5. Responsibility

Accountability within the company’s management with regard to sustainability is disclosed.

The Integrated Management System (IMS) combines methods and instruments for compliance with requirements from quality, health protection, occupational safety and environmental protection in a uniform structure that serves to control and monitor the organization. Within the Dussmann Group, an Integrated Management System (IMS) from the Dussmann Service division, which is managed by the Dussmann Stiftung as a legal entity, is used to effectively organize tasks and processes on the basis of international standard requirements. There is also an Integrated Management System on company or subgroup level (for example, in Italy or at Kursana).

This responsibility belongs to the executive board of the Dussmann Group and the management teams of the individual companies. The group’s sustainability strategy is operationalized in the form of an integrated management system (IMS); the area of QHSE (quality, health, safety, environment) plays a leading role, combines the activities, and interlocks the company's sustainability management processes.

6. Rules and Processes

The company discloses how the sustainability strategy is implemented in the operational business by way of rules and processes.

The Dussmann Group’s integrated management system is fundamentally certified according to international standards (ISO 9001 or ISO 14001, ISO 45001; also ISO 50001, as well as in several countries ISO 22000, EMAS and SA 8000) and is therefore suitable to clearly represent the business processes. The Group Sustainability Policy is also available to all internal and external stakeholders in the Integrated Management System (IMS).

The Dussmann Code of Conduct contains, among other things, the principles of the sustainability strategy. The Code of Conduct forms the basis of business relations with clients and suppliers and serves as an internal set of rules for employees.

The basic guidelines for document and process management are currently being revised. The goals are company-wide validity and the establishment of document management and process documentation as a set of rules and easily accessible sources of information.

7. Control

The company states how and what performance indicators related to sustainability are used in its regular internal planning and control processes. It discloses how suitable processes ensure reliability, comparability and consistency of the data used for internal management and external communication.

Sustainability aspects are continuously monitored at the places where services are provided. The effectiveness of the monitoring is checked as part of the ISO certifications. The processes and their associated documents are basically designed in such a way that risks can be identified and secured with suitable measures.

As part of the implementation strategy (see Criteria 3), suitable target parameters are currently being derived from the processes in the form of key performance indicators (KPIs) for evaluation and control. These are preset with corresponding measurement parameters and used as targets.

Key Performance Indicators to criteria 5 to 7

Key Performance Indicator GRI SRS-102-16: Values
The reporting organization shall report the following information:

a. A description of the organization’s values, principles, standards, and norms of behavior.

As part of the Dussmann Group Strategy 2023 "Next Level," we are dedicated to the values integrity, ecological awareness, passion, social responsibility and fairness. From this strategy, we have developed five cornerstones that represent the aspiration and scope of our practices. These include:

Based on our corporate values, the Dussmann Group defines binding principles in its Code of Conduct for responsible dealings with employees, clients, suppliers, competitors and partners.
The Code of Conduct documents:

In 2020, the existing Code of Conduct is to be revised in line with current standards and social and customer requirements. The Code of Conduct is to be translated into all relevant languages of the Dussmann Group. A corporate directive on social responsibility is to ensure that the Code of Conduct is implemented in all Dussmann Group companies. This means that all employees and business partners know and understand the Dussmann Group's Code of Conduct and that it becomes an integral part of all important contracts with business partners.

8. Incentive Systems

The company discloses how target agreements and remuneration schemes for executives and employees are also geared towards the achievement of sustainability goals and how they are aligned with long-term value creation. It discloses the extent to which the achievement of these goals forms part of the evaluation of the top managerial level (board/managing directors) conducted by the monitoring body (supervisory board/advisory board).

There is a Group-wide compensation strategy that provides for variable compensation systems for the executives of the respective companies in order to set the best possible incentives for successful business. Within the scope of the individual target agreements, it is possible to link pay with the long-term value creation of the company, individual areas or even specific sustainability indicators. The annual target agreements with management involve both immediate economic and financial targets, as well as qualitative ones. These are not necessarily sustainability objectives in a narrow sense; the intention behind the qualitative targets, however, is to promote and more effectively anchor sustainable economic activity. In addition, the company is considering the introduction of an additional compensation component for a larger number of management staff that is oriented towards the long-term value creation of the company.

A catalog of objectives is used to define targets and comprises the following categories: Quality and hygiene audits, reduction of average fuel consumption, occupational safety goals, contributory work in HR processes for the steady improvement of employee satisfaction, innovation objectives (e.g. provision of suggestions for improvement and proof that these are being tracked, etc.). Our HR business partners advise management on the transition to specific, traceable target agreements and remain in close contact with the HR competence center, whose Compensation & Benefits department is, among other things, responsible for the conceptualization and development of group-wide incentive systems.

