CR Program—Corporate responsibility and CR management

In our CR program, we present our goals for sustainable corporate responsibility and our CR management as well as the key aspects, which we have defined in six focus areas and for each of which we have derived an overarching objective. From the focus areas, we have derived Group-wide, division- and business area-specific subject areas, which are also defined with corresponding goals and measures.

Subject area Goal by 2020 Status December 31, 2016
Strategy and organization Foster workforce awareness of CR issues and further embed these issues Group-wide CR established in 2016 as fixed feature in onboarding events for new recruits (three events at HOCHTIEF Solutions in 2016) CR issues given stronger emphasis in internal communications
Measurability and data quality in CR reporting Ongoing participation in national and international sustainability ratings Included again in the Dow Jones Sustainability Index (DJSI) Europe for the eleventh time in a row and included in DJSI Yearbook 2016
CDP: DACH region Sector Leader Industrials 2016
Continuous improvement in CR data quality SoFi sustainability software (by thinkstep) implemented, Group-wide rollout launched
Gradual development toward integrated reporting Third combined Group Report presented
Innovation Encourage transfer of knowledge between the divisions Exchange on BIM initiatives continued at HOCHTIEF Solutions through 2016. Working groups set up within HOCHTIEF Solutions as part of BIM initiatives; standardized control system adopted
2017: Group-wide innovation award planned
Uphold investment volume in R&D projects Investment volume 2016: approximately EUR 4.5 million (2015: EUR 4.7 million, 2014: EUR 3.2 million)
Increase number of ideas generated by Ideas Room and Ideas Management workshops to 200 ideas a year 2016: Ideas Workshop (126 ideas, of which 35 adopted for the Ideas Room) and a Best Practice campaign held at HOCHTIEF (12 ideas). Across all channels, 189 ideas generated at HOCHTIEF Solutions in 2016.
Promote innovative technologies in the construction process LED lighting innovation project launched, with expansion planned for 2017
Reputation Maintain high image and reputation value of HOCHTIEF at ≥ 75% 2016: 84%
Stakeholder involvement Develop and implement an extended concept for conducting a materiality analysis in accordance with GRI G4 Expanded group of respondents from 2015 retained for materiality analysis in 2016; participants: 1,670 (2015: 2,117)
Materiality analysis performed in all three divisions
Hold annual stakeholder dialog events and develop this format further Third stakeholder dialog event held on November 30, 2015
Concept to be further developed in 2017
Step up analyst and investor communications on sustainability 2016: Participated in two roadshows; active dialog on CR issues with individual analysts

