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Ensto Sustainability Report 2022
Ensto Sustainability Report 2022
Ensto Sustainability Report 2022
Table of contents
For over 65 years, Ensto, a growth-oriented
and international family business and
technology company, has been dedicated
Message from the Chairwoman of the Board........................................................... 3
to electricity with a long-term and human-
centric approach. We offer smart and Ensto in brief................................................................................................................... 4
reliable electrical solutions and expertise Highlights........................................................................................................................ 5
for electricity distribution system operators
and help them to succeed and create a Sustainability at Ensto................................................................................................... 6
more sustainable tomorrow. Our key sustainability commitments........................................................................ 10
Sustainability Governance.......................................................................................... 11
Currently Ensto has a total of 900
employees in 18 countries in Europe, Stakeholder engagement........................................................................................... 12
North America and Asia. We are bound by Sponsoring and memberships................................................................................... 13
our common purpose: making life better Sustainable Development Goals at Ensto................................................................ 14
with electricity. Sustainably. Enhancing actions on climate and circularity.......................................................... 15
Empowering employees by providing a safe and inclusive working place........ 20
Ensuring high ethical standards and compliance across our value chain.......... 25
UNGC index................................................................................................................... 29
GRI index....................................................................................................................... 30
About this report.......................................................................................................... 34
Ensto’s Sustainability Report 2022 focuses on the key sustainability challenges and opportunities we face and the many
ways in which we are responding. See section About this report to read more about our reporting practices. In this report,
the reporting scope has been clarified in connection with each indicator and marked with the following asterisks:
*Comparison year 2021 data includes both Ensto DSO business and Ensto Building Systems business data from 12 months.
**Comparison year 2021 data includes Ensto DSO business data from 12 months and Ensto Building Systems business
data from 10 months.
If asterisks are not defined years 2021 and 2022 include only Ensto DSO business.
Comparison years' 2018-2020 data includes both Ensto DSO and Ensto Building Systems.
The report you are reading is an interactive PDF, so you can scroll up and down, but also click the table of contents,
navigation bar on the top of the page and other links throughout the report to move around and find more information.
CONTENTS GENERAL INFORMATION SUSTAINABILITY SUSTAINABILITY NOTES Message from the Chairwoman of the Board 3
Ensto in brief
WHO WE ARE WHERE WE ARE Ensto Wolrdwide
WHAT WE DO
PERSONNEL
900
Ensto is a leading expert OUR TURNOVER DSO MARKET
for distribution system VALUES 2022 BUSINESS AREAS
operators (DSOs), by
100
offering innovative and
%
Trust Capital
reliable, long life-cycle
overhead lines, under- Others
Creativity Norway
15%
ground networks, net- 12%
170 M€
work automation and Winning Together
Finland Africa
new smart technology Other EU
28% Sweden 14%
products and solutions. Strategic decision in 2021 countries
9%
India 4% to focus on DSO business 23%
READ MORE >
Estonia Finland
and divest Ensto Building
31% 10% France
Other Systems business to
17%
countries 14% Legrand Group.
France
23% Overhead Underground Network New Smart
Lines Networks Automation Technologies
CONTENTS GENERAL INFORMATION SUSTAINABILITY SUSTAINABILITY NOTES Highlights from 2022 5
Highlights
STRATEGY & COMMITMENT WAYS OF WORKING AREAS FOR IMPROVEMENT
The first emission reduction Employee satisfaction Sustainability basic and We are on our way towards
target exceeded in 2022 and First long-term targets in sustainability are put improved, Net Promoter cyber security trainings a zero-accident workplace.
2025 target updated to into action through business, location and function Score organized, as well as To get to the next level, we
75% 27
sustainability programs. Leaders’ trainings in are engaging our employees
coaching and feedback more widely on safety work
and improving our processes
and procedures through an
ISO 45001 certification project.
(18 in 2021, 10 in 2020) Recruitment concept
renewal having especially
Focus on diversity and inclusion
Ecovadis silver medal diversity and inclusion in
Target to increase women’s to increase the share of
sustained in 2022, and focus
average base salary position Outstanding results from women and other gender in
score improved by 11
by 4% – Result in 2022 Ensto’s Customer senior positions
points placing us among
5%
the top Satisfaction Survey 2022
10%
cNPS being Salary gap closed at the Group
54
level. To close the salary gap in
all locations, we continue our
systematic work with annual
5
salary reviews and implement
th
Diversity & Inclusion performing companies the Ensto job framework for all
long-term roadmap was put worldwide. current and future Ensto people.
into action by a mandatory
D&I training for businesses Our first product Scope 3 calculations and
CO2
place in the small and product specific environmental
management teams
medium-sized organizations Ensto in Estonia was assessments and declarations
members.
category for Ensto Finland awarded and maintained
in Responsible Employer the gold level from the Product and manufacturing related
campaign by Oikotie. Responsible Business Several measures, innovation and collaboration to con-
Forum. footprint calculations methods and services tinue on new, sustainable materials.
made from cradle to gate taken in use to improve Concentration on reducing emissions
our cyber security. of raw materials by finding alterna-
tives and re-using own materials.
CONTENTS GENERAL INFORMATION SUSTAINABILITY SUSTAINABILITY NOTES Sustainability at Ensto 6
Sustainability
at Ensto
OUR SUSTAINABILITY STORY
sustainability regulations is evolving fast To succeed, we know that greater well-being, diversity,
and requirements regarding business and inclusion will empower our people to thrive. We will
also continue to ensure that we live by the long-held
conduct and reporting are expanding. principles of our family business: equality, transparency
However, the strongest motivation for and high ethical standards throughout our value chain.
continuously improving our work stems By creating smart solutions today, we can build more
from within Ensto itself. sustainable energy production and distribution tomorrow.
At Ensto, we make life better with electricity. Sustainably.
