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The 2013 report has more information than ever on our developments and hospitality assets. These indicators and qualitative disclosures give a more holistic overview of the environmental, social and economic impacts at Omran. They send a strong signal that our company is serious about taking ownership over the full extent of our operations.
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CREATING A SUSTAINABLETOURISM DESTINATION
2nd SustainabilityReport
ContentsTable of
This Year‘s Report
5
Our Environmental Impact
51
Our Cultural Heritage
65
Our Social Impact
39
13
Our Economic Impact
29
About Omran
Appendices 75
2nd Sustainability Report | 4 - 5
This Year‘s ReportSection 1
Taking a closer look at Oman’s natural assets.
Sustainability management makes good business sense, and is becoming increasingly important for Omran.
2nd Sustainability Report | 6 - 7
Be it young or old Omanis, our objective is to tap their skills, experience and aspirations to create a happier, more secure Oman.
2nd Sustainability Report | 8 - 9
About this Report
2013 At a GlanceThis is Omran’s second Sustainability Report.
It covers performance on material issues relevant
to our main stakeholders for the four years leading
up to 2013. The report is written in accordance with
the Global Reporting Initiative (GRI) G3.1 guidelines
for sustainability reporting, the leading standard used
by two-thirds of the world’s sustainability reporters.i
Our report is self-declared Level B and has received
an independent GRI level check (page 92).
The 2013 report has more information than ever on our
developments and hospitality assets. These indicators
and qualitative disclosures give a more holistic overview
of the environmental, social and economic impacts at
Omran. They send a strong signal that our company is
serious about taking ownership over the full extent of
our operations.
134SMEs supported
Omran makes a point of trying to help Small & Medium-Sized Enterprises (SMEs) through financial contributions, mentorship, and responsible procurement practices. In 2013, we supported 235% more SMEs than 2012. Read more about our different strategies for helping entrepreneurs on pages 35 and 37.
82mnOMR awarded in OCEC tenders
The Oman Convention and Exhibition Centre (OCEC) is Omran’s biggest development, slated to bring in 200-240 million Omani Riyals to the national economy by 2030. Discover the full economic impact of this flagship project on page 36.
-27% Reduction in GHG emissions
Omran reduced its office greenhouse gases (GHG) generated by 27% in 2013. To show that we are serious about the environment, we have taken the bold step of tracking and reporting on the environmental performance of our hotel assets. Learn about our environmental performance on page 51.
1,028 Available rooms
Omran has come a long way in just a few years with regard to hospitality asset management. We are significantly increasing our hotel capacity (26% growth in available rooms in 2013) and welcoming more guests all over Oman (399 per day in 2013). Learn about our hospitality assets on pages 18 and 80.
72% Omanization
Omran believes that the tourism economy can be a major driver of national employment. In 2013, we employed 86 Omanis at our head office, 353 at our Hospitality Assets, and 126 at our developments. Read more about our approach to human capital development on page 44.
9LEED projects
Omran is the first company in the Sultanate to have gained membership of the U.S. Green Building Council. Nine of our developments are pursuing the coveted LEED certification—the most trusted global standard for green building. More on page 55.
32% Domestic occupancy
Omran builds tourism infrastructure for foreign and Omani travellers alike. Omran’s domestic occupancy rate is up significantly from historical rates (11% in 2010), indicating Omanis are becoming increasingly avid participants of their own tourism economy. More on page 35.
0Injuries
With more than 9.3 million man-hours logged across our developments, we managed to avoid having a single lost-time incident in 2013. We believe that being honest and transparent about our Health & Safety performance is integral to success, and we encourage you read about our practices on page 45.
0Fatalities
Cautionary StatementThis report contains certain “forward-looking statements” that express the way in which Omran intends to conduct its activities. Many of these statements are based on the plans and assessments of our executive management team, which are meant to add value to the report by giving our stakeholders a better overview of our collective impact. Words such as “anticipate,” “believe,” “expect,” “estimate,” “forecast,” “intend,” “plan,” “project” and similar expressions which indicate future events and trends may identify forward-looking statements. Although we make efforts to ensure the report is as accurate and truthful as possible, such statements are based on assumptions made using currently available information that is subject to a range of uncertainties that could cause actual results to differ materially from these projected or implied statements. The forward-looking statements contained in the following pages are therefore not promises or guarantees of future conduct or policy, and Omran assumes no obligation to publicly update any statements made in this sustainability report.
More than communications, sustainability reporting
is an exercise in accountability to our stakeholders.
We invite all our readers to provide their feedback
to us so that we can continue to be Oman’s most
transparent developer.
Contact InformationFor questions and feedback on this report as well
as general information on sustainability programs
at Omran, please contact our sustainability team
2nd Sustainability Report | 10 - 11
CEO’s Message
“ Tourism is expanding at a rapid pace in Oman. Recent government figures indicate that the number of inbound tourists grew by 50% compared to 2012.ii Growth projections for Travel and Tourism (T&T) look equally promising: the World Travel and Tourism Commission (WTTC) estimates that the sector will contribute a total of 3.7 billion OMR to the Sultanate in 2023.iii With such positive outlooks, the need for robust tourism infrastructure is clearer now than ever.”
The sustainable development goals outlined in
the Oman Economic Vision 2020 emphasize the
importance of economic diversification and human
capital development. Through our efforts to catalyse
growth within Oman’s tourism sector, Omran
continues to make a strong contribution to the
Sultanate’s vision for sustainable development. Since
its establishment in 2005, Omran has developed and
managed—independently and jointly— a portfolio of 23
different assets. Though these impacts are impressive
in their own right, it is the indirect factors that make
tourism’s contribution truly remarkable. Whereas
the tourism and travel sector’s direct economic share
of Gross Domestic Product (GDP) stood at 3.0% in
2013, the full contribution was closer to 6.4% when
considering the multiplier effect of tourism.iv These
figures demonstrate the many indirect benefits of
public spending in tourism infrastructure.
Sustainability management makes good business
sense, and has started becoming increasingly important
for Omran. A study by the Harvard Business School
finds that companies that embrace it “significantly
outperform their counterparts over the long—term,
both in terms of stock market as well as accounting
performance.” v Strengthening our sustainability
management practices is therefore vital to long term
success. On this front, the 2013 Omran sustainability
report has made important new advances. First, we
have expanded our scope with the inclusion of 25 fully
reported GRI performance indicators. We also continue
to use the Global Reporting Initiative 3.1 standard to
guide our reporting, but have started transitioning to
reporting on the basis of topics identified as important
to our stakeholders. And finally, the boundary of
reporting is wider this year, with key indicators on
our hospitality assets. By showing this leadership
in sustainability reporting, our aim is to continue
to be the most transparent developer in Oman.
Omran has had some big successes in 2013. Major
projects such as the Oman Convention and Exhibition
Center are on schedule, and several developments
such as the Alila Jabal Akhdar resort and Atana
Musandam resort slated to open in Q2 2014. Studies
are showing that our properties will bring in millions
of Omani riyals to the economy. We are proud to
have completed nearly 10 million man hours without
a single lost time injury. And on the environmental
front, nine developments are pursuing LEED green
building certifications. We have also reduced per
capita waste, energy, and greenhouse gas emissions.
Our mandate to build tourism infrastructure, though
no small task is one that will bring invaluable growth
to our economy. As we near our ten year anniversary,
we celebrate our successes and continue to look to new
opportunities to contribute to the national economy.
Sustainability will continue to guide our focus and actions,
putting us squarely on the path to long term success
for Omran and the Sultanate of Oman. Eng. Wael Al LawatiCEO
2nd Sustainability Report | 12 - 13
As a government investment arm for the Sultanate’s tourism industry,Omran develops, invests in, and manages tourism assets.
About OmranSection 2
By combining human and naturalresources, we create distinctiveand sustainable destinations.
2nd Sustainability Report | 14 - 15
Our approach to sustainability takes into account the economic, social and environmental factors while promoting Omani heritage in the industry.
2nd Sustainability Report | 16 - 17
Our Company
The Oman Tourism Development Company (Omran)
was established by the Government of Oman as part
of a wider vision to diversify the economy. Oman Vision
2020 outlines the vision for the Sultanate’s economic
and social development and emphasizes economic
diversification and human capital development as top
priorities for the next decade. Omran exists to support
the Sultanate’s economic and social development by
catalyzing growth within the tourism sector.
HeadquartersAl Khuwair
Building number 3203
Way number 3341
Phone: +968 24 391111
Fax: +968 24 391112
Email: [email protected]
Post P.O.Box 991, P.C.130, Al Athaiba.
Website: www.omran.om
As a government investment arm for the Sultanate’s
tourism industry, Omran develops, invests in, and
manages tourism assets. A central part of our remit
is to develop new tourism destinations in the country
and stimulate private sector investment in tourism
destinations. With projects from Musandam to
Dhofar, our company operates exclusively in the
Sultanate and is proud to contribute to Oman’s
national development.
2nd Sustainability Report | 18 - 19
Sultanate of
Oman
Salalah
Khasab
Dibba
Sea of OmanSohar
Al SifahQuriyat
SurNizwa
Uwaifiya
MussanahMuscat
Ras Al Jinz
Masira Island
Duqm
15
21 9
20
147 10
812
16
11
18
19
17165
3
2413
Omran’s Activities
Omran operations are classified in three
general categories:
Investments: Omran supports tourism by dedicating resources
to investment opportunities that enhance the private
sector’s role in the sector’s development. By seeking
out joint ventures, we stretch the potential of our
resources while simultaneously creating an enterprising
and participatory market. Omran currently has
a portfolio of 6 investments that include stand-alone
projects as well as larger Integrated Tourism
Complexes (ITCs).
Developments: Omran supports tourism by planning and building new
projects across the Sultanate. As a government-owned
entity, Omran is in a position to build assets
of strategic interest and capitalize on its size to
undertake large projects. As of 2013, Omran had 7
developments underway.
Hospitality Assets: Omran supports tourism by managing its own set
of hotels, resorts, and tourism destinations. Whilst a
few assets are managed by Omran on behalf of others,
Omran has begun running properties of its own and
developing its own brand of hospitality. By showing
leadership in responsible tourism and championing
Omani hospitality across 8 hotels and resorts, Omran
is setting a standard for others in the Sultanate.
Sustainable Tourism in Oman
Our country is quickly being positioned as one of the
most attractive destinations in the Middle East. The
LonelyPlanet guide recently ranked Oman as the No. 2
tourism destination globally, and Muscat was named
as Arab Tourism capital in 2012. United Nations World
Tourism Organization (UNWTO) estimates project
tourists visiting the Middle East to more than double,vi
the outlook for the industry is extremely positive.
In such times of expansion and change for the
industry, it is important for sector participants to take
a deliberate, long-term perspective towards industry
growth and development. Omran’s development
strategy is rooted in the conviction that development
should generate wealth for Omanis, preserve the
natural assets for our children, and strengthen our
cultural identity. Omran’s sustainability framework
is a visual representation of these goals.
Sustainability FrameworkOur approach to sustainability takes into account
the economic, social, environmental factors while
promoting Omani heritage in the industry.
Economic Society
Environment Cultural Heritage
ResponsibleTourism in
Oman
Investments Developments Hospitality Asset Management
1. Jebel Sifah 7. Oman Convention & Exhibition Centre 14. Intercontinental Muscat
2. Salalah Beach 8. Alila Jabal Akhdar Resort 15. Millennium Resort Mussanah
3. As Sodah Island 9. Atana Musandam Resort 16. Crowne Plaza Duqm
4. Al Baleed Resort 10. Fort Hotel 17. Duqm City Hotel
5. Duqm Frontier Town 11. W Hotel 18. Ras Al Jinz Scientific Centre
6. Saraya Bandar Jissah 12. Quriyat Sur Rest Area 19. Masira Island Resort
13. Al Baleed Restaurant 20. Golden Tulip Dibba Resort
21. Atana Khasab Resort
1 As the Ras Al Jinz Scientific Centre is not owned by Omran and is governed by a different management agreement, it falls outside of the boundary of this report. It is not included in aggregate figures for Hospitality Assets.
2nd Sustainability Report | 20 - 21
Our Values Our Stakeholders
Know-how: Omran believes in know-how, which is built from the spirit of being an Omani company and the knowledge this gives us. We understand the people, government, heritage and environment, knowing how to get the most out of everything and everyone we work with.
