To ensure the appropriate focus and relevance of our sustainability work and reporting Telenor has conducted a materiality assessment to identify and prioritise the most material sustainability issues both to its business performance and its stakeholders. The scope of the current materiality assessment and engagement process can be found here.
Telenor’s approach to conducting efficient and effective Materiality Assessments has continued to evolve over time. In 2015, Telenor Group, through the support of EY, undertook a comprehensive update and review of its materiality assessment to better reflect current stakeholder concerns and the company’s key sustainability risks and opportunities. The assessment has been conducted in accordance with the Global Reporting Initiative G4 principles for defining report content. The process has therefore been conducted following the key steps; identification, prioritisation and validation.
Telenor Group Materiality Matrix
The updated materiality assessment from 2015 is presented in a materiality matrix below. The matrix displays the issues that have been evaluated in the materiality process. Their placement in the matrix indicates the issues’ relevance for Telenor and key stakeholder groups. The scope of Telenor’s reporting covers the range of ‘medium and high’ rated material social, economic and environmental related progress of the organisation. The content covers Sustainability at Telenor Group’s 13 worldwide operations as well as other businesses.
Telenor’s Materiality Process
Telenor Group updated its materiality assessment in 2015 to better reflect current stakeholder concerns and the company’s key sustainability risks and opportunities.
The assessment has been conducted in accordance with the Global Reporting Initiative G4 principles for defining report content. The process has therefore been conducted following the key steps; identification, prioritisation and validation.
In order to identify relevant issues related to Telenor’s activities, products, services, and relationships, a peer review, a media review and a literature review was conducted. The peer review identified key sustainability issues disclosed in the reporting of Telenor’s peers. Two to three peers in each of the 13 markets where Telenor operates were reviewed to gain an understanding of how the focus differs in different markets. In addition, five of Telenor Group’s peers were reviewed in order to assess the sustainability aspects material to other large telecom companies. The media review was undertaken to flag significant issues relating specifically to Telenor in the past two years. The media review was also conducted for all relevant markets. In addition a literature review was performed to gain valuable insights from industry wide assessments and key industry reports.
Based on a hypothesis of the relevance of emerging trends and drivers, internal experts were selected and interviewed to provide further insight on emerging trends and stakeholder expectations. This also gave to gain valuable understanding of the stakeholder engagement that has been executed over the last two years.
In order to identify and understand emerging stakeholder concerns and changes from 2013, In-depth stakeholder engagement was also conducted. Based on an assessment of Telenor’s existing knowledge of stakeholder expectations through the ongoing stakeholder dialogue, and hypotheses of relevant emerging trends and stakeholder concerns, key external stakeholders were selected for in-depth interviews to provide further insights. EY interviewed seven representatives of key external stakeholders to learn and understand about existing and emerging stakeholder concerns. Ongoing stakeholder engagement with key stakeholders was also used as input to the discussions and results.
Based on the identification phase, several hypotheses were developed, and preliminary scores were given. To ensure that the materiality assessment provides a reasonable and balanced representation of the organization’s sustainability performance, a workshop was conducted with Telenor’s Sustainability team. In the workshop the hypothesis on the important issues and their preliminary scoring was presented. It was debated collectively whether the issues identified were correctly placed and named, paying particular attention to significant changes in importance since 2013/14. The Group’s strategy and the context of its activities played important parts of this scoring and the discussions. All the issues included in the assessment are valued as important both to Telenor and its stakeholders, and so the scoring ranges from important to material. Within this frame, each issue was given an appropriate score of High/Medium/Low related to importance to external stakeholders and a score of High/Medium/Low related to importance to internal stakeholders. The participants anonymously scored the issues after each discussion and the results displayed in the end of the workshop. The result of the workshop was the basis for drafting the updated materiality matrix.
The suggested update of the materiality matrix resulting from the workshop was subject to further internal discussions and iterations based on insight from key experts and internal stakeholders.
The final suggested updates were validated by Head of Sustainability and approved on behalf of Chief Corporate Affairs Officer.
The materiality matrix will continue to be subject to further validation and feedback from key external stakeholders over time.