Identified Material Aspects and Boundaries G4.17 to G4.23

  • 4.17. Operational structure of the organisation, including main divisions, operating companies, subsidiaries and joint ventures.

    Integrated Report:
    Annual General Meeting:
    Consolidated Annual Financial Statements:
    • List all entities included in the organisation’s consolidated financial statements or equivalent documents.
    • Report whether any entity included in the organisation’s consolidated financial statements or equivalent documents is not covered by the report.

    Core divisions of Barloworld Limited are:

    • Barloworld Equipment
    • Barloworld Automotive
    • Barloworld Logistics

    Principal subsidiary companies (refer note 35 of the annual financial statements)

    • Avis Southern Africa Limited
    • Barloworld Botswana (Pty) Limited3
    • Barloworld Capital (Pty) Limited
    • Barloworld Equipment (Pty) Limited
    • Barloworld Equipment UK Limited1
    • Vostochnaya Technica Limited UK1
    • Barloworld Holdings Limited1
    • Barloworld Insurance Limited1
    • Barloworld Investments (Pty) Limited
    • Barloworld Logistics Africa (Pty) Limited
    • Barloworld South Africa (Pty) Limited
    • Barloworld Investments Namibia (Pty) Limited4
    • Finanzauto SA2
    • Sociedade Technica de Equipamentos e Tractores SA5
    • Zeda Car Leasing (Pty) Limited t/a Avis Fleet Services
    • Barloworld Siyakhula (Pty) Limited
    • Other subsidiaries*

    * A full list of subsidiaries and a list of the special resolutions of those companies are available to the shareholders, on request, from the registered office of the company.

    All companies are incorporated in (or operate principally in) the Republic of South Africa except where otherwise indicated as follows:

    1 United Kingdom
    2 Spain
    3 Botswana
    4 Namibia
    5 Portugal

    Material joint ventures (refer note 13 of the annual financial statements):

    • Bartrac Equipment Limited

    Coverage

    Our responses cover the performance of Barloworld Limited for the financial period October 2016 to September 2017 in all geographic regions in which the Barloworld group and its subsidiaries operate.

    Associates and joint ventures are equity accounted and thus not included in consolidated non-financial data. The consolidated data incorporates the company and all entities controlled by Barloworld as if they are a single economic entity. There are no other entities over which the group has significant influence that it believes should be included in the report. Both financial and non-financial data is aligned to the same financial reporting period allowing for comparison of performance data.

    Our annual financial statements are prepared in accordance with International Financial Reporting Standards (IFRS) unless otherwise stated. Any limitations will be disclosed in the relevant section.

    Aligned to the above consolidation approach, energy and emissions reporting follows the Financial Control consolidation approach as reflected in the GHG Protocol Corporate Standard.

  • 4.18. Process for defining report content.

    Integrated Report:
    • Explain the process for defining the report content and the Aspect Boundaries
    • Explain how the organisation has implemented the Reporting Principles for Defining Report Content.

    Given the extent of its operational, geographic, industry and stakeholder diversity Barloworld adopts a broad approach to integrated reporting. It uses the GRI guidelines in this regard and as a management tool. It endeavours to understand its position relative to all indicators but is mindful that not all indicators are of equal concern to the organisation or its stakeholders. Nevertheless, the group believes that interrogating all indicators is important in the context of its value-creation approach and responsible citizenship programme.

    Barloworld underwent material planned changes over the past few months with a different strategic planning approach. Core to these changes was a robust, systematic and structured strategic review process through which the key determinants for maximising value were identified, prioritised and targets set against them. These key determinants are the areas that have a material impact on value creation for each of our identified stakeholder groups.

    As reflected in the image below, numerous factors, both internal and external, encompassing regulatory, economic, social, political, global influences, stakeholder expectations, amongst others, have an impact on the organisation and our strategic imperatives. These considerations are brought to bear on the identification, prioritisation and ratification of issues deemed material to Barloworld’s value creation activities. These matters are deliberated at board levels, feeding into our strategic framework and the identification of risk impacts on the organisation.

    Defining the material themes

    Determining matters to report on is on-going engagement, throughout the year, informed by our risk identification process and stakeholder engagement to prioritise issues.

    Similarly the identification and prioritisation of report content and associated key messaging are guided by processes that seek to ensure that those issues deemed to be material are effectively communicated.

    These are compared and then prioritised based on internal and external assessments.

    In general, there is alignment between issues raised internally and those raised through external processes, although emphasis does vary in some cases. Currently validation is essentially an internally orientated process, with authorisation by various board subcommittees and ultimate sign-off by the Audit committee and Barloworld board. While our materiality framework is still evolving, we believe it is sufficiently robust to instil confidence in the report’s content, particularly when read in conjunction with the remainder of our integrated reporting.

    Given the group’s focus on engaging with employees, shareholders, customers and principals/service providers, Barloworld is aware of the primary issues governing these relationships, what topics are important to these stakeholders, how to prioritise them, and hence what the focus for its reporting should be.

