DRB-HICOM BERHAD

140 ANNUAL REPORT 2017

SUSTAINABILITY
report

In line with the amendments to the

Main Market Listing Requirements
on sustainability reporting, issued
by Bursa Malaysia Securities Berhad
in October 2015, DRB-HICOM Berhad
is proud to present our inaugural
Sustainability Report.

Reporting Period
1 January 2016 – 31 December 2016, unless specified.

Coverage
The scope of reporting encompasses business sectors from
Automotive, Services & Education, Property, Asset & Construction
and Group Corporate Support Services. Group Corporate Support
Services refers to the Group corporate divisions such as Group
Financial Services, Group Strategic Communications, Group Internal
Audit and more.

References and Guidelines

Global Reporting Initiative (“GRI’) G4 Sustainability

Reporting Guidelines

Bursa Malaysia’s Sustainability Reporting Guide

A full disclosure of the GRI Content Index is available for reference

under the sustainability section of our corporate website at
www.drb-hicom.com.
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1.
Message from Group Managing Over time, we will enhance our sustainability indicators through the
Director on DRB-HICOM’s Sustainability adoption of various initiatives. The conversion of waste to energy is
Performance and Endeavours one area where we hope we can excel in. Alam Flora is after all in the
business of waste collection, and we have a duty to find ways on how
As a business, our aim is to contribute positive returns for the we can convert the tonnes of waste that is produced by Malaysians
benefit of our shareholders and stakeholders. However, as we daily into energy, or even into renewable alternatives through
seek to generate profits, we acknowledge the need to adopt recycling.
sustainable initiatives in terms of protecting and preserving the
environment ensuring positive social impacts; whilst ensuring 2. Sustainability Strategy
Malaysia grows as a country as a result of our activities.
DRB-HICOM is dedicated to protecting the environment, reducing the
DRB-HICOM, in carrying out its business practices, must ensure that it rate of accidents, promoting healthy living and developing human
adopts sustainability-centric activities to complement its endeavours resource capability across the Group. The Group is establishing its
towards protecting and conserving the resources that it utilises in its sustainability strategies to create regional trust and credibility.
business operations.
Our Group-wide strategy plan between 2017 and 2021 includes a
Our commitment is that we will abide by globally-accepted total of three key targets. The priorities and principles shown below
sustainable practices in the course of doing business. It is through will govern the entire business practices and operations of the Group
these practices that we will be able to build confidence amongst our within its key four sectors: (1) Automotive, (2) Services & Education,
stakeholders, which include our employees, our stakeholders and (3) Property, Assets & Construction, and (4) Group Corporate Support
our customers. Services. These strategic targets are;

This is not going to be achieved overnight but the fact is, we are Environment – Reduction of energy consumption and waste
taking steps to ensure that we employ sustainable practices across generation by 8%;
the Group. Eventually, we aim for DRB-HICOM to be recognised as an
environmentally-friendly and sustainable brand. Safety and Health - Reduction of total number of incidents
by 8%; and
Across our Group, there are already initiatives employed to improve
sustainability. We are proud of these initiatives especially when Capacity Building – Hiring competent safety and
innovation and technology forms the basis of the efforts. Throughout environmental personnel and provide training for such
the Sustainability Report, we would present the various sustainability personnel.
initiatives embarked on by the Group throughout the reporting
period which have positively impacted various stakeholders. We believe commitment and meeting these targets is essential for
DRB-HICOM to achieve higher standards of sustainability.
We are a large and diversified group, and that alone presents some
challenges. One of it is ensuring that the sustainability value is Our Group Safety, Health and Environment (“SHE”) Division has
cascaded down across the Group, and the other is collecting data and developed a database system called Integrated Reporting
information across the various facets of our businesses. Occupational Safety, Health & Environment, or commonly known as
IROSHE. It allows data collection and dissemination of information to
This report is a culmination of the effort to streamline the initiatives the related SHE persons-in-charge and Head of Companies
of the Group towards sustainability. It requires a Group-wide effort throughout the Group. Further to that, all information is reported to
to look at the way we conduct our business, measure these efforts, the Senior Management of DRB-HICOM on a quarterly basis.
determine the gaps and more importantly, identify and adopt
measures to close these gaps.
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3. Corporate Governance on Sustainability

DRB-HICOM’s sustainability committee intends to set a strong foundation for the rigorous and innovative integration of sustainability
principles across the Group.

