Management Report
9. Sustainability
9.1 Sustainability Strategy
The overriding goal of our sustainability strategy is that our company’s actions be guided by long-term values. We are convinced that we can only be commercially successful over the long term if we balance economic growth with ecological and social responsibility. That responsibility is clearly expressed in our mission statement “Bayer: Science For A Better Life,” our commitment to the ten principles of the United Nations Global Compact and our support for the Responsible Care™ initiative of the chemical industry.
We aim to achieve sustainability on three levels:
- Products and innovation: our products are the basis of our value creation, and innovations are the driver of sustainability.
- Business activities: our relations with stakeholders, especially employees, suppliers and customers, are based on sustainable business activity. Core aspects are corporate compliance, responsible human resources policies, product stewardship and sustainable procurement management.
- Social commitment: through our foundations and voluntary social initiatives, we focus on issues of particular social relevance with a clear link to our company.
Sustainability essentially means future viability and as such forms an integral part of our business strategy
(see Chapter 11.2). Our innovative solutions address market opportunities and are aimed at solving global challenges. These are at the focus of our sustainability strategy. Based on this strategy we developed a Sustainability Program in 2009. The program places special importance on alliances for sustainable health care, innovative partnerships to improve the supply of high-quality food, and new solutions for climate protection and use of resources. We have selected eight lighthouse projects that clearly illustrate the focus of our sustainability strategy.
The alignment and steering of our Group-wide sustainability strategy have been assigned to a Group committee headed by the member of the Board of Management responsible for Innovation, Technology and Environment. This committee defines objectives and initiatives, decides on the relevant Group regulations and monitors their implementation.
Sustainability is also something we expect from our suppliers. At the end of 2009, therefore, we adopted and communicated a Supplier Code of Conduct as part of our “sustainability in procurement” strategy. This code contains our fundamental sustainability standards and requirements and is used to evaluate and select suppliers. In 2010 a total of 147 suppliers worldwide were evaluated from the risk point of view. Additional suppliers are evaluated in the course of country- and subgroup-specific projects.
In 2010 Bayer launched a Group-wide process and plant safety initiative to sharpen the focus of our commitment to safety. The most important principles and related organizational structures were set forth in the Group regulation “Process and Plant Safety.” Adjustments to the organization were made in 2010 and the first measures, including special training programs, were implemented.
We pursue our sustainability commitment with the aid of objectives and indicators. In 2006 we defined specific objectives for the period through 2010 in several fields of activity: innovation, product stewardship, management excellence, social commitment and environmental responsibility. In our Sustainable Development Report 2010, we will publish a final report on this target program, publish new goals and describe in detail our accomplishments in the area of sustainability. There we will also outline our progress in implementing the 10 principles of the U.N. Global Compact by showing our activities, management systems and achievements. The Global Reporting Initiative (GRI) has certified that our most recent report meets the highest standard (Level A+) under the current GRI guidelines (G3).