Social value

Strengthening our position as a credible stakeholder partner

Effective stakeholder engagement is fundamental to delivering our strategy and creating value for all stakeholders.

In South Africa, in an effort to build trust and win support, we conducted an external stakeholder perception audit and listening excercise focusing on government, non-governmental organisations and fence-line communities. We used this feedback to map a journey to 2022 and beyond to redefine our relationship goal.

Key factors that emerged:

Our stakeholders are diverse, and localised solutions are important to remain relevant and have impact.

We need to focus on contributing towards improving the quality of people’s lives, primarily by enabling meaningful economic participation, especially of fence-line communities.

Good governance and leadership with integrity are important.


Our stakeholders

Our stakeholders are persons or groups who are directly or indirectly affected by our operations, as well as those who have interests in our business and/or the ability to influence outcomes.

Sasol has a complex network of stakeholders, often with competing interests that include local communities, national, provincial or local government authorities, politicians, religious leaders, civil society organisations and groups with special interests, the academic community and media. In addition, they include employees, investors, suppliers, customers and business partners. Our stakeholders include the following:

Our stakeholders

We are determined to use the reach of our business to create opportunities in the areas where we operate.

Sasol's promise to society

We recognise that in today’s world, stakeholder engagement is about working collaboratively with stakeholders to find solutions for more inclusive economies. As a global firm with strong roots in South Africa, our promise to society is that we will seek to employ inclusive and sustainable business practices that enable development in the geographies and communities where we operate. Our products touch and enhance the quality of people’s lives every day and we see great potential to do more to enable economic development. In addition, using our extensive value chain, we commit ourselves to facilitating inclusive and local supply chains, enabling local economies and the development of critical skills.

Our Response to our stakeholders priorities

Sasol has a number of fence-line communities globally. There are growing expectations from communities that Sasol contributes to lowering unemployment and enabling meaningful economic participation by creating opportunities in its value chain, particularly in South Africa and Mozambique.

Community stakeholders have an increasingly important role, specifically in the environmental space with the power to impact Sasol’s ability to do business.

A multi-pronged and multi-year, integrated response to community development aimed at enabling economic access is in place. This response consists of the following:

  • Effective Social Investment programme as indicated below.
  • Community engagement – Proactive multi-stakeholder engagements to agree on development priorities. Engagements to build the knowledge base of our stakeholders on top priority issues.

In addition, an integrated, organisation-wide programme is in place to enhance Sasol's reputation with all stakeholders, comprising:

  • Delivery on our commitments;
  • Changes to Sasol‘s culture and ways of working as it relates to stakeholders;
  • Measurement and reporting on reputation performances; and
  • Ensuring Sasol‘s value proposition to its stakeholders is developed and that we are embedded in conversations on topics that matter to stakeholders.



Aligned with our strategy, we continue engaging our stakeholders through a multi-stakeholder engagement approach.

Our 2018 stakeholder engagement plan was informed by Sasol and stakeholders’ priority issues. We responded to stakeholder concerns while also progressing strategic business issues, and working to proactively build more trust-based relationships. We engaged with communities, environmental non-governmental organisations, Parliamentary Portfolio Committees, ministers, government officials, the media, as well as Sasol employees.

Quarterly, we track the commitments we have made to stakeholders, specifically in South Africa and Mozambique. This allows management to ensure that we continue to progress in meeting these commitments. Most of our initiatives to meet these commitments are on track.


Our preferential procurement practices and local content requirement prerequisites in the areas we operate provide us with an opportunity to drive local requirements and, in South Africa, provide a specific focus on social and economic transformation within our sphere of influence.


Our Supply Chain function (Supply Chain) is responsible for ensuring the sustainable supply of utilities, goods, services and products for our business. The Supplier Management process facilitates ethical, fair and equal treatment of suppliers and the continuous improvement of our integrated value chain to deliver optimum value to the benefit of Sasol.

Supply Chain has implemented the Supply Chain Governance Framework, which has a specific focus on supplier management. On an annual basis, all our supply chain employees are required to declare their support and commit to diligent behaviour to prevent any form of bribery and corruption. Employees are also trained regularly to ensure the understanding and implementation of anti-bribery and corruption (ABAC) practices. We have also implemented processes for ABAC practices in our dealings with suppliers.

To deliver greater value to our communities, our small business development programmes have been relocated to our Supplier Management and Transformation department within Supply Chain in order to ensure integration with the broader supply chain and grow our preferential procurement base, rather than dealing with them as an aspect of Corporate Social Investment.


The economic transformation strategy is focusing on procurement practices towards local content requirements in South Africa, and provides a valuable opportunity to drive social and economic transformation. We have a deliberate focus on economic transformation in South Africa in order to provide meaningful and sustainable mainstream business opportunities for previously disadvantaged businesses and communities. We do this with the intention of creating and utilising an equitably representative supplier base, particularly in the regions in which we operate. We have made good progress with regards to Broad-Based Black Economic Empowerment

We have implemented a fence-line community supplier strategy to accelerate the achievement of our preferential procurement targets towards exempted micro-enterprises (EMEs) and qualifying small enterprises (QSEs). Furthermore, our enterprise and supplier development teams will continue to provide new and existing suppliers with targeted interventions and financial support aimed at enhancing their business and improving the skills level of suppliers.


To create

for transformed
businesses to
work with us.

To accelerate the
small transformed




Supplier technical and safety audits conducted based on standard Sasol supplier requirements.
Suppliers have been trained on the Supplier Code of Ethics and ABAC requirements.
Preferential procurement expenditure in the Sasolburg and Secunda regions up from R2,6 billion in 2017.

Managing our suppliers effectively

Managing our suppliers effectively

In line with our ABAC policy, a set of commitments, principles and standards have been implemented as part of the Sasol supplier application and verification process. These will be fully implemented over a 36-month period to ensure ABAC compliance as per the Foreign Corrupt Practices Act (FCPA), UK Bribery Act and the UNGC Guidelines.

We have implemented a process, which screens existing and new suppliers to ensure that they are legally compliant in terms of the Sanction Screening Legislation. Screenings are also being performed on supply purchase orders and deliveries from suppliers. Further, we have engaged with suppliers who deviate from, or do not support, our supplier code of ethics. Our aim is to achieve a commitment to acceptable levels of ethical behaviour and suppliers are being trained on the specific requirements contained in the code.

Suppliers need to be Occupational Health and Safety Assessment Series (OHSAS) certified and compliance with prescribed environmental standards is a requirement in the supplier accreditation protocol. Suppliers are required to have procedures and records in place for recording and investigating non-conformances to indicate immediate actions taken to avoid problems pending further investigation.

During the supplier application process, all suppliers need to agree that they will comply with the minimum standard set for supplier safety management. Suppliers agreed to the SHE requirements as part of their contractual commitment. ESG compliance audits are conducted on an ad hoc basis with our material suppliers.

Further we conducted a supplier risk analysis to identify potential risks to reliable supply and preventative mitigation actions have been implemented in areas of high risk exposure. A number of risks and mitigation actions have been addressed to ensure continued and uninterrupted support to our business.

For more information refer to our UNGC CDP and the Supply chain focus story on (in the downloads tab).