Identifying and managing sustainability aspects that are material to CSL is very important to us, given their potential to positively and negatively impact our business, people and the communities we operate in. We use our internal Risk Management Framework in applying a consistent approach in assessing these risks from both a business and key stakeholder perspective.
Listening to our stakeholders on a regular and transparent basis helps us identify, review and prioritise material topics that inform the business on opportunities to deliver value to shareholders and provide a basis for reporting performance metrics against our strategic priorities.
CSL's Global CR Committee has overall responsibility for the materiality process. In conducting our second global materiality assessment in 2015/16, we followed the GRI report content principles of sustainability context, materiality, completeness and stakeholder inclusiveness through our process of identification, review and prioritisation. As CSL completed the materiality process prior to the acquisition of the Novartis influenza vaccine (NIV-IS) business, aspects related to this entity were not included in our materiality process.
The first stage of the materiality process was to identify material aspects, and included the consideration of key stakeholder perspectives across each component of the value chain. The process involved developing a universal list of material aspects based on an evidence-based approach and considering a number of factors relevant to our organisation, e.g. existing and emerging global trends, alignment with CSL's risk register, GRI sector supplements, regulatory and legislative changes, geographical considerations, investor focus areas and media responses to CSL's strategic priorities. Material issues were prioritised by rating their importance by considering perspectives of stakeholders and reviewing the potential impact to the business. During the year, the CR Committee identified and endorsed a target list of internal representatives from across the organisation, representing heads of function, members of the executive leadership group, and general managers and site heads across our operations to prioritise material issues. The diversity of respondents at both a functional and geographic perspective ensured a broad set of views and perspectives. Material topics were validated and then plotted on the matrix shown on the next page.
The rating process resulted in 10 GRI G4 aspects that exceeded the threshold for importance from both a business and stakeholder perspective and therefore have been included for reporting by CSL. Additionally, we took an inclusive view of stakeholder perceptions and expectations regarding brand value and reputation resulting in an additional five aspects that exceeded the threshold for stakeholder importance and also included these as reportable material aspects.
For the purpose of this CR report, we have linked our top 15 material sustainability aspects to the relevant GRI aspects and mapped their boundaries along our value chain (see table). Each of these issues brings challenges and opportunities, explored in more detail throughout our report.
Visit our website for more information on CSL's risk framework.