We’ll pass it on. By co-operating on equal terms.
3.2 Innovation & co-operation
3.3 Social engagement
We greatly value responsible corporate governance.
Today, we already accept corporate social responsibility beyond what is legally required and, at the same time, take our stakeholders’ needs into account.
The central tool for this is an integrated risk control system which merges risk management with the internal control system and the compliance management system. Responsible action as described above forms the requisite for successful corporate governance.
3.1 Sustainable corporate governance
Because a family business takes care of its team.
Sustainability is integral to our DNA. Every day, we work towards pushing our goal. Our guideline on how to conduct ourselves in a day-to-day business environment is our Code of Conduct (see figure). It safeguards that our dealings within the company as well as with business partners and other stakeholders is trustworthy and lawful.
As a family business, we pledge to protect human rights and operate in alignment with the environment.
We continually reflect on our actions to become more sustainable step by step. Within the context of this pledge, we issued a declaration of human rights principles at the end of 2022.
This complements our Code of Conduct. The Code of Conduct forms the baseline for our transactions with our employees and our business partners. To contribute towards achieving the ambitious goals set out in the Paris Agreement, our future transactions with suppliers will be complemented by an agreement on setting climate goals.
Fundamental policies on human rights
The Universal Declaration of Human Rights (Resolution 217 A (III)) of 10 December 1948
The Ten Principles of the UN Global Compact of 25 September 2015
The ILO Declaration on Fundamental Principles and Rights at Work of 1 June 1998
The United Nations 17 Sustainable Development Goals of 25 September 2015
The United Nations Guiding Principles on Business and Human Rights of June 2014
Risk management system
Our leadership structure and global risk management are strategically aligned towards avoiding human rights violations and environmental risks both within the Group of companies as well as amongst our suppliers from an early stage on. Informed by this, we will continuously define additional preventing and mitigating measures and swiftly implement these. Our Executive Board oversees these measures. The Board is also responsible for the specialised departments assigned to this and the people respectively employed there. This ensures that we are holistically accountable on all levels in terms of compliance with human rights in our own supply chain.
Risks that are inherent in the business model.
External:
Unforeseeable events (e.g., Covid-19 pandemic or the Russian war)
Internal:
Economic performance risks (e.g., defaulting clients, vacancies, cost risks due to increased staff and energy requirements, performance risk e.g., due to absenteeism of staff and the resulting failure to meet deadlines)
Fiscal risks (e.g., change in interest rates)
IT risks (e.g., security risks)
Legal disputes
Human rights-related risks (e.g., traffic hazard, noise pollution)
Environmental risks (e.g., use of virgin materials that do not regrow, destruction of habitats, high energy consumption, soil sealing)
Branch locations and locations report on risks quarterly
Analysis and consolidation by centralised risk management
Authoring of a Group report for the Executive Board
Executive Board integrates the reports with its business activities
Internal Auditing reviews the process flows
The branch location and location management incharge are tasked with identifying the risks, taking countermeasures, and beyond that, reporting this to the centralised risk management. The centralised risk management aggregates the risks and rates them in terms of relevance and impact on our company and informs the Executive Board.
Risks of locations that cause operational losses are presented within the framework of an Action Tracker Report. Based on this report, restructuring programmes are worked out while their implementation is closely monitored. Financial risks that ensue from working with our top-30 clients are recorded and compared in a quarterly risk screening. Under the German Supply Chain Act, we will take or have already taken the following measures to prevent human rights violations:
A declaration of principle on respecting human rights has been passed
A risk analysis is conducted annually to identify potential human rights’ violations
Risk management system including remedies has been established
A whistleblower tool has been set up to report potential human rights’ violations
The risk management system encompasses in-house oversight and contractual safeguards to minimise potential risks while macroeconomic risks can be hedged only to a certain degree.
Rating and managing of the risks through administrative or managerial bodies or oversight.
Based on impact of gross earnings and probability of occurrence
Clients are screened quarterly to measure the risk as well as selection probabilities of the top-30 client relationships
Centralised control systems
Restructuring (Action Trackers) deals with risks that have occurred
Or in other words: What are the impending risks if we neglect the idea of sustainability? Legislation is also currently increasing requirements to be fulfilled by companies. Moreover, many of our stakeholders are dealing intensely with sustainability. Failing to take sustainability into consideration threatens to result in severe consequences:
1. Reputational risk
Highly relevant at the level of stakeholders
Weak rating dampens attractiveness
Loss of clients and colleagues is a threat
2. Pricing and cost risk
Legal specifications regarding CO2 costs and emissions thresholds increase raw material and energy prices
Corporate sustainability measures are a cost-intensive investment
3. Legal risks
High fines are possible if stricter laws are adopted that are not complied with
4.Contracting risks
Sustainability criteria are increasingly the object of contract negotiations
Sustainability requirements may aggravate or delay the conclusion of contracts
1. Transparency
Transparency of the value chain under an integrated supplier self-assessment (environmental and social aspects)
2. Promoting strategic partnerships
Alternative drive systems, division of costs, establishing sustainable logistics centres, emissions tracking
3. Leading by example
Acquiring new clients and increasing profit
Conclusion
3.1 Sustainable corporate governance
Outlook
Establishing a holistic sustainability structure, for example by way of a dedicated sustainability contact partner in every business unit
Mandatory supplier self-assessment on ESG topics, for example within the context of the Supply Chain Act
Seeing sustainability as a strategic priority also to exclude risks and legal violations, for example by means of training offers made available to all colleagues at the FIEGE Academy
Voluntarily implementing the EU taxonomy
3.2 Innovation and co-operation
Because we constantly revolutionise our sector.
