CORPORATE SUSTAINABILITY REPORT - DOĞUŞ OTOMOTİV 2017 - Doğuş Otomotiv
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Product and Service Responsibility ABOUT After the inclusion of vdf Servis ve the public in a transparent Ticaret A.Ş. in the 2014 report, manner. Doğuş Teknoloji and ŠKODA Türkiye (Yüce Auto Motorlu Araçlar Since 2015, Doğuş Otomotiv THE REPORT Tic. A.Ş.) have been added to the includes its affiliates, authorized GRI 102-45, 102-49 scope of the report in 2015. Since dealers and aftersales service Community first including the performances of centers as well as suppliers in three pilot Authorized Dealers and limited scope in the Corporate Aftersales Service Centers in the Sustainability Reports. With this Corporate Sustainability Report in practice intended to raise 2012, this number has risen to 21. awareness and building reporting Doğuş Otomotiv’s 2017 Corporate Sustainability Report is the Furthermore, with the addition of habits regarding sustainability, the ninth report that the company has issued under this title. The four more suppliers, the Company aims to develop its report, which provides detailed and comprehensive performances of seven suppliers in business partners within its sphere Employees information about the social, environmental and economic total are now included in this of influence. performance of key stakeholders of Doğuş Otomotiv Servis ve year’s report. Ticaret A.Ş. and Doğuş Oto Pazarlama ve Ticaret A.Ş. in material Doğuş Otomotiv’s 2017 Corporate issues, has been issued in accordance with the Global Doğuş Otomotiv discloses the Sustainability Report also includes Reporting Initiative (GRI) Standards: Comprehensive option in Company's corporate sustainability the United Nations Global Turkish and English. The Company’s financial statements and strategies, the performance Compact Progress Reporting delivered and goals set out in 2017 Index since 2010. In 2017, operational performance data have been disclosed in the 2017 in line with the Company’s focus Doğuş Otomotiv added the United Doğuş Otomotiv Annual Report. Environmental Responsibility areas and the developments in Nations Sustainable Development stakeholder engagement and Goals (UN SDG) Index to the report sustainable supply chain for the first time, disclosing to the management through the stakeholders its performance and Corporate Sustainability Report to goals under 17 headings of UN SDG. Economic Development Since 2015, Doğuş Otomotiv has disclosed its Performance sustainability performance in a dedicated section of its FURTHER INFORMATION corporate website at www.dogusotomotiv.com.tr in order for the Corporate Sustainability Report to reach more stakeholders and to ensure the reported information and data are easily understood with links providing easy access to relevant headings. Further information on GRI Index, UN Global Compact Index, UN Corporate Sustainability SDG Index or the performance of affiliates, Authorized Approach Dealers and Aftersales Services as well as suppliers are also available in the same section. 01 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 02 01
Product and Service Responsibility REPORTING Doğuş Otomotiv has issued its ninth and check the accuracy of the data Corporate Sustainability Report presented in the report and covering its 2017 performance disclosure in compliance with according to GRI Sustainability standards in a limited capacity. PROFILE Reporting Guidelines. Calculation methods recommended GRI 102-46 Doğuş Otomotiv regularly reports its within the GRI Standards Reporting Community Corporate Responsibility and framework have been utilized to Sustainability performance calculate the data disclosed in the annually. GRI 102-50, 102-52 report. Non-consolidated data have been described in footnotes. We The 8th Corporate Sustainability continue to work toward reaching Since 2009, the contents, scope and Report was published in healthier data every year, and to June 2017. GRI 102-51 include all the organizations in overall structure of Doğuş Otomotiv’s Doğuş Otomotiv’s value chain within Employees Corporate Sustainability Report are Doğuş Otomotiv’s 2017 Corporate the reporting scope. GRI 102-48 Sustainability Report has been prepared in accordance with the GRI prepared in accordance with the Sustainability Reporting Guidelines. GRI standards “comprehensive reporting” option, and has not been GRI 102-56 externally assured. It should Global Reporting Initiative (GRI) Standards Content Index be noted that Doğuş Otomotiv’s is made available online along with this report. Corporate Sustainability Reports are Environmental Responsibility GRI 102-54, 102-55, 102-56 prepared by an independent consulting firm. The consultant http://www.dogusotomotiv.com.tr/en/sustainability/corpora firm’s officials, consisting of experts te-sustainability/sustainability-home in their respective fields, monitor Economic Development Please send questions and comments Performance CONTACT about Doğuş Otomotiv’s sustainability performance to: Çağla Gül Şenkardeş Corporate Brand Manager e-posta: cgul@dogusotomotiv.com.tr Corporate Sustainability Pınar Tuncer Doğanç Approach Assistant of Corporate Brand Manager e-posta: PTuncer@dogusotomotiv.com.tr 02 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 03
Product and Service Responsibility INDEX OF SYMBOLS USED IN THIS REPORT Community The material issues covered in Doğuş Otomotiv 2017 Corporate Sustainability Report are indicated with different symbols Employees when they correspond with GRI Standards Topics where Doğuş Otomotiv’s GRI performance complies with GRI and United Nations Sustainable Standards Development Goals (UN SDG). These symbols, described below, are intended to Topics where Doğuş Otomotiv’s provide quick and detailed information to BM Environmental Responsibility SKH performance complies with the reader and point to key topics. UN SDG Topics that link to Doğuş Otomotiv’s website and include detailed Economic Development information Performance Information disclosed in the FR Doğuş Otomotiv Annual Report Corporate Sustainability Approach 04 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 05
About this report 01 Product and Service Reporting Profile 02 Responsibility Index of Symbols Used in this Report 04 Chairman’s Statement 08 Employees CEO’s Statement 12 Dialogue with Employees 62 Corporate Profile 16 Employee Trainings 68 Strategic Approach 18 Performance Management 69 Risk Management and Sustainability in Employee Health and Safety 70 the Operational Value Chain 18 Diversity and Equal Opportunities 72 Community Human Rights 73 Community CONTENTS 75 Corporate Sustainability Community Engagement Activities Traffic is Life! 75 75 Approach 22 Supporting Vocational High Schools 77 Sustainable Risk Management 23 New Graduate Programs 78 Employees Business Ethics 25 Product and Corporate Sustainability Strategy and Material Issues 26 Service Responsibility 83 Product and Service Quality Standards and Doğuş Otomotiv Material Issues Trainings 83 Performance Criteria 27 Value and Care Center (DİM) 84 Corporate Sustainability Management 36 Authorized Dealer and Environmental Responsibility Aftersales Service Center Development Activities 90 Economic Development Performance 45 Corporate Sustainability Performance by Brands 93 New Authorized Dealer and Sustainability Awareness within the Sphere of After-sales Service Investments 46 Influence 97 Economic Efficiency and Quality Activities 49 Economic Development Corporate Sustainability at Affiliates 97 Doğuş Otomotiv Suggestion System 52 Doğuş Oto 97 Performance Community Development 53 Doğuş Oto General Manager’s Statement 98 Doğuş Teknoloji 102 Environmental Gebze Scania Aftersales Service 104 Responsibility 55 Skoda vdf 106 108 Energy Efficiency 55 Water Consumption 55 Corporate Sustainability at Suppliers 110 Corporate Sustainability Waste Management 56 Corporate Sustainability at Authorized Dealers and Environmental Awareness Among Employees 59 Aftersales Service Centers 120 Approach Doğuş Otomotiv 2017 Corporate Sustainability Performance in Numbers 136 GRI Content Index 149 Doğuş Otomotiv Corporate Sustainability Team 150 06 01 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 07 02
