Havelock One Sustainability Report 2022

MESSAGE FROM GROUP MANAGING DIRECTOR

As part of the construction industry, which is responsible for a quarter of the waste that ends up in landfill globally, we have a responsibility to implement strategies to reduce our environmental impact. In 2022 we launched our first indepth sustainability report, in which we set sustainability goals, which focused on waste reduction and management, saving energy, responsible procurement, health, safety and environment and our people. As a business, we underwent a digital transformation, implementing online software solutions which drastically reduced our paper consumption for HR initiatives, on-site auditing, NCR and HSE. We installed new machinery in our factories to conserve more energy and increased the percentage of FSC materials we procure to 30%. We also achieved an incredible milestone of reaching 1 million man hours without any Lost Time Injury, thanks to our new measures including regular safety audits, training sessions and inspections. Proof that we are dedicated to our core value of “safety…No excuses.”

As part of our CSR initiative, we supported Surge for Water for the third consecutive year. Surge for water is on a mission to ensure everybody has access to clean, safe drinking water. We continued to invest in our own people with our Taqadam

training initiative, providing employee development across all departments and levels.

As we look into the future, we are proud to have a passionate team of dedicated employees who are driving our sustainability pledge forward each day. Our production team is constantly exploring new ways to implement new sustainable processes in our factory. This year we plan to make drastic improvements to our packaging, making our stretch film biodegradable and ensuring our boxes are made from recycled materials. We are also exploring moving from oil-based to water-based paint, which is a more sustainable product and emits less VOCs.

Outside of the factory, we are introducing waste sorting measures onsite to ensure client waste is recycled where possible. We currently exploring the measurement of our carbon footprint through partnership opportunities with International Freight Forwarders. We intend to implement a plan to use more effective methods of shipping to reduce our carbon footprint impact as a business. From all of us at Havelock One, we look forward to achieving our sustainability goals for 2023 and beyond.

Syed Kashif Akhtar Group Managing Director

ABOUT THE REPORT

This is the second edition of the Havelock One Interiors Sustainability Report. With this consolidated reporting structure, we aim to take a systematic approach to address the impact and integration of Environmental, Social and Governance (ESG) topics critical to Havelock One Interiors’ activities, and our dedication to creating systematic change and establishing long-term values for all.

Havelock One utilises the UN-approved Global Reporting Initiative (GRI) standards for this report.

Our focus has been on utilising solar power, reducing paper waste, reducing plastic waste, controlling e-waste, saving energy, exploring strategies to recycle polishing material, and implementing a waste management system throughout our factory premises in the Kingdom of Bahrain. These are a few initial steps we have taken to develop a sustainable ecosystem within the organisation, hoping it could make a small change in the ecosystem at large.

We publish our sustainability report annually to respond to our stakeholders’ concerns and simultaneously communicate how the company is progressing regarding its sustainable goals, finances and leveraging opportunities.

This report also documents Havelock One's journey as the organisation celebrates its 25th year of operation, including company achievements, awards, and key milestones accomplished while catering to the design industry. Our Company vision, organisational goals, governing policies and commitment to meeting our client’s expectations sets us apart from our competitors.

We are committed to reducing our carbon footprint and paving the way towards reaching our sustainability goals. Havelock One welcomes any comments, feedback, or suggestions regarding the content of this report. Please reach us via email id: sustainability@havelockone.com

Havelock One. Consider it done

WHO WE ARE

We specialise in turnkey interior contracting and the manufacturing of custom-made joinery, metal works and elaborate shop-fittings for hospitality, retail and more. Being driven by the aspiration to deliver exceptional quality through the power of thoughtful precision, Havelock One supports our clients on complex projects with our wealth experience and unwavering dedication, bringing their design visions to life.

WHO WE ARE I SERVICES

CUSTOM MANUFACTURING TURNKEY FIT-OUT

At Havelock One, we support our clients with turnkey fit-out services that match their individual needs and requirements. Our skilled teams offer pivotal resources in estimation, value engineering and procurement while project managers pride themselves on going the extra mile when managing staff and sub-contractors as well as when implementing structures and finishes of superior quality. We regularly offer support for civil and MEP works, collaborating with subcontractors on design and installation.

OFFICE DESIGN & BUILD

Our in-house creative team consists of experienced interior archiects and designers who can offer workplace design solutions to achieve productivity and meet the ever-changing demands of commericial and office spaces.

We understand that every workplace strategy is unique and requires an inspiring space to match the brand vision.

We merge superior craftsmanship with modern manufacturing techniques. We have designed specialist joinery for a wide range of projects including hotels and resorts, F&B outlets, retail stores, commercial offices, entertainment venues, government buildings and high-end residences. Our 520,000 sq ft manufacturing facilities in Bahrain provides wood and metal works, as well as upholstery services. We ensure that best practice manufacturing processes facilitate economic yet superior outcomes. We are committed to quality, having control systems in place at every stage of the process. An open, clear and trusted line of communication with our clients and project stakeholders is paramount to our success.

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WHO WE ARE I SECTORS

ENTERTAINMENT

COMMERCIAL HEALTH & WELLNESS

F&B RETAIL HOSPITALITY Sustainability Report - 2022 7

Havelock One Interiors provides turnkey fit-out and custom manufacturing solutions for international, regional and local brands in key sectors like F&B, retail, hospitality, health and wellness, commercial and entertainment. However, we also service high-profile residential clients and government bodies and institutions.

WHO WE ARE I WHY HAVELOCK ONE

IN-HOUSE CAPABILITIES

Havelock One operates two extensive manufacturing and warehouse facilities in Bahrain that covers a combined area of 520,000 sq ft. In addition, we have smaller but equally advanced facilities in every country we operate in and a broad network of suppliers on a regional and global scale.

