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Abridged sustainability report
MTN is a leading provider
of telecommunications
services in emerging markets.
This provides us with the
opportunity to catalyse
development that improves
quality of life by providing
opportunities for social and
economic inclusion and
growth, connecting people,
providing better ways of doing
business, and facilitating the
trade growth.
The Group is pleased to present an abridged report of the Group’s 2009
sustainability results. The detailed report may be accessed on
www.mtn.com/sustainability.
Sustainability vision, strategy and principles
MTN is a leading provider of telecommunications services in emerging markets. This
provides us with the opportunity to catalyse development that improves quality of life
by providing opportunities for social and economic inclusion and growth, connecting
people, providing better ways of doing business, and facilitating the trade growth.
MTN’s sustainable business practices represent an incremental journey. The Group
started this journey in 1994; in 2009 the implementation of the Group sustainability
function, board and executive support, Group-led strategic planning, and resource
commitment have positioned the Group to better realise its sustainability vision.
Our sustainability vision: In meeting MTN’s business objectives, we will continue to
enhance stakeholder value, manage risks and opportunities posed by economic, social,
human and environmental capitals, within our scope of influence.
To remain resilient, sustainability is not secondary to the business: it is about
positioning social, environmental and ethical considerations at the core of MTN.
To accelerate the implementation of MTN’s sustainability vision, a strategy and key
implementation principles have been defined.
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Strategy |
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Implementation principles |
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Focus on environmental, social and governance issues of
importance to stakeholders, and that may have a material impact
on MTN’s economic position |
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Set foundations for sustainability: ensure internal awareness and
education, implement human and system resources, identify
opportunities and risks, and manage and report performance |
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Business decisions will be motivated by sustainability opportunities
and risks, rather than mere compliance |
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Focus on no more than three project initiatives per annum. Projects
are to be prioritised based on effort required and potential impact |
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Use pilots, trials, and a phased implementation approach where
suitable |
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Share successes and use lessons learnt from previous experiences |
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Group sets direction and influences imperatives, in collaboration
with operations, which maintain closest working relationships with
stakeholders |
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Balance Group’s vision and requirements with local operating
conditions, challenges and opportunities |
Governance of sustainability
The Group board is accountable for sustainable business practice
and as such, has delegated responsibility to the risk management
and compliance committee. The executive management of the
sustainability function is the responsibility of the Group executive
corporate affairs, who reports progress and plans to the Group
executive committee (Exco). Signoff of major deliverables is
undertaken by the Group president and CEO, where commitments
bind the entire Group.
The diagram below indicates the governance and management of the sustainability function in MTN.
View enlarged image
View enlarged image
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Nominations, remuneration, human resources and corporate governance committee |
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Operating company, used within MTN to denote all subsidiaries and associates |
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Sustainability is a standing item on committee agenda |
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Sustainability working teams and forums will be implemented in regions or operating companies commencing in the latter half of 2010 |
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Exco also includes the chief operating officer’s office and company secretary |
2008 Sustainability commitments’ feedback
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2009 commitments in 2008 |
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Status |
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Degree
to which
objective
was achieved |
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Risk/Governance |
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Roll out annual reputation review |
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Self-assessment of MTN’s reputation by Exco and Opco CEOs via questionnaire completed. Results presented to Exco |
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In 2011 MTN will undertake external assessment with media, analysts and regulators |
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Complete whistleblower roll out; improve staff awareness |
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Roll out completed. Operations also received basic fraud awareness training |
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Review/improve consistency of government relations engagements |
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Stakeholder governance model incorporating identification and management processes defined. Implementation of model planned in 2010 |
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Appointment of an executive for regulatory affairs at Group level |
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Establish Group sustainability governance
structure (corporate affairs, SHE, risk, network
and technology, HR, investor relations, Opco
representation) |
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Group Sustainability Manager appointed to drive strategy and implementation |
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In 2010, implementation of local and regional sustainability forums to commence |
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Enhance CURA risk management system to track hours of disability due to injuries |
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Reviewed decision to only track this indicator. Determined that a
more holistic incident management system was required to address
stakeholder reputation management, insurance, safety and health,
and sustainability-related incidents proposed |
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Social contribution |
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Monitor implementation of Group CSR
framework and align activities. Review
framework effectiveness |
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All 21 Opcos now undertake projects that deliver sustainable
impact |
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Launch foundations in remaining operations |
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Underway – see section titled Foundations |
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Increase MTN South Africa spend on black women-owned/managed companies |
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Spending increased to over R520 million (unaudited), a
43% increase from the previous year’s spend |
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Staff development |
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Roll out sustainability education/training programme, including policy, management framework, performance |
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Board/executive/senior level awareness and engagement
ongoing |
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Carbon footprint training undertaken |
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Confirm sustainability resources at operational level |
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Sustainability champions have been identified in
MTN South Africa, Swaziland, Nigeria, Ghana, Uganda,
Cameroon, Syria, Cyprus, Rwanda, Zambia, Yemen,
Congo-Brazzaville and Benin |
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Environment |
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Ensure environmental management
concerns are included in sustainability
management team’s work and performance
monitor mandate |
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Further work to clarify internal roles of different functions will
need to be undertaken to ensure roles and tasks are appropriately
allocated and executed. Some work on the top environmental
priorities and actions has commenced (see section titled The
environment) |
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Ensure electromagnetic fields (EMF)
health and safety level site agreement
implemented across all Opcos |
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See section titled The environment |
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