Our corporate strategy

Customer first

We are progressively providing a seamless, frictionless and personalised digital experience to our customers.

Relevant products

We are developing a deep insight of our customers’ needs, wants and behaviours and providing propositions to lead in chosen segments.

Operational excellence

It is not just about providing the bare minimum in voice, messaging and data services; it is about investing in enablers that allow our customers to stay connected to each other and to the world around them.

The three pillars of our corporate strategy also support our efforts related to the SDGs. The following table illustrates this by mapping the SDGs against the three pillars of our corporate strategy and each of our material topics.

Our sustainability vision

We aspire to use our products and services to transform lives and contribute to sustainable living throughout Kenya. Based on this fundamental aspiration, our vision sets out how we use our ability to deliver connectivity and innovative services to improve the quality of life and livelihoods of all Kenyans. Central to achieving this vision is our commitment to managing our operations responsibly and ethically. Our vision is based upon the twin pillars of responsible, ethical business and transformational products and services.

Our sustainable business strategy

In 2006, we signed up to the UN Global Compact (UNGC) and in 2012 we started reporting on our approach to sustainability and progress. In 2016, we brought our approach into alignment with the SDGs to help translate our sustainability ideals into meaningful and concrete plans, from overarching objectives to simple daily activities that could be put into practice throughout the organisation.

In 2018, we were awarded UN Global Compact LEAD Company status in recognition of our commitment to the 10 principles of the UNGC. Global Compact LEAD companies are identified annually for high levels of engagement as a Participant of the United Nations Global Compact. Participation in the UN Global Compact at the LEAD-eligible level provides a unique opportunity to be recognised for commitment, to lead to a new era of sustainability. By bringing committed companies together with relevant experts and stakeholders in Action Platforms,

the UN Global Compact provides a collaborative space to generate and implement advanced corporate sustainability practice. As a highly engaged part of the UN Global Compact, Global Compact LEAD companies are uniquely positioned to inspire widespread uptake of sustainability solutions among businesses around the world.

The Board is responsible for ensuring that sustainability is at the heart of our overall business strategy. Safaricom management assumes the responsibility of implementing, monitoring and reporting on sustainability initiatives through seamless integration of the SDGs into the day-to-day operations and functional responsibilities of the business. The Board and management teams are further supported by a team of champions, who assist with the implementation, monitoring and reporting of SDG-related initiatives in each of the business units.

For more information on our governance structure and the responsibilities of the relevant governing bodies, please refer to the governance section of the 2020 Safaricom Annual Report.

Since 2016, we have incorporated nine of the 17 SDGs into our performance objectives, both as a company and on the individual employee level. Each division is implementing projects or developing products and services in line with the SDGs. Reporting on targets related to the SDGs is now central to our ways of working, and we seek to empower everyone we work with – employees, partners and other stakeholders – to set their own.

The Safaricom SDG Purpose Statement

We commit to deliver connectivity and innovative products and services (SDG9) that will provide unmatched solutions to meet the needs of Kenyans by enabling access (SDG10) through our technologies and partners (SDG17) and by exploring opportunities in Health (SDG3), Education (SDG4) and Energy (SDG7). We will do so by managing our operations responsibly (SDG12) and ethically (SDG16). This will stimulate growth and generate value (SDG8) for our company, society and economy.

Our contribution to the sustainable development goals

In 2016, we identified nine SDGs to integrate into our business operations. In making the SDGs a central pillar of our business, we have made sustainable development a part of the organisational and business culture at Safaricom. The above infographic provides a brief overview of these nine goals and how we have interpreted/integrated them, together with examples of specific contributions we have made towards them since.

Good Health and Well-being

“Ensure healthy lives and promote well-being for all at all ages.”

Key targets:

3.1 By 2030, reduce the global maternal mortality ratio to less than 70 per 100 000 live births.

3.2 By 2030, end preventable deaths of newborns and children under 5 years of age, with all countries aiming to reduce neonatal mortality to at least as low as 12 per 1000 live births and under-5 mortality to at least as low as 25 per 1000 live births.

3.8 Achieve universal health coverage, including financial risk protection, access to quality essential health-care services and access to safe, effective, quality and affordable essential medicines and vaccines for all.

Our contribution:

Leverage our mobile technologies to transform lives by improving access to quality and affordable health care services and by promoting well-being for all.

Projects:

  • M-Tiba has over 4.8 million users accessing health services at 3 499 approved health facilities countrywide and has paid out over KSh 1 billion to date. M-Tiba is an e-wallet health payments solution that enables the users to save towards healthcare expenses from as little as KSh 10. M-Tiba is a partnership between Safaricom and CarePay.
  • We launched Safiri Smart, a disease and epidemic surveillance platform that gives travellers alerts on infections risk, it has 292 725 subscribers. Safiri Smart is a partnership between Safaricom and Korea Telcom.
  • The maternal and child health programmes of the Safaricom and M-PESA Foundations have improved access to quality, affordable medical services for over 367 341 Kenyans.

