Safaricom Sustainability Report 201516

Participant
Published
  • 2016/11/04
Time period
  • April 2015  –  March 2016
Files
Format
  • Stand alone document
Differentiation Level
  • This COP qualifies for the Global Compact Advanced level
Self-assessment
  • Includes a CEO statement of continued support for the UN Global Compact and its ten principles
  • Description of actions or relevant policies related to Human Rights
  • Description of actions or relevant policies related to Labour
  • Description of actions or relevant policies related to Environment
  • Description of actions or relevant policies related to Anti-Corruption
  • Includes a measurement of outcomes
  • Meets all criteria for the GC Advanced level
Verification
and Transparency
  • How is the accuracy and completeness of information in your COP assessed by a credible third-party?
  • Information is assured by independent assurors (e.g., accounting or consulting firm) against recognized assurance standard (e.g., ISAE3000, AA1000AS, other national or industry-specific standard)

  • The COP describes any action(s) that the company plans to undertake by its next COP to have the credibility of the information in its COP externally assessed, including goals, timelines, metrics, and responsible staff

  • Information is reviewed by multiple stakeholders (e.g., representatives of groups prioritized in stakeholder analysis)

  • Information is reviewed by a panel of peers (e.g., members of the same industry, competitors, benchmarked leaders, others organized via Global Compact Local Network)

  • Information is assured by independent assurors (e.g., accounting or consulting firm) using their own proprietary methodology

  • Other established or emerging best practices

 
  • The COP incorporates the following high standards of transparency and disclosure:
  • Is 'in accordance - comprehensive' with GRI Standards

  • Applies the GRI Sustainability Reporting Guidelines or the GRI Standards

  • Is 'in accordance - core' with GRI Standards

  • Applies elements of the International Integrated Reporting Framework

  • Provides information on the company’s profile and context of operation

Strategy, Governance
and Engagement
  • Criterion 1: The COP describes mainstreaming into corporate functions and business units
  • Any relevant policies, procedures, and activities that the company plans to undertake by its next COP to fulfill this criterion, including goals, timelines, metrics, and responsible staff

  • Place responsibility for execution of sustainability strategy in relevant corporate functions (procurement, government affairs, human resources, legal, etc) ensuring that no function is conflicting with company sustainability commitments and objectives

  • Align strategies, goals and incentive structures of all business units and subsidiaries with corporate sustainability strategy

  • Assign responsibility for corporate sustainability implementation to an individual or group within each business unit and subsidiary

  • Design corporate sustainability strategy to leverage synergies between and among issue areas and to deal adequately with trade-offs

  • Ensure that different corporate functions coordinate closely to maximize performance and avoid unintended negative impacts

  • Other established or emerging best practices

    Integration of the Sustainable Development Goals (SDGs) into the company's strategies and operations. SDGs cascaded across the entire business and further crystallized by inclusion into individual KPIs.

  • Criterion 2: The COP describes value chain implementation
  • Any relevant policies, procedures, and activities that the company plans to undertake by its next COP to fulfill this criterion, including goals, timelines, metrics, and responsible staff

  • Analyze each segment of the value chain carefully, both upstream and downstream, when mapping risks, opportunities and impacts

  • Communicate policies and expectations to suppliers and other relevant business partners

  • Implement monitoring and assurance mechanisms (e.g. audits/screenings) for compliance within the company’s sphere of influence

  • Undertake awareness-raising, training and other types of capacity building with suppliers and other business partners

  • Other established or emerging best practices

    signing of the Code of Ethics for Kenyan Businesses by all suppliers and Establishment of the Anti-Corruption Working Group in partnership with the Local Network to supports suppliers to put in place strategies to address corruption risk and human rights

Human Rights
  • Criterion 4: The COP describes effective management systems to integrate the human rights principles
  • Any relevant policies, procedures, and activities that the company plans to undertake by its next COP to fulfill this criterion, including goals, timelines, metrics, and responsible staff

