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Sustainable

Business Report
2019

Vodafone Group Plc


Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 2

In this report Our business


INTRODUCTION OPERATING RESPONSIBLY Vodafone Group is one of the world’s leading telecoms and technology
Our year at a glance 3 Supply chain integrity 37 service providers. We have extensive experience in connectivity,
Chief Executive introduction 5 Safety 42 convergence and the Internet of Things, as well as championing mobile
How we connect for a better future 6 Managing key safety risks 43
financial services and digital transformation in emerging markets.
Our sustainable business strategy 7 Human rights 46
Anti-bribery and corruption 48
TRANSFORMATION Our approach to political engagement 51
Women’s empowerment 9 Privacy and cyber security 53
The global context
Empowering women in
10 Mobiles, masts and health 56
650 million €43.7 billion
emerging markets 11 OUR PEOPLE mobile customers *
turnover
Gender equality in our workplace 16 Developing skills and capability 61
Youth skills and jobs 19 Building a diverse and inclusive business 62
The global context 20 Employee wellbeing 64
Our future jobs strategy 21 Managing change and reorganisations 65
Digital workplace experience
Energy innovation
23
25
APPENDIX 85 million 92,005
The global context 26 Managing and reporting on IoT connections employees
Vodafone, energy and climate change 27 sustainable business 67
Our greenhouse gas emissions 28 Materiality 69
Optimising our energy consumption 30 Environmental management 70
Increasing renewable energy 32 Scope of reporting 71
Scope 3 emissions 33 How we report our key
Enabling customers to
reduce emissions 34
performance indicators
Independent Limited Assurance
72
37.1 million
Report to Vodafone Group Plc 80 mobile money customers

5.4 million
TB of data transmitted

* Including all of the customers in Vodafone’s joint ventures and associates.


Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 3

Our year at a glance Youth skills


and jobs
By empowering women Progress towards
and promoting gender our 2022 goals
equality, we can help
communities, economies Support 10 million young people
and businesses – including to access digital skills, learning and
our own – to prosper. employment opportunities
With a growing digital
9 478,986 skills gap, we believe
users have completed our Future Jobs there is a need to help
Finder tool to understand their strengths young people develop the
and skills and view job opportunities in skills they need to thrive
the digital economy in the digital economy.
Provide 100,000 opportunities for young 19
people to receive a digital learning
experience at Vodafone

Women’s 54,712
young people provided with workplace
empowerment experience during the year
Energy
Progress towards Urgent action is needed to innovation
our 2025 goals address climate change. We
are committed to achieving Progress towards
We aim to connect an additional our 2025 goals
a significant reduction in the
50 million women living in emerging
markets to mobile
greenhouse gas emissions To reduce our greenhouse
associated with our operations. gas emissions by 50%
19.4 million 25 3%
more female customers in
our emerging markets since 2016 reduction in our total greenhouse
gas emissions in the last year
Our ambition is
for Vodafone to become the Our ambition is to purchase
world’s best employer for women 100% of the electricity we use
from renewable sources
31% 15%
of our management and
leadership roles held by women of purchased electricity was
from renewable sources
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 4

Our year at a glance

Supply chain integrity and safety Human rights Privacy and cyber security Our people

We work with our suppliers, partners Respect for human rights, together with Vodafone has strict governance processes Our business performance and our
and peers to drive high standards established processes to reduce the risk and controls in place to protect our customers’ experience of Vodafone depend
across our supply chain and do our of human rights abuses, is critical to customers’ personal data, respect their on our ability to attract, develop and retain
utmost to keep everyone working in our long-term success. privacy and proactively manage the cyber talented individuals at all levels.
our operations safe from harm. security risks that face businesses today.

Supply chain 37
Safety 42 Key highlights of the year
Key highlights of the year

GNI assessment Key highlights of the year €60m


invested in employee
completed to ensure we have 10 Privacy training and development
Key highlights of the year measures in place to protect and
advance freedom of expression ‘commandments’
Supplier Academy and the right to privacy established to help drive how we 85%
Launched a common industry develop and operate our products of our employees* believe that
Supplier Academy to help build Tech Against and services Vodafone is socially responsible
capability of suppliers
Trafficking
46 Vodafone Cyber Code 53 450 employees 58
85 Joined a new multistakeholder
coalition, Tech Against launched to simplify and have joined our Multicultural * Employees
who responded
on-site assessments conducted Trafficking, which is focused on explain our basic security controls network, which was launched to our Global
within Vodafone’s supply chain modern slavery issues to all employees this year in the UK People Survey

Our reporting does not stop here vodafone.com/sustainability

Mobiles, masts and health Reporting our contribution Taxation and our total Digital Rights and
The health and safety of our customers and to the UN SDGs economic contribution Freedoms Reporting Centre
the wider public is a priority for Vodafone. Vodafone is committed to leveraging As a major investor, taxpayer and employer, Our transparency disclosures on matters related
We endeavour to address any concerns the power of its technology, networks we make a significant contribution to the to digital human rights include our policies,
regarding the electromagnetic frequency and services to contribute to the United economies of all the countries in which we approach and principles regarding government
(EMF) emissions from mobile devices and Nations Sustainable operate. Our tax access to customer data, as well as our
base stations by providing up-to-date, open, Development Goals. report sets out our approach to managing issues such as freedom
transparent information on our website and Find out how in total contribution to of expression, censorship and the digital rights
by engaging with local communities. our report. Our contribution
Our contribution public finances on a of the child. We present our approach on these
to theto
UNthe
SDGs
UN SDGs
cash-paid basis. Find issues online in our Digital Rights and Freedoms
56 the report online. Reporting centre.
Vodafone Group Plc
May 2019

vodafone.com/mmh vodafone.com/sdgs vodafone.com/tax vodafone.com/drf


Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 5

Chief Executive introduction


Vodafone’s purpose is to connect for a better Inspired by our purpose and supported by our society. In the first year, we have made good Our strategy continues to help drive impact
future and is supported by our commitment to networks and technologies, we are working progress through our Future Jobs Finder against the UN Sustainable Development Goals
improve one billion lives through an inclusive to ensure that our services, programmes and platform, with 500,000 young people, across (SDGs), and specifically those that relate to
digital society while halving our environmental initiatives are helping to accelerate gender 20 different countries, learning more about quality education, gender equality, decent work
impact by 2025. diversity and women’s empowerment, and are their skills and abilities and how they can use and economic growth, industry, innovation and
improving young people’s digital skills across our those to find a career in the digital economy. infrastructure, and climate action.
We have an important role to play in helping
footprint, while we reduce our environmental
to create a digital society. Digital services, like – Climate change remains one of the most Vodafone is optimistic about the benefits of
impact. I am pleased with our progress and
the ones we provide, are quickly becoming critical global challenges facing humanity. a digital society. High speed networks are
would particularly highlight some of the
the new engines of growth in the global race We have committed to reducing our accelerating the availability of new technologies
programmes and initiatives that are driving that
for economic prosperity and sustainable greenhouse gas emissions by 50% and to and innovative products and services that
success, including:
development. As digitisation dramatically purchasing 100% of the electricity we use will help our customers and wider society to
increases the rate of change and pace of – In 2016, Vodafone set a target to connect from renewable sources by 2025. These are improve their lives and livelihoods. Using those
innovation, it can however, also widen existing an additional 50 million women living in ambitious targets for our business, as business new technologies, we intend to continue to
divides in our societies. In this fast-paced emerging markets to mobile by 2025. To growth and our customers’ growing data help to build prosperous economies, strong
journey to an exciting digital age, our goal must date, we estimate that we have connected usage is resulting in increased energy demand. communities and a sustainable planet, as we
therefore be to democratise digitisation, making an additional 19.4 million women, providing While there is no simple global solution, I am work to create a more inclusive digital society.
technology truly accessible to everyone while opportunities for them to enhance the pleased with the progress we have made this
being more mindful of its impact on our planet. quality of their lives and reach their full year to ensure that we will meet our targets in
potential. Vodacom’s Mum & Baby service a credible and sustainable way.
As Vodafone’s CEO, I am pleased to share our
in South Africa is one example of the
Sustainable Business Report 2019 with you, which Nick Read
programmes we are developing in pursuit
outlines our progress against our sustainable Group Chief Executive, Vodafone Group Plc
business strategy and targets. It is clear that
of our goal. It is a platform that provides Our strategy continues to
subscribers with maternal, neonatal and child help drive impact against
our focus on women’s empowerment, youth
health and wellbeing information, with 98%
skills and jobs and energy innovation is having a
of those completing a recent independent
the UN Sustainable
positive impact on our customers, our colleagues
survey saying they had taken action to Development Goals (SDGs)
and the communities in which we work.
improve their child’s health as a result of
using this service.
Vodafone is also committed to operating
Vodafone’s purpose is – In March 2018, we committed to our target responsibly and with integrity. This report
to connect for a better to support 10 million young people to access outlines the policies, approach and controls
future and is supported by digital skills, learning and employment we put in place to manage key risks such as
our commitment to improve opportunities by 2022. This goal was digital human rights, ensuring integrity in our
developed to address the concern that, supply chain, health and safety, protecting
one billion lives through an while younger people are generally more our customers’ data and respecting their right
inclusive digital society while savvy digitally, many find themselves lacking to privacy.
halving our environmental the necessary digital skills to capture new
impact by 2025. employment opportunities in a digital
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 6

How we connect for a better future


Working across our business
In our operations Our employees For communities
Every day, our products and services play a
central role in the daily lives and livelihoods Keeping the people who work Our business performance and Through targeted commercial
of more than half a billion people, across for us safe is one of our most our customers’ experience propositions, we are helping
25 countries. We work to embed our fundamental responsibilities. depend on our ability to attract, women in emerging markets
sustainable business strategy across all our develop and retain talented overcome the barriers they face
We are also committed to
operations and are committed to building individuals at all levels. in reaching their full potential,
responding openly and
positive relations with all our stakeholders. benefiting both themselves and
transparently to public concerns
16 
Gender equality their local communities.
about mobiles, masts and health. in our workplace
58 Our people 13 Increasing access to health
42 Safety advice in South Africa
56 Mobiles, masts and health 23 Providing free coding training
in Turkey

Across our network


Our networks account for 94% of our
total energy use. Through a number For our customers Working with our suppliers
of different initiatives, we are working Our customers trust us with We work with more than 10,800
to improve energy efficiency across their personal information and direct suppliers around the
our networks and purchase 100% their privacy. Protecting that world. We have collaborated with
renewable electricity by 2025. information and respecting peer companies to develop an
their privacy is fundamental. academy to support suppliers to
30 Our network – optimising our
energy consumption improve their social, ethical and
53 Privacy and cyber security environmental performance.
32 Increasing renewable energy
37 Our suppliers
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 7

Our sustainable business strategy


We believe that Vodafone has a significant
role to play in contributing to the societies in
which we operate. Our sustainable business
strategy articulates our intention to deliver We connect for a better future
significant positive impact in three areas,
each of which has the potential to improve
the lives of our customers and wider society.
We have established long-term targets to Our transformation areas
drive change in the areas of:
– women’s empowerment;
– youth skills and jobs; and
– energy innovation.
In parallel, we remain committed to ensuring
that Vodafone operates responsibly and
ethically, supported by our corporate
transparency programme. Four areas form Women’s Youth skills Energy
the focus of our efforts as we ensure detailed empowerment and jobs innovation
policies, practices and disclosures help
to hold our businesses to account while
contributing to the broader debate.
Our operating responsibly focus areas are: Operating responsibly
– taxation and total economic contribution;
– supply chain integrity and safety;
– mobiles, masts and health; and
– digital rights and freedoms. Tax and total
Supply chain Mobiles, masts Digital rights
economic
and safety and health and freedoms
contribution

Principles and practice


Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 8

Women’s empowerment Youth skills and jobs Energy innovation

Transformation
Our sustainable business strategy articulates our intention to deliver
significant positive impact in three areas, each of which has the
potential to improve the lives of our customers and wider society. We
have established long-term targets to drive change that focuses on
women’s empowerment, youth skills and jobs, and energy innovation.

Women’s empowement Youth skills and jobs Energy innovation


By empowering women and In many of the countries where Our industry faces a growing
promoting gender equality, we can we operate, youth unemployment greenhouse gas (GHG) emissions
enable communities, economies remains at very high levels. Together challenge and we have an important
and businesses – including our with a growing digital skills gap, role to mitigate the consequences
own – to prosper. Communications this creates a significant social of the growth in demand for our
technology plays a critical role in and economic challenge. Working services. We will continue to reduce
helping women to improve their together, governments, educators the GHG emissions associated
lives and livelihoods. By improving and companies need to find ways with our operations by purchasing
the diversity of our global workforce to address future workplace needs more of the electricity we use from
we will better reflect our customer and enhance the skills of people renewable sources. We will also
base and wider society. entering the workforce, to enable continue to help our customers
them to be better equipped to to reduce their emissions through
9 contribute to a prosperous and the use of our Internet of Things
inclusive digital society. products and services.
19 25
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 9

Women’s empowerment Youth skills and jobs Energy innovation

Women’s empowerment
The equality of women remains a significant global challenge. By
empowering women and promoting gender equality, we can enable
communities, economies and businesses – including our own – to prosper.

For society Within our business


We are changing women’s lives Our strong commitment to diversity
through mobile. is a source of business strength.

See page 11 See page 16

Our 2025 goal Our 2025 goal


We aim to connect an additional Our ambition is for Vodafone
50 million women living in to become the world’s best
emerging markets to mobile. employer for women.

Progress towards our goal Progress towards our goal


This year, the 2019 Bloomberg
19.4 million Gender-Equality Index
more female customers in our recognised Vodafone as one
emerging markets since 2016. of the top companies globally
leading the way towards more
equal, inclusive workplaces.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 10

Women’s empowerment Youth skills and jobs Energy innovation

The global context Our alignment to the UN Sustainable


Development Goals (SDGs)
Women are disadvantaged excluded from education than boys3. Evidence It is estimated that giving women and girls equal rights
economically across all cultures, also suggests that women in emerging markets and opportunities could improve public health, increase
are more likely to live in poverty than men4. productivity and grow prosperity, adding US$12 trillion to
societies and economies. Globally, Estimates state that every day approximately global GDP by 20257.
around 50% of women aged 15 or 830 women die from preventable causes related Communications technology can play a critical role in
over are in paid employment, to pregnancy and childbirth5. empowering women to improve their lives and livelihoods.
Providing women with access to life-enhancing services
compared with around 75% of men1. In more developed economies, young women can help unlock socio-economic opportunities and
and men enter the workplace with equivalent champion the inclusion of women in the workplace.
According to the World Economic Forum, it will
Vodafone is committed to SDG Goal 5, which is focused
take another 202 years to close the economic skills and in broadly equal numbers, but a on achieving gender equality.
‘gender gap’ if significant changes are not made. much greater proportion of men reach middle
Our approach also aligns with Goals 4 (quality education)
Also, the comparative lack of women in senior, and senior-level roles. A significant proportion and 8 (decent work and economic growth), as our mobile
better-paid roles means that the global average of women leave the workforce or continue technologies also support improved education outcomes
for women’s earnings is half that for men2. working in more junior roles than their male and drive financial inclusion.
peers. A lack of support during pregnancy and
In emerging economies, the gender gap often the challenge of balancing childcare with work Key SDGs and targets
affects women at an earlier age than it does in account for many women deciding to leave 4.3 By 2030, ensure equal access
more developed economies, and barriers exist paid employment. Some women experience for all women and men to affordable
in all areas of life, including access to education, difficulties in returning to work after a career and quality technical, vocational and
healthcare and finance. An estimated 132 break. Those who return to work find fewer tertiary education, including university.
million girls around the world are currently out opportunities for promotion and progression
of school, and girls are more likely to remain 5.1 End all forms of discrimination
than their male counterparts6. against all women and girls everywhere.
5.5 Ensure women’s full and effective
participation and equal opportunities for
leadership at all levels of decision-making
in political, economic and public life.
The global gender gap
One-third 5.B Enhance the use of enabling
technology, in particular information

fewer women and communications technology, to


promote the empowerment of women.

132 million girls Women Around 50% of women


aged 15 or over are in paid
8.5 By 2030, achieve full and productive
employment and decent work for all
are currently out of school and
are more likely to remain excluded are 10% employment, compared
with around 75% of men.
women and men, including for young
people and persons with disabilities, and
from education than boys.
less likely equal pay for work of equal value.
8.10 Strengthen the capacity of domestic
to own a mobile phone financial institutions to encourage and
than men. expand access to banking, insurance and
financial services for all.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 11

Women’s empowerment Youth skills and jobs Energy innovation

Empowering women in emerging markets


In low and middle-income countries, women – support education and skills; Mobile technology increases access to quality
Our 2025 goal are 10% less likely to own a mobile phone than – improve health and wellbeing; and education, especially for people living in remote
men. This equates to a ‘mobile gender gap’ of – enable economic empowerment. areas. Vodafone Foundation has pioneered the
We aim to connect an additional approximately 200 million women deprived of development of innovative digital teaching and
50 million women living in To contribute towards our goal, we have
the benefits of mobile ownership8. In addition, it remote learning technologies for deployment
launched new commercial propositions for
emerging markets to mobile is estimated that over 300 million fewer women
customers focused on helping women in
among some of the most vulnerable and
than men access the mobile internet. disadvantaged communities in the world,
emerging markets overcome the barriers they
Progress towards our goal including people living in refugee camps in
Closing the gender gap in mobile ownership face in reaching their full potential. These
sub-Saharan Africa. Its Instant Network Schools
We have made progress towards and usage by 2023 would provide an estimated include Vodacom’s Mum & Baby initiative in
programme connects classrooms to the internet,
our goal and now have an estimated additional US$140 billion in revenue for the South Africa, Vodafone Idea’s Sakhi safety plan
providing remote and isolated communities
119.8 million active female mobile industry over five years9. and our Business Women Connect programme
with solar power, tablet computers and teacher
in Tanzania and Mozambique.
customers, 6.1 million more Owning even the most basic mobile enables a training resources, together with access to
than last year (and an increase woman to communicate, access information, Supporting education and skills educational content. Run in partnership with the
learn, manage her finances, set up and run a Enabling girls and women to access a good United Nations High Commission for Refugees,
of 19.4 million since 2016).
business and even get help if feeling threatened. education can enhance their chances of thriving the Instant Network Schools programme has
Mobile technology also enhances many public in life, yet many girls in emerging markets enter given over 83,500 young refugee students
Estimated number of female customers and commercial services of value to women adulthood lacking basic literacy and numeracy access to a quality digital education.
in emerging markets (millions) and girls in emerging markets, from accessing skills. An estimated 132 million girls worldwide
vaccinations and maternal healthcare, to are out of school, including over 34 million girls
Baseline Goal
mobile banking and online support for of primary school age11.
smallholder farmers.
2016 100.3 Changing women’s lives through mobile
2017
We estimate that 119.8 million of the
109.7 +9.4
334.5 million active customers we serve in
emerging markets are women10. However, this
Across our networks
2018 113.7 +3.9

2019 119.8 +6.1


only represents 36% of our customer base, and
a disproportionate number of women in these 37.1 million
markets still do not own a mobile phone. customers using M-Pesa,
16.9 million are women
0 25 50 75 100 125 150
We want to bring the benefits of mobile to
women through a series of targeted commercial
programmes. In 2016, we set a goal to connect
See page 71 for how we report our
key performance indicators
an additional 50 million women in emerging
markets to mobile. To reach this target, we are
6.1 million 1.5 million
committed to use our mobile technologies to more female customers subscribers to Mum & Baby
enhance the quality of women’s lives through than last year service in South Africa
programmes that:
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 12

Women’s empowerment Youth skills and jobs Energy innovation

Improving health and wellbeing In Tanzania, Vodafone Foundation has


Empowering girls through mobile Estimates show that at least half the world’s collaborated with the United States Agency for
population lacks access to essential health International Development and other partners
Across the world, millions of girls lack the The partnership will increase the reach of mobile to develop its Mobilising Maternal Health
information, connections, tools and services platforms such as Springster, a mobile platform services13. Most of those people live in low to middle-
income countries where access to services for programme. This uses mobile technology to
they need. Many of the everyday issues that designed for and created by girls. The content on connect mothers to healthcare with the aim
affect them – relationships, contraception Springster helps girls understand and navigate screening, prevention and treatment is often limited
or non-existent. Rural poor, especially women, are of reducing rates of maternal death and injury,
and gender-based violence – are often too the key social issues they face in their local area, indirectly reducing the number of neonatal
sensitive to talk about openly, if at all. Boys from health and education, to financial security particularly deprived of such essential services.
deaths. Since the launch of the programme,
are also one and a half times more likely to and personal safety. Through informal learning Through Vodafone and Vodafone Foundation, we over 900,000 women have been connected
own a mobile phone than girls12. and by connecting girls with a supportive group have developed a range of mobile technologies that to treatment or free transport in emergencies.
Vodafone Foundation, which focuses of peers, the Springster platform aims to break enhance primary healthcare and prevention services Known as M-Mama, the emergency transport
on using connectivity to drive social change, the cycle of poverty by giving girls the tools, in emerging markets. Many of these programmes works with a network of local drivers to act as
launched a partnership this year with Girl knowledge, networks and confidence they are particularly important for women and young ‘taxi ambulances’ in areas where ambulances
Effect, a non-governmental organisation need to reach their full potential. children. They include Vodacom’s Mum & Baby are rarely available. When the patient makes a
(NGO) with expertise in using media and Vodafone Foundation has contributed US$5 service in South Africa, which provides subscribers free call to a 24/7 dispatch centre, the call
mobile technology to empower girls to million to the project, which will be used to with maternal, neonatal and child health and handler assesses the patient’s condition using
change their lives. The partnership aims generate a total of US$25 million over five wellbeing information. This year we commissioned the M-Mama app, which indicates whether the
to empower 7 million vulnerable girls years. The partnership aims to reach girls across KPMG to conduct a socio-economic assessment of patient needs transferring to a health facility.
across eight countries, connecting them India, Tanzania, South Africa, Lesotho, Ghana, this service to understand its impact and identify If so, the nearest taxi ambulance driver identified
to information, support and services they the Democratic Republic of Congo, Kenya and areas where it could be enhanced in the future (see on the M-Mama app is sent to take the woman to
need, through mobile. Mozambique. the case study on page 13 for more information). the closest health facility. On arrival, the driver
is paid for the journey via M-Pesa. M-Mama has
helped achieve a 27% reduction in maternal
mortality in the northern Lake Zones of
Tanzania where it is operational.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 13

Women’s empowerment Youth skills and jobs Energy innovation

Tackling domestic violence and abuse


Increasing access to health advice for mums, dads and carers Vodafone Foundation has more than a decade
According to UNICEF South Africa , each
14
– 98% of the mothers and pregnant women of experience developing mobile services
year 4,300 mothers die due to complications surveyed said they had taken action to to support victims of domestic violence and
during pregnancy and childbirth, 20,000 improve their child’s health because of abuse. This includes the TecSOS technology,
babies are stillborn and another 23,000 access to the information provided by which has supported more than 100,000
die in their first month of life. Research the service; high-risk survivors of domestic violence in five
shows that good access to reliable health countries, along with Easy Rescue, which has
– 95% of the mothers and pregnant women supported over 300,000 women in Turkey, and
information plays a crucial role in reducing
surveyed said that the information gender-based violence hotlines in South Africa
maternal and infancy illness and mortality.
received influenced their decision to and Kenya, which have connected over 300,000
In addition, many people in South Africa
breastfeed, and across the focus groups women to help during crises.
face long queues to receive health advice
a small number of participants indicated
for themselves and their families and often This year, Vodafone Foundation commissioned
that the information received had resulted
have to travel long distances to reach a clinic, research to explore the impact of domestic
in them breastfeeding for longer than
especially in rural areas. violence and abuse in the workplace (see page 17
six months;
To help address this problem, Vodacom for more information on the findings). In response
– 97% of mothers and pregnant women to the issues highlighted by the research,
developed Mum & Baby. This free-to-use
surveyed said the service influenced Vodafone Foundation announced the international
(no data charges) mobile health (‘mHealth’)
their decision to visit a health centre for expansion of Bright Sky, a free app that provides
intervention gives customers maternal,
check-ups; and information and advice to those affected by
neonatal and child health information.
The information is shared through weekly domestic abuse. Created in partnership with the
– 96% agreed that the information received
stage-based SMS messages. Additional UK-based crisis support charity Hestia, the app
helped with their decision to vaccinate
health-related content, such as articles, enables users to locate their nearest support
their child. If this were representative of all
videos and tutorials, is available through a centre. A short questionnaire also helps users
Mum & Baby subscribers, it would suggest
mobile-optimised website. Mum & Baby is assess the safety of a relationship and provides
that the service may have influenced the
available in English, Zulu, Sesotho, Xhosa information about different forms of abuse and
vaccination decisions for the children of
and Afrikaans. The service has helped over the types of support available.
approximately 650,000 individuals in
1.5 million parents and caregivers to take South Africa. In conjunction with this, Vodafone has launched
positive actions to improve their children’s a global domestic violence and abuse policy
The findings of the study will be
health since its launch in 2017. (see page 17 for more information).
used to help shape future plans
This year we commissioned KPMG to for the service and how its social
conduct an independent study to assess impact can be enhanced.
the socio-economic contribution of
Vodacom’s Mum & Baby service. R
 ead the report:
The study found: Vodacom’s Mum & Baby
service in South Africa
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 14

Women’s empowerment Youth skills and jobs Energy innovation

Enabling economic empowerment accounts and arrange micro-loans to help fund


Helping women to feel safer in India More than 2 billion people in the world, most their businesses. M-Pesa is also widely used
of them women, still have no access to banking to manage business transactions and to pay
In India, there are over a billion mobile connections and while almost half of the population is
facilities16, and women have less access to salaries, pensions, agricultural subsidies and
female, only 59% of them own a mobile phone15. This year, Vodafone Idea (our joint venture in
financial services than men in 40% of the world’s government grants.
India) launched a new mobile service for female customers called Sakhi that includes a special
set of security and safety features, including: countries17. Finding ways to improve their access With M-Pesa, women can take greater control
to financial services will bring significant social over their own and their family’s finances. For
Emergency Alerts benefits and economic opportunities. example, in Kenya, research estimated that
Location alerts that can be sent to ten pre-registered contacts in an emergency.
In 2007, together with our Kenyan associate, with mobile money access through M-Pesa,
Emergency Balance Safaricom, we developed the first mobile 185,000 women have been able to switch from
Ten free minutes of call time that can be used during emergencies, even with zero credit. money transfer service, M-Pesa. This is a subsistence farming to business or sales as their
simple, secure, cheap and convenient solution primary occupation19. In addition, the research
Private Number Recharge
now offered to customers across eight markets: also found that M-Pesa has helped lift 194,000
Provides a dummy ten-digit number to ensure the privacy of customers when they recharge
the Democratic Republic of Congo, Egypt, households, or 2% of Kenyan households, out of
at retail outlets, avoiding the need for them to have to reveal their mobile number to an
Ghana, India, Kenya, Lesotho, Mozambique poverty. We estimate that 16.9 million women
unknown retailer.
and Tanzania. The service enables customers were actively using M-Pesa in 2018, accounting
Female customers using Vodafone Idea prepaid or postpaid services can sign up to Sakhi for free, to safely and securely send, receive and for 46% of our M-Pesa customer base.
and can use the service on any type of phone, even without credit or access to mobile internet. store money via a basic mobile phone and, Goal 10 of the UN SDGs is to ‘reduce inequality
To date, millions of women from both rural and urban areas have subscribed to Sakhi, giving more recently in some markets, using a within and among countries’. Within this,
them the confidence to travel further from home to pursue education and employment smartphone app. target 10.c is to reduce the cost of sending
opportunities, while feeling safer and less at risk of harassment. As of March 2019, 37.1 million customers remittances to less than 3% of transaction costs
were using M-Pesa18, with over 11 billion by 2030. This has already been met by M-Pesa in
transactions having been made through those markets where it has regulatory approval
a network of more than 395,000 agents. to offer outbound remittances. In Kenya this
year, in partnership with Western Union, we
With a mobile phone and an M-Pesa account, launched M-Pesa Global. This service allows
people on low incomes have more control M-Pesa customers to send and receive money
over their financial affairs. It also reduces the across 200 countries and territories. M-Pesa
associated risks of robbery and corruption in a also continues to expand its partnerships across
cash-based society. Thanks to the development the globe for inward remittances, helping
of additional services such as M-Shwari, migrants and their families receive their money
M-Pawa and KCB M-Pesa, our customers can in a fast, secure and convenient manner.
also save money through interest-bearing
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 15

Women’s empowerment Youth skills and jobs Energy innovation

Supporting female entrepreneurs


In addition to financial services, Supporting businesswomen in Tanzania and Mozambique
Vodafone’s networks and technologies Since 2016, we have built on the success of our M-Pesa money transfer and M-Pawa money
support businesses of all sizes, including saving services. We are a partner in Business Women Connect (BWC), a service specifically
entrepreneurs. For example, research designed for women who run micro-businesses. Created in partnership with the ExxonMobil
commissioned in Ghana by Vodafone found Foundation, World Bank and Centre for Global Development, BWC enables women to save and
that 70% of micro-entrepreneurs would face access useful business skills training, delivered by the NGO TechnoServe.
difficulties continuing their business without
a smartphone20. This constant connectivity Since its launch, nearly 6,000 Tanzanian women have benefited from BWC’s business skills
allows entrepreneurs to connect with training and learned how to use M-Pawa. The World Bank has analysed the results, which show
customers, search for new business ideas that women who are introduced to M-Pawa and have business skills training are statistically
and track competitors’ prices. more likely to move their savings into their phones and improve their business practices.