Respect: Omran believes in Respect, which is built from the respectful spirit that is inherent in the Omani people. We respect not just our own people but also the communities in which we work. While we support Oman’s goal to have tourism as a key economic driver, we also endeavor to preserve traditional Omani skills, crafts, and a lifestyles.
As a company with a remit to develop public-benefit
infrastructure projects, the impact that we have on
communities is paramount to the way we do business.
We engage with local communities either through
specific initiatives to be implemented in the region
where our project is located, or through general
initiatives that touch a wide range of benefits for
community members. Our sustainability strategy,
Corporate Social Responsibility (CSR) programs, and
public relations are a further step towards closer
communication and engagement with communities
about our projects, activities, and plans.Beyond: Omran believes in beyond, which comes from our passion for the future, which is shared by many young Omanis. We exist to push the boundaries of what is expected and what can be achieved. We develop communities, people and skills, and we do it all to help develop a new and better Oman.
Our CommitmentsIn 2012, we committed ourselves to four key objectives:
1. All future Omran major developments will be LEED certified.
2. All future Omran properties will ensure domestic tourism is promoted.
3. All future Omran properties will have interiors that are the ‘modern expression of Omani architecture’ and will be decorated with art from Omani artists.
4. Omran developments will include environmental stewardship initiatives that increase awareness and good housekeeping on-site during construction.
2nd Sustainability Report | 22 - 23
For the full Materiality Matrix see Appendix D
Materiality at Omran
In order to create a more focused sustainability program, Omran conducts a yearly review of issues that are of concern
to the company and interested parties. By writing a publication that focuses on topics that matter to stakeholders and
have the greatest impact on our operations, we strengthen our credibility and social license to operate.
The outcome of the 2013 assessment draws attention to indirect economic impacts, local communities, and employee
satisfaction as top priorities for Omran. Accordingly, we dedicate a considerable amount of time describing the full range
of impacts for these focus areas in this report.
Omran’s Top 15 priorities:
Topic / Aspect More Information
1 Indirect Economic Impacts See Indirect Economic Impact on page 35
2 Employee Satisfaction See Our Workforce on page 43
3 Local Communities See Spending Local on page 35 and Community Investment and Sponsorship on page 46
4 Preservation of Heritage See Our Cultural Heritage page 68
5 Employment See Our Workforce on page 43
6 Procurement Practices See Spending Local on page 35
7 Occupational Health and Safety See Contractor Relations on page 46
8 Products and Services See About Omran on page 13
9 Constructing LEED Certified Buildings See LEED Building at Omran on page 55
10 Overall Environmental Spending Omran plans to report on this in 2014
11 Materials Reported to a limited extent on page 57
12 Corporate Communications Omran plans to report on this in 2014
13 Corporate Governance See Governance on page 23
14 Energy See Energy Consumption on page 59
15 Anti-corruption See Ethical Conduct and Anti-Corruption on page 26
* Page 43 provides more exhaustive details on Omran’s materiality assessment.** The GRI logo above indicates that a topic is a prescribed aspect of the new G4 voluntary guidelines. Although the 2013 report uses 3.1 guidelines, Omran is already in the process of transitioning to the new standard.
1. Oman Society of Engineers
2. Oman Society of Contractors
3. Oman Real Estate Association
4. Oman Green Building Association
5. Oman Chamber of Commerce and Industry
Omran is 100% owned by the Government of Oman. The
Oman Ministry of Finance acts as the official shareholder
for governance and operational activities.
Omran’s structure ensures robust checks and balances
are in place between different entities such as the Chief
Internal Auditor, HC Committee and Audit Committee.
Pending a review of Omran’s mission and direction by
the board, the organizational structure is slated to be
updated in Q1 2014 to align with the upcoming changes.
Our senior management and legal teams are responsible
for ensuring that Omran is in full compliance with Omani
laws. Our governance philosophy is to set an example
of best practice in Oman by exceeding basic governance
and business management standards. We have achieved
several voluntary certifications, including ISO9001 for
Quality Management, ISO14001 for Environmental
Management, and OHSAS18001 for Occupational Health
and Safety. In addition, our assets are pursuing LEED
certifications for green building performance.
The organization does not subscribe to or endorse any
externally developed economic, environmental, and
social charters, principles, or other initiatives. Omran
does, however, have memberships in associations
where this is seen as strategic:
Governance
CHAIRMANOF BOARD
BOARDADVISOR
CEO HCCOMMITTEE
AUDITCOMMITTEE
TENDERCOMMITTEE
CHIEF INTERNAL
EDITOR
The Integrated Management SystemOmran has been awarded with internationally
acclaimed certifications after passing its second
Integrated Management System (IMS) Audit conducted
by Germany’s TÜV SÜD, a global provider of testing
and certification services. By effectively integrating
three previously certified systems under one integrated
platform, Omran’s IMS achieved ISO 9001:2008 for
Quality Management System, ISO 14001:2004 for
Environmental Management System and OHSAS
18001:2007 for Occupational Health and Safety
Management System.
Demonstrating the company’s systematic and
process-driven approach to quality performance,
product delivery and service consistency, the IMS will
meet the needs of stakeholders, manage employees’
needs, monitor risks and hazards, reduce inefficiencies
and maximize resources. Omran proved it has robust
checks and balances in place ensuring that all
decisions are based on recorded data, potential
problems are identified and corrected, and the end
product always meets the required standard.
2nd Sustainability Report | 24 - 25
Board of Directors Executive Management TeamOmran’s highest governing body is made up of seven members who review performance and provide direction to the company. These individuals are appointed by the Cabinet of Ministers. Other than receiving a sitting fee for each meeting attended, directors are not compensated for their work and have no personal financial interests in the company. Directors and employees are required to comply with our Code of Conduct, which outlines the ethical standards and expectations to exercise good judgment. Employees can provide recommendations or direction to the highest governance body through their line managers. As of December 31st, 2013, the Board of Directors was made up of seven members:
Day-to-day operations are managed by an executive team of six individuals. Compensation for these executives is tied to economic performance and scorecard achievement, which includes economic, environmental, and social indicators.As of December 31st, 2013, senior management was made up of the following individuals:
Eng. Said Al QasmiChief Project Officer, Oman Convention & Exhibition Centre
Eng. Abdul Wahid Al FarsiVice President, External Affairs
Eng. Ali Al RasbiVice President, Corporate Support
Eng. Wael Bin Ahmed Al LawatiChief Executive Officer (CEO)
Ms. Lubna Al Kharusi Chief Financial Officer (CFO)
Eng. Nasser Al MaqbaliChief Operations Officer (COO)
Eng. Abdul Qawi Bin Abdullah Al-Yafai MemberDG of Town Planning & Survey; Ministry of Housing
Mr. Khalid Bin Saeed Al-ShuaibiMemberDG of Organization and Commercial Relations; Ministry of Commerce & Industry
Sk. Sultan Bin Mohammed Al-MahrouqiMemberDG of Administrative & Financial Affairs; Ministry of Finance
Eng. Khalid Bin Hilal Al-YahmadiMemberPrivate Business
H.E. Nasser Bin Khamis Al Jashmi ChairmanUndersecretary of Ministry of Finance
Mr. Hassan Bin Mohammed Al-LawatiDeputy Chairman DG of Archaeology & Museums; Ministry of Heritage & Culture
Mr. Harib Bin Abdullah Al-KitaniMemberCEO of Oman LNG Co.
The composition of the Board of Directors changed on June 1st, 2014, for a list of current Directors, please visit: www.omran.om
2nd Sustainability Report | 26 - 27
Ethical Conduct and Anti-Corruption
Millennium Resort Mussanah Trip Advisor Certificate of Excellence
Crowne Plaza Duqm Sewage Treatment PlantConstruction Week AwardsSustainability Initiative of the Year
Crowne Plaza Duqm Sewage Treatment PlantMEED Quality AwardsWater and Water Reuse Project
Omran WebsiteOman Web AwardsSilver
Alila Jabal Akhdar ResortDossier Construction Awards and SummitBest Project Design
Salma’s ChocolatePR Ragan AwardsEmployee Communication Awards
Masira Island ResortTrip AdvisorRecommendation
Team Leader of Zaree Iman Al Salti Travelex Oman Tourism Ambassador AwardsBest Tourism Ambassador for Al Batinah and Musandam
ZareeAsia’s CSR Best Practice AwardWomen Empowerment Award
ZareeAl Roya Youth AwardsEntrepreneurship Award
“ Managers are expected to exemplify the highest standards of ethical business behaviour and conduct creating a work environment that promotes honest and ethical behavior”Excerpt from Omran’s Code of Business Conduct
Business ethics continue to be a material concern
for all companies in Oman. In line with a national
directive to combat corruption and serious fraud,
Omran developed a set of internal policies and
measures, including various types of audits that are
conducted throughout the year. All employees and
board members must sign declarations yearly that
they have read and understood the company’s code
of business conduct. This ensures collective
responsibility and accountability to the people
of Omran. Thanks to these proactive measures,
Omran has not faced any issues of corruption in
the past five years.
Anti-Competitive BehaviorOmran complies with all laws concerning
anti-competitive behavior. Our position as
a government-owned company allows us to
go beyond simple calculations of financial returns,
and to consider the full range of economic multiplier
effects that future projects will have for Omani society.
The development of assets in Duqm and the creation
of the OCEC are prime examples of undertakings
that will generate significant indirect economic
benefits, while not immediately generating direct
economic returns. As such, Omran’s role is to catalyze
development by undertaking projects that break
new ground and, on the basis of risk and immediate
economic returns, may not be executed by
other developers.
Awards and Accolades
2nd Sustainability Report | 28 - 29
Our Economic ImpactSection 3
Ensuring that the economic wealth of the nation stays and circulates within our borders is an important consideration for Omran.
Omran plays a prominent role in the development of the tourism sector by developing, managing, and investing in tourism projects.
2nd Sustainability Report | 30 - 31
Job creation is one of the most tangible impacts of tourism development.
2nd Sustainability Report | 32 - 33
2,079million OMR
The tourism industry’s total contribution to Oman’s GDP in 2013, in Omani Rials
(including indirect and induced impacts)
295million OMR
Amount of local spending projected to result
from the Oman Convention and Exhibition Centre
Total contribution tourism in Oman has had to employment in 2013
(including wider effects from investment, the supply chain, and induced income)
6.4%
Number of SMEs
supported in 2013
134
Direct Economic Impact of Investment
The travel and tourism sector plays an increasingly
significant role in Oman’s economy. In 2013, the sector
directly contributed 3.0% (OMR 982.8mn) to Oman’s
GDP, a relative share that is forecasted to jump to
5.4% per annum over the next decade.vii Visitor exports
surpassed seven hundred million Omani Rials for the
first time in 2013, with 1,660,000 international tourist
arrivals projected for the next year. viii This has helped
Oman rank 3rd globally for its 2014 projected real
growth in direct contribution to GDP, as well as third
for its direct contribution to employment.ix
Omran plays a prominent role in the development
of the tourism sector by developing, managing, and
investing in tourism projects. In 2013, the total amount
of the infrastructure investment estimated at a net
total of 30.5 million OMR. The asset base has grown
to include 8 hotels and resorts, 7 developments under
development, and 11 joint-ventures and investments.
Highlights
Joint-Ventures & Investments
9
2010
10
2011
11
2012
11
2013
Development Projects
7 78
6
2010 2011 2012
Hospitality Assets Managed
2013
“ Oman is currently perceived as offering extremely attractive investment opportunities for hotel groups and other tourist-related industries, largely due to rising domestic tourism and regional tourism, supported by an increase in higher disposable incomes.” - Oxford Business Group, Oman Report 2012
10 810 8
2010 2011 2012 2013
Our Economic Contribution 2010 2011 2012 2013
Total infrastructure investment (OMR) 52,134,853 15,641,469 33,973,217 30,485,101
Number of ongoing development projects 6 7 8 7
Number of tourism assets managed 10 10 8 8
Number of Joint-Ventures & Investments 9 10 11 11
*some figures above are restated from the previous sustainability report
2nd Sustainability Report | 34 - 35
Economic Performance of Hospitality Assets
As a part of its mission to stimulate the industry,
Omran manages and invests in a number of hotels
and resorts. Increases in the capacity and occupancy
of these hospitality assets is an indication that
a greater number of visitors are experiencing Oman
and that Omran is meeting its goal of stimulating the
tourism economy. In 2013, our aggregate capacity grew
significantly to 1,028 rooms across Oman, with an
average of 399 sold per day during the year. Occupancy
rates have remained relatively unchanged over the past
three years, despite the adverse effect of adding newer
properties to our asset base in emerging and non-urban
markets. The economic performance of long-standing
assets has remained fairly steady; however, the addition
of new hotels has had the effect of lowering aggregate
averages for economic indicators such as revenue per
available room (RevPAR) and Average Daily Rate (ADR).