Quality Education

“Ensure inclusive and equitable quality education and promote lifelong learning opportunities for all.”

Key targets:

4.1 By 2030, ensure that all girls and boys complete free, equitable and quality primary and secondary education leading to relevant and effective learning outcomes.

4.2 By 2030, ensure that all girls and boys have access to quality early childhood development, care and pre-primary education so that they are ready for primary education.

4.A Build and upgrade education facilities that are child, disability and gender sensitive and provide safe, non-violent, inclusive and effective learning environments for all.

Our contribution:

Expanding access to education through innovative solutions, our network and through partnerships.

Projects:

  • Our unstructured service supplementary data (USSD) and SMS service that enables students and teachers to take quizzes, search subjects to study and access Wikipedia summaries without an internet connection, Shupavu 291, has 939 772 active subscribers and has been used by over 5 million learners since its launch in 2016.
  • The M-PESA Foundation Academy provides 669 economically disadvantaged students access to a high-quality education through world class learning facilities, focused on building leadership and entrepreneurship skills.
  • Over 106 208 learners have benefitted from projects funded by Safaricom Foundation through its Accelerated Learning Programme (ALP), which focuses on constructing and equipping educational facilities with books and assistive devices.

Affordable and Clean Energy

“Ensure access to affordable, reliable, sustainable and modern energy for all.”

Key targets:

7.1 By 2030, ensure universal access to affordable, reliable and modern energy services.

7.2 By 2030, increase substantially the share of renewable energy in the global energy mix.

Our contribution:

Transitioning to use of clean energy at our sites and leveraging technology to provide clean energy solutions, including payment solutions for local and renewable energy solutions.

Projects:

  • We have introduced science-based carbon reduction targets to help us plan our progress towards becoming a Net-Zero carbon emitting company by the year 2050. In FY20, we registered our targets with the Science Based Targets Initiative (SBTI).
  • We have transitioned 221 (4%) of our sites to renewable and hybrid energy sources – an increase from 196 (3.7%) in FY19, while 948 (15.4%) have been connected to the national grid to date.
  • We have planted over 144 000 trees so far as part of our commitment to grow five million trees in five years to serve as carbon sinks for our scope 3 emissions.
  • In partnership with M-Kopa Solar, we have provided access to affordable solar energy to over 660 000 households, improving the quality of life for 2.5 million Kenyans and avoiding 1.5 tonnes (tco2) in emissions.
  • Partnered with M-Gas to provide access to clean energy for lowincome households in Kenya.

Decent Work and Economic Growth

“Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all.”

Key targets:

8.2 Achieve higher levels of economic productivity through diversification, technological upgrading, and innovation, including through a focus on high-value added and labour-intensive sectors.

8.3 Promote development-oriented policies that support productive activities, decent job creation, entrepreneurship, creativity and innovation, and encourage the formalisation and growth of micro-, small- and medium-sized enterprises, including through access to financial services.

8.5 By 2030, achieve full and productive employment and decent work for all women and men, including for young people and persons with disabilities, and equal pay for work of equal value.

8.6 By 2020, substantially reduce the proportion of youth not in employment, education or training.

8.10 Strengthen the capacity of domestic financial institutions to encourage and expand access to banking, insurance and financial services for all.

Our contribution:

Provide decent work within Safaricom and its broader ecosystem, including enforcing effective health and safety practices both internally and by suppliers while at the same time contributing to the local and national economy through innovative solutions to increase employment and facilitate economic activity amongst suppliers and clients.

Projects:

  • We sustained 192 747 jobs directly and indirectly through our operations, including the livelihoods of 173 259 M-PESA agents and 440 dealers.
  • Through the Safaricom Foundation Wezesha programme, we trained 1 883 youth on digital skills and jobs and 826 trainees secured work afterwards.
  • 33 000 youth empowered through our Blaze entrepreneurship skills initiative and Chapa Dimba na Safaricom football talent exposure camp.
  • Digifarm is an integrated agriculture platform that helps agribusiness and smallholder farmers access credit, information and sell their farm produce. It has 430 000 active users with 12 037 farmers using the service end-to-end and 188 350 farmers accessing learning content. KSh 348 million worth of inputs have been redeemed via the platform to date.

Industry, Innovation and Infrastructure

“Build resilient infrastructure, promote inclusive and sustainable industrialisation and foster innovation.”

Key targets:

9.1 Develop quality, reliable, sustainable and resilient infrastructure, including regional and transborder infrastructure, to support economic development and human well-being, with a focus on affordable and equitable access for all.

9.C Significantly increase access to information and communications technology and strive to provide universal and affordable access to the Internet in least developed countries by 2020.

