INTEGRITY. Establishment of KAD North Maluku (Left) and Riau Islands (Right)

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1 INTEGRITY IBL believes that integrity is a fundamental principle that should be implemented on doing business to create prosperity for all. Business Ethics or Integrity is one of main reason for the establishment of IBL. Since the beginning, the organization has been doing many programs and activities to promote ethical business practices, as well as anti-corruption/bribery, and provide assistance needed by private sector to build the capacity on implementing them. IBL has been working with several like-minded organizations such as KPK, CIPE, ASEAN CSR Network, GIZ, UK FCO, USAID Cegah, Kemitraan, Transparency International Indonesia, ICW, and corporation such as Siemens, Chevron, ExxonMobil, ITM, BHP Billiton and others as well as with business association such as KADIN, APINDO, Gakeslab, and others Establishment of KAD North Maluku and Riau Islands Establishment of KAD North Maluku (Left) and Riau Islands (Right) Indonesia Business Links (IBL) assisted Corruption Eradication Commission (KPK) for the establishment of Regional Advocating Committee (KAD) in North Maluku and Riau Islands province. The establishment of KAD North Maluku and Riau Islands was preceded by the establishment of Focus Group Discussion together with private sector, facilitated by KPK. The establishment of KAD North Maluku was held on July 9 11, 2018, while the establishment of KAD Riau Islands was held on August 1 3, This Focus Group Discussion was aimed to encourage participants to talk about every important issue that related with the implementation of ethical business. It is later revealed that Goods and Services Sector still holds high corruption risk level, with the involvement of bribery and gratification inside.

2 KAD was established in order to implement good business integrity in Indonesia. In this event, IBL also got an opportunity to present SOLUSI (Sarana Olah Informasi dan Konsultasi Anti Korupsi), a consultation platform to provide business advice for companies who seek assistance regarding business ethics and the practice of anti-corruption. KAD Guidance Book Workshop Mr. Rakhmad Junaedi from KADIN (standing) gave an opening remark to start the workshop In July , Indonesia Business Links (IBL) organized a workshop event in Akmani Hotel, Jakarta, as a series of refining guidance book for Regional Advocate Committee (KAD) in each region, a committee initiated by Corruption Eradication Committee (KPK). This workshop was attended by KPK, Chamber of Commerce and Industry (KADIN), USAID, and IBL as facilitator. In its implementation, a set of guideline is needed for these committees to direct the organization toward its goal. The KAD guidance book serves as a guideline, and has a function to describe the duties, role, and function of the position, as well as their authority and responsibility. The input and recommendation that appear in the workshop mostly revolve around the legal standing of KAD, its tasks and function, and the organizational structure inside the KAD itself.

3 CAPACITY It is one of IBL missions to build the capacity of business stakeholders on doing ethical and responsible business practices in Indonesia. Since the last 5 years ago, IBL has been focusing on building the capacity of our youth since they will be our future leaders in business or other sectors. Programs and activities have been developed to prepare and empower youth for work, as employees (employability initiative) as well as business owners (entrepreneurship initiative). IBL has been working with several organizations such as International Youth Foundation, Youth Business International, ILO, Oxfam, Plan International and others and with corporation or corporate foundation such as Citi Foundation, Caterpillar Foundation, Accenture, and others as well as with government agencies such as BAPPENAS, Kemenaker, Kemendikbud, and several district and municipal government. YOUTH EMPOWERMENT Indonesia Business Links (IBL), are involved in Youth Empowerment program in Indonesia. The project aims to reduce poverty in rural coastal areas that are prone to the impact of climate change, by empowering youth (especially young women) to secure viable employment and entrepreneurship opportunities. Hearing Session in Indramayu Indonesia Business Links (IBL) organized a hearing session, which held in Hotel Grand Trisula Indramayu, Juli This session was aimed to establish regular communication with stakeholders, and to map the condition of youth in Indramayu. This session also became a means for gathering ideas, responses, feedback and Each participant gave their input on possible collaboration for suggestion from each of the stakeholder. youth empowerment in Indramayu Among these stakeholders that join these events was: local government and its instruments, private sector, community leaders, and those who relevant with these issues.

