Effective governance as a foundation
As part of the KION Group, Linde Material Handling has a leading position worldwide in the industrial truck sector and defines benchmarks for quality, innovative capability and earnings strength. The vision of the Company: being the leading provider in all relevant markets worldwide. The roadmap for realising this vision is created by a development programme and clearly defined objectives for regulating relationships between management and employees, and for cooperation with customers, suppliers and business partners.
Sustainability targets Corporate governance1
- Raising the awareness of sustainability in the corporate culture and consolidating it there
- Definition and implementation of sustainability standards in the supply chain
1 Operationalisation of the sustainability targets defined in 2014 can be found in chapter “Development of a sustainability strategy”.
Group-wide principles and guidelines
Not least on account of its global market position, Linde Material Handling as part of the KION Group has a special responsibility towards its customers, business partners and employees, as well as to the environment and the community at large. The most important reference standards for governance are developed at Group level and with the involvement of individual companies in the KION Group. They apply throughout the Group. An overview of the most important guidelines is provided below and they also apply to Linde Material Handling:
- Code of Compliance: Code of conduct defines the framework for lawful and ethical activity of all employees in the KION Group.
- Compliance Principles for Independent Sales and Service Partners: Code of conduct along the lines of the Code of Compliance, defines the framework for sales and service partners of the KION Group.
- Principles of Anti-Trust Compliance: Principles of free and fair competition, regulate the behaviour of the KION Group in relation to the market and competition.
- Principles of Supplier Conduct: Principles for supplier relationships form the platform for taking account of environmental and ethical standards in supplier management.
- Health, Safety and Environment Policy: Guideline for health, safety and the environment relating to employees, customers and the community at large.
- Employment Standards: Explanation of the underlying social rights and principles, excludes child labour and forced labour.
- Diversity Principles: Commitment of the KION Group to diversity within the Company.
- Donation Policy: Principles for social engagement, define the focuses and objectives for donation and sponsorship activities.
Criteria related to sustainability inform all decisions at Linde Material Handling on investments such as corporate acquisitions. These include information on compliance with workplace standards (such as collective agreements, working hours, information on accidents at work and sickness rates, employee turnover, health insurance) and environmental standards (including the handling of waste and hazardous substances, consumables and emissions). This comprises in particular precise auditing of guidelines and complaints, and legal disputes on the issues outlined above.
Best of the best worldwide
In 2010, a corporate development programme was worked out involving executive managers at Linde Material Handling. As a uniform global orientation framework this strategy harmonises people and corporate culture and creates the prerequisites to achieve the vision set out by the Company: to be the best worldwide. The programme is based on the three core elements and it primarily describes the approach towards making the vision a reality (see overview). It is based on a high level of individual responsibility from all employees, and their willingness to work continuously on improvement and advanced development. The resulting projects and measures are coordinated and promoted worldwide by a network of local endorsers acting as facilitators. Comprehensive internal communication, including the provision of information on the Intranet and the company magazine “move”, in turn raises the profile of target attainment, individual projects and best practice models for all employees.
Corporate development programme
Corporate culture *
Clear and agreed targets.
Each employee knows what has to be achieved and is aware of their own personal contribution to this endeavour.
Cooperation between managers and employees is implemented on the basis of clearly defined requirements.
Guiding principles for decision-making in projects and in routine daily work .
* See also section on “Good employer”
German Corporate Governance Code as a foundation
The companies of the KION Group are committed to recognised standards of good and responsible corporate governance. The foundation for this is provided by the German Corporate Governance Code in the version dated 13 May 2013. As part of the Group, Linde Material Handling complies with all the recommendations of this code with only one exception (excess in D&O insurance for Members of the Supervisory Board and the Management Board). The Declaration of Compliance with the German Corporate Governance Code is renewed each year and is published on the Internet site of KION Group AG.