Canon Europe, Middle East & Africa Sustainability Report 2013 - canon-europe.com
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Contents 3 Message from the President & CEO, Canon Europe, Middle East & Africa 4 About Canon 6 Supporting our customers 8 Environment 12 Society 18 Business 22 Canon UK & Ireland This symbol indicates that more information is available on our website. Front cover photo: Alexandra Dias Fernandes – Canon DIGITAL IXUS 870 IS 2 Canon EMEA Sustainability Report 2013 Tijs Letschert – Canon EOS 7D
President’s message Ongoing From good to great Our business has a solid foundation but we can’t stand still and our aim is to grow it from good to great. Adding value to our economic customers’ businesses through the services we offer is one of our key strategies. Services such as managed print services and business process outsourcing help customers to optimise their business processes, enabling them to be more efficient and challenges cost-effective and grow their business. In the same way we continuously improve our products, solutions and services, we have started a three-year programme to engage employees more directly in developing our business. Taking our business forward We call it Pursuing Excellence and I am personally leading this behavioural change programme. We will create a stronger, more dynamic culture of entrepreneurship, engaging employees and enabling them to share knowledge and work more collaboratively, in order to respond to customer and market needs more quickly. In 2013, we gave local management more responsibility, to speed up decision making; initiated a talent management programme, to help us recognise and develop internal strengths and identify when we need to recruit external expertise; and ran roadshows right across the region to reach and engage all employees. We are encouraging employees’ innovation ideas and have introduced a biannual conference for country managing directors to share expertise. Stakeholder dialogue We are again using Global Reporting Initiative guidelines G3.1 for this report. In 2014, in preparation for G4, we will initiate stakeholder dialogue through face-to-face meetings, online Rokus van Iperen surveys and other mechanisms, to identify the issues of most material importance to our stakeholders. In the meantime, we In the face of continuing challenges due to the global economic have taken pointers from our employee survey (see ‘Society’), situation and pressure on business and consumer budgets, and also from interviews with business customers. Employees I am pleased that Canon EMEA remained profitable in 2013. highlighted talent and performance management, while This is in no small part due to the valiant efforts of every one of customers stated clearly that they expect Canon to understand our employees and I sincerely thank them. their business and suggest innovations to help them grow, and Canon EMEA’s strategic vision is ‘Enriching lives and businesses to deliver on our promises. We will report the progress of our through imaging solutions’. Our solutions and services help our stakeholder dialogue in the next report. customers improve efficiency, contribute to sustainability goals, Awards and recognition create value, meet societal and stakeholder demands, support their lifestyle, and take advantage of new opportunities to grow Canon received global, European and national awards from their business responsibly. See ‘Supporting our customers’ for industry, independent organisations and the public, recognising examples of how our approach to sustainability supports our us for our products, our brand, employee relationships, and customers’ growth. carbon management. Details are in ‘About Canon’ and other sections of this report. Internally, I was delighted to add a Sustainability is embedded in our culture – through our sustainability award to our annual Canon EMEA President’s Kyosei philosophy, our strategy and how we do business. awards recognising outstanding performance. This inaugural Canon EMEA signed up to the United Nations Global Compact President’s Award for Sustainability was won by Canon Norway (UNGC) in January 2014 to demonstrate and formalise our for its nomination as one of the top 10 Best Places to Work in ongoing commitment to human rights, labour standards, the 2009, 2011 and 2013 by the Great Place to Work® Institute. environment and anti-corruption. By the end of 2013, a few countries were beginning to show Acquisitions and integration signs of economic improvement but recovery is still some way Our Océ integration programme is now complete in all countries off. I believe our actions to make our business stronger and except France (due by 2014) and we are starting to see the commitment to doing business responsibly will continue to benefits of our combined product portfolio, with commercial support our customers’ sustainable growth and our ongoing printing and Canon Business Services showing particular profitability. I would welcome your comments or suggestions strength in 2013. We also completed the acquisition of on our activities.1 I.R.I.S. Group during 2013 which enhances our ability to help customers manage their information, from outsourced solutions Rokus van Iperen to business process optimisation. President & CEO, Canon Europe, Middle East & Africa 1 Please use the email address on the back cover www.canon.co.uk/About_Us/sustainability/ Canon EMEA Sustainability Report 2013 3
About Canon Canon Europa N.V. is a wholly owned subsidiary of Canon Inc. of Japan and is responsible for the sales and marketing of Canon’s products, services and solutions to customers in more than 116 countries in Europe, the Middle East and Africa (EMEA). We employ around 17,000 people. In 2013, Canon EMEA’s net sales contributed 30.1% (¥1,125 billion) to Canon’s global net sales. Our strategy Our strategy is to create sustained profitable growth for ourselves and our customers, by building our solutions and services business, developing technologies that enable our customers to realise the benefits from image and information management, and strengthening our core business capabilities. Our approach to sustainability is in line with Canon’s Kyosei philosophy – living and working together for the common good – and linked to Canon Inc.’s corporate strategy. It is embedded in our core business goals and reported under the three categories of Business, Environment and Society Products, services Our commitment to sustainability is an integral part of our strategy – helping us add value to customers in meeting their and solutions own business and sustainability goals; connect to society by Our imaging solutions appeal to customers including enabling people to capture, document and record the world individuals, small businesses, large corporates and around them; and provide wider benefits to society, particularly multinational organisations – helping them realise through our medical and public sector work. the power of image in their lives and business. Our We have identified the opportunities and issues most material services and products include managed print services to our business based on Canon Inc.’s strategy; Canon EMEA’s and business solutions, including business process strategy; and customer, employee and wider