  • Process to ensure that internationally recognized human rights are respected

  • On-going due diligence process that includes an assessment of actual and potential human rights impacts (BRE 2 + BRE 3 + ARE 2 + ARE 3)

  • Internal awareness-raising and training on human rights for management and employees

  • Operational-level grievance mechanisms for those potentially impacted by the company’s activities (BRE 4 + ARE 4)

  • Allocation of responsibilities and accountability for addressing human rights impacts

  • Internal decision-making, budget and oversight for effective responses to human rights impacts

  • Processes to provide for or cooperate in the remediation of adverse human rights impacts that the company has caused or contributed to (BRE 3+ BRE 4 + ARE3 + ARE 4)

  • Process and programs in place to support human rights through: core business; strategic philanthropic/social investment; public policy engagement/advocacy; partnerships and/or other forms of collective action (BRE 6 + ARE 6)

  • Other established or emerging best practices

    Implementation of the SDGs is cross functional and cross cutting with lots of expectations in formulating clear implementation pathways in addressing human rights principles.

  • Criterion 5: The COP describes effective monitoring and evaluation mechanisms of human rights integration
  • Any relevant policies, procedures, and activities that the company plans to undertake by its next COP to fulfill this criterion, including goals, timelines, metrics, and responsible staff

  • System to monitor the effectiveness of human rights policies and implementation with quantitative and qualitative metrics, including in the supply chain (BRE3 + ARE3)

  • Monitoring draws from internal and external feedback, including affected stakeholders

  • Leadership review of monitoring and improvement results

  • Process to deal with incidents the company has caused or contributed to for internal and external stakeholders (BRE 4 + ARE 4)

  • Grievance mechanisms that are legitimate, accessible, predictable, equitable, transparent, rights-compatible, a source of continuous learning, and based on engagement and dialogue (BRE4 + ARE4)

  • Outcomes of integration of the human rights principles

  • Other established or emerging best practices

    Integration of monitoring system to come up with an agile Global System that will manage and monitor incidences and complains including Human right related issues.

  • Criterion 3: The COP describes robust commitments, strategies or policies in the area of human rights
  • Any relevant policies, procedures, and activities that the company plans to undertake by its next COP to fulfill this criterion, including goals, timelines, metrics, and responsible staff

  • Commitment to comply with all applicable laws and respect internationally recognized human rights, wherever the company operates (e.g., the Universal Declaration of Human Rights, Guiding Principles on Human Rights) (BRE1 + ARE1)

  • Integrated or stand-alone statement of policy expressing commitment to respect and support human rights approved at the most senior level of the company (BRE 1 + BRE5 + ARE 1 + ARE 5)

  • Statement of policy stipulating human rights expectations of personnel, business partners and other parties directly linked to operations, products or services (BRE 1)

  • Statement of policy publicly available and communicated internally and externally to all personnel, business partners and other relevant parties (BRE 1 + BRE 5 + ARE 1 + ARE 5)

  • Other established or emerging best practices

    Implementation of SDGs 5, 10 and 16 will help to address issues related to Inequalities, just and fair treatment of all stakeholders. 97% of suppliers have signed up to the code of Ethics for Kenyan Business

Labour
  • Criterion 8: The COP describes effective monitoring and evaluation mechanisms of labour principles integration
  • Any relevant policies, procedures, and activities that the company plans to undertake by its next COP to fulfill this criterion, including goals, timelines, metrics, and responsible staff

  • System to track and measure performance based on standardized performance metrics

  • Dialogues with the representative organization of workers to regularly review progress made and jointly identify priorities for the future

  • Audits or other steps to monitor and improve the working conditions of companies in the supply chain, in line with principles of international labour standards

  • Process to positively engage with the suppliers to address the challenges (i.e., partnership approach instead of corrective approach) through schemes to improve workplace practices

  • Outcomes of integration of the Labour principles

  • Other established or emerging best practices

    -Achieve 100% on submissions of risk treatment plans for all high risk contracts for main and subcontracyors -Introduce a global monitoring system for risk assessment and incidence tracking and management