The Board Risk and Sustainability Committee (“BRSC”) oversees the risk management and sustainability functions to ensure efforts are aligned
to the Group’s long term business and environment strategy. Sustainability Steering Committee (“SSC”) recommends the direction that aligns
the sustainability targets to the overall goals of DRB-HICOM and prioritises key sustainability matters. Further, the Sustainability Working
Committee (SWC) functions as a gatekeeper on all sustainability related information and performs assessments on sustainability related
programmes.

Throughout this process, BRSC seeks to inform and inspire the DRB-HICOM community regarding sustainable development as a business tool
as well as a powerful opportunity to positively impact the Group.

Shown below is the Group’s Sustainability Reporting Organisational Chart.

Board Risk and Sustainability

Committee ("BRSC")

Sustainability Steering
Committee ("SSC")

Sustainability Working
Committee ("SWC")

Property, Asset & Group Corporate

Automotive Services & Education
Construction Support Services

Chart 1 : Sustainability Reporting Organisational Chart

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4. Stakeholder Engagement

DRB-HICOM’s success is a direct result of strategic planning and maintaining a long-term bona fide relationship with its stakeholders.
DRB-HICOM evaluates its key business sectors and its supply chain, to understand how they affect the Group’s stakeholders and the industry
as a whole.

As one of Malaysia’s leading conglomerates, DRB-HICOM believes in keeping a long-term committed engagement and transparent
communication with its stakeholders. This focus on stakeholder engagement creates a synergistic opportunity for the Group to enter into
global marketplace and expand beyond the nation’s borders. Table 1 displays the Group’s stakeholders with their key sustainability-related
topics and forms of engagement occurring throughout the year.

Table 1: Stakeholder Groups, Key Topics and Forms of Engagement

Stakeholder Key Topics Forms of Engagement

Employees - Compensation benchmark - DRB-HICOM Talent Development Programme

- Career development - Excellence Award and Scholarship Programmes
- Employee welfare, safety, - Code of Ethics and Business Practice (”COEBP”)
health and environment - Whistle Blower Policy
- Dialogue with national and in-house
unions
- DRB-HICOM Safety, Health and Environment
Council

Customers - Pricing - Website / social media

- Product quality - Marketing promotions and activation
- Support services - Media conferences
- Inventory and supply - Customer call centres
commitment - Consumer surveys

Investors / - Group financial performance - In-house, one-to-one and small group meetings
Strategic & - Business strategy with stakeholders
Joint-Venture - Governance - Annual General Meeting (AGM)/Extraordinary
Partners General Meeting (EGM) of shareholders
- Media briefings
- Dialogue between the Group and Investors
- Roadshows and teleconferences

Suppliers & - Service / product quality - Business negotiation on day-to-day basis

Contractors - Cost reduction / savings - DRB-HICOM Group Procurement Policy (”GPP”)
- Supply Chain Management - Vendor Development Program

Regulatory - Compliance with the relevant - Attending workshops and seminars organised by
Agencies and legislations and regulatory regulatory agencies to stay abreast of any
Statutory bodies regulatory requirements.
Bodies - Pro-active engagement / consultation with the
relevant regulatory bodies on corporate
compliance matters

Local - Environment, communities - Participation in and sponsorship of community

Communities / and society issues where service events / NGO events
NGO DRB-HICOM Group of - Social and environmental contribution programme
Companies operate - Safety, health and environment campaigns
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5. Materiality Assessment

Materiality in the context of sustainability involves taking account of DRB-HICOM’s Economic, Environmental and Social (“EES”) impact
assessments and the corresponding decisions of its stakeholders. The Group’s sustainability strategy focuses primarily on the critical
materiality issues of its business operations.