As is the trend in the industry, the profitability of these
new hotels is slated to increase year-over-year and
grow annually in terms of its economic contribution
to the nation.
Local Procurement 2011 2012 2013
% of procurement spending on locally-based suppliers
Oman Convention & Exhibition Centre* 10% 73% 49%
All other operations (Omran offices, developments, and hospitality assets managed by Omran) 10% 32% 31%
Hospitality Assets Total Guest Nights (Annual)
2010 2011 2012 2013
198.3k
160.6k
116.9k134.9k
Hospitality Assets Omani Occupancy Rate
2010 2011 2012 2013
32%28%
21%
11%
Hospitality Assets Total Occupancy Rate
2010 2011 2012 2013
59.0%
38.9% 43.5% 41.4%
Hospitality Assets Available Rooms (Daily)
2010 2011 2012 2013
1,028815698394
2010 2011 2012 2013
Hospitality Assets Average Number of Rooms Sold Daily
399303260231
Indirect Economic Impact
The indirect impact of tourism is one of the more
important factors contributing to Oman’s future
prosperity. The WTTC estimates that the total
contribution of Travel & Tourism to Oman’s gross
national product is twice as large as its direct
contribution. With a government mandate to develop
the tourism industry, a fundamental approach of
Omran is to look beyond the direct company returns
and consider the full economic value that will be
generated by prospective investments. Our business
development strategy includes considerations related
to developing new geographies with untapped
potential, developing complexes that will generate
opportunity for the tertiary sector, and pursuing
mega-projects in niches that remain untouched
by the private sector.
Job creation is one of the most tangible impacts
of tourism development. Long-term growth prospects
position Oman in the top twenty countries which
will offer the best employment growth rates in the
coming decade, with a projected 3.8% growth in total
employment for Oman until 2024.x This equates to
a total employment contribution of 116,000 jobs per
year.xi Omran contributes to this by creating direct
employment for Omran staff, contractors, and hotel
operators, as well as indirect employment for the
private retail and service industry.
Wider Tourism Industry Contribution to Sector GDP 2012
45.6%54.4% Domestic Tourists
Source WTTC
International Tourists
Hospitality Assets Economic Performance (OMR)
ADR
2010 2011 2012 2013
64.070.578.7
85.1
26.5
50.3
30.6 30.7RevPAR
Spending Local
Ensuring that the economic wealth of the nation stays
and circulates within our borders is an important
consideration for Omran. Our In-Country Value (ICV)
initiatives prioritize local contractors and suppliers
for materials and other services for our hotels,
developments, and office operations.
Omran also believes that a healthy tourism sector
is one where Omanis are themselves spending within
the industry. The WTTC reports that domestic travel
spending represents 53.8% of direct sector GDP in 2013,
with growth of 11.1% for 2013.xii Omran’s own figures
show that domestic occupancy at Omran’s hotels
has increased significantly in past years and currently
stands at 32% of all guests. Omran is building new
properties, such as the largest mall in Oman, which will
attract many Omanis and promote economic activity in
the service sector.
Amounts Awarded to Local Contractors (OMR)
Alila Jabal Akhdar Musandam Resort
14 million
12 million
2nd Sustainability Report | 36 - 37
Supporting Omani Entrepreneurs Omran is keen to help Omani entrepreneurs and
provide support to projects that will generate new
tourism-related business. In 2013, we supported 134
small-to-medium enterprises (SMEs). As part of this
strategy, Omran awards important hotel projects to
local firms wherever possible. Since the hotel industry
often relies on overseas expertise due to a limited local
market, developing Omani experienced companies is
of high interest to Omran. For this reason, extra efforts
are made to consider local entrepreneurs that have less
experience than major bidders. In 2013 Fareeda Battashi
started delivering the interior design services for the
Khasab Resort.
The local firm was familiar with the Omani style but
had less experience with green building design. The
strategic decision helped channel 150,000 Omani Rials
to the domestic company, and served as a key learning
platform for the firm to gain experience in sustainable
tourism. Fareeda Battashi selected a number of water-
efficient fixtures and sanitary wares for the project,
used low-energy bulbs, and procured sustainable
porcelain flooring. Toxin-free fixtures were chosen to
promote good indoor air quality, as well as water
and energy-efficient devices and recyclable furniture.
The relationship with Fareeda Battashi has since grown.
The company was awarded with the lead consultancy
services for the refurbishment of the Khasab Hotel.
This project will draw upon the crafts of local artisans
to transform the Golden Tulip property to look
more ‘Omani’ as part of the new Atana brand.
The mentorship thereby gave this local supplier the
chance to integrate green building and heritage into
the services she offers to become a stronger player
in the sustainable tourism market.
Projected to start hosting events in 2016, the Oman
Convention and Exhibition Center (OCEC) is Omran’s
flagship tourism project. Conveniently located next
to the airport, the complex will be a major venue for
regional and international events. The Master Plan
includes a Convention and Exhibition Centre, four
hotels, a business park, the largest shopping mall in
Oman, and hotel apartments.
OCEC will create between 15-18,000 permanent jobs and contribute 200-240 million Omani Riyals to the national economy by 2030.
With a capacity of accommodating 3200 people in the
auditorium, the complex will generate major economic
activity once open. OCEC will create between 15-18,000
permanent jobs and will generate an annual 200-240
million Omani Riyals to the national economy by 2030.
The construction of the OCEC is also a significant
source of economic opportunity in its own right.
When construction reaches its peak in 2015, the site
Case Study: Generating Economic Opportunity with the Oman Convention & Exhibition Centre (OCEC)
will require 12,000 construction workers. Third party
studies forecast that the project will generate
295 million OMR in the local development stage
spending alone which amounts to more than 55%
of total construction spending. In 2013, more than
82 million Omani Riyals was tendered and awarded,
and 66 million Omani Riyals of new consultancy
and construction tenders were issued. OCEC looks
to Omani suppliers for equipment rentals, facilities
management, hotel suppliers, car rentals, retails and
destination management services.
Though much of the economic value is fed back into
the national economy naturally, Omran is proactive
in following initiatives that support the retention of
in-country value (ICV). We have a preferred status
policy for Omani enterprises in the tendering process
in order to support small and medium businesses.
For example, in 2013, we elected to deviate from the
common practice of importing precast concrete slabs
from abroad and used cast-in-situ concrete instead.
This channelled more, resulting in channelling more
than OMR 5 million to local contractors and suppliers.
This also meant diverting more than 1000 trucks off our
roads in order to make them safer for motorists.
Bringing the Message of Sustainability
To Our VendorsDeveloping local companies is high in Omran’s agenda.
When it comes to seeking experienced contractors
locally, there are very few whom are capable of
carrying out and delivering complex and remote
projects. Dawood Contracting, an Omani company
that was established in 1998, showed an unparalleled
keenness towards working with Omran. Despite
lacking large-scale experience, the decision was
taken to recommend Dawood Contracting for the
construction of Alila Jabal Al Akhdar resort. Although
it meant extra efforts, guidance and close monitoring,
Omran chose to support the domestic market by
awarding the bid to this local player. Since then,
Dawood Contracting have excelled in obtaining all
necessary initial approvals, setting up the site facilities
in accordance to Omran’s stringent QHSSE policies,
and continually demonstrating the highest levels of
HSE, workmanship and overall project management.
Omran considers this a success story as we have
helped a local company to enter the league of
internationally renowned contractors. Thanks to the
experience, Dawood Contracting has gained enough
confidence to bid on high-end projects in the country.
Omran awards important hotel projects to local firms wherever possible. Since the hotel industry often relies on overseas expertise due to a limited local market, developing Omani experienced companies is of high interest to Omran. For this reason, extra efforts are made to consider local entrepreneurs that have less experience than major bidders.
Local Procurement 2010 2011 2012 2013
Number of Small-to-Medium Enterprises (SMEs) supported - - 40 134
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Our SocialImpactSection 4
Omran plans to have community investment focus in SMEs for tourism-related projects in 2014.
Omran is dedicated to investing in social initiatives that align with the company’s sustainability framework.
2nd Sustainability Report | 40 - 41
True to its corporate image, Omran contributes positively to the environmental, socio-economic and cultural spheres of the localities it works in.
2nd Sustainability Report | 42 - 43
Highlights Our Workforce
Job creation is an important component of tourism’s
tangible impact. The WTTC estimates that 72,000
direct and indirect jobs were attributable to the sector
in 2013, and projects growth in this figure of 10.6%
(ranking 2nd in the world for projected growth on this
metric).xiii Omran contributes to job creation by hiring
staff on its payroll, contracting work to suppliers, and
creating new jobs in hotel assets.
As of December 31st, 2013, Omran had 120 full time
employees and 781 staff who worked at hotels and
resorts owned or managed by Omran. Omran staff
were not covered by collective bargaining agreements,
but did have the chance to communicate feedback and
concerns to management through participation in
the values committee.
Though employee turnover has remained relatively
unchanged, the company has identified employee
satisfaction as an important area for improvements.
Accordingly, we have put in place new policies and
hired external contractors to adopt best practices in
talent management in 2014.
72%Omanization rate
0Lost time injuries or fatalities across all
of Omran’s developments
Total community contributions
OMR50,ooo
Omran’s female employment rate
27%Direct and indirect jobs attributable to the wider
tourism industry in Oman in 2013 (WTTC figures)
72,000Staff Retention 2010 2011 2012 2013
Total employees that left the organization 6 16 13 11
Employee Turnover Rate 10% 18% 12% 9%
Our Workforce 2010 2011 2012 2013
18-30 16 17 31 26
31-50 61 76 73 82
>50 2 9 8 12
Total Workforce 79 102 112 120
* All staff are full-time employees
Number of Employees, By Age Category
18-30 31-50 >50
2010 2011 2012 2013
2
12
82
26
61
16
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Workplace Diversity
Female Workforce
24%26%
31%27%
4% 6% 7%21%
2010 2011 2012 2013
Youth Workforce (30 and Under)
2010 2011 2012 2013
20%17%
28%
22%
As % of all managersAs % of total workforce As % of total workforce
Hiring Omanis at our Hospitality AssetsInterContinental Muscat 216
Millennium 71
Atana Khasab 14
City Hotel Duqm 12
Crowne Plaza Duqm 19
Golden Tulip Dibba 10
Masira Island Resort 11
Total (Hospitality Assets) 353
Hiring Omanis at our Developments:Atana Musandam Resort 56
OCEC 50
Alila Jabal Akhdar Resort 20
Total (Developments) 126
The diversity of our employees is an asset to our
success. In 2013, 27% of our staff were women—up 5
percentage points from 2010—and as of 2013, we had
the first woman appointed to our executive team.
The company maintains a compensation structure with
Omani Workforce
2010 2011 2012 2013
As % of Executive ManagementAs % of total workforce
100%90%90%90%
76% 67% 71% 72%
a 1:1 ratio between of men and women. Omran has also
empowered women through external initiatives that
includes women’s day staff gatherings, the springboard
female entrepreneurship training program, and tourism
micro-enterprise support for women in Khasab.
Youth are another key target segment for our human
resources department. With a population that is 70%
composed of individuals under the age of 30,xiv the
national economy is in need of many new jobs for
fresh graduates. Whereas the number of youth hires
only stood at 4 individuals in 2009, more than 1 out
of 5 Omran employees were in the 18-30 age bracket.
Hiring Omanis is another important component of
Omran’s HR strategy. The government of Oman seeks
to promote employment of Omani workers in certain
sectors and job functions as part of its initiative to
up skill the Omani workforce. Omani nationals are
given priority for all positions where they possess the
necessary skills and qualifications.
Omran’s Omanization efforts are not limited to staff
hiring. As part of our commitment to national capacity
building, Omran established a mentoring program
within the OCEC construction supervision team to
allow the largest number of Omani engineers from
various disciplines gain on-the-job exposure to different
stages of construction. Our legal staff have included
a set of criteria for tenders that evaluate initiatives
undertaken by contractors to promote local Omani
employment. And finally, many CSR initiatives similarly
target young Omanis and projects that support the
employment of Omanis in indirect ways through
entrepreneurship and SMEs.
