DOVISTA CoP 2021 Report

Sustainability is the foundation upon which DOVISTA is built. As part of the VKR Group, the Model Company objectives established by Villum Kann Rasmussen fifty-six years ago are the same governing principles driving every aspect of the company today. DOVISTA is currently on an exciting growth journey, which gives us the unique opportunity to maximise our positive, sustainable impact. We have filled the report with initiatives and results we are particularly proud of, but we are not resting on our laurels. In the coming years, we direct our focus toward knowledge sharing and learning, identifying best practice sustainability initiatives across the organisation and working diligently toward setting and achieving essential targets. As Daylight Pioneers, we want to make windows part of the solution!

Making windows part of the solution

DOVISTA Sustainability Report 2021

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Communication from our CEO

Sustainability is the foundation upon which DOVISTA is built. As part of the VKR Group, the Model Company objectives established by Villum Kann Rasmussen fifty- six years ago are the same governing principles driving every aspect of the company today. These objectives speak directly to people, planet and prosperity, identi- fying the desire to create products that benefit society, treat all employees and stakeholders better than most companies, and enable financial independence. Focus on sustainability Our focus on sustainability is increasingly mirroring what we see in society. As sustainable window and door people, our work actively contributes to achieving sustainable impact and the United Nations Sustaina- ble Development Goals. Good health and wellbeing are supported by our purpose of bringing daylight, fresh air and wellbeing into people’s everyday lives. Our products provide the opportunity to capitalize on sustainable passive energy while ensuring energy efficiency in new and renovated buildings. Our strate- gic approach to sustainability also ensures sustainable consumption and production, as well as contributing to climate action by setting important CO 2 reduction targets to limit global temperature increases. DOVISTA is currently on an exciting growth journey, which gives us the unique opportunity to maximize

sustainable impact. In 2021 we grew to over 7,500 employees, meaning that DOVISTA is now the largest manufacturer of vertical windows and exterior doors in Europe. We have expanded our market presence and our product portfolio through the acquisition of five new brands in Europe. We have increased production capacity and added expertise and local market insight to benefit the entire organisation and our customers. We are providing innovative and sustainable solutions. By placing the right windows in the right places, we are achieving energy efficiency, CO 2 reductions and a bet- ter indoor climate for more families than ever before. Rooted in our CLEAR Strategy, we are investing in processes and capabilities that will enable our busi- ness to harness synergies moving forward. Over the coming year, we will focus on establishing new base- lines and streamlining unified processes, creating a solid data foundation. Our focus will also be directed towards knowledge sharing and learning, identify- ing best practice sustainability initiatives across the organisation and working diligently towards setting and achieving important targets. With Distinctive Brands and Shared Excellence, we will participate actively in building a future where business and sustainability go hand in hand, making windows part of the solution.

“DOVISTA is currently on an exciting growth journey” Allan Lindhard Jørgensen, CEO

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Table of contents

Communication from our CEO The DOVISTA Group Targets and achievements DOVISTA SDG impact Why sustainability matters Group initiatives and results Human and labour rights Environment Anti-Corruption

2 4 5 6 10

Page 9

Page 18

12 21 30

This report constitutes the DOVISTA Group’s annual corporate social responsibility reporting, our Communication on Progress for the United Nations Global Compact. For statutory reporting cf § 99a of the Danish Financial Statements Act, please refer to VKR Holding’s Annual Report 2021.

Page 22

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The DOVISTA Group The DOVISTA Group consists of brands and com- panies involved in the development, production and sale of vertical windows and exterior doors. DOVISTA is part of the VKR Group operating on the European market. This report covers the peri- od from 1 January to 31 December 2021. DOVISTA brands include:* * This report includes all brands and companies that were part of the DOVISTA Group before Sep- tember 1, 2021. Companies acquired on September 1st, 2021 include the following brands: Dobroplast, Slovaktual, Wertbau, EgoKiefer and Weru. We also have an e-commerce platform named Webcom.

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Targets and Achievements

DOVISTA Strategic Driver Initiative in 2021


Timeframe Status

Roll-out of DOVISTA-wide E-learning platform including modules on cyber- security and data protection Development and deployment of modules on CLEAR leadership, working at DOVISTA and Model Company behaviour Roll-out of new measures including decreasing height of packaging plywood and amount of wood used Behavioural change replacing individual waste bins with centrally located waste sorting

1 Conduct Responsible Business

E-learning platform

1 year

In Progress

2 Conduct Responsible Business

Creation of new E-learning modules

1 year

In Progress

3 Conduct Responsible Business Packaging reduction*

2 years

In Progress

4 Conduct Responsible Business Recycling initiative for office buildings*

2 years

In Progress

5 Conduct Responsible Business Diversity Policy

Develop a DOVISTA-wide diversity policy focused on gender and cultural diversity

1 year

In Progress

Good health and wellbeing initiatives for employees across DOVISTA for example vision testing and creating green areas and outdoor activity

