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Environment,

Social & Governance


[ESG] Report
2022
Acknowledgement of Country
Integral Diagnostics (IDX) acknowledges Aboriginal and Torres Strait Islander peoples
as the First Peoples of Australia. We proudly recognise Elders past, present and
emerging as the Traditional Owners of the lands on which we work and live.
We’re committed to supporting Indigenous self-determination and envision a future
where all Australians embrace Aboriginal and Torres Strait Islander histories, cultures
and rights as a central part of our Australian identity.
IDX recognises the status of Māori as Tangata Whenua and embraces the guiding
Principles of Te Tiriti o Waitangi. We seek to grow our understanding of Kaupapa Māori,
Tikanga Māori and Te Ao Māori in order to uphold our Te Tiriti responsibilities.

ABN 55 130 832 816


Contents

04 A Message from Our Chair and CEO

06 About Us

09 Our Vision, Purpose and Values

Stakeholders and Materiality – Development of


10 ESG Strategy

12 ESG Scorecard

13 Environment

15 Social

22 Patients and Referrers

24 Community

26 Suppliers

27 Governance

28 Risk Management Framework

29 Government

30 Contact Us

Integral Diagnostics Environment, Social and Governance (ESG) Report 2022 03


A MESSAGE FROM OUR CHAIR AND CEO

We are pleased to present our 2022 (FY22) ESG Report,


demonstrating our ongoing commitment to sustainability
reporting, aligned to the Global Reporting Initiative (GRI)
Standards: Core Option.

Integral Diagnostics (IDX) is proud to be a With a network of clinics and comprehensive sites across
Australia and New Zealand, it is vital that we maintain clear
specialist healthcare company dedicated to visibility on the impact we have on the communities and
diagnostic imaging. Diagnostic imaging is the environments we operate, in to demonstrate our commitment
branch of medicine that utilises a range of non- to creating a healthier world. IDX is committed to the
creation of both financial and non-financial value for its
invasive imaging technology to create images stakeholders, including our patients, referrers, employees,
of bones, tissues and organs within the human investors, regulators, suppliers and the wider community.
body in order to diagnose and treat illness Achieving a continuous, positive impact for each of these
stakeholders is important for the long-term sustainability of
and injury. the organisation.

Governance
The Board has responsibility for the governance approval
and oversight of our ESG Strategy and is responsible for
the approval of this Report. ESG is integrated within the
responsibilities of the Board’s Audit, Risk and Compliance
Committee (ARCC) and the Board’s People and Remuneration
Committee (PRC). A dedicated ESG Committee, comprising
Executive, Senior Management and operational team members,
develops our ESG approach with oversight from the ARCC
and Board.

Strategy
During the current period we have cemented our strategy
developed in FY21 and sought to extend our commitments.
The development in our ongoing commitment to understanding
our emissions and how we can make ongoing reductions has
been a key focus for IDX. We continue to drive performance
across ESG areas (see FY22 highlights) and took significant
steps forward in implementing our ESG Strategy. Developed
by IDX’s ESG Committee, the ESG Strategy gives us a formal
roadmap for addressing key identified areas of importance,
developing associated targets and identifying opportunities for
the period FY22-FY26.

04
Highlights
This year, we have focused on developing and implementing
our strategy and highlighting the status of significant ESG areas
for IDX.
2 million
The following is a snapshot of key highlights of the ESG Report, Patients First
the outcome of the commitment of our people to create a
examinations for 800,000 patients and
healthier world in line with our vision, purpose and values.
37,000 referrers
In FY22 IDX:
• Cemented and implemented our ESG Strategy, which
aligns with the United Nation's Sustainable Development
Goals (SDGs);
• Extended our carbon footprint review, incorporating a full
review of our Scope 3 emissions; 245
••
Completed our first supplier screening risk rating review;
Completed and submitted our second Modern Medical Leadership
Slavery Report;
• Reviewed our waste management processes and initiated an
Operational Waste Management Plan;
Reporting radiologists

• Continued reporting in accordance with the Global Reporting


Initiative (GRI);

+82
Served 800,000 patients, performed over two million
examinations and engaged with 37,000 referrers;
•• Conducted a cyber attack simulation exercise;
Developed a Performance and Development Framework;

••
Extended our Leadership Development Strategy; Everyone Counts
Conducted Diversity and Inclusion Training for our
IDX patient NPS score from more
Leadership group;
• Conducted Mental Health First Aid training for our
leadership group.
than 7,500 responses

The Scorecard in this Report details our ESG performance


against specified key categories for FY22.
We look forward to your feedback on our ESG Report. Take care
and stay safe

Helen Kurincic Dr Ian Kadish


Chair Managing Director &
Chief Executive Officer
29th August 2022

Integral Diagnostics Environment, Social and Governance (ESG) Report 2022 05


ABOUT US

Who we are
Integral Diagnostics (IDX) is a healthcare group providing
diagnostic imaging services to patients and referrers, including
general practitioners, medical specialists and allied health
professionals across Australia and New Zealand.
We provide our services through a network of clinics, including
multiple comprehensive sites and operate under various brands
in the different geographic areas.
In FY22 we engaged with 37,000 referrers and served 800,000
patients. IDX is further supported by our internally developed
teleradiology service – IDXt, which provides 24/7 after-hours
emergency reporting in addition to overflow reporting services.
IDXt reporting services are available to external radiology
practices and health organisations.
Our combined corporate group is one of the largest radiology
providers across Australia and New Zealand. Our team of 1,641
radiologists and qualified technical, nursing and support staff is
committed to providing the highest level of diagnostic imaging
and patient care.

Company history

Lake Imaging brand


established (wholly
owned subsidiary Merged with South
of IDX) in Ballarat, Acquired Western Coast Radiology
VIC Medical Imaging in QLD

1967 2002 2007 2011 2012 2014 2015

The practice that Darling Downs and Acquired Ballarat Acquired 60% of Successfully listed
would become Mackay Radiology MRI Global Diagnostics on the ASX
South Coast Sunshine Coast in WA
Radiology is Radiology practices
established opened

06
Announced acquisition IDXt established - Specialist
of Geelong Medical overflow and after hours Acquired X-Ray Acquired Horizon
Imaging teleradiology provider Group, NSW & VIC Radiology, NZ

2018 2019 2020 2021 FY2022-2023

Announced acquisition Acquired Imaging Acquired Ascot Radiology, NZ Medx established – Acquired Exact Radiology, QLD
of Specialist Radiology Queensland Joint venture with
Group, Trinity MRI and Medica (UK) and IDX
Cavendish Radiology in
Auckland, NZ Integral Diagnostics has been Acquired Peloton Radiology
included in the ASX Top 300 group, QLD

Integral Diagnostics Environment, Social and Governance (ESG) Report 2022 07


ABOUT US

Services we offer Teleradiology


Diagnostic imaging is the branch of medicine that uses This year we have increased our focus on teleradiology
non-invasive imaging technology to create images of bones, with IDXt.
tissue and organs within the human body. These images are
Teleradiology is a way for under serviced areas to access timely
interpreted by a radiologist or nuclear medicine physician to
reporting that would otherwise not be available. It expands our
identify or monitor diseases or injuries. The findings are then
service area beyond our practices to other areas in Australia,
included in a written report to the referring doctor.
New Zealand and the UK. The nature of remote reporting allows
Imaging methods are also used to help radiologists our subspecialists to reach a far greater geographic area for
perform procedures such as biopsies, fine needle aspirations the benefit of all our patients and patients of our referrers. This
and image-guided interventions, a subspecialty known as aligns with our Values of ‘Patients First’ and ‘Everyone Counts’.
interventional radiology.
Teleradiology also allows our business to balance work loads
The images produced by diagnostic imaging are a critical tool better, which in turn means utilising our resources in the best
for referrers in reaching a diagnosis and deciding on the most way possible. Finally, teleradiology reduces travel significantly
efficient and effective form of treatment for patients. In this way, while maintaining our high level of service delivery.
appropriate use of diagnostic imaging can significantly enhance
In 2021 IDX and Medica, the UKs largest telereporting
medical outcomes for patients, while at the same time reducing
organisation came together to form a joint venture, Medx,
the overall cost of healthcare.
with an ambition to provide teleradiology services in
new geographies.