DRB-HICOM uses the Global Reporting Initiative (“GRI”) G4 indicators, as listed below, to highlight the materiality issues that have a significant
impact on its business and stakeholders.

• Energy Consumption and Reduction (EN3 & EN6);

• Greenhouse Gas (GHG) Emissions (EN15 & EN19);
• Waste Management (EN23 & EN31);
• Workforce Diversity and Equal Opportunity (LA1, LA12, LA13 & EC5);
• Occupational Health and Safety (LA5 & LA6);
• Training and Education (LA9 & LA10);
• Human Rights (HR2, HR5, HR6);
• Community Relation and Contribution (SO1); and
• Anti-Corruption (SO4).

The materiality assessment process enables DRB-HICOM to chart out its sustainability matters thereby presenting a possibility for better
business strategic performance in the short, medium and long term. The issues were prioritised based on a qualitative review of their
significance to DRB-HICOM, and their importance to the stakeholders.

The materiality matrix below is a visual representation of the indicators in order of priority. This is a result of an extensive review and
engagement from key internal stakeholders, including Senior Management conducted by an independent sustainability consultant.

Importance is Critical

A Energy Consumption and Reduction

B A
B Occupational Health and Safety
Critical
Importance to DRB-HICOM Stakeholders

Importance is High
E
G
D C Greenhouse Gas (GHG) Emissions

High F
H D Waste Management
C
I E Workforce Diversity and Equal Opportunity

Moderate F Training and Education

G Human Rights

A Anti-Corruption
Low

Importance is Moderate

H Community Relation and Contribution

Importance to DRB-HICOM Business Operations

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6. Safety, Health and Environment (“SHE”) at the Workplace

6.1. SHE Policy and Organisation Chart

Safety, health and environment are DRB-HICOM’s core values. The Group makes it a priority to meet both internal and external compliance
requirements and the expectations of the regulators, especially in matters relating to safety, health and environment. Effort is taken on the
part of the organisation to uphold its safety, health and environment commitments and practices and to ensure no compromise is made in
executing the same. To date, there are more than 150 SHE practitioners in the Group. The Safety, Health and Environment (“SHE”) Council is
headed by the Group Managing Director with active participation from Senior Management of the Group. The Group SHE acts as secretariat
to the council.
Compliance

Key Principles of Safety, Health and Environment at DRB-HICOM

Compliance Prevention of Pollution Communication Continual Improvement

Chart 2 : Key Principles of Safety, Health and Environment (“SHE”) at DRB-HICOM

The Group’s SHE policy focuses on four key principles: Compliance, Prevention of Pollution, Communication and Continuous Improvement.
Compliance ensures that the organisation adheres to all legislative and regulatory requirements, code of conduct, and best practices.
Prevention of Pollution identifies and implements green practices in the workplace to minimise and prevent pollution. Communication is an
effective tool the Group uses to disseminate the SHE policy and to engage with all stakeholders within DRB-HICOM companies. The fourth
principle, Continual Improvement reduces the potential hazards, risks and impact to the environment and to health and safety.

6.2. Sectoral Breakdown of Occupational Incidents

Chart 3 below depicts the Group’s incident rate across four sectors - Automotive, Services & Education, Property, Asset & Construction and
Group Corporate Support Services - from January to June 2016 and from July to December 2016, respectively.

75.21 % 72.50 %
22.84 % 21.00 %
1.95 % 6.50 %
Services and
Education

Automotive

Property, Asset and

Construction
January to June 2016 July to December 2016
Group Corporate Support
Services

Chart 3 : Occupational Incidents by Sector

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As at December 2016, the Services & Education sector registered the

highest incident rate at 73% while the Automotive sector had the
second highest incident rate of 21%, followed by Property, Asset &
Construction with 6.5%. No incident was reported by Group Corporate
Support Services throughout the reporting period.

6.3 Emergency Preparedness and Response

The Group established DRB-HICOM Emergency Assistance Team

(“D-HEAT”) as part of its emergency response plan. The idea of
establishing the team was mooted by the Chairman of DRB-HICOM in
the wake of floods in Pahang and Kelantan in the last quarter of 2014.

