We formulated the Stakeholder Engagement Policy and established diverse communication and engagement mechanisms to maintain close engagement with both internal and external stakeholders. Following our materiality assessment approach, we have integrated the results into the Company's risk management process and identified a priority order for our sustainability development efforts and key directions to guide our long-term commitment to sustainability across our supply chain, restaurants, and communities. By doing so, we aim to create sustainable value for all stakeholders.
Sustainability Management Approach
Materiality assessment is the principal step of sustainability disclosure for Yum China. In 2017, we initiated the materiality assessment. After then, every year, we revisit the material topics to make sure the topic aligns with our operations and stakeholders' concerns. In 2020, referencing to the SDGs, the GRI Standard issued by the Global Sustainability Standard Board, SASB standard issued by the Sustainability Accounting Standards Board, the three ESG ratings, DJSI, MSCI, ISS, and relevant regulatory requirements, we continued the materiality assessment approach and refined the key topics.
Stakeholder engagement is essential for Yum China to timely adopt constructive suggestions from all parties. We closely engage with different stakeholders and incorporate constructive opinions and suggestions in the future direction of our sustainability efforts.