Diagnostic imaging technologies include:

xray ultrasound ct mammography

nuclear bone mineral mri eos imaging


medicine densitometry system

interventional fluroscopy pet/ct dental


radiology

08
OUR VISION, PURPOSE AND VALUES

At IDX our vision is a healthier world and In FY22 our Values guided us through a series of new challenges
as we saw colleagues, friends, family and patients impacted by
we achieve this by delivering on our purpose COVID-19. Our IDX ‘Healthcare Heroes’ across Australia and New
of providing the best health outcomes for Zealand responded with dedication and compassion, delivering
our patients. on our vision by providing the best possible care and specialist
imaging to our patients. We are enormously grateful to our
Our organisation is dedicated to putting our patients first, teams who have lived our values by supporting each other and
to demonstrating medical leadership, ensuring that everyone caring for our patients through another challenging year.
counts, creating value for all our stakeholders, and embracing
change. These are our five values and together they shape the
IDX culture and set the expectation of how we work together and
care for our patients.

OUR
VISION
a healthier world
patients first
PATIENTS ARE AT THE HEART
OF EVERYTHING WE DO

medical leadership
IMPROVING OUTCOMES WITH
EVIDENCE BASED CARE

OUR
VALUES everyone counts
WE WORK SAFELY, INCLUSIVELY
AND RESPECT EACH OTHER

create value
DELIVER SUSTAINABLE VALUE
TO ALL STAKEHOLDERS

embrace change
STRIVE FOR EXCELLENCE,
OUR HAVE THE COURAGE TO INNOVATE

PURPOSE
deliver the best health
outcomes for our patients

Integral Diagnostics Environment, Social and Governance (ESG) Report 2022 09


STAKEHOLDERS AND MATERIALITY – DEVELOPMENT OF ESG STRATEGY

We aim to deliver sustainable value to all stakeholders, and to We engage with our stakeholders in various ways, including
have regard for, and balance the needs of our stakeholders, inviting feedback via surveys, participating in regular meetings
which include: and communicating expectations. This year we commenced
• patients who need us to provide the best health outcomes
for them;
our patient NPS surveys and will commence a referrer NPS
survey in 2023. The feedback we received from our referrer
• referrers who need us to provide the best health outcomes
for their patients;
and patients is imperative to improved services and better
patient outcomes.
• employees who need us to provide a work environment in
which they can achieve, thrive and feel safe and included;
A materiality assessment is a standard process within

• shareholders who need us to manage our business to create


sustainable value over the long term;
international reporting standards, which involves formally
consulting with our identified stakeholders on which issues

• governments and regulators that need us to comply with


laws and regulations and to contribute our expertise to the
matter most to them. Based on the results of the
materiality assessment, multiple workshops were held with
representatives from radiologist management, Executive and
development of well-designed and effective regulations;
• suppliers who need us to work with them closely to deliver
the products and services we require, ensuring that scarce
Senior Management, clinical operations, the ESG Committee and
other employees.

resources are used appropriately, while treating suppliers We continue to work with our stakeholder groups to ensure our
fairly; and ESG strategy aligns with the expectations of the communities
• the wider community that needs us to provide support to
ensure we contribute to society in a positive way.
in which we operate. This ongoing engagement has assisted us
with developing our ESG Strategy, which is aligned to the IDX
Values as set out below.

Our Values Our Strategies

• Improving access to radiology services


• Climate action

• Driving public health outcomes


• Advocacy

• Diversity and inclusion


• Employee engagement, development and wellbeing

• Engaging with the local community


• Environment and ethical supply chain

• Driving technology and innovation


• Resource efficiency

ii ii

10
Alignment with GRI and SDG We have also measured and applied Greenhouse Gas Protocol to
measure our greenhouse gas emissions.
IDX’s ESG Report for this year has been prepared
in accordance with the Global Reporting Initiative (GRI) The United Nations Sustainable Development Goals (SDGs) seek
Standards: Core Option. Please refer to our GRI Content to address the world’s most significant development challenges.
Index at: www.integraldiagnostics.com.au/environment- social- The SDGs are a set of 17 goals that are based on human
and-governance-esg for a comprehensive list of disclosures. rights and define global sustainable development priorities and
aspirations for 2030. As part of our development of our ESG
In accordance with GRI reporting standards, the acknowledged Strategy, an assessment was made as to which SDGs we would
internal boundary is IDX itself and all subsidiaries including all align with implementing our strategy over the period of FY22-
staff. The external boundaries are all external stakeholders. The FY26.
focus is on how we can reduce our negative impact globally and
how we can improve our influence within the health community. In FY23 we will look to further implement the
recommendations of the Task Force on Climate-related Financial
Disclosures (TCFD).

Our Values SDGs aligned with strategy FY22-FY26

Integral Diagnostics Environment, Social and Governance (ESG) Report 2022 11


ESG SCORECARD

Stakeholders FY22 FY21 FY20 FY19 FY18


Donations and sponsorships ($‘000) 291 253 348 299 215
Taxes paid ($‘000) 1
19,353 24,305 14,872 13,916 11,327
Salaries and related expenses paid to
employees ($‘000) 189,148 184,492 146,765 113,613 95,712
Statutory NPAT ($‘000) 14,603 31,268 23,033 20,983 15,079
Dividends paid ($‘000) 21,850 18,558 18,648 14,025 11,603
Market capitalisation ($‘000) 2
694,085 1,032,869 759,268 496,328 438,033
People
Headcount 1,641 1,524 1,341 1,021 890
Staff turnover %3 29.25% 23.29 15.56 18.84 18.33
Training and development ($‘000) 1,491 1,077 1,082 816 640
Employee Net Promoter Score -14.2 -11.5 25.5 N/A N/A
Safety
Lost time injuries per million hours worked (LTIFR)4 1.43 6.36 6.73 14.7 14.89
Fatalities Nil Nil Nil Nil Nil
Patients 800,000 797,000
Total exams (million) 2.001 2.059 1.725 1.459 1.375
Patient incidents as a % of exams5 0.04% 0.04% 0.03% 0.03% 0.04%
Gender F M F M F M F M F M
% Total workforce 75 25 75 25 76 24 75 25 75 25
% Senior Management 6
50 50 43 57 30 70 33 67 17 83
% Executive 7
33 67 33 67 50 50 50 50 50 50
% Board 50 50 43 57 43 57 43 57 43 57
Age diversity
% Employees under 30 24 21 23 21 22
% Employees 30 – 50 50 54 51 49 46
% Employees over 50 26 25 26 30 32
Years of service 0-2 years 2-5 years 5+ years
% Employees under 2 years of service 40 36 33 35 33
% Employees between 2 and 5 years of service 24 26 28 28 28
% Employees over 5 years of service 37 38 39 37 39
Environment
Scope 1 greenhouse gas emissions (Co2-e tonnes)8 588.1 508.2 432.7 N/A N/A
Scope 2 greenhouse gas emissions (Co2-e tonnes)8 9,109.50 7,028.80 6,716.50 N/A N/A
1. Direct and indirect taxes, levies and duties including employment-related taxes, but excluding taxes paid on behalf of employees and GST/VAT.
2. Calculated using the 30 June closing share price.
3. Please refer to section on People in this Report
4. LTIFR has been calculated using Safework Australia’s methodology of basing lost time injuries on workers’ compensation claims less needle stick injuries.The number Excludes businesses acquired
that have not been part of the Group for the full 12 months.
5. Excludes businesses acquired that have not been part of the Group for the full 12 months.
6. Senior Management includes the following positions:, General Managers, Group Commercial Manager, Group Strategy and Integration Manager, Group Business Development Manager, Group Risk
Manager, Group Finance Manager, Group IT Projects and Operations Manager, Group People and Culture Manager.
7. Executive includes the following positions: Chief Executive Officer (CEO), Chief Financial Officer (CFO), and Chief Operating Officer (COO), Chief People Officer (CPO), Chief Information Officer (CIO), and
Chief Medical Officer (CMO).
8. The increase in Scope 1 and Scope 2 emissions are due to the full year effect of acquired businesses in FY22 and a calculation methodology which incorporates best practice assumptions as
recommended by an external consultant.

