Management

Sustainability thinking and practice are growing in strategic importance across the business, with executive management playing an increasing role in driving the implementation of our sustainability strategy. We are committed to further enhancing our public sustainability disclosure, and to strengthen our management of sustainability-related impacts, risks and opportunities with the aim of securing the long-term resilience of our business.

Management oversight

The implementation of our sustainability strategy (see - Strategy) is driven by chief officers who are members of our executive committee (Exco) and supported by senior managers with direct responsibility for specific sustainability-related activities. Our Exco facilitates the management of Tiger Brands' operational activities. They are directly responsible for overseeing the development and implementation of policies and strategy, and for driving progress against operational-level goals and targets, including those relating to sustainability and climate change. The Exco meets at least monthly, and more often when necessary. More information on the Exco is reported in the IR, available at www.tigerbrands.com.

Key sustainability-related management roles The chief marketing and strategy officer – supported by the innovation director, research and development operations director and category marketing directors – implement activities aimed at enabling consumers to improve their health and wellbeing and ensuring responsible marketing and communications practices The chief human resources officer – supported by the people experience director and human resources directors for categories and functions – implement activities aimed at building a purpose-led culture, characterised by strong leaders, diverse future-fit talent, robust employee relations and an inclusive and energising workplace The chief corporate affairs and sustainability officer – supported by the director for enterprise and supplier development, director external affairs, and sustainability and external reporting director – oversees the group-wide integration of sustainability and climate change, as well as activities to build partnerships, improve livelihoods, and promote societal accountability The chief manufacturing officer – supported by the supply chain operations support director, director for safety, health and environment, and risk and sustainability director – implement activities aimed at building an ethical supply chain, ensuring food safety and quality, managing safety, security, health, and environment (SSHE), and significantly reducing our environmental footprint The chief growth officers for Consumer Brands, Africa and Grains have full responsibility and accountability for the sustainability performance of their divisions and report directly to the chief executive officer The chief legal officer – supported by the compliance director and group company secretary – drives processes and systems aimed at inculcating a culture of ethical behaviour and managing activities relating to human rights protection, whistle-blowing, anti-corruption and bribery, and training in respect of the code of conduct and declaration of interest policies The chief financial officer (CFO) is responsible for procurement, including preferential procurement and ethical supply chain, supported by the chief procurement officer The chief executive officer (CEO) is fully accountable to the board on the management of sustainability issues and ensures that the sustainability strategy is effectively integrated into the business

Management processes

Policy framework

We have a robust policy framework that supports the governance and management of ethical business practice and behaviour, and social and environmental impacts. Our policy framework aligns with all relevant legislation and supports our compliance activities. All policies are audited internally on a regular basis to ensure they adequately drive compliance with relevant legislation, and routine management processes ensure that all policies are regularly updated.

Materiality process

We use a structured, independently facilitated materiality process to help identify and validate our most material sustainability issues, shape our sustainability strategy and disclosure, and on-board new members into the sustainability reporting process. The process is participatory in nature and comprises a half-day workshop with relevant members of our executive and senior management teams. Through the process, we collectively analyse our business model, dependencies and impacts, external environment, and stakeholder interests. This analysis is followed by a discussion of the implications for (and of) our strategy, and a re-appraisal of the purpose and rigour of our reporting. This process first informed the development of our sustainability strategy in 2019, and we have run similar processes in 2022 and 2023.

Risk management

Sustainability-related impacts and risks are managed through the application of our standard risk management structure, processes, and methodologies. From this system, we can extract climate and sustainability-related risks, analyses, and assurances. We evaluate these risks over the short term (less than 12 months), medium term (one to three years), and long term (beyond three years). An elaboration of our risk management system linked to an analysis of our top risks in 2023 is provided in our IR, – Material risks and opportunities.

We have formalised bottom-up and top-down processes for identifying and monitoring sustainability and climate-related impacts and risks at operational and strategic levels.

• Bottom-up process: We identify and monitor social and environmental impacts and risks bottom-up at an operational level across our business. The manufacturing units report on environmental and social indicators, which are collated into an overall scorecard, included on the risk register if necessary, and reported quarterly to Exco. Any necessary mitigation plans are reviewed on a quarterly basis in the RSC and SETCO, and ultimately reported to the board. Individual risks that are material in impact, and/or collectively significant enough to be represented as a common risk at group level, are incorporated into the group risk register
• Top-down process: We also identify and monitor sustainability and climate-related risk top-down at a strategic level in relation to our strategic business objectives as part of our enterprise risk management (ERM) processes, and we include these risks in the group risk profile. Currently, climate change is treated as risk type, because of the sheer size and complexity of the issues in its scope, which we are now beginning to unpack. Specific risks are captured as the relationship with our business becomes apparent, including the potential impact of climate change on our operations, strategy, value chain, and markets. All risks captured are reviewed through the operational risk management committee, RSC and the board where necessary

We are in the early stages of maturing our efforts to analyse our operations, strategy, value chain, and markets through a climate-change lens. Consequently, our most significant sustainability and climate-related issues are not directly tied to our strategic planning horizons or capital allocation plans. Nonetheless, we are making meaningful progress. This year, we have taken some pragmatic steps to unpack climate and sustainability-related risks, including internal and external engagement with specialists. We have engaged a water specialist to undertake an assessment of water-security risks across our value chain (see – water and effluents), and we have had internal discussions with our agricultural commodity managers on identifying the security of water supply as a key concern. More information on our risk management processes and top risks is reported in our IR, available at www.tigerbrands.com.

Assurance

We have adopted a combined assurance model that includes internal and external assurance processes for financial and non-financial data, as described more fully in our IR ( see IR). We are working to build a more sophisticated digital system for the management of our sustainability data, and this project is one of the priority projects to be assessed for funding in 2024. This data management system will enable the establishment of more formal assurance processes for a wider array of non-financial sustainability data, as well as more robust assurance of this data through a formal assurance statement.