Embed Size (px)
Citation preview
SUSTAINABILITY REPORT2012— Alcantara S.p.A.
The road to sustainability starts from far away. Like any respectable commitment, sustainability is about future. And the first requirement to deal with future is a complete awareness of our own identity and responsibility. As company and as individuals.
Alcantara means excellence with no exceptions: in the products we design, in the way we think and produce them, in the partners we choose and in how we work with them.
Excellence is much more than a qualification: excellence is a culture, an extraordinary vision able to turn everything it touches into something unique and unrepeatable. Just like Alcantara.
And if being excellent represents an ambitious goal, staying excellent is an even tougher challenge. This is why every day we pledge to nourish our people, purposes and products with new horizons, by consciously embracing diversity, knowledge and innovation within a harmonious system based on social, economic and environmental balance. This is the way we want to build up our future.
Since not only we are responsible for what we do and how we do it: we feel responsible.
Andrea Boragno,
Chairman and CEO of Alcantara S.p.A.
ThE ChAIRmAN’S
LETTER
I
SUSTAINABILITY REPORT
— Contents2012Reference was also made to the guidelines for drafting the Social Report drawn up by the
Social Report Study Group (G.B.S.) and AccountAbility 1000, a process standard established by the ISEA (Institute of Social and Ethical Accountability), which pays particular attention to communication with the stakeholders.
The reporTing process
In order to prepare the Sustainability Report, an internal process was implemented involving all the areas of the organization. The scope and frequency of the reports coincide with those of the financial statements. With respect to the previous edition, the measuring methods used have remained virtually unchanged.
The information was taken partly from internal documents and partly from external sources, using existing company processes: we maintained the structured reporting system introduced in previous years and based on the use of measurement sheets distributed to each specific area. Also during this financial year, this Sustainability Report was checked by a professional, independent third party whose “external audit report” is attached to this document.
Alcantara S.p.A. developed and consolidated a reporting process and a number of indicators such as to confirm level A+ of application of the standard. See the table indicating correspondence with the GRI-G3.1 guidelines on page 93.
conTAcTs
Alcantara S.p.A.Via mecenate, 8620138 milan (Italy)Telephone +39 02 580301Fax +39 02 5063886www.alcantara.com
For further information, contact: [email protected] comments and suggestions are especially welcome.
We would like to thank the entire Internal Work Group and all staff involved in the development and production of this 2012 Sustainability Report. Written and coordinated by Alcantara S.p.A.Technical and scientific support: Deloitte ERS Sustainability Services.
The fourth edition of the Sustainability
Report follows the Sustainability
guidelines established by the Global Reporting
Initiative (GRI-G3.1), in respect of all
its reporting principles, including
the precautionary principle.
The guidelines followed and the scope of the report
II
1.1 Alcantara S.p.A.’s history1.2 The Company’s structure1.3 Fields of application 1.4 Governance structure 1.5 Operational structure 1.6 Sustainability management system1.7 mission, values and strategic orientation 1.8 Sustainability plan1.9 Communication with the stakeholders
2.1 Economic indicators and added value 2.2 Investments 2.3 Suppliers and partners 2.4 Responsible procurement - SA8000® 2.5 Public institutions 2.6 Improvement objectives
CONTENTS—
223568
101112
182022242426
303334363843
IdentIty and ResponsIbIlIty
economIc sustaInabIlIty
socIal sustaInabIlIty - people
01
02
033.1 management policies and composition3.2 Diversity and respect of human rights 3.3 Incentives and remuneration 3.4 health and safety 3.5 Training and communication 3.6 Improvement objectives
— — — —
— — —
— — — — — —
— — — — — —
— — socIal
sustaInabIlIty - communIty
5.1 Policy in relations with the communities 5.2 Research, creativeness and innovation 5.3 media relations 5.4 Improvement objectives
0570717475
— — — —
envIRonmental sustaInabIlIty
6.1 Environmental policy and management system 6.2 Environmental impacts of Alcantara S.p.A. 6.3 Use of raw materials 6.4 Energy requirement and saving 6.5 Atmospheric emissions 6.6 Total CO
2: Neutralization “from cradle to grave”
6.7 Water requirement 6.8 Waste management6.9 Improvement objectives
06—
—
— —
— — —
— —
socIal sustaInabIlIty - customeRs
4.1 marketing policy and innovation 4.2 Customers and markets served 4.3 Product sustainability and safety 4.4 Research Centre and new products 4.5 Satisfaction, dialogue and communication 4.6 Improvement objectives
04464760616266
—
—
— — — —
coRRelatIon table
G3 Correlation table
GRI-G3.193 —
787980828586889091
IDENTITY AND RESPONSIBILITY
Alcantara S.p.A. is the company that manufactures and sells the
material under the registered trademark Alcantara®, based on unique,
proprietary technology.Exclusive and innovative, Alcantara®
offers an extraordinary combination of sensoriality, beauty
and functionality, together with an ethical and social awareness
that defines a contemporary lifestyle: the lifestyle of those who want to get the most out of the products they use
every day in respect of the environment.The ® symbol has multiple meanings:
it identifies the technology, the advantages of its use and represents
a guarantee against imitations.
Alcantara®: an innovative material
Alcantara S.p.A. constantly invests 3% to 5% of its sales in Research and Development activities. The Research and Development department of Alcantara S.p.A. is an international centre of excellence and the only structure of its kind in industry. Its open approach to technological evolution takes form also through important relationships with leading European university institutions.
The technological components behind the manufacturing process of Alcantara permit a continual improvement in the performance of the material and the production of new products and variants designed specifically for several different fields of application. This enables the company to consolidate its technological leadership and constantly renew its processes and know-how, keeping an eye on the future.
The Research and Development Centre comprises the Application Development Centre, a department entirely dedicated to assessing the performance of the material and developing new technologies and machining processes, very often at the request of its partner customers. Through the Application Development Centre and by working in close collaboration with its customers, Alcantara S.p.A. can provide ad hoc application solutions.
All development and investment decisions are integrated with the basic strategic orientation towards sustainability and are consistent with the company’s strategic plan.
01
1
Numero azioni ordinarie 2012
% proprietà
Alcantarais a versatile
material used by prestigious
international companies operating
in many different fields of application.
The charm of Alcantarais the result
of a majortechnological
breakthrough, an invention made
in 1970 that remains unrivalled even
today and enables the product
to remain unique and at the forefront.
The fundamental stages in the growth of Alcantara S.p.A. are listed below.
1970 Invention of Alcantara: the Japanese scientist miyoshi Okamoto filed the patent for producing the material;1972 agreement with the ANIC Group, subsequently ENI, for the commercial use of the patent (i.e. Joint Venture between ENI Group and Toray Group, the provider of the basic technology);1972 setting up of ANTOR S.p.A. (acronym of ANIC Toray); 51% ANIC (subsequently ENI) and 49% SOFID (financial company of the Group);1973 change of name from ANTOR S.p.A. to IGANTO S.p.A. (acronym of Italia Giappone ANIC Toray) to seal a partnership between the two countries and their companies;1974 sale of its shares, equivalent to 49%, by SOFID to Toray Industries Inc., a company in the Toray Group;
1981 change of name from IGANTO S.p.A. to Alcantara S.p.A., whose capital was still shared by the ENI Group (51%) and the Toray Group (49%);1995 final transfer of shares from the ENI Group to the Toray Group for a total of 100%; immediately afterwards transfer of 30% of the shares by the Toray Group to the mitsui Group;1998 first operation to double the production capacity of the plant;2002 completion of the second operation to double the production capacity;2009 obtainment of Carbon Neutrality (from cradle to gate);2010 drawing up of the first Alcantara S.p.A. Sustainability Report;2011 installation of the phytotreatment system, first collection of “A di Alcantara®” finished products and obtainment of Carbon Neutrality (from cradle to grave);2012 commissioning of the new cogeneration plant, with operations commencing on 1st January 2013.
Alcantara S.p.A. has consolidated unrivalled technological know-how over time, thus enabling it to meet the technical and stylistic needs of its customers, developing colours, product variants and new technologies on request, in response to the most complex of briefs.
— 1.1 Alcantara S.p.A.’s history
Alcantara S.p.A. has two main
operational centres:
The portfolio of Alcantara S.p.A. does not include its own shares or shares of holding companies, neither directly nor indirectly through a trust company or third party; Alcantara S.p.A. holds 100% of the company PiGreco Srl (Italy). Neither the holding company nor the subsidiary is in scope for the purposes of this Sustainability Report.
— 1.2 The Company’s structure
In the car industry, Alcantara is used to cover the interiors of motor vehicles. Thanks to the unique characteristics of the material (grip, breathability, strength and durability, softness, resistance of colour to the light), Alcantara ensures maximum comfort for the driver and the passengers and transforms the interior into a beautiful, elegant or sporty environment depending on the stylistic features chosen. An important aspect of Alcantara S.p.A.’s products is the company’s experience and ability to develop tailor-made solutions.
Automotive(65% of total sales)
interior, contract & Yachting(12% of total sales)
Items of furniture covered with Alcantara (sofas, beds, lamps, walls) take on a bright, comfortable, soft and seductive appearance. For the Contract sector, in particular, Alcantara S.p.A. offers a selection of materials designed for use in hotels, offices and public areas, which have been tested and approved in accordance with the legislation in force in each individual country. In the yachting industry, the functional characteristics of Alcantara together with its resistance to adverse marine conditions, permeability to air and excellent breathability guarantee extremely comfortable sailing even for the most demanding passengers.
Fashion & Accessories(11% of total sales)
In the fashion world, customers who choose Alcantara are looking for modern elegance, innovation and refined details. modern luxury with attention to detail and underlined by the exclusive texture of the material. Bags, hats, shoes and belts made of Alcantara combine the beauty and softness of the material with exclusive features: non-toxicity of the product in contact with the skin, breathability and durability.The A di Alcantara® project comprises the design, production, marketing and sale of a selection of accessories made of Alcantara and distributed via high-level points of sale, thus helping to enhance the image and reputation of the brand even further.
consumer electronics(12% of total sales)
The consumer electronics sector consists mainly of companies operating on a worldwide scale. In this sector, Alcantara is recognized as a precious material with unique characteristics, capable of enhancing the appearance and functionality of the customer’s finished product. Alcantara S.p.A. has developed the skills necessary to offer its consumer electronics customers highly customized solutions, from the creation of the design of the finished product right through to the implementation of the supply chain necessary to produce it. An important aspect of the Alcantara offer in this sector is therefore the ability to offer turn-key projects to its customers.
— 1.3 Fields of application
- the production site and the Research Centre in Nera montoro (TR), providing an integrated end-to-end cycle facility. The complex production process is highly automated and divided into several phases;
- the headquarters in milan, which houses the organization’s management, the sales divisions, the administration department and the style department.
The share capital is made up
of ordinary shares worth 1 €
each and, at 31st
December 2012, the issued and
paid share capital of Alcantara S.p.A.
amounted to 10,800,000 euros,
divided up as indicated below.
2 3
COMPANY Number of ordinary shares 2012
% ownership
Toray Industries Inc. - Tokyo (holding company) 7,560,000 70%
mitsui & Co. Ltd. Toky - Tokyo 3,240,000 30%
ToTAL shAres 10,800,000 100%
The governance structure of Alcantara S.p.A.
BoArD oF DirecTors
BoArD oF AUDiTors
Andrea Boragno Chairman and CEO
hideki hirabayashiToru KutsuzawaYasuhiro TakagiAkihiro TanabeRyuji hayashiTakuma Shirai
Giovanni Primo QuaglianoChairman
Roberto SpadaGiuseppe moretti
The governance bodies of Alcantara S.p.A.
are the Shareholders’ Meeting, the board
of Directors, the Executive Committee
and the CEO. The main supervisory bodies
are the board of Auditors and the Supervisory
Committee in accordance with Italian legislative Decree no. 231/2001. Reconta Ernst & Young
S.p.A. is the company commissioned
by Alcantara S.p.A. to conduct the quarterly audits of the company’s
accounts and the statutory audit of the
Financial Statements and the Report drawn
up in accordance with the IFRS principles for the
holding company.
Corporate management is supported by a structured system for reporting on business trends and the progress of the main projects. This also enables the right application of incentive systems, conceived to support and reward merit and according to the reaching of the targets set, including the environmental and social goals.
Alcantara S.p.A. has not activated any specifi c communication channels to allow employees to interact directly with the Board of Directors. Nevertheless, the Board of Directors assesses the initiatives in progress and future projects concerning its sustainability policy with a view to fostering continuous improvement, through suggestions from department managers, employees and their representatives, external stakeholders and also through the work of the bodies listed below and that of the third parties that audit Alcantara S.p.A.’s management systems. In particular, in 2012 an internal project was launched to prepare a Sustainability Plan that not only involved the managers but also provided a clear representation of the
sustainability targets to the Chairman and CEO.
supervisory committeeThe Supervisory Committee is the internal body whose task is to supervise and monitor the operation, effectiveness and respect of the Organization model for the prevention of company crimes implemented in accordance with the provisions laid down in Italian Legislative Decree no. 231/2001 such as corruption and false communications, staff exploitation and many other crimes, and the prevention of behaviour regulated by the Code of Ethics such as the confl ict of interest.
The Organization model and the Code of Ethics are closely integrated in such a way as to form a body of internal standards that encourage ethical behaviour and transparency within the company. Any employee may report suspected violations of the Organization model and Code of Ethics to the Supervisory Committee or to his/her
manager, either anonymously or through a specifi c mailbox.
In 2012, the Supervisory Committee met fi ve times and was supported in its activities by the internal departments involved and the Internal Audit group. With reference to the increase in the number of crimes covered by the administrative liability of legal entities (as set forth in Italian Legislative decree no. 121 of 07/07/2011 on environmental crimes), it was necessary to update model 231 and its components, including the development of preventive control procedures and information fl ows to the Supervisory Committee.
The Supervisory Committee also examined the periodic reports and related documents sent by the heads of company departments and divisions without fi nding any critical issues. In the reference period, the Supervisory Committee carried out spot checks of “Sensitive Areas” in order to be able to express an opinion on the adequacy of the model adopted. These checks revealed no critical points.
— 1.4 Governance structure
54
In order to meet the growing complexity
of market demand and the need
to continuously upgrade our offer,
the company created a horizontal
organizational system, structured
as follows:
• 12 inter-departmental groups, corresponding to 12 strategic objectives;• the members of each team express and offer their different skills required to reach the objective;• the team leader guides the work group through meetings held approximately every 20 days;• the coordination and control group, made up of the CEO and Top management (which reflects the interdepartmental nature of the team), directs the work and checks the results.
This horizontal organization stretches across the entire company and integrates with the vertical organization.
This activity increases the focus on issues, the quality of the response, transparency, motivation and involvement.
Objective Work group Team Leader Coordination
group
Particular importance is given to the Technical marketing department and Style department, whose task is to acquire the needs, critical issues and technical and stylistic expectations of the customers and the reference markets, acting as a link between the technical and marketing structures. Given the current market situation, characterized by unfavourable forecasts and very short supply times, the organization of the plant is centred on interdepartmental team work and high flexibility. In particular, in 2012, the company consolidated its “flexibility project”, consisting of the flexible and versatile use of resources also in the Environmental process and utility units.
The Alcantara S.p.A. organization is based on the integrated management of the company processes in accordance with the rules laid down by the certified
management systems. The company’s organization chart is made up of an
operational structure based on the marketing divisions that
characterize its business. The Application Research and
Development Centre is located at the plant in Nera Montoro,
where the manufacturing activities are carried out under
the responsibility of the Technical Department.
— 1.5 Operational structure
6 7
BoArD oF DirecTors
eXecUTiVe coMMiTTee
chAirMAn & ceo
generAL MAnAger
Production Activities &maintenance
Global Supply
head Account
Research, ProductApplication Development
Trasury and Credit Office
Consumer Electronics & Business
Development Division
Planning, Control & Internal Audit
human Resources, I.T.Sustainability & Systems
Director
Finance & ControlDirector
Technical Director
Technologies, Quality & Laboratory
Safety & Environment
Technical Office
Rappresentante della DirezioneSistema di Gestione per la Qualità, la Sicurezza, l’Ambiente
Environment health & Safety
Communication
Certified Systems
Personnel Relation hQ
Safety and General Service
IT & Contract manager
Payroll
Personnel Plant and Organization
Innovation & GlobalSupply Director
Fashion Division
Finished ProductsDivision
Interior & AutomotiveDivision
Strategicobjective
Some time ago, Alcantara S.p.A.
implemented a responsible
management policy that enables it to be
sustainable, from an economic, social and environmental
perspective.To do this, it adopted
some governance and control
mechanisms and a set of management
systems, certified by an independent third
party in order to:
• create value in a sustainable way together with all its
stakeholders;• interpret the needs
of its customers by pursuing the highest
quality standards;• reduce the
environmental impact to a minimum.
NEWS
Alcantara S.p.A. has obtained and maintained the following International certifications:
Alcantara S.p.A. checks consistency with its own principles and endorses the codes of ethics applied by its main customer companies on sustainability issues.
— 1.6 Sustainability management systems
SYSTEM CERTIFICATIONS
standard Title Body Date of first release
UNI EN ISO 14001 Environment management System TÜV SÜD may 2000
ISO/TS 16949 Car industry quality requirements TÜV SÜD February 2004
UNI EN ISO 9001 Quality management system TÜV SÜD September 1993
SA8000® Social Accountability TÜV SÜD October 2008
UNI ISO 14064-1 Greenhouse gas inventory TÜV SÜD June 2009
CmS Standard GhG 41 of CARBON NEUTRALITY
Offsetting residual Greenhouse gas emissions
TÜV SÜD June 2009
BS OhSAS 18001 Industrial health and safety management system
TÜV SÜD October 2012
PRODUCT CERTIFICATIONS
certification Validity
Yachting industry: ImO mED certification in accordance with European Directives 2002/75/EC and 96/98/EC (valid for single brands/families)
held since 2000
Contract sector: Certification for CPD building products in accordance with European Directive 89/106/EC (valid for single brands/families)
held since 2011
Oeko-Tex Standard 100 (valid for single brands/families) held since 1995
8 9
10
management sets the objectives and periodic targets in the Operational Plans. The division managers of Alcantara S.p.A. contribute to the development of the Operational Plans and ensure their implementation with a view to reaching the aims and targets set. In particular, in 2012 the Operational Plans developed the following strategic lines:
• globalization: development of new applications/markets;• sustainability: processes/products with a low environmental impact (new energy frontiers, recycled raw materials, etc.);• innovation (tailor-made technical development, product, process and application innovation, high-visibility limited/exclusive series);• profi tability recovery (energy saving, alternative suppliers, cost optimization, etc.).
