sustainability report 2019 · stem from packaging printing stage to delivery and after care support...

SUSTAINABILITY REPORT 2019

2

Chairman’s Message 3 Organisational Profile 4 Teckwah’s Sustainability Story 6 Ethics and Integrity 9 Governance and Statement of the Board 10 Stakeholder Engagement 11 Reporting Practice 12 Logistics 13 Sustainable Logistics Solutions 13 Waste Management 14 Sustainable Supply Chain 15 Environmental and Socioeconomic Compliance 15 Packaging Printing 16 Innovation and Excellence 16 Sustainable Packaging Printing Solutions 16 Sustainable Materials 17 Waste Management 17 Sustainable Supply Chain 18 Environmental and Socioeconomic Compliance 19 Energy and Emissions Management 20 Our People, Our Assets 22

Employee Health and Safety 22

Employee Diversity 23

Employee Benefits 24

Employee Development 24

Our Community 25

SGX Five Primary Components Index 27

GRI Standards Content Index 28

3

Welcome to the Sustainability Report of

Teckwah Industrial Corporation Ltd (“the

Group” or “Teckwah”). We are proud to

share with you our sustainability efforts

and performance from 1 January 2019 to

31 December 2019 (“FY2019” or “the

reporting period”).

Teckwah is committed towards

improving our sustainability

performance and productivity. We have

been investing in production equipment

and hardware, integration and upgrade

of software systems and upskilling of

workforce. We endeavour to achieve

the implementation of sustainable and

leading-edge technologies to produce

quality packaging and printed products

in a responsible manner. Our logistics

solutions serve to help our clients

achieve their sustainability goals and

increase their operational productivity.

At Teckwah, we are committed to

sustainable business practices and aim

to maximise the positive impact of our

businesses on society while minimising

its effect on the environment. We will

continue our efforts in carrying out

our Packaging Printing and Logistics

operations in an environmentally

sustainable manner. We constantly

review our environmental policies and

performance to ensure that

our environmental risks are

effectively mitigated.

On behalf of the Board, I would like to

express my gratitude to our clients,

business partners and shareholders

for their unwavering support. We look

forward to your continual support as

we strive to develop a more sustainable

environment for all.

Dear Stakeholders,

Chairman’s Message

Thomas Chua Kee SengChairman and Managing Director

4

Organisation Profile

Teckwah began as a humble producer of plain packaging boxes back in 1968 in Singapore. We have since evolved

to become a trusted brand to business owners who seek to visually communicate their products through packaging.

Teckwah listed on Stock Exchange of Singapore Dealing and Automated Quotation System (“SESDAQ”) on 24

March 1994 and the Mainboard of the Singapore Stock Exchange on 5 May 2003.

Our full suite of supply chain solutions include Packaging Printing, Logistics and Lifestyle solutions. Our expertise

stem from packaging printing stage to delivery and after care support allowing us to customise, localise or globalise

our offerings to suit customer needs regardless of their industry.

Logistics

Our Logistics business segment caters to the needs of global brands that require demand chain logistics and

specialist aftermarket services across Asia Pacific. Coupled with established knowledge and local way of operating,

we assist brands to navigate the cultural, regulatory and customs complexities.

Our demand chain logistics solutions take a methodical approach to handle logistical complexities of the

customer. Be it enabling a reliable final mile experience or configuring variable racking options to address storage

requirements, our demand chain solutions provide the assurance end customers want and a peace of mind brand

owners need.

In addition, our aftermarket logistics solutions serve to help brands extend their post-sales commitment to their

customers and the environment. Strengthened by collaborative technology and a growing network, Teckwah

achieves both commercial and sustainable outcomes.

Logistics

DemandChain

Logistics

AftermarketLogistics

Inventory& Material

Management

GlobalFulfillment

eCommerceLogistics

Last MileDelivery

ReturnsManagement

Remarketing RefurbishmentRecycling

Management

5

Packaging Printing Our Packaging Printing business segment offers

dynamic management of customers’ packaging printing

needs, including a diverse range of printing and

packaging solutions, turnkey kitting and co-packing

solutions, as well as digital packaging solutions.

Lifestyle

Following the diversification of our operations, we have

enhanced our competencies and service offerings by the

acquisition of a majority stake in Profoto Digital Services Pte

Ltd (“Profoto®”). Our new Lifestyle Business Segment offers

an invigorating way of extending our value chain capabilities

into new markets. Its “one-stop solution” complements and

completes the consumer experience, elevating retail and event

space via services which include designing, large format printing,

fabrication, installation and other digital technologies. As this is a new acquisition, the Group has decided to

report the sustainability performance of this segment in the next financial year.

