INNOVATIVE SOLUTIONS FOR A SUSTAINABLE COMMUNITY 2016 ANNUAL SUSTAINABILITY REPORT CONTENTS I. Letter from the CEO II. SIVECO Romania S.A. II.1. Company Profile II.2. SIVECO Business Model II.3. Governance & Ethics III. Sustainability in SIVECO Romania III.1. Sustainability Management & Objectives III.2. Stakeholder Engagement III.3. Materiality IV. SIVECO’s Performance V. The team: passion and innovation VI. Projects of major interest to the community VII. Clients are SIVECO’s priority VIII. Policy and Environmental Management System IX. Appendix IX.1 Report profile: Methodology, Definitions & Principles IX.2. Global Reporting Initiative (GRI) Content Index 3 Letter from the President and CEO 4 SIVECO Romania is an European company, with unique skills and internationally competitive experts and the only Romanian software company that provides IT services directly to the European Commission organizations. We are committed to continue innovative projects implementation that are contributing to the welfare of the community. For more than 25 years our global IT solutions, made in Romania are generating positive, change, prosperity and competiveness for our clients. In 2016, the defining feature of our company was the economic agility, as we have succeeded to rapidly adapt to the fast changing internal and external environment, launching new products like WAND and INOVAGRIA. The advantage of having on our side the most passionate and dedicated team allowed us to develop and coordinate important Research & Development projects financed directly by the European Commission. Projects like Brain @ Home: Moving and enhancing brain training for an active life and FLOOD-serv - Public FLOOD Emergency and Awareness SERVice brought to our company the opportunity to coordinate international partnerships and to get involve in solving major problems our community is currently facing. Through our innovative projects and high qualitative products we want to create digitally inclusive communities and to empower the next generation with the right instruments to tackle the challenges awaiting them. For example, with Wand.education™ application SIVECO wants to raise the quality of the teaching process empowering teachers to bring to their students the pedagogical methods long promised, but never before practical in many schools worldwide. In the last 2 years, transparency has become one of the main business tools for our company helping us to clarify, understand and overcome critical situations, including the difficulties from 2014. In this regard, we have carried out a thorough analysis of all processes and organizational procedures in order to identify measures needed to correct ethical and law enforcement vulnerabilities and to prevent similar cases from occurring in any of company’s operations. Continuing the tradition instituted 8 years ago, in 2016 we have published as well our Sustainability Report - Creating Software that matters for Sustainability, in conformity with the Global Reporting Initiative - G4 guidelines, a report that received the award for the best Sustainability Report from Romania within the competition Green Frog Award. Going forward with our commitment to be a responsible and competitive company, we are inviting you to read our new Sustainability Report and discover the main benchmarks of our sustainability performance journey from 2016. Florian-Gabriel ILIA, President & CEO, SIVECO Romania 102-14 5 II. SIVECO Romania S.A. II.1. Company Profile SIVECO Romania S.A. is a company specialized in developing large and complex IT projects for education, health, agriculture, customs organizations, European institutions, private companies and public sector. Over more than 25 years, SIVECO is consistently ranked first in the top of the local IT services market. The results of IDC’s - International Data Corporation analysis, a benchmark for local business environment analysis, confirm that company was synchronized in real time with market requirements, proposing mature studyolutions that include modern technology. The IDC study makes the most complete radiography of the Romanian IT services market and analyzes the evolution of over 100 IT service providers operating in Romania. Thus, IDC reconfirmed SIVECO’s position in the top of the most important IT service providers on the Romanian market in 2016, with a market share of 5.4%. Mission We want our global IT solutions, made in Romania, to generate to our clients positive change, prosperity, competitivity and access to progress. 102-1 7 Evolution SIVECO Romania, a company that contributes effectively to the Romanian IT history through determination, character, loyalty, pioneer spirit and intelligence. 1992 >> SIVECO Romania SRL is established. 