The attainment of the targets is monitored and reviewed by the respective managers or management teams. The amount of variable compensation is dependent on the degree of target attainment, which is measured based on the parameters defined in the target agreements.

Key Performance Indicators to criteria 8

Key Performance Indicator GRI SRS-102-35: Renumeration policies
The reporting organization shall report the following information:

a. Remuneration policies for the highest governance body and senior executives for the following types of remuneration:
i. Fixed pay and variable pay, including performance-based pay, equity-based pay, bonuses, and deferred or vested shares;
ii. Sign-on bonuses or recruitment incentive payments;
iii. Termination payments;
iv. Clawbacks;
v. Retirement benefits, including the difference between benefit schemes and contribution rates for the highest governance body, senior executives, and all other employees.

b. How performance criteria in the remuneration policies relate to the highest governance body’s and senior executives’ objectives for economic, environmental, and social topics.

For reasons of confidentiality, no statement is made on the GRI SRS-102-35 performance indicator.

Key Performance Indicator GRI SRS-102-38: Annual total compensation ratio
The reporting organization shall report the following information:

a. Ratio of the annual total compensation for the organization’s highest-paid individual in each country of significant operations to the median annual total compensation for all employees (excluding the highest-paid individual) in the same country.

The Dussmann Group sees the fair and performance-based compensation of its employees as important and as a matter of course. The "fair compensation" sustainability aspect was assessed as relevant within the scope of the materiality analysis by both the company and its stakeholders. This is expressed in adequate compensation and individual target agreements. No statement is made on the GRI SRS-102-38 performance indicator.
This data is not available in a reliable and consolidated basis for the Group.

9. Stakeholder Engagement

The company discloses how the socially and economically relevant stakeholders are identified and integrated into the sustainability process. It states whether and how an ongoing dialogue takes place with them and how the results are integrated into the sustainability process.

Our most important stakeholders are employees, potential employees and applicants, customers, suppliers, management, subcontractors, purchasers, end users, as well as employee representatives and associations. Add to that cities and municipalities, parties, supervisory authorities, scientific institutions, banks, NGOs and the media.

The Dussmann Group remains in regular and close communication with them as part of its everyday business. In addition, trade fairs, congresses, conferences, as well as other industry formats serve as platforms for the discussion of topics and expectations and the development of solutions. A methodically guided identification and survey of stakeholder groups is an essential part of the implementation strategy and will be continuously expanded in the coming years. As part of the analysis of essential topics, the sustainability aspects both from the perspective of the Dussmann Group and internal and external stakeholders were assessed. The question of the effects on the Dussmann Group’s business activities and potential influences was pivotal.

The results of this process (also see Criteria 2) are incorporated into the assessment of relevant sustainability aspects, the derivation of objectives and measures, and their prioritization.

Key Performance Indicators to criteria 9

Key Performance Indicator GRI SRS-102-44: Key topics and concerns
The reporting organization shall report the following information:

a. Key topics and concerns that have been raised through stakeholder engagement, including:
i. how the organization has responded to those key topics and concerns, including through its reporting;
ii. the stakeholder groups that raised each of the key topics and concerns.

Along with the daily business contact and empirical values from collaborations and dialog formats, the sustainability aspects were also evaluated and merged as part of the materiality analysis from the perspective of the stakeholders. A consolidation at group level, however, is made difficult by the heterogeneity of the companies, industries, markets, and topics. To that extent, the topics specified here and in Criteria 2 can only be approximations.

Requirements of interested parties (internal and external stakeholders) are systematically recorded as part of the implementation of the integrated management systems and analyzed according to defined relevance criteria. In ongoing discussions with the individual stakeholder groups, specific topics and concerns are queried, concretized and updated. This enables us to consider and take into account possible material issues from the stakeholder perspective. Both the local environmental conditions and the business areas are influential in this process. This results in the Group perspective presented below, which did not differ significantly from the previous year in the reporting year. 

For the employees of the Dussmann Group, occupational health and safety, good working conditions, development perspectives in training and further education as well as fair pay are central concerns. These aspects are also a priority for applicants and potential employees. In addition, this stakeholder group expects to receive important information about the company and its strategic orientation. Examples of this were the communication on the Dussmann Group's sustainability policy, the successful monitoring audit of the group certification or the results of the financial year. There was also a high demand for information from employees on the introduction of the regional concept in Dussmann Service Deutschland GmbH as well as on the founding of the new business division Dussmann Technical Solutions DTS and the acquisition of STS.