Achieved with future actions set

6 Conduct Responsible Business Employee Foundation


7 Conduct Responsible Business Sustainability target-setting for strategic drivers*

Focus on waste management, packaging, resource and water consumption

1 year

In Progress

8 Fight Climate Change

CO 2 reduction across DOVISTA

Establish a new baseline and targets that include acquisitions

1 year

In Progress

Includes a dashboard to secure data reliability and transparency, as well as a monitoring tool for accident lessons learned and best practice sharing

Achieved with future actions set

9 Conduct Responsible Business Establish HSE Cockpit


10 Fight Climate Change

Establish ESG baseline

Establish master data and governance structures for ESG baselines

1 year

In Progress

11 Conduct Responsible Business DOVISTA-wide HSE Policy

Strengthen the adherence to HSE policy and create corresponding roadmaps

1 year

In Progress

Focus on and support for working at home, local lockdowns, medical care, mental health and local volunteering

12 Conduct Responsible Business Employee Foundation support for 2 nd Wave of COVID-19



* This is a local initiative, and does not represent a target for DOVISTA as a whole.

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Achieving Global Goals for sustainability is part of the strategic approach of the DOVISTA Group. In 2021 DOVISTA conducted a United Nations Sustainable Development Goal (SDG) screening. The following three pages provide a visual over- view of our sustainable impact. Primary impact is achieved where we have the most influence and opportunity to contribute actively to Glob- al Goals throughout our value chain, operations and products delivered on the market. Moder- ate impact is achieved where we contribute with strong targeted activity in a specific area, and lim- ited impact is achieved in areas where we have limited, yet significant, impact. DOVISTA SDG impact

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Primary SDG impact areas

DOVISTA seeks to ensure effective utilization of natural resources. We work actively to reduce waste in our production and the lifecycle of our products. We are dedicated to operating with a circular flow of materials.

DOVISTA seeks to ensure that our products and solutions bring daylight and fresh air into people’s everyday lives to promote good health and well-being.


Reduce mortality from non-communicable diseases and promote mental health Reduce illnesses and death from hazardous chemicals and pollution


Sustainable management and use of natural resources Responsible management of chemicals and waste Substantially reduce waste generation Promote universal understanding of sustainable lifestyles



12.5 12.8

DOVISTA continuously seeks to improve the energy efficiency of our products, reducing the need for energy in buildings with relation to heating and artificial light.

DOVISTA is committed to reducing our overall carbon footprint, supporting the climate goals in the Paris Agreement.


Double the improvement in energy efficiency


Strengthen resilience and adaptive capacity to climate related disasters Build knowledge and capacity to meet climate change


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Moderate SDG impact areas

DOVISTA is committed to providing a diverse and inclusive workforce. Our work with quality, health and safety provides the framework for protecting labour rights and promoting safe working environments. We participate in research and innovation projects that are focused on reducing resource consumption and enabling sustainable industrialisation and infrastructure. Our work with compliance provides transparency as well as the ability to ensure responsive decision making.


Protect labour rights and promote safe working environments Improve resource efficiency in consumption and production


Develop sustainable, resilient and inclusive infrastructures



Promote inclusive and sustainable industrialisation


Educate for sustainable development and global citizenship


Upgrade all industries and infrastructures for sustainability Enhance research and upgrade industrial technologies


Adopt fiscal and social policies that promote equality



Ensure full participation in leadership and decision-making


Inclusive and sustainable urbanisation

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Limited yet significant SDG impact areas At DOVISTA, our production processes use a very limited amount of water, and there is a continual focus on reducing the wastewater that is generated. DOVISTA uses FSC certified wood that contributes to restoring degraded forests and works in partnerships focused on sustainable building and construction processes.


Improve water quality, wastewater treatment and safe reuse Increase water-use efficiency and ensure freshwater supplies



End deforestation and restore degraded forests


Enhance the global partnership for sustainable development

Photo: Velfac

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Why sustainability matters

We have a common challenge globally. Climate change is one of the greatest environmental, social and economic threats facing society. The warming of the earth system is considered un- equivocal 1 , and it is human behaviour that has created this planetary threat. In Europe, the building sector is one of the major emitters of greenhouse gases. The overall 2030 EU target for a decrease in CO 2 emissions and the long-term 2050 climate neutrality objective cannot be achieved if emissions from buildings are not ad- dressed quickly and deeply. At DOVISTA, we have the opportunity and obliga- tion to help solve this challenge. We provide the European market with vertical windows and exterior doors for the sustainable built environment. With the application of our products, both the renovation and new-building sectors can adjust solar gain to building

requirements, reduce condensation and prevent air leakage, while letting daylight and fresh air into peo- ple’s everyday lives. This improves the comfort of an indoor environment, while importantly reducing energy consumption and greenhouse gas emissions. “We see this as one of the most exciting traditional industries to be in. According to Bill Gates, a city equivalent to the size of New York will be built every month over the next decade. This is a lot of buildings – hopefully a lot of DOVISTA windows and doors – and means that the methods we use to build them truly matter. This gives us the opportunity to play a key role in driving a better, more sustainable future for generations to come.” Nicolas Casanovas, CCO

