Tropicana Corporation Berhad Annual Report 2020

Prioritising Local Suppliers To stimulate the growth of Malaysia’s economy, we strongly endorse the hiring of local suppliers for our development projects. Our stakeholders, which include suppliers, are assured of fair project tendering and awarding opportunities to local businesses that meet the standards outlined by the Group. Every year, more than 95% of our development projects are awarded to local suppliers that have been carefully screened and selected by our Group Procurement and Tropicana Building Material departments respectively. FY2020 saw a large drop in spending on local suppliers for the Tropicana Building Materials department mainly due to the completion of most of our on-going development projects and lesser launches of new projects. We aim to continue to support local hiring in the years to come in hopes of stimulating the local economy into a faster recovery while also reducing carbon emissions costs that would be incurred due to cross-country material transport. SOCIAL RESPONSIBLITY Tropicana’s years of experience as a reputable developer drives us to uphold exemplary building standards as we work towards creating a legacy of developments that incorporates sustainable building designs and community building projects that bridges generations together. We remain committed to delivering high quality products and services that meet the expectations of our customers while striving to inculcate innovative measures that further reinforces our reputation as a leading developer. Materiality Matter Importance to Tropicana Management Approach UNSDGs Products & Services Responsibility (Social) To continuously improve the quality of our deliverables and enhance services that exceed the expectations of our customers. Create high quality deliverables to enhance brand reputation as well as benefit homeowners and the surrounding community. Employee Management To develop a healthy and productive workforce that represents the Group in an exemplary manner while achieving job satisfaction. Encourage a harmonious and fair working environment for employees to create value within our workforce. Talent Development To promote a continuous learning environment that enhances the employability of our workforce and provide value-added service to our stakeholders. Encourage the culture of continuous learning to develop a formidable workforce that are highly knowledgeable of the industry and provide excellent customer service. Occupational Safety & Health To protect the wellbeing of our workforce and ensure the safety of all stakeholders are maintained. Implement measures to strengthen the culture and awareness of occupational safety and health of our stakeholders. Contractor Management To engage with contractors with values and principles that align with the Group in producing an output that meets the demand and expectations of the market. Adopt clear and transparent practices between the Group and our contractors to promote efficient contract management that facilitates a beneficial working relationship. Community Engagement To encourage the culture of giving- back while endorsing harmonious living that uplifts the wellbeing of the community. Share the wealth and prosperity of the Group with local communities in which we operate to create a culture of giving back. If products are unavailable on our ASL, we will conduct an open market search for alternatives. Upon identifying suitable replacement vendors, the new vendors are required to complete the Vendor Survey Form Shortlisted vendors are surveyed and selected based on financial security, labour costs, compliance, product pricing and quality Suppliers are periodically assessed for their performance and compliance based on the criteria outlined in the Group’s SOP Selection Survey Selection Continuous Assessment 1 2 3 4 Fair Supplier Selection Practices Amount Spent on Local Suppliers (RM) FY16 FY17 FY18 FY19 FY20 Group Procurement 11,539,895 5,486,647 12,950,634 16,067,161 18,051,445 Building Materials 32,750,312 47,129,475 33,482,110 30,836,568 8,171,861 Product sourcing via the Approved Suppliers List (“ASL”) 0 10 20 30 40 50 FY16 FY17 FY18 FY19 FY20 Millions TROPICANA CORPORATION BERHAD ANNUAL REPORT 2020 SUSTAINABILITY AT TROPICANA 090 091