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:: ANNUAL REPORT 2006  
 
 

This bridge not only provides safety and security to my pupils, it helps society as a whole. It’s good to care and great to offer help wherever it’s needed. Thank you CYTA.CORPORATE SOCIAL RESPONSIBILITY AT CYTA

WHAT IS CORPORATE SOCIAL RESPONSIBILITY?
Globalisation, political upheavals and technological advances lead to rapid and radical changes in society worldwide. Society’s expectations about the role and the responsibilities of business are changing drastically. In the newly-emerging economy, companies are judged not only on the basis of their financial results, products and services, but also on their environmental and social practices and sensitivities.

For these reasons, more and more companies in Europe and throughout the world are adopting policies on, and are voluntarily involved in, areas such as working conditions, human rights, the environment and social issues, over and above their legal and regulatory obligations. The term Corporate Social Responsibility (CSR) is used to describe these broader commitments of a company, beyond its responsibility for profitability and financial survival.  According to the definition of the European Commission, CSR is a concept whereby companies integrate social and environmental concerns in their business operations and in their interaction with their stakeholders on a voluntary basis.

The internal dimension of a company’s CSR covers issues of human resources management, health and safety in the workplace, management of change and management of the environmental impact of its operations.

The external dimension of a company’s CSR extends to the local community and society and involves, apart from employees and shareholders (or owners), a broad group of stakeholders, such as partners, suppliers, consumers, public authorities and non-governmental organisations (NGOs) and extends to issues such as human rights  (e.g. in the supply chain internationally), and the environment.

CYTA’S SERVICES
CYTA’s products and services have the capacity to impact on all three dimensions of CSR: environmental, social and economic.

Regarding the environmental dimension, our services can contribute to reducing the burden on the natural environment through the substitution of matter (dematerialisation). For example, e-mail substitutes traditional written communications while teleconferencing and videoconferencing substitute travel, thereby reducing fuel consumption and greenhouse gas emissions.

In the social dimension, our services can, for example, improve the provision of medical services, education and the quality of life of workers through advanced applications such as telemedicine, tele-education and teleworking respectively.

In the economic dimension, our services contribute to improving entrepreneurial capabilities and the development of new business activities and innovative products and services via applications such as the Internet, e-commerce, call centres, etc.

CYTA, A RESPONSIBLE ORGANISATION
CYTA was quick to acknowledge these trends and their potential. It is also aware that it constitutes an integral part of the broader society in which it operates and, being a socially and environmentally responsible Organisation, is keen to maintain the trust of society. This is why, for a number of years, apart from its usual activities in the field of telecommunications, it has been actively involved in and contributed to society as described in the Business Excellence Model of the European Foundation for Quality Management (EFQM).

The European Union proposes a holistic approach to the application of CSR, namely its integration in all aspects of everyday business management and relationships with all its stakeholders.  That is why, in 2006, we set about implementing a project for the Integrated Management of CSR at CYTA, by carrying out a CSR self-assessment according to the EFQM Framework for CSR and with the aid of an external consultant. The self-assessment included stakeholder mapping and resulted in the identification of areas for improvement in CSR. The objective of this project is the introduction and integration of CSR in the daily operations of the Organisation, so that it is no longer a separate or add-on activity.

CYTA’s RESPONSIBILITY TO SOCIETY
CYTA has adopted the EFQM Business Excellence Model, which also prescribes self-assessment in the area of contribution to society, beyond financial results and customer and employee satisfaction. Thus, we have consciously decided to promote our corporate identity, our products and services indirectly as well. In the year under review, in the framework of our Corporate Social Responsibility, we implemented projects contributing to Health and Welfare, Education, the Environment, Culture, Sport, and Research and Technology, thus reinforcing our contribution to society.

Health and Welfare
In the sensitive area of road safety, our policy focuses on the cultivation of road safety awareness among young people who make up around 25% of the victims of traffic accidents in Cyprus. For this reason, we again organised road safety seminars for National Guard conscripts and Secondary School leavers graduating at the end of the 2006-2007 academic year. This CYTA initiative confirms, furthermore, our commitment to the European Road Safety Charter (which the Organisation signed in Dublin in 2004) and to the common European goal of halving the number of road fatalities by 2010.