We are able to deliver world-class projects at competitive prices by leveraging economies of scale, our state-of-the-art technology, a highly trained workforce and a strong management team experienced in handling large-scale and complex projects.

POWER OF THOUGHTFUL PRECISION

For us, quality is more than a word, and meeting deadlines is more than just a promise. Every new challenge deserves its own approach. Therefore, we proactively think projects through, from preparation to handover. We are experts, realistic and methodological in our structure, processes and approach.

We get things done the right way and we take a cultural pride in saying exactly what we mean. Uncertainty is eliminated and nothing is left to chance. We aim to deliver exceptional work through the power of thoughtful precision.

SELF-MOTIVATED RESPONSIBILITY

At Havelock One, we are commited to taking on complex design projects and providing solutions to any obstacles we face. We thrive on managing multiple stakeholders and lead with foresight based on years of experience in the industry and region.

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WHO WE ARE I OUR PHILOSOPHY

VISION

The partner of choice for the most admired projects in all of our markets.

MISSION

Driving current and future relationships by consistently delivering real value and exceptional service.

BRAND PURPOSE

To deliver exceptional work through the power of thoughtful precision.

Precision detail-driven, realistic, methodical Foresight constructive, problem-solving, relational Drive committed, proactive / responsive, focused

WHO WE ARE I OUR LOCATION

ASKAR I BAHRAIN

Havelock One Interiors WLL

PO Box 5100

Askar, Bahrain

Phone: +973 1783 2022

bahrain@havelockone.com

SANABIS, MANAMA I BAHRAIN

Interiors Solutions Co. WLL

PO Box 21898

Sanabis Bahrain

Phone: +973 1783 0223

Interiorsoluions@havelockone.com

RIYADH I KSA

Havelock One Interiors WLL

PO Box 13214-8389

Riyadh, KSA

Phone: +966 11 4898 364

ksa@havelockone.com

KUWAIT CITY I KUWAIT

Havelock One Interiors WLL

PO Box 4924

Al Mirqab, Kuwait

Phone: +965 2225 1491

kuwait@havelockone.com

DUBAI I UAE

Havelock One Interiors LLC

PO Box 126164

Dubai, UAE

Phone: +971 4 567 7200

dubai@havelockone.com

ABU DHABI I UAE

Havelock One Interiors LLC

PO Box 30096

Abu Dhabi, UAE

Phone - +971 2 204 1000

abudhabi@havelockone.com

Havelock One. Consider it done

DOHA I QATAR

Havelock Contracting Co. WLL

25th Floor, Laffan Tower

Building No. 52, Zone No. 61

Ambassadors St, Doha, Qatar

Phone: +974 448 14239

qatar@havelockone.com

UAE

KUWAIT KSA

BAHRAIN

QATAR

OUR JOURNEY

Since incorporation in 1998, Havelock One interiors has become one of the most renowned turnkey fit-out contractors and manufacturers of high-quality joinery, decorative metal works and sophisticated shop-fittings in the Middle East.

OUR JOURNEY OUR JOURNEY

Construction

Foundation of Havelock One as a JV between Havelock Europa PLC and BMA International WLL in Bahrain

Acquisition of largest joinery factory in Bahrain from Blico Establishment of branch in KSA

Incorporation of subsidiary in Kuwait Acquisition by Retail International

Incorporation of subsidiary in KSA Establishment of branch in Dubai

Opening of the Sanabis office in Bahrain

Rebranded to Havelock One

Acquisition of Edge Interiors in Abu Dhabi Total workforce reaches 1,000

Inauguration of new 320k sq. ft. factory in Askar, now totalling 520,000 sq. ft.

Establishment of Interior Solutions WLL, a subsidiary for contracting projects

Acquisition of majority stake by HSBC Private Equity

Incorporation of subsidiary in Qatar

started on New Factory in Bahrain Implementation of Sustainability Action Plan

AWARDS & RECOGNITION

As an expert in turnkey interior fit-out, we have an unrivalled reputation for innovation and excellence as evident in the work we have done for international brands in hospitality, F&B, retail, entertainment, commercial and medical sectors. We are experts, realistic and methodological in our structure, processes and approach.

AWARDS & RECOGNITION

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“Achieving Last Mile and Leveraging Epicor Framework” end-user award

The Enterprise Transformation Summit Award

Smart SMB Summit for best digital transformation in turnkey fit-out

Certified as a ‘Great Place to Work®’ in Bahrain, Kuwait and the UAE

NBB – National bank of Bahrain rollout project wins the “Retail project of the year”

Design Middle East Award Refurbishment Project of the Year - Diriyah Gate Development Authority Headquarters

Surge for Water Sustainability Design Awards - Flocean, build partner with Kristina Zanic Consultants

Design Middle East Award for Specialised Manufacturer of the Year and the Interior Fitout Project of the Year Highly Commended Project.

IT Leadership Award for Digital Transformation

CXO 50 Award

2014

2020 2019

2021

2022

KEY ACHIEVEMENTS I BAHRAIN

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2023 Membership

KEY ACHIEVEMENTS I QATAR

KEY ACHIEVEMENTS I UAE

OUR APPROACH TO SUSTAINABILITY

At Havelock One, we are taking steps to implement new measures to help combat climate change. We are creating immediate short-term change and developing a long-term vision to achieve our sustainability goals. We shortlisted seven key material approaches that we have tried to perform to achieve the respective objectives.