In 2022, we also conducted a materiality assessment in ESG (environmental, social, governance) topics through the
collaboration with key stakeholders to further elaborate online survey. In total, 254 responses were received from Ensto’s strategic themes 2021–2025
Ensto’s sustainability program. The structure of our sustain- the online survey from all stakeholder groups. To deepen
ability program is threefold and consists of: the understanding, in-depth interviews were conducted
with two representatives from Ensto’s senior leadership,
our action on climate and circularity, one supplier, one customer and one stakeholder who is People first
both a customer and supplier. We support our people to
providing a safe and inclusive workplace and
In addition to the views gained from key stakeholders, make full use of their talent.
ethics and compliance throughout our value chain. actual and potential social and environmental impacts, as Together we reach for the
well as their impact on Ensto’s business were considered. highest performance in our
After analysing the survey and interview results, the operation, products and
Materiality assessment as the basis for findings were presented to an internal group of topic Customer centricity services.
sustainability work experts who further evaluated the significance of Ensto’s Our business is developed
In early 2022, we conducted a sustainability materiality own impact on these sustainability topics. Ensto’s through strong customer
analysis in collaboration with our key stakeholders. By Sustainability Steering Team evaluated and adjusted the relationships based on
technological expertise and
engaging internal and external stakeholders in the process, results into 22 topics of the most material importance for
high-quality flexible service. Innovative solutions
we ensured that our work focuses on issues that are Ensto and its stakeholders. The analysis forms the basis
We are dedicated to serve the
relevant in terms of stakeholder expectations, as well as of our 2022 sustainability reporting, which is done with
changing needs of our custom-
on the social, environmental and economic impact of each reference to the Global Reporting Initiative’s framework
ers by constantly developing
issue. The key stakeholders involved in the assessment (GRI). new product and solution inno-
were customers, employees, suppliers, and owners. Ensto’s impacts are assessed on an ongoing basis vations, that meet or exceed the
The materiality assessment was conducted in a three- through active stakeholder engagement. Next, the technical requirements, quality
step process including an online survey, five stakeholder sustainability topics will be further evaluated based on and specifications.
interviews, and two internal working meetings. The process their financial materiality.
Operational excellence
started by identifying and evaluating the most relevant Our delivery capability is
superior to competition
and earns us preferred
Systematic work in multiple areas to achieve however, continuously working closely with our suppliers to MATERIAL TOPICS SDG
sustainability targets better understand our Scope 3 emissions and to reducing
In 2022, targets derived from Ensto’s group-wide sustain- these emissions. In addition, in 2022 the first pilot projects
ENHANCING ACTIONS ON CLIMATE AND CIRCULARITY
ability program were set to all key functions and locations in measuring product-specific environmental footprint
for the first time. The action plans for each focus area were were carried out. The process will be further developed and • CO2 reduction and energy efficiency of manufacturing
systematically executed, and progress was followed up on. expanded to more products. • Innovation and R&D to promote sustainability
By doing this for the first time we learned plenty and can We also continued improving diversity and inclusion • Preserving biodiversity throughout our value chain
develop the process further. In addition, many sustainabil- at Ensto, focusing on evaluating our strengths and • Product quality and durability
ity-related training courses were arranged for Ensto’s em- weaknesses as a workplace. New tools for evaluation were • Products with positive impacts, advancing global sustainability goals
ployees and suppliers to help build further competences. adopted and topic-specific training for top management • Supply chain emissions and other environmental impacts (incl. logistics)
During 2022, we were able to make significant and other key people was started. Additionally, we renewed • Sustainable product design to minimize life-cycle environmental impacts
reductions in our CO2 emissions, and our first phase target our recruitment process to be more inclusive. This included, • Use of renewable, recyclable or reusable materials
to reduce Scope 1 and 2 CO2 emissions by 50% was reached for example, anonymous recruitment and the neutralization • Waste minimization and proper treatment
already during the year 2022. This was largely due to of language in our job advertisements. In 2023, one of our
switching to renewable sources of energy in our electricity top priorities is to grow Group wide safety culture. To reach
contracts. Our updated target is to reach a 75% reduction a zero-accident workplace, have developed practices and EMPOWERING EMPLOYEES BY PROVIDING
in CO2 emissions by 2025. In 2023 we are aiming to also tools to engage the personnel widely in safety work and at A SAFE AND INCLUSIVE WORKING PLACE
set our long-term target for emission reductions to reach the same time increase the number of safety observations • Equality, diversity and inclusion and non-discrimination
net-zero. at our production sites for continuous improvement. • Employee competence development
We were not able to reach our goal to fully report our We have made a communication plan to increase safety • Employee health, safety and wellbeing
Scope 3 emissions by 2023. The reason for this was that awareness and focus on topics that we see are the most • Employee satisfaction and engagement
gathering data on raw materials and transport has turned important areas in our safety work. • Employment conditions and labor rights (incl. fair pay, freedom of association)
out to be more time-consuming than anticipated. We are,
"We have a long history of responsible business COMPLIANCE ACROSS OUR VALUE CHAIN
Building competence to meet the future THE MOST IMPORTANT TOPICS FOR OUR KEY STAKEHOLDERS
sustainability requirements
As regulatory requirements for corporate sustainability
expand in an unprecedented way, new competences and
resources are needed at Ensto as well. To that end, we are
systematically building our competences and developing
processes to meet upcoming obligations. This means closer
cooperation between internal functions such as sustainabil-
ity and finance. We are also deepening our understanding
of Ensto’s impact on human rights across the value chain
and starting the due diligence process by evaluating the
current state.
In addition to building competence internally at Ensto,
we also need strong partnerships in order to meet both
the regulatory requirements as well as our long-term
goals in sustainability. Cooperation with partners is key
in innovating future-proof materials for our products, for
example. Partnerships also in data management, cyber
security, work wellbeing and supply chain management are
becoming increasingly important.
