Cover Naeem Shahab Khan, managing director, Philip Morris Malaysia
Naeem Shahab Khan, managing director, Philip Morris Malaysia
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Naeem Shahab Khan of Philip Morris Malaysia shares how the company is tackling sustainability while driving a smoke-free transformation
Corporate sustainability has evolved dramatically over the past decade, transcending the realms of optional CSR initiatives to become a fundamental business imperative. As global challenges like climate change, resource scarcity, and social inequality intensify, corporations find themselves at a crossroads: adapt their business models toward genuine sustainability or risk obsolescence. The most forward-thinking companies now recognise that true sustainability requires more than environmental window dressing—it demands a holistic reimagining of their core products, operations, and social impact.
Read more: Naeem Shahab Khan, managing director of Philip Morris Malaysia, wants a smoke-free future
At the heart of Philip Morris Malaysia’s (PMM) transformation lies its ambition to create a “smoke-free future.” For its managing director, Naeem Shahab Khan, this isn’t just a tagline—it’s a recalibration of the industry’s role in public health. “The most important part is how you reduce the impact of what we’re producing,” he explains. “Sustainability of the industry is embedded in creating a smoke-free Malaysia.” The company’s smoke-free products, designed to significantly cut harmful emissions compared to traditional cigarettes, represent a bridge between business viability and societal benefit.
However, sustainability, for PMM, extends beyond product innovation. It’s a holistic ethos split into two pillars: product and operations. The former tackles the social impact of reducing combustible cigarette use, while the latter addresses environmental footprints. “A lot of companies only talk about operations—plastic, carbon, water,” says Khan. “For us, the bigger pillar is the social impact of our products.”
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Globally, Philip Morris International (PMI) aims for carbon neutrality in direct operations by 2030 and across its value chain by 2040. In Malaysia, these targets take on a hyper-local flavour. Take cigarette butts: those tiny, often-overlooked offenders that collectively rank among the world’s most pervasive waste items. Through the PunTong bin initiative, PMM has collected over 2 million butts, partnering with NGOs to upcycle them into bricks, paper, and other materials. “People think they’re small, but they’re a big challenge,” Khan notes.
Above Naeem Shahab Khan believes that sustainability for Philip Morris Malaysia extends beyond product innovation
Naeem Shahab Khan believes that sustainability for Philip Morris Malaysia extends beyond product innovation
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Then there’s reforestation. PMM has pledged to plant 5,000 trees nationwide, a tangible step toward offsetting environmental impact. But Khan is quick to emphasise that sustainability isn’t just about corporate action—it’s about fostering a collective mindset. “This is a social responsibility, not one person or organisation’s duty,” he says.
Packaging, a notorious sustainability hurdle, is another focus. PMM has phased out single-use plastics in favour of recyclable materials like polythene and paper. Equally notable is its investment in local supply chains, where a large proportion of IQOS’s suppliers are Malaysian firms, cultivated over years to reduce transport emissions and boost regional economies. “Knowledge transfer to the local economy makes it more sustainable,” Khan says.
For any corporation, aligning shareholder expectations with sustainability goals is fraught. Khan, however, reframes the challenge. “Treat expenses as investments,” he advises. By viewing sustainability costs through the lens of long-term gain—reduced public health burdens, carbon neutrality—PMM justifies initiatives like smoke-free product R&D. “If we invest as a society, we create a sustainable future,” he adds.
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Tracking progress is non-negotiable. PMI adheres to UN-backed environmental targets and internal KPIs, but Khan resists box-ticking exercises. “Don’t do activities just to tick a matrix,” he tells his team. Instead, PMM encourages volunteerism, allowing employees to dedicate work hours to tree planting, orphanage visits, or other causes. “Whatever we do, we do wholeheartedly,” he says.
This philosophy extends to lesser-known efforts, like e-waste recycling. While PMM’s electronic footprint is small compared to tech giants, it collects used devices—a move Khan hopes will inspire others. “Everybody should be doing it,” he insists.
The elephant in the room? Credibility. “People don’t believe us,” Khan admits. For an industry steeped in controversy, overcoming scepticism remains PMM’s steepest hurdle. Yet the company is betting on transparency and tangible results. Khan hopes to expand the PunTong initiative and dreams of creating a “smoke-free city or island” in Malaysia. “We’re extending an open invitation to anybody who thinks that they can work with us to create a smoke-free city, island,” he offers. “We are in this journey as the first one doing that, and this will create a huge public health benefit.”
Sim Wie Boon is the general manager of Tatler Malaysia. Previously the print and digital editor, Sim hails from the land of the hornbills, Sarawak. Sim is now based in Kuala Lumpur and brings more than a decade of experience in the media industry as a journalist and broadcast producer.
As a self-proclaimed geriatric millennial, he appreciates the finer things in life, from savouring a sip of single malt whisky to relishing in the deliciousness of char siew. While reminiscing about the indie-sleaze era, Sim now finds solace in the soothing tunes of ambient music, staying active through running and occasionally succumbing to the addictive world of doom scrolling.
Follow him on Instagram or Threads at @simwb