Teckwah has successfully built strong relationships with global brands in sectors such as biomedical, electronics,

technology, F&B and lifestyle. Anticipating the dynamic transformation of the market, we will continue to readily

offer innovative and integrated solutions that deliver uniquely tailored experiences to target markets across

Asia Pacific.

PackagingPrinting

Printing &Packaging

TurnkeyKitting &

Co-packing

DigitalSolutions

Geographic Presence The Group has an established global network across Asia Pacific, North America and Europe. The Group has

a total of 52 Teckwah sites and 58 Alliance sites spanning market segments and geographic locations where

products and services are offered. Singapore serves as the business and operational headquarters of the Group.

Teckwah’s global network is charted in the table below:

The Group recognises the importance of establishing resilient relationships with business partners and local

authorities, as well as to keep abreast of prevailing changes in statutory and regulatory requirements in the

countries we operate in.

6

Teckwah’s Sustainability Story

As a responsible corporate citizen, Teckwah is

committed to operating in an environmentally,

socially and economically responsible

manner for the long-term sustainability of the

environment, our community and businesses

at large.

This report, in conjunction with the Corporate

Governance Report, provides details to the

Group’s material Environmental, Social and

Governance (“ESG”) topics in its

sustainability journey.

In the volatile and uncertain landscape of 2019,

clarity remains the vision of Teckwah – the

need to endure through our ongoing journey of

transformation to poise ourselves for Industry

4.0. We will continue to diversify our businesses

and seek external opportunities to evolve

amidst revolution of internal operations,

using innovative practices to deliver

sustainable solutions.

In line with our vision, we endeavour to achieve

a sustainable value chain with a comprehensive

climate change risk assessment framework

and climate change risk management process.

A sustainable value chain ensures that our

products are produced in a responsible manner

and without trade-offs in performance, quality

or value.

Sustainable Value Chain

We are acutely aware of the importance of

value chain collaboration to achieve excellence

in sustainability, and we have integrated

sustainability into our business strategies.

By applying high sustainability standards

throughout our operations and supply chain,

we are committed to increase awareness about

sustainability among our global suppliers

and customers.

7

Sustainability Targets

Teckwah endeavours to achieve its sustainability targets by continuing to adopt a prudent and effective

approach towards making investment decisions. By integrating climate risk analysis and management in our value

chain cycle, we aim to enhance the sustainability and inclusiveness of our businesses beyond industrial standards.

Climate Change Solutions in Our Value Chain

In addition, we target to develop more meaningful partnerships with charitable organisations and various

institutions to improve the welfare of the community. We aim to bring more diversity in terms of gender, race and

age groups to build a capable and diverse workforce.

Below is a summary table of the Group’s sustainability targets and performance during the reporting period.

9

Ethicsand Integrity

Whistle-blowing Policy

The Company has a whistle-blowing policy in

place which encourages employees and vendors

to report malpractices and misconduct in the

workplace. The Company will protect employees

who have acted in good faith, from victimisation

and harassment by their colleagues. The

Company will treat all information received

confidentially and protect the identity and

interest of all whistle-blowers. There was no

reported incident in FY2019.

Anti-corruption

Conducting business and activities with integrity

has always been the basis of all our relationship

with employees, business partners and

government authorities and agencies. To meet

this objective, Teckwah has implemented the

following measures in the anti-corruption policy:

- Teckwah will not engage in corrupt

business practices;

- Teckwah will implement measures

to prevent bribery and corruption by any

director, employee or other authorised party

representing Teckwah;

- Teckwah and its employees will observe and

comply with the laws of countries where it

conducts its business; and

- All Teckwah employees are to concurrently

observe the Code of Business Ethics

This policy is applicable to all employees of the

holding company, subsidiaries and associate

companies of the Teckwah Group.

It is also applicable to subsidiaries and associate

companies located in and outside of Singapore.

The Top and Senior Management and the

Board of Directors will jointly administer the

compliance to this Anti-Bribery and

Corruption Policy.

There were zero reported incidents of

corruption in FY2019.

10

Governance and Statement

of the Board

The Board has considered sustainability issues

as part of the strategic formulation of the

Group. We established the Sustainability Task

Force comprising of the department heads of

Packaging Printing, Logistics, Finance, Safety

and Human Resource to oversee the efforts of

work teams from different business units. The

Sustainability Task Force is headed by Finance

Director, Mr Goh Yin Shian.

