Scope 1 Emissions
2022 Communication on Progress
VTT Technical Research Centre of Finland Ltd
Published date
May 23, 2022
No. of questions
63
Supplemental files
CEO Statement
Governance
Policies and Responsibilities
1. Does the Board / highest governance body or most senior executive of the company:
Optional commentAnnual report states the impacts on people and the environment and addresses the relevance of sustainable development. VTT Board reviews and approves annual reporting for sustainability before publishing. Full round of potential risks related to business is conducted annually and reviews on tertile basis.2. Does the company have a publicly stated commitment regarding the following sustainability topics?
Optional commentCommitment has been stated in the Code of Conduct: https://www.vttresearch.com/sites/default/files/2020-01/Code-of-Conduct-ENG.pdf3. Does the company have in place a code of conduct regarding each of the following sustainability topics?
Optional commentVTT's Code of Conduct and VTT's Supplier Code of Conduct cover these topics. Code of Conduct can be found here: https://www.vttresearch.com/sites/default/files/2020-01/Code-of-Conduct-ENG.pdf and Supplier Code of Conduct here: https://www.vttresearch.com/sites/default/files/2020-11/vtt-supplier-code-of-conduct.pdf.4. Has the company appointed an individual or group responsible for each of the following sustainability topics?
Optional commentCompliance officer, responsible for anti-corruption, reports directly to the board and has access to all relevant information. Executive Vice President in the Executive Leadership Team is responsible for the rest of the sustainability topics.5. Does the company have a formal structure(s) (such as a cross-functional committee) to address each of the following sustainability topics?
Optional commentCompliance committee and ethics committee handle human rights and anti-corruption topics. Labour rights and decent work topics are covered in co-operation group (Yt-neuvottelukunta). Environmental management system is managed by QEHS team. We also have a sustainability task force to develop VTT's sustainability as a whole.Prevention
6. Does the company have a process or processes to assess risk?
Optional commentIn environmental and labour rights risks risk assessments processes are in place. In labour rights risks the risk assessment is related to work safety. Human rights risks and corruption risks are included in the evaluation process on risks related to ethics in case of non-compliance with the Code of Conduct.7. Does the company have a due diligence process through which it identifies, prevents, mitigates, and accounts for actual and potential negative impacts on sustainability topics?
Optional commentRegarding environment and work safety (labour rights) due diligence processes are in place including identifying hazards, evaluating risks, conducting preventive and mitigation actions as mandated by the Finnish legislation. Root cause analyses are conducted in case of accidents. Human rights and corruption risks have not been a case in our customer segments or in our supplier chains.Concerns and grievance mechanisms
8. Are there any processes through which members of the company’s workforce can raise concerns about the company’s conduct related to human rights, labour rights, environment, or anti-corruption?
Optional commentWork safety and environmental incidents and observations are reported to the QMS system. Additionally, there is a whistleblowing process in place. OHS delegates and shop stewards are contact points for working condition and labour rights issues. In our HR functions, there are SPOCs for each part of the organisation.8.1. Please provide additional detail regarding the process(es) the company has through which members of the company’s workforce can raise concerns about the company’s conduct.
9. Does the company provide or enable access to effective remedy to right holders / stakeholders where it has caused or contributed to the adverse impact?
Lessons
10. How does the company capture lessons regarding each of the following sustainability topics?
Optional commentReported work safety and environmental incidents are investigated, corrective actions are taken, root cause analyses are conducted, and lastly necessary changes are made for practices when needed.Executive Pay
11. Is executive pay linked to performance on one or more of the following sustainability topics?
Board Composition
12. Percentage of individuals within the company’s Board / highest governance body by:
Optional commentDetails of current VTT's board can be found here: https://www.vttresearch.com/en/about-us/vtt-board13. Do you produce sustainability reporting according to:
Optional commentMajority of sustainability reporting is reported in accordance with GRI core option. 12 disclosures are partly reported in accordance with GRI and 1 disclosure was not included in 2021 reporting.Data Assurance
14. Is the information disclosed in this questionnaire assured by a third-party?
Optional commentAssurance will begin starting from 2023 metrics.Human Rights
Materiality / Saliency
1. Which of the following has the company identified as material human rights issues connected with its operations and/or value chain, whether based on their salience (i.e., the most severe potential negative impacts on people) or another basis?
