CNH Industrial believes that growth has value only if also sustainable and, therefore, considers the management of the environmental and social impacts of its activities to be fundamental. The full integration of environmental and social considerations with economic objectives enables the Company to identify potential risks and seize additional development opportunities, resulting in a process of continuous improvement.
Sustainability is a core element of CNH Industrial's Corporate Governance, with top management playing a direct and active role. Within the Board of Directors, the Governance and Sustainability Committee is responsible for strategic oversight of sustainability-related issues and reviews the annual Sustainability Report. The Group Executive Council (“GEC”) - the Company’s highest decision-making body after the Board of Directors - defines the strategic approach, evaluates the congruity of the Sustainability Plan with business objectives, and is regularly updated on the Company’s sustainability performance. The Sustainability Unit, which is part of the CNH Industrial’s financial organization, has operational responsibility for promoting a culture of sustainability throughout the Company. It facilitates the process of continuous improvement, and contributes to managing risks and strengthening the relationship with and perceptions of stakeholders, in addition to managing sustainability reporting and communication.
In 2013, for the first time ever, CNH Industrial carried out a materiality analysis to identify and prioritize the environmental aspects considered most relevant by the Company and stakeholders alike, and to assess their economic, environmental and social impact on corporate performance. The results of the analysis are represented in the materiality matrix, which was approved by GEC members and the CEO and subsequently submitted for third party verification and assurance (SGS). The matrix contains several useful indications for defining the 2013 Sustainability Report (in line with GRI-G4 guidelines) and identifying improvement initiatives. The matrix suggests that greater importance is attached to business-related aspects and particularly to the ability to innovate in terms of safe use and environmental impact of products, product quality, and customer orientation and engagement. Other aspects suggested as significant are the safeguard of health and safety in the workplace, environmental protection, the management of suppliers and dealers, professional development, and initiatives in favor of local communities. The matrix and further details are available in the 2013 Sustainability Report.
In 2013, CNH Industrial’s values and commitment have been appreciated and recognized internationally, as evidenced by the appraisals of major sustainability rating agencies and international organizations.
CNH Industrial's achievements have also been recognized through the inclusion in leading sustainability indices, such as the Dow Jones Sustainability (DJSI) World and Dow Jones Sustainability Europe as Industry Leader, MSCI Global ESG and MSCI Global SRI Indexes, Euronext Vigeo World 120, Euronext Vigeo Europe 120, Euronext Vigeo Eurozone 120, ECPI Global Agriculture Equity, ECPI EMU Ethical Equity, ECPI Euro Ethical Equity, ECPI Global Developed ESG Best in Class Equity, FTSE ECPI Italia SRI Benchmark and FTSE ECPI Italia SRI Leaders.
Lastly, the high level of information provided on issues related to climate change has earned CNH Industrial a spot among the ten companies admitted in the CDLI (Carbon Disclosure Leadership Index) Italy 100.
For a detailed account of the environmental and social initiatives carried out in 2013 reference should be made to the Sustainability Report. The Sustainability Report, prepared on a voluntary basis applying the Global Reporting Initiative's guidelines (GRI-G4), integrates the economic aspects described herein with an all-encompassing view of the environmental and social performance of CNH Industrial's operations, and includes the Sustainability Plan, which reports on the progress of existing projects and new targets to drive continuous improvement in the Company’s sustainability performance.