Climate Change Data

Environmental Metrics

ESG Focus Areas

• Information security
• Supplier assessment
• Occupational health & safety and developing co-workers
• Climate impact
• Material selection in products
• Innovation & new ideas
• Long-term profitability

Environmental Achievements

• Reduced scope 1 emissions from 34.57 tons of CO2 equivalents in 2020 to 29.46 tons in 2021.
• Westermo achieved ISO 14001 environmental certification.
• Korenix reduced general electricity consumption by 5% (exceeding the 3% target) and paper consumption by 43%.

Social Achievements

• No cases of discrimination and harassment were reported in 2021.
• No serious work-related injuries or fatalities occurred in 2021.
• Green Actions Asia program conducted in some Asian offices, involving waste collection, tree planting, and sea waste collection.

Governance Achievements

• 97% of management staff completed mandatory anti-corruption training.
• 100% of managers and staff received the Code of Conduct.
• 100% supplier compliance with the UN Global Compact's anti-corruption principle.

Climate Goals & Targets

Environmental Challenges

• Pandemic-related challenges persisted, impacting travel, meetings, and supplier visits.
• Difficulty in conducting in-person supplier audits due to the pandemic.
• Climate change risks impacting customers, suppliers, and direct operations (flooding, fires, extreme weather, regulatory changes, market shifts).

Mitigation Strategies

• Adapted work optimally from home, mitigating pandemic effects.
• Conducted remote audits on certain suppliers.
• Working on ISO 27001 certification to improve information security.
• Continuous improvement efforts to reduce energy consumption and climate impact.
• Using regional distribution centers to optimize shipments.

Supply Chain Management

Supplier Audits: Key suppliers visited and assessed annually; others every second year. Reduced supplier base from 370 to 320.

Responsible Procurement

• Compliance with Code of Conduct, health & safety policy, and anti-corruption policy.
• Requirement for suppliers to report compliance with REACH, RoHS, conflict minerals, and social compliance.

Climate-Related Risks & Opportunities

Physical Risks

• Flooding
• Fires
• Extreme weather

Transition Risks

• Changed legislation
• Demand for products and services

Opportunities

• Development of energy-efficient products

Reporting Standards

Frameworks Used: GRI Standards 2016

Certifications: ISO 9001, ISO 14001 (Beijer Electronics AB, Beijer Electronics Corp. of Taiwan, Westermo Network Technologies AB), ISO 45001 (Taiwan organization)

UN Sustainable Development Goals

• Goal 8: Decent work and economic growth
• Goal 9: Industry, innovation and infrastructure
• Goal 12: Responsible consumption and production
• Goal 16: Peace, justice and strong institutions

Beijer group intends to manage operations consistent with the UN’s SDGs.

Environmental Metrics

ESG Focus Areas

• Sustainable Finances
• Healthy People
• Environment and Climate
• Ethics and Governance
• Products and Services

Environmental Achievements

• Reduced Scope 1 emissions from 34.19 tons of CO2e in 2021 to 16.98 tons in 2022.
• Reduced Scope 2 energy-related emissions by 2.7% compared to 2021.
• Achieved a 3% energy saving at the Taipei office.
• Reduced paper consumption by 23% in 2022.

Social Achievements

• Implemented a hybrid working policy in 2022.
• Introduced a new fitness subsidy in 2022.
• Conducted regular employee satisfaction surveys.
• No cases of discrimination or harassment reported in 2022.
• No serious work-related injuries or fatalities in 2022.

Governance Achievements

• 100% of salaried employees read, understood, and signed the Group's Code of Conduct.
• 100% of managers (down to level 3) took formal management training on ethics and morals.
• Westermo gained ISO 27001 certification in 2022.
• Beijer Electronics intends to obtain ISO 27001 certification in 2023.

Climate Goals & Targets

Environmental Challenges

• Climate change impacts on customers, suppliers, and operations (flooding, fires, extreme weather).
• Risks related to conflict minerals and human rights.
• Psychosocial and physical risks in the working environment.
• Corruption risks.
• Information security risks (data leaks).

