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Sustainability ambitions and KPI´s

To be able to continuously improve, Scania measure and follow up on our performance. To facilitate tracking 18 sustainability KPI’s have been developed, all aligned with our sustainability focus areas. Scanias aim is to integrate sustainability in the normal processes and in all decisionmaking.

Sustainable transport

Energy efficiency

Energy efficiency is at the core of our business independent of which fuel that is used. Fuel consumption is the number one factor for buying a truck or a bus today. Hence, we work relentlessly on improving the efficiency of our vehicles, the sales of our Ecolution programme, the number of drivers who take part in our coaching and trainings, resulting in emission reduction and safer driving, and the amount of Scania Flexible Maintenance contracts that improves the resource efficiency at the workshops and gives the customer fewer standstills.

Scania Ecolution

In 2019, we have continued the focus on Scania Ecolution contracts through for example incorporation in incentive programmes and an expansion to new markets resulting in a continued increase of Ecolution.

Driver training

In 2019, the growth of driver training continued with 63,618 drivers being trained. Our customers really understand the importance of the drivers performance and the continued growth shows the benefit and appreciation for Scania Driver Training.

Driver coaching

After the drop in 2018, that was due to the change to coach drivers based more on individual deviation analysis than on a regular, predefined pattern, we are again growing the number of coaching sessions.

Scania flexible maintenance

In 2019, the target for Scania Flexible maintenance was 100,000 active contracts which was achieved already in November. In 2019, we ended the year with 106,322 active contracts.

Renewable fuels and electrification

In order to phase out the use of fossil fuels, renewable fuels can play a much bigger role than we see today. We are proud to provide the largest variety of vehicles for alternative to diesel on the market; additionally all Scania vehicles can run on HVO. The supply of biogas remains a challenge for the transport sector. Until this is resolved, natural gas will continue to play a role in the transition. Electrification is growing fast; as of today Scania offers solutions including hybrid buses and trucks as well as battery-powered electric buses.

In 2019, we managed to continue to grow the sales numbers of vehicles that can run on alternatives to diesel and landed on 6,631 vehicles which amounts to 6.6 percent of total sales. More than 40 percent of our bus sales now are alternatives to diesel.

Sales of alternative fuels and electrification

Smart and safe transport

Smart and safe transport is dependent on digitalisation technologies to achieve the most efficient transport solutions for cities, industries or logistics. Since 2011, all Scania vehicles are equipped with the Scania Communicator computer as standard. The Communicator collects and analyses data in order for us to provide our customers, and in turn their customers, with ideas and solutions on how to improve efficiency in the transport value chain. Bus Rapid Transit systems (BRT) is an example of a transport system that positively contributes to economic and social development while being an environmentally smart solution to issues such as congestion or pollution in cities.

Connectivity

Even if the year started slow due to adjustment to the GDPR regulations that came into force in late 2018, we ended the year with a strong growth on connected vehicles.

BRT bus registration

In 2019, 598 new Scania buses was registered in BRT systems globally. The target for 2020 is to register 750.

Responsible business

Environmental footprint

Proactively reducing our environmental footprint by being resource and energy-efficient is central to Scania’s daily operations. Our efforts are based on the precautionary principle and the lifecycle perspective aiming to contribute to a circular economy. Our core value ‘elimination of waste’ guides us in our work to continuously improve our processes in areas such as CO2 emissions, energy, waste and water. We have set two strong CO2 reduction targets that apply to the
whole company, both of which are in line with what science tells us is necessary to curb global warming. By 2025, Scania aims to achieve a 50 percent CO2 reduction in both our industrial and commercial operations compared to 2015, and a 50 percent reduction in CO2 emissions from our land transport per transported tonne with 2016 as a baseline. We are certified according to ISO 14001 and continuously improve the environmental performance of our products, processes and services.

CO2 emissions from land transport

The emission level per transported tonne continued to decline during 2019, due to active work with efficiency improving measures making us on track for our 2025 target. Total emissions went up due to increased demand from production. More measures including non-land transport is reported online.

Target

50%

reduction in CO2 emissions from land transport per transported tonne between 2016 and 2025.

Energy consumption from industrial facilities

During 2019, energy consumption has decreased on a total level and is stable per produced vehicle.

Target

33%

less energy per produced vehicle in industrial operations between 2010 and 2020.

Fossil-free electricity purchased and internally generated

In 2019, Scania continued to purchase fossil-free electricity, with more than 95 percent coming from fossil-free sources. During 2020 our last production facilities will join in, running their operations on fossil-free electricity.

Target

100%

of our operations run on fossil-free electricity by 2020, where the necessary prerequisites are in place.

Waste material that is not recycled

During 2019, the level of waste that is not recycled has increased somewhat per produced vehicle due to a decrease in produced vehicles. Total waste levels are kept on a similar level as last year.

Target

25%

reduction of waste per produced vehicle, that is not recycled in our industrial operations between 2015-2020.