OUR APPROACH TO SUSTAINABILITY

At Havelock One, we ensure our people have the necessary skills and know-how to drive our business and deliver their responsibilities in a sustainable manner.

By integrating new technologies, we aim to increase productivity and be more efficient in a sustainable manner.

OUR PEOPLE

TRANSPARENCY

By operating in a transparent manner with our clients, employees and across our supply chain, we can build trusted relationships and mitigate risk.

HEALTH, SAFETY & ENVIRONMENT TECHNOLOGY

MATERIAL ISSUES

Consideration of the community in which we operate is essential to our position within the GCC market.

OUR COMMUNITY

We must provide a safe and healthy environment for all our employees.

Based on our internal analysis, the seven key material issues outlined are where we will focus our efforts to achieve our sustainability goals.

Our use of resources (such as material, energy, and water), our CHG emissions and how we dispose of our waste represent key costs to our business which will increase with future resource scarcity and regulations.

OUR ENVIRONMENTAL IMPACT

We have started exploring the benefits of procuring water based paint, which does not require chemical solvents and emits less VOCs. Our machineries are already compatible to implement this measure.

RESPONSIBLE PROCUREMENT

Our clients look to us to ensure that the materials we procure for our projects are responsibly procured and meet sustainability requirements.

HEALTH, SAFETY & ENVIRONMENT

Comprehensive private medical insurance is provided for all workers.

We appointed a full-time registered nurse certified by the National Health Regulatory Authority (NHRA).

1M Achieved

OUR PEOPLE RESPONSIBLE PROCUREMENT

Havelock One's Taqadam initiative has conducted 32 man hours without any Lost Time Injury.

training sessions in 2022. Ensure more female representation, our women staff hiring rate has increased to 15%

OUR ENVIRONMENTAL IMPACT

Paper usage drastically reduced to

20% with the help of our digitalisation strategy

Wood being our major supply item is already a sustainable material; moreover, FSC materials contributes to of the total volume.

30%

2022 SUMMARY OF PERFORMANCE

BEING PART OF COMMUNITY TECHNOLOGY TRANSPARENCY & ANTI-CORRUPTION

We partnered with Surge for Water for a 3rd consecutive year to support the initiative of creating a world where everyone has access to clean, safe drinking water.

We have taken a leap by going fully digitalised with our systems and processes - online + centralised approvals, communication and collaboration tools added, Apps developed for HR activities, site-audit reporting, NCR and HSE. Newly installed machines in the factory help conserve energy.

We have a Code of Conduct, speak up portal and Whistle-blower mechanism to voice any concerns and feedbacks.

LEED CERTIFIED PROJECTS

LEED (Leadership in Energy and Environmental Design) is the most widely used green building rating system in the world. Available for virtually all building types, LEED provides a framework for healthy, efficient, and costsaving green buildings. LEED certification is a globally recognized symbol of sustainability achievement and leadership. We have been involved in multiple projects with LEED standards and the ones following the Pearl design rating from the ESTIDAMA green building rating systems/guidelines.

We have carried out the manufacturing and interior joinery for the GCC's first LEED Platinum Starbucks store. The store in KAFD, Riyadh, is one of the first F&B stores in the GCC to have been awarded the prestigious LEED Platinum certification, and one of only six Starbucks stores globally.

We worked with our client to deliver the millworks manufacturing and interior joinery, using eco-friendly materials such as FSC-certified wood and low VOC paints, adhesives and materials.

The award-winning store was recognised for incorporating eco-friendly materials, including recycled terrazzo and local marble, to create natural patterns throughout the store interiors. It also includes a biophilic design with a collection of green walls, natural trees and planters that provide a sense of calm and relaxation to customers. The store also scores well on the use of water-efficient indoor fixtures, the elimination of CFCs, energy modelling compliance, the use of energy-efficient equipment and lighting fixtures,

and the use of chilled water from the base building using compliant refrigerant.

Some other green projects we have executed are as follows.

• UAE

Sheikh Zayed Desert Learning Centre, Serenity Dental Clinic, Etihad Airways at Al Ain, VOX Cinemas in Nakheel Mall, and various brand outlets at Abu Dhabi International Airport.

At the Abu Dhabi International Airport, we followed the ESTIDMA guidelines for the installation of various projects, including- POLO Ralph Lauren, Hermes, Penhaligon’s, Bath & Body Works, DFS multi-brand area, Pernod Ricard group, Starbucks and others - We handled the Estidama approval process under the

supervision of an external consultant appointed by us.

The airport has been awarded a three Pearl design rating from the Estidama green building rating system making it the largest singular building to be rated globally and the highest-rated airport terminal in the Gulf Cooperation Council (GCC). In addition to the use of recycled materials, the use of regionally-sourced materials has cut carbon emissions due to shorter journeys to sites. Equally, 75 per cent of construction waste is being diverted from landfills during the construction phase.

• Bahrain

National Bank of Bahrain, Several brands outlets at the New International Bahrain Airport Duty-Free such as Vilebrequin, Estee Lauder, Ralph Lauren, Pernod Ricard group at Duty-Free arrivals and departures.

• Saudi Arabia

Al Moosa Specialist Hospital

• Qatar

Qatar Duty-Free is a LEED Silver certified building. We were involved in various projects- like Ralph Lauren, PUIG - Phantom, Hublot, DIOR and others.

Hamad International Airport, will be the first airport in the region to achieve a 4-star Global Sustainability Assessment System (GSAS) rating as part of plans to expand its capacity to more than 53 million passengers annually by 2022. The terminal will also be a LEED Silver certified building, featuring a number of innovative energy efficiency measures.

