Climate Change Data

Environmental Metrics

ESG Focus Areas

• Purpose and strategy
• Ethics and integrity
• Reputation and market perception
• Anti-corruption
• Transparent business
• Stakeholder engagement
• Compliance
• Anti-competitive behaviour
• Customer service
• Culture
• Staff wellbeing
• Governance
• Product quality and performance
• Economic performance
• Partnerships
• Environment
• Information security
• Community
• Supply chain

Environmental Achievements

• Established energy-efficient offices and limited paper-hungry printers
• Increased reliance on cloud infrastructure to reduce electricity from always-on servers

Social Achievements

• Iress Foundation donated more than $A200,000 to charity partners
• Welcomed three Talent Beyond Boundaries candidates (skilled software engineers)
• Improved Net Promoter Score (NPS) in key business areas
• Hosted client webinars and events
• Global Iress Community membership grew by 40%
• Implemented a new Client Solutions global team
• Consolidated two Johannesburg offices into one
• Welcomed 97 people from various locations with the acquisition of QuantHouse
• Graduate, apprenticeship and learnership programs recognized through industry awards
• Reduced gender pay gap from 15.1% in 2018 to 14.34% in 2019
• Introduced market-leading parental leave and domestic violence policy

Governance Achievements

• Complied with ASX Corporate Governance Principles and Recommendations (3rd Edition)
• Undertook a comprehensive review of all governance practices
• Made amendments to Whistleblowing, Conflict of Interest and Anti-bribery and Corruption policies
• No incidents of corruption occurred in 2019
• Two acquisitions made in 2019 with no merger control or anti-trust issues
• Global Information Security Management System certified to ISO 27001:2013 standard
• Completed 74 supplier information security assurance reviews

Climate Goals & Targets

Environmental Challenges

• Increasing regulatory and business complexity
• Clients’ rising expectations of technology
• Need to reduce the number of ‘regretted leavers’ and manage underperforming employees
• Growing compliance burden
• E-waste is a significant global environmental problem
• Increased flight numbers due to acquisition of QuantHouse

Mitigation Strategies

• Developed an internal ESG roadmap
• Implemented a new Client Solutions global team
• Focused on creating a great place to work with a consistent OneIress culture
• Prioritized initiatives to make career pathways clearer and ensure people performance is managed proactively
• Implemented a new operating model for information security
• Developed a cloud security controls framework
• Constantly looking to change to more environmentally efficient alternatives as office and equipment lease arrangements come to an end

Supply Chain Management

Supplier Audits: 74 reviews in 2019

Responsible Procurement

• Supplier Code of Conduct (including provisions for employment conditions, human rights, modern slavery, safety, diversity, anti-bribery and corruption, and the environment)
• Legal due diligence for new suppliers (asking about Modern Slavery Act Statement)
• Support for qualifying BEE suppliers in South Africa

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards: Core Option

Certifications: ISO 27001:2013

Awards & Recognition

• WGEA Employer of Choice for Gender Equality in Australia
• 'Top 50 Companies to work for – UK' by Glassdoor

Environmental Metrics

ESG Focus Areas

• Economic performance
• Innovation and product development
• Growth
• Product quality and performance
• Customer service
• Purpose and strategy
• Partnerships
• Ethics and integrity
• Business development
• Non-discrimination
• Industry leadership
• Technology infrastructure, systems and infrastructure
• Information security
• Human rights
• Economic impacts on the local community
• Climate change
• Environment
• COVID-19

Environmental Achievements

• Starting in January 2021, energy will come from 100% renewable sources (wind and solar) for the Sydney and Melbourne offices. These offices contribute 95% of the energy use in Australia’s operations.
• 6,399.25kg Total e-waste assets disposed of in the UK as part of the EU Waste Electrical and Electronic Equipment Directive (WEEE)

Social Achievements

• Overall engagement score increased to 72% (66% in 2018)
• Increased female representation to 35.55% across Iress, meeting our objective.
• Reduced overall attrition from 12.6% to 8.8%, against the UK industry average of 18.3% (2019 XpertHR) and Australian industry average of 20.0% (2019 ELMO Cloud HR).

Governance Achievements

• Published ESG Statement, Environmental Policy, and Sustainable Procurement Policy in early 2021
• Complied with each of the ASX Corporate Governance Principles and Recommendations (4th Edition) in 2020.
• Published Tax Transparency report detailing tax contribution, governance, strategy, and international related party dealings for the 2019 financial year.

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic significantly impacted operations and stakeholders.
• Limited visibility into environmental efforts across global offices.
• Need to improve strategic relationships with clients.

Mitigation Strategies

• Implemented agile response to COVID-19 prioritizing employee wellbeing and service continuity.
• Engaged with global offices to understand environmental impacts and plan for reductions.
• Established Iress’ Client Solutions team to address complex client needs and improve strategic interactions.

