Sustainable development is the greatest challenge of our times. As the industries we operate in have a vast impact on the planet’s ability to sustain an increasing quality of life for everyone, global megatrends shape our business and guide our strategy. To meet the needs of the present without compromising the ability of future generations to meet their own needs, environmental, social and economic considerations are important to FLSmidth and are therefore integrated into our business model.

With our vision “to drive success through sustainable productivity enhancement”, our approach to sustainability is market-driven. Our pledge to the United Nations Global Compact and our values of competence, cooperation and responsibility provide the foundation for achieving strong results.

Impacts and risks

We seek to identify and understand all major sustainability impacts, opportunities and risks throughout our value chain. This relies on engagement with all relevant stakeholders, through transparency, open communication channels and meaningful dialogue. We evaluate and manage our impacts from our own activities, our supply chain and from customers’ use of our projects, products and services. For the impacts where we have directly control, we set targets in order to continuously improve over time. For impacts that we can influence, such as suppliers, joint ventures and customers, we strive to promote our values and commitment to sustainability to the greatest extent possible.

Governance

Our commitment to sustainability is enforced through this policy framework, with Board of Directors' oversight. Operational matters are delegated to the Sustainability Board, chaired by the Chief Executive Officer, who is accountable for continual performance improvements based on informed decisions. Each individual policy is owned by a member of the extended Group Executive Management, who sets targets and has them approved by the Sustainability Board. They are responsible for integrating sustainability considerations into all applicable processes and business functions. They are to enable employees to know, understand and implement the measures required for achieving strong results.

 

Transparency

Transparent communication on our sustainability performance is provided through external disclosure of our annual sustainability report. This is structured and presented according to national laws and international standards, with the aim to provide accurate and relevant information for all stakeholders.


In line with above, we have a regularly updated policy framework in place that clearly defines our specific commitments for each major impact:

Stories from FLSmidth