Overarching objective: We aim to set standards with our code of conduct.
Subject area Goal by 2020 Status December 31, 2016
Anti-corruption and economic crime Expand training offering In 2016, almost 16,750 employees (2015: 15,300) throughout the Group received compliance training.
Expand Group-wide standards on dealing with business partners Further expansion of compliance requirements HOCHTIEF Business Partner Compliance Due Diligence
Further expand monitoring activities Compliance risk analysis taken to greater detail level; compliance spot checks extended
Overarching objective: We aim to further boost our position as a sought-after employer and, over the long term, make a name for ourselves among the most attractive employers in the industry.
Subject area Goal by 2020 Status December 31, 2016
Non-financial performance indicator Reduce Lost Time Injury Frequency Rate (LTIFR) to 1.35 LTIFR in the HOCHTIEF Group in 2016: 1.32, marks improvement on prior year (1.38) and attainment of target (reduction in LTIFR to 1.35)
Certification Increase percentage of employees working according to an internationally recognized occupational safety and health management system to 90% Group-wide certification rate 2016: 84.8% (2015: 79.6%)
Employee satisfaction Maintain average tenure of employment (comparative figure: 2014) HOCHTIEF Americas Division: 7.2 years (2015: 7.6 years; 2014: 6.7 years)
HOCHTIEF Asia Pacific Division: 3.1 years (2015: 3.0 years; 2014: 3.9 years)
HOCHTIEF Europe Division: 11.0 years (2015: 11.2 years; 2014: 11.1 years)
Train employees Maintain average number of continuing education hours per employee within the Group at current level (comparative figure: 2014) 2016: 12 continuing education hours per employee (2015: 13 hours)
HOCHTIEF Americas Division: around 24 hours
HOCHTIEF Asia Pacific Division: around 8 hours
HOCHTIEF Europe Division: around 12 hours
Selectively foster young specialist and managerial talent Group-wide 590 participants in talent pools* (2015: 412)
Recruitment Increased recruitment of young engineering talent Recruitment of young talent specifically for future specialist and leadership positions: more than 70 young engineers recruited in Germany
*Talent pool = Group of selected high-potential employees given targeted coaching for positions as experts or in middle management.
Overarching objective: As a partner to subcontractors, we aim to redouble our efforts to ensure fair, transparent procurement processes and further step up purchases of sustainable products and materials.
Subject area Goal by 2020 Status December 31, 2016
Prequalification Continuously increase proportion of prequalified and validated contract partners Contract partners prequalified and validated:
HOCHTIEF Americas (Turner): 100%; HOCHTIEF Asia Pacific: 90%; HOCHTIEF Europe: 99%
Include further CR criteria in prequalification process Separate business partner due diligence introduced
Evaluation Increase number of subcontractors, suppliers and business partners evaluated 500 evaluations performed at HOCHTIEF Europe
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Overarching objective: We aim to develop sustainable products and services for transportation infrastructure, energy infrastructure, social and urban infrastructure, and mining. For this reason, we take an integrated approach to our projects and ensure top quality from end to end.
Subject area Goal by 2020 Status December 31, 2016
Sustainability Competence Team Develop solutions to meet the needs of the market Focus areas in 2016:
Development of instruments to demonstrate the added value of sustainability for clients
Systematic collation of sustainability information for inclusion in bid processes
Green building and green infrastructure Expand range of sustainable projects in building construction and civil engineering Group-wide Cumulated values as of Dec. 31, 2016:
Certified green buildings (LEED, DGNB, Green Star, BREEAM, other certificates): 664; certified and registered sustainable infrastructure projects (ISCA, CEEQUAL, Greenroads): 25
Accredited auditors (as of December 31, 2016)
LEED: 1,451; DGNB: 4; Green Star: 5; ISCA: 52; Greenroads: 2; CEEQUAL: 2; other: 49
Building Information Modeling (BIM) Promote further development and implementation in all HOCHTIEF divisions Innovation focus; over 1,562 BIM projects in HOCHTIEF Group delivered by 2016 (2015: 1,433);
HOCHTIEF Americas Division (Turner): around 1,000 BIM projects
HOCHTIEF Asia Pacific Division (CIMIC): 87 BIM projects
HOCHTIEF Europe Division: 475 BIM projects
Continuously increase the number of BIM training courses 390 employees received training (HOCHTIEF Americas Division 57, HOCHTIEF Asia Pacific Division 215, HOCHTIEF Europe Division 118)
Promote Group-wide exchange Working groups continued
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Overarching objective: We aim to conserve natural resources and enhance resource protection. We work actively to save CO2 emissions ourselves and jointly with our clients and business partners.
Subject area Goal by 2020 Status December 31, 2016
Strategy and organization Commitment to climate protection Declaration on Climate Action Plan 2050 to coincide with COP 22 Climate Change Conference in Marrakech
Ensure permanent listing in CDP HOCHTIEF, CIMIC, and Turner took part in 2016
HOCHTIEF: B grade, status: Sector Leader Industrials in the Climate Change Disclosure Program
CIMIC: C grade in the Climate Change Disclosure Program, B grade in the Water Disclosure Program
Turner: B grade in the Supplier Engagement Rating, C grade in the Climate Change Disclosure Program
Greenhouse gas emissions Compile statistics on greenhouse gas emissions in all HOCHTIEF divisions Data collated in the HOCHTIEF Europe and HOCHTIEF Asia Pacific divisions; collation initiated at the HOCHTIEF Americas division in 2016
Promote measures for saving CO2 Ongoing as part of project activities
Take CO2 compensatory measures HOCHTIEF holding company 2016: 34.2 metric tons of CO2 compensated in relation to print products (2015: 41.4 metric tons of CO2)
Energy efficiency Launch energy efficiency initiatives Competition for Group-wide HOCHTIEF Energy Award; 44 entries in total
Environmental management Increase percentage of units certified according to environmental management systems (in relation to number of employees) Group-wide certification rate: 73.3% (ISO 14001) (2015: 68.14%)
Recycling rate (includes reuse) Increase recycling rate to 85% Group-wide recycling rate: approximately 74.3% (2015: 81.9%)
Data quality on resource consumption Increase coverage for relevant environmental data to 100% Water consumption: 49.9% coverage (2015: 45.5%); waste: 98.4% coverage (2015: 100%)
Water conservation Participation in CDP Water Disclosure Program B grade for CIMIC
HOCHTIEF participation under preparation
Overarching objective: We aim to get involved in the community wherever our company is at work or can offer added value by virtue of its capabilities.
Subject area Goal by 2020 Status December 31, 2016
Community initiatives Promote sponsorship activities in relation to HOCHTIEF projects Examples of this can be found on the Internet www.hochtief.com/community
Continue involvement in Bridges to Prosperity and extend Group-wide 2016: One project carried out in Rwanda, two in Nicaragua,
see www.hochtief.com/b2p. All HOCHTIEF divisions participated.


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HOCHTIEF CR
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