Photo: Traryd

1 ) According to the Intergovernmental Panel on Climate Change (IPCC)

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Markets and sites


Major sites Key markets

Key markets included from September 2021

In September 2021, DOVISTA expanded its product portfolio with the acquisition of five new brands in Europe, including Dobroplast, Slovaktual, Wertbau, EgoKiefer and Weru. This report reflects the activities of the pre-existing DOVISTA Group, shown in dark blue on this map. During 2022, all accounting practices will be aligned with the new brands and markets. In order to be as transparent as possible, key annual figures for our 2021 acquisitions are included in the appendix.


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The DOVISTA Group Makes targeted efforts to continuously improve health and safety in the workplace. Provides a framework and opportunities for the personal and professional development of all employees. Human and labour rights

Photo: Velfac

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DOVISTA at a glance In 2022 DOVISTA’s CLEAR strategy will be implement- ed, bringing the DOVISTA Group from a collection of independent European brands and companies to the position of being a truly unified European group. This strategy also includes the acquisitions from Sep- tember 2021, which effectively doubled our market presence. It goes without saying that it is a big task to unite corporate cultures, practices and processes. This also applies to our work with sustainability. In 2021 we created a comprehensive Environmen- tal, Social and Governance (ESG) baseline within our expanded organisation, providing a solid foundation and high quality for our data and governance struc- tures . This work will also enable us to move forward with the key strategic focus areas of our sustainability strategy, setting targets and creating a roadmap for DOVISTA Group initiatives into the future.


4,109 4,561 4,613 4,706

8,000 7,000 4,000 5,000 6,000 3,000 2,000 1,000

Number of employees

The acquisitions in September 2021 has meant an increase in number of employees from 4,050 to 7,517.


2019 2018 2020 2017


Photo: Rationel

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A talented and diverse workforce

At DOVISTA, we value diversity among our employees because it helps us to secure different perspectives and approaches, reflecting the societies that we are part of. Research shows that diverse and inclusive companies are likely to outperform their less diverse peers. Dif- ferent experiences and viewpoints strengthen the or- ganisation by triggering robust decision-making pro- cesses, enabling a competitive advantage. Focus on diversity in our organisation ensures the creativity and innovation necessary to drive a sustainable business. Our growth in 2021 is both a privilege and a great responsibility. Having a shared purpose to bring day- light and fresh air to people’s everyday lives com- bined with our objective to be a Model Company creates the platform for inspiring our people to do their best work, achieve career aspirations and thrive. Our culture of diversity and inclusion promotes an environment where all employees can access oppor- tunities based on merit, and over the past year we have worked actively to ensure equal opportunities for all genders during recruitment and promotions.

During 2021, DOVISTA has also improved awareness on the importance of diversity, which is a material topic where we have identified concrete areas for improvement. Gender distribution in management We are currently focused on creating the foundation for more women in leadership positions. Starting with the DOVISTA Board of Directors and the General Man- agement team, we are targeting female representa- tion, along with a diverse cultural representation that can promote the international scope of the organisa- tion. We currently have two women and four men on our Board of Directors, and our management team (registered directors) is comprised of five female, and twelve male management members. We aim to se- cure gender diversity through all management levels in the organisation, including female representation at every management level by 2026. 1

Hanne Blume Chief Human Resources Officer

Photo: Wertbau

1 ) These actions primarily support Sustainable Development Goal Targets 4.7, 5.5 and 10.4.

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VILLUM FONDEN’s 50th anniversary

DOVISTA is part of the VKR Group under VKR Holding A/S – a limited company with the non-profit foundation, VILLUM FONDEN as its largest shareholder. VILLUM FONDEN goes all the way back to the vision of DOVISTA’s founder, Villum Kann Rasmussen, focusing on fresh air and daylight, and the desire to contribute to a brighter future for society.

shifted in our lifetime, with disastrous consequences for the world as a whole. And there’s no doubt: We need to think and act in new ways. An example of an annual grant programme at VILLUM FONDEN is the Villum Experiment Programme, where 51 researchers in 2021 have received 99 million DKK. Grants are awarded for research projects in techni-

cal and natural sciences that challenge the norm and have the potential to fundamentally change the way we approach important subjects. One of the current grant projects looks at the use of microwaves in com- bination with a special ceramic material to produce hydrogen cheaply and sustainably for use in hydrogen cars or for conver- sion to green fuel. Another pro- ject looks at whether reducing harmful methane emissions in livestock is valid, with a tech-

The projects often incorporate the relationship between nature and humans, striving to improve the balance between them.

