Material Issues

Over the course of FY21 SGH undertook a series of exercises to ascertain the environmental, social and governance issues that are most material to our businesses.

In recognition of our conglomerate model, the materiality exercises were conducted at the level of our operating businesses, Coates and WesTrac, and then aggregated to reflect areas of commonality. The materiality exercises were informed by consultation with a wide range of internal and external stakeholders, including operations and front-line team members, executives, suppliers, investors and non-governmental organisations. All exercises were open-ended to allow the full range of potential sustainability-related issues to be unearthed.

Issues were then prioritised using two key dimensions as a guide: which ESG issues our businesses have the most significant impact on; and which ESG issues most influence our stakeholders’ assessments and decisions relating to our businesses.

Ten issues emerged from this process as the most material issues for us to focus on across our Group. While specific actions and targets on each issue will differ for each of our businesses, a common aspiration is shared for each across the Group.

1. Safety: We aspire to be recognised by our teams, customers and regulators for safety excellence.

2. Energy & Emissions: We aspire to play a leading role in each of our sectors in meeting the Paris Agreement’s goal to limit global temperature rises to well below 2oC.

3. Waste & Water: We aspire to play a positive role in helping Australia reduce its reliance on landfill and attain more sustainable water outcomes.

4. Materials: We aspire to be a leading Australian corporate contributor to the circular economy.

5. Technology & Innovation: We aspire to bring the benefits of technology and innovation, including digital, to our teams and customers.

6. Diversity: We aspire to have 25 per cent female participation in our workforce by 2025.

7. Employment: We aspire to be an employer of choice across all categories of employment, known for fairness, empathy, development and contribution.

8. Training: We aspire to engage, educate, develop and inspire our people.

9. Indigenous Inclusion: We aspire to make a meaningful contribution to the full realisation of the rights of Aboriginal and Torres Strait Islander peoples in the communities we operate in.

10. Local Communities: We aspire to be an engaged and constructive participant in the communities in which we operate.