- Management Board Report
- Corporate social responsibility
Corporate social responsibility
TomTom recognises that long-term value creation goes hand in hand with maintaining a sustainable business. We understand the importance of strong environmental business practices, doing business with likeminded partners and engage employees who live up to our goals. Achieving a balance between all stakeholders is essential to meet the needs of the present without compromising the ability of future generations.
Strong contribution to society
TomTom recognises that climate change is one of the biggest challenges facing the world today. Smarter and more efficient solutions are required to deal with traffic planning and control in order to organise safer, greener and more comfortable mobility in cities. TomTom believes that governments, automotive companies, service providers and drivers can reduce congestion dramatically by cooperating more closely, and we are actively working towards solutions that will enable this goal to be achieved.
For example, our fleet management products provide a complete approach to help drivers adapt a responsible driving style and reduce fuel consumption and CO2 emissions. It supports drivers in their commitment of being environmentally responsible. Another example is the launch of TomTom City in 2016, which provides a platform to connect traffic authorities, businesses and citizens to jointly manage sustainable and efficient mobility.
In 2016, we furthered our ambition to improve our sustainability footprint by designing and implementing a social environmental management system (SEMS) which is in compliance with ISO14001 standard and the Electronic Industry Citizenship Coalition (EICC) requirements.
Our SEMS sets out how we approach our social and environmental responsibility as a global organisation, by trying to minimise our environmental impact and maximising our positive contribution to the community we work and live in. It gives guidance to our employees, suppliers, customers and other relevant stakeholders on how we uphold our social and environmental standards in everything we do. The SEMS consists of policies, procedures, process descriptions, business guidelines, and templates and is accessible for our global work force.
TomTom's contribution to society includes the payment of taxes. The taxes we pay are a significant source of funding of public services provided by governmental institutions in the countries where we operate. Annual internal trainings on tax dilemmas were organised to keep internal stakeholders aware of relevant tax legislation and to ensure compliance herewith.
As a global business we are committed to continuously improving our supply chain management practices. TomTom uses its full membership of the EICC to achieve these objectives.
We have adopted and implemented the EICC Code of Conduct in our business processes and operations. This code sets out the electronics supply chain standards and practices for business conduct that we expect from our employees and our suppliers. We use our SEMS to ensure the proper management of the EICC standards within our business. This framework also enables us to identify and mitigate operational risks and facilitates continual improvement in our supply chain management practices.
We expect our suppliers to comply with all relevant requirements and to share our commitment to corporate social responsibility and continuous improvement in social and environmental performance. Not only in the development and manufacturing of products but also in the way they conduct their businesses. The EICC Code of Conduct is embedded in our vendor selection process and is signed by all our major Tier1 suppliers.
We continue to believe that a risk management approach enables us to spend our resources efficiently by identifying areas of high risk. The risk profile, self-assessments and audits are all based on EICC developed tools and practices which we believe are the most appropriate and relevant to our business and our supply chain. Using EICC tools is not only efficient for TomTom but it also sends a consistent message to our suppliers, and minimises the duplication of their effort between different customer requirements.
In 2016, we completed facility risk assessments for 100% of our Tier1 major suppliers using EICC developed tools. This includes electronics assembly suppliers for the PND, in-dash navigation systems and sports products. These suppliers accounted for 88% of TomTom's total supply chain spend. It also included 50% of our logistics suppliers, accounting for a 6.5% of total supply chain spend. We found that the majority of the supplier facility risk assessments had a low-risk profile and there were no high-risk findings. As a result, we did not conduct any independent supplier audits in 2016.
In 2016, we continued our pledge and commitment to help kids BeActive and support efforts in our local communities in which we work and live. We launched our BeActive programme in Pune, India. This programme is a collaboration between TomTom and eight municipal corporation schools in Pune and aims to allow the children to increase physical activity, channel their energy toward sports and to cultivate team spirit. Over 320 children were chosen to participate and TomTom employees will give back 16,000 volunteer hours plus host a full day cricket tournament.
In the Netherlands, for the second year in a row, we extended our partnership with the 'Richard Krajicek Foundation'. This organisation was founded by Dutch Wimbledon Champion Richard Krajicek and gives underprivileged youth the opportunity to participate in sports. The programme supports these kids by building playgrounds, organising sport activities and even providing academic scholarships to those who continue to mentor other kids in the programme. Our employees have hosted a number of fundraisers throughout the year to directly support these efforts.
In addition, in the Netherlands we also sponsored local initiatives in Amsterdam such as Girls Day, EU Code Week, the Dam tot Dam Loop, World Solar Challenge and JINC, Future Boss of Tomorrow. JINC is an organisation that helps children aged 8 - 16 to get a good start in the labour market.
Globally, TomTom employees donated 5,635 hours to Dementia research by playing Sea Hero Quest. This is the world's first mobile game where anyone can help scientists fight dementia. This game has been played by almost 2.5 million people generating over 63 years of gameplay, making Sea Hero Quest the largest dementia study in history.
TomTom employees from four countries, Belgium, Germany the Netherlands and Poland, participated in a 24-hour, 250 kilometre relay run to raise money for Juvenile Diabetes and our employees' To the Heart Foundation. Employees raised over €27,000 to support these causes. In 14 years, our employee To the Heart Foundation has raised over €207,000 to support children's charities.
In 2016, we also extended our partnership with 'Kids Run Free' a UK charity that creates opportunities for children to run relay races in and out of school. TomTom supported them with funding for 10 races and provided our GPS watches and coaching for the young runners.
In the United States, we sponsored various employee initiatives including the St Jude Walk to end Cancer, the American Heart Association and by raising funds for our own employees running the Boston Marathon for charity.
[PLAATJE=10] Business outlook
Our ambition is to maintain a sustainable company.
Our aim for 2017 is to strengthen our community giving strategy and launch our new global CSR programme 'TomTom Gives'.
We will also further deploy our SEMS within our organisation.