OUR ENVIRONMENTAL IMPACT

OUR ENVIRONMENTAL IMPACT

OBJECTIVE

With the ongoing impact of climate change, the global community recognises the prominent role corporations can play to decarbonise the planet. Robust transformation needs to be taken in the Company’s operational activities and performance to mitigate risks and leverage opportunities.

We have started implementing some in-house measures already with the goal to become a small contributor to addressing the climate change issues.

APPROACH

Climate change is the defining issue of our time and the greatest challenge to sustainable development. Governments and businesses have committed to do their part by reducing energy wastage, land and urban infrastructure as well as industrial systems to limit global warming to 1.5°C. Our Company is constantly improving our manufacturing processes and is using technologies to reduce our energy consumption and wastage of resources.

We have also launched a ‘Green@Work’ campaign that promotes practising eco-friendly habits at workplace. Developing an eco-conscious organisation begins on the ground level with the support of its employees, and it is very crucial for employees to believe in this shared vision and practise environmentally friendly habits in the office.

Our Department Heads are motivated to play a lead role by discussing green initiatives with their teams, and encourage staff members to notify them of any waste of resources observed in the workplace.

PERFORMANCE Conserve Energy

The energy crisis is one of the main economic concerns that the earth is facing today. It is up to both organisations and individuals to contibute to conserving energy for future generations. Being a socially responsible

organisation, Havelock One has already rolled out the following initiatives for the sustainable use of energy resources.

• Quest for embracing solar energy

We have started installing solar panels at our manufacturing plant in Bahrain. The motive behind this is to support the environment by utilising natural resources and subsequently reduce power consumption. Currently, Havelock One has planned to implement solar panels in both of our factories in Bahrain.

• Usage of sensor lights to reduce power

The adoption of the use of sensor lights at our offices located in Bahrain is yet another initiative to reduce energy resources. The lobby/walkway area is used for a shorter span compared to office spaces and therefore offers a perfect platform to save energy.

• Smart water use

We have also installed a few sensor taps in washrooms. This is done to bring employee attention to sustainability issues and to remind that conservation of precious water as a natural resource is today’s primary goal for individuals and corporates.

Our brand new camp facility at Ras Zuwayed is equipped with multiple solar panels installed for reduced power consumption by the use of renewable energy.

OUR ENVIRONMENTAL IMPACT I PERFORMANCE

Save Paper – Reduce, Reuse, Recycle

Paper usage plays a vital role in sustainabiltiy and we have made a strong effort to reduce paper consumption, with good results. With the support from several department heads and our IT team, our Company has developed several online systems and modules to tackle the manual paperwork. Thus, we encourage our employees to 'go digital' to reduce the use of paper where possible.

We have reduced the metal scrap generation rate from 44% in the year 2021 to 10% in the year 2022.

Factory 2 was not operating at 100% capacity due to COVID-19 situation in the previous years. Therefore, we can see a gradual increase in the skip waste generation in 2022. This data will be the benchmark for the 2023 Sustainability Report.

Metal Chemical

OUR ENVIRONMENTAL IMPACT I PERFORMANCE

Power

The below table depicts the usage of energy by Havelock One’s two factories situated in Bahrain. The overall consumption for the year 2022 starting from Jan’2022 till Dec’2022 was 6,818,548 KWH.

Fuel

The below table depicts the consumption of fuel for company’s staff conveyance, transportation of material to respective site and other administrative works for Bahrain offices and sites.

Water

The below table represents the consumption of water by both the factories. The overall consumption for the year 2022 starting from Jan’2022 till Dec’2022 was 37,601 m3. The consumption rate has progressively increased in the last quarter.

Our factory was not operating at 100% capacity due to COVID-19 situation in the years 2019 and 2020. Hence, there is a gradual increase in consumption of resources in the year 2021 and 2022. This data will be the benchmark for the 2023 Sustainability Report.

POWER CONSUMPTION F1+F2 (IN KWH) YEARLY FUEL CONSUMPTION (IN LITERS)

WTAER CONSUMPTION F1+F2 (IN M3)

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OUR ENVIRONMENTAL IMPACT

Enhancement to our existing waste management system.

Exploring solar power implementation through BOT program.

Exploring a power efficiency program supported by third party.

Enhancement to our existing waste management system.

INITIATIVES

Exploring the usage of water based paints which reduce VOC emission.

Environmental certification through ISO across the group, (currently, UAE and Qatar operations are ISO 14000 certified).

Reducing the plastic usage. Moving towards reducing our carbon footprint.

OUR PEOPLE

OUR PEOPLE

OBJECTIVE

Our people come from different backgrounds and carry different values to our organisation. Our team culture is to give individuals a proper platform to showcase their skills, help them grow in the well-cultured environment that can add value to our organisation.

APPROACH

Goal-oriented and customer-centric

At Havelock One Interiors, we’ve been facilitating a culture that allows us to live up to our promise – Evolving Partnerships Effortlessly. This requires relationship building, starting with our own employees, and instilling our values and aspiration to deliver exceptional work through the power of thoughtful precision right into the core.

That is why our human resource management is focused on identifying, recruiting, and training those people who already share a common ground: the drive to perform, the zeal to deliver, always at the pulse of the market and the clients’ needs

Stability and continuity

Construction is a cyclical business – and the Middle East experiences economic volatility. Still, at our Company we have been consistently growing over the past two decades, providing a secure and stable environment for everyone who is proud to leverage their skills and talents, wearing the Havelock One hat.

Havelock One. Consider it done

Our employees are our assets and an integral part of our journey, some having joined fifteen years back and longer. Nonetheless, we ensure that new blood mixes with old, that mentoring goes both ways, and that we facilitate career progression with the right tools and training to allow each and every one of us to excel.