D-HEAT has undergone various training under the supervision of

Jabatan Bomba dan Penyelamat Shah Alam Seksyen 15, specifically
by Special Tactical Operation and Rescue Team of Malaysia (STORM)
and Multi-Skill Team (MUST). The list of training includes high angle
rope rescue, emergency rescue medical services, dark smoke gallery
with Self Contained Breathing Apparatus (SCBA) and Offensive Indoor
Fire Fighting.

By arranging training with Jabatan Bomba dan Penyelamat Malaysia,

DRB-HICOM seeks to comply with national standards on fire safety.
Furthermore, it instils the need for personal and organisational
accountability for health and safety across all companies within the
Group.
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Case 1:

Safety and Environmental Success Story of

POS Malaysia

Safety and Environmental Success Story

As a responsible corporate citizen, POS Malaysia has taken primary

responsibility in implementing several continuous activities to increase
health and safety awareness among employees and workforce as
well as provide training to them. Below are the continuous activities
provided by POS Malaysia:

1. Programme for “Pergi Balik Kerja dengan Selamat” with

PERKESO Bentong for advocating the importance of on-the-road
safety ;

2. Vehicle checking for lorries in Kuantan;

3. Lectures on health and road safety for motorcyclists in Sabah;

4. Workshops for safety and health in Small Medium Industries in

Sibu, Sarawak ;

5. First Aid programmes organised by Red Crescent Club in

Kuching, Sarawak; and

6. Health Awareness programmes organised by Integrated Green

Medical Centre.

Furthermore, POS Malaysia promotes road safety by providing

safety training videos, coordinating monthly Occupational Safety
and Health (“OSH”) campaigns, setting up a road safety task force for
the management of vehicle drivers, reviewing the training module
and safety briefings.

POS Malaysia also collaborated with the Department of Occupational

Safety and Health (“DOSH”) to produce the Guidelines on OSH in
the Courier Services Industry. This Guideline provides information
and recommendations on the management of OSH in this
industry in compliance with the Occupational Safety and Health
Act 1994, Act 514.
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Case 2:

SHE Improvement Activities and

Programmes of CTRM

CTRM Safety and Health (SHE) Improvement

Activities and Programmes

CTRM has implemented several SHE improvement activities and
programmes, which includes:

Training for working at height;

Exhibition and talk for employees’ benefit and compensation;

Blood donation drives;

Safety handling of chemicals by National Institute of

Occupational Safety and Health (“NIOSH”);

Training for unsafe acts and workplace conditions by

Department of Occupational Safety and Health (“DOSH”);

Training for respirator fit test and hearing protection by 3M; and

Exhibition and talk for unsafe acts and conditions on the road by
Jabatan Keselamatan Jalan Raya (“JKJR”).

Furthermore, an in-house clinic was set up for the benefit of CTRM

employees. This allows CTRM to provide faster on-site medical
treatment, reduces cost of out-patient treatment and increases staff
productivity.
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7. Environment

7.1. Environmental Policy and Management

DRB-HICOM has been proactive and committed to protecting and improving the environment surrounding the Group’s operations.
Sustainable green practices have been embedded within its operations to ensure that business is profitable for the shareholders as well
as have a minimal impact on the environment. Several policies are in place to fortify and strengthen the protection of the environment
in all aspects of its operations. They include the Safety, Health, & Environment (“SHE”) Policy and Enterprise Risk Management Policy.

We are committed to achieve a better environment and are guided by the following regulations:

Environment Quality Act 1974;

10
Factories and Machinery Act 1967;
Companies under
Road Transport Act 1987; DRB-HICOM certified to
Local Government Act 1976; ISO 14001 in FY2016/17
Street, Drainage and Building Act 1974; and
Fire Services Act 1988

DRB-HICOM’s Enterprise Risk Management (“ERM”) plays a significant role in identifying environmental risks in order to reduce the
environmental impacts from the company’s operations. The environmental risks were measured and prioritised using the
Risk Assessment Matrix with regard to significance and probability of occurrence of the risk. Risk assessment coupled with risk indicators allows
effective measurement and tracking of strategic controls as well as action plans identified in the corporate risk register.