Alcantara S.p.A. bases its work
on values of fairness, consistency,
innovation, the central role of man and respect for the
environment with a view to offering
technologically advanced and
stylistically sophisticated
solutions to meet the needs
of its increasingly demanding customers.
Alcantara S.p.A. adopts a strategy
based on economic, social and
environmental sustainability,
and shares this commitment with
partner companies and customers.
Sustainabilityis a guiding principle for Alcantara S.p.A.:
sustainability objectives are closely linked
to strategic objectives and stem from the
decisions made by top management as an
expression of the will to develop a systemic view of sustainability between the various
areas and departments of the company.
MissionAlcantara S.p.A. operates in the high-end market; its qualifying elements are the use of sophisticated technology, an exclusive business model and a brand name recognized internationally.
proFiTABiLiTY
effi ciency
team work
tailor made
gLoBALiZATion
innoVATion
sUsTAinABiLiTY
— 1.7 Mission, values and strategic orientation — 1.8
Sustainability plan
StrAtEGic oriEntAtion AnD opErAtionAL pLAnS
NEWSIn 2012,
this commitment enabled the company to develop a medium-
term Sustainability Plan with objectives
consistent with the company’s
strategic plan, as outlined below:
ECONOmIC SUSTAINABILITY maintenance and increase of capital
• To export Alcantara S.p.A.’s business model to new markets, particularly those located outside the EU;• to increase Brand Awareness in existing markets and extend it to new ones;• to consolidate and develop technical and stylistic tailoring.
ENVIRONmENTAL SUSTAINABILITY minimizing direct and indirect environmental impacts
• To continue reducing emissions to confi rm the Carbon Neutrality of the product and the company;• to develop a new project aimed at reducing the environmental impact and energy consumption of the production process (FANS);• to research and monitor raw materials from recycled and recyclable sources;• to reduce energy consumption and waste;• to search for alternative raw materials;• to improve the use of water.
SOCIAL SUSTAINABILITYEquity principle
• To have an increasingly qualifi ed and fl exible group of human resources, developing their skills with reference to the society’s global market;• to increase the effi ciency of the organization through team work by focusing the skills on strategic company objectives;• to develop stakeholder engagement.
The sections that follow describe these objectives in the short term. In 2012, an inter-departmental work group was identifi ed and set up to manage sustainability issues.
1312
When formulating its strategies, Alcantara S.p.A. considers the feedback and expectations of a large number of stakeholders, subjected to careful mapping. Once the main categories had been identified, the specific composition, the most important and material topics (the attribute “material” covers all issues that influence the decisions, actions and performance of an organization and/or its stakeholders) and the communication activities in progress were identified for each category. This mapping was developed following the AA1000SES (Stakeholder Engagement Series) guidelines and applying the principle of materiality laid down in the GRI-G3.1 guidelines.
The materiality analysis was updated through meetings and interviews held in 2012 to draw up the Sustainability Plan, with a view to selecting the information to be inserted in this report. This analysis was conducted to recognize the relevant topics and specific aspects concerning the social responsibility of the organization and define the topics of greatest significance to all the reference stakeholders, taking the seven fundamental topics proposed by the UNI ISO 26000:2010 guidelines for responsible management as the reference.
The analysis was then integrated with an assessment of the expectations that emerged from the numerous communication tools and channels between Alcantara S.p.A. and its stakeholders, a listening, communication and involvement system that permits constant interaction between the parties and monitoring of the progress of all issues directly or indirectly linked to sustainability issues.
customers and consumers• Reputation – of the product and the brand
• Quality• marketing fairness and transparency
• Satisfaction - listening – complaint management• Safeguarding of health
• Price• Innovation
• Pre-sales and post-sales services• Appropriate communication and responsible
promotional activities• Regulatory and informative compliance –
laws on the product – to safeguard the final customer• Packaging and recyclability
• Product sustainability
suppliers• Continuity and quality of work
• Reputation• Collaboration for research and development activities
• Safety and sustainability as values
customers and consumers• Customer care• Ad hoc visits to the company and open days (for schools + journalists)• management of international (Facebook, Twitter, YouTube) and Chinese (Weibo, Tudou, Kaixin) corporate social channels• Correspondence • Customer satisfaction and market analyses• Initiatives for promoting and increasing public awarenesson sustainability issues (FuoriSalone 2012)• Support for and collaboration on activities carried out by customers in favour of the environment or, on a more general level, sustainability (for example, when customers communicate or promote a green product/project)• Pre-and post-sales support • The Research Centre team interacts directly and actively with the customer through meetings and/or information activities to customize the offer • Direct contacts for events and trade fairs
suppliers• Auditing activities laid down by SA8000® certification • Technical and periodic inspections and meetings• Systematic feedback on quality
sTAkehoLDers – keY Topics MAin coMMUnicATion iniTiATiVes
— 1.9 Communication with the stakeholders human resources
• Professional growth and continuing education • meritocracy and delegation • Job stability • Internal climate: collaboration and sharing
of know-how and objectives • Remuneration and benefits • Work-life balance • Workplace health and well-being
shareholders • Profitability and corporate value • Safeguarding of reputation • Transparency/Fairness in management
environment • Atmospheric emissions • Use of raw materials • Production process responsibilities • Conservation and making the most of the
environmental heritage – biodiversity • Investments in environmental protection
community• Allied industries – investments and creation
of value in the local area• Protection of the environment and quality of life
• Respect of human rights• Transparency and completeness
of communication with the press and the community• Support for research and development,
education, art and culture projects
public institutions• Administrative regularity
• Taxes• Allied industries – investments
and creation of value in the local area
human resources• Internal communication events (for example Safety Days, meetings, etc.) • Periodic newsletter as an internal information and sharing tool• Confidential channel and mail box for model 231 reporting• Constant monitoring of atmosphere and occasional surveys to understand work-life balance needs or other requirements• Team building • Workgroups for improving safety • meetings with trade union representatives
shareholders• meeting and representation for the BoDs • Participation in internal events and events of the Group• Involvement for formulation and review of the Code of Ethics and model 231
environment• IEA – Integrated Environmental Authorization• Research at authoritative environmental institutions • Participation in innovative projects with scientific institutions and related communication• Auditing of environmental management system • Participation in trade meetings • Support and collaboration of promotional and publicity activities carried out by customers in favour of the environment
community• Collaboration projects with university departments and training schools in Italy and overseas• Competitions and grants for young designers/artists• Guided tours of the plant for the Italian and foreign press• Projects with cultural and artistic institutions• Participation in conferences and co-organization of events• Invitations and meetings with local institutions
public institutions• Collaboration with visits or inspections made by public authorities • Participation in thematic round tables • Participation in projects, call for tenders or institutional research • Periodic invitations to the main authorities and representatives of the institutions
sTAkehoLDers – keY Topics MAin coMMUnicATion iniTiATiVes
The main communication, consulting and engagement projects implemented in 2012 were:
can you imagine ?
The reporting process confirms Alcantara S.p.A.’s constant attention to the creation of value in managing the trademark and reducing the impact of the processes and production facilities on the ecological balance. The company is also required to satisfy old and new requirements, such as workplace health and safety expectations and, for consumers, the problems associated with energy efficiency and the adoption of sustainability criteria along the entire production chain and value chain.
The result of this financial year represents the basis for an increasingly clear and detailed identification of the interests in which the company acts and a strengthening of the stakeholder engagement strategies.
The analysis allowed us to:• identify the issues that are important for the company and the stakeholders;• identify the risks and opportunities associated with sustainable development;• integrate the corporate sustainability management tools (with particular reference to the Sustainability Plan).
The graph below provides a brief and non-exhaustive representation of the materiality analysis for Alcantara S.p.A. The main social responsibility topics are represented by a matrix whose variables are the significant economic, environmental and social impacts for the company and their influence on stakeholders’ decisions. The assessment was made on a scale of three levels (low, medium and high).
mainly environmental topic
mainly social topic
mainly economic topic
Legend
Internal atmosphere and diversity
Responsible involvement in political life
Workers health and safety
Innovation and researchBrand management
Atmospheric emissions – Carbon Neutrality
Regulatory compliance and fight against corruption
Respect of human rights
Employment, attracting talent and fair pay
Social and community investments
Responsible procurement
Responsible and conscious marketing
Price and service for the customer
Transparency and risk managementFair trading and competition
Partnership within the community
Industrial relations and promotion of human capital
Creation of value and wellbeing
Energy saving and renewable sources
Water and waste management
Biodiversity
ThE COmPANY’S ECONOmIC, SOCIAL AND ENVIRONmENTAL ImPACT
Low medium high
INFL
UE
NC
E O
N S
TAK
Eh
OLD
ER
S’ A
SSE
SSm
EN
TS A
ND
DE
CIS
ION
S
Low
med
ium
hig
h
14 15
ECONOmIC SUSTAINABILITY
Significant facts and events
• Distributed Global Added Value: +10.6% with respect to 2011;
• investments made in 2012: 10.1 million €, of which 3.5 invested in the safeguarding of the environment, human rights, health and safety;
• investments planned for 2013: 17.2 million €;
• 1,021 suppliers, of whom 127 with “priority” status for sustainability;
• 14% increase in contributions to the Public Administration.
17
02
PROFITAbIlITY INDEx 2010 2011 2012
R.O.E. 5.1% 7.7% 9.5%
R.O.I. 6.8% 9.2% 11.0%
Sales margin 7.0% 8.8% 9.9%
TAx PAID 2010 2011 2012
To local authorities 1,098 1,585 1,575
To the State 3,016 4,344 5,183
Highlight
As happened in 2011, in 2012 Alcantara S.p.A. again managed to tackle the economic crisis not only by considering its own economic results but also by strengthening and enhancing the value of its human resources. During this year, in which national unemployment
In 2012, Alcantara S.p.A. continued and consolidated the pathway undertaken during the previous financial year in the pursuit of two main objectives: maintaining its performance in traditional sectors and developing the consumer electronics market segment. The tangible signs of this activity can be seen in the improvement of the profitability indexes and the increase in sales of about 10%. This result is even more important considering the global economic situation, which in 2012 experienced a further reduction in consumption levels.
exceeded 11%, Alcantara S.p.A. not only avoided using up the resources made available by the government to mitigate the repercussions of the crisis on the employment market, but actually increased its staff.
Alcantara S.p.A. has no debts represented by debenture stocks and does not possess shares of its own or shares of holding companies; its medium/long-term liabilities are exclusively due to employee severance indemnity and provisions for Risks and Charges. For more information, see the 2012 Financial Statements.
— 2.1 Economic indicators and added value
18 19
The calculation and distribution of Added Value express in monetary terms the relationships between the company and the socio-economic system with which it interacts, with particular reference to some of its main stakeholders:• staff: employee remuneration;• public administration: government remuneration;• financers: remuneration for borrowed capital;• shareholders: remuneration for risk capital;• company system: corporate remuneration;• the community: gifts and sponsoring.
method proposed by the Social Report Study Group (GBS).The Added Value calculation reveals Alcantara S.p.A.’s ability to create wealth, in the reference period, to the advantage of some of its main stakeholders, in respect of economic management and the expectations of the stakeholders themselves.
In the Sustainability Report, Added Value is understood to mean the difference between the proceeds and costs of production that do not constitute remuneration for the corporate stakeholders. From this point of view, the concept of Added Value adopted here is distinguished from the strictest accounting definition because it uses the
ADDED VALUE
(euros/000) 2010 2011 2012
A) staff remuneration 20,593 22,684 24,859
Permanent staff 19,464 21,135 23,294
wages 13,440 14,365 15,829
social security costs 3,937 4,633 5,110
severance indemnity 1,052 1,130 1,233
other expenses 1,035 1,007 1,122
Non-permanent staff 1,129 1,549 1,565
B) government remuneration 4,114 5,883 6,149
Direct and indirect taxes 4,114 5,883 6,149
c) remuneration for borrowed capital 0 70 6
Charges for current or long-term capital 0 70 6
D) remuneration for risk capital 5,476 8,284 5,087
Part of financial year profit distributed 5,476 8,284 5,087
e) corporate remuneration 5,247 5,673 11,023
Share of profit allocated to reserves 2 2 5,090
Amortization 5,245 5,671 5,933
F) gifts and sponsoring 57 92 73
gross gLoBAL ADDeD VALUe 35,487 42,686 47,197
MAIN ASSETS AND lIAbIlITIES DATA (euros/000) 2010 2011 2012
Current assets 57,976 54,821 51,978
Fixed assets 76,816 86,395 90,455
Total Assets 134,792 141,216 142,433
Current liabilities 16,047 21,300 20,448
medium/long-term liabilities 6,608 4,969 5,145
Total Liabilities 22,655 26,269 25,593
Shareholders’ capital 112,137 114,947 116,840
Total Liabilities 134,792 141,216 142,433
Net Financial Position 23,632 12,938 5,759
GROSS GlObAl CONSOlIDATED ADDED VAlUE
(euros/000) 2010 2011 2012
A) Value of production 78,262 96,602 104,889
B) Intermediate production costs 43,744 55,360 59,561
GROSS ChARACTERISTIC ADDED VALUE 34,518 41,242 45,328
C) Accessory and extraordinary components 969 1,444 1,869
GROSS GLOBAL ADDED VALUE 35,487 42,686 47,197
DISTRIbUTION OF GROSS GlObAl CONSOlIDATED ADDED VAlUE
€
The Added Value distributed increased by 10.6% with respect to 2011.
The investments made in 2012 amount to
10.1 million €. Of these, 320,000 €
concern intangible property assets and 837,000 €
concern the capitalization of internal costs,
essentially attributable to the labour
cost of staff working in the maintenance
departments and technical design offi ce.
The investments made to safeguard the
environment and human rights in terms of health
and safety, which amount to 3,531,000 €,
that is about 35% of the total investment,
are well above expenditure forecasts
and are divided up as follows:
The investment plan for 2013 consolidates the strategy pursued in 2012 with a major commitment aimed at maintaining the
standards reached, paying particular attention
to workplace safety and the local area.
Credit capital 0.0%
Risk capital 10.8%
Staff 52.7%
Gifts and sponsoring 0.2%
Corporate 23.4%
Public Administration 13.0%
The investments to be made include in particular:
• start of a new project aimed at reducing the environmental impact and energy consumption of the production process (FANS);• project aimed at setting stricter limits for atmospheric emissions (IEA – Integrated Environmental Authorization; IPPC - Integrated Pollution Prevention and Control).
2.2 Investments—
inVEStMEnt forEcAStS for 2013
2120
The consolidated added value allocated to staff increased in absolute value by 2,175,000 € (+9.6%) with respect to 2011, thus representing 53% of the Global Added Value.A percentage of 23.4% of the Added Value created in 2012 was reinvested in
the company; this amount includes the amortization of the investments made in the local area. This increase is largely due to the shareholders’ decision to
give up 50% of the profi t available for distribution to permit the self-fi nancing of an important investment project, which will be described in greater depth in the sections that follow.
The company’s fi nancial solidity allowed it to do without the support of external fi nancial backing. The amount distributed to the Public Administration was 6,149,000 € (13% of the total), of which 5,648,000 € was in direct tax and 1,110,000 € in indirect tax with respect to 609,000 € in fi nancing and tax credits. The remuneration of risk capital, equivalent to 5,087,000 € (10.8% of the total Added Value), is represented by the amount allocated to a dividend on the profi t for the period and, as mentioned previously, decreases by 30.8% with respect to 2011, following the lower dividends distributed.
Finally, a sum of 73,000 € was allocated to gifts, of which 59,000 € was for trade associations and 14,000 € for gifts.
PURCHASES DURING THE FINANCIAl YEAR (euros/000) 2010 2011 2012
Plant rationalization and maintenance, quality standards 4,801 4,685 5,351
health, safety and environment 2,491 4,200 3,531
Research and Development 41 364 839
Information system, marketing structures and other 536 1,029 409
ToTAL 7,869 10,278 10,130
The investments are divided into four main areas
NEWS
2012 INVESTMENTS (euros/000) Forecast balance
Plant rationalization and maintenance and quality standards 5,449 5,351
health, safety and environment 3,176 3,531
Research and Development 740 839
Information system, marketing structures and other 835 409
ToTAL 10,200 10,130
• environment 2,122,000 €;• health 30,000 €;• safety 1,379,000 €.
In particular, in 2012, the aims of the environmental protection investments were:
• to prevent air pollution (404,000 €);• to prevent water pollution (935,000 €);• to prevent subsoil pollution (686,000 €);• to treat and reduce waste (84,000 €);• other (13,000 €).
2013 INVESTMENT PlAN Amount (euros/000)
Plant rationalization and maintenance, quality standards 5,377
health, safety and environment 2,985
Research and Development 1,063
Information system, marketing structures and other 375
IEA IPPC 4,430
New project for environmental improvement of the processes (FANS) 2,970
ToTAL 17,200
— 2.3 Suppliers and partners
22 23
SUppLiEr QUALificAtion
2012 suppliers Number % of total % of expenditure
region of Umbria 165 16% 26%
Province of Terni 144 14% 25%
region of Lombardy 403 39% 27%
Province of milan 312 31% 22%
other regions and countries 453 45% 47%
ToTAL 1,021 100% 100%
The 127 sustainability “priority” suppliers are subdivided according to the relationship established with Alcantara S.p.A. In particular:
• 37 are “Super Core” suppliers that work regularly at the Alcantara S.p.A. plants and/or are assigned outsourced activities (production process partnership); • 90 are “Core” suppliers that work on the Alcantara S.p.A. plants, but not continuously, and/or that may potentially become production process partners and/or that are suppliers of significant raw materials.
With specific reference to the geographical location of the suppliers, Alcantara S.p.A. gives priority to suppliers based near the company sites. Considering the two company sites (the management office in milan and the Production Plant and Research Centre in Nera montoro), there are 568 local suppliers (55% of the total).
In 2012, Alcantara S.p.A. used 1,021
suppliers, of whom 127 are considered
to be “priority” from a sustainability perspective as
they are suppliers of goods and services that have a mutually significant economic impact and support
activities whose effects may influence
the assessments of the stakeholders.
Suppliers Number % of total % of expenditure
Italy 856 84% 81%
Other countries 165 16% 19%
ToTAL 1,021 100% 100%
In addition to compliance with the laws in force in the countries where the suppliers operate and in line with the Code of Ethics and Conduct and the Organization model 231, Alcantara S.p.A. requires that its suppliers (and in turn any sub-suppliers) respect the following principles:
• safeguarding of the environment;• safeguarding of human rights and work standards; • fight against corruption.