4 SKILLED YOUTH Citi Indonesia, through its initiative known as Citi Peka (Peduli dan Berkarya) which covers a wide range of community activities, has been collaborating with Indonesia Business Links (IBL), a non-profit organization which promotes the concept of good corporate citizenship, in an effort to tackle unemployment in Indonesia through a Skilled Youth program since June This Skilled Youth program is one that seeks to develop and empower human resources of exceptional quality who are ready to take the plunge into the work environment, either as an employees or entrepreneurs. Closing Skilled Youth II Citi Indonesia, Along with Indonesia Business Links (IBL) held Skilled Youth Phase II closing program on July 25, 2018 at Le Meridien Hotel, Jakarta. This also symbolizes the end of this program. Skilled Youth Phase II aims to empower the economic potential of youths aged who located in Bekasi, Cikarang, and Karawang, through series of training to improve their abilities. This closing event mainly highlights every milestone that Skilled Youth has been achieved. In general, Skilled Youth Phase II was attended by 249 youths, divided into 2 groups, employability, which was attended by 2018 youths, and entrepreneurship, with 31 youths. For employability program, Skilled Youth managed to helped 151 youth to get their job, while from entrepreneurship program, 15 youths are successfully made their own business. This event also announced the winners of video making competition, called #CeritaPerubahan, a competition which participants shared the changes that they experienced after joining this program, by using the medium of short video. This competition was attended by 20 participants divided into 2 categories. 15 people compete in individual category, while 5 attended group category. Apart from being closing event, this session also a means to invite relevant stakeholders, mainly private sectors, to actively participate in implementing Sustainable Development Goals through the development of youths in Indonesia.

5 TESTIMONIAL Rynaldi Setiawan (18), a student from SMK Mitra Industri MM2100, majoring in Motorcycle Engineering, is one of the Skilled Youth employability program participants. After joining this program, now I can plan my own dreams and life goals RYNALDI SETIAWAN Before joining Skilled Youth, he doesn t have any knowledge and understanding about how to manage and plan things, such as manage his own schedule and finance. He even stated that he doesn t know how to create plan for his life goals. But, after joined Skilled Youth program, he slowly understand what goals he wants to achieve, and how to prepare plans to achieve that. Now he knows how to manage his own finance and create a plan for his life. Rynaldi has now passed the selection in an internship program in Japan for 3 years, conducted by PT. JIAEC MUDA TERAMPIL BERUSAHA (MTB) Muda Terampil Berusaha, a program funded by Accenture which aims to create youth entrepreneur in Karawang. This program in line with local government policy that encourage economic development in Karawang through entrepreneurship. Financial Mentoring Muda Terampil Berusaha (MTB), a collaboration program between Indonesia Business Links (IBL) and Accenture Indonesia, held another mentoring event on July 21, 2018 at Karawang. This event discussed about how to manage your finance for your business. Participants were divided into several groups, where each group was guided by a mentor. This session In this mentoring session, each group was guided by a mentor details how to make a transaction journal and financial report for their business. By using this financial report, each participant could make a detailed cash flow for their business, as an indication for company s financial condition.

6 SUSTAINABILITY On this pillar, under the banner of IBL Sustainability Initiative exchange (IBL SIX), the organization provides learning forums for corporation and other business stakeholders to share ideas, best practices and experiences on business sustainability issues such as water, waste management, disaster risk reduction and others as well as to discuss hot topics such as Sustainable Development Goals. IBL has been working with several organizations and corporations, such as Unilever, Danone, and others, which have similar understanding on sustainable business practices relevant to those issues/topics ESTABLISHMENT OF FBI4SDGs Mr. Bambang Brodjonegoro along with representative of each Association that represent companies and philanthropy in Indonesia In order to achieve the target of Sustainable Development Goals (SDGs) in Indonesia, Ministry of National Development Planning (Perencanaan Pemangunan Nasional / Bappenas, along with 14 association which represent 500 companies and philanthropy, made an oath to support SDGs, with the launching of Filantropi dan Bisnis Indonesia untuk SDGs platform (FBI4SDGs) on July at APINDO building. Carrying the theme No One Left Behind, FBI4SDGs invites all stakeholders to work together, collaborate, and contribute with various activities to achieve Indonesian SDGs In his speech, Mr. Bambang Brodjonegoro (Minister of National Development Planning), emphasizes that implementing SGDs also means implementing national development and simultaneously fulfilling global commitment.