  • Criterion 6: The COP describes robust commitments, strategies or policies in the area of labour
  • Any relevant policies, procedures, and activities that the company plans to undertake by its next COP to fulfill this criterion, including goals, timelines, metrics, and responsible staff

  • Reference to principles of relevant international labour standards (ILO Conventions) and other normative international instruments in company policies

  • Reflection on the relevance of the labour principles for the company

  • Written company policy to obey national labour law, respect principles of relevant international labour standards in worldwide company operations and engage in dialogue with representative organization of the workers (international, sectoral, national).

  • Inclusion of reference to the principles contained in the relevant international labour standards in contracts with suppliers and other relevant business partners

  • Specific commitments and Human Resources policies, in line with national development priorities or decent work priorities in the country of operation

  • Participation and leadership by employers’ organizations (international and national) to jointly address challenges related to labour standards in the countries of operation, possibly in a tripartite approach (business – trade union – government).

  • Other established or emerging best practices

    Under the SDGs 8, 10 and 16 the company commits to create a better work environment for all employees including those employed by suppliers to avoid being complicit to Human rights abuse

  • Structural engagement with a global union, possibly via a Global Framework Agreement

  • Criterion 7: The COP describes effective management systems to integrate the labour principles
  • Any relevant policies, procedures, and activities that the company plans to undertake by its next COP to fulfill this criterion, including goals, timelines, metrics, and responsible staff

  • Risk and impact assessments in the area of labour

  • Dialogue mechanism with trade unions to regularly discuss and review company progress in addressing labour standards

  • Allocation of responsibilities and accountability within the organization

  • Internal awareness-raising and training on the labour principles for management and employees

  • Active engagement with suppliers to address labour-related challenges

  • Grievance mechanisms, communication channels and other procedures (e.g., whistleblower mechanisms) available for workers to report concerns, make suggestions or seek advice, designed and operated in line with the representative organization of workers

  • Other established or emerging best practices

    -Ensure gender parity in every division (50% female employees). -Introduce a Gender-based violence policy and implement company-wide training.

Environment
  • Criterion 11: The COP describes effective monitoring and evaluation mechanisms for environmental stewardship
  • Any relevant policies, procedures, and activities that the company plans to undertake by its next COP to fulfill this criterion, including goals, timelines, metrics, and responsible staff

  • System to track and measure performance based on standardized performance metrics

  • Leadership review of monitoring and improvement results

  • Process to deal with incidents

  • Audits or other steps to monitor and improve the environmental performance of companies in the supply chain

  • Outcomes of integration of the environmental principles

  • Other established or emerging best practices

    We are planning to launch several internal and external initiatives in response to COP 21 resolutions and commitments. Internally, we plan we plan to develop and implement a renewable energy and climate change policy to guide our initiatives and response

  • Criterion 10: The COP describes effective management systems to integrate the environmental principles
  • Any relevant policies, procedures, and activities that the company plans to undertake by its next COP to fulfill this criterion, including goals, timelines, metrics, and responsible staff

  • Environmental risk and impact assessments

  • Assessments of lifecycle impact of products, ensuring environmentally sound management policies

  • Allocation of responsibilities and accountability within the organisation

  • Internal awareness-raising and training on environmental stewardship for management and employees

  • Grievance mechanisms, communication channels and other procedures (e.g. whistleblower mechanisms) for reporting concerns or seeking advice regarding environmental impacts

  • Other established or emerging best practices

    Implementation and ownership of the B Team commitments, we will carry out a sustained Environment and energy management awareness and Training across the business.

