Environmental, Social and Governance (ESG) Policy

Introduction

Bake With Yen opened first retail store in 1987 at Taman Tun Dr. Ismail, Kuala Lumpur. We specialize in the manufacture, supply & distribution and retail of baking ingredients, premixes, accessories and tools accordance with HACCP Based Food Safety System, MeSTI, and over 300 of the products are HALAL certified by JAKIM.

ESG Governance

Our Board of Directors has the overall responsibility of ESG management by ensuring the consideration of ESG risks and opportunities across the organisation. The Board is supported by the Group Chief Executive Officer who oversees and provides leadership over the implementation of sustainability strategy in Bake With Yen.

At the management level, ESG responsibilities cascade down to business functions, who supports and ensures processes and controls are in place within its department.

Our Commitment to ESG

Sustainable growth is our acceptable business model, the growth cannot come at the expense of people nor the environment. We strive to ensure that our products are sustainable at every stage of their life cycle. We strive to work and collaborate closely with our suppliers, customers, academics, and other businesses to help us achieve this goal.

To uphold our ESG commitment to the concerned stakeholders, we are guided by the following core principles in our day-to-day operations.

• Ensure the highest standards in food safety and quality
• Be non-discriminatory (whether on grounds of gender, race or disability), and adopt equality and diversity in employment practices;
• Respect human rights and ensure no exploitation of child or forced labour;
• Act responsibly with respect to the environment, aiming for a sustainable approach to the use of resources; and
• Recognise and manage the potential impact of our value chain to the environment, workers, communities, and society.

ESG Pillars

We apply materiality in determining the ESG focus areas for Bake With Yen. ESG factors are prioritised based on its impact to our business and importance to stakeholders. The focus areas would be the key drivers for Bake With Yen to protect and create value for our business, key stakeholders, the broader society, and the environment.

Our ESG pillars include:

• Reducing Carbon Footprint
• Sustainable Product Packaging
• Ensuring Food Quality and Safety
• Workplace Diversity & Inclusion
• Employee Welfare, Health and Safety

Reducing Carbon Footprint

Addressing climate risks and opportunities across our value chain is key to the sustainability of our business. Where possible, we aim to identify opportunities to reduce our carbon footprint through optimising our energy consumption by:

• Engage employees on energy-saving practices by putting up reminders at switches.
• Optimized aircon unit per area and standardize the aircon temperature.
• Provided employees with laptop instead of desktop, and introduce ‘Think before you print’ email tag to encourage the reduce usage of machine and paper.
• Upgrading to more energy-efficient appliances and equipment, such as replace with energy saving lightbulbs.
• Exploring the possibility of transitioning to renewable energy like a solar back up battery; and
• Optimising our logistics and fleet, such as better transport timetable to avoid traffic, reduce the frequency of goods delivery to increase vehicle performance and achieve fuel efficiency.

Sustainable Product Packaging

We recognise the impact of waste and packaging, especially plastic to the environment and support efforts that will minimise our ecological footprint. We aim to work with packaging manufacturers on packaging design to accelerate the adoption of circular packaging andproducts, including, but not limited to, plastics. This can be done through:

– Optimizing product packaging at Bake With Yen
– Engaging customers to reduce, reuse and recycle

Ensuring Food Quality and Safety

We committed to supplying our customers with safe and high-quality products at all times. We have a quality management approach in place to guarantee food safety and compliance with quality standards for our customers. To the extent possible, we ensure our quality management conforms to best practices and laws and regulatory requirements such as compulsory typhoid vaccination and food handling training for production and warehouse, applied Critical Control Points (CCP) at all level of food chain, practice First Expiry First Out (FEFO) based on Warehouse Management System (WMS), and food safety training to employees.

We have in place a Food Safety Management System, which has been verified by external certification bodies against the international ISO 22000 standards, Hazard Analysis Critical Control Point (HACCP) and Good Manufacturing Practice (GMP), as well as certified by the Ministry of Health Malaysia. Through this preventive system, we identify, evaluate and control hazards that are significant for food safety. We ensure this covers our entire food production process from raw materials to distribution and consumption.

Workplace Diversity & Inclusion

We recognize that any form of discrimination and victimization is unacceptable and strive to ensure that no employee or job applicant receives less favourable facilities or treatment in recruitment or employment on the grounds of age, disability, gender reassignment, marriage and civil partnership, pregnancy and maternity, race, ethnic origin, colour, nationality, national origin, religion or belief, sex, or sexual orientation.

Employee Welfare

We are committed to fulfilling our responsibility as a responsible employer towards all workers, including migrant workers. Guided by local law and regulations throughout the employment cycle, we implemented a range of supporting policies to ensure that our people are provided with a secure working environment.

We prioritise health and safety of our employees throughout the operations of our business in such a way that all activities are considered with a perspective of prevention of all types of accidents and protection of the people at work. To advance a strong safety culture that effectively prevents accidents, we commit to perform systematic identification of hazards and to manage them with appropriate risk assessments and subsequent actions to minimise danger.

We have in place various policies that governs employee welfare as follows:
– Human and Labour Rights Policy
– Occupational Health and Safety Policy
– Employee Handbook

Monitoring and Reporting

Where possible, we will monitor and report data and indicators that would best measure the effectiveness of our initiatives and efforts.

This Policy was reviewed and approved by the BWY Group CEO on the following dates:
• Version 1: 01 July 2022