Throughout the year, our sustainability initiatives have continued to evolve. We have made substantial strides in addressing key environmental and social challenges, while fostering sustainable growth in line with our stakeholders' expectations.
Our Planet
We contribute to the transition to a low-carbon economy through our products that help others reduce their emissions, and through our operations by committing to become a net zero emissions business.
In the calendar year 2023, the Group's Scope 1 & 2 emissions on a like-for-like basis reduced by 47% compared to the 2021 baseline. Carbon intensity on a like-for-like basis was 54% lower than in 2021. The Group's overall 2023 Scope 1 & 2 emissions, i.e. including emissions from businesses acquired in the year, were reduced by 44% year-on-year against the 2021 baseline, on track to meet our 2025 reduction target of 65%.
Total energy consumption during 2023 was 6% lower year-on-year despite acquisitions and strong manufacturing output. As a result, energy intensity fell by 11% year-on-year, and by 30% compared to 2021.
During the calendar year of 2023, we also made following progress:
- Increased the percentage of electricity from renewable or clean sources to 72% from 58% in 2022;
- 81% of our sites completed an energy audit, achieving our 2025 target of 80% two years ahead of plan;
- Increased hybrid and fully electric vehicles in our car fleet to 40% from 33% in 2022;
- Increased the percentage of revenue covered by ISO 14001 to 69% from 59% in FY2023.
Our People
We aim to provide a clean, healthy and safe working environment to our employees. In the calendar year 2023, we conducted over 16,500 hours of health & safety training across the Group, equivalent to more than three hours per employee. The number of health & safety representatives increased from 229 to 236, giving it a representative to employee ratio of 1:20 (2022: 1:21).
The number of lost time incidents resulting in the loss of five or more work days remained low at 17 in FY2024 (FY2023: 19). The lost time incident frequency rate reduced to 0.18 (FY2023: 0.21).
We’ve also made good progress on gender diversity. As at 31 March 2024, the proportion of female representatives in the Group’s senior management remained at 28% (FY2023: 28%) and as a proportion of Group-wide operational senior management increased to 34% (FY2023: 30%).
The percentage of employees that work in operations with ISO 45001 Occupational Health and Safety Management Systems accreditation increased to 60% from 48% in FY2023.
Our Products
During the financial year 2023, we completed the third phase of our Group-wide supplier audit programme. Together with the first and second phases completed in FY2022 and FY2023, this takes the overall proportion of Group suppliers audited, measured by spend, up to 55% over the last three years. The areas surveyed included environment, people and labour, health & safety, quality and governance.
The quality of our products is monitored and ensured through the widespread adoption of ISO 9001. As at 31 December 2023, 98% of the Group’s products, measured by revenue, were manufactured under the ISO 9001 accredited system (31 December 2022: 92%).