Cooper Standard Holdings Inc.
Climate Impact & Sustainability Data (2017, 2018, 2020, 2021, 2022, 2023)
Reporting Period: 2017
Environmental Metrics
ESG Focus Areas
- Customer Satisfaction
- Community Involvement
- Energy Use & GHG Emissions
- Governance, Ethics & Compliance
- Information Security
- Innovation
- Product Safety
- Supply Chain Sustainability
- Talent Management
- Workplace Safety
Environmental Achievements
- Reduced energy consumption for fossil fuels and electricity by 2.9%, resulting in an 11.6% decrease in greenhouse gas emissions.
- Nine facilities achieved landfill-free (100 percent diversion) status.
- Eighteen facilities achieved >90 percent landfill diversion.
Social Achievements
- Achieved 81 percent improvement in Total Incident Rate (TIR) globally since 2013.
- 25 manufacturing and technical centers achieved zero injuries.
- Launched STEM Affinity Group to inspire student achievement and interest in STEM careers.
- Formalized veterans’ support initiative, Cooper Standard Careers for Veterans, to provide career opportunities for military veterans.
Governance Achievements
- Introduced a comprehensive Supplier Code of Conduct.
- Upgraded third-party chemical compliance management system (CCMS).
- Improved compliance by automating key compliance processes for logical access controls.
Climate Goals & Targets
- Zero injuries.
- Have all sites at greater than 90 percent landfill diversion by 2021.
- Reduce scrap by 20 percent on a cost basis from 2016 to 2018.
Environmental Challenges
- Meeting stringent regulations for emissions and fuel economy worldwide.
- Maintaining a vital and responsible supply chain.
- Ensuring information technology and security.
Mitigation Strategies
- Developing product innovations for improved environmental impact, such as product weight reduction.
- Holding suppliers accountable to Supplier Code of Conduct.
- Using an ISO/IEC 27001-aligned Information Security Management Systems framework.
Supply Chain Management
Supplier Audits: Not disclosed
Responsible Procurement
- Supplier Code of Conduct
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Not disclosed
Opportunities
- Development of energy-efficient products
Reporting Standards
Frameworks Used: GRI
Certifications: ISO 14001
Third-party Assurance: Not disclosed
UN Sustainable Development Goals
- Not disclosed
Not disclosed
Sustainable Products & Innovation
- Fortrex™
Awards & Recognition
- Best of MichBusiness Award for STEM Achievements
- Corp! Michigan Economic Bright Spot
- 2018 Automotive News PACE Award Finalist
- New Lexington, Ohio Presidential Award
Reporting Period: 2018
Environmental Metrics
ESG Focus Areas
- Talent Management
- Workplace Safety
- Diversity and Inclusion
- Human Rights
- Community Involvement
- Product Quality and Safety
- Innovation
- Product Life Cycle
- Customer Satisfaction
- Ethics and Compliance
- Information and Data Security
- Chemical Compliance
- Energy and GHG Emissions
- Waste
Environmental Achievements
- 8.2% decrease in energy consumption of fossil fuels (direct) and electricity (indirect), resulting in a corresponding decrease in greenhouse gas emissions of 11.1%
- 45 plants completed the energy hunt implementation, resulting in $6.1 million in anticipated annual cost savings
- 29% of reporting manufacturing facilities achieved 100% landfill-free status and 18% achieved 90% or greater
Social Achievements
- Launched a new performance management process aimed at maximizing productivity and innovation
- Launched a global onboarding program for salaried employees
- Redesigned performance management process
- Continued to assess workforce competencies to identify current gaps
- Increased employee engagement through community involvement, resulting in more than double the amount of donations since the Foundation’s establishment in 2013
Governance Achievements
- Adopted an enhanced Code of Conduct
- Introduced a comprehensive Supplier Code of Conduct
- Combined the lead roles for both Purchasing and Information Technology to further speed the digitization of purchasing data
Climate Goals & Targets
- Not disclosed
- Achieve all current cells and jobs trained by BTO by the end of 2019
- Reduce energy costs by 5% per year
Environmental Challenges
- Global material costs as a percentage of sales increased by 0.5% due to material price volatility and trade tariffs
- Global talent shortages
- 2018 TIR worsened slightly compared to 2017
Mitigation Strategies
- Developed a TA Transformation Strategy to improve processes, technologies, and talent strategies
- Implemented a comprehensive Safety Balanced Scorecard (SBS)
- Developed global standards for seven critical safety programs
- Developed and implemented second-generation versions of safety culture maturity survey and global job hazard and risk assessment tool
Supply Chain Management
Supplier Audits: 50 top suppliers completed a Self-Assessment Questionnaire (SAQ) on sustainability
Responsible Procurement
- Supplier Code of Conduct addressing anti-corruption, conflict minerals, human rights, health, safety, environment, and chemical compliance
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: GRI
Certifications: ISO 14001, OHSAS 18001
Sustainable Products & Innovation
- Fortrex® (lower carbon footprint)
Awards & Recognition
- 2018 Automotive News PACE Award
- General Motors’ Supplier of the Year (2017)
- Society of Plastics Engineers’ Innovation Award finalist
Reporting Period: 2020
Environmental Metrics
ESG Focus Areas
- Talent Management
- Innovation
- Workplace Safety
- Product Safety and Quality
- Diversity and Inclusion
- Climate Change
- Low-carbon economy
- Circularity
- Ethics & Compliance
- Human Rights
- Information & Data Security
- Energy, Emissions & Waste
Environmental Achievements
- Achieved 69% of facilities with over 90% waste diversion.