These basic conditions for life are also the founding principles of DOVISTA, and each of DOVISTA’s employees has played a part in enabling the VILLUM FONDEN and its sister foundations to dis- tribute more than 15 billion DKK over the years. VILLUM FONDEN supports technical and scientific research as well as environmental, social and cultural projects in Den- mark and internationally.

nique that kills specific microorganisms responsible for producing methane. If this high risk/ high gain pro- ject works, it will be a major breakthrough in reducing the climate impact of the agricultural sector.

The projects often incorporate the relationship be- tween nature and humans, striving to improve the balance between them. This balance has drastically

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Employee Foundation support in Poland

In 1991, the VKR Group Employee Founda- tion was established. Its main objective is to provide financial assistance to present and former employees of the VKR Group and their next of kin. The VKR Group is also involved in providing financial support to non-profit or- ganisations that work for local communities. For DOVISTA employees and their immediate fami- lies who find themselves in a difficult circumstance, there is an opportunity to apply for a grant from the Employee Foundation of the VKR Group. This past year, the Employee Foundation has support- ed Julia, the teenage daughter of Kasia, who works in DOVISTA Poland. Julia was born deaf, and thanks to a cochlear implant inserted into one of her ears in 2007, she was able to hear for the first time. A cochlear implant consists of two parts: an internal implant and an external speech processor worn behind the ear. The speech processor does the job of a healthy ear by carrying out the specific function of speech coding. The Employee Foundation supported Julia and her family by funding new batteries for the speech pro-

cessor, a special alarm clock with vibrations, and a mini microphone, thanks to which Julia can hear what is being said while in another room. Julia’s greatest dream is to pass her secondary school examinations and study Otolaryngology (Ear, Nose and Throat Medicine). She would like to show hear- ing-impaired children and their parents that you can have a normal life with a cochlear implant – you can finish school, study and work. Based on her own expe- rience, Julia wants to help parents who need to decide about having their children undergo implantation. She would like to support them and provide evidence that it is worth it. Rehabilitation is a difficult and arduous process, but it is also the only way to come out of a world of silence. After many long months, rehabilita- tion brings great successes, such as a first spoken word. It is these moments that bring priceless joy. For Julia and her family, the Employee Foundation has helped to create a more normal every-day, from wak- ing up in the morning to hearing what is being said throughout the day. These are aspects of life that we generally take for granted, and those that make a world of difference for individuals with cochlear implants. 1

Giving back to local communities

The Employee Foundation grants financial support to assist employ- ees’ children in completing their final education or training. The Foundation can also grant support for non-profit, public projects in the vicinity of VKR Group companies, including all DOVISTA locations. In this way, the Foundation and DOVISTA can make a contribution to the communities that the company operates in.

1 ) These actions primarily support Sustainable Development Goal Target 10.2

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‘Olympic Games’ event in Denmark

DOVISTA has seen many changes in the last several years. This has included new reference points, redundancies, and new organisational affiliations. For VELFAC and Rationel, it has also meant a legal change from independent companies to one entity – DOVISTA Denmark – that markets and sells VELFAC and Rationel brands through different sales channels. For the employees of both VELFAC and Rationel, this has been a major change that has impacted the cultural unity rooted in brands that were synony- mous with the individual companies. There is now

This led to the evaluation and mapping of historical values, moral codes and informal cultural strengths of VELFAC and Rationel, including the core values expressed in the Model Company objectives of our founder. This process has now reached the final phase, where company values have been identified in words for DOVISTA Denmark. However, company values and culture cannot live on paper alone. They live through daily activities, play and competition, and countless other interactions both inside and outside company walls. Over thesummer,DOVISTADenmark’s fourmainvalues centered around colleagues, quality, customers and

a need to create a clear set of values and a DOVISTA cul- ture that can bring all brands and employees together as One DOVISTA. The Manage- ment team and Danish SAMU (Employee Cooperation and Working Environment Commit-

community, were translated into four “Olympic Games” in prepa- ration for a company event in early September. On the day of the event, approximately two thirds of Danish employ- ees throughout DOVISTA par- ticipated in competitions. They

DOVISTA has seen many changes in the last several years.

tee) have worked together in 2021 to identify and articulate the concerns that arise in the daily lives of employees, and how to address these concerns proactively.

had the opportunity to socialise across locations and finished the evening with awards and a good dinner. This was a great event supporting One DOVISTA, and new plans are already under way for future events. 1