    A number of processes are followed in defining the report content. These include executive committee approval of material issues as well as tabling identified material issues at the Risk and Sustainability committee, and input from the group Audit committee and the board.

    Through these processes, the group prioritises report content and validates the importance of these issues. The principle of materiality guides the prioritisation of topics identified during the stakeholder engagement process. (See GRI 4.20, 4.21, 4.24 and 4.27).

    In determining the materiality of issues, the nature of its response and content of this report, the group considers:

    • Its significant economic, environmental and social impacts
    • Information that would substantively influence the assessments and decisions of stakeholders regarding its long-term strategy, as well as short-term economic impact on its stakeholders and how its performance will affect them. Refer also to: Refer also to:
      • Indicator G4-2: Description of key impacts
      • Disclosures on Management Approaches:
        ASPECT: ECONOMIC PERFORMANCE
        ASPECT: MARKET PRESENCE
        ASPECT: INDIRECT ECONOMIC IMPACTS
        ASPECT: PROCUREMENT PRACTICES
        ASPECT: MATERIALS
        ASPECT: ENERGY
        ASPECT: WATER
        ASPECT: BIODIVERSITY
        ASPECT: EMISSIONS
        ASPECT: EFFLUENTS AND WASTE
        ASPECT: PRODUCTS AND SERVICES
        ASPECT: COMPLIANCE
        ASPECT: TRANSPORT
        ASPECT: OVERALL
        ASPECT: SUPPLIER ENVIRONMENTAL ASSESSMENT
        ASPECT: ENVIRONMENTAL GRIEVANCE MECHANISM
        ASPECT: EMPLOYMENT
        ASPECT: LABOUR / MANAGEMENT RELATIONS
        ASPECT: OCCUPATIONAL HEALTH AND SAFETY
        ASPECT: TRAINING AND EDUCATION
        ASPECT: DIVERSITY AND EQUAL OPPORTUNITY
        ASPECT: EQUAL REMUNERATION FOR WOMEN AND MEN
        ASPECT: ASSESSMENT FOR LABOUR PRACTICES
        ASPECT: LABOUR GRIEVANCE MECHANISMS
        ASPECT: INVESTMENT
        ASPECT: NON-DISCRIMINATION
        ASPECT: FREEDOM OF ASSOCIATION AND COLLECTIVE BARGAINING
        ASPECT: CHILD LABOUR
        ASPECT: FORCED AND COMPULSORY LABOUR
        ASPECT: SECURITY PRACTICES
        ASPECT: INDIGENOUS RIGHTS
        ASPECT: ASSESSMENT
        ASPECT: SUPPLIER HUMAN RIGHTS ASSESSMENT
        ASPECT: HUMAN RIGHTS GRIEVANCE MECHANISMS
        ASPECT: LOCAL COMMUNITIES
        ASPECT: ANTI-CORRUPTION
        ASPECT: PUBLIC POLICY
        ASPECT: ANTI-COMPETITIVE BEHAVIOUR
        ASPECT: COMPLIANCE
        ASPECT: ASSESSMENT
        ASPECT: SUPPLIER ASSESSMENT FOR IMPACTS ON SOCIETY
        ASPECT: GRIEVANCE MECHANISM FOR IMPACT IMPACTS ON SOCIETY
        ASPECT: CUSTOMER HEALTH AND SAFETY
        ASPECT: PRODUCT AND SERVICE LABELLING
        ASPECT: MARKETING COMMUNICATIONS
        ASPECT: CUSTOMER PRIVACY
        ASPECT: COMPLIANCE
    • Its commitments in terms of its policies, undertakings and the external regulatory environment, including the listing requirements of relevant stock exchanges
    • The activities of peers and trends in relevant industries, as well as best practice
    • Issues and expectations emerging from its various stakeholder engagement activities
    • General expectations of relevant emerging codes and reporting frameworks, including the Global Reporting Initiative and appropriate indices such as the FTSE/JSE Responsible Investment Index. Where appropriate, these are factored into operational management systems, discussed with relevant stakeholders and addressed in reports
    • Relevant media exposures and reporting
    • A three step process for defining report content; identification, prioritisation and validation.

    The GRI’s principles for defining report content are also considered and addressed. These are:

    • Stakeholder inclusiveness
    • Sustainability context
    • Materiality
    • Completeness
    • Balance
    • Comparability
    • Accuracy
    • Timeliness
    • Clarity
    • Reliability.

    The risk and sustainability committee considers the materiality of sustainability (Safety; Health and Environment) indicators and approves those for external assurance.

    A comprehensive assurance matrix covering issues referenced in our integrated reporting which is aligned to the GRI reporting framework, is under review.

    The group’s stakeholder engagement initiatives identify and highlight material issues which influence and inform the group’s reporting, strategy and operations as well as prioritising issues for reporting purposes.

    Barloworld also prioritises report content by assessing the year under review and future strategy to provide a forward perspective in order to decide which aspects require more detail and attention than others based on the framework used in determining materiality across the environmental, social and economic spectrum.