Our contribution:

Delivering connectivity and innovative products and services, that will provide unmatched solutions to meet the needs of Kenyans.

Projects:

  • Our mobile network now covers 96% of the population with 2G, 94% with 3G and 77% with 4G, and more than 22 million Kenyans are now connected to mobile data.
  • We extended our fibre optic cable footprint to 9 000 kilometers and have connected 142 000 homes and 11 911 businesses to our high-speed internet service to date. In addition, we have connected over 10 000 businesses through our 4G LTE service.
  • We have over 700 000 ‘Internet of Things’ (IoT) connections in asset management, utilities and telematics, such as real-time monitoring of stock in cooler cabinets.
  • We have invested in six portfolio companies to date through our venture capital Spark Fund (Sendy, mSurvey, Eneza, Lynk, Farm Drive and iProcure).
  • Through our Women in Business (WIB) initiative, we plan to increase the share of our procurement spend going to women-owned businesses to 10%, currently we are at 2.3%.
  • We have partnered with device suppliers to create affordable smart devices to enable our customers to access internet, such as the Neon Ray (4G), which costs KSh 3 999, and the Neon Nova (4G), which costs KSh 5 999. Currently, 40% of the devices on our network are smartphones (3G- and 4G-enabled), of these 40% are 4G- enabled.
  • We reduced the cost of data per MB by 28% during the year under review.

Reducing Inequality

“Reduce inequality within and among countries.”

Key targets:

10.2 By 2030, empower and promote the social, economic and political inclusion of all, irrespective of age, sex, disability, race, ethnicity, origin, religion or economic or other status.

10.4 Adopt equality-related policies, especially fiscal, wage and social protection policies, and progressively achieve greater equality.

10.C By 2030, reduce to less than 3 per cent the transaction costs of migrant remittances and eliminate remittance corridors with costs higher than 5 per cent.

Our contribution:

  • Reducing inequalities by enabling equal access to opportunities to everyone, especially to vulnerable groups, using Safaricom leadership, network, solutions and technology.
  • Projects:
  • 50% of our employees, 35% of senior management and 24% of our Technology Division is comprised of women. 2.3% of our employees are persons living with disabilities.

Responsible Consumption and Production

“Ensure sustainable consumption and production patterns.”

Key targets:

12.5 By 2030, substantially reduce waste generation through prevention, reduction, recycling and reuse.

12.6 Encourage companies, especially large and transnational companies, to adopt sustainable practices and to integrate sustainability information into their reporting cycle.

Our contribution:

Reducing inequalities by enabling equal access to opportunities to everyone, especially to vulnerable groups, using Safaricom leadership, network, solutions, and technology.

Projects:

  • We have collected 299 910 tonnes of solid waste in our administration buildings this year, and 97% was recycled.
  • We have collected and recycled 1 287 tonnes of e-waste to date (215 tonnes this year).
  • We have continued to eliminate plastics, with 87 500 pieces of disposable plastic tumblers removed because of the change to reusable water glasses in all customer reception areas. Over 200 000 single-use plastics removed from across the business.

Peace, Justice and Strong Institutions

“Promote peaceful and inclusive societies for sustainable development, provide access to justice for all and build effective, accountable and inclusive institutions at all levels.”

Key targets:

16.4 By 2030, significantly reduce illicit financial and arms flows, strengthen the recovery and return of stolen assets and combat all forms of organised crime.

16.5 Substantially reduce corruption and bribery in all their forms.

16.10 Ensure public access to information and protect fundamental freedoms, in accordance with national legislation and international agreements.

Our contribution:

Manage our operations responsibly and ethically and fight corruption in all its forms.

Projects:

  • 97% of our suppliers have signed up to Code of Ethics for Businesses in Kenya.
  • 309 dealers, 63 812 agents and 286 suppliers trained on Know Your Customer (KYC) requirements for registration of customers to combat money-laundering and other crimes associated with mobile technology.
  • 96% of employees received ethics and anti-corruption training.

Partnerships for the Goals

“Strengthen the means of implementation and revitalise the global partnership for sustainable development.”

Key targets:

17.16 Enhance the global partnership for sustainable development, complemented by multi-stakeholder partnerships that mobilise and share knowledge, expertise, technology and financial resources, to support the achievement of the sustainable development goals in all countries, in particular developing countries.

Our contribution:

Partner and build collective capacity of people. organisations and nations to promote and advance the SDGs.

Projects:

  • We partnered with Amazon Web Services (AWS) to provide enterprise-grade, cloud-based digital services.
  • We hosted the 2019 Africa Shared Value Summit in partnership with the Africa Shared Value Initiative. The event was designed to foster shared value thinking among businesses in the region.
  • We successfully mobilised leadership in East Africa through the B-Team, with a focus on advancing open government and responsibility in tax, protecting civic rights, unlocking capital for green business and creating opportunities for women and youth.