Through Vodafone Business in our local markets, Building on this success, we supported a pilot involving 500 businesswomen in Mozambique
we provide products and services for small and in 2017. After the training, women’s savings by phone increased from 56% to 93%, and the
medium-sized (SME) and small-office home- number keeping business records increased from 25% to 60%. The pilot also found a high use
office (SOHO) businesses. Our aim is to be a of phones among urban businesswomen and a growing interest in mobile payments.
digital solutions provider for this market and Over the coming year, TechnoServe and Vodacom plan to explore a new partnership in
help guide small businesses through technology Mozambique to support female agents who run kiosks where M-Pesa customers can deposit
choices that are moving at an unprecedented and withdraw money. One of the main objectives will be to provide financial literacy, business
pace. For example, this year Vodafone Ireland and agent skills so that more women can become successful entrepreneurs.
launched Open Conversations, an initiative to
help our SME customers gain insights on the
future of business. Women First in Entrepreneurship
Vodafone also supports female entrepreneurs Through Vodafone Turkey Foundation’s
through local Vodafone Foundation Women First in Entrepreneurship
programmes. The Vodafone Institute in programme, more than 36,000
Germany developed F-LANE , a seven-week women have received training on
acceleration programme for high-potential entrepreneurship, communications and
digital impact ventures and the first finance. Once trained, they can use their
accelerator in Europe aimed exclusively at new skills to make and sell handmade
women. The programme’s mission is to foster items on a bespoke website. Launched in
the participation of women in technological 2015, the programme is run in partnership
development and to empower women of all with the Ministry of National Education
ages around the world through technology. In and the Turkish Informatics Foundation.
the most recent round, 180 start-ups from 57
This year, a new mobile application was
countries were identified for consideration and
launched to enable women to access
review. The final five applicants took part in
e-learning content and manage their
the full programme of support, which included
products. The application has been
mentorship, training, networking and funding.
downloaded over 21,000 times, with over
50% of the users completing the e-learning.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 16

Women’s empowerment Youth skills and jobs Energy innovation

Gender equality in our workplace Across our business

Vodafone employs over 36,500 women directly increase the global proportion of women in We employ over
Our 2025 goal
Our ambition is for Vodafone to
and provides employment opportunities for
hundreds of thousands more across our global
management and leadership. HR directors in
our local markets and professional functions 36,500
supplier base. We believe that achieving greater use quarterly analysis to identify and address women directly.
become the world’s best employer gender equality strengthens our company challenges. Twice a year, our Group Executive
for women significantly, giving us a better understanding Committee (ExCo) reviews Vodafone’s gender
of the needs of the women, men, families balance and discusses key initiatives to increase
Progress towards our goal and businesses who rely on our networks
and services.
the proportion of female employees. The
Vodafone Group Board is updated regularly
40%
This year, the 2019 Bloomberg of our total workforce
on progress. are women, which
Gender-Equality Index recognised Achieving gender equality in the workplace,
at all levels, remains a significant challenge for We have active women’s networks in many of the enables us to have
Vodafone as one of the top a stronger gender
most businesses, especially those of a global countries in which we operate. These networks
companies globally leading nature. To address this issue, Vodafone has a are founded and managed by employees. They equality base.
the way towards more equal, long-term ambition to become the world’s offer women at all levels a supportive and
inclusive workplaces. best employer for women by 2025. informative environment in which to network,
share and learn.
The Index scored Vodafone Our commitment to gender equality Women hold
This year, Vodafone Business created a forum
between 82% and 100%
across several categories,
We have embedded our commitment to
diversity and gender balance into how we work to bring together global female senior leaders,
with 70 invited to a specific event in December
31%
including gender at Vodafone. In our induction programme for of our management
senior leaders, they are required to complete 2018. During the forum, participants shared best
employment statistics, and leadership roles.
unconscious bias training to help them practices on how to create an inclusive business
employer policies, company
recognise the assumptions and beliefs that can environment and discussed challenges facing
products and company
skew their decision making. A number of our women in the workplace.
community engagement.
training programmes focus on making sure our We also celebrate women’s achievements with
Vodafone was also recently recruitment processes are balanced and help to visible support from our senior leaders. We
named in The Times Top 50 develop the skills required to manage diverse hold a week-long celebration to coincide with Our Women in
Employers for Women 2018, teams. This year, we piloted a global female International Women’s Day. On March 8, 2019 Technology Network
recognising our leadership development programme, ConnectedSheCan, more than 6,300 employees watched a global now has more than
on workplace gender providing in-depth coaching and training to webinar led by our Group Chief Executive. Our
equality in the UK. 15 senior leaders from across the business.
The programme forms part of the succession
global programme saw over 60 events being held
worldwide, including roundtable discussions,
1,300
plan for employees destined for more senior roles. networking events, training, and role-modelling members
Our new Group Chief Executive, Nick Read, and mentoring sessions. and we now have active
continues the commitment to act as a corporate women’s networks in
champion for the UN Women’s global solidarity many of the countries
movement for gender equality, HeforShe. On in which we operate.
a quarterly basis, we assess our progress to
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 17

Women’s empowerment Youth skills and jobs Energy innovation

In 2015, we introduced a global minimum


Supporting employees suffering maternity policy covering all Vodafone employees. Our programmes in action: ReConnect Bringing our gender equality
from domestic violence and abuse Over the past four years, more than 7,000 women strategy to life in Portugal
“ I know many women like me, who
working for Vodafone have gone on maternity
During the year, Vodafone Foundation are attempting to support their family Since 2017, Vodafone Portugal has
leave. All of them were eligible to benefit from at
commissioned research to assess the and further their professional career implemented a number of different
least 16 weeks’ fully paid maternity leave, plus full
impact of domestic violence and abuse on at the same time. When I heard about initiatives to support gender equality.
pay for a 30-hour week for the first six months of
people’s work-life and career. The study ReConnect, I thought how refreshing For example, in the last two years,
their return. Last year, we also launched a global
surveyed 4,715 women and men in the to find a business that sees value 33 female employees have been
paternity policy that set a minimum standard
workplace across nine countries (the UK, in attracting talent back into the recruited through ReConnect in
for all men and secondary carers who work
Germany, Ireland, Turkey, South Africa, workplace! ReConnect has helped me Portugal. In addition, the business
for Vodafone to be entitled to two weeks’ paid
Kenya, India, Italy and Spain). The research rebuild my confidence, achieve my has strengthened its recruiting
paternity leave.
found that more than one in three workers aspirations and relaunch my career.” procedures to ensure that there
had experienced domestic violence and Launched in 2016 across all our markets, our are at least two credible females
Alison Davies – Senior
abuse, and 67% of those said that the ReConnect initiative aims to bring talented women in every shortlist. These initiatives,
Customer Experience
abuse affected their career progression. back into the workplace after a career break. along with working closely with third
Manager, Vodafone UK
Furthermore, 51% felt too ashamed to The programme includes training, coaching and party labour providers, have helped
discuss their abuse at work. a specially designed induction to help those increase the number of females hired
returning to refresh and enhance the professional in front line positions (such as within
Using these insights, Vodafone designed
skills they need to return to work and progress their call centres and retail stores) by 154%
and introduced a new global HR policy
careers. ReConnect joiners are also offered flexible in the last year.
specifically for victims of domestic
working options and a phased return to work.
violence and abuse in all our markets. Vodafone Portugal has also focused
Employees now have access to support Our target is to hire 1,000 ReConnect women on training leaders to promote gender
and specialist counselling, as well as up across our markets by 2020. To date, 310 women equality through incorporating
to 10 days’ additional paid ‘safe leave’. The have been recruited through the programme. unconscious bias workshops as
extra safe leave gives them time to manage While there are a significant number of vacancies part of its leadership learning and
their situation, which can be used for on offer at Vodafone at all times, it is important to development curricula.
seeking professional help and counselling, ensure we match the skills the roles require with
attending police or court appointments, those of the candidates who have applied. We do Finally, the business has worked to
making arrangements to move house not always find the appropriate skills mix in the create a pipeline for female graduates
and supporting their children. In addition, ReConnect candidates who apply. This year we through its internship programme,
specialist training is provided for HR will be launching a new, more targeted campaign which has helped lead to over 60% of
managers to help them support employees to attract women with the skills we need for the female graduates recruited in the last
experiencing domestic violence or abuse. future, with a particular focus on digital talent. two years. As part of the internship
programme, the students with the
We also have flexible working, part-time and most potential are invited to become
Flexibility and support for working parents homeworking policies in place across a large Vodafone Campus Ambassadors,
Research by KPMG estimates that the cost to the number of our local markets, and many employees 64% of which are currently female.
global economy of replacing women who do not are using our remote working technologies. These This provides the interns with an
stay in the workforce after having a baby could include opportunities such as working from home opportunity to become advocates
be as much as US$47 billion every year21. We one day a week, allowing for earlier or later start or of Vodafone through organising and
encourage and support our employees to return to finish times and, in some markets, having on-site participating at university job fairs and
work with us after the birth or adoption of a child. childcare services for employees. open days across the country.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 18

Women’s empowerment Youth skills and jobs Energy innovation

Women in technology In four of our local markets (Ireland, Romania, Female employees at Vodafone*
Vodafone has placed specific focus on increasing Albania and Tanzania), women already hold more 1 Leave No One Behind, UNHLP, 2016

the proportion of women in technology roles, than 40% of all management roles. In addition, 2 The Global Gender Gap Report, WEF, 2018

particularly within senior roles. Initiatives such as women make up 40% of our total workforce, 2017 29%
3 
Fact Sheet No. 48, UNESCO Institute for
Statistics, 2018
ensuring that female candidates are included in which gives us a stronger base from which to
Women in management 4 
The Full Participation Report, Clinton
interview shortlists and setting internal targets drive our gender equality initiatives. 2018 30% Foundation and Bill & Melinda Gates
and leadership23
have helped increase the proportion of females The percentage of women in Vodafone’s
Foundation, 2015

working in technology. During the year, 21% of 2019 31% 5 Maternal mortality factsheet, WHO, 2016
global senior leadership – including ExCo
6 KPMG research for Vodafone, 2017
our technology management and leadership members – increased from 26% in 2018 to
7 
D elivering the Power of Parity, McKinsey
roles were held by women22. Though this 28% in 2019. Women’s representation in our Global Institute, 2016
represents progress compared to previous years, senior management community remained the 2017 26% 8 GSMA Mobile Gender Gap Report, 2019
we know that there is more we can do to increase same, also at 28%. 9 GSMA Mobile Gender Gap Report, 2019
this proportion. Women in senior
2018 26% 10 Based on 30-day active customer figures
This year, the ExCo team female representation leadership24
for the nine emerging markets in the 50
Through our Women in Technology network, increased significantly, from 14% to 25%, with four million women goal. 2019 annual data
2019 28%
we are working to better support women in roles now occupied by women (General Counsel, only includes data from Vodafone India
technology roles. This now has more than 1,300 HR Director, CFO and EU Cluster Director).
up to August 2018, prior to the merger of
this business with Idea Cellular to create
members and holds quarterly webinars and Vodafone Idea.
local face-to-face meetings. Programmes such This year, 52% of the places on our Discover 2017 27% 11 Fact Sheet No. 48, UNESCO Institute for
as #Codelikeagirl (see page 23), and our work graduate development programme were held Statistics, 2018
with schools and universities to promote women by women, along with 46% of the places on our 2018 28% Women in senior 12 ‘Real girls, real lives, connected’, Girl Effect
Columbus fast-track graduate scheme. Increasing management and Vodafone Foundation, 2018
in technology, underpin our wider strategy to
have a positive impact on women taking up the proportion of women on these schemes 2019 28% 13 
Tracking Universal Health Coverage: 2017
Global Monitoring Report, WHO and World
technology careers. gives us confidence that women are playing an Bank
increasingly important part in leading Vodafone. 14 UNICEF, 2019
Our performance
As of 31 March 2019, 42% of the directors of 2017 30%
15 GSMA Mobile Gender Gap Report, 2019
We have met our target of 30% of management the Vodafone Group Plc Board were women. 16 Powering Potential, BNY Mellon and UN
and leadership roles being held by women across Twice yearly, senior management reviews the Women in middle Foundation, 2018
our local markets and professional functions 2018 31% 17 The Global Gender Gap Report, WEF, 2018
proportion of women serving as directors on our management
ahead of our deadline of 2020. As of 31 March subsidiary company boards. As part of this review,
18 30-day active customers (financial
2019 31% transaction within last 30 days)
2019, women held 31% of our management opportunities for increasing gender diversity 19 ‘The long-run poverty and gender impacts
and leadership roles, and we have now set a are identified and progress is tracked. We also of mobile money’,
revised target for women to hold 40% of our encourage greater female participation in non- Suri and Jack, Science, 2016
management and leadership roles by 2030. executive and advisory roles outside Vodafone. 2017 40% 20 ‘Smartphones and micro-
entrepreneurship: evidence from Ghana’,
Women (all non- Vodafone, 2016
2018 40%
management employees) 21 KPMG research for Vodafone, 2017
22 D efined as management and leadership
2019 40% roles in our Technology function and
Vodafone Shared Services Technology
23 This includes women in senior leadership,
senior management and middle
management

* 2017 and 2018 data has been restated to exclude employees from our joint ventures in the 24 Our most senior employees (approx.
Netherlands and India, and Vodafone Qatar, which was sold in March 2018. 200 employees in total), including
ExCo members
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 19

Women’s empowerment Youth skills and jobs Energy innovation

Youth skills and jobs


High levels of youth unemployment and a growing digital
skills gap are significant social and economic challenges.
Our What will you be? programme aims to help young people
develop their digital skills and access learning and employment
opportunities so they can thrive in the digital economy.

For society Within our business


We are supporting young people Providing young people with
to thrive in the digital economy. a digital learning experience.

See page 21 See page 23

Our 2022 goal Our 2022 goal


Support 10 million young people Provide 100,000 opportunities for
to access digital skills, learning young people to receive a digital
and employment opportunities. learning experience at Vodafone.

Progress towards our goal Progress towards our goal

533,698 54,712
young people supported to date. opportunities provided for
young people to receive a digital
learning experience this year.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 20

Women’s empowerment Youth skills and jobs Energy innovation

The global context Our alignment to the UN Sustainable


Development Goals (SDGs)
The International Labour Organization The impact and opportunity Youth unemployment is a significant social and
(ILO) estimates that 209 million young of technology economic challenge in many of our markets. We
believe urgent action is needed to help young people
people either are unemployed or work Mobile communications and digital technology develop their digital skills and access learning and
but live in poverty1. In many of the are transforming every aspect of our lives. For employment opportunities that will help them thrive
many, this is positive, bringing increased access in the digital economy.
countries where we operate, youth to information and services as well as the ability Our commitment to help young people to address these
unemployment continues to remain to share and learn. Businesses benefit too, dual challenges supports Goal 8, which aims to promote
at very high levels: 53% in South Africa, as they are able to achieve productivity and sustained, inclusive and sustainable economic growth,
40% in Greece, 34% in Spain and 32% efficiency gains. full and productive employment and decent work for all.

in Italy2. However, some advances in technology may In a future where AI and robotics are Key SDGs and targets
Unemployment can have a negative impact on lead to disruption: automation, robotics commonplace, certain skills and abilities will 4.4 By 2030, substantially increase the
young people’s wellbeing; even a short period and artificial intelligence (AI) may increase be highly valued. The European Commission has number of youth and adults who have
of unemployment can have a long-term effect productivity, but they are also likely to stated that around 90% of all jobs – from nursing relevant skills, including technical
shift labour needs and potentially reduce to engineering to accountancy – already require and vocational skills, for employment,
on self-esteem and confidence3. By tackling this
employment opportunities. These changes in some form of digital skills4. decent jobs and entrepreneurship.
issue and reducing the number of youth out of
work or in vulnerable work, societies have much technology are having an impact on the skills 4.5 By 2030, eliminate gender dispar-
Working together, governments, educators
to gain in terms of growth and reducing costs required by businesses from their employees ities in education and ensure equal
and companies need to find ways to address access to all levels of education and
associated with supporting unemployed young and altering the nature of work itself.
future workplace needs and develop the skills vocational training for the vulnerable,
people, while ensuring better inclusion and more While digital technology is disrupting traditional of current workers and the younger generation, including persons with disabilities,
shared prosperity in the long run. work patterns, this same disruption is also enabling them to be better equipped for a indigenous peoples and children in
creating new employment opportunities. prosperous and inclusive digital society. vulnerable situations.

8.3 Promote development-oriented


policies that support productive
activities, decent job creation,
Global youth employment entrepreneurship, creativity and
innovation, and encourage the

Around 90%
In many of the countries where we operate, formalisation and growth of micro-,
small- and medium-sized enterprises,
youth unemployment remains at high levels. including through access to
209 million 53% 40% 34% 32%
of all jobs – from nursing to
engineering to accountancy
financial services.
8.5 By 2030, achieve full and productive
young people are either South Africa Greece Spain Italy – already require some form employment and decent work for all
unemployed or work but of digital skills. women and men, including for young
live in poverty. people and persons with disabilities,
and equal pay for work of equal value.
8.6 By 2020, substantially reduce the
proportion of youth not in employment,
education or training.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 21

Women’s empowerment Youth skills and jobs Energy innovation

Our future jobs strategy


We believe that there is a need for training
Our 2022 goal for young people to be ready for a digital
society. This view is supported by the European
Support 10 million young people Commission in its Skills Agenda for Europe7,
to access digital skills, learning and which calls on governments, industry NGOs
employment opportunities. and educators to work together towards this
objective. Vodafone is committed to doing
Progress towards our goal our part to support digital learning and
digital skills for youth.
Through our Future Jobs Finder
and provision of digital learning What will you be?
experiences, we have supported Vodafone’s What will you be? programme has
been designed to respond to the digital skills gap Future Jobs Finder
533,698 young people to date. Last year, we launched a free smartphone- This year, we collaborated with Sony Pictures
challenge. This programme has two objectives:
478,986 deepening the understanding of youth on how
they can contribute to the digital economy and
based platform called Future Jobs Finder,
designed to inspire and help young people
to use the release of Spider-Man: Into the
Spider-Verse to introduce young people to
completions of Future Jobs Finder identifying how we can provide workplace to understand their strengths and skills and the Future Jobs Finder service. A global digital
digital experiences. to find the right job opportunity in the campaign drew on the film’s central theme
54,712 By 2022, our targets are:
digital economy. that anyone can achieve their full potential
with the right skills and support. As part of
digital learning experiences provided Available in 12 languages, the platform
– to support 10 million young people to access the campaign, we ran a global competition
identifies young people’s skills and interests
digital skills, learning and employment asking young people to share their career
through a series of short tests developed with
opportunities; and superpower. Over 28,000 people entered the
Our role in closing the digital skills gap psychologists, careers experts and training
competition. The two winners were given the
Despite high levels of youth unemployment, – to provide 100,000 opportunities for young providers. By responding to these questions,
opportunity to visit and learn from the team
demand for digital skills already outstrips the people to receive a digital learning experience young people can better understand where
who created the film and to discover how
supply of available talent. While many young at Vodafone. their potential lies and find live local job
digital skills are applied in animation and
people are ‘digital natives’, most do not leave opportunities in multiple digital industries
We have developed a new platform, Future Jobs film making.
education with the depth of technical skills to that are matched to their skills.
Finder, which offers young people a simple Since launching in March 2018, 478,986
create and run the technologies our economies but comprehensive gateway to new skills and If a user is not quite ready to apply, the
are increasingly reliant on, such as writing code, unique users have completed the tool
opportunities for employment in the digital Future Jobs Finder also offers the ability to
mitigating cyber security risks or designing, (including 369,495 from this year),
economy. Using the platform, young people match training needs to online digital skill
configuring and maintaining electronic devices introducing each of them to the top five
are able to identify their strengths and skills providers and access specific courses, many
and wireless or fixed-line networks. The EU jobs that match their individual test results.
and are then matched to available digital jobs of which are free (including edX, Coursera,
Digital Skills and Jobs Coalition reports that and training opportunities in their region and Udacity, Cognitive Class, Udemy and the
37% of EU workers have insufficient digital beyond. This platform is free to use for young Khan Academy).
skills5 and there are clear signs that the digital people regardless of their mobile provider.
skills gap is widening. By the end of next year,
there could be almost 500,000 unfilled digital
technology jobs in Europe6.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 22

Women’s empowerment Youth skills and jobs Energy innovation

Supporting education and building skills


Italy
Vodafone Italy has worked with the Ministry of Education to design a
Through our local operating companies and foundations, work experience programme, Alternanza Scuola-Lavoro, to reach 2,000
Vodafone has also launched a number of programmes students in 25 schools across the country. Employee volunteers go
to the schools for a day, where they guide and support students aged
that help young adults develop their skills, including 15–16 on their possible future careers. The Future Jobs Finder tool is
digital ones, and support the development of young introduced to students so they can discover their digital opportunities
entrepreneurs. The following provides some examples and participate in workshops to help them find the right career.
of the programmes we have around the world.

Egypt
Spain
The Vodafone Egypt Foundation has launched Knowledge is Power
Through its Campus Lab initiative, Vodafone Spain has developed
Schools, building on its adult literacy programme, Knowledge
an online innovation platform where young people from different
is Power. This programme is focused on helping public primary
disciplines can work together to solve different challenges. The winners
schools support students, teachers and parents through e-learning
receive a €20,000 prize alongside mentoring to develop their idea.
modules for the classroom. This includes literacy ICT activities to
build students’ confidence. The programme also provides teacher
training and supports parents with literacy and vocational training
classes. The project is now active in 100 schools. It has reached
South Africa
50,000 students, 2,500 teachers and 7,000 parents.
Vodacom’s flagship mobile education (‘mEducation’) programme,
developed in partnership with the South African Department of
Basic Education, has provided information and communications
technology (ICT) equipment and free internet access to 3,000 Kenya
schools and 92 teacher centres across South Africa. In addition, In Kenya, the M-Pesa Foundation Academy is a state-of-the-art,
over 251,000 teachers have been trained on the use of ICT in the mixed boarding high school aimed at providing an education
classroom. Vodacom has also entered into partnerships with 19 for talented but economically disadvantaged students with
universities to provide free access to curriculum content they leadership potential. Since 2003, through its two charitable arms,
provide. More than 619,000 learners have had free access to quality the Safaricom and M-Pesa Foundations, Safaricom has impacted
digital educational content through the Vodacom e-School. over 1.2 million learners by supporting primary, secondary and
Vodafone Foundation’s Instant Schools is a free-to-access online vocational training institutions across the country.
platform that hosts educational resources in local languages in
the Democratic Republic of Congo, Ghana, Lesotho, Tanzania,
Mozambique and South Africa (as e-School). There is no charge for
the content or for the data to access the platform. Instant Schools Ghana
has been developed in conjunction with Learning Equality – a not- In August 2018, the Vodafone Ghana Foundation launched a national
for-profit provider of open-source educational technology solutions coding programme to provide training for young people on coding
– and with educational partners, ministries of education and local basics. Since launch, 400 people have participated in the programme,
education experts in each country. which has an ambition to reach 10,000 young people by 2023.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 23

Women’s empowerment Youth skills and jobs Energy innovation

Digital workplace experience


This year, 5,710 new recruits aged 26 or under
Our 2022 goal joined Vodafone across our global footprint. We Coding Tomorrow
also indirectly create employment opportunities
Provide 100,000 opportunities for for many young people in our supply chain
In Turkey, the Vodafone Turkey Foundation launched its Coding Tomorrow project in 2016
young people to receive a digital with the aim of tackling the digital divide by providing children aged 7–14 with free training in
and retail distribution networks. We run well-
coding and robotics, along with other essential skills for future employment.
learning experience at Vodafone. established apprenticeship, internship and
graduate schemes across our business and offer Run in partnership with the Habitat Foundation, the project focuses on helping children gain
Progress towards our goal a wide range of work experience opportunities. new digital skills and become active producers of technology rather than just being passive
Last year, we committed to providing 100,000 consumers of it. In addition, besides building coding capabilities, participants also develop
We are over halfway towards opportunities for young people to receive a skills such as problem solving, teamwork, creativity and algorithmic thinking.
meeting our goal, with 54,712 digital learning experience at Vodafone by 20228.
opportunities provided for young Scratch, the free programming language developed for children by the Massachusetts
people to receive a digital learning Digital work experience Institute of Technology, is used in the training. Children learn how to use Scratch to help them
experience at Vodafone this year. In 2019, we provided opportunities for 46,833 think creatively and design their own interactive stories, games and creations. They are also
young people through digital work experience provided with introductory training on robotics programs and learn the basics of electronics
programmes. This encompassed a number of and circuit systems.
Opportunities for young people to receive
different programmes, including one-week To expand the reach of the project to more remote rural areas, the Vodafone Turkey
a digital learning experience at vodafone
placements, job shadowing and insight-into- Foundation delivers some of the training using a specially customised truck, which travelled
during 2019
work days, alongside innovative experiences over 6,000 km in 2018. Since the launch of the project in 2016, more than 43,400 children
such as our Coding Tomorrow programme in across 60 cities have participated, including 30,992 during the last year.
Turkey and #Codelikeagirl , which offers 14
to 18-year-old girls immersive digital training
during the school holidays.
Since its launch in 2017, Vodafone’s
#Codelikeagirl programme has reached over
3,000 girls in 23 markets. The programme,
launched in partnership with Code First: Girls,
has the mission to tackle the disproportion of
girls in STEM (science, technology, engineering
and mathematics) education. Through the
programme, we offer girls aged 14–18 an
immersive one-week digital experience where
Direct hires (5,710) Apprenticeships they learn to code a website. The training
Digital work (518) the girls receive provides basic knowledge
experience (46,833) Graduates (677) of computer languages and development
Internships (974) programs, allowing them to gain skills for
the future.
See page 72 for how we report our
key performance indicators
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 24

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Internships During 2019, 518 young people joined one of our


Our internship programmes provide opportunities apprenticeship schemes. We offer opportunities Digital Degree Apprenticeship
for undergraduate students to work with us at the heart of our operations with our Technology
In the UK, we offer advanced, higher and degree apprenticeships to students aged over
for up to six months while they complete their and Customer care divisions.
16 in a range of areas across the business. For example, technology apprentices are given
degree. These opportunities expose students Graduates the opportunity to work in cyber security, software testing and network engineering, while
to challenging business-critical activities and our customer service apprentices support our customer-facing activities.
Our Discover graduate programme, which has
projects, enabling them to gain relevant business
been running for over 10 years, offers young This year, Vodafone UK partnered with the University of Birmingham to design a Digital
experience to support their studies. Participants
people with a bachelor’s or master’s degree a Degree Apprenticeship, providing opportunities for students to be at the forefront of digital
can apply to return to Vodafone once they have
series of assignments across our business areas innovation. Students study a BSc in Computer Science full time at the University and, as a
graduated and can participate in our Discover
and local markets. Over 5,300 graduates have Vodafone employee, also receive a competitive salary across the four years, fully funded
graduate programme. During the year, 974 young
been through our structured development tuition fees and access to all employee benefits. They gain valuable work placement
people gained an experience of Vodafone’s digital
schemes over the last 10 years, with 677 experience and obtain a role in one of Vodafone’s digital teams once they graduate.
workplace through our internship programmes
recruited this year, helping to provide us We currently have 16 students on the programme, with a commitment to bring in more
around the world.
with a strong pipeline of future talent. students in the future.
This year, Vodafone Group piloted its Explore
Our Discover programme is highly diverse;
Industrial Placement intern programme with
more than 52% of new entrants are female, and
a small group of students currently studying
recruits are drawn from 23 different countries.
in the UK. The placement year is for students in
Those who do not progress into a full-time role
their third year of studies who need to complete
with Vodafone at the end of their training are
a placement in business as part of their course.
well placed to secure good job opportunities
The students join a team in Vodafone for the year
elsewhere.
with the aim of joining the Discover graduate
programme after graduation. Following the With the aim of attracting more talented
completion of the pilot, we hope to attract 60 youth, increasing eligibility and achieving even
students to the placement programme next year. higher diversity and social mobility across the
Discover programme, this year we lowered the
In Spain, the Vodafone yu New Talent internships
academic entry requirement to a 2:2 degree
programme is aimed at students in the final
classification (or equivalent) across all operating
year of their bachelor’s or master’s degree.
markets.
Participants combine part-time work at Vodafone
with their academic studies. This year, 76 interns In addition to Discover, we run Columbus, a
participated in the programme. leadership fast-track graduate scheme that this
year welcomed 13 graduates. This programme
Apprenticeships offers graduates who have completed the 1 ILO, 2019
We continue to expand our vocational training Discover scheme an additional two-year 2 OECD, 2018
and apprenticeships across our business. These international assignment that aims to equip Long-term effects of youth unemployment on mental health, Journal of Epidemiology and Community Health, 2017
3 
programmes enable young people who have them with the knowledge and insights that 4 
EU Commission, 2018
chosen not to go to university to join Vodafone in will prepare them for the next stage of their 5 
The Digital Skills and Jobs Coalition, 2018
permanent roles while being supported through Vodafone career. 6 European Commission, 2018

continuous learning in order to gain a formal 7 New Skills Agenda for Europe, European Commission, 2016

qualification in their chosen fields. 8 Starting from the 2019 financial year
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 25

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Energy innovation
There is clear evidence that man-made greenhouse
gases (GHGs) are having a direct impact on climate.
We support the view that urgent action is needed
to address climate change.

