.

Across UEM Group of Companies, we aim to make a positive


difference to the communities where we operate and seek ways
to assist them. The hiring and development of local people
are prioritised and we work with local supply chains wherever
possible. UEM Group took part in 25 local and overseas career
fairs in 2015 and 2016. Through our presence in these career fairs,
we hope to attract potential candidates and bring back younger
generations who are pursuing their studies abroad. Over 99%
of UEM Group of Companies employees are Malaysians as at
31 December 2016.

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SUSTAINABILITY REPORT 2015-2016

ECONOMIC

BENEFITING LOCAL
COMMUNITIES THROUGH OUR Approximately
PRESENCE
UEM Group of Companies presence
12,000 employment
benefits communities in many ways opportunities have been created in operations,
and local development is a key part maintenance and support services.
of being a sustainable company. Our
operations provide local people with clear
long-term benefits wherever they Local suppliers also sell their products at PLUS RSAs and lay-bys and these include
are based. We also develop local Orang Asli who sell forest products, herbs and traditional medicines such as wild honey
infrastructure, boost revenue and provide and medicinal roots. Approximately 12,000 employment opportunities have been created
employment. in operations, maintenance and support services. RSAs and lay-bys have also become
a stable source of income for residents in the neighbourhood contributing greatly to the
PLUS socio-economic development of local communities. PLUS RSAs have created more than
5,500 employment opportunities and 800 local entrepreneurs.
PLUS highways are the longest expressways
in Malaysia with a total length of over
UEM Sunrise
1,200km running from Bukit Kayu Hitam
in Kedah near the Malaysia-Thai border UEM Sunrise is an international lifestyle developer with core competencies in the areas
to Johor Bahru at the southern portion of macro township development; high-rise residential, commercial, retail and integrated
of Peninsular Malaysia. Since 1994, the developments; as well as property management and project & construction services.
North-South Expressway (NSE) has linked Through township and property development business, we are unlocking potential
many major cities and towns in western economic growth.
Peninsular Malaysia, acting as a backbone
for the west coast of the peninsular. UEM Sunrise prioritises and fast-tracks township infrastructure implementation plans
Economic development is boosted in all while accelerating connectivity and access in these townships. These conditions correlate
areas that the highway serves. As well as with economic development and create the necessary conditions for the spontaneous
connecting the nation, the NSE offers an growth of a nation.
alternative to the federal route through
various towns and cities. Embracing innovation and technology, UEM Sunrise strives to be the role model of
an economically, socially and environmentally sustainable developer. With modern
PLUS existence supports the economy infrastructure and a cutting edge architectural masterplan, we continue to drive
of local communities along its alignment economic growth and transform Malaysia into an exciting centre of economic
by allowing them to sell their products in development in the region.
a healthy and sustainable market at its
RSAs. Vendors who operate food outlets
at the RSAs are supported in every aspect
of their business. Vendor training courses
are conducted that cover quality vendor-
customer relationships and hygienic food
preparation. These courses also introduce
techniques that instill a sense of security
in their patrons. The prices of goods are
regulated to make the travel experience on
the PLUS expressways more economical
for customers. The rental cost of the stalls
is also kept to a minimum.

50 UEM GROUP BERHAD


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ECONOMIC

CIMA CONTRIBUTION TO THE INDUSTRY


CIMA is one of the countrys most trusted UEM Group of Companies is committed in contributing to the economic and institutional
manufacturer, producer and distributor of development of the industries in which it operates. All Operating Companies aspire
high quality cement, ready mixed concrete, to facilitate economic growth by playing an active role in these industries through
aggregates and related products. Abreast memberships in associations.
with latest technical developments,
CIMA maintains a strong lead through UEM Group of Companies representatives engage regularly with industry partners,
innovation. Today, CIMAs innovative NS contributing their expertise in discussions relevant to their respective fields. We advance
EcoCrete LH cement advances a new our industries by consulting with other industry group members and learning from each
generation of green cement that meets the other through brainstorming.
most stringent environmental demands.
All CIMA products and processes are
stringently tested and certified to meet or Memberships & Affiliations
exceed quality standards. The Company UEM Malaysia-India Business Council (MIBC)
takes pride in being certified with ISO Group Malaysia South-South Association (MASSA)
14001 and its investment in innovative, Malaysia Industry-Government Group for High Technology (MIGHT)
eco-efficient technologies has reduced Malaysia New Zealand Chamber of Commerce (MNZCC)
its carbon footprint through the use of British Malaysian Chamber of Commerce (BMCC)
alternative fuel and raw materials in
PLUS Persatuan Syarikat- Syarikat Konsesi Lebuhraya Malaysia (PSKLM)
cement manufacturing. Road Engineering Association of Malaysia (REAM)
Malaysia Road Safety Council (MKJR)
UEM Edgenta Malaysian Institute of Road Safety Research (MIROS)
Intelligent Transport System Association of Malaysia (ITSAM)
UEM Edgenta provides integrated
Chartered Institution of Highways and Transportation (CIHT)
facilities management and engineering
contracting services for a range of assets UEM International Real Estate Federation (FIABCI) Malaysian Chapter
and building types. From expressways Sunrise Real Estate and Housing Developers Association Malaysia (REHDA)
and roads to urban transit, institutional Federation of Public Listed Companies Berhad (FPLC)
to retail, offices to hospitals, educational Johor Sailing Association (JSA), Malaysia
institutions as well as residential The Yacht Harbour Association (TYHA), United Kingdom
Asia-Pacific Superyacht Association (APSA), Hong Kong
properties and townships, UEM Edgentas
services cover operations, maintenance UEM Construction Industry Development Board Malaysia (CIDB)
(hard and soft services), rehabilitation Builders Standards and Industrial Research Institute of Malaysia (SIRIM)
and upgrading works at different phases National Institute for Occupational Safety and Health (NIOSH)
of the asset life cycle. British Standards Institution (BSI)
Master Builders Association Malaysia (MBAM)
UEM Edgenta also provides differentiated CIMA Cement & Concrete Association of Malaysia (C&CA)
solutions which are Green, Smart and Federation of Malaysian Manufacturers (FMM)
Connected for the built environment, such National Ready-Mixed Concrete Association of Malaysia (NRMCA)
as energy-saving, pavement, geotechnical, Master Builder Association Malaysia (MBAM)
structural and environmental solutions. Negeri Sembilan Industrial Liaison Centre (NSILC)
Through its advanced and innovative Malaysian Quarry Association (MQA)
technology offerings, asset owners and Johor Quarry Association (JQA)
operators can achieve energy savings Negeri Sembilan Quarry Association (NSQA)
via efficient energy management and UEM The Malaysian Asset & Project Management Association (MAPMA)
optimisation of the assets energy Edgenta Board of Engineers Malaysia (BEM)
performance while lowering carbon Malaysia Industry Advisory Committee for Politeknik Banting
footprint. Road Engineering Association of Malaysia (REAM)

UEM GROUP BERHAD 51


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ECONOMIC

ADVANCING THE NATION On 17 June 2015, UEM Group signed a


Memorandum of Understanding (MoU) with
Since 1966, UEM Group has been connecting communities and uniting loved ones by
the National University of Malaysia (UKM),
realising Malaysias infrastructure vision. As an engineering-based infrastructure and
to assist UKM in establishing the Health
services conglomerate with an established track record in the country and the region.
Technopolis at its medical and health
UEM Group of Companies continues to invest its expertise, resources and state-of-the-
campus where medical research and
art technologies to deliver key infrastructure development projects for the public and
development can be carried out through
private sectors.
collaboration between researchers and the
corporate sector.

Key Infrastructure Development Projects Delivered to the Public and


On 13 December 2016, UEM Group
Private Sectors
signed an MoU with Universiti Teknologi
PETRONAS (UTP). This MoU allows both
parties to explore potential cooperation and
collaboration in corporate responsibility,
research and development, graduate
employability and student internships.
Expressways Bridges Buildings
The MoU provides UTP students with
o p p o r tu n i ti e s fo r i n te rnships and
employment within UEM Group. Top
management and UTP lecturers delivered
a cross-functional exercise across the two
entities.
Urban Transits Water Infrastructure Airports
UEM Group also agreed to support UTPs
Socioeconomic Development for the Less
Privileged Community Programme by
pledging to donate RM50,000 for women
empowerment. Specifically, the funds will
be used to purchase raw materials for DAji
Tailor sewing business in Kampung Aji,
Hospitals Township & Property Asset & Facility Perak and help in marketing, manpower
Development Management Services planning and skills development. CIMA
will also contribute 500 bags of cement to
build a community and resource centre in
Strategic Partnership in Boosting the Nations Academic Performance and Mukim Layang-Layang Kanan, Perak.
Employability
UEM Group has formed strategic alliances with major Malaysian academic institutions
to develop the areas of education and research. These initiatives create an ecosystem
for industries, academicians, researchers, managers and engineers to collaborate and
accelerate growth through research and innovation.

52 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

ECONOMIC

Evolving the Nations Connectivity


UEM Group, UEM Edgenta and PLUS,
through its subsidiary TERAS Teknologi
Sdn Bhd, participated in the Rail Business
Asia 2015 (RBA2015). Themed Evolving
Rail Industry in Asia: Sustainability,
Connectivity and Safety, the event was
held from 2 to 4 September 2015 at the
Kuala Lumpur Convention Centre.

RBA2015 was co-hosted by the Land


Public Transport Commission (SPAD)
and Construction Industry Development As part of its ongoing commitment to SUSTAINABLE PROCUREMENT
Board (CIDB). It is the regions leading delivering affordable housing in Iskandar
rail event where government authorities, Supply chain management in UEM Group
Puteri, UEM Sunrise launched 1,217 Denai
asset owners, operators, consultants and of Companies covers both strategic and
Nusantara units on 29 January 2016,
solution providers discuss key updates and operational levels. Our supply chain
comprising 1,109 Rumah Mampu Milik
shape the Asian rail business. organisations consist of thousands of
Johor (RMMJ) and 108 single-storey shop
employees across all locations.
lots. The estimated Gross Development
Approximately 5,000 trade exhibitors and Value (GDV) of this project was RM188.5
visitors took part in the event with various UEM Group of Companies expects all
million.
companies from China, Japan, Malaysia suppliers to comply with the companies
and Singapore attending. UEM Edgenta, values, national laws and regulations.
Launched in stages, based on the
through its subsidiary Opus, showcased its They must also meet company standards
guidelines of the Dasar Perumahan
rail experiences and consulting concept for of health and safety, quality management,
Rakyat Johor, UEM Sunrise will continue
the rail sector while Teras demonstrated environment, ethics, anti-corruption and
its efforts of building affordable homes in
its automatic ticketing system technology. social responsibility. We strive to create
Iskandar Puteri to help the rakyat acquire
shared value with communities by focusing
their own homes. The construction of
David Starbucks, Head of Rail Design from on local sourcing, knowledge transfer and
affordable homes will be subject to
Opus, was a key speaker and presented a close dialogue with suppliers.
current demand and approval from the
paper titled LRT Line Extension Projects relevant authorities.
An Update on Progress. Audits were also conducted to verify
information provided in the qualification
To date, UEM Sunrise has completed and
Affordable Housing Improves the Social process, screen for risks and confirm
handed over 3,824 affordable housing
Economy of the Rakyat suppliers ability to meet our standards.
units in Taman Nusantara. 1,348 units are
Combined with a supplier performance
UEM Sunrise has sustained its commitment still under construction of which 1,003 are
evaluation, this information presents an
to providing affordable housing for 20 years. located in Nusantara Prima.
accurate picture of supplier risks. Each
At this time, UEM Sunrise collaborated
year, we identify potential supplier risks
with Denia Development on Perumahan These initiatives are in line with the
and suppliers are only approved following
Rakyat 1Malaysia project (PR1MA). This aspirations of the National Housing
an investigation and review. Our practice is
project provided 201 units of affordable D ep ar tme n t a n d th e Jo h o r S ta te
not to work with customers and suppliers
housing for middle-income families. Government to provide the rakyat the
who breach the law or are unethical.
opportunity to own homes.

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ECONOMIC

Developing Malaysias Bumiputera


Entrepreneurs
In 2014, UEM Group launched its
Bumiputera Vendor Development
Programme (BVDP) to develop Bumiputera
entrepreneurs in the Bumiputera
Commercial and Industrial Community
(BCIC). This programme was designed to
allow entrepreneurs to develop their skills
to enable them to produce and not merely
act as agents or distributors.

Objectives of UEM Groups BVDP

Support the Governments


aspiration to develop BCIC under the
National Development Policy

Develop a proactive, resilient


and competitive Bumiputera Our Performance in Developing the Nations Bumiputera Capabilities
industry

Focus Areas KPI Initiative 2015 2016


Support the development of local
capability using home grown skills Vendor Number of new Bumiputera vendors enrolled 20 19
Development under the UEM-VDP
Programme
Number of vendors in the VDP achieving an 7 20
(VDP)
UEM Group and Majlis Amanah Rakyat average minimum target score using
(MARA) collaborated to help the Business Excellence (BE) - VDP Batch 1
Bumiputera community in support of the
Putrajaya Bumiputera Empowerment Anchor Strategic Number of new Bumiputera vendors enrolled 3 0
Agenda (BEA). An MoU was signed Partner (ASP) under UEM-ASP
between the two parties on 24 February Contract carve- Contract value reserved for Bumiputera 28% 28%
2015. UEM Group and MARA continue to out allocation (% of total value of contracts
run development programmes, provide awarded)
technical guidance and technology,
transfer knowledge as well as offering Human Capital Number of Bumiputera beneficiaries that 419 631
advice on quality control and service participated in the human capital development
excellence. programme

Procurement Total Bumiputera spend (% of total local 28% 27%


As part of UEM Groups partnership with spend procurement spend)
MARA, it continues to explore potential
cooperation on education, entrepreneurship,
investment and management services.

UEM Group has awarded more than RM5


billion accumulated from 2011 to 2016 in
contracts to Bumiputera companies in
support of the Putrajaya BEA.

54 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

ECONOMIC

The BVDP is also implemented across Integrating Social and Environmental Factors into Our Supply Chain
UEM Group of Companies. The numbers
UEM Group of Companies incorporates social, safety, health and environmental aspects
of Bumiputera vendors enrolled in the
into its procurement process. Contractors must submit a Project Safety, Health &
past two years are presented below.
Environmental Compliance Plan (PSHECP) and Emergency Response Procedures
(ERP). These documents outline training, monitoring, reporting procedures, compliance
with statutory regulations, standards and Codes of Practice that must be implemented
BREAKDOWN OF BUMIPUTERA throughout the contract period. Environmental, safety and health factors are also
VENDORS ENROLLED UNDER included in supply-chain contract agreements.
THE BVDP

Environmental and Social Requirements for UEM Group of Companies


2015 Suppliers, Contractors and Subcontractors
4 5

Compensation packages must comply with:


The Workers Compensation (Foreign Workers Compensation Scheme)
(Insurance) Order 1996; and/or
The Social Security Insurance; and/or
4 Employers Liability Insurance; and/or
Any other insurance with statutory limits as required by Malaysian law.
5 2 Fair remuneration must be provided
Remuneration must cover at least their living wage. Overtime must be paid to
workers.

Valid permits to work


2016 Must be issued before permanent or temporary workers can work in
5 5 accordance with Malaysian immigration and labour laws.

Social background
Workers must be free from criminal record and drugs (which are detected
through a urine test).

Workers must not be exposed to hazards or risks


When carrying out work in addition to being supervised by our safety personnel
4 5 on site.
-
Workers must not degrade the environment
From potential pollution as far as is practicable and mitigate the potential
environmental impact.

Reduce the impact of their operations


PLUS Measured through emissions released, biodiversity impact, waste disposal,
pollution and other environmental issues resulting from their operations.
UEM Sunrise
Share UEM Groups commitment to the environment
UEM Builders
UEM Group of Companies selects suppliers who conduct business in a similar
CIMA way as the Group. Suppliers must work to reduce their consumption of
resources including raw materials, energy and water throughout all aspects of
UEM Edgenta
the project.

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SUSTAINABILITY REPORT 2015-2016

Environment

Environmental Management
System (EMS) across UEM
Group of Companies which
manages environmental
impact

Implementation of green
technologies which maximise
operational efficiency and
energy conservation

56 UEM GROUP BERHAD


SUSTAINABILITY REPORT 2015-2016

ENVIRONMENT

UEM Group of Companies environmental commitment is an


integral part of its strategy. Meeting the challenges of climate
change requires us to act in a sustainable and responsible
manner every day.

OBJECTIVES OF UEM GROUP OF COMPANIES ENVIRONMENTAL EFFORTS

Supporting companies growth and exceeding stakeholders increasing expectations for more sustainable
and green products and services

Improving operational efficiency by lowering costs


Raising environmental awareness
and reducing the environmental footprint
with stakeholders
of operations and supply chain

ENVIRONMENTAL MANAGEMENT SYSTEM

Company Coverage

PLUS PLUS Headquarters


PLUS operations in the Southern, Central and Northern Regions

UEM Sunrise Focusing on UEM Sunrises development services

UEM Builders UEM Builders Headquarters in Petaling Jaya, Selangor

CIMA Cement plant in Bahau, Negeri Sembilan


Cement plant in Bukit Ketri, Perlis

UEM Edgenta Opus International (Malaysia) Berhad


Edgenta Mediserve Sdn Bhd (Headquarters and all sites, Kuala Ketil Laundry Plant, Kamunting
Laundry & Incinerator Plant and Edgenta Healthronics Sdn Bhd)
Edgenta PROPEL Berhad
Edgenta Environmental & Material Testing Sdn Bhd

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SUSTAINABILITY REPORT 2015-2016

ENVIRONMENT

ENERGY AND EMISSION


MANAGEMENT DIRECT AND INDIRECT ENERGY CONSUMPTION
Reducing the environmental impacts
arising from our operations is a material
14,000,000 675,000
responsibility for UEM Group. We
determine the level of risk from the 669,048
12,000,000 670,000
worlds common problem climate
change. Proactive solutions to mitigate 10,000,000

Electricity (Mwh)
665,000
these risks are developed to improve
Fuel (litres)
8,000,000
our operational performance. Energy
7,860,940 8,185,260 660,000
conservation measures not only focus on 6,000,000
offices but also include various operations
654,296 655,000
sites across the country. 4,000,000

2,000,000 650,000
UEM Group of Companies believes it 3,635,156 3,364,183
cannot manage what it does not measure
0 645,000
and monitors its direct and indirect energy 2015 2016
consumption. Direct energy is in the form
of petrol for our company-owned vehicles Diesel Petrol Electricity
and diesel for both these vehicles and
generator sets.