12
ENVIRONMENT

Environmental plan and initiatives


This year we extended our previous assessment of our
carbon footprint, by continuing to assess our Scope 1, 2 and
3 emissions. We now have a better understanding of the
environmental footprint of our operations. We are committed
to investigating how we mitigate the environmental impact via Waste management
changes in our own operations as well as our supply chain.
Waste management was identified as a material issue to
The ESG Committee has been instrumental in establishing our stakeholders.
the strategic direction and supporting the key initiatives. We
The Waste Management Committee meets monthly and gives
Identified via our materiality assessment that, climate action
structure to the initiatives mentioned in our previous ESG
was a key area of focus. We are committed to reducing the
reports. We have gained an understanding of our usage of
environmental impacts of our organisation and have engaged an
consumables across our business and are developing a formal
external consultant to help develop a roadmap for this.
operational Waste Management Plan to maximise the effective
In FY22, our Waste Management Committee undertook a use of these consumables and minimise waste. This year we
organisation-wide survey to understand where operational commenced a regular Waste Management newsletter designed
improvements in waste reduction can be made. Our teams were to encourage our teams to minimise their waste and to increase
clear in their desire to do more to reduce waste, both within the awareness and use of waste management facilities.
business and at home.
The Waste Management committee procured recyclable single
use products for all sites to decrease our waste going to
landfill. This included paper water cups in our waiting rooms
and recyclable gowns used for PPE.
The disposal of healthcare waste and consumables is
undertaken by qualified third-party contractors to ensure
compliance with applicable legislation and that the waste is
Reducing greenhouse gas emissions disposed of ethically. This year we engaged with a third party
Reducing our greenhouse gas emissions was identified as to provide guidance in assessing our waste diverted from landfill
material to our stakeholders and IDX. to establish benchmark data so that further reductions can be
initiated in FY23. Our waste management team intends to work
During the year we engaged an independent external provider with our operational teams on waste management strategies
to conduct a comprehensive assessment of our Scope 1, 2 and 3 in FY23
greenhouse gas emissions.
All radioactive waste is treated and disposed of by licensed
This work provided us with a greater understanding of the third-party providers that meet strict licensing requirements as
environmental impact of our business operations. This year set by authorised state and national bodies.
we have disclosed our Scope 1 and 2 emissions and fully
assessed our Scope 3 emission to begin to work towards a We continue to work with referring clinicians and patients to
Net Zero pathway. In FY23 we will work towards a better replace hard copy film images with quality digital alternatives.
understanding of our Scope 3 emissions and how we can In our commitment to developing a sustainable circular
influence our suppliers to work towards a reduction of their economy, most of our imaging equipment is traded in when
emissions, while focusing on the development of a strategy to we buy new equipment. These vendors reuse component parts
align with the Science Based Target Initiative (SBTi) for a Net where possible. We will continue to engage with our vendors
Zero commitment. and suppliers to promote circular economy initiatives.
We are committed to reducing the environmental impacts of
our organisation. In FY22 we engaged an external consultant to
examine and evaluate how we can improve our greenhouse gas
emissions and environmental impact. This activity has provided
IDX a proposed framework and pathway for a carbon neutral
and Net Zero commitment. During FY23 we will focus on the
development of a roadmap to reduce our carbon emissions and
set clear targets and milestones.

Integral Diagnostics Environment, Social and Governance (ESG) Report 2022 13


ENVIRONMENT

Digital transformation
IDX's digital transformation strategy, will see forms digitised,
process optimisations and new digital tools developed. These
optimisations and enhancements will result in a reduced use of
paper, while maintaining patient data accuracy and safety.
IDX encourages our shareholders to access communications
electronically and to reduce the energy and water resources
needed for paper and print production. Less than 2% of IDX’s
shareholders now opt to receive a printed version of the Annual
Report, with all other shareholders receiving an electronic
version of the Annual Report or viewing it online.

Reducing diagnostic imaging radiation doses


At IDX we employ state-of-the-art technology and image
acquisition techniques to deliver a quality diagnostic image to
referrers, while using the lowest possible radiation dose on
our patients. Our practitioners adhere to As Low As Reasonably
Achievable (ALARA) principles in compliance with the industry
standards to deliver the safest care with the best outcomes for
our patients.

14
SOCIAL

People Professional development


Our people are a talented, dedicated, and compassionate team of We are committed to the ongoing clinical and professional
healthcare professionals. They are the heart of our business and development of our people and provide a range of opportunities
work every day to provide the best possible health outcomes to support their current and future needs and ensure they have
to every patient so we can realise our vision of building a the right capabilities to thrive.
healthier world.
In addition to the development opportunities provided locally
within each business, IDX hosts an annual conference where
Employee relations
employees from all businesses come together for clinical,
The relationship we have with our people is based on respect professional and personal development.
and aligned to our value that ‘Everyone Counts’. We have a
Our radiologists attend industry-leading conferences and
broad group of people working with us across Australia and New
placements, ensuring they remain up to date with the latest
Zealand with wide-ranging skills.
technological and medical advances in diagnostic imaging.
We are committed to compliance with legislative workplace
Our leaders play an important role in shaping the culture of
requirements in the jurisdictions in which we operate, in
our workplace and the engagement and performance of our
accordance with good corporate governance. Our employees’
people. In FY22 we expanded support for our leaders with
remuneration is governed by various arrangements, including
new intakes of our leadership development programs, and
enterprise agreements, modern awards and common
the implementation of a new externally accredited leadership
law arrangements.
development program for our radiologists.
IDX engages a further 116 independent contractors to support
Our performance and development review process supports
our businesses.
us in achieving our individual, team, and organisational
level objectives. In FY22 we implemented a new digital
Employee Relations performance review platform, which facilitates effective goal-
setting, performance feedback and development conversations
60% between our employees and people leaders.