The Sustainability Task Force reviews

the Group’s sustainability objectives,

challenges, targets and progress to align

with strategic direction of the Group,

and supervises the work teams in

implementing and tracking sustainability

data and progress.

The Board incorporates sustainability

issues into the strategic formulation of

the Group. The Board with the assistance

of the Sustainability Task Force determines

the material Environmental, Social and

Economic factors, and ensures that the

factors identified are well-managed

and monitored.

The Group adopts a prudent approach in

strategic decision and day-to-day operation

by implementing a comprehensive risk

management framework.

Please refer to the Corporate Governance

Report in our 2019 Annual Report for more

information on corporate governance practices

and risk management structure.

11

Stakeholder Engagement

We value input from all of our stakeholder groups and use a variety of channels to engage with them

as well as receive their feedback. We identify stakeholders as groups that have an impact, or have the

potential to be impacted by our business, as well as those external organisations that have expertise in

aspects that we consider material. The feedback we receive from our stakeholders helps us to determine

our material topics and identify our focus areas.

12

Reporting Practice

This sustainability report is produced in

accordance to the GRI standards “Core” option

covering our Group’s performance from 1

January 2019 to 31 December 2019.

The GRI standards represent the global

best practices for reporting on economic,

environmental and social topics.

The report also incorporates the primary

components of report content as set out by

the SGX’s “Comply or Explain” requirements on

sustainability reporting under Listing Rule 711B.

The Sustainability Task Force has assessed that

external assurance is not required as the Group

wishes to strengthen the sustainability reporting

framework for this year.

This report supplements the Group’s FY2019

Annual Report and is available online at:

https://www.teckwah.com.sg. Detailed section

reference with GRI Standards is found at GRI

Index Page.

Teckwah’s material topics are identified based

on their impacts on our internal and external

stakeholders, as outlined in the Stakeholders

Engagement section.

13

Logistics

At Teckwah, we provide demand chain logistics

and specialist aftermarket services to clients

across Asia Pacific. Notably, we strive to always

design our specialist aftermarket solutions

with our clients’ sustainable goals in mind,

ensuring the responsible management of their

aftermarket value chain – from service parts to

reverse logistics.

Sustainable Logistics SolutionsGRI 203-2, 301-3, 302-5

We are committed to bring the sustainable

goals of our clients to life. Through effective

logistics solutions, we help our clients achieve

product safety and environmental protection

through material reuse, reduction, recycling,

waste disposal and management of hazardous

materials.

1. Demand Chain Logistics

We leverage on our ground connectivity and

localised expertise to ensure satisfactory

aftermarket customer support for our clients’

products. Our solutions guarantee an effective

and efficient use of resources for our clients.

Inventory & Material Management

We provide integrated logistics capabilities

within a secured, controlled environment, and

we have trained personnel to handle custom

stuffing requirements and storage solutions

catered to clients’ desired warehousing and

inventory needs. Our software and system

improve the inventory control and management

of our clients by maximising their warehouse

storage capacity and optimising resource usage,

thus effectively minimising the waste of space

and energy in their warehouse.

Through strategic inventory and storage

management, we endeavour to reduce

holding costs and add value to our clients by

securing the management of their assets at all

touchpoints under certified and licensed storage

premises. By assuring reliable outsourced

inventory management services, we allow

our clients to focus their resources on

developing the efficiency and productivity of

their core operations.

E-commerce Logistics

Our e-commerce logistics service allows

seamless connection with our backend order

management system to enable our clients a

fuss-free and efficient fulfilment of their global

customer orders.

We have a dedicated Information Technology

(“IT”) team that designs and delivers practical

and effective solutions to our customers. We

also adopt a one-stop shipping cockpit to

execute and monitor the timeliness of our

clients’ deliveries. With our expertise and

use of advanced technology in our shipment

management, we effectively eliminate

complexity in product shipment for our clients,

ensuring full visibility of their orders and

14

shipments, real-time, on-the-go, and carrier-

neutral across Asia Pacific. This allows clients to

be notified of real-time shipping issues so that

they can rectify the situation in a timely manner.

We also integrate our clients’ system with ours

to further simplify their order fulfilment process

and increase their productivity.

Global Fulfilment

We are able to deliver our clients’ products to

market anytime, anywhere. We are committed

to achieve a sustainable delivery system

through various fuel conservation initiatives and

efficient routes. As Singapore is the inventory

storage location for clients with international

plants, we plan and optimise their distribution

management to efficiently fulfil their operating

requirements and minimise the delivery time.

