This article first appeared in The Edge Malaysia Weekly on August 12, 2024 - August 18, 2024

THIS year, The Edge Media Group and its partners — OCBC Bank Malaysia and Mercedes-Benz Malaysia — will be honouring Corporate Malaysia’s best-performing listed companies and top responsible organisations at The Edge Billion Ringgit Club (BRC) awards ceremony for the 15th time, celebrating the highest number of billion-ringgit members since 2010.

“If excellence becomes a habit and not just lip service, Corporate Malaysia is bound to reach greater heights. The strong measurable performance delivered by many of our BRC winners shows the fruits of their sweat and labour. And the BRC members’ commitment to corporate responsibility (CR) is them sharing some of those fruits to build up the community around them, while contributing to the country’s tax coffers, robust employment as well as stellar economic growth. We look forward to celebrating Corporate Malaysia’s crème de la crème at the gala dinner on Aug 23,” says Datuk Ho Kay Tat, The Edge Media Group publisher and group CEO.

OCBC Bank Malaysia Bhd CEO Tan Chor Sen weighs in on the importance of building greater success through actions that have a positive impact on all stakeholders, and not just the bottom line.

“As the main partner of The Edge BRC since its inception, we continue to call on Corporate Malaysia to remain attentive to the importance of blending CR with financial performance, so [that] we are always doing well by doing good. I am pleased to see how The Edge BRC has unearthed the best of the best in this regard, highlighting companies that have consistently upheld and attained sustainable success transcending financial metrics with a strong focus on ethical practices, social contributions and environmental stewardship. We believe that by recognising and celebrating these aspects, Corporate Malaysia will as a whole be encouraged to integrate CR into its core strategies, ultimately leading to a more holistic and sustainable business environment,” Tan says.

Mercedes-Benz Malaysia, the official car for the BRC, returns as a partner for the 10th year.

Ho: BRC winners show measurable performance [with] many sharing the fruits of their labour to build up communities while contributing to the country’s tax coffers, robust employment and economy (Photo by The Edge Malaysia)

“Recognition is often the best motivator for success and it motivates one to strive for excellence and performance,” says Amanda Zhang, CEO and president of Mercedes-Benz Cars Malaysia and head of region, Mercedes-Benz Cars SEA II. “The Edge BRC awards highlight the connection between financial performance and CR. We hope Corporate Malaysia will be able to harness long-term success which requires balancing profit with environmental and social considerations. Innovation in sustainability can drive competitive advantage, and transparency and measurable targets are crucial for credible ESG efforts. Additionally, collaboration across industries is necessary to address major challenges like climate change,” Zhang elaborates.

Acknowledging the benefits of recognition, OCBC’s Tan notes that The Edge BRC awards are “not just about recognition; they are a testament to the importance of sustainable practices in business” and calls upon The Edge BRC members to “continue to innovate, uphold ethical standards, and contribute positively to society because every effort in this direction strengthens the business community as a whole and paves the way for a brighter, more responsible future”.

Mercedes-Benz’s Zhang suggests that all BRC members embrace the challenges and opportunities brought about by the sustainability transition as well as the advent of artificial intelligence (AI).

“By working together and learning from each other, Malaysian businesses can become global leaders in responsible, forward-thinking practices,” she says.

“At Mercedes-Benz, our AI principles and guidelines focus on enhancing customer experiences while ensuring trust, safety and data security. We use AI to genuinely improve our products, services and processes, with each system undergoing thorough evaluation to ensure it adds real value. Transparency and privacy are key: our AI systems are designed to be explainable, and personal data is processed securely within the vehicle. Safety and reliability are prioritised through rigorous testing and the latest scientific advancements,” she adds.

Tan: BRC unearthed the best of the best … [companies that] attained sustainable success transcending financial metrics with a strong focus on ethical practices, social contributions and environmental stewardship (Photo by OCBC)

Doing well by doing good

At OCBC, Tan says: “People, planet and prosperity are highly intertwined elements of the business journey. For any organisation, a thriving natural environment and ecosystem, as well as the well-being of its staff and surrounding communities, directly contribute to the company’s financial success. Upholding integrity in the way we interact with our environmental and social spheres is key to ensuring the economic viability of a company’s products and services.

“Financial institutions like us seek to support and promote sustainable practices at all levels of society. By supporting customers in their quest to safeguard themselves and their enterprises from increasing climate-related risks and capture new opportunities for growth, we strengthen customers’ trust in our commitment to aid them in transitioning their personal lifestyles and business operating models to what is more acceptable.

“The bank’s ability to help our individual and business customers improve overall quality of life via fit-for-purpose sustainable financing and investing further motivates us to achieve our ambition of being Asia’s leading financial services partner for a sustainable future. We believe that by doing good, we will be able to optimise the value we bring to our stakeholders,” Tan elaborates, noting that the OCBC Group aligns its portfolio with the commitment to achieve net zero in financed emissions by 2050 and has ambitious targets across six priority sectors that are tracked on a year-on-year basis.