Regarding health, we sponsored the Centre for Preventive Paediatrics for the third successive year, donating the sum that would have otherwise been used on printing and posting Christmas cards to our associates which are now sent by e-mail, as well as the Medlook electronic news bulletin on health matters. 

In 2006 we delivered to the Cyprus Anti-Anaemia Association cardiac equipment for monitoring patients with Thalassaemia for the needs of the Thalassaemia Centre, in memory of our colleagues Paris Demetriou, Vasilis Renko and Pericles Psaroudes and of the wife of a CYTA employee, Mary Vasos Georgiou, who died in the tragic August 2005 air crash.

It is worth noting that above and beyond its support of the Association, CYTA was the first major Organisation in Cyprus to employ Thalassaemics.

In the context of our interest in public health and welfare, several of our activities have now become established institutions.

Since we care about the welfare of those manning the National Guard, every year we issue and distribute free of charge "Camouflage" telecards to newly-drafted National Guardsmen on their first day of military service. We also offer telecards at Christmas to Greek officers and soldiers serving in the National Guard and the Greek Armed Forces in Cyprus, as well as to low-income National Guard soldiers and prisoners.

We also contributed to the 2006 Radiomarathon as an Official Sponsor, through activities such as our participation in the "Love Fairs" and the participation of CYTA’s mascot "Telis" in the mobile cash boxes touring schools for fundraising.  We also organised for the first year running a Futsal tournament featuring four teams comprising Members of Parliament, Sportswriters, Actors and CYTA staff respectively. We supported other charity fundraising events in a similar way. Also, during the Christmas holidays, CYTA representatives visit hospitals and children’s homes with gifts for the children.

With the aim of offering telecommunications support to charity fundraising events, CYTA has, for some years now, provided the free Charity Direct service which enables people to make donations by telephone to charitable organisations. We also operate several services with a four-digit telephone number via which free calls may be made to various emergency services.

Education
Once again we sponsored the islandwide "Technology in Education" competition and we were sponsors of the Cyprus Mathematical Society. We also provided ten scholarships to non-CYTA employees to obtain the Intercollege Diploma in Telecommunications & Information Technology. The purpose of these scholarships to employees and third parties is to enrich the labour market with technicians who are trained in Information Technology due to the present shortage.

On the subject of activities that have become institutions, in recent years CYTANET has sponsored "JOTA-JOTI" (Jamboree on the Air and on the Internet), the annual online event of the Cyprus Scouts Association.  Since 2001 CYTANET has made presentations to junior, secondary and technical schools on the subject “All about the Internet” with the aim of educating students about electronic communications and promoting Internet usage in schools. By the end of 2006, we had made 202 visits to schools where the presentations were attended by a total of 20.635 pupils and teachers.

In the framework of an agreement between CYTA and the Ministry of Education and Culture, we have connected all the island’s schools to the Internet free of charge. They pay a special low monthly subscription fee and, among other things, receive free web hosting of school and teachers’ websites (of educational content).

We contributed to the creation and operation of the Youth Board of Cyprus’ Youth Information Centres in Nicosia and Agros to which we provide equipment and services. We are also in the process of setting up a mobile Youth Information Centre in collaboration with Microsoft. 

Every year we publish an activity book for children entitled "Playing, having fun and learning with Telis" which is distributed to all pre-school and primary school children throughout the island. The book contains educational and recreational material approved by the Ministry of Education and Culture. The book also contains announcements of painting competitions. The best children’s paintings are subsequently chosen and prizes are awarded at a special ceremony.  The winning paintings are included in a wall calendar published by CYTA.

In the framework of extra-curricular activities for children, CYTA "opens its doors" every year to many children. Usually they visit the Makarios Satellite Earth Station or the Archive Centre in order to learn about our Organisation, its services and history. We also welcome pupils and students on work experience projects.

Every year we enable prospective students to obtain their university entrance examination results as soon as they are announced by the Ministry of Education and Culture, either from the CYTANET homepage or by text message to their mobile phones via the Cytamobile-Vodafone cybee service.

Finally, the soeasy prepaid mobile telephone service supports the health and correct diet programme that is implemented in junior schools across the island, having purchased a MENTOR mobile education unit.

Environment
Our Organisation wishes to contribute to the development of an environmental awareness among the people of Cyprus as part of its contribution to society, by implementing a variety of projects and activities. (Read more about CYTA’s internal environmental management later on in this chapter.)