7.2. Energy Consumption and Greenhouse Gas Emission

The total energy consumption of DRB-HICOM Group of Companies in 2016 was 384 million kWh, equivalent to 284,544 tonnes CO2.
Chart 4 shows the breakdown of total energy consumed (kWh) based on various sectors, which was collected nationwide covering all
subsidiaries of the Group.

Property, Asset &

Construction
3%

Automotive Services and

76% Education
20%

Group Corporate
Support Services
1%
As at 31 December 2016

Chart 4 : Percentage Distribution of Energy Consumption (kWh)

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The Automotive industry involves equipment and facilities that are energy intensive. The energy consumption of PROTON itself took up 47.2%
of the total energy usage. To mitigate the high energy usage, the PROTON Green Initiatives was established in FY2016 with the objective of
reducing the utility costs for PROTON plants and offices.

Several initiatives have been implemented and are underway in the four main PROTON manufacturing plants. Thus far, the PROTON Green
Initiatives programme has achieved a total electricity bill reduction of RM 10 million in FY2016 and further reduction of RM 5.9 million between
April to December 2016.

Table 2 shows the list of initiatives and achievements attained from the four manufacturing plants of PROTON.

Table 2: Initiatives towards Excellent Cost Savings, Energy Savings and CO2 Reduction

No. Manufacturing Plant On-Going Initiatives Achievements

1 Perusahaan Improvement of compressed air operation’s efficiency and Energy saving of 2,465,764 kWh
Otomobil Nasional energy conservation Cost saving of RM 715,000
Sdn Bhd (PONSB) The compressed air pressure was reduced from 7 bar to 6.3 bar Greenhouse Gas emission
Optimisation of painting shop operation reduction of 1,793 tonnes CO2
Improvement of lighting and air-conditioner operation Energy saving of 1,398 kWh
temperature and hours per car
Awareness campaign (Setup of banner, bunting and signage
across the plants)

2 PROTON Tanjung Rectification of compressed air leakages Energy saving of 11,384,816 kWh
Malim Sdn. Bhd. During no-production weekend, only utilise 1 compressor Cost saving of RM 3.3 million
(PTMSB) instead of 2 units Greenhouse Gas emission
The compressed air pressure was reduced from 7 bar to 6 bar reduction of 8,277 tonnes CO2
The replacement of vortex coolers with force convection fan Energy saving of 1,505 kWh
system for control panels for more useful and efficient heat per car
transfer
Awareness campaign (Setup of banner, bunting and signage
across the plants)

3 PROTON Casting Reschedule of furnace operation and sequencing for Energy saving of 3,471,017 kWh
Plant Maximum Demand charges savings Cost saving of RM 1.46 million
The compressed air supply pressure was reduced from 7 bar Greenhouse Gas emission
to 6.3 bar reduction of 2,523 tonnes CO2
Optimisation of chiller operation schedule Energy saving of 2,546 kWh per
Replacement of metal halide to Light Emitting Diode (LED) tonnes
bulbs for energy saving and reduction of maintenance costs
Awareness campaign (Setup of banner, bunting and signage
across the plants)

4 PROTON Centre of Optimisation of chiller operation schedule and operation of Energy saving of 1,287,185 kWh
Excellence (COE) only 1 chiller during weekends Cost saving of RM 469,000
Limitation of number of Air Handling Unit (AHU) operations Greenhouse Gas emission
during weekend and optimisation of indoor temperature reduction of 936 tonnes CO2
operation at 24 ⁰C
A switch of Tariff (C2->C1) and the application of Off Peak
Tariff Rider (OPTR) for Maximum Demand charges savings.
Awareness campaign (Setup of banner, bunting and signage
across the plants)
As at 31 December 2016

DRB-HICOM recognises the risk of climate change and the contribution of the automotive sector towards the emission of greenhouse gases
(GHGs). The Group has implemented various initiatives to reduce its contribution to GHG emissions. The Government of Malaysia is signatory
to the Kyoto Protocol and the GHG reduction initiatives undertaken by the Group are in line with the requirements of the protocol.
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7.3.3. Separation @ Source by Alam Flora