1 ) These actions primarily support Sustainable Development Goal Target 8.8

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Safe working environments

Ambition At DOVISTA, our strategic driver of conducting responsible business places focus on providing healthy and safe workplaces. This is supported by our model company objectives, and the ambition of zero work related accidents. Performance in 2021 • 18% improvement overall versus 2020 • Our largest production facility in Poland went from 19 to 12 accidents in the past year, an improvement of 37% What we did In line with our ‘zero-accident’ ambition, we have es- tablished a central HSE function. Its purpose is to en- able on-site responsibility by securing data reliability and transparency while at the same time coordinat- ing initiatives that help to share valuable information across DOVISTA. As we are also in the process of welcoming many new colleagues from our recent acquisition, employee health and safety is a material

topic that is receiving our highest priority. To coordi- nate this effort, HSE and Quality areas have joined forces to create a central QHSE function capitalising on the strengths of the Quality organisation. Accident prevention being a key driver, we will sys- tematise communication after any accident, and relay this information to all relevant sites with the purpose of raising awareness and triggering preventative ac- tions through a best practice approach. To support our managers and secure data transparency, we have developed an HSE Cockpit that will be the tool for efficient monitoring of all reported incidents and their subsequent actions. Also in line with our ‘zero-accident’ ambition, clear medium-term roadmaps are being developed. This will ensure both continuous health and safety im- provement in response to pre-existing working conditions, as well as providing the right investment support for preventative measures. This journey has started with our largest production facility in Poland

Work-related accidents

Per million working hours in production


7.5 9.2 8.0 8.1 6.6

2020 2019 2018 2017




A work-related accident in this context is defined as an accident that has happened in the production environment and results in absence from work for more than one day. Both criteria must be met.

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Initiatives for 2022 The integration of our recent acquisitions will create many opportunities for sharing best practices. Our HSE Cockpit will be fully rolled out to streamline our collection of these best practices and replicate them across sites. It will provide the needed direct and ef- ficient access to the mapping of accidents, actions taken, and lessons learned. At the same time, this will enable us to monitor key Health and safety initiatives like audits, local HSE training and best practices. We will also be able to monitor near misses, a primary focus area providing excellent opportunities for risk prevention. 1 “At DOVISTA, we understand that em- ployees are our most valuable asset. For this reason, safety is our highest priority. We continually strive to provide the very best working environment. This means minimizing risk and facilitating the best circumstances to provide healthy and safe workplaces.” Michael Hassø Larsen, Group COO

where a roadmap up to 2025 has been put into place. Adherence of our sites to the HSE Policy has now been assessed by our Danish, Norwegian, Swedish, Lithuanian and Polish supply chain operations. This has led to a clear improvement plan which is being rolled out and will be reviewed periodically within the HSE organisation. Continued focus on responsible behaviour Due to the continuation of the corona pandemic, many best practices that were established in 2020 have been extended. This has resulted in an even greater number of virtual meetings, many employees having worked at home, as well as significant changes in travelling patterns and canteen and food schemes. In addition, increased safety measures with advice on hygiene have been maintained, with protective equipment and a continual adjustment of the maxi- mum number of people allowed to meet according to current national legislation. Furthermore, DOVISTA’s production units have made a continued effort to limit/ control access for guests and partners and make nec- essary changes to internal work patterns in order to reduce the risk of contamination.

1) These actions primarily support Sustainable Development Goal Target 8.8

Photo: Wertbau

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Human and labour rights indicators

Human and labour rights indicators 2021 figures 2020 figures DOVISTA Strategic Driver

SDG SDG Target Area

Accounting practice

DOVISTA measures employees in terms of Full Time Equivalents (FTEs) employed during the reporting period. Work-related accidents are those that arise from exposure to hazards at work (event related). An event is considered as an accident when an employee is hurt in a way so that the employee cannot return to work the next day and perform normal operation. The share of female board members, excluding employee representatives, for DOVISTA A/S. Total number of female management members registered by the Danish “erhvervsStyrelsen” as directors.

Number of employees

4,050 FTE

4,109 FTE

Conduct Responsible Business

SDG 9 9.2

Total Accidents



Conduct Responsible Business

SDG 8 8.8

Female board members 1



Conduct Responsible Business

SDG 10 10.4

Female management members



Conduct Responsible Business

SDG 10 10.4

1) This figure represents the female board members of DOVISTA A/S, and not its subsidiaries

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Environment The DOVISTA Group Ensures that our products reflect the needs of people and planet.

Works actively to achieve sustainable impact.