General Daily Energy Conservation Efforts Being Practised Across UEM Group of Companies

Scheduling several Carpooling Switching off lights and Minimising printing and Using video
out-of-office meetings electrical appliances encouraging dual-side conferencing to
on the same day when not in use printing whenever minimise travelling
possible between sites

PLUS
PLUS aims to establish itself as the benchmark for other In 2003, PLUS was certified with ISO 14001:1996. As part of
expressway operators. PLUS Environmental Management the ISO requirements, expressway operations aspect and their
System manage, control and improve environmental performance impact on the environment are assessed and reviewed by the
and minimise harmful effects on the environment while providing PLUS EMS Committee. Starting from 2016, PLUS Environmental
excellent services to its customers. performance was also assessed by the Malaysian Highway
Authority via the established Green Highway Index.

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SUSTAINABILITY REPORT 2015-2016

ENVIRONMENT

Green Technologies Used by PLUS

Energy-saving lights Street lighting dimming Solar-powered Inverted air-conditioning


on selected stretches systems energy sources ventilation systems
and interchanges

Paperless initiatives including: Thematic design of RSAs Motion sensors on lighting in all
Electronic Toll Collection (ETC) with natural lighting Persada Surau and toilet
systems such as Touch n Go, and ventilation systems
SmartTAG and PLUSTrack
Electronic Toll Form (ETOF)
Receipt on Demand (ROD)

PLUS began implementing an Intelligent Transport System (ITS) along its expressways in 2002.

Components of the ITS

Network Control CCTV surveillance Variable message Automatic vehicle Basic system
infrastructure centres at mainlines signage (VMS) detection system integration
upgrade upgrade (AVDS)

ITS gathers, organises, analyses, uses and shares information PLUS employs systematic traffic management at toll plazas to
on transportation systems in response to recent traffic growth. reduce congestion and minimise the release of carbon dioxide
PLUS interest in ITS arises from customers growing needs and other harmful emissions.
for better traffic management, travel information, emergency
management and a safe environment.

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SUSTAINABILITY REPORT 2015-2016

ENVIRONMENT

UEM Edgenta
UEM Edgentas Energy Management Systems cover 33 hospitals CnC optimises efficiency and performance through integrated
and deploy controls and data managers monitored by a command automation systems for all buildings and projects under
centre. This Command and Contact Centre (CnC), which has been UEM Edgentas purview. The scope of work comprises energy
fully operational since 29 August 2016, enables UEM Edgenta to management, remote monitoring with controls and building
monitor and control its energy consumption in real time. The CnC automation. It also allows predictive maintenance and strategic
includes smart metering, energy monitoring and control, data building management planning.
gathering and preventive maintenance.

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SUSTAINABILITY REPORT 2015-2016

ENVIRONMENT

UEM Edgentas credibility in energy management was recently recognised when six government hospitals
managed by the Edgenta Mediserve were awarded One Star for Energy Management Gold Standard (EMGS)
Certificates under the ASEAN Energy Management Scheme (AEMAS):

Hospital Sultanah Bahiyah, Alor Setar, Kedah


Hospital Sultan Abdul Halim, Sungai Petani, Kedah
Hospital Langkawi, Kedah
Hospital Batu Gajah, Perak
Hospital Kuala Kangsar, Perak
Hospital Parit Buntar, Perak

KFM Holdings Sdn Bhd, a subsidary of UEM Edgenta was also bestowed the Commercial Project Leadership
Award for Bangunan Perdana Putra, Platinum Green Building Index (GBI) project by Malaysia Green Building
Confederation.

CLIMATE CHANGE AND CARBON Across UEM Group of Companies, we focus on initiatives that minimise our carbon
FOOTPRINT MANAGEMENT footprint. For example, we encourage the use of our own conferencing solutions to
reduce travel. This is significant as our operations are spread across the nation. We will
For years, we have focused on reducing continue to monitor our carbon emissions. This allows us to understand our emission
o ur e miss io ns , i n c rea s i n g en erg y trends and recognise the potential areas for reduction and improvement. Moving
efficiency in our operations across forward, we aim to set individual reduction targets for each operating company.
UEM Group of Companies, using
lowe r - emission alternatives to Our emissions accounting is based on the internationally recognised GHG Protocol
traditional fossil fuels and promoting established by the World Business Council for Sustainable Development (WBCSD) and
renewable energy. World Research Institute (WRI). Emissions accounting is based on the GHG Protocol
classification of direct and indirect emissions.
CO2 levels are increasing and have a
negative impact on the environment and
we see the effects every day. Sea levels Scope Category Indicators Measured
are rising, temperatures are increasing
Scope 1 Direct GHG emissions Fuel
and more severe weather can be seen
worldwide. Scope 2 Indirect GHG emissions Electricity

Scope 3 Other indirect GHG emissions Air travel

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SUSTAINABILITY REPORT 2015-2016

ENVIRONMENT

Scope 1
All fuel purchases are monitored and CO2 EMISSIONS (MT) FROM FUEL
recorded to calculate GHG emissions
f ro m f u e l co n s u m p t i o n . S e p a r a t e 35,000
calculations have been performed for 29,150 29,384
petrol and diesel. Diesel used by both 30,000

gensets and company-owned vehicles


CO2 Emissions (MT)
25,000 7,619
has been included. 8,356
20,000
CO2 emissions from the consumption 6,221
of fuel were derived from the emission 15,000 9,063
factor published by the IPCC Guidelines for 3,268
10,000 1,366 2,438
National Greenhouse Gas Inventories.
1,495
5,000
9,939 8,769
0
2015 2016

PLUS UEM Sunrise UEM Builders


CIMA UEM Edgenta Total

Scope 2
Electricity usage has been calculated from CO2 EMISSIONS (MT) FROM PURCHASED ELECTRICITY
electricity bills. Electricity used by our
offices and operations has been used in 2015: 495,764 (MT) 2016: 488,362 (MT)
this calculation.
2015 2016

CO2 emissions from the use of electricity 4,414 69,275 4,505 80,201
were derived using the emission 1,979 1,612
factor published by the Malaysian 452 420
Green Technology Corporation for the
Peninsular Grid.

419,644 401,624

PLUS UEM Sunrise UEM Builders CIMA UEM Edgenta

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SUSTAINABILITY REPORT 2015-2016

ENVIRONMENT

Scope 3
Air travel GHG emissions were calculated CO2 EMISSIONS (MT) FROM AIR TRAVEL
point to point including the number of
employees on board, distance and flight 474
473
class.
473

CO2 Emissions (MT)


472

471
470
470

469

468
NS EcoCrete LH
2015 2016

GREEN PRODUCTS
CIMA
CIMA invests in innovative, eco-efficient technologies such as the use of alternative
fuels and raw materials in cement manufacturing. CIMAs product, NS EcoCrete LH has
been certified by SIRIM Malaysia and tested against strict eco products criteria.

WASTE MANAGEMENT
Effective waste management is a vital component of environmental protection. UEM Group of Companies is committed to managing
its waste footprint more effectively. Stringent management practices have been adopted throughout the Group to ensure waste from
plants, project sites and offices is disposed of effectively. There are also measures to eliminate or contain spills.

UEM Group of Companies environmental action plan contains provisions for the proper management and hygienic disposal of waste
generated. We always aim for on-time hygienic waste disposal.

The total waste disposed of by type in 2015 and 2016 across UEM Group of Companies is presented below.

Breakdown of Waste Disposed of by Operating Company (kg)

Operating Company 2015 2016


Solid Waste Scheduled Waste Solid Waste Scheduled Waste
PLUS 3,602,040 11 3,602,040 13
UEM Sunrise 4,588,722 1,122 8,626,815 3,966
UEM Builders 1,733 2,650 1,348 2,767
CIMA 170,240 126,592 167,720 92,869
UEM Edgenta Data is currently unavailable. 138,440 Data is currently unvailable. 125,138
UEM Edgentas solid UEM Edgentas solid
waste disposal is based on waste disposal is based on
scheduled trips per location scheduled trips per location
instead of volume instead of volume
Total 8,362,735 268,815 12,397,923 224,753

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SUSTAINABILITY REPORT 2015-2016

ENVIRONMENT

PLUS WATER EFFICIENCY CIMA


PLUS supports RSA vendors in all MANAGEMENT Water is an integral component in
aspects of their business. Attention is Water is essential to both our stakeholders concrete production and CIMA optimises
given to hygiene standards, food quality and business operations. Our water its use of this valuable resource. CIMA
and competitive pricing. stewardship strategy helps us understand collects discharge water in retention
and manage our water footprint and related ponds throughout its facilities and this
P LU S a l s o g e n e r a t e s s i g n i f i c a n t risks more effectively. water is reused in manufacturing. At the
volumes of pavement milling waste. Bahau Plant, water is pumped from the
476,800 m3 and 387,300 m3 of pavement Typically, our Operating Companies quarry pond and reused in cement mill
milling waste were disposed of in 2015 monitor the volume of water withdrawn operations, water spray systems and bulk
and 2016 respectively. using a flow meter. The volume is lorry washing systems.
estimated if flow meters are unavailable
CIMA at the withdrawal points. BIODIVERSITY
CIMAs scheduled waste management
is stringent and the scheduled waste Total water consumption at each Operating UEM Group of Companies understands
is disposed of at least every 180 days Company in 2015 and 2016 is presented that each species, no matter how small,
or whenever 20 tonnes have been below. plays an essential role in the ecosystem
gene ra te d. CIMA recycles fly-ash and that biodiversity is an important
generated by coal-fired power plants and Water Consumption (m3) by Operating global issue. All Operating Companies
the resulting products are eco-friendly Company strive to preserve biological diversity and
with good resistance to a chemical the variety of life forms on earth through
attack. CIMA submits its scheduled waste Operating 2015 2016 sustainable development strategies.
inventory reports to the Department
Company
of Environment (DOE) on the second UEM Sunrise
week of each following month. In 2015 PLUS 4,356,451 4,573,318
and 2016, CIMA submitted all periodic UEM 66,122 73,036 The construction of the Regional Open
environmental reports to the DOE. Sunrise Space in Iskandar Puteri SIREH Park
@Iskandar Puteri has begun and is
UEM 3,051 1,959
UEM Edgenta scheduled to be opened to the public in
Builders
early 2018. The public park will be the
UEM Edgentas hazardous waste includes CIMA 848,893 600,053 largest in Malaysia with approximately
components that require special handling 343 acres of land being developed.
UEM 248,952 225,184
before disposal. Hazardous waste such
Edgenta
as chemicals, oil and paint residue is
Total 5,523,469 5,473,550 SIREH Park @Iskandar Puteri promotes
disposed of by a government-approved
the aesthetic appreciation of the planted
waste management company. UEM
areas and encourages outdoor activities.
Edgenta ensures that its hazardous
PLUS Through this initiative, UEM Sunrise
waste disposal conforms to the statutory
aims to preserve as much existing
requirements. Currently, PLUS is implementing a
vegetation, minimise slope cutting and
rainwater harvesting system that collects
maintain existing water bodies. The
water for landscaping and irrigation.
park will encompass three major focus
Rainwater flows from the roof and
areas namely Recreational, Educational
downspouts to a storage tank. Rainwater
Learning Experience Outside Classroom
harvesting delivers significant economic
(LEOC) and Science and Conservation.
and environmentally-friendly benefits for
PLUS, its lawn and garden and the local
municipal water supply (SYABAS).

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SUSTAINABILITY REPORT 2015-2016

ENVIRONMENT

CIMA With the tagline Keeping it Evergreen, several activities were


hosted such as Switch Off, Bring Your Own Food Container and
CIMAs operations can potentially affect habitats and species,
Green Your Office. In 2015, UEM Green Squad introduced a new
particularly during land clearing for quarrying as well as air
initiative, Eco-Pledge, to encourage UEM Group personnel to
and water pollution. Operating and closing CIMAs cement
make promises to the earth.
and aggregates sites can affect biodiversity and the health of
ecosystems through habitat degradation, species disturbance,
The formation of UEM Green Squad is in line with UEM Groups
changes in groundwater levels, discharges to water bodies and
initial sustainability initiatives, Living Green. This sustainable
dust emissions.
initiative reiterates environmental importance to employees
and demonstrates how to manage environmental impacts by
CIMA is committed to being a responsible steward of the land it
adopting good environmental practices. The environmental
manages. The Company conducts its operations in a sustainable
initiatives demonstrated by the UEM Green Squad helped UEM
manner to protect biodiversity within its operations and maximise
Groups environmental protection strategy progress.
its contribution to nature conservation.

UEM Group Recycle Mania, organised under the Evergreen


CIMA began its reforestation and greening programme in
Cup 2015, collected a total of 18,107 kg of paper, plastic, glass,
1997. The primary objectives are to beautify the environment
electronic waste, batteries and metal.
surrounding CIMAs facilities, and the use of trees as natural
pollution control barriers against dust and noise generated from
the cement manufacturing plant and adjacent quarry operations.
Winners of the Evergreen Cup 2015

ENVIRONMENTAL INITIATIVES 1 2 3

UEM Green Squad


WINNER WITH SECOND PLACE WITH THIRD PLACE WITH

3,441 2,863 2,455


UEM Green Squad was introduced in 2014 to spearhead
environmental initiatives and competition involving UEM Group
employees. The overall champion walked away with the Evergreen
Cup challenge trophy, RM1,500 worth of cash and other prizes.
POINTS POINTS POINTS
GROUP GROUP ICT GROUP
SECRETARIAL /PROHAWK PROCUREMENT
/EDS

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SUSTAINABILITY REPORT 2015-2016

Social

Collaborating with
society though various
initiatives that focus on
community development,
community care, community
education and community
contributions

Creating employee value


by delivering an engaging
experience that attracts
talent while inspiring,
developing and empowering
our people

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SOCIAL

UEM Group of Companies plays an important role in developing


economies and improving standards of living. As part of
making a valuable contribution as community partners, we
seek to build meaningful long-term relationships that respect
local cultures and create lasting benefits.

Through a collaborative approach, we work with communities to identify social needs and existing resources through which we can
build our social investment. We partner with appropriate organisations to deliver community projects using a strong and consistent
process to monitor progress and performance.

SOCIAL: SOCIETY A clear direction for community projects has been set to ensure
UEM Group:
UEM Group is committed to facilitating the growth of
economic and social development in all areas in which Makes the most meaningful response to community needs
i t operates. The Group recognises the value of resources and expectations
under the philosophy of Concern to Social Responsibility. Adopts the highest levels of efficiency in project
implementation
Given that communities are the most important components of Achieves its community objectives
society, caring for communities and societies are fundamental
to UEM Groups approach to sustainable development.

UEM GROUP BERHAD 67


SUSTAINABILITY REPORT 2015-2016

SOCIAL

We have set ambitious targets to boost


local socio-economic development such as
volunteering and job creation. Employees
are able to make a meaningful contribution
in the communities surrounding our sites.
Many are actively involved in community
outreach initiatives that provide disaster
relief, donations of medicine and basic
necessities, gotong-royong and job
creation.

Our presence and large workforce clearly


affect our surroundings. We recognise our
responsibility to the local communities in
which we operate and contribute through
local hiring, sourcing, and transferring
knowledge and technology. We are as
transparent as possible in our business
conduct so that our impact can be easily
measured.

Community investment and engagement UEM Group of Companies UEM ALERT


UEM Groups Community Target are more than just the right thing to Volunteer Programme
do; they are also smart business. Our
Established in 2006, the UEM ALERT
Enhancing and developing diverse group is only as strong as
volunteering programme serves as a
community and society capacities the local communities in which our
platform for employees to contribute
employees and customers live and work.
for secure and sustainable growth their time, skills and efforts to the
It is of mutual interest that we work with
by leveraging on UEM Groups community. In addition to social, education
local communities to make meaningful
competencies in various fields and environmental-related activities.
contributions that improve their quality
Through UEM ALERT, these volunteers
to engage with different facets of of life.
will come forward to provide immediate
society and enhance their overall post-disaster relief and rehabilitation
quality of life. UEM Groups community involvement is
assistance across Malaysia. As of 31
not simply donating money but extends
December 2016, there were 906 UEM
to building partnerships and working with
ALERT volunteers.
others to address the difficult challenges
so many people are facing.
Whenever the country is hit by natural
disasters, UEM Group has consistently
COMMUNITY DEVELOPMENT provided not just manpower assistance,
UEM Group of Companies commitment but relief supplies and provisions to
to communities is supported by a victims at flood relief centres. Our
methodology that promotes awareness, Operating Companies also work together
dialogue and collaboration while creating to dispatch emergency relief in response
shared value for local stakeholders and to any crisis.
business operations.

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SUSTAINABILITY REPORT 2015-2016

SOCIAL

Over the last decade, our country has experienced floods exceeding past averages.
Malaysia faces two monsoon seasons: the Southwest Monsoon from late May to UEM Group of Companies,
September and the Northeast Monsoon from October to March. These monsoons bring
through the UEM ALERT, came
more rain resulting in regular flooding each year. During these times of crisis, UEM
together to extend help to flood
ALERT volunteers from across UEM Group of Companies come forward to help flood
victims by providing post disaster relief and rehabilitation assistance. victims in the:

Johor floods in 2007


Pahang floods in 2008
UEM Group of Companies Comes Together to Help Flood Victims
Kedah and Perlis floods in
Manpower 2010
49 UEM ALERT volunteers from UEM Group, PLUS, UEM Sunrise, UEM Johor, Pahang, Kelantan and
Builders, OPUS, CIMA and UEM Edgenta took part in flood relief efforts in Terengganu floods in 2013
Kelantan Kelantan floods in 2014
More than 150 UEM ALERT volunteers from UEM Group, PLUS and PROPEL Kelantan, Perak and Pahang
distributed food to approximately 500 flood victims in Perak floods in 2015
In collaboration with the Ministry of Works and Malaysian Highway Authority,
more than 50 volunteers from PLUS, PROPEL and OPUS undertook post-
flood clean-up operations at SK Paya Ara, SK Jenderak and SM Agama AL- #uem50 CSR
Wosto in Temerloh, Pahang
In conjunction with its 50th Anniversary,
2016 saw UEM Group undertaking the
Monetary #uem50 CSR Project. The #uem50 CSR
Project aims to lighten the financial
UEM Group donated RM2 million to the Kelantan Mosque Floods
burden and improve the living conditions
Compassionate Fund to rebuild mosques and surau throughout Kelantan
of underprivileged individuals and also
UEM Group and PLUS contributed RM300,000, through the Ministry of Works,
establishments in need of assistance.
to help flood victims in Sabah and Sarawak

The two parts of this full year programme


involved eight states in Peninsular
In-kind Contributions
Malaysia. The first phase focused on
Purchased and distributed several basic provisions including rice, sardines, basic food provisions and cash donations,
blankets, towels, biscuits, soap, baby formula, toothpaste and toothbrushes which took place every weekend from 16
Gave school supplies such as school uniforms, bags and stationery which April to 22 May 2016. The second phase,
benefited more than 1,800 primary and secondary school students which commenced in September, focused
on the refurbishment of an orphanage,
old folks home, religious schools, tahfiz
Equipment and suraus. All activities were led by UEM
PLUS helicopter services provided air transportation carrying medical ALERT volunteers.
appliances and provisions to inaccessible areas and airlifted patients to
hospital With a total investment of RM1.06 million,
UEM Edgenta allowed the use of its waterjet and other assets to transport 262 UEM ALERT volunteers reached out
flood relief aid to a total of 3,200 individuals at 14 venues
in eight states.