7.3. Waste Management
In 2015 and 2016, a total of 940,828 and 882,906 tonnes of waste
7.3.1. Overview of Alam Flora were collected by Alam Flora, respectively. Separation @ Source
(S@S) is a programme established under the enforcement of Act 672
Alam Flora is the country’s leading waste management company and Federalisation of Solid Waste Management. Its objective is to
offers diverse quality services related to the environment including encourage households to separate recyclables and non-recyclables.
integrated facility management, waste management and recycling. It
presently handles more than 2,500 tonnes of solid waste daily. In the
area of recycling, Alam Flora manages 135 tonnes of scrap per day,
equivalent to 42,000 tonnes annually.

7.3.2. Buy Back Centre

The first Buy Back Centre (BBC) in Kuala Lumpur was officially
launched on 11 May 2016. It functions as a one-stop centre to buy
back used items from the public at market price and at the same time
spreading the awareness of recycling. Among the materials that were
collected by BBC are mixed papers and bottles, UHT packaging, iron
cans and scrap, aluminium cans, computers, and used cooking oil.

Chart 5 shows the total waste collected and managed by

Alam Flora together with the types of waste collected via S@S during
the reporting period from April 2016 till December 2016 for Kuala
Lumpur, Putrajaya, and Pahang.

To date, Alam Flora operates in 8 BBCs around Kuala Lumpur and

Putrajaya which have collected a total of 560 metric tonnes since the
first BBC was established.
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Chart 5 : Total Waste Collected and Processed in 2015 and 2016

Others
9%
Iron
2016 Putrajaya 4%
4%
Kuala Lumpur
67% 2015 Glass
8%
Putrajaya
4%
Kuala Lumpur
70% Paper
67%
Pahang
Plastic
26%
30%
Pahang
29%

Kuala Lumpur Putrajaya Pahang

8. Human Capital Development in a transparent, appropriate and fair manner. The Code covers
pertinent issues including tardiness, honesty, integrity and
8.1. Group Policy and Governance relationship between employees and stakeholders.

DRB-HICOM strongly endorses the collective bargaining system Team-building sessions and induction programmes continuously
to ensure a mutually beneficial economic and social relationship highlight the importance of Integrity, Decorum, Innovation,
between the employers of the Group and trade unions. The Excellence, Transparency, Teamwork and Quality. The “No Gift
collective agreement helps to clarify the rights and responsibilities Policy” in DRB-HICOM prohibits employees from receiving gifts from
of the Company and its employees, to achieve success for both the external parties. This practice exhibits and upholds the values of
Company and its employees. dignity, integrity, and professionalism in all its business dealings.
DRB-HICOM also engages with the Malaysian Anti-Corruption
Total Union Members in DRB-HICOM Group 25,230 Commission (MACC) to mitigate corruption across the Group.

Total Number of Unions 30 8.2. Human Capital of the Group

Total Companies in DRB-HICOM with Unions 26
Standing as one of Malaysia’s leading conglomerates, DRB-HICOM
As at 31 December 2016
believes in the strength, commitment and quality of its 58,110
The Whistle Blower policy outlines its commitment towards enabling employee workforce. With regard to the Malaysian Labour Law,
employees and other stakeholders to confidently raise concerns DRB-HICOM complies with the Minimum Wages Order, 2016 and takes
regarding any wrongdoing or malpractice without fear of reprisal. a strong stance against child and forced labour and other improper
This policy promotes a culture of honesty, ethical behaviour, good labour practices, in accordance with the Malaysian Employment
corporate governance and transparency within the Group and Act 1955.
ensures there is no discrimination or harassment.
The Group strongly practices and values diversity and inclusiveness
Corruption is unacceptable to the organisation and the Group strictly where all employees are treated fairly regardless of gender and racial
forbids bribes to be offered or accepted by any party. DRB-HICOM diversity.
introduced a Code of Ethics and Business Practice as a policy and
this was communicated clearly to all its employees. This serves as Chart 6 shows DRB-HICOM workforce distribution in all business
guidelines for employees on how to conduct business in a sectors.
professional manner at all times and to engage with stakeholders
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Chart 6 : DRB-HICOM Workforce Distribution