Freedom and responsibility

No matter the seniority level of an employee, we expect them to think along and think ahead. Because it’s our experience, our expertise and therefore our ability to anticipate bottlenecks that make all the difference. This level of autonomy and self-driven responsibility, at the same time, requires teamwork and cohesion, especially in an environment that’s as multi-cultural and fast-paced as fit-out contracting and manufacturing for interior projects. Thus, we encourage independent thinking while providing guidance and support whenever needed, to make our shared goal a success.

Employee Feedback

We are striving for betterment on a daily basis and address constructive feedback in any reasonable way. Therefore, we have participated in the Great Place to Work survey in the year 2020 and are delighted to have our offices certified as GPTW in the UAE, Bahrain and Kuwait.

Women Empowerment

On the occasion of Women’s day held on 8th March 2021, we have launched a new initiative “Sadeeqati” (which means my female friend) - specifically for women staff of Havelock One. Under this initiative, we include a series of talks, training, workshops and similar initiatives on Women’s wellness which aims at focusing on the development and wellbeing of our female staff. Women's day 2022 was celebrated vibrantly in our offices accross the region.

PERFORMANCE

OUR PEOPLE I PERFORMANCE

Training and development

It is true that Company performance is defined by its people. At Havelock One, we welcome our employees to participate in several training initiatives where they can improve their skills and enhance their knowledge base. We also encourage our employees to improve their soft skills and access the training platform – Taqadam.

‘Taqadam’ is an Arabic word and means ‘advancement’ or ‘evolvement’. Because learning and training is considered a priority at Havelock One

This online training platform was launched in the third quarter of 2019 by Havelock One’s HR Team. ‘Taqadam’ is one of the provisions for our site-based employees to strengthen their learning curve and excel in their careers.

Learning with this online platform has distinct advantages:

• The flexibility of time and accessibility.

• Wide range of courses with rich learning content.

• Internal certification at the completion of every learning effort.

The platform has helped many of our staff to build their knowledge and enhance their skills. We take pride in disclosing that Havelock One has conducted several training sessions over the year 2022 along with all their setups, which is being progressed with some new training courses and soft skills development tools.

TRAINING CONDUCTED YEAR WISE

The learnings from Taqadam helped employees apply new methods of working in their roles, enhancing professionalism and improving our work culture. The learning initiatives were introduced in COVID time when there was a reduced workflow, so that the employees could utilise their free time learning and upskilling. As we recovered from the pandemic our work volume returned, thus slightly reducing the free time for learning which can be seen in 2022. However, we still prioritise spending time on training and learning as a business.

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OUR PEOPLE I PERFORMANCE

Diversity

Great Place to Work Staffing

We are also very proud to declare that Havelock One is the first FitOut Company in the Middle East region to be certified as ‘Great Place to Work®’ . Havelock One team in the GCC region have been certified as a ‘Great Place to Work®’ in Bahrain, Kuwait and the UAE for the year 2020."

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HEALTH, SAFETY & ENVIRONMENT

HEALTH, SAFETY & ENVIRONMENT

OBJECTIVE

Health and Safety are at the core of Havelock One's operations. We understand the importance of health and safety for the construction industry in the GCC region and are committed to having clear policies and well-formulated standard operating procedures, which are implemented for our employees, subcontractors, suppliers, vendors, clients and other stakeholders on-site. We follow zero-tolerance against any major safety violation.

APPROACH

Our Health, Safety and Environment (HSE) strategy follows both GCC labor laws and global standards, and we hold ISO 45001:2008 certification for our UAE office and ISO 14001:2015 for our offices in UAE and Qatar.

The company has established a comprehensive Health and Safety program, which is overseen by a team of knowledgeable, skilled, and certified professionals. It recently made history by hiring its first female safety representative.

Our approach centers on:

1. Occupational Health & Hygiene:

1.1 Health awareness and training.

1.2 Heat stress & Illness Prevention and Protection Plan

1.3 Drinking water portability tests

1.4 Health insurance for staff and workers

1.5 Hand sanitizers in key locations

2. Emergency Preparedness & Response:

2.1 Revised emergency evacuation layout/routes.

2.2 Standardised designated assembly area.

2.3 Periodic fire drills

2.4 Approved First Aid room and nurse by Ministry of Health.

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2.5 Accident/incident reporting/communication and management

2.6 Monthly accident/incident review by Senior Management.

2.7 Adequate Fire Marshals trained by the Civil Defense

2.8 Added fire detection and suppression systems.

3. Standard Operating Procedures/Policies:

3.1 Fire Safety Plan

3.2 QHSE Statement

3.3 Traffic control & management

3.4 PPE Programme.

4. Hazards Identification, Risks Assessment & Control:

4.1 Facility risk assessment

4.2 Safety inspections- Daily, Weekly, Monthly (with Directors), & Quarterly

4.3 Risk assessments of critical machines and non-routine operations.

4.4 Non-conformance tracking- (Action Tracking & Recording Form)

5. Safety Communication, Awareness, Training & Education:

5.1 Weekly toolbox talks

5.2 Multilingual safety video & toolbox briefings.

5.3 Supervisors’ monthly safety training/meeting

5.4 Monthly safety committee meetings

5.5 Safety posters/signages in common languages, key areas/ units.

5.6 safety training room

6. Promoting a positive Safety culture for continual improvement:

6.1 Safety Recognition Programme

6.2 Training based on a training needs assessment.

6.3 Workers’ representatives in committee/monthly meetings.

6.4 Leading by examples from Senior Management

6.5 Senior management’s periodic employee communication.

7. Environmental Management/Protection & COSHH:

7.1 Managing the Hazardous Waste Control unit (Chemical Waste Management)

7.2 Enhance chemical waste collection and disposal.

7.3 Chemical list inventory

7.4 Labeling chemical containers.

7.5 Safety Data Sheet trainings.

7.6 Chemical protective PPE (clothing/mask/gloves)

8. Procurement:

8.1 Implemented a procedure for managing procurement of products and services to ensure compliance with HSE management procedures.

