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Corporate responsibility report

 

Kiilto and responsibility

The core of our business lies in the creation of solutions meeting customer needs, with the goal of being the industry's best partner for customers. Business responsibility fostering a good working environment, while generating added value for all stakeholders. This involves a long-term approach, creativity, and sustainable product and operational management.

Business responsibility is an integral element of overall quality, based on which we aim to generate responsible solutions for our stakeholders. Responsibility also involves the aim to exceed legislative requirements, be a pioneer, lead by example and engage in partnerships for the common good.

We use standard-based quality, environmental and safety systems, and corporate responsibility programmes to monitor our success in this. Overall quality and all the related elements are summed up in the annual strategies, goals and action programme of each business unit and department. The key idea is an overall improvement in quality in companies and their stakeholders, on the basis of shared values. We are actively involved in developmental activities within our sector, anticipating forthcoming changes in legislation and regulation and participating in collaboration between experts and official bodies.

Strategic management of corporate responsibility

Strategic management is our key business process. It guides the drafting of our strategy, and our core and support processes, for fulfilling our strategic and overall quality goals and stakeholder expectations.

Business processes and strategy drafting are integral to corporate responsibility. A strategic process consists of continuous work extending into all activities. Our strategy process is led at senior level by the management group, which meets once a month.

In addition, the management group engages in operational assessments in regular process reviews and management quality, environmental and safety reviews. It also assesses the solutions implemented, and engages in development activities on the basis of reported information.

The key aspects of risk management include assessing damage risks related to assets, operational disruptions and operational and product responsibilities. Protection against such risks is based on insurance policies and predictive risk assessment and management measures provided by a certified quality system.

We assess our business risks each year, when drawing up our business strategies and budgets, and reviewing our internal expert working groups. Boards of Directors within group companies assess risks and their management when drawing up the annual report.

Management process

Management groups direct and monitor organisational activities process performance at executive level, as well as monitoring the achievement of strategic goals and fulfilment of stakeholder expectations. These management groups report to the Boards of their respective companies. Management methods are assessed and developed through tools such as employee surveys, audits and self-assessments.

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Guiding principles and standards

For further information on the principles behind corporate responsibility at Kiilto, and the company's commitments to programmes defining such responsibility, see the description of each responsibility theme: environmental and product safety, social responsibility and financial responsibility.

Our material topics

We defined our key material topics in a corporate responsibility process completed in the winter of 2017-2018. The working group included representatives from sales, marketing, HR administration, financial administration and senior management. Its work was based on the GRI Standards framework. The stakeholder perspective was based on the expertise of staff working at the customer interface. This involves our first materiality assessment based on the Standards framework. The assessment differs from materiality analyses in previous reports in terms of its impact assessment in particular. The Group companies Kiilto Oy, KiiltoClean Oy and Kiilto Family Oy are involved in defining material topics: the scope of the presented material themes is limited by the companies' business activities and represent the group's key financial, social and environmental impacts.

As a result, corporate responsibility at Kiilto is divided into three key areas, in the following order in terms of their impact on stakeholders:

  • environmental responsibility
  • social responsibility
  • financial responsibility

Environmental responsibility

Kiilto's environmental responsibility comprises three special topics related to the company and its stakeholders:

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Why are these so important to us?

As an industrial company, Kiilto is part of the global network through which we have been able to build our own wellbeing and society in its current form. We are also part of the excess carbon which is impacting on the future of our planet. By improving our energy and material efficiency, we are playing our part in combating climate change and promoting sustainable development. We promote the circular economy and use bio-based raw materials to decrease our use of non-renewable natural resources, while reducing our carbon footprint by lowering waste amounts and using our production waste.

Kiilto is part of Finland's chemical industry and its product safety is subject to particular scrutiny by stakeholders. Kiilto's adhesives, building supplies, detergents and hygiene products can be found in hundreds of thousands of households, workplaces and other built environments. Kiilto is strongly present in the everyday work of construction, cleaning and healthcare professionals.

By reducing our use of solvents in production and increasing sales of our safety-classified products, we are improving occupational and customer safety in our own working environment and customers' premises.

Overall safety improvements in Kiilto's developing markets are another sign of responsible products and services! Through our own actions, we can impact on the safety of chemical industry products in circumstances where product safety could improve.