50% of our R&D investments contribute We will continuously work to reduce We will train 100% of employees in ethics
to SDGs by 2030 sick leaves and strive for zero and sustainability and all supervisors in
accidents diversity and inclusion by 2025
We will reduce our scope 1 & 2
CO2 emissions by 75% by 2025 1/3 of our senior positions will be held 100% of our main suppliers have confirmed
by women and other gender by 2025 commitment to our Supplier Code of
We will strive for circularity by reducing Conduct by 2025
inventory scrap by 50% and increasing We aim for employee engagement
new materials in solutions by 2025 index to 80 by 2025 We will embed sustainability evaluation into
the supplier qualification process by 2025
CONTENTS GENERAL INFORMATION SUSTAINABILITY SUSTAINABILITY NOTES Sustainability Governance 11
Sustainability Governance
Ensto’s commitment to sustainability is Governance body Role SUSTAINABILITY GOVERNANCE AT ENSTO
embedded throughout our purpose, Board of Ensto The Board’s primary role is through its decisions, to ensure future success and operational
preconditions for Ensto. The Board confirms, reviews, monitors and guides the strategy,
vision and strategy. Sustainability and including high ethical standards and sustainability. The Board reviews the company performance
Board of Directors
high ethical standards are the guiding and development of the shareholder value. Overall accountability for the management and
guidance of risks and opportunities. The Board supervises the development of the human
principles for Ensto’s other four capital management and confirms the incentive program for Ensto employees. Group
SVP HR,
strategic growth themes. A wide range Management
Team
Communications,
Stakeholder engagement
Transparent and open relationships Key stakeholders, their expectations and set objectives
with our stakeholders is important to Stakeholder Significance to Ensto Interest of stakeholder group Main activities Terms and Definitions:
us at Ensto. Our business activities Employees • Competent and engaged • Healthy and safe work environment • Employee Engagement survey eNPS
affect a wide variety of different employees enable satisfied
customers and make a
• Career and individual development possibilities • ePulse surveys Employee Net Promoter Score
Regulators • Impact on reputation and • Compliance with laws and regulations • Active dialogue
and decision doing business • Environmental management and compliance • Monitoring and reporting
makers • Evaluates the compliance • Safety management and compliance
CONTENTS GENERAL INFORMATION SUSTAINABILITY SUSTAINABILITY NOTES Sponsoring and memberships 13
ENHANCING
actions on climate
and circularity
68%
reduction in the Scope 1 & 2 emissions
Ensto builds critical societal and 76.8% in Scope 2 emissions in 2022
infrastructure that helps drive the
green transition. We develop durable
and innovative products and solutions
37.8%
that advance the UN Sustainable
Development Goals. We are dedicated
to improving resource efficiency and
reducing greenhouse gas emissions of electricity from
across our value chain. renewable sources**
4%
improvement in
recycling rate**
Reduce GHG emissions • 75% reduction of scope • Level of ambition raised – target updated from • Scope 3 CO2 calculations and targets
FRANCE
1 & 2 CO2 emissions (by 50% to 75% (Scope 1 & 2 reduction 68%) setting to reduce supply chain
Engage our key 2025) • Scope 1 & 2 CO2 reduction set as Ensto’s emissions continues
suppliers • 100% renewable strategic target and tied to short-term incentives • Continue researching and switching
electricity (by 2030) • Scope 3 data gathering started with materials to renewable energy in all Heating and air condi-
• Improve energy
efficiency by 7% (2030)
and logistics • Continue efforts on energy efficiency
tioning management
• 37.8% of electricity from renewable sources • ISO 14001 certification for Ensto
• All factories ISO 14001 (12.2% in 2021) India and all new manufacturing solution installed in order
certified (by 2025) • Switched to renewable electricity in Keila and company acquisitions to regulate the tempera-
low-emission electricity in Porvoo • Focusing more on sustainability in
packaging and transportation
ture in the workshop and
• Energy efficiency target not reached but
electricity was used carefully due to the save energy. Company cars switched
energy crisis. Relative energy efficiency (MWh/ to electrical or hybrid vehicles. EV
pcs) increased by 2.3% but total electricity
consumption decreased by 2.8%. charging stations installed and avail-
• Ensto Renley ISO 14001 certification received able to all employees.
**Comparison year 2021 data includes Ensto DSO business data from 12 months and Ensto Building Systems business data from 10 months.
CONTENTS GENERAL INFORMATION SUSTAINABILITY SUSTAINABILITY NOTES Enhancing actions on climate and circularity 17
when released accidentally. Replacing these materials is a mance. In 2022, we did not achieve our inventory scrapping-
high priority for us and for our industry as a whole, in order target, ending up with a 21.8% increase compared to the
to meet the growing regulatory requirements and cus- previous year. Further analyses made and resources were
tomer demand for climate-friendly solutions. Despite the dedicated to improve performance.
challenges, we see great potential in enhancing our positive In 2022, we allocated additional resources and recruit-
handprint in society by providing products and solutions ed a sustainability specialist whose main focus is set for STUDENT COOPERATION WITH
that reduce our client’s emissions. mapping hotspots for environmental improvement during
greenhouse gas protocol Scope 3 impact assessments. Oth-
AALTO UNIVERSITY BROUGHT
Circular economy er focus areas include implementing life cycle assessment as FRESH IDEAS TO ENSTO
Enhancing circularity in Ensto’s manufacturing plants part of Ensto’s product development process and part of the
In 2022, Ensto prioritized circular economy as a strategic product compliance information to meet EU’s new Ecode- For 25 years, Aalto University in Finland has
focus area. This involved assessing the current state of cir- sign for Sustainable Products Regulation (ESPR) and EU’s
cularity in our manufacturing plants, as well as identifying Green Deal activities.
organized the Product Development Project
associated risks and opportunities. The main objective of course, which brings business, design, and
the year was to implement the new knowledge and skills ac- Waste management in Ensto's manufacturing engineering students together to tackle
quired from specialized training sessions to drive progress plants, tonnes** industry challenges presented by companies.
in achieving circularity in Ensto’s operations. In 2022, we
established collaborative partnerships and engaged with 2,500
**Comparison year 2021 data includes Ensto DSO business data from 12 months and Ensto Building Systems business data from 10 months.