Supply Chain Management

Responsible Procurement

• Supplier Code of Ethics and Conduct
• Sustainable Procurement Policy (published early 2021)

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards: Core Option

UN Sustainable Development Goals

• SDG 4: Quality Education
• SDG 8: Decent Work and Economic Growth
• SDG 12: Responsible Consumption and Production
• SDG 13: Climate Action
• SDG 17: Partnerships for the Goals

Iress has set business goals and targets against these SDGs, focusing on areas such as vocational training, modern slavery risk assessment, resource efficiency, climate change mitigation, and tax transparency.

Awards & Recognition

• WGEA Employer of Choice for Gender Equality citation (Australia)
• Top 75 Graduate Employer (Australia)
• Glassdoor recognition as one of the top 50 Best Places to Work in the UK

Environmental Metrics

ESG Focus Areas

• Emissions reduction
• Diversity
• Iress Foundation
• Climate change
• Modern slavery

Environmental Achievements

• Implemented a new environmental management system to measure consumption and emissions.
• Established e-waste partnerships.
• Upgraded new offices in the UK with low voltage LED lighting to minimise power usage.
• Signed science-based targets commitment.
• Transitioned 2000+ services to the cloud during 2021.
• Switched to renewable energy in Sydney and Melbourne offices (representing 95% of Australian footprint).

Social Achievements

• Introduced the ‘Long Weekend’— enabling all permanent employees and fixed-term contractors to take a Friday or Monday off work for up to six days per calendar year.
• Employed two software engineers from Syria and Iraq to support refugee employment through Talent Beyond Boundaries.
• Implemented new supplier management system that utilises real-time monitoring of supplier and supply chain risks, using specialist market data vendors to identify human rights and environment risks.
• Logged 3,000+ hours of sales and service training completed by our people, supporting their professional development and higher quality service to our clients.
• Donated AUD$231,000 to over 36 charities.

Governance Achievements

• Inclusion of ESG matters in the Audit & Risk Committee charter to formalise Board oversight.
• Continuous improvement in disclosures and reporting with ACSI assessing Iress’ 2020 ESG report with a ‘Detailed’ rating.

Climate Goals & Targets

Environmental Challenges

• Limitations in reporting environmental data, not reflecting 100% capture across the business.
• Inconsistent and unavailable refrigerant emissions data for leased offices.
• Limitations in reporting data centre energy consumption (estimated 70% captured).
• Data unavailable for some regions in certain metrics.
• Child labour, forced or compulsory labour, and human rights assessments not completed in 2021.

Mitigation Strategies

• Ambition to increase measurement and reporting of environmental data in 2022.
• Working with landlords in 2022 to obtain refrigerant emissions data.
• Working with suppliers to understand energy consumption and efficiency in leased data centres.
• Improving data collection methods across regions.
• Ambition to identify key impacts, risks and opportunities related to child labor, forced labor, and human rights in 2022.

Supply Chain Management

Supplier Audits: 123 supplier security assessments in 2021

Responsible Procurement

• Supplier Code of Conduct
• Sustainable Procurement Policy
• Real-time monitoring of supplier and supply chain risks using specialist market data vendors (Achilles, Dow Jones AME, and Ecovadis).

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI Standards: Core Option

Certifications: ISO/IEC 27001:2013

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• SDG 4 (Quality Education)
• SDG 8 (Decent Work)
• SDG 13 (Climate Action)
• SDG 17 (Partnerships for the Goals)

Iress Foundation initiatives focus on quality IT education, decent work, and provision of services to charities. Environmental initiatives align with climate action goals.

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• ACSI ‘Detailed’ rating for ESG reporting.
• Sophie Hall finalist in 2021 Women in Tech Excellence Awards (UK).

Environmental Metrics

ESG Focus Areas

• Climate change adaptation and resilience
• Emissions management
• Waste and resource efficiency
• Modern slavery and forced labour
• Responsible and sustainable procurement
• Diversity, equity, and inclusion
• Employee engagement
• Occupational health, safety, and wellbeing
• Data privacy and cyber security
• Ethics and integrity
• Risk management
• Customer experience
• Product/service quality
• Innovation
• Culture and values

Environmental Achievements

• Established a near-term science-based emission reduction target: 46.2% reduction in scope 1 and 2 emissions by 2030 from a 2019 base year and a minimum of 18.5% reduction in scope 3 emissions by 2030 from a 2019 base year.
• Continued transition to a cloud-based technology architecture, transitioning 5,700+ services to the cloud and retiring 320+ physical servers.
• Detailed review of global e-waste providers and waste management practices.

Social Achievements

• Introduced continued payment of retirement contributions on full salary for the duration of parental leave (up to 12 months).
• Strengthened support of Talent Beyond Boundaries, winning the 'Partnership of the Year' award.
• Announced plans to extend the 'Long Weekend' initiative to eight days per year.
• Conducted first global diversity, equity, and inclusion survey and launched an intensive mentorship program.
• Launched graduate recruitment program in South Africa with a 50/50 gender split.

Governance Achievements

• Revised and strengthened risk management framework and policy statement.
• Established internal working group focused on modern slavery and developed a 2023-2024 roadmap.
• Continued rollout of the 2021-2023 information security strategy.

