Strategic priorities
Our four value chain focus areas are:
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Employee engagement
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Supply chain management
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Stakeholder engagement
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FY17 progress
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Employee flexible work options: 70% employees now work flexibly |
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Diversity: 45.9% women in management |
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Safety: Corporate LTIFR of 1.8, down from 4.0 in FY16 |
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Stakeholder engagement: Aura Engagement Excellence Program - Project Innovation Award at 2017 Property Council of Australia Innovation and Excellence Awards |
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Enabling enduring employment: 74 job placements at the Green Hills Connectivity Centre at Stockland Green Hills |
Sustainability in our supply chain
Effective management of our supply chain enhances our long-term business performance as it enables us to identify and address key environmental, social and governance risks and opportunities associated with our developments that are beyond our operational control.
Stockland continues to develop and encourage sustainable procurement practices across our supply chain. We expect all our key supply chain partners (contractors on our development sites, suppliers of corporate goods and services, and service providers at our operating assets) to demonstrate their commitment to environmental and social responsibility.
We continued focus on implementing our supply chain framework and providing clear guidance on what we expect from our suppliers and their supply chain in meeting commitments in regards to governance and management, environmental impact, health and safety, social value, human rights and capability and capacity.
Case study: Boosting local employment
We partnered with the primary contractor on the $412 million shopping centre redevelopment of Stockland Green Hills (NSW) to focus on local employment opportunities.
Employee engagement and development
Building a highly engaged workforce is critical to our success as an organisation and our ability to deliver on our priorities. For over a decade Stockland has partnered with Willis Towers Watson, a leading global advisory company, to design and deliver the Our Voice employee engagement survey, which is one of the key ways we measure the engagement of our employees.
In 2017, we achieved an employee engagement score of 82 per cent, which remains above the Australian National Norm (ANN) of 75 per cent. 96 per cent (14 points above the ANN) of employees indicated they fully support the values for which Stockland stands, 91 per cent of respondents said they believe strongly in the goals and objectives of Stockland, and 95 per cent of respondents indicated they are willing to work beyond what is required to help Stockland succeed.
Stockland achieved strong performance across the following areas:
- Corporate responsibility and sustainability had a positive rating of 88 per cent, which is nine points above the Global High Performing Norm (GHPN), reflecting our employees' belief that we are doing a good job of integrating sustainability into our projects, activities (86 per cent), and our products and services (84 per cent).
- Diversity and Inclusion continues to be a key driver of employee engagement for our employees, with 86 per cent of employees considering we are diverse and inclusive. As we continue to create a more diverse and inclusive workplace, it is encouraging to note the large proportion of employees who agree that men and women have the same opportunities to advance at Stockland (83 per cent), perceive the working environment to be accepting of differences with regard to people with disabilities or psychological/physical impairment (86 per cent), and agree Stockland is accepting of differences with regard to cultural background or lifestyles (93 per cent).
- Employees consider that we care about health and safety (92 per cent), with employees indicating their work area is a safe place to work (96 per cent), that Stockland provides adequate OH&S systems, resources & training (90 per cent), and prompt and effective action is taken when unsafe conditions are brought to management’s attention (90 per cent).
- Leadership remains steady with a score of 73 per cent, eight points above the ANN, and people have a clear sense of direction from the Leadership Team at 80 per cent. These results reflect concerted efforts on employee communication, and visibility of leaders reinforcing our objectives and priorities.
The Our Voice survey also identified the following areas for improvement:
- Employee satisfaction with our work processes and systems (66 per cent) has declined from last year. Improving systems and technology is an organisational priority area, and so it is encouraging to note that employee perceptions of the efforts to enhance systems and technology improved (by four points to 79 per cent). The Core Systems Program launched last year aims to consolidate and streamline our management systems.
- Work processes continue to impact employee enablement, which encompasses work systems, employee wellbeing, and efficiency of processes. While 55 per cent of employees believe Stockland is working to make processes as efficient as possible, some are experiencing obstacles to doing their job well (65 per cent). In parallel to the Core Systems Program we are reviewing key operating models and processes to improve efficiencies across the organisation.