CONTENTS GENERAL INFORMATION SUSTAINABILITY SUSTAINABILITY NOTES Enhancing actions on climate and circularity 18
Increasing transparency in sustainable product vices returned by the customer are taken to the Ensto factory FINLAND
development for maintenance and processed in its own waste treatment
Reducing waste to a minimum by reusing existing materials facility. The take-back procedure comprehensively covers the
Ensto Finland has kicked-
and products as long as possible is the essence of circular end of the service life holistically and the customer has the
off circular material
economy. Being a part of the critical infrastructure of soci- opportunity to obtain a material take-back certificate for the
ety, Ensto’s products are of high quality, and they survive recycling of SF6 used in medium-voltage devices.
project with part of
decades in harsh environmental conditions. Most of the ma- insulation piercing
terials used in our products are also recyclable. With circular Seeking ways to reduce waste connector SLIW50
product design, we can further extend the life cycle of our At Ensto, our aim is to reduce waste and promote circular- product. Currently reached 9% own
products and increase the use of recycled materials in them. ity in our manufacturing plants. In recent years, we have re-used plastic material in products
Transparency is the key to sustainable product develop- increased the shear, or recycling, reusing, recovering and upper part. Testing and development
ment and communications. Before making product-specific composting part in our overall waste generation and have continue to improve re-use of materials.
environmental claims, the first step is to identify and assess been able to reduce the landfill and energy waste part by a
the product’s entire life cycle in accordance with the stand- small amount. Overall, waste generation has decreased well
ards and ensure that it covers everything from the extraction across the years.
of raw materials to distribution in the supply chain to the cus- We are continuously seeking ways to reduce waste
tomer’s gate. The end of-life and recycling or refurbishment generated in our manufacturing plants and also for our cus- New concepts for replacing SF6 in load break switches
options for all products must also be considered even if the tomers. We are looking for ways to reduce the generation are being developed by Ensto in Bagnères-de-Bigorre,
recycling technologies are developing simultaneously. After of scrap as waste by establishing partnerships based on the France. When the SF6-free technology is ready first for
taking all into account, the impacts for improvement can be principles of Circular economy and preparing to contribute 10-24 kV range, LBS’s enable the construction of a more
identified and claims can be made about positive change. to the development of materials flow in emerging recycling sustainable network and can significantly reduce negative
Ensto has started to build carbon footprint of products and technologies. Packaging represents a large amount of mate- environmental impacts.
aims to provide Environmental product declarations to sup- rials used in Ensto’s operations. To reduce the environmental In addition to material innovations, we are researching
port EU’s green transition and to meet customer demand for impact of our packaging, we use as many recyclable materi- and prototyping technologies that help distribution system
proof of environmental performance. als as possible, such as brown corrugated board. We also use operators (DSOs) reduce their CO2 emissions. Smart sensors
less printing colors in our packaging, and the stuffing materi- and IOT provide accurate fault information from their net-
Refurbishment a growing business area at Ensto als inside the packaging are environmentally friendly. work so that focused repair actions can be done without man-
The future growth of sustainable products is clear. Refur- ual investigation. The sensors can also predict service needs
bishment and customer specific spare parts increase prod- Innovation and new materials for replacing harmful before more serious damage can take place in the network.
uct reparability and modularity, and the sale of spare parts substances
has already grown as customers have become systematic in Innovations in creating materials to replace harmful sub-
their climate efforts. Refurbishment, increasing the life cycle stances used in our products are an important part of our
of the product by 20 years, has become a significant part of work related to circularity. We are actively participating in
the business. developing lead and SF6 free products with our suppliers
A great example of the evolving business is the refurbish- and scientific institutions. One of the materials under test-
ment of overhead load break switches (LBS). The LBS called ing is unleaded brass, which is being developed to use in
Auguste is the only one on the market with the safe advantage brass screws. For SF6, our product development is testing
of an embedded voltage transformer. Through refurbishment, less harmful, alternative mixture of gases for the load break
LBS Auguste’s normal 25-year lifespan can be extended. De- switches.
CONTENTS GENERAL INFORMATION SUSTAINABILITY SUSTAINABILITY NOTES Enhancing actions on climate and circularity 19
and solar panels for own renewable electricity production 915.9 District heating 2,355.9
295.5 tCO2e 1,000
will be installed at our factories in France. chain are expected to be raw materials. It is therefore im- Natural gas
We were able to improve our energy efficiency target in portant to drive sustainability improvements together with
our suppliers. To form a better understanding of our Scope Transportation fuels
2022 and ended up with total electricity consumption de- 500
creasing by 2.8% compared to previous year. 3 emissions, we are in the process of gathering the data. 340.8 Gasoline 507.4 546.8
369.1
In 2022 we started the process with raw materials and Diesel
0
Engaging suppliers to reduce emissions in transport. We were not able to reach our goal to fully Propane (LPG)
2021 2022
the value chain report our Scope 3 emissions by 2023. We are, however,
reduction from 2021
With energy efficiency and by using renewable energy continuously working closely with our suppliers to better
68%
sources, we can significantly reduce the CO2 emissions of understand our Scope 3 emissions and to reduce these Scope 1 Scope 2
our manufacturing plants. However, based on our pre-eval- emissions. Our updated goal is to fully report on our Scope
uations, the largest sources of CO2 emissions in our supply 3 emissions by 2023. Scope 1 & 2 emission reduction from 2021 was 68%.