Culture
50% Across our businesses and locations, our people are united by
16.51%
the IDX Values and Purpose to deliver the best outcomes for
our patients.
40%
In June 2022 IDX’s engagement score (our primary culture
measure) was 42%, an increase of 4 percentage points from
6.89% 38% in June 2021. The survey results highlighted the dedication
30%
of our people as healthcare professionals, and the care and
connection they have with each other as colleagues, as key
strengths of our culture. Ongoing COVID-related pressures have
20% 40.34%
also impacted our teams over the past year, and we saw a dip in
29.25% our internal NPS result from -11.5 to -14.2 in the 12 months to
June 2022.
10%
We will continue listen to the feedback in our culture surveys
1.77%
to implement positive action to create the best culture for
5.24%
0% everyone at IDX. We know that when our people are heard our
Full Time Part Time Casual patients benefit and we realise our Purpose of delivering the
best health outcomes.
Female Male

The source data is compiled from the people management


system. The headcount only includes employees, not
independent contractors or Non-Executive Directors.

Integral Diagnostics Environment, Social and Governance (ESG) Report 2022 15


SOCIAL

Employee Recognition Gender Pay Equality


In FY22 we implemented two new employee recognition At IDX we are committed to ensuring our workplace is inclusive
programs to celebrate the talents and achievements of and to promoting gender pay equity. In FY22 we conducted
our people. The High Five and Live Our Values Everyday our second Gender Pay Equity Analysis with a review across
(LOVE) Award recognition programs complement our existing all categories based on the current WGEA submission. The
annual CEO Award program and provide our staff with more review identified that when comparing equivalent roles, there
opportunities to connect with their peers, recognise achievement is generally pay equity across IDX. Pay equity refers to equal
and celebrate living our values. In the first 10 months of the pay for work of equal or comparable value. Equal pay is not just
program, over 1000 peer-to-peer High Five awards were sent, about equal wages. Equal pay takes into account discretionary
and over 400 LOVE Awards were submitted, each one helping to pay, allowances, performance payments, merit payments, bonus
cement connection to our values and a culture of recognition. payments and superannuation.
Total remuneration1
Pay Equity % FY22 FY21
Clinical 2
97% 97%
live high Clerical 103% 106%
OUR
VALUES FIVE Radiologists 94% 95%

everyday
1. Total Remuneration is the annualised cash salary for males and females in each group,
including, overtime, allowances, cash bonus payments and on call.
2. Excludes Radiologist cohort

We are proud that 62% of the wider IDX leadership


and management roles (including those from each of our
businesses) are occupied by females. In FY22, 74% of internal

16
promotion placements and 78% of new external appointments The COVID-19 pandemic and the introduction of restrictions
were female. mandated some of our workforce to work remotely where this
was possible. While restrictions have now lifted, a hybrid model
Gender Pay Gap of shared time between working from home and the office is
still in place by mutual agreement between employees and their
The Company calculated its gender pay gap for the whole
local business. Looking to the future, we expect that we will see
IDX workforce (excluding the CEO) using the WGEA Pay Gap
a mix of people working from home and from the office for some
Calculator1. The gender pay gap is 55%, which represents the
time to come.
difference between the remuneration of women and men across
the organisation irrespective of role. Available WGEA data shows
Health and safety
that the gender pay gap for our industry sector (Pathology and
Diagnostic Imaging Services within Medical and Other Health The safety of our people is a key priority. To improve our
Care Services Industry Subdivision) is 40.7%. This gender pay safety performance we focus on hazard identification, risk
gap is driven by the majority of highly paid specialist medical management, incident reporting, plus investigation.
professionals, who have undertaken significant amounts of study
IDX monitors our health and safety performance via incident
to be registered specialist medical professionals such as a
reporting and active consultation and engagement processes
radiologists, being male.
with staff through representative committees. During FY22,
IDX’s gender pay gap reflects the fact that the majority of the there was a pleasing drop in our lost time injuries per million
highest paid cohort of our workforce, our radiologists, are men. hours worked (LTIFR), which has been more than halved since
Only 27% of our radiologist cohort are female. For comparison, FY18. Our LTIFR of 1.43 is well below the SafeWork Australia
the RANZCR membership data shows that 31.7% of its members average of 8 for “Health general”.
are female.
We will continue to invest in injury prevention programs
Improvements in our gender pay gap will be driven by an targeting our key risks, provide specific training to build
increase in the number of female radiologists employed in knowledge and capability within our workforce, and ensure early
our business. In 2022 IDX introduced a diversity objective intervention programs are in place to deliver return to work
to see improvement in the female participation rate of outcomes. There were no WorkSafe or regulatory visits to our
radiologists across IDX and within 10% range of RANZCR gender workplaces in FY22 and no fines or penalties were issued.
membership data by 2026.
Wellbeing
Within other cohorts of our organisation as noted above there is
general pay equity. As our employees continue to rise to the challenge
of extraordinary COVID-related pressures, supporting their
Turnover of staff wellbeing and helping them to thrive is more important
than ever.
Last year was another challenging period for IDX
as Covid-19 outbreaks, isolation requirements, government- All IDX employees and their family members have access to
imposed lockdowns and border closures all took their toll. fully funded wellbeing support through our Employee Assistance
Our total FY22 turnover increased by 5.96%, 1.94% of this was Program (EAP) aimed at supporting both their personal and
unplanned, and the remainder was planned turnover related professional wellbeing. Our EAP partner provides confidential
to the conclusion of fixed-term contracts. With demand for and solution-focussed counselling services, together with
healthcare professionals at an all-time high, talent attraction financial coaching, nutritional coaching and a digital wellbeing
and retention continue to be a strategic priority, with a focus on platform of support tools and resources.
wellbeing, rewards and benefits, and development.
In FY22 we developed a Wellbeing Framework, which
incorporated strategies, action, and support across four key
Flexible work arrangements
pillars of health and wellbeing – physical, emotional, social,
We provide a range of support mechanisms including flexible and financial. In FY23 we will continue to expand wellbeing
working arrangements to enable our employees to manage their support for our people, through our Mental Health First Aid
work and life preferences. program and Inclusive Leadership training more broadly across
IDX to support a psychologically safe workplace. In addition
In our FY22 Workplace Gender Equality Agency (WGEA)
to continuing to support physical and mental health, we will
submission, which deals with our Australian workforce, 2.7% of
support the financial wellbeing of our people with new salary
our Australian workforce took parental leave, with 88% returning
packaging and novated leasing benefits, as well as introducing
to work. In FY22, 74% of our employees who were promoted
a financial education and resources series, as we recognise the
were female, up from 67% in FY21. Many also work flexibly in
correlation between financial health and wellbeing.
their roles.

1.
WGEA measures Australian Pay Gap data only. Only Australian IDX data was used in these calculations.

Integral Diagnostics Environment, Social and Governance (ESG) Report 2022 17


SOCIAL

We continue to review our benefits offering to ensure our people Autism Spectrum Training
have access to benefits that are meaningful to them and deliver
personal value. To better understand Autism and learn how we could
collectively welcome and support a more diverse working
Acknowledgement of First Nations People environment within our business, the IDX Shared Services team
undertook Autism Awareness training in FY22. This training
We acknowledge our First Nations people in the communities assisted the team to support a new team member with autism.
in which we operate. We will seek to explore ways in which
we can engage with our local communities and enhance our
engagement in to the future. Becoming an integral part of the team –
Our Chief Medical Officer, Dr Lisa Sorger, was recently published Wade’s story.
in the Journal of Medical Imaging and Radiation Oncology
(JMIRO) with a seminal work on CT Chest in Australian Wade loved his job as an Administration Assistant with
Indigenous Communities. the Procurement Team at Deakin University where he had
worked from 2017. But when COVID hit in April 2020, Wade,
Diversity and inclusion like so many others, was made redundant.

