SUSTAINABILITY REPORT

Transcription

1 AFG Annual Report SUSTAINABILITY REPORT AFG and its subsidiaries are committed to a consistent and comprehensive sustainability policy. This policy is part of the corporate strategy and of all operational activities. AFG and its companies strive to set good examples in their dealings with shareholders, lenders, employees, customers, business partners, governments, society and the environment. To live up to this claim, the subject of sustainability was integrated into the transformation process in the reporting year 2014, and a professional sustainability organisation was established in the form of the Group function Corporate Sustainability. AFG intends to develop sustainability management into an accepted, integrated management process that supports the implementation of the vision in conjunction with the efforts of daily business. ENGAGEMENT WE ARE PASSIONATE ABOUT CRAFTING SOLUTIONS THAT ADD VALUE. WE ARE EAGER TO PERFORM AND TAKE THE INITIATIVE IN OUR BUSINESS.

2 SUSTAINABILITY AT AFG 1.1 Sustainability in the strategies In line with the megatrends Energy Efficiency, Safety & Security and Well-Being, AFG develops solutions for building envelopes and interiors. To this end, the AFG sustainability programme 2020 is integrated into the strategic positioning. 1.2 Sustainability implemented by means of actions The AFG sustainability programme 2020 contains nine action fields that are broken down into detailed work packages for implementation. For rollout and implementation, the organisations, standards and structures that exist in the companies and business units are used and, where appropriate and necessary, supplemented. The establishment of a consistent reporting system is a key addition at Group level. Through the commenced implementation of the AFG Sustainability Information System, relevant indicators will henceforth be recorded and analysed in a standardised form at all locations and tracked at Group level. This will facilitate the ongoing improvement of performance in the field of sustainability. 1.3 Sustainability with long-term targets as part of the vision and values Through the implementation of the programme, all companies are to become sustainably operating enterprises and are also to be externally perceived as such in the brands and products. At the end of the rollout of the AFG Sustainability Programme 2020, AFG is to stand for sustainable living and construction. 2 THE AFG SUSTAINABILITY PROGRAMME 2020 Actions economy Actions environment Actions society 1 Sustainability in business planning 2 according to GRI4 3 Participation in the Carbon Disclosure Project (CDP) 4 Sustainability in the R & D strategy 5 Sustainability through environmental management (ISO 14001:7) 6 Sustainability in the procurement strategy 7 Health & safety in business planning 8 Sustainability through employee protection (e.g. OHSAS 18001: 07) 9 Social responsibility (regional / global) 2.1 Structure and objectives The programme consists of nine action fields, i.e. three in each of the three sustainability dimensions. As a whole, it addresses all key topics regarding which AFG wants to position and commit itself by 2020 in the field of sustainability. Selection of the contents is based on the expertise of the AFG sustainability team, expert opinions and competition and market analyses. 2.2 Monitoring of the programme In the future, the indicators to assess AFG s sustainability performance are to be recorded and tracked in a standardised manner at all levels by means of the AFG Sustainability Information System. 3 KEY SUBJECTS OF THE AFG SUSTAINABILITY PROGRAMME The materiality matrix To ensure sound assessment of the significance of the various sustainability subjects, special attention was paid to dialogue with stakeholder groups. Critical comments about AFG, such as those that arose from the Common Welfare Analysis 2013 of the University of St. Gallen, were also taken into consideration in the selection of key aspects (further information (in German) is available at http: //www. gemeinwohl.ch/atlas).