We have also implemented effective measures

to protect our clients’ products from wear

and tear and prolong the product life, thus

minimising material and resource wastage for

our clients. Furthermore, we offer sustainable

solutions to reduce energy consumption in

shipping for our clients.

Last Mile Delivery

Using real-time data analytics, we bring our

clients’ products to their customers faster and

better with our Delivery Management system.

By integrating our system with the established

and reputable delivery companies, our system

configurations enable life tracking of our

clients’ product deliveries, thus improving

the productivity and quality of our clients’

operations. We monitor our product delivery

performance and endeavour to always

deliver our clients’ products within their

required timeframe.

2. Aftermarket Logistics

Teckwah extends the product life cycle of

our clients’ used products by managing their

product returns, refurbishment and recycling,

and we create renewed value and purpose

for these products through remarketing,

repairing and replacing of parts to extend their

product lifespan.

From Asset Recovery solutions to our repair

and refurbishment expertise, we recondition,

renew and restore used equipment in adherence

to brand owner standards and sustainable

practices. In order to monitor troubleshooting

effectiveness and repair quality, we trace 100%

of our repaired products for repeat repairs

within a short term. We constantly seek to

improve our repair process to ensure that

repaired products remain in good condition

after repair. We are innovating sustainable

alternatives to reduce energy wastage in battery

testing during product repair.

In addition, our recycling methods are in strict

compliance with local regulations and we

dispose non-reusable and non-recyclable parts

in a sustainable manner. We also aim to increase

the marketability of recycled and reused

products. We provide clients with solutions

that meet equipment “reuse” objectives while

protecting the brand equity and creating

renewed value and purpose for the reused

products.

In FY2019, we achieved a 0% error rate for all

refurbished products and we target to maintain

0% error rate in FY2020.

Waste ManagementGRI 306-2

The main source of hazardous waste in Logistics

operations is scrap batteries which amounted

to 210 tonnes at Teckwah Logistics Pte Ltd in

FY2019. We reused 100% of the scrap batteries,

thus effectively implementing sustainable

hazardous waste management measures and

mitigating the risk of toxic leaks that can arise

from improper disposal of scrap batteries.

The main types of non-hazardous waste

generated from our Logistics operations are

carton boxes and wooden pallet, and our waste

management is outsourced to licensed recyclers

for proper disposal. In FY2019, total amount of

non-hazardous waste generated at Teckwah

Logistics Pte Ltd was 34.9 tonnes, and 44.5%

was reused.

15

Sustainable Supply ChainGRI 308-1, 308-2, 414-1, 414-2

Suppliers will be required to strictly comply with

environmental and social laws and regulations.

We have a dedicated resource planning

team to manage material procurement for

our clients to avoid overstocking and reduce

their stock obsolesce through our material

planning optimisation. This effectively minimises

inventory waste and develops the sustainability

of our clients’ supply chain.

In addition, we screened our suppliers using

environmental criteria, where they were

subject to due diligence processes for

environmental impacts.

There were no recorded incidents of any

significant environmental, social or labour

concerns related to our suppliers in FY2019.

Environmental and Socioeconomic ComplianceGRI 307-1, 419-1

The Group operates in strict compliance

with environmental and socioeconomic

laws and regulations in all countries that we

operate. In FY2019, there were zero incidents

of non-compliance with environmental and

socioeconomic laws and regulations in our

Logistics operations.

16

PackagingPrinting

At Teckwah, we are committed to being a responsible corporate citizen by ensuring safe, efficient and

environmentally friendly packaging and printing processes. Besides ensuring the sustainability of our own

operations, we also dedicate ourselves to deliver a diverse range of printing and packaging solutions that

meet the sustainability goals of our clients.

As an organisation that is committed to sustained growth and value creation, we adopt responsible

practices towards our people, supply chain, the business community and the environment.

Innovation and ExcellenceGRI 203-2

As part of our commitment to technological advancement, we are redesigning our

packaging and printing processes and upgrading our technology.

One area that we are focusing on is the digitalisation of our business, to ready us for “Industry 4.0” where

seamless integration of computing, networking and other processes are set to revolutionise and transform

manufacturing and other industries. Towards this end, we have embarked on a Digital Transformation &

Innovation™ (“DTI™”) Programme which will enable us to undertake a transformative business model by

leveraging digital technologies. Ultimately, we will embark on identified digital-enabled initiatives which

are in line with our strategic focused areas and will transform us into a SMART organisation.

