CEO

CEO's message

Digitalization is driving development at an accelerating pace, forcing organizations to adjust and meet the rapidly changing needs from customers. This creates a dual agenda for enterprises and organizations: to run existing businesses and operations efficiently, and to innovate new products and services with customer experience at the center. At the same time, the interest for sustainability among our stakeholders has increased significantly during the past years, and is often an integral part of our customers’ requests for information and proposal. The underlying drivers are the concerns about global challenges, such as climate change, and how to support society at large.

Tieto’s aim is to be the preferred digitalization partner for our customers, providing innovative services and solutions to solve critical business as well as societal needs. We have focused on sustainability for many years, and work to integrate our sustainable business practices throughout our value chain. Together with the past years reshaping of the company, we have built on our capabilities to help customers become more competitive and strong corporate citizens.

During 2015, we invested in offering and competence development, recruited new talent, and completed three acquisitions. We also have our own in-house start-ups - Industrial Internet, Customer Experience Management, and Security Services, which was announced in January 2016 and will help our customers in the increasingly complex IT security environment. We are excited about the role IT can play in sustainable development, and have explored the environmental impacts of IT since 2010 by calculating the estimated CO2 emission reductions from our digital transaction services and other digital services replacing paper. In 2015, these estimated reductions amounted 223 kilo tons CO2 through these services alone.

Yet it’s important to maintain a holistic approach on IT and its role in society. Today’s hyper-connected world is inevitably leading to increased energy consumption, as one example. At Tieto, energy efficiency is a core criteria in all our new-generation data centres. We were one of the first to explore the opportunities of recycling excess heat from data centre servers to warm up buildings. This solution is in use in our data centres in Espoo and Stockholm. Altogether, this energy recycling reduced CO2 emissions by 2 373 tons in 2015 (1 711 tons in 2014).

Implementing sustainable business practices throughout business operations

Our CO2 emissions have continued to decrease. In 2015, our reported CO2 emissions decreased by 3% to 31 kilo tons. During the year, we also completed several successful ISO 14001 certification projects, in Sweden and Norway among other places, and now cover 95% of employees with this environmental standard. By this, we reached our corporate responsibility target of having all units with more than fifty employees certified.

I’m also pleased to see the progress we are doing to implement our ethical business practices in business operations and supply chain. We have a zero-tolerance against unethical behavior. The implementation of our Supplier Code of Conduct corresponded to 81% of our total spend in 2015. By the end of the year, 73% of employees had taken our digital Code of Conduct e-learning. No breaches of our Code of Conduct policy and Supplier Code of Conduct Rule took place during the year.

The renewal of Tieto is also visible when looking at the company as a workplace. Our annual employee engagement survey, Voice, was conducted in the autumn 2015 and reached a 68% score, a clear improvement from 2014. One of the highlights was the Open Source culture index, where 72% of our employees said they are positive to our Open Source, which promotes a work environment based on openness, transparency, collaboration and innovation. The improvement of employee engagement gives us a strong foundation ahead to provide exciting career opportunities for our employees and drive innovation with our customers.

During the year, we renewed our commitment to the United Nations Global Compact principles for human rights, labor rights, anti-corruption and environment, of which we have been a signatory since 2010. Our aim as a corporate citizen is to minimize environmental impact, be an ethical forerunner, and create value for all stakeholders. We have already reached a long way, and are looking forward to take the next steps in 2016 together with our stakeholders by renewing our corporate responsibility materiality, and as part of that also develop new corporate responsibility targets.

We hope this report, our seventh corporate responsibility report that has been prepared in accordance with the GRI guidelines, will answer your questions on how we as a company support a sustainable development of society.

Kimmo Alkio, President and CEO