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INDOFOOD AGRI RESOURCES LTD
SUSTAINABILITY REPORT 2014
DEFINING OUR
KEY MATERIAL ISSUES
(G4-18, G4-19, G4-20, G4-21, G4-23)
We have a process to identify our most material sustainability
issues, and where the impacts occur in our value chain.
These contents are reported based on the GRI principles. To
determine if a topic is material, we assessed its potential
impact on the business and on social and environmental
sustainability in line with global best practices.
During a materiality workshop attended by senior management
in June 2013, potential financial and reputational risks to
IndoAgri and its stakeholders were assessed as part of our
Enterprise Risk Management System. Issues were also
identified and prioritised through other internal workshops,
peer reviews, engagement with international NGOs and social
impact assessments at site level. Stakeholder engagement
takes place throughout the year during which information
relevant to the business and its functions is collated and
processed in the materiality assessment.
In 2014, we organised another workshop for our management
team to review the 2013 materiality assessment and to align
it to the GRI G4 Guidelines. Management concluded that the
current materiality assessment and ongoing sustainability
programmes were relevant and on track.
The Group follows a precautionary principle, adopting the best
available technology and management practices within the
constraints of costs and other resources.
All of our key material issues affect both our internal and external stakeholders, as outlined below.
Key Material Issues
Key Material Issue
Interest Group
Geography
A. Carbon management including deforestation
Global community including international NGOs
and governments
International
B. Environmental footprint including PROPER,
ISO 14001
Community living around estates, local government
and NGOs
International
C. Governance including transparency, business
integrity and anti
-
corruption, risk management
Investors and NGOs
International
D. Land rights including scarce land resources
Local community; government and NGOs
International
E. Occupational health and safety
Local labour organisations and government
Indonesia
F. Smallholders including plasma, social conflict
resolution
Smallholders, NGOs and local government
Indonesia
G. Product traceability/Sustainable sourcing
including RSPO/ISPO
Suppliers and consumers
International
H. Product quality and safety
Suppliers and consumers
International
I. Yield maximisation including innovation
Investors, NGOs and government
International
J. Human rights
NGOs and government
International
