Corporate Travel Management : CTM Sustainability Report
CTD.AX
Driving sustainability throughout our business
Corporate Travel Management Limited is pleased to present its FY21 Sustainability Report.
CTM's focus on long-term sustainability has guided decision-making, particularly since the onset of the COVID-19 pandemic. We have made decisions and taken action with a long-term view to creating and protecting value for the business and our key stakeholders. The pandemic has caused some sustainability initiatives to be scaled back and others emphasised, to create a focused pathway to see us through the impact of the COVID-19 pandemic and into a successful recovery environment.
CTM has revised this Report following a review of our sustainability strategy and associated reporting during FY21 to provide further information on the material areas that we believe will determine CTM's sustainability over the longer-term. This Report is a further step in our reporting on areas critical to CTM's long-term success. In the coming year, work will continue with our key stakeholders to refine data capture, measurement and goal setting.
Our long-term success is dependent on meeting the expectations of our key stakeholders including our people, clients, suppliers, industry partners, investors and financiers. We have begun stakeholder engagement and are introducing feedback processes to ensure we capture and respond appropriately to each perspective.
Sustainability Report
Our Sustainability Pillars
22
Principles of Governance
24
Planet
28
People
30
Prosperity
32
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ANNUAL REPORT 2021 21
Our Sustainability Pillars
After reviewing a number of the evolving reporting frameworks in the sustainability ecosystem, we have broadly aligned our reporting with the guidance provided by the World Economic Forum's ("WEF") report; Measuring Stakeholder Capitalism: Towards Common Metrics and Consistent Reporting of Sustainable Value Creation due to its broad applicability and commitment from a number of relevant bodies to WEF's process to develop globally consistent reporting.
The diagram below summarises our revised areas of focus based on the WEF's four reporting pillars being Principles of Governance, People, Planet and Prosperity. The pillars form the foundation of this Sustainability Report and will underpin CTM's sustainability planning in the coming years.
GovernancePeople
Our Sustainability Pillars
Stakeholders and stakeholder engagement
During FY21, we reviewed how we engage with our key stakeholders given they are critical to successfully meeting our purpose to deliver an enhanced value proposition to corporate travellers. CTM's material stakeholders include:
The table below sets out how we engage with each of our material stakeholder groups:
Stakeholder
Engagement methods
― Various employee meetings, business update sessions, intranet, newsletters and a range
of other communication methods
Employees
― Regular one-to-one employee and leader meetings, and monthly check-ins
― Employee feedback loops including but not limited to employee engagement surveys,
employee new starter and exit surveys
― Training sessions
― Client feedback loops
― Client surveys
Clients
― Client engagement forums
― Client information requests on sustainability topics
― Participation in industry events and conferences
― Direct engagement to understand emerging challenges and long-term needs
― Direct engagement with larger shareholders and analysts
― Direct engagement with proxy houses and other shareholder or investment advisors
― Interim and full year result reporting and presentations
Investors
― Investor roadshows
― Participation in investment market events and conferences
― ASX releases
― Annual General Meeting
Prosperity
Planet
Suppliers/Partners
Government and regulatory bodies
Financiers
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CTM conducted informal interactions with our stakeholders during FY21 regarding sustainability, including many conversations on long-term sustainability issues given the pandemic and increased importance of climate change. This report covers the material topics that stakeholders focussed on. In FY22, we will engage with stakeholders in a structured way on sustainability matters to ensure we fully capture their views and insights relevant to CTM.
Principles of Governance
Governance is fundamental to our long-term sustainability. Defining and monitoring our purpose, governance framework, ethics and integrity, and risk management framework together provide CTM's material governance foundations required to create long-term value for our stakeholders.
Our purpose
CTM was established in 1994 with a clear purpose to deliver an enhanced value proposition to corporate travellers. Our purpose remains unchanged. CTM's culture is founded on the principle of empowering its people, through good processes and excellent training, to deliver a strong return on investment to clients underpinned by intuitive industry-leading technology and highly personalised service. The sustainability of CTM is inextricably linked to our vision, mission and values summarised below.
Our Vision
Our Mission
To be recognised as the global leader
To be travel management leaders in
Our Vision
all regions in which we operate, using
in travel management solutions - an
entrepreneurial, innovative and inspiring
innovative technology to improve the
company of choice for employees, customers,
customer experience and bring positive
partners and shareholders.
change to the market.