3 18 19 The stakeholder groups and requirements with respect to products, production sites and supply chains are also taken into account. Within the scope of the ISO certifications that exist at the locations, key suppliers are regularly assessed, taking into consideration environmental and employee protection aspects. Requirements are recorded by means of procedures with authorities, employee interviews and monitoring audits. Customer contacts are maintained intensively. In this way, it is ensured that all topics of relevance to AFG are addressed. For the year under review, a materiality matrix was designed for the first time in order to enable the assessment of the various action fields in the sustainability programme for their significance to business development and the various stakeholders of AFG. The development process of the AFG Sustainability Programme 2020 and its further transition to the materiality matrix are presented in fig - ure 1. AFG vision AFG strategies AFG values AFG Code of Conduct AFG directives AFG guidelines Fig. 1 AFG Sustainability Programme 2020 Matrix of key subjects 3.2 Relevant aspects of the AFG Sustainability Programme 2020 The materiality matrix indicates the relevance of the nine actions of the AFG Sustainability Programme 2020 with respect to external stakeholder groups and AFG itself. For further information, actual reporting and coverage of the GRI indicators, please refer to the report that is available at: 4 SUSTAINABILITY PERFORMANCE OF AFG IN 2014 The performance and targets achieved in the year under review are presented on the basis of the action fields of the AFG Sustainability Programme Economy: sustainable corporate governance Sustainability in business planning increased resource efficiency AFG products are produced and distributed in an energy-efficient manner and through optimised transport routes. Material and energy consumption analyses are conducted and projects are rolled out in the production facilities to further increase resource efficiency. These measures have resulted in plant improvements and optimised processes. For 2015, further modernisation measures are planned in the field of heat supply at three locations. Two examples of active CO 2 management: Sabiana, which was acquired by AFG in the year under review, has photovoltaic systems on the roofs of its production facilities that generate kwh of power, thereby offsetting CO 2 emissions of approximately 700 tonnes. Production requires about kwh a year. EgoKiefer windows are eco-friendly by design. Since 2014, the services of the service team have been CO 2-neutral. For this purpose, the average CO 2 emissions of the service team are offset by purchasing CO 2 certificates of the Gold Standard (the world s strictest standard for emission reduction projects) via the Carbon Marketing agency. In total, about 1100 tonnes of CO 2are offset in this way each year The sustainability report open, transparent communication With the sustainability report, AFG wants to provide transparent and comparable information on the implementation of the AFG Sustainability Programme For this purpose, AFG applies the reporting principles of the Global Reporting Initiative, the world s most frequently used standard for voluntary sustainability reports. Open communication is very important, both externally for trust-based dialogue with the various stakeholder groups and internally with employees. In connection with the pursuit of the strategic goals, the sustainability report is also a valuable instrument for the further improvement of environmental and social performance. As a matter of principle, the scope of the report comprises all locations and business units of AFG. The enhancement of the data basis and quality, which are still very different in some areas, and the establishment of a systematic reporting system are key tasks of the Corporate Sustainability function, which was newly established in 2014.

4 Participation in the Carbon Disclosure Project CO 2 management of AFG AFG also participates in the Carbon Disclosure Project (CDP). Participation is voluntary for companies. The non-profit organisation CDP queries company data on greenhouse gas emissions at yearly intervals. From the replies received, CDP prepares the Carbon Performance Leadership Index. In 2014, AFG participated in the CDP for the first time and received the Newcomer Award 2013 in recognition of its good performance. On this basis, AFG wants to continue to improve in the future. The good CDP performance provides motivation for further improvements to internal CO 2 management. 4.2 Environment: services and quality products from modern production Sustainability in R & D innovative products Within the scope of this programme item, further eco-design criteria will consistently be included in R & D by 2020 to expand on existing approaches. Though the demand for such eco-friendly products is unfortunately still limited, AFG is convinced that investment activities in eco-design and resource-friendly products will pay off in the long run. In every advisory discussion, attention is deliberately drawn to the benefits of eco-friendly products. Kermi focuses on products whose production and operation are energy-efficient and resource-friendly. The energy-saving Kermi radiator boasts an up to 25 % shorter heating time, up to 100 % more radiation heat and a provable energy-saving potential of up to 11 % compared to conventional technology. In old buildings, for example, the energy-saving radiator enables annual savings of more than kwh compared to conventional flat-panel radiators. This energy is sufficient to wash washing machine loads or to operate a refrigerator for 42 years. If all 14.5 million single-family and two-family houses in the home market Germany were to employ the innovative x2 technology, more than 9 billion litres of heating oil and approximately 24 million tonnes of CO 2 could be saved in a year. EgoKiefer systematically uses information from product life cycle assessments for product development. The EgoKieferwindows excel with their exquisite aesthetics. The XL 2020 is Switzerland s first window to fulfil the MINERGIE- P requirements and the strict European energy efficiency regulations of Together with the high-performance insulation glass EgoVerre, the XL 2020 window achieves outstanding heat insulation values, thereby enabling heating energy savings of up to 75 % compared to conventional windows. These savings result in a positive life cycle assessment. The energy saved during the useful life of a window exceeds the energy input for the production, installation and disposal of the window. EgoKiefer windows used in renovation work in the year under review alone have reduced heating oil consumption by about tonnes and thus CO 2 emissions by more than tonnes. RWD Schlatter has an FSC company certification that confirms its sustainability in connection with the use of wood and wood materials. Special doors are produced according to the Minergie standard, LEED certification and natureplus requirements. AFG regards cooperation with universities and research partners as an important element of its technology and product development. In the year under review, AFG participated in the Solar Decathlon as a platinum sponsor. The Solar Decathlon is a demanding university competition in the field of sustainable building. It is held every year, alternately in Europe and America. Each year, up to 20 teams from all countries worldwide participate in the Solar Decathlon. For the first time, a Swiss university, Lucerne University of Applied Sciences and Arts, participated in the Solar Decathlon held in Versailles (France) from 26 June to 14 July The Team Suisse Lucerne achieved a very respectable fifth place in the overall ranking Sustainability through environmental management systems standards as the basis for success Except for three company locations of AFG, all locations have certified management systems for quality (ISO 9001:08) and the environment (ISO 14001:09). Kermi also has a certified energy management system (ISO 50001:11), and Slovaktual operates an occupational safety system (OHSAS 18001:07). Above all, these systems ensure the monitoring of compliance with statutory framework requirements and constant improvement through the pursuit of programmes. By 2020, AFG wants to obtain certifications according to the environmental management standard ISO 14001:15 for all locations Sustainability in the procurement strategy secure and clean supply chains The Code of Conduct describes requirements for relationships with suppliers. The purchasing terms and conditions of AFG contain strict requirements for suppliers with respect to environmental and social criteria. In 2014, supplier screening was conducted on the Group level using environmental and social criteria. The result did not reveal any negative findings. Within the scope of the management systems that exist at the locations, supplier assessments and audits are conducted consistently, also under consideration of environmental and social aspects, especially those related to employee protection. Moreover, the supplier structure is designed for long-term cooperation, enabling the identification of improvement potential and the enhancement of cooperation for the benefit of all. All major partners are regularly assessed and informed about the results.