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SUSTAINABILITY REPORT 2015-2016

SOCIAL

PHASE 1:
Distribution of basic provisions and cash donations

17 18 April 2016 23 24 April 2016 7 8 May 2016 7 May 2016

Location Kampung Chohong, Jasin Masjid Munawwarah, Mata Tapah and Padang Rengas, SK Felda Bukit Tangga, Bukit
and Kampung Sempang, Ayer and Masjid Jamek Perak. Kayu Hitam, Kedah.
Merlimau, Melaka. Berseri, Berseri, Perlis.

Beneficiaries 400 underprivileged 393 underprivileged 400 underprivileged 400 underprivileged


individuals. individuals. individuals. individuals.

UEM ALERT 27 22 46 26
Volunteers

PHASE 2:
Refurbishments

8 October 2016 13 15 October 2016 22 October 2016 26 October 2016

Location Melaka. Maahad Tahfiz Ummul Kompleks Darul Hanan, Miftahul Irfan in Kampung
Mudaris in Simpang Penang. Paya Simpang Empat
Renggam, Johor Bahru; Genting, Balik Pulau, Pulau
Sekolah Agama Seri Bertam Pinang; and Pertubuhan
in Yong Peng, Johor Bahru; Kebajikan Anak Yatim Sabak
and Madrasah Baitulnur in Bernam (PAYSA) and Pusat
Kampung Tebat, Alor Gajah, Anak Yatim As Solihin in
Melaka. Selangor.

Activities Major refurbishment of the Refurbishment works and Handing donations and Donated bedding sets to
home of En Kamsur Borhan clearing the surrounding painted the old peoples the homes including new
and his wife including fitting a areas. home. mattresses, pillows and
new toilet and building a roof, bolsters and bedsheets.
followed by a small gotong- The visit was followed by a
royong, painting and lawn gotong-royong to clean up
cleaning. the surrounding areas.

Beneficiaries En Kamsur Borhan and his Students 100 elderly people who live Orphans and students
wife are both underprivileged in Kompleks Darul Hanan, a
and physically challenged. home for elderly people.

UEM ALERT 25 60 23 60
Volunteers

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SOCIAL

14 15 May 2016 20 21 May 2016 21 22 May 2016 22 May 2016

Bukit Mertajam and Tanjung Masjid Al-Kauthar, Kg Batu Masjid Sultan Muhammad Shah Masjid Al-Falah Kariah Penarikan
Bungah, Penang. Machap, Simpang Renggam, Parit 10, Sg Besar Sabak Bernam Bahau, Negeri Sembilan.
Johor and Masjid Jamek Chaah, and Masjid An-Nur Kampung,
Kg Jawa Segamat, Johor. Ladang Batu Tanjung Sepat
Selangor.

400 underprivileged and elderly 400 underprivileged individuals. 400 underprivileged individuals. 400 underprivileged individuals.
people who lost their livelihoods
when a tsunami hit their homes
and fishing boats in 2004.

40 40 20 41

12 November 2016 14 November 2016 19 November 2016 29 November 2016

Sekolah Tahfiz Al Yamani in Pondok Warga Emas Masjid Madrasah Tarbiyah Islamiyah Rumah Sejahtera Baitul Hannan
Kampung Bakau Kelibang, Kariah Kuala Jempol, Negeri Kampung Sungai Gading Jalan Simpang Empat Perlis.
Langkawi and Pondok Warga Sembilan. Pahang, Tapah, Perak.
Emas Masjid Kariah Kuala
Jempol, Kedah.

Refurbishment facilities and Cleaning and painting of the Upgrading works. Gotong-royong activities.
gotong-royong to clean up the homes.
areas. UEM ALERT volunteers
handed out a new washing
machine, book cabinet and a
brand new Public Announcement
(PA) system to these schools.

Students and old folks Old folks Students Old folks

20 23 21 15

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SOCIAL

In November 2015, a total of 410 Muslim students from five UEM


Back-to-School Programme In 2015 & 2016 Group adopted schools, comprising 204 male and 206 female
students received Back-to-School items, Persatuan Ibu Bapa
27,714 students worth a total of dan Guru (PIBG) fees, exercise books and a meal allowance for
one year.
RM5.9 million Eight Muslim students from SK Medini, Nusajaya, a Trust school
adopted and sponsored by UEM Group in Nusajaya, Johor, received
UEM Group of Companies their school fees and transportation in addition to Back-to-School
Back-to-School Programme items, PIBG fees, exercise books and a meal allowance.

The Back-to-School Programme is an annual initiative by UEM UEM Group Sponsored Schools and the Number of Beneficiaries
Group of Companies. The programme distributes school supplies
such as stationery, bags, songkok, tudung, school uniforms, shoes No Name of School(s) Number of
and socks to school children from less privileged backgrounds to Beneficiaries
help ease the parents or caregivers burden in preparation for 1. SK Seri Gemilang, Butterworth, Penang 110
the upcoming school year. Since 2013, UEM Group of Companies 2. SK Balai Badang, Segamat, Johor 15
has provided to some 40,000 students and invested over 3. SK Senawang, Negeri Sembilan 80
RM8.50 million, under this flagship programme. 4. SK Telok Gadong, Klang 73
5. SK Pendamaran, Klang 131
In 2015, 14,714 underprivileged primary and secondary school
6. SK Medini, Nusajaya, Johor 8
students from across Malaysia entered the 2016 school term
Total 418
with brand new uniforms and other essential school supplies
courtesy of UEM Group of Companies, worth a total of RM2.90
million. The recipients of the 2015 Back-to-School Programme
PLUS
was made up of the community as well as the companys very
own personnel. PLUS invested a total of RM3.30 million in 2015 and 2016.
Approximately 18,000 students from the nine states of Negeri
In 2016, over 13,000 students from 39 locations throughout Sembilan, Melaka, Johor, Perak, Kedah, Terengganu, Sabah,
Malaysia including the flood affected states of Kelantan, Sarawak and the Federal Territory of Kuala Lumpur benefited
Terengganu and Sabah received assistance comprising two sets from this programme.
of school uniforms, shoes, school bags and stationery worth RM3
million. UEM Sunrise
In 2015, UEM Sunrises Back-to-School Programme donated
school uniforms, shoes, socks and bags to 228 primary and
secondary students in Tapah and Kg. Simpang Arang. In 2016,
a total of 146 primary and secondary students received school
supplies under UEM Sunrises Back-to-School Programme.

CIMA
In 2015, CIMA organised its Back-to-School Programme for 507
underprivileged students in Padang Besar Perlis and Bahau,
Negeri Sembilan including three PINTAR schools adopted by
CIMA in both states. In 2016, CIMA extended its Back-to-School
UEM Group Programme to 703 students from poor family backgrounds
On 10 January 2015, UEM Group presented Al-Khairiyah in Kuala Pilah, Negeri Sembilan, Kangar, Perlis and its three
Orphanage in Klang with school items and a cheque for RM12,107 PINTAR schools in Bahau and Perlis. The programme brought
for the purchase of school necessities and school fees for 49 cheer to the students with brand new uniforms and other
orphans. essential school supplies.

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SOCIAL

Centralised Tabung Zakat UEM


UEM Groups Tabung Zakat was established in 2014 to help poor and underprivileged
communities. Zakat is a form of obligatory alms; the amount collected is given in aid to
poor and deserving Muslims.

Since the fund was established, we have provided financial aid and assistance-in-kind
to various Asnaf such as Fakir, Miskin or Fisabillilah Islamic organisations to help the
underprivileged within the communities that we serve.

Operating Companies channel 50% of their Zakat contributions to UEM Group. The
collective Zakat is then disbursed via the Centralised Tabung Zakat UEM which funded
various initiatives including:

Repair and refurbishment works at Islamic community centres, religious homes


and schools
Contributions to mosques, suraus and other Islamic non-profit organisations
Providing underprivileged patients with medical assistance and cover at UKM Medical
Centre and University Malaya Medical Centre
Providing tuition fees to educational institutions for undergraduates
Purchasing Back-to-School items
Providing meal allowances, school fees and transportation for Fakir or Miskin
students
Providing Back-to-School items for employees children

UEM GROUP BERHAD 73


SUSTAINABILITY REPORT 2015-2016

SOCIAL

BREAKDOWN OF ZAKAT DISTRIBUTION BY BENEFICIARY IN 2015

UEM Group PLUS UEM Sunrise UEM Builders CIMA UEM Edgenta

Fisabilillah 1,139,700 515,653 179,888 62,156 173,260 178,529


Fakir/Miskin 930,650 777,200 109,890 90,000 82,435 0

BREAKDOWN OF ZAKAT DISTRIBUTION BY BENEFICIARY IN 2016

UEM Group PLUS UEM Sunrise UEM Builders CIMA UEM Edgenta

Fisabilillah 1,033,820 1,006,159 409,178 186,566 120,218 115,973


Fakir/Miskin 1,150,148 10,000 166,516 166,775 290,780 125,580

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BREAKDOWN OF ZAKAT DISTRIBUTION BY CAUSE IN 2015

UEM Group PLUS UEM Sunrise UEM Builders CIMA UEM Edgenta

Redistribution to Majlis Agama 0 193,584.00 0 0 0 0


Negeri or Islamic/Governed
Institutions
Repairs & Maintenance 180,000 138,010 34,180 22,413 173,260 5,000
Health 814,120 0 30,000 13,839 0 0
Personal Aid 9,900 0 15,390 60,000 36,000 172,029
Education 1,066,330 184,059 210,208 55,904 46,435 1,500

BREAKDOWN OF ZAKAT DISTRIBUTION BY CAUSE IN 2016

UEM Group PLUS UEM Sunrise UEM Builders CIMA UEM Edgenta

Redistribution to Majlis Agama 100,000 390,739 0 0 0 0


Negeri or Islamic/Governed
Institutions
Repairs & Maintenance 233,820 270,000 40,000 30,000 89,418 48,473
Health 725,000 10,000 102,816 0 7,800.00 0
Personal Aid 180,760 0 55,000 35,833 180,571 133,090
Education 944,388 345,421 377,378 287,508 133,209 60,000

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2015 2016
Under the Fakir, Miskin, the number of Asnaf UiTM students RM25,000 was disbursed to two siblings aged two and four
has increased annually. Contributions are required to not years. Since birth, both siblings have been afflicted with
only fund their tuition fees but also medical bills, meals, Epidermolysis Bullosa, a very rare skin disorder which causes
books and accommodation. UEM Groups RM200,000 Zakat the skin to blister and tear. The disease is inherited from
contribution was used to fund the Fakir, Miskin students both parents, who are carriers of the genetic mutation. UEM
academic and tuition fees for a single semester. Groups Zakat was used to purchase diapers, foam dressings
and bandages for the children.
UEM Group disbursed RM700,000 of its Zakat allocation to
patients of University Malaya Medical Centre (UMMC) and UEM Group contributed RM50,000 from its Zakat allocation
Universiti Kebangsaan Malaysia Medical Centre (UKMMC) to help victims of the war in Palestine. The fund was used
who are infflicted with a critical and/or major illness under the to provide prosthetics to 1,000 Muslim children who have
category of Fakir, Miskin and Al-Gharimin. Amongst others, lost limbs. It was also spent on wheelchairs, crutches and
UEM Groups Zakat funds were channelled to the Emergency disabled-friendly amenities.
Critical Fund and Planned Surgical/Medical Fund.

2015 2016
PLUS donated RM38,800 to 97 Asnaf Fakir and Asnaf Miskin PLUS donated RM211,100 from its Zakat fund to 422 Asnaf
on 15 April 2015. This Zakat contribution was given at Pusat Fakir and Asnaf Miskin of Perkampungan Orang Asli Sg.
Khidmat Masyarakat Pekan Jabi, Johor. A total of RM70,000 Gelang, Perak on 27 December 2016.
was donated to help 175 Asnaf Fakir and Asnaf Miskin in
Perak. PLUS donated an additional RM15,200 to 38 Asnaf
Fakir and Asnaf Miskin at Masjid Dato Dr. Haji Mohamad
Eusoff Teh, Negeri Sembilan.

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2015 2016
As part of its continuous efforts in contributing to the In 2016, UEM Sunrise disseminated various Zakat contribution
community within its developments, UEM Sunrise to the Asnaf Fisabilillah, Fakir & Miskin in Central & Southern
contributed a total of RM123,800 from the Zakat fund to region. This initiative has benefited 831 Asnaf students from
556 Asnaf students of its PINTAR Adopted Schools. The UEM Sunrise PINTAR Adopted Schools as well as 7 people and
financial aid contributed to the students needs and funded 21 organisations.
relevant school necessities. The Zakat fund contribution
has been distributed to a total of 298 primary and UEM Sunrise donated one haemodialysis machine to the
258 secondary school students. Haemodialysis Centre of Klinik Kesihatan Sungai Lembing in
Pahang on 30 May 2016. The haemodialysis machine provides
kidney patients with better access to treatment within the
community especially during the monsoon season. Flooding
makes roads inaccessible which prevents patients from
getting the necessary treatment from their usual healthcare
providers.

2015 2016
On 26 February 2015, UEM Builders presented a cash voucher UEM Builders contributed RM55,095 of its Zakat fund to two
and basic food such as sugar, flour and crackers to Asnaf orphanages namely Pusat Jagaan Pertubuhan Pengurusan
Fakir and Asnaf Miskin surrounding its operations. In total, Asrama Kebajikan Anak-anak Yatim Sekendi and Pertubuhan
RM41,051 of Zakat funds were contributed. Kebajikan Ensan Ash-Shakur (Pekeas).

UEM Builders contributed RM30,000 of its Zakat fund to two UEM Builders donated RM29,340 of its Zakat fund to Asnaf
orphanages namely Pertubuhan Kebajikan Nur Kasih and Fakir and Asnaf Miskin on 28 December 2016. Other in-kind
Pusat Jagaan Anak-anak Yatim Baiduri. 59 school-going donations included a cash voucher and basic food supplies
orphans benefited from this contribution. such as sugar, flour and biscuits.

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2015 2016
In addition to UEM Groups contribution to 400 students from A total of RM63,912 of CIMAs Zakat fund was distributed to
the community surrounding Padang Besar, Perlis, CIMA 730 Asnaf students and families under its Back-to-School
also furnished the same students with 400 school bags, Programme in 2016 for the community surrounding Kangar,
worth RM19,200. This Zakat fund was given under CIMAs Perlis and Kuala Pilah including its three PINTAR schools in
Back-to-School Programme. CIMA also donated RM13,796 Perlis and Bahau.
to Asnaf students of SK Kuala Kepis and SK Pusat Juasseh
as well as RM13,438 to SK Chuping, Perlis. CIMA provided tuition classes to 76 form five students from
Sekolah Menengah Kebangsaan Tengku Sulaiman and
Sekolah Menengah Kebangsaan Dato Jaafar Hassan in Perlis
utilising RM20,000 from its Zakat fund.

A total of RM39,907.50 from the Zakat fund was utilised to


upgrade three houses in Pondok Warga Emas Kuala Jempol,
Negeri Sembilan. CIMA also provided basic furnitures and
kitchen equipments for the three units. This centre is an
avenue for the elderly to study theology-Islam.

2015 2016
UEM Edgenta, via its Zakat fund, donated a hearse/multi-purpose UEM Edgenta contributed a total of RM74,580 from the Zakat
van worth RM118,929 to Masjid Sultan Azlan Shah, Ipoh, fund to 226 Asnaf students. This donation aimed to meet
Perak. A total of RM59,600 has been distributed to Asnaf their needs and help purchase school necessities. A total of
namely Fisabilillah , which includes Masjid Ikhlasiah, RM60,000 was also distributed to 2,076 students of six PINTAR
231 orphans and five orphanages surrounding UEM Edgenta. Adopted Schools in the Central, Southern and Northern
regions.

A total of RM43,500 of Zakat funds has been distributed to 28


Asnaf categorised as Fakir and Miskin. RM15,000 in financial
aid was channelled to Yayasan Orang Buta Malaysia. This
aid helped purchase educational necessities and eased the
burden of 50 blind students and the children of blind parents.

A total of RM48,473 has been distributed for the repair and


maintenance of Sekolah Menengah Tahfiz, a surau and a
charity organisation.

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Spreading the Joy of Ramadhan UEM Sunrise and Northern regions. 160 UEM Edgenta
volunteers prepared and helped distribute
UEM Group On 7 July 2015, UEM Sunrise collaborated
it to local communities, hospitals and two
with Publika Shopping Gallery in
UEM Group continued its tradition of nursing homes for the elderly: Pusat
organising an Iftar for 100 children from
organising annual Ramadhan charity Jagaan Warga Emas Husnah Arrashid in
Rumah Nur Kasih Bestari in Segambut,
programmes with the local community. Taman Melawati and Pusat Jagaan dan
Rumah Bakti Al-Kausar in Bangi and
On 25 June 2015, a group of 12 UEM Pendidikan Warga Emas Darul Insyirah
Maahad Tahfiz Kiblah Religious School in
ALERT volunteers led by the GMD/CEO, in Bandar Baru Bangi. UEM Edgentas
Sepang, Selangor.
Dato Izzaddin Idris, handed out duit raya regional offices in Johor, Perak, Penang,
and basic provisions to more than 300 Kedah and Perlis undertook similar
In the following year, UEM Sunrise
underprivileged individuals living near programmes at their local mosques.
distributed Zakat funds of more than
Masjid Raja Alang in Beranang, Selangor.
RM670,000 to schools, orphanages and
This activity was repeated on 27 June CIMA
underprivileged individuals Asnaf Fakir
2015 at Masjid Jamek in Kampar, Perak
and Asnaf Miskin in Johor, Selangor, An Iftar session was held on 3 July 2015
for the benefit of more than 100 people.
Perak and Kelantan. at As-Solihin mosque in Chuping, Perlis.
In 2016, UEM Group representatives also
During the event, CIMA also handed out
distributed provisions and duit raya to 400
UEM Edgenta contributions to some 197 underprivileged
villagers surrounding Rembau in Negeri
individuals who belong in the Asnaf
Sembilan and Kuala Selangor in Selangor. UEM Edgenta organised various charitable
category, CIMA employees families of
activities including cooking and distributing
widows and surrounding mosques. On
Marking the end of Ramadhan on 700 bowls of Bubur Lambuk Edgenta
11 July 2015, CIMA organised another
20 August 2015, UEM Group celebrated at Masjid Al-Ikhlasiah in Bukit Kerinchi,
Iftar session with the local community at
Aidilfitri with Pusat Jagaan Al-Fikrah, Kuala Lumpur. UEM Edgenta also gave
Al-Hidayah Mosque in Rompin, Negeri
a nursing home for the elderly that was RM5,000 from its Zakat Wakalah fund
Sembilan.
adopted by UEM Group in 2015. UEM towards the management of the mosque.
Group is committed to providing financial
On 18 June 2016, CIMA distributed over
and in-kind assistance as well as time and In 2016, UEM Edgenta volunteers again
RM64,000 to 330 Asnaf at two separate
effort throughout the three-year adoption cooked and distributed more than 5,000
venues in Senaling, Negeri Sembilan and
period. packets of bubur lambuk in seven
Kayang in Perlis.
locations across the Central, Southern
PLUS
PLUS distributed 7,000 packets and 12,000
packets of bubur lambuk to highway users
at Subang, Jalan Duta, Batu Tiga and
Sungai Besi Toll Plazas in 2015 and 2016
respectively. This activity formed part of
PLUS initiatives to reward highway users
for their continuous support and celebrate
the holy month of Ramadhan. Packets of
bubur lambuk were also given to the public
at Masjid Jamek Kampung Baru.

