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NA_BR-1226-EN_Dematic_Sustainability_Report

NA_BR-1226-EN_Dematic_Sustainability_Report
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NA_BR-1226-EN_Dematic_Sustainability_Report

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Executive Summary
Dematic, part of the KION Group, is dedicated to sustainability in manufacturing, warehousing, and distribution. With over 11,000 employees in 35+ countries, it focuses on intelligent automated solutions to enhance supply chain performance, emphasizing a holistic approach to sustainability by valuing people, planet, and products equally.
About Dematic
Dematic aims to improve supply chain performance by engineering solutions that efficiently manage inventory and information flow, supporting omnichannel distribution strategies and managing the entire supply chain process from design to long-term support.
Governance
Dematic adheres to the KION Group Code of Compliance, ensuring ethical and law-abiding business activities, with a focus on prevention, detection, and response to potential risks, including annual compliance training for employees.
Sustainable Development Goals (SDGs)
Dematic aligns its sustainability efforts with the United Nations SDGs, focusing on reducing greenhouse gas emissions and promoting responsible supply chains.
Sustainability Strategy
Dematic integrates sustainability into its business operations, focusing on people, planet, and products, aiming to be an attractive employer, limit environmental impact, and provide efficient and safe products.
People
Dematic prioritizes occupational health and safety, aiming for a 5% annual reduction in accident frequency and achieving ISO 45001 certification by 2024, focusing on employee satisfaction and responsible supply chain practices.
Planet
Dematic targets a 30% reduction in greenhouse gas emissions by 2050 and aims for ISO 14001 certification by 2024, committed to reducing its environmental footprint and expecting the same from its suppliers.
Products
Dematic is developing a sustainability-focused product portfolio, aiming for CO2 neutrality by 2050 and reducing noise pollution in its solutions.
Materiality and Stakeholder Engagement
Dematic's materiality analysis identifies key sustainability topics, prioritizing eight areas in its strategy, engaging with stakeholders to understand and address their expectations.
Conclusion
Dematic is on a sustainability journey, integrating sustainable practices into its operations and collaborating with stakeholders to build a sustainable future, committed to continuous improvement and achieving its sustainability goals.
Introduction
This document outlines Dematic's commitment to sustainability, employee development, health and safety, diversity, community involvement, and environmental responsibility, highlighting efforts to foster a sustainable future through various initiatives and programs.
Employee Development and Success
Dematic emphasizes employee growth from day one, offering resources like LinkedIn Learning and the Leadership Essentials program, with a 46% growth in employees since 2019 and $4.2 million invested in employee development.
Health and Safety
Dematic prioritizes employee well-being through the Dematic Well-Being program, offering free therapy, fitness resources, and mental health support, aiming for 100% ISO 45001 certification by 2024.
Diversity and Inclusion
Dematic values diversity in its workforce and supply chain, promoting inclusivity through Employee Resource Groups and partnerships with diverse suppliers, supporting initiatives like ATL Action for Racial Equity.
Community Engagement
Dematic supports communities through donations, volunteering, and partnerships with educational institutions, with employees donating $75,100 to nonprofits in 2021.
Environmental Responsibility
Dematic is committed to reducing its environmental impact, achieving a 14% decrease in emissions and a 17% reduction in energy usage in 2021, with initiatives like transitioning to LED lighting and electric forklifts.
Greenhouse Gas Emissions and Energy
Dematic is committed to reducing energy usage across its operations, implementing a Corporate Social Responsibility Scorecard to measure and manage its environmental impact.
Waste Management
In 2021, Dematic generated 4,003 tons of non-hazardous waste, with 54% recovered and 46% disposed of, actively working to reduce waste through recycling and process improvements.
Water Conservation
Dematic emphasizes water conservation, particularly in its manufacturing processes, achieving a 37% reduction in water consumption at the Belrose, Australia site.
Environmental Management Systems
Dematic has implemented ISO 14001 certified Environmental Management Systems at nearly 80% of its sites, aiming for 100% certification by 2024.
Supply Chain Sustainability
Dematic collaborates with supply chain partners to enhance sustainability, using the EcoVadis platform to assess supplier sustainability performance.
Product Innovation
Dematic focuses on developing sustainable products and solutions, aiming for 100% of new developments assessed for sustainability by 2027.
Energy Efficiency
Dematic is committed to reducing energy consumption in its products and operations, introducing energy-saving features in its Dematic Multishuttle®.
Power Distribution Panel
Dematic's Power Distribution Panel enhances sustainability and operational efficiency by monitoring modular breakers and managing power availability to idle equipment.
Product Safety
Dematic prioritizes product safety, incorporating CE marking, Australian C-Tick/RCM, and UL certification requirements, conducting global training to ensure compliance with safety protocols.
High-Efficiency Motors
Dematic is committed to reducing carbon emissions and energy consumption by over 25% through high-efficiency drive technologies.
Dematic Pallet Storage 1200
The Dematic Pallet Storage 1200 series incorporates energy recovery systems, achieving a 40% performance gain.
Ergonomics
Dematic focuses on optimizing operations to reduce manual tasks and enhance worker comfort and safety, developing an ergonomically optimized picking station in 2021.
Noise Reduction
Dematic is committed to reducing workplace noise levels below 85 decibels by 2027, developing quieter technologies to meet and exceed OSHA standards.
Company Overview
Dematic designs and supports automated solutions for manufacturing, warehousing, and distribution, with a global presence in over 35 countries, serving leading brands worldwide.
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Catalog excerpts

NA_BR-1226-EN_Dematic_Sustainability_Report-1

Connecting People, Planet & Products | 2021 SUSTAINABILITY REPORT

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NA_BR-1226-EN_Dematic_Sustainability_Report-2

Sustainability is not a destination, it’s a journey. Our vision is to make it a key part of our business strategy. The focus of that vision is simple: Our people. They directly impact our customers; our communities; our planet; and our products, solutions, and services. EXECUTIVE SUMMARY About Dematic Governance Sustainable Development Goals (SDGs) Dematic sustainability strategy KION Group sustainability strategy Materiality Stakeholder engagement 12 PEOPLE Promoting success Health and safety Diversity Communities 24 PLANET Greenhouse gas emissions and energy Managing through measurement Waste...