Photo: Traryd

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Sustainability at DOVISTA

Throughout 2021 we have been working with the DOVISTA Sustainability Strategy adopted in 2020. This strategy is built upon a solid foundation of documented corpo- rate responsibility established by our Model Company objectives. It addresses the challenges that we see for people and planet today and, even more significantly, for the coming decades. DOVISTA’s Sustainability Strategy has three strategic focus areas centred on fighting climate change, ena- bling the customer and conducting responsible busi- ness. As a European market leader in the production and sale of vertical windows and exterior doors, we are very aware of our responsibility to offer socially ben- eficial solutions. Our consultancy provides the foun- dation for a healthy indoor climate and lower energy consumption for both new and renovated buildings. We see it as a clear commitment to be our customers’ most trusted partner in creating sustainable solutions. This means operating in a way that is protective and respectful of our common environment and responsi- ble with relation to our common resources. One of the areas where we continue to make a dedicated effort is in the reduction of our own CO2

emissions, which we understand as the environmen- tal topic most material and challenging for DOVIS- TA and our industry as a whole. In 2021, DOVISTA established a collaboration with Schneider Electric to have all Group reporting processes reorganized in accordance with the Greenhouse Gas Protocol, and we are currently working in support of the Paris Agreement’s goal to be a NetZero provider by 2050. In the first half of 2022, DOVSISTA will focus on cre- ating a new baseline for energy consumption and emissions. This new baseline will include the two large European window divisions acquired in 2021 that have nearly doubled our number of employ- ees, product platforms, production sites and market coverage. We will use this as an opportunity to re- assess our objectives and connect them to a series of specific short and long-term activities. This overall update of our baselines will also enable target set- ting for a number of other climate and environment activities including waste management, packaging, resource consumption and water consumption.

Kg CO 2 e per unit produced



14.1 18.2

2020 2019 2018 2017

14.9 15.4 20.5




In 2020 we changed our accounting practice in line with the GHG Protocol. This has meant that we now include all production, all offices and all fleet, and have also included a location based emissions factor for calculating CO 2 e per unit produced. This new accounting practice meant an increase from 14.1 to 18.2 tones CO 2 e in 2020, while our overall emissions were reduced over the same period.

Peter Grønlund Head of Group Sustainability

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Energy efficiency at Holsedore 18

A preservation building in Holsedore Denmark has undergone an extreme renovation from old girls’ school to new apartments. The original expression of the building has been taken into account, and on the outside the renovation is almost invisible to the naked eye. Thanks to VELFAC Classic windows, the style of the building is preserved, while ensuring a healthy indoor climate and energy efficiency. Holsedore 18 in Odense is a beautiful, older building from 1850. From the outside, it looks pretty much the way it always has. But inside, the story is quite different. Classic windows make the exterior renovation seamless and energy efficient The former girl’s school was acquired by KC Byg in 2016. As a preservation building, the exterior appearance must not be changed, and therefore great care was taken tomaintain the original expression of the building. Today, the external changes are not immediately appar- ent, and yet there has been an extensive renovation. 1 ) gennemsnitsfamilie-279 2) tal-og-internationale-indberetninger 3) These actions primarily support Sustainable Development Goal Targets 3.4, 7.3, 13.1

Inside, 35 new apartments have been built with unique detail to the use of sustainable materials. Among other things, this has set high requirements for the building’s windows. The new windows were required to ensure that the building style was preserved, along with pro- viding a healthy indoor climate and energy efficiency. The VELFAC Classic windows met all the criteria. Pro- duced with aluminum and certified wood, VELFAC win- dows use sustainable materials of the highest quality which ensures not only responsible sourcing, but low maintenance as well. The new windows also provide increased insulation. This reduces window condensa- tion and noise from the surrounding area, promoting a healthy indoor climate for residents. The new windows for this project also contribute to a total energy savings of 204 MWh per year. This is a savings equivalent to the average annual household district heating consump- tion for 11 families in Denmark 1 . This not only provides a considerable savings on the cost of heating, but also contributes to a combined emissions savings of 400 tonnes CO 2 e over a building lifetime of 25 years 2 . 3

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Packaging Reduction in Poland

Ambition To support the strategic driver of conducting responsi- ble business, our largest production facility in Poland, Window Village 1, is working with DOVISTA’s ambition of zero unutilized waste. For 2021, a 10% reduction in unutilised production waste compared to 2020 was targeted. This target was met, limiting the packaging of finished products as well as reducing the amount of disposable packaging within the production pro- cess. The best practice from this initiative is now being shared across the organization. Performance in 2021 • 10% reduction in unutilised production waste compared to 2020 • 19% decrease in weight of waste compared to 2020 What we did Initiatives for limiting the packaging of finished pro- ducts included: • decreasing the height of plywood • reusing wood scrap to replace cardboard corners • removing the use of square foams and felt material • using packing robots with pre-stretching to decrease the amount of foil used, and removing bottom foil

• fixing products for transport with less wood • using new plastic corners to decrease the amount of plastic used • changing packaging procedures to decrease the amount of wood used for single units (doors, windows) and sliding doors Initiatives for reducing the quantity of waste include: • Replacing cardboard boxes with reusable plastic packaging • Multiple use of cardboard boxes between facilities • Reuse of foil and plastic coils Initiatives for 2022 In 2022, we will be changing pressure containers to reusable containers, which will reduce packaging waste. The packaging for glue products will also be reduced in 2022. 1