PLUS has a long tradition of sponsoring


breaking fast and moreh sessions at 100
selected suraus across Peninsular Malaysia
and donating to 20 orphanages across the
country in conjunction with Ramadhan.
This has been an annual community
engagement of PLUS for the past ten years.

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COMMUNITY CARE In 2015, activities included rewiring and upgrading the homes
electrical supply from phase 1 to phase 3 power and a special
UEM Group
Aidilfitri celebration. During the second year of the adoption
UEM Group Built 58 Homes for 2014 Flood Victims of Kuala Krai, programme, additional renovation and upgrading works took
Kelantan place on the home to ensure the comfort of the residents
especially those who were bedridden. UEM ALERT volunteers
In May 2016, UEM Group via Yayasan UEM, signed an MoU with
visited again on 24 September 2016 to celebrate Aidil Adha, and
the Ministry of Works to build 58 homes on 13.1 acres of land in
entertain them with performances.
Sungai Durian, Kuala Krai. The land was provided by PUSPAKOM
and the Industrial Training Institute.
On 8 October 2016, 20 UEM ALERT volunteers took 20 residents
of Pusat Jagaan Al-Fikrah on a half-day excursion that consisted
In collaboration with the Public Works Department, a total of 107
of a 30-minute cruise on Putrajaya Lake and lunch. We hope
homes were built. Yayasan UEM and Yayasan Hasanah funded
our engagement will continue to bring joy and maintain strong
58 of these homes, which were constructed by UEM Group. The
silaturahim with the residents who had been under UEM Groups
remainder were built by the Public Works Department which also
home adopted programme for two years.
led other infrastructure-related efforts including land clearance,
pavement and drainage works. Each of the 107 houses had a
Hygiene Care Hey Day
floor area of approximately 812 square feet and features three
bedrooms, a living and dining room, kitchen, bathroom and On 18 November 2016, UEM Group organised a half-day health
veranda. programme at Sekolah Kebangsaan Telok Gadong, Klang.
The programme with the tagline Hygiene Care Hey Day was
Caring for the Senior Citizens conducted in collaboration with the Islamic Dental Association
of Malaysia (IDAM) and Al-Meswak Mumin Sdn Bhd, as part of
Pusat Jagaan Al-Fikrah has been under UEM Groups home
UEM Groups community care effort. Activities included a video
adoption programme since 2015. Prior to the adoption in 2014,
screening on oral hygiene, a quiz and practical training on
through its Tabung Zakat, UEM Group contributed RM70,000 to
brushing teeth and washing hands. 120 students took part in the
this home for repairs and refurbishment works.
programme.

PLUS
Community Day
Each year, one special day is dedicated for PLUS and its
employees to perform community service to help the needy and
various communities across the country. PLUS allocates more
than RM250,000 each year for its community programmes.
Approximately 1,000 PLUS employees take part each year in the
PLUS Community Day. In 2015 and 2016, this annual programme
took place at 26 locations across the country to encourage
employees to give back to the people and contribute to
the well-being of the surrounding communities. Teamwork
and the spirit of volunteerism are also promoted throughout
the event.

Community projects organised to date include repairing an old


folks home, repairing a jetty in Kuala Kuar, cleaning up an Orang
Asli school, upgrading a public toilet and surau, and planting
mangroves. PLUS volunteers also organised various activities
for childrens shelter homes.

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UEM Sunrise UEM Edgenta


Agathians Shelter Hygiene Care Hey Day
On 27 October 2016, UEM Sunrise visited Pertubuhan Kebajikan On 25 August 2016, UEM Edgenta organised a Love Your Teeth
Agathians and treated 40 boys aged between four and 19 years to campaign. The campaign was part of the Hygiene Care Hey Day
pre-Deepavali joy. UEM Sunrise also presented RM19,550 to the programme that aimed to inculcate good dental hygiene in school
home to upgrade the facility. children from an early age. The fun and educational session saw
students engaging in activities such as dental talks, quizzes and
the correct way to brush ones teeth. 170 Orang Asli students of
Year One to Six from SK Bukit Tampoi (Asli) in Dengkil received
dental care tips led by company volunteers and doctors from
the IMAM Response & Relief Team (IMARET). This programme
aims to inculcate good dental hygiene, which is often neglected
by school children from underprivileged backgrounds. The first
phase of UEM Edgentas Hygiene Care Hey Day was held on 25
August 2016 for Year One to Year Three students; the second phase
followed on 27 September 2016 for Year Four to Year Six students.

CIMA
Donating Cement to Rebuild Homes for Fire Victims
On 21 September 2016, CIMA contributed 350 bags of cement
which were used to rebuild two homes that had been ravaged by
fire. The homes of the two elderly beneficiaries were located in
Kg. Tanah Panjis, Negeri Sembilan.

Addressing the Social Infrastructure Needs of SMK Tanah Merah, COMMUNITY EDUCATION
Port Dickson Education is a gateway to an improved future. Supporting
In collaboration with Edra Power Holdings Sdn Bhd, CIMA initiatives that strengthen younger generations desire and ability
contributed 300 sets of tables and chairs to SMK Tanah Merah, to learn has been an integral part of UEM Groups community
Port Dickson, Negeri Sembilan. CIMA continuously organises education mission. Our programmes teach children skills and
various community programmes that focus primarily on offer competitive opportunities.
education and community development for its stakeholders in
both Perlis and Negeri Sembilan. UEM Group of Companies believes education is a universal right
and organises various programmes that provide rural and urban
children with access to education. These programmes include
remedial classes, tuition, examination and education clinics,
motivational talks, teambuilding exercises, financial literacy
classes and extracurricular activities.

We also ensure that our education assistance reaches neglected


segments of society such as orphans and Orang Asli children.

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UELP Achievements

English LINUS
improved by

nine points
in two years

75%
of teachers
attending the course
improved by at least one
Teachers Development
Index band

UEM Group of Companies Collaboration UEM Group of Companies English


Through PINTAR Foundation Literacy Programme Sponsored by UEM How UELP Helped Teachers
Group Berhad (UELP) and Students
PINTAR Foundation was established in
2008 to spearhead the PINTAR School UELP aims to promote sustainable
Adoption Programme. The Foundation
functions with the mission to make a
development and provide a support system.
The programme was designed to improve
UELP
meaningful difference in the lives of
Malaysian students from the under-served
teachers ability to teach English so that
students learn, speak and write English
strengthened
communities. PINTAR Foundation works more effectively. English
in collaboration with GLCs and private teaching and learning
corporations in Malaysia to foster academic In April 2012, UEM Group and the PINTAR
through capacity building,
and non-academic excellence particularly Foundation collaborated on the three-
for the underserved students nationwide year UELP programme with 50 PINTAR
employing various methods
through its school adoption programme. schools. UELP was the first and largest such as quality delivery
UEM Group of Companies contributes to education initiative to be undertaken by a structures, supportive
the programme by ensuring that various Malaysian company which was organised, intervention, student
initiatives are carried out in the adopted coordinated and monitored by PINTAR activities and community
schools, from cultivating smart learning and Foundation. British Council was the
involvement. This approach
team building activities to ICT, English and appointed programme partner in charge
tuition classes, environmental awareness of the design and delivery of UELP.
developed students
and educational trips. English reading, writing,
The schools teaching and learning comprehension and
approach to English improved significantly communication skills
during the programme. UELP focused on
equipping 116 primary school teachers
with the necessary English teaching
skills and knowledge. The programme
concluded on 31 March 2015 and benefited
15,000 students.

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The SROI estimated that investing Schools Adopted Under the PINTAR School Adoption Programme
RM3 million within UEM Group of Companies
in UELP created 6 8
RM54 million 3
in social value;

RM18.10 6
was created for every RM1.00
invested in the programme.

More than 100 group-wide employees


21
volunteered for the Learn English Family
(LEF) and Reading Circle (RC) sessions.
LEF, an initiative under UELP, develops
early English literacy in children by UEM Group Berhad PLUS UEM Sunrise CIMA UEM Edgenta
encouraging their parents to become
actively involved. The programme sought to
develop relationships between the children, All programmes conducted in 2015 and 2016 were designed and mapped against
their parents and the school. PINTARs Four Core Modules.

An independent Social Return on


Investment (SROI) study was conducted to
analyse, measure and quantify the impact Core Module

1
of UELP. The SROI estimated that investing
RM3 million in UELP created RM54 million Motivational
in social value; RM18.10 was created for Programmes &
every RM1.00 invested in the programme. Educational
Team Building
Support
PINTAR School Adoption Programme Programmes

Upon the completion of the UELP, UEM


Group and its Operating Companies Core Module Core Module
participated in the PINTAR School Adoption
Programme. In 2015, 39 schools within
Peninsular Malaysia were adopted under a
4 2
three-year programme.
Reducing
This initiative displays the involvement of Vulnerabilities
& Social Issues Capability
the private sector in education and is in line
Programmes & Capacity
with both the Government Transformation Core Module Building

3
Programme and Malaysian Education
Blueprint 2013-2025.

In 2016, the number of schools adopted by


UEM Group and its Operating Companies
stood at 44; 7 secondary schools and 37
primary schools.

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The programmes conducted at the UEM Group


respective schools followed a two-
Program Aspirasi - Bijak Wang
pronged approach. Each school will not
only deliver common programmes but Apart from the remedial classes and the motivational programmes executed throughout
also varied programmes or activities the year, a financial programme dedicated for students who have completed their UPSR
based on the respective schools needs. examination was organised. The financial programme is in line with the Ministry of
Educations objective to further expose students and raise their financial literacy. WILRA
The common initiatives, or Flagship Malaysia, a financial consultancy and advisory company, was appointed to run Program
Programmes, consist of motivational Aspirasi Bijak Wang at seven of UEM Groups adopted schools.
programmes and remedial classes .
The Flagship Programmes are efforts
coherent with PINTAR Foundations
aspiration of influencing better educational
outcomes for underserved students,
through an intervention approach.

Flagship Programmes are common


programmes that are emulated at all the
adopted schools and range from Core
Module 1 to Core Module 2.

Motivational Programmes Seven Participating PINTAR Adopted Schools


Core Module 1 (Motivational &
Team Building) With the objective
of motivating students to be more
receptive in their studies and perform
better.
Remedial Classes
Core Module 2 (Educational Support) SK Seri Gemilang SK Padang Temu SK Pantai Kundor
With the objective of improving weak
students performance and helping
them pass identified mainstream
subject such as English, Mathematics
and Science.

SK Kampong Batu SK Telok Gadong SK Senawang SK Pendamaran Jaya

The programme, which ran from 27 September to 5 October 2016, benefited 560 students
aged 11 and 12 years. Students were encouraged to practise good financial habits during
the two-day programme. Talks on Good Habits in Handling Money, Wealth Creation
and Smart Buying Habits were delivered. Invited speakers also introduced various
leadership and communications skills and techniques during the programme.

Program Aspirasi Bijak Wang inspired the students to be financially smart. The
students were equipped with the necessary skills and techniques to achieve their full
potential in becoming responsible citizens.

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A minimum annual allocation of RM600,000 covers programmes


such as an Academic Excellence Programme, ICT Knowledge
and Appreciation Programme, Micro Controller Project, the
English Programme, the Green School project, the Road Safety
Programme and the Motivational Camp and Hygiene Talk.

In 2015, UEM Sunrise added four additional schools to its adoption


programme, making a total of 21 schools to date. 18 of these
schools are in Iskandar Puteri where most of UEM Sunrises
developments are located and three are in the Klang Valley.
Teachers Workshop
On 29 March 2016, UEM Sunrise completed the construction and
In November 2016, a two-day workshop on Teaching Maths the handed over a resource centre which is replete with sponsored
Creative & Effective Way and Teaching Children Math the Fun & Bahasa Malaysia and English reading materials. The resource
Magical Way was organised for 21 teachers from 11 of our adopted centre has benefited 427 SK Kompleks Sultan Abu Bakar students
schools. Led by Madam Teoh, an experienced mathematics in Gelang Patah, Johor.
teacher, the programme introduced effective ways of attracting
their students interest in learning mathematics. The workshop The total amounts invested in UEM Sunrise PINTAR schools in
was filled with interesting methods using magic tricks, puzzle 2015 and 2016 were RM724,920 and RM472,900 respectively. Its
craft and games. exemplary CSR efforts were recognised at the Iskandar Malaysia
Social Hero Awards 2015 (IMSHA).
PLUS
Under the PINTAR School Adoption Programme, PLUS has CIMA
adopted three primary schools and three secondary schools for the In its effort to raise academic performance, a four-day English
period from 2015 to 2017. RM300,000 is being allocated for the six Camp for Year 4 and Year 5 students of Sekolah Kebangsaan
schools annually to fund academic and motivational programmes Chuping, Perlis was organised. Held from 14 to 17 November
for students who will be sitting for national examinations including 2016, the programme aimed to stimulate and cultivate the
the UPSR, PT3 and SPM. students love and interest to learn English in a fun way.

The schools adopted by PLUS cover the alignment of the highway The English Camps concept of simple, fun, interactive &
in the following states, Johor, Perak , Selangor & Kedah. meaningful was set to develop students self-confidence,
self-esteem, creative thinking and problem-solving skills.
As part of the programme, the students also experienced an The camp also aimed to improve students English language
educational trip under the PLUS EduFun Trip whereby selected proficiency via group presentations and fun-filled activities
students were sponsored for an excursion trip to broaden such as ice-breakers, war cry, quizzes, spelling bee
their experience and knowledge which included a visit to PLUS competition and public speaking.
Traffic Monitoring Centre at Persada PLUS. In addition, the PLUS
MUFORS Inter School Mural Competition saw SMK Kota Sri Paloh To mark the end of CIMAs 2016 Tuition Programme, a two-day
in 10th place and SMK Ampang Pecah in 20th to win cash prizes. UPSR Examination Clinic was organised. The programme,
in collaboration with the Education Unit of Berita Harian,
Another achievement recorded during the past two years was the inspired and encouraged students in their mental and physical
winning of SMK Kota Sri Paloh at the CIDB MyCity 2050, which preparation for the upcoming UPSR examination in September
entitled the school to a RM6,000 reward and medal. 2016. Held on 13 and 14 August 2016, 250 students from 47
primary schools surrounding Kuala Pilah, Jempol and Jelebu
UEM Sunrise congregated at SK Saint Aidan, Bahau, Negeri Sembilan.
UEM Sunrise has adopted 17 schools within Iskandar Puteri, The programme was conducted by experienced and qualified
Nusajaya, Johor under the PINTAR School Adoption Programme. teachers who provided the students with detailed methods and
In 2008, UEM Sunrise became one of the pioneer companies within tips on answering exam questions in Bahasa Malaysia, English,
the group that implemented the four Core PINTAR Modules. Mathematics and Science.

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RM13,017,155 RM12,176,880
was disbursed as scholarships in
2015 and 2016, benefiting
and
234 students. RM10,225,210
were spent on various CSR
and philanthropic causes in
UEM Edgenta 2015 and 2016 respectively.
Three two-day motivational camps
were held to foster academic and
UEM Group - Yayasan UEM The course is offered to those pursuing
non-academic excellence among students
fields of study that match UEM Groups
from underperforming schools within Yayasan UEM supports UEM Groups
future needs namely Engineering (Civil,
the communities in which UEM Edgenta corporate responsibility initiatives and
Mechanical and Electrical), Business
operates. philanthropic activities. Established in
(Economics, Accounting, Finance,
2000, Yayasan UEM is UEM Groups Human
Business Management and Marketing)
The programme aimed to prepare the Capital arm and has become an avenue
and Built Environment (Quantity Surveyor,
students for their upcoming UPSR to channel its corporate philanthropic
Town Planning, Land Surveyor, Building
examinations. The students participated activities, with education being its main
Services and Construction Management).
in a series of activities, such as Leadership thrust.
Games and Mind Explore, that were
Other than providing financial grants, the
specially designed to promote teamwork Yayasan UEM provides scholarships
Scholars Development Programme was
and improve their leadership, creativity to Malaysian scholars from differing
introduced for all UEM scholars in 1993.
and thinking skills. backgrounds so they can pursue their
The comprehensive modules organised
tertiary education at local and foreign
for UEM scholars include self-awareness,
The motivational camp took place from universities.
academic enhancement, interpersonal
12 to 13 May 2016 at Putri Ayu Chalet
growth and management, leadership and
& Training Centre, Kedah. It involved Yayasan UEM supports the nations
team building.
140 students from SK Wan Sulaiman quest for human capital of distinction by
Siddiq and SK Bukit Kayu Hitam in the selecting, supporting and nurturing high-
Apart from leadership training and
Northern region. This was followed by a deserving achievers who will eventually
development activities, UEM scholars
Central region camp at the Excel Training become leaders in the nation.
are also provided with job attachments
& Country Resort in Broga on 14 and
and internships within the UEM Group of
15 May 2016 for 150 students from SK RM12,176,880 and RM10,225,210 were
Companies and within the bonded period.
Bukit Tampoi (Asli), SK Jenderam and spent on various CSR and philanthropic
SK Sungai Rawang. Finally, the Southern causes in 2015 and 2016 respectively.
region camp at Kem Kaizen in Johor was The funds were used for scholarships,
held for 44 students from SK Seri Yong Kolej Yayasan UEMs operating costs,
Peng on 27 and 28 May 2016. trust school programmes, disaster relief,
study grants, UEM medals and other
A total of 334 Standard 6 students from six administrative expenses.
of UEM Edgentas PINTAR School Adoption Scholarship for SPM Leavers
Programme in the Central, Southern UEM Group Scholarship Programme
and Northern regions attended the UEM
The annual UEM Scholarship Programme
Edgenta Motivational Camp 2016. Scholarship for STPM/Matriculation/
supports the nations objectives of creating
elite scholars and supplies talent to develop Foundation Leavers
Invited speakers for the camps included
future leaders for the country.
the famous and experienced motivational
speakers, Dato Dr. Fadzilah Kamsah and
Pencetus Ummah Azraie.