Property, Asset Corporate Wisma

& Construction DRB-HICOM
1.3% 1.3%

Services Automotive
& Education
Workforce Distribution of
50.7% 46.7%
DRB-HICOM

Chart 6.1 : DRB-HICOM Workforce Distribution by Sectors as at 31 December 2016

30 & Below

Workforce Breakdown 41%

by Age Group
31 - 40

30%

Above 50

10%

41 - 50

19%

Chart 6.2 : DRB-HICOM Workforce Distribution by Age Group as at 31 December 2016

Figure 5: DRB-HICOM Workforce distribution by Age Group
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DRB-HICOM has a comparatively young workforce with 41% of total Group Human Capital acknowledges the contribution brought on
workforce below the age of 30 and 30% between the ages of 31 to 40. by the female employees in DRB-HICOM by organising various
We believe in nurturing young top talents within the Group and at the activities in conjunction with International Women’s Day on an
same time ensuring a sustainable talent pool for our future business annual basis. One of the campaigns conducted was Pinktober Day on
growth. 26 October 2016 in conjunction with the Breast Cancer Awareness
  Month. Group Human Capital collaborated with Pink Ribbon Deeds
8.3. Gender Diversity (PRIDE) Foundation to raise awareness on breast cancer through
talks by certified medical practitioners. On Pinktober Day, employees
were also urged to show their support by wearing pink attire and pink
ribbons.

15% Other activities held during the reporting period include health
Upper Management
and wellness care talk, seminar on child autism and special needs
awareness for children.

8.4. Special Needs Staff under DRB-HICOM

26% Middle Management

41% Lower Management

91 Special Needs Staffs Employed Under

DRB-HICOM

As at 31 December 2016

18% Non - Executive

At present, DRB-HICOM employs a total of 91 employees with

As at 31 December 2016 special needs throughout our Group. With special needs employees
Chart and other stakeholders in mind, dedicated car parks and ramp
Figure 7
4::Gender
Gender Equality
Diversity in in DRB-HICOM
Leadership
facilities have been provided at all entry points in most of the
buildings where DRB-HICOM businesses operate in.
We encourage equal opportunity for all employees without any
gender or racial discrimination. The Group values diversity and
This makes it more convenient for employees and stakeholders with
inclusiveness and employees are treated with respect regardless of
special needs. Accessible-friendly toilets are also built on each floor
gender and racial diversity. From Chart 7 above, female employees
to accommodate employees who are physically challenged.
comprises 15% and 26% in upper and middle management
respectively while female workforce in the lower management roles
stood at 41%. However, as the nature and work scope in the
non-executive roles are mostly labour intensive, they are mostly
occupied by male employees.
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8.5. Talent and Competency Building

The Group has a comprehensive talent development programme with the aim to create talent pools at all levels. The initiative consists of a
series of programmes starting from Management Trainee Programme for fresh graduates up until the top level Leadership Development
Programme which aims to groom DRB-HICOM’s future leaders. Chart 8 below shows the various talent programmes devised by Group
Human Capital across the Group.

Leadership Development
Programme (LDP)

Technical Management
*Business Leader Programme for
Track New Business Leader (CEO) Track

Business Manager

Functional Manager General Management

Development Programme
(GMDP)
Mentoring

Senior Managers Development

Programme (SMDP)
Managing Managers
Financial Professional
Development
Programme *Rising Star Programme Managerial Development
(MICPA/ACCA) for New Leader
Programme (MDP)

Managing Others
Executive Development
Programme (EDP) - targeted
Industry 2017 Q3
*Stepping Up Programme
Certification for New Managers

Managing Self Management Trainee

Programme (DMTP)

Chart 8 : DRB-HICOM Talent Development Programme

Please refer to page 135 for the results of the programmes conducted in this financial year.
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328 Students

Total Scholarships Awarded

in FY16/17

RM 3,876,002

Number of DRB-HICOM employees

that graduated from DRB-HICOM
University

49 employees

As at 31 December 2016

The employees’ career development programme is important for both employees and the future of DRB-HICOM. In FY2017, we have invested
RM16.8 million in training and education and this amount enabled us to provide more than 1 million quality training hours. This translates to
an average of 17 training hours per employee. The goal is to help them become better workers and to equip them with the skills they need
to manage themselves and their teams.