- Reduced total energy consumption due to temporary facility closures.
- Reduced Scope 1 and Scope 2 emissions faster than energy reductions.
Social Achievements
- Achieved record safety performance with 0.32 incidents per 200,000 hours worked.
- Launched a new diversity, inclusion, and belonging policy.
- Continued expanding Cooper Standard University.
- Launched GLT Awards to recognize high-performing teams.
- Maintained improved customer relations despite pandemic challenges.
Governance Achievements
- Introduced a new Diversity, Inclusion and Belonging policy.
- Received recognition by Ethisphere Institute as one of the World’s Most Ethical Companies® for the second time.
- Senior Director - Ethics & Compliance named a finalist in Compliance Week’s Excellence in Compliance Awards.
Climate Goals & Targets
- Achieve 10% or greater ROIC by 2023.
- Implement our innovative materials and product solutions on half of all battery electric vehicles on the road by 2023.
- Reduce operational energy consumption indexed to sales by 15% by 2025.
- Lower Scope 1 and Scope 2 GHG emissions indexed to sales by 15% by 2025.
- Decrease solid waste generated by 25% by 2025.
- Achieve 100% waste diversion rate globally by 2025.
- Source electricity from 100% renewable energy sources by 2025.
- Improve each facility’s safety balanced scorecard rating by 15% by 2023.
- Achieve 100% of facilities certified to ISO 45001 by 2023.
- Achieve 98% green or yellow customer scorecards by 2023.
- Reduce the percentage of potential safety-critical issues reaching customers by 50% by 2023.
- Decrease quality incidents per billion by 35% by 2023.
- Implement 114 controls aligned with ISO 27001 by the end of 2022.
- Provide annual training on phishing data security practices for 100% of employees by end of 2021.
- Implement third-party cyber security assessments for all known vendors by the end of 2021.
- Ensure and validate that 100% of employees know where to find the Code of Conduct and policies by 2023.
- Foster an environment where 100% of employees will report feeling comfortable speaking up by 2023.
- Foster an environment where 100% of employees don’t feel pressured to compromise values by 2023.
- Achieve 100% satisfaction with the reporting process by 2023.
- Reach 100% response rate on supplier SAQ from our direct materials GROW suppliers by 2023.
- Audit 100% of our GROW direct materials suppliers for compliance with our Human Rights Policy by 2023.
- Continue expanding Cooper Standard University and further enhancing our overall learning and development opportunities by 2022.
Environmental Challenges
- COVID-19 pandemic impacted operations, supply chain, and workforce availability.
- Travel restrictions hindered supplier audits.
- Economic crisis of the pandemic reduced internal fill rate.
- Lower turnover rates for salaried employees reduced available opportunities at the director level.
Mitigation Strategies
- Mobilized Global and Regional Emergency Response Teams to mitigate risks.
- Successfully transitioned to remote work for office-based employees.
- Published a detailed guide for facilities to implement global safety guidelines.
- Developed supplier screening processes.
- Adapted and continued to make progress in strengthening recruitment and talent development programs.
- Implemented new and comprehensive procedures to help keep employees healthy and work environments safe.
Supply Chain Management
Responsible Procurement
- Supplier Code of Conduct addressing anti-corruption, anti-bribery, conflict minerals, human rights, health, safety, environment, and chemical compliance.
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: GRI, SASB
Certifications: ISO 14001 (84% of facilities), ISO 45001 (24.7% of facilities)
Sustainable Products & Innovation
- Fortrex® chemistry platform (lower carbon footprint)
- Recyclable polypropylene materials
- A.I. tools for material formulation and manufacturing process control
Awards & Recognition
- GM Supplier of the Year (3 consecutive years)
- Newsweek’s America’s Most Responsible Companies (2 consecutive years)
- One of the World’s Most Ethical Companies® by Ethisphere®
Reporting Period: 2021
Environmental Metrics
ESG Focus Areas
- Business Ethics & Integrity
- Climate Change
- Diversity, Inclusion & Belonging
- Employee Engagement & Talent Recruitment
- Energy & GHG Emissions
- Innovation
- Product Lifecycle
Environmental Achievements
- 93% of global production waste diverted
- 11% reduction in Scope 1 and 2 GHG emissions (indexed to sales)
- 2.2% reduction in operational energy consumption (indexed to sales)
Social Achievements
- Launched a global employee communications mobile app, CS Connect, to create a real-time dialogue with the workforce.