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UEM Group - Kolej Yayasan UEM A significant number of students also


progress to top class universities in the
UEM Medal Awards Kolej Yayasan UEM (KYUEM) is a fully
United States including Massachusetts
residential, co-educational college set
Institute of Technology (MIT), Princeton
The UEM Medal for Excellence in in a beautiful 50-acre college campus
University, Harvard University and several
Engineering, Business Management and approximately 70km from Kuala Lumpur.
universities in California. Some students
Management Sciences commenced in
2013. The awards initially, were only also attend universities in Australia,
The college has recently completed a
presented to engineering schools with Canada and Hong Kong.
RM25 million refurbishment project. The
courses related to UEM Groups core cafeteria, hostels and staff accommodation
businesses namely civil, mechanical, Since its first graduating cohort in 2000,
were renovated and a new hostel
chemical, environmental, electrical and KYUEM students have consistently won
constructed. KYUEM students are housed
electronic engineering. In totality, the awards for excellence in A-Level studies
in chalets, villas and apartments rather
recognition of awards, was extended including CIE Cambridge Brilliance
than dormitories. This is a testament to
to not just outstanding Engineering Awards and Top in the World awards in
our commitment in delivering all-rounded
graduates at the local Research several subjects.
excellence in providing top quality pre-
Universities (RUs); but Business
university education.
Management and also Economics & The college boasts a world class record of
Management Sciences at the Institut A-level success that has been improving
Pengajian Tinggi Awam (IPTAs). Established in 1998 under Yayasan
year on year.
UEM, KYUEM is a premier residential
Formerly known as the UEM Medal for college specialising in providing high-
KYUEM Students Achievements
Excellence in Engineering, outstanding quality Cambridge International
in A Level 2016
engineering graduates from Universiti Examinations (CIE) A-Level education. It
Kebangsaan Malaysia (UKM), Universiti has an excellent success rate of gaining
Malaya (UM), Universiti Putra Malaysia students admission into the finest Achievement 2015 2016
(UPM), Universiti Teknologi Malaysia universities in the world, predominantly
Students obtaining 90% 90%
(UTM), Universiti Sains Malaysia (USM) in the United Kingdom. Examples include
grades A* -B
and Universiti Teknologi MARA (UiTM) the University of Cambridge, University of
were selected. Oxford, Imperial College, London School Students obtaining 75% 71%
of Economics and University College grades A* or A
In 2015, Universiti Islam Antarabangsa London. Students obtaining 61% 57%
Malaysia (UIAM) was further added to at least three A
the list of award recipients. Grades at CIE

In recognition of their achievement,


apart from cash reward of RM5,000
and certificate of recognition, job
attachments within the UEM Group of
Companies would also be offered to the
successful award recipients.

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KYUEM also focuses on enhancing


KYUEM Highlights in 2015 and 2016 students well-being through its
co-curricular activities including sports
and cultural activities. The campus is
equipped with recreational facilities
including a gymnasium and sports arena.

16 students Yayasan AMIR


received provisional offers Incorporated on 26 October 2010, Yayasan for five years for the development and
from the University of Oxford AMIR is a not-for-profit foundation that improvement of education in Sekolah
and University of Cambridge improves access to quality education in Kebangsaan Medini and Sekolah
before they graduated Malaysian Government schools through Menengah Medini.
(7 students in 2015 and 9 students a Public-Private Partnership with the
in 2016) Ministry of Education. On 11 February 2015, UEM Groups Chief
Human Capital Officer and UEM Sunrises
The programmes goal is to be a leading Head of Human Resource were invited to
network of Trust Schools across Malaysia the Community Day at Sekolah Menengah
and establish a nationwide replicable Medini. They discussed the current job
school transformation model. Yayasan market, human capital strategy and the
KYUEM is one of AMIR Trust Schools are holistic, inclusive
and representative of Malaysias diverse
importance of education in securing good
jobs with the younger generation.
the few colleges in the region
ethnic background. This programme
to be granted the Cambridge aims to transform student outcomes by Participation in this programme allows
International Fellowship enhancing school management practices UEM Group to play the role of change-
and championing improvements to agent which enables us to elevate and
curricula and education delivery. transform the standard and delivery of
education at public schools in Malaysia.
Fully In 2015 and 2016, UEM Group continued
its support for two Trust Schools in
The allocation also allows UEM Group
to offer its adopted students from

Residential Iskandar Puteri, Johor under the Yayasan


AMIR Trust Schools Programme. UEM
poverty stricken and disadvantaged areas
surrounding Iskandar Puteri equal
is equipped with world-class Group provided financial assistance and access to education and is given the same
learning facilities and tranquil sponsorship amounting to RM9,684,480 opportunity to succeed.
surroundings

23* students
gained either Best in the
World or Best in Malaysia
awards from the Cambridge
International Examinations
Board
(13 students in 2015 and 10 students in
2016)

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Engaging parents in the education of Project STAR was formed in partnership On 27 September 2016, 160 Project STAR
their children at school is increasingly with residents of Teach for Malaysia (TFM) schools competed in the Young Innovate
viewed as an important means to support fellows in two schools: SMK Bandar Baru Selangor state competition in UiTM,
better learning outcomes for children. Ampang and SMK Puchong. Puncak Alam campus. Five students from
Parents are universally accepted as a UEMs Project STAR Chumbaka were
childs first teachers. Researches have At SMK Bandar Baru Ampang, 18 YGPs, selected to go to Silicon Valley in San
shown evidence for the positive effects of YEPs and external volunteers were involved Francisco under MDECs Digital Maker
parent involvement on children, families in the Closing the Gap programme that Global Exchange Programme (DGMX).
and school when schools and parents aimed to improve the English literacy
continuously support and encourage the levels of 92 students in the school. Encouragingly, all five students came
childrens learning and development. Over from underperforming and low-income
the years, our Trust Schools have planned In addition to classroom and tutoring schools, beating students from some of
joint-activities with parents including sessions, fun ice-breaking games helped the best performing schools in Malaysia.
Gotong-royong and Hari Keusahawanan. strengthen the mentor-student Only 10 students were selected from
relationship. Bi-weekly assessments 33 of the countrys brightest young
comprising one-to-one interviews and makers who participated in a nationwide
written tests were used to monitor the competition organised by MDEC.
students progress. At the beginning of the
programme, literacy levels were equivalent
to Primary 1-Primary 3 competency. Their
literacy levels had improved by three years
upon the programmes completion.

At SMK Puchong, 30 YEPs and YGPs


supported a very dedicated Teach for
Malaysia fellow in a programme called
Maker_Ed. The programme, which
Project STAR focused on science and technology,
trained students in problem-solving
Launched in May 2015, Project STAR
and encouraged them to be creative
(Share, Think, Ask, Respond) is a
and independent in finding solutions.
graduate talent-initiated programme.
They learned to programme Lego robotics
UEM Groups graduate trainees
on Arduino and Raspberry Pi with
volunteer at underperforming and
some even practising for the Olympiad
generally low-income schools under
Mathematics competition.
this mentorship initiative.

The volunteers guide the students in


completing innovative projects involving
coding, circuitry and robotics. Initially,
with 48 volunteers in two schools, the
programme has expanded into five
schools with 81 volunteers in its second
season.

Participants of UEM Groups Young


Engineers Programme (YEP) and Young
Graduate Programme (YGP) devoted their
Saturdays to mentor a group of young
school children.

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OTHER COMMUNITY EDUCATION


PROGRAMMES BY UEM GROUP
OF COMPANIES
UEM Sunrise
Pintar Al-Quran
In addition to the PINTAR School
Adoption Programme, UEM Sunrise
in July 2008 in collaboration with five
KEMAS Kindergartens in Gelang Patah,
Johor also initiated its own community
programme for pre-schoolers namely
the Pintar Al-Quran. In 2015, two KEMAS
kindergartens were added to its pre-
schoolers Pintar Al-Quran programme
namely Tadika PRIMA and Tadika Firdaus.
This brought the total to seven.

CIMA
CIMA Tuition Programme the past two years. CIMA also conducts UEM Edgenta has completed two WBL
UPSR motivational classes and UPSR programmes to date, training 176 students
The CIMA Tuition Programme, which caters
examination clinics as part of the CIMA with PSA Advanced Diplomas in Electronics
to UPSR students, began in 2011 in Bahau
Tuition Programme. Engineering (Medical) and Advanced
and 2013 in Perlis. The programme, CIMAs
Diplomas in Facility Management. These
annual flagship Corporate Responsibility
UEM Edgenta two WBL programmes have been elevated
(CR) initiative, aims to provide much-needed
to degree programmes in line with new
assistance for students to excel in their Work-Based Learning Programme
developments to meet the industrys
studies. (WBL)
needs.
UEM Edgenta has collaborated with
The tuition programme is in collaboration
the Ministry of Education (MOE) on On 8 March 2016, UEM Edgenta signed
with Pejabat Pendidikan Daerah (PPD)
its WBL programme since 2007. It a Memorandum of Collaboration (MoC)
Jempol/Jelebu, PPD Kuala Pilah and
provides advanced diploma students with MOE to extend this collaboration
Jabatan Pendidikan Negeri Perlis. It
from Politeknik Sultan Salahuddin for another two years. Since 2016, 20
usually takes place between March and
Abdul Aziz Shah (PSA) in Shah Alam PSA students have started their training
August each year.
with WBL opportunities. These students at seven hospitals managed by Edgenta
are exposed to Facilities Engineering Mediserve.
Teachers recruited in this programme were
Maintenance Services and Biomedical
nominated based on recommendations
Engineering Maintenance Services during
by participating schools in Perlis and the
one-year industry attachments at various
Department of Education of Kuala Pilah,
hospitals managed by UEM Edgenta.
Jempol and Jelebu. CIMA prioritises
Adhering to Malaysian Qualifications
schools with children from low to middle-
Agency requirements, they follow a
income families, children residing
structured curriculum that consists of
near CIMA plants and children of CIMA
both academic and on the job training.
employees. A total of 570 students in
Bahau and 430 students in Perlis have
benefited from this programme over

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SOCIAL: LABOUR
In 2015 and 2016, UEM Group of Companies spent a total of PRACTICES AND DECENT
RM16.30 million and RM18.41 million WORK
respectively on developing local communities. UEM Group has a clear strategy for
attracting, developing and retaining a
world-class workforce that is competent,
COMMUNITY CONTRIBUTIONS motivated and flexible. We anticipate the
competencies required many years in
UEM Group of Companies shares its resources and expertise to help build more advance. We aim to maintain our status
resilient communities through local community programmes and has invested in these as an employer of choice, creating an
communities for many years. inclusive and engaging workplace for all
employees.
Our contributions have resulted in a positive impact on local communities. We have
improved their well-being and encouraged sustainable development that goes beyond We practise teamwork, mutual
the social and economic value of our businesses. In 2015 and 2016, UEM Group of respect, open communications and
Companies spent a total of RM16.30 million and RM18.41 million respectively on empowerment while embracing diversity
developing local communities. and inclusiveness to foster internal and
external collaborations.

We place great importance on developing


CORPORATE COMMUNITY CONTRIBUTIONS
our human resources and support each
BY UEM GROUP OF COMPANIES IN 2015 AND 2016
of our employees and improve their
18.41 capabilities by:
20 Education
16.30
18 Developing highly remarkable
Awareness strengths
16
6.01 programmes
14
Helping them become professionals
6.00 who demonstrate their own diverse
RM (million)

Scholarships
12
1.34 talents
10 Donation and Fostering a work culture where
3.25 sponsorship
8 6.92 managers are also closely involved in
6 Outreach and the development of employees
5.78 community
4 0.02
engagements
2 4.12
0.00
1.27 Total
0

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DIVERSITY MATTERS
BREAKDOWN OF EMPLOYEES BY BREAKDOWN OF EMPLOYEES BY
UEM Group embraces diversity and
GENDER AGE GROUP
inclusion from the top down. The differing
backgrounds, opinions, experiences and
2,184
perspectives of a diverse workforce make
us a stronger business and help to foster 2,075
8,499 4,036
a truly collaborative workplace.
7,647 3,412
We seek to incorporate diversity into
every part of our business. This approach 4,289 3,994
helps us leverage on our collective skills,
5,673 3,663 2,668
compete in the marketplace and serve our 4,502
communities effectively.
2015 2016 2015 2016

We aim to develop a diverse and Male Female >50 40-50 30-40 <30
inclusive environment in which skilled
and motivated employees work together
to drive innovation and deliver results
BREAKDOWN OF EMPLOYEES BY ETHNICITY
in support of our core business and 2015 2016
emerging opportunities. 192 834 148 471
500 485
Each of us has many different diverse
traits that shape our view of the world, our
perspective and our approach. We try to
maximise the value of peoples individual
differences and understand that creating
an inclusive work environment is essential
for us to achieve this.
12,646 11,045

Others Indian Chinese Malay

The diverse workforce of our operations in Malaysia is presented in the charts below.

TOTAL NUMBER OF BREAKDOWN OF EMPLOYEES BY


EMPLOYEES CATEGORY

10,29 6

8,478
14,172 12,149

2,788
2,631
1,088
1,040

2015 2016 2015 2016


Non-executives Executives Managerial

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Female Representatives in Management Level within UEM Group of Companies

UEM Group PLUS UEM Sunrise UEM Builders CIMA UEM Edgenta
2015 2016 2015 2016 2015 2016 2015 2016 2015 2016 2015 2016
Top Management 9 8 5 5 0 0 2 1 1 1 4 4
(UT1 - UT6)
Senior Management 24 30 9 9 35 33 7 3 4 3 31 33
(UE7 - UE9)
Middle Management 29 30 44 47 59 66 10 8 11 10 44 43
(UE5 - UE6)

Performance Management
UEM Groups performance management cycle, which is being adopted across all Operating Companies, ensures that all Group
employees are appraised regularly. All employees receive formal feedback annually and the process promotes regular dialogue and
facilitates continuous performance improvements. UEM Group has also introduced several employee recognition schemes.

Performance Management System (PMS)

PERFORMANCE PLANNING PERFORMANCE MONITORING FINAL REVIEW


CRAFT OUR SCORECARDS REPORT YOUR PROGRESS FINALISE YOUR ACHIEVEMENT

Executive/Non-Executive Executive Executive/Non-Executive

1. Begin discussing and 1. Update your KPI progress 1. Complete your


planning your scorecards/ self-assessment
KPIs with your appraiser 2. Make approved changes to
your KPIs 2. Schedule a final review
2. Key in agreed KPI planning discussion with your
into PMS Online System appraiser
Non-Executive
3. Submit and get your KPI 3. Ensure your final review is
planning approved 1. Schedule a performance approved and reviewed
review disussion with your
appraiser 4. Wait for your calibrated score
to appear
2. Receive feedback from your
appraiser 5. Discuss your calibrated score
with your appraiser

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Our PMS consists of the five stages illustrated in the diagram below. PMS is used to evaluate and reward employees achievements in
accordance with their respective KPIs, competencies and contributions.

Five Stages of the PMS

Final
KPI Planning Performance Self- Performance
Performance
Process Monitoring assessment Calibration
Review

Superiors discuss KPI progress is A review and One-to-one review The employees
and set annual captured in the PMS evaluation of self- sessions with performance
KPI objectives Online System. KPIs performance are superiors are is discussed
and targets to be may be changed provided. held to determine with other line
achieved for the with a superiors achievement managers to
performance year justification and of individual determine an
with subordinates. approval. performance. appropriate
Upon completion, performance level
the KPI is entered for individuals.
into the PMS Online
System.

Upward Feedback UEM Groups Seven Performance Bands


UEM Group of Companies uses a bottom-up development tool
that provides a unique opportunity for our employees to give
feedback to their leaders. The approach provides every manager Low Silver Low Gold High Gold
with the necessary information to gauge how they are performing,
which allows them to identify their strengths and weaknesses.

Rewarding Performance
Bronze High Silver Mid Gold Platinum
Rewarding good performance is just as important as managing,
motivating and monitoring it. UEM Group provides meaningful
reward and recognition strategies geared to positively influence Our performance bands are used to calculate performance-based
employees attitudes and behaviour. rewards such as salary increments, bonuses and differentiated
rewards for talent. The higher the performance band, the higher
the rewards. For example, platinum is the highest and employees
reaching this band will be rewarded with the highest bonus
quantum; bronze is the lowest and these poor performers do not
receive any rewards.

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Benefits and Compensation We expect employees working at UEM We Care for Your Family
Group and all Operating Companies
UEM Group of Companies offers a Promoting Work-Life Balance
to give their maximum effort and best
competitive compensation and benefits
performance each day. However, we also Balancing work life and private
package. It is one way we acknowledge
want them to take some time to enjoy responsibilities is a driver of employee
the value our employees bring to the
their lives outside of work. We place great efficiency and creating a satisfactory
Group and is followed by all Operating
importance on employees welfare and workplace. UEM Group develops practices
Companies.
ensure our compensation package covers that allow employees to have more time
wellbeing benefits such as memberships for their private lives and organises off-
We provide a balanced and performance-
in social and recreational clubs. hour activities.
oriented compensation system that aligns
the interests of shareholders with those of
We always support employee initiatives
employees. Our compensation framework UEM Group Study Grant Programme
aimed at advancing their careers. All
is designed to attract, motivate and retain
confirmed executive employees are The UEM Group Study Grant Programme
qualified talent. Our goal is providing
entitled to have annual membership was introduced on 31 October 2014. This
compensation that is competitive in local
fees reimbursed for up to two approved initiative provides financial assistance,
labour markets while allowing employees
professional associations that are deemed specifically for employees children who
to focus on delivering outstanding results.
relevant to their professions. wish to continue their tertiary education,
irrespective of their field of study.
UEM Group of Companies compensation
UEM Groups compensation and benefits
package surpasses legal requirements
package also includes Group Personal Children of permanent or contracted
including those of the Employees
Accident (GPA) insurance and Group Term employees who have served UEM Group
Provident Fund Act 1991. Although the
Life (FTL) insurance. for three years with a total monthly
Groups statutory Employees Provident
household income not exceeding RM5,000
Fund (EPF) contribution is 12%, our
are eligible. Providing these children with
EPF payment ranges from 12% to 15%
a helping hand further reiterates our
depending on the employees years of
commitment to education.
service.

UEM Group Study Grant Programme Highlights

Up to Up to Up to Recipients are

RM4,000 RM6,000 RM10,000 not bonded with


UEM Group and
for pre- for a diploma for a bachelors may still receive
university/ degree assistance from other
certificate registered charitable
organisations

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Employees Children Academic Excellence Award


The Employees Children Academic Excellence Award was launched in 2012. The annual
award motivates and acknowledges the academic achievements of our employees
children in major national examinations such as UPSR, PMR, SPM and STPM. In 2015
In 2015 and 2016, a total of and 2016, 17 students received this award.
RM4.50 million was PLUS
invested in the UEM Group
Study Grant Programme, Child Development Centre (CDC)
benefiting PLUS CDC was opened on 4 May 2009 and officially launched on 8 January 2010 by Datin
650 individuals .
Seri Rosmah Mansor. The CDC creates a safe and healthy environment for employees
children while directing them towards academic success. The CDC caters for kindergarten
and nursery-going children between the ages of three and six.
This financial assistance takes the form of
The kindergarten education curriculum is developed in line with Kurikulum Standard Pra
a convertible loan; upon completion of the
Sekolah (KSPK) under Pejabat Daerah Petaling; the curriculum for nursery education is
course it will automatically be converted
based on Permata Curriculum under Jabatan Kebajikan Masyarakat (JKM).
into a grant and there is no need to repay
the loan.