CONTENTS GENERAL INFORMATION SUSTAINABILITY
SUSTAINABILITY SUSTAINABILITY NOTES Empowering employees by providing a safe and inclusive working place 20
EMPOWERING
employees by providing
a safe and inclusive
working place 39%
of employees women
and other gender
Ensto aims to provide a workplace
where people feel safe, respected
and fulfilled, enabling them to boost
their wellbeing and perform at their Employee net promoter score
best. Our target is to achieve a zero- improved from 18 to
27
accident workplace and we aim to
build a culture where diversity is
seen as a key asset. We continuously
develop our already highly valued from previous year
employee competence.
Average age of
employees was
43.9
years
INDIA
Empowering employees by providing a safe and inclusive working place Diversity and inclusion as key factors
in sustainable growth
Our business is built on people, and we see our employees In 2022, Ensto India
Strategic aim Target 2022 results Future plans
as the greatest asset of our company. Health, safety and focused on health check-
Zero accident • Zero accidents • Average sick leave days per person • Defining Ensto’s global health and
the well-being of our employees is important not only from ups, first aid trainings,
an ethical point of view, but also enables us to create and safety at warehouse, fire
workplace • Lost-time injury increased by 14%** safety standards through the ISO
deliver value to our clients.
frequency <5 (2025) • Employee satisfaction improved: net 45001 certification project safety and emergency
Happy and healthy In addition to our own employees, our business and
Ensto people
• Reduced sick leaves promoter score 27 (18 in 2021) • Engaging personnel for making response trainings to enhance health
• First employee engagement index more safety observations through products have health and safety related impacts elsewhere
• Increased number of
wide implementation of HSE Walk & in our value chain. Product safety and safe installation work
and safety at the workplace.
safety findings result 76 and iGrow participation 90%
(86% in 2021) Talk procedure and registration app are a high priority for us. In addition, operating in a multi-
• All factories ISO 45001 renewal
certified (by 2030) • Transition to a new employee tude of locations allows us to also pay close attention to the
satisfaction tool Glint • Focused and on-time internal and
• High employee external communication on Health
working conditions at our suppliers’ end. country, for example in Finland, we offer high-quality occu-
engagement, employee • First global safety theme week As part of Ensto’s new strategy, diversity and inclusion pational healthcare, and our employees have access to an
and Safety matters through global
engagement index • Occupational accidents with sick leave and local communication plans have been identified as important factors in sustainable electronic pass for sports. In France, we have also piloted a
target 80 (by 2025) increased comparatively, partly due
to global crisis, major organizational
growth, alongside health and safety. We see a diverse and scheme whereby we offer our employees an electrical bike
• iGrow participation
target 100% (yearly) changes and rearrangement of work inclusive workplace as a strength that helps us to attract to use during the workday.
• No ISO 45001 certifications for a talented workforce to further drive innovation and busi- Ensto is developing the health and safety management
manufacturing plants yet ness success. Our aim is to strengthen our culture in which systems for the manufacturing sites to meet the ISO 45001
everyone can be themselves and all differences and opin- requirements, and all of our manufacturing sites are certi-
Strengthen our • Improve gender • First diversity & inclusion plan made, • Continuing competence development ions are valued. fied according to ISO9001 and most of them according to
culture, in which diversity and initial stage started in 2022 of employees in diversity and ISO14001. Our goal is to have all our manufacturing sites
all differences and • A third of senior • Competence development of key inclusion through internal and Safe working environment certified according to the ISO 45001:2018 health and safety
opinions are valued positions held by women people in diversity and inclusion external training programs
Management of health and safety issues is a management systems standard. The first certification is
and other gender (2025) • 39% of employees and 18% of senior • Developing measurements of
Build diversity diversity and inclusion
business priority planned to be finalized in 2023.
positions women and other gender
At Ensto, we are committed to continuously improving our Ensto’s iGROW discussions are an important means not
• Job framework continued as a • Utilizing our new more inclusive
recruitment process health and safety management. We follow our internal pol- only for individual development plans, but also for measur-
yearly process to bring systematic
transparency to Ensto’s salary system • Setting a target and development icies and comply with related legislation, regulations, and ing our employee’s wellbeing and hearing their views. The
• New recruitment tool and concept project for psychological safety other applicable requirements. Our approach to managing discussions are held at least once a year with all employees.
taken in use • Developing a mandatory diversity health and safety is to proactively prepare for different risk We have been following our employees’ satisfaction with
e-learning training for all Ensto scenarios, rather than react to them. Ensto as a workplace through the Net Promoter Score
employees
To reach our goal of becoming an accident-free work- (eNPS). There has been a remarkable growth in our score
• Measuring and researching inclusivity
place, we are continuously developing our safety proce- across the last three consecutive years, and our eNPS in
through employee questionnaire
dures through internal and external audits, risk mappings, 2022 was 27 (18 in 2021, 10 in 2020 and -10 in 2019). In the
• First global pride theme week
regular health and safety trainings, and gathering health end of 2022, we moved to a new employee engagement
& safety observations through organized HSE Walk & survey tool Glint, which gives us a deeper understanding
**Comparison year 2021 data includes Ensto DSO business data from 12 months and Ensto Building Systems business data from 10 months. Talks, for example. Ensto invests in the competences of of what we need to focus on. We’re committed to ensuring
its employees in various ways. We support the health and our employees’ wellbeing, satisfaction, and engagement at
well-being of our people in different ways depending on the work, and with Glint, we can move towards that goal.
