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SUSTAINABILITY REPORT 2020                          01   02  03  04  05   06
                                                                    Our Approach to Sustainability

          OUR APPROACH
          TO SUSTAINABILITY





          Apical Sustainability IMPLEmentation Framework (A-SIMPLE Framework)
          103-2
          In 2020, we launched the A-SIMPLE Framework   This is key to Apical’s sustainability journey as we
          to  ensure  the  effective  implementation  of  our   drive transformative change in the palm oil sector
          Sustainability  Policy  as  well  as  align  sustainable   and reduce supply chain risks. This also helps to
          practices across our operations and supply chain.   increase our buyer’s confidence and meet the
          This framework aims to help our suppliers achieve   demand for sustainable products.
          compliance against the NDPE commitments.



          The A-SIMPLE Framework includes the following components:






           Setting Commitment      Risk Profiling       Prioritisation   Supplier Engagement
            Integrate sustainability   Using our Mill      Identify         Engage suppliers
             into our business   Prioritisation Process   high-priority suppliers   through our Anchor
            operations and supply   (MPP), a risk-based   for engagement     Programmes.
             chain through our   approach to establish                    Engagements may be
             Sustainability Policy  risk profiles of our                  deep (Priority Supplier
                                     suppliers                            Engagement Program)
                                                                          or broad (Shared Value
                                                                           Program, Traceability
                                                                           Outreach Program)






               Grievance          Transformation         Monitoring          Disclosure &
              Investigate any      Contributes to    Use satellite monitoring,   Reporting
             alleged violation of   independent verification   both internally and   Collect information
             our Sustainability   against suppliers’   through an independent   and disclose aspects
             Policy and work to   traceability level and   organisation,     of supply chain
            resolve or remediate   NDPE compliance   to substantiate positive   sustainability to drive
            any proven violations   through Anchor   changes from suppliers   accurate reporting and
            through our Grievance   Programmes and     who undergo our   continuous improvement
              Procedure and      grievance monitoring.  Transformation initiative
            supplier engagement    Non-compliant
               programmes          suppliers will be
                                required to undergo our
                                Transformation initiative




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