· Commissioned additional external assurance work to validate aspects of the
Company’s estimates regarding the LCCP’s cost and schedule.
· Engaged in consequence management, including initiating disciplinary action
against the Executive Vice President previously in charge of the LCCP and
removing him from all work responsibilities, and effected the negotiated
separation from the Company of the three Senior Vice Presidents with roles in
the project.
· For FY2019, the Joint CEOs were awarded zero as the value of their short-term
incentive.
· For FY2019, all members of the Group Executive Committee (GEC) were
awarded zero as the value of their short-term incentive.
· Reduced incentives awards for individuals company-wide based on relation
and/or proximity to LCCP.
· Requiring that various employees involved in the LCCP and/or its oversight
engage in additional training, including on reporting obligations.
· Re-evaluating the effectiveness of the finance function holistically with a specific
focus on parts of the function supporting Sasol’s business in the United States,
which will be led by the Audit Committee.
· Continuing with the roll-out of the Aspirational Culture programme within the
entire Group and reconfirming critical leadership behaviours on a Group-wide
basis.
· Revising the Company’s procedures regarding the escalation of ethics complaints
and internal investigation findings.
The Board believes, however, that further remedial steps are required to embed a
new culture at all levels in the Company. At the leadership level, there needs to be
more robust challenge of key decision making. At the LCCP, the Company’s
executive leadership placed too much trust in the PMT leadership. A spirit of
“constructive dialogue” which includes empowering challenge and avoiding
conformity, needs to extend though the Company so that people always feel able
and free to speak up without fear for their prospects.
To address this, in addition to ongoing culture transformation initiatives, the
Company intends to focus on promoting leaders who have demonstrated their ability
to promote transparency and constructive dialogue.
Further Accountability Measures
With the LCCP now nearing completion, the Board firmly believes that this strategic
project will soon start delivering significant strategic and financial benefits to our