In FY2018, we invested in an Automatic Carton Packing Machine which automates the packaging,

palletisation and sealing processes, thereby reducing packaging costs, improving operational efficiency

and accuracy. In addition, we converted traditional offset printing with digital printing for short-run

printing which reduces printing waste and costs and improves production efficiency.

Sustainable Packaging Printing SolutionsGRI 302-5, 416-1, 416-2

We provide effective and sustainable packaging solutions to our clients, such as optimising the packaging

design and materials to maximise the paper usage in product packaging and thereby reduce paper

wastage. In addition, our product packaging is produced in strict compliance with clients’ product safety

requirements and we take extra caution in ensuring that packaging materials are free of allergens and

toxins for our pharmaceutical and F&B clients, as packaging is critical to their product safety.

17

We procure FSC™ materials where applicable based

on customer requirements. In FY2019, 24.4% of

materials procured at Teckwah Value Chain Singapore

were FSC™ materials, amounting to 542 MT of FSC™

materials, which is a significant increase from 9.6%

FSC™ raw materials procured in FY2018.

We endeavour to encourage the use of sustainable

raw materials and responsible sourcing of paper in the

future where possible.

Waste ManagementGRI 306-2

In compliance with stringent standards, we have a

strict waste management process which minimises the

impact of waste material generated by our operations.

Teckwah stays committed to ensuring that waste is

properly disposed in accordance to local regulations.

In Singapore, the waste is weighed by our authorised

waste collectors before being sent to incineration

plants for energy recovery. Waste disposal in China,

Malaysia and Indonesia are, likewise, conducted by

authorised, external waste collectors and sent to landfill

in accordance to their regulations.

The types of waste generated from our Packaging

Printing operations are paper, stretch wrap, ink,

chemical waste, plastic, waste glue and wooden pallets.

The proper disposal of paper, ink, chemical waste and

pallet waste are managed through a licensed recycler.

We are equipped with an auto waste paper compactor

to manage the paper waste.

In addition, as an affirmation of our

environmentally-safe packaging and printing

practices, several of our companies dealing

in pulp and paper products comply with the

standards of the Forest Stewardship Council™

Chain of Custody (“FSC™ CoC”).

The Forest Stewardship Council™ (“FSC™”) is

an international non-profit organization which

sets the international standards for responsible

forest management worldwide. With the

FSC™ certification of our companies, we can

guarantee that our trees and wood products are

processed in accordance to stringent standards,

and no illegal or unsustainable logging has taken

place in the making of our products.

In FY2019, there were zero incidents of non-

compliance concerning the health and safety

impacts of our packaging printing products

and services.

Sustainable MaterialsGRI 301-2

Teckwah is committed to selecting sustainable

and eco-friendly raw materials in our packaging

and printing processes.

To reduce dependency on crude oil or paper,

Teckwah increasingly relies on renewable raw

materials such as sugar derivatives, bioethanol

derivatives, and natural oils. Moreover, recycled

raw materials are used wherever possible, and

many production plants implement their own

or externally operated recycling loop systems.

Mineral substances such as calcium carbonate,

sand, and cement make up the remaining

raw materials.

In respect of all the materials used, compliance

with the relevant statutory registration

requirements e.g. Registration, Evaluation,

Authorisation and Restriction of Chemicals

(“REACH”) or Toxic Substances Control Act

(“TSCA”) is monitored and ensured by a

network of global and local specialists as well as

external consultants.

We encourage the use of sustainable raw

materials and responsible sourcing of paper

where possible. We purchase paper from sustainable

sources, mainly recycled materials and FSC™ materials.

18

We saw a significant decrease in hazardous

waste generated at Teckwah Value Chain Pte

Ltd from 1,328 tonnes in FY2018 to 283 tonnes

in FY2019. In addition, 93.6% of the hazardous

waste generated was sent for recovery

(including energy recovery), effectively

reducing the amount of waste generated and

optimising the values created from waste.

We attribute the reduction in waste production

to the processless plate production initiative

implemented in FY2018 at Teckwah Value Chain

Pte Ltd as part of our continual efforts to further

reduce hazardous waste production.

In FY2019, we recycled 100% of non-hazardous

waste generated at P.T. Teckwah Paper

Products Indonesia, Teckwah PharmaPack

Solutions Sdn Bhd and Wuxi Teckwah Printing

& Packaging Co., Ltd, and recycled 95% of non

hazardous waste generated at Teckwah Value

Chain Pte Ltd and PPH Teckwah Value Chain

Sdn Bhd. This is testimonial of our efforts to

reduce waste generated, and we will continue to

improve our waste management results.