Alcantara S.p.A. undertakes to ensure – particularly during the qualification process – that the supplier meets all the requirements laid down by the corporate procedures for their inclusion on the Supplier’s List. The satisfaction of these requirements is always ascertained through objective and documentary evidence and, for some equipment categories, also through technical and organizational audits at the suppliers’ sites.Supplier audits are conducted (on site)
In 2012 Alcantara S.p.A. maintained
its commitment to foster relationships
with its direct goods and service
suppliers based on the principles
of fairness, equity and optimization
of the global cost, while meeting
quality and safety requirements.
in order to verify their capacity to satisfy the specific supply requests and comply with the requirements of the management Systems certified in accordance with the UNI EN ISO 9001, ISO/TS 16949, UNI EN ISO 14001, SA8000® and BS OhSAS 18001 standards.
Alcantara S.p.A. identifies as strategic the suppliers operating in the following areas:
• machining operations performed on the product;• contract services (companies operating on the plant);• general services (decontamination and/or waste disposal);• raw materials.
Alcantara S.p.A. purchases exclusively raw materials authorized by the community standards (REACh), and subjects every new raw material to a strict assessment with regard to its environmental impact and worker safety before including it in the production process. In 2012 the process for qualifying and assessing the suppliers of contracts commissioned by Alcantara S.p.A. was further improved with a view to verifying their:- regularity of salary, contribution and insurance payments, certified by periodically submitting the relevant documentation (regulated by contract)- respect of health and safety regulations, of all resulting safety obligations towards their employees and workplace health obligations.
Alcantara S.p.A. has established
a relationship based on transparency and
collaboration with the Public Institutions
so as to guarantee maximum integrity
and fairness.
In 2012, the company paid nearly seven
million € in tax, a 14% increase with
respect to 2011.
LocAL AUThoriTies 2010 2011 2012
IRAP (Regional Business Tax) 823 1,294 1,220
Waste disposal tax 39 53 33
Utility taxes and surtax 59 54 93
ICI/ImU (property tax – part allocated to the municipality) 150 161 203
Advertising tax 8 8 9
Other taxes due 19 15 17
TOTAL 1,098 1,585 1,575
sTATe 2010 2011 2012
IRES (Corporate Income Tax) 2,526 3,565 4,428
Customs duties 395 687 557
ImU (property tax – part allocated to the State) 0 0 126
VAT on gifts 66 64 53
Capital transfer tax and excise licences 19 19 16
other taxes due 10 9 3
ToTAL 3,016 4,344 5,183
pUBLic ADMinisTrATion ToTAL 4,114 5,929 6,758
FINANCIAl RElATIONS WITH lOCAl AUTHORITIES AND THE STATE (Euros/000)
— 2.4. Responsible Procurement - SA8000®
Since 2007 goods and services suppliers
have been collaborating with Alcantara S.p.A.
in maintaining the requirements laid
down in the SA8000® standard, as well as respecting the
national laws in force and the international provisions applicable
to their field of activity and
operating conditions.
Alcantara S.p.A. has elaborated a schedule of audits conducted on suppliers by qualified experts together with its SA8000® manager in order to check their commitment toguarantee respect of the “Social Responsibility” standards and detect any situations of risk. The non-conformities found are classifiable as “minor”. Suppliers were requested to take corrective action and provide evidence of its implementation.
TYPE OF SUPPlY Auditsconducted
before31st December
2010
Audits conducted
in 2012
Total number of audits
conducted before
31st December 2012
Total Total Total
Product nobilitation processes 11 4 15
Tender and logistics services 10 2 12
Decontamination and waste disposal services 3 - 3
Raw materials 12 2 14
Environmental analyses 2 - 2
ToTAL 38 8 46
— 2.5 Public institutions
2524
The table beside lists the main loans
requested or obtained by Alcantara S.p.A.
from Public Institutions.
In 2012, Alcantara S.p.A. continued
to monitor new calls for tenders
in the field of Research and Development.
Next year, this activity will be broadened
to include those managed
by the European Community, which offer
greater resources to companies
and payment in advance.
MEMbErShip of trADE ASSociAtionS—
lIST OF ASSOCIATIONS OF WHICH AlCANTARA S.P.A. WAS A MEMbER IN 2012
ADACI (Italian Supplier Ass.) ASSOTERNI
AIAS (Italian Safety Worker Ass.) AUSED
AICQ (Central-Northern It.Quality Ass.) NATIONAL ChAmBER OF FAShION
AIm (Italian macromolecule Ass.) FEDERChImICA
mITTELmODA TEXCLUBTEC
ASSOLOmBARDA CITTÀ DELL’ARTE FAShION
GoVErnMEnt finAncinG
CAll FOR TENDERS CHARACTERISTICS
FIT (TEChNOLOGICAL INNOVATION FUND)mINISTRY OF ECONOmIC DEVELOPmENT
Development of product innovation programs in the areas with technological priority within the Technological Innovation Fund. Law no. 46 of 17th February 1982 – directive of 16th January 2001 and related ministerial decrees. Three-year duration of project: 03/01/2008 - 02/25/2011. Reporting: presented from 03/01/2008 to 02/25/2012 for about 3,089,000 €, of which 2,600,000 for precompetitive development and 489,000 for research (amounts included the maximum allowed limit)Relief granted: 10% free grant, 80% low-rate loan, 10% ordinary loan.State of progress: project completed in February 2011, reported and checked in 2012 by the technical expert and bank commissioned; documentary process completed duringthe year. Currently waiting to receive the contribution from the ministry in agreement with the banks responsible for the investigation and management/release of the funds.
ENVIRONmENT CALL FOR TENDERS (2007-2013 R.O.P.) REGION OF UmBRIA
Investments to support companies in ecological innovation and to reduce pollutants.2007-2013 ROP ERDP of the Region of Umbria. Approval of tender for support of companies in ecological innovation. Contribution granted: 291,000 € on a capital account.State of progress: project approved (Alcantara S.p.A. top of the list) and completed; the final report was submitted in November 2011 (before the established deadline). In July 2012, the audit conducted by the Regional Authority was passed successfully. The company is currently waiting to receive the contribution payment.
TAX CREDIT FOR 2008-2009 RESEARCh IN ACCORDANCE WITh ART. 1, c. 280 of Law 296/2006
During the year, the company received a Tax credit for the Research costs borne in 2008-2009 for over 240,000 € as a result of the reactivation of the relief, suspended previously due to lack of funds.
Alcantara S.p.A. supports many
associations and/or institutions through its membership fee
and direct participation in order to support
the company’s representation and use
the services provided by the associations.
Further develop the car segment of the BRICS (Brazil, Russia, India, China and
South Africa) emerging markets.
Develop new markets (consumer electronics
and proprietary collection)
Strengthen the programming and control system
Consolidate the investments made in research and energy effi ciency
Search for raw material suppliers situated closer to the production plant:
• PET purchasing from a supplier with a European production site > 25%
• PhC purchasing from a supplier with a European production site > 40%
Further improve the supplier qualifi cation procedure, fi rmly oriented
to favour suppliers with a greater awareness of sustainability issues.
Find fi nancial support for research and development projects that create
innovation and growth for the company and the community
Our sales in China increased (+17% compared to the previous year) due to the sales to European groups with production sites in situ. Positive performance also in South Africa, where a +58% increase was recorded.
The consumer electronics sector represented 12% of total sales. We also started developing a collection of fi nished products under our brand.
The project for budgeting the corporate assets in the system was completed. The next step is to develop plans for the medium-long term.
The cogeneration plant was started and defi nitively put into operation on 1st January 2013.
The percentace of raw material suppliers situated closer to the production plant according to the following values:
° 2012 PET purchasing from a supplier with a European production site: 38%;
° 2012 PhC purchasing from a supplier with a European production site: 38%.
meetings were held with the suppliers to share and analyse the mutual responsible management for maintaining the collaboration relationship. The sustainability clauses in the renewed contracts were applied progressively. A new audit plan in line with the sustainability requirements was developed for 2013.
The monitoring of new calls for tenders in the fi eld of Research and Development did not allow new projects to be fi nanced in 2012. Alcantara S.p.A. intends to continue monitoring existing calls for tenders by extending the evaluation to calls for tenders managed by the European Community.
Improvement objectives in the economic dimension of sustainability
• Export Alcantara S.p.A.’s business model to new markets,
in particular those outside the EU;
• increase Brand Awareness in existing markets and extend it to new ones;
• consolidate and develop technical and stylistic tailoring;
• promote the improvement of the environmental performance
of its suppliers and favour suppliers with the best environmental profi le
of the products/services supplied;
• improve logistical effi ciency.
26 27
— 2.6 Improvement objectives
WhAT We DiD in 2012
WhAT We sAiD We WoULD Do
03
Significant facts and events
• The number of permanent employees grew by 5.5%;
• the inter-departmental group work method was introduced in 2012;
• an intercompany crèche was opened for the children of plant personnel and
other families in the area.
SOCIAL SUSTAINABILITY: people— Highlight
29
ACCIDENT TRENDS: FREqUENCY AND SERIOUSNESS OF INjURIES
TRAINING GIVEN
* The total frequency index also includes medications without loss of capacity to work
Number of injuries with
absence
Number of days lost
Hours worked FREqUENCY index* number
of injuries/hours worked x
1,000,000
GRAVITY index
Days of absence due to injury /
hours worked x 1,000
2010 1 2 504,700 1.98 0.004
2011 5 22 557,782 9.00 0.039
2012 5 104 650,501 7.69 0.160
2010 2011 2012
Total (hours/employee) 54 56 78
Training costs (euros) 67,527 65,109 66,415
2010 2011 2012
coMpoSitionof thE StAffAnD tUrnoVEr
— 3.1 Management policies and composition
Alcantara S.p.A. considers the quality
of its people to be the main resource for
achieving its strategic aims.
A fundamental element is the assumption
of responsibility on all levels, which
is obtained through the relationship between
the workers and their bosses.
Alcantara S.p.A. pursues the growth and motivation of its people through:
• communication of company and individual objectives;• control and feedback on the results obtained;• teamwork and knowledge of company processes;• the development of training plans aimed at career development on all levels;• the implementation of remuneration policies that guarantee internal equity, competitiveness with the market and recognition of the results obtained.
The strategies are pursued through the definition of annual operating plans, the implementation of which is systematically monitored through company meetings.
In 2012, Alcantara S.p.A. developed an organization system based on inter-departmental work groups, with a view to grouping the skills and know-how of the resources involved and channelling efforts more effectively towards achieving strategic company objectives.
At 31st December 2012 Alcantara S.p.A.
had a staff of 402 employees:
70 at the central office in Milan
and 332 at the production
plant and Research Centre in Nera Montoro
(Terni). A constant growth in staff was
also recorded in 2012 with an increase of
about 5.5% over the previous year.
—
3130
staff at 31st December 2012
Eighty-eight per cent of staff are permanent employees. Some new hires on the production lines are employed on the basis of apprenticeship contracts. During the course of the year, the company converted nine fixed-term contracts into permanent contracts.
With regard to the production plant, due to the increase in production capacity, Alcantara S.p.A. gave a concrete response to the needs of the area to employ workers coming from companies in crisis.
number Men Women Men Women Men Women
Permanent staff 262 51 300 51 299 55
Temporary staff 43 1 27 3 44 4
Full-time staff 305 48 327 53 343 58
Part-time staff - 4 - 1 - 1
2010 2011 2012
number Men Women Men Women Men Women
Top management 14 1 15 1 15 1
middle management 37 9 39 9 41 11
Employees 61 33 62 36 66 38
Factory workers 193 9 211 8 221 9
ToTAL 305 52 327 54 343 59
357 381 402
The work groups were organized according to the strategic objectives and their structure included the identification of a Coordination Group and a Team Leader.This new work method involves about 55 members of Top management and middle management and created:• greater focus on the company’s strategic objectives;• an improvement in the “quality of the response” and the action taken;• an increase in involvement and motivation, above all of middle management.
It also led to the improvement of the communication processes, team work, sense of belonging and sharing.
NEWS
2010 2011 2012
The 5.5% increase in staff is due to an increase in sales and the consequent increase in production capacity. Six new workers, equivalent to a 9.4% increase (from 64 in 2011 to 70 in 2012), were taken on at the central office in milan while 15 new workers, equivalent to a 4.7% increase of the work force (from 317 in 2011 to 332 in 2012), were taken on at the Production Plant and Research Centre in Nera montoro.
most of the company’s staff live in areas situated close to their workplace. 93% of staff at the Production Plant and Research Centre in Nera montoro live in the province of Terni, while 70% of staff working at the central office in milan live in the province of milan. The hiring of local workers at the Production Plant and Research Centre of Nera montoro, in particular, represents a concrete response to the need for employment in the area. 70% of the senior managers live in the province of milan and the remaining 30% come from neighbouring provinces; as far as the industrial plant in Nera montoro is concerned, 100% of the senior managers live in the province of Terni.
The average age of employees at the milan office did not change significantly, increasing from 42.05 years in 2011 to 42.10 years in 2012. A slight increase, from an average of 38.38 years in 2011 to 38.85 years in 2012, was also recorded at the Production Plant and Research Centre in Nera montoro.
In 2012 an increase in the number of employees with a middle school qualification or university degree was recorded, while the number of employees with a high-school diploma remained stable.
The turnover was due mainly to new and terminated fixed-term contracts for work on the production lines at peak production times.
Turnover (total number of persons joining and leaving the
company by gender)
subdivision of staff by academic qualification
YEAR 2010 2011 2012
middle school qualification 36 41 51
high school diploma 243 261 260
Degree 78 79 91
ToTAL 357 381 402
Minority groups
subdivision of staff by age group
3332
— 3.2 Diversity and respect of human rights
The company has never committed
overt or veiled discrimination
in its staff management. This approach
is supported by the possibility
of presenting claims to the Supervisory
Committee, even in anonymous form.
In case of discrimination, workers may turn
to the workers’ representative for
the SA8000® system.
In 2012 a total of 37 (22 men and 15 women) employees of the milan office and the Production Plant and Research Centre in Nera montoro took parental leaves. On expiry of their leave, all employees returned to work.
Alcantara S.p.A. is also sensitive to equal opportunities, despite the fact that it operates in a production and industrial environment which has always been characterized by the presence of a much smaller number of women than men by history and tradition. The subdivision of staff according to their gender has remained substantially unchanged with respect to 2011 (women are 14.2% of the entire company staff). Alcantara S.p.A. respects the legislation in force, especially with regard to the
sociAL AccoUnTABiLiTY proJecT - sA8000®
Alcantara S.p.A. has been certified in accordance with the requirements laid down by the SA8000® standard (international standard for responsible company management) since 2008. All company staff is informed of and periodically trained on the spirit and principles of this standard through specific training courses and special meetings. All new hires are given a folder and an explanation of the contents and principles of the SA8000® standard. In addition, each new recruit is given a specific day’s training on the topics related to the company’s certifications.
inclusion and integration of staff belonging to minority groups.
2010 2011 2012
number <30 30-50 >50 <30 30-50 >50 <30 30-50 >50
ToTAL 74 219 64 84 238 59 79 262 61
2010 2011 2012
men 15 29 52
Women 7 2 4
ToTAL 22 31 56
2010 2011 2012
No. of employees belonging to minority groups 30 33 33
minority group percentage with respect to total number of employees
8.4% 8.66% 8.21%
Turnover (details of persons joining and leaving the company in 2012 by gender)
Milan Nera Montoro Total Età Media
New contracts for men in 2012 4 63 67 35.4
New contracts for women in 2012 3 7 10 30.1
Terminated contracts for men in 2012 2 50 52 37.2
Terminated contracts for women in 2012 1 3 4 32
Mean minimum contractual salary
Mean salary
Difference %
Since 1995, there has also been a variable productivity bonus, as laid down in the applicable National Labour Collective Agreement (CCNL), which is discussed and stipulated with the trade union representatives on a yearly basis. In 2012 the productivity and profitability targets for the productivity bonus were agreed upon with the Trade Union representatives. The bonus (which will be paid during the month of February 2013) corresponds to 91.71% of the maximum agreed value following the final balance of the economic and production results of the year 2012.
Alcantara S.p.A. promotes
the management and motivation
of its people through incentive and
development policies and measures. To this aim, on a yearly basis,
additional operations, not due by contract,
to those resulting from organizational
and/or automatic contractual provisions
are defined and planned with
a view to rewarding the skills expressed
on an individual level.
— 3.3 Incentives and remuneration
The increase in the number of incentive and remuneration operations in 2012 with respect to 2011 (from 192 to 225) is due mainly to the improvement/consolidation of the professional performance of staff and an improvement in the overall economic results. Lump-sum bonuses are paid to staff that make a major contribution or obtain results that go beyond the established targets of significance to the company. There are also promotions along career development paths and transfers to higher positions.
The company also has a variable retribution system associated with the achievement of the economic and performance targets set both on an individual and a team level. Top management, other managers and key persons at Alcantara S.p.A. are included in an annual variable target-oriented incentive plan, taking account of economic, social and environmental performance. The middle management not included in the variable incentive plan is assessed on the basis of the responsibilities managed within the scope of the relationship between the workers and their bosses.
€ 1,
807.
00
€ 1,
702.
00
29%
28%
€ 2,
553.
00
€ 2,
354.
00
3534
comparison between average salaries: report by gender
respect of minimum contractual
salary
inDUStriALrELAtionS—
TYPE OF INCENTIVE OPERATION PERSONS INVOlVED IN OPERATION
m.B.O. (management By Objective) and lump-sum bonuses 86
Pay rise 31
Promotion to higher employment level 99
Conversion to permanent staff 9
ToTAL 225
At December 2012 MEAN GAS OF MEN MEAN GAS OF WOMEN % WOMEN WITH RESPECT TO MEN
TOP AND mIDDLE mANAGEmENT
€ 70,324.92 € 57,267.75 -18.57%
EmPLOYEES € 31,913.94 € 30,396.34 -4.76%
mANUAL WORKERS AND APPRENTICES € 23,402.64 € 23,927.18 2.24%
Mean minimum contractual salary
Mean salary Difference %
AVERAGE € 1,721.76 € 2,389.52 27.95%
Alcantara S.p.A.’s objective is to
consolidate a positive and constructive
system of industrial relations on all
levels consistent with the strategic,
organizational and cultural developments
of the company and based on maximum
transparency and participation.
The flexibility topics discussed and shared over previous years were strengthened further during the year, bringing the company and trade union organizations to the stipulation of an agreement to increase the proportion of fixed-term contracts with respect to that indicated in the CCNL. An agreement was also reached on the productivity bonus (review of framework agreement for the three-year period 2012-2014 and agreement for 2012 bonus) and working hours.
On this basis, Alcantara S.p.A. maintains and develops relations with the workers’ representative organizations, based on mutual respect of the roles, skills and responsibilities of each worker with a view to qualifying the participation process better and preventing conflicts from arising.
The high percentage of staff who are members of a trade union shows that membership has never been discouraged in any way. In fact considerable space has been given to the workers’ representative organizations through a continuous, open dialogue.