stakeholder outsourcing and image storage solutions; cameras for feedback. Key topics include: • inspiring customer loyalty amateurs and professionals, including TV production; and trust through continued relevance in our markets and printers, scanners and multifunction devices; large sound business practices; • promoting and supporting our format devices, production printers and digital presses for customers’ sustainable growth; • reducing environmental professional printers; semiconductors; medical imaging impacts throughout our operations and product lifecycles; equipment and solutions; camcorders and projectors. • recognising and developing the talent in our organisation and ensuring we are equipped to meet future challenges; • supporting wider economic growth and addressing • C limate change and environmental risks: we pursue various challenges in our local communities. approaches to mitigate these. For example, Canon Inc. works to reduce product environmental impacts while improving We intend to initiate stakeholder dialogue during 2014 to functionality; Canon Inc. and Canon EMEA reduce our improve our understanding of our stakeholders’ material issues. footprint through an environmental management system globally certified to ISO14001. Risks and challenges C limate change risks include natural disasters that may Operating in 116 countries brings both opportunities and risks. adversely affect product availability, so measures include Supporting our customers with products and services to help building more resilience in our logistics; and implementing them use images more flexibly creates wider economic growth better stock forecasting and distribution systems both to and social development, and meets local needs. However, some improve logistics and bring benefits in terms of customer of the varied challenges that affect us include: stock holding and cash flow (for example for retailers of • T he macro economy: in particular exchange rate fluctuations; consumer products). • R apidly developing and variable legislative approaches: to Governance identify and address emerging legislation we coordinate Canon EMEA’s highest governing body is the Canon Europe our approach to our various compliance activities at country, Operations Business Review (CEOBR), headed by President regional and headquarters level as necessary; & CEO Rokus van Iperen and made up of the finance and • M anaging our diverse supplier base: we have updated business unit heads. It is responsible for setting strategy, our supplier terms and conditions, formally introducing targets, performance criteria and governance structures of the a unified Supplier Code of Conduct including organisation including risk management, conflicts of interest sustainability considerations; and principles of operation. 4 Canon EMEA Sustainability Report 2013 www.canon.co.uk/About_Us/sustainability/
ABOUT CANON The Chief of Legal, Intellectual Property and Sustainability sits on • C anon received the Deshima Netherlands Award 2013 the Canon Europe Operating Committee (CEOC), also headed for our economic impact and actions on sustainability and by Rokus van Iperen, and is responsible for the sustainability social engagement in the Netherlands. The biennial awards function. Overall accountability for our sustainability programme recognise the importance of successful Japanese investors in lies with Rokus van Iperen who is also a Senior Executive Officer the Netherlands. of Canon Inc. • C anon was voted Reader’s Digest most trusted camera brand The Sustainability Group (formerly called Environment and in Europe for the 13th consecutive year. Product Safety) is responsible for coordinating sustainability • C anon was again named a ‘Leader’ in Gartner’s Managed Print in Canon EMEA. Sustainability objectives are incorporated in Services 2 Magic Quadrant Report 2013. business unit and functional mid-term plans, agreed by the CEOC and then cascaded to the national and regional sales Reporting offices (NSOs and RSOs). From 2014, the objectives We are reporting in line with Global Reporting Initiative’s (GRI) framework is more flexible, allowing NSOs and RSOs to 3.1 guidelines, with an application level B. A full GRI table, which address local stakeholder needs and relevant material impacts. contains additional information, can be found at www.canon- Achievements against these objectives will be monitored by europe.com/About_Us/sustainability/sustainability_reports/. the Sustainability Group. We have not sought external accreditation. Awards and recognition Going forward, we will engage in stakeholder dialogue to • In 2013, Canon ranked 35th in Interbrand’s Best Global help us identify material issues relevant to GRI G4 and we Brands, recognising our innovation in a fast moving sector, also await the outcome of the proposed EU legislation on and 30th in Interbrand’s Best Global Green Brands. non-financial reporting. The latter praised our Kyosei philosophy and suggested About this report more communication on our strong environmental activities, which we will do. This is Canon EMEA’s fifth annual sustainability report. It covers the 2013 calendar year and is aimed at our customers and other • W e ranked fourth in a study on corporate emissions interested stakeholders. It includes information on our integrated performance against science-based targets carried out by former Océ operations and recent acquisition of I.R.I.S. Group. ClimateCounts and the Center for Sustainable Organizations. It excludes Océ Technologies and other group subsidiaries This analysed the operational emissions of 100 global in EMEA, which report to Canon Inc. Previous reports can be corporations between 2005 and 2012. Of the 100, 49, found at www.canon-europe.com/About_Us/sustainability/ including Canon, were found to be sustainable and on track sustainability_reports/ . to reduce carbon emissions in line with scientific targets designed to avert dangerous climate change. Within the Any comments or queries on this report or Canon EMEA’s 49, Canon and 24 others achieved revenue growth while sustainability activities should be directed to: sustainability@canon-europe.com. reducing their emissions. Reporting in line with the ISO 26000 core subjects Organisational Labour Fair operating Community Human The Consumer governance practices practices involvement rights environment issues About Canon Society Business & development Business Environment Supporting our and Business and Society Society customers p4,18 p12 p12,18 p12 p18 p8 p6 2 Magic Quadrant for Managed Print Services Worldwide, Ken Weilerstein, Sharon McNee, Elizabeth Kim, 21 October 2013 We have used this symbol throughout the report to indicate that additional information is available on our website. The pdf version of the report includes hyperlinks. www.canon.co.uk/About_Us/sustainability/ Canon EMEA Sustainability Report 2013 5