Investment in Training Total Staff Training

and Development Hours

FY2016 RM 12.6 Million 1,195,496

FY2017 RM 16.8 Million 1,023,606

As at 31 December 2016
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9.
Local Community Engagement and Social Contributions

Umrah Packages for Paralympic Medal Winners Safety and Health Campaign
DRB-HICOM sponsored the Malaysian Paralympians with a 12 A Safety and Health campaign was organised for Warga to conduct
days Umrah Package as recognition for their performance at Rio free dental screening, internal body toxicity analysis, spine and
Paralympics 2016. The 23 member group consists of the Paralympians joint analysis, bone density check, heart diseases and back pain
and their family members, media and accompanying officers from consultation in the two day event. The National Blood Centre and
MSN. 133 volunteers from DRB-HICOM Berhad together with neighbouring
subsidiary companies registered for the blood donation and managed
to collect 54.85 pints of blood for the public.

Developing Skills for the Underprivileged Road Safety Campaign and Vehicles Inspections
DRB-HICOM initiated the Heart Project, a programme aimed at PUSPAKOM collaborated with the Road Safety Department on Road
developing the skills of underprivileged children with the objective of Safety Campaigns in conjunction with the festive season to share
nurturing the nation’s youth in creating a better future for students information with the local communities on the importance of road
through education. Underprivileged children were offered safety. PUSPAKOM also offered free voluntary vehicle inspection to
scholarships to Akademi Saga, a vocational training academy to equip private vehicle owners prior to Hari Raya Aidilfitri, having successfully
these youths with employable skills. DRB-HICOM also sponsored inspected a total of 1,383 vehicles in 2016.
four SBJK students with full scholarships in Automotive Workshop
Practices & Engine Cooling System Rectification Work at the Akademi
Saga. It is a 12-month course in automotive training which focuses
on nurturing future technicians by providing them with essential
technical skills.
 DRB-HICOM BERHAD
158 ANNUAL REPORT 2017

Sahabat DRB-HICOM Qiamullail Bersama Mualaf

Sahabat DRB-HICOM is our very own volunteer programme, The programme is to instil the spirit of togetherness and forge
organised to instil the spirit of volunteerism amongst our staff to better relationships amongst our Warga and the Mualaf community
improve the life of those in need. These volunteer programmes not and bring us closer to Allah SWT in the spirit of the holy month of
only reflect positively on the Group, it also provides an avenue for our Ramadhan.
staff to develop new skills and improve socialisation by helping those
in need via social work in various communities.

In 2016, 171 sahabat DRB-HICOM contributed 1,768 volunteering

hours in programmes such as Bubur Lambuk Sahabat DRB-HICOM,
Ziarah Ramadan, Aidilfitri bersama Al-Fikrah, Deepavali Celebration,
Chinese New Year Celebration, Ziarah Ramadan and many more.

DRB-HICOM Back To School Programme

The Back to School Programme celebrates its second anniversary
this year, continuing its objective to provide financial aid for selected
Warga DRB-HICOM and schools for the upcoming school term.
For year 2016/17, 68 Warga (with income below RM3,000) with a
minimum of two schooling children were selected to receive the aid,
which amounted to 169 students. On top of that, 70 children from
Ziarah Ramadhan SJKT Glenmarie also received the aid.
This programme is part of Program Harapan which was first
organised in 2013. The programme includes a shopping trip and buka
puasa event with less fortunate children. The tradition continues
this year as we visited 40 Asnaf families in Pekan and Selangor and
provided assistance in the form of groceries and cash. The recipients
are nominated by the Lembaga Zakat Selangor and Majlis Ugama
Islam Pahang.