Volvo 2008 Annual Report Download - page 38

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Sustainable development
The Volvo Group’s mission is to create value for its shareholders by creating
value for its customers. Volvo views sustainable development, both in environ-
mental and social terms, as a vital condition for long-term profi tability and
increased customer and shareholder value.
Dow Jones Sustainability Indexes
The Volvo Group has enjoyed high sustainability
ratings in several surveys including the Dow Jones
Sustainability Index.
The Global Compact
The Volvo Group supports the UN’s Global Com-
pact, which was designed to promote responsible
business enterprise worldwide,
and commits itself to implement-
ing and integrating ten principles
regarding human rights, working
conditions and the environment in
its operations.
The Volvo Group#s vision is to be valued as the
world’s leading supplier of commercial trans-
port solutions. Transports are necessary for
the development of society, and as a manufac-
turer the Group has a great responsibility for
both the environment and to contribute to
sustainable development. This is a responsi-
bility that is taken very seriously.
An active approach to sustainability
The Volvo Group strives to conduct respon-
sible business based on its Code of Conduct,
corporate values and other established guide-
lines. The Code of Conduct, adopted in 2003,
underscores the principles by which the Group
conducts its relations with employees, busi-
ness partners and other stakeholders. It
applies to all employees and to the Board of
Directors. Suppliers, dealers, consultants and
other business partners are also encouraged
to follow these principles. The principles in the
Code of Conduct are based on the principles
in the UN#s initiative Global Compact.
It is vitally important that all employees are
familiar with, and follow, the principles that are
stated in the Group’s Code of Conduct. An
Internet based training program and discus-
sion material have been produced to raise
awareness of values. Of the Group#s employ-
ees, 81% state that they have received infor-
mation on the Code of Conduct.
The Volvo Group!s social responsibility
The Volvo Group has a signifi cant impact on
the communities in which it operates. The
Group#s companies are major employers and
also generate employment for numerous sup-
pliers. The Volvo Group strives to be a good
partner to customers, suppliers, other busi-
ness partners and entities in society as well as
a good employer for its employees.
The Volvo Group strives to take responsibil-
ity through such actions as imposing demands
on its suppliers. Since 2006, social issues
have been an integral part of supplier evalu-
ations and in 2008 a Groupwide project was
implemented for the purpose of further focus-
ing on this area.
Sustainability organization
Responsibility for the Volvo Group’s efforts
surrounding corporate social responsibility
issues is coordinated at the head offi ce in line
with the respective operational responsibil-
ities. Work on core values is coordinated by a
Group Council for the respective core values.
Council members consist of the heads of each
business area and business unit.
Dialog with stakeholders
The Volvo Group strives to maintain straight-
forward, open communications with the world
at large and participates in the active exchange
of information with stakeholders on many
different levels and in many different contexts.
The Group strives to consider different view-
points and evaluate these against our own
internal strategies for the purpose of achieving
sustainable development. With the aim of
being an active player in social development
and to fi nd business opportunities, it is essential
that the Group is informed about the surround-
ing. It is with that in mind that the Volvo Group
analyzes social trends and follows the develop-
ment of new legislation in regions in which the
Group is active.
AB Volvo published its fi rst environmental
report in 1990. From 2002–2006 the Sus-
tainability Report was part of the Annual
Report. Since 2007, a separate Sustainability
Report, inspired by GRI (Global Reporting Ini-
tiative), has been published. Detailed environ-
mental data is reported annually in a separate
report.
Environmental
responsibility
High demands on production
and products
Environmental management is a cornerstone
of the Group’s efforts to promote long-term
sustainability. Volvo’s environmental work
focuses on reducing environmental impact
from both the production and the use of the
products.
34 Board of Directors’ Report 2008