March 7, 2016

To our stakeholders:

I am pleased to confirm that Perception Management Sdn Bhd, an established and credible stakeholder relations consultancy (SME) reaffirms its support of the Ten Principles of the United Nations Global Compact in the areas of Human Rights, Labour, Environment and Anti-Corruption.

In this annual Communication on Progress, we describe our actions continually improve the integration of the Global Compact and its principles into our business strategy, culture and daily operations. We also commit to share this information with our stakeholders using our primary channels of communication.

Sincerely yours,

Kishore Ravuri
Chief Executive Officer.

As an SME, we have introduced a policy of 'equal employer', without any discrimination of race, cast, creed, nationality, gender, sexual orientation. When charting recruitment strategies as well as in devising career progression plans, we are committed to avoid all kinds of discrimination at workplace. Our recruitment policies do not discriminate potential talent, even with disabilities.

In 2015, we recruited senior talent (who suited the available positions) with hearing impairment and comprehension challenges, as well as resources with alternative sexual orientation.

In the course of our business, our efforts have been to maintain a gender-balance at workplace, in addition to introducing flexible work arrangements for women during their first 6-12 months after bearing child; and also for women with added family responsibilities of caring for elderly parents.

In 2015, two of our Senior Women Managers exercised their option to choose a flexi-work arrangement, which has worked well for both the organisation (in terms of improved productivity) and for our employees.

At Perception Management, we have successfully created a culture of consensus and we encourage employees to exercise their right to communicate, share views, and partake in all decisions that may impact them in any manner.

Going forward, we would like to review and possibly conduct a brief human rights risk-assessment, which is quite a rare phenomenon in our Industry (Communications and Stakeholder Management).

The following steps have been put in place within the organisation to allow maximum two-way communication between the employees and the employer:

1. Weekly Voice Boards - Physical Meetings to allow employees share grievances, with an option to e-mail such issues confidentially directly to the CEO and to the HR Director.
2. Dedicated Manager - Our Director for Resources has been made responsible for addressing to any issues related to safeguarding Human Rights.
3. Human Rights Events - We encouraged our employees to actively participate and support events and initiatives that will help them understand and gain knowledge on Human Rights

The outcomes are measured based on:

1. Employee retention rate
2. Employee productivity
3. Employee-Management relationship

There were zero reported instances of breach of any human rights principles.

Even as an SME, we have a policy to not engage or encourage child or forced labour of any kind (especially when hiring office maintenance staff to include cleaners, delivery persons, contractors for renovation etc.)

In 2015, we formally introduced a clause in our Employee Handbook, a policy stating employee rights and responsibilities when negotiating their compensation and benefits (at both hiring and post-hire stages).

In the coming year, we would like to also introduce a policy requiring business partners and suppliers to adhere to the Labour principles, in addition to collective bargaining etc.

In 2015:

1. We worked with the International Labour Organisation to design and develop content for various capacity building and educational tools for SMEs.
2. We organised Health and Safety briefings from time to time, in addition to issuing information circulars etc.
3. We also have our weekly employee connect sessions to table any grievances for the management to resolve

The outcomes are measured based on:

1. Employee awareness
2. Employee loyalty
3. Employee-Employer relationship

There were zero reported instances of any labour violations.

As a communications firm, we have not been able to conduct any kind of assessment on the environmental footprint of the organisation. However, we intend to carry out one in near future.

In 2015 and beyond, we have had a policy on 'Recycling and SOS' and 'Car Pooling for Meetings', which help the employees to collectively contribute to saving energy and resources (paper, water, electricity, fuel etc.).

On an average, nearly 1,000 kgs of paper are printed for clients every year, which we are trying to reduce with set targets.

In 2015:
In 2015:

1. We have had an organisation wide initiative to recycle all printing and packaging material
2. We shifted our office premises to an independent building with natural ventilation, giving us huge savings on energy as well as our bills
3. We introduced a policy to source all technologies with Energy Star Standards (especially Laptops and Desktops)
4. All the employees have been given a collective responsibility for environmental performance at a basic level
5. We have also supported initiatives / events in this issue area, generating media articles for raising public awareness

We have not formalized any audits or measurement matrix yet and we intend to do so in 2016 and beyond.

In 2015, there were zero reported instances of breach of any environmental principles.

In 2015, we introduced a new policy of zero-tolerance for corruption, bribery and extortion. We have also equipped the CEO with enough opportunities to participate in discussions, forums as well as to access local and international best practices to curb corruption and mitigate issues of integrity in an organisation.

In the coming years 2016 & 2017, we hope to work with the Department of Standards Malaysia to promote and encourage the corporate sector in Malaysia to adopt ISO 37001 - Standards for Anti-Bribery Management Systems, which will be introduced by end 2016.

In 2015:

1. We officially introduced a strict policy for tenders, with a remit for our Director for Resources to be the whistle blower for discouraging any kind of corrupt behavior or practices in the course of our business
2. We partnership with Global Compact Network Malaysia and its members to develop and sponsor a Dialogue to DeFine corruption, with participation from Senior Practitioners (Governance, Integrity and Anti-Corruption) from government and private sectors, providing them an orientation on Anti-Corruption principles and best practices.
3. Our CEO has also extended his support to formalize a not-for-profit organisation committed to hand-hold organisations to devise effective processes and frameworks within their organisations that would dissuade corruption in all forms.

During internal audits, there were one incident of corruption reported and appropriate action was taken to ensure such instances do not recur in near future.

Positive feedback from members of Global Compact Network Malaysia as well as the participants of Dialogue to Define Corruption, with a follow-up action to seek commitment of organisations to sign Corporate Integrity Pledges and Formation of Anti-Corruption Frameworks.