There are CYTA Parks in almost every district in Cyprus, created in collaboration with the respective Municipalities. The development of CYTA Parks stems from an earlier decision to create green places in various urban areas.

One well-established institution is our sponsorship of the activities of CYMEPA which, among other things, offers environmental education programmes to schoolchildren. These include the "Young Journalists for the Environment" programme which is supported by the Ministry of Education and Culture, coordinated by the Foundation for Environmental Education in Europe and sponsored by CYTA. Within the framework of this programme, a competition is held among high school and lyceum students, the winners of which are awarded prizes by our Organisation at a special ceremony.

Since 2001, we have provided special paper recycling collection boxes (which we also use in our own offices at CYTA) and relevant posters to eco-schools and other interested schools. More specifically, between 2001 and 2006, around 1.000 such recycling boxes and posters were donated to more than 50 schools for use in classrooms in order to develop the children’s environmental awareness.

Culture
In 2006, CYTA sponsored the "Guardian Angel on the Road" concert which aimed at increasing public and state awareness of Road Safety issues. The concert featured songs written exclusively by Antonis Mitzelos and performed by well-known singers including Giorgos Dalaras, Lavrentis Machairitsas, Margarita Zorbala and others. In the context of our sponsorship of both the concert and the Road Safety aspect, our Organisation held a press conference.

We also presented a performance entitled "Transcendence" dedicated to the work of Cypriot composer Stelios Pisis who, despite being bedridden and requiring a ventilator due to muscular dystrophy, writes on a computer. He watched the entire concert from his home in Lemesos (Limassol) thanks to a live teleconference organised by CYTA. The music was performed by the Cyprus Symphony Orchestra under conductor Spyros Pisinos and the songs interpreted by Demetris Fanis, Maria-Elena, George Ioannou, Christina Pavlidou and Miltiades Paschalides.

Finally, we sponsored two exceptional concerts in Cyprus by the world-famous Vienna Mozart Orchestra and the internationally renowned Cypriot baritone Kyros Patsalides. The concerts took place in Lemesos (Limassol) and Lefkosia (Nicosia) as part of the singer and orchestra’s world tour and closed a series of international performances to mark the 250th anniversary of the birth of Mozart.

Sport
Since 2005, CYTA has been a Major Sponsor of Football. The sponsorship programme covers the Cyprus Football Association, the Cyprus national team and all the teams of the 1st, 2nd, 3rd and 4th Divisions.  We also continued our support of the Cyprus Referees Association and the Cyprus Sportswriters Association.  

For the seventh successive year, CYTA supported the Cyprus International Rally, one of the events in the World Rally Championship calendar which is seen by 150.000.000 television viewers and thus promotes Cyprus around the world. CYTA provided the Rally with technical support, including broadband services and Internet access via CYTANET as well as mobile phone services through Cytamobile-Vodafone.

Technology and Research
Recognising public concerns about the topical issue of Electromagnetic Fields and wishing to contribute to the spread of information on the subject to authorities and individuals we sponsored a Symposium on "Electromagnetic Fields - Sources, Health Effects and Regulations", organised by the Cyprus International Institute for the Environment and Public Health in collaboration with the University of Cyprus and the Cyprus Scientific and Technical Chamber (ETEK). The Symposium was addressed by internationally renowned scientists.

Finally, to mark World Telecommunications Day (17 May) we organised two seminars on "Safe Internet for our Children", enabling parents, teachers, pupils and all interested parties to learn about the topic from experts, free of charge. Speakers from Greece and Cyprus described to participants today’s situation regarding the Internet, especially where issues of safe content are concerned.

CYTA’S RESPONSIBILITY TO ITS PEOPLE
As a responsible citizen and good employer, CYTA manages and develops its personnel through the implementation of management systems and programmes for the development/support of their professional and private lives.

Significant achievements in this sector during 2006 included the implementation of flexible working hours in more Units, the continuation of road safety programmes, the implementation of the Development Centres and the drawing up of personal development programmes for a number of employees, the broad participation of members of staff in both internal and external training programmes and others which are described in detail in the "Human Resources" section of the "Management" chapter in this report.

Our Organisation offers its personnel far more than is prescribed in the relevant legislation. It takes care of the health and welfare of its employees and their families through the Medical Fund and the CYTA Staff Welfare Fund, by holding seminars on medical and social issues (e.g. stopping smoking, bringing up children, etc.), implementing an advice and support programme by employing the services of a social worker, providing financial assistance to needy employees, pensioners, employees’ widows and orphans, arranging low-interest student and housing loans and more.

