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 10 Mobiles, masts and health 56 Empowering women in 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 23 APPENDIX Energy innovation 25 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 performance indicators 72 37.1 million reduce emissions 34 Independent Limited Assurance 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 employment opportunities our own – to prosper. 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 54,712 Women’s 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 our 2025 goals We aim to connect an additional a significant reduction in the 50 million women living in emerging markets to mobile greenhouse gas emissions To reduce our greenhouse 19.4 million associated with our operations. gas emissions by 50% more female customers in 25 3% 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% of our management and 15% 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 Key highlights of the year Safety 42 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 53 58 Joined a new multistakeholder Vodafone Cyber Code 450 employees 85 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 contributionOur contribution public finances on a of the child. We present our approach on these to the toUN the 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.