    The group is committed to ensuring credibility, clarity, completeness and comparability of reported information and uses the Global Reporting Initiative (G4) indicators to ensure alignment with global reporting practices.

    Relevance and materiality of reported data is continually reviewed in light of the group’s structure, activities and stakeholder engagement. Quantitative and qualitative aspects are considered in the assessment of materiality.

    Organisational boundaries for collecting data mirror those used for financial purposes to align our financial, environmental and social reporting. Data is collected at operational level and consolidated at divisional and group levels. Reporting structures and boundaries for greenhouse gas emissions are also aligned with the Greenhouse Gas (GHG) Protocol Corporate Standard. We classify the emissions from customer use of our rental fleets as scope 3 emissions.

    Material aspects

    The group reports on a wide range of aspects. These include aspects and themes which are aligned to its Purpose, strategic pillars and responsible citizenship programme those covered in its Worldwide Code of Conduct and Code of Ethics and aspects included in the GRI reporting guidelines.

    Not all aspects are regarded as being equally important or material, although all are regarded as being relevant to the group’s Purpose – Inspiring a world of difference, enabling growth and progress in society, and its strategic ambitions.

    Economic, environmental and social categories and related aspects are reported as they all impact Barloworld's ongoing creation of shared value for stakeholders which encompasses delivering top quartile shareholder returns; driving profitable growth; instilling a high-performance culture underpinned by our responsible citizenship programme.

    In these circumstances, principally all G4 disclosures are material to the group, while we recognise that some may be more material to certain of our operations than others. We have therefore responded to all aspects and indicators in the GRI G4 Sustainability Reporting Guidelines although not all responses may be complete, we believe there is sufficient disclosure to enable our stakeholders to gain a perspective on the group’s position or approach in respect of these aspects.

    A full list is reflected in our GRI Content Index table.

    Boundary

    Barloworld’s integrated reporting includes printed and online versions of the 2017 Integrated Report and 2017 Annual General Meeting Booklet, a full set of 2017 Consolidated Annual Financial Statements and a full online response to the GRI Sustainability Reporting Guidelines (G4). These reports are aligned, and complementary.

    The Integrated Report and related reporting covers the performance of Barloworld Limited for the financial period of 1 October 2016 to 30 September 2017 in all the geographic regions in which the Barloworld group and its subsidiaries operate. Associates and joint ventures are equity accounted.

    The consolidated data incorporates the company and all entities controlled by Barloworld as if they are a single economic entity. There are no other entities over which the group has significant influence that it believes should be included in the report.

    Both financial and non-financial data are aligned to the same financial reporting period allowing for comparability of performance data.

    Barloworld has embraced the principle-based framework of integrated reporting giving perspective to broad stakeholder interests; and the report is guided by various codes and standards, on the material matters affecting the various stakeholder groups.

    In addition to the International Financial Reporting Standards (IFRS), and the King Report on Corporate Governance for South Africa (King IV), Barloworld uses the Global Reporting Initiative’s Sustainability Reporting Guidelines (G4), the Greenhouse Gas (GHG) Protocol (Corporate Standard) and the International Integrated Reporting Framework. Where relevant, the outcomes of stakeholder engagement processes are used as reference points.

    The financial control approach is adopted for non-financial reporting, including energy and emissions reporting, which aligns to the group’s consolidation approach as detailed above.

    Barloworld’s integrated reporting provides a comprehensive perspective of past and current performance, while giving sight of future prospects; and addresses the short, medium and long-term account of capitals employed in the value creation activities.

    Generally comparable corporate performance data and information are provided on all material aspects of the group and its value creation activities without specific limitations. Any limitations will be disclosed in the relevant indicator.

    For more detail see also LA 6.

    Coverage

    Responses to the indicators cover the performance of Barloworld Limited in all the geographic regions in which the Barloworld group and its subsidiaries operate. The consolidated data incorporates the company and all entities controlled by Barloworld as if they are a single economic entity. There are no other entities over which the group has significant influence that it believes should be included in the report. Associates and joint ventures are equity accounted.

    Aligning our strategy and value creation approach with GRI G4 Specific Disclosures

    The table below aligns our Strategic framework with the GRI G4 categories and aspects of their specific standard disclosures. The group reports on all the aspects set out below, including all the categories and aspects in the general Standard Disclosures (including Strategy and Analysis, Governance, Ethics and integrity) as they are covered by either the group’s Strategic framework, its responsible citizenship programme, or the Barloworld Worldwide Code of Conduct, Barloworld’s Code of Ethics and are therefore considered to be material (although not equally so).

