Case study: How Boustead Projects creates economic value for its stakeholders
Established in 1996, Boustead Projects is a leading provider of innovative real estate solutions with a regional presence across Singapore, China, Malaysia and Vietnam. Boustead Projects’ continuous profitability every year has enabled it to reinvest in creating sustainable shared socio-economic value Tweet This! and delivering progress to key stakeholders, laying the cornerstones for its long-term success and longevity.
This case study is based on the FY2021 Longevity Report by Boustead Projects, prepared in accordance with the GRI Standards, that can be found at this link. Through all case studies we aim to demonstrate what CSR/ ESG/ sustainability reporting done responsibly means. Essentially, it means: a) identifying a company’s most important impacts on the environment, economy and society, and b) measuring, managing and changing.
Abstract
In FY2021, S$446.8 million in direct economic value was generated by Boustead Projects, a 5% increase year-on-year as compared to S$425.7 million in FY2020, which was shared among key stakeholders. In order to create economic value for its stakeholders Boustead Projects took action to:
- create economic value for employees
- create economic value for suppliers
- create economic value for lenders and investors
- create economic value for governments
- create economic value for communities
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With this case study you will see:
- Which are the most important impacts (material issues) Boustead Projects has identified;
- How Boustead Projects proceeded with stakeholder engagement, and
- What actions were taken by Boustead Projects to create economic value for its stakeholders
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What are the material issues the company has identified?
In its FY2021 Longevity Report Boustead Projects identified a range of material issues, such as smart eco-sustainable solutions, business ethics, data and information security, talent acquisition, development, management and retention. Among these, creating economic value for its stakeholders stands out as a key material issue for Boustead Projects.
Stakeholder engagement in accordance with the GRI Standards
The Global Reporting Initiative (GRI) defines the Principle of Stakeholder Inclusiveness when identifying material issues (or a company’s most important impacts) as follows:
Stakeholders must be consulted in the process of identifying a company’s most important impacts and their reasonable expectations and interests must be taken into account. This is an important cornerstone for CSR / sustainability reporting done responsibly.
Key stakeholder groups Boustead Projects engages with:
To identify and prioritise material topics Boustead Projects engaged with its stakeholders through the following channels:
Stakeholder Group | Method of engagement |
Board and Team
| · Board meetings · Townhalls · Quarterly newsletters · Monthly management meetings · Weekly functional meetings · Weekly QEHS meetings · Daily QEHS toolbox meetings · Team training sessions · Cloud-based technology platforms · Code of Conduct · Team Development Programme · Open door policy · Performance appraisals · Team surveys · Whistle-blowing mechanism · Virtual meetings · Websites |
Clients | · Business Development Team communications and meetings · Integrated Digital Delivery (“IDD”) Team communications and meetings · Project Management Team communications and meetings · Real Estate Team and Property Management Team communications and meetings · Project site visits · Leasing and tenant policies and surveys · Annual reports (“ARs”) and longevity reports (“LRs”) · Quarterly newsletters · Virtual meetings · Websites |
Strategic Partners
| · Business Development Team communications and meetings · IDD Team communications and meetings · Project Management Team communications and meetings · Construction and Site Management Team communications and meetings · Real Estate Team communications and meetings · Project site visits · ARs and LRs · Quarterly newsletters · Quarterly reports and updates · Virtual meetings · Websites |
Suppliers
| · IDD Team communications and meetings · Project Management Team communications and meetings · Construction and Site Management Team communications and meetings · QEHS Team communications and meetings · Real Estate Team and Property Management Team communications and meetings · Supplier audits and prequalification · bizSAFE Mentor and training sessions · Quarterly newsletters · Virtual meetings · Websites |
Lenders
| · Finance Team communications and meetings · Real Estate Team communications and meetings · ARs and LRs · Semi-annual financial results announcements · Virtual meetings · Websites |
Investors
| · Investor Relations (“IR”) Team communications and meetings · Investor conferences · Shareholder general meetings · ARs and LRs · Semi-annual financial results announcements · Virtual meetings · Websites |
Media
| · IR Team communications and meetings · Media briefings and interviews · ARs and LRs · Semi-annual financial results announcements · Virtual meetings · Websites |
Governments and regulators
| · Project Management Team communications and meetings · Construction and Site Management Team communications and meetings · QEHS Team communications and meetings · Real Estate Team and Property Management Team communications and meetings · Management participation in government consultations and on industry panels · ARs and LRs · Virtual meetings · Websites |
Local Communities
| · QEHS Team communications and meetings · Public Relations Team communications and meetings · IR Team communications and meetings · ARs and LRs · Virtual meetings · Websites |
What actions were taken by Corticeira Amorim to create economic value for its stakeholders?
In its FY2021 Longevity Report Boustead Projects reports that it took the following actions for creating economic value for its stakeholders:
- Creating economic value for employees
- In FY2021, Boustead Projects paid S$21.6 million for employee salaries, defined contribution plans, share-based compensation, other benefits, and direct jobs for communities where it operates.
- Creating economic value for suppliers
- In FY2021, Boustead Projects paid S$283.7 million to suppliers (purchases, supplier payments, other operating expenses, indirect jobs for communities where it operates).
- Creating economic value for lenders and investors
- In FY2021, Boustead Projects spent S$3.4 million in interest paid to lenders and dividends paid to shareholders.
- Creating economic value for governments
- In FY2021, Boustead Projects paid S$6.9 million in corporate taxes for funding basic government services and sponsored socio-economic and ESG (environmental, social and governance) programmes, and indirect jobs for communities where it operates.
- Creating economic value for communities
- In FY2021, Boustead Projects paid S$0.01 million in community service, philanthropic donations, and indirect jobs for communities where it operates.
Which GRI Standards and corresponding Sustainable Development Goals (SDGs) have been addressed?
The GRI Standard addressed in this case is: Disclosure 201-1 Direct economic value generated and distributed
Disclosure 201-1 Direct economic value generated and distributed corresponds to:
- Sustainable Development Goal (SDG) 8: Decent Work and Economic Growth
- Targets: 8.1, 8.2
- Sustainable Development Goal (SDG) 9: Industry, Innovation and Infrastructure
- Targets: 9.1, 9.4, 9.5
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References:
This case study is based on published information by Boustead Projects, located at the link below. For the sake of readability, we did not use brackets or ellipses. However, we made sure that the extra or missing words did not change the report’s meaning. If you would like to quote these written sources from the original please revert to the following link:
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