Our Company Values
Exceed to
Trust to
Innovate to
Collaborate to
Service
Succeed
Generate
Perform
Excellence is a
Belief is what
Innovation in
Through teamwork
habit not an act
makes a person,
thinking and doing
wonderful things
team, company,
what nobody
will be achieved
and community
else does
stronger
Play to Win
Empowered to
Recognise to
People are
Achieve
Reward
successful when
The power to make
Celebrate and
they have fun in
the right decision
acknowledge
what the do
to achieve great
when we have
results
accomplished
something special
Governance framework
We recognise the importance of good corporate governance practices which assist in ensuring the accountability of the Board and management of CTM to our stakeholders. The Board regularly reviews our governance practices in light of corporate governance developments, applicable legislation and standards, as well as stakeholder expectations.
At CTM, we believe that good governance practices are fundamental to:
The Board has established the following governance framework:
Board
Remuneration &
Audit & Risk
Nomination
Sustainability Committee
Committee
Committee
― People and remuneration
― Internal controls
― Board and Committee
strategy and policies
― External audit
evaluation
― Talent development and
― Financial reporting
― Board skills, diversity
succession planning
and renewal
― Risk management
― Overseeing sustainability
― Succession planning
― Monitoring health
matters
and safety
― Monitoring policies and
― Corporate Governance
initiatives to ensure
safeguards are in place for
dealing fairly and ethically
with stakeholders
Senior Leadership Team
Further details regarding our governance structures, including Directors' skills, experience and Committee memberships can be found in our FY21 Corporate Governance Statement available on our website and in the Directors' Report contained in the FY21 Annual Report.
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Ethics and integrity
CTM has policies in place that support its governance framework and promote creating and sustaining
a workplace culture that supports equality of opportunity, empowerment, collaboration and recognition.
CTM's Code of Conduct sets out the ethical and responsible conduct expected of all our employees and Directors. We promote acting in accordance with the law; acting with honesty, integrity, and fairness; a commitment to a high standard of professionalism; and avoidance of conflicts of interest by all our employees and Directors. Our reputation as a fair and ethical organisation is important to our ongoing success. At CTM we have in place internal grievance and investigation processes as well as the Whistleblower Policy and process. Internally, a breach
of the Code of Conduct could result in disciplinary action including termination of employment.
Through our Whistleblower Policy and associated processes, we aim to ensure that our people and stakeholders feel encouraged and supported to report conduct which they consider to be inappropriate.
CTM is committed to taking prompt and appropriate action in investigating possible inappropriate conduct to ensure that incidents are appropriately addressed and to stop any re-occurrence of the situation.
This year, we published our first Modern Slavery Statement which sets out CTM's approach to identifying, managing and addressing potential modern slavery risks and impacts in our operations and supply chain. We will continue to build upon and improve our existing risk management and remediation frameworks as they relate to modern slavery, and in FY22 all of our employees will receive enhanced training regarding CTM's modern slavery policies and principles so that they have a higher level of understanding of the risks of modern slavery in our business
and supply chain.
Further details regarding our approach to modern slavery risks can be found in our Modern Slavery Statement available on our website.
Risk oversight
Risk management forms a core part of our day-to-day business. CTM's senior leadership team is responsible for the identification, evaluation and monitoring of material business risks on an ongoing basis as well as embedding a culture throughout CTM that promotes awareness of potential exposures created by risk.
The material issues addressed in this report were identified by CTM personnel who engage regularly with each of our stakeholder groups.
The Board is responsible for the oversight and management of risk and is assisted by Board Committees where required. In performing its oversight role, the Audit & Risk Committee:
― regularly reviews CTM's risk appetite
and risk tolerance with respect to
relevant categories of strategic and
operational risk;
― monitors, reviews and reports on risks
which may impact CTM achieving
its goals and objectives, or on CTM's
performance more generally;
The Remuneration & Sustainability Committee assists the Board in relation to sustainability risks relevant to CTM including by:
The COVID-19 pandemic continues to cause major disruption to the travel industry because of government-imposed travel restrictions, border closures and quarantine requirements. The strengths of our business model, being:
meant that we were well-positioned, before the emergence of COVID-19. We protected CTM's strong liquidity and financial position, participated in M&A opportunities and adequately managed various risks
to our business when the global travel industry experienced this unprecedented disruption. Through our risk management framework, we quickly created an action plan and implemented a new rolling operating framework driving accountability and operating simplicity, with a clear focus on cost management, employee communications, client and supplier engagement, and finance initiatives.
