Climate Change Data

Environmental Metrics

ESG Focus Areas

• Young people
• STEM & technical education
• Territory development
• Energy efficiency
• Emissions reduction
• Sustainable products
• Employee well-being
• Safety
• Ethical business practices
• Supply chain responsibility
• Digital transformation

Environmental Achievements

• 7% reduction of direct energy consumption from non-renewable sources compared to 2018
• Inauguration of EVO, a Nearly Zero Energy Building
• Development of new sustainable products focusing on energy efficiency and regeneration
• 2,465,565 kWh of purchased electricity from renewable sources

Social Achievements

• Launched Bonfiglioli Digital Re-Training, extended in 2019 to all employees
• 91% of employees have a permanent contract
• +40% increase in training hours compared to 2018
• Bonfiglioli India received the Tamil Nadu Best Employer Brand Award
• Implementation of B-Welfare program for Italian employees
• No confirmed cases of corruption

Governance Achievements

• Adoption of an Organization, Management and Control Model pursuant to Italian Legislative Decree 231/2001
• Implementation of a whistleblowing mailbox
• Strengthened data protection measures and cybersecurity

Climate Goals & Targets

Environmental Challenges

• Cyber-attack in June 2019
• Increased recordable work-related injuries in 2019 (partially due to extended data perimeter)

Mitigation Strategies

• Successfully countered cyber-attack; no sensitive data lost
• Increased security measures (separation of domain administrator accounts, new specialized software)
• Improved data collection on external workers
• Increased training on cybersecurity awareness

Supply Chain Management

Responsible Procurement

• Inclusion of suppliers in the Group Code of Ethics
• Updated General Conditions of Purchase
• Supplier assessment based on performance indicators
• Requirement of certifications (REACH, RoHS)
• Statements on origin of goods

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Sustainability Reporting Standards (Core option)

Certifications: ISO 9001:2015 (Quality Management System), ISO 14001 (Environmental Management System) in several plants, ISO 45001:2018 (in Bonfiglioli Drives Shanghai Co. L.t.d.)

Sustainable Products & Innovation

• Reluctance synchronous motors (IE4)
• Active Cube frequency inverters
• Active Regenerative System inverters (AEC)
• Gearboxes for electric forklift trucks
• Electric traction unit for battery-powered vehicles
• Slew and track drives for full-electric mini-excavators

Awards & Recognition

• Bonfiglioli India received the Tamil Nadu Best Employer Brand Award

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• EVO plant is a Nearly Zero Energy Building with close to zero energy consumption and minimal environmental footprint
• Installation of 10,000 square meters of solar panels in Vietnam plant, saving more than 800 tons of CO2 yearly
• Reduced overall energy consumption by 7% compared to the previous year
• Increased electricity produced from renewable sources from 779 GJ in 2019 to 6,214 GJ in 2020

Social Achievements

• Launched Bonfiglioli Academy, a digital platform offering courses and access to external content for employee development
• Provided tablets to employees with children in primary and secondary school for distance learning
• Supported various social initiatives focusing on youth, STEM education, and territorial development
• Maintained 90% permanent contracts for employees

Governance Achievements

• All Italian suppliers accepted the revised General Purchasing Conditions including direct reference to the Code of Ethics
• Implemented an Organization, Management and Control Model pursuant to Italian Legislative Decree 231/2001 to combat corruption
• Introduced a whistleblowing mailbox for reporting violations

Climate Goals & Targets

Environmental Challenges

• Covid-19 pandemic impacted operations and training activities
• Supply chain disruptions due to the pandemic

Mitigation Strategies

• Adapted internal procedures and systems to cope with the pandemic
• Shifted training activities to e-learning
• Encouraged remote working
• Implemented safety measures in plants to ensure worker health and wellbeing
• Provided support to Italian suppliers through reverse factoring, preferential interest rates, or delayed payments

Supply Chain Management

Responsible Procurement

• Revised General Purchasing Conditions with reference to Code of Ethics
• Vendor Rating system to assess supplier performance
• Compliance with international standards (REACH, RoHS)

Climate-Related Risks & Opportunities

Opportunities

• Development of energy-efficient products

Reporting Standards

Frameworks Used: GRI Standards, Core option

Certifications: ISO 9001:2015, ISO 14001, ISO 45001

Sustainable Products & Innovation

• Active Regenerative System inverters (AEC)
• Bonfiglioli Power Drive System
• Products for wind turbines
• Drive units for hybrid and electric applications

Awards & Recognition

• Capo d’Orlando award to Group chairwoman
• BEST BRAND AWARD to Bonfiglioli India
• Awards to Bonfiglioli China

Environmental Metrics

ESG Focus Areas

• Environmental Sustainability
• Social Responsibility
• Governance

Environmental Achievements

• Forlì plant obtained ISO 50001:2018 Energy Management Systems certification.
• Vietnam plant installed 10,000 square meters of solar panels, producing 1,678 MWh/year and saving over 800 tons of CO2 annually.
• 2.622.262 kWh produced by photovoltaic panels, a 52% increase from 2020.
• Planted 4,500 trees absorbing 1,229,000 kg of CO2.

Social Achievements

• Inaugurated a COVID-19 vaccine hub in Bologna, administering 50,370 vaccine doses.
• Promoted Safety Breaks for employees, focusing on occupational health and safety.
• Bonfiglioli Academy delivered over 23,000 training courses.
• Implemented Agile Recruiting and onboarding process.
• Supported Save the Children to build housing for four teachers in Uganda.

Governance Achievements

• Published Group Code of Ethics.
• Adopted an Organization, Management and Control Model pursuant to Legislative Decree 231/2001.
• Introduced a Whistleblowing Policy.
• No confirmed cases of corruption reported.

Climate Goals & Targets

Environmental Challenges

• Global pandemic (COVID-19) challenges.
• Political-economic situation.
• Climate-environmental crisis.
• Supply chain disruptions due to raw material scarcity and logistics issues.
• Increased outgoing turnover and difficulty in recruitment.
• Increased energy supply costs.

Mitigation Strategies

• Implemented safety measures and protocols to prevent COVID-19 transmission.
• Leveraged digital transformation to maintain business operations.
• Centralized purchasing process to improve efficiency and manage rising costs.
• Implemented welfare initiatives to improve employee retention.
• Developed alternative sourcing strategies.
• Implemented energy efficiency initiatives and renewable energy solutions.

Supply Chain Management

Responsible Procurement

• Supplier Code of Ethics
• Vendor Rating system
• Monitoring of financial rating of suppliers
• Compliance with international standards (REACH, RoHS)
• Declaration of minerals conflict-free

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards, Core option

Certifications: ISO 9001, ISO 14001, ISO 45001, ISO 50001

Sustainable Products & Innovation

• Synchronous reluctance motors (IE4)
• Active Cube frequency inverters
• Active Regenerative System inverters (AEC)
• Integrated electric powertrains (EDS-D, EDS-X, EDS-H)
• BlueRoll platform for AGVs and AMRs
• Slew and track drives for full-electric mini-excavators

Awards & Recognition

• Responsible Innovators Award (Bonfiglioli Academy)
• Various awards from OEM customers