Sustainability leadership is crucial to realizing Electrolux strategy. The objective is to develop smarter, more accessible, resource-efficient solutions that meet people’s needs and improve their lives.
to sustainably provide resource-efficient products and services that are accessible to more people around the world
to engage employees in continuausly improving operations for the safety of people, integrity of the company and the good of the environment
to connect with stakeholders across the value chain and build trust to achieve successful sustainability outcomes
Sustainability is a core element of being the best appliance company in the world. Emerging issues are continuously monitored and the impact on business performance is being assessed. External and internal stakeholder expectations are identified, compiled and evaluated to help shape the basis for future priorities. In 2014, further steps were taken to develop this materiality process. The results are illustrated above.
Electrolux Sustainability Report 2014 including a description of the analysis to identify the most relevant and material sustainability aspects, such as acro drivers and stakeholder impact, is available at www.electroluxgroup.com/annualreport2014
The Group’s most significant environmental impact is carbon-dioxide emissions deriving from generating electricity during the usage of products. To build increased consumer awareness of the value of efficient appliances, Electrolux focuses on efficiency and other sustainability benefits in marketing across the Group.
Sustainability is one of four prioritized areas in product development. At least one-third of the product development spend is environmentally related. Electrolux offers a Green Range of the most efficient products to meet the increasing demand for energy and cost-efficient appliances. In 2014, the Green Range represented 13% of products sold and 25% of gross profit.
The Group’s 2020 objective is to eliminate all high-impact greenhouse gases.
| Share of units sold | 13 |
| Share of gross profit | 25 |
Consumer products with the best environmental performance accounted for 13% of total sold units and 25% of gross profit.
The Electrolux Foundation, the Group’s principle of conduct, covers three areas: Respect and Diversity, Ethics and Integrity, and Safety and Sustainability. These principles govern the Group's operations.
Sustainability targets are set relative to the Group’s objective to grow its business by at least 4% per year. Efficient use of resources has the dual benefit of cost savings and sustainability advantages. Through the Green Spirit program, which is an integral part of the Electrolux Manufacturing System, objectives are set to continuously reduce resource consumption and waste.
Electrolux work towards the 2015 target to reduce energy consumption by 15% compared to 2011, in relative terms, continues and is on track. In 2014, energy consumption was reduced by 5.1% compared to 2013.
In 2014, the Electrolux Workplace Code of Conduct was updated to align with the UN Guiding Principles on Business and Human Rights. Educational activities throughout the organization will follow in 2015. Electrolux has a global Ethics Program, encompassing both ethics training and a whistleblowing system – the Electrolux Ethics Helpline.
Electrolux endeavors to be a responsible, open and honest societal partner. As a signatory of the UN Global Compact, Electrolux is committed to promoting the ten principles covering human rights, labor standards, environment and anti-corruption along its value chain.
As part of the company’s responsible sourcing initiatives, Electrolux carried out 361 supplier audits in 2014.
-50%
Electrolux is cutting its CO2 impact by 50% by 2020 relative to 2005 production levels. Approximately 25 million tonnes will be cut in emissions deriving from product use, use of greenhouse gases, in production and transportation.
| 2014 | |
| Recycling 1 % | 1 |
| Materials 9 % | 9 |
| Manufacturing 1 % | 1 |
| Transportation 1 % | 1 |
| Product usage 88 % | 88 |
*Calculated as the average of eleven different appliances.
In 2014, and for the eight consecutive year, Electrolux was recognized as leader of its industry sector in the prestigious Dow Jones Sustainability World Index. Sustainability leadership requires a clear vision, strong organizational alignment and global commitment.