Sin Heng Heavy Machinery : Annual Reports And Related Documents

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SUSTAINABILITY REPORT 2020

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"This document is intended solely for the information and internal use of Sin Heng, and should not be used of

relied upon by any other person or entity."

Contents
INTRODUCTION.............................................................................................................................................	3
ABOUT US..................................................................................................................................................	3
OUR PROFESSIONALISM ...........................................................................................................................	4
MEMBERSHIP OF ASSOCIATION................................................................................................................	4
CONTACT US .............................................................................................................................................	4
ABOUT THIS REPORT.....................................................................................................................................	5
SCOPE OF THE REPORT .............................................................................................................................	5
IN SCOPE ENTITIES ....................................................................................................................................	6
MESSAGE FROM BOARD ...............................................................................................................................	7
BOARD STATEMENT..................................................................................................................................	7
MATERIALITY ASSESSMENT ..........................................................................................................................	8
MATERIAL ASPECTS AND INDICATORS IDENTIFIED...................................................................................	8
ENGAGING OUR STAKEHOLDERS ..................................................................................................................	9
OUR ECONOMIC PERFORMANCE..................................................................................................................	9
HIGHLIGHTING OUR ECONOMIC PERFORMANCE.....................................................................................	9
CHAMPIONING ENVIRONMENTAL STEWARDSHIP .....................................................................................	10
OUR APPROACH ......................................................................................................................................	10
COMPLYING WITH ENVIRONMENTAL STANDARDS................................................................................	10
PUTTING OUR PEOPLE FIRST.......................................................................................................................	11
EMBRACING OUR DIVERSE WORKFORCE ...............................................................................................	11
PROTECTING OUR EMPLOYEES' WELLBEING ..........................................................................................	13
SAFEGUARDING OUR CUSTOMERS' HEALTH AND SAFETY .....................................................................	14
DEVELOPING A SKILLED WORKFORCE.....................................................................................................	15
CULTIVATING A CONDUCIVE WORK ENVIRONMENT .................................................................................	16
CORPORATE GOVERNANCE ....................................................................................................................	16
MANAGING RISKS ...................................................................................................................................	16
WHISTLEBLOWING..................................................................................................................................	16
GRI CONTENT INDEX ...................................................................................................................................	17
TABLE OF GRI CONTENT INDEX...............................................................................................................	17

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INTRODUCTION

ABOUT US

Sin Heng Heavy Machinery Limited ("Sin Heng", the "Company" or "We") was founded in 1969 and is a public company listed on the Main Board of Singapore Exchange ("SGX-ST"), with its core business activities revolving around the rental and trading of cranes, aerial lifts, and other heavy lifting equipment. Having its headquarters in Singapore for its region-wide business operations has enabled Sin Heng to secure a strong presence in Singapore, Malaysia, Indonesia, Myanmar, and Vietnam. With years of experience in the field, Sin Heng has also grown into an established provider of substantial lifting services in Singapore and boasts regional distributorships rights granted by world-renowned crane manufacturers. The Group is also involved in providing turnkey project engineering services as well as managing the sales and distribution of related equipment parts to support its customers.

Figure 1: Our customers

Having accumulated know-hows from its five-decade involvement in the field, the Group continues to strive to enhance its experience and expertise in providing comprehensive lifting services. Through these efforts, Sin Heng has successfully established an active market presence within the region which enabled it to leverage on a wide range of customer portfolio from the infrastructure and geotechnics, construction, civil engineering works, offshore and marine as well as oil and gas industries as shown in Figure 1.

"The Group is firmly committed to providing its customers with the best lifting services. Its vision

is to provide high quality and reliable services to its customers in Asia."

• Our Vision

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A component of The Group's support services across Asia involves the management of the sales and distribution of its products. Through continuous dedication and commitment to reliability, the Group has won the regional distributorship rights for a variety of its equipment. This helped to boost the confidence its significant customer portfolios have in the Group.

Apart from regional distributorship rights, the Group also owns dealership rights for the sales and distribution of cranes and parts for Kobelco (specialist in Japanese crawler cranes), Kato (specialist in hydraulic cranes), and Grove (specialist in European all-terrain cranes). Being a global company, Sin Heng ensures and maintains its quality of overseas operations by engaging experienced professionals and equipping itself with varieties of quality cranes and aerial lifts.

OUR PROFESSIONALISM

The Group believes that investing in our workforce contributes to successful business operations. Apart from aiming to engage a team of highly skilled professionals, the Group also plans to invest in targeted training. These efforts strive to empower employees to run business operations as well as enhance their sense of ownership on various processes. Moving forward, the Group's reputation would stand to benefit as employees take pride in their work and increase their work quality in satisfying evolving customer demands. Sin Heng has established a strong foothold in delivering excellent safety, operational, and services to our customers by leveraging on our extensive technical expertise and outstanding after-sales services.

MEMBERSHIP OF ASSOCIATION

Presently, Sin Heng owns a membership in the Master Builders Association Malaysia ("MBAM"), which strives to provide a synergy of services to members for the betterment of the construction industry. This plays a key role in enabling Sin Heng to create value for its stakeholders as it provides a platform for it to forge strategic relationships within the industry.

CONTACT US

Sin Heng welcomes your questions and values your feedback on this report as we continue to strive towards improving our sustainability journey. Please address all feedback to:

Chief Financial Officer

Yang Yung Kang

Sin Heng Heavy Machinery Limited

26 Gul Road

Singapore 629346

Tel.: [phone]

Fax: [phone]

E-mail: [e-mail]

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ABOUT THIS REPORT

SCOPE OF THE REPORT

Sin Heng is delighted to present its fourth Sustainability Report ("SR") for the financial year ended 31 December 2020 ("FY2020"). This SR covers the sustainability strategy, initiatives, and performance of our operations for the financial year 2020 ("FY2020"), from January 1, 2020, to December 31, 2020, unless otherwise stated.

The Group strives to incorporate sustainable practices across its operations through various economic, environmental, and social initiatives. We refresh our Environmental, Social, and Governance ("ESG") aspects annually to ensure relevancy against current business operations. To promote transparency and accountability, the Group is dedicated to disclosing its sustainability performance to its stakeholders responsibly.

The report has been prepared following the Global Reporting Initiative ("GRI") Standards 2016: Core Option - the international standard for sustainability reporting, and with reference to the Singapore Exchange Securities Limited Listing Rules 711A and 711B on a 'comply or explain' basis.

The content of this report is developed based on the four reporting principles established by GRI Standards:

Figure 2: GRI reporting principles

Although the information reported in the current financial year has not obtained any independent assurance, Sin Heng will continue to enhance its data collection and sustainability reporting processes. Moving forward, as its sustainability reporting efforts mature, the Group may consider obtaining independent assurance.

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