Targets and Progress

Target setup

 

Internally we monitor sustainability targets on monthly and quarterly basis. External performance data is presented annually in our Sustainability Report. We have defined our key sustainability themes by conducting a materiality assessment. Through this process, we identified the most relevant sustainability topics for Konecranes based on the expectations of our stakeholders. We also reviewed the megatrends impacting our business and identified ten UN Sustainable Development Goals where we see that Konecranes can make an impact.

We annually review expectations of key stakeholders and map the megatrends impacting our business. In topics that Konecranes can make a difference, we also analyze the alignment of our efforts with UN Sustainable Development Goals. Through this process, we identified the most relevant sustainability topics for Konecranes. The material aspects of our operations include: responsible business conduct, the safety of employees and our products, respecting human rights, employee engagement, diversity and inclusion, providing sustainable solutions for customers, environmental footprint of our own operations, taking climate action, advancing circular economy and enforcing sustainability requirements in the supply chain. These topics include our most relevant stakeholder expectations and value creation elements, defining the baseline for our sustainability strategy.

 

Current targets

 

Target 2020-2025

Progress

UN Sustainable Development Goals

Certified ISO 14001 EMS in all factories by the end of 2020

 

Certified ISO 14001:2015 EMS in 83% in our manufacturing facilities

12, 13

Energy intensity reduction of 25% MWh/sales in own factories and service operations by the end of 2025 (Base year 2017)

Energy intensity (MWh/sales) reduced by 23% compared to base year 2017

12, 13

Emission intensity reduction of 50% tCO2e/sales in own factories and service operations by the end of 2025 (Base year 2017)

Emission intensity (tCO2e/sales) reduced by 29% compared to base year 2017

12, 13

By the end of 2025, power all our factories with 100% renewable electricity

30% of electricity in factories is from renewable sources '

7, 12, 13

Circular economy roadmap by the end of 2020

Held four climate risks and opportunities workshops with all the BAs about the opportunities we have mitigating climate change, agreed on next steps. Planning workshops for circular economy innovation in 2021.

13,12

TRI-rate <3 by the end of 2025

TRI rate for the whole company was 7.5. Several Group-wide initiatives were launched to improve safety.  

20% year-on-year reduction of SIF exposure for own and contractor employees by end of 2025.

3

 

20% year-on-year reduction of SIF exposure for own and contractor employees by end of 2025​

SIF potential reduction of 21.2% from 2019. There was one fatality to an employee in 2020. Improvements were made in SIF incident review and follow-up, especially in SIF management reviews.

3

Certification for Health & Safety Management system ISO 45001: Factories by the end of 2021


Service by the end of 2022


Frontlines by the end of 2023

Certified OHSAS 18001/ISO 45001:2018 management systems: 65.8% of factories. The coverage percentage declined from 2019 due to factory closings.

3, 12

Safety observations per year by the end of 2025: 5 per person

Total number of recorded safety observations was 28,472, which is 1.64 per person. Target for 2020 was 1.0.

3

At least 25% gender diversity in Executive Management Team.**

** Executive Management Team = Group, Business Area and Function Management Teams

24.2% women at the end of 2020 (22% end 2019).

5, 8, 10

At least 15% gender diversity in Senior Management. (everyone on job level 11 and above)

13.11% women at the end of 2020 (11.4% end 2019).

5, 8, 10

New target:

By the end of 2025, female share of leadership positions *22%

*leadership positions job level 11 and above

Will be reported in the next Sustainability Report (March 2022) 5, 10

New target: Female gender share of total organization 22% by end 2025

Will be reported in the next Sustainability Report (March 2022) 5, 10

New target: By 2025 increase female share to 22% in areas related to science, technology, engineering,
mathematics and technology.

Will be reported in the next Sustainability Report (March 2022) 5, 10

No single nationality should represent more than 50% of the Executive Management Team

59% at the end of 2020 (61% end 2019).

5,8, 10

New target: Composition of global management teams in business areas and functions reflects the variety of nationalities and geographies of customers and employees.

Will be reported in the next Sustainability Report (March 2022) 10

New target:In countries: share of minority groups in organizations reflects local demographic by 2025.

Will be reported in the next Sustainability Report (March 2022) 10

New target: 100% completion rate of D&I e-learning by end Q1 2021.*

*Q1 completion compatible with COVID rules

Will be reported in the next Sustainability Report (March 2022) 10

Mandatory Code of Conduct training completed by all employees (to be defined to exclude recent new hires, people on maternity leave etc.)

Competition Compliance training completed by 100% of defined target audience

100% positive response on Employee Engagement Survey (EES): “Management of my unit is committed to integrity and ethical business practices”
”I would feel comfortable reporting unethical behavior if I saw it in Konecranes”

During 2020, more than 16,000 employees representing 96% of all employees* completed Code of Conduct training (EMEA 95%, APAC 99%, Americas 96%). Reaching 100% was hindered particularly by the COVID-19 pandemic, which prevented organizing some of the face-to-face trainings.

The rollout of the new Competition Compliance training started in December 2020 in English and by the end of the year, 10% of the target audience had completed the training. The rollout of different language versions continues in 2021.

Based on two employee engagement surveys conducted during 2020, the average percentage of employees responding positively (with score 7 to 10 out of 10) to questions (1) and (2) was 83% and 84%, respectively

8, 12, 16

Continue to roll out Supplier Code of Conduct (SCOC) for existing and new suppliers and subcontractors based on identified risks and spend.

•Execute at least 30 supplier sustainability audits per year with internal and external resources.

By the end of 2020, globally around 1,300 suppliers, representing around 58% of our total procurement spend, have committed to our Supplier Code of Conduct. Among the top 1,000 suppliers by spend, the coverage was 76%.

19 supplier sustainability audits (i.e. Supplier Code of Conduct audits) were conducted in 2020. The COVID-19 situation prevented completion of the rest of the planned audits.

8, 12, 16

Conduct a corporate-level Human Rights risks assessment by the end of 2020. 

A human rights risk screening was conducted with the help of an external service provider specializing in human rights

8

New target:

By the end of 2021 we aim to conduct at least 5 onsite social responsibility assessments at our own operations, assuming the COVID-19 situation allows for it. The assessments will concentrate on risk countries and topics identified in the human rights risk screening.

Will be reported in the next Sustainability Report (March 2022) 8



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