Product and Service Responsibility Community Esteemed Stakeholders, Looking back, we will most likely and efficient sales targets in spite of remember 2017 as a year of the drop in vehicle sales and adverse uncertainties and instability market conditions overall. exacerbated by geopolitical risks for the industry and economy as well as The fact that market conditions have Employees our company. We felt the impact of direct impact on our industry due to volatile exchange rates and interest various reasons once again brought rates on the economy throughout the up the necessity of addressing risks year as the importance of risk from a more comprehensive angle. management in terms of adapting to Accordingly, we at Doğuş Otomotiv changing global balances grew continued to transform our strategic significantly. sustainability management approach, which we have followed since 2009, Environmental Responsibility We noted the most interesting result into a more systematic one in 2017. in the automotive industry, which has been growing steadily worldwide in Aiming to spread the sustainable the recent years, in the sales of electric management and growth approach vehicles that exceeded one million more extensively across Doğuş CHAIRMAN’S units for the first time. The expectation Otomotiv’s value chain, we continued 102-14, 102-15 that this figure might reach 1.4 million to share important information particularly with our suppliers and Economic Development S TAT E M E N T in 2018 was among the important messages we needed about the authorized dealers and aftersales Performance transformations anticipated in the service centers throughout 2017. This market. year we also added key sustainability factors to supplier selection criteria Light commercial vehicles segment and introduced risk categorization. We continued to grow despite the organized the first Supplier Days event narrowing in the Turkish market, in 2017 as well to inform our suppliers which saw 2.8% year on year decrease about Doğuş Otomotiv's sustainability Corporate Sustainability in total vehicle sales. Even so, we at strategy and communicate our Doğuş Otomotiv attained profitable expectations from them in this Approach 08 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 09
respect. Furthermore, on this special day we awarded three developments in line with production and sales plans of suppliers that aspired to report their own performance by OEMs, designing future strategies according to these plans. Product and Service Responsibility contributing to the Corporate Sustainability Report. As issues such as human rights and equality gain more Doğuş Otomotiv believes that the United Nations prominence on the sustainability agenda, Doğuş Otomotiv Sustainable Development Goals, one of the major kept its focus on increasing women’s participation in indicators of prioritizing sustainability not only for the economic life and enabling gender parity in the workplace. private sector but also for governments and public Doğuş Otomotiv is among the active and leading institutions, can only be reached by investing in the right members of the ‘Equality at Work’ platform formed within channels through public and private sector partnerships. In the scope of the World Economic Forum’s “Closing the this respect, we at Doğuş Otomotiv were able to achieve Gender Gap” program. Coaching and mentoring programs Community results that added value and enabled progress; and on this topic will continue in 2018. included our performance in Sustainable Development Goals in this year’s Corporate Sustainability Report. In 2017, Doğuş Otomotiv continued to provide trainings on Code of Ethics, which makes up the building blocks of Corporate governance practices have long been at the Business Ethics while nearly 81% of our employees forefront of the issues we have focused on for sustainable completed the face-to-face trainings. process management. With the activities carried out to achieve development ahead of our peers every day, we The activities we have carried out within the scope of the Employees were able to see very valuable outcomes. In 2017, Doğuş ‘Traffic is Life!’ platform seamlessly since 2014 continued to Otomotiv’s corporate governance compliance score in raise awareness of traffic safety significantly as we became Borsa Istanbul was rated as 9.63. With best practices one of the pioneering companies in this field. The ‘Traffic is internalized and corporate governance significantly Life!’ platform will go on with various programs in 2018, complied with, the Corporate Governance Association of reaching more children, young people and families to raise Turkey ranked our Company second among the top three awareness. Companies with Highest Corporate Governance Rating Scores. As always, Doğuş Otomotiv will keep investing toward Environmental Responsibility improving social welfare in our country, all the while We continue to work in a planned and systematic manner upholding its universal and corporate values. In 2018, we with the awareness that sustainability also means reducing will draw our roadmap by identifying the risks and our impact on the ecological environment. We succeeded opportunities associated with our new updated material in reducing our water consumption 65% with the practices issues as we continue to improve ourselves and contribute implemented since 2009. With waste management to the community of which we are a part in line with the applied since 2008, we saved around 8 million kWh in United Nations Sustainable Development Goals and other Economic Development energy, which corresponds to the annual energy international frameworks. Performance consumption of approximately 2,800 households. I would like to extend my gratitude to all of our Speaking of attaining tangible results, 2017 was also a year stakeholders, and particularly executives and employees of when we saw major transformation in the global Doğuş Otomotiv for their efforts, valuable contribution and automotive industry. With several countries declaring their cooperation and express my heartfelt confidence that vision for zero-emissions, along with the changes in together we will continue to achieve even greater success automotive technology and restrictions imposed on diesel in the coming years. Corporate Sustainability vehicles due to environmental norms, leading to increased manufacturing costs, many companies have already Sincerely, Approach stopped production of diesel engines. As in the case of Volkswagen’s Jetta model, the fact that diesel engine Aclan Acar options are no longer offered in some models has reflected Chairman directly on the 2017 sales figures. Doğuş Otomotiv adapts to changing conditions and closely follows all the 10 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 11