Creative approaches and new ideas as the key to greater sustainability.
Innovation forms one of our five strategic pillars which contributes towards
Securing our competitiveness
Backing long-term economic growth and
Creating new jobs.
To accomplish this, we co-operate with our stakeholders of the value chain to sustainably revolutionise not only ourselves, but the entire sector.
These past years have seen us further evolve and professionalise our approach to innovation whereby the advancement of corporate start-ups, the investment in new strategic holdings, the surge of innovative drive within the core organisation, the Company Builder XPRESS Ventures as well as the participation in the venture capitalist, F-LOG Ventures were in the spotlight.
F-LOG Ventures und XPRESS Ventures sind unsere Unternehmensbereiche, die sich auf Venture Capital Fonds und Company Building spezialisiert haben.
F-LOG Ventures finanziert mit Smart Money Start-ups, die logistische Lösungen anbieten, insbesondere in den Bereichen Big Data, Künstliche Intelligenz und Software as a Service. Hier steht ein mittlerer zweistelliger Millionenbetrag für Investitionen zur Verfügung.
2019 haben wir mit XPRESS Ventures einen eigenen Company Builder mit eigener Marke an den Markt gebracht. Dieser fördert technologiegetriebene Ideen aus der eigenen Organisation und von externen Gründer:innen und verbindet das Netzwerk und unser Logistik-Know-how mit skalierbaren Geschäftsmodellen. Wir wählen potenzielle Start-ups aus und unterstützen sie finanziell, um von den sich bietenden Chancen zu profitieren.
Exoskeletons
Cray X: This technology provides powerful support for lifting movements during order picking. Cray X offers additional support to the worker. This helps to prevent early fatigue, poor posture, long-term harmful lifting and therefore, staff shortages. These exoskeletons have been in use a tour Ibbenbüren Mega Center since 2022. It is planned to roll them out to other locations.
Autonomous Mobile Robots (AMR)
By providing transportation equipment, the TUGBOTs take care of repetitive tasks. This frees up colleagues which means they are less often absent due to physical illnesses and instead, are more often used in value-creating processes where the human skillset is indispensable.
Sustainability is a tradition at FIEGE
The Ecologistics® portfolio at a glance
FIEGE Ecologistics® is our platform for all services and customer projects of the FIEGE Group that deal with ecological sustainability. Here, we promote and establish economically interesting, but at the same time environmentally exciting projects that steer the logistics industry into a sustainable future.
Corporate Services that we already offer in the Ecologistics® framework within our business units
FIEGE Faro | Sustainable Ecologistics® Beacon Project
FIEGE Faro is a pilot project that will largely avoid environmental pollution during its building phase and targets a climate positive operation. The building project unveils the possibilities in sustainable building. It thus contributes to achieving the climate goals and to driving change within construction..
"Project Faro allows us to demonstrate that in the future, we will integrate sustainability with our building projects right from the start, to lead by example."
Climate positive operation
Low impact of construction on the environment
Environmental and social beacon project
Promotion of strategic partnerships
Conclusion
3.2 Innovation & co-operation
Outlook
Prioritise and drive digital transformation within our family business
Grow fleet with electric trucks and first trucks running on hydrogen
Identify new strategically valuable holdings with subsequent investment
Focus more strongly on innovative technology such as exoskeletons or Autonomous Mobile Robots
Promote strategic partnerships with our clients and suppliers, focusing on environmental sustainability
3.3 Social engagement
Because we want to give back.
Social engagement to us means to work with municipalities, residents, initiatives, and associations to ensure that our business activities provide for a safe and liveable environment in our region.
Josef Fiege Stiftung
Since 1998, we have been sponsoring charitable organisations as part of our corporate social responsibility.
The goals of the Josef Fiege Stiftung
Conclusion
3.3 Social Engagement
Outlook
Further increase the amount and number of donations through new campaigns
Shared fundraiser with our clients to take relief supplies to the Ukrainian border
Organise the FIEGE Volunteer Award 2023
Corporate volunteering campaigns with our colleagues
Encourage volunteering commitment of colleagues more strongly and accompany projects
Additional relevant topics
Digital ethics
Even in the digital realm, wec ontinually strive for our work to be safe and ethically correct. As for digital ethics, it is important to us to develop standards and guidelines on how to use Big Data systems as well as Artificial Intelligence (AI).
Transparent supply chain
We want to know: Where, how, and who offers and produces the products or services that we buy? Transparency in supply chain management helps us and our clients to avoid negative impacts on the environment and human rights violations and to promote a sustainable development.
Reliable partnerships
We are a dependable partner. As as ervice provider, we wish to give our clients the feeling that we know how to meet their needs and expectations to the fullest. That applies to both our services portfolio as well as to all interactions before, during, and after the contract award.
FIEGE Sustainability Report 2023
Detailed information, figures and content on all fields of action can be found in the full Sustainability Report 2023.
