Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental Responsibility
• Attractive Employer
• Sustainable Business Practices

Environmental Achievements

• Reduced energy consumption by more than 1000 MWh, resulting in a reduction of greenhouse gas emissions by almost 540 tons of CO2e.
• Achieved a 98% recycling rate.
• Switched from natural gas to district heating at the Lyss location, reducing CO2 emissions.
• Replaced diesel forklifts with lithium-ion battery-powered ones at the Obertshausen plant.

Social Achievements

• Jena plant awarded “Top Training Company” by the Eastern Thuringia Chamber of Industry and Commerce.
• Received the “Strong Future – Demographic Change-Oriented Company” seal of approval for sustainable HR management.
• 27 projects nominated for Best Achievement Awards, with 4 winners in 3 categories.

Governance Achievements

• Implemented FEINnet, a digital workplace based on Office 365, improving project team efficiency and transparency.
• Regular training on Code of Conduct and compliance.

Climate Goals & Targets

Environmental Challenges

• Economic downturn in the automotive industry.
• Brexit and radical changes in mobility policy.
• Uncertainties due to the coronavirus pandemic.
• High employee turnover (13% overall, higher in the US).

Mitigation Strategies

• Offering solutions for all drive systems (e-drives and combustion engines).
• Investing in relevant innovations through research partnerships and employee training.
• Reducing outstanding customer accounts and inventories, postponing investments (excluding training and resource-friendly technologies).
• Focus on recruitment and training to retain employees.

Supply Chain Management

Responsible Procurement

• Selection of suppliers based on objective criteria.
• Compliance with Automotive Supply Chain Standard.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI

Certifications: ISO 14001, ISO 9001, IATF 16949, ISO 50001 (some plants)

Sustainable Products & Innovation

• FB one fineblanking press (reduced energy and oil consumption)

Awards & Recognition

• Best Achievement Awards (internal)
• Top Training Company (Jena plant)
• Strong Future – Demographic Change-Oriented Company (Jena plant)

Environmental Metrics

ESG Focus Areas

• Climate Change
• Decent Work
• Innovation
• Responsible Consumption

Environmental Achievements

• Reduced Scope 1 and 2 emissions by 24% between 2019 and 2022.
• Reduced annual Group-wide energy consumption by around 4,200 MWh, equivalent to a saving of 550 tons of carbon emissions.
• Achieved a 99% recycling rate.
• 39% of electricity from renewable sources.

Social Achievements

• Launched a global Talent Management Program for 30 employees.
• Started offering a continuing professional development program for managers, and specifically for women.
• Developed a digital learning and communication platform.
• Employee satisfaction at nearly 70%.

Governance Achievements

• Developed a new Code of Conduct, including a separate one for suppliers.
• Strengthened central management of sustainability initiatives.

Climate Goals & Targets

Environmental Challenges

• High steel prices
• Skilled labor shortage
• Supply chain disruptions
• Emissions in the supply chain (Scope 3)
• Energy supply and inflation

Mitigation Strategies

• Developing a roadmap to cut carbon emissions (Scope 1 and 2) in half by 2030.
• Investigating potential for reducing emissions in the supply chain (Scope 3) since 2022.
• Transitioning all German plants of the newly acquired Kienle + Spiess Group to green energy in 2023.
• Implementing a global talent management program.
• Developing a continuing professional development program for managers.

Supply Chain Management

Responsible Procurement

• New Code of Conduct for suppliers
• Policy statement concerning human rights
• SAQ (Sustainability Assessment Questionnaire)

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI 2021

Certifications: ISO 14001, ISO 45001 (in progress)

UN Sustainable Development Goals

• SDG 7
• SDG 8
• SDG 9
• SDG 12

Feintool's initiatives contribute to these goals through clean energy, decent work, innovation, and responsible consumption.