Workplace Diversity 2010 2011 2012 2013
Female workforce
As % of executive management 0% 0% 0% 16%
As % of all managers 4% 6% 7% 15%
As % of total workforce 24% 26% 31% 27%
Omani workforceAs % of executive management 90% 90% 90% 100%
As % of total workforce 76% 67% 71% 72%
Youth workforce (30 and under)As % of executive management 0% 0% 0% 0%
As % of total workforce 20% 17% 28% 22%
Training and Development 2010 2011 2012 2013
Total number of training for total workforce (Hours) 3,432 5,460 1,646 3,846
Average hours of training per year per employee 43 54 23 33
Total cost of training (OMR) 30,870 93,720 122,674 135,196
Average cost of training per individual (OMR) 391 928 989 1,146
Workforce receiving regular performance and career development review
% Of female 100%
% Of male 100%
% Of total workforce 100%
Employee Training & Development Omran invests significantly in staff development.
The amount we have spent in training is the highest yet
at 1,146 OMR per employee. In 2013, we held 70 training
courses and 15 conferences, amounting to 33 hours of
contact time on average per person. Over the year, 92%
of Omran employees received training.
Our development program also includes regular
performance and career development reviews, for
which 100% of male and female employees participate.
Training Figures Per Employee
43hrs 54hrs 23hrs 33hrs
2010 2011 2012 2013
OMR1,146OMR
989OMR928
OMR391
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Creating a Respectful Environment Omran is strict about upholding its Code of Conduct and maintains a zero-tolerance approach to discrimination and harassment of any kind. Thanks to proactive yearly training, we have not faced any reported incidents of rights violations in the past 5 years. In order to strengthen our fair treatment implementation mechanisms, Omran has a strict non-reprisal policy in place to protect potential victims and encourage them to come forward.
Community Investment and Sponsorship The Corporate Social Responsibility (CSR) department at Omran is dedicated to investing in social initiatives that align with the company’s sustainability framework. The four priority areas that guide our work include education, skills development, economic growth, and community empowerment. These categories steer our social outreach in a way that sustainably enhances the quality of life for different communities around Oman. We always look for innovative ways to meet these objectives, and consider prospective initiatives on a set of criteria that weight benefits to the local community, Omran’s staff, and partners.
Community Sponsorship
2010 2011 2012 2013
OMR 50,000.00 OMR 41,240.00
OMR 70,000.00 OMR 50,000.00
Employee Health & Safety 2011 2012 2013
Number of work-related fatalities 0 1 0
Total number of man-hours (Millions) 16.5 5.5 9.3
Number of lost-time injuries 0 1 0
Lost-time injury rate (LTIR) 0.00 0.04 0.00
Number of fire drills 4 6 18
Contractor Relations 2010 2011 2012 2013
Number of significant suppliers, contractors, and other business partners that have undergone human rights Screening 5% 10% 0% 0%
Significant suppliers identified as having significant risk for incidents of child labor 0 0 0 0
Significant suppliers identified as having significant risk for incidents of forced or compulsory labor 0 0 0 0
“ Omran is committed to playing a significant role in the localities where it operates and in partnership with its stakeholders to ensure that its business operations positively contribute to the environmental, socio-economic and cultural spheres of these localities and reflect positively on its corporate image.”Omran’s CSR Statement
Contractor RelationsContractors are an integral part of the work we do, and even though they fall largely outside of the bounds of our day-to-day management, we seek to work with contractors who embody the same values, environmental standards, and ethical outlook as Omran. The OCEC is a key illustration of this. Omran has invested heavily in training and mentorship for contractors to ensure that they follow Omran’s high level QHSE standards and operate in accordance with our code of conduct.
Creating a Safe Environment Omran places health and safety at the top of our list of priorities, and we have a target of attaining zero lost-time injuries per year across all our operations and sites. All employees are responsible for following safety rules
and precautions as required by their job function, as mandated by their operational areas. Managers on their part are responsible for providing the required safety training and regular monitoring to ensuring safe working conditions.
Omran achieved 9.3 million man-hours with zero lost-time incidents or fatalities across all of our developments.
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Community Impact 2010 2011 2012 2013
Total amount spent on community investments (OMR) 50,000 70,000 41,240 50,000
Total amount spent on environmental sponsorship (OMR) 5,000 7,026 11,800 5,573
• Capturing the Beauty: In 2013, Omran collaborated with the Photographic Society of Oman and supported a group of 22 photographers from the Mussandam and Al Jabel Al Akhdar where the photographers captured the beauty of their villages through their lenses. Special courses in photography were conducted by three famous Omani photographers: Rashad Al Wahaibi, Ahmed Al Kindi and Ahmed Al Toqi. The initiative was called “Capturing the Beauty”. To promote the photographers, a special corporate gift was designed and presented to Omran’s stakeholders which was an Omani Mandoos that had different Omani flavoured chocolates, presenting photos from the photographers. The Mandoos was made by Mansoor bin Rashid Al Nabhani, an Omani
craftsman who has been working for over 45 years in this field, where he learnt and inherited the skill from his father. Mansour uses different types of wood such as Mahogany and Teak and decorates them with original brass pins and nails.
The chocolates in the Mandoos were from an Omani SME “Tamrah”, a premium brand that produces exquisite Omani dates and sweets. Tamrah products received great admiration and demand since its establishment in 2011. The brand aspires to maintain its reputation for providing fine authentic Omani dates and associated products of splendid taste and quality.
Community Investment and Sponsorship (continued)
Community investment highlights for 2013 include:• Zaree: Zaree is one of Omran’s most successful
support projects in 2013. The word Zaree means an even thread in Arabic, usually made of fine gold or silver and used in brocade work. The project is a tourism-related micro-enterprise initiative for women. Piloted at the end of 2012, Omran gave the means for six local women of Khasab to welcome groups of female tourists for authentic Omani cultural experiences. Since then, the program has worked with some 24 cruises to serve over 700 female passengers and bring a taste of Omani life to the world. The program has expanded to cater to all genders and is now an established activity on tourism itineraries of tourists passing through Khasab. Since its first year, Omran partnered with the SME development organization Sharakah to provide ongoing support in delineating a five year business continuity strategy for the women.
• Masarra: Run in collaboration with the Ministry of Agriculture and Fisheries (Rural Women Department), “Masarra” is a new brand for rural women’s products that is created, financed, and supervised by Omran. Masarra is a woman’s name that comes from the Arabic word for happiness. The initiative acts to provide a link between hotels, local farmers, and rural women to create new economic opportunity in non-urban areas. The project capitalizes on the combined potential of having a single brand identity and a basket of traditional merchandise to achieve greater marketing potential for the women. The brand seeks to help them increase sales and show the nation’s non-urban products to Omanis and the world.
• Intajee: Intajee is Omran’s flagship program for new micro-business development. The name, which means “My Product” in Arabic, captures the essence of the initiative’s philosophy: to empower Omani entrepreneurs to take something of their own and transform it into sustainable business. Omran is proud to count Salma and Aisha Al Hajri among those supported in 2012. Their business, Salma’s Chocolates, is today a recognized company that operates on its own and is taking the chocolate business to new levels.
• Anti-littering Campaign: Environmental campaigns that engage businesses, community groups, schools, governments and individuals to clean up and conserve their environment. These campaigns include clean up events, plantation, recycling programs, and educational campaigns.
• Springboard: A four-week self-development programme for women facilitated by the British Council, the Springboard Programme consists of a series of workshops which are run by trainers from the region by using materials which have been specially developed for the programme. The workshop’s aims include, setting goals according to values and taking practical steps towards them, assertiveness and presenting a positive image.
• Injaz Oman: Injaz Oman is a non-profit organization (NPO) that fosters strategic partnerships with Oman’s business and education sectors. With the help of qualified and dedicated volunteers, Injaz has partnered with Omran to deliver educational programs on entrepreneurial and leadership skills.
• Musahamatee (“My Contribution”): Omran has worked with Non-Governmental Organizations (NGOs) and the Ministry of Social Development to facilitate the making of charitable donations directly from dining and accommodation bills at hotels. These funds have been channelled to a number of charitable causes by the non-profit Dar Al Atta’a foundation. Eight of Omran’s hotels and resorts currently participate in this philanthropic initiative for hotel patrons.
2nd Sustainability Report | 50 - 51
Our Environmental ImpactSection 5
The company is getting better every year at understanding its environmental footprint and putting in place measures to minimize its impact.
On the whole, Omran saw many improvements in company and asset environmental performance from 2012-13.
2nd Sustainability Report | 52 - 53
Omran has implemented an environmental management system that is certified under ISO: 14001 for adherence to international standards for environmental management.
2nd Sustainability Report | 54 - 55
Highlights Environmental Management at Omran
Environmental management begins with the
implementation of strong measurement and reporting
mechanisms to track environmental performance
over time. Since 2009, Omran has implemented an
environmental management system that is certified
under ISO: 14001 for adherence to international
standards for environmental management.
As a result of our environmental management systems
and a strong commitment from management to
improve environmental performance, we have pursued
many projects to improve efficiency and reduce waste
through educational programs, facilities upgrades,
and employee programs towards building a culture
of environmental stewardship. These programs have
yielded strong results such as improved energy and
water efficiency and a reduction in waste from our
office building.
On the whole, Omran saw many improvements
in company and asset environmental performance
from 2012-2013. The company’s total greenhouse gas
emissions are down 27% (and 29% per employee),
and Omran is performing better in waste management
and water consumption per office employee compared
to 2012.2 A similar story runs along our hospitality
assets. Per capita figures show that greenhouse gas,
waste, and water consumption are all following
a downward trend since 2011.
Environmental responsibility is not only an ethical imperative for the tourism sector, it is something that has real consequences on our bottom line. Global warming, extreme weather, environmental degradation-these factors can shorten peak seasons and strip Oman of the natural beauty upon which tourism depends. At Omran, we are becoming better every year at understanding our environmental footprint and putting in place measures to minimize its impact.
LEED Building at OmranIn 2012, Omran committed itself to making future
buildings to the LEED green building standard
(Leadership in Energy and Environmental Design).
Today, all nine of our development projects are
pursuing this certification.3 The standard recognizes
our investment in environmental management and
efficient use of resources in our developments. Omran
was the first company in Oman to pursue the LEED
building certification and the first in the Sultanate
to obtain USGBC membership.
Our commitment to both LEED and the principles
of sustainability extends to our staff and project
managers. Ammar Al Kharusi is the first Omani
to earn the LEED AP (Accredited Professional)
certification. As site manager for the Alila Jabal Akdar
Resort, Ammar has been instrumental in applying
green building principles and increasing the local skill
base for green buildings and sustainability in Oman.
32%Reduction in Greenhouse Gas Emissions
30%Waste recycled in 2013
LEED projects under development
9
Number of Leed Projects
2010 2011 2012 2013
57
9
5
Year-Over-Year Reductions per Employee
GHG Waste Water
-3% -4%
-29%
2As a greater number of employees now work in the field, relative figures for office operations use an estimate of average daily number of staff working out of our offices, rather than the total count of staff on payroll. This results in per capita figures for water, waste, and GHG which are more accurate and representative. For 2013, Omran estimates that 116 individuals worked as “office employees” per day.
3Our Khasab and Jabal Akhdar projects are currently completed and have LEED applications pending. The remaining 7 projects are still underway and will be submitting applications upon completion.
2nd Sustainability Report | 56 - 57
LEED Building at Omran (continued)
Still, pursuing LEED has not come without challenges.
The relative newness of LEED and sustainability in
Oman means Omran needs to be creative in finding
solutions to environmental challenges. As recycling
facilities are far and few between, sites such as the
Atana Musandam Resort have had to find their own
approaches in recycling waste. In the case of Khasab,
the hotel segregates waste into concrete waste, steel
waste, food waste, wood, plastics, and paper. Some
of these wastes were either re-used or recycled.
Although the lack of specific services, materials,
and know-how continues to be among the
challenges faced, Omran is gaining increasing
experience in green-building which it will continue
to apply to future projects.