NUMbER 2010 2011 2012
% of members (with respect to total)
69% 70% 69%
% of non-members (with respect to total)
31% 30% 31%
staff trade union members
3736
Alcantara S.p.A. has always been
committed to improving the Health and Safety conditions
of all individuals, both its own staff and
that of third parties; in 2012, this
commitment enabled the company to obtain
bS OHSAS 18001 certifi cation for the
production plant at Nera Montoro and
to prepare the way for an extension of this
certifi cation to the Milan offi ce.
— 3.4 Health and safety
• Safety Proposal;• Safety Patrol; • 3Z project;• safety declaration;• health, safety and environment plan;• disaster prevention plan;• a number of emergency teams that exceeds the number laid down by the law and with equipment that is not compulsory in accordance with the law (fi re engine, ambulance, surgery with daily medical and on-call service for 24 hours a day);• specifi c work groups for each functional area.
Frequency index
gravity index
(Fi – represents the frequency of injuries and indicates the number of injuries per million hours worked)
(gi – indicates the number of days’ work lost due to injury)
Fi =n° injuries x 10
hours worked
6
gi n° days lost x 10
hours worked
3
Textileindustry
Textileindustry
chemicalindustry
chemicalindustry
Totalindustry
Totalindustry
As laid down by the legislation in force, meetings between the company management, workers’ safety representatives, health and safety department managers and company doctors are held periodically. The number of workers directly involved in the responsibility system for health and safety is over 30% of the entire staff. Alcantara S.p.A. prevents health and safety risks by exceeding the requirements laid down by the legislation in force, through consolidated measures that help to keep the “health and safety system” dynamic and that involve staff on all levels:
0
0
5
0.05
10
0.1
15
0.15
20
0.2
25
0.25
30
0.3
0.4
0.35
0.45
2009
2009
2010
2010
2.37
0.04
2012
2012
97.69
0.16
16.3
0.38
11.6
0.25
24.9
0.44
2011
2011
1.98
0.004
“Zero injuries”projectThe aim of the “Zero injuries” project is to identify further room for improvement in safety management and, more specifi cally, to tend towards the “Zero injuries” target, thus going beyond the requirements laid down by the legislation in force.
Over 6 years after the start of the project (June 2006 - December 2012), a considerable improvement from the technical and operational viewpoint has been recorded due, among other things, to the use of the following tools:
• safety proposal: practical improvement proposals for health, Safety and Environmental issues that any worker may propose to the company management and for which this worker is invited to suggest an adequate answer. In 2012, compared with a target of 300 Safety Proposals, the workers submitted about 317 Safety Proposals; since June 2006 over 2,000 Safety Proposals have been made and over 1,500 of these have been implemented. • safety patrol (employees and middle management) and safety shift Leader (shift operators): weekly or shift-based internal inspections, with a view to checking the tidiness and cleanliness of the work environments, the use of personal protective equipment (PPE), etc. The Safety Patrol teams include workers from across the entire organization, which allows all of the areas of the Production Plant and Research Centre to be patrolled and all of the staff involved to develop professionally. In 2013, staff participation in the Safety Patrol will be increased to bring further skills into the groups and involve all operators in activities that lead to a continual growth and participation. The Safety Shift Leader teams are made up of Primary Operators and Shift Operators that carry out checks on the department beside their own.• safety Day (Production plant meeting open to everyone) and safety Dinner (dinner with management): collective presentation of the main company events of the quarter and sharing of the company’s strategies and projects with the entire staff of the Production plant. These events also represent an opportunity to discuss and share health, safety and environmental projects and guidelines.• near misses: reports from employees of potentially hazardous situations that could lead to injuries. In 2012, 80 near misses were reported, analysed and solved, almost 460 since June 2006.• Work groups: formation of work groups for specifi c functional areas with a view to developing the greater participation of staff in the identifi cation, assessment and minimization of health, safety and environmental risks and impacts.
SUMMARY OF THE RESUlTS OF THE “ZERO INjURIES” PROjECT
Near misses Safety Proposals
2009 62 232
2010 88 317
2011 80 340
2012 80 317
NEWS
0.039
38 39
Work experienceIn 2012, the Production plant at Nera montoro hosted 4 high-school students for a 4-week summer work experience project undertaken as part of their school curriculum, giving them 100 hours of classroom training. Between the end of 2012 and the beginning of 2013, Alcantara welcomed an undergraduate student on work experience during which she was given 14 hours of training.All trainees were assigned activities consistent with their education and training, under the constant supervision of a company tutor. The experience enabledthe students to put the notions learnt during their studies into practice in a company situation.
Nera Montoro (hours)
No. workers involved
Milan (hours)
No. workers involved
Sustainability project and SA8000® 70.5 70 14 9
Safety, Italian Legislative Decree no. 81/08 3,280 325 672 97
Training on Italian Legislative Decree 231/2001 127 104 0 0
Data processing (196/03) 4 4 0 0
Nera Montoro Milan Average Total
In 2012 training was given by the Production Plant and Research Centre in Nera montoro mainly for the benefit of new hires and staff interested in career development and professional growth (including operating flexibility), as well as specific safety training. In this regard, the most important activities carried out in 2012 were:• training for coordinators and managers as laid down by Italian Legislative Decree no. 81/08; • BS OhSAS 18001 certification;• training for instructors; • specific legislative training (DPR 177/11, work permits, electrical risk, etc.);
• training on the use of PPE (Personal Protective Equipment);• new document management system;• waste and wastewater management (ADR standard).
At the Central office, a major training investment was made in negotiating skills in critical and conflictual situations aimed at sales departments and those directly involved in customer management in an ever-increasingly competitive and challenging market. Operations were also performed to improve the use of social media as communication and relational tools, as well as training activities in business continuity and languages with
Training is systematically included in Alcantara S.p.A.’s strategic plans and is considered an indispensable tool for building, developing and consolidating professional skills and know-how. The variability of the market and, consequently, the production volumes of the year made it difficult to plan complex training projects.
— 3.5 Training and communication
The staff on all levels are directly involved in training initiatives/plans, especially in case of:
• new recruitment;• transfer to other work positions;• changes in organization and/or technical/technological innovations that significantly affect the worker’s professional profile;• career development paths.
individual and group English classes.- With regard to health, safety and environmental topics, in 2012, in implementing the “State-Regions” decree, Alcantara S.p.A. held a refresher course on Legislative decree no. 81/08 involving all staff present on the site and a course to train a workplace health and safety management system auditor (OhSAS 18001).
In 2012, 270 hours of additional health and safety training were also provided to contractors working at the Alcantara S.p.A. sites.
The details of the training given in 2012 to employees on policies and procedures concerning significant aspects of human rights for the activities of Alcantara S.p.A. are given in the table below:
Men Women Men Women
Factory workers 120.9 116.3 0 0 120.8
Apprentices 11.8 0 0 0 11.3
Employees 40 30 38.9 21.5 32.6
middle management 38.8 51.2 31.1 19.5 35.1
External 9.8 4 8 8 9.4
Top management 58 0 25 19.3 24.5
ToTAL 279.3 201.5 103 68.3 233.7
38
Average no. of hours of training given in 2012 by the category, site and gender
NEWS
TRAINING GIVEN 2010 2011 2012
man hours 54 56 78
Costs (euros) 67,527 65,109 66,415
Total number of hours of training given 19,108 21,320 31,276
• Technical and career development 7,227 7,416 7,868
• Courses for new hires 5,960 11,730 18,956
• Quality 1,636 111 113
• Safety and the Environment 3,708 2,060 4,287
• IT 577 3 52
4140
intErnAL coMMUnicAtion AnD StAff SAtiSfAction
Alcantara S.p.A. pays particular attention to listening and dialogue with employees with a view to establishing collaborative relationships between individuals, thus increasing the sense of belonging and the spread of the company’s values and culture.
In 2012, Alcantara S.p.A. continued to pursue its aim of improving communication within the company through the following activities:
• visit from the Chairman of the Toray Group and meeting with Plant management to illustrate the Group’s main projects/objectives;• constant updating of the company’s intranet with all of the events that are important for company life, information and/or initiatives associated with the business and the market and where a brief presentation of new hires is included, as appropriate;• updating of company notice boards, which are used to display company announcements, important information and quality and safety trends;• drawing up and distribution of the company’s internal publication “La Voce di Alcantara”. The magazine is published every six months and is distributed to the entire staff of the central office and the production plant;• participation of Alcantara S.p.A. staff in the European annual Forum of the Toray Group;
• for the Production Plant in Nera montoro, the “Safety Day” and the “Safety Dinner”; • meeting between the Chairman and the technical staff that made a significant contribution to the development of the new Electronic Goods business;• for the milan office, meeting between the Chairman and the employees to present the main objectives and the results obtained;• comparative salary analysis with the external market, which revealed that the company’s salaries are in line with the leading reference multinational companies.
• At the Production Plant in Nera montoro, the following operations were performed:
− restructuring of the canteen area, which, in particular, consisted of rebuilding the ventilation system and the bathroom area, installing an internal jacket to increase the insulation and reduce heat loss, adding the company logo for clearer communication with both the internal (employees) and external public (customers and visitors). In addition, the training room was restructured and new furniture installed. These two operations required a total investment of about 135,000 €;− improvement in the quality of meals
—served at the company canteen, discussed beforehand and afterwards with the canteen committee;− extraordinary maintenance of the garden areas, on and off the Plant’s grounds for a total of about 22,000 €;− within the scope of a continuous improvement of the company atmosphere, Christmas trees were bought for the management building, the Application Development Centre and the departments, decorated with various Alcantara textures. • At the milan office, the following operations were performed:
− increase in fire safety through work on the smoke detection and lift control system; in case of evacuation with an alarm activated, irrespective of the direction in which the lifts are moving, they automatically move down to the ground floor and stay there until the alarm has been reset; in addition, a “Sapphire” extinguishing system has been integrated with automatic control boxes for the rooms covered;− security improvement in building no. 2 by adding code-controlled doors;− improvements in the canteen service;− creation of an area for the style workshop inside the show room.
4342
Redefine the human resource management process.
Developed IT management tools that facilitate and guarantee the correct application of information.
Improve the company atmosphere. Carried out investments aimed at improving and renewing the common areas and performed operations aimed at facilitating and improving communication at all levels.
Consolidate/improve relations with stakeholders and develop SA8000®.
During the year, we consolidated and improved relations with trade union organizations and other categories of stakeholders, such as customers, bodies and local institutions. See the table on paragraph 1.9.
Continuously consolidate the technical/managerial know-how
of the entire staff in line with the skills required by the role covered following
the change in generation.
The consolidation process is in progress and is monitored continuously. The effectiveness of this process is evidenced in the positive trends of the various company processes.
Develop new BS OhSAS 18001 certification for health,
Safety and hygiene.
Certification was obtained for the production site. The certification preparation process was also started for the milan office.
— 3.6 Improvement objectives
Improvement objectives in staff management
• Increase the efficiency of the organization and teamwork in reaching
company objectives;
• maintain and develop transparent industrial relations oriented towards
maximum benefit for the company and its human resources;
• have increasingly specialized staff in accordance with a global market approach;
• increase the skills and take full advantage of the resources available at all levels;
• develop stakeholder engagement, starting with dialogue with the staff.
Alcantara S.p.A. gives its staff some benefits in addition to the provisions laid down in the Collective Labour Agreement:• NEWS intercompany crèche: in the second half of 2012, Alcantara S.p.A. made an agreement with two other companies operating in the area near the Production Plant to construct an intercompany crèche. The cost to be borne by the employees is comparable with those of public crèches, while the remaining part is paid by the company. The structure and facilities of the crèche are made mainly of wood and recyclable plastic and make exclusive use of energy from renewable sources. The structure is also open to children whose parents are not employees of the companies but live in the vicinity. Eight children, of whom two are children of employees, were registered with the crèche in 2012; • company canteen; the cost of the company canteen is borne entirely by the company as regards its running costs. Employees pay a small percentage of the cost of each meal (about 11.5%);• occupational and extra-occupational insurance: in addition to the provisions laid down by INAIL and in extension to non-work activities, the company takes out an insurance policy for all members of staff. • Fida: by paying a minimal monthly fee, employees may freely join a fund co-financed largely by Alcantara S.p.A. which refunds the costs of health services (examinations, treatment, tests, glasses, medicines, parapharmaceutical products, vaccines, prostheses and operations) paid by the employees themselves;• recreational club: the company sets aside a yearly amount for the recreational club, which organizes cultural or sports activities for employees and their families;• company health service: within the company, there is a surgery open 24 hours a day, where a doctor is on duty during the day on work days and is on call at weekends and at night. The health service also has an ambulance and a defibrillator;• loyalty bonus: when employees have worked for the company for 25 years, Alcantara S.p.A. organizes an event where they are given an award by the Chairman;• bus service: : through the local public transport company, Alcantara S.p.A. has activated a bus service running between Terni and the Production Plant and Research Centre of Nera montoro at times that coincide with the working times of the daytime staff (the cost of the ticket is borne by the employee); in addition, the company worked in collaboration with trade union representatives to open negotiations with local institutions and the local public transport company with a view to increasing the local service coverage, with a larger number of daily runs.• on-call allowance for staff responsible for handling emergencies.
Staff benefits
WhAT We DiD in 2012
WhAT We sAiD We WoULD Do
04
45
In 2012 the sales presented marked increases both in value and in volume, with a percentage of about 10%.
The sales may be divided by the geographical area as follows:
45
Significant facts events
• marked growth of the yachting industry;
• new products developed: SLIm, fire-resistant, for covering, etc.;
• increase in volumes in the high-end fashion sector (+55%).
SOCIAL SUSTAINABILITY: customers— Highlight
DESCRIPTION (EUROS/000)
2010 2011 2012 Change %
Finished product sales 77,110 93,184 101,758 9%
By-product and different material sales
738 763 1,424 87%
Total net sales 77,848 93,947 103,182 10%
DESCRIPTION (EUROS/000)
2012 % 2011 % Change
Italy 10,855 11% 12,542 13% -1,687 -13%
EU 68,523 66% 66,886 71% 1,637 2%
Non-EU 23,804 23% 14,519 16% 9,285 64%
Total net sales 103,182 100% 93,947 100% 9,235 10%
46 4746 47
— 4.1 Marketing policy and innovation
In order to tackle the growing globalization
of markets, in 2012 Alcantara S.p.A.
intensifi ed its activities, paying particular attention to the
international scene.
In particular: • new projects in USA and China have considerably modifi ed the map of customers and areas covered by the sales network;• the Japan/Korea project has been added to initial contacts made with the main Japanese car makers to acquire new projects. It has become a priority for Alcantara S.p.A. to concentrate on the strength of the brand and ensure that customers can fully appreciate the added value of Alcantara as a brand and as a material;• projects in the USA, Japan and China have a signifi cant impact on the Alcantara’s carbon footprint due to the increase in emissions associated with transport for the delivery of goods;• the activities in India and Brazil are complicated by barriers put up by their governments against imported products to favour products produced locally. Alcantara S.p.A. intends to study “ad hoc” projects with partners that already operate in these countries and have manufacturers dedicated to the domestic market;• the launch of products with a high added value and a higher price (collections) is always diffi cult on some markets such as furniture due to the economic crisis. Nevertheless, in 2012 there were encouraging cases of customers (and markets) that took the opportunity to launch innovative products in a time of deadlock caused by the recession, for example, through “anniversary” products made with non-standard Alcantara or the launch of new models of garden furniture or child security seats.
In the automotive and furniture sectors in particular, the growing market globalization has led to:• the development of new products for the USA market and the Chinese automotive market;• the undertaking of projects with Japanese customers in the car industry,in collaboration with their European sites;• the establishment of trade relations with furniture distributors in China and car dealers in Turkey.
The main sectors of business
in which Alcantara S.p.A. operates are: automotive (65%),
furniture (which includes interior,
contract and yachting and accounts
for 12% of sales), fashion and accessories
(11%) and consumer electronics (12%).
In Italy, in 2012, Alcantara S.p.A. recorded sales of 10.8 million €, representing about 11% of the total sales fi gure for the fi nancial year. The increase in overseas sales, particularly outside Europe, is the result of the growing success of the brand on the world scene, also as an expression of made in Italy products.
Alcantara S.p.A. approaches the reference markets along two main channels:• direct contact: sales to industrial customers that use the product in their production processes;• indirect contact: agents and distributors, selected by the company, contact the potentially signifi cant areas of the market directly.
— 4.2 Customers and markets served
NEWS
Description (euros/000) Sales % Description (euros/000) Sales %
Germany 38,950 57% Taiwan 5,833 25%
France 6,913 10% Japan 4,270 18%
Ireland 3,507 5% U.S.A. 3,938 17%
Spain 3,340 5% hong Kong 2,447 10%
Czech Rep. 2,973 4% Turkey 2,198 9%
Romania 2,870 4% Switzerland 1,136 5%
Poland 2,810 4% Russian Fed. 742 3%
United Kingdom 1,871 3% China 736 3%
Other 5,289 8% Other 2,504 10%
Total EU sales 68,523 100% Total Extra-UE sales 23,804 100%
48 4948 49
The Alcantara offer is designed for car manufacturers, while the direct customers (those who process the material and to whom Alcantara S.p.A. delivers and makes out invoices) are System Suppliers.
— Automotive customers
The car industry lays down particularly strict quality standards. European customers represent 95% of manufacturers operating on the reference market. Due to the globalization process, which began in 2011, the three main U.S. customers and some Japanese and Chinese customers now also have access to the Alcantara offer. Loyalty towards Alcantara is evidenced by the continuous involvement in new projects and the positive results recorded also in 2012, despite the distinctly unfavourable economic situation in Europe.
Also in 2012 the leading end market is represented by German manufacturers; in addition, following the development of the world market, the composition of the Alcantara S.p.A. customer portfolio has changed in part. The main changes concern in particular:
• OEm (Original Equipment manufacturer) customers located outside Europe as far as direct sales are concerned; • the opening of the aftermarket channel in Turkey for indirect sales;• the drop in European sales, although OEm customers recorded growth in the emerging markets (China and USA).
Direct contact:
• with car manufacturers, through their technical, purchasing, marketing and style departments;• with System Suppliers from the initial cutting to the construction of the seat, door panels and other details of the car.
Indirect contact:
• for the “Aftermarket”, that is, operators that refurbish cars and/or limited series, in collaboration with car manufacturers or local importers:• in 2012 a distribution channel in Turkey was opened.