“I wouldn’t change this printer for the world – unless Canon make a better one, of course!” Gary Knight, photographer and photojournalist, speaking of his Canon iPF 9100 large format printer Supporting our customers We help our customers take advantage of every opportunity to develop their business or enrich their lifestyle, supporting their economic growth while improving their sustainability. Whether it’s a solution for home, for a small office network or for multi-site offices; from commercial printers to in-house print facilities; from printing posters to scanning cheques; from photobooks to out-of- print books; from targeted marketing to invoice processing. Alongside our wide range of consumer products, Canon and Océ’s combined portfolio delivers the industry’s broadest range of production print products and solutions, so we can meet even more customer needs. Here are some examples of how we supported customers in 2013. Sustainable savings Across the UK and Sweden, global corporate AstraZeneca print on any device by swiping their security card and had many different print suppliers and devices, consuming AstraZeneca to monitor print usage. It also increases high volumes of energy and paper and producing a security as documents are only output on demand. lot of waste – both equipment and consumables. With We tested more than 1,000 software applications used only around three users per device, vs the industry by AstraZeneca to ensure compatibility and the smooth recommended 30, the inefficiency and lack of print strategy transition was further helped by an end-user training and was costing a lot of money. communications programme. Feedback from an employee Canon worked closely with AstraZeneca to develop a print survey confirmed the successful rollout and Canon and AstraZeneca are now discussing how to implement the strategy that would deliver service quality and functionality service in AstraZeneca offices across the world. Annual while reducing costs and environmental impact. Over 4,700 environmental savings since 2012 amount to: office machines and 40 print servers were replaced by just 1,200 multifunctional devices (MFD) and 8 servers, with • 34 million fewer pages printed each employee no more than 25 metres from the nearest • Energy usage reduced by over 760,000 kWh MFD. MyPrintAnywhere software allows employees to • Over 260 tonnes of CO2 avoided. 6 Canon EMEA Sustainability Report 2013 www.canon.co.uk/About_Us/sustainability/
SUPPORTING OUR CUSTOMERS Invisible security Partner support A significant proportion of Canon’s business comes from Customisable security settings, UV ink and ‘fugitive’ the indirect partner channel which is made up of a group ink – which runs if tampered with – all help combat of resellers and distributors. To help them grow their fraud; for example, adding an invisible security layer businesses, we offer support and resources and a dedicated beneath visible printing. Our latest imageFORMULA CR- account manager, while our partner portal, PartnerNet, 190i cheque scanner can detect both standard and UV hosts information specific to partners including brochures, images, which may be included as proof of authenticity showroom material, technical specifications and case to verify cheques. studies. Partners can access a version of the Canon Learning Portal via PartnerNet for online training and related materials. We also hold annual European Premier Partner events. Value added outsourcing Partners now receive an increasing number of requests around sustainability, so we have shared additional tools and Canon Business Services (CBS) provides tailor-made information used to support our sustainability proposition to outsourced business process services to organisations, customers, for example the online environmental awareness including data and information management, targeted training course and specific showroom materials. marketing and customer relationship management. This helps companies improve their efficiency in a cost-effective way to grow their business. In France, for example, CBS works with both national and global non-profit organisations (NPOs), to manage the complete donor relationship. This includes donor When seconds count data verification, processing donations and issuing tax receipts Copenhagen’s University Hospital treats the most – for more than three million donors and over €2 million critical trauma cases in Denmark, when just seconds donations in 2013. and access to the right equipment make a difference By outsourcing these processes, NPOs optimise the value of to patient survival. When the trauma team designed their active donor database and improve donor relationship a new, dedicated trauma room, three Canon digital management. They can better target fundraising activities and X-ray systems, including one ceiling-mounted, were donor communications, and reduce administration costs – chosen for their manoeuvrability around immobilised which means more of each donation reaches the NPO’s patients. Equipped with our fixed and portable focus activities. flat panel detectors, X-ray images are displayed almost instantaneously wherever they are needed. A specially-designed Canon Picture and Archiving Commercial printing Communication System allows the trauma team to quickly and easily view, distribute, archive and recall snapshots all diagnostic images within the hospital. We work with high volume in-house departments and commercial printers such as publishers, newspaper and book printers, helping them work more flexibly and efficiently. 1. Digital printing solutions help reduce waste and provide Service and support the ability to print short runs or even single books on When personal or business customers need support, demand. Using the latest ColorStream 3900, one Canon they go to our pan European contact centre. Covering customer prints 300,000 weekly newspapers consisting 17 languages across 22 countries, in 2013 it handled of 500 variations with as few as 200 copies each, almost 2.5 million calls and emails. Business customers featuring personalised local news and information. can also access a self-service portal 24/7. Employees aim to get customers up and running again in one step 2. To help commercial customers use our products and wherever possible but it may be necessary to escalate solutions most effectively to grow their business, to a regional centre or arrange a service engineer’s we ran events at our Customer Experience Centre in visit. A new handheld device gives engineers a single Germany. As well as learning about our new solutions view of the customer’s request, helping them solve and sharing examples of success using existing Canon issues more quickly, improving visit scheduling and solutions, customers discussed the latest technological reducing CO2 emissions. innovations, industry trends and future challenges. 3. Six new guides for in-house print managers offer strategic and practical advice to help develop and promote their services to internal customers and grow their value to the company. Understanding when to print in-house and when to buy in print services helps maximise their value. www.canon.co.uk/About_Us/sustainability/ Canon EMEA Sustainability Report 2013 7