Commitment
2. Does the company have a policy commitment in relation to the following human rights issues?
2.1. For each human rights policy, is it:
Prevention
3. In the course of the reporting period, has the company engaged with affected stakeholders or their legitimate representatives in relation to the following human rights issues?
4. What type of action has the company taken in the reporting period with the aim of preventing/mitigating the risks/impacts associated with this human rights issue?
5. Who receives training for the following human rights issues?
6. How does the company assess progress in preventing/mitigating the risks/impacts associated with the following human rights issues?
Response
7. During the reporting period, has the company been involved in providing or enabling remedy where it has caused or contributed to adverse impact associated with the following human rights issue(s)?
8. Briefly describe practical actions the company has taken during the reporting period and/or plans to take to implement the human rights principles, including any challenges faced and actions taken towards prevention and/or remediation.
DEI self assessment made in 2021 and now we are working on the concrete next steps. We are a diverse organisation and want to focus on inclusion next. DEI topics will also be included in work community development plan that will be executed in 2022.Labour
Commitment
1. Does the company have a policy commitment in relation to the following labour rights principles?
Optional commentVTT's Code of Conduct covers many of these topics: https://www.vttresearch.com/sites/default/files/2020-01/Code-of-Conduct-ENG.pdf. Besides, we have a separate Safety&Security policy.1.1. For each labour rights policy, is it:
Prevention
2. In the course of the reporting period, has the company engaged with affected stakeholders or their legitimate representatives in relation to the following labour rights issues?
Optional commentRegular contacts and collaboration with occupational health service provider, customers and other stakeholders (related to, i.e., facility management)3. What type of action has the company taken in the reporting period with the aim of preventing/mitigating the risks/impacts associated with this labour rights issue?
Optional commentOccupational safety and first aid trainings available for the whole personnel on a regular basis. In 2021, we have also organised some DEI-related info session for, i.e., HR staff and some line managers. In 2021, ISO 45001 sertificate was granted to VTT: https://www.vttresearch.com/en/news-and-ideas/iso-45001-occupational-health-and-safety-system-certificate-granted-vtt4. Who receives training for the following labour rights issues?
5. How does the company assess progress in preventing/mitigating the risks/impacts associated with the following labour rights issues?
Performance
6. What is the percentage of employees covered under collective bargaining agreements?
Optional commentTop management is outside collective bargaining agreements.7. What is the percentage of employees in a trade union or other workers' organization?
8. In the course of the reporting period, what was the percentage of women in:
9. What was the average ratio of the basic salary and remuneration of women to men (comparing jobs of equal value) during the reporting period?
Optional commentMetodology used: WEPs. Employee group: Research. (Ratios in other employee groups: Admin 0.98%, Management 0.96%.)10. In the course of the reporting period, how frequently were workers injured (injuries per hour worked)?
Optional commentCases per million hours worked which caused costs (according to insurance company)11. In the course of the reporting period, what was the company’s incident rate?
Optional commentCases which caused at least 3 days sick leave per million hours worked (See more: https://www.vttresearch.com/sites/default/files/2022-03/403-9_Work_related_injuries_2021.pdf)Response and Reporting
12. In the course of the reporting period, has the company been involved in providing or enabling remedy where it has caused or contributed to the adverse impact associated with the following labour rights issues?
13. Briefly describe practical actions the company has taken during the reporting period and/or plans to take to implement the labour rights principles, including any challenges faced and actions taken towards prevention and/or remediation.
During 2021, we updated our Code of Conduct as part of our sustainability work: https://www.vttresearch.com/sites/default/files/2020-01/Code-of-Conduct-ENG.pdf The Code of Conduct is approved by the VTT Board and it puts together the ethical principles and practices we follow at VTT and that we also require our partners to commit to it. In 2022, we introduce it to the whole personnel that has to complete a mandatory online course in it. Besides, we are going to launch several info session, videos etc. about (research) ethics for teams and functions. The aim is to highlight the importance of acting right and in a responsible way. We also provide line managers with training sessions about fundamental employer and employment matters on a regular basis.Environment
Commitment
1. Does the company have a formal policy on the following environmental topics?
Optional commentOur environmental policy is available at https://www.vttresearch.com/en/corporate-responsibility-core-all-vtt-operations1.1. For each environmental policy, is it:
Prevention
2. In the course of the reporting period, has the company engaged with affected stakeholders or their legitimate representatives in relation to the following environmental issues?