For customers, it is pivotal that the Dussmann Group companies reliably render the services outsourced by the customer with high service and product quality and retention of value so that customers can concentrate on their core business. A customer satisfaction survey is the basis for determining the quality level of our services. Such a survey is therefore elementary and necessary.

Within this context, customers also expect worthwhile service and product innovations. Compliance in the business processes is a significant aspect, as is the protection of sensitive data.

Suppliers assess fair business processes in the supply chain, as well as anti-corruption and compliance especially high.

Employee representatives formulate expectations of their employers, especially with regard to the aspects of fair compensation and employee retention.

We regularly inform the media of various genres about relevant, current topics and answer enquiries - for example, on the topics of food waste and school catering in the Dussmann Service division.   

Non-governmental organizations (NGOs) also submit their requests to us. For example, the animal welfare organization "Albert Schweitzer Foundation" asked us to join the Broiler Chicken Initiative throughout Europe. The aim of this initiative is to improve the conditions in which chickens are kept. We were able to agree our support directly for Dussmann Service in Germany and Austria.

For associations, diversity and anti-discrimination, training and advanced education, and fair competition are essential sustainability aspects with a view to Dussmann Group operations. The development of service and product innovation is becoming increasingly important for this stakeholder group.

Environmental aspects are assessed as less significant with a view to the impacts of business activities compared to economic and social aspects. Nevertheless, they are significant within the context of sustainable corporate development, since the three dimensions are interdependent and their effects cannot be viewed in isolation. Among the environmental aspects, use of materials and resource consumption, as well as the management of the supply chain are aspects that must be highlighted.

10. Innovation and Product Management

The company discloses how innovations in products and services are enhanced through suitable processes which improve sustainability with respect to the company’s utilisation of resources and with regard to users. Likewise, a further statement is made with regard to if and how the current and future impact of the key products and services in the value chain and in the product life cycle are assessed.

As a multi-service provider, the quality of the offered services and products and the resulting high degree of customer satisfaction are notably crucial for success. The further development and improvement of existing offerings, as well as the development of new services and products take up an especially large amount of space.

Sustainable innovations usually aim at modeling processes to be more resource-friendly, efficient, and thereby cost-effective, such as in the area of technical services and cleaning services. Furthermore, the Dussmann Group companies strive to be able to serve the upstream and downstream stages in the value chain with innovations and to integrate them into their product offerings.

We strongly rely on the in-house development of the respective subsidiaries and service divisions, which know the special needs of customers and market demands best. Our product development and innovation in catering has many facets. In the development of offering and choice of menus, we pay attention to the use of regional products, as well as to the CO2 balance of the products. Through specially developed catering apps for the end customer, such as the Delightful App, our canteen customers can obtain digital information about the catering offer and nutritional values, waste volumes in the kitchens and other information relevant to sustainability.

In catering, the focus is currently also on the further development of digital payment systems, which will lead to process optimization and time savings and thus increase the quality of the canteen visit for the customer. In the area of cleaning, we have placed special emphasis on autonomous cleaning with the aim of offering resource-saving, qualitatively consistent and cost-optimized cleaning services. We are continuously developing these services by testing their application on a wide range of surfaces and for a variety of materials, whether in large logistics halls or in particularly hygienecritical facilities such as hospitals. With regard to the activities in Germany, the "Working Solutions" division coordinates service and product developments and actively searches for solutions that create sustainability value (e.g. within the scope of the initiative "United against Waste" (see performance indicators for criteria 11-12) or in view of the carbon footprint, cleaning agent navigators). This takes place in accordance with SDG 13 "Climate Action," which includes the mechanisms and capacities for combating climate change and its effects.

We have already reported on the social and ecological impacts of the Dussmann Group companies’ products and services (see criteria 1-4). One of the guiding principles of our innovation efforts is to reduce direct or indirect negative effects and to promote positive effects on the environment and society, respectively. This is achieved through efficiency gains, resource-conserving processes and a sensitive handling of raw materials and consumption within our own business activities as well as an indirect influence by providing accompanying advice to customers.

Employees are informed and integrated into the service and product development process through communication cascades, as well as regular product meetings and weekly updates to management via intranet, roadshows, and competence center meetings.

As part of the "Dussmann Next Level" strategy, technology and innovation are strategic cornerstones for the further development of the Dussmann Group. In order to consistently drive this development forward, we intend to exchange innovation projects over the next few years. To this end, a routine process is to be developed at Group level.

Key Performance Indicators to criteria 10

Key Performance Indicator G4-FS11
(report also in accordance with GRI SRS): Percentage of assets subject to positive and negative environmental or social screening.(Note: the indicator should also be reported when reporting to GRI SRS)

The Dussmann Group does not have its own financial assets.