Silvio Franchini – Canon PowerShot S110 Environment Reducing environmental impacts Canon has been designing and offering products, solutions distribution, customer use, end of life disposal and our and services with a reduced environmental impact for many operations. Canon Inc.’s overall target is to reduce lifecycle years. An EU survey (Flash Eurobarometer 367) found CO2 emissions per product by 1.4% per annum (vs 2011 that customers across Europe are interested in buying baseline), however a 4% reduction was achieved in 2012, ‘green’ (sic) products. Eighty percent of respondents said largely through improved distribution, so the target for they occasionally or often buy ‘environmentally friendly 2013 was set at 3% vs 2012. products’ while, across the EU, 89% of people responding In 2012, around 20% of our products’ CO2 came from felt that buying such products could make a difference to customer use. We constantly aim to lower the energy the environment. required by our devices and to offer effective solutions and We aim to reduce the environmental impact of our products services that help customers meet their own environmental throughout their lifecycle from design concept to end of life, goals. As a result, percentage of emissions attributed to on a Produce–Use–Recycle lifecycle. Environmental impacts customer use reduced by 5% over 2011. come from the raw materials we use, manufacturing, 8 Canon EMEA Sustainability Report 2013 www.canon.co.uk/About_Us/sustainability/
Improving operational efficiency environment for us and our customers Produce Products sold in EMEA are manufactured in Asia, Canada, the Produce Netherlands and Germany. All global manufacturing operations report directly to Canon Inc. Global warming Efficient use of prevention resources We target reductions at design stage – to product weight and volume, for example, meaning less packaging and more efficient logistics, reducing CO2 emissions. We also use plastic Environmental burden recycled from Canon sources in some PIXMA, imageRUNNER reduction ADVANCE and wide format imagePROGRAF models. Recycle Use Elimination of hazardous substances 2013 PIXMA MG5500 series vs MP540 (2008) lighter Energy • Some compact cameras (e.g. Powershot A1400) feature an 22% eco mode that dims the screen after 30 seconds and turns the camera off after three minutes. Users take more shots on one total CO2 28% reduction** battery charge, reducing charging frequency and electricity 4% smaller consumption and can quickly turn the device on again by pressing any button. • Our latest XEED compact installation projector models use significantly less power than comparable 50% products – under 1W in standby and just 365W in operation 12% (WUX450 model). Their compact size makes installation easier, daily power reduction* less while the new XEED WUX400ST short-throw product can project packaging a large 100 inch image (approx. 2.5 metres diagonal) from a distance of just 1.2 metres. The remote handset also features * Evaluation based on printer connected to PC by USB, off for 16 hours and active for 8 hours, printing 10 colour pages, or in standby an ‘ECO’ button, allowing the operator to switch easily between **From manufacture to disposal, excluding product use ‘full’ and ‘low’ lamp power modes, while also providing easy access to power management settings. • For technical documents, our PlotWave 340 and 360 wide format printers are Use equipped with Océ Radiant Fusing technology meaning virtually We work with customers to help them take advantage of the no warm up time and first print in 40 seconds – saving time environmental benefits of our products, services and solutions and energy. to reduce their environmental impacts, make cost savings, and support their sustainability objectives and wider economic Canon’s line of A4 printers and MFPs was awarded ‘A4 MFP development. With changing business models, customers may Line of the Year for Energy Efficiency’ by the independent Buyers now lease hardware more often than buy and also outsource Laboratory Inc. in their winter 2014 awards. Three i-SENSYS business processes. Our services help them maximise their and one imageRUNNER ADVANCE devices also received efficiency and drive growth. For example our Managed Print ‘Outstanding Achievement’ awards for energy efficiency. Services team first reviews and audits customers’ print fleet “Canon has proven again and again that its A4-size document and needs, then designs a Canon system to maximise value, imaging products are the environmental choice for energy- efficiency and business benefits while reducing costs. Similarly, conscious consumers,” said Pete Emory, BLI’s manager of Canon Business Services manage outsourced business laboratory testing. processes for customers, enabling efficiencies and generating additional business opportunities and growth. As imaging Almost 100% of Canon’s products in scope qualified for Energy experts, we can offer the best solutions and services to meet Star® 1.1 (the EU Energy Star® label is applied to the most customers’ needs in the most efficient way (see ‘Supporting energy efficient products). Energy Star® 2.0 was published our customers’). in Europe in April 2014 and Canon is registering for v2.0 all products in scope currently on the market, aiming to maintain a For products, we constantly look for ways for customers to similarly high percentage. save energy when using our products, from eliminating warm- up time to lower sleep mode power consumption. Specific examples of energy and paper resource savings are below. www.canon.co.uk/About_Us/sustainability/ Canon EMEA Sustainability Report 2013 9
Paper Operations We follow a responsible paper procurement policy and have a We look to reduce our environmental impacts across all our chain of custody for our complete paper distribution network. operations, which cover a wide variety of functions including Both our EMEA head office and eight of our European sales procurement, supply chain, sales and marketing, service, HR, operations have FSC® or PEFC certification and, in 2013, 75% finance and IT. of the paper we procured was FSC or PEFC certified. To help customers reduce their carbon footprint, Canon Germany offers Océ integration carbon neutral paper, achieved through a combination of energy The integration programme continued during 2013. Where generation at the paper mill during the production process and integration resulted in a move to a different office building, carbon offsetting using gold standard projects. We plan to roll sustainability considerations were taken into account, this out further during 2014. alongside other factors. Since 2011 we have made savings of Our scanning and other digital solutions, duplex and N-up print 36,000 m2 on our office area – equivalent to saving a kilotonne options (printing two or more pages per page) on home and on our carbon footprint. In 2013, our per capita footprint office machines help customers use less paper, saving costs, reduced by over 30% vs 2012. time and storage space. Other devices include specific paper- saving features; for example our ColorStream 3000 commercial ISO 14001 printer prints more slowly until the paper roll is up to speed Our global ISO 14001 certification demonstrates to stakeholders and stops almost immediately when the stop/pause button how seriously we take environmental sustainability; across is pressed. Customer savings are significant over the device EMEA, 191 sites in 25 countries are certified. In 2013, 29 sites lifetime as comparable inkjet printers may waste 10-30 metres in 13 countries passed re-certification audits and we registered of paper before stopping. no non-conformities. Similar to Canon sites, former Océ offices are included in