8.2 Incorporated safety elements in contractor selection process

9. Recordkeeping:

9.1 Measures to ensure documentation of key health & safety records.

HEALTH, SAFETY & ENVIRONMENT

PERFORMANCE

Havelock One Interiors is pleased to inform you that we have NO fatality in the year reported although we have had 12 minor incidents across our workforce including subcontractors. Please refer to the table below depicting the country-wise safety data.

Health and Wellness Initiatives: Medical Check-up

Various health check-ups have also been organised for our entire Askar-based workforce. This medical examination has helped each Havelock One employee to know their health condition, monitor fitness levels linked to BMI, blood sugar, blood pressure, cholesterol, kidney, liver functions and take remedial measures.

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HEALTH, SAFETY & ENVIRONMENT

Health and Wellness InitiativesHealth Talk and Counselling

As we know, life can be great sometimes and challenging at other times. When life gets difficult, it’s useful to have the right layers of assistance, genuine care and professional support to help people through those moments. Havelock One addressed these challenging and complex times by launching the ‘Employee Wellness Programme – Self-care with Havelock One’ as an employee assistance programme that supports employees with personal and/or work-related challenges that may impact their health, mental and emotional well-being.

Under this initiative, we offer private and confidential counselling services and open wellness webinars to our employees.

We have been organising various Health and Wellness talks over the summer with special reference to topics relevant to staff and workers. Employees benefited from the Mental health helpline (online) launched during the crucial covid era. Multiple webinars were conducted with an emphasis to mental health, communicating the importance of emotional well being and work-life balance.

We had theme-based webinars like, ‘Breast cancer awareness’, ‘Men who talks heals’ and ‘Sleep Well’ for employees. Female employees from all our offices actively participated in breast cancer awareness sessions to gain knowledge on this topic. We conducted awareness on men's mental health, sleep hygiene and its positive impact in professional and personal life.

HEALTH, SAFETY & ENVIRONMENT I I NURSE ROOM

As part of our continued commitment to caring for the health and wellbeing of our employees; we have revamped our First Aid room to a standard that is approved and licensed by the Bahrain Ministry of Health. Our First Aid room is well equipped with essentials to ensure we provide medical aid on time. This includes:

• Stethoscope

• Diagnostic Sets

• Automatic Defibrillator Machine

• Nebulizer

• Digital Blood Pressure Monitor

• Wheelchair

• Stretcher

• Adjustable Hospital Bed

• Medical Oxygen

• Essential First Aid Medicines

Male nurse hire date 08/2021

Number of staff consulted 24*

Number of workers consulted 861*

Number of staff treated 24*

Number of workers treated 861*

*These are all minor first aid cases in Bahrain office

Also, we have appointed a full-time registered nurse, certified by the National Health Regulatory Authority (NHRA) and supported by KIMS Medical Center to ensure availability of a medic in most of our active day shift hours, i.e.: from 9am to 5pm.

RESPONSIBLE PROCUREMENT

RESPONSIBLE PROCUREMENT

OBJECTIVE

Havelock One interiors recognise that one of our biggest impacts relates to the resources and materials we buy for our clients and our own operations. We also know that our clients are increasingly looking for their suppliers to ensure the materials used on their sites are responsibly produced and come from sustainable sources.

APPROACH

Our approach toward Responsible Procurement is to research and understand the correct source for purchasing raw material and required packing material.

• Havelock One maintains the FSC (Forest Steward Council) certification which enforces the procurement of raw material from reliable and sustainable sources.

• We also streamline our packing material by reducing the quantity of packaging required for various mode of shipments.

PERFORMANCE

Digital strategy

By utilising technology Havelock One has made the vendor selection process completely online. All the required documents are now uploaded in a soft file and the entire process, starting from onboarding the vendor to the final payment, including management approvals, is an online process with zero usage of paper. With the streamlined vendor selection process, we are contributing towards reducing paper waste.

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Material selection

As an FSC-certified Company, we ensure that products come from responsibly managed forests that provide environmental, social and economic benefits. The FSC principles and criteria provide a foundation for all forest management standards globally and hence we are committed to procuring the raw material for joinery manufacturing from only the responsible sources.

Supplier selection

Sustainability goals can be 100% achieved with the support of our key suppliers, who are fully engaged and understand their role in our sustainability journey and success. We ensure our sustainability strategy and objectives are aligned with their's too.

Our vendor selection criteria apply to product quality, duration, estimates, cost etc. We discuss our sustainability requirements/ guidelines with suppliers, which becomes a primary selection criterion.

Wood being our major supply item is already a sustainable material; moreover, FSC materials contributes to 30% of the total volume.

RESPONSIBLE PROCUREMENT

Packing Procedures

We are optimising our packing system to reduce the amount of plastic, cardboard and wooden planks used to pack our finished products. Our material packing process is categorised into five parts based on the mode of shipment.

• Type A – High level

• Type B – Medium level

• Type C – Low level

• Type D – Raw timber and plywood

• Type E – Metal structure

Below table givens an easy explanation of our initiative

Loading optimisation

Streamlining the logistics process has significantly contributed to reducing our carbon footprint by optimising our transportation. Our logistic team ensures to fill the consignment space to the maximum capacity without transporting too much air and tries to mitigate multiple shipments, which subsequently helps reduce the carbon footprint.

