Logicalis International
Climate Impact & Sustainability Data (2018-03 to 2019-02, 2022-03 to 2023-02, FY23, FY24)
Reporting Period: 2018-03 to 2019-02
Environmental Metrics
ESG Focus Areas
- Good corporate governance
- Social and economic development
- Good corporate citizenship
- Environment, health and public safety
- Stakeholder relationships
- Labour and employment
- BBBEE and transformation
- Climate change
Environmental Achievements
- Moved to completely renewable energy from its energy suppliers
- Replaced lighting with low wattage, energy saving lighting solutions
- Initiatives for reducing power and water usage and monitoring waste reduction in its offices
- Promoting remote working and video conferencing to minimise car or air transportation and reduce its carbon footprint
Social Achievements
- Launched new CSR programme in Germany supporting six social initiatives
- Logicalis US donated over US$92,000 to 76 community causes
- Westcon International sponsored the rebuilding of the Diepsloot Combined School Computer Laboratory
- Datatec Educational and Technology Foundation supported various educational initiatives, including teacher and learner development, ICT infrastructure provision, and skills development for unemployed youth
- Westcon Group SA achieved a Level 1 BBBEE status
- Logicalis SA achieved a Level 4 BBBEE status
Governance Achievements
- Improved corporate governance through governance structures
- Comprehensive programme of shareholder consultation covering governance matters
- Changes made to the Company’s remuneration policy and implementation thereof
- Established an international leadership development programme for senior leaders in Logicalis
- Introduced a high-potential development programme across Europe in Logicalis
Climate Goals & Targets
Long-term Goals:
- Maintain a sustainable business
Medium-term Goals:
- Improve shareholder returns through corporate and business development actions
- Further growth and improvement of the Logicalis business
- Reshaping the Westcon International business to restore profitability
Short-term Goals:
- Continue to focus on improving the services and annuity revenue mix
- Focus on cost reduction activities in legacy areas of the business
- Continue the roll out of the common services platform
Environmental Challenges
- Technological market disruption
- Internal technological risks
- Risk of mismanagement of payment discounts, product rebates and allowances
- Dependence on key vendors
- Risk of failure to fund working capital needs sufficiently
- Execution risk of major projects
- Risk of overdependence on key personnel
- Dependence on key customers
- Emerging market currency volatility (especially in Latin America)
- Slowdown in the Brazilian economy
- Demand from customers to access public cloud as part of a hybrid cloud strategy
- Credit and currency exposures in Africa
Mitigation Strategies
- Careful partner selection in terms of vendors and working closely with vendor partners
- Pre-empting market changes resulting from new technology
- Significant resources deployed on information security defenses
- Enhanced data privacy policies and procedures
- Technological and educational/awareness campaigns to counter financial crime
- Maintaining close relationships with key customers
- Rigorous credit assessment and control procedures
- Careful planning of phased introduction of major new systems
- Extensive due diligence of potential acquisitions, including detailed integration planning
- International leadership development programme
- High-potential development programme
- Improved inventory control and effective accounts receivable management
- Cost reduction programmes
- Renewal of debt facilities
- Deleveraging to strengthen balance sheet
Supply Chain Management
Responsible Procurement
- Introduced supplier on-boarding guidelines
- Requiring suppliers to comply with the Datatec Code of Conduct
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: King IV™ Report on Corporate Governance in South Africa, Companies Act 71 of 2008, JSE Listings Requirements, The International Integrated Reporting Framework, International Financial Reporting Standards (“IFRS”)
Certifications: ISO 14001, OHSAS 18001
Third-party Assurance: Deloitte & Touche
Reporting Period: 2022-03 to 2023-02
Environmental Metrics
Total Carbon Emissions:8707 tCO2e/year (Scope 1 & 2, location-based)
ESG Focus Areas
- Environmental
- Social
- Governance
Environmental Achievements
- Baseline of carbon emissions established
- Completion of Group-wide scope 3 assessment
- Officially committed to the SBTi Corporate Zero Standard
- Launch of phase one of Datatec’s waste management strategy
Social Achievements
- Positively impacted more than 10,000 people through community support interventions
- Contributed ZAR8.7 million to education interventions in South Africa through the Datatec Foundation
- Invested close to US$3 million on employees’ career development, training, and accreditations
- Rebranding of the Datatec values to include "Inclusion"
Governance Achievements
- Officially a supporter of the TCFD
- Became a signatory to the United Nations Global Compact
- Completed a Group EcoVadis assessment
- Launch of global cloud-based ESG dashboard
Climate Goals & Targets
Long-term Goals:
- Net zero emissions by 2050
Medium-term Goals:
- 80% of suppliers by spend covering purchased goods and services and the use of sold products will have science-based targets by FY25
- Achieve 100% renewable energy usage by 2030
Short-term Goals:
- Reduce absolute scope 1 and 2 GHG emissions by 50% by 2030 from a FY22 base year
Environmental Challenges
- Supply chain disruptions
- Fluctuating exchange rates
- Global macroeconomic uncertainty
- Global semiconductor shortage
Mitigation Strategies
- Continue to collaborate with vendors