Product and Service Responsibility Esteemed Stakeholders, In this journey that we embarked stakeholders expect from us to on a decade ago with the mission decrease our own risks and also to Community of becoming the leader of systematically contribute to social sustainability in our industry, we and economic development. We have achieved significant progress. have always valued international We are proud and happy to partnerships in all our business present our 9th Corporate processes that we have shaped Sustainability Report, knowing based on corporate sustainability that we continue to fulfill our strategies and policies. As the mission by enhancing our pioneer of our industry in social sustainability performance year on development in Turkey, we at year. Doğuş Otomotiv continue to take Employees action in order for the private As well as publishing our reports in sector to fulfill its responsibilities. compliance with the Following the United Nations internationally accepted Global Global Compact, which we Reporting Initiative (GRI) reporting undersigned in 2010, we have standards, the fact that we have included the United Nations established sustainability practices Sustainable Development Goals throughout our business processes (UN SDG) Index for the first time in and have built a sustainability this year’s report, disclosing our Environmental performance and targets under a Responsibility management system in international standards within our number of UN SDG headings to organization also demonstrates our stakeholders. that we are advancing with firm and confident steps on this long We formed the Corporate road ahead. We also continue to Governance and Sustainability CEO’S include all the stakeholders within Committee, of which I am a 102-14, 102-15 our sphere of influence in our member, reporting to our Board of process. In addition to the three Directors to ensure that Economic Development S TAT E M E N T affiliates featured in our report, the sustainability practices are managed like all the other Performance number of Authorized Dealers and Aftersales Service Centers processes within the organization included in this year’s Corporate and targets are monitored by all Sustainability Report rose to 21 the Company operations. The and suppliers to seven, Committee meets regularly during respectively. We visit these the year to follow development stakeholders to provide corporate areas and opportunities in the sustainability advice and support field of sustainability. On the other hand, the Early Detection of Risk Corporate Sustainability them to ensure that they can integrate sustainability into their Committee, which also reports directly to the Board of Directors, Approach own business processes. assesses the risks that the We at Doğuş Otomotiv embarked Company might face, considering on this journey to grow together economic, environmental and with the community of which we social issues. are a part, learn what our 12 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 13
For Doğuş Otomotiv, 2017 was a year when we implemented in line with the suggestions of our and spread modern human resource and Supporting Vocational High Schools are reached our targets in all operational areas. As the employees, we were able to save TL 3 million in 2017. methodologies across our Authorized Dealers and ongoing in line with this strategy. The community Product and Service Responsibility brands we represent in Turkey attained all the goals Doğuş Otomotiv and Doğuş Oto received a total of Aftersales Service Centers as another key investments we made for this purpose amounted set at the beginning of the year, they also captured 1,849 suggestions from the employees and 604 of stakeholder within our sphere of influence, visited to TL 1,680,973 in 2017. the forecast levels of market shares. Doğuş Otomotiv these were implemented. 120 Authorized Dealers of the eight brands we maintained its strong position in the industry with represent 319 times throughout 2017. Doğuş Otomotiv, as a driver of the national total sales of 182,199 vehicles, including heavy Always aiming to be the best employer toward economy, will continue to manage its processes commercial vehicles and 18.9% retail market share in higher targets every year, we strive for ultimate As we continue to carry out activities to add value within the framework of Sustainability strategies 2017. We also sold 22,009 used vehicles. Total service employee satisfaction through health and safety to the community through efficient and and policies in the coming years, adding value to entries totaled 1,295,626 with 280,122 by Doğuş Oto practices in particular, as well as professional and sustainable business strategies we also spread all its stakeholders within its sphere of influence. I and 1,015,504 by the other Authorized Dealers and lifelong education support programs, career them across our base and apply deepening would like to wholeheartedly thank all of our Community Aftersales Service Centers. development and performance appraisal system and strategies in our spheres of influence. The stakeholders, as the builders and supporters of our mother-child policy. As a result of these efforts, we community engagement programs ‘Traffic is Life!’ success, for their continued support in 2017. We believe in the importance of leveraging were deemed worthy of the “Best Employer” award particularly the benefits of technology to ensure the at the 2017 Aon Best Employers program. Sincerely, sustainability of the company and its resources. We prioritize digital transformation to make technology From the launch of face-to-face code of ethics E. Ali BİLALOĞLU and digital opportunities a part of our business trainings in 2015 through 2017, a total of 2,037 Doğuş Chief Executive Officer processes, to offer different services through the use Otomotiv and Doğuş Oto employees received code Employees of technology and to further improve our service of ethics trainings. Doğuş Otomotiv continued to be quality. To address this topic, which has been among an active and leading member of the ‘Equality at the top items on our agenda for five years, we took a Work Platform,’ established within the scope of concrete step and appointed a Chief Digital Officer ‘Closing the Gender Gap’ project, which the World (CDO) in 2017 by forming the Digital Transformation Economic Forum launched to promote women’s Department to carry out the organization’s digital participation in economic life and to ensure gender transformation more efficiently and rapidly. parity in the work environment. The number of female employees, which was 165 in 2013, rose to 261 Environmental Responsibility Furthermore, as Turkey’s leading automotive in 2017 through equal opportunity programs for importer with a broad product portfolio consisting of women, with female employment ratio reaching approximately 85 models and the representative of 34.4% at Doğuş Otomotiv. 