For the children of staff members we organise Christmas parties, give prizes to the top students in secondary and tertiary education and award scholarships.

For our employees’ own entertainment, we subsidise their subscriptions to the Cyprus Theatre Organisation and provide free tickets to concerts, plays and football matches.

We also hold special retraining seminars for retiring members of staff, while the Organisation’s care for its employees extends beyond their working lives. Retirees continue to be covered by the Medical Fund and may take advantage of the facilities and subsidised holidays offered by the CYTA Staff Welfare Fund.

CYTA employees, sensitive to social issues, also make their own contribution to society. For some years we have established and promoted regular blood donation sessions in the workplace during working hours. Members of CYTA’s staff also make other voluntary social contributions such as the Personnel Department’s organisation of a Futsal tournament and other activities aimed at raising funds for the Children’s Oncology Department of the Makarios Hospital and the collection of aid for Lebanon during the war.

CYTA’S RESPONSIBILITY TO THE ENVIRONMENT
As a modern European business, CYTA respects the environment in which it operates and does everything within its power to operate and promote itself as an environmentally responsible Organisation.

Recognising the positive and negative impacts on the environment of our operations, products and services, we took action in 2001 by formulating our Environmental Policy.

One of our strategic objectives in this area is the implementation of an Environmental Management System. In 2006, we continued work on the project for the introduction and certification of an Environmental Management System according to the International Standard ISO14001. The first stages in this project include the identification of, and compliance with, legal environmental obligations. To this end, we began with the preliminary screening of environmental legislation and the identification of applicable legislation. Two such themes are the legislation on waste from electrical and electronic equipment and the legislation on packaging and packaging waste, regarding which we have already initiated the necessary procedures for compliance.

In response to public concern regarding electromagnetic fields from mobile telephony base stations, we continued to meet with groups of concerned citizens and organised groups in order to keep them properly informed on this issue.

In line with our Environmental Policy of procuring environmentally friendlier products and as a result of the inclusion of environmental criteria in the purchasing process (especially for paper) we obtained recycled photocopying paper for the first time. This paper, which is used within the Organisation, is made from 100% recycled paper.

CYTA’S RESPONSIBILITY FOR ITS PRODUCTS
With the aim of protecting our customers from undesirable and harmful online content, we introduced the Safe Internet service. Safe Internet is aimed mainly at parents who wish to monitor and prevent access to content which they consider harmful to their children. Also, to mark World Telecommunications Day on 17 May, we organised two seminars on "Safe Internet for our Children" as noted in the section "CYTA’s Responsibility to Society" in the paragraph on "Research and Technology". 

CYTANET provides free e-mail anti-virus and anti-spamming protection to all its customers. Internet users who are CYTANET customers can adapt this particular facility to their own requirements.

Recognising the dangers arising from mobile phone use while driving, we supported the Police   in their campaign to inform the public about this issue through a Cytamobile-Vodafone leaflet called "Mobile Telephony - Instructions for Safe Driving" for distribution by the Police as part of their campaign.

Aware of the needs of special groups of customers, under the banner "Everyone has a right to communication", CYTA provides special telephone handsets for individuals with impaired hearing, vision and movement.  A recent example is the "emporiaLife" mobile telephone which is aimed mainly at the elderly due to its construction and characteristics, e.g. a large screen, large keys, loud sounds, an easy-to-use menu and an SOS key.

As a follow-up to this, wishing to make mobile telephony more accessible to the visually impaired, in 2006 we introduced the Speaking Phone service. Special software for the mobile phone enables users to hear the menu, the telephone directory, SMS messages, etc. The service is provided free of charge to customers with visual impairment.

References to the above can be found in the chapter "Products and Customer Service" in the sections "Internet" and "Mobile Communications" respectively.

PUBLIC PERCEPTION INDICATORS FOR CYTA
Apart from having a positive impact on society and its stakeholders, CYTA’s involvement in Corporate Social Responsibility is also reflected in its corporate image and adds value to the Organisation.

We use a yearly market survey to monitor public perception with a series of indicators in the field of Corporate Social Responsibility. The 2006 survey revealed that CYTA remains one of the first three organisations cited most frequently by the public as being socially responsible.

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