G4-17 Reporting boundaries in the consolidated financial statements
In general, the report covers the entire Geberit Group and the 12 months of the 2015 reporting year. With regard to the net sales figures, it must be noted that these only contain 11 months of business figures from the former Sanitec.
If only part of the company is meant as an example or due to the availability of data, this is clearly indicated.
For the reporting limits in the consolidated financial statements, see Financial Report > Consolidated financial statements Geberit Group > Notes > Note 33.
G4-18 Process for defining report content
The GRI G4 guidelines serve as the basis for this report for the second time. Geberit implements the report option “comprehensive” and adheres closely to the GRI guidelines regarding the determination of material aspects and boundaries. The starting point is a comprehensive Materiality analysis based on the sustainability topics described in the GRI aspects.
For the materiality analysis, these efforts were able to build on the substantial basis that has been created in recent years. Material sustainability topics and related measures are already presented in compact form within the Sustainability Strategy. Also material are the principles of the UN Global Compact, which Geberit has committed itself to uphold and which are presented in the Communication on Progress UN Global Compact.
An internal materiality analysis was first developed on this basis from June to August 2014. The GRI aspects to be reviewed were divided into seven areas. They were then analysed, assessed and prioritised in detail in seven workshops, each with one member of the Group Executive Board and further specialists from the respective area present. The total results from all workshops were consolidated, then examined and approved by the Group Executive Board. An external stakeholder panel was consulted in September 2014. This was the second such consultation following the first in 2012. Its mandate consisted of scrutinising the results of the internal materiality analysis. The majority of these results showed a high degree of consensus between the internal standpoint of the company and the assessment of the stakeholder panel, Panel statement.
The results of the materiality analysis were reviewed as part of the integration of Sanitec in 2015. There were no major changes in the material aspects.
G4-19 Material aspects
Material aspects are deemed material if they are significant from the internal perspective of the company and/or the external perspective of stakeholders. No differentiation was made between internal and external dimensions. The aspects were divided into four categories: most material, material, less material and not material or not requiring any action. The GRI aspects that Geberit identified as material in the economic, environmental and social dimensions can be seen in a dynamic chart.
The results of the internally conducted materiality analysis were reviewed by the external stakeholder panel and approved, see Panel statement.
The following aspects were identified as not material or as not requiring any action:
| GRI aspects that are not material or that require no action | Reason |
|---|---|
| Procurement practices (in the narrower sense in connection with local suppliers) | Collaboration with local suppliers has no strategic significance for Geberit. Criteria such as reliability and price, quality and sustainability etc. are material, whereas the supplier’s proximity to the production site is not (except in a handful of individual cases). As a result, there is no preferential treatment of local suppliers or special criteria for them. For comprehensive information on the subject of the supply chain, see chapter Suppliers. |
| Biodiversity | Geberit production sites do not endanger biodiversity in protected areas. The impact on biodiversity through the use of raw materials for the newly acquired ceramics production must be clarified further. |
| Investments environment | Geberit plans holistically and integrates the aspect of environmental protection in the development of its products and production sites. In the context of integrated, sustainable planning, it makes no sense for Geberit to report investments in environmental protection separately. |
| Environmental grievance mechanisms | Any risks or problems cited by stakeholders are addressed and resolved directly. Formal grievance mechanisms are not relevant for Geberit. |
| Labour/Management relations (in the narrower sense of formal notice periods) | Geberit cultivates transparent internal communication and a close dialogue between employees and management. There are no formally binding agreements on communication in case of severe measures. |
| Security practices | Geberit is not active in any countries where special security precautions have to be taken. |
| Indigenous rights | Geberit is not active in any countries or regions where the rights of indigenous people are endangered. |
| Human rights grievance mechanisms | The risks of human rights violations by Geberit are low in general. Any risks or problems cited by stakeholders are addressed and resolved directly. Formal grievance mechanisms are not relevant for Geberit. |
| Local communities | Geberit production sites do not entail special risks for local communities or adverse effects on the neighbourhood. As a good corporate citizen, Geberit cultivates good relations with its neighbours. |
| Public policy | No support is given to political parties or politicians. Participation in the political process is confined to membership in certain associations and is therefore limited. |
| Social grievance mechanisms | Any risks or problems cited by stakeholders are addressed and resolved directly. Formal grievance mechanisms are not relevant for Geberit. |
| Marketing communications | Owing to its marketing strategy, Geberit is little exposed to risks from aggressive advertising or marketing. All external means of communication are checked for correctness and appropriateness. |
| Customer privacy | Geberit does not possess sensitive data on end users. Data on customers and end users are safeguarded as required by statutory requirements. |
G4-20/21 Material aspects and report boundaries outside and within the organization
The GRI aspects determined to be material pertain to different internal areas and external players. The table below shows which areas and players are primarily covered in this report. They therefore determine the reporting limits.
| Material GRI aspects | Reporting limits inside the organisation | Reporting limits outside the organisation |
|||||
|---|---|---|---|---|---|---|---|
| Company, total | Employees | Production/ logistics | Customers | Suppliers, partners | Society | Others | |
| Economic performance | x | x | x | Shareholders | |||
| Market presence | x | x | |||||
| Indirect economic impacts | x | x | x | x | Regional economy | ||
| Materials | x | x | x | ||||
| Energy | x | x | x | ||||
| Water | x | x | x | ||||
| Emissions | x | x | x | ||||
| Effluents and waste | x | x | |||||
| Products and services | x | x | x | x | |||
| Compliance environment | x | x | |||||
| Transport | x | x | x | ||||
| Supplier environmental assessment | x | ||||||
| Employment | x | x | Regional economy | ||||
| Occupational health and safety | x | x | Regional economy | ||||
| Education and further training | x | x | Regional economy | ||||
| Diversity and equal opportunity | x | ||||||
| Equal remuneration for women and men | x | ||||||
| Supplier assessment for labour practices | x | ||||||
| Labour practices grievance mechanisms | x | x | |||||
| Investments | x | x | |||||
| Non-discrimination | x | ||||||
| Freedom of association and right to collective bargaining | x | Unions | |||||
| Child labour | (x) | x | x | ||||
| Forced or compulsory labour | (x) | x | x | ||||
| Human rights assessment | x | x | x | ||||
| Supplier human rights assessment | x | x | |||||
| Anti-corruption | x | x | x | x | |||
| Anti-competitive behaviour | x | x | x | Competitors | |||
| Compliance | x | x | |||||
| Supplier assessment on impacts on society | x | x | |||||
| Customer health and safety | x | x | |||||
| Product and service labelling | x | x | |||||
| Compliance Product Responsibility | x | x | |||||
G4-22 Effects of any restatements of information provided in earlier reports
For the financial year 2015 sales was changed to net sales as the relevant sales figure. The net sales contain, in comparison to sales, no bonus nor discounts. If, in individual cases, a new form of presentation, calculation method or optimised data collection has led to other results for the previous years, then this is noted as a restatement under the respective indicator.
G4-23 Changes from previous reporting periods in scope, boundary or measurement methods
The annual sustainability reporting for the 2006 to 2013 financial years is based on the GRI G3 guidelines in force since October 2006. The 2014 financial year was the first time the GRI G4 guidelines were followed, and they were applied in turn to the 2015 financial year. In this way, Geberit has developed a consistent reporting system in which individual indicators are further developed each year.
With the exception of the updated calculation for the environmental impact and CO2 emissions, there were no significant changes during the reporting period for topics identified as material (GRI aspects). If, in individual cases, a new measuring method is used, this is noted under the respective indicator. With regard to the change to reporting limits, see G4-17.