Photo: Traryd

1) These actions primarily support Sustainable Development Goal Target 8.4, 12.2, 12.5

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DOVISTA CO 2 emissions

Energy source

Total GJ Percentage CO 2 e Total tonnes CO 2 e

Scope 1

Owned fleet

4,886 GJ


319 tCO 2 e

Leased fleet

19,335 GJ

6% 1,268 tCO 2 e


2,598 GJ


155 tCO 2 e

Natural gas

32,512 GJ

8% 1,655 tCO 2 e


1,936 GJ


127 tCO 2 e


1,645 GJ


105 tCO 2 e

Total CO 2 e tonnes

Fuel oil

547 GJ


41 tCO 2 e

Wood scrap

109,933 GJ


472 tCO 2 e

Total scope 1

173,392 GJ

21% 4,142 tCO 2 e

Scope 2

185,515 GJ

77% 15,411 tCO 2 e


Scope 1 21%

Scope 2 79%

District heating

7,322 GJ


347 tCO 2 e

Total scope 2

These totals are calculated in accordance with the Greenhouse Gas Protocol, and represent all entities that were part of the DOVISTA Group before September 1, 2021. The Scope 2 tCO 2 e total is calculated from location based emissions factors.

192,837 GJ

79% 15,758 tCO 2 e

Total tonnes CO 2 e

19,900 tCO 2 e

DOVISTA Sustainability Report / Human and labour rights / Environment / Anti–Corruption


Leading Star harmonisation project

DOVISTA is a business that has achieved its market position through organic growth and acquisition of local window companies in Europe. Because of this acquisition strategy, our product portfolio and supply chain have grown in complexity, even though customer needs across countries are very similar. There is thus great potential for increasing sustainability by reducing the amount of resources required. This can be accomplished by streamlining processes and harmonising products to as simple a level as possible - always with local legal requirements, building tradi- tions and climate conditions in mind. The work of real- ising this potential has been initiated through a com- prehensive harmonisation project called Leading Star. The ambition is to work with both back-end and front- end initiatives. Creating commercial window variants based on a smart and common product architecture that can be provided within a modern supply chain. The methodology is simple: simplification supports optimisation. The process is built around the modu- larisation of our product platforms, greatly reducing

non value-adding complexity. With less complexity we move towards a higher level of standardisation, and in so doing we support our common industrialisation journey. This approach will also allow us to more easily measure and align with sustainability specifications and certifications. When the Leading Star program is up and running, our aim is to positively impact several areas. With a significant reduction in the number of platforms, the simplification of product architecture will mean more resource efficiency and less resource waste. This work will also ensure a reduction in the quantity of materials required, while at the same time increasing quality. In addition to reducing resources throughout production, a more flexible supply chain will mean optimisations with relation to both cost and the opportunity to work more robustly with sustainability. 1

1 ) These actions primarily support Sustainable Development Goal Targets 12.2, 12.5

Photo: EgoKiefer

DOVISTA Sustainability Report / Human and labour rights / Environment / Anti–Corruption


CO 2 reduction in Norway

Cooperation with logistics supplier Natre reached out to and established collaboration with Bring. Together they realised a method for transporting glass by train instead of using trucks.

Transportation with trucks Previously, glass produced in Poland was transported by trucks. In addition to being CO 2 intensive, this transportation method resulted in broken glass, spills and delayed deliveries to customers.

Increased predictability Transport by train has resulted in more predictable delivery times and thus improved production planning.

CO 2 reduction The solution that they settled on after testing involved glass being transported by train for the majority of the route, giving a 512 Ton CO 2 reduction in 2021.

512 TON

Cost reduction Natre has experienced a 3 % cost reduction through the transition from trucks to trains.

Better work conditions The improved predictability has consequently given the team in Natre better working conditions and less overtime.

What now? Natre and their logistics supplier will continue collaborating to find greener solutions for Natre’s transportation needs.

Resource reduction and safer roads By reducing glass breakage and removing thousands of trucks from the road each year, the new transport method will also result in a resource reduction and safer roads.

DOVISTA Sustainability Report / Human and labour rights / Environment / Anti–Corruption


Renewable energy in Ireland

Rationel in Ireland is viewed as the premier window company providing aluminium clad wood windows. Long before it was fashion- able, the environment was front and centre when promoting the use of FSC certified wood for all products. Rationel in Ireland now takes the next step in envi- ronmental awareness and sustainability by looking at what and how energy is consumed. This has led to their ambition of becoming carbon neutral by 2030. In 2021, they created a roadmap to reduce energy in three areas of primary consumption: buildings, com- mercial vehicles and company cars. With relation to buildings, Rationel Ireland joined the first of its kind Green Future Plan 1 . This means that its four showrooms and two warehouses are now supplied with electricity from 100% renewable en- ergy sources, as well as carbon neutral gas through certified carbon programs.