12 international brands, all leaders of their respective segments, we continue to expand our indirect We base our core business philosophy on customer economic impact every day. Our suppliers are satisfaction and carry out all activities with our among the top stakeholders that benefit from this quality-focused service approach. Responding to the Economic Development indirect economic impact. The local procurement of expectations of OEMs, sustaining the same service Doğuş Otomotiv Group amounted to TL 839.9 Million quality as the Turkish representative of these leading Performance TL, excluding Doğuş Group companies. Since 2014, brands and maintaining constant dialogue are the we have been carrying out activities within the building blocks of our stakeholder engagement framework of the Doğuş Otomotiv Sustainable strategy and corporate perspective. Annual customer Automotive Supply Chain Model to improve the satisfaction measurements are conducted by OEMs sustainability performance of our suppliers. In 2017, to assess sales, aftersales and DIM. The average we took one more step to raise awareness by adding Customer Satisfaction survey results for Doğuş Corporate Sustainability sustainability to supplier selection criteria. We also Otomotiv were rated as 4.93 for sales and 4.73 for organized a Doğuş Otomotiv Supplier Day aftersales. Meanwhile, DIM showed great progress in Approach stakeholder meeting in 2017 to learn the 2017, becoming a finalist at the Contact Center expectations and suggestions of our suppliers and World Awards and winning the Best Customer improve supplier satisfaction further. Experience award. Our nearly 2,500-strong workforce constitutes our Our Authorized Dealer Human Resources most important asset in order for us to operate more Development Department, or Drive, which supports efficiently. With 85 lean management projects and helps to sustain the organizational processes 14 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 15
Doğuş Otomotiv Value Chain 2017 CORPORATE PROFILE GRI 102-1, 102-2, 102-3, 102-4, 102-5, 102-6, 102-7, 102-10 Product and Service Responsibility VALUE CHAIN 2017 About Doğuş Otomotiv REPLACEMENT IMPORTS AND OTHER RETAIL PARTS AND USED VEHICLES FİNANCE DISTRIBUTORSHIPS AFTERSALES SERVICES INVESTMENTS Doğuş Otomotiv, with approximately 2,500 employees, is a Replacement Parts and Logistics major player in the Turkish automotive industry. With a Automotive Financing* TÜVTÜRK* dynamic service approach focused on ultimate customer Community satisfaction, which the Company has sustained without Quick Fix for All Brands Sales and Purchase Insurance* of Used Vehicles compromise since its founding, Doğuş Otomotiv ranks among Doğuş Otomotiv the most admired and trusted brands in Turkey according to YÜCE AUTO* Independent Authorized Resellers Insurance* *Affiliates corporate reputation surveys. Doğuş Otomotiv 2017 Authorized Dealer and Aftersales Service Network Employees In 2017, the 23 of its operations, Doğuş rd satisfaction in all its services, operating with one Otomotiv has maintained its position as of the largest authorized dealer and aftersales Turkey’s leading automotive importer and one service networks in Turkey. With nearly 550 of the largest automotive distributors. points serving customers across the country, Doğuş Otomotiv prepares its business plans Doğuş Otomotiv provides wide-ranging and with the vision of providing creative services seamless services including sales, aftersales and beyond expectations and builds its corporate spare parts. Meanwhile, the Value and Care VW strategy on the objective of working to deliver Center (DIM) launched in 2014 to enhance Audi Environmental Responsibility SEAT ultimate customer satisfaction. customer satisfaction provides 24/7 road Škoda assistance. Porsche Scania Doğuş Otomotiv boasts the industry’s widest Thermo King brand portfolio and the largest service network Doğuş Otomotiv, with approximately 2,500 Scania Den. ve End. Motorları in Turkey. As the representative of 12 employees, is a major player in the Turkish international brands, each one a leader in its automotive industry. With a dynamic service Material changes in scale, organization or ownership respective segment, including passenger cars, approach focused on ultimate customer The material disclosure posted to KAP on to take this merger off the agenda with the Economic Development light commercial vehicles, heavy vehicles, satisfaction, which the Company has sustained November 6, 2017 stated: “Our main possibility of revisiting the issue at a later date. industrial and marine engines, and cooling without compromise since its founding, Performance shareholder Doğuş Holding A.Ş. has resolved to Since both parties to the merger are part of the systems, Doğuş Otomotiv offers its customers Doğuş Otomotiv ranks among the most merge with Doğuş Araştırma Geliştirme ve Doğuş Group, this cancellation will not lead to and corporate clients a wide brand portfolio admired and trusted brands in Turkey Müşavirlik Hizmetleri A.Ş., another of our any changes in the shareholder structure and consisting of Volkswagen Passenger Cars, according to corporate reputation surveys. shareholders, together with all the latter’s management control of our Company.” Volkswagen Commercial Vehicles, Audi, SEAT, Initially offered to the public in 2004, assets and liabilities. Since both parties to the Škoda, Bentley, Lamborghini, Bugatti, Porsche, Doğuş Otomotiv shares are traded on Borsa merger are part of the Doğuş Group, there will Doğuş Otomotiv’s final status including 2017 and Scania brands, along with a combined Istanbul (BİST) with the “DOAS.IS” ticker code. be no changes in management control of our financial indicators, ownership and legal product portfolio of over 85 models. The Corporate Sustainability Company. With the finalization of the merger structure is explained in detail in the 2017 Company operates in the marine engines Doğuş Otomotiv is a member of Doğuş Group, process, the direct share of our controlling Annual Report.1 102-5, 102-7 For Doğuş Otomotiv’s Approach market with Scania Engines brand, and in the which operates in seven core industries shareholder Doğuş Holding A.Ş., excluding the vision and mission statements, strategy, cooling systems market with Thermo King including automotive, construction, media, floating shares of our Company, will increase commitments and values, 102-16 please visit brand. Doğuş Otomotiv furthermore serves tourism and services, real estate, energy and from 35.21% to 65.5%.” However, a material the corporate website: customers in the used vehicle market with its entertainment, growing through new disclosure posted to KAP on January 3, 2018 DOD brand. investments in the fields of technology, sports stated: “after considering the changes in www.dogusotomotiv.com.tr and entertainment. business conditions, it has now been resolved Doğuş Otomotiv prioritizes ultimate customer 1 For further information: Doğuş Otomotiv 2017 Annual Report: FR https://www.dogusotomotiv.com.tr/en/investor-relations/investor-relations/reports-and-presentations/annual-reports 16 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 17
