Sustainability is an important part of the corporate culture at Pirelli. It doesn’t just apply to responsible use of materials or its environmental impact as a company – but is a quantitative and qualitative indicator of the tangible and intangible performance of the company in areas including: corporate governance, processes of innovation, reporting and management of environmental systems, responsible product management, capacity for emissions reductions and environmental consumption, development and management of human capital, commitment towards the community, health and safety in the work place, sustainable management of the supply chain, effectiveness of dialogue with all stakeholders of relevance to the companies analyzed. It takes the entire Pirelli team to advance the company in the area of sustainability – and it is that commitment to sustainability that has captured the attention of the financial world again this year.
For the sixth year running Pirelli has been recognized as the world leader in the Autoparts & Tires sector in the Dow Jones Sustainability World and Dow Jones Sustainability Europe (DJSI) indices with a score of 86 – which compared very favorably to a sector average of 53. A company’s sustainability performance is assessed on the basis of three elements – economic, environmental and social. Pirelli bested all other companies in these areas combined to take the title for the sixth year in a row. The announcement was made in November by SAM, the Swiss investment boutique focused on sustainability investing and by the S&P and Dow Jones indices.
To earn the Dow Jones award, analysts assessed Pirelli’s economic, environmental and social contributions in order to calculate corporate performance.
However, the Dow award is not the only confirmation this year of Pirelli’s ability to manage its business responsibly and with an eye towards sustainability.
In addition to the Dow award, the independent organization EIRIS has again awarded Pirelli top marks in the London Stock Exchange FTSE4Good responsible investment indices (FTSE Global and FTSE4Good Europe) with a rating of 100 out of 100, a further improvement on the 99 points it scored in March 2012 and 98 points scored in September 2011. Pirelli joined the FTSE4Good indices in 2002 and is once again the only Italian business in the Automobile & Parts sector to belong to it.
The FTSE4Good indices only include businesses that meet or exceed stringent sustainable economic, environmental and social performance criteria. In addition to other corporate characteristics the assessment includes: sustainable management of the supply chain, corporate governance regulations and instruments, environmental management and performance as well as the policies implemented and results obtained by a company’s relations with its individual stakeholders.
Pirelli’s commitment to sustainability is steadfast, and it is a commitment that everyone in the company at every level takes very seriously. 2012 has been a great year for Pirelli. Let’s work together to make 2013 even better!