Our key relationships

The Tiger Brands group recognises that positive relationships with key stakeholders are essential to its sustainability. Shareholders, employees, consumers, customers and suppliers are all part of the chain that creates value.

Additionally, we understand that we depend on the broader society – not only stakeholders in our immediate value chain – to provide a conducive operating environment, and a consumer and talent base that we can sustainably draw from in future.

As such, stakeholders in our broader socio-economic environment – law-makers, regulators, industry groups, the media and communities – all hold a stake in our licence to operate.

We develop key insights to inform our strategic choices for sustained growth through:

  • A deep understanding of requirements for sustainable socio-economic development
  • Considering the interests and expectations of material stakeholders
  • Establishing relationships with stakeholders beyond those in our immediate value chain.

Stakeholder relations at Tiger Brands is, therefore, a strategic function that centres on the quality and consistency of our relationships with all interested and affected parties. Our approach to stakeholder relations directs the organisation on how it behaves, interacts, collaborates, influences and transacts with external parties, regardless of the platform, to ensure we uphold our principles and core values, and to ensure the consistency of our messages.

Different management functions assume responsibility for analysing the needs, interests and expectations of stakeholders in various categories, while the group stakeholder relations function provides strategic leadership and direction. Ultimately, the governance goal of managing stakeholder relations is trust, good reputation and legitimacy.

In 2016, we implemented an integrated stakeholder communications plan that:

  • Acknowledges the critical roles media and social media play in driving perception, and uses these platforms to build our social and relationship capital (reputation)
  • Drives internal communication to enhance employee alignment with the group’s emerging purpose, vision and strategy
  • Proactively manages stakeholder perceptions of Tiger Brands as a group
  • Adheres to standards and processes for developing content and sharing information on all communication platforms
  • Systematically gathers and analyses information emanating from communication platforms to assess reputational risks
  • Offers process and mechanisms to develop appropriate responses and standard operating procedures to deal appropriately with any required crisis communication.

Our approach to managing issues was revised and a media protocol developed to bolster internal capacity in responding to issues raised by stakeholders. Dispute resolution mechanisms for employees, investors, the media and consumers are in place and used effectively. Any stakeholder with a complaint or issue can approach the group through the website (http://www.tigerbrands.com). Internal systems to address these issues are well managed with strict timelines for response, resolution and feedback.



Key issues in 2016 Our response Read more
Consumers (retailers/wholesalers)    
  • Increased competition amid muted consumer demand
  • Joint business planning initiatives and growth workshops with customers to stimulate shopper offtake and repeat purchase
  • Driving in-store activation, on-shelf availability and general trade distribution to improve visibility and availability
  • Increasing use of category management data to support innovation and new mobile platforms to develop insights and improve efficiencies at store level
For more information
see pages 69 to 73
For more information please see http://www.tigerbrands.com/
Employees    
  • Performance and rewards
  • Talent and career development
  • Teamwork and collaboration
  • Internal communications
  • In-depth engagement with employees to co-create solutions to challenges
  • Benchmarking rewards and benefits to ensure market
    competitiveness; obtaining employee commitment through appropriate performance incentives
For more information
see pages 56 to 59
For more information please see http://www.tigerbrands.com/
Consumers    
  • Product affordability
  • Value proposition
  • Commitment and compliance to issues
    regulated by government (eg labelling,
    salt and sugar)
  • Mitigate inflationary pressures through cost-saving initiatives and operational efficiencies
  • Proactive communication on complying to regulation
For more information
see pages 69 to 73
For more information please see http://www.tigerbrands.com/
Community    
  • Food security and related nutritional issues
  • Maintain strong partnerships with governments and developmental agencies to support initiatives that promote nutritional health and education, and contribute to the development of local communities and eradication of poverty
For more information
see pages 65 to 68
For more information please see http://www.tigerbrands.com/
Investors    
  • Strategic direction post-appointment
    of new leadership and recent disposals
  • Outcome of strategic review
  • Stabilising the business
  • Earnings growth and return on capital
  • Conducted thorough assessment of business
  • Identified gaps and opportunities
  • Initiatives to strengthen the business and create a solid platform for growth
  • Clear communication plan
For more information please see http://www.tigerbrands.com/
Government    
  • Regulations on sodium reduction; proposed tax on sugar-sweetened beverages
  • Promoting awareness of nutrition education
  • Food security
  • Growth and development of local agricultural sector
  • Complying with all relevant regulation; active participation in dialogue before promulgation of legislation
  • Keeping abreast of emerging issues
  • Active partnership to promote agri-sector development and greater inclusion of smallholder farmers
For more information
see pages 64, 72 and 73
For more information please see http://www.tigerbrands.com/
Media    
  • Access to management and information
  • Swift response to queries
  • Fair treatment of consumers
  • Specific website for media enquiries
  • Enhanced one-on-one media engagements
  • Respond to all enquiries within specified period
  • Respond to media on all consumer-related enquiries
For more information please see http://www.tigerbrands.com/
Suppliers    
  • Impact of currency volatility on input costs
  • Crop shortages due to persistentdrought
  • Partnering with suppliers to drive innovation and continuous improvement
  • Focused savings programme that interrogates all costs to dilute the impact of currency-related cost increases
  • Continued support to develop domestic farmers
  • Flexible global sourcing strategies to augment domestic crop shortages
For more information
see page 64