In the automotive industry, Alcantara is used on elegant versions of cars (for example, luxury sedans) or sports models (in high-performance cars).Due to its versatility, the material permits a high degree of product customization and thus a clear distinction between the models and versions for which it is selected. Continuous technical and style research ensures that customers are always offered cutting-edge solutions.Alcantara is also chosen for its functional characteristics: it is no coincidence that Alcantara is the leaders’ choice in the most complex application situations which often require extremely high performance. The combination between “beauty” and “strength” is one of the reasons for its success in the car industry.A fundamental element in the creation of added value for customers is brand: the realization of its full potential is an objective shared by Alcantara S.p.A. and the top car brands.Alcantara interiors (seats, door panels, headliner, rear shelves, etc.) increase the value of the car and guarantee quality, durability and performance in a context of great beauty.
Advantages of Alcantara
In 2012 Alcantara S.p.A. focused its attention on the implementation of technical projects for the car industry, such as:
• homologation of low-emission products; • introduction of the new ETA-BE flameproof product • introduction of the multilayer product, especially on new markets such as USA and Japan;• foam-laminated products for European customers;• trimmed components/kits for European and U.S. customers.
AUtoMotiVE
characteristics of the market
Management approach
Bm
W Z
4 ro
adst
er S
driv
e35i
s
For Alcantara S.p.A., the end markets of this business are characterized by the loyalty of the key customers and a gradual loss of non-strategic customers. The most important achievements of 2012 include: • confirmation of the success of the multilayer product on the European market;• marked growth of the yachting sector, through partnerships with leading operators in the sector;• consolidation of the indirect channel for furniture customers. This distribution choice enables the number of documents, trips and commercial transactions to be reduced to a minimum, which has a positive impact on the environment; • development of tailor-made products in the Alcantara Interiors selection due to their inclusion in the collections of some partners.• entry into the child safety seat market, having overcome the strict regulatory barriers.
The tailor made offer lies at the basis of the success in the relationship with the Key Customers in the Interiors sector.As far as the Yachting and Contract sectors are concerned, the certifications of the sector are fundamentally important, as is the ability to offer a comprehensive, rapid and prompt service (as early as the sampling phase).
characteristics of the market
Direct contact:
• with Key Customers and customers benefiting from the tailor made offer• with Contract customers (public areas, hotels, etc.) • with architecture and design firms and with contractors requiring a tailor made offer.
Indirect contact:
• with distributors for smaller or retail customers.
Management approach
Alcantara S.p.A. works in partnership with major customers, from the production of furniture to its distribution to the points of sale, communicating the characteristics of the product to the end customer in a joint and targeted way.For the Yachting and Contract sectors, Alcantara materials are tested and approved on the basis of the legislation in force in each individual country. Compliance with the aviation standards (JAR FAR) has enabled Alcantara to enter the aviation market.In the child safety seat segment, tests have been carried out in collaboration with partners and, in some markets, studies have been conducted on ideas and methods for launching the Alcantara brand as an added value in this particularly critical application.
Advantages of Alcantara
50 51
inTerior, conTrAcT & YATching
intErior
Alcantara S.p.A.’s customers in the interior, contract and yachting sectors are, on the one hand, leading furniture manufacturers and, on the other, distributors operating in countries with a high or potentially high market. Contract customers (public areas, hotels, etc.) also include architecture and design firms and specialized companies (contractors). The customers in the yachting sector are both ship builders for large ships, who work in close collaboration with specialized architecture and design firms and ship fitters, and the leading brands for the production of yachts.
— Interior, Contract & Yachting customers
S-C
hair,
Cap
pelli
ni
In 2012 Alcantara S.p.A. continued to develop projects in co-creation with some important customers, in particular, it: • presented the new SLIm 0.6, a product with a thickness of 0.6 mm;• started to collaborate significantly in the jewellery sector.
Co-creation projects are activated on foot of research conducted by the fashion division. Scouting is performed on emerging brands in the fashion sector, by analysing:• the main international competitions for emerging young designers;• the calendars of the most important fashion weeks;• the leading fashion magazines;• the most popular fashion sites/blogs;• presence in the leading concept stores throughout the world.The young designers to be offered collaboration proposals are selected on the basis of the results of the research.
The main end market is Europe, in particular Italy, France, Spain, Austria and Great Britain. China is also starting to become an interesting market, due to the delocalization process taking place in the fashion sector.Clothing continues to be the leading sector, accounting for 69% of the total, however the accessory business is the sector growing the most rapidly with an increase of 45%. In 2012, the fashion sector had over 800 customers operating mainly in high-end fashion.
characteristics of the market
In the fashion industry, Alcantara distinguishes itself for its attention to detail, the exclusive textures and performance (washability, breathability and durability).Alongside these tangible features is the possibility of customizing the material through printing, drilling, embossing, laser cutting, resin coating and many other processes, which offer countless customization options, as demonstrated by the recent projects undertaken in collaboration with important emerging designers present at the shows of the leading world fashion weeks.The aforesaid elements are supplemented with the value of the Alcantara brand, recognised and appreciated by the leading luxury brands because of the value it adds to their finished products.
Advantages of Alcantara
Direct contact:
• with all the main fashion & accessory brands
Indirect contact:
• through a network of agents operating on the main markets
Management approach
fAShion & AccESSoriES
Customers in the Fashion division are the leading European fashion companies operating in the luxury segment. In 2012, in particular, Alcantara S.p.A. recorded a marked increase in volume in high-end fashion (+55%).
— Fashion & Accessories customers
52 53
Elli
ot A
tkin
son
56 57
The collection of finished products called A di Alcantara®
represents a new pathway for aesthetic research, in line with technological innovation and in respect of environmental sustainability, capable of realizing the potential of the material and establishing Alcantara S.p.A. as a preferential partner in the fashion and design world.A di Alcantara® customers are concept stores and multibrand boutiques at the high to very high end of the market.
A Di ALcAntArA® —
The main end market in terms of points of sale acquired is Italy: A di Alcantara®
is also present in japan, Kuwait, USA and Hong Kong. In line with
the concentration of consumption and evolution of the market, the
development targets are China, japan, Korea, North America and the
Middle East. In 2012 A di Alcantara® laid the foundations for developing tailor made and limited edition projects for leading international customers.
Alcantara can be used to design collections that combine creativeness, imagination, beauty and versatility, using technologies that are not typical of the accessory market and in line with the consolidated trend of a fashion sector that is increasingly aware of ethical and environmental sustainability issues. The sales objectives of A di Alcantara® are pursued both through direct contact with selected concept stores and indirectly through multibrand show rooms.
Suppliers that develop and produce finished products for A di Alcantara®
operate exclusively in Italy and, more specifically, near Florence and milan. They have signed a commitment to meet SA8000® requirements and will be subjected to audits in accordance with the audit plan developed for 2013.
mac
rom
onst
er &
mic
rom
usic
, ins
talla
tion
The end market is global; Alcantara products are typically accessories with a prestigious design or functional components with a high aesthetic impact. Alcantara products are distributed through premium shops or high-range chains.
The features appreciated the most by the market are the aesthetic and functional versatility of the material and the ability to adapt to extremely sophisticated transformation technologies typical of the sector, qualities that make Alcantara particularly suitable for products with a high design content.Another distinguishing feature of Alcantara is the ability to develop both basic materials and related stylistic aspects and finished products. Alcantara S.p.A.’s “made in Italy” trademark and marked sensitivity to sustainability issues complete the advantages perceived by the market.
Direct contact:
• with all leading OEms (Original Equipment manufacturers)in the sector and specific accessory manufacturers.
consUMereLecTronics
58 59
Advantages of Alcantara
Management approach
characteristics of the market
conSUMEr ELEctronicS
Customers in the Consumer Electronics division are the principal global Original Equipment manufacturers (OEm) that operate in the mobile, audio, video and camera sectors and the leading manufacturers of accessories specific to the sector.
— Consumer Electronics customers
60 61
Every yearAlcantara S.p.A. invests
between 3% and 5% of its turnover
in research and boasts a Research Centre among
the most advanced in Europe, devoted to the
development and continuous improvement
of its own type of products and
processes. This choice constitutes one of the
company’s strong points and is determined by its
awareness that continuous
experimentation and renewal are the only way
of staying at the forefront
and meeting future market needs.
The Research Centre includes, as an
integral part of it, the modern Application
Development Centre (CSA) whose activity
is centred on the operating performance of the product and the
application technologies used at the main
customers’ sites in order to provide customized
solutions.
In line with its policy, the development of new products for Alcantara S.p.A. is closely linked to social, economic and environmental performance. The innovation generated by sustainability affects the production facilities, the product, the process, procurement, logistics and communication, thus creating an authentic business model.
It is for this reason that the Research and Development Department is constantly committed, on the one hand, to the discovery of processes and products suitable for the market (on proposal offer), and, on the other, to the search for solutions aimed at the customer (on demand in accordance with a customer brief), which are consistent with Alcantara S.p.A.’s sustainability policy. To this aim, it uses the skills and work of the Application Development Centre and Stylistic Development group.
The company organization was modified in 2012, integrating Research and Development in the Company Department that is responsible for the technical interface with the customer, Style and business development, in order to ensure increasingly effective support for the company’s innovation activities.
Within the Research and Development department, the Customer Innovation Centre is entirely dedicated to assessing the performance of the material and the development of new technologies and machining processes at the request of its partner customers. Through the Application Development Centre, Alcantara S.p.A. can modify the characteristics of the material and provide ad hoc application solutions as it has in-house prototyping skills capable of providing customers with an immediate response to their development needs.
— 4.4 Research Centre and new products
Alcantara S.p.A. continues its commitment to innovation and customization of its offer through:
• consolidation of the new products and technologies developed in the last five-year period;• addition of new-generation products.
In particular, the main novelties introduced on the market in 2012 were:
• a new product to be applied to covers and cases designed for the consumer electronics sector, based on an original technology for which a patent application for an industrial invention was filed in 2012;• the new “SLIm” product for the fashion sector, a solution ideal for use as “patches” and inserts in the clothing industry;• new-generation products available for all market sectors;• completion of its three-year research programme entitled “research and precompetitive development activities for the design of new high-performance products for the car interior sector”, which resulted in an improvement in durability, resistance to light and shapability;• a new low-emission flameproof product;• Alcantara® EXO: developed for “outdoor” applications and expressly designed for the yachting sector in 2011, in 2012 it was introduced in the motorcycle and outdoor furniture sectors.
A new product with a high application performance for the one-shot thermoforming of large parts and complex shapes in the car interior sector is at an advanced stage of development.
NEWS
NEWS
In order to achieve this balance and satisfy the increasingly demanding ethical, social and environmental needs, Alcantara S.p.A. has set up a voluntary path of sustainable development the results of which, in terms of continuous improvement, enable it to offer a safe product that respects the environment.
Alcantara is the first fully sustainable made
in Italy trademark. To Alcantara
made in Italy means quality, respect of the
strictest standards, avant-garde
technology and attention to style;
sustainable means respect of the
economic, social and environmental
balance.
— 4.3 Product sustainability and safety
in particular, Alcantara s.p.A.’s offer has the following strong points:
• since 2011, Alcantara has been Carbon Neutral “from cradle to grave”;
• since 2009, Alcantara has been Carbon Neutral “from cradle to gate”;
• since 2013, steam and energy produced by a new-generation
cogeneration plant;
• since 2008, all its electricity has been taken from renewable sources;
• Alcantara is easy to clean and scratch-proof (easy-care and self-care);
• Alcantara is available in variants that use up to 25% (weight value)
of raw materials from post-consumption recycling;
• the production process uses exclusively raw materials authorized
by the strictest community standards (REACh);
• Alcantara meets the customers’ supply specifications
and has the certifications required by the reference markets.
On its main markets, furniture and automotive, Alcantara S.p.A.’s sustainability offer is acknowledged by the leading and most prestigious customers, above all in terms of:
• response to some of the market needs towards products and processes with a lower environmental impact;• Alcantara S.p.A.’s success as a responsible company not only in its most direct sphere (its staff and processes) but also in corporate policy as a whole.
Alcantara S.p.A. takes care to guarantee the health and safety of its consumers and provides accurate information on the labelling of its products. In particular, the oeko-Tex label of Alcantara ensures that there are no health risks for the end customers, in conformance with the provisions laid down by the Oeko-Tex Standard 100 (see paragraph 1.6). In accordance with the company procedures, before each new product is put on the market, the specific risks associated with it are assessed by a management committee.
During the contract phase, Alcantara S.p.A. gives the customer all the necessary information about its products and labelling (composition, washing instructions, care and maintenance, abrasive strength, etc.) and the training necessary to use the material correctly.
— 4.5 Satisfaction, dialogue and communication
Alcantara S.p.A. is strongly oriented
towards customer satisfaction and
measures this satisfaction by listening
to and communicating with the customer
through the area managers, project
managers and persons responsible for the
stylistic development of the product.
Two main activities are carried out in this context: • technical meetings with a view to identifying the product or application requirements in order to develop tailor made solutions;• style meetings that start with the presentation of ideas and materials and then, on the basis of specific needs, lead to the development of tailor-made solutions. Dialogue gives rise to a continuous improvement of the procedures, interfaces and response times.
Quality system Alcantara S.p.A. guarantees the quality of its products through numerous certifications (see paragraph 1.6). From the operational point of view, all the phases of the customer relationships are described in the Quality manual developed in accordance with the UNI EN ISO 9001:2008 standard.
Every year, Alcantara S.p.A. conducts a critical internal analysis (Customer Satisfaction Review) designed on the basis of the “customer-supplier” model, in which the area managers and project managers act as spokesmen towards the company.
on time shipment(% on Total shipment)
100
99.5
99
98
97
98.5
98.5
2008
99.05
2009
99.48
2010
99.55
2011 2012 F2013
99.31 99.36
99.00
Within the scope of the Customer Satisfaction Review, the customer satisfaction is measured through three indicators:• level of service to the customer (On Time Shipment);• reports of “non-quality” by customers; • overall rating (feed-back from customers only adopted by some OEm - Original Equipment manufacturers) completed or replaced by a qualitative analysis of the events that led to the customers’ dissatisfaction (TGW Analysis – Things Gone Wrong Analysis), particularly useful for identifying continuous improvement activities in a setting of innovation and, in particular, the tailor made offer.
In 2012 the Customer Satisfaction indicators revealed further improvement with respect to 2011.
In terms of “non-quality” reports, the complaints received from the customers represented only a small percentage of the total sales and a further improvement with respect to previous years.
Alcantara S.p.A. is also willing to subject its Quality management System to periodic audits by customers and/or system suppliers, typically in the automotive industry. The feed-back received and the direct audits conducted by customers (mainly System Suppliers in the car industry) gave positive overall assessments, confirming Alcantara S.p.A.’s classification as a “Class A – A/B Preferred Supplier” also in 2012.
improvement non-processed goods complaints (% of total sales)
0
0.05
0.1
0.15
0.2
0.25
0.3
0.35
2008
0.29
2010
0.15
2009
0.16
2011 2012 F2013
F2013
0.15
0.08
0.15
0
0.05
0.1
0.15
0.2
0.25
0.35
0.3
0.4
0.45
2008
0.42
2010
0.17
2009
0.24
2011 2012
0.090.07
0.2
62 63
improvement processed goods complaints (% of total sales)
—
Alcantara exhibits at milano Unica (in milan in February and September) and Première Vision (in Paris in February and September), as well as at the stand of its distributor during the munich Fabric Start fair.
Alcantara is shown in the interiors of cars present at the main car shows, from Geneva to Paris, from the Bologna motor Show to the Los Angeles and Beijing shows.
During the milan Furniture Show, Alcantara S.p.A. takes part in the FuoriSalone in the Tortona area, staging an ad hoc project on the sustainability theme; “The future landscape” design was presented on this occasion.
Participation in fairs and shows in 2012
Chiana brand awareness project
Japan brand awareness project
U.S.A. brand awareness project
coMMUnicAtion AnD EVEntS
In its daily marketing relations with key customers, Alcantara S.p.A. educates the customer and his sales force to communicate the material correctly, using a series of tools (Alcantara vocabulary, colour palettes and technical data sheets, special leaflets as in the case of sustainability) and, in the furniture sector, by checking if the points of sale convey the right messages through mystery shopping activities. The main means of communication used by Alcantara S.p.A. towards its own customers are participation in events and trade fairs, articles and advertisements in the major media outlets – on a local, national and international level – the web site, the Facebook and Twitter pages and the Chinese social media (see paragraph 5.3).
2012 saw Alcantara S.p.A. further consolidate brand awareness in China further through a series of important activities carried out during the year. - April, Shanghai: corporate event at the Yongfoo Elite;- April, Beijing: participation in partnerships with Ultimamedia at the Interior motives China Conference, where the company also held a special workshop;- June, Shanghai: participation in the Ferrari Racing Days with the fitting out of a lounge;- may to December: participation with a corner dedicated to the “Ferrari Road Show_20 years of Ferrari in China”, with stops in 10 cities;- from September to October, Beijing: participation in the Beijing Design Week with A di Alcantara® objects on show at the “Design Time” show.
2012 saw the opening of a dedicated press office and the involvement of Alcantara S.p.A. in the Ferrari Racing Days in Suzuka in march.
In 2012 a relationship of collaboration with a press office for the automotive sector was established. Alcantara S.p.A. also took part in the Ward’s Interiors Conference in Detroit in march and organized a “Corporate” dinner event in Los Angeles during the Auto Show in November.
Communication of the values of the
product and the Alcantara brand lies at the centre of
the collaboration with customers/partners.
The company’s distribution contracts
include a section specifically dedicated
to this topic.
Alcantara S.p.A. takes part in events and activities in several fields. It has always been sensitive to the art world and, in 2012, was again present at the mint in milan, an international ancient and contemporary art show, fitting out the lounge area and covering with Alcantara material the press areas.
64 65
NEWS
66
Support technical-stylistic development for new business sectors (consumer
electronics and proprietary collection).
Conduct research to develop new products.
Automotive division: develop business and brand
awareness in the USA, China, Japan and Korea
Fashion division: • improve sales management
in the luxury segment; • identify young emerging
designers to collaborate with; • increase the possibility of using
Alcantara for entire clothing articles/accessories through the
development of a proprietary collection.
Assess the start-up and development of the A di Alcantara® collection on an
international level.
• Presented the Alcantara business model to the main consumer electronics accessory manufacturers and undertook product/colour and/or global service projects from the design stage to the production of the customer’s finished product;• completed important product/colour projects and started sourcing supplies to produce consumer electronics accessories of leading global OEms;• used materials in the Fashion collection to develop some A di Alcantara® products and for electronic goods;• acquired the skills necessary to produce various types of finished products. Created a supply chain for handling finished products so as to be able to provide customers with a global service (from idea/creation to delivery).
For the automotive and interior sectors, in 2012, we put new products on the market and consolidated the offer for products launched in 2011.In 2012 we introduced the new product with a thickness of 0.6 mm for the fashion market. We produced new diversified surfaces within the scope of stylistic concept books.