    Strategic Pillar / Aspect GRI G4 - Categories and Aspects
    Economic Environment Social
    Labour practice and decent work Human rights Society Product Responsibility
    Instil a high-performance culture
    • Procurement practices
     
    • Employment
    • Labour/management relations
    • Occupational health and safety
    • Training and education
    • Diversity and equal opportunity
    • Equal remuneration for women and men
    • Grievance mechanism
    • Non-discrimination (No unfair discrimination)
    • Freedom of association and collective bargaining
    • Child labour
    • Forced or compulsory labour
    • Security practices
    • Indigenous rights
    • Grievance mechanism
    • Diversity and equal opportunity
    • Equal remuneration for women and men
     
    • Product and Service labeling
    Responsible citizenship programme
    • Indirect economic impacts
    • Procurement practices
    • Energy
    • Water
    • Emissions
    • Effluents and waste
    • Materials
    • Biodiversity
    • Products and services
    • Compliance
    • Transport
    • Supplier assessments
    • Grievance mechanisms
    • Supplier assessment
    • Supplier assessment
    • Local communities
    • Anti-corruption
    • Public Policy
    • Anti-competitive behaviour
    • Compliance
    • Supplier Assessment
    • Grievance mechanisms
    • Customer health and safety
    • Marketing communication
    • Customer privacy
    • Compliance
    Drive profitable growth
    • Market presence
    • Products and services
     
    • Investment
     
    • Customer health and safety
    • Product and Service labeling
    Deliver top quartile shareholder returns
    • Economic Performance
    • Procurement practices
    • Products and services
           

    Barloworld’s alignment with the United Nation’s Sustainable Development Goals (SDGs)

    The group also considers its alignment with the UN SDGs and their impact on its materiality assessment.

    While this process is evolving and the group continues to refine its approach, Barloworld has developed a matrix reflecting the alignment between the SDGs and; central aspects of the group’s strategic framework, including indicators and aspirational goals; as well as its responsible citizenship programme. In many instances, although there may not be an explicit or direct alignment, the consequences or indirect impact of Barloworld’s approach may positively impact an SDG.

    The matrix also indicates where these issues are covered in Barloworld’s GRI responses and their links to its other publically available information in our 2017 integrated reporting.

    The matrix: Barloworld’s alignment with the United Nation’s Sustainable Development Goals (SDGs) is available on our website.

  • 4.19. List all the material Aspects identified in the process for defining report content.

    Integrated Report:

    Given the extent of its operational, geographic, industry and stakeholder diversity Barloworld adopts a broad approach to integrated reporting at a group level. It uses the GRI guidelines in this regard and as a management tool. It endeavours to understand its position relative to all indicators but is mindful that not all indicators are of equal concern to the organisation or its stakeholders. Nevertheless, the group believes that interrogating all indicators is important in the context of its value-creation approach and that of responsible corporate citizenship.

    The identification, prioritisation and validation of its integrated reporting is informed by its commitment to the ongoing creation of shared value for all its stakeholders through the purposeful stewardship of the six capitals and balancing our stakeholders' interests.

    Value creation for stakeholders is impacted by the group's Purpose: Inspiring a world of difference, enabling growth and progress in society, its three strategic pillars (Deliver top quartile shareholder returns; Drive profitable growth; Instil a high-performance culture) and its responsible citizenship programme.

    These define what the group believes are material and inform the broad areas to be addressed in its reporting. Within the context of strategic approach, the group reviews its strategic approach and integrated reporting on an annual basis.

    Numerous factors, both internal and external, encompassing regulatory, economic, social, political, global influences, stakeholder expectations, amongst others, have an impact on our organisation and our strategic imperatives. These considerations are brought to bear on the identification, prioritisation and validation of issues deemed material to Barloworld's value creation activities. These matters are deliberated at both operational and board levels, feeding into our strategic framework, and the identification of risk impacts on the organisation.

    The Barloworld approach to determining matters to report on is on-going engagement, throughout the year, informed by our risk identification process and stakeholder engagement to prioritise issues. Similarly the identification and prioritisation of report content and associated key messaging are guided by processes that seek to ensure that those issues deemed to be material are effectively communicated. These influences and initiatives are quantitative and qualitative in nature and cover internal and external perspectives. Issues are identified by considering meeting agendas and minutes, policies, our values, ethics and codes of conduct, strategies, targets, risk management processes and employee surveys.

    External identification considers: stakeholders' interests along with leading reporting initiative frameworks such as CDP's Climate Change and Water responses, the FTSE/JSE Responsible Investment Index, the GRI G4 Sustainability reporting guidelines, Dow Jones Sustainability Emerging Markets Index as well as peer reporting, media requirements, regulation and expectations.

    In general, there is alignment between issues raised internally and those raised through external processes, although emphasis does vary in some cases. Currently validation is essentially an internally orientated process, with authorisation by various board subcommittees and ultimate sign-off by the Audit committee and Barloworld board.

    While our materiality framework is still evolving, we believe it is sufficiently robust to instil confidence in the report's content, particularly when read in conjunction with the remainder of our integrated reporting.

    Given the group's focus on engaging with employees, shareholders, customers and principals/service providers, Barloworld is aware of the primary issues governing these relationships, what topics are important to these stakeholders, how to prioritise them, and hence what the focus for its reporting should be.

    A number of processes are followed in defining the report content. These include interactions with the operations, executive and board sub-committees. Through these processes, the group prioritises report content and validates the importance of these issues. The principle of materiality guides the prioritisation of topics identified during the stakeholder engagement process. (See GRI 4.20, 4.21, 4.24 and 4.27).