RESPONSIBLE PROCUREMENT I SUSTAINABILITY INITIATIVE

A. Sustainability

Figure – A

The journey that we set last year on increasing our dependency on sustainable products is continuing and there has been remarkable progress on the same. Whilst 30% of our total forest products were from sustainable sources in the year 2021, this year It has jumped to almost 50% without having any additional impact on the landed cost.

B. Packaging and Sustainability

The year 2022 saw a lot of changes in the packing materials.

We have developed business relationship with new vendor from Turkey , for the PU foam edges L- Shape and U – Shape that we stock for packing purpose. Made of recycled materials and also recyclable (following the ISO standards 14001:2015)

One of the strategic plans last year was to switch our white wood used for palletizing from Non-FSC to FSC sources and we have achieved the same this year. Starting March 2022, all white wood purchased must be 100% FSC.

Historically we were using approximately 5,000 MDF packing boards per year. We have since moved to using recycled OSB boards, replacing MDF with 10 mm and 14 mm high density OSB boards.

RESPONSIBLE PROCUREMENT I SUSTAINABILITY INITIATIVE

C. FSC Auditing & Certification

For the second consecutive year we have been audited and successfully achieved the FSC certification renewal from the certifying body. This has been achieved by our Procurement, Stores & Logistics teams providing accumulative annual reports, showing understanding of FSC concepts, encouraging the team to follow procedures and abiding by a ZERO tolerance policy.

D. Live Supplier Master Portal

The supplier master portal created last year has been enhanced further to look at the purchasing history of the existing suppliers.

The FSC suppliers can be listed by selecting the option of “yes” from the FSC pull down menu.

RESPONSIBLE PROCUREMENT I SUSTAINABILITY INITIATIVE

Plan for 2023

The following are some of the areas where Supply Chain will focus in the year 2023.

• To change the use of stretch film to an Oxo biodegradable solution. We are currently collecting and testing samples.

• Cartons/boxes for our packaging will be outsourced and made from recycled materials. This will be used for the packing of all our standard components and finished goods across all projects. It will reduce packing time in-house, minimise costs and provide a more sustainable solution to packaging.

• Products at the end of their life-cycle that our clients have requested disposal of will be segregated by material e.g. metal, acrylic, glass, wood for easy recycling. We have a mutual agreement in place in Bahrain for scrap recycling.

• Checking the feasibility of using water based paint, with reduced VOC emission and less hazardous wastage.

• Involved with International Freight Forwarder / Freighters – who keeps record of Carbon footprint with every shipment being moved Inbound/outbound for us to compare it annually with our carbon footprint impact and put a plan forward to use more effective method of shipments which reduces the same.

• Shredding / Compressing wood & panels waste to be reused as fillers or pallet foot.

BEING PART OF COMMUNITY

BEING PART OF COMMUNITY

OBJECTIVE

Havelock One considers it our social responsibility to give back to the community we serve in whatever best form possible.

APPROACH

We are committed to giving back to our local communities and make every attempt to support them directly or indirectly. In the past, we have been providing short teaching sessions at school, raising funds for charity purposes, donations etc.

PERFORMANCE

We are proud of the below initiatives carried out:

Year 2019

• Our Group Operations Director, Firas Alayed along with our HR team donated 21 sets of Chinese Tangrams to RIA Institute Bahrain during the last quarter of 2019. Our factoryproduced Tamgram set is a puzzle game that arouses curiosity among the young generation and develops problem-solving, fine motor skills and helps children understand mathematical concepts.

• Our factory employees represented the Company at the 40th Annual Charity Raft Race Competition. The event is an annual fundraiser

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organised by the Royal Club of Sulmaniya. The event was held under the theme “Challenge Disabilities” to support charitable programmes focused on people who require mental and physical support. The competition raised BD 25,000/- towards the club’s annual charity drive as confirmed by the Chairperson of the Rotary Club, Ms Sima Baqi.

• Havelock One joined hands with the British Club of Bahrain to raise BD 6,531 for charity. Funds raised from the Great British Charity Golf Day 2019 is handed over the Al Sanabel Orphan Care society.

• Our Marketing department also conducted a teaching programme at the Public Boy’s school in Dubai, wherein the students were taught the principles of marketing and advertising.

Year 2020 and 2021

• Due to COVID-19 restrictions, 2020 and 2021 was not great t0 organise any outdoor activities or hold gatherings to volunteer for any cause. However, we had opportunities to sponsor towards great causes like Surge for Water.

Year 2022

• We partnered with Surge for Water for a 3rd consecutive year to support the initiative of creating a world where everyone has access to clean, safe drinking water.

• We also provided a communal prep kitchen table to the British Preparatory School in Saar, Bahrain. During the activity class, kids aged 18 months to six years are taught to identify objects of different shapes, colours, and sizes. They are also taught to demonstrate the importance of sharing and providing food as they play. It will bring the kids together and become part of the children’s memories when they grow up !

TECHNOLOGY

TECHNOLOGY

OBJECTIVE

Technological and digital advances are shaping the construction industry and changing how buildings and interior spaces are designed, constructed, operated and maintained.

APPROACH

Technology always helps in making things more streamlined and helps in making stringent aspects automated. We at Havelock One Interiors have also perceived the technological power by making us more sustainable by reducing our paper consumption and going digitalised. Our new IT roadmap better supports business growth and provides strategies to standardise, virtualise, and cloud-enable our IT assets, allowing the Company to focus on using technology for better operational efficiencies, while improving productivity and reducing IT troubleshooting.

