Climate Change Data

Environmental Metrics

ESG Focus Areas

• Health and Safety
• Employee Development and Retention
• Labor Conditions, Bribery and Corruption
• Sustainable Procurement Practices
• Sustainable Products and Services
• Climate Change and Energy

Environmental Achievements

• Achieved total carbon neutrality in the Netherlands.
• 50% of electricity purchased from renewable sources.
• Reduced energy costs by 50% at the Erie, USA location through LED lighting and motion sensors.
• €950,000 saved per year on steam costs at a Chinese tire manufacturer through improved steam trapping.

Social Achievements

• Launched the “Zero Hero” safety campaign, resulting in zero fatalities.
• ERIKS UK fundraising for Cancer Research UK reached over £20,000 from 2013-2016.
• Raised nearly $25,000 for Fort McMurray wildfire relief.
• Organized various wellbeing events throughout the year.

Governance Achievements

• Implemented a revised Supplier Code of Conduct.
• Developed a Global Safety Manual based on ISO 45001.
• Global policies on Bribery and Corruption put in place, and training programs created.

Climate Goals & Targets

Environmental Challenges

• Difficulty in reviewing the complete lifecycle of over 700,000 products.
• Need to accelerate efforts in influencing suppliers to be more sustainable.
• Need to be more proactive and thorough in collecting and reporting sustainability data.

Mitigation Strategies

• Focusing on the savings element of products through better choices and environmentally friendly solutions.
• Implementing a new process to improve the quality and completeness of sustainability data.
• Developing a consistent measuring process across the business to capture environmental cost savings.

Supply Chain Management

Responsible Procurement

• Supplier Code of Conduct
• Online self-assessment tool (in development)
• On-site audits (planned for 2018)

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI

Certifications: ISO 50001 (Netherlands)

UN Sustainable Development Goals

• 3
• 4
• 6
• 7
• 8
• 12
• 13
• 17

ERIKS' three pillars of sustainability strategy support many of the UN's Sustainable Development Goals.

Sustainable Products & Innovation

• Energy-efficient motors
• Innovative technologies such as 3D printing
• PPE vending machine
• API 624 certified Smith valves

Awards & Recognition

• Festo Service Dealer Award
• Boeing Silver Performance Excellence Award (ERIKS West)
• Top Employer Certification (Netherlands, Belgium, UK)

Environmental Metrics

ESG Focus Areas

• Health and safety
• Employee development, attraction and retention
• Labor conditions and business integrity
• Sustainable procurement practices
• Sustainable products and services
• Climate change and energy

Environmental Achievements

• Reduced Scope 1 and 2 emissions by 14.3% from 2016 baseline year
• Achieved carbon neutrality for the third consecutive year in the Netherlands
• €9.4 million environmental savings for customers (up 35% since 2017)
• 260,000 kWh saved annually for a Netherlands water company
• 5% increase in green energy purchased
• Zero energy from coal and fuel oil

Social Achievements

• 49% decrease in Lost Time Incidents since 2016
• Launched ‘Zero = Hero’ safety campaign
• Launched ‘Speaking Up for Safety’ and ‘Learning for Life’ campaigns
• Supported employee participation in various sports and fitness activities
• Average employee tenure of 10.2 years
• 42 employees in leadership programs
• 43,751 total training hours
• Employee turnover rate of 17%

Governance Achievements

• 1,263 employees trained in anti-bribery and corruption (12% above target)
• 837 employees trained in trade compliance (28% above target)
• 164,000 customers screened
• Established a dedicated confidential ‘Speak Up’ line for employee concerns

Climate Goals & Targets

Environmental Challenges

• Achieving the 2020 carbon reduction target as the business grows
• Reducing emissions from transport (over half of total emissions)
• Improving data quality for better monitoring and benchmarking

Mitigation Strategies

• Independent review of carbon emissions to identify areas for improvement
• Roadmap for each region to meet global targets
• Focus on fuel efficiency, electric vehicles, and virtual meetings to reduce transport emissions
• Improved data capture and reporting

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• ERIKS Supplier Code of Conduct

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI

Certifications: ISO 50001 (Netherlands)

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• 3, 4, 8, 7, 9, 12, 13, 16, 17

The report links its strategy and targets with the UN Sustainable Development Goals.