1994 >> Starting to develop its own information system called Integrated SIVECO Applications. 1995 >> The organization starts the implementation of the quality system, according to the ISO 9001:1994 standard. 1997 >> SIVECO Romania is changing the form of organization becoming a Joint Stock Company. 1998 >> Participation in consortium in the fi rst large scale project, introducing IT to the Maritime Ports Administration Constanta. 1999 >> SIVECO Romania receives the certifi cation of quality system ISO 9001:1994 by AFAQ ASCERT INTERNATIONAL and by OMCAS. 2000 >> The AeL eLearning solution is launched. 2001 >> SIVABON and SIVADOC are launched. >> The project of the IT-based Education System starts (SEI). 2002 >> The quality management system of SIVECO Romania is certifi ed by AFAQ ASCERT INTERNATIONAL in accordance with ISO 9001:2000 standard 2003 >> The AeL eTraining solution and SIVECO Applications 2007 are launched. >> The project of the Unique Integrated Information System for the National Health Insurance House starts. 8 2004 >> The portfolio of Romanian clients expands and reaches over 300 large organizations. 2005 >> Intel Capital and Polish Enterprise Fund V become shareholders of SIVECO Romania. 2006 >> The project of introducing IT to APIA (The Payment and Intervention Agency for Agriculture) kicks off. >> SIVECO Romania participates in the implementation of the integrated information system for the National Health Insurance Fund in Bulgaria. 2007 >> The company runs many major international projects in Lebanon and United Arab Emirates. 2008 >> SIVECO Romania acquires Latona Bulgaria SIVECO. >> Balanced Scorecard and iTAX Collect applications are launched. >> The project for introducing IT to the education system in rural areas kicks off. 2009 >> SIVECO Romania launches the new version of the integrated package SIVECO Applications 2011. >> SIVECO Romania launches Agricultural Register. >> eCustoms solution is implemented for National Custom Authority of Turkey. >> Our company is re-certified by AFAQ AFNOR INTERNATIONAL for ISO 9001:2008 standard. >> The first public Social Responsibility Report of SIVECO Romania is awarded with the Ruban d’Honneur. 2010 >> SIVECO Romania is becoming the main supplier of IT solutions for the Ministry of Education in the Kingdom of Morocco. >> Launching SIUI 2 for CNAS >> eLearning platform and digital content for Cyprus school. >> Pilot project - digital content - for 20 schools in Moldova. 2011 >> New contracts with European Union’s institutions: The Publications Office of the European Union and the Executive Agency for Health and Consumers. >> Launch of the eCustoms NCTS solution at the customs in Macedonia. >> SIVADOC solution is implemented in Chisinau City Hall. >> The R&D project RENOVA is launched. >> Launching the Multi-touch discipline in high schools. >> Publishing the computerized examination results for admission in high schools using, in premiere, the cloud computing technology. 9 2012 >> A new office in the commercial center of the United Arab Emirates, Dubai, is opened. >> A strategic partnership is signed with the Political Studies School NUR Otan in Kazakhstan. >> SIVECO Romania received a couple of international awards. 2013 >> SIVECO Romania becomes “Winner” at the European IT & Software Excellence Awards 2013 for 3 projects. >> The solution dedicated to managers, SIVECO Business Analyzer, is updated. >> SIVECO Romania is designated one of Europe’s 20 Fastest Growing and Most Innovative e-Learning Companies within EdTech 20 competition, organized by Edxus Group, London. >> The ERP System SIVECO Applications 2020 is implemented at Black Sea Terminal (Georgia). >> SIVECO Romania signs two contracts with the Ministry of Education in Malta. >> SIVECO Romania receives other international prizes. >> The first digital manuals is elaborated. >> The company opens its 5th international office, at Ankara, Turkey, and the 3rd in Asia. >> There is a change in the shareholder structure of SIVECO Romania. 2014 >> SIVECO Romania starts the collaboration with Nazarbayev Intellectual Schools for the development of digital educational content. >> SIVECO launches new products. Launching of the math digital manual. 2015 >> Launching of Farms Management Solution. >> Launching of Health Insurance Card. >> According to the latest market analysis published by International Data Corporation (IDC) for 2014, SIVECO ranks second place in IT Services Market ranking, with a market share of 6%. 2016 >> Launching new products: WAND, Inovagria, Ael Cloud, SIVMED Assis- tance. >> Project Coordinator for the 2020 Horizon projects: RED-Alert - Real time Early Detection and Alert System for Online Terrorist Content based on Natural Language Processing, Social Network Analysis, Artificial Intel- ligence and Complex Event