At IDX we are committed to an inclusive culture that With the dedicated assistance of Disability Employment
values diversity and where everyone feels safe, welcome Consultant, Ebony, Wade set about gaining new
and valued. We acknowledge that our employees, patients, employment with enthusiasm. He had glowing references
referrers, and the communities we operate in share a from his previous employers, yet opportunities were hard
diverse range of backgrounds, lived experiences and identities to come by.
and we support an inclusive and respectful workplace. IDX Wade’s dedication was impressive and in addition to
does not tolerate discrimination, harassment, vilification, or continued job searching, he undertook several measures
victimisation and is committed to providing an environment to improve his employability. He worked on improving
where people are treated with respect. We achieve this his physical fitness and engaged in sessions with Mia,
through a range of supportive policies, practices, training, our experienced health and wellbeing professional. He
and employment conditions that address equal employment participated in MatchWorks programs such as KickStart,
opportunity, harassment, and discrimination. 5 Steps Forward and Destination Work for tailored support
In FY22 we developed an IDX Diversity & Inclusion Strategy in and mentoring. Wade also completed the CAFÉ Hospitality
partnership with a specialist external consultant. The strategy course and attended multiple mock interviews to improve
includes a three-year action plan which gives structure to our his interview technique.
diversity agenda and sees us prioritising four key focus areas -
inclusive culture, careers, leadership, and care. Finding an inclusive employer
To support our focus on inclusive culture and careers, in In August 2021, Integral Diagnostics People and
FY23 IDX will be taking part in the Career Revive Program, Culture Business Partner, Stephanie Bartley contacted
an Australian Government initiative aimed at increasing MatchWorks to assist with recruitment and disability
organisational inclusion to improve attraction and retention training for the team. After watching a program on SBS,
of skilled women in the workplace. While a key focus of she had realised the benefits of employing someone with
the program is boosting support to female returners to the disability and committed to do something about it.
workplace, insights and actions are expected to benefit the “I learned that 1 in 5 people have some type of disability in
broader workforce. the community and realised that the workforce needed to
reflect this,” Stephanie said.
Paid Parental Leave
After creating the right role, the MatchWorks team in
One of our first priority actions as part of our Diversity & Geelong supported Stephanie to find the best person
Inclusion strategy was to introduce paid parental leave. From for the job. Wade was the perfect match and in
1 July 2022, IDX has introduced 6 weeks paid parental leave for September 2021, he was offered an ongoing position as
primary care givers, and 1 week for non-primary care givers for Administrative Assistant.
eligible employees in Australia. At IDX everyone counts and our
paid parental leave benefit is designed to increase inclusion, and “Suddenly I had a job and a new daily routine,” Wade
support our people to better balance work and family priorities. said. “I was meeting new people which was great after the
lockdowns as they were socially isolating. I feel more calm
and stable now.” Credit: Matchworks

18
Equality The Board continues its commitment to the measurable
objectives for gender diversity. For 2022, those objectives were:
i. a minimum of 30% of each gender representation to be
Company Gender Profile achieved at the Executive level by 20261;
ii. a minimum of 40% of each gender representation on the
Board by 2026;
iii. a minimum of 40% of each gender representation to be
achieved at Senior Management level by 20262;
iv. a minimum of 40% of each gender representation to
be achieved at Executive and Senior Management levels
by 2026;
v. at least one of each of each gender to be included as
shortlisted candidates for Board, Executive and Senior
Management positions;
vi. percentage of females employed across the Company should
remain within 10% of industry levels as measured by WGEA
(Pathology and Diagnostic Imaging Services within Medical
75% Female 25% Male
and Other Health Care Services Industry Subdivision); and
vii. continued improvement in the female participation rate
Board Gender Profile of radiologists across IDX and within 10% range of
Royal Australian and New Zealand College of Radiologists
(RANZCR) gender membership data by 2026.
In 2022, the Company achieved its target female representation
for Board, Executive and Senior Management levels. During
the year, six appointments were made at the Executive and
Senior Management levels, with four of those appointments
being female.

40%
50% Female 50% Male
TARGET ACHIEVED
Senior Management and Executive Employees A minimum of 40% of each
Gender Profile gender representation on the Board
– achieved

40%
TARGET ACHIEVED
A minimum of 40% of each gender
representation at Executive and
2022 Senior Management levels – achieved

45% Female 55% Male

1.
Executives include the following positions: CEO, CFO, COO, CPO, CIO and CMO.
2.
Senior Management includes the following positions:, General Managers, Group Commercial Manager, Group Strategy and Integration Manager, Group Business Development Manager, Group Risk
Manager Group Finance Manager, Group IT Projects and Operations Manager, Group People and Culture Manager.

Integral Diagnostics Environment, Social and Governance (ESG) Report 2022 19


SOCIAL

The Company’s performance against its objectives are


listed below:

Objective Achievement
a minimum of 40% of each gender representation on the Board 50% of Board members were female.
by 2026
a minimum of 30% of each gender representation to be achieved
33% of the Executive were female.
at the Executive level by 20261
a minimum of 40% of each gender representation to be achieved
50% of the Senior Management level were female.
at Senior Management level by 20262
a minimum of 40% of each gender representation to be achieved
45% of the Executive and Senior Management levels were female.
at Executive and Senior Management levels by 2026
The following positions were recruited during the period – CFO,
At least one of each gender are to be included as 2 General Managers (Apex and IQ). Of the three positions all
shortlisted candidates for Board, Executive and Senior processes had at least one of each gender shortlisted. The
Management positions process for recruiting a Board member commenced in FY22 and a
least one of each gender was shortlisted for the position.
percentage of females employed across the Company should
remain within 10% of industry levels as measured by WGEA Female employees IDX: 74.8%
(Pathology and Diagnostic Imaging Services within Medical and Female employees WGEA: 76.7%
Other Health Care Services Industry Subdivision)
continued improvement in the female participation rate of
radiologists across IDX and within 10% range of Royal Australian Female Radiologists IDX: 27.0%
3

and New Zealand College of Radiologists (RANZCR) gender RANZCR female members: 31.7%
4

membership data by 2026


1. Executives include the following positions: CEO, CFO, COO, CPO, CIO and CMO.
2. Senior Management includes the following positions:, General Managers, Group Commercial Manager, Group Strategy and Integration Manager, Group Business Development Manager, Group Risk
Manager, Group Finance Manager, Group IT Projects and Operations Manager, Group People and Culture Manager.
3. This includes employed radiologists in Australia and consistent with the NZ private radiology model, all doctors work across the public and private sector and meet the criteria to be classified as
contractors but are on terms and conditions similar to IDX employed radiologists.
4. Source RANZCR 20/21 Annual Report

In FY22, 67% of the Executive and Senior Management (Pathology and Diagnostic Imaging Services within Medical
appointments were female. IDX requires gender diversity in and Other Health Care Services Industry Subdivision); and
all shortlisted candidates for Board, Executive and Senior vii. continued improvement in the female participation rate
Management positions. of radiologists across IDX and within 10% range of
Royal Australian and New Zealand College of Radiologists
The Board via the PRC reviewed its measurable objectives in the
(RANZCR) gender membership data by 2026.
current year and has adopted the following objectives for 2023:
i. a minimum of 40% of each gender representation on the
Board by 2026;
ii. a minimum of 40% of each gender representation to be
achieved at the Executive level by 20261;
iii. a minimum of 40% of each gender representation to be
achieved at Senior Management level by 20262;
iv. a minimum of 40% of each gender representation to
be achieved at Executive and Senior Management levels
by 2026;
v. at least one of each of each gender to be included as
shortlisted candidates for Board, Executive and Senior
Management positions;
vi. percentage of females employed across the Company should
remain within 10% of industry levels as measured by WGEA

1.
Executives include the following positions: CEO, CFO, COO, CPO, CIO and CMO.
2.
Senior Management includes the following positions:, General Managers, Group Commercial Manager, Group Strategy and Integration Manager, Group Business Development Manager, Group Risk
Manager Group Finance Manager, Group IT Projects and Operations Manager, Group People and Culture Manager.