- Increased the number of ISO 45001 certified plants from 24.7% to 37%
- Received General Motors Overdrive Award in the category of ‘Sustainability’ for our Fortrex® chemistry platform.
Governance Achievements
- Formed a Global Sustainability Council to provide executive-level oversight for the Company’s sustainability strategy.
- Implemented a sustainability sign-off on all capital spending requests.
- Recognized for the third time by the Ethisphere Institute as one of the World's Most Ethical Companies®.
Climate Goals & Targets
- Reduce solid waste generated by 25% by 2025
- Achieve 100% waste diversion rate globally by 2025
- Lower Scope 1 and Scope 2 GHG emissions indexed to sales by 15% by 2025
- Reduce operational energy consumption indexed to sales 15% by 2025
- Source our electricity from 100% renewable energy sources by 2025
Environmental Challenges
- Supply chain disruptions due to Covid-19, natural disasters, and logistic constraints.
- Commodity cost increases.
- Addressing the challenges of the Covid-19 pandemic.
Mitigation Strategies
- Addressed 45 notices of force majeure from suppliers and more than 200 supply risk incidents without disrupting production.
- Developed a contingency planning procedure to mitigate risks to manufacturing and shipping.
- Created the Mantis dashboard to project the impact of raw material cost increases and model current and future impact on customer pricing and product profitability.
Supply Chain Management
Supplier Audits: 42% of Grow suppliers audited in 2021
Responsible Procurement
- Supplier Code of Conduct
- Sustainability Assessment Questionnaire
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: GRI, SASB
Sustainable Products & Innovation
- Fortrex® chemistry platform
- FlushSeal™ movable glass sealing system
- PlastiCool® multi-layer tube
Awards & Recognition
- Newsweek’s America’s Most Responsible Companies
- One of the World’s Most Ethical Companies® by the Ethisphere Institute
- General Motors Supplier of the Year
- General Motors Overdrive Award
Reporting Period: 2022
Environmental Metrics
ESG Focus Areas
- Business Ethics & Integrity
- Climate Change
- Diversity, Inclusion & Belonging
- Employee Engagement & Talent Recruitment
- Energy & GHG Emissions
- Innovation
- Product Lifecycle
Environmental Achievements
- 87.9% of global production waste diverted
- 8.8% reduction in Scope 1 and 2 emissions
- Reduction of approximately 560 MWh (Megawatt hours), or approximately 218kg (481,489 lbs.) of CO2 emissions by migrating corporate enterprise datacenters into the cloud
Social Achievements
- Launched Respectful Communications Campaign
- Expanded Panels with a Purpose and DIB-related content on CS Connect
- Improved Total Incident Rate that outperformed the world-class benchmark for the sixth consecutive year.
- 25 plants achieved zero incidents
Governance Achievements
- Formalized ESG governance structure and management system
- Recognized for the third time by the Ethisphere Institute as one of the World's Most Ethical Companies®, as well as one of America’s Most Responsible Companies by Newsweek
Climate Goals & Targets
- Not disclosed
- Decrease our solid waste generated by 25% by 2025
- Commit to have 100% waste diversion rate globally, by 2025
- Lower our Scope 1 and Scope 2 GHG emissions indexed to sales by 15% by 2025
- Reduce our operational energy consumption (Scope 1 and 2) indexed to sales 15% by 2025
- Improve each facility’s safety balanced scorecard score by 15% from 2019 baseline by 2023
- Achieve 100% of facilities certified to ISO 45001 by 2023
- Reduce the percentage of potential safety-critical issues reaching customers by 50% by 2023
- Decrease quality incidents per billion by 35% by 2023
- Achieve 98% of green or yellow customer scorecards by 2023
- Ensure and validate that 100% of employees know where to find the Code of Conduct and policies by 2023
- Foster an environment where 100% of employees will feel comfortable reporting misconduct if they observed it by 2023
- Foster an environment where 100% of employees never feel pressured to compromise values by 2023
- Foster an environment where 100% of employees believe their concerns about unethical behavior or misconduct will be fully investigated by 2023
- Reach 100% response rate on supplier Sustainable Assessment Questionnaire from direct materials Grow suppliers by 2023
- 100% of direct material Grow suppliers will have completed a self-assessment with respect to compliance with our Supplier Code of Conduct by 2023
Environmental Challenges
- Ongoing unprecedented challenges and disruptions in the industry
- Significant ongoing supply chain disruptions
- Significant supply chain disruptions
- Ongoing volatility in the market presented an environment of new risks related to product quality and safety