Sustainable Supply ChainGRI 308-1, 308-2, 414-1, 414-2

Teckwah’s supply chain is highly distributed

and diverse, with suppliers ranging from global

multinationals to local small businesses. We

work with government and non-governmental

organisations, as well as with suppliers to

develop and integrate sustainability best

practices into our supply chain. Current

practices and initiatives are established and

implemented at Teckwah to minimise the

environmental impact and maximise supply

chain efficiencies. We strive to ensure that

suppliers throughout the supply chain meet the

practices and standards expected by the Group.

Suppliers and subcontractors are required to

declare and acknowledge their responsibilities in

ensuring compliance to local regulations.

Above and beyond, we comply with the ISO

14001 Environmental Management Standards

and assess our suppliers and subcontractors

based on their environmental and social

obligations. We strictly procure materials from

suppliers that source in an environmentally

sustainable manner.

In FY2019, paper and stretch wrap consumption

continued to decrease, as a result of reduction

in printing, labelling and wrapping requests from

clients as well as the streamlining of operational

processes to reduce paper usage.

19

In FY2019, 15% of new suppliers were screened

using environmental and social criteria, as

compared to 9% in FY2018. In addition, there

were no recorded incidents of any significant

environmental, social, or labour concerns related

to our suppliers in FY2019.

Environmental and Socioeconomic ComplianceGRI 307-1, 419-1

The Group operates in strict compliance

with environmental and socioeconomic

laws and regulations in all countries that we

operate. In FY2019, there were zero incidents

of non-compliance with environmental and

socioeconomic laws and regulations in our

Packaging Printing operations.

20

Energy and Emissions ManagementGRI 302-1, 302-3, 302-4, 305-2, 305-4, 305-5

The Group strongly encourages energy-saving

practices among employees to effectively

reduce our carbon footprint. We have

implemented numerous initiatives in line with

our environmental policy to reduce energy

consumption and increase energy efficiency in

our daily operations.

Teckwah Industrial Corporation Ltd (Head Office)

We maintained our energy performance at the

Head Office in FY2019, and we will continue to

improve our energy conservation efforts in

the future.

Logistics

We maintained our energy performance at the

Logistics warehouses in FY2019. Notably, our

energy intensity at Teckwah Logistics Pte Ltd

decreased from 19 kWh/m2 of gross floor area

in FY2018 to 17 kWh/m2 in FY2019 despite an

increase in energy consumption. The increase in

energy consumption was due to the expansion

of the warehouse. There was also a decrease in

energy consumption and intensity at Shanghai

Jointac International Logistics Co., Ltd. This is

testimonial of our efforts in energy conservation

and dedication to increase energy efficiency at

our Logistics warehouses.

21

Similarly, our CO2 emissions and intensity maintained in FY2019. We endeavour to continuously improve our

efforts in the reduction of carbon footprint at our Logistics warehouses by increasing the warehouse energy

efficiency, such as optimising the temperature and lighting control systems to minimise energy wastage.

Packaging Printing

We maintained our energy performance at the Packaging Printing facilities in FY2019. Notably, our energy

intensity at Wuxi Teckwah Printing & Packaging Co., Ltd decreased from 1,673 kWh/tonne of production

in FY2018 to 1,592 kWh/tonne of production in FY2019 despite an increase in energy consumption. This is

testimonial of our efforts in energy conservation and dedication to increase energy efficiency.

Similarly, our CO2 emissions and intensity maintained in FY2019. We endeavour to continuously improve our

efforts in the reduction of carbon footprint at our Packaging Printing facilities. We have installed motion sensor

lights at common areas to reduce energy wastage, and we will increase the energy efficiency of our operations

where feasible.

22

Our PeopleOur Assets

Our employees are our greatest assets and

are key resources to the long-term viability of

our business. We greatly value diversity in our

workforce and ensure that our employees’ well-

being and development are well taken care of.

Employee Health and SafetyGRI 403-1, 403-2

Safety is of utmost importance in Teckwah and

we spare no effort to ensure that all safety risks

are being mitigated to the largest extent.

Our commitment to employee health, safety

and well-being is embedded in our culture and

shapes the design of our products, processes,

and supply chain. We take a holistic approach,

offering a wide variety of guides, training,

processes, programmes, and benefits to

promote employee health, safety and wellness.

