Sasol 2010 Annual Review Oil & Gas South Africa sasol annual review and summarised financial information 2010 annual review and summarised financial information 2010 focused and energised www.sasol.com AR After extensive consultation with senior management, we have clarified the articulation of our vision and strategy. While our strategic direction remains generally consistent, we have aligned it to changes in our increasingly global business environment. our strategic direction o our vision To grow profitably, sustainably and inclusively, while delivering value to stakeholders through proprietary technology and the talent of our people, in the energy and chemical markets in Southern Africa and worldwide. o unpacking our strategic agenda Group imperatives The execution of transformational initiatives at group, business unit and functional levels give effect to Sasol’s strategy. The Sasol business transformation steering committee provides overall governance and ensures clear focus and integrated implementation of these major programmes. Operations Excellence This programme aims to improve profitability across Sasol’s value chains by developing standardised, worldclass management systems and by implementing best practice in our plants and businesses. Projects are facilitated to ensure sustainable continuous improvement. The programme also seeks to develop competent and engaged people to adopt these practices and deliver targeted performance. Functional Excellence This programme aims to assist centralised enterprise functions to identify process, structural and technological inefficiencies Values-driven Leadership Project Enterprise, our culture transformation programme, was launched in 2006 and has realised significant results. It aims to inspire employees to experience and emulate the change in behaviour and style evidenced by their leaders. Future activity will focus on assisting leaders to achieve effective culture change in day-to-day business decisions. o our strategic agenda Our growth in sustainable stakeholder value is built on a foundation of developing people and improving assets. We aim to grow our GTL, CTL, upstream, chemicals and new energy business. This is achieved through our technological prowess and through group imperatives that deliver functional, operational and capital project excellence, supported by Values-driven Leadership. Guiding our intentions and underpinning all our actions are our shared values of safety, customer focus, winning with people, excellence in all we do, continuous improvement and integrity. and implement improvements that achieve simple, standardised and shared ways of working. The programme aims to improve the cost effectiveness and service efficiency of all the functional areas of our business. Capital Project Excellence This newly introduced initiative aims to ensure the flexible and effective use of capital in the group’s project value chain. It is focused on delivering projects that meet all quality requirements in the shortest possible time, at the lowest possible cost, yielding the greatest possible return on investment. Foundation Growth Definition of victory Operations Excellence Develop and empower our people Accelerate GTL, focused CTL growth group imperatives Functional Excellence Grow related upstream business Continuously improve and grow our existing asset base Grow stakeholder value sustainably Foundational pillar Develop and empower our people We endeavour to be an employer of choice by paying competitive, market-related salaries and wages, creating safe, healthy and rewarding workplaces and promoting positive corporate values. We invest significantly in skills development and training, focused leadership development and succession planning, to ensure a pipeline of talent to meet our strategic objectives. Capital Project Excellence Grow technological lead Grow chemicals based on feedstock and/or technology advantage Continuously improve and grow our existing asset base We continue to grow our existing production, focused on achieving a worldclass safety record and moderating our environmental impact by achieving our stated targets for emissions reductions, and by improving energy efficiency. We seek to continuously improve the efficiency and reliability of our operations. Deliver on the South African transformation agenda As a proud South African company, we view black economic empowerment (BEE) as a moral obligation and a business imperative. We subscribe to the Code of Good Practice for Broad-based Black Economic Empowerment. Our broad-based BEE verification certificate, issued on 4 September 2010, confirmed our level 4 contributor status, with a 100% procurement recognition level. As Sasol is recognised as a value-adding enterprise, customers receive R1,25 preferential procurement recognition for each R1 they spend with Sasol group companies. Values-driven Leadership Deliver on the South African transformation agenda Develop and grow new energy More details on our current growth projects are provided on pages 12, 14 and 15. 10 annual review 2010 • our business • our strategic direction 11 pp 10-11 Sasol presents a clear articulation of strategy including the objectives, imperatives and business principles. Sustainability is integrated into this discussion both in terms of the presentation of the overall goal and principles which underpin the strategic direction of the Company. www.blacksunplc.com © Black Sun Plc 2011 31