5 Social: taking responsibility as a team As a Group with approximately employees, AFG assumes its social responsibility to the best of its abilities. Naturally, the measures in this area begin with its own employees. For the long-term, sustainable stabilisation of the management basis, a personnel development and professional training strategy was adopted in AFG provides training in more than 25 professions. As at 31 December 2014, AFG had 120 trainees worldwide. AFG also provides competence-oriented further training, which covers development requirements with respect to the specific setting of the various career paths. In 2014, this standardised performance process was rolled out at senior management level around the globe, and 78 managers (approximately 5 %) received training. The regularly determined results are consolidated and discussed by the responsible parties and the talented individuals in question in order to initiate further development measures. Achievements are also acknowledged in monetary form. Based on up-to-date competence profiles, individual target agreements that are associated with a bonus system are concluded with senior managers. AFG offers a number of privileges and social benefits Health & safety in business planning healthy work at its best At AFG, employees are the focus. Special attention is paid to them by means of diverse measures under the AFG Sustainability Programme Topics that serve physical and mental well-being and thus ensure the high motivation of employees are pursued under health & safety in business planning. Unfortunately, the accident rate as measured by serious work accidents per employees has not followed a satisfactory trend in the Group in recent years. In the future, the accident rate will be tracked on the basis of indicators and will be accompanied by measures such as employee protection campaigns, intensified training and awareness raising. By establishing a safety culture in the form of Corporate Health & Safety, the number of occupational accidents is to be reduced significantly in the future Sustainability through employee protection laws and standards provide safety The measures provided for in this area mainly aim at compliance with employee protection laws and standards. Technical safety standards of buildings and machinery are regularly assessed by internal and external experts, and identified defects are consistently eliminated Social responsibility from AFG workplaces to the world The taxes paid by AFG worldwide, amounting to about CHF 11 million in 2014, make a contribution to public finances and to the common good. The company makes project-specific commitments for the benefit of the community in the areas of sport, education, research and science. Moreover, AFG allocates substantial funds to social institutions. AFG and the companies support local and regional organisations and events of general interest or in connection with a particular emergency. AFG supports Future Champs Ostschweiz financially. Here, federations and associations form a network for talented regional junior football players. In this way, these players are to be prevented from drifting to large clubs. Sabiana promotes the education of its employees children and sponsors team sports. For many years, the women s basketball team Sabiana Vittuone and the cycling club Equipe Corbettese have been provided with significant funding. 5 FURTHER INFORMATION More detailed contents, especially the complete list of GRI indicators, are available under the following link: Additional measures are to be implemented in individual companies. At Kermi, the obligation to determine suitable employee protection goals and measures is already a standard element of corporate policy and is made permanently accessible to employees and the public via the intranet and Internet. Through ongoing education and training, EgoKiefer prepares its employees for the future. By means of regular information, the company sensitises them to corporate goals as well as quality, environment and safety at the workplace. RWD Schlatter has introduced its own health management with regular health circles.