Sustainable Products & Innovation

• glulock® adhesive bonding system
• New shipping trays made from recycled material

Environmental Metrics

ESG Focus Areas

• Clean energy
• Decent work
• Innovation
• Responsible consumption

Environmental Achievements

• Reduced carbon emissions by 23% compared to 2019 (Scope 1 and 2)
• Reduced annual energy consumption by approximately 4,700 MWh
• Reduced annual carbon emissions by approximately 1,400 tCO2e
• 99% recycling rate

Social Achievements

• Launched FEINtalent global development program
• Implemented a new management development program
• Reduced workplace accidents by 30% compared to 2022
• Details matter. I matter. campaign launched to improve employee well-being and communication

Governance Achievements

• Strengthened sustainability governance with Dr. Marcus Bollig leading sustainability initiatives
• Incorporated ESG criteria into senior management remuneration policy (to be implemented in 2024)
• Published a new Supplier Code of Conduct for Ethical Business Practices in 2023
• Underwent TISAX assessment for information security

Climate Goals & Targets

Environmental Challenges

• Slight increase in overall emissions in 2023 due to temporary spike in electricity supply emissions in Germany
• Steel procurement accounts for over 90% of total emissions (Scope 3)
• Limited influence over suppliers' sustainability practices
• Shortage of skilled labor in shipping operations

Mitigation Strategies

• Transitioning to 100% green power at German sites
• Procuring additional green power in Japan
• Implementing energy conservation measures in Germany and Japan
• Conducting energy audits (e.g., Cincinnati)
• Process optimizations and LED retrofits
• Systematically assessing and mitigating emissions within the supply chain
• Developing green steel sourcing strategies

Supply Chain Management

Responsible Procurement

• Supplier Code of Conduct for Ethical Business Practices
• SAQ (Sustainability Assessment Questionnaire)

Climate-Related Risks & Opportunities

Transition Risks

• Increasing global competition for raw materials used in batteries and electric motors

Opportunities

• Promising markets such as electric motors for the automotive sector and the hydrogen economy
• Opportunities in industrial sector and renewable energy

Reporting Standards

Frameworks Used: GRI Standards 2021

Certifications: ISO 14001, ISO 45001 (some sites), IATF 16949, ISO 9001, ISO 50001, TISAX

UN Sustainable Development Goals

• SDG 7 (Affordable and clean energy)
• SDG 8 (Decent work and economic growth)
• SDG 9 (Industry, innovation, and infrastructure)
• SDG 12 (Responsible consumption and production)

Feintool's initiatives contribute to these goals through its focus on clean energy, decent work, innovation, and responsible consumption.

Sustainable Products & Innovation

• High-precision parts for electric vehicles and wind turbines

Environmental Metrics

ESG Focus Areas

• Sustainability
• Hydrogen Technology
• Resource Efficiency
• Fair Working Conditions
• Strong Governance

Environmental Achievements

• Established a new full-time position for Group-wide ESG management as of July 1, 2024.
• Feintool plants have been certified in environmental management (ISO 14001) for many years. This year, Feintool International Holding AG in Lyss was included for the first time in the environmental and energy audit.
• Shortening supply chains, making them more environmentally friendly through expansion to India.

Social Achievements

• Approximately 10% of the workforce was laid off over the course of the year and short-time work was introduced at the German sites due to drop in sales in the e-lamination stamping business.
• Work on the new plant in Pune, India is progressing according to plan – the groundbreaking ceremony is scheduled for the third quarter of 2024, and we have started recruiting and training the future workforce.
• Collaboration with renowned research institutes and universities, for example with RWTH Aachen University (Germany) in the field of ESG.

Governance Achievements

• Established and filled a new full-time position for Group-wide ESG management as of July 1, 2024.

Climate Goals & Targets

Environmental Challenges

• Major challenges in its e-lamination stamping business in Europe due to political uncertainties regarding electric mobility, economic slowdown, inflationary pressures, and high energy prices.
• Sharp decline in the sale of electric vehicles in some markets, while the industrial business for electric motors unexpectedly saw a sharp decline in sales.
• High costs of labor and energy in Switzerland and the strength of the Swiss franc negatively impacted the European business.
• Low volumes in the industrial business (electrolamination stamping in Europe) weighed on margins.

Mitigation Strategies

• Cost cuts and a restructuring program.
• Roadmap for the future aimed at further expanding the Feintool Group’s high level of expertise and thereby increasing innovation and competitiveness.
• Relocation of high-volume production of fineblanked components from Lyss, Switzerland to Most, Czech Republic by the end of 2025.
• Internal global efficiency and growth program “Level-up 2026!” which comprises 12 initiatives to increase profitability in the long term.

Supply Chain Management

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

• FEINforming technology for manufacturing high-precision bipolar plates and interconnects used in the hydrogen economy