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to climate events (impacting IT operations and employee commute)
• Difficulty in obtaining capital due to increased requirements for emission reduction demonstration.
• Client and investor expectations for demonstrated emission reduction.
• Regulatory changes related to climate change.

Mitigation Strategies

• Developed a 2022-2024 TCFD disclosure roadmap.
• Revised Audit and Risk Committee Charter to include climate change as a risk.
• Appointed Executive Leadership Team 'climate sponsor'.
• Included overarching climate change risk on enterprise risk register.
• Established near-term science-based emission reduction targets.
• Conducted climate risk and opportunity assessments.

Supply Chain Management

Supplier Audits: 90 supplier security assessments (2022)

Responsible Procurement

• Supplier Code of Ethics Policy
• Sustainable Procurement Policy
• New supplier onboarding process with due diligence.

Climate-Related Risks & Opportunities

Physical Risks

• Weather events impacting critical services and employee commute.
• Extreme heat impacting service provision and employee wellbeing.

Transition Risks

• Difficulty in obtaining capital due to emission reduction requirements.
• Client and investor expectations for emission reduction.
• Regulatory changes related to climate change.

Opportunities

• Strong supplier relationships through shared commitment to reducing emissions.
• Improved employee attraction, engagement, and retention.
• Meeting customer expectations and taking a market-leading position.
• Improved reputation on climate change.

Reporting Standards

Frameworks Used: GRI Standards: Core Option

Certifications: ISO/IEC 27001:2013

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• SDG 4 (Quality Education)
• SDG 8 (Decent Work)
• SDG 17 (Partnerships for the Goals)

Iress Impact initiatives focus on STEM education, supporting refugees and displaced people, and providing services to charities.

Sustainable Products & Innovation

• 'The Green Machine' tool (from Global Hackathon) to compare coding and design options for energy efficiency.

Awards & Recognition

• TEMI Awards – Partnership of the Year (with Talent Beyond Boundaries)
• CIO50 Awards (Andrew Todd)
• Shortlisted for Women Leading Tech Awards and Women in Finance Awards (Emily Chen)
• Upfront podcast finalist in The Drum B2B Awards.

Environmental Metrics

ESG Focus Areas

• Climate change
• E-waste management
• Diversity and inclusion
• Human rights (including modern slavery)

Environmental Achievements

• Science Based Targets initiative approved Iress' near-term emissions reduction targets.
• Implemented a new emissions management system.
• Decreased leased area resulting in a footprint reduction.

Social Achievements

• Initiation of Reflect Reconciliation Action Plan & working group.
• Strengthened support of Talent Beyond Boundaries – awarded ‘Champion Employer of the Year’.
• Renewed signatory status with Tech Talent Charter and Women in Finance charter in the UK.
• Continued partnership with Work180 in UK and Australia.

Governance Achievements

• Continued to embed our revised risk management framework to support our desired risk culture.
• Renewed ISO 27001 globally.
• Formation of a Data Governance Council.

Climate Goals & Targets

Environmental Challenges

• Challenging trading environment with lower equity trading volumes and subdued new business wins.
• Inflationary pressures leading to higher salaries and third-party input costs.
• Decline in overall employee engagement due to transformation, restructure, and headcount reduction.

Mitigation Strategies

• Significant restructuring initiatives to trim the cost base (21% headcount reduction).
• Cost reduction and pricing discipline initiatives in APAC Wealth Management.
• Focus on customer experience improvement and engagement with shareholders.

Supply Chain Management

Responsible Procurement

• Supplier Code of Ethics Policy
• Sustainable Procurement Policy

Climate-Related Risks & Opportunities

Physical Risks

• Weather events impacting critical services
• Extreme heat/wildfire causing power outages
• Weather events impacting offices and employee commute
• Increased employee absence due to climate-related impacts

Transition Risks

• Difficulty in obtaining capital due to emission reduction requirements
• Client expectations for emission reduction in Iress' products
• Investor expectations for emission reduction in Iress
• Regulatory changes related to climate change

Opportunities

• Strong supplier relationships through shared commitment to reducing emissions
• Improved employee attraction, engagement, and retention
• Providing products and services that support climate-related requirements for clients
• Improved reputation on climate change

Reporting Standards

Frameworks Used: GRI Standards

Certifications: ISO 27001

UN Sustainable Development Goals

• SDG 4 (Quality education)
• SDG 8 (Decent work)
• SDG 17 (Partnership for the goals)

Iress Impact framework focuses on causes aligned with Iress’ business and communities.

Sustainable Products & Innovation

• Advisely (editorial and discussion platform)
• Iress FIX Hub (cloud-native financial information exchange platform)

Awards & Recognition

• Champion Employer of the Year at UK Fragomen-TBB Displaced Talent Mobility awards
• Best Low Latency Data Feed at A-Team Group’s 2023 TradingTech Insight Awards Europe
• Silver at the Corporate Content Awards for Upfront podcast
• Cloud Transformation category at the 11th annual Technology Business Management (TBM) Council awards