20
Remuneration in Context of ESG
During FY22, the Board conducted a review of the Company’s
executive remuneration framework.
The framework adopted in FY22 and prior years had not
been reviewed since 2017. In conducting the review, the
Board considered feedback it had received from investors and
management over the years, the increasing maturity of the
business and the strategic priorities of the Company.
Changes were implemented to the non-financial award portion
of the Short Term Incentive (STI). The non-financial award
portion of the STI now includes a mix of strategic goals and
sustainability goals, which have been introduced to support
the Group’s ongoing achievements of its ESG strategy and
to recognise that our patients, people, culture and risk
management are integral to our ongoing success and ability to
differentiate in an increasingly competitive market.
Sustainability goals include measures related to patient
satisfaction, employee engagement, safety and injury prevention,
employee turnover and environmental impact.
To further emphasise the importance of sustainability, the
Company has also introduced a risk, compliance and conduct
gateway as a condition of granting of any STI award in FY23.

Integral Diagnostics Environment, Social and Governance (ESG) Report 2022 21


PATIENTS AND REFERRERS

At IDX, patients and referrers are at the centre of everything we at at time convenient to their needs. Enabling patients to take
do. The two key groups that we service are: control of their health care journey will drive key activities in the
• Patients referred by their healthcare professional attend our
clinics to undertake the exams required to complete their
coming year.

diagnoses. We aim to ensure that the patient experience Privacy and Data Security
exceeds the expectations of both patients and their referrers
As a health company, we take seriously our responsibility to
by providing a streamlined, comforting and quality service.
manage and protect our customers’ and employees’ information
In FY22 we saw over 800,000 patients and performed over
and privacy, working to ensure the security of our services
two million exams.
• Referrers, including specialists, general practitioners, allied
health providers and other healthcare professionals, choose
and operations.
Our patients entrust us with personal and sensitive information
to use our quality diagnostics services to complete their and their privacy is important to us. We employ robust controls
patients’ diagnosis. In FY22 we engaged with 37,000 and systems to protect patient information and allocate time
referrers and attended to over 1.5 million referrals. and resources to continuously improve processes. Our staff, our
referring doctors and hospitals are also required to accept our
Patients privacy terms and conditions to ensure they understand and
acknowledge compliance with the standards required to protect
Patients First: Patients are at the heart of everything we do.
our patients’ privacy.
Our aim is to produce the best possible health outcomes for
each patient, every time. Patient safety is monitored through
Our commitment to privacy
reporting of clinical incidents. IDX‘s Integral Clinical Leadership
Committee (ICLC) reviews incident data and trends to identify We aim for strong, effective and contemporary privacy
improvements across all businesses, and aims to share management practices and systems that will enhance trust
learnings to prevent recurrence and improve patient outcomes. and confidence in the way that we do business. Our
Privacy Framework guides our approach, focused on these
Staff interactions with patients are important to us and the IDX
key principles:
Code of Conduct covers the behaviour of all employees during
their work. It includes requirements for personal integrity as •• creating a culture of privacy awareness;
recognising that we handle sensitive information and
well as compliance with all laws and regulations and IDX’s
manage diverse operations across our business, and we take
policies and processes including, but not limited to, privacy,
a responsible approach to ensuring that privacy is respected;
conflicts of interest, diversity and anti-discrimination, fraud and
corruption, improper benefits and confidentiality of information. • integrating privacy into our enterprise risk, compliance and
incident management systems;
The Code is supported by a range of policies and other
documents covering ethical and behavioural issues. The Code • applying a risk-based approach to privacy and encouraging
open, proactive conversations about privacy risk;

••
outlines the process for dealing with breaches of the Code,
embedding privacy practices; and
which are taken very seriously, with all material breaches
expecting a high degree of best practice privacy compliance
being reported to the Board. The requirement for employees
from our employees and our systems.
to report any breaches is reinforced by our Whistleblower
policy. All employees must undertake Code of Conduct training We are committed to providing our customers with transparency
courses that cover key aspects of the policy when they begin in relation to how we collect, store and use their data. Our
employment, and on an ongoing intermittent basis throughout Privacy Policy is available online and provides details on:
their employment. •• our collection, use and disclosure of information;
how customers can access their personal information; and
Ensuring that patients are satisfied with the services we
provide is of is importance to us. During 2022, we commenced • when and how we dispose of personal information.
organisational wide measurement of patient satisfaction via a
Net Promoter Score (NPS). This system provides an avenue for
our patients to communicate directly with us, providing feedback
and enabling process improvement where required. We are
proud of our patient NPS score of +82. We aim to maintain this
level of patient satisfaction and will use the 2022 group score as
our benchmark for 2023.
We are continually seeking to improve the our patients'
experience when visiting our clinics and interacting with our
teams. Enabling every patient to control their healthcare journey
is a key focus for our ongoing digital development strategy.
Patients want to be able locate, contact and book their imaging,

22
Keeping information secure
Testing our readiness and resilience
From the way we manage our mobile devices to our malware
protection, security monitoring and incident responses, our Each year we test our readiness for managing
risk-based approach ensures that information security and cybersecurity incidents, running a number of simulation
privacy practices are part of our day-to-day activity. Our exercises to assess our resilience, across the business
approach is strongly embedded across our business processes, involving staff members with skills in clinical,
policies, systems and frameworks. We conduct privacy impact technology and operations, legal, privacy, compliance, risk
assessments when needed on services, projects or procurement management, external affairs, marketing and members
of services that involve personal and sensitive information. We of our senior leadership team. Each simulation aims to
also have disaster recovery plans in place, which detail the review our plans and procedures when responding to a
response and recovery steps and timeframes required, should significant cybersecurity event – how we deal with the
an incident occur. threat, recover from any loss and/or damage to our
systems and services and manage reputational damage.
To ensure the security of patient information, our IT This year, our simulations included common ransomware
security infrastructure and processes have been strengthened attacks impacting on of our local businesses. Outcomes
through vulnerability exercises, implementation of improvement from these exercises are then integrated into our response
recommendations, and benchmarking against industry training program, to support the continued improvement of
standards such as National Institute of Standards and our security capabilities.
Technology (NIST) and the Australian Signals Directorate
Essential 8. Data security and privacy are subject to continuous
review by IDX to further identify opportunities for improvement.
Referrers
Detect Retaining and increasing the number of healthcare professionals
who refer patients to our diagnostic services is a key component
Protect Respond of our success. Current initiatives include ongoing investments
in technology platforms, education and improved reporting
technologies. We have introduced enhancements to our online
referrer portal to allow access to imaging online through a
single click and are working to enable e-referrals to be sent
directly from a referrer to our operating systems. We are
Identify Recover seeking to extend these optimisations for our referrers to
ensure that they have access to the latest medical information
NIST and can engage with our Radiologists and clinical teams
Cybersecurity as required.
Framework
We provide education to referrers in our regions about
new technologies such as artificial intelligence, new imaging
equipment and the benefits new technology in equipment can
have on assessing patients. We also collaborate with referrers
in our local areas to provide multidisciplinary meetings and
workshops on specific topics such as urology and oncology.

