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    Daimler has a unique portfolio of cars and commercial vehicles with environmentally friendly drive systems.

Daimler has a unique portfolio of cars and commercial vehicles with environmentally friendly drive systems.

Sustainability at Daimler

Sustainability is an integral part of our corporate strategy. Efficient management structures support the implementation of sustainability policies at all of our divisions. In the year under review, we continued and expanded our intensive dialog with our stakeholders concerning issues related to sustainability.

Our sustainability strategy. We want to enhance the value of our company over the long term. And we can do that only if we define value creation holistically and measure the success of our business operations not only in terms of financial metrics, but also in relation to their social acceptance. In order to do that, we have established sustainability as an integral part of our pyramid of goals and as a basic principle of our corporate strategy. In addition, the ideas that are of fundamental importance to us include the ten principles of the Global Compact. As one of the Global Compact’s founding members and a member of the LEAD team since 2011, we are strongly committed to these principles. We are also guided by the labor standards established by the International Labour Organization (ILO) and by the OECD guidelines for multinational companies.

Our effective and coordinated strategies and initiatives ensure that the concept of sustainability is firmly embedded in our business operations. In our Group-wide sustainability management system, these strategies are implemented by means of concrete measures and measurable target indicators. Our Sustainability Program 2010–2020, which we presented for the first time in April 2011, is an important step toward our goal. This program defines our essential areas of activity in the years ahead. We aim to steadily continue reducing pollutants and emissions, further enhance the safety of our vehicles, expand the dialog with our suppliers and dealers, and further strengthen our social involvement.

The economic dimension: Profitable growth and long-term economic success safeguard our commitment to sustainable development. As the technological pacesetter of the automotive industry, we aim to stand out because of our top performance and to shape the future of safe and environmentally compatible mobility. Our business operations are based on responsible corporate management that focuses on integrity, good corporate governance and the principles of compliance. In addition, our corporate management requires and encourages the irreproachable ethical behavior of every single executive and employee.

The environmental dimension: Environmental protection, innovation and safety are the biggest issues our company will have to deal with as it strives to attain its sustainability goals. Our cars and commercial vehicles are among the very best in their respective market segments in terms of their environmental friendliness and safety. As we explore new mobility concepts, we are extending our focus beyond the individual vehicles themselves and testing environmentally compatible approaches to urban mobility. Also in the production of our vehicles, we carefully design every production step to make it as environmentally compatible as possible.

A key focus of our research and development work is to continuously improve our products and processes in terms of their environmental compatibility. In this area, we achieved impressive results during the year under review in particular. For example, in just one year, we succeeded in reducing the CO2 emissions of our newly registered cars in the European Union by an average of 10 grams, thus meeting the target of 140 g/km that we set in our Sustainability Report.

The social dimension: Daimler regards itself as an active member of society. That’s why we are committed to our employees, our customers and the people who live and work near our business locations. After all, we benefit from highly motivated and well-qualified employees, satisfied customers and relationships with our stakeholders that are based on mutual trust. We want to create values for society, and through our donations, sponsorships and foundation activities, we help people in need, promote intercultural understanding and support the arts, culture, education, science and sports.

Intensified dialog with our stakeholders. As a member of the Global Compact, we once again intensified the dialog with our stakeholders in connection with our commitment to sustainability. We also support the Code of Responsible Conduct in Business, which promotes a social market economy in which fair rules govern global competition. Through our Daimler Sustainability Dialog, we bring social leaders, politicians and scientists together with representatives of Daimler’s top management. The aim of these events is to intensify dialog on various topics, including critical issues, and to engage in a joint search for practical solutions.

In November 2012, around 130 participants came together in Stuttgart at the fifth Daimler Sustainability Dialog. Among other things, the event focused on workshops dealing with the following topics: electric mobility, generation management and human rights — particularly with respect to the supply chain and community involvement. As always, the results of the workshops will be further developed in the following twelve months in working groups that include representatives of the company’s stakeholders. This process will create the starting point for the next Sustainability Dialog.

In May 2012, we conducted a stakeholder dialog for the third time in China. The event was held in Beijing for the second time after taking place in Shanghai in 2010. The subjects it focused on were air pollution and traffic congestion in urban areas, qualification measures for university graduates and corporate ethical standards with regard to suppliers and business partners. For the first time, Daimler Northeast Asia published a separate sustainability report for that region. With this report, Daimler reinforced its clear long-term commitment to China and underscored the importance of sustainable business practices in this important economic area.

First stakeholder survey conducted. In order to make a comparative analysis of the interests of our stakeholders and those of Daimler AG, we conducted the first international open stakeholder survey from November 15 to December 14, 2012. Daimler employees, shareholders, customers and suppliers ,as well as representatives of associations, environmental and human rights organizations, politicians, and interested members of the public all took part. This survey, which is new in terms of its scope and openness, serves to make the discourse with our stakeholders transparent and understandable.

Comprehensive reporting on sustainability. The year 2012 saw the publication of our eighth Group-wide Daimler sustainability report, which was prepared according to the guidelines set forth by the Global Reporting Initiative (GRI). It provides a detailed and comprehensive analysis of our sustainability performance for the previous financial year, and is enhanced by an interactive online sustainability report that contains more detailed and extensive information.

The new Sustainability Report 2012, which will be presented at the Daimler Annual Shareholders’ Meeting in early April 2013, already focuses on the future requirements of the GRI. In this context, important Daimler aspects are highlighted. This applies above all to key topics such as internationality or our cross-divisional mobility concepts. In addition, with the new report, we take the opportunity to report on other specific concerns such as generation management or our methods for reducing CO2 emissions.