CSR Report 2015 Big enough to matter – Small enough to care CSR Report 2015 CSR CSR is an international abbreviation for corporate social responsibility, which is a typical denotation used in international organisations that place demands on how a company's social responsibility shall be reported. This includes the company's economic, environmental and social responsibility. Economic: We develop and operate a sound and healthy business, which ensures the best processes, products and the latest knowledge for our customers. Environmental: We work to create the best and most environmentally sound solutions in our production and products, as well as promote good business practice. Social: We offer our employees the best opportunities for job satisfaction and personal development, just as we work to create better conditions for others, both locally and internationally. If you have any questions or comments, you are most welcome to write to Pia Byrial ([email protected]) CSR Report 2015 CSR Business areas Eltwin is an international company, which works in for three different business areas: Inverters, Soft starters and Sensors. The business concept is to offer the market high quality and innovative products and solutions within energy technology. The basis for this is Eltwin Group's extensive expertise within product development, manufacture and marketing. Eltwin’s vision is to create sustainable energy solutions on a global level. CSR Report 2015 Sustainable solutions First and foremost, Eltwin wishes to create value for our customers and shareholders. This work also includes efforts to be socially and societally responsible. Eltwin develops and manufactures products that benefit the environment. We develop the most energy-efficient and effective products, which are also manufactured so that components can be reused as best possible. Eltwin documents our developments in the area of sustainability openly and objectively. We wish to accept our share of social responsibility, whereby it is Eltwin’s responsibility to help our customers to be sustainable We have therefore chosen to be certified in regard to the Danish standard for social responsibility – ISO 49001. The 7 primary areas in ISO 49001 are reflected in our values. CSR CSR Report 2015 Communication Why – goals What – which CSR activities Who – Stakeholders When – occasions How – style and tone Where – media Dialogue with stakeholders Identification and monitoring Dialogue and involvement Communication CSR Innovation New processes New products/services and business models with CSR profile Leadership, vision and values Good management practice Make policies, procedures and guidelines for CSR Put community involvement into practice Environmental activities Pollution prevention Waste minimisation Reduction of energy and materials Environmental management Social activities Partnerships Collaborations with educational institutions Community support Donations and sponsorship Activities Employee activities Prevention Retention Integration Customer activities Demands from customers Dialogue with customers Product labelling Activities in the supply chain Risk assessment Guidelines Demands to our suppliers Collaboration CSR Report 2015 Good management Our impact Fossil fuels: - Diesel - Petrol Electricity: - Power Heating Water Gas Waste - Flammable - Paper and cardboard - Hazardous to the environment - Metal - Electronic - Hard as well as soft plastics - Chemicals Eltwin takes responsibility for the impact our activities have on the community and the environment. Via our values: • We contribute to sustainable development, including community health and welfare. • We take the expectations of our stakeholders into account. • We observe applicable laws and international codes of behaviour. • Have integrated social responsibility into the entire group, and this is put into practice in our relationships with employees, customers, suppliers and stakeholders. CSR Report 2015 Good management Choice and development of suppliers Observing our Code of Conduct is a joint responsibility. We have suppliers throughout the entire world, and some of them manufacture under very different conditions than those we are familiar with in Denmark and the western world. Which is why we work towards – through cooperation, dialogue and inspections – ensuring that continuous improvement is made in those companies from where we buy our goods. One of the ways we do this is through a series of requirements, which we place on our suppliers, and which cover human rights and international workers' rights. CSR Report 2015 Human rights The fundamental principle is that we respect our employees and their basic human rights. We do this by: • Avoiding any special treatment of our employees in terms of their appointment or work tasks on the basis of gender, race, religion, age, handicap, sexual orientation, nationality, political beliefs, social or ethnic origin. • Our employees must not harass or discriminate against any colleague or business partner, for whatever reason. • We respect the employees' right to allow themselves to be represented by trade unions and other employee representatives and also the right to collective agreements. • Wages and compensation is paid according to collective agreements and hours. We reward good presentations and extraordinary efforts. • The minimum age to work in our companies is 15 years and must never be lower than the obligatory school leaving age. We place the same demands on the suppliers or other parties, whom we work with. • We do not allow illegal work or forced labour. This applies both to our own company and the suppliers and other partners, which we collaborate with. CSR Report 2015 Human rights Conflict Minerals We wish to increase justice with greater focus on human rights, including corruption, extortion and child labour in all our activities and promote human rights along the supply chain. Our CSR goal for 2015 is to have received reasonable country of origin declarations (RCOI) from the 5 largest suppliers of components; in the long-term, our aim is that no products, which are manufactured and supplied by