Minor International Public Company Limited

Materiality Analysis

Minor conducts materiality assessment annually to identify key interests of stakeholders and significant issues related to our businesses. We disclose these issues annually for transparent communication with the stakeholders.

In alignment with the European Sustainability Reporting Standards (ESRS), Minor International conducts a double materiality assessment to identify sustainability topics that could have a significant impact on environmental, social, and governance (ESG) matters, as well as those that could substantially influence the our strategy development, financial performance and market position.

The Corporate Sustainability team, which is led by the Chief Sustainability Officer who reports to the Group CEO and the Sustainability Committee, oversees the development of our sustainability reporting and double materiality process. [GRI 2-14]

Double Materiality Assessment [GRI 3-1]

We identified material topics through on-going stakeholder engagement. In addition, we conduct in-depth value chain sustainability assessments and supplier audits, review peer and sector trends, and monitor global sustainability standards to further guide our analysis.

Topics identified through these channels are then assessed from:

  1. an impact perspective in terms of their severity and likelihood based on various social and environmental factors. Inputs for impact perspectives were gathered via stakehodlers surveys and engagement sessions.
  2. a financial perspective in terms of short, medium and long-term enterprise value effects that may not be captured in financial reporting.

Issue Prioritization: Minor has developed an internal scoring tool for impact ranking based on stakeholders’ inputs and survey results. The scoring methodology takes into account scale, scope, remediability (for negative impacts), and likelihood of impacts. Potential human rights impacts are assessed based on the UN Guiding Principles on Business and Human Rights where the severity of the impact takes precedence over its likelihood in the scoring. Each stakeholder group is assigned a weighting based on their influence and importance to Minor International. Within a stakeholder group, responses from stakeholders are weighted according to their sustainability maturity as determined by the survey. Financial materiality scoring is defined in accordance with Enterprise Risk Management criteria.

Validation: The outcome of this assessment, along with consideration for international norms and trends are tabulated to form Minor International’s material topics. Reviews are conducted annually to ensure all emerging risks and opportunities are addressed and reported through our sustainability disclosures.