Strategic Approach Sustainable Supply Chain Management Product and Service Responsibility Ultimate Sustainability Doğuş Otomotiv carries out its activities within the scope of distributorship and Customer Digital and Business Employees Stakeholder Transformation Engagement aftersales services agreements with the leading brands of the world and is Satisfaction Ethics obligated to meet the sales and aftersales service standards of these brands at OEM the highest level. Implementing and improving the manufacturers’ practices in Doğuş Otomotiv Adopting the We highly value As an At Doğuş (Manufacturer) global standards across the entire value chain in the regions the Company prioritizes ultimate operational the importance organization Otomotiv, we operates is among the most important responsibilities of Doğuş Otomotiv. customer excellence of integrating the that places build all of our Community satisfaction in all its approach, Doğuş Doğuş Otomotiv human activities on the services with the Otomotiv started its Ethical Principles resources above basis of ethics, At Doğuş Otomotiv, we act with the awareness that we are part of economic largest Authorized organizational and Code of all other assets, transparency development together with all of our suppliers that we procure products and Dealer and restructuring Ethics into all of we consider and services from to sustain our activities in the organizational lifecycle. We assess Aftersales Service process with the our business being close to accountability Suppliers the direct impact of the products and services we procure from our suppliers in network in Turkey. aim of shaping the processes while employees and and act in line our lifecycle at each stage of our operations and for this purpose manage the future by defining achieving our improving with the same necessary awareness-raising, organizing and audit activities. customer targets. We employee management expectations address and loyalty one of culture in our Ensuring the sustainability of our Authorized Dealers and Aftersales Services according to manage the Company’s relations with that constitute the most important part of Doğuş Otomotiv's operational Employees contemporary sustainability priority topics. our lifecycle is among our most important development goals in this topic. trends and with a holistic stakeholders. Authorized Therefore we monitor and manage the progress of our activities under the redefining the value approach in all of Dealers and headings of awareness, development, evaluation and transparency. chain, and our business Aftersales Our Authorized Dealer Human Resources Development department (Drive), established the strategies and Services working to support the organizational processes at Doğuş Otomotiv Authorized Digital policies. Dealers, to ensure the sustainability of their organizational success and to Transformation spread modern human resource methodologies, paid a total of 319 visits to 120 Authorized Dealers of the eight brands we represent in 2017. department in 2017. At Doğuş Otomotiv, we set up, manage and monitor all the systems needed to Environmental Responsibility ensure that the services we provide do not fail and logistics management is Logistics achieved at global standards. We fulfill our responsibilities at every stage to Risk Management And Sustainability In The Operational make sure that all of our products and services are delivered to our customers Management Value Chain 102-15 in the right and healthy manner within our logistics management, which we regard as the most important factor that provides social, environmental and Doğuş Otomotiv works with a strong the subsequent stages after our products and economic efficiency in our organizational lifecycle. sustainability management philosophy, aiming services are delivered to the customer. to create value across the entire value chain by Adopting integrated risk management Economic Development managing its social, economic, ethical and approach, we continue to move forward by Customer Relations Management Performance environmental risks at every stage of identifying our responsibility areas within the operations. Our commitment to Corporate lifecycle of all our operations as well as Sustainability requires addressing all determining our approach and goals in these At Doğuş Otomotiv, we value the importance of digital transformation to incorporate technology and digital opportunities into our business processes, stakeholder expectations in a timely manner areas. create different services by using technology and improve our service quality. from the very beginning of our operations to all Digital Our top priority in this topic will be to improve the quality and efficiency of Transformation services at every customer touch point and to reassess the infrastructure and processes of our Authorized Dealer and Aftersales Service network across Corporate Sustainability Turkey from a digital transformation perspective. Sustainable Supply Customer Relations Transparency and Approach Meeting the needs and expectations of Doğuş Otomotiv customers is the most Chain Management Management Accountability important building block of our organizational lifecycle. DIM (Value and Care DİM Center), which was launched for this purpose, supports our brands at every OEM Corporate Governance and (Vale and Care Digital Transformation touch point across the customer lifecycle. The DIM operation aims to bring Suppliers Sustainability Management Center) service and quality standards to customer touch points and provides instant Authorized Dealers and Business Ethics and transparent monitoring of consumer expectations and opinions with the Aftersales Services DİM Compliance with Laws and reporting features available for our brands and Authorized Dealers and Regulations Aftersales Services. Logistics Management 18 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 19
Transparency and Accountability Product and Service Responsibility Corporate Activities are carried out, evolving every year, to manage sustainability topics in Governance and line with stakeholder expectations and strategic corporate priorities within our operational lifecycle, to set targets and make it a way of doing business for all of Sustainability our employees. Management Implementing business ethics practices in world standards across Doğuş Otomotiv’s entire lifecycle and ensuring that they are adopted and applied by Community Business Ethics all parties while awareness is raised every day along with related audit and management processes make up an important part of risk management at Doğuş Otomotiv. Compliance with Doğuş Otomotiv acts and continues to operate with a corporate sustainability Laws and approach within its organizational lifecycle and Code of Ethics, exceeding the Regulations requirements of laws and regulations. Employees Environmental Responsibility Corporate Economic Development Performance Sustainability Approach Corporate Sustainability Approach 20 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 21