Within our business


In recognition of our need to contribute to international
efforts to tackle climate change, we have two targets which
focus on achieving a significant reduction in GHG emissions.

See pages 30 to 32 to read how we are achieving our goals

Our 2025 goal Our 2025 goal


To reduce our GHG emissions To purchase 100% of the
by 50%. electricity we use from
renewable sources.

Progress towards our goal Progress towards our goal

1% 15%
reduction in our GHG emissions, of our purchased electricity
against a 2017 baseline. was from renewable sources.
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The global context


There is clear evidence that global While good progress has been made in many ICT and climate change
temperatures are rising rapidly, with the countries, the pledges made to date are insufficient Providing communications services requires Our alignment to the UN Sustainable
to achieve the goals of the Agreement. Current Development Goals (SDGs)
last four years being the four hottest on predictions imply temperature rises of 3°C by
significant amounts of electricity. Every
record1, and that man-made GHGs are additional connected device and gigabyte Our commitments to reduce our GHG emissions,
2100, with warming continuing with potentially of data transmitted or stored represents though our move to purchase renewable electricity
having a direct impact on climate2. We catastrophic consequences3. The repercussions a potential increase in energy needs. The and improve our energy efficiency, particularly support
support the view that urgent action is of climate change will be felt everywhere but with telecommunications and information and Goal 13, which is focused on climate action, and Goal 7,
particularly damaging effect in low and middle- which includes a focus on clean energy.
needed to address climate change. communications technology (ICT) industry
income countries, which are least able to adapt. faces a growing GHG emissions challenge as
The Paris Agreement on climate change commits Key SDGs and targets
Achieving the required reductions in GHG the sector’s carbon and energy footprint
world leaders to act to limit global temperature rise 7.2 By 2030, increase substantially the
emissions will be particularly challenging in the increases: a recent study estimates that
to below 2°C above pre-industrial levels and calls share of renewable energy in the global
context of continuous economic and population worldwide ICT energy consumption is energy mix.
for efforts to pursue a more challenging target of
growth. Most analysts predict that global energy increasing by around 9% per year6.
a maximum 1.5°C increase. Climate scientists now
recommend keeping below 1.5°C to avoid some needs will be 25% higher than at present by 20404. While the emissions from ICT companies are 13.2 Integrate climate change measures
of the worst impacts, as highlighted in the recent With over 80% of the world’s current energy growing, the services that communications into national policies, strategies and
International Panel on Climate Change Special requirements met from carbon-intensive fuel companies provide can make a significant planning.
Report on Global Warming. sources5, there is a pressing need to phase out contribution to the reduction of emissions arising
the use of fossil fuels and move to lower-carbon from their customers’ operations. Through the
energy sources. Internet of Things (IoT), products and processes
in the workplace and in the home can become
significantly more efficient and reliable. This has
a positive impact on energy and GHG emissions,
as well as other environmental issues.

Data and mobile growth predictions

20% 3x
100x By 2022, global mobile By 2022, the number of
By 2022, global mobile data traffic will account for devices connected to IP
data traffic will be over 100
times the volume in 20127.
+25 billion 20% of global total IP (fixed
and mobile data) traffic, up
networks will be more
than three times the
IoT connections will
from 9% in 20177. global population7.
reach over 25 billion by
2025, up from 9 billion
in 20188.
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Vodafone, energy and climate change


We are focusing on increasing the
energy efficiency of our network Climate-related financial reporting risks continue to be monitored and measured
and services and are moving towards as part of our ongoing risk management
As highlighted by the Bank of England process to ensure that the appropriate
purchasing electricity from Governor, Mark Carney, the ‘tragedy of the management and mitigation actions are
renewable sources. horizon’ is that by the time climate change taken as we work towards full alignment with
becomes a defining issue for financial the TCFD recommendations.
This year, as part of Vodafone’s purpose, we have stability, it will very likely be too late to
committed to halve our environmental impact by do anything about it. The Task Force on The recent devastating Cyclone Idai, which
2025. In order to reflect this in our goals, we have Climate-related Financial Disclosures struck Mozambique, is an example of the
increased our GHG emissions target to achieve a (TCFD) was established in 2015 to address type of extreme weather events that are
50% reduction by 2025 (previously 40%), against this misalignment and provide a voluntary predicted to occur more frequently and at
a 2017 baseline. We will deliver against this reporting framework for companies to a higher intensity due to climate change.
target by improving the energy efficiency of our consistently report climate risk to investors. This cyclone had a widespread impact on
network and purchasing 100% of the electricity our network, with damage caused to base
we use from renewable sources. We welcome the development of the TCFD stations, fibre cabling and retail stores. In
recommendations and have updated our risk response, Vodacom Mozambique deployed
Across our networks we have more than: management process this year to strengthen
164,000 mobile base station sites; 89,000 support for our staff as soon as was possible
our consideration of the potential business and engineers to repair and re-establish
servers; and 3,200 buildings (including 400 implications and impacts of climate change.
technology centres). critical network connections and equipment.
In addition, we undertook an independent Pop-up shops and recharging points were
We spend over €700 million a year on energy, and gap analysis of our reporting against the established to allow people without access to
with a significant risk of energy cost inflation in TCFD recommendations. power to charge their devices.
the future, setting energy efficiency targets and Although climate change is not currently
switching to more sustainable energy sources In addition, a number of employee volunteers
seen as a principal risk for Vodafone, were deployed by Vodafone Foundation to
makes business and environmental sense. due to the nature of our business and establish its Instant Network to the most
In August 2018, we established a Green Bond the contingencies that are built into our severely affected areas, in order to provide
Framework, under which Vodafone can issue networks, a number of potential risks have emergency network communications, WiFi
green bonds to be able to finance or refinance been identified from a physical (e.g. storms and charging capabilities, services that are
projects to help us meet our environmental or higher average operating temperatures) critically important for initial international
objectives. The framework defines which and regulatory (e.g. carbon reduction and local aid efforts.
projects are eligible under the use of proceeds commitments) perspective. These potential
and how they are selected.
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Our greenhouse gas emissions


Our GHG emissions reduction target Volume of Vodafone mobile data traffic
(petabytes)
1,000%
Our 2025 goal is to cut our emissions by 50% across increase in Vodafone
To reduce our greenhouse our network and operations by 2025, 6,000 mobile data traffic over the
gas emissions by 50%. against a baseline of our emissions for last five years
5,000
the 2017 financial year.
Progress towards our goal Meeting this absolute GHG emissions reduction 4,000

We have reduced our GHG emissions target is challenging in the context of our
3,000
business growth. The amount of data carried
by 1%, against the 2017 baseline. across our networks has grown exponentially 2,000
over the last decade, and this growth in global
Our total GHG emissions decreased 1,000
digital communications is predicted to continue
slightly from last year, predominantly
for the foreseeable future. With the continued
due to a reduction in the carbon emissions 500
demand for mobile data, we are increasingly
associated with purchased electricity. 2014 2015 2016 2017 2018 2019
focused on energy efficiency to mitigate the
cost and environmental impact of this growth.
Our total GHG emissions have decreased by 3%
We have started work towards our GHG from last year (2018) predominantly due to the
reduction target through increasing focus on a purchasing of more electricity from renewable
series of energy efficiency programmes across sources and the use of less carbon-intensive
Vodafone GHG emissions (million tonnes our networks and servers, particularly in power power sources.
CO2e) (market-based method) supply and cooling. We are also working with
The numbers quoted in the chart on the left
our local operating companies to plan the
2025 goal Baseline use the market-based method of calculating
move to purchase 100% of our electricity from
GHG emissions, which uses supplier emissions
renewable sources by 2025.
2017 0.30 1.72 2.02 factors. Using the location-based method (using
Our total global Scope 1 and Scope 2 GHG average emissions factors for the national grid),
2018 0.29 1.77 2.06 emissions were 2.00 million tonnes CO2e in 2019. our Scope 2 emissions were 1.91 million tonnes
Our Scope 1 emissions include those arising CO2e and total Scope 1 and 2 emissions were
2019 0.26 1.74 2.00 from fuel consumption, such as from diesel and 2.17 million tonnes CO2e. Further details of the
gas and fugitive emissions of refrigerant gases, methodology used and the relevant emissions
and our Scope 2 emissions include our indirect factors applied are on page 74 of the Appendix.
0 0.5 1.0 1.5 2.0 2.5 emissions from power consumption through
Scope 1 Scope 2
purchased grid electricity.

See page 73 for how we report our


key performance indicators
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 29

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GHG emissions (tonnes CO2e) per petabyte of


mobile data traffic on Vodafone’s networks Employee engagement on energy
innovation
In order to meet our GHG emission reduction
2017 926
targets, we need to engage our employees to gain
their support. As a result, we have established
2018 577 an employee engagement programme,
#RedLovesGreen. This programme raises awareness
2019 371 of the individual actions that employees can take
to reduce our energy use, both as a business and as
individuals, and encourages changes in behaviour
0 300 600 900 1,200
that collectively could have a significant impact.

Our key measure for GHG emissions intensity The #RedLovesGreen programme regularly
improved again this year, with a reduction in engages employees via an internal social media
emissions per petabyte of mobile traffic data channel to catalyse their support and raise
of 36%9. This was achieved due to continued awareness of the ongoing energy efficiency
mobile data traffic growth, while maintaining programmes that will help us to meet our targets.
a relatively flat energy consumption through The #RedLovesGreen channel also provides
efficiency measures and a shift towards a central space to share success stories, news
purchasing renewable electricity. updates, tools and information. Since launching this
global programme in June 2018, we have reached
Emissions over which we do not have direct over 5,000 employees who engage regularly on this
control (Scope 3) but which we may be able to topic, and an energy awareness e-learning module
influence are reported separately on page 33. has been completed by over 7,000 employees.
As a consequence of the merger of Vodafone Recently, we created an ‘energy guru’ community
India and Idea Cellular to become Vodafone Idea to create energy efficiency advocates across the
in August 2018, the GHG emissions for India in business to inspire other employees to take action.
this financial year are now estimated as part Energy gurus receive a quarterly communications
of our Scope 3 emissions. In addition, in July pack to support them in their role. They also directly
2018, Vodafone Greece acquired CYTA Hellas, a help to shape our programmes by sharing ideas
provider of fixed and mobile telecommunications across our different markets and submitting ideas
services in Greece; the GHG emissions from to help us improve what we are doing.
CYTA Hellas will be incorporated into our 2020
reporting after its first full year of ownership.
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Optimising our energy consumption


We are committed to improving the The amount of energy our business uses varies across our operations
energy efficiency of our base station Vodafone energy use (GWh)
sites and in our technology (data and
switching) centres, which together
account for 94% of our total global
energy consumption.
Unlike most ICT companies, which tend to
have a small number of large data centres,
Vodafone has a larger number of smaller
technology and base station sites spread across
different countries and locations. This means
that much of the energy consumed across
our businesses is split between multiple sites Our base station sites Our technology centres Our offices Our retail stores Total
that consume relatively small amounts of
energy. Consequently, optimising our energy 2017 3,651 1,510 350 51 5,561
consumption is a complex challenge.
2018 3,637 1,569 308 55 5,569
Our energy consumption has remained largely
static this year despite the significant growth 2019 3,684 1,571 282 45 5,582
in customer numbers and data traffic across
the network.
Improving energy efficiency across
2019
(%) 66% 28% 5% 1%
our network operations
In 2017, Vodafone started a specific programme We use large numbers of servers and other Our energy efficiency initiatives are focused on We have continued to improve the energy
to prioritise energy efficiency within the network equipment, which generate significant three key areas: performance of our radio access network
business’s technology strategy and to invest amounts of heat during their operation. Cooling – sourcing and implementing more efficient equipment by:
in energy projects. We expect this three-year technologies are therefore an essential part network equipment; – installing energy-efficient single radio
programme to deliver energy reductions and of our strategy, as too much heat can harm access network equipment, which
savings of approximately 10% of our energy cost. components and lead to network failure. This – reducing energy demand by installing lower-
enables a single item of radio hardware to
During 2019, we invested €57 million capital year we have met our forecast for energy savings energy power and cooling technologies; and
run multiple technologies (e.g. 2G, 3G and
expenditure in energy efficiency projects across for upgrading power and cooling systems across – cutting energy use by decommissioning and 4G) and now makes up the majority of the
our business, which has led to annual energy our networks. We delivered savings of 116 GWh, upgrading legacy equipment. deployed radio hardware in 98% (161,000)
savings of 164 GWh. equating to 2% of our total energy consumption. of our base station sites and is fully
operational in 97% (159,000) of them;
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– activating energy-saving software features This year, we made further improvements to


that optimise radio resources and energy our centres’ PUE, reaching an average of 1.60 Improving energy efficiency and reducing carbon emissions in the UK
consumption to reflect actual voice and data (2018: 1.61).
Vodafone UK operates networks and services total savings of over 63 GWh. A facilities
traffic requirements in real time. To date, we
In five local markets – Germany, Greece, Ireland, relied upon by more than 17.8 million mobile management Energy Performance
have deployed energy-saving features across
Turkey and the UK – we have also achieved ISO and fixed broadband customers. However, Contract, delivered over 27 GWh of those
2G, 3G and 4G technologies in all of our major
50001 certification. The ISO 50001 standard providing these communications services savings and decommissioning legacy
markets; and
provides a management framework with the requires a significant amount of energy. network switches saved around 15 GWh;
– deploying active antennas – a technology aim of reducing energy consumption, costs and
To minimise these impacts Vodafone UK has
that boosts energy performance by and GHG emissions.
implemented a GHG reduction strategy. Since – switching to renewable energy through
integrating radio equipment inside the
antenna to eliminate power attenuation over
Energy efficiency in network 2013, this focus has resulted in a 35% GHG exclusive power purchase agreements
procurement emission reduction, despite network growth with two wind farms.
cable runs – as part of the introduction of
We work with our equipment vendors to ensure and increased customer demand over the
Massive MIMO technology in all our planned In addition, 150 environment ambassadors
that increased demand and business growth same period.
5G sites in Europe and also for 4G in more have been established across the business
than 150 sites in Turkey and India. do not result in a similar percentage increase in The strategy includes: to promote energy efficiency and champion
electricity usage. This year we: positive behaviours. Electric hybrid vans are
Energy efficiency initiatives in our technology – implementing ISO 14001 and ISO 50001
– made energy efficiency a mandatory being trialled and 20 vehicle charging points
(data and switching) centres this year included: certified management systems;
requirement in the procurement process for have been installed. In June 2018, all Vodafone
– upgrading to more efficient power conversion all energy-intensive network and IT products; – investing in energy efficiency projects UK employees were given a ‘Keep Cup’, which
equipment; for example, at our main - £11.8m was invested in efficient has already saved over 90,000 disposable
technology centre in Germany we improved – developed more sustainable network technologies this year, such as new coffee cups.
energy efficiency by 8% by upgrading to a technology, including the introduction of power and cooling systems, delivering
state-of-the-art power supply system; machine learning algorithms to optimise
the usage of radio resources with minimum
– continuing the installation of the dynamic energy consumption; and
thermal management control systems to
reduce energy consumption from cooling. – evaluated emerging technology, including
Using machine learning algorithms, the development of an innovation hub (Green
system ensures that servers receive the Island) to showcase different technologies
optimal amount of cooled air based on that promote sustainability and energy
server load and external environmental efficiency in radio access sites.
conditions. Italy completed deployment to We incorporate power optimisation in design
all its 29 main technology sites this year; and specifications for new infrastructure to ensure
– cutting energy use by decommissioning that each successive generation of equipment
legacy assets, including data storage is more energy efficient.
systems and servers.
The overall energy efficiency of technology
centres is often assessed in terms of their
power usage effectiveness (PUE) – an industry-
standard metric that compares the amount of
electricity used to operate computer equipment
with the amount used for all other functions.
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Increasing renewable energy


Over 95% of the energy we consume to run our 2019 Vodafone energy use by source at Vodafone Egypt is a particular challenge due
Our 2025 goal operations comes from grid electricity. To date, (GWh) to the hot climate, which requires additional
the proportion of our electricity from renewable equipment cooling and the rapid roll-out of
To purchase 100% of the electricity sources has been low, accounting for just 15% Grid electricity mobile networks to regions with poor or no
we use from renewable sources. of the electricity purchased. This is currently (4,516) electricity grid. The aim is for the solar arrays to
delivered through green electricity sourcing Grid renewable come online before the start of 2025 and power
Progress towards our goal in the Czech Republic, Ireland and Italy, where energy (821) a substantial proportion of Vodafone Egypt’s
we purchase renewable electricity contracts, On-site renewable electricity requirements.
We are working towards our target energy (5)
by increasing the procurement and two wind farm power purchase agreements
Diesel and petrol In the UK, we have two operational wind farms,
(PPAs) in the UK.
of energy from renewable power (165) for which we receive the renewable energy
generation sources via national This year we conducted an assessment of the Other (74) guarantees of origin certificates; this has
electricity grids, selecting tariffs maturity of renewable electricity markets across increased the overall proportion of renewable
with renewable attributes and our local operating companies to develop an electricity in the UK operating company to over
purchasing renewable energy appropriate phased approach. In some of our 12%, saving over 20,000 tCO2e.
certificates (RECs). local markets there is no renewable supply, or
Expanding renewable electricity in our In South Africa, Vodacom successfully signed
the sources available are not certified through
recognised schemes. We will therefore first local markets a PPA this year for renewable energy for one
This year, 15% of our purchased electricity municipality and is in the process of exploring
was from renewable sources. look for opportunities to purchase renewable When selecting renewable electricity in our local
markets we apply the following hierarchy: the feasibility of signing further PPAs for other
electricity in the countries where renewable
municipalities.
Grid renewable energy purchased electricity markets are well developed, followed – the signing of corporate PPAs with developers
(% of total electricity use) by those in which the renewables market is and suppliers of renewable energy assets to On-site renewables
currently developing and will be feasible in a procure longer-term energy contracts. This We develop on-site renewable sources when it
2025 goal few years and finally those markets that we can help stimulate new renewable electricity is commercially and technically feasible to do
expect to be available before 2025. generation, as well as providing excellent so, primarily by installing solar photovoltaic (PV)
2017 13.2
We are also a member of RE100 – a collaborative traceability and avoiding the double- systems at base station sites and technology
initiative led by The Climate Group in partnership counting of renewable electricity; and centres. We have over 1,200 solar PV systems
2018 15.3
with CDP that brings together major businesses across our base station sites, technology centres
– the purchasing of renewable electricity
committed to switching to 100% renewable power. and offices, contributing 4 GWh of renewable
2019 15.4 backed by RECs – market-based instruments
power. Our aim is to replace our use of diesel
issued to power generators to track renewable
by increasing solar generation and deploying
electricity production and consumption.
0 20 40 60 80 100 diesel-battery hybrids, although this can be
This year we opened a tender for the limited at remote locations prone to vandalism
construction and operation of utility-scale solar or at sites with limited space or shading in
parks in Egypt. Minimising energy consumption urban areas.
See page 73 for how we report our
key performance indicators
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Women’s empowerment Youth skills and jobs Energy innovation

Scope 3 emissions
Scope 3 emissions are indirect Some other categories included in our Scope Scope 3 emissions sources
GHG emissions over which we have 3 reporting are less significant in terms of (thousand tonnes CO2e)
volume but are reported because we have
no direct control but may be able more control of them than for those deemed
to influence. most material. These are:
This year our estimated Scope 3 emissions business travel (predominantly air but also
were 12.9 million tonnes CO2e. We have worked train, bus and taxi travel) – estimated to
with the Carbon Trust to analyse our Scope 3 have generated 0.06 million tonnes CO2e
emissions in order to identify where emissions this year of which air travel accounts for
are highest and prioritise where we have the the majority;
greatest opportunity to influence third-party
GHG emissions. This analysis considered all emissions that arise from the operation of
of the categories defined in the international base stations owned by third-party tower
guidance for Scope 3 emissions published by companies in Ghana and Tanzania where Most material Other
the GHG Protocol. we lease space for our radio network Joint ventures and Fuel and energy-related
equipment – which we estimate to be 0.05 associates (6,000) activities (700)
Of the Scope 3 emission categories, those most million tonnes CO2e ; and Purchased goods and Business travel (60)
material to our business are: services (4,000) Upstream leased assets
treatment and disposal of waste from our Use of sold products (50)
our joint ventures Vodafone Hutchinson in operations, with emissions arising from the (2,100)
Australia, Vodafone Idea and Indus Towers in Waste generated in our
transportation, recycling and disposal of operations (1)
India, Vodafone Ziggo in the Netherlands and network and office waste estimated to be
our associate company Safaricom in Kenya 0.001 million tonnes CO2e.
– with emissions estimated to be 6 million Their answers form part of the overall
tonnes CO2e; We do not report on the other non-material performance score that we use to assess their
Scope 3 categories. performance. We also ask selected suppliers
our suppliers’ emissions in producing the to provide details of their GHG emissions
goods and services that we procure from Our supplier performance management and management programmes through CDP
them, particularly in our networks, IT programme covers environmental factors, (formerly the Carbon Disclosure Project). This
equipment, handsets and other devices and suppliers’ GHG performance is one of the year, 139 (or 90%) of those suppliers responded,
estimated to be 4 million tonnes CO2e; and factors evaluated in our annual assessment with 81% reporting that they had set a target for
process. We ask suppliers whether they have GHG emissions, while 76% had implemented
customer use of our products and services, publicly reported their GHG emissions, have set
which includes emissions arising from the GHG emissions reduction programmes. This
targets to reduce emissions and have identified year we also noted an increase in the number
electricity used by network connection the risks and opportunities associated with
devices (such as routers) and when charging of suppliers setting renewable energy targets.
managing their GHG emissions.
mobile device batteries – with our emissions
for the devices we sold this year estimated to
be 2 million tonnes CO2e.