7 PARTNER CORNER To commemorate their 50 th Anniversary, Accenture Indonesia held an event called Accenture Golden Market Fest, a special event for Accenture s big family and their partners, which held on Sunday August , at Wisma BNI 46. The Accenture Golden Market Fest consists of several activities, such as 5k and 10k marathon competition, bazaar and food trucks, games and lucky draws, live music, and a ceremonial to commemorate the founding of Accenture 50 years ago. In the ceremonial event, Accenture invites Mr. Utomo Josodirdjo, founder of SGV- Utomo, a consultation firm that became the forerunners of the establishment of Accenture today. As a token of appreciation, Mr. Utomo was given an honorable award by Accenture, handed over by Mrs. Neneng Goenadi, current Country Managing Director of Accenture Indonesia. Accenture Golden Market Fest was a ceremonial event to commemorate 50 th year of Accenture in Indonesia Accenture Elevate Experience The winner of Elevate Accenture, which will be recruited as consultants Accenture, as a global company which provides a board range of services and solutions in strategy, consulting, digital, technology, and operation, continues to give the best of their services for partners and helps them to improve their performance and create sustainable values. In order to keep the excellence of the services, Accenture create a process to recruit young talents to become future consultants of Accenture through an event called Elevate Experience, which was held on Saturday, August This program aimed to give chances to all program participants to feel the experience in becoming one of the Accenture s consultants. On its implementation, Accenture cooperated with Indonesia Business Links, which acts as a client who gives the participants a Challenge Statement, with a theme of how to create an interest from youth to be entrepreneurs.

8 Participants then explored any ideas and suggestion to tackle issues addressed in Challenge Statement. Then, they will presented their ideas to the judges, consists of both Accenture and IBL. The result of this presentation session would be a consideration to recruit these participants to join Accenture. ASEAN Responsible Business Forum Mr. Mohamad Fahmi (IBL) explained the Business Ethics Initiatives in Indonesia A joint study on Corporate Disclosure on Business Integrity in ASEAN by the ASEAN CSR Network (ACN) and the National University of Singapore (NUS) Business School s Centre for Governance, Institutions and Organisations (CGIO) found that corporate disclosure of anti-corruption practices by top ASEAN listed companies has improved over the last two years. The study looked at the 50 largest companies by market capitalisation in each of the five countries Indonesia, Malaysia, Philippines, Singapore and Thailand and assessed their level of public disclosure related to their anti-corruption efforts. A baseline study was conducted The findings were presented at the ASEAN Responsible Business Forum organised by ACN and the ASEAN Business Advisory Council (ASEAN-BAC). The Forum, which runs from 27 to 28 August 2018, aims to enhance understanding of how responsible and inclusive businesses can contribute to the realisation of Sustainable Development Goals (SDGs) and ASEAN 2025 goals. Companies in the five countries consistently achieved the highest disclosure rates in areas such as commitment to comply with relevant laws and regulations in their country (94% in 2018) and applicability of the company s anticorruption policy to all its employees and directors (85 % in 2018). However, across all five countries, companies consistently scored the lowest rates for disclosures relating to the applicability of their anti-corruption policy to external parties such as agents and suppliers. In the 2018 study, the disclosure rate of companies whose anticorruption policy explicitly applies to agents and suppliers was 16% and 29% respectively. (Source: ASEAN Responsible Business Forum News Release)

9 UPCOMING EVENTS BUSINESS INTEGRITY FORUM Business Integrity Forum (BIF) is a private sector forum aimed to establish a constructive dialogue between business leaders in order to strengthen the practice of ethical business among businessmen. Members of this group support every mission and integrity values this forum hold. They also committed to apply business practices that uphold anti-corruption and high ethical value. By participating in BIF, companies have access to involve in discussion regarding corruption in private sector, and the best way to prevent it. Main objectives of this event are to see all the development and changes in the implementation of ethical business practices in Indonesia. Furthermore, this event could also create new benchmark in the application of good practices in anti-corruption program for private sector.

10 SPECIAL THANKS TO in appreciation of your support, as IBL s Corporate Partners in 2018, which help us on promoting Good Corporate Citizenship and Partnership for Development in Indonesia. If you want to be part of our mission, please don t hesitate to contact us IBL is one of founding members of ASEAN CSR Network IBL supports Global Compact and a member of Indonesia Global Compact Network IBL is a member of Business and Philantropy Forum for SDGs IBL is a member of Alliance for Integrity IBL Office The Office Sahid Sudirman Residence st 1 Floor Unit 2 Jl. Jend. Sudirman Kav. 86 Grand Sahid Jaya Hotel Complex Tel: ; ibl@ibl.or.id JOIN WITH US fan page: Indonesia Business Links Indonesia Business Links ibl_id

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