Sustainable Products & Innovation

• Energy-efficient products
• New flexible solar panels

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Safety
• Diversity and Inclusion
• Carbon Reduction
• Customer Solutions
• Sustainable Innovation
• Responsible Procurement

Environmental Achievements

• Achieved a 24% reduction in CO2e emissions vs. 2018.
• Switched almost all operations to green electricity (except France and APAC).

Social Achievements

• Zero life-changing incidents for the fourth consecutive year.
• Increased female representation in leadership positions to 19% (from 16% in 2020), aiming for 25% by 2030.
• 80% activation rate for employee e-learning content promotion.
• Almost 80% employee response rate in engagement survey.

Governance Achievements

• Implemented a new reporting tool for more detailed environmental footprint data.
• Established a whistleblower system ('Speak Up').

Climate Goals & Targets

Environmental Challenges

• Reducing CO2 emissions from company fleet.
• Switching remaining operations (France and APAC) to green electricity.
• Further energy reduction at company sites.

Mitigation Strategies

• Further electrification of company fleet (Belgium only electric/hybrids).
• Exploring green electricity options for France and APAC.
• Implementing energy-saving initiatives (LED lighting, solar panels, heat pumps, smart metering).

Supply Chain Management

Responsible Procurement

• Supplier Code of Conduct

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI

Certifications: ISO 9001, ISO 45001, ISO 14001

UN Sustainable Development Goals

• Goal 8 (Decent work and economic growth)
• Goal 13 (Climate action)
• Goal 17 (Partnerships for the goals)

Sustainable Products & Innovation

• High-efficiency motors
• Smart Asset Management platform (VibraConnect)
• Large-size hydraulic hoses for offshore wind farms
• TCO motor calculator

Environmental Metrics

ESG Focus Areas

• Climate change
• Responsible procurement
• Healthy and safe work environment
• Sustainable innovation and customer solutions
• Attraction and retention of employees
• Data privacy and cybersecurity

Environmental Achievements

• Achieved a 30% reduction in CO2 emissions by 2030 (seven years early), totaling 12,286 tCO2e in 2023.
• 30% of car fleet made up of hybrid or electric vehicles (up from 25% in 2022).
• 30% of facilities running on renewable electricity (compared to 90% in 2022).

Social Achievements

• Zero serious accidents and zero severe injuries in 2023.
• 32% of ERIKS’ leadership positions held by women in 2023 (target 33% by 2030).
• 10% of workforce trained in sustainability in 2023 (target 80% by 2025).

Governance Achievements

• Prepared for compliance with the EU Corporate Sustainability Reporting Directive (CSRD) by 2025.
• Developed frameworks encompassing Environmental, Social, and Governance (ESG) considerations.
• Implemented a Supplier Code of Conduct.

Climate Goals & Targets

Environmental Challenges

• Transitioning fossil fuel fleet to electric or hybrid alternatives.
• Reducing emissions within the supply chain.
• Implementing the Carbon Border Adjustment Mechanism (CBAM) in the European Union.
• Managing risks associated with conflict minerals.
• Addressing PFAS in products.

Mitigation Strategies

• Implementing local strategies to transition fleet to EVs or hybrids; developing charging infrastructure.
• Partnering with transport companies that compensate for emissions; optimizing logistics.
• Conducting in-depth internal analysis; establishing robust processes for data capture; developing a governance framework for CBAM reporting.
• Integrating regulatory mandates concerning conflict minerals into procurement standards; working towards mandating suppliers to abstain from activities linked to conflict minerals.
• Actively engaging with customers and suppliers to explore PFAS-free alternatives; providing training to product specialists.

Supply Chain Management

Responsible Procurement

• Supplier Code of Conduct
• ESG criteria in procurement
• Conflict minerals management

Climate-Related Risks & Opportunities

Transition Risks

• CBAM implementation

Opportunities

• Hydrogen technologies
• Sustainable customer solutions

Reporting Standards

Frameworks Used: CSRD

Certifications: ISO 9001, ISO 45001, ISO 14001

Sustainable Products & Innovation

• PFAS-free materials
• Circular cleanroom

Awards & Recognition

• MIA certificate for circular cleanroom
• ASML Circular Innovation Programme 2023 contest winner