Opportunity oversight
Our risk framework also enabled CTM to be in a position to capitalise on opportunities aligned with our strategic direction, such as the acquisitions of Travel
Breaches of our policies are reported to the Board through the relevant Board Committees.
Everyone at CTM is required to complete training on our core policies, including our Code of Conduct, Whistleblower Policy, Anti-Bribery and Corruption Policy, Risk Management Policy, Privacy Policy, Securities Trading Policy, Continuous Disclosure Policy, Workplace Health and Safety Policy, and Equal Opportunity and Diversity Policy. We also have processes for the delivery of annual refresher training and require an acknowledgement of reading and understanding our policies.
― assesses risks which may impact CTM's
reputation; and
― reviews actions taken by management
to reduce risk exposure.
In addition to managing our own risks, as businesses adjust to COVID-19, we are providing our clients with a broader range of consultancy support beyond traditional travel booking, reporting and supplier management. We have worked hard to help our clients with sophisticated risk management tools, including traveller tracking and emergency communications, to enable our clients to travel more safely, efficiently and cost-effectively during the pandemic.
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Planet
We recognise the environmental harm that can result from business operations. Impacts on the environment are playing an increasingly important role in determining a company's "licence to operate" which, if damaged or lost, will have an impact on CTM and our stakeholders.
CTM's and our clients' long-term sustainability are dependent on the long-term economic health of the regions where we operate. Thriving communities with opportunities for economic growth, investment and development will underpin our clients' travel requirements. Should any of CTM's upstream or downstream business activities be threatened due to environmental impact, CTM's longer-term sustainability may be threatened.
Direct impact
CTM has a number of initiatives in place to manage the size of our own climate footprint.
We continue to partner with South Pole (www.southpole.com), a company which offers solutions to help organisations meet the United Nations Sustainable Development Goals. Through this partnership, CTM has a policy of offsetting 100% of the carbon emissions generated by our employees' air travel against a range of global initiatives.
During FY21, CTM offset 234 tonnes of greenhouse gas emissions. Due to border restrictions and the resulting reductions of employee travel, this amount has reduced from FY20 when we offset more than
1,191 tonnes of greenhouse gas emissions. Through the offsetting process with South Pole, CTM is able to support projects which contribute to the regeneration and preservation of Australian biodiversity.
In addition to our own air travel, CTM has a direct impact on the environment from the amount of waste we generate, the electricity, gas and water we consume, our technology usage and the offices we occupy.
Whilst we have not yet measured these impacts, CTM has implemented initiatives within the business to reduce or negate some of our impact. Our team members
are encouraged to be mindful of our environmental responsibility. We have taken the following steps to reduce our impact on the environment:
Over FY22, CTM will endeavour to extend the measurement of our own environmental impact. With this knowledge, CTM will review our goals related to reducing our adverse impacts on the environment. CTM is committed to understanding the impact we directly have on the environment and managing this for our long-term sustainability.
Impact from our value chain
We are aware that the upstream and downstream activities in our value chain also have an impact on the environment. In providing our services to our clients, we are very cognisant that travel creates impacts on the environment. Whilst we do not provide the actual transport or accommodation, we on-supply this to our clients by procuring travel services on their behalf.
Also, our client's business and core activities may have impacts on the environment which, indirectly, we are enabling through the provision of travel services. At CTM, we will assist and collaborate with our clients to reduce our collective environmental footprints. We have a diverse portfolio of clients across a number of industries, many of which regard travel as a key success enabler.
Our approach to ensure our longer-term sustainability is to deliver innovative travel solutions which assist our clients to achieve their own sustainability goals. For example, we provide our clients with the opportunity to offset the emissions generated by their employees' air travel via CTM's Climate+ program (in partnership with South Pole).
Additionally, some of our industry partners offer options to offset emissions directly. We facilitate this approach through enabling our clients to choose this option in our booking systems at the point of sale.
In FY22, CTM will continue to engage with our clients to better understand our clients' objectives and to assist the informed development of travel solutions which reduce the impact on the environment. We will also increase our understanding of our suppliers' sustainability strategies to assist and ensure long-term sustainability for CTM.
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CTM - Corporate Travel Management Ltd. published this content on 06 September 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 06 September 2021 06:01:03 UTC.