- Innovation continues to be a focus area for improving organisational performance and employee engagement. The Core Systems program is an example of where we are challenging our traditional ways of doing things (69 per cent) and trying new approaches to address business challenges (75 per cent). Through quarterly Leadership Team gatherings, the Stockland Leadership Experience for Senior Leaders, and the graduate program, we are improving collaboration across business units (63 per cent).
Employee turnover
We recognise that employee engagement has a direct relationship with both productivity levels and talent attraction and retention. As such, we use key metrics to determine the success of our employee engagement activities, including employee-initiated turnover, turnover in the first year and key talent retention.
We achieved our target of less than 12 per cent employee-initiated turnover for employees with Strong performance or above (turnover rate 10.6 per cent). Stockland-initiated turnover decreased in FY17 after an increase in the second half of FY16 as a result of redundancies that were a part of the formation of the Stockland Support Centre (SSC).
Our overall turnover rate decreased to 17.5 per cent from over 20 per cent in FY16.
Diversity and inclusion
At Stockland, we aim to leverage the maximum potential of our people, irrespective of individual differences, such as gender, ethnicity, age, physical abilities, sexual identity, family status, beliefs, and perspectives.
Our FY17 employee engagement results reiterate the importance our people place on Diversity and Inclusion, which continues to be a key driver for engagement and retention. The Diversity and Inclusion Index from our 2017 Our Voice survey has remained steady at 86 per cent, and continues to be above Australian National Norm for Diversity and Inclusion.
To expand the reach of Diversity and Inclusion through our business, we have established Employee Advocacy Groups under the diversity pillars of: Gender Equity; Parents and Carers; Wellbeing, LGBTI+ and Cultural Inclusion; and Disability and Flexibility.
The achievements of the Employee Advocacy Groups included updates to the Parents and Carers Leave Policy and the launch of our second Reconciliation Action Plan.
Parents and carers leave policy
In FY17, the Parents and Carers EAG made policy changes to the Parental Leave experience at Stockland. The group initiated five changes to our Parental Leave policy:
- Changes to the timing of non-primary carer’s leave – In consultation with employees it was found that the previous policy granting 10 days leave immediately following the birth or adoption of a child was not always the best use of leave. Employees told the EAG that being able to take the 10 days of non-primary carer’s leave anytime during the first year would be more appreciated.
- Introduction of accrued long service leave – Employees can now access accrued long service leave on their 10-year anniversary of joining Stockland, regardless of whether parental leave has been taken (accrual is still based on paid service).
- Improved clarity on eligibility for short-term incentive payment – Employees need a minimum of one month’s paid service to be eligible for an STI payment (excluding paid parental leave) for existing employees (previously was three-month requirement).
- Amended primary carer’s leave for fathers/partners – Primary carer’s leave can now be accessed within 12 to 18 months at the business’s discretion (was previously only available within 12 months).
- Enhanced primary carer’s leave – The policy now allows for 16 weeks paid leave including superannuation plus the choice of one parental flex option:
(a) an additional two weeks paid leave,
(b) superannuation paid during period of unpaid leave up to one year (up to 36 weeks), or
(c) a lump sum payment of $3000 (gross) on return from leave.
The policy has been extended to long-term foster care arrangements.
At the launch of our second RAP we acknowledged some of the achievements from our first plan, which spanned FY14-17. They included over $3 million in procurement from First Nation suppliers, the sponsorship of four scholarships for Indigenous students through the ABCN Scholarship Foundation, and the development of an Indigenous Employment Strategy.
Find out more
For more information please see our Employee Engagement Deep Dive.
Read our Reconciliation Action Plan on the Stockland in the community webpage
Our targets
So that we create and maintain these positive relationships and collaboration within our value chain, we aim to:
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Maintain 100% of active development projects with Stakeholder Engagement Plans Achieved |
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Outperform the Australian High Performing Norm employee engagement score of 80% Achieved |
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Increase women in management to 50% by 2020 In progress |
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Implement our Sustainable Supply Chain Charter to provide guidance on setting and delivering specific supply chain initiatives In progress |