Optional commentOur researchers regularly engage with stakeholders as part of our research and development projects that deal with different environmental topics.3. What type of action has the company taken in the reporting period with the aim of preventing/mitigating the risks/impacts associated with these environmental topics?
Optional commentWe have launched our corporate responsibility program and conducted internal trainings on related topics. We conducted external auditing for our ISO14001 management system and internal auditing related to environmental impacts of our pilot facilities (focusing on chemicals & waste)4. How does the company assess progress in preventing/mitigating the risks/impacts associated with the following environmental topics?
Optional commentWe have environmental permit for one of our research facilities (Bioruukki in Espoo). For other facilities our direct environmental impacts are minor.4.1. For each environmental topic in which the company sets timebound goals / targets, what kind of targets has the company set?
Optional commentWe develop our carbon footprint assessment annually and aim at systematically reducing our GHG emissions. In 2021 we switched to renewable electricity (with guarantee of origin) which reduced our GHG emissions significantly. Next we'll aim at improving the accuracy of calculating our scope 3 emissions. We are currently investigating means for reducing emissions from purchased heat and business travel.4.2. For each environmental topic in which the company sets timebound goals / targets, how is progress against target / goal tracked?
5. In the course of the reporting period, has the company been involved in providing or enabling remedy for any actual impacts associated with the following environmental issue(s)?
Optional commentWe contribute in solving the environmental challenges via our research activities but due to nature of our activities (research and development), our direct environmental impacts are modestClimate Action
6. What were the company’s gross global greenhouse gas emissions for the reporting period?
Scope 2 Emissions
Scope 3 Emissions
Optional commentIn 2021 our estimated Scope 1 emissions were 74 t CO2e, Scope 2 emissions were 2769 t CO2e and Scope 3 emissions were 3007 t CO2 e.6.1. Which Scope 3 categories are included in the organization’s scope 3 emissions calculation?
7. What percentage of the company's revenue was invested in R&D of low-carbon products/services during this reporting period?
8. Has the organization acted to support climate change adaptation and resilience?
Energy / Resource Use
9. Please report the company's renewable energy consumption as a percentage of total energy consumption in the reporting period.
Optional commentFigure refers to percentage of renewable electricity (with guarantee of origin) from the total electricity consumption.Technology
10. What percent of the company's revenue came from environmentally friendly products / services during this reporting period?
Sector-specific Questions
11. Which sector(s) does the company operate in? If diversified, choose top 3 by revenue.
Optional commentVTT provides research and development services and develops technologies for multiple sectorsOverall Environment
21. Briefly describe practical actions the company has taken during the reporting period and/or plans to take to implement the environment principles, including any challenges faced and actions taken towards prevention and/or remediation.
Using the SDG framework, we have developed a screening system for considering potential positive and negative sustainability impacts and risks related to our research projects. The screening will be done during the project preparation phase. Testing and implementation of the screening system continues during 2022.Anti-corruption
Commitment
1. Does the company have an anti-corruption compliance programme?
Optional commentWe do not have anti-corruption compliance programme, however some areas of such programme are already existing. For instance, we have guidance on donations and sponsorships as well as mandatory code of conduct e-training for all employees covering anti-corruption.2. Does your company have policies and recommendations for employees on how to act in case of doubt and/or in situations that may represent a conflict of interest, e.g. with regard to gifts and hospitality, donations, sponsorship, or interactions with public officials?
Optional commentGuidance is included the Code of Conduct: https://www.vttresearch.com/sites/default/files/2020-01/Code-of-Conduct-ENG.pdfPrevention
3. Who receives training on anti-corruption and integrity?
Optional commentThere is a mandatory e-learning training on Code of Conduct for all employees that covers these topics.3.1. How often is such training provided?
Optional commentTraining is mandatory for all employees as part of on-boarding process. The training is required again when Code of Conduct is renewed. We are planning to increase the frequency.4. Does the company monitor its anti-corruption compliance programme?
Response and Reporting
5. Please report the company's total number and nature of incidents of corruption during the reporting year.
Optional commentNo incidents of corruption were reported.6. Within the reporting period, what measures has the company taken to address suspected incidents of corruption independently or in response to a dispute or investigation by a government regulator?
7. Does your company engage in Collective Action against corruption?
8. Briefly describe practical actions the company has taken during the reporting period and/or plans to take to implement the anti-corruption principle, including any challenges faced and actions taken towards prevention and/or remediation.
Mandatory Code of Conduct e-training for all employees was launched in April 2022 that includes anti-corruption principle.