“In Malaysia, we actively work towards this group target by remaining committed to growing our sustainability-linked products and services,” he adds.

As reflected by the group’s Ambition 2039, Zhang says Mercedes-Benz is committed to consistently creating the preconditions for a CO2-neutral new car fleet by 2039, while noting that the pace of its transformation “is driven by market conditions and, most importantly, by the needs of our valued customers”, who are offered the choice of all-electric or electrified combustion engine.

“We take a holistic approach to climate protection, covering all stages of the automotive value chain — from technical development and raw material extraction to production, service life and recycling. For example, our products incorporate sustainable materials and processes throughout our supply chain. Our vehicles use recycled and renewable materials, and our manufacturing plants aim for greater energy efficiency and reduced emissions ... These efforts benefit the environment and resonate with customers who value sustainability,” she explains.

In Malaysia, Zhang says Mercedes-Benz ensures that its offices and retail partners implement several sustainability measures, including reducing energy consumption and rainwater harvesting. “These conscious retail efforts aim for targeted carbon reduction across Malaysia and the region.”

Zhang: By working together and learning from each other, Malaysian businesses can become global leaders in responsible, forward-thinking practices (Photo by Mercedes-Benz Malaysia)

About the awards

An initiative started in 2010, the BRC recognises sustainable excellence in companies with a market capitalisation of more than RM1 billion. The billion-ringgit cut-off serves as an aspirational target for dynamic smaller companies. Companies are added to the list automatically on the cut-off date of March 31 annually and are evaluated on growth in profits, return on equity (ROE), and total return to shareholders over a rolling three-year period plus commitment to CR.

Apart from their respective Bursa Malaysia-defined industry or sectoral peers, BRC members are also ranked against companies with similar market capitalisation through the Super Big Cap (companies with more than RM40 billion market cap) and Big Cap (companies with RM10 billion to RM40 billion market cap) categories. Results are independently audited by Deloitte Malaysia.

On top of sectoral awards for highest profit growth, ROE and total return as well as The Edge BRC Best CR Initiatives, key awards include Value Creator: Malaysia’s Outstanding CEO; and the coveted The Edge BRC Company of the Year.

Previous Company of the Year winners were Mega First Corp Bhd (2023), Frontken Corp Bhd (2022), ViTrox Corp Bhd (2021), Hartalega Holdings Bhd (2020), Press Metal Aluminium Holdings Bhd (2019), Petronas Dagangan Bhd (2018), AirAsia Bhd (2017), Nestlé (M) Bhd (2016), Tenaga Nasional Bhd (2015), Dutch Lady Milk Industries Bhd (2014), DiGi.Com Bhd (2013), Genting Bhd (2012), QL Resources Bhd (2011) and Supermax Corp Bhd (2010).

Past winners of the Value Creator: Malaysia’s Outstanding CEO award were the late Tan Sri Teh Hong Piow, chairman of Public Bank Group (2010); CIMB group chairman Datuk Seri Nazir Razak (2010); AMMB Holdings Bhd chairman Tan Sri Azman Hashim (2012); AirAsia group CEO Tan Sri Tony Fernandes (2012); former S P Setia Bhd president and CEO Tan Sri Liew Kee Sin (2013); former Malayan Banking Bhd president and CEO Tan Sri Abdul Wahid Omar (2013); Sunway Group chairman Tan Sri Jeffrey Cheah (2014); Axiata Group Bhd president and group CEO Tan Sri Jamaludin Ibrahim (2014); Khazanah Nasional Bhd managing director Tan Sri Azman Mokhtar (2016); the late Tan Sri G Gnanalingam, Westports Holdings Bhd executive chairman (2017); Dialog Group Bhd executive chairman and co-founder Tan Sri Ngau Boon Keat (2018); QL Resources Bhd executive chairman Chia Song Kun (2019); Maybank president and CEO Datuk Seri Abdul Farid Alias (2021) as well as Batu Kawan Bhd chairman and Kuala Lumpur Kepong Bhd CEO Tan Sri Lee Oi Hian (2022).

The Value Creator: Malaysia’s Outstanding CEO award was not given out in 2011, 2015, 2020 and 2023 but a winner will be named this year. A winner will also be named for The Edge BRC special award for Outstanding Contribution to Nation Building.

Paying homage to the awards’ partners, Ho says: “I thank our distinguished partners, OCBC Bank Malaysia and Mercedes-Benz Cars Malaysia, for their steadfast support in honouring, recognising and celebrating Corporate Malaysia’s continued excellence. The Edge BRC awards ceremony and gala dinner would not be the prestigious and Corporate Malaysia’s most anticipated annual gathering that it has become without their ardent support.”