See page 75 for how we calculate


our Scope 3 emissions
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Enabling customers to reduce emissions


We estimate that over 31% of the more than IoT applications that help our customers reduce
Through our IoT mobile services, 85 million IoT connections we operate directly emissions include: Increasing energy efficiency with
enable customers to reduce their emissions, and Narrowband-IoT smart metering
we are helping our customers to we expect these connections to increase over time.
manage energy more efficiently With the evolution of new IoT
and reduce their emissions. Over We calculate that in 2019, the total GHG technologies there is a need to develop
emissions avoided as a consequence of our low-power methods of connecting
time, IoT technologies have the IoT technologies and services were 5.9 million devices out in the field for applications
potential to transform industry, tonnes CO2e, which is nearly three times the Smart energy meters that enable such as smart meters, connected
public services and many aspects emissions generated from our own operations. businesses, municipal authorities and agriculture, smart cities or asset tracking.
of people’s daily lives. The greatest CO2e savings enabled were in smart households to monitor, manage and reduce Narrowband-IoT (NB-IoT) is a new low-
metering and improvements in logistics and their energy use. Worldwide we have over 9 power method of long-range wireless data
Our progress fleet management. million smart meter connections using our IoT transmission between devices that can be
technology, saving an estimated 1.4 million deployed in rural areas where there is no
This year we enabled our customers tonnes CO2e. reliable access to power or where devices
to avoid 2.9 tonnes of CO2e for every are underground or within buildings. NB-
one tonne generated from our IoT technology delivers many benefits,
operations. including great power efficiency, so that
devices can run on batteries for 10 years
or more without a charge.
Ratio of GHG emission savings for
customers to our own GHG footprint Smart cities – networked intelligently to Techem, a market leader in remote radio
improve the efficiency of energy-intensive metering of energy consumption in
services such as public transport, public road homes and commercial buildings, is using
networks and street lighting. For example NB-IoT from Vodafone to track energy
2017 2.4
in the city of Guadalajara, Spain, 13,500 consumption reliably and cost-effectively
LED lights were connected to a central and help customers improve their
2018 2.6
management system, reducing street energy efficiency.
lighting energy consumption by 68%.
2019 2.9 “Having a better understanding of
energy flows and consumption opens
up new opportunities for improving
0.0 0.5 1.0 1.5 2.0 2.5 3.0 energy efficiency in the field of smart
buildings and smart homes.”
Dr Daniel Ghebru,
Smart logistics – IoT technologies
Innovation Management, Techem
embedded in vehicles to optimise route
management, vehicle maintenance and
driver behaviour, delivering cuts in fuel
consumption of up to 30%; saving an
estimated 4.0 million tonnes CO2e.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 35

Women’s empowerment Youth skills and jobs Energy innovation

Monitoring air quality in Albania


Road traffic volumes have increased transmit air quality in the capital city to
significantly in Albania since the early 1990s, the public. Using our IoT technology, smart
which has caused environmental challenges air quality monitoring devices have been
from traffic congestion and air pollution in installed in the city and integrated into
the capital city Tirana: the annual average a system to monitor real-time air quality
concentrations of PM10 and PM2.5 for Tirana through the ‘Tirana Ime’ application. By
are above the limit values of the EU Air Quality monitoring air pollution in this way the
Standard and the World Health Organization10.  municipality is better able to understand
traffic-related air pollution factors and
Working in collaboration with the
identify appropriate measures for tackling
Municipality of Tirana, Vodafone Albania
such pollution.
has implemented a system to monitor and

Improving fleet efficiency using IoT


For all fleet operators, the cost of fuel is critical to the bottom line and any
improvement in fuel efficiency, however small, can help reduce costs and
consequently overall emissions.
We have been providing Dako, a company specialising in telematics, with the IoT
connectivity it needs to support its networked logistics solutions for commercial
fleets. One Dako customer, Schmalkalden Stadtreinigung GmbH (SSR), a waste
management services company in Germany, has installed telematics devices
into its collection vehicles. Using Vodafone IoT GPS tracking of the vehicles,
connected to the Vodafone Managed IoT Connectivity Platform, the system is 1 
WMO Provisional Statement on the State of the Global Climate, 2018 6 Lean ICT Report, The Shift Project, 2019

able to monitor, analyse and archive driving times, routes, driver activity and rest 2 Fifth Assessment Report, IPCC, 2014 7 Cisco Visual Networking Index, 2019

periods. This data is being used by SSR to optimise the vehicle rounds. 3 Special Report: Global Warming of 1.5°C, IPCC, 2018 8 The Mobile Economy, GSMA, 2019
4 World Energy Outlook 2018, IEA 9 Please note this intensity metric takes into account our total CO2e
The next stage of the project will see the launch of a pilot to also monitor 5 Global Energy and CO2 Status Report, IEA, 2018 emissions but only our mobile data traffic (not our fixed-line data traffic).
selected bins and recycling containers and alert SSR when they require emptying. 10 WHO air quality database, 2018
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 36

Supplychain
Supply chainintegrity
integrity Safety Human rights Anti-bribery and corruption and political engagement Privacy and cyber security Mobiles, masts and health

Operating responsibly
We are committed to ensuring that our business operates ethically, lawfully and
with integrity wherever we operate as this is critical to our long-term success.
This chapter contains sections relating to some of the key risks we face and details the controls
we put in place to ensure our operating practices meet our and our stakeholders’ expectations:

Supply chain integrity Anti-bribery and corruption


We work to ensure integrity in our supply and political engagement
chains by managing many different legal, Vodafone does not tolerate bribery or corruption
social, ethical and environmental risks. We also in any form. We would rather walk away from
encourage those who work with us, directly or a business opportunity than engage in actual
indirectly, to adopt sustainable business practices. or even perceived corruption. Interaction with
37 governments, political parties and political
commentators, civil servants, regulators and
Safety independent statutory bodies is an essential
Keeping the people who work for us safe is one aspect of managing our businesses around
of our most fundamental responsibilities. We the world.
promote our approach across our industry with 48
leading safety standards by insisting on high
safety practices from our employees, contractors Privacy and cyber security
and suppliers and by engaging with customers Vodafone has strict governance controls worldwide
and peers. to ensure the protection of our customers’ personal
42 data and communications, respecting their privacy
and proactively managing security risks.
Human rights 53
Respect for human rights, including those
that extend into the digital realm, is critical Mobiles, masts and health
to the long-term success of our business. We are committed to responding openly and
46 transparently to public concerns about mobiles,
masts and health and comply with all applicable
laws in every jurisdiction in which we operate.
56
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 37

Supply chain integrity Safety Human rights Anti-bribery and corruption and political engagement Privacy and cyber security Mobiles, masts and health

Supply chain integrity


We spend approximately €22 billion Supply chain risks Levels of influence Our Code of Ethical Purchasing requires all our
a year with more than 10,800 direct Some of the most material risks in the The Vodafone Procurement Company (VPC) Tier 1 suppliers to ensure that their suppliers
also have equivalent policies, processes and
suppliers around the world to meet information and communications technology leads purchasing and supplier management.
verification systems in place to manage risks and
our businesses’ and customers’ needs. (ICT) supply chains include injury to people The VPC manages most of our spending with
working in field operations, the harmful effects suppliers worldwide and supports the needs of ensure compliance in their own supply chains.
Our businesses rely on complex and multilayer of working long hours in electronics factories, our operating companies and group functions. We collaborate with some of our Tier 1 suppliers
global supply chains. For example, our direct corruption and human rights abuses in the This approach is designed to ensure objective to monitor their supplier bases directly and help
suppliers often have many suppliers of their own, mining of cobalt or other metals and minerals. and consistent supplier management across them to improve standards. We also work with
who in turn rely on a large number of suppliers, Vodafone’s businesses and makes it easier to our peers and suppliers to share best practice
and this dependency continues through several Safety is a critical priority throughout our supply and to strengthen compliance at the top tier of
monitor and improve supplier performance.
tiers. Intermediaries such as distributors and chain and in particular during the installation, our supply chain.
wholesalers are also involved at various points management and maintenance of our mobile We also have relationships with local suppliers
and fixed-line networks. There are grave risks that work on behalf of our local country We also have influence over the infrastructure
in our chains.
for our employees and suppliers when carrying businesses, particularly those involved suppliers who supply, install and maintain our
We work to ensure integrity in our supply chains out this work, including those related to in service-related procurement, such as networks, as well as over suppliers that provide
by managing many different legal, social, ethical driving, working at height or dealing with merchandising or field operations. Our support branded products and services. We have less
and environmental risks. We also encourage those high-voltage equipment. for these local businesses has a positive impact influence over Tier 21 and other sub-suppliers
who work with us, directly or indirectly, to adopt on communities through providing employment operating further down our supply chains, where
sustainable business practices. We have developed robust systems to seek to the risks of non-compliance are higher. We work
ensure that our suppliers meet our mandatory in our local operating countries.
with our direct suppliers to monitor and manage
Safety in our supply chain is also critically ethical, labour and environmental standards.
Monitoring our suppliers’ compliance with the risks at this level.
important. Vodafone has comprehensive We expect all our suppliers to follow our Code
measures in place in our own businesses our rules can be challenging because of the
of Ethical Purchasing and uphold the Business
complexity of our supply chain, which includes  Further information on the process
designed to make sure everyone who works Principles in our Code of Conduct. We expect
many businesses in different locations and at to qualify as a Vodafone supplier and
for us goes home safely. We reinforce this our suppliers to be accountable for managing
different tiers or levels. Therefore, the level of our policies can be found online at
across our supply chains. risk in their operations and to understand that
influence we can exert over businesses in our vodafone.com/supplychain.
we expect them to hold their own suppliers
 Further information on the structure of supply chain varies significantly. The greatest
accountable to the same high standards.
our supply chain can be found online at level of influence usually exists with our Tier 1
www.vodafone.com/supplychain. When choosing a new supplier, or choosing suppliers where we have direct contractual
to continue to work with one, we assess the agreements. Many of these are substantial
supplier’s compliance with our rules on health, brands and businesses with proven processes in
safety and responsible behaviour, just as we place to ensure high standards and sustainable
assess commercial factors such as quality, cost business practices. Where a supplier is dominant
and the supplier’s ability to deliver on time. in the marketplace with a particular product or
service, or where Vodafone is not a significant
purchaser, we have less influence.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 38

Supply chain integrity Safety Human rights Anti-bribery and corruption and political engagement Privacy and cyber security Mobiles, masts and health

Minerals in the supply chain chains. Vodafone also investigates the potential to provide evidence to validate their responses.
Vodafone does not directly own or operate human rights risks relating to both cobalt and Suppliers can use the questionnaire to highlight
factories or production plants, with the 3TG metals mining in our supply chain. We ways in which they have shared best practice in
exception of a technology operation in Italy have focused on identifying products likely to their own business or their supply chains. This
that is part of our Vodafone Automotive Internet contain these minerals and the locations of year we evaluated 43 key suppliers through this
of Things (IoT) business. We do not directly suppliers who manufacture or are employed as approach. Our supply chain team then validates
purchase raw minerals, ores or metals. The contractors to manufacture those products. and uses the information provided to assign
majority of the smartphones and tablets that each supplier an overall sustainability score and
We provide further details of our approach to this
we resell to customers are produced by major grade. These scores are also used to grant two
issue in our statutory Conflict Minerals Report
companies with internationally recognised Vodafone Supplier Awards, one for health and
and Artisanal Cobalt Statement.
brands that report on sustainability efforts in safety and the other for sustainability.
their own right. We also offer our customers a Monitoring compliance
range of smartphones and tablets that carry the We expect our suppliers to continuously monitor
Vodafone logo. These devices are designed and their compliance with the standards set out
manufactured on our behalf by suppliers known in our Code of Ethical Purchasing. Any failures
as original design manufacturers. must be immediately addressed. We also require
them to report serious breaches to Vodafone
Electronic products contain numerous
immediately so we may ensure that they take
components that may contain one or more of
corrective action.
the 3TG metals (tin, tantalum, tungsten and
gold). For example, tin is used often as a The Vodafone approach to monitoring
soldering material for electronic components. compliance with the Code of Ethical Purchasing
Gold and tantalum are typically used in is determined by the nature of the risks and the
components such as connectors or capacitors. kind of activity involved. High-risk suppliers,
In addition, some electronic products contain including those operating in industries, sectors
cobalt within their lithium-ion batteries. or countries with a history of poor standards,
Smelters and refiners mine and process cobalt. are required to undergo a detailed evaluation
It is then supplied to component manufacturers, process. Suppliers who work in lower-risk areas
assemblers and sellers. may be required to complete self-assessment
questionnaires.
These minerals come from many different
smelters and refiners in a complex and often Supplier questionnaires
opaque supply chain. Both the smelters and Through our Supplier Performance Management
refiners, and the mines from which minerals are Programme Vodafone monitors our key
sourced, are many steps away from Vodafone in suppliers’ health and safety and sustainable
the supply chain. If we can influence the design business performance standards, as well as their
or manufacture of products, we try to ensure that commercial, product and service performance.
they do not contain metals or minerals that fund We define key suppliers in terms of the nature
conflict in the Democratic Republic of Congo. of their contribution to our business and the
We are members of, and involved in, industry significance of our expenditure with them.
initiatives such as the Responsible Minerals We require suppliers to complete an ethical,
Initiative to improve transparency in supply labour and environmental risk questionnaire and
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 39

Supply chain integrity Safety Human rights Anti-bribery and corruption and political engagement Privacy and cyber security Mobiles, masts and health

On-site audits We use an independent third-party company Improving performance and


Detecting and tackling modern slavery We regularly undertake intensive on-site supplier to gather confidential and unbiased feedback building capability
During 2017, we asked more than 8,000 audits, which include an examination of written directly from our suppliers’ employees. Engaging directly with suppliers through follow-
supplier businesses to cascade our modern policies and procedures, site inspections and Anonymous and simple mobile phone-based up discussions and briefings using our monitoring
slavery e-learning training through their discussions with managers and employees. worker surveys enable employees to reply to processes is one of the most effective ways of
supply chains. The training, which is available This provides us with a detailed insight into pre-recorded questions in their local language improving performance in our supply chain. If there
in English, Hindi and Mandarin Chinese, how suppliers’ policies translate into action. at any time and from any location. We require is evidence of non-compliance through JAC audits,
is designed to increase workers’ and line participating suppliers to allow their employees our own on-site assessments or worker surveys, we
Vodafone is one of 17 telecoms operators to respond to questions freely and privately. The
managers’ awareness and understanding work with suppliers to develop corrective actions,
who belong to the Joint Audit Cooperation responses provide us with important insights
of modern slavery risk. It also promotes to improve their policies and/or strengthen the
(JAC) initiative, where we share our on-site into our suppliers’ employees’ working hours and
Vodafone’s Speak Up process as a way for processes they use to manage key risks.
assessments, given that our industry peers conditions so we can work with suppliers to put in
workers to raise issues directly with Vodafone.
share the same suppliers and supply chain place appropriate remedial measures if required. This year, most of the recommendations made
As a direct result of this training, during the risks. Through the JAC process, each supplier following Vodafone or JAC audits related to
year, we had one report of a modern slavery- undergoes a single audit. The results of these During 2019, our approach to using worker health and safety, excessive working hours and
related issue through Speak Up, from a audits are shared between JAC members and surveys was adopted by JAC member companies. business ethics. Regarding health and safety,
worker at a supplier site in one of our African one member leads any required follow-up This year JAC members collectively surveyed there was an increase in recommendations
markets. The individual raised a concern that with the supplier. common factories employing 16,800 workers related to fire evacuation signage, evacuation
they did not have an employment contract across 12 factories in China and India. Where lighting and fire exits. There was also an increase
Between January and December 2018, there Vodafone also conducted on-site audits and
and had yet to be paid. in environmental recommendations, mainly
were 79 JAC audits, of which 87% were within verification of supplier factories in China and regarding unsatisfactory management systems
Working with an independent auditor, Vodafone’s supply chain. Of the audits in India with the same workforce population, or emissions monitoring. We work directly and
Vodafone observers visited the site to review Vodafone’s supply chain, 24 were Tier 1 direct 10% responded to our anonymous survey. through the JAC governance process to ensure all
the supplier’s contracting and payment suppliers, 39 were Tier 2 suppliers, five were
recommendations are implemented.
procedures. This included document checks, Tier 32 suppliers and one was a Tier 43 supplier.
confidential employee interviews and taking
In parallel, we conduct our own on-site Number of
Number of assessments
assessments conducted
conducted Recommendations for improvement
a sample of the supplier’s workers’ contracts,
assessments for specific Tier 1 and Tier 2 suppliers from combined JAC audits* and Vodafone
in job roles likely to be at risk of modern
that we have identified as high risk but that are not 61 24 audits in 2019 (Number of cases)
slavery practices. 2016
covered by the JAC initiative assessments. This
After a thorough investigation, using an year, we conducted six on-site assessments: four 2017 69 26
independent audit firm specialising in Tier 1 suppliers and two Tier 2 suppliers.
detecting modern slavery to carry out 2018 81 17
an on-site audit, no wrongdoing was
Direct employee feedback
found. However, we identified some areas While the assessment of the working hours and 2019* 79 6
for improvement to avoid any similar working conditions of our suppliers is important,
concerns occurring in the future. The it can be difficult because supervisors and 0 20 40 60 80 100
supplier has since implemented the managers may attempt to falsify timesheets
Number of site assessments conducted by JAC*
recommendations that resulted from the and other workplace records. This year, we
Number of supplier site assessments conducted
audit with respect to communicating pay continued to obtain direct feedback from our by Vodafone
suppliers’ employees in order to identify 466 Health and safety 17 Discrimination
in advance of remuneration and ensuring 139 Working hours 16 Young workers
that employment contracts are both modern slavery risks and areas for improvement. 106 Business ethics 11 Freedom of association
kept on file and shared with employees. 101 Environment 9 Forced labour
The confidentiality of the individual was * JAC assessments are reported on a calendar-year basis. 51 Payment 8 Disciplinary practices
maintained through the process. ** 12 sites were assessed both on-site and via mobile surveys. * JAC audits are reported on a calendar-year basis.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 40

Supply chain integrity Safety Human rights Anti-bribery and corruption and political engagement Privacy and cyber security Mobiles, masts and health

The key factors underlying recommendations (ranked by frequency)


Supporting LGBT+ communities in our supply chain
Health and safety Discrimination
– Emergency preparedness (e.g. missing – Inadequate policies to ensure equality. This year we began to measure the progress are technology companies, we shared
building safety plans or missing equipment). our suppliers are making towards support for approaches on our collective successes and
Young workers diverse groups such as LGBT+. Approximately challenges in LGBT+. We also explored how
– Lack of safety management policies
– Instances of young workers aged 16–18 half our suppliers declared that they have we could collaborate to advance greater
and processes.
found to be doing dangerous or night work. LGBT+ supportive practices, such as support levels of belonging and inclusion across the
– Inadequate safeguards to prevent exposure
– Inadequate records kept on verifying networks, or LGBT+ inclusive policies and three key areas of youth, community and
to hazardous substances.
worker age. practices in place. cultural change.
Working hours
Freedom of association In March 2019, Vodafone hosted ‘Partners Participants at the event included Vodafone’s
– Poor resource planning and forecasting,
– Workers denied the opportunity with Pride’ at our Group Headquarters in LGBT+ Global Executive Sponsor (who is also
which leads to excessive working hours
to join representative bodies. Paddington. This event brought together the Group Supply Chain Director and CEO of
by supplier employees.
– Worker representatives not elected freely. leaders from more than 25 of our global the VPC), the Group Chief Technology Officer
Business ethics suppliers to explore how to make a positive and a former UN Head of Human Rights and
Forced labour
– Lack of effective ethics policies. difference in the treatment of LGBT+ Anti-discrimination.
– Excessive use of agency or temporary labour.
– Lack of ethics requirements towards people worldwide. Through our ecosystem
– Employees not receiving copies of their
their suppliers. of suppliers and partners, many of which
employment contract.
– Lack of whistle-blowing mechanism.
Disciplinary practices
Environment
– Wage deductions used as a disciplinary
– Lack of environmental performance targets.
measure.
– Missing environmental permits to
conduct certain activities. 30 out of the 60 critical performance issues
– Poor control on disposal of hazardous identified from JAC on-site audits were resolved
substances. and signed off. The remaining 30 issues,
which relate to working hours and emergency
Payment
preparedness, require additional time and
– Improper or unclear overtime payments.
investment to monitor the effectiveness
– Failure to comply with minimum wage
of actions before they can be signed off as
requirements.
completed. Vodafone will terminate a contract
– Failure to keep accurate records on
if any supplier persistently fails to resolve
social insurance payments.
compliance failures or if issues of gross
misconduct occur.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 41

Supply chain integrity Safety Human rights Anti-bribery and corruption and political engagement Privacy and cyber security Mobiles, masts and health

Our payment practices In order to ensure that our policies and practices
Providing our suppliers with direct support and building capability Our payment terms take into consideration the are appropriate for smaller suppliers, we work
size of the supplier in question, the contract, to improve our understanding of our supplier
As part of the JAC initiative, Vodafone audit and verification company, five
the nature of service or type of goods provided base and to introduce a range of initiatives
worked with three other operators this participating suppliers were on-boarded
and the supplier’s relationship with the wider designed to benefit those smaller suppliers.
year to launch a Supplier Academy to build into the Academy. They were then given an
Vodafone Group, along with any other relevant This year in the UK, we committed to pay all our
supplier capability. The Academy focuses opportunity to gain practical experience of
commercial factors. As a global organisation, small suppliers (as defined by the Companies
on developing training to help suppliers performing an audit under the supervision
many of our suppliers are large multinational Act) within 30 days of receipt of their invoice.
assess and improve the social, ethical and of an independent third-party auditor. Once
companies, which may provide network We asked our suppliers to confirm whether they
environmental performance issues that may completed, suppliers were then able to
equipment or devices for customers. Vodafone fall into the category of smaller suppliers. We
arise within their own supply chains. complete 25 audits of their own, or of their
also has many suppliers that are small and have also amended our systems to enable this
suppliers’, facilities and shared the results
Following a week of classroom training medium-sized enterprises. information to be captured on an ongoing basis.
with Vodafone.
delivered by an internationally recognised
As a general principle, our supplier payment  Read Vodafone’s latest
terms are a maximum of 60 days from the date UK payment practices report.
of receipt of invoice. To help suppliers improve
their cash flow, we offer our suppliers supply In South Africa, last year Vodacom increased
chain financing facilities and free e-invoicing the value paid under preferential payment
tools. As of 31 March, over 3,500 suppliers had terms to qualifying small, medium and micro-
taken up early invoice payments on a completely sized enterprises by 55%. In addition, the
voluntary basis, where payment can be taken in business offers preferential payment terms
advance under agreed terms at much lower rates to businesses which are over 51% Black-owned,
than they are likely to receive under traditional assisting them with their cash flows and to
factoring or borrowing arrangements. reduce financial constraints.

We recognise that small, innovative technology


start-ups are particularly sensitive to cash
flow, and to support them we introduced an
‘Innovation Fast Lane’ scheme, which has
simplified contracting and enables lower
payment terms, capped at a maximum of 21 days
from date of receipt of invoice. We also ensure
that our invoices are paid on time (2019: 99%)
and we cap maximum payment terms.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 42

Supply chain integrity Safety Human rights Anti-bribery and corruption and political engagement Privacy and cyber security Mobiles, masts and health

Safety
We take safety extremely seriously in Work Safe Home Safe  Further information on how we ensure
our operations. Keeping the people We continue to develop our health and safety compliance with our policy, including Our Absolute Rules on safety
who work for us safe is one of our messaging around Work Safe Home Safe, which how it is governed, can be found online The Vodafone Absolute Rules on safety focus
promotes the importance of adhering to the at www.vodafone.com/safety. on risks that present the greatest potential
most fundamental responsibilities.
Vodafone Absolute Rules as good practice in our for harm for anyone working for or on behalf
We promote our approach across our employees’ personal lives and workplace. The of Vodafone. The Absolute Rules are clear and
industry with leading safety standards intention is to encourage commitment to safe underpinned by a zero-tolerance approach to
by insisting on high safety practices practice rather than merely compliance with the unsafe behaviours in all of our businesses.
from our employees, contractors Vodafone safety requirements.
Vodafone employees and contractors,
and suppliers and by engaging with Over the next year, we will introduce our and our suppliers’ employees and
customers and peers. Vodafone Safety Values, which encourage contractors, must:
employees to consider the benefits of safe
Our commitment to safety does not – always wear seatbelts when travelling
practice, not only for themselves but also for
differentiate between our own employees, in or operating vehicles;
the safety of others. For example, the Values
our contractors and our suppliers’ employees
include a commitment to intervene wherever – always use suitable personal protective
and contractors.
someone’s safety may be at risk. They also equipment, a safety harness and fall
We want everyone working with Vodafone encourage the reporting of incidents and protection when working at height;
to return home safely every day. Any injury hazards to prevent a reoccurrence.
or any loss of life related to our operations is – never carry out electrical work on
Our global Code of Conduct training, completed electrical equipment, circuits and gear
unacceptable. It is therefore with great regret
by 90%5 of active employees, includes a if they are not qualified;
that we report two recordable fatalities4 this
mandatory e-learning safety module designed
year. We provide the context for those deaths – never work under the influence of
to ensure that employees know how to keep
in this section on page 45. substances (alcohol or drugs) that are
themselves and others safe at work. It also
Policy includes details of our Speak Up programme, illegal or in excess of legal levels or where
which enables anyone to report safety concerns this impairs the individual’s ability to
Our Code of Conduct makes it clear that perform tasks;
everyone working for or on behalf of Vodafone anonymously if they prefer.
must behave in a safe and responsible manner In addition to the Absolute Rules, our Supplier – never exceed speed limits or travel at
at all times. Our Group Health, Safety and Group Policy on Health, Safety and Wellbeing speeds that are dangerous for the type
Wellbeing Policy expands on the Code of sets out additional safety requirements at of vehicle or conditions;
Conduct, setting out our commitment to an operating level, particularly for high-risk – never use a hand-held phone while driving
establish a robust and durable health, safety activities. The policy emphasises the need for and only make calls by pulling over or
and wellbeing culture. Detailed standards with suppliers to monitor compliance on a continuous using hands-free devices, when it is safe
this policy establish the specific steps that must basis, report about their safety performance to do so; and
be taken to manage our greatest risks. to us and have in place robust mechanisms to
manage safety in their own supply chain. It also – never undertake any street or
requires suppliers to put in place a safety plan underground work activities unless
before they undertake a number of specified competent to do so.
high-risk activities.
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Supply chain integrity Safety Human rights Anti-bribery and corruption and political engagement Privacy and cyber security Mobiles, masts and health

