LONDON, April 21, 2015 /PRNewswire/ -- CNH Industrial (NYSE: CNHI / MI: CNHI), Industry Leader in the Dow Jones Sustainability World and Europe Indices, has released its 2014 Sustainability Report (http://bit.ly/1HKSvDy). It includes key facts and figures on the way the Company conducts its day-to-day business and presents a Sustainability Plan detailing the targets and commitments regarding the Company's employees, its engagement with local communities, manufacturing processes, and the eco-friendliness and safety of its products.
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This Report is a fundamental body of work that demonstrates CNH Industrial's authority in the industry in terms of environmental and social responsibility and charts its commitment to creating long-term value for its stakeholders, communities and society as a whole.
Among its contents, the Report contains over 100 targets, discloses 200 key performance indicators and highlights important projects and initiatives.
Materiality Analysis
In order to identify and prioritize economic, environmental, and social measures consistent with its business strategy, CNH Industrial produces a Materiality Analysis each year. This tool provides the Company with important insight when defining aspects that can significantly impact business performance. While the 2013 analysis defined the 25 most material aspects for the Company, the 2014 analysis broadened its scope by interviewing 112 external stakeholders in the EMEA, NAFTA, LATAM, and APAC regions. They were asked to rate which of the 25 material aspects mattered most to a global capital goods company.
The five most significant aspects identified from those interviews were:
Innovation management
At the end of 2014, the Company recorded: an investment of over $1.1 billion in Research & Development, 49 Research Centres (nine of which are located in emerging markets), 7,500 active patents, 50 scientific collaborations, an additional 81 collaborative research projects, and 6,100 members of its overall workforce of 69,207 employees working in Research & Development.
Manufacturing footprint
The World Class Manufacturing (WCM) program currently implemented at 53 CNH Industrial manufacturing sites worldwide saw the Company save over $195.6 million in 2014. WCM is a structured system of methodologies that focuses on continuous improvement with the objective of eliminating all waste and losses in manufacturing plants.
In 2014, the Company had six plants achieve the silver level status in the program and 19 achieve bronze level. Globally, the Company registered 395,000 employee suggestions for consideration under WCM in the year.
CNH Industrial spent $56 million on environmental protection initiatives in 2014 at its global manufacturing facilities. Several of the key areas of focus for improvement activities were water management, waste management, biodiversity protection and the reduction of energy consumption and of CO2 emissions.
Development of Eco-Friendly Products
Products from CNH Industrial brands are designed and manufactured to demonstrate ever-greater efficiency and ever-lower CO2 emissions. Its approach aims to achieve the following:
Remanufacturing
CNH Industrial is committed to reducing waste, reusing materials and encouraging the recycling of recoverable materials. Rather than have salvageable materials end up as landfill waste, the Company's objective is to ensure that by 2016, 5-10% of spare parts sales will consist of remanufactured parts, with variable percentages for specific regions.
Today, CNH Industrial offers a full range of original spare parts to cover the entire life cycle of products for its Agricultural and Construction Equipment, Commercial Vehicles and Powertrain segments. Alongside this is a broad selection of 2,150 remanufactured parts available for more than 17% of the range from engines (blocks or components) to transmissions, alternators, fuel injection systems, control units and more.
The Company's Parts and Service business manages the overall process with different stakeholders which include suppliers, dealers, and customers. Parts and Service collect components from various dealerships which are then disassembled, cleaned and inspected.
After inspection, all unrecoverable parts are recycled or disposed of in accordance with waste management laws. Recovery, assembly and testing is then carried out on viable components by experts to ensure that these remanufactured components match the quality, performance standards, life expectancy and emissions levels of the new ones. These remanufactured parts are also guaranteed the exact same maintenance intervals and warranty conditions as new parts. In 2014, the sales of remanufactured parts for the Commercial Vehicles segment increased by over 60% compared with 2013, demonstrating the potential for expansion provided the offer is broad enough and marketed to customers seeking to contain their costs.
In the Community: Creating Shared Value
The Company promotes an open dialogue to ensure that the legitimate expectations of local communities are duly taken into consideration, and voluntarily endorses projects and activities that encourage their economic, social, and cultural development. In 2014, CNH Industrial invested $4.7 million in local communities through both donations and employee volunteer efforts. This investment spanned the areas of social welfare, emergency relief, education, youth development and arts and culture.
Highlights in 2014 include:
Some of the Company's active external partnerships and collaborations from 2014 include:
The American Cancer Society, Expo Milano 2015, FIA Action for Road Safety, Fundacion Merced Queretaro AC, the Global Shapers Community (an initiative of the World Economic Forum), Habitat for Humanity, Homeless Assistance Leadership Foundation (HALO), Safe Schools, Slow Food, Telethon Foundation, Transaid, the United Nations relief operations, United Way and Welthungerhilfe.
Our People
CNH Industrial considers its people an essential asset. Operating in dynamic and highly competitive industries, success is achieved first and foremost through the talent and passion of skilled individuals. The Company strongly believes that business growth is made possible by personal growth, and invests the fruit of its business growth into the development of its people.
Highlights in 2014 include:
The interactive version of CNH Industrial's 2014 Sustainability Report is available online at: csrreport2014.cnhindustrial.com.
CNH Industrial N.V. (NYSE: CNHI /MI: CNHI) is a global leader in the capital goods sector with established industrial experience, a wide range of products and a worldwide presence. Each of the individual brands belonging to the Company is a major international force in its specific industrial sector: Case IH, New Holland Agriculture and Steyr for tractors and agricultural machinery; Case and New Holland Construction for earth moving equipment; Iveco for commercial vehicles; Iveco Bus and Heuliez Bus for buses and coaches; Iveco Astra for quarry and construction vehicles; Magirus for firefighting vehicles; Iveco Defence Vehicles for defence and civil protection; and FPT Industrial for engines and transmissions. More information can be found on the corporate website: www.cnhindustrial.com
Media Contact: |
Sustainability Contact: |
CNH Industrial Corporate Communications |
CNH Industrial Sustainability |
Tel: +44 (0)2077 660 326 |
Tel. +39 011 00 62 627 |
Email: mediarelations@cnhind.com |
Email: sustainability@cnhind.com |