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The centre also conducts extra co-curriculum classes such as speech and drama, UEM Group takes any illegal breach of
gymnastics and Taekwondo. The total number of PLUS CDC children continues to grow discrimination standards seriously. In
as shown in the graph below. 2015 and 2016, we received no credible
complaints of discrimination from any
locations.

Number of PLUS CDC Children


Career Development
90
84 UEM Group is committed to fostering
Number of Children

80 career development, succession planning


79
80 and professional development and
integrates these drivers into the Groups
70
long-term strategic planning process.

Our efforts to build a career path for


60
employees begin on an employees first
2014 2015 2016
day. Each undergoes a robust onboarding
programme that is designed to engage and
inspire them. Employees have access to
our diverse career development courses
and an active mentoring programme
throughout their careers. We reimburse
qualifying education expenses and offer
other tools to help them improve their
roles and advance over the long term.

Developing employees skills also boosts


organisational performance. The Group
presents employees with opportunities that
increase their potential. Their performance is
monitored and communications improved
to create a qualified and successful labour
force.

Training is essential to our business and


Equal Opportunity we offer several training modules that
develop employees and improve their
We have clear policies and allocate training to combat discrimination. Our managers
skills to accommodate various facets of the
are responsible for ensuring that equal opportunities and other labour principles are
organisations growth and performance.
adhered to in their departments. In our offices, employees receive mandatory training
Examples of ongoing employee training
on workplace conduct and business ethics.
and development include First Aid &
CSR, Leading Others, Personal Financial
We encourage and promote procedures for reporting any unwelcome attitudes in the
Planning The H.E.A.R.T of Retirement,
workplace.
Sharpen your Negotiation Skills, Stress
Management, Communicating in English
with Confidence and Business Analytics &
Reporting.

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UEM Group Young Executive Scheme ULC, a full-fledged training facility, is ELP is a development programme
(YES) the main custodian of our human capital where nominated employees, ranging
development initiatives. The centre from executives to assistant managers,
UEM Groups YES was launched on
conducts intensive training programmes underwent a six-month journey from
12 September 2006. Today, it is known as
that focus on learning enhancement and December 2015 to May 2016.
UEM Group Skim Latihan 1Malaysia (UEM
capacity development in particular. This
Group SL1M). It is a special programme
training complements other learning and The programmes objectives were to
aimed at equipping fresh graduates with
development programmes undertaken by enable participants to:
invaluable skills and experience for better
UEM Group of Companies.
employment opportunities in the future. Enhance their leadership skills to
Under the scheme, successful candidates ensure more balanced growth and
ULC delivers soft skills development
will be offered training contracts, inclusive development
programmes as well as functional
of allowances and benefits, to work on Develop their capability as business
and talent management programmes
selected projects undertaken by UEM leaders and build foundational skills
for nonexecutive to senior management
Group. A total of RM9.9 million is spent on in project management, strategic
levels. Programmes delivered at the
this programme each year. thinking and business acumen
ULC in 2015 and 2016 included Finance,
Communication and Presentation, Stretch their ability to lead projects by
Management, Creative Problem Solving, being more resourceful and leveraging
UEM Learning Centre (ULC) on their networks effectively
Mind Mapping, Risk Management,
2015 Performance Management and Human
Resource Management. Throughout the six months, participants
worked on individual action learning
UEM Group Induction Programme (GrIP) projects centred on business process
310 candidates recruited improvement. They also attended several
The GrIP provides new hires with a workshops where they learned the
general overview of the Group. Delivered
69 candidates absorbed necessary skills and tools to help their
to all new employees within their first six projects come to fruition. At the end of the
months, the GrIP: programme, these participants pitched
2016 their ideas to the top management in
Aligns new employees with their
order to gain the buy-in to implement
employers business objectives
their business improvement idea in the
Creates a sense of belonging
workplace.
461 candidates recruited Offers employees a chance to
collaborate and network with
The number of ELP candidates enrolled at
19 candidates absorbed each other
UEM Group of Companies in the past two
Makes employees feel welcome and
years is presented below.
comfortable in their surroundings
In t ro d u ce s th e tra i n i n g a n d
educational opportunities offered by
the Group
Familiarises employees with the Companies No. of
Groups procedures and practices Candidates
UEM Group 6
All new hires receive customised induction
PLUS 5
training by the individual Operating
Companies. UEM Sunrise 4
UEM Builders 0
Emerging Leaders Programme (ELP) CIMA 3
UEM Edgenta 5

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Leadership Acceleration Programme 1 Throughout the six months, participants from different Operating Companies worked
(LeAP1) together on specific action learning projects ascertained by their respective Managing
Directors. The projects were scoped based on real-life business issues and participants
LeAP1 is a six-month action learning-based
were asked to present their ideas to the judging panel at the end of the programme.
programme designed to accelerate the
development of UEMs senior managers to
The projects encapsulated a variety of topics such as International Expansion (PLUS),
perform at the next level of their careers.
Affordable Homes (UEM Sunrise), Optimising Value Chain (CIMA) and Customer
For this cohort, 19 participants (UE7-UE9)
Centricity (UEM Edgenta).
from different operating companies were
selected to join LeAP1.
LeAP1 Candidates from UEM Group of Companies
The objectives of the programme were to
enable the participants to: Organisation No. of
Candidates
Further enhance their business UEM Group 3
leadership with strong strategic PLUS 5
thinking skills and business acumen
UEM Sunrise 5
Continuously innovate by applying
the latest research and best UEM Builders 0
practices in decision making, financial CIMA 3
analysis, and customer segmentation UEM Edgenta 3
and analysis
Understand their own leadership
Continuing Education Programme (CEP)
p ro f i le a n d i t s i n f l u e n ce i n
accomplishing organisational goals CEP was established for employees wishing to pursue part-time education. UEM
Bring synergy into personal and Group provides financial assistance to employees who wish to pursue professional
organisational values and vision qualifications.

Professional Qualifications Eligible Under CEP

Master of Science
ACCA MICPA in Business CPA
Leadership

Diploma/ Other relevant


Masters Advanced CIMA qualifications
Diploma, Degree including
certificates

CEP encourages employees to advance their academic qualifications that prepare them
for challenging future roles and responsibilities. Financial assistance covers 70% of the
total course fees with employees bearing the remaining 30%. The programme is open to
all employees who meet the prerequisites.

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CEP Prerequisites

1 2 3 4

Completed four Achieved PMS rating Selected programmes CEP application can
years of full-time of 3 or 60% and above must be relevant to only be considered once
employment on performance the employees job throughout the entire
management system responsibilities and employment period
evaluations throughout companys business
the employment period needs

UEM Group received a total of 39 and 18 applications in 2015 and 2016 Young Engineer Programme (YEP) and Young Graduate
respectively. Examples of courses that our employees applied for are Programme (YGP)
presented below.
YEP is a five-year structured development programme that provides
high-potential professionals with the required professional
qualifications. As professional engineers, it also helps them attain
Association Bachelor of Bachelor of technical competencies and accreditation as required by the Board
of Chartered Banking and Computer of Institute Engineers of Malaysia (IEM).
Certified Finance with Science
Accountant Honours YGP is a three-year programme that helps high-potential
graduates attain required competencies such as strong strategic
Bachelor of Mass Bachelor of Bachelor of thinking skills for UEM Groups leadership pipeline in areas
Communications Occupational Science such as business development, finance, accounting and human
and Public Health and Safety resource.
Relations Management with
Honours

Chartered Diploma in Master of


Certified Management Business
Accountants Administration

Master in Highway and Master of Science in


Transportation Highway Engineering

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The two programmes complement existing leadership initiatives such as the ELP and EMPLOYEE ENGAGEMENT
LeAP. Graduates employed under YEP and YGP are mentored by senior management
Keeping our employees engaged and
personnel and work alongside experienced employees through cross-assignments and
encouraging them to stay connected
job rotation. Both programmes also focus on developing skills in strategic thinking and
with their peers and communities are
leadership in addition to imparting technical knowledge.
key components of our people strategy.
Timely and efficient communication with
The 74 and 92 individuals under the YEP and YGPs pilot batch in 2015 and 2016 consisted
our workforce is important. A range
of fresh graduates and Yayasan UEM scholars.
of channels is used to connect with
employees with differing competencies,
experience and interests.
BREAKDOWN OF YEP AND YGP CANDIDATES
We communicate with employees in a
100
number of ways such as newsletters,
the Intranet, email blasts and printed
80
notices displayed around the companies.
Employees are also being kept up-to-
56
date through Yammer, a private social
60 media platform, which connects people
and information across UEM Group of
61 Companies. The UEM Group Human
40
Resource Department has recently
introduced askHR and Employee
20 Assistance Programme to enable
36 employees to reach out to the Human
13 Resource Department for any work-
0 related concerns and feedback. askHR
2015 2016 operates similar to a help-desk with a
dedicated email address for employees.
Fresh Graduates Yayasan UEM Scholars

However, we are also conscious that many


of our employees work outdoors where
Assigned to various companies within UEM Group, they are rotated annually and learn the internet may not be readily available.
soft, management and leadership skills. Young employees under YEP and YGP also Alternative communication channels are
acquire the required technical competencies and qualifications such as the Board of provided to these employees such as
Institute Engineers of Malaysia, Project Management Institute and Association of printed notices.
Chartered Certified Accountants.

Retirement Coaching
Retirement is much different today than in previous years when traditional pensions
were common. Today, the responsibility of preparing for a secure retirement often rests
with the employee.

UEM Group recognises its responsibilities as an employer and offers retirement


coaching as part of its benefits package. Championed by the UEM Learning Centre,
our Harness, Educate, Attitude, Readiness and Timeline (H.E.A.R.T) Retirement
Programme helps future retirees cope with their retirement and financial planning.

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EDGE20
In January 2016, UEM Edgenta reinforced its corporate culture integration efforts
with the launch of EDGE20 a programme designed to redefine the way employees
work at UEM Edgenta, challenging them to reach greater heights and achieve the
companys ambitions and growth targets by 2020.

More than 96 company-wide training sessions were held and attended by 3,860
employees. A combination of mini lecturers, indoor and outdoor team building
activities along with experiential learning involving group and individual exercises
were held.

Employee Engagement Activities


UEM Group of Companies is committed to keeping its workforce engaged and motivated to be part of the Group. We value diversity at
every level of our organisation and respect the rights of all of our employees. Employees are equipped to be more engaged and happy
in their working environment which improves the quality of their work-life experience.

We hold regular formal and informal engagement between employees and the management across UEM Group of Companies. Team
leaders deliver regular face-to-face employee briefings that allow employees to give feedback.

Regular engagement channels held within the Group include townhall sessions, email messages, festive video messages and ad-hoc
messages from the top management. Other engagement sessions held in 2015 and 2016 are summarised on the following page.

Live Well, Work Well, Spend Well (LWS)


Acting on feedback received from the Employee Engagement Survey (EES) and caring for
our employee holistically, the new LWS campaign promotes work-life integration. The large
LWS umbrella consists of five wellness components that promote wellness holistically:

Taking care of ones Preparing to meet Being aware of Evaluating the state Creating a work
physical body retirement-income ones thoughts and of financial well- environment that
Maintaining a goals to sustain/ feelings being is conducive and
regular fitness achieve a certain Making choices Having an supports the needs
routine and standard of living for a positive understanding of employees
practicing a healthy (mental) attitude of ones financial Providing
balanced diet Acknowledging and situation and occupational
recognising feelings preparing for wellness through
financial changes growth and
development
opportunities

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Trekking to Sungai Pisang Monsoon Camp


50 UEM Group employees took part in a trek to Sungai Pisang. The On 10 and 11 December 2016, 50 UEM Group employees took
event was organised by the Group Human Capital in collaboration part in the Monsoon Camp. The Camp was organised by the
with the Kelab Sukan & Rekreasi UEM Group on 22 October Group Human Capital in collaboration with the Kelab Sukan &
2016. Programme highlights included waterfall abseiling and Rekreasi UEM Group. The programmes highlights, white water
fly as well as fall zipline activities that helped the participants rafting and river tubing, challenged participants to overcome
overcome their fear of heights. their potamophobia, or fear of running water.

Bring Your Kids to Work (BYOK) Programme


BYOK is a three-day fun-filled activity for children aged between
four and 15 years. This programme promotes work-life integration
while providing an opportunity to inspire young minds about future
careers. Held from 14 to 16 December 2016, activities included
modelling and printing for 10 to 15 year olds; a robotics workshop
for seven to ten year olds; and Fri-Yay! for four to six year olds.

Pink October Day


On 31 October 2016, UEM Group Human Capital hosted Pink
October Day in honour of the last day of Breast Cancer Awareness
Month. Professor Dr. Teo Soo-Hwang, CEO of Cancer Research
Malaysia, gave a talk during the event. 500 pink ribbons and ice
creams were also distributed after the talk.

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UEM Sports Carnival


The UEM Group Sports Carnival 2015 was held from 5 to 17 May 2015. Representatives from UEM Group of Companies competed in
several football, futsal, netball, badminton, table tennis, bowling and volleyball tournaments.

The winners were announced on 17 May 2015 at Sunway Lagoon in conjunction with the UEM Group Family Carnival. Over 18,000
employees and their family members were present at the fun-filled day and were entertained by tele-matches and exciting rides at
the theme park.

The UEM Sports and Family Carnival 2015 was another example of our efforts to develop a One Company, One Heart, One Soul spirit
in our employees.

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National Day Celebration


On 31 August 2015, UEM Group participated in the annual
National Day celebrations at Dataran Merdeka in Kuala Lumpur.
UEM Group employees formed part of the 600 contingent from
other Government-Linked Companies.

40 CIMA employees took part in the Perlis state-level National


Day celebrations held on the same day at Dataran Merdeka in
Kangar.

Kolam Competition
UEM Group celebrated the Festival of Lights with a Kolam competition on 19 October 2016. 10 teams from across UEM Group of
Companies competed in the inter-company competition, themed Festival of Lights. This activity formed part of the Groups mission
to foster an inclusive and diverse workplace.

Team AUM and Team Masalas of UEM Sunrise won first and third prizes for their entries, winning RM1,500 and RM800 respectively.
UEM Edgentas Team United Colours won second prize and RM1,000 in cash.

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UEM Group of Companies Employee Engagement Activities

2015 2016
PLUS World Health Day 2015 PLUS World Health Day 2016
Mission Slimpossible 2015 Jamuan 1st Syawal with Senior Management at
Ceramah Agama selected toll plazas
PLUS

Sports Day Inter-departmental, Inter-section, Inter-Region


Games 2016
PLUS 10 Pin Bowling Tournament 2015
Northern, Central and Southern Region Health and
Safety Programmes

Future Talent Engagement UEM Sunrise MasterChef Baking Class


Sunrise

Programme My Voice Session


UEM

UEM Sunrise Fun Run Nusajaya 2015 UEM Sunrise Bowling Tournament
Festive Celebrations Living Well, Work Well and Spent Well

SHE Gotong Royong programme with employees to CIMA Town Hall sessions and Staff Children
clean up the Perlis Plant and Negeri Sembilan Plant. Excellence Awards at CIMA Headquarters, Perlis
The CIMAs Biggest Loser programme. and Bahau.
CIMAs internal sports carnival. Hari Raya Open House with employees at Central,
Bahau, Perlis Plant.
Hari Raya Open House at Perlis and Bahau Plant.
Gotong Royong programme in conjunction with
CIMA Townhall sessions and Staff Children
Aidiladha in Bahau, Perlis, Kuang and Kuad.
Excellence Awards at CIMAs Headquarters, Perlis
and Bahau. CIMA Perlis employees participated in a Merdeka
Parade.
CIMA Perlis Employees participated in a Merdeka
OSHE Week at Bahau and Perlis Plant.
CIMA

Parade.
CIMA Health Awareness Campaign 2015 in Central, SHE Perlis, in collaboration with Perlis Department
Perlis and Bahau, Negeri Sembilan. of Environment (DOE), organised a telematch game
named EnviroBingo in conjunction with Minggu
Harumanis Adventure Trail Run 2015 CIMA Perlis
Alam Sekitar Malaysia Perlis 2016.
staff participation.
Gotong Royong programme to repair an employees
house which had been destroyed by a storm.
SHE Perlis in collaboration with Perlis Department
of Environment (DOE) organised a telematch game
named EnviroBingo in conjunction with Minggu
Alam Sekitar Malaysia Perlis 2015.

We Are One Townhall sessions EDGE20


UEM Groups Family Carnival 2015 at Sunway Huddle townhall sessions
Lagoon Chat with MD/CEO
Edgenta

Million Steps Challenge IDEAZONE


UEM

Healthy Living Tips Brown Bag sessions


Edgenta Young Star Programme
Semarak Raya
Fitness with a Purpose Challenge

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SAFETY CULTURE
UEM Group believes that safety goes beyond regulatory compliance; safety is a culture
of caring. While safe workplace conditions must be maintained and compliance assured,
we have to also go beyond physical safety. Our safety culture is a partnership where
management and employees share knowledge and decision making to improve the
working environment.

The Group Environmental, Health and Safety (EHS) policy articulates our commitment to
building a workplace that protects the mental and physical well-being of the workforce
and encourages the implementation of best practices. The policy is explained to our
contract workforce during their induction training and periodically reviewed by senior
management. Subcontractors safety capabilities are evaluated before contracts are
awarded. Compliance with the policy is enforced through regular training, site visits
and audits. The EHS framework helps translate our EHS policy into practice at project
sites and offices. It is deployed across the Group through procedures, guidelines and 54.94% of
manuals. UEM Groups operations are
OHSAS 18001 certified.
UEM Group Occupational Safety
& Health Policy Statement
UEM Group Berhad is committed to protecting the Safety & Health of our employees,
customers, and the communities where we operate. It is our intent to demonstrate an
ongoing and determined commitment to improving Safety & Health at work throughout our
organisation in meeting or exceeding all applicable Safety & Health requirements locally
or internationally (where relevant).

We recognise that by integrating sound Health & Safety management practices into aspects
of our business, it will contribute to the success of the organisation in delivering innovative
products and services to customers without exposure to risks that might be fundamentally
acceptable.

Guiding Principles:

Ensure all employees are aware of their role and responsibility to fulfill and sustain
UEM Groups Safety & Health management systems and policies.
Communicate Safety & Health policies and programmes to all employees and others.
Provide training and resources when necessary.
Incorporate Safety & Health best practices in all work activities.
Manage and control hazards and risks associated with our products, services,
operations, processes and facilities at the workplace.
Advocate the adoption of prudent Safety & Health principles and practices by our
service providers, vendors and suppliers.