Diversity and inclusion

At Scania, we know that we need to have a diverse organisation in terms of gender, age, background and experience. The right mix of skills and perspectives, in combination with a working environment built on trust and inclusion, is a prerequisite for Scania to continue taking the lead in sustainable transport. Our Skill Capture programme is designed to broaden the scope of diversity to address all the ways that we are diverse; gender and cultural diversity as well as personality and experience as well as looking at how we can improve our inclusiveness. It is a programme that covers all levels of the organisation and has been developed to cover the full circle – from initial awareness, to action, continuing with recurring check-ins to further continue the journey towards a fully diverse and inclusive company. Diversity and inclusion at Scania is about continuously developing our corporate culture, forming our strategy in the area by using the collective intelligence of the Scania organisation.

Diversity and inclusion index

In 2019, we increased the number of countries participating in measuring the index from 5 to 43. Despite the substantial increase in both number of countries and participants we manage to stay on a high level.

Target

>85%

on the related questions in the Employee Satisfaction Barometer.

Gender equal opportunities

In 2019, we see a shift where women take the lead in equal opportunities to become a manager. We believe this shows that our work with Skill Capture and diversity and inclusion with a broader approach has led to increased awareness of, and an increased focus on, equal opportunities in our operations globally.

Target

Equal

opportunities to become managers for men and women.

Human and labour rights

Pursuing high standards in the area of human and labour rights is central at Scania. Scania works to manage its impacts and support people throughout our value chain, from our own employees to our suppliers, customers and communities. We are actively developing our companywide approach to human rights risk and human rights due diligence. Scania also believes that good relations and social dialogue improve the work environment as well as company performance.

 

Scania’s European Committee is our highest labour relations forum, where we continuously inform and consult with our employee representatives globally. Scania has also participated in the creation and launch of the Global Deal, a high-level partnership with countries, organisations and businesses, working towards the achievement of the Agenda 2030 with a focus on decent work and reduced inequalities. Further on, we publish a slavery and human trafficking statement that applies to our global operations. We know that some of the biggest risks when it comes to human and labour rights are in our supply chain. We therefore insist that our suppliers meet the highest standards and act in full accordance with our policies and guidelines concerning human and labour rights. By conducting sustainability trainings for our suppliers we make sure that they continuously improve in the area.

Sustainability risk assessed suppliers

During 2019, Scania managed to increase the number of suppliers in the highest score category to 57 percent. The number of not assessed suppliers is now down to 17 percent. Both new and existing suppliers have been assessed. Suppliers are assessed in the areas of: social sustainability, business conduct and compliance, environmental sustainability, supplier management and conflict minerals.

Target

100%

of our suppliers are in the highest score category.

Collective bargaining agreements

We continuously work to ensure our employees’ right and possibility to engage in dialogue with the company, as well as good working conditions. One way of measuring this is the percentage of employees covered by collective bargaining agreement. For 2019 this landed on 73 percent.

Target

100%

our vision is that 100 percent of our employees should have the possibility to form collective bargaining agreements or in other ways engage in constructive dialogue, by themselves or through representatives

Health and safety

As a natural part of a sustainable society and the vision of becoming the leader in sustainable transport, the safety and health of all Scania employees are top priority. Our goal is to preserve and promote the safety, health and well-being at work for our employees. All work within this area is executed and aligned with existing principles and our core values. Scania strives to achieve a sustainable workplace and a good working environment from both psychosocial and physical aspects and commits to comply with any demands in accordance with legal and other applicable requirements issued by national authorities and by Scania self-appointed targets within the area. On our journey to become and remain a top employer with top employees, all our activities shall be based on the principle “By creating good working conditions all injuries and ill health can be prevented”.

Healthy attendance

Through a dedicated management team, engagement among
our employees and a systematic way of working we continuously improve our performance and create good health for our employees. The global healthy attendance have increased during 2019 and is on 96.5 percent, keeping us close to our target.

Target

97%

healthy attendance.

Occupational accidents with sick-leave

With dedication from our managers, engagement among our employees and a systematic way of working with deviations, risks but also possibilities, we have continuously improved our performance and are closing in on our target.

Target

<5

accidents per million worked hours.

Business ethics

Scania has zero tolerance for corruption and adheres to high ethical standards wherever we operate in the world. The Scania Code of Conduct lays down the overarching framework and provides guidance for how employees are expected to act. More detailed rules regarding business ethics and compliance topics are set out in a number of Scania Group Policies, which are applicable in all Scania entities globally. These policies cover topics such as donation and sponsoring, benefits to and from counterparties, prohibition of facilitation payments, anti money-laundering, competition law, avoidance of conflicts of interest and due diligence of sales intermediaries. Scania Group Compliance, a dedicated central compliance function with regional and local reach, is responsible for the Code of Conduct as well as relevant Group policies and provides both classroom and online trainings. In order to offer the Scania organisation world-wide comprehensive support within business ethics, Group Compliance works closely with Scania’s sustainability department, also covering human rights topics. Another core part of Scania’s business ethics efforts is the whistleblowing system. The whistle blower programme and our independent internal audit played crucial roles in the revelation and decision to institute measures against selected managers for irregularities associated with sales in the Indian market. This was one of the reasons that Scania in 2018 decided to terminate sales of public transport buses in the Indian market.

Business ethics training

During 2019, over 35,000 employees globally, corresponding to 72 percent of our employees, received training in business ethics. Among these almost 15,000 received classroom training.

Target

100%

of our employees are trained in business ethics.

  • For more details and definitions on our sustainability KPI’s see pages 133-135 in the Sustainability and annual report 2019.