We have implemented a comprehensive Safety

and Health Management System (“SHMS”)

Policy to ensure that we achieve strict

regulatory compliance and protection of our

employees against injury and ill-health.

In addition, the Environmental, Safety and

Health (“ESH”) Committee was established

to ensure the safety, health and security well-

being of employees. ESH members actively

promote environmental, occupational health

and safety awareness, and provide information

and guidance on the establishment of SHMS at

Teckwah. The Committee serves to minimise

employees’ exposure to occupational health and

safety risks.

We have attained the certification for

Occupational Health and Safety Assessment

Series (“OHSAS”) 18001 for Occupational

Health & Safety Management, and we were

in strict compliance with the Workplace

Safety and Health (“WSH”) Regulations and

recommendations in FY2019.

23

In FY2019, the average injury rate was 1.47

across all countries and gender, maintaining

from 1.5 in FY2018. The main reason behind the

decrease in the average injury rate across all

countries is the continuous emphasis on the

importance of safety and regular safety training

sessions conducted. Other significant changes

that resulted in this decrease are installation of

sensors or protection bars on the machines and

placement of additional safety signs.

In FY2019, we have seen zero incidents of

occupational disease and fatality. There was no

incident of non-compliance with occupational

health and safety regulations.

Employee DiversityGRI 401-1, 405-1, 405-2

We advocate fair employment and endeavour

to achieve a balanced and diversified workforce.

In FY2019, our total staff strength stood at 1,522

employees, with a new hire rate of 25.7% and

turnover rate of 28.7 %.

Staff attending Chemical Waste Management Training

24

Employee BenefitsGRI 401-2, 401-3

All employees and workers of Teckwah

are treated fairly and entitled to a range of

employee benefits which include paternal leave,

medical and dental benefits, as well as workmen

injury compensation insurance.

Wellness initiatives for staff

Management dialogue sessions, social functions

and health and wellness initiatives are an

integral part of staff welfare. The quarterly

“Staff Appreciation Day”, monthly games, health

programmes and medical checks, as well as

the institutionalised staff medical and welfare

benefits were some of the core employee care

initiatives of the Group.

Employee DevelopmentGRI 404-1, 404-2,404-3

To ensure that our staff are equipped with the

necessary skillsets and knowledge to perform

and excel in their roles, Teckwah invests in an

array of training programmes for our people,

which include technical, industrial and on-the-

job training.

Training, upgrading and enrichment

programmes are integral for the continued

development of staff. Staff were given the

opportunity to attend in-house as well as

external programmes. Some of the training

programmes conducted include “SIMTech’s

WSQ Implement Manufacturing Data Mining

Techniques and OEE (“Overall Equipment

Effectiveness”) Training Programs”, “3-

day People Leadership Program”, “G7®

Expert Training” and high performing team

development programmes such as “Team

Synergies and Development Program”.

In FY2019, we achieved a total of 14,010 training

hours for our employees.

25

In FY2019, Teckwah organised various community engagement and outreach programmes to exercise

our environmental and social responsibilities. We arranged a beach clean-up at East Coast Park over

five weekends as part of our

environment conservation and

recycling efforts. It further served

as an educational programme for

our staff to learn about recycling

and reusing and to instil in them a

sense of appreciation for cleaners,

gardeners and parks personnel who

keep Singapore clean and green.

In addition, we supported the

training and mentoring of future

industry talents through organised

visits and internship programmes

in partnership with ITE College

East. We also hosted overseas

students and groups, facilitating

learning sessions and on-site tours

of our headquarters. Among them

were Executive Master of Business

Administrative students from China

Europe International Business

School and participants from a

Penang-based non-profit training

and consultancy organisation.

China Europe International Business School students visit at Teckwah’s Headquarters

Our CommunityGRI 413-1

26

During the year, we gave time and resources

to several charitable organisations. Staff

volunteered at Ren Ci’s Vegetarian Food Fiesta

organised by Ren Ci Community Hospital, of

which the proceeds went towards supporting

the aged care services for the elderly across

all Ren Ci’s healthcare facilities. Our Indonesia

subsidiary also organised community outreach

programmes such as home visits and donations

to a local old folks’ home and orphanage.

We encouraged our staff to actively participate

in community engagement activities and will

continue to promote the spirit of giving back in

the Group.