USA: we offered the Alcantara tailor-made products to leading car manufacturers for their high-range lines so as to ensure increasingly innovative solutions for the end customers.ChINA: the approach to the market saw the involvement of new customers and, in particular, projects were undertaken with U.S. partners.JAPAN: during the second part of the year, the presentation of Alcantara S.p.A.’s new approach to all manufacturers was completed.
• The luxury-premium segment grew by over 55% and now represents 48% of the Fashion total;• the number of collaboration agreements with young designersin Europe and China increased;• Alcantara was used by new customers to produce complete outfits for both men and women
In 2012 we produced two collections and acquired 18 customers. Besides Italy, the A di Alcantara® trademark is now present in five different countries overseas.
— 4.6 Improvement objectives
67
Improvement objectives in the management of relations with customers
• Communicate the sustainability of the product more clearly;
• increase/extend Brand Awareness to new markets and consolidate it on the existing ones;
• develop the various sectors: automotive - fashion - consumer electronics;
• ssupport the development of business through scouting and thepreparation of products and applications for new fields of application;
• consolidate the development of technical and stylistic tailoring;
• communicate directly with the end customer on an international level.
WhAT We DiD in 2012
WhAT We sAiD We WoULD Do
WhAT We DiD in 2012
WhAT We sAiD We WoULD Do
69
05— Highlight
• 73,000 € allocated to gifts and associations;
• collaboration with four new press offices;
• opening of the Twitter profile and three Chinese social media.
Significant facts and events
• Collaboration with: Chemistry and Industrial Engineering Department
of the University of Salerno, CNR - ICTmP of Catania, Politecnico of milan,
Industrial Engineering Department of the University of Perugia, the La Sapienza
University of Rome, European Design Institute in milan, National XXI Century
Art museum, AltaRoma;
• 2012 solidarity events: “Convivio” and “Il bello che fa bene”.
SOCIAL SUSTAINABILITY: community
— 5.1 Policy in relations with the communities
Alcantara S.p.A. has always taken care to dialogue responsibly and continuatively
with the community on the basis of criteria of transparency and fairness, and to spread
its sensitivity to sustainable business and community development, encouraging the collaboration
of local communities in reaching this ambitious objective.
The “Community” structure of Alcantara S.p.A. is made up as follows:
• at the milan office: local associations (National Chamber of Italian Fashion, material Connexion), trade associations, the world of the press and media in general. Alcantara S.p.A. also collaborates actively with university institutions such as the IED (European Design Institute) and the Politecnico of milan.
Through communication with the end customer, the company speaks mainly to “design lovers” that choose the material to cover the objects they keep close at hand in everyday life, while communication with professionals puts the company in contact with designers, project leaders and all those who use Alcantara in their own creations.
• at the Production Plant and Research Centre in Nera montoro: Alcantara S.p.A. dialogues with the institutions and develops initiatives with a view to supporting the local community. The company represents a major actor deeply rooted in the area and a point of reference for many workers and families.
The communities where the energy generation from renewable sources projects is located are also influenced indirectly.In fact, to offset the CO2
emissions produced by the company, in 2012 it financed 3 additional projects which, under the protection of the UN, help to improve the conditions of the Earth from the economic, social and environmental points of view. After Thailand, China and Brazil, projects were financed this year in Kenya, Vietnam and China. These projects concern plants that generate energy from renewable sources, in line with the company’s choice to use exclusively this type of energy for its production activities. For further details, see the description of the projects on paragraph 6.6.
These initiatives bring benefit to the community in terms of use of the service (e.g. lounge areas) and sensitivity to sustainable development.
Alcantara S.p.A. took part in the “Convivio” event, making an economic contribution to the ANLAIDS association and donating objects for the auction and charity sale.
Alcantara S.p.A. took part in the “Il Bello che fa Bene” event, an auction to support the sponsorship of deprived children organized by the Ai.Bi. – Amici dei Bambini association.
June 2012
november 2012
Alcantara S.p.A. takes part in events and activities in several different fields,
mainly by supplying furniture for communal areas and providing bags
and other gadgets for the press kits of their customers and partners.
SponSorinG AnD GiftS—
In 2012, the collaboration
relationships in the field of university
research continued.
— 5.2 Research, creativeness and innovation
SHAPE YOUR LIFE!
In 2012 the collaboration between Alcantara S.p.A. and mAXXI, the National XXI Century Art museum, continued with the organization of a show running from 30th October – 18th November 2012.
The eight designers involved interpreted the characteristics of Alcantara, each one for the field assigned, offering their own creative project for a modern-day living environment: the interiors of a car, the seat of a public transport vehicle, a work desk, a meeting room, a work station of a bar or restaurant, a cinema seat, a deck chair and a park bench. The designers were: Sebastian herkner (Germany), Lanzavecchia + Way (Italy & Singapore), mischer’Traxler (Austria), Society of Architecture (Korea), matteo Zorzenoni (Italy), Vittorio Venezia (Italy), paradisiartificiali (Italy) and mana Bernardes (Brazil).
more in detail:
• laying of the foundations of the “hydra” project to integrate electronics in flexible substrates. The project involves numerous industrial and academic partners and will be presented as part of the 7th Framework Programme of the European Union;
• specialist analytical support for the Departments of Chemistry and Industrial Engineering of the University of Salerno, the CNR - ICTmP of Catania and the Politecnico of milano;
• collaboration with the Department of Industrial Engineering of the University of Perugia, start of feasibility assessment of a medium-term study project for the production of polyurethane nanocompounds;
• collaboration with the Politecnico of milano and the La Sapienza University in Roma for training in Industrial Design.
In some cases considered of particular interest, the company supports talented students (Great Britain and United States) in the fields of fashion or interior design by supplying them with free samples of Alcantara.
70 71
Who iS on nEXt?
Alcantara S.p.A. also played a leading role in “Who is on Next?”, a project conceived and
implemented by Alta Roma in collaboration with Vogue Italia to promote young emerging
fashion designers. The Alcantara creations were shown on the collective catwalk of AltaRoma
in July and were worn at the Gala Dinner that closed the event. The protagonists of the
2012 edition were mARCOBOLOGNA by marco Giugliano and Nicolò Bologna, San Andres
by Andres Caballero, Barbara Casasola, mario Chiarella, Koonhor by Koon Lim and Catrine
The, Suzanne Susceptible by Cha Soo Jung, Alessia Xoccato, Benedetta Bruzziches, Charline
De Luca by Carlotta De Luca, Giancarlo Petriglia, Conspiracy by Gianluca Tamburini
and Zanchetti by Giacomo Zanchetti.
—
7372
Suza
nne
Susc
eptib
le
Ric
ostr
u
Improvement objectives in relations with the community
• Periodically monitor existing stakeholder engagement activities;• develop sustainability communication and interaction with the stakeholders, including via the web;• develop relations with organizations and associations based on absolute transparency and in line with the ethical principles of Alcantara S.p.A.;• launch “special projects” with a high media impact (support for emerging designers, show cars, limited series);• make Alcantara S.p.A. “a global company in the green heart of Italy”.
Consolidate and develop relations with public bodies and institutions
to favour the sustainability of the area and the company.
Assess and sustain new initiatives involving young emerging designers.
Further develop digital communication channels and interaction
with the stakeholders through the potential of the web.
meeting with the ministerial task force, with provincial and municipal institutions and other local authorities.
In 2012 we renewed our collaboration with Vogue Italia and Altamoda AltaRoma for the Who Is On Next? competition; we consolidated and started new working relationships with young emerging designers; the A di Alcantara® collection was designed by four emerging talents in line with the commitment to sustain creativeness at all levels.
In 2012, we opened three new Chinese social media channels and a Twitter profile; Alcantara S.p.A. undertook to continuously and constantly update the Chinese and Western social media by uploading news on the material and articles produced for events and joint projects.
— 5.4 Improvement objectives
75
— 5.3 Media relations
Alcantara S.p.A. speaks with the principal media
outlets to notify the stakeholders
of the initiatives taken, the innovations
made and to provide all of the information necessary to perceive the company and the
brand in the correct way. The means
of communication chosen concern mainly
printed media (daily, weekly and monthly
newspapers and magazines
in the interior, car, fashion and general
lifestyle sectors) and the web (specialized sites and portals for
professionals through banners, buttons,
ad hoc articles and advertisements
on the basis of the topic proposed).
In 2012 Alcantara S.p.A. started collaborating with four new press offices: one in Japan, one in the United States, one in France for the automotive sector and one in Italy for the fashion and accessories sector.Through the public relations agencies, in 2012 the company issued 63 press releases:
- 24 in Italy; - 9 in Japan;- 8 in the United States;- 8 in Germany;- 8 in France;- 6 in China.
Four press conferences were organized together with prestigious partners with whom the company has been working for some time. The complete set of communication activities amounted to media coverage of 5,150 articles (on-line and off-line) on all the leading newspapers across the world.
In addition, in 2012 the company set up a new website www.adialcantara.com dedicated to the collections of A di Alcantara® finished products and projects undertaken with the collaboration of emerging young fashion designers.
In 2012 the www.adialcantara.com site received 189,712 visits in all, with a total of 164,455 unique visitors. In addition to already existing social channels (Facebook and YouTube), the company set up official Alcantara profiles on Twitter and three Chinese social media Weibo, Tudou and Kaixin.
The press is monitored periodically through a digital press review service that detects and enhances all coverage of Alcantara. The contacts with the Italian and international press are maintained by Alcantara S.p.A. both directly and indirectly through specialized press offices.
The relationship with the press is continuous: on the one hand, press releases and press kits are produced for fairs, events and major innovative projects and, on the other, the company answers and fulfils the requests of the journalists for information, interviews and samples of material for the press services. In addition, on the most important occasions of communication for the company and the brand (such as the Furniture Show), more specifically targeted activities such as press-days and one-to-one appointments are organized. 74
NEWS
NEWS
WhAT We DiD in 2012
WhAT We sAiD We WoULD Do
06
77
ENVIRONmENTAL SUSTAINABILITY— Highlight
Trend of consumption with respect to an increase in production volume of over 14.7%:
• water consumption: -10%;• CO
2 emissions in the atmosphere: +9.7%;• energy consumption: +10%.
Significant facts and events
• We started work two months in advance
on the new high-Performance Cogeneration to supply steam
and electricity with operations commencing on 1st January 2013;
• white certificates sold due to the installation
of the new air compression system for about 38,000 €;
• the CO2 emissions deriving from the production process
were offset with an investment of 109,000 €.
The main types of environmental impact are correlated with the use of energy (taken from renewable sources), the storage and use of chemicals, atmospheric emissions, drainage into the river, waste production and management, the usage cycle of solvents, the use of natural resources and noise emissions.
PROCESS BY-PRODUCT
The integrated-cycle production of the product takes place at the Production Plant and Research Centre in Nera montoro, in the province of Terni.
The Alcantara S.p.A. production process starts with two polymers from which the fi nished product is obtained through a series of phases.
The material undergoes fi nal transformation treatments according to the type of application for which it is to be used.
6.2 Environmental impacts of Alcantara S.p.A.
—
RAW MATERIAlSENERGYWATER
ALCANTARA® PRODUCTION
SPINNING
FELT
GREIGE
DYEING
FINISHING
ALCARENE®
ALCANOL®
WASTEWATERWASTE
FINISHED PRODUCT
79
Alcantara S.p.A. has a Safety and
Environment Policy that indicates the principles
on which all the activities are based, the management approach
and operational responsibilities.
The company actively undertakes to eliminate
and minimize the impact
of its processes and products on
the environment through a series
of actions that concern:
• improvement in environmental effi ciency and minimization of the environmental impact produced;• constant training and briefi ng on major environmental issues;• stimulation of awareness and communication activities outside the company.
The attention paid by Alcantara S.p.A. to environmental issues is witnessed by the signifi cant awards received:
• since 2000, certifi cation of the Environment management System in accordance with the UNI EN ISO 14001:2004 standard, renewed in July 2010, which enables the impacts of the activities carried out during the phases of production to be kept permanently under control;• Integrated Environmental Authorization (IEA - IPPC Directive) valid until 2013, which has grouped in a single authorization all the previous authorizations on atmospheric emissions, wastewater and solid waste management following a regional service conference. The competent authority (ARPA) conducts periodic audits and tests on the plant to assess satisfaction of the requirements and the improvement obtained. The Authorization lays down that all investments, particularly those with an environmental impact, are to be checked and approved by the competent authorities (Province of Terni, ARPA, Regional authority, Local health Authority, etc.), before they are implemented.
6.1 Environmental policy and management system
—
78
In accordance with the provisions laid down in the certifi ed Environment management System, Alcantara S.p.A. has identifi ed all the signifi cant environmental interaction parameters concerning atmospheric emissions, the drainage of wastewater, noise pollution, solid waste, energy, water resources, soil and subsoil protection.
These parameters are constantly monitored and assessed within the scope of the management Review laid down by the system.
81
Alcantara S.p.A.’s production process makes exclusive use of raw materials authorized by the strictest community standards. The potentially critical environmental and safety issues of all new products are assessed by means of an internal Product Safety procedure that involves all company departments.
The results of the assessments are examined by management before the marketing authorization is granted.
Alcantara S.p.A. is also committed to reducing the impact of substances not
Alcantara S.p.A. regularly pays the environmental contribution for the CONAI (National Packaging Consortium) through national packaging material suppliers that expressly indicate the amount due on the invoice. Alcantara S.p.A. pays this contribution together with the amount for the materials and through quarterly declarations for the importation of full packages on any debit in steel, wood, paper and plastic.The company’s product portfolio includes a variant of the Alcantara® product for car seats, made using 25% in weight of post-consumption recycled raw materials. This variant accounts for 0.35% of the number of metres of the entire production, thus increasing the percentage of recycled product to 0.11% of the total number of metres produced.
The percentages declared in the table are calculated with respect to the raw materials actually used in production.
The table shows a general decrease in the specific consumption values of raw materials due to an increase in production and higher yields. In some cases, the increased specific consumption for 2012 is associated principally with the company decision to increase the strategic stock of the raw material.In addition, with a view to reducing the impact of transport and also for marketing or REACh cost reasons, the possibility of supplying PhC and PET from European suppliers has been added.Two materials (by-products), whose quality is not sufficient for the production of Alcantara, result from the production process: they are thus put on the market as raw materials and used in other
6.3 Use of raw materials—
production processes by third-party companies that obtain an equivalent net saving in raw material. These by-products are:- Alcarene®: thermoplastic polymer for injection moulding;- Alcanol®: vinyl adhesive for the paper-making industry.
Other by-products, called textile scrap, are also produced during the various phases of the process. They are used in other industrial sectors in place of virgin raw materials.
80
used in the production process but present in technological installations, such as CFC in the chilled water conditioning and production systems.
All auxiliary raw materials, such as some of the thermoplastic polymers and sizes used, are treated on the site, recovered and reused in the production cycle or allocated to other industrial uses. In addition, the solvents used for production are regenerated and reused several times in the production process. All emissions and discharges are treated on the plant.
MATERIAl USED PER lINEAR METRE OF AlCANTARA PRODUCT
Unit of measurement
2010 2011 2012
Liquid nitrogen g/m 0.61 0.62 0.56
Thermoplastic polymers g/m 681.40 958.57 910.70
Colorants and auxiliary agents g/m 428.55 455.88 378.20
Packaging g/m 119.71 120.12 112.62
Textile media g/m 195.17 107.67 68.05
Raw materials for polyurethane g/m 218.27 227.07 235.91
Glues and sizes g/m 156.06 187.06 173.36
Auxiliary post-treatment agents g/m 123.49 163.48 106.89
Solvents g/m 23.97 38.03 52.56
Abrasive paper g/m 1.56 1.60 1.62
Steel g/m 0.11 0.39 0.25
bY-PRODUCTS PUT ON THE MARKET
UM 2009 2010 2011 2012
Alcanol®
Quantity recovered Kg 265,352 336,711 406,806 453,577
Percentage recovered % 89% 89% 86% 85%
Alcarene®
Quantity recovered Kg 501,733 666,043 780,474 919,413
Percentage recovered % 90% 100% 88% 89.1%
Alk-Fill Fi and Alk-Fill Fe (textile scrap)
Quantity recovered Kg 320,000 55,860 69,020 88,380
this increased production flexibility did not facilitate line operation planning on the basis of the criteria for reducing energy consumption.Despite these difficulties, in 2012 a reduction in specific energy consumption was recorded with respect to 2011, as can be seen in the table below.
The reduction in Alcantara S.p.A.’s energy requirement is due to its constant commitment to optimizing its processes and production plants, which may be divided into the following main stages:• from 1998 to 2002, total renewal of its plants;• in 2000, establishment of a partnership with a local manufacturer for the exclusive procurement of steam from a cogeneration plant;• as of 2008: exclusive purchase of energy from renewable sources;• in 2010, new investments were made with a view to further reducing energy consumption, in particular, the plant’s electricity consumption through:
° the installation of new dyeing and laminating lines with a lower energy impact;
° the replacement of the air compressors and refrigerator units for the production of chilled water with new generation machines with a low energy impact.
83
Since 1st july 2008, Alcantara S.p.A.’s energy comes entirely
from renewable sources.RECS (Renewable Energy
Certificate System) certificates were purchased for an amount of 31,795 shares,
equivalent to the annual consumption of the two sites.
The balance between the energy procured and the certificates
purchased has been certified by TÜV SÜD.For the year 2012, all electricity was
procured from the hydroelectric power plant of Salisano in the province of Rieti.
6.4 Energy requirement and saving—
In the marketing and administration departments of the milan office, natural gas is used for heating and electricity for normal office activities, air-conditioning and operating the boiler.
