Integrating sustainability into our strategy

Husqvarna Group’s products are enabling performance in nature and its business has significant impact on the environment and on society. Sustainability is integrated into our operations because it is regarded as a prerequisite for conducting profitable and responsible business.

When integrating sustainability into our strategy, we have taken the following steps:

Drivers and megatrends

Understanding future stakeholder expectations is critical to develop a resilient, long-term strategy. An important part of understanding future customer requirements and the business landscape has been to identify and assess the impacts of the megatrends shaping our world, such as climate change, urbanization and globalization on society.

To drive the global development in a desirable way, the UN has decided upon 17 Development Goals. Husqvarna Group has identified goals where it has direct impact.

UN 17 new Sustainable Development Goals

More about Strategy

Stakeholder dialog

Listening to and learning from our stakeholders enables us to meet expectations and improve conditions for long-term business success. Dialogue with employees, investors, end-customers, trade partners and suppliers is ongoing on many levels throughout our global operations. The responsibility for maintaining dialogs with representatives from the local community is handled on local level. Operations also cooperate with various non-governmental organizations, while shareholder dialogs take place on the Group level.

Our most important stakeholders – shareholders, retailers, employees and potential employees — contributed to our strategy development during the year by providing input for identifying and prioritizing sustainability topics relevant to our business.

Stakeholder

Dialog in 2015

Key issues

How Husqvarna Group addressed the issue

Shareholders, -investors and analysts

 

• Annual General Meeting

• One-on-one meetings with investors and analysts

• Seminars with the investment community

• Long-term strategy

• Profitability

• Corporate governance

• Sustainable operations

• Developed divisional strategies

-Strengthened sustainability

• Code of Conduct further implemented in operations

• Participated in seminars on human rights

Employees

• Management meetings

• Annual employee team survey

• Performance reviews

• Team meetings

• Unions and work councils

• Fair compensation

• Career opportunities

• Talent attraction and retention

• Good environmental practices

• Sustainability

• Safe and healthy workplace

 

• Top Management Meeting focusing on the divisional strategies, culture and sustainability

• Internal audits

• More modules in the new leadership training program

• Held union negotiations 

• Code of Conduct training

Potential -employees

• Career fairs and events
at selected universities

• Trainee program

• Summer internships

• Internships

• Social media

• Career opportunities

• Safe and healthy -workplace

• Offered internships

• Offered internship to members of AIESEC

• Offered summer jobs

• Second global trainee program

  • Offered a special course together with Jönköping University

Suppliers

• Large supplier meetings via the Excite program

Local supplier meetings and training

• Audits at selected suppliers

 

• Quality

• Fair compensation

• Environment, Health and Safety (EHS) performance

• Signed supplier agreements

• New manual for supplier sustainability requirements

• Updated Restricted Materials List

• Trained suppliers in the Business Code of Ethics

• Trained internal quality auditors in Environment, Health and Safety (EHS)

• Monitored and evaluated supplier EHS performance

Trade partners

• Regular meetings and conferences

• Training program for dealers
(Husqvarna Academy)

• High-quality products

• Innovative products

• Delivery on time

• Increased sales

• Environmental performance

• Innovation of product performance

• Cintinued focus on quality in delivery

 

End-customers

• Focus groups

  • Qualitative research
  • Quantitative research
  • One on one interaction with end customers in their environment

• Field tests- beta tests

• Social media

• Top 5 criteria: Built to last for years, Value for money, Safe, Comfortable to hold and Robust

• Continued focus on high quality

• Launched more battery products

• A common Customer Relationship Management system
covering several countries as well as Construction

Society (non-governmental and

governmental organizations), media

• UN initiatives

• Trade and industry organizations

• Local communities

• Community engagement 

• Transparency

• Risk and crisis management

• Environmental performance

• Carbon footprint

• Legal compliance

• Profitability

• Human rights

 

 

• Signatory of UN Global Compact

• Reported to the Carbon Disclosure Project (CDP)

• Participation in trade and industry organization forums

• Meetings held with local communities around production
facilities

• Involved in several local community engagement projects

 

 

Anchoring the sustainability strategy

Based on the materiality analysis and analyz­ing the Group’s impacts at every phase of our value chain, our sustainability strategy is focused on three main pillars. Within these areas sustainability objectives, targets and action plans will be developed in 2016.

Strong culture

Culture is considered an important building block for Husqvarna Group to reach the 2020 market leadership position. During the year, numerous culture dialogs were held in the Group around our key behaviors; Seek the customers point of view, Demonstrate collaboration and Maintain focus and simplicity. The starting point for these dialogs was to realize that change starts with me and by asking the question "What can I do?"