Sustainability Report: ŠKODA AUTO sets more ambitious sustainability goals and provides comprehensive support in the fight against COVID-19
- Clearly defined sustainability targets are an integral part of ŠKODA AUTO’s corporate strategy
- Environment: Material or thermal recycling of all disposable waste generated in the production process; CO2-neutral production at the Vrchlabí site.
- Social responsibility: Comprehensive measures to support relief services and medical staff in the Czech Republic during the COVID-19 pandemic
ŠKODA AUTO has published its Sustainability Report for the 2019/2020 period. The report provides a detailed overview of the progress the company has made in environmental protection while also containing information on the brand´s extensive social responsibility efforts. To this end, the latest Report also describes in detail the Company´s corporate governance and corporate culture policies and integrity tools such as programmes focused on volunteering, as well as efforts made towards effective supervision of compliance with Company-wide rules. As part of its recently presented corporate strategy, NEXT LEVEL – ŠKODA STRATEGY 2030, the car manufacturer is further tightening its ambitious sustainability targets and placing even more emphasis on diversity.
As the largest private company in the Czech Republic, ŠKODA AUTO is committed to providing stakeholders with evidence of new benchmarks set in the areas of sustainable development, social responsibility and a wide range of Corporate Governance activities.
CO2-neutral energy to be used in vehicle and component production at Czech plants by end of decade
The car manufacturer defines its ambitious sustainability goals within the framework of the ‘Green Future’ strategy. This is based on the three pillars of ‘Green Factory’, ‘Green Product’ and ‘Green Retail’ and aims to minimise the ecological footprint of the company’s activities. Since the beginning of 2020, ŠKODA AUTO has recycled or thermally processed all disposable waste generated during the production process. In addition, the car manufacturer is adopting measures to switch completely to CO2-neutral energy in vehicle and component production at its Czech sites over the course of the decade: The high-tech Vrchlabí site has been leading the way in this regard since the end of 2020. The company will also have transitioned from natural gas to CO2-neutral methane produced at biogas plants by the end of 2021. To efficiently reduce its environmental impact along the entire value chain, ŠKODA AUTO uses industry 4.0 technologies: the AI app OPTIKON, for example, determines the optimal placement of pallets in freight containers, which made it possible to save 505 transport containers and around 180 tonnes of CO2 emissions in 2020 alone.
Long-term social responsibility and wide-ranging initiatives for lasting change
For ŠKODA AUTO, embracing social responsibility is a fundamental part of its sustainability strategy. The car manufacturer promotes numerous measures for long-term and sustainable regional development in the areas surrounding its production sites, primarily in the areas of welfare, healthcare and environmental protection. Its main focus in terms of social responsibility is on four key areas: road safety, technical education, barrier-free mobility and care for disadvantaged children.
Comprehensive support for relief services and medical personnel during the COVID-19 pandemic
In the company’s home country, the Czech Republic, the focus of its social engagement last year was on providing rapid and unbureaucratic help in combating the COVID-19 pandemic. For example, the car manufacturer provided more than 200 vehicles on its ‘HoppyGo’ car-sharing platform and 150 electric scooters for employees of aid organisations and medical staff via the ‘BeRider’ eScooter sharing service. In addition, as the largest mobility partner of social services and institutions in the Czech health system, ŠKODA AUTO donated 100 ŠKODA OCTAVIAs worth 85 million Czech crowns to various aid organisations. The company also supported the development and implementation of a 3D printing process for producing FFP3 respirators. Additionally, ŠKODA AUTO provided financial assistance and supported the purchase of laptops with an Internet connection for children from disadvantaged families to help them participate in distance learning.
CSR initiative ‘One Tree for Every Car’ has been supporting restoring forests in Czech Republic since 2007
The long-term campaign ‘One Tree for Every Car’ demonstrates the versatility of the Corporate Social Responsibility (CSR) projects ŠKODA AUTO supports; it promotes restoring forests in the Czech Republic. The company has been planting one tree for each vehicle it delivers in the country since 2007. By the end of 2020, these trees covered an area of 210 hectares or almost 295 football pitches.
Top rankings and awards for social engagement
ŠKODA AUTO recently received top ratings for its commitment to CSR: In the CSR & Reputation Research Study conducted by the market research company IPSOS, the car manufacturer achieved first place in both 2019 and 2020. In addition, the car manufacturer became the first company ever to receive the ‘Responsible Foreign Investor Award’ in 2019. The award is given to companies that have foreign capital and make a significant contribution to the development of the Czech economy through their investments.
Sustainability report complies with international standard of the Global Reporting Initiative
ŠKODA AUTO has been regularly reporting on its activities in Good Corporate Governance biennially since 2005. The company has now published its eighth sustainability report. It complies with the GRI Standard Core Option of the Global Reporting Initiative and thus fulfils the international guidelines for transparent reporting.
ŠKODA AUTO’s latest Sustainability Report 2019/2020 is now available for download online.