Integral Diagnostics Environment, Social and Governance (ESG) Report 2022 23


COMMUNITY

At IDX, we value the contributions we make to the various


communities in which we operate. The activities we focus on
include sponsorships, fundraising, donations and volunteering to
organisations with causes that fit with our Values. During the
year we supported a range of organisations, causes and events
with the aim of making a difference to the things that matter
in our communities. Some of the community initiatives we have
undertaken are as follows: STEPtember – Everyone Counts
IDX once again took part in STEPtember, raising funds for the
Cerebral Palsy Alliance. STEPtember challenges participants
Integral Diagnostics to take 10,000 steps per day and raise funds throughout of
community contributions September. In FY22, both Australia and New Zealand teams
participated and contributed to fundraising for the Cerebral
Palsy Alliance. By participating in STEPtember and raising funds,
we are creating a healthier world by helping people living
with cerebral palsy to get the specialised support services and
equipment they need to build their independence, enhance their
wellbeing and live their best lives.

Supporting Our Communities - Red Cross -


Radiologists Across Borders (RAB) - Everyone Counts
Medical Leadership
We are committed to supporting the communities we operate
IDX was again a sponsor of Radiologists Across Borders (RAB) in, so in March 2022 IDX made a significant financial donation
who provide resources to Radiologists in developing nations to the Red Cross to help those impacted by the Queensland
to increase knowledge and promote improved patient care. and New South Wales flood disaster. A number of our staff,
IDX have contributed to the development of an International their families and friends were personally impacted by the floods
Certificate of Radiology Fundamentals (ICRF) in partnership and we were also incredibly proud of the individual support,
with RAB and the University of British Columbia (UBC). The financial donations and recovery efforts our people contributed
project was the first of its kind globally, designed specifically for personally to the flood disaster.
improving radiology skills in developing countries and supports
the IDX vision of creating a healthier world. Whitsunday Voices Youth Literature Festival –
IDX radiologists provided video tutorials to make the ICRF as Everyone Counts
interactive as possible and to assist students in obtaining a
Mackay Radiology (part of the South Coast Radiology group)
thorough understanding of fundamental radiology principles
supported the Whitsunday Voices Youth Literature Festival,
needed to support their communities in developing nations.
which provides a unique opportunity for students and educators
IDX also partnered with RAB to provide one on one mentoring in the local area to meet and learn from some of Australia’s
and practical support services to those in developing nations. most acclaimed children and young adult authors, presenters,
IDX will continue to support this program in to FY23. and performers. This fun-based cultural event is not normally
available in regional areas, and its reach extends to over 65
Tonga Twinning Program – Medical Leadership schools and 5000 participants.
Lake Imaging is part of the Tonga Twinning Program. Due
Winter Warmers – Everyone Counts
to COVID-19, the local Lake Imaging staff were unable to
participate in the exchange this year, but have provided remote Apex Radiology has a long standing community program to
support in Tonga. Lake Imaging has also donated medical support those in need within their community. This programme
consumables and an ultrasound machine to the program provides sleeping bags to the St Patrick's Community Support
this year. Centre - Willeton, Salvation Army - South West, and St Vincent
de Paul - South West to ensure those in need have some
comfort over the winter months.

24
Zontas House Women's Refuge -
Everyone Counts
Apex Radiology support the Zontas House Women's refuge by
providing winter pyjamas, warm dressing gowns, socks and
underwear for women who have experienced, or are at risk of
experiencing, family and domestic violence.
St John of God Foundation – Patients First
IQ Staff participating in the Capricorn Over the last year Apex Radiology provided a financial donation
Community Games - Everyone Counts as well as sponsorship of ‘free diagnostics imaging’ to the Gifts
of Hope recipients. The St John of God Foundation – Gifts of
The Capricorn Community Games is a community-based
Hope initiative provides financial support provided to in-need
fundraising event to raise money for the Multiple Sclerosis
Australians suffering from life-threatening conditions, such as
Swimathon. The funds raised contribute to vital services
cancer. New medical discoveries, including medicines, can help
and support for people in the local communities living with
patients to live longer and to experience less pain or other
Multiple Sclerosis.
debilitating symptoms. However, these treatments can often be
It is part of the IDX ESG strategy to continue to expand on costly and out of reach for many Australians. A Gift of Hope
initiatives within local and developing communities. can directly support a person to access potentially life-changing
treatment during their time of greatest need.

Lishman Health – Create Value


Apex Radiology was proud to sponsor the South West
Health Research Forum. The Forum was well attended with
approximately 90 guests and included presentations from
key health professionals. Participants then engaged in group
discussions around aged care, early investigators, paediatrics,
mental health, cancer/palliative care. Indigenous health, chronic
disease and community/ consumer engagement involvement.
The Forum aims to identify health research priorities specific
to the south west region of Western Australia and to build
a rural and regional health research capacity for 2021 and
beyond. The Lishman Foundation Fellowship Program is a
collaborative partnership between the Foundation and the Rural
Clinical School of Western Australia (RCSWA) that supports
well-designed and supervised research projects among rural-
based medical students.

Integral Diagnostics Environment, Social and Governance (ESG) Report 2022 25


SUPPLIERS

IDX has established Company-wide supply contracts with Modern slavery update
trusted suppliers, who have undergone a vetting process for
items such as medical consumables, equipment, office supplies In December 2021, the Group submitted its second Modern
and IT software and hardware. These supply contracts are Slavery Statement in accordance with the requirements of the
to ensure quality of supply of these critical products and Modern Slavery Act (2018) (MS Act).
also to ensure economies of scale can be taken advantage As part of IDX’s continual review and improvements in our
of to secure the best outcomes for IDX. Our suppliers supply approach to combatting modern slavery, IDX continues to review
medical equipment, medical consumables, equipment service, the risks of, and mitigate the impacts of, modern slavery in its
office supplies, IT software and hardware, electricity, insurance, operations and supply chain. IDX directly employs personnel in
cleaning and consultancy. Australia and New Zealand and complies with all employment
IDX aims to maintain a high standard of ethical behaviour in laws and regulations in those countries.
conducting business and to behave with integrity in all dealings Our FY21 Modern Slavery Statement is supported by a detailed
with suppliers. analysis of our supply chain, including equipment, medical
consumables, information technology hardware and contracted
Buying with impact typists. Analysis of IDX’s supply chain and associated risks
As part of our ESG Strategy, we are establishing partnerships identified similar risks to the previous year, in that our greatest
with key providers to understand their sustainability roadmap risk relating to modern slavery is being directly linked to it
and share our learnings from our own sustainability journey. through our supplier relationships.
We have worked cooperatively with many of our suppliers Accordingly, the Group engaged directly with suppliers assessed
to ensure they understand our expectations now and into as very high risk plus our 10 largest suppliers, to gain a better
the future. IDX will seek to extend this activity in FY23 by understanding of their approaches to managing modern slavery
incorporating our supplier emissions information, in relation to risks and to convey IDX’s expectations in this regard.
the equipment we purchase into our procurement matrix along
with circular economy initiatives generated by our suppliers. We Our FY21 Modern Slavery Statement, supported by a detailed
are committed to working with our supplier to ensure all Scope analysis of our supply chain, including equipment, medical
3 emissions are reduced. consumables, information technology hardware and contracted
typists, identified areas for risk assessment as a result of
Ethical Supply Chain supplies being manufactured or provided from offshore.

