Strategic sustainability drivers and framework
The Santam group revised its sustainability framework at the end of 2013 with a three to five-year strategic view of sustainability issues, which have since then been integrated with the group's three-pillar business strategy (diagram above). The six capitals were used as a guideline in developing the framework and identifying three key sustainability material issues. These are:
- Santam's exposure to markets and clients changing
- The rising systemic risk and vulnerability for the business
- The pressure on human, social and natural capital and impact of this on the business.
The Group's response to these material issues is to:
- Be a responsible insurance provider in all that we do
- To understand and respond to systemic risks facing the business now and into the future.
- To drive ESG awareness and efficiencies in all that we do.
The three Santam responses are expanded further into 15 key implementation drivers. Each driver has a clear vision and focus. To ensure progress, business unit owners take responsibility for implementation of these drivers.
Initiatives flowing from the implementation drivers are developed, managed, measured and reported on into relevant Committees and Boards. The following focus areas were prioritised for the 2014 year were:
- Fair treatment of clients
- Responsible investment & solvency
- Reaching the Uninsured: Access to financial products
- Diverse, productive employee base
- Disaster risk management PPP programmes
The board recognises that there are qualitative issues that influence the company's ability to create value in the future. These relate to investment in human and other intellectual capital, the extent of the company's social transformation, ethical, safety, health and environmental policies and practices.
The social, ethics and sustainability committee convenes regularly and reports directly to the board on, inter alia, the issues listed above.
To read more, refer to the Governance Section of our Integrated Report.