Ren Ci Vegetarian Food Fiesta at Ren Ci Community Hospital

27

S/N

1

2

3

4

5

Primary Component

Material Topics

Policies,

Practices and Performance

Board Statement

Targets

Framework

Section Reference

• Logistics, Packaging Printing, Energy and

Emissions Management, Our People, Our

Assets, Our Community

• Stakeholder Engagement

• Chairman’s Message

• Teckwah’s Sustainability Story

• Logistics, Packaging Printing, Energy and

Emissions Management, Our People, Our

Assets, Our Community

Governance and Statement of the Board

Teckwah’s Sustainability Story

Reporting Practice

SGX Five Primary Components Index

28

102-1

102-2

102-3

102-4

102-5

102-6

102-7

102-8

102-9

102-10

102-11

102-12

102-13

102-14

102-15

102-16

102-17

102-18

102-40

102-42

102-43

102-44

102-46

201-1

203-2

205-1

205-2

205-3

301-2

301-3

302-1

302-3

302-4

Name of the organisation

Activities, brands, products, and services

Location of headquarters

Location of operations

Ownership and legal form

Markets served

Scale of the organisation

Information on employees and other workers

Supply chain

Significant changes to the organisation and its supply chain

Precautionary principle or approach

External initiatives

Membership of associations

Statement from senior decision-maker

Key impacts, risks, and opportunities

Values, principles, standards, and norms of behaviour

Mechanisms for advice and concerns about ethics

Governance structure

List of stakeholder groups

Identifying and selecting stakeholders

Approach to stakeholder engagement

Key topics and concerns raised

Defining report content and topic boundaries

Direct economic value generated and distributed

Significant indirect economic impacts

Operations assessed for risks related to corruption

Communication and training about anti-corruption policies and procedures

Confirmed incidents of corruption and actions taken

Recycled input materials used

Reclaimed products and their packaging materials

Energy consumption within the organisation

Energy intensity

Reduction of energy consumption








Employee Diversity

Sustainable Supply Chain


Governance and Statement of Board



Chairman’s Message

Chairman’s Message, Teckwah’s Sustainability Story

Ethics and Integrity

Ethics and Integrity

Governance and Statement of the Board





Reporting Practice

Annual Report 2019

Innovation and Excellence, Sustainable Logistics Solutions

Anti-corruption

Anti-corruption

Anti-corruption

Sustainable Materials

Sustainable Logistics Solutions

Energy and Emissions Management



GRI Standards Disclosure Content Section Reference

GRI Standards Content Index

29

GRI Standards Disclosure Content Section Reference

302-5

305-2

305-4

305-5

306-2

307-1

308-1

308-2

401-1

401-2

401-3

403-1

403-2

404-1

404-2

404-3

405-1

405-2

413-1

414-1

414-2

416-1

416-2

419-1

Reductions in energy requirements of products and services

Energy indirect (Scope 2) GHG emissions

Emissions intensity

Reduction of GHG emissions

Waste by type and disposal method

Monetary value of significant fines and total number of non-monetary sanctions for non-compliance with environmental laws and regulations

Percentage of new suppliers that were screened using environmental criteria

Negative environmental impacts in the supply chain and actions taken

New employee hires and employee turnover

Benefits provided to full time employees that are not provided to temporary or part-time employees

Parental leave

Formal joint management-worker health and safety committee

Types of injury and rates of injury, occupational diseases, lost days, and absenteeism, and number of work-related fatalities

Average hours of training per year per employee

Programs for upgrading employee skills and transition assistance programs

Regular performance and career development Review

Diversity of governance bodies and employees

Ratio of the basic salary and remuneration of women to men

Operations with local community engagement, impact assessments, and development programs

New suppliers screened

Negative social impacts in the supply chain and actions taken

Assessment of the health and safety impacts of product and service categories

Incidents of non-compliance concerning the health and safety impacts of products and services

Non-compliance with laws and regulations in the social and economic area

Sustainable Logistics SolutionsSustainable Packaging Printing Solutions




Waste Management

Environmental and Socioeconomic Compliance



Employee Diversity

Employee Benefits

Employee Benefits

Employee Health and Safety

Employee Health and Safety

Employee Development



Employee Diversity

Employee Diversity

Our Community



Sustainable Packaging Printing Solutions

Sustainable Packaging Printing Solutions

Environmental and Socioeconomic Compliance

TECKWAH INDUSTRIAL CORPORATION LTD(Company Registration Number: 197201105E)

51 Tai Seng Avenue #05-01

Pixel Red Singapore 533941

T : 65 6872 8181

F : 65 6872 8199

W : www.teckwah.com.sg

E : [email protected]

sustainability report 2019 · stem from packaging printing stage to delivery and after care support...

Documents