CORPORATE SUSTAINABILITY APPROACH Sustainable Risk Management 102-15 GRI Product and Service Responsibility In its operations, Doğuş Otomotiv employs a Finalizing the Business Continuity Plan, management approach with the aim of fully assessing the risks as a result of the analyses Our corporate strategy is based on driving a with all our business partners and our meeting the expectations of its stakeholders carried out on the basis of critical business strong and sustainable organization forward contributions as a community to a healthier and implementing the Company's strategies in processes and updating the risk inventory are through world-class operations focused on environment. the most efficient manner. This approach also among our 2018 targets. development and efficiency. We follow the requires an integrated risk management values of Doğuş Otomotiv in all our activities, Accordingly, we integrate social, environmental Conflicts of Interest perspective. For this purpose, feedback knowing that our success depends on the and economic risks and opportunities into all Community mechanisms, reporting and research models No conflicts of interest and disputes regarding health and safety of our employees, the business processes across our entire operation the companies, which provide Doğuş Otomotiv are utilized along with regular internal and continuity of efficient and honest cooperation within the following framework: with such services as investment consultancy, external audit processes. The Doğuş Otomotiv Doğuş Otomotiv Integrated Corporate Sustainability Framework Risk Management Approach is explained in rating and other similar topics, were identified detail in the dedicated Sustainability section of in the 01.01.2017-31.12.2017 reporting period. In the website and under the relevant heading in the agreements executed in accordance with the annual report: the Company’s Code of Ethics, as well as in the DOĞUŞ OTOMOTIV http://www.dogusotomotiv.com.tr/en/sustainabil internal workings of our Company, due PRODUCTS Employees AND ity/corporate-sustainability/governance-risk-man diligence is exercised to avoid conflicts of SERVICES agement-ethics/risk-management interest. For the sustainable Risk Management Model, For detailed information on the Remuneration MANAGING ECONOMIC, CORPORATE Doğuş Otomotiv's social, environmental and Policy of the Board and the relationship STRATEGIES AND SOCIAL AND MANAGEMENT economic aspects were identified as part of the between the fees paid to senior executives and ENVIRONMENTAL APPROACHES EXPECTATIONS material issues study carried out in 2009. Due to directors and the performance of the OPPORTUNITIES organization, please see: Environmental Responsibility the changing business dynamics, the study was AND reviewed in December 2017 and material issues http://www.dogusotomotiv.com.tr/en/investor-re RISKS were updated. lations/investor-relations/corporate-governance/ policies/remuneration Doğuş Otomotiv will share the results of the study in which the key stakeholder expectations and institutional priorities were compared and On-the-Job Training program and SUSTAINABLE POLICIES Economic Development RISK AND the AA1000SES Standard methodology was Government Incentives GRI 201-4 MANAGEMENT TARGETS applied under the relevant headings in the 2018 On-the-Job Training Program, as the name Performance Corporate Sustainability Report. suggests is a learning program aimed at improving the professional knowledge of Financial Risks 102-15 unemployed people registered with the In line with market assessments and the topics employment institution in workplaces also emphasized by the Early Detection of Risk Managing Economic, Social and Environmental Expectations 102-15 registered with the institution through practice Committee, action plans for diversifying and by personally seeing the business and Corporate Sustainability financial channels and securing liquidity At Doğuş Otomotiv, we strive elevate the engagement management in international production processes. If people, older than 18 strength were detailed during the year. Along quality of our customers’ lives at every touch standards and we regularly question our and younger than 29, complete the on-the-job Approach with comparative studies and coverage analysis, point. In line with the requirements of doing stakeholders' expectations on all platforms. training programs and are employed in their the insurance development reports were business by fulfilling our responsibilities for a (For Doğuş Otomotiv Stakeholder Engagement own profession within three months after the structured considering the defined scope and modern and sustainable society, we consider Strategy and Dialogue Platforms, please visit: program’s completion, employer’s share in priorities. The working principles of the the social, environmental and economic http://www.dogusotomotiv.com.tr/en/sustainab social security premiums are covered by the Information Security Steering Committee, in expectations of all our stakeholders. Therefore, ility/corporate-sustainability/sustainability-at-d Unemployment Insurance Fund for 30 months. which the Risk Management Department is a we follow a strategy focused on stakeholder ogus-otomotiv/stakeholder-engagement ) Furthermore, the employee must be added to permanent member, were determined. the average number of insured people declared 22 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 23
in the monthly premium and service technologies gaining prominence today, the A two-phase study was launched in 2017 to update the current Business Continuity Plan Product and Service documents filed by the employer for the year growing volumes of data and transactions Responsibility prior to such person’s recruitment. cause the sufficiency of conventional audit (BCP) with a wider scope and better usability. In the first phase, action plans, risk escalation methods to be questioned. Accordingly, levels, action stages and command-control-coordination structure were established and In calculations, such people’s social security continuous/computer-assisted activities, as presented to the approval of the Early Detection of Risk Committee under the Board of premium basis is taken into account. After the electronic audit processes that allow auditors Directors in December. Climate change and related developments were listed among the application of Law No. 5510, the remaining to give reassurance have become important. threats included in the scope of this study and playing a role in determining the action social security premium, calculated using the The process that was launched in 2016 for this stages. In the second stage consisting of fieldwork, as a first step meetings were held with lower limit of premium base in a ratio of the purpose was finalized; and the 2017 reports the owners of the works/processes and climate change along with resulting developments employer’s share, is covered by the Fund. Our were created in a manner that enables the were added to risk identification activities. For this purpose, 32 meetings were held until Community company has benefited from this incentive results to be produced over all the data in the December 2017. The plan is to continue such meetings in 2018. since April 2016 and currently 36 people are Doğuş Otomotiv Turkuaz System instead of employed within this scope. The incentives sampling instantly or in defined periods. In extended in 2017 amounted to TL 4,612.82 for 2017, the weight of continuous auditing Business Ethics Doğuş Otomotiv and TL 85,280.27 for increased in regular audits. Doğuş Oto. The regular audits at Doğuş Otomotiv and its Code of Ethics Trainings