At the production site in Nera montoro, use is made of:• natural gas, for direct heating and the production of steam at 6 bars, as well as the canteen;• steam, taken until November 2012 from a distribution network fed by an external cogeneration plant owned and managed by third parties. As of November 2012, the current supply has been supplemented with the supply of steam at a pressure of 6 bars from the start-up tests on the new Gas Turbine Cogeneration plant situated on the production plant. The plant is managed by the company Esco Cofely, to which Alcantara will pay a monthly bill according to the amount of steam
consumed;• electricity, mainly used for the production process, taken in part from the Italian high-voltage electricity network (132KV) and in part generated in the turbine through the reduction in pressure of the steam. As of November 2012, the current supply has been supplemented with the supply of energy from the start-up tests on the new Gas Turbine Cogeneration plant situated on the production plant. As of 2013, the entire energy requirement will be satisfied by the aforesaid plant. The energy peaks exceeding the capacity of the new plant will be provided by the external network. Alcantara S.p.A. will pay Cofely a monthly bill as a function of the energy consumed, including the energy taken from the network.In 2012, in order to meet, above all, the orders coming from the electronics sector, the production trend was characterized by a marked variation in weekly production;
82
In 2012, the efficiency of the production of the gas turbine, through the operations performed in 2010, was confirmed. In the table below, the steam value does not include the small amount coming from the start-up tests on the New Gas Turbine plant and the emergency boilers, because it is not processed by the steam turbine as it is at a low pressure.
consumption 2010 2011 2012
steam (kg/m) 89.12 79.20 77.50
electricity (kwh/m) 19.32 15.53 14.53
ENERGY CONSUMPTION UM 2010 2011 2012
Milan
Natural gas TJ 2.4132 1.6437 0.6802
Electricity TJ 1.853 1.799 1.5938
nera Montoro
Natural gas TJ 23.8752 34.8908 36.0595
Purchased electricity TJ 127.262 113.112 112.867
Self-generated electricity (net of the amount sold on the network)
TJ 31.226 45.408 58.155
Steam TJ 628.576 694.101 780.359
overall total (all sources) TJ 815.2059 890.9535 989.716
Total natural gas TJ 26.2885 36.5345 36.740
Percentage use of natural gasout of total
TJ 3.22% 4.10% 3.712%
HIGH PRESSURE
STEAM CONSUMPTION
TURbINE PRODUCTION
SPECIFIC ElECTRICITY
PRODUCTION Kwh/T
2010 202,763 8,673,840 43
2011 224,362 12,613,200 56
2012 241,890 12,952,560 54
Ton co2 2011 Ton co2 2012 % 2012
scope 1 total 1,965 2,034 9.05%
scope 2 total – indirect emissions associated with the generation of purchased electricity and steam
251 265 1.18%
Raw material total 14,773 14,888 66.24%
Waste transport and disposal 89 -277 -1.23%
Transport of finished products 898 3,343 14.87%
Packaging and use 2,318 1,841 8.19%
End of life 342 383 1.71%
scope 3 total – indirect emissions
18,421 20,178 89.77%
ToTAL 20,636 22,477 100%
The total amount of emissions is higher than in 2011 for the following reasons:• increase in production volumes;• increase in the stock of strategic raw materials to cover the increase in production volumes. With regard to this, it is pointed out that, to ensure consistency with previous inventories and the allocation of emissions over the reference period, the calculation of the emission inventory considers the raw materials purchased during the year and not those actually used in production;• second year since the switch from a “cradle to gate” inventory to a “cradle to grave” inventory through the estimation of the emissions associated with the use and the end of the life of the product.
85
6.5 Atmospheric emissions
nEW coGEnErAtion pLAnt
—
Ton co2 2011 Ton co2 2012
scope 1 total - direct emissions 2,078 2,207
Electricity 12,880 12,829
Steam 117 132
RECS reductions 12,880 12,829
Electricity from renewable source 136 135
scope 2 total – indirect emissions associated with the generation of purchased electricity and steam
253 267
scope 3 total – indirect emissions 973 1,317
ToTAL 3,304 3,791
RESUlTS OF THE “CORPORATE” INVENTORY: PERCENTAGE PER TYPE OF EMISSION
The life cycle analysis of the production process (Streamlined Life Cycle Assessment) revealed virtually no impact in terms of the emission of ozone-depleting substances.
The assessment was confirmed by the analysis of the life cycle of the product “from cradle to grave” conducted for the first time in 2011.
In 2012, Alcantara S.p.A. thus drew up:
• a report on the emissions of the greenhouse gases (GhG) defined “Corporate” in the directives of the UNI ISO 14064-1 standard and the Corporate Accounting and Reporting Standard of the Greenhouse Gas Protocol. The operational limits include all direct emissions (Scope 1) and the indirect emissions associated with the generation of electricity and steam purchased (Scope 2). They also include indirect emissions (Scope 3) not attributable to the product and, in particular, those resulting from the staff’s business trips and their transport to and from the workplace;• a report on the emissions of GhG attributable to the product drawn up in accordance with the directives of the UNI ISO 14064-1 standard and the Product Life Cycle Accounting and Reporting Standard of the Greenhouse Gas Protocol. The life cycle includes services, materials and energy flows that becomethe product, make the product and carry the product through its life cycle. In particular:
° “Scope 1” and “Scope 2” emissions associated with the activities of the production site in Nera montoro;
° direct and indirect activities for the production and transport of raw materials, the production and transport of the finished product to the recipients’ gates in the subsequent processing phase;
° packaging and use;
° end of life.The inventory does not include the
84
In 2012, the main energy efficiency
activity was the construction of the high-performance
cogeneration plant by the company
Cofely, which will be put into
operation on 1st
january 2013.
Due to the continuous increase in energy costs (which, in 2011, amounted to 12.5% of revenues) and following the closure of the Thermoelectric power station situated in the TIC area (which supplied steam to the plant at a favourable rate), Alcantara S.p.A. stipulated with Cofely a contract for the design, construction and operation of a cogeneration plant to supply electricity and steam.The contract includes the laying of a natural gas pipeline that carries natural gas at a high pressure to the new gas turbine on the plant.
constructionWork began on the plant at the end of December 2011 with the installation of the construction site and ended in September 2012. The start-up tests for the industrial commissioning of the plant were carried out from 29th October 2012 to 30th November 2012, while definitive operation began on 1st January 2013. In this period, the new plant supplied about 8,500 t of steam and 3,900 mwh of electricity at the price established by the new contract. The area within the plant, in the area in front of the CTE room where the plant is installed, has a surface area of about 1,700 m2. Cofely has been granted a leasehold on the area for fifteen years.
BenefitsThe effects of the high-performance Cogeneration plant are advantageous from an energy, environmental and economic perspective. With respect to the separate production of electrical and thermal energy, the new high-performance Cogeneration plant reduces energy consumption by about 4,200 tonnes of oil equivalent per year, for a production of 210,000 t/year of steam and 45,000 mwh/year of electricity.
The main factors that allowed an advantageous contractual formulation of electricity and steam prices are listed below:
- high energy efficiency due to the new-generation plants installed; - cogeneration of about 13 t/h simply recovered (cost-free steam produced fromhot fumes);- benefits due to the obtainment of white certificates;- tax relief on natural gas for plants classified as high-Performance Cogeneration plants;- tax relief on electricity for SEU (EFFICIENT USER SYSTEm) system qualification, possible due to the fact that the entire Gas turbine electricity distribution network is situated on the Production plant.
conclusionsIn summary, the advantages of this project are:
- a significant reduction of the energy bill in economic terms;- energy independence and greater procurement reliability; - no capital used to construct the plant, leaving it free for the company’s core business.
—following, as they are not attributable to the product:• the environmental impact of the production of property assets;• the commercial and administrative activities of the milan office; • the transport of employees.The direct atmospheric emissions
of reduction systems that do not contain GhG are also excluded from the inventory.
The tables below indicate the summary values of GhG emissions, certified by TÜV SÜD and expressed in tonnes of CO
2 equivalents for the year 2012.
RESUlTS OF THE “PRODUCT” INVENTORY: PERCENTAGE PER PHASE OF THE lIFE CYClE
NEWS
In some rural areas of Kenya, small and very small water fi ltration systems have been installed to supply drinking water.
environmental benefi ts Reduction in greenhouse gas emissions in the atmosphere including the supply of drinking water for the families served by these systems.
socio-economic benefi ts Employment of the local workforce, considerable reduction in disease caused by the use of untreated water, reduction in the use of wood for burning and the consequent reduction of internal pollution of rural houses and associated diseases, general improvement in the health of families with a signifi cant reduction in infant mortality, reduction of the time spent collecting wood for burning, performed principally by women and children, in favour of other family activities.
The aim of the plant called heilongjiang Wangkui 50 mW Level Biomass Cogeneration Project is to use surplus local renewable biomass residues (corn stocks, scrap wood and rice hulls) to generate electricity. The installed capacity is 30mW.
environmental benefi ts The project included the installation of a boiler, a turbine and a high-effi ciency generator. It also enabled two collecting stations to be installed near the plantations. It is estimated that the project will supply 200 GWh of electricity per year to the Northeastern network of China, consuming about 296,072 tonnes of biomass residues.
socio-economic benefi ts Employment of the local work force and increase in culture for the optimal use of energy sources and processing waste from agricultural production.
Biomassplant
in china
Drinkingwater
productionplant in kenya
87
Alcantara S.p.A.is “Carbon Neutral”, that is, it measures
and offsets 100% of its carbon dioxide
emissions attributable to the company’s activities and the
Alcantara product, from the cradle
(including the raw materials) to the grave
(the end of the life of the product including
waste management).
6.6 Total CO2 Neutralization:
“from cradle to grave”—
All the operations are certifi ed by TÜV SÜD and the second year of Product Carbon Neutrality is 2012. The total emissions to be offset comprise:- the Corporate emissions- the Scope 3 emissions attributable to the product (as the Scope 1 and 2 emissions attributable to the product are already included in the Corporate inventory).
Due to the quantifi cation of the emissions carried out in 2012 on the organization and product level, Alcantara S.p.A. can offset the residual CO
2 emissions
produced through the fi nancing of three projects, which, under the protection of the UN, help to improve the conditions of the Earth from the economic, social and environmental points of view. The cost of the operation is about 109,000 €. The table below provides a summary of the quantities of CO
2 calculated for the
offset.
The Tra Linh is a hydroelectric power plant project that comprises the construction of three hydroelectric power units on the Tra Linh torrent situated in the municipality of Tra Nam, province of Quang Nam, in Vietnam. The installed capacity of the project and the estimated annual gross power production are 7.2 mW and 29,850 mwh, respectively.
environmental benefi ts The purpose of the project is to generate electricity from renewable sources, thus reducing greenhouse gas emissions into the atmosphere.
socio-economic benefi ts Opportunity for employment of the local work force: the project contributes to the sustainable development on a local, regional and national scale based on the generation of renewable energy with negligible greeenhouse gas emissions, electricity otherwise supplied by wood-fi red fossil fuel power stations. The estimated reduction in CO
2 emissions coming
from the project is estimated at about 105,581 t CO2 in the fi rst seven years.
Use is made of high-effi ciency turbines and generators that produce energy transmitted at a high voltage to guarantee low losses. The project also has the aim of speeding up the spread of renewable energy technology in Vietnam.
hydroeletric power plant in Vietnam
These projects have enabled Alcantara S.p.A. to offset a total of 24,000 tonnes of CO
2 equivalent, which covers Corporate and
Product emissions for 201286
The projects concern plants that generate energy from renewable
sources, in line with the choice of making exclusive use of this type of energy
for all business activities.
NEWS
ToTAL 2012 corporATe eMissions To Be oFFseT (t co2)(to be adjusted with the 2012 accounts and options already paid last year)
23,968,80
2012 account (already purchased in 2012) 11,696,00
2012 option (cancelled in 2013) 10,000,00
2012 balance (to be purchased) 2,272,80
Account of 2013 Corporate emissions to be offset 1,895,36
Account of 2013 Product emissions to be offset 10,058,14
2013 Account (to be purchased in 2013) 11,953,50
2013 option (to be cancelled in 2014) 11,953,50
Total emissions to be offset 14,226,29
oFFseT proJecTs no. certifi cates
2012 account (already purchased in 2012) 11,700
SendeCO2 – Biomass - Thailand - VCS 5,000
SendeCO2 - hydropower – China - VCS 5,200
First Climate – Biomass – Brazil - VCS Social Carbon 1,500
2012 option (cancelled in 2013) 10,000
SendeCO2 – Lifestraw - Water - Kenya - Gold Standard 500
SendeCO2 – Tra Linh - Small hydro - Vietnam - VCS 2,000
SendeCO2 – Wangkui - Biomass - China - VCS 7,500
2012 balance (to be purchased) 2,300
SendeCO2 - Lifestraw - Water - Kenya - Gold Standard 100
SendeCO2 – Tra Linh - Small hydro - Vietnam - VCS 500
SendeCO2 - Wangkui - Biomass - China - VCS 1,700
2013 account (to be purchased in 2013) 12,000
SendeCO2 - Lircay Run-of-River - hydro - run-of-river - Chile - VCS 8,500
SendeCO2 – Gyapa - Cookstoves - Ghana - Gold Standard 500
First Climate - Changbin & Taichung - Wind - Taiwan – Gold Standard 3,000
Plantations of evergreen species suited to the climate of the area were set up on the three basins. They are evergreen woody species capable of ensuring a fair capacity for consuming flows of leachate even during the winter. By means of a special dripping system, the plants are irrigated with landfill leachate and continually supplied with water, so as to maximize the evaporation and evapotranspiration processes and favour the development of surface root systems.
The function of the plants is to consume the leachate directly in situ, thus avoiding the costly transfers and production of waste after the treatment of the leachate.In 2011-2012, the system cost 140,000 €; for the year 2013, the estimated cost is a further 50,000 €. In 2012, a volume of 1,074 m3 of leachate was transferred to the phytotreatment system.The plant passed the inspection made by ARPA during a periodic EIA audit.
For the design and installation of the new phytotreatment system, Alcantara S.p.A. received support from the Faculty of Agriculture of the University of Tuscia – Department for Innovation in biological, agricultural, food and forestry systems, in collaboration with the Water Research Institute of the CNR. Applications of this kind have been experimented in the USA
Alcantara S.p.A.’s constant commitment
to environmental sustainability
also comprises its activities carried
out to improve the management
of Production at the Production
Plant and Research Centre in Nera Montoro.
One of the most important
of these is phytotreatment,
i.e. the use of plants to reduce or eliminate
altogether the passage of leachate
outside the plant.
and in Australia, but still represent a novelty on the European scene.
The system built ensures an overall improvement in the environment of the landfill area, breaks the cycle that leads to the production of waste and creates new destinations for the sludge produced by the water treatment system. In particular, the results obtained include the following:- the covering of the tanks of the old landfill, corresponding to about 7,000 m2 of surface area, was restored by planting over 2,500 plants that are irrigated with industrial wastewater rich in nutrients;- reduction in the amount of pollutants treated in the water treatment plant, with a consequent reduction in the treatment products and sludge produced and an improvement in the characteristics of the wastewater.
The phytotreatment system is based on the natural process by which plants absorb water from the soil. This “evapotranspiration” activity is regulated by climatic factors such as sunlight, temperature, humidity and wind speed. The climatic factors in turn depend upon “stationary” factors such as latitude, longitude, altitude and exposure. Through the evapotranspiration process, the plants transfer large quantities of water from the soil to the atmosphere using solar energy as input.The construction of the phytotreatment system was approved by the Province of Terni within the scope of the IEA and, for an initial period of three years, the system will be subjected to monitoring and control of soil quality and the plants present in order to assess the accumulation of any substances; no pruning or mowing will be carried out during this period also because the system will be in its initial growth phase.The Nera montoro area selected is already equipped with the safety systems necessary to prevent the leakage of contaminants into the aquifer and is made up of three covered tanks and a cultivation basin.
89
The primary water procurement source for the industrial activities carried out at the Production Plant and the Research Centre in Nera montoro is represented by the Nera river. A small part of the water consumed is taken directly from the river while the largest part is purchased from a third-party company that takes the water from the Nera river and carries out the initial treatment of it.
The water is used for sanitary purposes, fire-fighting and irrigation, industrial uses at the production plants and, in particular, for dyeing the finished product. All wastewater is conveyed to an internal treatment plant.
The other minor sources are water wells and the municipal water supply system. Alcantara S.p.A. is strongly committed to reducing the amount of water drawn from the municipal water supply in view of the ever-increasing consumption of drinking water by the local communities and new production plants in the area.
6.7 Water requirement—
Despite increases in production over the past few years,
the amount of water withdrawn
is decreasing constantly.
On the production plant there is only one final discharge point, duly authorized and controlled, downstream of the water treatment plant, which drains into the Nera river.
On the basis of the two-monthly tests carried out by external laboratories qualified in accordance with the Integrated Environmental Authorization requirements and communicated to the competent authorities, the wastewater quality parameters are well below the limits set by the legislation in force.Pollutants are normally below 25% of the limits set, only occasionally exceeding this percentage and, in any case, always remaining at extremely safe levels, in particular, the Acute Toxicity test carried out on the wastewater has always been passed.
In 2011-2012, further work was carried out to optimize the wastewater treatment plant in order to always guarantee a higher quality of wastewater, already well within legal limits; the table below contains the mean values of the main pollutants with a major environmental impact, compared to the legal limits.
88
phYtotrEAtMEnt SYStEM—
WATER WITHDRAWAl DIVIDED bY SOURCE UM 2010 2011 2012
Water withdrawal
Nera river via TIC reservoir m3 1,225,844 1,239,429 1,156,191
Nera river m3 54,991 99,744 60,037
Water wells m3 114,835 60,490 52,145
municipal water supply system m3 34,800 26,101 10,649
ToTAL WATer WiThDrAWAL 1,430,570 1,425,764 1,279,022
Water drainage
Drained into the Nera river m3 1,351,234 1,258,842 970,110
Parameter ph suspen-ded
solids
BoD5 coD chro-mium
Vi
nitrous nitro-gen
nh4 nitro-gen
Total tens
nit. org solv
chlor solv
esch coli Acute Tox. Test
Unit of measurement - mg/l mg/l mg/l mg/l mg/l mg/l mg/l mg/l mg/l (UFC/100ml)
Legal limits for discharge into surface watercourses
5.5-9.5 80 40 160 0.2 0.6 15 0.1 1 5000 <= 50% tot
mean valuein 2012 test
7.692 5.833 6.067 24.117 0.039 0.055 0.567 0.479 0.055 0.051 18.000 5.000
qUAlITY OF INDUSTRIAl WASTEWATER: ANNUAl MEAN VAlUES OF THE MAIN POllUTANTS
Environmental improvement objectives
• Improve the use of water by the “Pump and Treat” plant;•improve waste management by increasing the proportion of sludge to be recovered;• develop the new project for reducing the environmental impacts and energy consumption in the production process (FANS);• consolidate the gas turbine project and continue the energy saving (electricity and steam);• reduce consumption for the environmental microclimate;• continue the constant monitoring for the preservation of the aquifers present in the Plant area.
90 91
The waste produced during the production
activities consists mainly of residues
(sludge) from the wastewater
treatment plants. This sludge is taken
to authorized landfills and in 2012
it was delivered for recovery at authorized cement factories once
the Phytotreatment system had been
put into operation.
most of the waste produced is not hazardous (92% in 2010, 87.3% in 2011 and 90.97% in 2012). The table below contains a list of the waste produced and
While, in 2011, the water treatment sludge was taken to the internal landfill site, in 2012 it was taken to an external landfill site or recovered as calcium charge material in some cement factories. In addition, there was a marked increase in sludge, from about 1,816,800 Kg to
PE
*The difference is due to a change in the measurement criteria.