    Barloworld uses the GRI guidelines as a management tool. It endeavours to understand its position relative to all indicators but is mindful that not all indicators are of equal concern to the organisation or its stakeholders.

    Nevertheless, the group believes that interrogating all indicators is important in the context of its value-creation approach and its responsible citizenship programme.

    In determining the materiality of issues, the nature of its response and content of this report, the group considers:

    • Its significant economic, environmental and social impacts
    • Information that would substantively influence the assessments and decisions of stakeholders
    • Its long and medium term strategy as well as short-term economic impact on its stakeholders and how its performance will affect them
    • Its commitments in terms of its policies, undertakings and the external regulatory environment, including the listing requirements of relevant stock exchanges
    • The activities of peers and trends in relevant industries, as well as best practice
    • Issues and expectations emerging from its various stakeholder engagement activities
    • General expectations of relevant emerging codes and reporting frameworks, including the Global Reporting Initiative and appropriate indices such as the FTSE/JSE Responsible Investment Index. Where appropriate, these are factored into operational management systems, discussed with relevant stakeholders and addressed in reports
    • Relevant media exposures and reporting
    • A three step process for defining report content; identification, prioritisation and validation
    • The GRIs principles for defining report content are also considered and addressed. These are:
      • Stakeholder inclusiveness
      • Sustainability context
      • Materiality
      • Completeness
      • Balance
      • Comparability
      • Accuracy
      • Timeliness
      • Clarity
      • Reliability.

    The risk and sustainability committee considers the materiality of non-financial indicators and selects those for external assurance. A comprehensive assurance matrix covering issues referenced in our integrated reporting which is aligned to the GRI reporting framework, is under review. The group's stakeholder engagement initiatives identify and highlight material issues which influence and inform the group's reporting, strategy and operations as well as prioritising issues for reporting purposes.

    Barloworld also prioritises report content by assessing the year under review and future strategy to provide a forward perspective in order to decide which aspects require more detail and attention than others based on the framework used in determining materiality across the environmental, social and economic spectrum.

    The group is committed to ensuring credibility, clarity, completeness and comparability of reported information and uses the Global Reporting Initiative (G4) indicators to ensure alignment with global reporting practices. Relevance and materiality of reported data is continually reviewed in light of the group's structure, activities and stakeholder engagement. Quantitative and qualitative aspects are considered in the assessment of materiality.

    Organisational boundaries for collecting data mirror those used for financial purposes to align our financial, environmental and social reporting. Data is collected at operational level and consolidated at divisional and group levels. Reporting structures and boundaries for greenhouse gas emissions are also aligned with the Greenhouse Gas (GHG) Protocol Corporate Standard. We classify the emissions from customer use of our rental fleets as scope 3 emissions.

    Material aspects

    The group reports on a wide range of aspects including those for which specific performance indicators and aspirational targets have been set , those covered in its Worldwide Code of Conduct and Code of Ethics, and aspects included in the GRI G4 Sustainability reporting guidelines.

    Not all aspects are regarded as being equally important, although all are regarded as being relevant to the group's Purpose: Inspiring a world of difference, enabling growth and progress in society, its three strategic pillars (Deliver top quartile shareholder returns; Drive profitable growth; Instil a high-performance culture) and its responsible citizenship programme.

    Purposeful stewardship of the six capitals and balancing our stakeholders' interests also informs materiality.

    In these circumstances, principally all G4 disclosures are material to the group, while we recognise that some may be more material to certain of our operations than others. We have therefore responded to all aspects and indicators in the GRI G4 framework although not all responses may be complete, we believe there is sufficient disclosure to enable our stakeholders to gain a perspective on the group's position in respect of these aspects. These are as follows:

    ASPECT: ECONOMIC PERFORMANCE
    ASPECT: MARKET PRESENCE
    ASPECT: INDIRECT ECONOMIC IMPACTS
    ASPECT: PROCUREMENT PRACTICES
    ASPECT: MATERIALS
    ASPECT: ENERGY
    ASPECT: WATER
    ASPECT: BIODIVERSITY
    ASPECT: EMISSIONS
    ASPECT: EFFLUENTS AND WASTE
    ASPECT: PRODUCTS AND SERVICES
    ASPECT: COMPLIANCE
    ASPECT: TRANSPORT
    ASPECT: OVERALL
    ASPECT: SUPPLIER ENVIRONMENTAL ASSESSMENT
    ASPECT: ENVIRONMENTAL GRIEVANCE MECHANISM
    ASPECT: EMPLOYMENT
    ASPECT: LABOUR / MANAGEMENT RELATIONS
    ASPECT: OCCUPATIONAL HEALTH AND SAFETY
    ASPECT: TRAINING AND EDUCATION
    ASPECT: DIVERSITY AND EQUAL OPPORTUNITY
    ASPECT: EQUAL REMUNERATION FOR WOMEN AND MEN
    ASPECT: ASSESSMENT FOR LABOUR PRACTICES
    ASPECT: LABOUR GRIEVANCE MECHANISMS
    ASPECT: INVESTMENT
    ASPECT: NON-DISCRIMINATION
    ASPECT: FREEDOM OF ASSOCIATION AND COLLECTIVE BARGAINING
    ASPECT: CHILD LABOUR
    ASPECT: FORCED AND COMPULSORY LABOUR
    ASPECT: SECURITY PRACTICES
    ASPECT: INDIGENOUS RIGHTS
    ASPECT: ASSESSMENT
    ASPECT: SUPPLIER HUMAN RIGHTS ASSESSMENT
    ASPECT: HUMAN RIGHTS GRIEVANCE MECHANISMS
    ASPECT: LOCAL COMMUNITIES
    ASPECT: ANTI-CORRUPTION
    ASPECT: PUBLIC POLICY
    ASPECT: ANTI-COMPETITIVE BEHAVIOUR
    ASPECT: COMPLIANCE
    ASPECT: ASSESSMENT
    ASPECT: SUPPLIER ASSESSMENT FOR IMPACTS ON SOCIETY
    ASPECT: GRIEVANCE MECHANISM FOR IMPACT IMPACTS ON SOCIETY
    ASPECT: CUSTOMER HEALTH AND SAFETY
    ASPECT: PRODUCT AND SERVICE LABELLING
    ASPECT: MARKETING COMMUNICATIONS
    ASPECT: CUSTOMER PRIVACY
    ASPECT: COMPLIANCE

    A full list is reflected in our GRI Index.

    Aligning our strategy and value creation approach with GRI G4 Specific Disclosures

    The table below aligns our Strategic framework with the GRI G4 categories and aspects of their specific standard disclosures. The group reports on the all the aspects set out below, including all the categories and aspects in the general standard disclosures (including Strategy and Analysis, Governance, Ethics and integrity) as they covered by either the group's Strategic framework, its responsible citizenship programme, or the Barloworld Worldwide Code of Conduct, or Barloworld's Code of Ethics, and are therefore considered to be material (although not equally so).

    Strategic Pillar / Aspect GRI G4 - Categories and Aspects
    Economic Environment Social
    Labour practice and decent work Human rights Society Product Responsibility
    Instil a high-performance culture
    • Procurement practices
     
    • Employment
    • Labour/management relations
    • Occupational health and safety
    • Training and education
    • Diversity and equal opportunity
    • Equal remuneration for women and men
    • Grievance mechanism
    • Non-discrimination (No unfair discrimination)
    • Freedom of association and collective bargaining
    • Child labour
    • Forced or compulsory labour
    • Security practices
    • Indigenous rights
    • Grievance mechanism
    • Diversity and equal opportunity
    • Equal remuneration for women and men
     
    • Product and Service labeling
    Responsible citizenship programme
    • Indirect economic impacts
    • Procurement practices
    • Energy
    • Water
    • Emissions
    • Effluents and waste
    • Materials
    • Biodiversity
    • Products and services
    • Compliance
    • Transport
    • Supplier assessments
    • Grievance mechanisms
    • Supplier assessment
    • Supplier assessment
    • Local communities
    • Anti-corruption
    • Public Policy
    • Anti-competitive behaviour
    • Compliance
    • Supplier Assessment
    • Grievance mechanisms
    • Customer health and safety
    • Marketing communication
    • Customer privacy
    • Compliance
    Drive profitable growth
    • Market presence
    • Products and services
     
    • Investment
     
    • Customer health and safety
    • Product and Service labeling
    Deliver top quartile shareholder returns
    • Economic Performance
    • Procurement practices
    • Products and services
           

    Barloworld's alignment with the United Nation's Sustainable Development Goals (SDGs)

    In addition to the principles of the UN Global Compact, the group also considers its alignment with the SDGs and their impact on its materiality assessment.

    While this process is evolving and the group continues to refine its approach, Barloworld has developed a matrix reflecting the alignment between the SDGs and; central aspects of the group's strategic framework, including indicators and aspirational goals; as well as its responsible citizenship programme. In many instances, although there may not be an explicit or direct alignment, the consequences or indirect impact of Barloworld's approach may positively impact an SDG.

    The matrix also indicates where these issues are covered in Barloworld's GRI responses and their links to its other publically available information in our 2017 integrated reporting.

    The matrix: Barloworld's alignment with the United Nation's Sustainable Development Goals (SDGs) is available on our website.

  • 4.20. For each material Aspect, report the Aspect Boundary within the organisation.

    Integrated Report:
    Consolidated Annual Financial Statements:
    • Report whether the Aspect is material within the organisation
    • If the Aspect is not material for all entities within the organisation (as described in G4-17), select one of the following two approaches and report either:
      • The list of entities or groups of entities included in G4-17 for which the Aspect is not material or
      • The list of entities or groups of entities included in G4-17 for which the Aspects is material
    • Report any specific limitation regarding the Aspect Boundary within the organisation

    Given the extent of its operational, geographic, industry and stakeholder diversity Barloworld adopts a broad approach to integrated reporting at a group level. It uses the GRI guidelines in this regard and as a management tool. It endeavours to understand its position relative to all indicators but is mindful that not all indicators are of equal concern to the organisation or its stakeholders. Nevertheless, the group believes that interrogating all indicators is important in the context of its value-creation approach and that of responsible corporate citizenship.