Managing key safety risks


Our safety strategy focuses on the most Safe driving techniques training is mandatory for There was one fatal electrocution and one Working at height
significant risks for people working in operational anyone who drives a road vehicle while working major incident involving electricity this year. Mobile communications services rely on
roles in our businesses. These risks are: on our behalf. However, mitigating road risk The fatal electrocution occurred in Vodacom connectivity provided by antennas placed
remains challenging because we have no Mozambique when a contractor installing fibre on towers, masts and rooftops. We work to
– road risk when driving for work;
direct ability to control external factors such as on an electrical distribution line suffered an ensure the training of Vodafone employees
– working with electricity; unsafe driving conditions, the lack of a safety- electric shock when using an aluminium ladder and contractors and our suppliers’ employees
first culture or the actions of third parties on to free a cable caught in a tree. In addition, a and contractors who work at height so that
– working at height;
public roads. major incident occurred in our joint venture they understand the risks and take steps to
– laying cables in the ground; and Vodafone Hutchinson Australia where two control them.
We have historically experienced challenges with
employees from a sub-contractor working on
– management and control of suppliers. employee data privacy when using telematics Our network site design principles stipulate the
a distribution panel suffered severe burns. We
in company vehicles. However, with improved need for safe access for people working at height
Historically, these risks have accounted for continue to ensure that electrical risk is a focus
technology we are starting to introduce devices and include guidance on the control measures
the majority of serious incidents and fatalities for all suppliers. We took the following actions
with improved functionality that enables the required to manage the risks involved effectively.
that have occurred in Vodafone and in our to strengthen controls:
driver to identify the difference between using Fall-arrest equipment is inspected regularly as
supply chain. This reflects the general trend their vehicle for business and private use. This – distributed a Group-wide safety alert;
across the global telecommunications industry. part of each of our local businesses’ preventative
ensures privacy around their personal driving maintenance programmes.
Traffic-related incidents remain the greatest – emphasised electrical risk at our global
behaviour. These privacy improvements have
threat of harm on a daily basis, particularly in supplier forum; There were eight working-at-height major
seen the introduction of telematics in a number
emerging markets. of markets, most notably Hungary and Ireland. incidents during the year, six of which involved
– conducted monitoring checks during
We consider the management and control of market visits; and engineers falling from ladders while installing
This year in Egypt, Vodafone Egypt created fibre cables. To mitigate the risks of working at
suppliers to be a significant risk because much an app that uses telematics data to identify – revised our electrical safety standard. height and safe site access we have:
of the work relating to the risks identified is adherence to road speed limits, driver fatigue
undertaken by our Tier 1 suppliers or Tier 2 In addition, we have continued to work with – maintained investment in fall-arrest
and journey management violations and then
sub-suppliers. suppliers to ensure that: equipment and strengthened maintenance
send instant notifications in cases of non-
Road safety compliance. This proactive approach has – they have a documented risk management and recertification activities in all markets;
Road safety remains our primary safety concern the potential to help reduce the number of process for working with electricity; – assessed suppliers who provide training on
and continues to be the primary cause of serious future incidents. working at height in India, Egypt, Turkey,
– those working with electricity are certified,
injuries and fatalities associated with Vodafone Working with electricity competent and medically fit; Greece, Albania, Romania, the Czech
activities. This echoes the growing awareness Republic and Hungary;
Our Absolute Rules stipulate that anyone – electrical equipment is fit for its
and focus on improving road safety across the working with electrical equipment must be intended purpose; – reviewed our key global suppliers and their
globe, including UN Sustainable Development qualified and authorised to do so. Our training compliance to our working-at-height and
Goal target 3.6 on road safety, which aims to module on working with electricity provides – appropriate safety controls such as safe site access procedures; and
halve the number of road traffic deaths and guidance to employees on how to recognise ‘lockout-tagout’ are in place; and
injuries by 2020. – strengthened safe site access controls
risks and implement appropriate safety controls. – work on live electrical systems is with the introduction of a new standard
prohibited (with the exception of extra-low- and guidelines.
voltage systems, where additional controls
are specified).
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During the year, we have also continued to work Four times a year, we host a supplier safety We continue to influence global suppliers at employees and contractors (across all tiers) and
with third-party suppliers to ensure effective forum, first established in 2016, for our major Group level and will continue to include high-risk members of the public, regardless of whether
controls are implemented and monitored, with network suppliers, focusing on best practice supplier reviews as part of quarterly reporting. these fatalities occur on Vodafone premises or
a specific focus on ladder work. and critical risks. In addition, we plan to further investigate how to at other locations such as on public roads. We
improve the speed and ease of supplier reporting investigate and report openly on our findings
Laying cables in the ground High-risk supplier reviews using technology. in the case of fatalities within our reporting
Expanding our fixed-line business has increased The majority of fatalities continue to involve boundary (see page 70), including instances
the amount of work undertaken to lay or our suppliers, where unsafe behaviour is a Performance where we conclude that our safety controls did
maintain cables at street level or underground. contributing factor. This year we completed Monitoring and reporting on our safety not function as intended or that they could have
At street level, this work is hazardous, with the a review of high-risk suppliers across our Africa, performance is essential to ensure the safety been enhanced.
risk of injury or death posed by penetrating Middle East and Asia-Pacific markets, focusing of everyone working with us – our employees,
electricity or gas lines, trenches collapsing on Tier 1 and Tier 2 suppliers. This review helped contractors and suppliers and those suppliers’
during excavation and nearby road traffic. us better understand how local markets monitor own employees and contractors. It also helps
suppliers’ adherence to our requirements. us to focus on and address the risks that are
Fibre-to-the-premises and cable broadband
inherent to our industry.
installations require employees and contractors The review confirmed strong engagement with
to work on private residential and business suppliers through local market supplier forums. We want our own teams, our suppliers, our
property as well as in the street. Doing so also However, it also found that further action was stakeholders and others in our industry to
poses risks such as not knowing the location required to address under-reporting by suppliers. learn from the performance data we share.
of buried utilities. We are working with our Markets were subsequently instructed to In the case of fatalities, we set a wide boundary
local businesses to ensure that they have the reiterate expectations to all suppliers on the for our in-scope reporting. In contrast with
necessary safety plans and controls in place requirements when reporting incidents. These many businesses, which only report employee
to mitigate these risks. include reporting timescales and the definition fatalities on their own premises, we report
of what should be reported. fatalities involving any of our suppliers’
Control of suppliers
Suppliers’ employees and contractors working
on masts, towers and other equipment
Equipping commercial vendors with safety training
undertake most of the highest-risk activities
related to the deployment and maintenance Vodafone celebrated 10 years in Ghana in June 2018. Over that time, the health and safety
of our networks. In addition to our policies and agenda has seen a significant improvement, from a ‘no safety’ regime in 2008 to the point
Absolute Rules, we operate a consequence where health, safety and wellbeing has been embraced as part of the core values and culture
management system. This means we will in the organisation.
terminate contracts if our suppliers or their sub- To date, the main safety emphasis has been on installing technology, due to the high-risk nature
suppliers persistently fail to meet our standards. of these projects. However, this had meant there was less of a focus on our non-technology
Effective risk management starts at the top of suppliers meeting our health and safety standards. In response, the business organised working-
any organisation, so we are clear about our safety at-height training this year for its two main Tier 1 commercial suppliers and their sub-contractors.
expectations to the chief executives and senior This comprised both theory and practical courses, which included working at height to assemble
leadership teams of our supplier businesses. advertising banners, fall arrest and rescue, secure rope lifeline use, radio frequency awareness
We expect them to focus on the operational and safe ladder use.
challenges our safety experts identify. This training and associated certification will help our suppliers to work safely as Vodafone Ghana
introduces 4G LTE services, which will require vendors to advertise our 4G network countrywide.
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Fatalities We thoroughly investigated the causes of root cause and take suitable corrective action, of potential or actual harm to our employees.
It is with deep regret that we report two each fatal incident and defined actions to help where necessary. An investigation is undertaken Greater compliance with mandatory rules on
fatalities during the past year. Both occurred prevent a recurrence of a similar incident. These into an HPI at a scale proportionate to the LTI reporting enables us to identify emerging
under circumstances in which, after investigations are overseen by the respective indicative level of risk. trends in operating risks, increasing our scope
investigation, we concluded that our supplier local market Chief Executive, who is responsible to intervene and put the necessary controls in
During the year we recorded 999 HPIs, of which
controls were breached or were not operating for ensuring that the causes of the incident place. This year, our overall reported LTI rate
146 involved employees, 174 involved suppliers’
effectively. Specifically: are widely understood and that any necessary remained at 0.62 per 1,000 employees.
employees or contractors, 13 involved members
corrective actions are implemented. We also
– A contractor died in a vehicle-related incident of the public and 666 were infrastructure related.
share the lessons learned from each fatality
in Egypt. His vehicle was in a collision with across the relevant Group functions. These Lost-time incidents (LTIs)
a heavy goods vehicle. The contractor was discussions take place at the most senior levels LTI is the term we use when a Vodafone
speeding at the time. and at Group-wide safety conferences, held six Lost-time incidents (employees only)
employee is injured while carrying out a work-
– A contractor died while trying to free a times a year. related task and is consequently unable to 2017 2018 2019*
trapped fibre cable during a fibre-laying High-potential incidents (HPIs) perform his or her regular duties for a complete
operation in Mozambique. The fibre was shift or period of time after the incident. We do Number of lost-time 86 64 64
We track and investigate HPIs – incidents that incidents
being run up electricity poles when it not track LTIs for our suppliers’ employees and
do not necessarily result in injury but have the
became caught in a tree. The contractor contractors. Lost-time incident rate 0.81 0.62 0.62
potential to do significant harm. We investigate
used a metal ladder to try to free the cable per 1,000 employees
each HPI as an indicator of the potential for a In recent years, we have stepped up our
and was electrocuted.
more serious accident. We seek to identify the efforts to capture and analyse all incidents * Data includes LTIs from India up until 1 September 2018.

* T here are three fatal incidents which include a


Total recordable fatalities Recordable fatalities by cause Recordable fatalities by country number of fatalities that are still under investigation
and cannot be included in our figures until the
investigations are complete; a fatal incident in Italy
2017 10 1 2017 10 1 2017 8 1 1 1 from FY 2017/18 that happened on 29 March 2018
is still under investigation by national authorities; a
fatal incident in Turkey on 18 April 2018 is currently
under investigation by national authorities; and
2018 6 3 2018 4 3 1 1 2018 3 4 2 a fatal incident in Turkey on 5 October 2018 is
currently under investigation by national authorities.
Data includes fatalities from India up until 1
September 2018.
2019* 2 2019* 1 1 2019* 1 1
** Vodacom markets include South Africa, the
Democratic Republic of Congo, Lesotho,
0 2 4 6 8 10 12 14 0 2 4 6 8 10 12 14 Mozambique and Tanzania.
0 2 4 6 8 10 12 14
Suppliers’ employees/contractors Vehicle accident India
Members of the public Electrocution Vodacom**
Falling object Egypt
Criminal activity Turkey
Ghana
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Human rights
Respect for human rights, together with Our most salient human rights risks In 2017, we joined the Global Network Initiative practice on freedom of expression and privacy.
established processes to reduce the (GNI) as a Board member. The GNI is a multi- In 2018, Vodafone Group received the top score
Privacy and freedom of expression stakeholder forum created to address the in the telecommunications sector.
risk of human rights abuses, is critical Our most salient human rights risks relate to complex challenge of protecting digital
to our long-term success. Vodafone’s the individual’s right to privacy and freedom of rights globally. Joining the GNI strengthened
We are also actively engaged in the dialogue
Code of Conduct is very clear about expression. Our Digital Rights and Freedoms on emerging technologies and their potential
and broadened our commitment to digital
impact on human rights. As artificial
our expectations and responsibilities Reporting Centre contains information related rights and followed our founding role in the
intelligence (AI) grows in usage and impact
regarding human rights. to the protection of our customers’ private Telecommunications Industry Dialogue on
communications and our views, policies and across geographies and industries, Vodafone
Freedom of Expression and Privacy.
We recognise our responsibility to respect the approach regarding: has a responsibility to consider how our use
rights and freedoms of every individual who The GNI brings together information and of this technology affects our customers, our
works for us, either as an employee or through – 
Law Enforcement Disclosure; communications technology companies, employees and wider society. We will shortly
our supply chain, and of the communities – 
Customer Privacy; civil society groups (including human rights publish our Vodafone AI Framework, which
close to our operations. We adhere to our and media freedom groups), academics outlines our approach to protecting consumers
responsibility to respect human rights as set – 
Respecting the Digital Rights of the Child; and investors with a shared commitment to from discrimination and taking an ethical
out in the International Bill of Human Rights – 
Freedom of Expression and Network promote and advance freedom of expression approach to artificial intelligence. We will
and the eight International Labour Organization Censorship; and and privacy worldwide. indicate when customers are interacting directly
fundamental conventions on which the United with artificial intelligence. Our framework also
– 
our Legal Annexe, which gives an overview The Ranking Digital Rights Corporate
Nations Guiding Principles on Business and includes how we extend our standards to third
of the relevant legal powers in place in our Accountability Index ranks Vodafone annually
Human Rights are based. parties developing AI systems in collaboration
markets of operation. on its public disclosure on its policies and its
and on behalf of Vodafone.
Our approach to managing
human rights issues
We have identified the most salient human GNI assessment
rights risks that matter the most for Vodafone’s
As part of our membership of the GNI, we writing. We continued this work until the We will issue a public report on any related
operations and supply chains. We have
must commit to implement the GNI Principles, March 2019 Board review meeting, working recommendations in early 2020, following
established policies, governance and due
putting concrete measures in place to together with our independent assessor, the release of the formal GNI report on the
diligence processes to avoid, reduce and
protect and advance freedom of expression who reviewed our processes, policies and the 2019 assessments.
mitigate these risks. These processes and
and the right to privacy. All GNI companies governance model that we use to safeguard
policies, along with details on our governance
undergo an independent assessment of their our user’s rights to freedom of expression and
model on human rights issues, are summarised
implementation of the Principles every two right to privacy, to ensure all relevant areas
on our website.
years, to demonstrate their efforts in practice. were covered.
 Further details on our human rights We started preparations for our first Vodafone completed its first formal GNI
due diligence process and overall independent assessment in August 2018 by assessment in March 2019, during which the
approach can be found online at  For more information on the
setting up a team of senior level experts from Board reviewed a detailed report on Vodafone
www.vodafone.com/humanrights GNI company assessments visit
across the business and across our operating and determined that we are making good faith
www.globalnetworkinitiative.org/
markets to participate in the required efforts to implement the GNI Principles with
company-assessments.
interviews, evidence collection and report improvement over time.
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Human rights risks in our supply chain i. Business Against Slavery Forum: TAT’s goal is to work with civil society, law Employees can report suspected breaches
Vodafone has developed and implemented UK Home Office enforcement, academia and survivors to in three ways:
policies and processes to extend our human During the year, Vodafone’s Human Rights identify and create technology solutions
– via their line manager;
rights commitments into our supply chain, team engaged with other companies on that disrupt and reduce human trafficking,
prevent and identify crimes, and provide – via the local human resources team; or
as specified in our Code of Ethical Purchasing. the issue of modern slavery through its
The Code sets out the standards we expect our participation in the Home Office’s Business remedy mechanisms for victims and support – via a confidential external hotline in their
suppliers to meet on health and safety, labour Against Slavery Forum working group. This survivors through innovation, collaboration, own language, by phone or online.
(including child or forced labour) rights, ethics group was established as a partnership guidance and shared resources.
Our Group Risk and Compliance Committee
and environmental protection. between government and business to iii. Joint Money Laundering Intelligence reviews reports about the effectiveness of the
accelerate progress in the fight against Taskforce (JMLIT) Speak Up process and benchmarks it against
modern slavery and to create and facilitate The JMLIT has been developed in partnership those used by other multinationals. You can
Highlights in our supply chain
the sharing of best practice. Vodafone with the UK government, law enforcement read more about Speak Up on page 50.
activities to mitigate human rights
continues to be actively involved in this agencies and more than 40 major UK and
risks during the year:
working group in 2019. international banks under the leadership
– 
we launched a common industry In October 2018, Vodafone provided input of the Financial Sector Forum. Vodafone
supplier academy to build into the independent review of the Modern shared its approach to modern slavery and
capability; Slavery Act 2015, chaired by Baroness Young. the company’s e-learning training module at
– 
we joined new multi-stakeholder The roundtable discussion gathered the the JMLIT Expert Working Group on Human
coalition Tech Against Trafficking views and expertise of the private sector Trafficking and Organised Crime.
(TAT), which is focused on modern on the operation and effectiveness of, and
potential improvements to, provisions in  Further details on our approach and
slavery issues; and
the Modern Slavery Act. Vodafone is also policies relating to modern slavery
– 
we conducted an investigation into a member of the Transparency in Supply can be found in our Slavery and Human
a modern slavery grievance. Chains Advisory Group, which supports Trafficking Statement.
the Government’s modern slavery agenda
 Read more on our approach to supply and is one of six groups that feed into the
chain integrity on page 37. Home Office’s Modern Slavery Strategy and Employee reporting
Implementation Group. Vodafone UK’s CEO, Everyone who works for or on behalf of Vodafone
Working with others to tackle Nick Jeffery, is also a member of the UK must report any behaviour at work that may
modern slavery Home Office’s Business Against Slavery be unlawful or criminal or could amount to an
Forced, bonded or compulsory labour, human CEO Forum, which facilitates senior- abuse of our policies, systems or processes
trafficking and other kinds of slavery and level private sector engagement on the and therefore a breach of our Code of Conduct.
servitude represent some of the gravest forms implementation of the Modern Slavery Employees are encouraged to use our Speak
of human rights abuse in any society. We remain Act in large FTSE companies. Up process to report a wide range of unlawful
committed to taking appropriate steps to ensure ii. Tech Against Trafficking (TAT) and unethical activities, including bribery,
that everyone who works for Vodafone – in fraud, price-fixing, suspected abuses of human
any capacity, anywhere in the world – benefits This year, Vodafone became a member of the
Tech Against Trafficking (TAT) initiative. Hosted rights, privacy breaches, safety risks, bullying,
from a working environment in which their harassment, conflicts of interest and the
fundamental rights and freedoms are respected. by Business for Social Responsibility (BSR),
TAT is a coalition of technology companies potential for serious harm to the environment.
The following provides some examples of how
we have engaged on this issue during the year. collaborating with global experts to help
eradicate human trafficking using technology.
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Anti-bribery and corruption


Our anti-bribery policy – using Vodafone’s global online gift and programme for the coming year in the bribery risk
Vodafone does not tolerate bribery or corruption hospitality registration platform, as well as ‘line of sight’ report, which is updated regularly by
ensuring there is a process for approving local our General Counsel. Vodafone does not
in any form. Our policy is summarised in our
Code of Conduct. It states that employees or sponsorships and charitable contributions. tolerate bribery or
The table overleaf summarises the principal risk
others working on our behalf must never offer or In addition, facilitation payments are strictly categories and the mitigation measures
corruption in any form.
accept any kind of bribe. Our anti-bribery policy prohibited by our policy. Employees are provided we take for each.
is consistent with the UK Bribery Act and the US with practical guidance on how to respond to
Foreign Corrupt Practices Act and any breaches demands for facilitation payments. The only
can lead to dismissal or termination of contract. exception is when an employee’s personal safety
The policy provides guidance about what is at risk. In such circumstances, when a payment
constitutes a bribe and prohibits the giving is made under duress, the incident must be
or receiving of any excessive or improper gifts reported to the local compliance team as soon as
and hospitality. It also makes clear that where possible afterwards.
our policy differs in degree from an equivalent Local markets regularly monitor implementation
local law, we must follow the more stringent of of the anti-bribery policy as part of the annual
the two. Group Policy Compliance Review assurance
Governance and risk assessment process, which reviews key anti-bribery controls.
In addition, rotating reviews in local markets
Our Group Chief Executive and Group Executive enable us to assess the implementation of
Committee (ExCo) oversee Vodafone’s work the anti-bribery programme on the ground in
to prevent bribery and corruption. They are more detail. This year, reviews were conducted
supported by local market Chief Executives, who in Turkey and Hungary. The Group Policy
are responsible for ensuring that our anti-bribery Compliance Review also included a desktop
programme is implemented effectively in their review in all local markets. The overall findings
local market. Local specialists and a dedicated demonstrated good implementation of key
Group team that is solely focused on anti-bribery controls and processes. Areas for improvement
policy and compliance support them in turn. related to supplier management and monitoring,
As part of our anti-bribery programme, every and these are being addressed.
Vodafone business must adhere to minimum Vodafone’s Risk and Compliance Committee
global standards, which include: assists the Group ExCo to fulfil its accountabilities
– ensuring there is a due diligence process for with regard to risk management and policy
suppliers and business partners at the start compliance. The anti-bribery programme was
of the business relationship; one of the compliance programmes reviewed
by the Risk and Compliance Committee during
– completion of the global e-learning training the year. The output of the Risk and Compliance
for all employees, as well as tailored Committee meeting is reported to the Group
classroom training for higher-risk teams; and ExCo. The key actions are documented for the
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Risk Response
High-risk markets We undertake biennial risk assessments in each of our local operating companies and at Group level
We operate in a number of countries where there is a heightened risk of bribery and corruption. so we can understand and limit our exposure to risk. The principal risk categories are included below.
Business acquisition and integration Our due diligence process before any decisions to acquire, or merge with, another entity takes into
When we acquire or merge with another entity, we risk inheriting its potential bribery and corruption account its current and past anti-bribery and corruption processes and performance. Red flags
risks. These may persist if we do not identify and promptly address them. identified during the due diligence are reviewed and assessed. Following any acquisition, we implement
our anti-bribery programme.
Spectrum licensing We encourage governments and regulators to release spectrum to the market through competitive,
Communications operators require access to sufficient radio spectrum to deliver mobile and some transparent and well-managed auctions. A specialist policy team oversees our participation in all
fixed-line services. Spectrum is a limited sovereign resource and therefore valuable. Whenever negotiations and auctions to reduce the risk of attempted bribery. We provide appropriate training
governments allocate spectrum to operators there is a risk of bribery. and guidance for employees who interact with government officials on spectrum matters. We have
also published our ‘Spectrum policy in emerging markets’ report, which provides further support for
employees in these markets.
Building and upgrading networks Our anti-bribery policy makes it clear that we never offer any form of inducement to secure a permit,
Communications networks are infrastructure intensive. They require access to, and leasehold lease or access to a site. We regularly remind all employees and contractors in network roles of this
arrangements on, both public and private land. We currently have more than 164,000 mobile base- prohibition, through tailored training sessions and communications.
station sites across multiple countries, and ensuring we can maintain and upgrade them requires
constant engagement with landowners, community leaders and municipal authorities.
This engagement must be undertaken in compliance with our anti-bribery policy.
Working with third parties Everyone who works for or on behalf of Vodafone, including suppliers and other relevant third
Our supply chain is complex, involving more than 10,800 vendors, contractors and sub-contractors. parties, must comply with the business principles set out in our Code of Conduct and Code of Ethical
As a result, there is a risk of improper conduct when third-party services are procured and delivered, Purchasing. Select high-risk third parties are trained to ensure awareness of our zero-tolerance policy.
particularly in countries where corruption is endemic. We screen our potential suppliers for anti-bribery compliance and ensure they understand our anti-
bribery policy. We regularly remind current suppliers of our policy requirements and complete detailed
compliance assessments across a sample of higher-value and higher-risk suppliers.
Winning and retaining business In addition to the mandatory anti-bribery and corruption training completed by all Vodafone
Vodafone Business accounts for around 30% of our global revenues. We serve some of the world’s employees, we provide mandatory targeted training for our Vodafone Business and Partner Markets
largest companies and public sector organisations. Competitive tenders are how Vodafone Business sales teams and other employees in higher-risk roles. In addition, we also maintain and monitor a global
contracts are appointed and there is a risk that improper inducements may be sought or offered register of gifts and hospitality to ensure that inappropriate offers are neither accepted nor extended by
by either party. Vodafone also partners with local operators across the world, with alliances with 28 our employees.
partners in over 41 countries.
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Engaging employees to raise In most instances, employees feel comfortable Engaging civil society
awareness of bribery risk about raising concerns with a line manager or We want to play our part in tackling bribery and
Every Vodafone employee has an obligation human resources colleague. However, they corruption along with other stakeholders who
to help us address the risk of bribery and can also use a confidential third-party hotline, share our concerns and standards. We play an
corruption. To ensure our employees understand accessible in their local language online or by active role in the Transparency International
how they can each play a part, we run a high- telephone. Speak Up operates under a non- Business Integrity Forum and the Institute of
profile communications programme, Doing retaliatory policy, meaning that everyone Business Ethics.
What’s Right. This uses a range of materials to who raises a concern in good faith is treated
highlight some of the most common compliance fairly, with no negative consequences for their
challenges facing employees, including handling employment with Vodafone, regardless of the
outcome of any subsequent investigation. Supporting a compliance culture in Lesotho
personal data, accepting gifts and conflicts of
In October 2018, Vodacom Lesotho held Lesotho, non-governmental organisations
interests. The global campaign makes use of Senior executives review every Speak Up report its first Annual Compliance Forum, with and local media.
multiple communication channels to engage and the Group Risk and Compliance Committee the objective to create a platform for
with employees and raise awareness and reviews the whole programme. This year, 738 To demonstrate the importance of the topic
sharing experiences on compliance issues
understanding of the policy, including digital separate concerns were reported using Speak for Vodacom Lesotho, members of our
such as anti-bribery, anti-corruption,
news articles, games and quizzes. Up on a wide range of issues (though only a local executive committee participated in a
anti-money laundering and ethical
very small fraction were related to bribery and number of different panel discussions during
The Doing What’s Right programme also features leadership. Attendees at the Forum included
corruption). In our latest Global People Survey, the day including sharing our approach to
e-learning training, which includes a specific representatives from the government
84% of respondents said they would use Speak mitigate risks associated with bribery, privacy
anti-bribery module and uses gamification to (including the Minister of Communications),
Up to report unethical behaviour of any kind. and money laundering.
enhance the learning experience. To date, over other businesses, the Central Bank of
90% of active employees around the world have Engaging suppliers and third parties
completed the e-learning training1. In addition,
Through their contracts with us, our suppliers,
for higher-risk employees, such as those working
partners and other third parties make a
in procurement, network operations, Vodafone
commitment to implement and maintain
Business sales and government relations,
proportionate and effective anti-bribery
tailored face-to-face training programmes are
compliance measures. Every year, we review the
used to cover relevant scenarios.
anti-bribery controls put in place by a sample of
Training in our Code of Conduct is incorporated suppliers. We do this in collaboration with them
into our standard induction processes for new to ensure they understand what we expect, and
recruits and all employees compete refresher to enable us to share best practice with them.
training every two to three years. This also gives us the opportunity to learn from
our suppliers’ experiences in this area.
Speak Up
All Vodafone employees are encouraged to If our review highlights inadequacies, and
report any suspected breaches of our Code of assuming there is no immediate risk of improper
Conduct as soon as possible. We call our process conduct, we support the supplier involved to
for this Speak Up, and we make it as easy to use improve their practices and to ensure that these
as we can for any kind of employee concern. inadequacies are corrected appropriately.
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Our approach to political engagement


At Vodafone, everyone who works for and – the operating challenges that arise meetings by senior individuals from within and create better-quality services for customers
with us must follow rules designed to reduce from obligations specified under the our businesses. across Europe.
the risk of improper behaviour and the telecommunications licences awarded
When our interests are represented by a third This year Vodafone engaged with EU institutions
perception of such behaviour (even when this by governments, which we must operate
party in a public policy or political meeting with on the main issues relating to the Digital
has not actually occurred) in dealings with lawfully;
no Vodafone executive present, the third party Single Market, in particular when it comes to
politicians, civil servants, regulators, advisors
– proposed legislation or new or amended must comply with internal political engagement infrastructure regulation, platform regulation,
and others involved regarding policy or
regulations that would affect how we operate processes and approval mechanisms. We also cyber security and privacy. Examples include
government operations.
or would have an effect on our customers’ maintain an internal register of any external the following legislative proposals:
Vodafone’s Code of Conduct has specific rules experience; parties who engage in policy discussions on
– the European Electronic Communications
regarding gifts, hospitality and sponsorship our behalf.
– spectrum matters; Code, finalised in summer 2018, which
involving politicians and government officials
and states that no political donations can be – provision of communications services by
Offers of hospitality for government provides the regulatory framework for all
made. It also clearly states that Vodafone may Vodafone as a major supplier to government representatives electronic communications networks and
When appropriate, we may invite government services across the EU;
not intervene in party political matters. We bodies and other public sector customers;
review relationships with government officials representatives to business meals or a hospitality – the ePrivacy Regulation, which is still under
– security matters, particularly those focused event. We apply internal governance rules to
in our supplier on-boarding due diligence negotiation and covers confidentiality of
on Vodafone’s role as an operator of critical invitations of this kind and those rules in our
processes. We also provide specific anti-bribery communications;
national infrastructure; global Code of Conduct are strictly enforced.
and corruption training to employees whose
– the Platform-to-Business Regulation,
roles involve interacting with policymakers – privacy and data protection matters Where a regulatory decision relating specifically concluded in early 2019, which strengthens
and advisors. (discussed in detail in our Digital Rights and to our business is under consideration or the fairness and transparency obligations of
Freedoms Reporting Centre); imminent, we expressly prohibit gifts and
Everyone must also abide by the rules platforms; and
governing political activity conducted in a – online child protection and the digital rights hospitality of any kind to any parties involved
in making that decision. We also stipulate that – the Cybersecurity Act, which creates a
personal capacity, as articulated in our Code of of the child (referred to in detail in our Digital
every gift or offer of hospitality for a government new EU-wide cyber security certification
Conduct. Employees cannot use any Vodafone Rights and Freedoms Reporting Centre);
representative, or sponsorship with government framework.
resources – from communications services
and meeting rooms to their own working time – financial inclusion and mobile money over the value of €100, must be approved (prior The Brexit negotiations were also a topic
– to provide support for any political campaign, services such as the M-Pesa service; and to acceptance) by our Group External Affairs of engagement for Vodafone in Brussels.
political party, political candidate or any – industrial policy and the growth of the IoT, Director, who is a member of the Vodafone We disclose these political activities and
affiliated organisation. including the development of intelligent Group ExCo. related expenditure, as mandated, through
networking across a wide variety of Engaging with the EU institutional the EU Transparency Register.
Why and how we engage politically
devices, services and processes in the stakeholders
Interactions with ministers, opposition home and workplace.
politicians, elected representatives, civil We actively engage with all EU institutions on
servants and independent statutory bodies, While we do use external political consultancies the future of the digital economy in Europe,
such as regulators and political or sector for internal advisory support and back-office including the Digital Single Market.
specialist advisors, are an essential part of activity such as monitoring of parliamentary As a company with significant businesses in
managing our businesses around the world. debates, wherever possible, our strong 12 EU Member States, we believe we have the
Our discussions may include: preference is to ensure that Vodafone is expertise and experience to comment on policy
represented in public policy and political initiatives intended to drive economic growth
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Political engagement in Africa, – a parliamentary inquiry on telecoms and