Eltwin, contain 'Conflict Minerals' – Tin, Tantalum, Tungsten or Gold – originating in the Democratic Republic of Congo (DRC) or surrounding countries and regions. Our CSR goal for 2015 is to have received reasonable country of origin declarations (RCOI) from the 5 largest suppliers of components; in the long-term, our aim is that no products, which are manufactured and supplied by Eltwin, contain 'Conflict Minerals' – Tin, Tantalum, Tungsten or Gold – originating in the Democratic Republic of Congo (DRC) or surrounding countries and regions. Our results: Statements from the 6 biggest suppliers CSR Report 2015 Working conditions The fundamental principles are: that we must have high standards when it comes to working environment on all the company's plants, while also contributing towards employee development. We do this by: • Working preventatively to reduce the risks and consequences of accidents and workplace injuries. • Taking the approach that skill development activities create good prerequisites for being able to fulfil current as well as future demands. • Giving our employees the opportunity to develop their skills with the aim of increasing their professional expertise and strengthening their social and economic potential. CSR Report 2015 Working conditions Absences due to illness and injury Our CSR goal is zero injuries and max. 2.0% sick leave. We will help our employees in terms of improving their health (both physically and mentally), and their wellbeing. We will reduce the number of workplace injuries and accidents, including by carrying out workplace assessments across the entire Eltwin Group. Our results: Zero injuries Sick leave down to 1.06% CSR Report 2015 Environ mental We believe in taking a holistic approach to the environment in both product development and manufacturing, as well as in our choice of materials, transport, product function and finally, reuse. We make this a reality by: • Our overall goal is that our activities shall not have an environmental impact or negative influence on people's health. • managing our natural resources. • To identify risks for people and the environment, and adapt the precautionary principle. • To develop energy-efficient products and to work with internal initiatives in order to contribute towards a reduced climate impact. Our results: Paperless production CSR Report 2015 Environ mental Waste Eltwin’s goal for 2015 is that our waste disposal account must be in the black, which we will realise by minimising waste from production plants and other activities,and reusing as much as possible by sorting the waste into different categories. Eltwin’s goal for 2015 is that a minimum of 80% of the total amount of waste must be reused, by training and informing employees and by continuing to search for opportunities to reuse the waste. Our results: Credit in the waste disposal account 80.5% reused CSR Report 2015 Chemicals Eltwin works with continual improvements, preventative as well as systematic, in the area of the working environment and sets high but achievable goals for the area. Eltwin’s goal for 2015 is to substitute a minimum of two chemicals Environ mental Our results: 3 chemicals have been substituted: KOKI solder paste No Clean Flux N-Propanol Jet Melt Adhesive Delo Gum Reduction of: Loctite CSR Report 2015 The business relations between the Eltwin Group and our business partners are based on the following values: • We place demands on honesty and integrity in all areas of our company and expect the same of our business partners. • Bribery is forbidden and thus all forms of compensation for agents, suppliers and partners must concern intrinsic goods or services only. • Gifts and other benefits, which are a part of expected hospitality, must not exceed the local customs and must be 100% in line with local legislation. • All employees must avoid conflicts of interest between private financial matters and the company's business activities. • All business transactions, which are carried out for an Eltwin company account, must be marked clearly in the company's books, which are kept according to the Group's rules. • All units and employees in the group must observe and comply with applicable competition law at all times. Business ethics Our results: Paperless bookkeeping CSR Report 2015 Our founding principle is that we must monitor all relevant aspects that concern our products' quality, safety and ecological adaptation. We do this by: • developing energy-efficient products for heating, ventilation and cooling, which must use renewable sources of energy to the greatest extent. • having a close development cooperation with the customers, in order to create a total product with increased lifetime and reduced energy needs. • Ensuring our products live up to agreed and statutory norms and standards concerning health and safety in use. • Offering correct and clear information on how to use our products in an energy-efficient manner. Furthermore, we provide relevant information on safe and ecologically acceptable installation, use, maintenance, storage and, finally, disposal. Consumer relations Our results: 18 years' lifetime on Inverters CSR Report 2015 Commitment to society Our founding principle is that we must – whenever possible – involve ourselves in the local communities where we operate our businesses. We do this by: • Striving to appoint and develop local employees and managers. • Contributing to activities in our immediate environment. • Prioritising sponsorship agreements which benefit the community and the surroundings where we run our businesses, which support our values and strengthen our customer and partner relations. • Not contributing towards or involving ourselves with political parties, politicians or political organisations. Our CSR goal is that a minimum of 1% of our employees at Risskov are trainees. This goal has been doubled for 2016 Our results: 1.4% of our employees are trainees After a 14-day work experience course we have appointed an operator New ideas await in 2016 Collaboration with Green Network Big enough to matter – Small enough to care
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