“ Any vision of sustainable development must recognize that the environment must be protected to preserve & provide for the wellbeing of our future generations. Sustainable development cannot come from policies only, but must be taken as a principle guiding the choices we take. We are happy to see that not only has Omran been the pioneer of this initiative in Oman to reduce the negative impact of its development, but is also taking serious efforts to ensure that all their developments meet the stringent regulations required for the internationally recognized LEED certification.”- Dawood Contracting Company
Case Study: Green Building at Jabal Akhdar
Atop a breathtaking cliff at Jabal Akhdar mountain,
Omran is developing a resort slated to welcome its
first guests in 2014. The unique combination of natural
landscape, misty mountains, and year-round pleasant
weather make this the perfect location for an 86-
room luxury resort. To keep the natural attractiveness
of the secluded location, quiet surroundings and vast
natural landscape, our approach has been to make
environmental considerations the hallmark of this
project. Omran has designed and built this resort with
immense care and attention to details. In line with our
commitment to minimizing the environmental impact
of our assets, Jabal Akhdar resort is pursuing LEED Gold
certification for green buildings.
Omran is proud to partner with Alila, who will take
over the day to day operations and bring their global
experience and leadership in sustainable tourism to
the property.
A truly green building requires not only that our resort
is environmentally friendly, but also that that the
construction process is undertaken responsibly. Aiming
to achieve LEED Gold certification, we have built the
Jabal Akdar resort to some of the highest environmental
standards of excellence:
Waste ManagementA minimal amount of waste will be sent to landfills by:
• Segregating and diverting rubbish
Ecosystem ProtectionJabal Akhdar’s natural heritage will be protected through:
• Site designs that prevent sedimentation, erosion and
storm water runoff, and maximize open space for
local habitat
• Plantation of indigenous and adaptive flora
• The use of local materials, architecture and layout that
blend the resort into its natural surroundings
Water ConservationThe resort will generate 35% annual water savings from:
• Water efficient landscaping that uses adaptive plants
• Low flow fixtures that reduce water consumption
• An on-site sewage treatment plant that provides 60%
of irrigation requirements
Energy ConservationThe building will reduce energy use by 22% and generate
8% of energy needs from renewable sources
This is thanks to:
• Roof materials and hard landscape materials chosen
to reflect heat
• Solar panels for HWS that will provide renewable energy
• Energy efficient HVAC, well-insulated envelope, and
smart and controllable lighting
• Fuel efficient vehicles for operations
2nd Sustainability Report | 58 - 59
Energy ConsumptionGHG Emissions
Smart energy usage begins at two points for
a company: 1) building employee energy awareness,
and 2) investing in energy-saving devices and materials.
At Omran, we pursue both approaches.
Communicating the value and importance of energy is
a basic and necessary step to improve environmental
performance. Omran achieved a 31% reduction in total
energy use in the past year. This is mainly thanks to
electricity savings achieved through energy awareness
and a reduction of staff working inside our offices on
any given day. Increased carpooling and vehicle fuel
efficiency have also lowered our fuel usage.
Investing in energy efficient materials and devices has
further led to improvement in our energy performance.
Small actions have decreased our energy consumption
Greenhouse gases (GHG) created by mankind are the
biggest contributors to climate change. For our industry,
the majority of these emissions come from the indirect
emissions created through electricity generation and
fuel use for vehicles. Globally, five per cent of global
carbon emissions come from the tourism sector, with
approximately 1% of the total from accommodation
alone.xv As a major developer and manager of tourism
assets, Omran is transparent on the impact of its
properties on climate change.
The absolute and relative Greenhouse Gas (GHG)
emissions associated with Omran’s office operations
are down to 832 tonnes of CO2 equivalent in 2013.
The relative impact of carbon at our hotels and resorts
has also continued to decline from its high in 2011. Given
our carbon footprint results primarily from purchased
electricity, much of the relative decoupling comes from
energy savings and efficiency gains at our main office
and hotels.
and supported employee awareness of energy usage.
In addition, we have also compressed our business
working hours to 7:30am – 3:30pm by eliminating the
lunch hour. This has lowered electricity usage for our
office to an annual 51.0 GJ per office employee.
Investing in energy efficiency is central to our assets
and developments. Thanks to the LEED framework,
our developments have taken a number of steps to
ensure that energy efficiency is built into our projects
at every turn, from design to usage.
The Khasab hotel achieves energy savings of 80 % by using compact florescent lamps and investing in new solar water heaters.
* The boundary of the figures in the table is limited to operations at Omran’s headquarters. Calculations use an employee count based on the estimated number of individuals within offices on any given workday. For Hospitality Assets, see page 46
GHG Emissions (tonnes of CO2 Equivalent) 2010 2011 2012 2013
Direct ghg emissions
Total scope 1 - i.e. Emissions from sources that are owned or controlled by the reporting entity. 254 378 468 302
Indirect ghg emissions
Total scope 2 - i.e. Indirect ghg emissions from consumption of purchased electricity, heat or steam 477 540 668 530
Total greenhouse gas emissions 730 918 1,136 832
Ghg emissions per office employee* 7.4 9.0 10.1 7.2* The boundary of the figures in the table exclude Omran’s Investments, Projects, and Hotel Assets. Omran does not use Diesel fuel in its operations.
Fuel Consumption 2010 2011 2012 2013
Vehicle fuel consumption – gasoline (L) 39,525 139,800 172,976 111,851
Energy Consumption (GJ) 2010 2011 2012 2013
Direct energy 3,097 4,616 5,712 3,693
Indirect energy 2,002 2,266 2,807 2,224
Total energy (direct + indirect) 5,099 6,882 8,519 5,917
Energy consumption per office employee* 64.5 67.5 76.1 51.0
* The boundary of the figures in the table is limited to operations at Omran’s headquarters. Calculations use an employee count based on the estimated number of individuals within offices on any given workday. For Hospitality Assets, see page 46. Due to a clerical error in the 2012 report, figures above are restated
Omran Offices & StaffGreenhouse Gas Emission ( Tonnes of CO2e)
Omran’s Hospitality AssetsGHG per Guest Night (kg CO2e)
2010 2011 2012 2013
* Hospitality asset figures are detailed on p. 46
2010 2011 2012 2013
Omran Offices & StaffOmran Office Total Energy (GJ)
Hospitality AssetsElectricity per Guest Night (kWh)
* Hospitality asset figures are detailed on p. 74
2010 2011 2012 2013
2010 2011 2012 2013
5, 099
6,882
8,519
5,917 128161 143
120
730
918832
1,136
112
137
156
122
2nd Sustainability Report | 60 - 61
Water Consumption
Water is a very precious resource for a region where
supplies are small and often depletable. Oman is
fortunate to have renewable water, the majority
of which comes from the ground.xvi However, Oman
Water Society projects that the demand on the nation’s
limited supply will increase in coming decades to create
a large water deficit.xvii This makes water conservation
a highly salient and pressing priority.
Water at our office is used for cleaning, washrooms
and maintenance. Although net water use has increased
over years, this is the result of a larger workforce.
Consumption levels per employee have remained fairly
steady and continue to be at approximately half the
typical international rate for office environments.
Water Consumption (cubic meters) 2010 2011 2012 2013
Water consumption from municipal water supplies or other water utilities 626 617 718 716
Water consumption from other sources 0 0 0 0
Water consumption per office employee* 7.9 6.0 6.4 6.2
* The boundary of the figures in the table is limited to operations at Omran’s headquarters. Calculations use an employee count based on the estimated number of individuals within offices on any given workday. For Hospitality Assets, see page 46.
There is acute water shortage in Khasab, making
responsible use imperative necessity rather than an
option. In order to overcome this, the Atana Musandam
Resort has had to create its own desalination plant to
generate potable water. As this is a challenging process,
our hotel has invested in water minimization measures
and technologies. Aerators in taps and flushing tanks
have minimized consumption levels, and plumbing for
washrooms provides maximum force using minimum
water. The facility also has a sewerage treatment plant
that recycles grey water for irrigation.
Case Study: Saving Water in Khasab
Omran Offices & StaffOmran Company Water Consumption (m3)
“ Sustainability was the way of life of our ancestors: because falaj systems use gravity flow, water use never exceeded water supply. The Sultanate’s traditional methods of water management provide important lessons for the future. Using water fairly in times of plenty and times of scarcity is one of these lessons. Matching water use to water availability, a fundamental characteristic of the falaj system, is an essential element in planning water management in Oman’s climatic conditions.”- Oman Water Society publication
Omran’s Hospitality Assets excluding GT KhasabWater Consumption per Guest Night (Litres)
2010 2011 2012 2013
.4k
1.6k 1.4k
1.1k
2010 2011 2012 2013
626617
718 716
Consumption levels per employee have remained fairly steady and continue to be at approximately half the typical international rate for office environments.
Water at our hotel assets is used for landscaping, guest
accommodations, and cleaning. We are more effective
at making savings and have brought levels down to 1.1
cubic meters per occupant. The majority of our LEED
developments are also making water savings
an integral part of building plans.
2nd Sustainability Report | 62 - 63
Waste Management
Omran produces waste at its offices, developments, and
hospitality assets. Our printers minimize paper and ink
usage by having a double-sided printing and black and
white cartilage default setting. Our office operations do
not produce significant amounts of waste and yearly per
capita levels remain relatively constant at approximately
6 kilograms per employee. This is largely due to
employees taking a shorter workday at the office that
excludes a lunch break. Omran also continues to recycle
approximately 30% of its desk waste, mainly paper.
Omran has worked on waste reduction in its properties
and developments. Relative levels of waste per occupant
are down to 12.2 kg for our hospitality assets. At our
developments, materials are sorted on sight and recycled
wherever possible. And we have worked with the local
community in Jabal Akhdar on an anti-littering campaign
that drew in some 200 volunteers.
Waste (kilograms & Percentage) 2010 2011 2012 2013
Total waste produced (kg) 150 150 200 200
Total waste recycled (%) 10% 20% 30% 30%
Project-produced wastes being recycled (%) 50%
Waste produced per office employee (kg)* 1.9 1.5 1.8 1.7
Waste recycled per office employee (kg)* 0.19 0.29 0.54 0.50
* The boundary of the figures in the table is limited to operations at Omran’s headquarters. Calculations use an employee count based on the estimated number of individuals within offices on any given workday. For Hospitality Assets, see page 46
Omran Offices & StaffOmran: Waste & Recycling
Hospitality AssetsWaste per Guest Night (kg)
* Hospitality asset figures are detailed on page 74
2013
2012
2011
2010
30% 200 kg
200 kg
150 kg
150 kg
30%
20%
10%
Waste recycled Waste sent to landfills
7.1
12.2 13.112.2
2010 2011 2012 2013
2nd Sustainability Report | 64 - 65
Our Cultural HeritageSection 6
A key way of celebrating our heritage is to engage with it actively in the present-day.
Omran makes the preservation and strengthening of Omani heritage one of the four elements of its sustainable tourism strategy.
2nd Sustainability Report | 66 - 67
Engaging with our heritage ensures that our work has one foot grounded in the past, and one in the present.
2nd Sustainability Report | 68 - 69
Oman’s heritage is filled with distinctive history, arts, and architecture that cannot be found anywhere else in the world. This cultural richness represents the foundation upon which our growing tourism industry is built. Recognizing the importance of this connection, Omran makes the preservation and strengthening of Omani heritage one of the four elements of its sustainable tourism strategy. In practical terms, this means anything from using arts and crafts throughout hotels, to building developments with traditional architectural features. Although the approach varies by project, the purpose is always the same: To provide an authentic, Omani experience for guests.
A key way of celebrating our heritage is to engage with
it actively in the present-day. We often use traditional
designs and patterns from our forefathers, but equally
encourage newer work by Omani artists. Our initiatives
such as Capturing the Beauty (our training programs for
photographers) promote engaging with Omani heritage
by engaging with the culture through contemporary
mediums. This ensures that our work has one foot
grounded in the past, and one in the present.
Incorporating Heritage in Hospitality Assets
Arts and crafts represent a key way in which hotel
guests experience Omani culture. Accordingly, we
look to incorporate traditional elements at every turn
when choosing articles for use in our hospitality assets.
Our hotels showcase works of art made exclusively by
Omani artists, national artifacts, and traditional crafts.
Architecture and interior design are other element
of the guest experience that express the distinctive
Omani style. The Atana Mussandam Resort in Khasab
is a good example: guests are immediately struck by
a distinctive Omani ceiling in the dining room, painted
beams resembling Omani fortified residences, and light
fixtures made of clay and wood. Even simple things,
such as silverware, convey subtle expressions
of Oman’s heritage.
The Atana Musandam Resort is designed with a number
of features that highlight Oman’s culture and heritage.
Its external stone facade is modelled after the Bait
Al Quful site. Structurally, the built form is low-rise
and spread out to resemble the local architecture and
planning of the peninsula. The finish on the timber
doors and window emulate the rough, heavy and
unfinished look that is found in forts and old buildings.