Middle East and Asia-Pacific (AMAP) draft national broadband strategy in Kenya;
During the year, in Vodafone’s AMAP region, – the Vision 2030 ICT strategy in Egypt;
Vodafone engaged with governments and
regulators on a number of topics, including – a regulatory application for the merger of
national ICT strategies, communications Vodafone Hutchinson and TPG, and a 5G
legislation consultations, spectrum policy, auction in Australia; and
data, security, net neutrality, payments, SIM – new communications legislation in
registration and consumer issues. This was New Zealand.
mainly done through policy, legislative and
regulatory consultation and decision-making Hiring former public servants
processes conducted by such authorities in Vodafone recognises that potential (or perceived
accordance with the applicable law. Examples potential) conflicts of interest can arise
of engagement during the year included: when Vodafone or its subsidiaries hire people
whose most recent prior employment was in
– supporting regulatory approvals for the
a government or other public sector role. The
merger between Vodafone India and Idea
potential for a perceived or actual conflict of
Cellular in August 2018, and Vodafone Idea
interest is particularly acute if the individual is
rights issue in April 2019;
employed subsequently by Vodafone to work
– the new National Digital Communications on projects that are directly relevant to their
Policy issued by the Indian government in previous role.
September 2018; We believe that every individual should be free
– the Electronic Communications Amendment to apply their skills – and choose who they work
Act Bill and ministerial policy directions on for – as they see fit. However, we also believe
the wholesale open access network and it is important to have rules in place to ensure
high-demand spectrum assignment in that former government or other public sector
South Africa; employees do not have undue influence over,
or inappropriate levels of access to, their former
– a priority markets review and data pricing colleagues on relevant issues.
inquiry by South Africa’s communications
Our Revolving Doors Statement provides a
and competition regulators respectively;
mandatory global approach that prohibits former
– radio spectrum auctions in Tanzania (July government or other public sector employees
2018) and Mozambique (October 2018); from working on projects for Vodafone that are
relevant to their former role, from engaging
– Mozambique 2G and 3G service licence directly with any former colleagues, or from
renewals in July 2018; interacting directly with departments or other
– the Communications Bill and 4G licence bodies with which they worked in their previous
application in the Democratic Republic role. This formal ‘cooling-off’ period lasts a
of Congo; minimum of six months or for the duration of
any local market government or public sector
‘purdah’ rules, whichever is the longer, and
1 This rate excludes employees in Germany due to local works councils restrictions.
applies to all employees at all levels.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 53

Supply chain integrity Safety Human rights Anti-bribery and corruption and political engagement Privacy and cyber security Mobiles, masts and health

Privacy and cyber security


Vodafone has strict governance 1. Privacy Management Policy to provide law enforcement assistance
processes and controls in place to This policy sets out the resources and to government agencies and authorities, A globally consistent
privacy risk control processes that must through either lawful interception or approach to privacy
protect our customers’ personal data, be in place in each of our local markets to retention of communications data.
respect their privacy and proactively ensure compliance with applicable local
Vodafone’s privacy programme applies a
manage the cyber security risks that Our Digital Rights and Freedoms Reporting global, high standard to managing privacy
data protection and privacy laws and with
Centre contains additional information challenges irrespective of whether there
face businesses today. Vodafone’s privacy programme.
related to the protection of our customers’ are local data protection or privacy laws.
Our commitment to privacy and security is a 2. Law Enforcement Assistance Policy privacy, in our privacy disclosure, and the
Managed across Vodafone markets
vital part of our responsibility to our customers This policy addresses the balance between actions of government agencies and
both inside and outside the European
and is central to our Code of Conduct that our customers’ right to privacy and freedom authorities to ensure public safety, in our
Economic Area, Vodafone’s privacy
everyone who works for us and on our behalf of expression and the statutory requirements law enforcement disclosures.
management policy is based on the
must follow.
European Union General Data Protection
This chapter contains information on our privacy Regulation.
Our privacy programme is underpinned by 10 privacy ‘commandments’ that go beyond legal
and cyber security programmes and the policies
compliance and drive how we develop and operate our products and services in a way that Vodafone’s privacy management policy
that govern how we collect, use, manage and
respects our customers’ privacy and the trust they place in us: sets a framework within which local data
protect our customers’ personal data.
protection and privacy laws are respected,
Design for privacy Manage data carefully
Privacy and sets a baseline for those markets
Incorporate privacy and security into Maintain data quality, delete
We believe that everyone has a right to privacy, where there are no such specific legal
the design of products and services, unnecessary or outdated data and
wherever they live in the world. That is why requirements.
and manage risks. do not take unnecessary copies.
Vodafone applies a global approach to
managing privacy. Collect relevant data Respect individual rights
Only collect and process data that Design products to allow individuals to
We know that respecting our customers’ privacy is necessary and relevant for the exercise their right to access, request
is essential to maintaining their trust in our purposes for which it was collected. deletion and portability.
business. Managing privacy risks effectively
– and putting customers in control of their Protect confidentiality No unauthorised disclosures
data – is core to our approach. Our privacy Protect confidentiality of Do not disclose personal data to
programme governs how we collect, use and communications and sensitive unauthorised bodies and make sure
manage our customers’ personal data to make personal information. suppliers comply with Vodafone’s
sure we respect the confidentiality of their privacy and security requirements.
Provide a privacy notice
communications and any choices that they have Provide a clear, transparent and Secure data
made regarding the use of their data. understandable privacy notice. Apply technical and organisational
Privacy policies controls against unauthorised access,
Provide choices
use, disclosure or loss.
Two privacy policies underpin Vodafone’s Obtain and manage necessary
programme and approach and help to permissions when using the content of Protect children’s privacy
make sure we address specific areas of high communications, traffic data, location Protect children’s data and, where
privacy risk. The Group ExCo oversees the data and marketing and analytics. necessary, acquire parental consents.
implementation of these policies.
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Cyber security We also run global awareness campaigns. In


Outlining our approach to privacy: identified and mitigated. Detailed personal Using a combination of fixed, mobile and cloud and 2019, we launched the Vodafone Cyber Code
data processing registers and data-retention hosting services, we provide high-quality, reliable (see page 55), which has been designed to
Our privacy approach is governed by an
practices are maintained and updated and secure networks that are relied on by our simplify and explain the basic security controls
unwavering respect for an individual’s right
continuously. Our supplier compliance customers around the world. Our approach to cyber to all employees. Embedded in our Code of
to privacy. From ownership and oversight by
processes mean we only appoint suppliers and information security makes sure our processes, Conduct, the Cyber Code is the cornerstone of
senior management to robust assurance,
that meet our privacy standards. procedures, programmes and people safeguard the how we expect all employees to behave when it
elements include:
security and privacy of our customers’ information comes to best practice in cyber security.
Accountability Transparency
Our privacy notices provide straightforward, across Vodafone. Our security controls are layered Our vision is a secure digital future for our
A member of the Group ExCo oversees and integrated by design.
easy to understand and relevant information customers, which is why we employ people with
Vodafone’s privacy programme. A global
to our employees and customers. Our Risk management is central to our approach and specialised cyber security expertise around the
privacy officer, ultimately reporting to
permission management platforms enable our is fundamental to maintaining the security of our world. This vision drives a focus on protecting our
ExCo, manages the programme at Group
customers to control how Vodafone uses their services across every aspect of our business. To services, products, systems and data via a single
level. At a local level, accountability for the
data. We also publish extensive information help us identify and manage emerging risks, we and integrated cyber security programme, in
implementation of the privacy programme
about our approach to managing governments assess our business strategy, new technologies, order to maintain the security of our customers’
sits with the local operating company. Each
requests for access to customer data. government policies and regulation and cyber privacy and personal information.
market has a local ExCo-level owner and a
privacy officer tasked with implementing the Human-centred decision making threats. We conduct regular reviews of the most Cyber security policies
programme locally, with a dotted line to the Big data analytics use cases are subject to significant security risks affecting our business Vodafone’s approach to cyber security is
global privacy officer. privacy and ethics reviews to identify and and develop strategies to detect, prevent and underpinned by a portfolio of policy principles
mitigate possible privacy or data ethics respond to them. that include the following.
Group and local operating companies each
have a privacy steering committee that challenges. Data scientists sign up to our Code Building on best practise from a range of – Doing what is right when using Vodafone
brings together privacy and security teams, of Ethics for Analysts before they are given expert organisations and initiatives from information and equipment in order to
and a senior person from each of the relevant access to our analytics platform. When we around the world, our cyber security policies protect ourselves, our company and, most
business departments (e.g. commercial, are required to balance the right to privacy and programmes are applied across our entire importantly, our customers.
technology, HR and finance). Detailed against other obligations in support of a free telecoms network and IT systems. Against these
key performance indicators are reported and secure society, we work to minimise policies and programmes the principles of the – 
Making sure that we, and anyone we manage,
regularly to senior management. privacy impacts. ISO 27001 standard are applied, to which our only have access to the information and
core data centres and networks are certified. assets we require in order to perform our
Assurance Engagement
roles.
Each Vodafone entity has numerous systems We actively engage with stakeholders, Our security systems and processes are
for processing personal data and all high-risk including civil society, academic institutions, continually updated and monitored to prevent, – Securing our information and systems at
processes are subject to regular testing. New industry and government, in order to share detect, deter and respond to cyber threats. We least as strongly in the cloud as we do on-
products, services and operations undergo our expertise and best practices with others, invest in our technologies and embed security premise.
privacy by design and assurance processes to contribute to the discussions that shape into all of our products and services from the – Reporting any suspected malicious or
to make sure that possible privacy risks are public policy and to learn from others. outset. We test our mobile network security unauthorised activity through local or
controls with an independent third party to make Group security teams so this can be managed
sure they are effective. and remediated.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 55

Supply chain integrity Safety Human rights Anti-bribery and corruption and political engagement Privacy and cyber security Mobiles, masts and health

– Considering the content of all information


we handle, labelling the information with the Elements of our cyber security Network Vodafone Cyber Code
correct classification and applying protection approach: Our focus has been to secure our existing
according to the classification level. 2G, 3G and 4G network and systems, and Always use multi-factor
Our cyber security approach focuses on authentication for remote
minimising the risk of cyber incidents that we independently test the security of our
– 
Making sure that anyone physically systems that hold sensitive
affect our networks and services. We take a networks every year. With the launch of 5G
accessing our property is authorised information.
multi-layered approach to security to keep taking place in Europe this year, we are working
to do so.
our employee and customer information safe. to deploy 5G securely by building on our 4G
– Considering and integrating security into We implement controls that prevent attackers experience. With greater security by design Never allow unsupported
all new/updated projects, processes or from gaining access through our perimeter, features, 5G will offer a similar or better level end-of-life systems in
technology with which we are involved. and also protect our internal network, of protection than equivalent features in 4G Vodafone infrastructure,
applications and data with specific measures when it comes to protecting customers from or release insecure products
– Being aware of any risks to the information
including encryption and restricting access. interception, impersonation and location or services.
and systems we use, and working in a way
Our approach includes: tracking.
that minimises this risk.
Defence Security by design Always apply the latest
– Holding our suppliers to the same policies
No organisation will ever be immune to We apply our security policy, including security patches, close critical
for protecting Vodafone information as the
cyber attacks. A key part of a strong cyber technical and procedural standards, wherever and high vulnerabilities and
ones to which we hold ourselves. Making sure
security programme is the ability to prevent we build and deploy new solutions (security configure systems securely.
we work with technology and security teams
the majority of attacks and quickly detect by design). For secure IoT solutions, Vodafone
to identify the requirements that apply to
and respond to attacker activity. Vodafone has helped establish the GSMA IoT Security
each supplier. Never click on links
faces threats similar to any large company Guidelines, and the accompanying self-
– 
Implementing strong general security assessment scheme. Where we work with or download without knowing
that holds customer data. However, there
practices to: partners or third parties to build and deploy who it is from. Report
are also specific threats that relate to the
IoT solutions, we advocate the approach suspicious behaviour.
- capture and monitor activity logs telecommunications industry and different
geographic locations. We build our networks taken and co-developed between Vodafone
to identify malicious or unauthorised and Consumers International, as seen in their
behaviour; to defend against attack so our customers Always remove access when
can trust that our networks are secure, fast publication of the Consumer IoT Trust by staff change roles or leave
- apply patches to remediate vulnerabilities and high quality. We also make sure we build Design Guidelines. Vodafone. Secure privileged
and keep software up to date; diversity into our networks and services to Engagement access and only use it for
- configure systems in a way that reduces avoid reliance on any one supplier. We actively engage with stakeholders, privileged tasks.
security risks, e.g. by carrying out hardening Workforce user controls including civil society, academic institutions,
or installing anti-malware tools; and We apply user controls to our whole workforce. industry and government, in order to protect Never share or reuse
This includes data loss prevention, anti- Vodafone, respond to cyber threats and work your passwords.
- secure the connections between systems, together to share best practice. Given our
both internally and externally, to protect malware, endpoint protection and detection, Longer is stronger.
building security and phishing protection. expertise and extensive experience, we also
communications from unauthorised access engage with a wide range of organisations
or modification. Our Cyber Code helps to drive the appropriate
employee culture and highlights the to help improve the understanding of cyber
Always classify, label
behaviours they need to display in order to security thinking and practice, and contribute
and protect information
support our cyber security programme. to public policy, defence operations, technical
you work with.
standards, information sharing and analysis,
risk assessment and governance.
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Mobiles, masts and health


The health and safety of our Health Organization (WHO). These guidelines It is important to note that the frequencies
customers, the wider public, our are science based and include substantial safety proposed for 5G are covered by existing
margins. They are regularly reviewed and reflect international and national RF-EMF exposure
employees and our contractors is decades of research. guidelines. These international guidelines
an absolute priority for Vodafone. are based on extensive reviews of published
In 2018, ICNIRP concluded a review of the
Mobile devices use radio waves to send and scientific research. They apply to 5G just as they
EMF-related science published since its last
receive calls and data from a network of do to existing 2G, 3G and 4G technologies and
exposure guidelines were produced (in 1998).
base stations. These radio waves are a type other radio frequencies such as radio and
In its draft, published for public consultation
of electromagnetic field (EMF). They occur TV transmissions.
in July 2018, it makes recommendations to
naturally or are produced from man-made account for new types of exposure scenarios and A number of national government health
sources and are around us all the time. They improved scientific assessment accuracy. Based advisory bodies (in Germany, Finland, Norway
are produced by any electrical appliance on the conclusions of many independent expert and the UK) have reviewed the science relating
connecting to the mains power supply and reviews, it remains the case that no health risk to 5G and published statements. These state:
switched on. Most experts agree that there has been established for mobile devices or base
is no evidence that mobile phones or base – ICNIRP guidelines apply up to 300 GHz, well
stations that comply with ICNIRP guidelines. The
stations adversely affect human health when beyond the maximum frequencies under
review covers all the frequencies allocated to the
operated within international science-based discussion for 5G;
delivery of new 5G services. The publication of
guideline compliance limits1. the final ICNIRP guidelines following the public – electromagnetic fields from base stations will
Our vision consultation is expected in 2019. not rise significantly with the introduction of
5G. Overall exposure is expected to remain
Vodafone’s vision is to lead within the industry Vodafone complies with national regulations in
low in relation to the guidelines and so there
in responding to public concerns about mobile all markets and will continue to do so across the
are no consequences for public health; and
phones, masts and health, by demonstrating range of new devices for 5G, new radio masts
leading-edge practices and encouraging and small cells. Despite the current scientific – as long as the levels set by ICNIRP are
others to follow. Through our Group-wide risk consensus, we recognise that some people are adhered to, the overall research shows
management and compliance assessment and concerned about mobiles, masts and health. that electromagnetic fields from mobile
our local community engagement, together We always endeavour to address their concerns technology are not hazardous to
with coordinated regular best practice sharing openly and transparently through regular local human health.
through the year, we ensure that we deliver on community engagement and sharing the latest
One health authority, the German Federal Office
our commitments. research on our website.
for Radiation Protection, has recommended
International science-based guidelines 5G and EMF that more research is needed into millimetre
Our base stations and the mobile devices we With the development of 5G technology and its wave range.
supply to our customers operate according commercial launch during 2019, we have been
to the guidelines set by the International working across the industry to ensure that new
Commission on Non-Ionizing Radiation technology continues to be compliant with
Protection (ICNIRP), an independent advisory national regulations and international (ICNIRP)
body that works in collaboration with the World guidelines for EMF.
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Monitoring scientific research Every year, our Group EMF Manager conducts
We have a science-monitoring process and in-depth on-site compliance assessments in
regularly review research conducted into two local markets. This year, the visits were
mobiles, base stations and health. On our to Germany and Hungary. In Germany, the
website and in our reports, we focus on research assessments showed that all our controls were
that is designed, carried out and reported implemented correctly. The visit demonstrated
independently by experts on behalf of a national a well-established programme delivered across
or international health agency where all the relevant functions of Vodafone Germany and
published results and conclusions are subjected well supported at a senior level. In Hungary, the
to peer review. We publish links to many of those assessment showed that managers are generally
scientific research publications on the mobiles, risk conscious, routinely monitor key business
masts and health section of our Group website. areas and implement mitigation plans on a
timely basis with effective oversight. There was
National, regional and international research one remedial action, which was to improve the
programmes respond to the priorities set by the procedures ensuring that only people who have
WHO, which does not undertake research itself. been EMF trained are permitted to work on site.
Ensuring that objective, well-funded research
programmes are completed is essential to fully This year, we developed and rolled out an
understand the potential risks. Consequently, e-learning course about mobiles, masts and
we contribute funds indirectly, through national health. It included a simple introduction to how
government research programmes, to some of mobiles work and provided information and tips
these independent studies. This is to make sure for our people to use when talking with friends
that the methodology, outcomes, analysis and and family about mobiles, masts and health.
publications are objective. This e-learning module is available via the
Vodafone University platform to all employees
Studies continue in this area including those and has been translated for use in Vodacom
prioritised by the WHO that monitor the health DRC, Vodacom Mozambique, Vodafone Portugal,
effects on children of their mobile use and any Vodafone Greece and Vodafone Spain. Since
health effects from long-term use of mobiles. launch, the training has been completed by
Governance and compliance over 500 employees and is also available to
partner markets, joint ventures and tower
Our Group EMF Leadership Team, chaired by the company partners.
Group Director for Health, Safety and Wellbeing,
determines our strategy on mobiles, masts and Our website provides in-depth
health and oversees compliance in our local information about mobiles, masts and
markets. The team meets regularly and health, including links to independent
reported twice this year to the Vodafone Group scientific research.
Plc Board about developments in science, policy
and compliance.

1 I nternational guidelines set by ICNIRP were incorporated into the Council Recommendation of 12 July 1999 on the limitation of exposure of the
general public to electromagnetic fields (0 Hz to 300 GHz).
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 58

Developing skills and capability Building a diverse and inclusive business Wellbeing Managing change and reorganisations

Our people
We employ around 92,000 people and work with over
10,000 contractors globally. Our business performance
and our customers’ experience depend on our ability to
attract, develop and retain talented individuals at all levels.

Our people are fundamental to every aspect of our


Vodafone strategy and are committed to delivering
a superior network performance and providing
exceptional customer experience.
This chapter outlines our approach to supporting
our employees through developing skills and
capability, building a diverse and inclusive business,
supporting wellbeing and managing change.

Developing skills and capability 60


Building a diverse and inclusive business61
Wellbeing63
Managing change and reorganisations 64
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 59

Developing skills and capability Building a diverse and inclusive business Wellbeing Managing change and reorganisations

Our people
We strive to create an open, diverse Employee engagement Vodafone’s Global People Survey results (%)
and inclusive environment in which Every year, we run our online Global People
2018 2019*
all employees feel equally valued and Survey across our entire workforce to help
understand that ethical conduct is us to assess our employees’ concerns and Overall response rate 85 87
aspirations. It is anonymous, confidential and
critical to our business success. conducted by a third-party provider. Our senior Employee Engagement Index 79 80
We are very clear about the behaviours we leadership team uses it to identify shortcomings Manager Index 80 82
expect from everyone who works for Vodafone. highlighted by employees and to plan remedial
These are defined by our global policies and action. Managers and their teams also discuss Engagement and values
set out in our Business Principles and Code of and implement changes based on the findings. I am proud to work for Vodafone 83 85
Conduct. They are also reinforced in The Digital
This year, 87% of our employees responded: a Vodafone is socially responsible 83 85
Vodafone Way, the guidance we provide to all our two percentage point decrease on the previous
employees on how they should behave in order
year. The 2019 survey demonstrated that 85% of Training
to ensure Vodafone is admired and respected
employees who responded are proud to work for
by our customers and by society as a whole. I have opportunities to learn the skills 77 80
Vodafone. The overall Engagement Index score and knowledge I need to do my job well
Speed, simplicity and trust remain our three
– demonstrating employees’ desire to continue
core principles. Diversity and inclusion
working with Vodafone and their inclination to
recommend us as an employer – increased by
Employee statistics* People in my team are treated 85 90
one percentage point this year, to 80%. fairly regardless of their age, gender,
2017 2018 2019 disability, sexual orientation, cultural
Respondents were also asked for their views background or beliefs
Average number 92,200 91,980 92,005 of their individual line managers. The resulting
of employees Manager Index score also remained high, at 82%, People have an equal opportunity to 78 82
and 88% of employees said they felt they are succeed at Vodafone, regardless of their
Part-time employees 8,310 7,979 7,560 age, gender, disability, sexual orientation,
treated with respect as an individual.
cultural background or beliefs
Total number of 12,378 11,644 12,339
voluntary leavers I am treated with respect as an individual 85 88

Total number of 4,225 3,912 3,680 I feel able to be myself at work 83 87


involuntary leavers
I am comfortable expressing my views and 80 83
Newly hired 16,380 14,837 17,276 opinions at work
employees
Health, safety and wellbeing
Average turnover 18% 17% 17%
rate (%) The Absolute Rules for Health and safety 88 89
are taken seriously at Vodafone
* 2017 and 2018 data has been restated to exclude employees from our
joint ventures in the Netherlands and India, and Vodafone Qatar which My manager takes genuine interest in the 83 84
was sold in March 2018. wellbeing of his/her employees
* The survey was conducted in October 2018.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 60

Developing skills and capability Building a diverse and inclusive business Wellbeing Managing change and reorganisations

Developing skills and capability


Our industry is evolving at great speed. Equipping our people with the right skills Developing digital leaders world came together in locations throughout the
New platforms and technologies are Building our employees’ skills through Clear, effective and flexible leadership is critical Vodafone footprint, listening to industry experts
and Vodafone leaders and working together to
driving demand in artificial intelligence continuous development programmes is to our business success. All of our leaders, from
fine-tune their capabilities to become the senior
machine learning, cloud computing an essential component of driving business the supervisor early in their career to the most
performance, and this year we invested more senior global executive, are expected to serve as leaders that Vodafone needs for the future.
and data analytics. This means we than €60 million in learning and development. positive role models for their teams. Engaging our employees on our policies
need to look continuously at what Our programmes take many forms, from
critical skills our people need to have This year we identified the key shifts that Everyone who works with us makes a formal
structured learning and formal training, to
leaders need to make in order to lead effectively commitment to follow our Code of Conduct at
to ensure we have the organisational personal coaching and mentoring. During the
in a digital environment. With this information, all times. Our Doing What’s Right training and
capability to succeed now, and that we year, we provided an average of 20 training hours
we refreshed our global leadership communication programme is key to embedding
for every employee, with 97,300 of our people
are investing in developing the skills over the year completing at least one course on
development programmes. in our daily work a shared understanding
we will need in the future. Vodafone University, our global learning platform Our new Digital Leadership Essentials
of the Code of Conduct across Vodafone.
Throughout the year, Doing What’s Right
Last year, we launched a strategy to increase that allows our employees to access local and programme was completed by 83% of all
communications promoted different areas of our
our information technology capabilities and global learning content from any device. new managers within their first 120 days.
Code, from Speak Up, anti-bribery and privacy
rolled out programmes to ensure people adopt This programme enables new leaders to build
Our employees welcome these programmes; to competition law, security, and health and
agile ways of working so we can respond much their self-awareness and practise key techniques
in the 2019 Global People Survey, 80% of safety. Doing What’s Right training is included
more quickly to the needs of our customers. to build high-performing individuals and
employees surveyed said that they benefited in our standard induction processes for new
Over the last year, 8,500 of our employees have teams. Also this year, we launched an online
from opportunities to learn the skills they employees, and current employees complete
completed training on the agile mindset and programme in partnership with LinkedIn
needed to do their jobs well. refresher training every two to three years.
scrum methodology. There has also been an Learning to provide all our colleagues with
increased focus on building capabilities in data Throughout this year, a core focus was access to leadership development. The  Read more on our approach to increase
analytics (the ability to analyse and interpret developing digital skills across the organisation programme emphasises the importance of the number of digital opportunities
large volumes of data), application program and leadership and management skills influencing others, leading and working in provided by Vodafone to young people
interfaces, coding, robotics and automation. needed for agile and digital working. We also teams, simplifying internal processes and on page 25.
evolved our Vodafone University to enable ensuring that decisions and actions are taken
With our network being a core part of our recommendations for relevant courses based on with the customer in mind.
strategy, we are also reviewing our capabilities identified skills and launched a programme with
in this area. For example, to support the rollout We invest in leaders of the future, and this year
LinkedIn Learning, a content platform with over
of 5G, we are reskilling our engineers in data, over 60 participants engaged in our refreshed
10,000 pieces of new content.
automation and coding to help Vodafone create Inspire programme. Participants from across the
the best platform to deliver 5G services.
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Developing skills and capability Building a diverse and inclusive business Wellbeing Managing change and reorganisations

Building a diverse and inclusive business


It is fundamental that our employees in, Vodafone’s activities. This expectation, Focusing on LGBT+ inclusion LGBT+ youth
feel they belong. In our 2019 mandated in our Code of Conduct, applies We focus on creating an inclusive working This year we increased our focus on supporting
across all of our businesses, to our employees’
annual Global People Survey, 87% interactions with all individuals regardless of
environment for employees who identify the LGBT+ youth community. Vodafone
of our employees felt they were as lesbian, gay, bisexual, transgender or commissioned research to survey more than
gender, sexual orientation, gender identity, other sexual orientation and gender identity 3,000 LGBT+ young people across 15 countries
able to be themselves at work. Our disability, race, age or any other factor. categories (LGBT+). Our global executive sponsor and multiple industries. The research found that
employees should never be subject In our aspiration to become the world’s best for LGBT+, who is a member of our senior more than half (58%) of young LGBT+ people
to discrimination and 90% of our employer for women by 2025, increasing the leadership team, provides leadership on LGBT+ are not open about their sexual orientation or
employees said they felt treated fairly, proportion of women in management and inclusion and raises the profile of LGBT+ topics. gender identity at work because they worry
regardless of age, gender, disability, senior leadership roles is a core focus of our A further 20 executive sponsors from the senior they will face discrimination from managers and
global diversity and inclusion programmes. leadership team in local markets and at Group colleagues. It also found that one in three (31%)
sexual orientation, gender identity, level support their area of business. LGBT+ people admitted that they went ‘back into
cultural background or beliefs.  Read more about our goals and the closet’ when they started their first job. This
programmes to achieve our aspiration For the second year, Stonewall recognised
We expect those who work with us to conduct figure rises to 41% among 18 to 25-year-olds.
in the Women’s empowerment section Vodafone as a Top Global Employer. We also
themselves with dignity and respect in their received additional recognition in the form of To help create a culture where employees can
of this report.
dealings with customers, co-workers, partners, a Global Senior Champion Award in 2018. In be open about their sexual orientation and
suppliers, local communities and any other Also see our Gender Pay Gap Report the UK, Vodafone jumped 10 places from our gender identity, Vodafone has launched a
stakeholders affected by, or with an interest online, produced for our UK businesses. previous year’s ranking to reach position 32 in number of initiatives.
the Stonewall Top 100 Employers list this year,
Vodafone has also shared the research
Vodafone is committed to supporting LGBT+ people at work with: with the LGBT+ Friends Network also being
it conducted with a number of FTSE 100
highly commended.
companies and our suppliers, and hosted
LGBT+* inclusive messaging on job adverts and career channels Understanding our LGBT+ population roundtable discussions to encourage other
This year, for the first time, colleagues across employers to also take up these initiatives.
A global ‘buddying’ programme for LGBT+ graduates Europe, New Zealand and South Africa had the Our established global LGBT+ employee
option to provide their sexual orientation and network, LGBT+ Friends, supports managers
gender identity as part of the annual Global People and employees and connects them with active
A refreshed Code of Conduct which will support LGBT+ inclusivity
Survey. 1.3% of the population identified as lesbian networks in 14 countries.
or gay, 1.1% as bisexual and over 4% indicated that
Graduate, induction and leadership training programmes they would ‘prefer not to say’. In addition, less than During the year, we supported Pride events in
to support, retain and help attract LGBT+ employees 1% of the population identified as transgender. 15 of our local markets. Our Group Chief Executive
We believe there is an opportunity for more work also hosted a global webinar and was joined by
Toolkit for managers to create an LGBT+ inclusive workplace to be done so that our LGBT+ employees feel chief executives from 11 different markets. In
comfortable to identify themselves. addition, we participated in Spirit Day (which
highlights challenges such as bullying for young
An interactive learning programme for all accreditation LGBT+ people), holding events in nine countries.