This policy will be reviewed periodically in accordance with UEM Groups commitment to
continuous improvement in Safety & Health management.

Dato Izzaddin Idris


Group Managing Director/Chief Executive Officer
20 October 2010

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UEM Groups HSSE Department was established to focus on safe systems at work, visible HSE leadership, HSE competence,
incident management and contractor HSE management. The HSSE Head is responsible for monitoring UEM Group of Companies
progress against the five-year HSE Culture Transformation Programme.

GOAL Zero - HSE Culture Transformation Journey

2015 2016 2017 2018 2019 2020


HSE Tools - JHA, PTW, RAM
Safe System
of Work

HSE Assurance - Audit & Review


Risk Management Processes - MOC
Turun Padang (Go & See)
Visible HSE
Leadership

Staff Engagement
Leader Standard Work
Front Line Staff
Management Competence
HSE

Front Line Supervisory Staff


HSE Leaders & Professionals
Reporting & Review
Incident

Root Cause Analysis


Learning From Incident
Management

Pre-Tender Screening
Contractor
HSE

Contract Management
Contractor Engagement

SAFETY INITIATIVES UEM Group

Our goal is for every employee to go home safe, uninjured and Disaster Relief and Safety Training
in good health after every shift. We believe that there is always a On 7 May 2016, UEM Group organised Disaster Relief and Safety
safe and healthy way to do every job. Training for UEM ALERT volunteers. The training session,
conducted by the Malaysian Civil Defence Department, was
We implement safety and health programmes in all our attended by 25 participants. Throughout the one-day training
Operating Companies. We expect all employees and contractors session, participants learnt basic safety and survival skills and
to work in accordance with these safety and occupational health how to prepare themselves mentally and emotionally before
management policies, for the benefit of all our colleagues, undertaking any disaster relief initiatives. They also received
families, communities and businesses. guidelines explaining how to respond during times of disaster
and emergency.
Our health and safety systems provide the equipment, training
and resources necessary to allow employees to perform their Health and Safety Audits
work safely without risking their health.
The internal health and safety audit is an integral part of the
company culture. These audits adhere to the legal requirements
and are implemented and maintained by each employee. Five
HSE audits have been conducted over the past two years.

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Details of Health and Safety Audits In August 2016, PLUS established a HSSE Department to oversee
the overall identified HSSE key focus areas in order to further
Date Audit Venue improve and embed safety culture by initiating various HSSE
2015 approach, programme and initiatives as agreed in the HSSE
Handshake Meeting between UEM Group Special HSSE Task
1 3 July Kamunting
Force Team and Top Management of PLUS & UEM Edgenta.
Incinerator &
Laundry Plant
Guided UEM Group HSSE 6 Key Focus Areas are as follows:-
26 October 28 October UEM Sunrise 1. Visible and Felt HSSE Leadership;
26 October 31 November UEM Sunrise 2. Safe Systems of Work;
2016 3. HSSE Competence Management;
4. HSSE Incident Management;
5 10 December CIMA Perlis
5. Contractor HSSE Management; and
19 24 December CIMA Bahau 6. Road Transport Safety.

HSSE Team Workshop UEM Sunrise


Our HSSE team organises various workshops for relevant UEM Sunrise reviews its health and safety policies each year.
personnel to ensure they are aware of their job hazards and ways Measures to minimise health and safety related incidents include
to perform their work safely. Eight HSSE Team workshops were induction training; monthly Quality Assurance Safety, Health
conducted in 2015 and 2016. and Environment (QASHE) Committee meetings; weekly toolbox
briefings and a QASHE campaign.
Details of HSSE Team Workshop
CIMA
Date Audit Venue
CIMA continued to take bold steps to ensure compliance with
2015
OHSAS 18001. All new CIMA contractors must attend a Safety
Accident investigation specialist 7 October
and Health Induction organised by the Safety and Health
(road transport accident
Department from Negeri Sembilan Cement Industries (NSCI).
reconstruction)
Compliance with the safe work practices stated in the Company
Accident investigation specialist 15 December Safety and Health Manual and the Plant and Equipment Manual
(road transport accident is the primary responsibility of all employees, contractors and
reconstruction) consultants performing duties at NSCI premises.
HSE Internal Audit Competency 16 20 November
2016 CIMA has also established its own Emergency Response Team
(ERT) which prepares for and responds to any emergency such
HSE Master Plan Launching 5 February
as occupational incidents, natural disasters or interruption of
Confined space fatality incident 27 February business operations.
investigation 4 March
Process safety issue and verification 25 29 March UEM Edgenta
audit
UEM Edgentas 3Es Approach to Health, Safety
Forklift fatality incident investigation 6 9 June and Environmental (HSE) Management comprises
Engineering, Education and Enforcement.
In 2014, UEM Edgenta implemented the Propel
PLUS
Safety Passport (PSP), Malaysias first occupational safety and
PLUS aims to secure and protect employees and other interested health passport for highway maintenance. This programme
parties on occupational safety and health by aggressively creating is a collaboration between Edgenta PROPEL and the National
awareness via its continuous commitment to prevent injuries, Institute of Occupational Safety and Health (NIOSH).
occupational illness and environmental incident at workplace
and ensure public safety when carrying out its business.

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More than 90% of UEM Edgenta PROPELs


operations employees have attended the
programme as at 31 December 2016. SOCIAL: PRODUCT RESPONSIBILITY
UEM Edgenta also enhanced the safety Operating responsibly in all aspects is always
features of Edgenta PROPELs Intervention
Team (PIT) and service vehicles in 2016. a high priority for UEM Group. We attach
Larger beacons and chevron directional
great importance on assessing our operations
lights improve visibility and the safety
of workers, especially when working at lifecycle as a whole. We set standards,
night. UEM Edgenta implements Traffic
Management Plans as per Malaysian monitor our processes throughout the entire
Highway Authority guidelines to provide
lifecycle and communicate the added value to
a Safe Work Zone for workers. UEM
Edgenta also conducts continuous our stakeholders.
safety awareness briefings and safety
simulation training for its employees and
contractors.

QUALITY MANAGEMENT
Quality management is emphasised in all processes throughout the supply chain. UEM
Group of Companies recognises the value of product quality, effective prevention and
continual improvement to maintain the highest level of customer service. We strive to
meet these objectives by adhering to established industrial and regulatory standards.

Our minimum quality requirements across all operating companies include:

Operating within a well-defined quality system


Providing all personnel with comprehensive quality maintenance training
Continuous improvement and innovation
Monitoring and benchmarking our performance

All Operating Companies across the Group have established, documented, implemented
and maintained Quality Management Systems (QMS) and have been continually
Group-wide Safety Performance improving their effectiveness in accordance with the requirement of ISO 9001 standards.
A QMS manages activities related to customer requirements that can help organisations
2015 2016 improve customer satisfaction.
Total recordable 241 175
Product responsibility areas identified for continuous improvement by each company
injury frequency rate
vary according to the type of businesses.
Lost Time Injury 93 93
frequency (No. of
cases)
Fatal accident rate 9 11
(No. of cases)
Occupational 4 3
diseases rate
Lost day rate 1,320 1,340

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ISO 9001 Quality Management System


UEM Group of Companies
complies with ISO 9001, Coverage
ISO 14001 and OHSAS 18001
standards. 52.94%
of our operations are covered PLUS Headquarters and all processes under PLUS
54.94%
by ISO 14001,
by OHSAS 18001 and 82%
by ISO 9001 certifications. Focus on development services of UEM Sunrise

Edgenta Mediserve is the first


leading concession company
to obtain all four Management UEM Builders Headquarters in Petaling Jaya
Systems ISO 9001, ISO
14001, OHSAS 18001 and ISO
13485 which are required
by the new Concession
Agreement, 12 months ahead Cement Plant in Bahau, Negeri Sembilan
of time. Cement Plant in NSCI, Perlis

Opus International (M) Berhad


Edgenta Mediserve Sdn Bhd (HQ and all sites as well as
Edgenta Healthronics Sdn Bhd)
Edgenta PROPEL Berhad
Edgenta Environmental & Material Testing Sdn Bhd

PLUS
PLUS has implemented a structured maintenance regime that preserves its assets
by improving operational efficiency and road quality. Maintenance preserves the
original function, geometric and structural condition of the expressway, improving and
maintaining both the quality and service level for expressway users.

Each year, PLUS invests approximately RM1 billion in maintaining its highway assets.
This is a testament to PLUS promise to never compromise highway users safety and
comfort. Accordingly, PLUS has adopted a maintenance strategy that covers Routine,
Curative and Preventive maintenance.

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Customer feedback is an important


CUSTOMER SATISFACTION performance indicator. Learning about
Routine Maintenance customers needs and our performance
Our customers decide allows us to make necessary changes for
Repetitive, cyclical or periodic what excellent customer the betterment of all. Feedback channels
works such as landscaping, experience is. used by UEM Group of Companies include:
grass cutting, drainage, bridge
parapets, road furniture, buildings,
Annual customer satisfaction surveys
mechanical and electronic CIMA
Communication
equipment
CIMAs products, such as its cement, Social media channels
aggregate and pre-mix brands, comply General interaction
with the Code of Practice for Building
Curative Maintenance Operation and are certified in accordance The general procedure in addressing
with the relevant Malaysian, European, customers feedback begins with
Repair works that address American and Singaporean Standards. investigating the validity of feedback
defects while maintaining safety, CIMA continuously assesses, analyses or complaints. An action plan is then
serviceability and the structural and improves its Quality Management formulated to address these shortcomings
integrity of the highways such as System. Improvement activities include with details of the complaint, investigations,
repairs to pavements, bridges, regular internal audits and identifying and action taken and subsequent results being
slopes, embankments, drainage, controlling non-conforming products to recorded.
structures and tunnels prevent their unintended use or delivery.

Preventive Maintenance
Improving, preserving or minimising
the deterioration of defects by
planning works to maximise the
design life of the assets and facilities

UEM Sunrise
In addition to implementing 5S and Six
Sigma, UEM Sunrise also performs
periodic quality assessment such as the
Quality Assessment System in Construction
(QLASSIC) and the Construction Quality
Assessment System (CONQUAS). These
assessments incentivise the Company
to set international-grade quality and
workmanship standards throughout its
projects and products.

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PLUS feedback, complaints, customer satisfaction and the handling of


customer related matters to the Head of Marketing. Commercial
Periodically, PLUS conducts a Customer Satisfaction Index (CSI)
correspondence such as pricing, contracts, amendments
survey to ascertain customer preferences in the five main
and terms and conditions can also be directed to the Head of
expressway service areas.
Marketing. In 2016, CIMA achieved an overall satisfaction score
Areas Assessed by PLUS CSI Survey of 79%, which is consistent with its 2015 results.

OUR VALUE-ADDED COMMITMENT TO THE PUBLIC


HIGHWAY TOLL PLAZA
MANAGEMENT MANAGEMENT UEM Group leverages on its size and diversity to create a more
sustainable and responsible world. Collaborative efforts by our
brands, product teams and innovation identify the most promising
LAY-BY
RONDA SERVICES opportunities to play a role in this society. Through these efforts,
MANAGEMENT
our companies can truly become agents of positive change.

REST AND SERVICE AREA PLUS


MANAGEMENT
Traffic Monitoring Centre (TMC) for Greater Efficiency

The survey results are used as a benchmark for service PLUS TMC plays a vital role as a traffic management hub for
satisfaction levels and strategising improvement initiatives so expressways. Operating 24 hours a day, it covers more than
better services can be provided. PLUS achieved a CSI result of 60% of all tolled highways in the country. Each year, more than
82.6 in 2016, which is 0.8 higher than the previous years result 500,000 calls are managed by between 45 and 55 operating
of 81.8. The global acceptance range of CSI between 80 and 100 staff on duty each day. The centre efficiently manages traffic by
is considered very satisfied. collecting and disseminating real-time traffic information and
coordinating assistance for highway users. TMC also liaises
UEM Sunrise with the relevant authorities such as the police, fire department
and ambulance service.
UEM Sunrises Customer Satisfaction Survey gauges customer
satisfaction levels at all touch points. An independent consultant
is appointed to execute the survey to ensure impartiality. The
survey was conducted through various platforms and was The Seremban- The Butterworth-
Port Dickson Kulim Expressway
distributed online through mail drop and Focus Group Discussions
Highway (SPDH) (BKE)
(FGDs). It concentrated on projects that had been launched and
handed over in the past two years.

Federal
Customer loyalty is derived from the average score achieved The Penang
Highway Route
across three elements: corporate reputation, product quality Bridge
2 (FHR2)
and offerings, and customer experience. The satisfaction
survey conducted in 2016 showed that customers are happy ROADS SERVED
with their experience and will recommend UEM Sunrise to BY TMC
friends and family. New Klang
Valley The
CIMA Expressway Secondlink
(NKVE)
CIMAs annual Customer Satisfaction Survey measures the
companys performance in the four areas of product quality, order
processing, packing and delivery service. CIMA has implemented North-South
ELITE
a clear Customer Relationship Management (CRM) system that Expressway
Highway
(NSE)
is appropriate for the size of its operations. Customers can
direct all technical correspondence such as queries, product

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Comfort at PLUS Rest and Service Areas (RSAs) RSAs Upgraded in 2015 and 2016
PLUS RSAs are well maintained, providing travellers with facilities
as they take a break during their long distance trips. Positioned
every 50 to 100km, RSAs are continuously upgraded and improved. 2015
Particular attention is paid to hygiene and the cleanliness of toilets
and food stalls. Ladang Bikam Lay-by Northbound and Southbound
(toilet and parking)
Several of PLUS facilities offer more than a mere pit stop for weary Tapah RSA Northbound (water supply system)
travellers; they are equipped with a childrens playground, petrol
stations, a surau, rest shelters, public telephones, air-conditioned
restaurants and other amenities. Currently, there are 24 RSAs on
PLUS Expressways network. 2016
In an effort to provide a more convenient public travel experience, Ayer Keroh RSA Southbound (foodcourt, toilet, surau and
PLUS has upgraded several of its RSAs including its suraus, ancillary facilities)
food courts and toilets during 2015 and 2016. RM25 million was Machap RSA Southbound (toilet and water supply
allocated for upgrading RSAs and lay-bys in 2016 alone. More than system)
RM260 million has been spent on this ongoing cause since 2005.
Tapah RSA Southbound (water supply system)
Bukit Gantang Lay-by Northbound (surau, foodcourt,
ancillary facilities, parking and ingress road widening)
Senawang Lay-by Northbound (toilet, surau, ancillary
facilities and parking)

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Travel Time Advisory (TTA) UEM Sunrise


TTA is a travel advisory created to help UEM Sunrises developments support
highway users plan their journeys and families daily and future lives as we
distribute traffic on the mainline. Since grow together. In delivering its vision of
2008, PLUS have issued the TTA to Building communities of the future with
distribute traffic and prevent vehicles from you and for you, UEM Sunrise continues
converging at the same location and time, to create sustainable environments loved
which contributes to traffic congestion on by homeowners by maintaining valuable
the mainline. If followed, TTA results in relationships with them.
smoother traffic flow during the festive
season. UEM Sunrise continued to champion
various engagement activities with its
tenants to improve their living experience.
Key events included festival celebrations
for Chinese New Year, Hari Raya Aidilfitri,
Mid-autumn Festival, Deepavali, Christmas
and New Years Eve.

UEM Sunrise also held welcome parties


for new residents, especially international
tenants, to introduce them to Malaysias
PLUSMobile culture and cuisine. Gathering events,
games and fun times are held together
PLUSMobile Apps were first introduced in
throughout the year to nurture
January 2014 to deliver real-time traffic
relationships between residents and the
information on PLUS highways directly to
management. Fun activities held during
highway users smartphones or tablets.
the year included gold friendly, wizard
Information provided covers toll plazas,
of fun zone, Borneo culture day and
RSAs and lay-bys and live traffic. The
Bollywood glitz of lights.
app also features the recently introduced
SOS button for emergency assistance.The
up-to-date apps have been downloaded
by 1.05 million users with more than
300,000 active users and 78.4 million
screen views. PLUSMobile apps are highly
regarded by those travelling along the
North-South highway. iPhone and iPad
users can download the free PLUSMobile
App from the App Store and Android users
can obtain it from Google Play.

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CIMA UEM Edgenta


CIMAs Mobile Laboratory Expanded Sustainability Programme
CIMA provides excellent customer service and technical Under the new Hospital Support Services Concession
solutions to its customers, specifically its end users. CIMA Agreement, UEM Edgenta is providing additional services
established a mobile laboratory where lab services are made under a Sustainability Programme, which focuses on water
available at construction sites. management, indoor air quality, energy efficiency and the 3Rs of
Reduce, Reuse and Recycle.
This innovative concept aims to support clientele through all
stages of construction as CIMAs lab team is present to assist Environmental consideration is also given to our sewerage
with issues relating to concrete quality, optimisation of mix treatment plants (STPs) to ensure sewage is treated effectively
design and cost saving practices. to minimise river pollution. Chemical discharges from building
services are also treated by our STPs before being safely
Customers have immediate access to trained service engineers discharged into local waterways.
who are on hand to provide technical advice on the best use of
cement and raw materials.

This unique customer service initiative allows the mobile labs


technical support representatives to work directly with CIMAs
customers by:

Visiting them at their project sites


Carrying out construction/job site investigations and
handling customer complaints
Providing site training on cement and concrete applications
Gathering direct feedback for new products and innovations
Demonstrating products such as masonry works and
plastering
Assisting in the testing of the quality of concrete and concrete Prioritising Public Safety
materials, concrete mixing and aggregates
Assisting in the formulation of mix designs, trial mix and PLUS
monitoring of concrete application at site PLUS Road Safety
PLUS has carried out the Accident Prevention Programmes
as well as the Accident Reduction Programme as part of the
initiatives to ensure the safety of drivers and passengers for
an average of 1.40 million vehicles plying the North-South
Expressway daily.

The Road Safety Audit (RSA) under the Accident Prevention


Programme is a formal safety performance inspection conducted
by an independent and multi-disciplinary team of auditors. The
objectives of RSA are to identify potential safety hazards on the
expressways so that they can be eliminated or treated to mitigate
their adverse effects to ensure the expressways are capable of
providing the highest standard of traffic safety for users. RSA is
conducted by PLUS at selected stretches along expressways in
three-yearly intervals.

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Over the years, PLUS has upgraded and


strengthened the barrier system along
the expressway at New Jersey Barrier,
W-Beam Guardrail, Bridge Railing and
Median Opening to improve their safety
features. To prevent illegal crossing on
the expressway, Anti-climb Fencing, ROW
Fencing, Electric Fencing and Concrete
Fencing were upgraded and installed at
selected locations along the expressway.
Concurrently, installing reflective stickers,
road studs and chevron signs have increased
visibility and improved night-time driving
conditions.