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NA_BR-1226-EN_Dematic_Sustainability_Report-3

EXECUTIVE SUMMARY EXECUTIVE SUMMARY Dematic designs, builds, and supports intelligent automated solutions empowering and sustaining the future of commerce for its customers in manufacturing, warehousing, and distribution. With engineering centers, manufacturing facilities and service centers located in more than 35 countries, our global network of over 11,000 employees has helped achieve approximately 8,000 worldwide customer installations for some of the world’s leading brands. Headquartered in Atlanta, Dematic is a member of KION Group, one of the world’s leading suppliers of industrial trucks...

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Dematic has an unwavering commitment to do the right thing. We have well-established compliance programs and structures aligned with KION Group that guide everyone in our organization to follow all applicable laws and regulations. KION Group Code of Compliance (KGCC) serves as the primary source of rules for ethical, value-oriented, and law-abiding business activities. This code is supported by additional company-wide policies that establish rules and expectations for a wide range of activities. customer installations billion revenue ABOUT DEMATIC We Deliver Solutions From Receiving to Shipping...

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DEMATIC’S SUSTAINABILITY GOALS* PEOPLE Occupational Health & Safety • Reduction of accident frequency rate by 5% per annum (based on the annual upper limit) - Long-term: no occupational accidents Employer Attractiveness • Increase in employee satisfaction to an engagement score of at least 75 and a participation rate of at least 68%, as measured by an annual, global employee survey by 2023*** • No cases of non-compliance with KION Group minimum employment standards Environmentally and Socially Responsible Supply Chain • EcoVadis or equivalent rating (Corporate Social Responsibility performance)...

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Dematic identified sustainability as a key focus with the formation of the Sustainability Steering Committee in 2017. It is managed by Dematic President, Supply Chain Solutions & Executive Board Member KION Group Hasan Dandashly and reports to KION Group’s Sustainability Steering Committee. As a result of a materiality analysis, KION Group — and Dematic — have identified 14 action fields as vital to achieving sustainability success (see chart below). Each action field is a specific program with objectives, measures, and monitoring. Responsible for integrating the elements of the action fields...

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NA_BR-1226-EN_Dematic_Sustainability_Report-7

Shared Stakeholder Priorities Opportunities and risks for corporate activities were considered on the basis of the United Nations SDGs, as were the positive and negative impacts of company activities on the environment and society. These efforts identified 15 potentially relevant aspects, which were then evaluated (see the chart below). Based on these findings, Dematic prioritizes eight topics in our sustainability strategy as well as in this report. KION Group is planning to undertake a new materiality exercise in 2022. Dematic’s approach to materiality is based on analysis undertaken by KION...

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NA_BR-1226-EN_Dematic_Sustainability_Report-8

Our people’s impact on our planet and our communities At Dematic, sustainability starts with our employees, it encompasses our customers and business partners, and, ultimately, it impacts our communities. Our people are committed to sustainability at every stage. From hiring diverse employees who are sustainably minded and supporting their professional development and community involvement to collaborating with customers to developing new products, we are breaking down barriers and building bridges to a more sustainable future.

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NA_BR-1226-EN_Dematic_Sustainability_Report-9

A GLOBAL SNAPSHOT: INVESTING IN EMPLOYEES AND COMMUNITIES Employees who take advantage of career development $197,000 Amount donated to nonprofits Growth in employees (since 2019) Amount invested in employees Increase in nonprofit donations PROMOTING SUCCESS Connecting Employees with Greater Opportunity Dematic is committed to employee success starting day 1 and continuing throughout their careers. From information about our history to foundational trainings that ensure successful leadership practices to technical training and platforms that help identify new opportunities, we ensure our employees...

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NA_BR-1226-EN_Dematic_Sustainability_Report-10

BY THE NUMBERS: Years injury-free at the Salt Lake City, Utah site Years injury-free at the Monterrey, Mexico site Years injury-free at the Belrose, Australia site 1.84 Global Lost Time Injury Frequency Rate (LTIFR) - well below our target of 2.0 “I want Dematic employees to know, see, and feel that we put their health and wellbeing at the heart of everything we do. I am passionate about driving well-being, and, if my team can help employees change habits, seek support, or share experiences, then we will be successful.” — Rebecca Hartley, Vice President, Human Resources, EMEA HEALTH & SAFETYOur...

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NA_BR-1226-EN_Dematic_Sustainability_Report-11

“PRISM bridges Dematic’s LGBTQ+ and ally communities by highlighting diversity and fostering a culture of inclusivity in order to deliver the best possible employee and customer experiences.” — Matt Castillo, PRISM Founder and Chair We desire to be an inclusive company where employees can join and feel free to bring their full selves to work. Our Employee Resource Groups (ERGs) are a vital tool at Dematic to connect our employees and ensure everyone feels included, accepted and supported. Those ERGs continue to grow: • DWN (Dematic Women’s Network) — saw more than 100 women globally participate...

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*Prices are pre-tax. They exclude delivery charges and customs duties and do not include additional charges for installation or activation options. Prices are indicative only and may vary by country, with changes to the cost of raw materials and exchange rates.
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