    The identification, prioritisation and validation of its integrated reporting is informed by its commitment to the ongoing creation of shared value for all its stakeholders through the purposeful stewardship of the six capitals and balancing our stakeholders' interests.

    Value creation for stakeholders is impacted by the group's Purpose: Inspiring a world of difference, enabling growth and progress in society, its three strategic pillars (Deliver top quartile shareholder returns; Drive profitable growth; Instil a high-performance culture) and its responsible citizenship programme.

    These define what the group believes are material and inform the broad areas to be addressed in its reporting. Within the context of strategic approach, the group reviews its strategic approach and integrated reporting on an annual basis.

    Barloworld's GRI response is provided at a group-level and considered in the context of our commitments in terms of:

    • Code of ethics
    • Worldwide code of conduct
    • Group Strategic framework
    • Group's responsible citizenship programme

    In these circumstances, principally all G4 disclosures are material to the group, while we recognise that some may be more material to certain of our operations than others. We have therefore responded to all aspects and indicators in the GRI G4 framework although not all responses may be complete, we believe there is sufficient disclosure to enable our stakeholders to gain a perspective on the group's position in respect of these aspects. These are as follows:

    ASPECT: ECONOMIC PERFORMANCE
    ASPECT: MARKET PRESENCE
    ASPECT: INDIRECT ECONOMIC IMPACTS
    ASPECT: PROCUREMENT PRACTICES
    ASPECT: MATERIALS
    ASPECT: ENERGY
    ASPECT: WATER
    ASPECT: BIODIVERSITY
    ASPECT: EMISSIONS
    ASPECT: EFFLUENTS AND WASTE
    ASPECT: PRODUCTS AND SERVICES
    ASPECT: COMPLIANCE
    ASPECT: TRANSPORT
    ASPECT: OVERALL
    ASPECT: SUPPLIER ENVIRONMENTAL ASSESSMENT
    ASPECT: ENVIRONMENTAL GRIEVANCE MECHANISM
    ASPECT: EMPLOYMENT
    ASPECT: LABOUR/MANAGEMENT RELATIONS
    ASPECT: OCCUPATIONAL HEALTH AND SAFETY
    ASPECT: TRAINING AND EDUCATION
    ASPECT: DIVERSITY AND EQUAL OPPORTUNITY
    ASPECT: EQUAL REMUNERATION FOR WOMEN AND MEN
    ASPECT: ASSESSMENT FOR LABOUR PRACTICES
    ASPECT: LABOUR GRIEVANCE MECHANISMS
    ASPECT: INVESTMENT
    ASPECT: NON-DISCRIMINATION
    ASPECT: FREEDOM OF ASSOCIATION AND COLLECTIVE BARGAINING
    ASPECT: CHILD LABOUR
    ASPECT: FORCED AND COMPULSORY LABOUR
    ASPECT: SECURITY PRACTICES
    ASPECT: INDIGENOUS RIGHTS
    ASPECT: ASSESSMENT
    ASPECT: SUPPLIER HUMAN RIGHTS ASSESSMENT
    ASPECT: HUMAN RIGHTS GRIEVANCE MECHANISMS
    ASPECT: LOCAL COMMUNITIES
    ASPECT: ANTI-CORRUPTION
    ASPECT: PUBLIC POLICY
    ASPECT: ANTI-COMPETITIVE BEHAVIOUR
    ASPECT: COMPLIANCE
    ASPECT: SUPPLIER ASSESSMENT FOR IMPACTS ON SOCIETY
    ASPECT: GRIEVANCE MECHANISM FOR IMPACT IMPACTS ON SOCIETY
    ASPECT: CUSTOMER HEALTH AND SAFETY
    ASPECT: PRODUCT AND SERVICE LABELLING
    ASPECT: MARKETING COMMUNICATIONS
    ASPECT: CUSTOMER PRIVACY
    ASPECT: COMPLIANCE
    ASPECT: ASSESSMENT

    Generally comparable performance data and information are provided on all material aspects of the group and its value creation activities without specific limitations. Any limitations will be disclosed in the relevant indicator. For more detail see also LA 6 and the Barloworld LTIFR Approach document.

    Coverage

    Responses to the indicators cover the performance of Barloworld Limited in all the geographic regions in which the Barloworld group and its subsidiaries operate. The consolidated data incorporates the company and all entities controlled by Barloworld as if they are a single economic entity. There are no other entities over which the group has significant influence that it believes should be included in the report. Associates and joint ventures are equity accounted.