our global certification programme when they Recycle meet our internal criteria – for example business need or size of operation (floor m2, energy use). For many years Canon has been designing products to be recycled, re-used and to extend their life and materials. This is Corrective actions: We identified two corrective actions reflected in programmes including: in 2013. • R efurbishment – where devices are returned to a local Canon • contractor’s lorry leaked diesel fuel near our warehouse and A site for replacement of some parts, returning the product to a insufficient cleaning by contractors resulted in some surface suitable condition for resale/lease; water pollution. This was removed and the correct processes and policies to follow were reinforced with our contractors. • F actory Produced New Models (FPNM) (formerly called ‘remanufacturing’) – where devices are returned to our factory in Germany at end of lease to undergo a strict cleaning, testing and quality assurance process. This ensures the device is as good as new, effectively doubling its lifetime and guaranteeing the same quality and performance as the Suppliers and partners original machine; Following a study of our warehouse capabilities, • C ollection programmes: our global toner cartridge collection we are consolidating our European warehouse programme has been operating since 1990, ensuring operations in the Netherlands, to improve efficiency returned cartridges are recycled into new cartridges using in our supply chain. We selected Nippon Express as a closed loop process with no waste to landfill; and our our strategic logistics partner and they will build a inkjet cartridge recycling scheme launched in 15 countries new warehouse in Rotterdam to meet our needs. in Europe in February 2013 and collected around 1,000 kg (almost 23,000 cartridges) by year end, removing them from For this strategic partnership, sustainability household waste streams; considerations have been embedded throughout, from the warehouse design and construction, • R ecycling Canon materials into new products such as to future operation. This includes a service level calculators and printers: two new calculator series in 2013 agreement covering sustainability performance such include recycled plastic – the LS-123K series, which uses dual as packaging innovation, waste recycling, green solar/battery power, and the slimline X MARK II calculator, procurement and sustainability reporting. Nippon which runs entirely on solar power. Express has appointed a sustainability manager to These programmes save significant resources and CO2 further develop their sustainability strategy emissions. For example, FPNM models re-use up to 93% of and has involved Canon in a process to identify existing components by weight and our lifecycle assessment Nippon Express’s material sustainability issues. simulation shows the process saves more than 80% CO2 The warehouse will compared to devices made entirely from new parts in Asia. be built to BREEAM- FPNM models support customers’ environmental objectives and Very Good certification standards and will start sales across EMEA doubled in 2013 vs 2012. operating in 2015. 10 Canon EMEA Sustainability Report 2013 www.canon.co.uk/About_Us/sustainability/
environment Achievements against targets Progress against the targets we set in 2012 is shown below. We are making good progress against three of the objectives but have not achieved the transport carbon efficiency target. This was due to changes to the mix of product categories and volumes shipped, together with additional associated drayage. AREA OBJECTIVE TARGET* 2013 PROGRESS Canon EMEA carbon Reduce by 1.5% per annum vs -15% by 2020* -7% vs 2010 footprint turnover (compared to 2010) Increase waste recycling at all 52% by 2014* 50% EMEA offices Resource efficiency Increase waste recycling at Canon warehouses including outsourced 85% by 2014* 83% warehouses Grow volume of certified and 75% of paper Sustainable products 86% of paper turnover recycled paper grades turnover by 2014* Transport carbon Reduce vs 2012 net sales -2% 2013 Not met efficiency * Measured against the consolidated combined 2010 performance baseline of both Canon and Océ • We identified that a product used by service technicians During 2013, we produced reference manuals relating to contained propellant R134a that has a high global warming sourcing promotional items and event guidelines which potential. A substitute product was sourced, suitable for included information on sustainable procurement. These help most required uses, and affected NSOs were asked to internal colleagues understand and recognise areas where care replace stocks with the new product. Compliance is may be necessary when sourcing items or planning events being monitored. – for example, avoiding items made from hazardous or non- sustainable substances, and reducing waste by ordering only Customer engagement the required amount. The results of our annual customer loyalty survey continue to show that customers who are aware of Canon’s strong Other environmental commitment are satisfied with our efforts (84%), Other initiatives during 2013 included: and 59% say this has an influence on their buying decision. • W e launched our Engineer Certification Programme for We also ask customers to complete a post-service survey and, service engineers. The Foundation level includes a module on in 2013, 81% of customers expressed satisfaction with sustainability, aiming to help engineers answer questions the our service engineers’ awareness and communication of customer may have regarding sustainability, for example about environmental information. environmental savings relating to their products; Working with suppliers and partners • W e applied a maximum CO2 rate of 130g/km for new As a result of the Océ integration, our supplier list increased by company cars in 2013, reducing to 120g/km for 2014. Several around 50%. Procurement is working to rationalise our supplier countries acted proactively and achieved the lower level last list, aiming to reduce the total number to 10,000. year for a large proportion of their fleet. Only Russia is exempt, continuing at 130g/km, as the availability of cars meeting We work with suppliers to ensure they comply with our 120g/km with suitable size and capacity is very limited; green procurement guidelines. This includes supporting our tier 1 suppliers to work with their own supplier network to meet • W e took the decision to change our VPN token supplier which our guidelines. For example, when we commission work from has enabled us to increase internal data security at a lower an agency, the materials may be produced by the agency’s unit cost and more sustainably, as the new tokens have a supplier (our tier 2 supplier). If these materials were in scope replaceable battery. We have also moved about 30% of our of our green procurement policy, we would work with the tokens into soft tokens, further saving costs and impact; agency and its supplier to ensure the materials met our criteria. • A n energy review at five Canon offices in the UK, Germany, We would also help our tier 1 supplier understand the criteria Austria, Portugal and Denmark resulted in savings worth so they could highlight and apply them to their other suppliers, almost €70,000; when relevant to Canon business, or to improve their own sustainability objectives. • F our Canon EMEA sites generate renewable energy to meet a proportion of their energy needs; in total 11 sites buy between 70-100% renewable energy. www.canon.co.uk/About_Us/sustainability/ Canon EMEA Sustainability Report 2013 11