*Lesbian, gay, bisexual, transgender and other identities


Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 62

Developing skills and capability Building a diverse and inclusive business Wellbeing Managing change and reorganisations

Increasing cultural understanding Multicultural network launch


and awareness across countries In response to feedback from our ethnic
Vodafone is a multicultural company. We employ minority community, this year we launched our
people from 131 different nationalities across Multicultural Inclusion Network at Vodafone UK
21 local markets, with members of our global and Group functions based in the UK to create
senior leader team drawn from more than 28 an internal support group for managers and
different nationalities. employees. Baroness McGregor Smith attended
the launch event on 3 October 2018, and the
We encourage our managers to broaden their
network currently has over 450 members. An
understanding of other cultures and believe they
executive sponsor and a network chair have
benefit professionally from assignments outside
been appointed, along with leads for different
their home nation. 45% of our senior leaders
locations across the UK.
have completed an international assignment at
some point during their career with Vodafone. Creating awareness about
our disabled population
Understanding our ethnically diverse
population in the UK In order to improve the inclusivity of our
approach, this year we created a digital
This year we worked to understand more
‘disABILITY’ site for all our employees, which
about the experiences of our colleagues from
provides guidelines, videos and toolkits to
ethnic minorities, particularly in the UK. With
create awareness around this topic, increase
the support of EMPower, Black and Asian
the knowledge of our colleagues and give
colleagues participated in focus groups to build
guidance on what they can do to create a more
an understanding of their experiences and what
inclusive culture. We also conducted a review
further support is needed.
of our websites to increase the accessibility for
In addition, this year the annual Vodafone our colleagues. Every year Vodafone features
Global People Survey included ethnicity as a internal and external best practices on what
demographic, asking people to declare this on markets are doing for colleagues, customers,
a voluntary basis. The survey found that of the communities or co-partners during a global
13,470 respondents from the UK (representing webinar. Over 2,800 colleagues viewed last
over 80% of the UK employee population), 11% year’s webinar, which featured personal stories
were from Black or Asian ethnic groups, and a from colleagues and showcased products that
further 4% indicated they were from mixed or Vodafone has developed to support customers
other ethnic demographics. with disabilities.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 63

Developing skills and capability Building a diverse and inclusive business Wellbeing Managing change and reorganisations

Employee wellbeing
Helping our employees to stay safe, requirements. Market wellbeing teams develop
fit and healthy is a priority for us. It initiatives tailored to local needs and share
information and best practice through our
contributes to productivity, reduces Health, Safety and Wellbeing Network. Our
absenteeism and creates an attractive global Health, Safety and Wellbeing objectives
working environment for all employees. measure employee wellbeing. Year on year,
In 2016, we launched our wellbeing framework. our annual Global People Survey question ‘My
The framework focuses on six key aspects manager takes genuine interest in the wellbeing
of wellbeing and is designed to support the of his/her employees’ achieves consistently high
development and implementation of employee scores (84% in the most recent survey).
wellbeing activities in all of our markets.
The framework is a guideline to help us to
achieve optimal wellbeing for all of our people, Supporting employees to thriVe
respecting cultures, available resources and In October 2018, we launched a new
digital web and mobile wellbeing
platform, thriVe, for employees who work
for Vodafone UK and UK-based Group
Our wellbeing framework employees. The UK launch was the first
stage in the forthcoming rollout of the
platform to all Vodafone markets. The
mobile platform provides access to a
number of health and wellness tools,
Digital Emotional & along with information and resources for
Balance Mental
people working in more remote locations.
thriVe is also available to our employees’
family and friends, encouraging
employees to engage more broadly
Physical Financial
to help motivate and support others
to maintain a healthy lifestyle. thriVe
offers a wellbeing self-assessment to
help people identify strengths and
Connections & opportunities for improvement. People
Purpose &
Community
Growth can then set goals and participate in
challenges to help drive their progress.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 64

Developing skills and capability Building a diverse and inclusive business Wellbeing Managing change and reorganisations

Managing change and reorganisations


The pace of change in technology and recruitment events. We also offer training
means that our industry is always to improve interview techniques and CV-
writing skills. Any reorganisation is conducted
evolving. Vodafone must continue in compliance with local legislation and in
to respond to the changing world to consultation with employee representatives,
remain sustainable and take advantage works councils and local unions.
of new opportunities and challenges. Supporting employees through change in Spain
Employee consultation Vodafone Spain is one of our markets where we have made a number of organisational
Over the last year, there have been a number We recognise the rights of employees to join changes during the year to support our new strategy and operating model. As part of
of organisational changes in both the global trade unions. In Europe, we also consult with the restructuring process, we reached an agreement with all eligible works council
offices and local markets. Demand for services our employees through the Vodafone European representatives and, in addition to enhanced severance packages, the collective
continues to grow exponentially, but this is not Employee Consultative Council, which meets agreement included a nine-month outplacement programme and the provision of
the case with prices, which means that Vodafone twice a year and gives employee representatives specific training for employees seeking to become entrepreneurs in the future. Both of
has had to respond to continue to compete in an opportunity to raise any concerns with our these provisions aimed at helping employees remain in the workforce once they have
all segments within our markets. In addition, our executive management team. left Vodafone.
customers demand an agile, simple and instant
relationship with us, which means that we need
a simpler organisational model that strengthens
coordination and synergies between teams.
We will continue to invest in strengthening our
business model to protect our capacity to invest
and design a more competitive organisation.
When we need to reorganise part of our business,
we engage with employees directly to discuss
the implications of the planned reorganisation
and the options available to those individuals
potentially affected by it. Proposed changes
are communicated clearly in team briefings and
(when appropriate) one-to-one meetings led by
line managers and human resources teams. Our
managers and human resources partners work
closely with teams to support them through the
change and answer any questions employees
might have.
Where proposed changes result in redundancies,
we aim to help affected employees find new
jobs, either by identifying other opportunities
within Vodafone that suit their skill set, where
appropriate, or through outplacement services
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 65

Appendix
Find out more about our governance
process, the scope of our reporting,
environmental management,
materiality and read Grant
Thornton’s Assurance Statement.

Managing and reporting


on sustainable business 66
Materiality68
Environmental management 69
Scope of reporting 70
How we report our
key performance indicators 71
Independent Limited
Assurance Report 79
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 66

Managing and reporting on sustainable business


Vodafone’s sustainable business management We publish an annual statutory Conflict
and reporting systems focus on activities Minerals Report (in line with US regulatory
and risks that are both potentially material requirements) and an annual Slavery and Human
to our business and are of greatest interest Trafficking statutory statement (in line with the
to our many and diverse stakeholders. In this requirements of the UK Modern Slavery Act
appendix to the Report, we provide an overview 2015). This year, we also published Vodafone’s
of the governance processes that underpin our second UK Gender Pay Gap Report as required
approach and summarise the methodology under the Equality Act 2010 (Gender Pay Gap
used to identify the most important business Information) Regulations 2017. These statutory
and socio-economic themes that are now at documents are available on the Sustainable
the centre of our sustainable business strategy. Business section of our website.
We report on progress against our sustainable In this appendix, we provide an overview
business strategy annually, in parallel with of our governance and our environmental
the Vodafone Group Plc Annual Report, which management approach, a summary of the
contains key highlights and progress on our scope of our sustainable business reporting,
sustainable business strategy. During the year, a list of our key performance indicators and
we also publish separate transparency reports an Assurance Statement from Grant Thornton.
on two areas of significant public debate: In addition, our Index of Conformance with
Tax and our total economic contribution to the Global Reporting Initiative (GRI) Standards
public finances and on law enforcement and can be found on our website here.
freedom of expression matters within our
Digital Rights and Freedoms Reporting Centre.
Additionally, we provide detailed information
regarding electromagnetic frequency
emissions from mobile devices and base
stations in a dedicated area of our website.

GRI Standards Index


Our 2019 Sustainable Business Report has been prepared in reference to the
GRI’s Sustainability Standards 2016. The GRI Standards allow companies to report
their material impacts for a range of economic, environmental and social issues.
 Read our 2019 GRI Standards Index
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 67

Governance core business owners within the Group’s global


senior leadership team while supporting the
Our sustainable business strategy has been
operational delivery of Vodafone’s sustainable
Sustainable business governance structure
designed to ensure close alignment between our
business goals and the maximum possible socio- business agenda in conjunction with sustainable
economic benefit achievable as a consequence business specialists in each of our local markets. Core accountabilities
of these goals. Realising that ambition requires The Group Executive Committee (ExCo) – and responsibilities
Vodafone Group Plc Board
strong corporate governance at multiple levels chaired by the Group Chief Executive – has
of our businesses. Leadership vision is critically overall accountability to the Vodafone Group – Ultimate accountability for Vodafone’s
important – so too is ensuring a commitment to Plc Board for Vodafone’s sustainable business sustainable business strategy.
effective operational implementation. performance. The Group Director of Corporate
The Group Sustainable Business team defines Affairs defines and leads Vodafone’s sustainable
CEO and Executive Committee (ExCo)
and leads Vodafone’s activity in this area. The business strategy worldwide and is responsible
strategy summarised in the Report was created for the activities of the Group Sustainable
with input and advice from a wide range of Business team. The Group Director of Corporate
stakeholders – as we explain below – and was Affairs reports to the Group External Affairs
– Sets overarching sustainable
formally approved by the Group Executive Director who is a member of the ExCo. Sustainable Business is led by Group business direction.
Committee in November 2015. The ExCo regularly reviews the progress of Corporate Affairs Director, reporting to
Group External Affairs Director (ExCo) – Responsible for sustainable business
The Vodafone Group Sustainable Business the sustainable business strategy. All external
strategy and performance.
team works with Vodafone’s local market and publications – including this Report – are
professional function teams to advance the reviewed by the Vodafone Group Disclosure
various programmes, projects and initiatives Committee. The Committee is responsible for – Implements strategy.
discussed in this Report. Implementation of ensuring the accuracy and timeliness of Group Group Sustainable Business team – Engages with and supports the business
the sustainable business strategy relies on disclosures and approves, on behalf of the Group
through Group and local market teams.
leadership within the relevant business areas Chief Executive, the controls and procedures
together with a strong partnership with the related to the release of financial and non- – Engages with key external stakeholders.
Vodafone Group Sustainable Business team. The financial information. The Vodafone Group Plc
team provides expert advice and guidance to Board receives an update on the progress of the
Group sustainable business strategy once a year.
Local
Group functions
markets
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 68

Materiality
During 2016, we conducted a materiality In designing our sustainable business strategy, Our ten priorities
assessment of our ten priorities, using the GRI we took into account factors including:
Principle of Materiality, to identify the most Digital rights including privacy, data protection and security
– insights from our engagement with
important social, economic, environmental
peers, NGOs and civil society activists and
and ethical factors of greatest relevance to
sustainable business specialists;
our businesses and to society as a whole. That Socio-economic benefits arising from our products and services
assessment was informed by the views of a wide – a review of existing and emerging issues that
range of stakeholders and, in turn, led to the are the focus of ongoing public debate in
creation of our sustainable business strategy. multiple countries; Management of supply chain risks
Understanding stakeholder views – global socio-economic trends, such as
Many people and organisations have an climate change and youth unemployment; Health and safety
interest in what we do and how we work. – a review of the issues covered in the GRI
Our stakeholders include: Standards;
Business conduct and ethics
– consumer and enterprise customers; – the priorities identified in the United Nations
– shareholders and investors; Sustainable Development Goals (SDGs); and
£
Corporate taxation and total economic contribution
– employees; – an evaluation of how the Principles of the
Blueprint Framework for Better Business
– suppliers and partners; would apply to Vodafone. Public concerns regarding electromagnetic frequency emissions
– governments and regulators; We used the Global e-Sustainability Initiative’s
– local communities; materiality tool (specifically designed for use
Employee equality and diversity
within the communications industry) to analyse
– non-governmental organisations (NGOs) these factors and then rank them in a materiality
and civil society activists; and matrix. That analysis resulted in the identification Energy consumption and greenhouse gas emissions CO2

– industry peers. of 24 issues that we considered to be the most


material, both for Vodafone and for society as a
whole. We then mapped those 24 issues against Customer relationships
the five Principles of the Blueprint Framework
for Better Business to identify ten overarching
priorities of equal impact and importance.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 69

Environmental management
All of our local markets operate environmental – the Waste Electrical and Electronic
management systems that encompass factors Equipment Directive in EU countries;
such as energy consumption, waste management – the EU’s Registration, Evaluation,
and water usage. These systems are certified to Authorisation and Restriction of Chemicals
international standard ISO 14001 in the Czech Directive; and
Republic, Greece, Portugal, Romania, South Africa,
– the EU’s Energy Efficiency Directive.
Spain and the UK.
We have a number of initiatives in place to reduce Managing waste
the energy used in our office buildings and We implement resource efficiency and waste
administrative systems, and to help our employees management programmes in all our local markets
reduce their own carbon impact. Several of in order to minimise emissions from the end-of-
our offices are LEED (Leadership in Energy and life treatment of network waste, IT equipment
Environmental Design) certified and rated on the and other office waste. Our Group policy on waste
basis of their design, construction, operation and management prioritises the reuse or recycling of
maintenance. The following Vodafone buildings unwanted equipment, safely and responsibly, to
have been awarded certification under the help keep resources in use for as long as possible,
Commercial Interiors category: extracting the maximum value from equipment
– Vodafone Spain headquarters, Germany while in use and then recovering and re-using
headquarters, office and call centre in Turkey materials before recycling them responsibly.
headquarters – platinum standard; Our electronic-waste (e-waste) impact
– Vodafone Czech Republic headquarters – includes network waste such as base station
gold standard; and equipment, air conditioning units, cables,
waste from handsets, routers, transmission This year, we have established a new goal to aim Managing water
– Vodafone Italy – gold standard for its equipment and device waste such as mobile for 100% reuse and recycling of our network Compared with businesses in other industries,
offices in Padua and silver standard for its phones, accessories and tablets. In developed waste. We have also investigated ways to improve we do not use water intensively. This year, we used
headquarters in Milan. markets, we use specialist e-waste contractors the reuse and repair of devices across our local 0.94 million m3, a decrease of 4.5% on last year.
that comply with international regulations, but in markets by assessing existing schemes across our
Compliance with environmental local markets which include: trade-in and device In South Africa, where water scarcity is a
emerging markets managing waste can be more
regulations buy-back schemes, drop-off boxes in retail stores, significant issue, Vodacom has invested in a
challenging. Access to appropriate waste facilities
Our environmental management systems are is often limited and there may be few legal freepost return envelopes and repair services to number of water efficiency initiatives to reduce
designed to ensure compliance with relevant safeguards in place to ensure that potentially encourage customers to repair or return their old water consumption. These have included
legislation in each local market as well as with hazardous substances are handled responsibly. devices and routers. planting water-wise, indigenous plants and
European regulations, including: All our local markets are required to keep records installing rainwater harvesting at Vodacom’s
In our own operations, we generated an estimated head office in Johannesburg.
– the EU’s Restriction of the Use of Certain of their e-waste equipment and to use recycling 8.5 million kg of waste and we recovered and
Hazardous Substances in Electrical and suppliers that are regulated, licensed or have recycled 93.9%. Globally, 99.5% of our network
Electronic Equipment Directive; been assessed and approved through our supplier waste was sent for reuse and recycling.
qualification processes.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 70

Scope of reporting
Performance data included in the scope of – countries in which we are required to hold Vodafone Foundation Setting revised baselines after
this Report: an operating licence in order to provide local Within this Report, we highlight some of the acquisitions, disposals and changes
customer support to multinational enterprise activities of Vodafone Foundation as these in operational control
– our operating companies in 21 countries
customers but where we neither own nor complement much of the Group’s sustainable The inclusion or exclusion of data from business
where we have operational control: Albania,
operate any licensed telecommunications business strategy. However, Vodafone units that have been acquired or sold, or where
Czech Republic, Egypt, Germany, Ghana,
network infrastructure; and Foundation’s activities overall are not within there is change in operational control (for
Greece, Hungary, Ireland, Italy, Malta,
New Zealand, Portugal, Romania, Spain, – retail stores that are Vodafone-branded the scope of this Report. Vodafone Foundation example, through a merger), is determined by the
Turkey, the UK, Vodacom in South Africa by way of franchise and exclusive dealer supports projects around the world that are run date that the transaction in question is formally
and Vodacom Group’s subsidiaries in the arrangements but are not owned or operated in partnership with charitable organisations concluded with all approvals received.
Democratic Republic of Congo (DRC), by Vodafone. and NGOs. Vodafone Foundation is a UK
registered charity (1089625) and receives Our policy on environmental data reporting is to
Lesotho, Mozambique and Tanzania; and include performance data from newly acquired
Exceptions: annual contributions from Vodafone Group Plc.
– operations under Vodafone Global Enterprise Through its Connecting for Good programme, businesses at the end of their first full year of
– our M-Pesa customer numbers and our new ownership. In terms of setting a revised
and Vodafone Group Services. Vodafone Foundation leverages the technology
50 million women emerging market target, baseline to reflect acquisitions, disposals or a
Performance data excluded from the scope of which both include our associate Safaricom in and expertise within Vodafone to maximise
its charitable impact. Vodafone Foundation’s change of control, our policy is that:
this Report: Kenya and Vodafone customers in India (data
from Vodafone India is taken from August independence is key to its ability to work – acquisitions are built into the baseline using
– joint ventures where Vodafone does not have globally with a wide range of partners to meet its either actual or estimated data at the end of
2018, prior to the merger of this business with
operational control: VodafoneZiggo in the charitable objectives. Vodafone Foundation also their first full year as a controlled subsidiary;
Idea to create Vodafone Idea. We are working
Netherlands, Vodafone Hutchinson Australia, sits at the centre of a network of 27 local social
on appropriate methodology to account for – disposals are removed from the baseline in
Vodafone Idea and Indus Towers in India and investment programmes, referred to as the
the change in the business going forward); the year of disposal; and
our associate Safaricom in Kenya; local foundations. Vodafone Foundation has a
– our safety performance numbers include funding partnership with these local foundations – any identified errors >1% of the Group total
– Partner Market networks in which Vodafone
data from India up until 1 September 2018. to provide public benefit by investing in are re-baselined wherever possible.
neither has any equity interests nor holds an
operating licence, including those Partner Any additional exclusions are noted in the text. programmes that support communities in
Vodafone’s operating countries. Trade mark notice
Markets that operate under the Vodafone
On 31 August 2018, Vodafone announced the Vodafone, the Vodafone Speech Mark,
brand;
completion of the merger between Vodafone The future is exciting. Ready?, Vodacom and
India and Idea to create Vodafone Idea. Vodafone M-PESA are trade marks of Vodafone. Other
Idea is a joint venture controlled by Vodafone product and company names mentioned in
and the Aditya Birla Group. Vodafone no longer this document may be the trade marks of their
has operational control of this business, and respective owners.
therefore, Vodafone Idea is no longer included
into the Group performance data, apart from the
exceptions highlighted above.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 71

How we report our key performance indicators


This section of the Report outlines the basis of Calculation of progress against our target of Progress against the goal of bringing - the Net Promoter Score conducted across
preparation of the key performance indicators 30% women in management and leadership the benefits of mobile to an additional the Vodafone customer base in each local
(KPIs) reported in the Women’s empowerment, roles includes the diversity figures for all 50 million women in emerging markets market; and
Energy innovation, Youth skills and jobs, and management bands. by 2025 - the Vodafone brand tracking survey conducted
Supply chain integrity and safety sections of the
We also report on the percentage of female For the purposes of this goal, the definition of in each local market.
Sustainable Business Report.
management and leadership employees in our a connected woman is a SIM connection that is
estimated to belong to a female primary user. The number of women connected is then
We publish our reporting definitions and Technology function. This is calculated using
estimated by calculating the percentage of
methodology so that readers can understand data sources from two KPIs:
This goal is calculated as the number of female customers as a proportion of the total
the basis upon which the disclosures have
• the percentage of management and leadership additional connected women at the end of number of Vodafone connections in each local
been prepared and be in a position to make
females in the Technology function (comprised the ten-year target period against the initial market, aggregated across the nine countries
comparisons across different reports.
of employees from local operating companies 31 March 2016 baseline. Progress towards the listed above.
1. Women’s empowerment and Vodafone Group); and ten-year target is reported at the end of each
financial year. Given the nature of the target demographic –
Diversity performance: % of female • the percentage of management and typically, women on very low incomes in poor
employees leadership females supporting the The 50 million women target applies across nine communities – it is assumed that the very large
We report the percentage of female employees Technology function within Vodafone emerging markets where we have an operating majority will not have a mobile phone in their
across our four global employment bands: Shared Services. presence and where we believe we have the own right and, therefore, will not be customers
greatest scope to make a difference. These of competitor mobile networks. However, it is not
• senior leadership (our top approximately 200 The diversity figures are based on the number of are Egypt, Ghana, India (Vodafone customers possible to distinguish between women who are
employees) including ExCo members; employees (full-time/part-time) as at 31 March. only) and Turkey plus through our sub-Saharan new to mobile and women who already have a
• senior management (1,100–1,600 These numbers are not pro-rated. An employee subsidiary Vodacom Group, DRC, Mozambique, mobile and are switching networks.
employees); is defined as a person with an employee South Africa, Tanzania and Kenya through our
associate Safaricom. The calculation via customer survey of the
(as opposed to consultant or contractor)
• middle management (6,000–7,500 proportion of women reached is subject to
relationship with Vodafone (or its operating The process used to estimate the number of
employees); and the risks inherent to this kind of sampling and
companies), who is paid by Vodafone (or its women connected is as follows: does not distinguish between existing and new
• the non-management employees who make operating companies) through the payroll.
customers. Assumptions are therefore made
up the rest of the population. This includes graduates and people on • the total number of connections (for both
based on the entire customer population in
international assignments as well as people on male and female customers) is calculated
Each of these categories is defined through a a market.
work experience who are on the payroll or have based on the closing number of active
consistent global role-banding process overseen been at Vodafone (or an operating company) for customers at the end of each financial
by the Vodafone HR function. longer than six months. The numbers exclude year; and
pensioners and non-employees.
• the percentage of female mobile customers
is calculated using information from two
surveys over a selection of customers in
each market:
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 72

2. Youth skills and jobs of five digital job types that best suit. This data
Opportunity Sub-category Definition
Number of young people supported is collated via the use of Google analytics.
The Future Jobs Finder tool is a global online Direct hires N/A Any individual hired into full or part-time
to access digital skills, learning and
platform and as such could be completed by employment who is aged 26 or below at the
employment opportunities
anyone, and we do not actively track the age of point of joining Vodafone.
Our goal is to support 10 million young people the users who are completing the tool. As the
to access digital skills, learning and employment Workplace Work experience Offered to individuals between 14 and 19
tool is heavily targeted towards young people
opportunities by 2022. This goal incorporates experience and years of age. This is an opportunity to join
(e.g. through targeted social media campaigns),
our internal target, which is to provide 100,000 we report the total number of unique users training Vodafone for up to one month unpaid to gain
opportunities for young people to receive a who complete this step of the tool, rather than experience of the working world.
digital learning experience at Vodafone. It also segmenting the age of users. Digital learning workshops Opportunities to gain a direct digital
incorporates additional initiatives, such as the learning experience, facilitated by Vodafone.
number of people who have completed our Number of opportunities for young
people to receive a digital learning An example includes Vodafone Turkey
Future Jobs Finder tool (read more about the
tool on page 21). experience at Vodafone Foundation’s Coding Tomorrow programme
(see page 23).
The number of completions of the Future We report on the number of opportunities
we offer to young people to receive a digital #Codelikeagirl Inviting girls aged 14–18 to learn how to
Jobs Finder tool is defined as the number of
unique users who complete the first quiz in learning experience at Vodafone. This number is code through a four-day workshop
the tool, which focuses on the user’s interests broken down into five categories, each of which Apprenticeship N/A Open to individuals aged 16+ who will
and affinities and matches the results to a set is defined through consistent global guidelines join Vodafone to study for a professional
(see table on the right). qualification and work at the same time.
Internship N/A Open to individuals aged 18+, offering short-
term assignments from between one and 12
months.
Graduate N/A Our Discover programme offers graduates a
recruitment two-year placement with Vodafone, where
they will rotate across business divisions.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 73

3. Energy innovation Data gathering process and methods Scope 1 Scope 2


Overview We use an electronic data collection process to These are emissions within our direct control and These are emissions from electricity (and heat/
We report energy and greenhouse gas (GHG) gather our data. In the majority of the countries include those from: steam) purchased to power our networks,
emissions data for the following indicators: where we operate, energy usage data is based technology centres, offices and retail stores.
– diesel, petrol and other fuel used by cars and
on invoices from our energy suppliers. In some
– energy consumption by fuel source (in GWh); commercial vehicles owned by Vodafone or We report two different Scope 2 emission values:
countries, those bills are based on the supplier’s
leased for six months or more; one using a ‘location-based’ method and one
– energy consumption by type (in GWh); estimated readings.
using a ‘market-based’ method. The location-
– natural gas and other heating fuels used for
– renewable electricity consumption (as a Where data does not match our reporting period based method involves using an average
space heating and hot water in our premises;
percentage of total grid electricity); exactly – for example, where we only have 11 emissions factor that relates to the grid on
months of data – we forecast this information by – diesel and petrol used for generators in which energy consumption occurs. This usually
– Scope 1 GHG emissions (in carbon dioxide extrapolation. For sites where energy invoices off-grid areas, or where back-up capacity is relates to a country-level electricity emissions
equivalent (CO2e)); are unavailable, we estimate this information required; and factor. The market-based method applies if
– Scope 2 GHG emissions (in CO2e) using both based on typical site consumption. the company has operations in any markets
– fugitive releases of refrigerants or fire
the location and market-based methods of where energy certificates or supplier-specific
Increasingly, we measure our energy suppressants used for air-conditioning or fire
calculation; information are available. The method involves
consumption through smart metering, a control systems in network buildings and
using an emissions factor that is specific to
– Scope 3 GHG emissions (in CO2e); technology that uses mobile communications to offices.
the electricity purchased. We have reported
collect real-time consumption data from energy
– total GHG emissions Scope 1 and 2 (in CO2e); Conversion factors from the UK government’s Scope 2 figures using both the location-based
meters.
and Department for Business, Energy and Industrial and market-based methodologies.
Renewable electricity definition Strategy have been used to calculate GHG
– total GHG emissions per unit of mobile data Our figures for renewable electricity include all emissions from other fuel sources such as diesel,
(in tonnes CO2e/petabyte data). renewable electricity from third-party renewable petrol, natural gas and fuel oil as well as those
Standards and guidance suppliers which is traceable to Vodafone through from vehicles. A conversion efficiency of 30% has
a signed contract or provision of surrendered been used for diesel generators.
Our methodology for the reporting of GHG
emissions has been developed using the renewable energy certificates (RECs). The figures
following guidance and standards: exclude any renewables for which RECs have
been passed on and retired by a third party.
– GHG Protocol standards and guidance,
including the Corporate Standard, Scope 2
Guidance and Scope 3 Calculation Guidance;
– CDP guidance including the 2018 Climate
Change Responders Pack and the Technical
Note on Accounting of Scope 2 Emissions; and
– the Climate Disclosure Standards Board
Climate Change Reporting Framework.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 74