These elements are bound using ropes in the traditional
manner and finished by traditional hand-made iron
fittings. Other elements, like flooring and paving, are
further being treated using natural stone pavers, flag
stones, and cobbles. A rough plaster finish is used on
block walls to give the hotel a rustic Omani look.
The property has been designed to give guests a truly cultural experience. The overall landscape concept was inspired by the traditional countryside, and made up of elements seen in traditional Omani farmsteads. An adaptation of a traditional Omani well was installed as a focal feature, containing interpretative historical information for hotel guests. The property also took into consideration the cultural traditions for domestic occupants: private clusters were designed to accommodate large Omani families and kept in mind their privacy and comfort.
Our Cultural Heritage Case Study: Incorporating Heritage in Khasab
2nd Sustainability Report | 70 - 71
Incorporating Heritage in Developments
Omran is continually seeking to create developments that use traditional features of Omani architecture. At the Alila Jabal Al Akhdar property, we are modeling the building’s external façade on elements found in the nearby Al Sarrab village. Only few kilometers away, this abandoned housing community is entirely constructed from local mountain stones, and remains standing to this day. Omran takes inspiration from this old style, and all buildings at the resort mirror its character. The architecture also draws on elements from old Omani homes such as arches, niches and timber structural elements, which take precedence over all else.
What’s in a Name?Names give us a sense of identity. A sense of belonging.
At Omran, we celebrate our diverse cultural heritage
by naming our initiatives after concepts that are Omani
through and through. Our micro-enterprise project
for women, Zaree, is a great example. Its name comes
from the decorative thread in the Omani attire, turned
into to a successful and sustainable business idea for
tourists visiting Khasab. Other CSR initiatives such as
Musahamtee (my contribution) and Intajee (my product)
similarly use traditional Arabic to give a sense
of common Omani identity and responsibility.
Our developments and properties also draw on tradition.
The rest area development is named Aber after the
Arabic world for bypasser, and the new Atana Spa will
be named Galo after the time-honored pre-wedding
ritual for brides. All these brand names communicate
important ideas. They touch people’s hearts, preserve our
heritage, share the country’s natural beauty, and send
a message that we celebrate our culture.
The interior design and landscaping of Alila Jabal Akhdar
draws on a number of elements that celebrate Omran’s
diverse heritage. The landscaping reflects the typical
orchards watered through a Falaj system associated
with the Hajar Mountain Range. The landscaping also
makes extensive use of rosebushes - an allusion to
Jabal Akhdar’s local rosewater industry. The site also
features over 400 traditional pieces of pottery, all
made in nearby Bahla. Mural paintings by Omani artists
Saud Al Hanini and Jumah Al Harthi were chosen to
reflect traditional Pomegranate twigs found in Jabreen
Castle. Inside the hotel, furnishings use textiles and
fabrics for cushions, rugs and wall hangings made by
many weavers throughout the Sultanate, and palm leaf
baskets can be found in every guestroom. Traditional
cloth bags made of woven “Wizar” (cloth worn by
Omani men) fabric from Samail additionally adorn
different guest appliances. Together, this art, pottery,
textile, and basketwork melds into a guest experience
with a distinctly Omani feel.
2nd Sustainability Report | 72 - 73
Atana
Atana’s Vision‘’To be a regional leader in the hotel industry, by promoting the Omani hospitality experience and culture while being sustainable’’
Despite having a culturally rich and diverse nation,
many hotels and resorts in the country do not provide
a guest experience that emphasizes Oman’s
uniqueness. Omran’s response to this is to create
the first hospitality brand in the GCC dedicated
specifically to national cultural heritage. By forming
an independent subsidiary and trademark with the
name “Atana,” a dedicated team will bring an authentic
Omani experience to the hotel industry. The Atana
corporate staff in Muscat will work full time to gain
specialization in this profitable and growing niche
market to become a hotel operator for a range of
properties around the Sultanate.
Omran has already soft launched Atana in some
of its properties. The brand has brought diverse
richness of Oman’s culture by incorporating crafts
into hotels, infusing traditional art into interior design,
and interlacing Omani culture into every service
opportunity. To link the past to the present, the brand
has combined traditional and contemporary elements
of our culture. By providing a consistent level of 4 star
hotel service, the brand is positioning Omani hospitality
as one of elegance and quality.
As many of Omran’s assets are in non-urban locations,
sustainable development of local communities is
central to Atana’s work. The geographic spread is an
opportunity for Atatna to showcase local skills and to
recruit, develop and retain top quality employees from
all corners of Oman. The Atana approach is therefore
destination driven; every Omani hospitality experience
will be focused unique to the location of the hotel.
Properties will not exceed 150 keys to keep a local
and personalized feel.
Interview with an Omran EmployeeOmran talks to Dalida Abdulnour about Atana
Q: What does Atana mean to you?D: The proposition of the [Atana] brand is ‘Shades of
Oman.’ The word Atana is an Arabic word meaning:
he came to us – leveraging on hospitality being a
second nature to Omani’s, and the guests choice to visit
an Omani establishment. With this brand, we want to
celebrate the diversity of our culture, the differences
from North to South, East to West, old and new.
Q: How did the idea for Atana come about?D: In my opinion, we could have created a brand that
is just like any other 4 star brand in the world – easy
to do and a piece of cake! But the question was: as an
Omani company, taking part in shaping the tourism
sector in Oman: what can we do to contribute to the
country? To our heritage? To our culture? The answer
came through creating the whole brand of Atana to be
based on one clear foundation: Omani. Indeed, this took
a lot of effort and digging deep into our Omani roots to
pick and select the best foundations to form the base of
Atana. These roots are historical yet contemporary and
were known for generations: The Omani Hospitality.
The Oman Today.
Q: What is the objective-if any-behind the brand experience? How is this achieved?D: We want to educate people about our culture. We
love it and are proud of it. It is rich and vivid and we
want to celebrate this through Atana, within Oman
and the whole world. We decided that some major
Arabic phrases used in all our collaterals should be
written with Omani Arabic dialect from all over
Oman- you can’t believe how diverse just this part
is. Walking into an Atana, you should feel like you’re
walking into an Omani home. The key areas in
the hotel such as lobby (majlis), reception (rozna),
room (hojra), gym (tamreen), restaurant (mawra:
kitchen) and mini fridge (thalaja) are all named after
the rooms in a typical Omani home. We even
introduced ‘Rashid & Mayya’, which are our kids corner,
and are growing into shaping their own personality,
with kids menus and activities shaped around them.
Also, two of my favorite brand experiences are working
with local businesses and celebrating Omani Talent:
for example, we sourced all our toiletries from an
Omani SME and made our laundry bags through the
Omani Women association in Khasab for our 1st two
properties- on the Omani Talent, we partnered with
Chef Issa Al Lamki, a celebrity chef, to create our
Mawra concepts and menu, and with Salah Al Zadjali,
a talented musician, for all our Atana music such as
lounge music. All of this is to give the guest the feeling
of walking into an Omani home, reflect the Omani
hospitality and embrace the greeting rituals that usually
take place with an Omani family, and experience
Oman in its many shades. This is our way of saying:
You are most welcome.
Dalida AbdulnourBrand Manager
2nd Sustainability Report | 74 - 75
Appendices
The report is written in accordance with the Global Reporting Initiative (GRI) G3.1 guidelines for sustainability reporting.
This section presents the bigger picture of the impact we have on our community.
2nd Sustainability Report | 76 - 77
The indicators and disclosures in this report send a strong signal that our company is serious about taking ownership over the full extent of our operations.
2nd Sustainability Report | 78 - 79
Appendix A: Reporting Approach and Parameters
Report BoundaryFor the purposes of our GRI check, the boundary for
this report is limited to quantitative performance
at our main office in Muscat. The GRI 3.1 disclosures
falling within these boundaries are clearly indicated
throughout this report (“Omran Offices & Staff”), and
summarized on page 81. However, as the full impact in
asset development, management, and investment is
not captured by this limited boundary, we choose to
make select disclosures that go beyond our head office
operations. Covering information on our hotels and
construction projects presents the bigger picture of the
impact we have on our community.
Readers will notice results in a more transparent report
than ever. For our hospitality assets, we have selected
30 indicators that focus on the environment and
economic performance (summarized on page. 82).
For construction projects, we continue to focus
on health and safety performance and planned
environmental impact, as these are the main concern
for our developments. Our investments fall outside
of the boundary of our reporting, as we typically
play the role of silent investors and exert almost no
day-to-day control.
Our Approach to DataIn order to present a fair and complete picture of the
company’s impact, Omran collects data on operations
that are not limited to activities at the head offices in
Muscat. This includes information on Hospitality Assets
and Developments.
As our different projects operate on different scales
and realities, caution needs to be applied in aggregating
data. For instance, it would be misleading in most cases
to present averages of a large project such as the Oman
Convention and Exhibition Centre with a much smaller
entity such as the Salalah Seafood Restaurant. For this
reason, our approach make use of weighted averages
rather than a simple arithmetic mean. Our report also
presents relative figures (for instance, per capita figures
by employee or by hotel occupant). These allow for
a fairer and normalized comparison over time and
across operations of different sizes. Information
presented in this report has not received third
party assurance.
Appendix B: Glossary and Acronyms
AP Accredited Professional
CEO Chief Executive Officer
CFO Chief Financial Officer
COO Chief Operating Officer
CO2e Carbon Dioxide Equivalent
CSR Corporate Social Responsibility
DG Director General
GCC Gulf Cooperation Council
GDP Gross Domestic Product
GHG Greenhouse Gas
GRI Global Reporting Initiative
HC Human Capital
HR Human Resources
HSE Health, Safety, and the Environment
HVAC Heating, Ventilation, and Air Conditioning
HWS Hot Water Systems
ICV In-Country Value
ISO International Organization for Standardization
ITCs Integrated Tourism Complexes
LEED Leadership in Energy and Environmental Design
LNG Liquefied Natural Gas
LTIR Lost-Time Injury Rate
NGO Non-Governmental Organization
NPO Non-Profit Organization
OCEC Oman Convention & Exhibition Center
OMR Omani Rials
Q1 First Quarter (January 1 – March 31)
Q2 Second Quarter (April 1 – June 30)
RevPAR Revenue per Available Room
SMEs Small and Medium Enterprises
T&T Travel and Tourism
UNWTO United Nations World Tourism Organization
USGBC U.S. Green Building Council
WTTC World Travel and Tourism Commission
Appendix C: Management Committees
Fortnightly
Chair: ECO, Dep:CFO, Secretary:
Hd BP
Membership: COO,CPO, VP AM, VP CS,
VP EA
Implementation of Corporate Objectives
Monthly
Chair: ECO, Dep:COO, Sec: Planning
Coordinator
Membership: CPO,AM, VP BS, RCM,
VP CA
Project Review and Best Practise
Sharing
Fortnightly
Chair: ECO, Sec:AM Coordinator
Membership: CFO,AM
Asset Performance review
Fortnightly
Chair: ECO, Sec:AM Coordinator
Membership: CFO,Inv Manager
JV Status Review
On invitation
Chair: VC Chairperson Sec:
VC Member
Membership: VCMembers
Review of Initiatives & Issues
On invitation
Chair: CPO Sec: HR Manager
Membership:
HR Matters for Level B9 to E18
Management Developments Asset Management Investment Values HR
2nd Sustainability Report | 80 - 81
Appendix D: Materiality Assessment
Omran’s materiality assessment guides the content of the sustainability report by identifying high-impact topics that are
of high concern to interested parties. To improve credibility and utility of this framework, Omran plans to engage a greater
number of its stakeholders participate in the assessment process in the future. Top areas include indirect economic impacts,
employee satisfaction, and local communities.
Appendix E: Summary Table of Key Performance IndicatorsThe following table summarizes Omran’s performance on 30 different indicators.