CONTENTS GENERAL INFORMATION SUSTAINABILITY SUSTAINABILITY NOTES Empowering employees by providing a safe and inclusive working place 22
Toward vision zero with co-operation and Supporting hybrid work after pandemic
communication Two years ago, we developed a flexible hybrid working
In 2022, coming out of the COVID-19 pandemic we contin- model to promote remote work where possible. Even
ued to prioritize our employees’ health. But we noticed that though the pandemic doesn’t affect our lives as much as
with crises some important procedures, like HSE walks were then, remote work has taken a permanent place in our
not working at full capacity thanks to the careful following working patterns. To support the wellbeing of our people
of precautionary guidelines by our employees. We did not working remotely, we have invested in online services fo-
manage to keep the impressively low pandemic health lev- cusing on mental health and exercise breaks.
el, but the average sick leave days per person remained low Ensto Finland piloted the Auntie online well-being
not getting back to pre-pandemic figures, at 5.7 (5.0**). service in 2021. The goal is to offer low-threshold and
In 2022, 19 accidents requiring sick leave occurred at preventative help for anyone struggling with stress,
work, setting the rate of all occupational accidents (LTIF1) at overachieving, lost motivation, or self-leadership issues. In
13.2*. The rate of serious accidents with four or more sick 2022, Auntie was launched for all our employees globally.
leave days (LTIF4) was 11.8*. The number of occupational The Cuckoo break exercise app, which was also introduced
accidents with sick leave increased comparatively from the to Ensto people in 2021, has established its place in
previous year, partly due to organizational changes at the the everyday working life of Ensto employees. Cuckoo
end of 2021. Global crises and divesting Ensto Building encourages people to do micro exercise breaks during the
Systems business led to adjustments and rearrangement of workday to help get energized and boost performance.
work in our manufacturing sites, which may have led to an In 2021, we launched a project called Office Work
increased number of accidents. Productivity to help improve our employee satisfaction. Our
Our target is to increase the number of safety findings at aim is to focus on core work tasks and eliminate time losses
our manufacturing sites. To improve our health and safety in our everyday work. We are aiming to produce positive
performance, we are setting targets for number of heath changes in working methods, better working processes
and safety observations at our manufacturing sites. To build and tools, enhanced empowerment of our people with
a good base for continuous development in 2022 we formed better attention to reduce time losses, and continuous
a Health, Safety and Environmental co-operation group of improvement in the office work.
experts from our manufacturing sites. Also, during 2022 In 2022, the Office Work Productivity implementation
we had our first Safety theme week to train and activate continued in Finland and extended to Estonia. In the project
communications of the health, safety and well-being topics we discovered that a lot of time and resources are being
globally. wasted by inefficiently held meetings at Ensto in Finland.
*Comparison year 2021 data includes both Ensto DSO business and Ensto Building Systems business data from 12 months.
**Comparison year 2021 data includes Ensto DSO business data from 12 months and Ensto Building Systems business data from 10 months.
CONTENTS GENERAL INFORMATION SUSTAINABILITY SUSTAINABILITY NOTES Empowering employees by providing a safe and inclusive working place 23
IRELAND
The finding was confirmed to be an Ensto-wide phenom- In 2022, Ensto launched Auntie wellbeing service Auntie is a low-threshold and preventive well-be-
enon by a query done in all countries. Based on the data globally for all its’ employees. Auntie was first intro- ing service based on conceptualized packages
Ensto Renley in Ireland received, the Office Work Productivity team and training duced in Finland in the summer 2021, and reception around work or life situation related themes. Auntie
has every Wednesday a agency Bravers put together new Ensto meeting guide- for it was very positive. As the service was a success can be used for support or sparring in life’s twists
’Wellbeing Wednesday lines called Efficient and engaging meetings at Ensto. The in the pilot in Finland, it was implemented in all and turns. Whether an employee is struggling with
Walk’ followed by a 60-minute interactive e-learning training is now available Ensto counties. stress, overachieving, lost motivation or self-lead-
lunch. Remote workers for all Ensto office workers. At Ensto, we want to invest in the wellbeing of ership, Auntie can help before the issues escalate
our personnel, and make sure that all our employ- to problems. The service offers one-to-one sparring
can also take part, which promotes
ees get the best possible support in their everyday sessions with Auntie professionals in 20 different
inclusiveness.
life, especially during these exceptional times, when languages, so it comprehensively serves everyone.
life can be especially challenging. Therefore, we
wanted to offer Ensto employees an easy access to
wellbeing online service Auntie to support them in
coping with everyday issues before they become
overwhelming.
The Pink Walk participants
from Ensto Novexia
*Comparison year 2021 data includes both Ensto DSO business and Ensto Building Systems business data from 12 months.
**Comparison year 2021 data includes Ensto DSO business data from 12 months and Ensto Building Systems business data from 10 months.
CONTENTS GENERAL INFORMATION SUSTAINABILITY SUSTAINABILITY NOTES Empowering employees by providing a safe and inclusive working place 24
Job framework brings transparency and Share of male and female employees, % Gender and senior positions, 2022
ESTONIA
equality to our salary system
Our target is to have equal pay for all genders. In 2021, we 100 100
Ensto participated in the created a globally consistent and transparent job frame-
"Give warmth" charity work for the different roles and their requirements within
80 80
campaign together the company. The Job Framework makes salaries compa-
with its partners in rable in all countries and helps in bridging the salary gap
60 60
Keila. They managed between men and women. The average salary of women
to circulate and donate 100 jackets improved by 5% during 2022 due to the Job Framework
project. In 2022, Ensto’s superiors were trained in more 40 40
and 100 reflectors to those in need.
detail to utilize the Framework throughout the salary review
Many moms and dads were able to
processes, to ensure equal and transparent treatment of all 20 20
exchange their thin spring-autumn personnel. Our target is also to increase the female share to
jackets for warm parkas and coats. 27 % in senior positions by 2025, as women are under-rep-
0 0
resented in certain job classes at Ensto.
2020 2021 2022 Executive Director Senior
Renewed recruitment process and upgraded tool Specialist
Diversity and inclusion Recruitment and onboarding of new employees are impor- Women Men Women Men
Setting targets and planning future actions tant from an organizational culture building point of view.