Patrizia Poletti – Canon PowerShot S100 Society Engaging with stakeholders We interact with our stakeholders in many ways – from of our workforce – we have over 50 nationalities working supporting employees, on whom our business depends, in our headquarters offices, which helps us do business in to inspiring customers and others who use images to 116 countries. We have a number of EMEA-wide policies enrich their lives. We seek stakeholder feedback in a and training that provide a business framework, including variety of ways including surveys, events, conferences and for diversity, and all employees operate under the Canon forums. See ‘Stakeholder relationships’ on our website. Group Code of Conduct, which supports an ethical approach Our business impacts communities wherever we operate, across our entire business. For other areas, however, offering employment opportunities, for example, and such as health and safety, each operation follows the providing business to local suppliers. In return, we support prevailing national policy. communities through a variety of partnerships. In 2013, Canon Netherlands and Canon Spain both won In the workplace Top Employer awards, with Canon Netherlands achieving We want to be recognised as the employer of choice in the highest score of the 56 qualifying companies. Canon our sector, attracting talented employees and offering fair Norway won a Great Place to Work award, gaining 7th working conditions and practices. We welcome the diversity place, and was also chosen to receive the inaugural 12 Canon EMEA Sustainability Report 2013 www.canon.co.uk/About_Us/sustainability/
Supporting employees and SOCIETY communities wherever we operate ‘President’s Award for Sustainability’ from Canon EMEA’s members from each entity to get together; • customer visits and President, Rokus van Iperen. Canon Oy won The Best Sales activities by integrated teams. A further survey was then carried Organization in Finland 2013. out country-by-country as each completed integration. Results from these showed that employees felt the most important Information on our EMEA-wide employee engagement elements to effect a smooth integration were alignment from programme called Pursuing Excellence can be found in the management, with good leadership and direction; allowing time CEO message. for the changes to be understood and worked through; and an Océ integration understanding of the cultural transition taking place. We continued the integration of Océ and Canon operations across EMEA during 2013, operating a joint approach between Learning and development relevant Océ and Canon teams in each country. For example, In 2013, learning and development teams worked with Canon and Océ managers and employees from each business business groups and functions to identify the skills and area held joint workshops to ensure all relevant information and capabilities required to deliver the company’s strategic goals. procedures were mapped out to support a smooth integration These needs then fed into the development of learning curricula and no legal deficiencies. to support the development of the required skills. Alongside this, as part of the performance management process, employees An integration monitoring survey was carried out in 2012 in agreed personal development plans with their manager to help the first countries that went through the integration process, to them meet specific needs or career aspirations. We encourage see what went well and what could be improved. Employees’ employees to develop their career within Canon and, in 2013, responses to this survey fed into learnings and actions that 34% of vacancies were filled by internal candidates. were then applied to the integration process in subsequent countries. Actions included • more emphasis on ‘cultural’ Learning is delivered through the learning portal, whether integration – for example access to a Canon email address and online, in classroom or through other media. At the end of intranet at integration; • change workshops for directors and 2013, we were able to make the learning portal available via managers to focus on cultural aspects and help them support the internet to around 4,000 former Océ and Canon Business their teams through the process; • early opportunities for team Services (CBS) employees who have no intranet access. Employee survey 87% understand how their work In 2013, we carried out an EMEA-wide employee contributes 68% employees survey – ‘Your Voice’ – the first since the Océ to achieving responded integration programme started. Canon’s goals & objectives (11,000+) We value this feedback from employees and use it to take action to improve our leadership, engagement and performance management programmes across the whole business. See the ‘Message from the 90% are proud President’ for more information on these action plans. All the survey results are shared with national sales to be associated organisations and across departments and functions so that specific plans can be put in place to address areas where action is needed and to further develop with Canon our strong points. 82% believe Under half think their performance review In this survey, we changed a previous question Canon does fully identifies their asking whether employees felt Canon was ‘socially business in an strengths responsible in the community’ into ‘socially environmentally responsible in all its activities’ to broaden the remit. responsible way 88% agree with The response was below our benchmark norm score, which may partly be due to differing interpretations Only 40% believe our strategy of the meaning of the phrase, as 26% of respondents Three-quarters feel their said ‘Don’t know’. We are therefore aiming to improve we recruit & manager recognises a understanding and knowledge in this area. The next develop future job well done survey will take place in 2014. capabilities www.canon.co.uk/About_Us/sustainability/ Canon EMEA Sustainability Report 2013 13
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SOCIETY www.canon.co.uk/About_Us/sustainability/ Canon EMEA Sustainability Report 2013 15
