For Balco Group, sustainable business is a prerequisite for a business that grows, is profitable and over time creates value for the Group’s customers, employees, owners and other stakeholders. We will operate on the basis of the principles included in the UN’s Global Compact, follow the global goals for 2030 and conduct our activities in accordance with the OECD’s guidelines for multinational companies, and have the UN’s guiding principles for companies and human rights as a guide.
Group management has decided to further increase the focus on sustainability issues and in 2020, together with Ramboll *, carried out a stakeholder analysis in which priority stakeholders were asked to indicate which issues are considered to be the most important for Balco Group to focus on. The stakeholders who received the question, in the form of a survey, are customers, employees and investors (here in the form of fund companies). The perspective has since been broadened to also take into account suppliers, authorities and future generations. Results of goals and metrics can be read in the annual sustainability report. The highest priority issues are marked in bold under each sustainability area.
“Sustainability helps us develop Balco Group into a company that we know will deliver long-term value.”
Johan Fälth, Sustainability Manager
Priority areas for sustainability for Balco Group are:
The world has many challenges in the environmental field. Combating climate change and achieving the goal of the Paris Agreement is one of the greatest challenges of our time. As a leader in our industry, we need to take our responsibility and contribute by reducing our business’ climate impact. We do this, among other things, by making our production units more energy-efficient and reducing our CO2 emissions.
As a producing company, we have identified how we can contribute, and how we affect the UN’s global goal no. 12, Sustainable consumption and production. Our goal is for Balco Group to deliver climate-smart products with as little climate impact as possible to the market. The key to this is to streamline our processes, use materials and methods that provide the least possible environmental impact and minimize climate-affecting emissions to air, land and water.
Balco has set as a long-term goal to be climate neutral by scope 1 and 2 in 2045. As an intermediate goal, we will in 2021 reduce CO2 emissions by 5% compared to 2020. The metric is CO2 equivalent compared to the total number of hours worked.
Within Balco Group, we want to create a safe, secure and healthy workplace and part of ensuring that we measure, create action plans and follow up, among other things, sick leave, accidents and staff turnover.We must be an open and inclusive company where employees thrive, perform and develop regardless of gender, ethnicity, religion or sexual orientation. That companies within the Group are safe and secure workplaces for both employees and subcontractors is a basic requirement.
We work systematically to eliminate accidents in order to realize our zero vision. Some common high-risk areas are work at high altitudes, heavy crane lifting and work in an environment that is served by trucks. Important efforts to prevent accidents include safe behavior, education and the right aids.The employee interview fulfills an important function in order to identify training needs, set up career paths and find the balance between work and leisure.
At Group level, Balco Group has chosen to measure the total sick leave, where the goal is to be below 3% of the total planned working hours on an annual basis. Staff turnover is another important focus area that is measured and followed up within the Group, here the goal is to be a maximum of 6% and preferably not go below 4%. A certain staff turnover is healthy for the Group as it paves the way for new energy and competence into the company. The third part that is measured under the human part is the number of accidents, where there is of course a zero vision.
On what grounds and on what values is the company governed is a central part of Balco Group’s overall sustainability work. Our foundations – working long-term, creating products with high quality and long life with properties that enable recycling or recycling – give us the opportunity for good circular economic growth where we can ensure a stable financial result and long-term profitability.
It is important that Balco Group generates a surplus of capital and we realize that our business has a direct financial impact on a variety of stakeholders through increased property values, direct salary, remuneration or returns.
In our code of conduct, CoC, our attitude and requirements are described on a number of important issues such as anti-corruption, human rights, whistleblowers and ethical rules. For the supply chain, a separate CoC has been developed that each supplier has to relate to.
More can be read here: BALCO GROUP CODE OF CONDUCT
To clarify the importance of the Group’s code of conduct, CoC, we have set goals for the behavior expected of the Group’s employees and of our suppliers. Internally, we measure the number of reported and ascertained cases where our CoC has been violated, and on the supplier side, we measure the number of companies that have agreed in writing that it complies with our CoC. For a number of internal cases of established deviations from CoC, a zero vision applies and for suppliers, for 2021, 75% of our suppliers must have agreed in writing to comply with our CoC.
A third measure that we have chosen to focus on when it comes to sustainable governance is the proportion of women in managerial positions. We see great value in an even gender distribution in leading positions and have a conviction that it is a key to success. The goal in a three-year perspective is that we should reach up to 40% and in the slightly longer term have a balance, ie 50-50.