Introduction
Allied Electronics Corporation Limited (Altron or the company) is an investment holding company. Its principal subsidiaries are Allied Technologies Limited (Altech), Bytes Technology Group Limited (Bytes) and Power Technologies (Pty) Limited (Powertech). During the year under review, Altron acquired the balance of shares that it did not already own from the minority shareholders of Bytes. Further information regarding corporate activity is contained in the CE review of the annual report.
Boundaries of reporting
Unless otherwise disclosed, this report covers the South African operations of Altron and its subsidiaries for the full financial reporting year from 1 March 2007 to 29 February 2008. The previous Sustainability Report was published in the 2007 annual report. While issues such as governance, code of conduct, ethics, engagement with employees, suppliers, customers, joint-venture partners, regulatory bodies, etc. in other countries are managed in the same way and according to the same principles as at Altron and its South African subsidiaries, sustainability performance in foreign countries is not covered in this report. With respect to its suppliers and the dti Codes of Good Practice (dti CoGP), the Altron group monitors preferential procurement and the stewardship of waste and recycling with contracted partners. But apart from these issues, the report does not cover the social or environmental performance of our supply chain partners.This report does not cover all of the Altron group’s operations. Instead it concentrates on the major operations that contribute the most substantial portion of Altron’s business. They include Altech, Altech Card Solutions (ACS), Altech UEC, Arrow Altech Distribution (AAD), Altech Netstar, Altech NamITech, Altech Isis, Altech Autopage Cellular, Altech Alcom Matomo, Bytes, Bytes Systems Integration (BSI), Bytes Document Solutions (BDS), Bytes Specialised Solutions (BSS), Powertech Transformers, Desta Power Matla (DPM), Aberdare Cables, Crabtree Electrical Accessories SA (Crabtree), Strike Technologies (Strike), Powertech Batteries, Battery Technologies, Renergy Technologies (Rentech) and Powertech Calidus (Calidus). Guidelines and standards consulted for the compilation of this report included:
- the King Report on Corporate Governance for South Africa – 2002 (King II), forming the basis of Altron’s self-evaluation independently certified by Corporate Governance Accreditation (Pty) Limited (CGA);
- the JSE SRI (JSE Limited Social Responsibility Investment) Index;
- the Global Reporting Initiative’s (GRI) guidelines and indicators (G3 edition); and
- the dti CoGP.
Awards received in the reporting period
- Altech Limited: Technology Top 100 Award for Excellence in the Management of Technology, Innovation and People (for Altech Academy)
- Altech Card Solutions: Datacard’s President Club Award for Sales Excellence
- Altech UEC: 2007 Winner – Proudly South African Innovator Award
- Altech UEC, Altech NamITech and Altech Netstar: 2007 Technology Top 100 Award: Qualifier
- Bytes Systems Integration’s Process Management and Control: Southern Africa Top System Integrator Award
- Bytes (UK): Microsoft Worldwide Software Asset Management Partner of the Year award
- Xerox’s Erasable Paper lauded by TIME magazine: November 2007
Prof Roy Marcus of the Da Vinci Institute;
Mr Bernie Bowers, Chief Technology Officer of
Altech Netstar and Minister of Science and
Technology Mr Mosibudi Mangena.
Table of material issues
| Material issue | Stakeholders affected |
| Integration of corporate ethics | Shareholders, employees, customers, suppliers, regulatory bodies |
| Altron’s treatment of minority investors | Minority investors, regulatory bodies |
| Transformation at ownership level | Shareholders and all stakeholders in the value added statement, including government |
| Customer service | Customers, shareholders, employees |
| Meeting the evolving needs of customers | Customers, shareholders, employees |
| Liberalisation of the telecommunications market | Shareholders and all stakeholders in the value added statement, including government |
| Expansion of customer base | Shareholders, customers, employees |
| Securing continuity of supply | Suppliers, customers, shareholders |
| Foreign direct imports and dumping | Suppliers, customers, shareholders, government |
| Mergers and acquisitions | Suppliers, customers, shareholders |
| Transformation through preferential procurement | Historically disadvantaged suppliers and all stakeholders in the value added statement, government |
| Skills attraction, development and retention | Employees, candidate employees, shareholders, government |
| Employment equity | Historically disadvantaged employees and all stakeholders in the value added statement, government |
| Transformation through skills development | Employees, candidate employees, shareholders, government |
| Socio-economic development | Communities that relate to Altron and society at large, government |
| Enterprise development | Historically disadvantaged businesses and all stakeholders in the value added statement, government |
| Climate change | All stakeholders to the business |
| Compliance with environmental legislation | All stakeholders to the business and government |
| Pollution and emissions | All stakeholders to the business |
| Energy use and efficiency | All stakeholders to the business |
| Environmental impact of products and services | All stakeholders to the business |
| Internal health and safety | Employees |
| HIV/Aids | Employees and their families and communities related to Altron |
Contact for questions regarding this report:
| Corporate Communications Salomé Brown |
Secretarial and administration Andrew Johnston |
| Group Executive: Corporate Communications | Group Company Secretary |
| sbrown@altron.co.za 011 645 3604 |
ajohnston@altron.co.za 011 645 3609 |