In 2021, the company car policy for Rationel Ireland also changed from diesel as a first-priority vehicle to electric as a first-priority vehicle. This was made possible by a three-year payback period with rela- tion to cost. It is now up to the individual employee to examine their options and make a case for not switching to an electric vehicle. In 2021 50% of Sales vehicle replacements were electric, which is a small but important start. As a next step, and by 2025 with the advancements in commercial electric vehicles, Rationel in Ireland anticipates beginning to replace its existing com- mercial diesel fleet with electric vehicles. By 2027, the ambition is also to replace 100% of company cars with electric vehicles. 2

1 ) 2) These actions primarily support Sustainable Development Goal Targets 7.2 and 13.1

DOVISTA Sustainability Report / Human and labour rights / Environment / Anti–Corruption


Environmental indicators Environmental indcators 2021 figures 2020 figures DOVISTA Strategic Driver SDG SDG Target Area Accounting practice

Energy Consumption

Total energy consumption for the DOVISTA Group, calculated within GHG Protocol Scope 1 & 2, and including all entities part of the Group before September 1, 2021.

366,229 GJ

363,123 GJ

Fight Climate Change SDG 13 13.3

GHG Intensity (kg CO 2 e/ pr. unit produced) is an intensity ratio that DOVISTA reports in alignment with GRI standards. Intensity ratios define consumption in the context of an organization-specific metric, which for DOVISTA is products (the number of windows and doors produced).

13.9 kg CO 2 e/pr unit produced

18.2 kg CO 2 e /pr unit produced Fight Climate Change SDG 13 13.3

GHG intensity

Total waste by volume – of which is recycled

18,326 tonnes 17,454 tonnes Conduct Responsible Business

SDG 12 12.5

Total amount of waste generated by the DOVISTA Group’s production sites.

Conduct Responsible Business Conduct Responsible Business Conduct Responsible Business

Total amount of waste sent to a certified service provider for recycling by the DOVISTA Group’s production sites.



SDG 12 12.5


3,647 tonnes

4,229 tonnes

SDG 12 12.5

Total amount of packaging material purchased by the DOVISTA Group for production purposes.

Share of certified wood


90 %

SDG 12 12.2

Share of certified wood purchased from a certified service provider

The direct GHG (scope 1) emissions is based on the Greenhouse Gas Protocol and covers all direct emissions of greenhouse gases from the DOVISTA Group. For a list of energy sources covered in Scope 1, please see p. 25 In accordance with GRI 305-2, the market-based method reflects the indirect (Scope 2) emissions from electricity that DOVISTA has purposefully chosen (and not chosen), including a residual mix. In accordance with GRI 305-2, the location-based method reflects the average indirect (Scope 2) GHG emissions intensity of grids on which energy consumption occurs, using mostly grid-av- erage emissions factor data. Total GHG emissions and GHG intensity have applied Scope 2 location based emissions for calculation.

Scope 1

4,142 tCO 2 e

3,431 tCO 2 e

Fight Climate Change SDG 13 13.3

Scope 2 market based

25,395 tCO 2 e 24,530 tCO 2 e Fight Climate Change SDG 13 13.3

Scope 2 location based

15,758 tCO 2 e 20,660 tCO 2 e Fight Climate Change SDG 13 13.3

DOVISTA Sustainability Report / Human and labour rights / Environment / Anti–Corruption


Anti- Corruption The DOVISTA Group Complies with the Anti-Corruption Policy of the DOVISTA Group. Fully aligns with the UN Guiding Principles on Business and Human Rights.

DOVISTA Sustainability Report / Human and labour rights / Environment / Anti–Corruption


Supplier code of conduct in Poland

Ambition Working with our strategic driver of conducting re- sponsible business, DOVISTA has the ambition of achieving a 100% signature rate regarding our Sup- plier Code of Conduct for direct material suppliers in 2022. Performance in 2021 • 80% of direct material suppliers signed the Supplier Code of Conduct • 80% of direct material suppliers signed the Forbidden Substance List • 12% of Direct Material suppliers underwent a CSR Audit What we did Over the past year we made sustainability a corner- stone process and key agenda point for procurement. In May of 2021 we set a roadmap for achieving

ambitious targets related to our Supplier Code of Conduct. We aimed for a rate of 90% signed Supplier Code of Conduct for all our direct material suppliers, as well as conducting audits and providing training. At the same time, our baseline changed significantly. By targeting all direct suppliers, we moved from approximately 70 to 200 suppliers. This change reflects organisational and scope changes for pro- curement. We are now in the process of aligning our goals and expectations within our extended organ- isation after two major acquisitions were made in September of 2021. During this alignment process we will establish a new baseline and new goals for 2023. 1

1 ) These actions primarily support Sustainable Development Goal Target 8.8

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