environment. The trainings will continue to be Fighting Corruption 102-15 affiliates will be carried out within the scope of GRI 205-1, 205-2, 412-2 assigned to employees regularly every year. Employees The Internal Audit Department, reporting to Ethical code trainings are provided with the Anti-corruption topics are also included in the risk-based annual audit plan approved by the Audit Committee formed under the Board aim of giving our employees a complete Code of Ethics training. the Board of Directors and the results will be of Directors, includes the operations of shared with the Audit Committee. The goal for picture of why Doğuş Otomotiv has published Doğuş Otomotiv as well as its Affiliates within its Code of Ethics, when it is needed and how Face-to-face ethical code trainings at Doğuş 2018 is to conduct regular audits as the weight the scope of the risk-based audit plan. As part to use it. In 2017, 96 Doğuş Otomotiv Otomotiv started in 2015. In the period from of continuous audits and Information of the regular internal audits carried out in employees received a total of 240 man/hours 2015 until the end of 2017, 713 employees at Technology audits increases. 2017, compliance of brand and department of ethical code training. Furthermore, 360 Doğuş Otomotiv received 1,446.5 man/hours processes with policies and procedures has Shareholder Relations employees recruited in the same timeframe of training while 1,324 employees at Doğuş Environmental Responsibility been assessed in terms of both operational Investor Relations Department is responsible were informed about the Code of Ethics during Oto received 2,168.5 man/hours of training. risks and also risks of misconduct. Risks related for regularly providing shareholders and a total of 900 man/hours of e-orientation to bribery and corruption are also included potential investors with information related to training. The employees that took the training Ethics Hotline within this scope. If development areas are the Company’s operations, financial position watched the viral film on Corporate The complaints received through the ethics identified as a result of the audits, and strategies, except for information not Sustainability performances, learning “what the hotline are carefully evaluated and all are recommendations are made to improve the disclosed to the public or considered code of ethics and ethical principles are and reported to General Directorate of Human Economic Development control environment regarding the process. confidential and trade secrets, in a manner not how more information can be obtained”. In Resources. The ethics hotline notifications are Those recommendations are followed through to lead to information inequality as well as for addition to in-class training for adopting also periodically presented to the Audit Performance and those with high priority are reported to the responding to information requests. Investor ethical principles, Code of Ethics training has Committee and the Board of Directors. Audit Committee and the Board of Directors. Relations Department continues its activities also been included in the e-learning to form a bridge based on two-way As part of the 2017 audit plan, 18 audit reports communication and trust between Doğuş for Doğuş Otomotiv and 11 audit reports for Otomotiv's current and potential investors. Doğuş Oto were prepared and audit results Policies and Goals Climate Change GRI 102-15, 201-2 Corporate Sustainability were presented to the Board of Directors in January, April, July, September and December Climate change is defined as a risk at Doğuş The most important part of Corporate define policies and firm goals in relevant areas. Approach 2017 by the Audit Committee. Otomotiv. In this respect, risks within the scope Sustainability Management at Doğuş Otomotiv The activities carried out to determine policies of climate change, as with social, is determining the corporate policies and and the 2023 targets in line with the material Audits GRI 102-15 environmental and economic risks, are related goals in line with material issues. issues redefined in December 2017 are Considering the growing need for Information integrated into business models together with Accordingly, all processes are reviewed to expected to be finalized in 2018. Technology Audits, a comprehensive corporate sustainability strategies and information technology audit was conducted managed proactively. in 2017. Furthermore, with information 24 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 25
Corporate Strategies and Management Approaches Corporate Sustainability Product and Service Responsibility ECONOMIC COMMUNITY ENVIRONMENT EMPLOYEES HUMAN RIGHTS CUSTOMERS DEVELOPMENT ENGAGEMENT Corporate Sustainability-related areas and reporting on global standards every year. (For goals at Doğuş Otomotiv are managed directly further information on Doğuş Otomotiv’s by an official committee under the Board of Corporate Sustainability Strategy and Financial Sustainable Customer Health Water Discrimination Traffic Safety Directors. A Sustainability Council, reporting to Management and Governance structure Efficiency Employment and Safety Economic Waste Management Employee Freedom of Customer this committee and consisting of managers GRI , 102-18, 102-22, 102-23, 102-24, 102-27, 102-28, 102-29, 102-31, 102-32, 102-33 Business Ethics Volatility Energy Satisfaction Association Satisfaction representing all departments of Doğuş please refer to: OEM Employee Health Child Labor and Training and Community Otomotiv, has also been working on these http://www.dogusotomotiv.com.tr/en/sustainab (Manufacturer) Logistics and Safety Forced Labor Information Development Community topics for nine years. The Sustainability Council ility/corporate-sustainability/governance-risk-m Suppliers Environmentally Rights of Local Responsible Cooperation and Friendly Products Equal Rights Communities Marketing Dialogue is responsible for improving Sustainability anagement-ethics/corporate-governance-and- Dialogue with performance across all business units and compliance) Employees Traffic Strategy and Management Is Life! Doğuş Otomotiv Material Issues Performance Criteria GRI 102-15 Doğuş Otomotiv Products and Services Topic 2016 2017 Doğuş Otomotiv’s Integrated Corporate fully meet the expectations of all key Employees ECONOMIC DEVELOPMENT Sustainability Framework provides various stakeholders. (For detailed information on Net Sales (TL Million) 11,925 13,220 options for managing the potential negative Doğuş Otomotiv Products and Services, please impacts arising from the Company's operations see: Number of Suppliers 736 554 and transforming them into opportunities as http://www.dogusotomotiv.com.tr/en/about-us/ Local Procurement Amount (TL Million) 2 921.6 839.9 well as offering tools to ensure that we dogus-otomotiv/brands) Local Employment Ratio (%) 7.27 8 continue to deliver products and services that ENVIRONMENT Environmental Responsibility Water Consumption Amount (m3) – Per Vehicle Sold 0.48 0.51 Amount of Packaging Recycled Through ÇEVKO (kg) 473,225 374,799 CORPORATE SUSTAINABILITY STRATEGY AND Battery Recycling Ratio (%) 101.2 106.7 MATERIAL ISSUES 102-47, 103-1, 103-2 GRI Electricity Consumption (kWh) 5,427,821 5,610,089 Natural Gas Consumption (kWh) 445,079 