Climate Change Data

Environmental Metrics

ESG Focus Areas

• Climate Change
• Responsible Consumption and Production
• Gender Equality
• Employee Development
• Community Engagement
• Corporate Governance

Environmental Achievements

• Lowered CO2 emissions relative to total production by 21%
• Reduced CO2 emissions to 13.4 tons per CHF 1 million sales (from 17.1 tons in 2020)
• Reduced waste intensity with recycling to 4.7 tons per CHF 1 million revenue (from 5.6 tons in 2020)
• More than doubled the use of in-house solar power to 1.9 million kWh
• Switched to renewable hydroelectric power in Switzerland for all grid electricity

Social Achievements

• Increased overall employee engagement score
• Received Fair-ON-Pay+ certificate for equal pay
• Increased percentage of women in the workforce by 6%
• Decreased employee turnover by 13%
• Invested CHF 40 million in a new R&D innovation center adding 100 jobs

Governance Achievements

• Implemented a Group-wide sustainability strategy with Board and Executive Committee oversight
• No compliance/regulatory violations or fines in 2021
• Improved Board diversity with 28% women (from 14% in 2020)

Climate Goals & Targets

Environmental Challenges

• Reducing waste further
• Further reducing accidents
• Fully integrating ESG into company culture

Mitigation Strategies

• Rolling out a worldwide EHS network with real-time monitoring
• Implementing new parts cleaning methods and reusable shipping trays
• Developing a comprehensive ESG strategy
• Continuous improvement of employee engagement programs

Supply Chain Management

Responsible Procurement

• All suppliers obliged to observe environmental protection laws and regulations

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI

Certifications: ISO 9001:2015, ISO 14001:2015, ISO IATF 16949, Fair-ON-Pay+

UN Sustainable Development Goals

• SDG 13: Climate Action
• SDG 12: Responsible Consumption and Production
• SDG 5: Gender Equality

Initiatives in renewable energy, waste reduction, and equal pay

Environmental Metrics

ESG Focus Areas

• Climate protection
• Workforce diversity
• Ethics and integrity
• Sustainable resource use

Environmental Achievements

• Reduced GHG emissions (Scope 1 and 2) by 12% compared to 2022 levels (market-based approach shows a 45% reduction)
• Increased share of renewable energy from purchased energy globally from 61.6% in 2022 to 68.2% in 2023
• Installed solar power panels at Malaysia facility, doubling solar capacity in the next few years globally.
• Initiated a pilot project conducting a Life Cycle Assessment (LCA) on two valves.

Social Achievements

• Improved employee engagement score for the seventh year in a row (from 3.94 to 4.09)
• Reduced work-related accidents by 35% (from 49 to 32)
• Increased share of women among new hires to 24% in 2023 (aiming for 23% by 2027 and 25% by 2030)
• Launched Cultivate Leadership Development Journey and Core Competency Program for employee development.
• Established eleVATe Equity Employee Resource Group to promote gender equity.

Governance Achievements

• Formally integrated ESG performance into the mid-term strategic plan (2022-2027)
• Allocated supervisory oversight of sustainability within the Board of Directors
• Established sustainable development as a central part of its corporate purpose (May 2023)
• Revised Code of Conduct and established a Human Rights Policy
• Appointed a Head of Internal Audit in early 2024.

Climate Goals & Targets

Environmental Challenges

• Market headwinds in 2023
• Energy-intensive business model
• Scope 3 emissions reduction
• Data gaps in conflict minerals reporting from suppliers
• Cybersecurity threats
• Emerging risks associated with AI

Mitigation Strategies

• Developing a decarbonization strategy to reduce GHG emissions (Scope 1 and 2) by 50% by 2025
• Transitioning to 100% renewable energy for purchased electricity
• Improving energy efficiency
• Improving data quality by requesting specific product-level information from suppliers
• Implementing an Information Security Management System (ISMS) aligned with ISO 27001
• Establishing a dedicated Cyber Defense Team
• Developing a Cyber Third-Party Risk Management (CTPRM) strategy

Supply Chain Management

Supplier Audits: At least every three years

Responsible Procurement

• Supplier Code of Conduct
• Due diligence measures for conflict minerals and child labor

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Regulatory changes

Opportunities

• Growth in renewable energy and net-zero technologies

Reporting Standards

Frameworks Used: GRI

Certifications: ISO 9001, ISO 14001, IATF 16949:2016 (COMVAT)

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Goal 7 (Affordable and Clean Energy)
• Goal 13 (Climate Action)
• Goal 4 (Quality Education)
• Goal 3 (Good Health and Well-being)

Initiatives related to renewable energy, emission reduction, STEM education, and humanitarian aid.

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Fair-ON-Pay+ certificate (2021)
• Fair-ON-Pay Advanced certificate (2023)