Employees also have access through the portal to a wide variety across EMEA switched off their lights, to taking part in voluntary of courses outside their identified development needs, including training organised by WWF in how to handle potential oil spills new applications such as getAbstract, which offers access to over in the Baltic Sea (Finland). 9,000 summaries of the best business books. Red Cross: We again supported 16 European Red Cross All mandatory training is delivered and tracked via the learning societies which organise projects that provide opportunities, portal. See the ‘Business’ section for more information. knowledge and understanding to young people. These included: • promoting social integration through holiday camps in In the community Belgium, France and Norway for impoverished or disabled We support our local communities in a variety of ways, from children (some including their family too); cash and in-kind donations to sponsorship and volunteering • supporting vulnerable families in Denmark and providing activities. We have captured top-line information on these emergency shelters in Finland for young people dealing with initiatives in previous years and, in 2013, we introduced a new problems at home, such as alcoholism; database to record more detail and can report the following results. We estimate our activities in 2013 reached around • helping to provide meals for children in Poland who don’t get regular meals at school or home, improving their ability 2.26 million people directly or indirectly within our local and to learn; business communities. • in Sweden, supporting traumatised young refugees arriving • 1,475 hours volunteered by employees in working hours from war zones; • 1,631 hours volunteered by employees in their own time • a safe sex and sexual health awareness campaign in Italy; • €146,000 in cash donations • an education campaign about gender violence in Spain, ‘El Machismo Mata’ (Machismo Kills). • €66,550 for in-kind equivalent support (e.g. product donations) Locally, employees supported the Red Cross by giving blood; organising golf days for customers; and fundraising following • 249 activities in total were carried out by 21 national and typhoon Haiyan in the Philippines. regional sales organisations and two headquarters offices. Locally Regionally Canon’s focus areas for social contribution activities are We continued our regional partnerships with the World Wide outlined on the Canon Inc. website and Canon EMEA targets its Fund for Nature (WWF) and the Red Cross. Canon Inc. also community support similarly. Within this framework, however, announced an official partnership with the International national organisations are able to decide which specific local Association of Athletics Federation (IAAF) World Athletics projects to support, based on reasons such as proximity to our Series from 2013 to 2016, contributing to the promotion and business operations; knowledge of the requesting organisation; development of athletics worldwide. Regionally, Canon Europe supported the IAAF World Championships in Moscow, including type of support requested e.g. cash, in-kind, volunteering; on-site behind-the-scene technical support to journalists and urgent local need; and supporting our regional partnerships with sports photographers from the Canon Professional Services WWF and Red Cross. Many more requests are received than (CPS) team. We also announced that we will be the official can be met and projects often cover more than one focus area. supplier of imaging solutions to The 2014 Ryder Cup at Examples of local projects supported in 2013 are below. Gleneagles. This will include providing all photography, video, print and copying solutions used by the event organisers, and CPS will be on site to share their imaging expertise and help professional photographers take the perfect shot. WWF: Our principal partnership project in 2013, alongside the global photo network, was the WWF expedition to the Laptev Sea. Scientists have long wondered if the walrus and polar bears living there are a separate species distinct from those found to the east or west. It is hoped that tissue samples taken during the expedition will solve this genetic mystery which has implications for conservation management in this region, where populations are affected by climate change, increased shipping and oil and gas exploration. Russian wildlife photographer, Alexey Ebel, went along to document the expedition, providing stunning images using Canon equipment and also some practical tips for photographers working in similar challenging conditions. At local level, our national offices and employees supported WWF activities ranging from Earth Hour, when 18 Canon offices 16 Canon EMEA Sustainability Report 2013 www.canon.co.uk/About_Us/sustainability/
© Alexey Ebel WWF-Canon Environment: Since 2011, we have planted and tended office to learn about sales and marketing jobs and working around 18 hectares of forest across several countries. • Working in a big company. • Canon Eurasia conducted photography with the Ministries of both Forestry and Education, Canon Eurasia lessons and donated cameras to local schools to promote is donating 10,000 trees for a Canon-supported forest in Van photography and creative skills and students’ awareness of the (Eastern Turkey). Local school children helped plant some of the natural environment. • Canon Europe’s legal team partnered 4,000 trees donated in 2013, alongside the Canon forest team, a London law firm to host an information session for school the local Canon dealer and local government representatives. students considering a career in law. The students, all attending The project raises the children’s awareness of the environment. UK government-funded schools, would each be the first in their • With funding from a recycled product promotion, Canon family to go to university. • Canon Germany printed 100 A1- Middle East employee volunteers planted 2,939 native Ghaf tree size colour posters to support a travelling art exhibition raising seeds; the seedlings will be transplanted in 2015. awareness of illiteracy; one billion adults – approximately 26% of the world’s adult population – cannot read. Social welfare: Canon South Africa continued to support the South African Disabled Golf Association’s ‘First Swing Club’, Sport: Over 25,000 people took part in the Vienna Business giving disabled young people the chance to try golf as a sport, Run, including 39 Canon Austria and Canon Eastern Europe which both offers an outdoor experience and improves muscle employees, with the ‘Canon Elite Team’ coming 4th overall. movement. • Canon South Africa employees repaired the walls, • Canon Switzerland employees took part in a Zurich run floor and roof of the Orange Farm centre that cares for and feeds raising funds for WWF. • Employees from Canon Hungary, orphans and local children who might otherwise starve. Canon Austria and Canon Switzerland took part in bike-to-work schemes, cycling over 11,000 km between them. Local communities: Canon Norway helped a local primary school to clear up a stretch of riverbank and also printed Volunteering: Canon Netherlands employees volunteered booklets for the school. • Canon Portugal continued support for help in several ways, including cleaning up woodland area, an Iberian wolf sanctuary by donating a photo printer and paper collecting rubbish from a beach, accompanying elderly people and employee volunteering. • Canon Middle East supported the on an outing and cleaning an animal shelter. • Canon Europe Dubai Autism Center with their awareness campaign in April. employees organised a fundraising charity bazaar in the London regional headquarters office raising around €5,500, including Education: Canon UK hosted a careers fair for students and a talent show, book sale, hairdressing, cake sales, and a raffle their parents, and also invited local school students to their prize draw. www.canon.co.uk/About_Us/sustainability/ Canon EMEA Sustainability Report 2013 17