497,283 CO2 Emission per Vehicle Sold (kg) 121 122 Economic Development Doğuş Otomotiv has defined the scope of the Doğuş Otomotiv uses the methodology 2017 Corporate Sustainability Report according recommended by AA1000SES (AccountAbilitiy EMPLOYEES Performance to the results of the material issues Workshop, Stakeholder Engagement Standard) to Number of Employees 2,488 2,492 which was held with wide participation in determine its material issues while the Employee Satisfaction Rate (%) 75 Surveyed every 2009. However, with stakeholder expectations workshop is moderated and results analyzed other year and conditions changing since 2009, material by an independent consultancy firm, Workplace Accident Ratio (%) 0 0 issues study was repeated in December 2017. specializing in this field. (For more information Employee Representation Ratio in OHS 4.87 4.41 The results of this workshop, which the Doğuş on Doğuş Otomotiv Material Issues and Committees 3 (%) Corporate Sustainability Otomotiv Chairman and CEO opened and Determination Methodology, please refer to: contributed with their opinions, will be Female Employment Ratio (%) 4 23 22.4 http://www.dogusotomotiv.com.tr/en/sustainab Approach published in the 2018 Corporate Sustainability ility/corporate-sustainability/sustainability-at-d Number of Suggestions Received Report. ogus-otomotiv/dogus-otomotivs-key-impacts-a by the Suggestion System 2,348 5 2,506 6 nd-material-issues 2 Domestic procurement amount excluding vehicle imports and purchases from Doğuş Group companies. 3 Pertains to Doğuş Otomotiv alone. Other ratios have been provided in detail in relevant sections of the report. 4 Doğuş Oto and Doğuş Otomotiv average figure. 5 Cumulative figure of Doğuş Otomotiv, Doğuş Oto and Škoda. 6 Doğuş Otomotiv, Doğuş Oto, Doğuş Teknoloji ve Skoda toplam rakamıdır. 26 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 27
2016 2017 Corporate Sustainability Goals and Progression Model GRI 102-15 Product and Service Number of Suggestions Implemented 789 7 736 8 Responsibility Training Provided for Employees (man/hours) - 35.9 29.9 Doğuş Otomotiv’s goals related to material at Doğuş Otomotiv issues and progression model are explained in http://www.dogusotomotiv.com.tr/en/sustainab HUMAN RIGHTS the following table. Performance details of ility/corporate-sustainability/sustainability-at-d Rate of Employees Trained on Human Rights 100 100 ogus-otomotiv/dogus-otomotivs-key-impacts-a each material issues are covered in the report’s nd-material-issues Number of Authorized Dealers Informed 17 21 relevant sections and on the website. on Human Rights Rate of Suppliers Informed on Human 100 100 Rights (%) Target attained Ongoing Target to be Revised BM SKH UN SDG Community CUSTOMERS Customer Satisfaction Rate Sales Sales average: 109.7 average: 4.93 Economic Progres- (over 5 since 2017) Development Summary Aftersales service Aftersales sevice Development sion Material Issues Status average: 103.6 average: 4.73 Authorized Dealer Satisfaction Rate Sales: 4.64 Sales: 4.64 With 85 lean management projects launched in 2017, we Service: 4.74 Service: 4.84 Financial anticipate TL 3 million in savings. Doğuş Otomotiv continues its COMMUNITY ENGAGEMENT BM operations with a vehicle park of over 1.9 million, approximately Efficiency SKH 2,500 employees and nearly 550 customer-facing service points Employees Number of Employees trained on Code of Ethics 188 96 Number of Authorized Dealers informed 17 21 8 by adapting to the changing conditions in the automotive industry. on Code of Ethics The retail passenger car and light commercial market in Turkey Number of Suppliers informed 3 7 showed some slowing due to foreign exchange rate fluctuations on Code of Ethics and new SCT regulations in 2017, with total sales amounting to 956,194 units, decreasing 2.8% year on year. Despite the Amount of Investments for Community 14.372 1.680 Economic negative outlook, Doğuş Otomotiv maintained its strong Development Purposes (TL Million) Volatility presence in the industry in 2017, with a total sales of 182,199 vehicles including heavy commercial vehicles and an 18.9% Environmental Responsibility retail market share. We also sold 22,009 used vehicles in 2017. Doğuş Otomotiv has social, economic and Since 2009, Doğuş Otomotiv assesses its social, Meanwhile, service entries were recorded as 280,122 at Doğuş environmental impacts as a result of its growth environmental and economic impacts, and Oto and 1,015,504 at other Authorized dealers and Aftersales oriented activities, which are considered as shares its related sustainability performance in Service, amounting to 1,295,626 in total. material. In line with stakeholder expectations, material areas with the public. Doğuş Doğuş Otomotiv aims to improve its Otomotiv, while distributing world’s leading Doğuş Otomotiv continued to enable the world's most valuable brands to perform successfully in Turkey and maintained its title performance in these areas yer by year, convert brands in sustainability and providing services as the leading automotive distributor of the country with the the risks into opportunities, and fulfill the in Turkey, has the following topics in its agenda added value and competitive advantages brought by the Economic Development stakeholder expectations within the frame of as key impacts: brands represented. As the representative of 12 international OEM Performance its sustainability strategy. For more info: brands, all leaders in their respective fields of passenger cars, (Relations with light commercial vehicles, heavy vehicles, industrial and marine https://www.dogusotomotiv.com.tr/en/sustaina Manufacturers) engines and cooling systems, Doğuş Otomotiv is Turkey's bility/corporate-sustainability/sustainability-at- leading automotive importer and one of the largest automotive dogus-otomotiv/dogus-otomotivs-key-impacts- distributors with a wide product portfolio consisting of nearly 85 and-material-issues models of these brands. Doğuş Otomotiv maintains its relations with the manufacturers with its value chain that best represents OEM standards. Corporate Sustainability Social Impacts Environmental Impacts Economic Impacts Since 2014, Doğuş Otomotiv has been working toward its Traffis is Life! Water Consumption sustainability targets regarding suppliers, one of the most Approach Local Purchasing important stakeholders of the Sustainable Supply Chain Model. Business Ethics Waste Management Sustainability-related aspects were added to the supplier Employment and Employee Satisfaction Suppliers BM selection criteria in 2017. Risk categorization activities will be Emissions per Vehicle Sold Supply Chain SKH Cooperation with Vocational Highschools completed in 2018 according to plan. As of 2017, 554 suppliers 12 have been actively working with Doğuş Otomotiv’s Procurement Department. With 21% of these suppliers audited 7Doğuş Otomotiv and Doğuş Oto’s total number of suggestions implemented as of June 16, 2017. in 2017, our audit target for 2018 is to improve this ratio to 25%. 8Doğuş Otomotiv, Doğuş Oto, Škoda and Doğuş Teknoloji’s total number of suggestions implemented as of May 16, 2018. 28 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 DOĞUŞ OTOMOTİV CORPORATE SUSTAINABILITY REPORT 2017 29
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