Consolidate and continue energy efficiency
Reduce production waste and improve waste
management
Start construction of a new gas turbine plant
- Sale of the Energy Efficiency Credits by a commissioned company, for about 38,000 €. The energy efficiency associated with the white certificates sold was obtained through the installation of the new air compression system;- checking and replacement of steam traps;- “Rationalization of crude product department” project;- “Rationalization of RISV building air conditioners” project;- “Rationalization of Plant cooling circuit pumping system” project.
- Stipulated contracts with two separate companies for the delivery of flame proofed textile scrap for recovery;- stipulated contract for sale as a by-product (“AlkFill-Buff” trade name) of buffing powder waste for a quantity of 70 t/year;- stipulated contracts for the delivery of water treatment sludge for recovery with “Cementificio Barbetti” and “Società di Recuperi materie prime”;- stipulated contracts for the sale of by-products (textile scrap);- stipulated contracts for the recovery of water treatment sludge in cement factories that use the calcium carbonate in their processes as a recovered raw material.
Installed the new high-Performance Cogeneration within the Production plant to supply steam and electricity. The new gas turbine plant was actually put into operation on 1st January 2013.
— 6.9 Improvement objectives
disposed of on the plant in Nera montoro, divided by type and volume.
over 3,100,000 Kg, due to an increase in production and the treatment of water with a higher carbonate content at the inlet. This volume is indicated in the total of the item “Non-hazardous waste other than buffing powder “, which amounts, as indicated, to 4,168,321 Kg.
DESTINATION CODE NON-HAZARDOUS
(Kg)
HAZARDOUS (Kg)
TOTAl (Kg)
D1 Deposit on or in underground (for example, landfill). 1,230,620 0 1,230,620
D15 Preliminary deposit before one of the operations indicated under D1 to D14 (excluding temporary deposit, prior to collection, in the place where it is produced).
2,493,763 342,150 2,835,913
ToTAL DisposeD oFkg 3,724,383 342,150 4,066,533
% 71.57 6.57 78.14
R5 Recycling/recovery of other inorganic substances. 430,280 0 430,280
R7 Recovery of the products used to capture the pollutants. 271,060 0 271,060
R12 Exchange of waste to subject it to one of the operations indicated as R1-R11.
0 16,640 16,640
R13 Stocking of waste to subject it to one of the operations indicated under R1 to R12 (excluding temporary deposit, prior to collection, in the place where it is produced).
308,182 111,246 419,428
ToTAL recoVereDkg 1,009,522 127,886 1,137,408
% 19.40 2.46 21.86
ToTAL WAsTekg 4,733,905 470,036 5,203,941
% 90.97 9.03 100.00
— 6.8 Waste management
WASTE DESCRIPTION U.M. 2010 2011 2012
Buffing powder Physiological waste of the grinding process containing polyester and polyurethane
Kg 353,910 450,475 565,584
hazardous Production waste of flame-proof fabric, by-products containing impurities, empty hazardous substance containers
Kg 356,033 459,429 470,036
Non-hazardous other than buffing powder
Non-recoverable production waste, plastic, wood, etc.
Kg 846,009 879,224 4,168,321*
Non-hazardous waste to internal dump
Water treatment sludge Kg 2,896,380 1,816,800 0*
ToTAL Kg 4,452,332 3,605,928 5,203,941
WhAT We DiD in 2012
WhAT We sAiD We WoULD Do
CORRELATION TABLE
The table below contains the information necessary to assess the degree to which the information requirements laid down by the GRI-G3.1 reporting standard are satisfied. The table is made up of five columns. The third column indicates the disclosure level in accordance with the following legend:
• Completely reported (the information given meets the requirements of the standard completely)
° Partially reported (the information given meets the requirements of the standard in part due to the sensitive nature of the information or failure to conform fully to the requirements)
STRATEGY AND ANAlYSIS
1.1 The Chairman’s Letter • 1
1.2 Principal impacts, risks and opportunities • 14
PROFIlE
2.1 Name of the organization • Alcantara S.p.A.
2.2 Primary brands, products, and/or services • Alcantara
2.3 Operational structure • 6
2.4 Location of organization’s headquarters • See also the “Contacts” section of the company sitewww.alcantara.com
II
2.5 Countries where the organization operates • 2
2.6 Nature of ownership and legal form • 2
2.7 markets served • 3, 47
2.8 Scale of the reporting organization • 17, 31
2.9 Significant changes during the reporting period regarding size, structure, or ownership
• 2
2.10 Awards received in the reporting period • In 2012 Alcantara S.p.A. received no awards.
CODE STANDARD REqUIREMENT lEV. ExPlANATORY NOTE PAGE
93
GRI-G3.1
LA1-core Total workforce by employment type, employment contract, region and gender
• 31-32
LA2-core Total number and rate of employee turnover by age group, gender, and region
• 32
LA3-add Benefits provided to full-time employees that are not provided to temporary or part-time employees, by major operations
• 40-42
LA4-core Percentage of employees covered by collective bargaining agreements • The entire staff is covered by the National labour collective agreement.
35
LA5-core minimum notice period(s) regarding operational changes, including whether it is specified in collective agreements
• No organizational changes necessary to improve the management of business activities are taken without informing the trade union representatives beforehand. The labour agreement imposes a minimum period of notice to the staff in case of changes to the company’s operation or organization.
LA6-add Percentage of total workforce represented in formal joint management–worker health and safety committees that help monitor and advise on occupational health and safety programs.
• The 18001 certification led to the creation of a safety management system. The figures responsible are those laid down by Italian legislation.
LA7-core Rates of injury, occupational diseases, lost days, and absenteeism, and number of work related fatalities by region
• 36-37
WORK PERFORMANCE
EC1-core Direct economic value generated and distributed, including revenues, operating costs, employee compensation, donations and other community investments, retained earnings, and payments to capital providers and governments
• 18-20
EC2-core Financial implications and other risks and opportunities for the organization’s activities due to climate change
• 31, 77
EC3-core Coverage of the organization’s defined benefit plan obligations • Obligations undertaken as laid down by law .
EC4-core Significant financial assistance received from government • 25
EC5-add Ratio of standard entry level wage by gender compared to local minimum wage at significant locations of operation
° 34
EC6-core Policy, practices, and proportion of spending on locally-based suppliers at significant locations of operation
• 22
EC7-core Procedures for local hiring and proportion of senior management hired from the local community at locations of significant operation
• 40
EC8-core Development and impact of infrastructure investments and services provided primarily for public benefit through commercial, in-kind, or pro bono engagement
• 27, 73; 75-76
EC9-add Understanding and describing significant indirect economic impacts, including the extent of impact
• 73
ECONOMIC PERFORMANCE
4.13 membership of trade associations • 25
4.14 List of stakeholder groups engaged by the organization • 12-13
4.15 Basis for identification and selection of stakeholders with whom to engage
• 12
4.16 Approaches to stakeholder engagement, including frequency of engagement by type and by stakeholder group
• 12
4.17 Outcomes of engagement • 12-14
95
REPORT PARAMETERS
3.1-3.3 Reporting period , date and frequency • II
3.4 Contact point • See also the “Contacts” section of the company web site www.alcantara.com
II
3.5-3.7 Reporting process, scope and limitations • II
3.8 Basis for reporting on joint ventures, subsidiaries, leased facilities, outsourced operations and other entities
• II
3.9 Data measurement techniques and the bases of calculations • II
3.10 Explanation of the effect of any re-statements of information provided in earlier reports, and the reasons for such re-statement
• II
3.11 Significant changes from previous reporting periods in the objective, scope, or measurement methods applied in the report
• II
3.12 Table identifying the location of the Standard Disclosures in the report • 93
3.13 Policy and current practice with regard to seeking external assurance for the report
• 102, 103
4.1 Governance structure of Alcantara S.p.A. • 46
4.2-4.3 Whether the Chairman is an executive officer Independence and/or non-executive role of governance bodies
• All members of the Board of Directors are independent and non-executive, apart from the Chairman and CEO.
5-6
4.4 mechanisms for providing recommendations to governance bodies • 5
4.5 Linkage between compensation and results • 5, 34
4.6 Processes in place for the highest governance body to ensure conflicts of interest are avoided
• See also Code of Ethics 5
4.7 Determination, composition and qualification of the highest governance body
• 5
4.8 missions, values and code of conduct • 10
4.9 Procedures and committees for the management of economic, environmental and social performance
• management and the entire staff are responsible for implementing the Quality, Safety and Environment management Systems and Corporate Social Responsibility, for achieving customer satisfaction, for development in line with the needs of the parties concerned and for reaching the objectives set for the areas where they work. See also the Quality and Social Responsibility Policy.
4.10 Processes for evaluating the highest governance body’s own performance, particularly with respect to economic, environmental, and social performance
• management sets the objectives and targets in the Operational Plans. The departmentmanagers of Alcantara S.p.A. contribute to the elaboration of the Operational Plans and ensure their implementation with a view to reaching the aims and targets set. See also the Quality and Social Responsibility Policy.
4.11 Explanation of whether and how the precautionary approach or principle is addressed by the organization
• II
4.12 Externally developed economic, environmental, and social charters, principles, or other initiatives to which the organization subscribes or endorses
• 8
GOVERNANCE, COMMITMENTS AND ENGAGEMENT
94
SOCIETY
SO1-core Percentage of operations with implemented local community engagement, impact assessments, and development programs
• 70
SO2-core Percentage and total number of business units analyzed for risks related to corruption
• The risk is monitored by the Supervisory Committee across the entire organization.
SO3-core Percentage of employees trained in organization’s anti-corruption policies and procedures
• 5
SO4-core Actions taken in response to incidents of corruption • No action has been taken as no episode of corruption has occurred.
SO5-core Public policy positions and participation in public policy development and lobbying
• Alcantara S.p.A. does not participate or exert any pressure.
SO6-add Total value of financial and in-kind contributions to political parties, politicians, and related institutions by country
• Alcantara S.p.A. has never made contributions to politicians and does not plan to do so in the future.
SO7-add Total number of legal actions for anticompetitive behaviour, anti-trust, and monopoly practices and their outcomes
• None
SO8-core monetary value of significant fines and total number of non-monetary sanctions for non-compliance with laws and regulations
• No sanction imposed
SO9-core Operations with significant potential or actual negative impacts on local communities
• 73
SO10-core Prevention and mitigation measures implemented in operations with significant potential or actual negative impacts on local communities
• None 70-74
PR1-core Life cycle stages in which health and safety impacts of products and services are assessed for improvement, and percentage of significant products and services categories subject to such procedures
• 60
PR2-add Total number of incidents of non-compliance with regulations and voluntary codes concerning health and safety impacts of products and services during their life cycle, by type of outcomes
• In 2011, no non-conformities were recorded or handled.
PR3-core Type of product and service information required by procedures, and percentage of significant products and services subject to such information requirements
• During the contract phase, Alcantara S.p.A. gives the customer all the necessary information about its products and labelling (composition, washing instructions, care and maintenance in time, abrasive strength, etc.) and the training necessary to use the material correctly.
PR4-add Total number of incidents of non-compliance with regulations and voluntary codes concerning product and service information and labelling, by type of outcomes
• In 2012, no cases of non-compliance with regulations or voluntary codes concerning product information and labelling were recorded.
63
PR5-add Practices related to customer satisfaction, including results of surveys measuring customer satisfaction
• 62-63
PRODUCT RESPONSIbIlITY
97
HUMAN RIGHTS
hR1-core Percentage and total number of significant investment agreements that include human rights clauses or that have undergone human rights screening
• Alcantara S.p.A. pays constant attention to the respect of human rights but includes no additional clauses to respect of the Code of Ethics laid down by model 231; also due to the lack of investments and contracts at risk.
hR2-core Percentage of significant suppliers and contractors that have undergone screening on human rights and actions taken
° All suppliers are subject to monitoring in accordance with SA8000®. In the last three years, 35% of priority sustainability suppliers were audited.
23
hR3-add Total hours of employee training on policies and procedures concerning aspects of human rights that are relevant to operations, including the percentage of employees trained
• 39
hR4-core Total number of incidents of discrimination and actions taken • None
hR5-core Operations identified in which the right to exercise freedom of association and collective bargaining may be at significant risk, and actions taken to support these rights
• To date, no reports have been made to the management Representative or SA8000® Workers’ Representatives about interference with their right to join an association or take part in collective bargaining
hR6-core Operations identified as having significant risk for incidents of child labour, and measures taken to contribute to the elimination of child labour
• Child labour is prohibited by Italian law and monitored by the SA8000® standard.Alcantara S.p.A. has no significant suppliers that present this risk.
hR7-core Operations identified as having significant risk for incidents of forced or compulsory labour, and measures taken to contribute to the elimination of forced or compulsory labour
• Forced labour is prohibited by Italian law and monitored by the SA8000® standard.Alcantara S.p.A. has no significant suppliers that present this risk.
hR8 add Percentage of security personnel that have received training in policies or procedures concerning human rights
• The company that supplies the service has SA8000®.
hR9-add Total number of incidents of violations involving rights of indigenous people and actions taken
• No violation
LA8-core Education, training, counselling, prevention, and risk-control programs in place to assist workforce members, their families, or community members regarding serious diseases
° 37
LA9-add health and safety topics covered in formal agreements with trade unions • The productivity bonus will be based on an assessment of the health and safety performance.
LA10-core Average hours of training per year per employee by employee category and gender
• 38
LA11-add Programs for skills management, training and lifelong learning that support the continued employability of employees and assist them in managing career endings
• 38
LA12-add Percentage of employees receiving regular performance and career development reviews
• All staff employed and working at the production plant and research centre are assessed systematically at every change of position and, in any case, at least once a year.
38
LA13-core Composition of governance bodies and breakdown of employees per category according to gender, age group, minority group membership, and other indicators of diversity
• 5, 33
LA14-core Ratio of basic salary of men to women, by employee category and significant region
° 34
LA15-core Return to work after parental leave, divided by gender • 33
96
hR10-core Percentage and total number of operations that have been subject to human rights reviews and/or impact assessments
• Alcantara S.p.A. is committed to respecting all laws and commitments laid down by the trade union agreements signed or any other commitment undertaken by the company concerning human rights. In relation to this, no violation has ever emerged from the inspections made.
hR11-core Number of grievances related to human rights filed, addressed and resolved through formal grievance mechanisms
• None
EN20-core NO, SO, and other significant air emissions by type and weight • There are no significant emissions of NOx or SOx except for those produced by the combustion of natural gas. The total amount of natural gas consumed is equivalent to about 4% of the total amount of energy used.
EN21-core Total water discharge by quality and destination ° 88-89
EN22-core Total weight of waste by type and disposal method • 90
EN23-core Total number and volume of significant spills • Over the past few years there have been no leakages or cases of contamination of the environment. Any spills that take place are monitored and handled through special reports, emergency procedures,and corrective action.
EN24-add Weight of transported, imported, exported, or treated waste deemed hazardous and percentage of this waste shipped internationally.
° 90
EN25-add Identity, size, protected status, and biodiversity value of water bodies and related habitats significantly affected by the reporting organization’s discharges of water and runoff
° 88-89
EN26-core Initiatives to mitigate environmental impacts of products and services, and extent of impact mitigation
• 78, 86
EN27-core Percentage of products sold and their packaging materials that are reclaimed by category
° 11, 81
EN28-core monetary value of significant fines and total number of non-monetary sanctions for non-compliance with environmental laws and regulations
• No fines or any other penalties
EN29-add Significant environmental impacts of transporting products and other goods and materials used for the organization’s operations, and transporting members of the workforce
• 42, 85
EN30-add Total environmental protection expenditures and investments by type • 77
99
EN1-core materials used by weight or volume ° 80
EN2-core Percentage of materials used that are recycled input materials • 81
EN3-core Direct energy consumption by primary energy source • 82
EN4-core Indirect energy consumption by primary source • 82
EN5-add Energy saved due to conservation and efficiency improvements • 82-84
EN6-add Initiatives to provide energy-efficient or renewable energy based products and services, and reductions in energy requirements as a result of these initiatives
• 82-84
EN7- add Initiatives to reduce indirect energy consumption and reductions achieved
• 82-84
EN8-core Total water withdrawal by source • 88
EN9-add Water sources significantly affected by withdrawal of water • 88
EN10-add Percentage and total volume of water recycled and reused ° No opportunities for reuse have been identified yet.
EN11-core Location and size of land owned, leased, managed in, or adjacent to, protected areas and areas of high biodiversity value outside protected areas
• None
EN12-core Description of significant impacts of activities, products, and services on biodiversity in protected areas and areas of high biodiversity value outside protected areas
° No biodiversity studies have been conducted.
EN13-add habitats protected or restored • None
EN14-add Strategies, current actions, and future plans for managing impacts on biodiversity
• No biodiversity studies or operational plans have been conducted.
EN15-add Number of IUCN Red List and national conservation list species with their habitat in the areas of operation
•
EN16-core Total direct and indirect greenhouse gas emissions by weight • 85-87
EN17-core Other relevant indirect greenhouse gas emissions by weight • 85-87
EN18-add Initiatives to reduce greenhouse gas emissions and reductions achieved • 85-87
EN19-core Emissions of ozone-depleting substances by weight • Alcantara S.p.A. prevents the risk of emissions of R22 gas through maintenance of all air-conditioning and cooling plants by specialized suppliers; in 2012, no leaks of R22 from the equipment occurred.
PERFORMANCE AMbIENTAlE
98
PR6-core Programs for adherence to laws, standards, and voluntary codes related to marketing communications, including advertising, promotion, and sponsorship
• Alcantara S.p.A. not only respects the Code of Ethics and the procedures laid down by Organization model 231, it also pursues conformance with the customers’ standards (a prerequisite in the car industry and in relations with major industrial customers in other sectors).
PR7-add Total number of incidents of non-compliance with regulations and voluntary codes concerning marketing communications, including advertising, promotion, and sponsorship by type of outcomes
• None
PR8-add Total number of substantiated complaints regarding breaches of customer privacy and losses of customer data
• None
PR9-core monetary value of significant fines for non-compliance with laws and regulations concerning the provision and use of products and services
• None
ENVIRONMENTAl PERFORMANCE
101100
The
futu
re la
ndsc
ape,
inst
alla
tion,
mila
n D
esig
n W
eek
103102
104 105
Fly-
dres
s, a
rtw
ork
in A
lcan
tara
. Pol
imod
a, F
lore
nce.
Shap
e yo
ur li
fe!,
Alc
anta
ra -
mA
XX
I pr
ojec
t
Alcantara s.p.A.Via mecenate, 86
20138 milan (Italy)Telephone +39 02 580301
Fax +39 02 [email protected]
Alcantara® is a registered trademark of Alcantara S.p.A.
Printed on paper Cyclus Offset
