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CHAIRMAN’S DELIVERING MSM MANAGEMENT DISCUSSION GROUP FINANCIAL
STATEMENT VALUE OVERVIEW & ANALYSIS REPORT

SuSTAINAbILITy REPORT

Since our establishment in 1964, MSM has contributed towards
national socio-economic development. The Group’s steadfast
expansion into activities throughout the sugar value chain provides
employment opportunities, expands business possibilities for
local vendors as well as supports the development of secondary
ecOnOMic industries. MSM has also taken responsibility of shaping a progressive
and sustainable economic landscape by strongly committing to
sustAinABiLitY ethical business practices, adhering to good governance, ensuring
accountability and transparency in procurement activities, and
54 complying with relevant laws and policies.
MSM PERLIS

MSM MALAYSIA HOLDINGS BERHAD Annual Report 2020
Plantation GRI-203: Indirect Economic Impacts
Currently, MSM provides job opportunities for 1,049 employees within the Group.
8 employees
We employ a diverse workforce from different backgrounds and professional
Factory expertise in operations and business support
In 2020, the number of employees reduced due to the cessation of operation in
67 employees
MSM Perlis, following the Group’s rationalisation plan of relocating the Group’s
refining operations in MSM Perlis to the new refinery in Johor. The exercise
involved redeployment of manpower and resources, and priority was placed
MSM PRAI on ensuring that qualified employees from Perlis were offered first choice

opportunities to relocate to the Group’s facilities in Prai, Penang, Sungai Buloh,
Selangor and Tanjung Langsat, Johor.
536 employees
(including staff from refinery, A small percentage of the employees were Total of Malaysian
warehouse & HQ) retained at MSM Perlis to assist in completing the Registered Companies
paperwork for remaining assets transfer exercise. (%)

MSM LOGISTICS GRI-204: Procurement Practices

MSM continues to ensure its ethical procurement
49 employees practices whilst giving fair opportunity throughout
its value chain by:
• Ensuring timely, efficient and impartial
MSM HOLDINGS corporate procurement functions to obtain the 96.1 96.7 98.0
required items at reasonable and competitive 2018 2019 2020
prices with attention given to merit, quality
66 employees and other relevant factors. Local Procurement Expenses
(RM)
• Providing guidelines and strategies on ethical
MSM JOHOR buying with mandated justification to assure
transparency and optimise on profitability.
• Committing to transparent and visible
323 employees
procurement activities within MSM Group. 294.4 mil 253.7 mil
• Obtaining the best in class and fair value for
money for every item and service procured 1.2 bil
st
(data shown as at 31 December 2019) thus ensuring equitable returns to MSM
Group. 2018 2019 2020