Under the Accident Reduction Programmes,


an Annual Accident Blackspot Investigation
and Countermeasures were carried out to
reduce accidents at prone areas. Analysing
accident records and diagnosing accident
prone locations helped identify the root
cause of accidents in order to propose PLUSRonda
counter measures. PLUS monitors the Established on 1 April 1990, PLUSRonda is the familiar name for PLUS team of
effectiveness of the proposed counter dedicated personnel whose primary task is patrolling our expressways and attending to
measures in reducing accidents. customers in need of assistance.

As safety of our customers is a Available 24 hours a day, 365 days a year, PLUSRonda services reflect our commitment
top priority, PLUS is committed to to providing a safer and more convenient choice for travellers.
undertaking continuous improvement
initiatives that enhance expressway PLUSRonda Services
safety. The installation of rumble strips,
anti-skid pavements, linear delineator
systems and high-performance road
Minor repairs Towing services Traffic management
markings were extended to other suitable
to vehicles to the nearest toll plaza and coordination of
locations along the expressways.
experiencing a or RSA (for Class 1 emergency services
mechanical fault or vehicles only)
breakdown

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PLUS Malaysia Unite for Road Safety (MUFORS) Campaign


PLUS launched the Malaysian Unite for Road Safety (MUFORS)
initiative in 2009. The programme raises road safety awareness
and uses various novel approaches to educating current and
future drivers. MUFORS encourages Malaysians from all walks of
life to take ownership of road safety and ask themselves what is
my role in promoting road safety and saving lives.

These awareness campaigns target university students, heavy


vehicle drivers, owners and fleet operators.

Featuring MUFORS Gallery

MUFORS Inter-School Mural Competition


Held on 5 August 2015, the MUFORS Inter-School Mural
Competition offered 50 shortlisted secondary schools a chance
to win cash prizes amounting to RM120,000 while reinforcing
In 2010, PLUS established the MUFORS Gallery with the
road safety messages to students, parents and the public. The
Ministry of Works, the Malaysian Highway Authority, the
competition was held in collaboration with the Co-curricular
Police, AAM, the Road Safety Department (JKJR) and
& Arts Division of the Ministry of Education Malaysia. Themed
Malaysian Institute of Road Safety and Research (MIROS).
Pesanan Dari Kami Generasi Muda untuk Keselamatan
This exclusive road safety centre complements PLUS
Bersama, the competition is one of the initiatives under the
commitment to adding value to highway users driving
MUFORS flagship spearheaded by PLUS since 2009.
experience.

Since its inception, 200 schools across the country have been
Located at the USJ RSA on the ELITE highway, the gallery
painted with murals containing road safety messages. The
disseminates road safety information to the public with
initiative raised awareness and inculcated a culture of road
exhibitions by various partners. The audio-visual room
safety in the community at large. Students, schools, parents and
screens road safety videos and short films. The gallery is
the surrounding community were involved in the project.
now one of the most sought after venues for road safety
programmes.
Every year, we witness enthusiasm and creativity from the
participating schools. In 2015, the use of 3D art helped produce
more interesting and attractive murals. Sekolah Menengah
Kebangsaan Tinggi Kluang in Johor emerged as the winner of
PLUS MUFORS Inter-School Mural Competition 2015, followed
with Sekolah Menengah Kebangsaan Seksyen 16, Shah Alam and
Sekolah Menengah Kebangsaan Agama (P) Alawiyah.

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The event was graced by YDH Tuan Superintendent Roslan


Zainuddin, Officer of the Department of Crime Prevention and
Community Safety from the PDRM, Kuala Lumpur.

UEM Edgenta
Spray Jet with Very Thin Overlay (VTO) for Workers,
Subcontractors and Highway Users Safety
In October 2015, UEM Edgenta introduced the Spray Jet with
Very Thin Overlay (VTO), the first of its kind in Malaysia. This
German technology is an innovative and sustainable approach
to pavement preservation and maintenance, that also enhances
Gempak MUFORS 2005 and 2016 rideability and safety for road users and highway maintenance
Gempak MUFORS is a road safety seminar for young workers.
motorcyclists by PLUS. It is a platform to educate the public
on safe riding skills on roads and highways. The programme This road rehabilitation method extends the roads economic
combined theory and practical sessions for participants. A total life by optimising the use of premix material. This approach has
of 1,800 participants attended the programme that targeted a positive long-term effect on the environment and produces
youths and students from universities and colleges. In 2016, less noise. This method has a minimal effect on road traffic as
GEMPAK MUFORS collaborated with the Traffic Department rehabilitation works are completed more quickly which further
of Polis DiRaja Malaysia (PDRM) and reached out to youths in improves the safety of workers and road users. It is the most
Felda settlements and the East Coast. economic, innovative and sustainable approach to pavement
preservation and maintenance.
Speedway PLUS Go-Kart Circuit
Go-karting is one of PLUS initiatives to educate current and
future drivers on the importance of discipline. It teaches drivers
to respect the limits of their vehicles and their own capabilities.
Go-karting applies strict rules and guidelines which relate
closely to road safety.

The Speedway PLUS Circuit is also one of the Companys


strategies to promote this fledgling motorsport industry and
develop future motorsport champions for the nation. The Circuit
played a significant role in developing international and local
karting champions such as Jazeman Firhan Jaafar and Nabil
Jeffri.
Edgenta Mediserve (EMSB) Collaboration with Jabatan
Siasatan Jenayah Narkotik (JSJN) for a Safe Disposal of Drugs
At 990m long, the Speedway PLUS Circuit in USJ, Subang EMSB Kamunting Incineration Plant collaborated with Jabatan
is one of the most heavily utilised tracks for race events in Siasatan Jenayah Narkotik (JSJN) in disposing of RM2.8
Malaysia. million worth of confiscated drugs on 20 October 2016. The
event was led by V.R. Ravi Chandran, Head and Assistant
UEM Sunrise Commissioner of JSJN Perak; Ahmad Zamri Said, Managing
As part of its Community Policing Initiative, UEM Sunrise organised Director of EMSB; officials from JSJN; and the Operations
a Community Engagement Programme in collaboration with Team from EMSB. The heroin, marijuana, cocaine, ketamine,
the PDRM for the tenants of Publika on 16 March 2016. Jointly ecstasy, eramine and other drugs had been seized by JSJN in
led by UEM Sunrises Security Department and Retail & Assets 14 districts in Perak and cleared by the court over a period of 10
Management Department, the programme raised awareness to 15 years.
of crime prevention and encouraged feedback from tenants.

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UEM GROUP SUSTAINABILITY PLEDGE - MOVING FORWARD

Sustainability is a critical part of the strategic plans


of each of our businesses. It does not end there.
It is also a key element of our innovation and planning
to ensure our new products and services create
shareholder value and support a more sustainable
world. UEM Groups enhanced sustainability policy
and long-term sustainability goals hold us
accountable for addressing major global challenges
including climate change, society gaps, inequality
and land resources.

Recent developments in climate change have increased As a major business presence in our communities,
the urgency for companies to shift from idealism to we take our responsibilities related to diversity,
concrete action. Buildings consume approximately sustainability, disparities and corporate leadership
50% of electricity produced in the world. For us, the very seriously as they directly link to the values of the
majority of emissions come from burning fossil fuels Group. We work continuously to take tangible, visible
to power our buildings, operations and long-term and actionable steps to promote a more diverse
maintenance. UEM Group of Companies supports population and workforce, a more environmentally-
the Malaysian Carbon Reduction and Environmental responsible strategic direction and an overall
Sustainability Tool (MyCREST) which guides, assists, healthier community. Shared personal values give
quantifies and reduces the built environments us the strength as a team to act responsibly and
environmental and emissions impact. By aligning appropriately when unpredictable or devastating
our environmental efforts with MyCREST objectives, events call for action. As a large employer, we serve as
we integrate socio-economic considerations in our an economic contributor and catalyst in communities
built environment and urban development. Moving across our service region.
forward, UEM Group of Companies will implement
the MyCREST sustainable building rating systems to
assess all buildings based on current data.

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GLOSSARY

AEMAS ASEAN Energy Management Scheme EFFORT Electronic Form for Toll
AGM Annual General Meeting EGM Extraordinary General Meeting
APIC Annual Productivity and Innovation Conference EHS Environmental, Health and Safety
& Exposition ELP Emerging Leaders Programme
APSA Asia-Pacific Superyacht Association EMGS Energy Management Gold Standard
ASP Anchor Strategic Partner EMSB Edgenta Mediserve Sdn Bhd
AVDS Automatic Vehicle Detection System EPF Employees Provident Fund
BCIC Bumiputera Commercial and Industrial ERP Emergency Response Procedures
Community ERT Emergency Response Team
BE Business Excellence ETC Electronic Toll Collection
BEA Bumiputera Empowerment Agenda ETOL Electronic Toll Form
BEM Board of Engineers Malaysia FGDs Focus Group Discussions
BKE Butterworth-Kulim Expressway FHR Federal Highway Route
BLE Bayan Lepas Expressway FIABCI International Real Estate Federation
BMCC British Malaysian Chamber of Commerce FMM Federation of Malaysian Manufacturers
BSI British Standards Institution FPLC Federation of Public Listed Companies Berhad
BVDP Bumiputera Vendor Development Programme FTL Group Term Life
BYOK Bring Your Kids to Work GBI Green Building Index
C&CA Cement & Concrete Association of Malaysia GDV Gross Development Value
CDC Child Development Centre GMD Group Managing Director
CEO Chief Executive Officer GPA Group Personal Accident
CEP Continuing Education Programme GRI Global Reporting Initiative
CIDB Construction Industry Development Board GrIP Group Induction Programme
Malaysia GTL Group Term Life
CIE Cambridge International Examinations H.E.A.R.T Harness, Educate, Attitude, Readiness
CIHT Chartered Institution of Highways and Timeline
and Transportation HSE Health, Safety and Environmental
CIMA Cement Industries of Malaysia Berhad HSS Hospital Support Services
CIS Corporate Integrity System HSSE Health, Safety, Security and Environment
CnC Command and Contact Centre IDAM Islamic Dental Association of Malaysia
CONQUAS Construction Quality Assessment System IEM The Institution of Engineers Malaysia
CRM Customer Relationship Management IMARET IMAM Response & Relief Team
CSI Customer Satisfaction Index IMSHA Iskandar Malaysia Social Hero Awards
DAL Discretionary Authority Limit ITS Intelligent Transport System
DGMX Digital Maker Global Exchange Programme ITSAM Intelligent Transport System Association
DOE Department of Environment of Malaysia

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GLOSSARY

JKJR Jabatan Keselamatan Jalan Raya NIOSH National Institute for Occupational Safety
JKM Jabatan Kebajikan Masyarakat and Health
JQA Johor Quarry Association NKVE New Klang Valley Expressway
JSA Johor Sailing Association NRMCA National Ready-Mixed Concrete Association
JSJN Jabatan Siasatan Jenayah Narkotik of Malaysia
KG Kilogramme NSCI Negeri Sembilan Cement Industries
KSPK Kurikulum Standard Pra Sekolah NSE North-South Expressway
KYUEM Kolej Yayasan UEM NSILC Negeri Sembilan Industrial Liaison Centre
LeAP Leadership Acceleration Programme NSQA Negeri Sembilan Quarry Association
LEF Learn English Family NTex National Team Excellence
LEOC Learning Experience Outside Classroom Opus Opus Group Berhad
LWS Live Well, Work Well, Spend Well PA Public Announcement
MAPMA The Malaysian Asset & Project Management PAYSA Pertubuhan Kebajikan Anak Yatim Sabak
Association Bernam
MARA Majlis Amanah Rakyat PDP Pejabat Daerah Petaling
MASSA Malaysia South-South Association PDPA Personal Data Protection Act
MBAM Master Builders Association Malaysia PDRM Polis DiRaja Malaysia
MCIEA Malaysian Construction Industry Excellence PEIB PLUS Expressways International Berhad
Award Pekeas Pertubuhan Kebajikan Ensan Ash-Shakur
MIBC Malaysia-India Business Council PINTAR Promoting Intelligence, Nurturing Talent
MIGHT Malaysia Industry-Government Group for High & Advocating Responsibility
Technology PIT PROPELs Intervention Team
MIROS Malaysian Institute of Road Safety Research PLUS PLUS Malaysia Berhad
MIT Massachusetts Institute of Technology PMS Performance Management System
MKJR Majlis Keselamatan Jalan Raya PPD Pejabat Pendidikan Daerah
MNZCC Malaysia New Zealand Chamber of Commerce PIBG Persatuan Ibu Bapa dan Guru
MoC Memorandum of Collaboration Project STAR Share, Think, Ask, Respond
MOE Ministry of Education PR1MA Perumahan Rakyat 1Malaysia project
MoU Memorandum of Understanding PSA Politeknik Sultan Salahuddin Abdul Aziz Shah
MPIC Malaysia Productivity & Innovation Class PSHECP Project Safety, Health & Environmental
MQA Malaysian Quarry Association Compliance Plan
MT Metric Tonnes PSKLM Persatuan Syarikat-Syarikat Konsesi
MUFORS Malaysia Unite for Road Safety Lebuhraya Malaysia
MyCREST Malaysian Carbon Reduction PSP Propel Safety Passport
and Environmental Sustainability Tool

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GLOSSARY

QASHE Quality Assurance, Safety, Health UEM Group UEM Group and its subsidiaries
and Environment of Companies
QLASSIC Quality Assessment System in Construction UEM Group UEM Group Skim Latihan 1Malaysia
QMS Quality Management Systems SL1M
RBA Rail Business Asia UEM Sunrise UEM Sunrise Berhad
RC Reading Circle UIAM Universiti Islam Antarabangsa Malaysia
REAM Road Engineering Association of Malaysia UiTM Universiti Sains Malaysia and Universiti
REHDA Real Estate and Housing Developers Teknologi MARA
Association Malaysia UKM Universiti Kebangsaan Malaysia
RM Ringgit Malaysia UKMMC Universiti Kebangsaan Malaysia Medical Centre
RMC Risk Management Committee ULC UEM Learning Centre
RMMJ Rumah Mampu Milik Johor UMMC University Malaya Medical Centre
ROD Receipt On Demand UniMAP University Malaysia Perlis Malaysia
RSA Rest and Service Area UPM Universiti Putra Malaysia
SEC Singapore Environment Council USM Universiti Sains Malaysia
SIRIM Standards and Industrial Research Institute UTM Universiti Teknologi Malaysia
of Malaysia UTP Universiti Teknologi PETRONAS
SPAD Suruhanjaya Pengangkutan Awam Dara VDP Vendor Development Programme
SPDH Seremban-Port Dickson Highway VMS Variable Message Signage
SROI Social Return on Investment VTO Very Thin Overlay
STPs Sewarage Treatment Plants WBCSD World Business Council for Sustainable
SYABAS Syarikat Bekalan Air Selangor Development
TABAS Tapak Bina Sejahtera WBL Work-Based Learning Programme
TFM Teach for Malaysia WRI World Research Institute
TMC Traffic Monitoring Centre YEP Young Engineers Programme
TTA Travel Time Advisory YES Young Executive Scheme
TYHA The Yacht Harbour Association YGP Young Graduate Programme
UAE United Arab Emirates
UELP English Literacy Programme Sponsored
by UEM Group Berhad
UEM Builders UEM Builders Berhad
UEM Edgenta UEM Edgenta Berhad
UEM Group UEM Group Berhad

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GRI INDEX TABLE

Our Disclosure against the GRI G4 and Bursa Malaysia Sustainability Guide
General Standard Disclosures

General Standard Description Page Reference Additional Descriptions / Reason


Disclosure for Omission (if any)
Strategy and Analysis
G4-1 Statement from the most senior decision-maker of the 28
organisation
Organisational Profile
G4-3 Organisations name Front Cover
G4-4 Primary brands, products and services 8-13
G4-5 Location of the organisations headquarters 2
G4-6 Countries of major operation 7
G4-7 Nature of ownership and legal form 6
G4-8 Market served 7
G4-9 Scale of the organisation 6-7
G4-10 Total number of employees 92
G4-11 Percentage of total employees covered by collective N/A
bargaining agreements
G4-12 Organisations supply chain 53
G4-13 Significant changes during the reporting period 28
regarding the organisations size, structure, ownership
or its supply chain
G4-14 Implementation of the precautionary approach 40
G4-15 Endorsement of external economic, environmental and 111
social characters and initiatives
G4-16 Membership in national/international associations 51
Identified Material Aspects and Boundaries
G4-17 Entities included in the organisations consolidated -
Financial Statements
G4-18 Process for defining the report content and the aspect 2
boundaries
G4-19 Material aspects identified in the process for defining 40
report content
G4-20 Aspect boundary within the organisation 41
G4-21 Aspect boundary outside the organisation 41
G4-22 Effect of any restatements 28
G4-23 Significant changes during the reporting period in the 40-41
scope and aspect boundaries

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GRI INDEX TABLE

Stakeholder Engagement
G4-24 Stakeholder groups engaged by the organisation 34

G4-25 Basis for identification of stakeholders 34


G4-26 Approach to stakeholder engagement 34
G4-27 Key topics and concerns raised by stakeholders 34
Report Profile
G4-28 Reporting period 2
G4-296 Date of most recent previous report 2
G4-30 Reporting cycle 2
G4-31 Contact point for questions regarding the report 2
G4-32 Chosen in accordance option including reference to the This report has
GRI Content Index and the External Assurance Report not undergone
a GRI check.
We aim to have
our future
report verified
by an external
assurer and
certified by GRI.
G4-33 Organisations policy and practice with regard to seeking This report has
external assurance not undergone
a GRI check.
We aim to have
our future
report verified
by an external
assurer and
certified by GRI.
Governance
G4-34 Organisations governance structure 6
Ethics and Integrity
G4-56 Organisations codes of conduct 46
and codes of ethics

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GRI INDEX TABLE

Categories and Aspects in the Bursa Sustainability Guidelines


Specific Standard Disclosures

Category Aspects Page reference Additional Descriptions / Reason


(or direct for Omission (if any)
response
in case of
omission)
Economic Economic Performance 52
Market Presence 7
Indirect Economic Impacts 53
Environmental Energy 58
Water 64
Emissions 62
Effluents And Waste 63
Overall 57
Compliance 111
Environmental Impact from Transportation 63
Social - Labour Employment 92
Practices and Labour/Management Relations 101
Decent Work
Occupational Health and Safety 107
Training and Education 97
Diversity and Equal Opportunity 92 and 97
Labour Practices 94
Social - Human Non-Discrimination 97
Rights Forced or Compulsory Labour 41
Child Labour 41
Social - Society Local Communities 67
Anti-Corruption 46
Public Policy 51
Compliance 67
Social - Product Public Health and Safety 116
Responsibility Provision of Information 113
Customer Privacy We adhere to
the Personal
Data Protection
Act which came
into effect in
2014
Compliance 111

126 UEM GROUP BERHAD


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www.uem.com.my

UEM Group Berhad (6551-K)


17-2 Mercu UEM
Jalan Stesen Sentral 5
Kuala Lumpur Sentral
50470 Kuala Lumpur
Malaysia

Tel : +603-2727 6868


Fax : +603-2727 2222

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