  • 4.21. For each material Aspect, report the Aspect Boundary outside the organisation, as follows:

    Integrated Report:
    Consolidated Annual Financial Statements:
    • Report whether the Aspect is material outside of the organisation
    • If the Aspect is material outside of the organisation, identify the entities, groups of entities or elements for which the Aspect is material. In addition, describe the geographical location where the Aspect is material for the entities identified
    • Report any specific limitation regarding the Aspect Boundary outside the organisation

    Due to the diverse nature of the group, its operations, geographies, stakeholders and value chain, it considers and reports on a wide range of issues (all GRI indicators) recognising that some aspects may be more material in certain circumstances and to certain stakeholders, than others.

  • 4.22. Explanation of the effect of any re-statements of information provided in earlier reports, and the reasons for such re-statement.

    Integrated Report:
    Consolidated Annual Financial Statements:

    A decision was reached to exit the Barloworld Equipment Iberia business in the coming financial year. As such, this business is presented as a discontinued operation and assets and liabilities held for sale. This has resulted in the restatement of financial and non-financial information, including affected targets and baselines. The disposal of Handling and Agriculture SA into a joint venture with BayWa was effective 1 March 2017. Automotive finalised the sale of one BMW dealership and the closure of one BMW and three General Motors (GM) dealerships following GM's decision to exit from South Africa. In Logistics, the buy-out of minorities in the Transport business was concluded in June 2017. These transactions did not require restatement of any reported data. All data in this report, and our 2017 integrated reporting, reflects continuing operations only.

    See also Consolidated Financial Statements 2017: Note 33.2 - Changes to comparative information

    The summary table below reflects the impact of the above approach on material sustainability indicators for the group:

    Sec. Indicators Barloworld Group non-financial summary  
    2017   2016   2015  
    Continuing
    operations
    only
      Including
    BWE
    Iberia
      % Δ   Continuing
    operations
    only
      Including
    BWE
    Iberia
      % Δ   Continuing
    operations
    only
      Including
    BWE
    Iberia
      % Δ  
    Work-related Fatalities 3   3     1   1     0   0    
    FIFR‡ 0.011   0.010   10%   0.004   0.004     0.000   0.000    
    LTIFR# 0.75   0.83   -10%   0.75   0.83   -10%   0.99   1.11   -11%  
    Severity Index (SI) * 7.78   8.62   -10%   8.00   8.70   -8%   9.4   11.34   -17%  
    % of SA employees who know their HIV Status 72%   72%     86%   86%     79%   79%    
    % of SA employees tested HIV Positive 5%   5%     5%   5%     6%   6%    
    Total Fuel (KL) 74 709   76 226   -2%   73 409   74 983   -2%   68 645   70 244   -2%  
    Grid Electricity (MWh) 77 630   83 716   -7%   78 067   84 295   -7%   75 937   82 277   -8%  
    Non-renewable Energy (GJ) 3 087 269   3 165 249   -2%   3 037 034   3 117 091   -3%   2 843 935   2 925 449   -3%  
    Non-renewable Energy Intensity^  49.8   47.8   4%   48.9   46.8   4%   48.2   46.6   3%  
    Emissions (tCO2e) (Scope 1 and 2) 270 707   276 734   -2%   266 769   272 961   -2%   250 889   257 192   -2%  
    Emissions Intensity+  (Scope 1 and 2) 4.4   4.2   5%   4.3   4.1   5%   4.3   4.1   5%  
    Emissions (tCO2e) (Scope 3 – Air Travel) 6 764   7 256   7%   6 668   7 512   -11%   6 221   7 359   -15%  
    Emissions (tCO2e) (Scope 3 – Rental Fleet) 244 140   274 964   -11%   268 132   301 412   -11%   248 411   282 827   -12%  
    Water Withdrawals (ML) 674   704   -4%   755   788   -4%   708   745   -5%  
    Water Withdrawal Intensityπ, 10.9   10.6   3%   12.2   11.8   3%   12.0   11.9   1%  
    Water Recycled (KL) 166 801   168 631   -1%   132 741   135 159   -2%   148 656   150 396   -1%  
    Percentage water recycled (%) 24.8%   24.0%   3%   17.6%   17.2%   2%   21.0%   20.2%   4%  
    Disposed through certified waste 97%   97%     95%   95%   -1%   94%   95%   -1%  
    Disposed through certified 99%   100%   -1%   100%   100%     100%   100%    

  • 4.23. Significant changes from previous reporting periods in the scope and Aspect boundaries in the report.

    Integrated Report:
    Consolidated Annual Financial Statements:

    There were no changes to scope and aspect boundaries from prior year. Our integrated reporting continues to cover the performance of Barloworld Limited for the financial year October 2016 to September 2017 in all geographic regions in which the Barloworld group and its subsidiaries operate. Associates and joint ventures are equity accounted and thus not included in consolidated non-financial data. The consolidated data incorporates the company and all entities controlled by Barloworld as if they are a single economic entity. There are no other entities over which the group has significant influence that it believes should be included in the report. Both financial and non-financial data is aligned to the same financial reporting period allowing for comparison of performance data. Any limitations are disclosed in the relevant section. Our consolidated financial statements are prepared in accordance with International Financial Reporting Standards (IFRS).