Diversity and inclucion was set as Ensto’s new sustainability In 2022, we updated our recruitment concept and moved
priority and strategic focus area in 2021, and the focus globally into a new recruitment tool Teamtailor, that offers
during the year was on defining the ambition level and multiple possibilities to enhance recruitment. Share of employees by age, %
preliminary targets around this theme. We aim to develop In 2022, we implemented anonymous recruiting in the
Ensto’s diversity and inclusion by focusing on gender diversity first stage of our recruitment process. It means that the
especially in senior level positions, improving the gender recruiter doesn’t see the applicant’s name, age, gender, 40
gap in salaries, and by growing our overall know-how on picture etc. We also announced the salary accordion in con- 35
matters relating to diversity and inclusion. nection with our job announcements.
30 2020
In 2022, the development of this theme continued, and
Average 44.5
the first concrete diversity and inclusion plan was made. 25
The first phase of the plan was launched in the same year, 2021
20 Average 44.1
with diversity training for management, leaders, and HR.
In the 3-hour workshop, the participants will hear about 15 2022
the ways in which D&I benefits our company and learn Average 43.9
10
to identify the challenges to diversity and inclusion and
work together to find the needed solutions. In the future 5
diversity e-learning training will be mandatory for all Ensto 0
employees.
<20 20–29 30–39 40–49 50–59 60+
CONTENTS GENERAL INFORMATION SUSTAINABILITY
SUSTAINABILITY SUSTAINABILITY NOTES Ensuring high ethical standards and compliance across our value chain 25
ENSURING
high ethical standards
and compliance across
our value chain 83%
of employees completed
Employee Code of
Ensto is committed to upholding Conduct training
ethical behavior and respect for
human and labor rights and aims
to set an example throughout the Material
industry. Our goal is to further purchases from
15
integrate sustainability and ethics into
our own operations and across the
supply chain. We are taking concrete
actions to ensure we deliver industry main countries globally
leading standards of ethical, supplier
and material compliance, as well as
customer privacy and cybersecurity.
98%
of A-suppliers have
accepted our Supplier
Code of Conduct
Ensuring high ethical standards and compliance across our value chain Ethics and compliance throughout reported to the Ensto Management Team and Chair of the
value chain Board of Directors. Two reported cases in 2022, one via
As a Finnish family-owned company with strong values, anonymous and one via internal channel. The cases were
sustainability and our ethical conduct of business related to the war Russia started and bullying at work and
Strategic aim Target 2022 results Future plans
is embedded in our DNA. We continuously strive to were investigated and successfully resolved.
Grow Ensto people’s • E-learning on Employee • 83% of employees completed Employee Code • Annual refresh of Code of
strengthen our competence and seek new ways to improve Ensto’s Health and Safety (HS) and Quality and Environ-
ethical, compliance Code of Conduct of Conduct training Conduct, 2023 theme being
and sustainability completed by 100% of anti-corruption our business to further benefit not only our company, but mental (QE) policies were renewed in 2021. To ensure effec-
• Quality and Environmental policy e-learning
competences employees completed by 77% of employees • Human Rights due diligence society as a whole. tive communication and understanding of the main policies,
• E-learnings on Health • Health and Safety policy e-learning and training in 2023 Ensto has production facilities in six countries, and we arranged mandatory e-learning courses for all Ensto
and Safety policy completed by 80% of employees • Continuing active we purchase materials from 15 main countries globally personnel. The e-learning is mandatory for all employees.
and Quality and communications on that amount to 94.3% of all purchases. The value chain
• Sustainability Basic training completed by
Environmental policy reporting channels, including
78% of office employees of our products is long, and it stretches our social and
completed by 100% of anonymous SpeakUp line
employees • Cyber security training completed by 100% environmental impacts beyond our direct operations. We SPEAKUP CHANNEL
office employees • Applying new tool for material
• Sustainability basic compliance management
value human and labor rights, equality, healthy and safe
e-learning completed by • Two reported cases, one via anonymous and working conditions, and expect our suppliers and partners
100% employees one via internal channel, solved according to
processes
to respect the same values and policies when engaging
• Cyber security training in business activities with us. We are committed to our 1. D
iscuss with person(s) involved
completed by 100% of
Code of Conduct and do not accept corruption or bribery
office workers
in any form. We are committed to building sustainability
competence internally and within our partner network and If this:
Engage our key • Supplier trainings • E-learnings arranged to engage suppliers in • Continuing to roll out our
integrating sustainability into our daily operations. • is not possible
suppliers completed Ensto’s Supplier Code of Conduct Supplier Code of Conduct to
• Supplier evaluations • 98% of A-suppliers have accepted our reach 100% commitment • you do not feel comfortable
conducted Supplier Code of Conduct • Embedding sustainability Developing processes and policies for
• Audit procedure implemented to India evaluation into supplier managing ethical competence
qualification process Ensto’s Code of Conduct (“Code”) is the key policy that sets 2. D
iscuss the issue with
• Conducting supplier the ethical standards that guide our everyday work and your superior, SpeakUp
sustainability audits in risk
decision-making. The Code applies to everyone working coordinator or local / global
countries (in 2023 in India)
for Ensto, and we require all our employees to complete a HR person
Code of Conduct e-learning course on our Ensto Academy
training platform. At the end of 2022, 83% of our employees
If you:
had completed the course. This level is not where it should
• don’t feel comfortable in doing so
be and needs attention. To ensure 100% participation, the
• want to report anonymously
e-learning course is part of our employee onboarding, and • the raised concern has not been solved
every other year one specific Code topic is highlighted and
additional training on the topic is provided. In 2023, we will
have in focus the topic anti-corruption. 3. R
eport your concerns
Ensto uses an anonymous platform called SpeakUp for through SpeakUp line, which
reporting unethical activities, violations and concerns. The is open 24/7
platform is hosted by a third party, and all violations are
CONTENTS GENERAL INFORMATION SUSTAINABILITY SUSTAINABILITY NOTES Ensuring high ethical standards and compliance across our value chain 27
THE ENSTO CODE OF CONDUCT In 2022, we also launched a mandatory online basic training In 2022, we continued arranging e-learnings on the
on sustainability for our office employees and all employees Supplier Code of Conduct to engage our suppliers and
2023 onwards. In addition to trainings and e-learnings, to increase the number of suppliers to accept the Code.
employees can find all relevant disclosures on implement- The e-learnings focused on explaining Ensto’s values and
ing the organization’s policies and practices for responsible our expectations for suppliers in more detail. As a result
business conduct from Company's intranet and website. of the e-learnings, the coverage of our Code of Conduct
compliant suppliers reached 98% by the end of 2022.