PERFORMANCE

In this section, we demonstrate how Havelock One best utilises the technology to make our ecosystem more sustainable:

• Reducing the paper waste – We are driving fast to become a paperless organisation, In order to achieve this, we have taken a leap by going fully digitalised with our systems and processes. Our software development team has introduced several innovative tech solutions that have made it possible to own a user-friendly and efficient interface for managing work processes.

• Havelock One’s cloud journey with Microsoft 365 productivity platform, which helped with better communication and seamless collaboration for all of our users. With Microsoft 365, users have

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access to documents, email, storage and internal communication around the clock.  Havelock One’s management’s decision to invest in an OPEX model with cloud subscription rather than to invest capital in new and expensive licenses, servers and infrastructure has proven to be right. The IT team is continuously learning and implementing these technologies, and together with Microsoft infrastructure services availability, performance and agility to the users, we can achieve a lot more in the coming days and get benefit from the cloud offering

• Covid-19 Defender – Havelock One has launched an AI-enabled digital concierge for safer spaces. Covid Defender offers basic and optional features such as mask and temperature detection, capacity and appointment management, as well as social distancing control. An integrated touchless hydro-alcoholic gel dispenser and the provision of additional PPE, like masks and gloves, further enable safer access to premises.

• Our setting-out teams are backed up by outstanding planning systems making it a fully automated department. Furthermore, the setting-out processes are fully integrated directly linking to our manufacturing CNC routers and boring machines.

TRANSPARENCY & ANTI-CORRUPTION

TRANSPARENCY & ANTI-CORRUPTION

OBJECTIVE

Havelock One Interiors focuses on being open and transparent with all its stakeholders; from our employees and clients, to our subcontractors and suppliers. Transparency develops trust, and it has been our foremost motive to build a strong and transparent environment in our organisation with no corruption and bribery.

APPROACH

Havelock One’s approach towards a transparent and ethical organization is ingrained in our Code of Conduct which provides the guiding principles we believe are integral in upholding ethical standards when conducting business.

• All our employees are well knowledgeable about the Company’s Code of Conduct and the same is easily accessible to them.

• All employees are requested to acknowledge compliance with the Company’s Code of Conduct on an annual basis.

• All our new employees undergo the training and knowledge transfer about the Code of Conduct.

PERFORMANCE

Havelock One is committed to conducting its business operations with the highest level of ethical standards and in compliance with applicable laws. We do not tolerate any malpractices or inappropriate behaviour by our employees or business associates, and such cases are dealt with in accordance with our Whistle-blower policy.

Our Whistle-blower policy provides a safe avenue to our employees and business associates to report any actual or suspected fraudulent, unethical, or unlawful activities. They can do so either by contacting our whistle-blower officer or through our website by accessing "Speak up" menu option. Person reporting the concerns has option to remain anonymous and is protected from any retaliation.

We also have Gift Policy and Hospitality and Entertainment Policy which provide detailed guidance to our employees with respect to exchanging gifts, hospitality, and entertainment with its business associates such as clients, suppliers, and sub- contractors in order to prevent incidents of bribery and corruption.

Engagement is one of the transversal issues encompassing our Transformational Strategy. It is cross-cutting for each focus area: People, Communities, Sourcing and Environment. For those focus areas to achieve their commitments, a high degree of stakeholder engagement is required.

Our approach to stakeholder engagement is summarised in the following table, which presents key stakeholder groups, their interests and how we regularly engage with them. They were identified through stakeholder prioritisation exercises, most recently in 2019. The results guide our strategy and annual reporting.

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TRANSPARENCY I STAKEHOLDER COLLABORATION

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• Preparation & approval on shop dwgs prior manufacturing of finished products.

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TRANSPARENCY I STAKEHOLDER COLLABORATION

STAKEHOLDER GROUP STAKEHOLDERS PRIORITIES

EMPLOYEES Job security and satisfaction

Employee benefits

Employee benefits

Opportunities for growth and skills development

OUR RESPONSE

• Engage employees, maintain open communication channels, and develop ac plans based on employee feedback.

• Ensuring job security and continuation

Health & safety

GENERAL PUBLIC AND COMMUNITY Commitment to upholding health and safety standards

Minimal visual and noise pollution

SUPPLIERS Provide timely payment

Remain informed about Havelock One’s policy, company guidelines and HSE standard

FREQUENCY OF ENGAGEMENT

Communicating with employee through various channels that includes social media and internal communication

• Offer competitive benefits packages comparable to the local market N/A

• Offer recreational service and packages for senior employees at discounted rate. Applicable to Manager cadre employees.

• Developed comprehensive training and development program “TAQADAM” that offers staff several opportunities to improve and hone their skills

• Employee annual review

• Maintain a health and safety policy for all employees and workers

• Maintain insurance coverage for all employees

• Conducted and hosted employee vaccination drive

• Communicate COVID-19 travel restrictions tom employees

• Following safety standard to avoid any disturbance and fatality

• Avoid working in non-working hours while working in a residential area

• Conduct periodic evaluations

• Maintain open channel of communication and clearly articulated contract terms and agreements to ensure parties agree on method and date of payments

• Communicate Havelock One’s vendors and subcontractors about the code of conduct company follows which is included in the T&C in the contract.

Offering training program by sending periodical training opportunities to employees

Annually

On a continuous basis

On a continuous basis

During the Covid-19

A continuous process

A continuous process

A continuous process

On a weekly basis

On a periodic basis and depending on each contract

Havelock One shared the COC through the LPO (Contract agreement) and induction by the respective site Project manager to the supplier’s workers on the site.

Thank You!