SustainabilityReport 2023 high - Flipbook - Page 30
3.4.3. Governance, Code of Conduct, risk management, and data ethics
IN SHORT, FROM OUR CODE OF CONDUCT, WE
EXPECT THE FOLLOWING FROM OUR SUPPLIERS.
Within Terratech, each company has their own policies
that govern on an overall level. To improve and bene昀椀t
from each other we share the policies and adapt them in
accordance with each business. Some important policies
include: the policies for Quality and Environment, Human
Resources and Personnel, Health and Safety, Systematic
Fire Protection, Crisis management, Discrimination,
Whistleblowing, Cyber Security, Alcohol and Drugs as
well as our CoC (Code of Conduct).
All policies are revised and updated when needed
according to the law or when improvements are
required. To improve our business even further in line
with these policies, each company also sets and revises
annual improvement goals.
On a more detailed level, the companies have
instructions and work procedures for the di昀昀erent
operational areas. For example, for supply management
where our requirements on suppliers is speci昀椀ed. In this
example we clarify the need for annual evaluations of
our supplier base whereby both environmental and
social responsibility topics are evaluated.
In addition to laws and regulations, which are continually
followed up with the help of external partners, the
operations within Terratech are also governed by
customer demands.
When it comes to our sustainability work and process we
have a de昀椀ned organization and governance structure.
The organizational setup is de昀椀ned follows: The Board
of directors of Terratech Group AB, The Terratech
management team consisting of the CEO, the respective
CEO of the three companies, the CFO and the Quality
and Sustainability manager . However, the head of
sustainability has the operational responsibility where
the work is coordinated through an ESG ambassador
group with participants from all three productions
companies. Both SVAB’s, Steelwrists and Sjørrings
management teams follow up, evaluate and act on
topics related to sustainability.
• Forced labor and freedom of movement: Suppliers ensure
SAFEGUARDING HUMAN RIGHTS AND
FAIR BUSINESS
• Health and safety: Suppliers should provide a safe working
The basis for our work with human rights and on
corruption in our value chain is our Code of Conduct
where we de昀椀ne standards for both our own as well as
our supplier’s behavior. Here we specify rules following
the ILO (International Labour Organizations) regulations
around forced labor and freedom of movement; child
labor; discrimination; health and safety; payments; labor
contracts; freedom of association; leave and work hours
and corruption.
Within Terratech we have policies regulating items
as equal treatment regardless of gender, age, sexual
orientation, social background or ethnicity as well as
policies for health and safety, alcohol and drugs.
For the rest of the value chain from suppliers and their
suppliers to customer, it is our Code of Conduct that is
the key document that governs the way we interact with
other organizations.
As we do business mainly with OEDs (Original
Equipment Distributors) and OEMs (Original Equipment
Manufacturers) and not with end customer, we never
handle cash payments, which is one way for us to
prevent money laundering.
that workers always have free access to their documentation,
including passports, identity papers and travel documents.
• Child labor: Not acceptable in any form for our suppliers
• Discrimination: Discrimination on the basis of race, color,
creed, religion, sex, marital status, sexual orientation, public
assistance status, disability, age, or national origin is not
acceptable.
place for their employees.
• Payment: Suppliers should comply with legal minimum standards
or industry benchmark standards concerning wages and
bene昀椀ts, whichever is higher.
• Labour contracts Suppliers should provide all workers with a
written, understandable, and legally binding labor contract.
• Social responsibility: Suppliers are expected to invest in the
skills of employees as well as to respect the right of freedom
of association and the right to collective bargaining.
• Leave and work hours: Suppliers are expected to grant
employees paid holiday and sick leave, as well as parental
leave to employees.
• Environment: Suppliers are expected to conduct their
operations in a sustainable way and in compliance with the
environmental laws and regulations, furthermore we expect
that environmental protection is a priority for our suppliers in
all signi昀椀cant aspects of its activities.
• Corruption: Suppliers are expected to promote integrity and
ethics in all aspects of their activities as well as to comply with
all applicable laws and regulations on corruption and bribery.
• Criminal activity: Suppliers are expected to conduct their
operations in compliance to local and international law and
to report suspicions of criminal activity, such as fraud, money
laundering, tax evasion, and or other illegal business activities.
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