Engaging with suppliers through Ensto’s external stakeholders, including suppliers, can
We all play a key role We comply with We respect human We truly care Code of Conduct e-learnings report any misconduct, illegal or unethical behavior they
in putting this code the laws and and labor rights for our people We set strict requirements for our business partners to detect through the same SpeakUp channel in use for our
into practice regulations uphold high standards for responsible business practices. employees. We monitor the progress of our Supplier Code
Ensto’s Supplier Code of Conduct defines the minimum of Conduct implementation monthly.
sustainability and ethics requirements for our suppliers.
We expect our suppliers to implement these requirements Audits play a significant role in the
across their own supply chains, and compliance with our development of our supply chain
Code is an integral part of our supplier selection criteria. We monitor compliance to the Code in risk countries
Our group-level target is that 100% of our category through regular sustainability audits. The audits are con-
A suppliers (where we spend more than EUR 200,000 ducted by external sustainability certification companies
annually) accept our Code through an E-procurement with extensive local expertise.
We treat each We strive for We take care of We respect portal, E-Academy training program or by signing Ensto’s In 2022, audit procedure was implemented to India, to
other with respect high quality the environment privacy contract. ensure that we are ready to set an example to our partners
in sustainable and ethical business practices. This included
sustainability training and audit preparations. In 2023, the
implementation will continue with audits in our own and
suppliers’ facilities.
The prolonged coronavirus pandemic has raised the
INDIA
need for developing the tools for remote supplier audits.
In 2021, all the audits were done remotely, but in 2022 we
Continuous collaboration moved back to onsite audits. Digital tools still support our
We do business We avoid conflicts We do not accept We speak up with our stakeholders supplier auditing, but onsite visits remain the main means
fairly and openly of interest or give bribery or is important to us. In of auditing the sustainability practices of our suppliers.
improper gifts 2022, audit procedure In 2022, Ensto focused more on risk assessment in
supply chain. The ongoing COVID-19 and war situation have
was implemented to our
made a huge impact on availability of raw materials and
Indian facilities to ensure
components. At Ensto, we have to be more prepared and
that we are ready to set an example to aware of the existing risks when it comes to procurement
READ MORE > our partners in sustainable and ethical and availability of important materials.
business practices.
CONTENTS GENERAL INFORMATION SUSTAINABILITY SUSTAINABILITY NOTES Ensuring high ethical standards and compliance across our value chain 28
STRENGTHENING
Our suppliers comply Our suppliers secure Our suppliers CYBERSECURITY FOR
with the laws and healthy and safe respect human A SUSTAINABLE FUTURE
regulations working conditions rights
UNGC index
Ensto has been a signatory to the United Nations Global Supporting the UN Global Compact
Compact since 2013, and we are committed to its principles
regarding human rights, environment, labour and anti- Principles Covered in
corruption. We promote sustainable development in all our Human rights
daily business activities and operations. We demonstrate Principle 1 Ensto Code of Conduct, Supplier Code of Conduct
this by committing to the ten principles of the UN Global Business should support and respect the protection of internationally proclaimed human rights
Compact initiative. Principle 2 Ensto Code of Conduct, Supplier Code of Conduct
The following table shows how we have connected the Make sure not to be complicit in human rights abuses
UN Global Compact principles to Ensto’s Employee Code of Labor standards
Conduct and Supplier Code of Conduct and policies. Principle 3 Ensto Code of Conduct, Supplier Code of Conduct, Health and Safety Policy
Starting this summer 2023 we will start to report Business should uphold the freedom of association and the effective recognition
according to the new separate UNGC Communications Principle 4 Ensto Code of Conduct, Supplier Code of Conduct
in Progress online reporting format in addition to this The elimination of all forms of forced and compulsory labor
company sustainability report. Principle 5 Ensto Code of Conduct, Supplier Code of Conduct
The effective abolition of child labor
Principle 6 Ensto Code of Conduct, Supplier Code of Conduct, Health and Safety Policy
Elimination of discrimination in respect of employment and occupation
Environment
Principle 7 Ensto Code of Conduct, Supplier Code of Conduct,
Businesses should support a precautionary approach to environmental challenges Quality and Environmental Policy, Environmental management system
Principle 8 Ensto Code of Conduct, Supplier Code of Conduct,
Undertake initiatives to promote greater environmental responsibility Quality and Environmental Policy, Environmental management system
Principle 9 Quality and Environmental Policy, Ensto Group R&D Guidelines
Encourage the development and diffusion of environmentally friendly technologies
Anti-corruption
Principle 10 Ensto Code of Conduct, Supplier Code of Conduct
Businesses should work against corruption in all its forms, including extortion and bribery
CONTENTS GENERAL INFORMATION SUSTAINABILITY SUSTAINABILITY NOTES GRI index 30
GRI index
Statement of use Ensto Group has reported the information cited in this GRI content index for the period 01.01.2022-31.12.2022 with reference to the GRI Standards.
GRI standards in use GRI 1: Foundation 2021 and Topic Standards material to Ensto.
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