The following external factors have been used to calculate our market-based emissions. Location-based emissions Scope 3
Emissions are calculated using a kWh to CO2e With the Carbon Trust, we have conducted an in-
Local market Source Conversion factor conversion factor provided by the IEA for the depth analysis of our Scope 3 emissions. These
(kg CO2e/kWh) calendar year 2017, which was the latest dataset are indirect emissions that we do not directly
Albania International Energy Agency (IEA) available at the time of publication. control but that we may be able to influence.
Czech Republic Supplier factor and residual mix Zero and 0.614 They include emissions from our suppliers in
Market-based emissions providing us with goods and services; emissions
DRC IEA Emissions are calculated using a kWh to CO2e from our joint ventures where do we not have
Egypt IEA conversion factor based on one of the following full operational control; and emissions
Germany Supplier factors Various sources (in order of priority): associated with the use of our products
Ghana IEA – supplier conversion factors specific to our and services by our customers.
Greece IEA and residual mix 0.625 contract; these include some markets where The GHG Protocol Scope 3 Standard defines
Hungary IEA and residual mix 0.413 supplies are 100% renewable, and where 15 categories of emissions as detailed in the
this is this case, we have sought evidence of table below. We have undertaken a qualitative
Ireland Supplier factors Zero and 0.641
singularity of supply; assessment of the extent to which we can
Italy Supplier factor and residual mix Zero and 0.308
– residual mix figures for 2017 – where the influence and reduce emissions in the most
Lesotho IEA Zero and 0.465 material categories. Further details of the
conversion factor reflects the removal of
Malta Supplier factor and residual mix 0.443 and 0.661 methodology and results for each relevant
certificates, contracts and supplier-specific
Mozambique IEA factors claimed by other organisations; and category are also shown.
New Zealand Supplier factor 0.013 The estimation of Scope 3 emissions is a very
– location-based conversion factors as
Portugal Supplier factor and residual mix 0.411 and 0.383
described above. approximate process. The values given in the
Romania Supplier factors Various table are not precise and are not intended to be
South Africa IEA read as absolute figures. Rather, they provide
an indication of where the most significant
Spain Supplier factor and residual mix 0.270 and 0.446
emissions in our value chain arise and help
Tanzania IEA 1.010 and IEA us to target our action.
Turkey IEA 0.1500 and 0.3995
UK Supplier factors and residual mix 0.210, 0.281 and 0.367
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 75

GHG Protocol category What does this mean for Vodafone? Emissions Methodology for assessment Ability to influence
(million tCO2e)
Purchased goods and services; Emissions from the extraction, production and 4.0 Calculated using an environmentally extended economic input-output approach High for some suppliers, more
capital goods and services transportation of goods and services purchased by – this uses macro-economic modelling to determine the GDP value of different limited for others
Vodafone (includes capitalised goods and services). sectors of the economy, and to associate that with the GHG emissions incurred
by those sectors. At its simplest, the total GHG emissions of the sector are divided
by the total GDP value generated by the sector to produce an emission factor of
x kgCO2e/€ value. By multiplying these emission factors by the amount we
spend on goods and services in each sector, we can obtain a rough estimate of
our emissions for purchased goods and services.
Fuel and energy-related activities Emissions from the extraction, production and 0.7 Upstream fuel and energy emissions are calculated by applying emission factors Moderate
transportation of fuels and energy purchased by Vodafone produced by the UK Department for Environment, Food and Rural Affairs (DEFRA)
and not already included in Scopes 1 and 2. It includes to Vodafone fuel and energy consumption data.
emissions from electricity transmission and distribution.
Upstream transportation and distribution Not calculated as this category is not material.
Waste generated in operations Disposal and treatment of waste generated by our activities. 0.0008 Calculated by applying emission factors from DEFRA to data for waste generated High
by Vodafone ready for treatment and disposal.
Business travel Transportation of employees for business-related activities. 0.06 Calculated by applying emissions factors from DEFRA to distances travelled for High
business by different modes (air, rail and personal car).

Employee commuting Not calculated as this category is not material.


Upstream leased assets Operation of assets leased by Vodafone, including third- 0.05 Emissions have been estimated either by dividing the cost of electricity and Moderate
party network sites. This includes the relevant sites leased diesel for these sites by unit price/kWh, or by extrapolating based on the number
from tower companies in Greece (Victus), Tanzania, Ghana of leased sites and an average emission value per site obtained from Vodafone-
and the UK (CITL). owned sites.
Downstream Not calculated as this category is not material.
transportation and distribution
Processing of sold products Not relevant to Vodafone as we do not produce products for further processing.
Use of sold products Emissions from the use of goods and services sold by 2.1 Calculated by multiplying the number of products sold by the energy usage for Low
Vodafone, principally from the energy used by network that product and electricity emission factors on a country basis. The total is the
equipment, such as routers, and the energy required to sum of all values.
charge mobile devices.
End-of-life treatment of sold products Not calculated as this category is not material.
Downstream leased assets Not relevant to Vodafone as we do not have equipment or assets that we own and lease to third parties.
Downstream leased assets Not relevant to Vodafone as we do not have equipment or
assets that we own and lease to third parties.
Franchises Not calculated as this category is not material.
Investments Operation of investments not included in Scope 1 or 2 – our 6.0 For joint ventures in Australia, Kenya, India and the Netherlands, Scope 1 and 2 High
joint ventures in Australia, Kenya, India and the Netherlands. emissions are based on actuals and Scope 3 emissions are extrapolated from
Vodafone’s emissions. A percentage of emissions are reported based on our
equity share.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 76

GHG savings for customers enabled by abatement from one of our IoT smart meter
our products and services connections is 3% of annual GHG emissions from
Our Internet of Things (IoT) products and a domestic home.
services help our customers to reduce For each product and service, a unit of sale has
electricity, gas and the consumption of other been identified – for example, the number of
fuels through applications such as smart meters, smart electricity meter connections that we
road navigation systems, fleet management and have sold. This unit of measurement is then
mobile health. In each of these applications, our multiplied by the GHG abatement savings for
IoT services are providing connectivity, enabling each type of application to provide the total
our customers to reduce their GHG emissions. saving for that application. The value for each
More examples are provided in the Energy product and service category is then added
innovation section of the Report. together to give the total GHG emissions abated
To quantify the GHG savings for our customers by our technology.
enabled by our products and services, we have It should be noted that a number of suppliers
calculated – in conjunction with the Carbon will contribute to providing an IoT application
Trust – the total quantity of emissions that that enables a customer to avoid or reduce GHG
we have helped our customers to avoid. The emissions. We have not attempted to apportion
concept of the enabling effect of information emissions savings between ourselves and other
and communications technology was introduced suppliers in the value chain. We are careful in
in the SMART 2020 report, and the methodology our reporting not to claim the avoided emissions
has since been developed by the Global as our own. Instead, we are clear that we are
e-Sustainability Initiative (GeSI) and others. The one of a number of parties who have helped our
GeSI Mobile Carbon Impact Report has been customers reduce their GHG emissions. Further
used as guidance for many of our calculations, details of products and services, the mechanism
according to the Carbon Trust methodology. for abating emissions and the abatement factors
The starting point for the calculation is a used are provided in the table overleaf.
list of our products and services that help Reporting the ratio of the GHG emissions
customers avoid using energy or fuel. The full we help our customers reduce for every
list is provided in the following table. For each tonne of GHG we generate from our own
product or service, a GHG-saving mechanism operations
has been identified and quantified based on
an external study, an internal Vodafone study We report the quantity of GHG emissions that
or documented expert assumptions. For we are enabling our customers to avoid – as
example, we know that smart electricity meters calculated by the methodology laid out above –
can typically reduce a domestic customer’s as a ratio against that of our total Scope 1 and 2
electricity usage by 3% per year – so the GHG GHG emissions.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 77

IoT application Description GHG abatement mechanism GHG abatement factor


Smart metering (domestic) IoT-enabled meters, which regularly record utility Smart meters are seen as an important tool to reduce domestic utility Average electricity and gas usage reduction assumed is 3%
consumption (gas, electricity or water) and communicate the consumption and manage utility networks more efficiently. Many studies per annum1.
information back to the energy or utility company to allow have demonstrated that the installation of smart meters and associated
remote reporting. initiatives have resulted in energy consumption reductions.
Smart metering As per above but for commercial properties, which often Smart meters in commercial property provide visibility to building Average electricity and gas usage reduction assumed is
(commercial) have multiple smart meters to isolate different areas of managers as to where and when an organisation is consuming energy 16.8% per annum2.
consumption. or water. Smart meters have been shown to lead to energy savings, as
consumption can be optimised remotely.
Smart logistics and fleet management Connected telematics system that consist of an in-vehicle Connected buses can communicate with traffic light systems to prioritise Fuel saving assumed is 6%. This is applied to average annual
(bus) unit (IVU) connected to a central server. This feeds back real- bus routes, improving fuel efficiency. GPS location services can also be emissions for a bus.
time information on the GPS location of the vehicle, and may used to inform passengers of bus arrival times. Both features can help to
include other performance metrics such as fuel consumption increase bus patronage and improve emissions per passenger.
and driver performance.
Smart logistics and fleet management Connected telematics system that consist of an IVU Fleet management systems may be used for optimised routing and Fuel saving assumed is 6%. This is applied to average annual
(cars) connected to a central server. Within a car fleet this is avoiding congested areas, which directly reduces fuel consumption. emissions for a car3,4.
primarily used for satellite navigation and feedback on driver Telematics systems can offer real-time feedback to drivers on their driving
behaviour. Information may also be used for usage-based performance and behaviour. This technology is an enabler; the efficiency
insurance. gains can only be realised if the driver acts in response to the feedback.
Smart kogistics and fleet management As per above but for LGVs and HGVs. Commercial vehicle Optimised delivery and dispatch routing for goods vehicles ensures that Fuel saving assumed is between 2% and 10%, dependant
(light and heavy goods vehicles (LGVs/ applications include optimised delivery and dispatch routing, unnecessary journeys are minimised, resulting in improved fuel efficiency. on classification and application. This is applied to average
HGVs)) tracking of fuel consumption and monitoring of driver Telematics systems can offer real-time feedback to drivers on their driving annual emissions for an LGV or HGV.
performance. performance and behaviour. This technology is an enabler; the efficiency
gains can only be realised if the driver acts in response to the feedback.
Smart logistics and fleet management Connected telematics system that consists of an IVU Carbon savings are achieved by taxis having fewer miles travelled without a Fuel saving assumed is 5%. This is applied to average annual
(Taxis) connected to a central server. This is usually connected to customer, based on optimised central control and dispatch of the taxis. emissions for a taxi.
passenger mobile applications to locate and summon nearby
taxis. Multiple users may be connected to pool journeys.
Smart logistics and fleet management IoT-enabled units within smart bins communicate with waste The primary enablement mechanism is reduced journeys by waste Abatement factor of 5kgCO2e per smart bin was used5.
(smart bin) collection services to notify when they are full and prevent collection vehicles, resulting in fuel savings.
unnecessary journeys being made by waste collection
vehicles.
Street lighting IoT-enabled street lighting allows variable levels of lighting, The carbon saving is achieved by avoiding the use of street lighting when Reduction in energy consumption of street lights assumed
depending upon the time of day and extent to which people it is not necessary. Lower levels of lighting may also be used in less busy is 20%6.
are nearby. areas.

Electric vehicle (EV) charging IoT-enabled EV charging points interact with electric vehicles The use of an EV over a traditional fuel vehicle has significant carbon Annual distance driven was calculated from the charge
or driver mobile apps to direct drivers to the most appropriate savings. It is assumed each EV journey provided by the charging point provided by a charging point . The saving is the difference
EV charging point, giving drivers the confidence to carry out replaces a traditional fuel journey. in emissions for that distance between an average petrol
more journeys in EVs. vehicle and an EV7.
Healthcare Connected devices allow chronic or high-risk patients to The emissions associated with one hospital stay are avoided by allowing Assumed 42% reduction in hospital admissions8.
be monitored within their own home. This prevents excess the patient to remain at home. There are also the avoided emissions from
journeys to and from the hospital by both patients and not having to make the car journey to and from the hospital.
healthcare professionals, and frees up hospital beds.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 78

4. Supply chain integrity performance The JAC companies hold quarterly steering 5. Safety performance data Lost-time incidents
Selection process for assessment committee meetings to review progress in Safety data is collected by the local markets Lost-time incident (LTI) is the term used when
remediating shortcomings identified in JAC audits. and then shared with the Group Health, Safety a Vodafone employee is injured while carrying
Any supplier that provides a product or service to
Vodafone is screened for potential social, ethical Vodafone audits and Wellbeing team. The local market must out a work-related task and is unable to perform
and environmental risks, as defined by the Code report, record and investigate all incidents. An his or her regular duties for a complete shift or
Vodafone audits are conducted by either
of Ethical Purchasing. Existing or new suppliers incident management system is used for the period of time after the incident.
Vodafone’s internal auditors or by independent
are then selected for assessment depending on a reporting, recording, investigation and action
auditors on site at the supplier’s operation The lost-time injury rate is calculated as the
number of different risks, including the supplier’s tracking of incidents.
or factory using the JAC methodology and percentage of LTIs compared to the average
scale, the countries in which the activity takes checklists. Follow-up audits are counted as Recordable fatalities number of employees over the reporting year.
place and the nature of the activity. individual audits. We report all fatal incidents related to our
Suppliers to Vodafone who also supply two Anonymous mobile phone-based surveys operations when – after investigation and
or more other members of the Joint Audit review – we conclude that our controls were 1 
Energy Demand Report, 4 Abatement factor derived
Anonymous and confidential mobile phone- Ofgem from Smart Bin case study
Cooperation (JAC) initiative (an association of not operating as effectively as required. We also
based surveys of supplier employees and 2 
Average figure used from 5 
Abatement factor derived
telecom operators aiming to verify, assess and consider circumstances where it is reasonable a selection of case studies from Smart Bin case study
contractors are carried out by an independent
develop supply chain practices in the industry) to assume that if our controls could have varying from 7.5% to 25% 6 
Telensa city data and
survey service provider, Elevate, using see BBP Better Metering
are audited through JAC assessments. Vodafone been enhanced, the outcome may have been smart lighting
pre‑recorded questions and an interactive Toolkit and ASB Bank and
audits are typically focused on suppliers of different, including potentially preventing the Vodafone M2M smart 7 
Transport for London
voice response (IVR) system. The independent electric charging vehicle
network infrastructure products and services, incident from occurring at all. We therefore metering
provider is present on site distributing calling factsheet, 2014
Vodafone-branded consumer equipment report accidents both on our owned sites and 3 
Various published and
cards directly to groups of workers in factories unpublished studies 8 
Telehealth interventions
(such as mobile phones or set-top boxes) and also in areas that are outside our full control – reduce hospitalisation
and other work sites. The mobile phone-based indicate savings from
Vodafone Automotive IoT products. We also use for example, on public roads. We report every 5–15%, dependant on level by 55% and reduce A&E
survey figures represent the number of unique admissions by 29%. An
anonymous mobile phone-based surveys of life lost within the control definition stated of intervention. Examples
mobile phone callers registering a survey of some published sources: average figure of 42% was
workers to complement an on-site audit or as a above, irrespective of the individual’s status – A guide to Telematics, used.
response. The IVR questions are provided in
standalone assessment. whether an employee, contractor, suppliers’ Energy Saving Trust;
audio form in the workers’ local language, and Telematics Explained
employee or contractor (of any Tier) or a
Joint Audit Cooperation (JAC) their responses are captured using touch-tone
member of the public.
FIAG; and Mix Telematics
Furl Savings
assessments keypads. The service works on all mobile phones,
JAC audits are reported on a calendar-year basis including very low-cost basic devices. Where a fatal incident is under investigation
while Vodafone audits are reported on a financial by national authorities, we are typically unable
Tier to gain access to the authorities’ findings, and
year basis. The majority of JAC audits focus on
In the context of the Sustainable Business therefore, unable to conclude our internal
suppliers in Vodafone’s supply chain.
Report, a ‘Tier’ is defined as the level of investigation or include in our reporting until any
The JAC audits are conducted by independent contractual separation between Vodafone and investigations are complete. We note any fatal
auditors paid for by the JAC member companies. its suppliers downstream in the supply chain. incidents in our reporting that are still under
Reports are issued in a standard format focused Tier 1 is defined as a direct supplier to Vodafone investigation.
on verifying social, environmental and ethical with whom a contract or purchasing terms
factors. Audits that are funded and conducted by are established. Tier 2 is defined as an entity
Vodafone on behalf of the JAC initiative are not with whom a Tier 1 supplier has a contract or
reported under the total number of Vodafone relationship. Tier 3 is defined as an entity that has
audits to avoid double-counting. a contract or relationship with a Tier 2 supplier,
and so on for Tiers downstream in the supply
chain. ‘Tier’ in this context does not signify
strategic importance or segmentation.
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 79

Independent Limited Assurance Report to Vodafone Group Plc


Grant Thornton UK LLP (‘Grant Thornton’ or of reporting’ and ‘How we report our key – measuring or evaluating and presenting the We apply International Standard on Quality
‘we’) were engaged by Vodafone Group Services performance indicators’ sections (together Subject Matter Information in accordance Control (UK) 1, ‘Quality Control for Firms
Limited to provide limited assurance to Vodafone ‘the Reporting Criteria’) of the Appendix of the with the Reporting Criteria; and that Perform Audits and Reviews of Financial
Group Plc (‘Vodafone’) over the Subject Matter Report. The Subject Matter Information needs Statements, and Other Assurance and Related
– the preparation of the Report and the
Information described below for the year ended to be read and understood together with the Services Engagements’ and accordingly we
Reporting Criteria and their contents.
31 March 2019. Reporting Criteria. maintain a comprehensive system of quality
Our responsibilities control including documented policies and
Limited assurance conclusion Inherent limitations procedures regarding compliance with ethical
We are responsible for:
Based on the procedures we have performed Our procedures were designed to consider the requirements, professional standards and
and the evidence we have obtained, nothing has collation of the Subject Matter Information and – planning and performing the engagement to applicable legal and regulatory requirements.
come to our attention that causes us to believe were not designed to test the underlying market obtain limited assurance about whether the
that the Subject Matter Information has not been level data. Our procedures were conducted at Subject Matter Information has been collated Assurance standards and level
collated, in all material respects, in accordance the Vodafone Group Head Office and remotely in accordance with the Reporting Criteria; of assurance
with the Reporting Criteria. at Grant Thornton offices. Physical visits to other We performed a limited assurance engagement
– forming an independent limited assurance
Vodafone locations did not take place. in accordance with International Standard
This conclusion is to be read in the context of conclusion, based on the work we have
on Assurance Engagements 3000 (Revised)
what we say in the remainder of this report. The absence of a significant body of performed and the evidence we have
‘Assurance Engagements other than Audits
established practice on which to draw obtained; and
Subject Matter Information to measure or evaluate the Subject Matter
and Reviews of Historical Financial Information’
The scope of our work was limited to assurance – reporting our limited assurance conclusion (ISAE 3000) and, in respect of the greenhouse
Information allows for different, but acceptable,
over the information included within Vodafone’s to Vodafone. gas emissions information included within
measurement or evaluation techniques
Sustainable Business Report (‘the Report’) for the Subject Matter Information, in accordance
and can affect comparability between Our independence, professional
the year ended 31 March 2019 as set out in with International Standard on Assurance
entities and over time. In particular we standards and quality control
Appendix 1 to our report (‘the Subject Matter Engagements 3410 - ‘Assurance Engagements
draw attention to the methodological and We have complied with the independence
Information’). on Greenhouse Gas Statements’ (ISAE 3410),
assumption-based limitations Vodafone and other ethical requirements of the Code of issued by the International Auditing and
Our assurance does not extend to any other have disclosed in the Reporting Criteria. Ethics for Professional Accountants issued by Assurance Standards Board. These standards
information that may be included in the Report Directors’ responsibilities the International Ethics Standards Board for require that we plan and perform this
or displayed on Vodafone’s website for the Accountants which includes independence and engagement to obtain limited assurance about
The Directors of Vodafone are responsible for:
current year or for previous periods unless other requirements founded on fundamental whether the Subject Matter Information is free
otherwise indicated. – the design, implementation and principles of integrity, objectivity, professional from material misstatement.
maintenance of internal control relevant to competence and due care, confidentiality and
Reporting Criteria the preparation and presentation of Subject professional behaviour.
The Reporting Criteria used for the measurement Matter Information that is free from material
or evaluation of the Subject Matter Information misstatement, whether due to fraud or error;
and to form our judgements are Vodafone’s
Basis of Preparation as set out in the ‘Scope – selecting and/or establishing suitable
Reporting Criteria;
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 80

A limited assurance engagement is – performing selected limited substantive – reading the Report and narrative
substantially less in scope than a reasonable testing including agreeing a selection of accompanying the Subject Matter
assurance engagement in relation to both the collated Subject Matter Information to a Information in the Report with regard to the
the risk assessment procedures, including selection of the Vodafone market level data Reporting Criteria, and for consistency with
an understanding of internal control, and submissions submitted by Vodafone markets our findings. Grant Thornton UK LLP
the procedures performed in response to the to the Vodafone Group Head Office; Chartered Accountants
assessed risk which vary in nature from, and are
Intended use of this report Reading
– considering the appropriateness of a This limited assurance report, including our
less in extent than for, a reasonable assurance 31 May 2019
selection of selected carbon conversion conclusion, is made solely to Vodafone in
engagement. Consequently, the level of
factor calculations, and other calculations accordance with the terms of our engagement
assurance obtained in a limited assurance
used by Vodafone to collate the Subject letter dated 18 March 2019. That agreement
engagement is substantially lower than the
Matter Information including by reference permits disclosure to other parties, solely for
assurance that would have been obtained had
to widely recognised and established the purpose of Vodafone showing that it has
a reasonable assurance engagement been
conversion factors; obtained an independent limited assurance
performed. Accordingly, we do not report a The maintenance and integrity of Vodafone’s
reasonable assurance conclusion. – re-performing a selection of selected report in connection with the Subject Matter
website is the responsibility of the Directors
calculations used by Vodafone to collate the Information. Our work has been undertaken
Work performed of Vodafone; the work carried out by us does
Subject Matter Information; so that we might state to Vodafone those
not involve consideration of these matters
Considering the circumstances of the matters we are required to state to them in an
– agreeing a selection of the relevant prior and, accordingly, we accept no responsibility
engagement our work included, but was not independent limited assurance report and for no
period and baseline data to previously for any changes that may have occurred to
restricted to: other purpose.
reported data where these were used in the the reported Subject Matter Information, the
We have not considered the interest of any
– assessing the suitability of the Reporting calculation of the Subject Matter Information, Report or the Reporting Criteria presented
other party in the Subject Matter Information.
Criteria as the basis of preparation for the including re-performing a selection of the on Vodafone’s website since the date of our
Subject Matter Information; calculations; To the fullest extent permitted by law, we do not limited assurance report.
accept or assume responsibility and deny any
– assessing the risk of material misstatement – performing analytical review procedures liability to any party other than Vodafone for our
of the Subject Matter Information, whether over the collated Subject Matter Information, work or this limited assurance report, including
due to fraud or error, and responding including a comparison to the prior period’s our conclusion.
to the assessed risk as necessary in the amounts having due regard to changes in the
circumstances; business;
– conducting interviews with relevant – evaluating the overall presentation of the
Vodafone management and examining Subject Matter Information; and
selected documents to obtain an
understanding of the processes, systems and
controls in use for collating and reporting the
Subject Matter Information;
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 81

Subject Matter Information (Appendix 1) Subject Matter Information


Underlying Subject Matter
The Underlying Subject Matter and Subject
Women’s empowerment
Matter Information are listed here. The
information in this Appendix needs to be read Progress towards our 50 million women goal: number of estimated additional female customers (million) (cumulative progress to date) 19.4
together with the attached limited assurance Women in senior leadership team (including ExCo members) (%) 28
report and the Reporting Criteria. Women in senior management (%) 28
Women in middle management (%) 31
Women (all non-management employees) (%) 40
Women in management and leadership roles (%) 31
Women in technology management and leadership roles (%) 21
Energy innovation
Vodafone energy use: Total (GWh) 5,582
Vodafone GHG emissions: Scope 1 (million tonnes CO2e) 0.26
Vodafone GHG emissions: Scope 2 (market-based method) (million tonnes CO2e) 1.74
Vodafone GHG emissions: Total Scope 1 and 2 (market-based method) (million tonnes CO2e) 2.00
Vodafone GHG emissions: Scope 3 (air travel only) (million tonnes CO2e) 0.06
Vodafone GHG emissions: Scope 2 (location-based method) (million tonnes CO2e) 1.91
Vodafone GHG emissions: Total Scope 1 and 2 (location-based method) (million tonnes CO2e) 2.17
Energy and GHG emissions: Electricity purchased from renewable sources (%) 15.4
GHG emissions per petabyte of mobile traffic on Vodafone’s mobile networks (tonnes CO2e/petabyte) 371
Number of total emissions avoided as a consequence of IoT technologies and services (million tonnes CO2e) 5.9
Ratio of GHG emission savings for customers to own GHG footprint (ratio) 2.9
Youth skills and jobs
Number of young people gaining experience of Vodafone’s digital workplace through apprenticeships 518
Number of young people gaining experience of Vodafone’s digital workplace through internships 974
Number of young people gaining experience of Vodafone’s digital workplace through the graduate programme 677
Number of young people gaining experience of Vodafone’s digital workplace through the work experience programme 46,833
Number of young people (under 26) directly hired by Vodafone 5,710
Progress towards our goal of providing 100,000 opportunities for young people to receive a digital learning experience at Vodafone 54,712
(cumulative progress to date)
Number of Future Jobs Finder completions (cumulative completions to date) 478,986
Progress towards our goal of supporting 10 million young people to access digital skills, learning and employment opportunities 533,698
(cumulative progress to date)
Introduction Transformation Operating responsibly Our people Appendix Vodafone Group Plc Sustainable Business Report 2019 82

Underlying Subject Matter Subject Matter Information


Supply chain integrity and safety
Number of supplier site assessments conducted by the JAC 79
Number of supplier site assessments conducted by Vodafone 6
Number of sites assessed using a mobile survey of workers 12
Number of factory workers surveyed using mobile survey 1,693
Total recordable fatalities 2
Recordable fatalities – members of the public 0
Recordable fatalities – number of suppliers’ contractors/employees 2
Recordable fatalities – number of employees 0
© 2019 Vodafone Group Plc
Registered Office:
Vodafone House
The Connection
Newbury
Berkshire
RG14 2FN

Registered in England No. 1833679


Telephone: +44 (0)1635 33251

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