- Short notice changes in customer production schedules and staffing challenges
Mitigation Strategies
- Increased operating efficiency, improved profitability and cash flows
- Lean initiatives, improved operating efficiencies, SGA&E reduction and realization of savings from past restructuring actions
- Enhanced commercial agreements
- Identified alternative materials which met our customers’ technical specifications
- Execution of strong quality and product safety systems
Supply Chain Management
Responsible Procurement
- Supplier Code of Conduct
- General Terms and Conditions of Purchase
- Sustainability Assessment Questionnaire (SAQ)
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: GRI, SASB
Certifications: ISO 14001, ISO 50001
Sustainable Products & Innovation
- Fortrex™ materials platform
- PlastiCool® portfolio
Awards & Recognition
- Newsweek’s America’s Most Responsible Companies
- World’s Most Ethical Companies®
- Environmental + Energy Leader Award
- SPE Automotive award
Reporting Period: 2023
Environmental Metrics
ESG Focus Areas
- Business Ethics & Integrity
- Climate Change
- Diversity, Inclusion & Belonging
- Employee Engagement & Talent Recruitment
- Energy & GHG Emissions
- Innovation
- Product Lifecycle
Environmental Achievements
- 89% of global production waste diverted in 2023
- 60% of facilities achieved over 90% waste diversion in 2023
- 3.3% improvement in emissions intensity despite higher sales
Social Achievements
- Safety incident rate of 0.32 per 200,000 hours worked (well below the goal of 0.38)
- 24 plants achieved a perfect safety record of zero incidents
- Silver Medal EcoVadis Status achieved, placing the Company in the top 87% of responding companies in its segment
- Launched the ¡Hola! ERG for Latinx employees in the U.S.
- Expanded its network of Employee Resource Groups (ERGs)
Governance Achievements
- Named to Newsweek’s America’s Most Responsible Companies for the fifth consecutive year
- Expanded Code of Conduct training to include U.S. hourly workforce
- Revised Policy on Global Human Rights and Supplier Code of Conduct to include additional provisions
Climate Goals & Targets
- 100% virtual validation by 2035
- By 2028, 30% of product portfolio (including materials) provide improved sustainability vs. traditional solutions
- Decrease solid waste generated by 25% by 2025
- Lower Scope 1 and Scope 2 GHG emissions indexed to sales by 15% by 2025
- Achieve 100% waste diversion rate globally by 2025
- Reduce operational energy consumption (Scope 1 and 2) indexed to sales by 15% by 2025
- Increase percentage of employees who never feel pressured to compromise values year-over-year
- Increase percentage of employees who believe their concerns about unethical behavior will be fully investigated year-over-year
- Increase percentage of employees who feel comfortable reporting misconduct year-over-year
- Increase percentage of employees who know where to find the Code of Conduct year-over-year
- Achieve 65% of suppliers reaching SAQ sustainability score above 80% by 2027
- Map 100% of grow suppliers by 2026
- Increase percentage of phishing emails reported annually to 25% by 2027
- Decrease percentage of phishing tests failed to less than 3% by 2027
- Increase percentage of female salaried population year-over-year
- Increase percentage of U.S. racially underrepresented salaried population year-over-year
- Achieve better than world-class TIR of 0.57 annually
- Implement a next generation Safety Balanced Scorecard program by 2025
- Annually engage employees and their families equivalent to 50% of our workforce
Environmental Challenges
- Ongoing supply chain disruptions
- Organizational pressure to compromise standards to achieve business goals
Mitigation Strategies
- Identified alternative materials to limit production interruptions
- Implemented action plans to help managers better communicate with their teams about ethics
- Provided employees and managers guides for best practices related to alleviating and responding to organizational pressure
Supply Chain Management
Supplier Audits: 100% of direct material Grow suppliers updated self-assessments in 2023
Responsible Procurement
- Supplier Code of Conduct
- General Terms and Conditions of Purchase
- Sustainability Assessment Questionnaire (SAQ)
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: GRI, SASB
Certifications: ISO 14001, ISO 50001
Sustainable Products & Innovation
- Fortrex® materials platform
- FlushSeal™ sealing system
- PlastiCool® thermoplastic tubing
Awards & Recognition
- Newsweek’s America’s Most Responsible Companies
- EcoVadis Silver Medal
- Nissan North America Leader in Sustainability
- SPE Automotive Innovation Award finalist
- General Motors Supplier of the Year