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KONE 2015 | SUSTAINABILITY REPORT

5

INTERVIEW WITH THE CHAIRMAN

AND THE PRESIDENT AND CEO

“We should remember

what new technology can

bring to sustainability.

Digitalization gives us the

opportunity to be more

efficient in our operations

and improve quality.”

-Henrik Ehrnrooth

Looking back at our progress during 2015, are

there any particular highlights which stand

out?

AH:

I was pleased to see that our growth was

geographically broad-based, not only in Asia,

which has been a major growth driver over the

last 20 years. Another highlight for me is that

2015 marked our 50th consecutive profitable

year.

HE:

The increasingly broad based growth in

both new equipment and in services was an

important achievement for us. Other areas

include our ability to constantly reduce our

carbon footprint. In fact, during the reporting

year, our operational carbon footprint is down

by over 60%, relative to orders received,

compared to 2008. We were also awarded a

position on the Climate Performance A-List by

CDP, recognized as one of the world’s leading

providers of climate change data.

AH:

Another aspect where we have made

progress is safety, which can have big impacts

on sustainable urban living, and our employees.

HE:

Yes, safety continues to be important in

everything we do. We have an ambition to

reach zero accidents and in 2015 the number

of incidents decreased again. The industrial

injury frequency rate (IIFR) improved further

from 2.8 last year, to 2.3 this year.

It is interesting when we look at safety and

business performance. Because what becomes

clear, when you look at that correlation, is that

our business units with the best safety track

record tend to have the same track record in

business performance. It all goes together hand

in hand.

How has KONE improved the integration of

environmental, social, and governance issues

into its business?

AH:

This is really important because

integration with the business happens over

the long term. We have to consider that we

are all sharing a global environment and

the resources we have at our disposal are

becoming increasingly scarce.

To be a leader in sustainability, efficiency

becomes more important. We need to be

resource-efficient in everything we do and

there are a lot of examples of how we have

made our products more efficient and more

sustainable.

The same applies to other areas. The less

waste material and wasted resources we have,

the more efficient we are, and that applies

throughout our operations and facilities.

HE:

Absolutely, and we should remember

that new technology is a significant enabler of

improved sustainability. The technology in our

products and services can significantly reduce

elevator and escalator energy consumption, while

reducing waiting time for users. Digitalization also

gives us the opportunity to provide new services

for our customers, which improve efficiency.

We are, for example, investing significantly in

diagnostics for our services which improves the

quality and predictability for our customers. The

agreement we announced with IBM in 2016,

will bring cognitive analytics to our services. In

practice, this means that we can resolve issues

before they occur, with our analytics platforms

constantly learning and becoming better at

identifying future needs. Technologies in smart

buildings is another example which can help

facility owners and managers to improve the

overall energy and resource efficiency of their

buildings, while improving people flow.

How can customers tell the difference between

companies that call themselves sustainable?

What are KONE’s differentiators?

AH:

I think it comes back to what we talked

about at the beginning. We work hard to

understand sustainability and all its dimensions,

including the environment, safety, quality and

continuous improvement. All of that runs deep

in the KONE culture. Our track record is very

strong and if you look at that, it tells you a lot

about our commitment to sustainability.

HE:

As I mentioned earlier, our mission is

to improve the flow of urban life, for our

customers and for the people who use our

equipment. Sustainability is embedded in not

only what we do, but how we do it and one of

our strength is definitely our pragmatic culture.

Our people want to develop themselves and

the company all the time. In 2015, we reached

a record high response rate of 93% in our

global employee survey, and this gives a strong

indication of the commitment they have in

making KONE an even better company.

Finally, our people and culture are built on

KONE’s values, which are about how we

develop as a strong company, contributing to

sustainable cities of the future.