- Put mitigation actions in place until the situation normalises
- Constantly monitor supply routes and options
- Additional focus on non-device-based solutions
- Strong working capital management
- Reducing debt levels
Supply Chain Management
Responsible Procurement
- Supplier sustainability requirements
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: King IV, Companies Act 71 of 2008, JSE Listings Requirements, International
Reporting Period: FY23
Environmental Metrics
Total Carbon Emissions:Not disclosed
Scope 1 Emissions:Not disclosed
Scope 2 Emissions:Not disclosed
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:Not disclosed
Water Consumption:Not disclosed
Waste Generated:Not disclosed
Carbon Intensity:Not disclosed
ESG Focus Areas
- Carbon neutrality
- Sustainability
- Diversity & Inclusion
Environmental Achievements
- Maintained a target of carbon neutral scope 1 and 2 by 2025
- Working with EcoVadis to provide a holistic ESG performance and improvement areas understanding
Social Achievements
- Not disclosed
Governance Achievements
- Not disclosed
Climate Goals & Targets
Long-term Goals:
- Not disclosed
Medium-term Goals:
- Not disclosed
Short-term Goals:
- Not disclosed
Environmental Challenges
- Supply chain shortages
- Geopolitical issues
- Cyber threat landscape
- Scarcity of qualified talent
Mitigation Strategies
- Investing in assets, platforms, and solutions
- Providing managed lifecycle services across cloud, connectivity, collaboration and security
- Developing a managed digital fabric platform and scoring to provide customers with insight into their digital footprint and carbon emissions
Supply Chain Management
Supplier Audits: Not disclosed
Responsible Procurement
- Not disclosed
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Not disclosed
Opportunities
- Not disclosed
Reporting Standards
Frameworks Used: Null
Certifications: Null
Third-party Assurance: Not disclosed
UN Sustainable Development Goals
- Not disclosed
Not disclosed
Sustainable Products & Innovation
- Not disclosed
Awards & Recognition
- Cisco 2022 Global Enterprise Networking & Meraki Partner of the Year
- TSIA 2022 Star Awards: Finalist in the Innovation in Managed Services
- CRN MSP 500
- CRN Solution Provider 500
- CRN Tech Elite 250
- Channel Asia Innovation Awards 2022: Tech Innovation – Singapore
- Cisco FY22 Performance Excellence Award: Hong Kong
- Cisco APJC Geographic Awards: Social Impact Partner of the Year
- Cisco PS22: Marketing Partner of the Year Award Winner – Logicalis Asia
- Microsoft Partner of the Year 2021: Rising Star Award – Singapore
- Cisco PS22: IoT/Industry Partner of the Year – Germany
- Tech Excellence Awards: Managed Security Service Provider of the Year – Logicalis UK&I
- Microsoft Partner of the Year 2022: Best Joint Sales Partner – Spain
- Microsoft Partner of the Year Finalist 2022: Azure Migration – Spain
Reporting Period: FY24
Environmental Metrics
Total Carbon Emissions:Not disclosed
Scope 1 Emissions:Not disclosed
Scope 2 Emissions:Not disclosed
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:Not disclosed
Water Consumption:Not disclosed
Waste Generated:Not disclosed
Carbon Intensity:Not disclosed
ESG Focus Areas
- Sustainability
- Carbon Neutrality
- Responsible Business
- Cybersecurity
- Diversity & Inclusion
Environmental Achievements
- Five of global operations achieved a switch to renewable energy
- Committed to target of carbon neutral scope 1 and 2 by 2025
- Working with EcoVadis to provide a holistic understanding of ESG performance and improvement areas
- Development of the Logicalis digital fabric platform to power digital managed services, providing customers with insight into their digital footprint and associated carbon emissions.
Social Achievements
- Maintained a consistently high net promoter score
- 25% female employees
- Numerous awards and recognition highlighting strategic focus on innovation and sustainability (Cisco Sustainability Partner of the Year, etc.)
- Participation in Cisco’s global initiative to responsibly repurpose and recycle end-of-use products.
Governance Achievements
- Not disclosed
Climate Goals & Targets
Long-term Goals:
- Not disclosed
Medium-term Goals:
- Not disclosed
Short-term Goals:
- Carbon neutral scope 1 and 2 by 2025
Environmental Challenges
- Increased complexity in emerging technologies and expanding cyber threat landscape
- Clients struggling to keep up with requirements to detect new threats
- Prevalent skills gap and talent shortage in emerging technologies such as AI and 5G
- Global economic and political conditions, lower growth in the markets served, increased competition, risks related to new technologies such as AI, reliance on a limited number of strategic vendors and the scarcity of skills and available talent.
Mitigation Strategies
- Investing in assets, platforms, and solutions, building on current capabilities by providing managed lifecycle services across cloud, connectivity, collaboration and security.
- Developing capabilities within cloud, connectivity, security, software, and data management to provide full lifecycle solutions around IT infrastructure to its customers.
- Focusing on key sectors like Mining with unique propositions to meet customer requirements.
Supply Chain Management
Supplier Audits: Not disclosed
Responsible Procurement
- Not disclosed
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Not disclosed
Opportunities
- Not disclosed
Reporting Standards
Frameworks Used: EcoVadis
Certifications: Null
Third-party Assurance: Not disclosed
UN Sustainable Development Goals
- Not disclosed
Not disclosed
Sustainable Products & Innovation
- Logicalis digital fabric platform
Awards & Recognition
- Cisco 2023 Sustainability Partner of the Year
- Cisco 2023 Global Enterprise Networking and Meraki Partner of the Year
- Numerous other awards listed in the report