Climate Change Data

Environmental Metrics

ESG Focus Areas

• Respect for People
• Reliable Operations
• Responsible Engagement

Environmental Achievements

• Reduced GHG emissions intensity
• Increased recycling
• Improved water consumption intensity
• Reduced waste generated

Social Achievements

• Launched employee well-being programs (WeGrow, Legacy Builder)
• High employee engagement survey results
• Doosan Days of Community Service with 2,258 volunteer hours
• Over $1 million in charitable contributions in North America

Governance Achievements

• Established a companywide CSR governance structure
• More than half of board members are outside directors
• Implemented a robust risk management system
• Maintained A rating by the Korea Corporate Governance Service (KCGS)

Climate Goals & Targets

Environmental Challenges

• Managing risks related to market, credit, liquidity, exchange, sales, cost, quality, investment, customer, industry, banking, climate change, environment, health and safety, supply chain, compliance, ethics, human rights, reputation, and taxes.

Mitigation Strategies

• Comprehensive risk management process (risk identification, impact assessment, action plan establishment, monitoring, and reporting)
• Global CSR governance to implement strategic tasks and monitor progress on non-financial risks
• Strengthening risk management capacity

Supply Chain Management

Responsible Procurement

• Global Procurement Policy
• Supplier Quality Manual
• Supplier Code of Conduct
• Doosan Global Sourcing System (DGSS)
• On-site assessments (OSA) incorporating CSR issues
• Monthly supplier scorecard

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards (Core Option)

Certifications: ISO 9001:2015, ISO 14001:2015 (Gwinner, Bismarck, West Fargo), LEED Certification (Bismarck, West Fargo)

Sustainable Products & Innovation

• Electric compact excavators
• Eco mode, auto-idle, and auto throttle in ICE models
• USDA Forest Service spark arrestors
• Recyclable plastics and plant-based materials in equipment
• Maintenance-free pivot joints
• Bio-fuels and biodegradable hydraulic oil

Environmental Metrics

ESG Focus Areas

• Governance
• Value Chain Sustainability
• Risk Management
• People
• Product
• Environment
• Community

Environmental Achievements

• Reduction in Greenhouse Gas Emission per Production unit at Company Plants in North America and Korea (2020-2021) -17%
• Reduction in Energy Consumption per Production unit at Company Plants in North America and Korea (2020-2021) -15%
• LEED Gold Certification in North America (2020-2021)
• Zero Hazardous Waste
• Increase in Remanufactured Product Sales (Net Sales Growth Rate) 61%

Social Achievements

• Increase in sales at all regions (FY2021)
• Charitable giving $1.87 million
• 100% of employees completed Code of Conduct Training
• WeGrow program for women in North America
• No shut-down due to COVID-19 (‘20-’21)

Governance Achievements

• Expanded ESG governance to ALAO region in 2021
• Rated “A” in corporate governance by KCGS for five consecutive years
• No internal transaction violations in 2020 and 2021

Climate Goals & Targets

Environmental Challenges

• Supply chain constraints, rising material costs and labor shortages
• COVID-19 pandemic impact
• Global emission requirements

Mitigation Strategies

• Focus on core fundamentals of production efficiency, business operations and customer service
• Product and geographical portfolio diversification
• Development of eco-friendly compact equipment, including remanufactured parts and service
• Expansion into grounds maintenance and material handling equipment
• Global pandemic plan to protect employees
• Development of innovative technology solutions, including electric compact excavator lineup and hydrogen fuel cells

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Supplier Code of Conduct
• Doosan Global Sourcing System (DGSS)
• Supplier scorecard

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Stricter global environmental regulations

Opportunities

• Development of eco-friendly products

Reporting Standards

Frameworks Used: GRI Standards (Core option), ISO 26000, SASB standards for Industrial Goods and Machinery

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

Third-party Assurance: Korean Foundation for Quality (KFQ)

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• T7X all-electric compact track loader
• E10e electric excavator
• REMAN products

Awards & Recognition

• 2022 CES Innovation Awards (Vehicle Intelligence & Transportation, Smart Cities)
• LEED Gold certification
• Other awards listed in the report

Environmental Metrics

ESG Focus Areas

• Green Innovation
• Proud Workplace
• Responsible Growth
• Do the Right Thing

Environmental Achievements

• 30% emissions reduction target (Scope 1&2) by 2030 (compared to 2021 emissions)
• 4.1% improvement in GHG emissions intensity from production activities in 2022
• 3.5% improvement in energy intensity from energy used in production in 2022
• Six business sites ISO 14001 certified
• Launched all-electric skid-steer loader (Bobcat S7X) and concept autonomous loader (Bobcat RogueX)

Social Achievements

• 100% of grievances received through the grievance handling channel responded to in 2022
• 73% employee participation in Employee Engagement Survey, with 67% perceiving the company positively
• 0% death rate for three consecutive years (2020-2022)
• $1 million (USD) and equipment provided to Türkiye for disaster recovery efforts following the earthquake
• Provided infrastructure, temporary accommodation and daily necessities for Ukrainian employees

Governance Achievements

• Established an ESG governance council and Global ESG Committee
• Appointed a female outside director in 2023
• Developed and enforced Supplier Assessment Questionnaire for ESG assessment of suppliers
• Operates a third-party hosted hotline for reporting Code of Conduct violations

Climate Goals & Targets

Environmental Challenges

• Penalty paid for exceeding designated amount of wastewater at Dobris, Czech Republic business site
• Slow progress in converting to eco-friendly production processes
• Supply chain disruptions (implied due to the mention of the EU Supply Chain Due Diligence Act)

Mitigation Strategies

• Established action plans to block wastewater sources and reduce wastewater generation
• Consistent efficiency improvements at global business sites' production lines and efforts to use low emission energy
• Energy diagnosis conducted at Czech Republic production site to identify methods of improving energy efficiency
• Developed and enforced Supplier Assessment Questionnaire for ESG assessment of suppliers

Supply Chain Management

Supplier Audits: Annual Supplier ESG Assessment

Responsible Procurement

• Supplier Code of Conduct covering labor and human rights, environment/health/safety, ethical behavior, management system, and responsible minerals procurement

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Development of energy-efficient products and alternative energy solutions

Reporting Standards

Frameworks Used: GRI (Global Reporting Initiative)

Certifications: ISO 14001 (six business sites)

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Bobcat S7X all-electric skid-steer loader
• Bobcat RogueX concept autonomous loader
• Bobcat T7X all-electric compact track loader

Awards & Recognition

• Two CES Innovation Awards for Bobcat T7X