Mitigation Strategies

• Lifecycle analyses of products to understand climate impact.
• Standards applied to suppliers to report on conflict minerals and social compliance.
• Health & safety policy to identify, assess, and manage risks.
• Anti-corruption training program for management staff.
• Work on secure IT infrastructure and ISO 27001 certification.

Supply Chain Management

Supplier Audits: Key suppliers audited annually, others every two years.

Responsible Procurement

• Code of Conduct
• Compliance with EU REACH and RoHS legislation
• Conflict minerals reporting

Climate-Related Risks & Opportunities

Physical Risks

• Flooding
• Fires
• Extreme weather

Reporting Standards

Frameworks Used: GRI Standards 2016

Certifications: ISO 9001, ISO 14001 (Beijer Electronics AB, Beijer Electronics Corp. of Taiwan, Westermo Network Technologies AB), ISO 45001 (Taiwan organization), ISO 27001 (Westermo in 2022)

Third-party Assurance: Öhrlings PricewaterhouseCoopers AB (limited assurance)

UN Sustainable Development Goals

• UN Sustainable Development Goals (SDGs)

Operations intend to be managed consistently with the UN’s SDGs.

Environmental Metrics

ESG Focus Areas

• Sustainable finances
• Healthy people
• Environment & climate
• Ethics & governance
• Products & services

Environmental Achievements

• Westermo achieved 79% electric or hybrid vehicles; transitioned to 100% green electricity for remaining offices; reduced energy consumption by 6.5% at Beijer Electronics' Taiwan office (offset by 5.4% increase due to new climate chamber)
• Beijer Electronics achieved 70% electric or hybrid vehicles by 2023; aims for 100% by 2025

Social Achievements

• Westermo increased women in leadership positions to 30% (21 of 70); conducted employee satisfaction surveys indicating high satisfaction (83/100 overall, 89/100 regarding managers); implemented “We Lead” management program focusing on conduct, leadership, stress resilience, and unconscious bias
• Launched a new global health & safety framework; intensified work on diversity and inclusion; formulated a new global human rights policy

Governance Achievements

• Created a new Group Head of Sustainability position; implemented a new data management and reporting system; conducted training packages for CSRD implementation; developed a new global human rights policy; produced a new whistleblower policy; prepared a new Conflict Minerals Policy

Climate Goals & Targets

Environmental Challenges

• Increase in Scope 1 and 2 GHG emissions (Scope 1 due to increased vehicle fleet, Scope 2 due to larger premises and higher emission factors)
• Challenges in raw material extraction
• Social sustainability in the supply chain
• Organizational and social health & safety risks
• Corruption and bribery risks
• Information security risks

Mitigation Strategies

• Electrification of vehicle fleet and transition to fossil-free electricity
• Selecting renewable materials and optimizing resource consumption in production
• Supplier collaboration and compliance with Code of Conduct
• Broad-based actions to ensure good physical, social, and organizational health & safety
• Training in business ethics and anti-corruption
• Secure IT infrastructure and ISO 27001 certification

Supply Chain Management

Supplier Audits: 100% of 12 new key suppliers screened for social criteria in 2023

Responsible Procurement

• Code of Conduct
• Supplier sustainability requirements
• Conflict Minerals Policy
• CMRT format declaration for conflict minerals

Climate-Related Risks & Opportunities

Physical Risks

• Flooding
• Fire
• Extreme weather

Transition Risks

• Higher electricity pricing
• Insurance premiums
• Carbon tax

Reporting Standards

Frameworks Used: GRI

Certifications: ISO 9001, ISO 14001 (Beijer Electronics AB, Beijer Electronics Corporation in Taiwan, Westermo Network Technologies AB), ISO 45001 (Beijer Electronics' operation in Taiwan), ISO 27001 (both business entities)

Third-party Assurance: Öhrlings PricewaterhouseCoopers AB

Sustainable Products & Innovation

• Energy-efficient solutions for generating and distributing electricity
• Control panels for electric vehicle charging stations
• Efficient controls of water treatment