Tijs Letschert – Canon EOS 7D Business Developing responsible businesses Through our products, services and solutions, we help and its manufacturing facilities, with relevant legislative our customers develop, diversify and grow their own bodies, and with our national sales organisations. businesses sustainably. See ‘Supporting our customers’ for We belong to over 80 industry associations and lobbying some of the ways we support our customers, from tailored groups across the region, including DIGITAL-EUROPE, print strategies and solutions to collaborative events. We EURIMAG, JBCE and EuroVAprint and seven pan seek to do business profitably and responsibly and we work European federations. in partnership with our suppliers to ensure they meet our Since 2011, Canon has been a signatory to the EU Voluntary requirements for safe, responsible products and to support Agreement (VA) on imaging equipment, endorsed by their business development. Finally, we make sure our the European Commission in January 2013 as equivalent employees have the right tools and skills to do their job. to binding regulation. Commitments under the VA include compliance with the latest ENERGY STAR® power Staying compliant consumption requirements, as well as ambitious targets Our broad product range and geographical spread bring a to meet the most advanced ecodesign measures (duplex wide variety of laws, regulations, directives and standards. printing, recycling, polymer composition, spare part We prepare for new regulation by liaising with Canon Inc. availability, cartridge recycling etc.). A new version of the 18 Canon EMEA Sustainability Report 2013 www.canon.co.uk/About_Us/sustainability/
Supporting wider BUSINESS economic growth VA, agreed by the 16 signatories in December 2013, will start All former Océ (now Canon) employees were given access applying soon, implementing the new ENERGY STAR® 2.0 to the Canon learning portal at the end of 2013 and will specifications for home and office imaging equipment sold in complete training during 2014. We will summarise progress the 28 EU countries. in our next report. The dedicated compliance assessment group at our regional Security headquarters ensures that business areas understand and We take data security very seriously; we have an information plan for new regulation, to ensure our products, solutions and security policy and the security group maintains an ISO 27001 services can be safely – and legally – sold. certification which extends to the services we offer to customers. External compliance This ranges from having processes to securely erase all data at the end of device life to advising customers on print security In 2013, we completed the EU timber regulation requirements, and providing solutions. Canon Europe is a member of the prepared for the release of ENERGY STAR® 2.0, and updated Information Security Forum (ISF) and sponsored the 2013 world Blue Angel requirements. We reviewed the implications of the congress. This allows us to better understand organisations’ new WEEE Directive (Waste Electrical & Electronic Equipment), priorities around print security and also to share other ISF monitored plans by several countries to develop their own WEEE member companies’ experiences and responses to issues. We regulation, and have been actively discussing a methodology have also contributed to the ISF’s published Standard of Good to identify new substances that will be added to RoHS 2 Practice for Information Security pertaining to document security. (Restriction of Hazardous Substances Directive). Suppliers and partners Internal compliance Supplier Code of Conduct: In 2013, Canon introduced In 2013, Canon Europe reported no deficiencies from internal a formal Canon Supplier Code of Conduct, setting out the compliance standards and also reported no negative responses international principles we believe in and support, such as not in the global Canon Financial Statement letter of fiscal year 2013 allowing forced or child labour and fair compensation, and and internal controls questionnaire, completed by almost all we ask our suppliers to comply with the specific standards of Canon Group entities. Alongside this annual reporting, we also conduct as a minimum. submit regular performance updates to Canon Inc. including biannually on environmental targets and company performance, New General Purchase Terms and Conditions: Canon and monthly on financials. also updated its General Purchase Terms and Conditions in 2013, which now contain a clause on sustainability, setting All Canon employees are bound by the Canon Group Code of out our expectations from suppliers in this respect. The Canon Conduct, which supports an ethical approach across our entire Supplier Code of Conduct is incorporated in our updated General business. It includes clauses on fair competition; respect for Purchase Terms and Conditions. laws and intellectual property; corporate ethics; respect for the We anticipate that all national sales organisations will have individual; and non-discrimination. It is supported by EMEA translated and included these changes into their own terms and policies and training such as anti-corruption and bribery. conditions by mid-2014, which will enable us to better evaluate Compliance training: All employees, including new hires, where risks may lie in our EMEA supply chain and take action. must complete compliance training on a variety of topics Green procurement: By the end of 2013, 74 suppliers including anti-corruption and bribery, competition law, of product-related and packaging items had been assessed environmental awareness, information protection and IT for compliance with our green procurement standards. security. The courses are available in a number of languages Teleconferences were held with 10 new suppliers to review their including English, French, German, Italian, Spanish, Russian and completed questionnaire and offer advice. Turkish, however some employees say it is hard to complete the courses where they are not in their first language. To remedy this, we are translating our legal compliance courses into Maintaining our brand reputation additional languages and investigating why employees have not The Canon brand is the external face of our organisation and completed the training within the allocated timeframe. we rigorously protect it to maintain our good reputation – from taking action against counterfeiters, to ensuring marketing is To strengthen our compliance programme, we are introducing clear and honest, to protecting intellectual property (IP). refreshed courses for anti-corruption and bribery and competition law. This is to ensure employees maintain Patent protection their knowledge and know where to go to should they As Canon’s business continues to expand – through new have questions. Online compliance training provides basic developments, market expansion and by acquisition – the information; where additional region-specific knowledge is need to protect our technology and innovations increases. needed, we are carrying out more comprehensive workshops for After completing an acquisition we work with new colleagues the relevant employees. to bring patent protection into line with Canon’s practices. www.canon.co.uk/About_Us/sustainability/ Canon EMEA Sustainability Report 2013 19
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