  • Criterion 9: The COP describes robust commitments, strategies or policies in the area of environmental stewardship
  • Any relevant policies, procedures, and activities that the company plans to undertake by its next COP to fulfill this criterion, including goals, timelines, metrics, and responsible staff

  • Reference to relevant international conventions and other international instruments (e.g. Rio Declaration on Environment and Development)

  • Reflection on the relevance of environmental stewardship for the company

  • Written company policy on environmental stewardship

  • Inclusion of minimum environmental standards in contracts with suppliers and other relevant business partners

  • Specific commitments and goals for specified years

  • Other established or emerging best practices

    commitment to the COP 21 resolutions and active engagement in the conversation and initiatives focused on achieving the National Determined Contribution on emissions

Anti-Corruption
  • Criterion 13: The COP describes effective management systems to integrate the anti-corruption principle
  • Any relevant policies, procedures, and activities that the company plans to undertake by its next COP to fulfill this criterion, including goals, timelines, metrics, and responsible staff

  • Support by the organization’s leadership for anti-corruption (B4)

  • Carrying out risk assessment of potential areas of corruption (D3)

  • Human Resources procedures supporting the anti-corruption commitment or policy, including communication to and training for all employees (B5 + D8)

  • Internal checks and balances to ensure consistency with the anti-corruption commitment (B6)

  • Actions taken to encourage business partners to implement anti-corruption commitments (D6)

  • Management responsibility and accountability for implementation of the anti-corruption commitment or policy (D7)

  • Communications (whistleblowing) channels and follow-up mechanisms for reporting concerns or seeking advice (D9)

  • Internal accounting and auditing procedures related to anticorruption (D10)

  • Other established or emerging best practices

    -Zero sanctions for unethical conduct/breach of licence obligations on ethical issues. -Including Heads of Departments in bribery and corruption training sessions and rolling out bribery and anti-corruption KPIs to all members of staff.

  • Criterion 14: The COP describes effective monitoring and evaluation mechanisms for the integration of anti-corruption
  • Any relevant policies, procedures, and activities that the company plans to undertake by its next COP to fulfill this criterion, including goals, timelines, metrics, and responsible staff

  • Leadership review of monitoring and improvement results (D12)

  • Process to deal with incidents (D13)

  • Public legal cases regarding corruption (D14)

  • Use of independent external assurance of anti-corruption programmes (D15)

  • Outcomes of integration of the anti-corruption principle

  • Other established or emerging best practices

    -“Customer First” risk management e.g. Mobile Money Investigation Unit & Putting customers’ rights first e.g. review of terms & conditions Outcomes of Ethics Perception Survey e.g. sexual harassment risk & response -Proactive engagement with regulator

  • Criterion 12: The COP describes robust commitments, strategies or policies in the area of anti-corruption
  • Any relevant policies, procedures, and activities that the company plans to undertake by its next COP to fulfill this criterion, including goals, timelines, metrics, and responsible staff

  • Publicly stated formal policy of zero-tolerance of corruption (D1)

  • Commitment to be in compliance with all relevant anti-corruption laws, including the implementation of procedures to know the law and monitor changes (B2)

  • Statement of support for international and regional legal frameworks, such as the UN Convention against Corruption (D2)

  • Detailed policies for high-risk areas of corruption (D4)

  • Other established or emerging best practices

    Hosted an Anti-Corruption Conference in partnership with the UN Global Compact Network Kenya in December 2015. Opened by the Kenyan President, Uhuru Kenyatta, the event brought together over 400 high-level representatives from Government and Business

  • Policy on anti-corruption regarding business partners (D5)

UN Goals and Issues
  • Criterion 15: The COP describes core business contributions to UN goals and issues
  • Any relevant policies, procedures, and activities that the company plans to undertake by its next COP to fulfill this criterion, including goals, timelines, metrics, and responsible staff

  • Align core business strategy with one or more relevant UN goals/issues

  • Develop relevant products and services or design business models that contribute to UN goals/issues

  • Adopt and modify operating procedures to maximize contribution to UN goals/issues

  • Other established or emerging best practices

    We adopted Co-creation of the vision and articulation into actions plans and targets specific and relevant to the business units. continuous dialogue with peer businesses and UN agencies on the best implementation pathway for the business community.

