Sustainability Report 2021/22

Value Created for Supply Chain 44 Sun Hung Kai Properties Limited • Sustainability Report 2021/22 renewal, manual material handling, general safety management, onsite housekeeping and hazard identification. We also offered our contractors health talks and awareness training that covered alcohol, drugs and smoking. Risk identification, assessment and management are key to preventing onsite accidents. Our internal site-safety professionals conduct compliance audits quarterly. We also appoint external professionals to conduct bi-annual audits in accordance with the Factories and Industrial Undertakings (Safety Management) Regulation. Upon completion of each project, safety evaluations explore areas for improvement in future projects. To obtain the most reliable data on work-related accidents and injuries, we continued to waive standard industry fees levied on claims for contractors. This year, we continued to implement preventive measures at our sites, and encouraged staff to conduct COVID-19 tests to identify cases. We offered free nucleic acid tests for more than 2,400 employees, workers and contractors at our site in Tuen Mun. Active testing of COVID-19 prevented outbreaks at our sites and ensured that projects could be completed on time. Apart from these, we executed remote product inspections via video cameras in factories before delivery to manage risk while ensuring the quality of the products. Anti-corruption We are determined to uphold the highest standards of business ethics and strive to prevent corruption and bribery along the value chain. The Board is responsible for the oversight of anti-corruption policy and any business ethics issue. Under the supervision of the Board, we strictly abide by the Prevention of Bribery Ordinance, and the standards stipulated in our Anti-corruption Policy, Code of Conduct and Supplier Code of Conduct. To foster ethical business practices, we communicate our standards to all staff during their induction. Soliciting, accepting or offering advantages are strictly prohibited, as are gifts or entertainment from and to business partners, including suppliers and contractors. All related standards and requirements are freely accessible on our intranet and website. To strengthen the awareness of all directors and employees, we provide regular refresher training on industry-specific ethical standards and anti-corruption practices. This year, we also invited the ICAC to host seminars on governance and business ethics for all our employees to ensure their understanding and compliance with our requirements on integrity. Directors were provided with additional training materials on anti-corruption and business ethics. We provided more than 3,500 hours of the above training to all directors and 12,851 of our employees during the reporting year. We have zero tolerance for corruption, bribery, money laundering, extortion, anti-competition, fraud, false declarations and other malpractices across the supply chain. Our business-ethics standards for suppliers and contractors are stipulated in the Supplier Code of Conduct, available on our online vendor platform, ensuring all relevant parties are aware of them. Tendering companies must declare any potential or apparent conflict of interest. Vendors involved in actual or suspected corruption cases would be suspended from tendering or removed from the approved list. During the reporting period, we did not knowingly work with any suppliers or contractors who contravened our anti-bribery and corruption policy. We encourage internal and external stakeholders to report concerns about misconduct, malpractice, impropriety, and unethical or unfair treatment via our whistleblowing mechanism. Staff may consult or report suspected cases via suggestion boxes, our grievance procedure or report to their immediate supervisors. The Whistleblowing Policy features examples of impropriety and details of how investigations are conducted to ensure the anonymity of whistleblowers. The Audit and Risk Management Committee has overall responsibility for the policy and mechanism, while the Group Head of Internal Affairs and the Head of Internal Audit oversee its implementation. Major issues in the case will be reported to the Audit and Risk Management Committee for review. In case of suspected corruption or other criminal offences, a report will be made to either the Chairman and Managing Director or Audit and Risk Committee or relevant law enforcement authorities to decide the best course of action. During the reporting year, there were no material breaches of the Code of Conduct and laws relating to anti-corruption and competition. Our anti-corruption efforts rely on a robust corporate governance. For more information, please refer to the Corporate Governance Report section of our Annual Report 2021/22. Anti-competitive Behaviour We aim to create a prudent and just supply chain that fosters fair competition. We abide by the Competition Ordinance and strictly prohibit any anti-competitive behaviour. To uphold our commitment, we regularly update and evaluate our list of qualified and pre-approved companies to prevent bid-rigging during tendering. To promote fair competition, we invite only companies on our list for tendering and strictly monitor the number of invitees. Our anti-collusion requirements are stipulated on all tender documents. We require all applicants to sign integrity and anti-collusion confirmation letters to declare that there is no anti-competitive behaviour in their operations. To raise employees’ awareness of anti-competition, we invited external professionals to host online seminars during the reporting year.