Product safety and quality monitoring are key elements in Kiilto's supply chain. Good supply chain management includes close cooperation with the customer and product development process:

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We impact on people's everyday lives. By creating a safer and cleaner built environment, we enable patient and occupational safety, and enjoyable and comfortable living:

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Social responsibility

Social responsibility cuts across Kiilto's activities as an employer. As part of its social environment, Kiilto has a visible impact across the business areas in which it operates. Our special social responsibility topics are:

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Why are these so important to us?

As a workplace, Kiilto provides a safe and inspiring environment and an opportunity for continuous personal development. Prevention of occupational accidents and improving safety in the workplace help to motivate employees to give their best performance. Motivated staff are the basis of financial success and added value shared by everyone.

We develop new solutions in an inspired setting; inspiration is based on good management and an organisation that listens. Support in the right place and at the right time improves the everyday work of each and every Kiilto employee and ensures our success going forward. We improve our workers' employability through competence development and an active training policy. Our goal: that a career with Kiilto provides each and every one of our employees with the potential to succeed. Future Kiilto employees include students. The support we provide in cooperation with their education institutions will be part of our success story for years to come.

The safety of our customers and building users also forms part of Kiilto's social responsibility. We improve the safety of our products by presenting and marketing our them responsibly. In addition, by developing our customers' expertise, we can help to improve the safety and comfort of buildings.

Kiilto also faces challenges in its product value chain. To ensure that human rights are implemented at all stages of Kiilto's business activities, we seek to prevent the use of child labour and promote equality in the working environment. In this way, we are creating a fairer world and improving the wellbeing of our personnel.

Impacts of Kiilto's social responsibility work:

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Financial responsibility

Every company aims to succeed financially. From the corporate responsibility perspective, it is important to have a vision of what Kiilto's success will affect, and how such success can be achieved. Our financial responsibility focus areas are:

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Why are these so important to us?

To enable its future success, Kiilto launches new products and services, and is growing its sectoral know-how. By doing so, Kiilto is reinventing the entire industry and creating wellbeing. Enhancing wellbeing creates a positive cycle, enabling investments in product development, which in turn enhance safety and environmental friendliness in the chemical industry.

Value chain management is critical to the realisation of Kiilto's vision. Kiilto enhances economic stability within its value chain by creating good business relationships and sharing intellectual capital.

Measurements of shared value include Kiilto's financial stream, i.e. the way in which its financial input is distributed throughout the surrounding society. Kiilto is a corporate citizen with wellbeing and ethical practices as its footprint. The company also has a stable and transparent tax footprint in developing countries.

Kiilto creates a basis for financial sustainability by promoting ethically sustainable practices throughout its value chain. Crime and abuse are prevented by developing purchasing and sales activities and through anti-corruption activities, promoting the emergence of more equal societies.

Impacts of Kiilto's financial responsibility work:

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Value chain

Our business has been international for many years. The raw material streams for our products and packaging flow from all over the world and our personnel include dozens of nationalities. Value-chain transparency is a priority for Kiilto in light of its lengthening sub-contractor chains, international production and focus on responsibility. Our materiality analysis process included the value chain in which we operate.

The illustration presents the key links in Kiilto's value chain. We have combined our material topics with our value chain: we have marked the parts of the chain in which a material topic has the strongest effect on our processes.

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Stakeholder activities

We engage in systematic and continuous dialogue with our stakeholders through a range of channels. In this way, we can develop our products, and our services and other functions, into the best possible fit with our stakeholders. In addition, we expect our partners to uphold responsible practices. On the other hand, dialogue provides stakeholders with a basis for fulfilling their own responsibility goals.

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Identifying and responding to the needs of stakeholders is a key element of corporate responsibility. We use means such as customer and consumer surveys to collect information on our corporate customers and consumers' expectations. Face-to-face meetings and customer training are also important sources and distribution channels for information. We use a range of key metrics, such as number of claims and speed of response to customer feedback, to measure customer satisfaction.

Annual development discussions are a key tool for analysing employees' expectations and needs. In addition, we use employee surveys to assess employee wellbeing, working capacity and expectations towards the employer.

We have defined key indicators on the fulfilment of stakeholder expectations and our stakeholder goals. We monitor these indicators when working and reporting on the related topics, in strategy reviews, and during process and management evaluations. Our contact methods are described in our quality system guidelines and operational and process descriptions.

See our website for further details on our stakeholder cooperation.