  • Criterion 16: The COP describes strategic social investments and philanthropy
  • Any relevant policies, procedures, and activities that the company plans to undertake by its next COP to fulfill this criterion, including goals, timelines, metrics, and responsible staff

  • Pursue social investments and philanthropic contributions that tie in with the core competencies or operating context of the company as an integrated part of its sustainability strategy

  • Coordinate efforts with other organizations and initiatives to amplify—and not negate or unnecessarily duplicate—the efforts of other contributors

  • Take responsibility for the intentional and unintentional effects of funding and have due regard for local customs, traditions, religions, and priorities of pertinent individuals and groups

  • Other established or emerging best practices

    This process has begun in earnest and one of the outcomes is an enhanced purpose statement for the business that aligns our vision of transforming lives, new business strategy and material matters with the SDG objectives

  • Criterion 18: The COP describes partnerships and collective action
  • Any relevant policies, procedures, and activities that the company plans to undertake by its next COP to fulfill this criterion, including goals, timelines, metrics, and responsible staff

  • Develop and implement partnership projects with public or private organizations (UN entities, government, NGOs, or other groups) on core business, social investments and/or advocacy

  • Join industry peers, UN entities and/or other stakeholders in initiatives contributing to solving common challenges and dilemmas at the global and/or local levels with an emphasis on initiatives extending the company’s positive impact on its value chain

  • Other established or emerging best practices

    Partnerships with Higher learning institutions Strathmore University, Cambridge University and Cape University to develop the African Sustainability Leadership Program that trains leaders on sustainability and implementation.

  • Criterion 17: The COP describes advocacy and public policy engagement
  • Any relevant policies, procedures, and activities that the company plans to undertake by its next COP to fulfill this criterion, including goals, timelines, metrics, and responsible staff

  • Publicly advocate the importance of action in relation to one or more UN goals/issues

  • Commit company leaders to participate in key summits, conferences, and other important public policy interactions in relation to one or more UN goals/issues

  • Other established or emerging best practices

    Thought leadership forums on Sustainable Development Goals to build a critical mass and business case for the uptake of the SDGs by the business community.

Governance
  • Criterion 19: The COP describes CEO commitment and leadership
  • CEO leads executive management team in development of corporate sustainability strategy, defining goals and overseeing implementation

  • Any relevant policies, procedures, and activities that the company plans to undertake by its next COP to fulfill this criterion, including goals, timelines, metrics, and responsible staff

  • CEO publicly delivers explicit statements and demonstrates personal leadership on sustainability and commitment to the UN Global Compact

  • CEO promotes initiatives to enhance sustainability of the company’s sector and leads development of industry standards

  • Make sustainability criteria and UN Global Compact principles part of goals and incentive schemes for CEO and executive management team

  • Other established or emerging best practices

    We ensure that Safaricom is run in an ethical, transparent and accountable manner by having robust governance processes and structures in place, along with explicit guiding principles and clear lines of responsibility

  • Criterion 21: The COP describes stakeholder engagement
  • Any relevant policies, procedures, and activities that the company plans to undertake by its next COP to fulfill this criterion, including goals, timelines, metrics, and responsible staff

  • Publicly recognize responsibility for the company’s impacts on internal and external stakeholders

  • Define sustainability strategies, goals and policies in consultation with key stakeholders

  • Consult stakeholders in dealing with implementation dilemmas and challenges and invite them to take active part in reviewing performance

  • Establish channels to engage with employees and other stakeholders to hear their ideas and address their concerns

  • Other established or emerging best practices

    Last year, we began requiring all new business partners to sign up to the Code of Ethics for Businesses in Kenya during the onboarding process. In collaboration with the UNGC local network we held the firts International conference on anticorruption

  • Criterion 20: The COP describes Board adoption and oversight
  • Any relevant policies, procedures, and activities that the company plans to undertake by its next COP to fulfill this criterion, including goals, timelines, metrics, and responsible staff

  • Board of Directors (or equivalent) assumes responsibility and oversight for long-term corporate sustainability strategy and performance

  • Board establishes, where permissible, a committee or assigns an individual board member with responsibility for corporate sustainability.