Unit Reporting Boundary* 2010 2011 2012 2013
Economic
1. Total Infrastructure Investment OMR 7,241,703 15,641,469 33,973,217 30,485,101
2. Number of Ongoing Development Projects # 6 7 8 7
3. Number of Tourism Assets Managed # 10 10 8 8
4. Number of Joint-Venture Investments # 9 10 11 11
5. Local ProcurementOCEC % 10% 73% 49%
Other Operations % 10% 32% 31%
6. Number of SMEs Supported # 40 134
7. Total Amount Spent on Community Investments OMR 50,000 70,000 41,240 50,000
Workforce & Human Capital Development
8. Total Workforce # 79 102 112 120
9. Employee Turnover Rate Ratio 10% 18% 12% 9%
10. Female Workforce
As % of Executive Management % 0% 0% 0% 16%
As % of all managers % 4% 6% 7% 15%
As % of total workforce % 24% 26% 31% 27%
11. Omani Workforce
As % of Executive Management % 90% 90% 90% 100%
As % of total workforce % 76% 67% 71% 72%
12. Youth Workforce (30 & under)
As % of Executive Management % 0% 0% 0% 0%
As % of total workforce % 20% 17% 28% 22%
13. Hours of Employee Training
Total Workforce # 3,432 5,460 1,646 3,846
Per employee # 43 54 23 33
14. Cost of Employee Training
Total Workforce OMR 30,870 93,720 122,674 135,196
Per employee OMR 391 928 989 1,146
Contractor Relations and Health & Safety
15. Number of work-related fatalities # 0 1 0
16. Total number of man-hours (millions) # 16.5 5.5 9.3
17. Number of Lost-Time Injuries # 0 1 0
18. Lost-time injury rate (LTIR) Ratio 0.00 0.04 0.00
19. Number of Fire Drills # 4 6 18
20. Number of significant suppliers, contractors, and other business partners that have undergone human rights Screening
# 5% 10% 0% 0%
21. Significant suppliers identified as having significant risk for incidents of child labor
# 0 0 0 0
22. Significant suppliers identified as having significant risk for incidents of forced or compulsory labor
# 0 0 0 0
Material Matrix Omran (2013)
12
3
4
5
67
8
9
10
11
12
1314
1516
17
18
19
20
21
22
23
24
25
26
2728
29
30
31
32
34
35
36
37
38
39
40
41
42
43
44
45
4748
49
50
46
33
Significance of Impacts
Influ
ence
on
Stak
ehol
der A
sses
smen
ts a
nd D
ecis
ionsLeast Material
Somewhat Material
Very Material
1 - Indirect Economic Impacts
2 - Employee Satisfaction
3 - Local Communities
5 - Preservation of Heritage
6 - Employment
7 - Procurement Practices
4 - Occupational Health and Safety
8 - Products and Services
9 - Constructing LEED Certified Buildings
10 - Overall Environmental Spending
11 - Materials
12 - Corporate Communications
13 - Corporate Governance
14 - Energy
15 - Anti-corruption
16 - Emissions
17 - Compliance
18 - Diversity and Equal Opportunity
19 - Supplier Environmental Assessment
20 - Supplier Assessment for Impacts on Society
21 - Anti-competitive Behaviour
22 - Non-discrimination
23 - Effluents and Waste
24 - Training and Education
25 - Compliance
26 - Water
27 - Transport
28 - Biodiversity
29 - Supplier Assessment for Labour Practices
30 - Economic Performance
31 - Investment Agreements
32 - Supplier Human Rights Assessment
33 - Customer Health and Safety
34 - Labour Practice Grievance Mechanisms
35 - Grievance Mechanisms for Impacts on Society
36 - Environmental Grievance Mechanisms
37 - Assessment
38 - Compliance
39 - Security Practices
40 - Customer Privacy
41 - Forced of Compulsory Labor
42 - Market Presence
43 - Human Rights Grievance Mechanisms
44 - Equal Remunerations for Men and Women
45 - Labor/Management Relations
46 - Child Labour
47 - Freedom of Association and Collective Bargaining
48 - Product and Service Labeling
49 - Public Policy
50 - Indigenous Rights* = Omran Head Office; = Hospitality Assets; = Developments; = Investments. NB: As an administrative entity, the Omran head office has a number of staff on its payroll that work on for the company’s hospitality assets, Developments, and Investments. Projects and properties falling under each category as listed on page 18
2nd Sustainability Report | 82 - 83
2,3722,037
1,586
803
* = Omran Head Office; = Hospitality Assets; = Developments; = Investments. NB: As an administrative entity, the Omran head office has a number of staff on its payroll that work on for the company’s hospitality assets, Developments, and Investments. Projects and properties falling under each category as listed on page 18
Appendix E: Summary Table of Key Performance Indicators (continued)
Unit Reporting Boundary* 2010 2011 2012 2013
Environment
23. Greenhouse Gas Emissions (CO2e)
Direct (Scope 1) Tonnes 254 378 468 302
Indirect (Scope 2) Tonnes 477 540 668 530
Total Tonnes 730 918 1,136 832
24. Vehicle FuelConsumption
Gasoline Litres 39,525 139,800 172,976 111,851
Diesel Litres 0 0 0 0
25. Energy Consumption
Direct GJ 3,097 4,616 5,712 3,693
indirect GJ 2,002 2,266 2,807 2,224
Total GJ 5,099 6,882 8,519 5,917
26. Water Consumption m3 626 617 718 716
27. Total Waste Produced kg 150 150 200 200
28. Total Waste Recycled % 10% 20% 30% 30%
29. Number of LEED Projects # 5 5 7 9
30. Monetary value of significant fines and total number of non-monetary sanctions for non-compliance with environmental laws and regulations
OMR 0 0 0 0
2010 2011 2012 20132010 2011 2012 2013
1,3821,4331,580
973
64.4k
44.7k
28.6k
12.4k
2010 2011 2012 2013
21.8k
2010 2011 2012 20132010 2011 2012 2013
Hospitality AssetsOmani Employment Rate
Hospitality AssetsOmani Occupancy Rate
Hospitality AssetsGHG per Guest Night (kg of CO2e)
2010 2011 2012 2013
44%
11%
21%
28%32%
41%
34% 30%
GHG
Hospitality AssetsTotal GHG (Tonnes of CO2e)
Domestic Occupants
Hospitality AssetsTotal Number of Omani Guest Nights
Omanisation
Hospitality AssetsTotal Omani Employment
Appendix F: Summary Performance of Hospitality Assets
21.4k20.4k
13.8k
112137
156
122
Occupancy
Hospitality AssetsAverage Number of Rooms Sold Daily
2010 2011 2012 2013
Assets
Hospitality AssetsNumber of Operating Assets
2010 2011 2012 2013
45 5
7
231 260 303 399
Hospitality AssetsTotal Occupancy Rate
Hospitality AssetsEconomic Performance (OMR)
Hospitality AssetsAvailable Rooms (Daily)
2010 2011 2012 2013 2010 2011 2012 2013
59.0%
1,028
815698
39438.9%
43.5% 41.4%
Water
Hospitality AssetsTotal Water Consumption (m3)
2010 2011 2012 2013
1.2m 1.2m 1.3m 23.722.921.8
15.00.9m
2010 2011 2012 2013 2010 2011 2012 2013
Hospitality AssetsWater Consumption per Guest Night (Litres)
Hospitality AssetsWaste per Guest Night (kg)
Hospitality AssetsElectricity per Guest Night (kWh)
2010 2011 2012 2013
10.6K
7.1
13.112.212.2
8.6K
4.8K
8.0K
2010 2011 2012 20132010 2011 2012 2013
128161 143
120
Waste
Hospitality AssetsTotal Waste Disposed (Tonnes)
Energy
Hospitality AssetsTotal Electricity Consumption (kwh)
2010 2011 2012 2013
85.1
50.3
30.6 30.7 26.5
78.770.5
64.0ADR
RevPAR
2nd Sustainability Report | 84 - 85
Appendix G: GRI Index
Disclosure Level Location/Commentary
STANDARD DISCLOSURES PART I: Profile Disclosures
1. Strategy and Analysis
1.1 Statement from the most senior decision-maker of the organization.
Fully CEO’s Message on page 10
1.2 Description of key impacts, risks, and opportunities. Partially CEO’s Message on page 10 and Governance on page 23
2. Organizational Profile
2.1 Name of the organization. Fully Our Company on page 16.
2.2 Primary brands, products, and/or services. Fully Our Company on pages 16-17 and Atana on page 72.
2.3 Operational structure of the organization, including main divisions, operating companies, subsidiaries, and joint ventures.
Fully Governance on page 22 and Management Committees on page 78. For a list of Omran’s Developments, Hospitality Assets, and Investments, see pages 18 and 19.
2.4 Location of organization’s headquarters. Fully Headquarters on page 16.
2.5 Number of countries where the organization operates.
Fully Our Company on pages 16 and 17.
2.6 Nature of ownership and legal form. Fully Our Company on pages 16 and 17.
2.7 Markets served (including geographic breakdown, sectors served, and types of customers/beneficiaries).
Fully Omran exclusively serves the Oman tourism market. It customers/beneficiaries include hotel operators, guests, the general public, and development partners. See page 18 for a geographic breakdown of operations.
2.8 Scale of the reporting organization. Partially Reporting Approach and Parameters on page 78 and Omran’s Activities on page 18.
2.9 Significant changes during the reporting period regarding size, structure, or ownership.
Fully The future direction, structure, and ownership is being review by the Board of Directors. However, no significant changes have yet been made to Omran. For a year-on-year overview of Omran’s Developments, Hospitality Assets, and Investments, see page 19.
2.10 Awards received in the reporting period. Fully Awards and Accolades on page 27.
3. Report Parameters
3.1 Reporting period (e.g., fiscal/calendar year) for information provided.
Fully Omran reports on the basis of a calendar year.
3.2 Date of most recent previous report Fully About this Report on page 8.
3.3 Reporting cycle Fully Omran reports on an annual basis.
3.4 Contact point for questions regarding the report or its contents.
Fully Contact Information on page 8.
3.5 Process for defining report content. Fully Materiality at Omran on page 22 and Materiality Assessment on page 80.
Disclosure Level Location/Commentary
3. Report Parameters (continued)
3.6 Boundary of the report Fully Report Boundary on page 78, Omran’s Activities on page 18, and Summary Table on page 81.
3.7 State any specific limitations on the scope or boundary of the report
Fully Report Boundary on page 78, Omran’s Activities on page 18, and Summary Table on page 81.
3.8 Basis for reporting on joint ventures, subsidiaries, leased facilities, outsourced operations, and other entities that can significantly affect comparability from period to period and/or between organizations.
Fully Report Boundary on page 78 and Omran’s Activities on page 18.
3.9 Data measurement techniques and the bases of calculations, including assumptions and techniques underlying estimations applied to the compilation of the Indicators and other information in the report.
Fully Our Approach to Data on page 78.
3.10 Explanation of the effect of any re-statements of information provided in earlier reports, and the reasons for such re-statement.
Fully Minor changes have been made in figures for our total infrastructure investment (see footnotes on pages 16). Due to conversion errors in the 2013 report, figures for GHG and energy have been corrected in this report (indicators #23, #24, and #25 in Appendix E).
3.11 Significant changes from previous reporting periods in the scope, boundary, or measurement methods applied in the report.
Fully Reporting Approach and Parameters on page 78.
3.12 Table identifying the location of the Standard Disclosures in the report.
Fully GRI Index on page 84-91.
3.13 Policy and current practice with regard to seeking external assurance for the report.
Fully Omran’s sustainability reports are not currently assured by third parties.
4. Governance, Commitments, and Engagement
4.1 Governance structure of the organization Fully Governance on page 23 and Workplace Diversity on page 44.
4.2 Indicate whether the Chair of the highest governance body is also an executive officer.
Fully Board of Directors on page 24.
4.3 For organizations that have a unitary board structure, state the number and gender of members of the highest governance body that are independent and/or non-executive members.
Fully Omran has a two-tier board structure. For more information, see Board of Directors on page 24.
4.4 Mechanisms for shareholders and employees to provide recommendations or direction to the highest governance body.
Fully Board of Directors on page 24. As the sole shareholder, the government can relay direction to the board and appoint/remove any member of the Board.
4.5 Linkage between compensation for members of the highest governance body, senior managers, and executives, and the organization’s performance.
Fully Board of Directors on page 24 and Executive Management Team on page 25.
4.6 Processes in place for the highest governance body to ensure conflicts of interest are avoided.
Fully Ethical Conduct and Anti-Corruption on page 26 and Board of Directors on page 24.
4.7 Process for determining the composition, qualifications, and expertise of the members of the highest governance body and its committees, including any consideration of gender and other indicators of diversity.
Fully See Board of Directors on page 24. As appointments/removals to the highest governance body are determined in a closed manner by the sole shareholder (the government), Omran does not take part in determining process for consideration of candidates to the Board.
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Disclosure Level Location/Commentary
STANDARD DISCLOSURES PART I: Profile Disclosures
4. Governance, Commitments, and Engagement (continued)
4.8 Internally developed statements of mission or values, codes of conduct, and principles relevant to economic, environmental, and social performance and the status of their implementation.