IDX has developed an Ethical Supply Chain Policy, which outlines We continue to work with our suppliers to further understand
how we ensure engagement with suppliers and management their downstream supply chains and controls and monitoring
of supply chain risks is conducted in line with stakeholder they have in place to ensure compliance with the MS Act.
expectations. IDX also has a Whistleblower Policy and the
purpose of this Policy is to establish a framework to detect
improper conduct and to encourage individuals to report
improper conduct in a protected manner.
These policies can be found on the IDX website.

Paying bills promptly


As part of our commitment to be a good business partner, we
work to pay our suppliers and partners on time. Our on-time
payment report represents our performance in paying all of our
suppliers against agreed terms. We have also started reporting
on our payment times for small businesses. We have a Code
of Conduct that outlines how IDX expects its representatives to
behave and conduct business.

26
GOVERNANCE

IDX recognises that corporate governance is key to creating, ESG Governance structure within IDX
protecting and enhancing value for our stakeholders. Our
Board is committed to maintaining high standards of corporate
governance and has adopted a system of internal controls, risk ESG Governance structure within IDX
management processes and corporate governance policies and IDX Board Responsible for ESG including relevant
practices to support and promote the responsible management corporate governance policies and risk
and conduct of our business. management framework.
We comply with the ASX Corporate Governance Council’s Approve the ESG Strategy and the
Principles and Recommendations (4th Edition). Certain details ESG Report.
of our Corporate Governance framework are laid out in our Audit, Risk and Guides IDX’s ESG approach and
Corporate Governance Statement. For more information on Compliance development of Strategic Initiatives.
our corporate governance practices, please see our Corporate Committee
Governance Statement and related key governance documents, Oversees reporting requirements and
at www.integraldiagnostics.com.au/ corporate-governance. management of ESG risks.
People and Oversees and guides our people, culture
IDX has established an ESG Committee to formalise our
Remuneration and remuneration strategy.
approach to our ESG responsibilities and subsequent action
Committee
plans. The Committee comprises Executives, members of
Senior Management and operational personnel. The Committee Senior Approves and is responsible for actioning
provides strategic direction and oversight of our ESG approach. Management and our specific ESG initiatives.
The Audit Risk and Compliance Committee guides and monitors Executives
the ESG Committee's activities, which are reported to the Board. ESG Committee Develops our ESG approach.
The Board formalised in its charter, its commitment to
the social and environmental impacts of the Company’s Remuneration in context of ESG
activities by including the consideration of these matters, in
Part of our leadership assessment is focused on our leaders’
its charter. The Board approved the Company’s policies and
ability to align to our core Values, which form the foundation of
evaluates the effectiveness of and compliance with these
our ESG Strategy. The leadership assessment forms part of the
policies. The Audit Risk and Compliance Committee Charter,
annual remuneration review.
includes responsibilities relating to the environment and
social considerations.

Integral Diagnostics Environment, Social and Governance (ESG) Report 2022 27


RISK MANAGEMENT FRAMEWORK

IDX’s Risk Management Framework identifies our risk profile and Clinical governance
sets out the way key risks are assessed, managed, monitored,
escalated and reported. The Group’s core financial and non- A key component of the Group’s risk management is clinical
financial risks are described in the Operating and Financial governance, which is managed through the ICLC and Business
Review in the Annual Report. These risks are continuously Unit/Subsidiary Clinical Leadership Committees (Business Unit
assessed by management and reported to the ARCC and Board. CLCs), under the ICLC Charter, which is available in the
A copy of the Annual Report is available on our website. Corporate Governance section of our website.

During FY22 we continued to review and assess our processes The Charter provides a framework for the ICLC and Business
and controls in relation to health and safety, business continuity, Unit CLCs to work together to develop and implement
clinical excellence, privacy and confidentiality and cyber security policies and work practices to enable clinical best practice.
to ensure we are adopting best practices in line with our The responsibilities of the ICLC include reviewing any
industry profile, and to assess that we are managing these risks recommendations arising from any adverse incidents from the
appropriately to ensure the best outcomes for all stakeholders. Business Unit CLCs, reviewing Group-wide incident data and
An update of IDX’s risk profile resulted in the inclusion of a trends to identify improvements, and to share learnings to
risk focused on meeting stakeholder ESG related expectations. prevent recurrence.
FY22 has also seen the rollout of a risk management This financial year, IDX has added a new group wide quality
application designed to efficiently produce risk reporting for manager role to work collaboratively across all IDX Business
senior management and ARCC/Board consumption and to drive Units and Shared Services Teams to foster a culture of continual
accountability regarding management of risks and achieving improvement, clinical excellence, and quality at all levels of
agreed actions. the organisation. This initiative will help drive clinical process
improvements and drive efficiencies by maximising best practice
Tax transparency information sharing between Group and Business Unit functions.
We are committed to meeting all tax compliance obligations and
to providing our stakeholders with information about the taxes
we pay and the taxation policies we employ. IDX has adopted a
taxation policy to ensure that all taxes are paid in line with the
relevant requirements of the Group’s tax jurisdictions. The policy
covers both direct and indirect taxes and the use of advisors.

Summary of tax paid

Unaudited breakdown of all tax


payments for year ended 30 June
2022 ($million)
Corporate income tax 11,914
PAYG paid on behalf of
our employees 56,226
Employee payroll tax 7,439
Total tax payments borne 75,579

28
GOVERNMENT

In Australia IDX continues to monitor, assess and help shape the


regulatory landscape through its participation in the executive
of the Australian Diagnostic Imaging Association (ADIA) and
radiologist’s membership in the Royal Australian and New
Zealand College of Radiologists (RANZCR) Our CMO Dr Lisa
Sorger is on the RANZCR Faculty Council, the Diagnostic
Economics Committee and the Theranostics Working Group,
while Dr Sally Sojan who is the Treasurer of the Australasian
Musculoskeletal Imaging Group (AMSIG) and a member of the
Diagnostic Imaging Accreditation Scheme Advisory Committee.
In New Zealand. Dr Quentin Reeves is the president of AMSIG
and a New Zealand committee member of the New Zealand
branch of RANZCR.
Please refer to GRI Index list for other memberships.

Political donations
We do not make direct or indirect contributions to any political
party. Our Anti-Bribery, Fraud and Corruption Policy prohibits
donations to political parties.

Integral Diagnostics Environment, Social and Governance (ESG) Report 2022 29


CONTACT US

We welcome feedback on our ESG Report as part of our


commitment to continuous improvement.
If you have any questions or feedback in relation to this report,
please email IDX at: [email protected]

External assurance
PKF Australia has conducted limited assurance over selected
information in this Report and the associated data tables. A copy
of PKF’s assurance statement is available on our website.

Suite 9.02 Level 9, 45 William Street


Melbourne, Victoria 3000
T +61 3 5339 0704
ABN 55 130 832 816

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