  • Board (or committee), where permissible, approves formal reporting on corporate sustainability (Communication on Progress)

  • Other established or emerging best practices

    The entire management and Executive committee have committed to supporting the Ethical Governance processes and initiatives with the CEO being the lead at both the local network and the Global network of the UNGC

Women's Empowerment
  • The COP describes policies and practices related to supporting women's empowerment and advancing gender equality in the community
  • Designing community stakeholder engagements that are free of gender discrimination/stereotyping and sensitive to gender issues

  • Gender impact assessments or consideration of gender-related impacts as part of its social and/or human rights impact assessments

  • Ensuring female beneficiaries of community programmes

  • Community initiatives specifically targeted at the empowerment of women and girls

  • Strategies to ensure that community investment projects and programmes (including economic, social and environmental) positively impact women and girls

  • Strategies to ensure that community investment projects and programmes (including economic, social and environmental) include the full participation of women and girls

  • Other established or emerging best practices

    Women in Technology. Continuously promoting the Uptake of Technical/engineering courses/profession. Engaging female students and employees to motivate career progress.

  • Any relevant policies, procedures, and activities that the company plans to undertake by its next COP to address this area, including goals, timelines, metrics, and responsible staff

  • No practice for this criterion has been reported

  • The COP describes policies and practices related to supporting women's empowerment and advancing gender equality in the workplace
  • Achieving and maintaining gender equality in senior management and board positions

  • Achieving and maintaining gender equality in middle management positions

  • Equal pay for work of equal value

  • Flexible work options

  • Access to child and dependent care

  • Support for pregnant women and those returning from maternity leave

  • Recruitment and retention, including training and development, of female employees

  • Gender-specific health and safety issues

  • Gender-based violence and harassment

  • Education and training opportunities for women workers

  • Creating and maintaining workplace awareness of gender equality and, inclusion and non-discrimination for all workers

  • Mentoring and sponsorship opportunities for women workers

  • Other established or emerging best practices

    -Ensure gender parity in every division (50% female employees).

  • Any relevant policies, procedures, and activities that the company plans to undertake by its next COP to address this area, including goals, timelines, metrics, and responsible staff

  • No practice for this criterion has been reported

  • The COP contains or refers to sex-disaggregated data
  • Achieving and maintaining gender equality in senior management and board positions

  • Achieving and maintaining gender equality in middle management positions

  • Equal pay for work of equal value

  • Flexible work options

  • Access to child and dependent care

  • Support for pregnant women and those returning from maternity leave

  • Recruitment and retention, including training and development, of female employees

  • Gender-specific health and safety issues

  • Gender-based violence and harassment

  • Education and training opportunities for women workers

  • Creating and maintaining workplace awareness of gender equality and, inclusion and non-discrimination for all workers

  • Mentoring and sponsorship opportunities for women workers

  • Other established or emerging best practices

    -Ensure that >60% of employees have normal BMI scores. -Ensure gender parity in every division (50% female employees).

  • Any relevant policies, procedures, and activities that the company plans to undertake by its next COP to address this area, including goals, timelines, metrics, and responsible staff

  • No practice for this criterion has been reported

  • The COP describes policies and practices related to supporting women's empowerment and advancing gender equality in the marketplace
  • Supplier diversity programme

  • Supplier monitoring and engagement on women's empowerment and gender equality including promotion of the Women's Empowerment Principles to suppliers

  • Gender-sensitive marketing

  • Gender-sensitive product and service development

  • Other established or emerging best practices

    -Introduce a Gender-based violence policy and implement company-wide training.

  • Any relevant policies, procedures, and activities that the company plans to undertake by its next COP to address this area, including goals, timelines, metrics, and responsible staff

  • Composition of supplier base by sex

  • Support for women business owners and women entrepreneurs

  • No practice for this criterion has been reported