Fully Our Values on page 20 and Ethical Conduct and Anti-Corruption on page 26.
4.9 Procedures of the highest governance body for overseeing the organization’s identification and management of economic, environmental, and social performance.
Partially Board of Directors on page 24.
4.10 Processes for evaluating the highest governance body’s own performance, particularly with respect to economic, environmental, and social performance.
Fully Executive Management Team on page 25.
4.11 Explanation of whether and how the precautionary approach or principle is addressed by the organization.
Fully Omran conducts environmental impact assessments for all its prospective projects. These assessments weigh known and unknown risks for a consideration that allows for a precautionary approach to new construction projects.
4.12 Externally developed economic, environmental, and social charters, principles, or other initiatives to which the organization subscribes or endorses.
Fully Governance on page 23.
4.13 Memberships in associations and/or national/international advocacy organizations in which the organization.
Fully Governance on page 23.
4.14 List of stakeholder groups engaged by the organization.
Fully Omran has engaged the stakeholders listed in Our Stakeholders on page 21.
4.15 Basis for identification and selection of stakeholders with whom to engage.
Fully The list of stakeholders is identified by the communications department and is reviewed annually. Over the course of time, and as Omran’s sustainability program matures towards the new G4 standard, the company will look to identify more rigorous approaches to engaging key stakeholders.
4.16 Approaches to stakeholder engagement, including frequency of engagement by type and by stakeholder group.
Fully For the purposes of the 2013 sustainability report, Omran has engaged employees and individuals from the hospitality, construction, and tourism industries. Omran plan to increase this engagement to occur more frequently than on an annual basis.
4.17 Key topics and concerns that have been raised through stakeholder engagement, and how the organization has responded to those key topics and concerns, including through its reporting.
Fully Materiality at Omran on page 22 and Materiality Assessment on page 80.
Disclosure Level Location/Commentary
STANDARD DISCLOSURES PART II: Disclosures on Management Approach (DMAs)
Disclosure on Management Approach (EC)
Asp
ects
Economic performance Fully Direct Economic Impact of Investment on page 33.
Market presence Fully Direct Economic Impact of Investment on page 33.
Market presence Fully Indirect Economic Impact on page 35.
Disclosure on Management Approach (EN)
Asp
ects
Materials Fully LEED Building at Omran on page 55.
Energy Fully Energy Consumption 59 and Energy Conservation on page 57.
Water Fully Water Consumption on pages 60 and 61
Biodiversity Fully Ecosystem Protection on page 57.
Emissions, effluents and waste Fully GHG Emissions on page 58, and Waste Management on pages 30 and 35.
Products and services Fully About Omran on page 12.
Compliance Fully Governance on page 23.
Transport Fully Environmental risks related to transport are not identified as being material to Omran’s operations.
Overall Fully Environmental Management at Omran on pages 55.
Disclosure on Management Approach (LA)
Asp
ects
Employment Fully Our Workforce on pages 43, 44, and 45
Labor/management relations Fully Our Workforce on page 43.
Occupational health and safety Fully Creating a Safe Environment on page 45.
Training and education Fully Employee Training & Development on page 45.
Diversity and equal opportunity Fully Workplace Diversity on page 44.
Equal remuneration for women and men Fully Workplace Diversity on page 44.
Disclosure on Management Approach (HR)
Asp
ects
Investment and procurement practices Fully Spending Local on page 35.
Non-discrimination Fully Creating a Respectful Environment on page 46.
Freedom of association and collective bargaining Fully Workplace Diversity on page 44.
Child labor Fully The risk of child labor is not identified as a significant to Omran’s operations.
Prevention of forced and compulsory labor Fully The risk of forced and compulsory labor is not identified as a significant to Omran’s operations.
Appendix G: GRI Index (continued)
2nd Sustainability Report | 88 - 89
Appendix G: GRI Index (continued) Disclosure Level Location/Commentary
STANDARD DISCLOSURES PART III: Performance Indicators
Economic
Market presence
EC6 Policy, practices, and proportion of spending on locally-based suppliers at significant locations of operation.
Fully Spending Local on page 35 and Supporting Omani Entrepreneurs on page 36.
EC7 Procedures for local hiring and proportion of senior management hired from the local community at significant locations of operation.
Fully Workplace Diversity on page 44.
Indirect economic impacts
EC9 Understanding and describing significant indirect economic impacts, including the extent of impacts.
Fully Indirect Economic Impact on page 35.
Environmental
Energy
EN3 Direct energy consumption by primary energy source.
Fully Energy Consumption on page 58 and Case Study: Green Building at Jabal Akhdar on page 57.
EN4 Indirect energy consumption by primary source. Fully Energy Consumption on page 58.
EN6 Initiatives to provide energy-efficient or renewable energy based products and services.
Partially LEED Building at Omran on page 55.
Water
EN8 Total water withdrawal by source. Fully Water Consumption on page 60 and Case Study: Green Building at Jabal Akhdar on page 57.
Emissions, effluents and waste
EN16 Total direct and indirect greenhouse gas emissions by weight.
Fully GHG Emissions on page 58.
EN22 Total weight of waste by type and disposal method. Fully Waste Management on page 62.
Overall
EN30 Total environmental protection expenditures and investments by type.
Partially Community Investment and Sponsorship on page 46
Social: Labor Practices and Decent Work
Employment
LA1 Total workforce by employment type, employment contract, and region, broken down by gender.
Fully Our Workforce on pages and 42 and 43.
LA2 Total number and rate of new employee hires and employee turnover by age group, gender, and region.
Fully Our Workforce on pages and 42 and 43.
LA3 Benefits provided to full-time employees that are not provided to temporary or part-time employees, by major operations.
Fully Not Applicable. Omran does not hire on a part-time basis.
Disclosure Level Location/Commentary
Disclosure on Management Approach (HR) (continued)
Asp
ects
Security practices Fully Omran has a number of policies and dedicated staff to ensure the highest level of security for all employees and persons conducting business with Omran.
Indigenous rights Fully Not applicable. Oman does not have indigenous peoples. For information on Omran’s interaction with local populations, see DMA on Local communities below.
Assessment Fully A number of procedures for investigations and manager vigilance are detailed Omran’s code of Conduct to ensure continual assessment and awareness of incidents of misconduct.
Remediation Fully A number of procedures for corrective action are detailed in in response to misconduct within Omran’s code of Conduct.
Disclosure on Management Approach (SO)
Asp
ects
Local communities Fully Our Stakeholders on page 21 and Community Investment and Sponsorship on page 46.
Corruption Fully Ethical Conduct and Anti-Corruption on page 26.
Public policy Fully Anti-Competitive Behavior on page 26.
Anti-competitive behavior Fully Anti-Competitive Behavior on page 26.
Compliance Fully Board of Directors on page 24
Disclosure on Management Approach (PR)
Asp
ects
Customer health and safety Fully As Omran does not have many customer-facing operations, customer health and safety is not identified as a significant to Omran’s operations.
Product and service labelling Fully Product and service labelling is not identified as a significant to Omran’s operations.
Marketing communications Fully Atana on page 72.
Customer privacy Fully Not applicable to Omran.
Compliance Fully Omran’s legal team works to ensure continual compliance with laws and regulations in the Sultanate.
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Appendix G: GRI Index (continued)
Disclosure Level Location/Commentary
Labor/management relations
LA4 Percentage of employees covered by collective bargaining agreements.
Fully None of Omran’s employees are covered by collective bargaining agreements. Employees have the opportunity to raise concerns and recommendations via the Values Committee.
LA7 Rates of injury, occupational diseases, lost days, and absenteeism, and number of work-related fatalities by region and by gender.
Fully Creating a Safe Environment on page 45 and Contractor Relations on page 46.
Training and education
LA10 Average hours of training per year per employee by gender, and by employee category.
Fully Employee Training & Development on page 45.
Diversity and equal opportunity
LA13 Composition of governance bodies and breakdown of employees per employee category according to gender, age group, minority group membership, and other indicators of diversity.
Fully Workplace Diversity on page 44.
Equal remuneration for women and men
LA14 Ratio of basic salary and remuneration of women to men by employee category, by significant locations of operation.
Fully Omran has a salary and remuneration ratio of 1:1 for all staff on its payroll.
Social: Human Rights
Investment and procurement practices
HR2 Percentage of significant suppliers, contractors and other business partners that have undergone human rights screening, and actions taken.
Fully Contractor Relations on page 46.
Non-discrimination
HR4 Total number of incidents of discrimination and corrective actions taken.
Fully Creating a Respectful Environment on page 46.
Child labor
HR6 Operations and significant suppliers identified as having significant risk for incidents of child labor, and measures taken to contribute to the effective abolition of child labor.
Fully Contractor Relations on page 46
Social: Society
Corruption
SO3 Percentage of employees trained in organization’s anti-corruption policies and procedures.
Fully Ethical Conduct and Anti-Corruption on page 26.
SO4 Actions taken in response to incidents of corruption. Fully Not Applicable. There were no reported incidences of corruption during the year.
Disclosure Level Location/Commentary
Compliance
SO8 Monetary value of significant fines and total number of non-monetary sanctions for non-compliance with laws and regulations.
Fully Omran paid no fines or sanctions for non-compliance with laws and regulations in 2013.
Social: Product Responsibility
Marketing communications
PR7 Total number of incidents of non-compliance with regulations and voluntary codes concerning marketing communications, including advertising, promotion, and sponsorship by type of outcomes
Fully Omran faced no incidents for non-compliance with laws and regulations concerning marketing communications in 2013.
Construction and Real Estate Sector Supplement
CRE8 Type and number of sustainability certification, rating and labeling schemes for new construction, management, occupation and redevelopment.
Fully Nine of Omran’s developments are pursuing LEED certification. As of the end of 2013, the status of the certification applications for the Jabal Akhdar and Khasab resorts were still pending. For more information, see LEED Building at Omran on page 55.
2nd Sustainability Report | 92 - 93
Appendix I: References
i “Value of sustainability Reporting: A study by
EY and Boston College Center for Corporate
Citizenship,” (paper, 2014), 4, ED 0114,
http://www.ey.com/Publication/vwLUAssets/EY_-_
Value_of_sustainability_reporting/$FILE/EY-Value-of-
Sustainability-Reporting.pdf (accessed March 11th, 2014).
ii Andrew Jeffreys and Peter Grimsditch, ed., The Report: Oman 2014 (UK: Oxford Business Group, 2014), 242.
iii World Travel & Tourism Council, WTTC Travel & Tourism Economic Impact 2013: Oman (World Travel & Tourism Council, 2013), 3.
iv Ibid., 11.
v Robert G. Eccles, Ioannis Ioannou, and George
Serafeim, “The Impact of Corporate Sustainability
on Organizational Processes and Performance”
(working paper, July 29, 2013), 1, ED 12-035,
http://papers.ssrn.com/sol3/papers.cfm?abstract_
id=1964011 (accessed March 11th, 2014).
vi World Tourism Organization (UNWTO),
“UNWTO Tourism Highlights: 2012 Edition,” http://mkt.unwto.org/sites/all/files/docpdf/
unwtohighlights12enhr.pdf (accessed March 11th, 2014).
vii World Travel & Tourism Council, WTTC Travel & Tourism Economic Impact 2014: Oman (World Travel
& Tourism Council, 2014), 1.
viii Ibid., 10.
ix Ibid., 9.
x Ibid., 11.
xi Ibid.
xii Ibid.
xiii Ibid., 1.
xiv Bertelsmann Stiftung, BTI 2014 - Oman Country Report. Gütersloh: Bertelsmann Stiftung, 2014.
xv World Tourism Organization, “Tourism and Climate
Change,” (Online Brochure, December 2011),
http://dtxtq4w60xqpw.cloudfront.net/sites/all/files/
docpdf/climatechange.pdf (accessed on March 12, 2014).
xvi Oman Water Society, “About Oman,”
http://www.omanws.org.om/about-oman.php
(accessed March 12, 2014).
xvii Ibid.
Appendix H: GRI Level Check
In line with Omran’s sustainability policy, the paper
we have used for this report is Lenzing Impact. It is
recycled paper produced from 100% recovered fibre.
Manufactured without optical brightening agents and
chlorine bleaching.
High whiteness is achieved thanks to a special
converting process for recovered fibre.
Phone: +968 24 391111, Fax: +968 24 391112
www.omran.om