SUSTAINABILITY REPORT 2012 Contents: 3 CEO Message 4 About Relacom 8 Key Strategies & Goals 10 Environment 14 Customer Relations 18 Employees 24 Community Involvement 26 Stakeholder Engagement 27 About this Report 28 GRI Cross-Reference Index © Relacom 2013 Welcome CEO Message This is our second sustainability report in accordance with Global Reporting Initiative guidelines, summarising our actions and impact throughout 2012. Our sustainability programme is based on our Values, Code of Conduct and Global Compact’s ten principles, which we are committed to continuing to support throughout the coming years. The purpose of our sustainability programme is to ensure we conduct our business in a responsible way. » We have reduced both our energy use and CO2 emissions by 25 % through reducing the number of Our focus on sustainability is something we take very vehicles in our fleet, introducing fuel-efficient engines, seriously and consider an integral part of our Vision: to be using online travel logbooks and providing training in the number one technology services company. To achieve eco-driving. this, we all have to share the same understanding of where we are going, how we will get there and what it will take to » Furthermore, we began installing a GPS system, in reach these goals. order to cut down on travelling distances. Not only does this save time, it also increases the efficiency of Highlights of 2012 our operations and reduces both costs and CO2 emissions from transport. Over the past year we increased our efforts to establish our key strategies and implement the organisational structure. To summarise, these combined efforts are hugely important 2012 was also marked by a number of activities aimed at in helping us focus on key areas, but what really counts, and improving our common sustainability programme - some what the formal reports are based on, is how we act when highlights of which include: conducting our day-to-day operations. While we have introduced a comprehensive sustainability programme, » Together with our key strategies, we developed much remains to be done during the coming years to processes and methods for following up on customer develop our sustainability goals and improve our routines. satisfaction issues and we conducted our first customer satisfaction survey. The overall score for the Relacom We would like everybody connected with Relacom to believe Group in 2012 was 69 out of 100. in our full commitment to delivering our services with the highest levels of competence and safety, as well as » The results of our employee survey for 2012 indicate constantly working to reduce the impact of our operations on that employees rated most positively factors such as the climate and environment. workplace atmosphere (3.89 out of 5), competence (3.70) and staff motivation (3.67). » We assisted Telenor in Denmark in developing renewable energy-based power supply solutions. The Thomas Körmendi, project consisted of designing and installing wind and President & CEO solar power solutions in three locations in order to supply renewable energy for Telenor’s base stations. The project is of key importance in contributing to the increasing use of renewable technologies. 3 About About Relacom Relacom is a leading technology services provider in Orbion Consulting, which operates in Denmark, Finland, Northern Europe. We plan, design, construct, install, and Norway, Poland and Sweden, is part of the Relacom Group maintain networks and equipment which drives society’s and offers leading consultancy services within the telecom needs. We offer strategic solutions for the and energy provision markets. Together, Relacom and telecommunications, power supply and M2M (machine to Orbion offer unrivalled integrated solutions through the machine) markets. We provide a broad range of services by entire value chain for both local, national and combining the best competence in the industry with transnational customers. state-of-the-art technology and solutions. Our Operational Structure Our Market In the Relacom Group, business operations are conducted Relacom offers strategic integrated services to major independently in each country of operation and are led international companies and has a strong position as a by the country General Managers. The support functions local partner for companies, municipalities, energy include human resources, finance and communications, and providers, network owners and consumers. Our proven track these are shared commonly. Our business operations are record extensively covers the construction of separated by business area into Telecom, Power Supply, nationwide mobile networks, life-cycle management of M2M Systems and Orbion consulting. Relacom Group is electrical and telecom networks, installation of fibre optics owned by a bank consortium consisting of Nordea Bank for new residential areas, securing of wireless Norge, Svenska DNB Bank and the Copenhagen branch of communications for workplaces and private homes, and the HSH Nordbank. installation of networked applications for retail and logistics companies. Company Name: Relacom Group (Relacom Management AB) Location of Headquarters: Stockholm, Sweden Countries of Operation: Denmark, Finland, Norway, Poland & Sweden Turnover: 5,1 Billion SEK Number of Employees: 5031 Volume of Services: 1,000,000 visits to customers per year 4 Our Organisational Structure CEO Support & CFO Group Functions Norway Sweden Finland Poland Denmark Telecom Power Supply M2M Systems Orbion Consulting CUSTOMERS Regional, National and Transnational Governance As of 2011, Relacom is a UNGC The company’s shareholder’s meeting represents the top signatory. This commitment entails legal entity of the Group. Decisions made by the working in accordance with the UN’s shareholders are translated into instructions, frameworks ten fundamental principles for and targets by the board of directors (Chair of the Board: responsible business. The Global Mats Lönnqvist), before being communicated to the Group’s Compact includes: Principles for management team. human rights, labour conditions, environment and anti-corruption. We The Group’s management team subsequently runs the also submit a report annually, entitled company in line with these instructions and frameworks to ‘Communication on Progress’, which meet the targets set by the board of directors. Below this summarises our commitment to the Did you know? level, the Group is managed by management committees Global Compact’s ten principles. via robust reporting lines. In 2012 we held a two-day meeting with Relacom’s Business Based on Strong Values Global Compact 1-2, 4-6, 10 management. Ninety managers and key personnel gathered in Stockholm with the goal of sharing the vision to achieve We often serve as the link between operators, power the highest possible customer focus in a dynamic company, companies, end users and suppliers. It is a role which is characterised by a constant desire to improve. These closely linked to responsibility. How we structure our combined factors lead to sustainable profitability, a strong processes and manage our production affects our impact on market position and satisfied employees. the environment and society. We therefore base our business on core values - Experience, Presence, and During the meeting, we jointly identified priorities and drew Innovative Power. up concrete measures for continuing our progress in this direction and thereby increasing value for customers, Furthermore we have developed the Relacom Group’s Code owners and co-workers. of Conduct, which is based on the Core Values and the ten principles of the United Nations Global Compact (UNGC). 5 The purpose of our Code of Conduct is to outline the rules according to which we at Relacom should act. In our Code of Conduct we have defined rules regarding health & safety, abolition of discrimination, respecting labour rights, abolition of child labour and forced labour, environmental responsibility, supply chain responsibility, business ethics and anti-corruption. All managers work in accordance with the principles and values within our Code of Conduct. All new employees receive information about our Code of Conduct together with their introductory programme. We have also implemented a “whistle blower” system, in which employees are able to report any violations relating to principles in our Code of Conduct. Crisis Management A crisis or disaster can occur anytime or anywhere. Perhaps an employee might suffer a serious accident, or there is a fire and damage to one of our facilities, Relacom could even become involved in a social crisis. To deal with this in an effective way, Relacom has established a crisis management organisation, which can be convened quickly. Using action plans, checklists and support, emergency management procedures will resolve the crisis and minimise their consequences. For crisis management to work in practice, it must be very simple. We have implemented a process, currently limited to Sweden, where each employee receives a “Crisis Card” with a number to the crisis management system, which is accessible 24/7, and a description of how to respond in a crisis situation. Three quick questions will help employees to make the correct assessment of the situation: Firstly, is there a risk that the incident involves injury to any person or Relacom? Secondly, is immediate action required? Finally, can I influence events by intervening? 6 Key Strategies Key Strategies and Goals Did you know? One Company Relacom’s vision is to