Sustainability Report 2015

Sustainability Report 2015

This Sustainability Report isalso available in German.
These versions and further
information can also be
downloaded from the Internet.
www.voith.com

FocusEUROPE
Europe contributes more to the world’s Gross Domestic Product (GDP) than any otherregion – in fact the European Union is the world’s largest internal market and represents
around one quarter of global economic output. And it is here in Europe that Voith has
its origin as a company. Although the original German Voith company has long since
become a globally operating group, we are still deeply rooted in our home country.
We currently generate over one third of our revenues in Europe, where sustainability,
protecting the environment and conserving natural resources are playing an ever-greaterrole. In projects such as the pumped storage power plant at our Reißeck facility in
Kärnten, Austria we generate power with an absolute minimum of environmental impact –and through our commitment to doing business sustainably, we work constantly toensure our business stays fit for the future. To find out just how we achieve this, and how
successful our efforts were over the reporting year, we warmly invite you to read on.

About this Report
Our Aspiration
This is the sixth Sustainability Report published by Voith GmbH. Since2009 we have kept our company’s stakeholders updated once a year on
the progress we are making towards our goal of becoming the sustainability benchmark in our respective business sectors. The focus of ourreporting is on explaining our strategies, our solution approaches andmeasures, as well as presenting our sustainability-related key figures. In
order to identify the material sustainability topics for our reporting, we
conducted a detailed materiality analysis in 2014. We plan to bring this
up to date in 2016, and already completed the groundwork at the beginning of the current year by carrying out a comprehensive stakeholder survey. The results will form an integral part of our next Sustainability Report.
Reporting Content
In preparing this report we were guided by the internationally recognized
Guidelines of the Global Reporting Initiative (GRI) and used the version
GRI G4. We dispensed with an external audit of the report’s content. In
our own assessment, the scope of reporting meets the requirements of
the GRI G4 “core” option.
Reporting Period and Report Scope
The Sustainability Report 2015 is based on the fiscal year 2014/15 andcovers the period from October 1, 2014 to September 30, 2015.
In the reporting period Voith committed to and initiated significant changes to the company’s size and structure, as part of the success program Voith 150+. The Group’s executive management decided to focus
the company on its technology and engineering competence throughits three core Group Divisions Voith Hydro, Voith Paper and Voith Turbo,
which are active in our three main business sectors, and to divest ourVoith Industrial Services Division. Voith Industrial Services will therefore
be regarded in our sustainability reporting as a discontinued businessactivity, in the same way as in our Annual Report. In addition to this, allVoith’s Industry 4.0-relevant activities are to be bundled within the newly
established Group Division Voith Digital Solutions. The facts, figures, andother information provided in this Sustainability Report therefore apply to
the global activities of the continued Voith Group Divisions Voith Hydro,
Voith Paper and Voith Turbo, unless otherwise indicated. The companies
within the reporting scope are defined in Voith’s 2015 Annual Report. The

2 I Voith Sustainability Report 2015

degree of consolidation comprises at least 80 % of the Voith Group by
revenues and headcount, and includes all of our Group’s major locations.
Regarding the Group’s supply chains in the reporting period, there wereno material changes since the publication in August 2015 of the 2014
Sustainability Report.
Gathering and Comparability of Data and Information
Information was gathered electronically in written form for this report,
and the data were recorded mainly using division-specific software. For
this report, once again certain key figures were calculated for the firsttime. Due to the new bases for calculation, a three-year trend cannot
yet be presented in certain cases, but this is a goal Voith intends to pursue. Owing to these new calculation bases, improved data quality, andupdated information, we needed to correct certain factual information
relating to previous reporting periods in individual cases, or adjust themto the modified data-gathering scope: This is indicated where applicablein this report. There may be differences in the data totals as a result ofrounding figures up or down.
Forward-looking Statements
All forward-looking statements in this report are based on reasonable assumptions as at the deadline for content submission. Due to unknown
risks, uncertainties, and other factors, the actual results, developments,
or performance of our company may deviate from our forecasts, estimations, and statements. Further information is provided in Voith’s Annual
Report.
Additional Comments
For improved readability we refrain from referring specifically to both genders in this report. This is not a value judgment and all forms are to beunderstood as gender-neutral. The Sustainability Report 2015 is available in German and English, and can also be downloaded from our company website. Further and more extensive information is provided on ourcompany website www.voith.com and in our Annual Report.

The next Sustainability Report is scheduled for publication in early 2017.

Voith Sustainability Report 2015 I 3

Editorial
Dear readers,
Fiscal year 2014/15 was an eventful one for Voith, and one in which we achieved agreat deal in terms of sustainability. This is now our sixth Sustainability Report. In
this document we offer you a status update on where we stand with our numerous
sustainability activities, and we are pleased to confirm we made further progress in
key areas in improving our sustainability performance in the reporting year.
It is particularly satisfying that in improving our key performance indicators in thefields of energy, waste and freshwater consumption we got back on track andreturned to our original plan as regards sustainability progress. Thanks to focusedroot cause analysis and the consistent continuation of our hot-spot analyses, all
KPIs are now back within our target corridor.
Above all, in the past fiscal year we focused squarely on the further development of
our sustainability organization. In the same way as the organization of other crossdivisional functions at Voith we developed our Health, Safety and Environment (HSE)
structure further into a global Voith HSE organization: This now gives us a lean,flexible and highly effective Business Partner structure. Experienced experts acrossour Group now provide our operating business units with their expertise full-timein order to further improve our performance in Health, Safety and Environment, as
well as to identify risks and systematically reduce these through continual process
improvement. This lean organization is supported by our integrated IT system hse+,
which we have rolled out worldwide.
The new structure has been operational since the beginning of the current fiscal
year, and I am convinced that I will be able to provide you with evidence of further
progress thanks to its implementation. Our goal remains constant: To make Voith
the sustainability benchmark across all sectors and markets in which our company
does business. We will be judged by our progress towards this goal, and we are
therefore dedicated to reaching it. Thanks to our new organization we have come agood deal closer to our objective, and I hope that through your interest in sustainability you will continue to accompany us on our journey towards it.

Sincerely yours,

Torsten Kallweit
Head of Corporate Sustainability and HSE

4 I Voith Sustainability Report 2015

Contents
About this Report, Editorial, Contents, Foreword

04 Responsibility for Our Employees

62

4.1 Management Approach

64

Editorial4

4.2 Attractive Employer

67

Contents5

4.3 Occupational Health and Safety

73

About this Report

2

Foreword 

601 Sustainable Management

8

05 Responsibility for Society78

1.1 Group Portrait 

10

5.1 Management Approach 

80

1.2	Strategy and Organization

15

5.2 Projects and Activities

81

1.3 Values and Compliance

21

02 Responsibility for the Environment

24

Miscellaneous87

2.1 Management Approach

26

Facts and Figures882.2	Conserving Resources

28

Goals and Goal Achievement

112

2.3	Protecting Our Environment

38

GRI Index

116

Imprint/ContactCover03	Responsibility for Products
and Supply Chains

44

3.1 Management Approach

46

3.2	Sustainability in the Supply Chain

56

Voith Sustainability Report 2015 I 5Foreword
Ladies and gentlemen,dear friends of Voith,
Next year we celebrate Voith’s 150th anniversary. That ourcompany is able to look back on such a long and successful
business tradition is first and foremost thanks to the dedicated work of all Voith employees past and present. Overthe decades they have turned our company into one of thelargest family-owned companies in Europe. They have helped
us become a company that constantly follows a long-term
strategy, anchored by the principles of sustainable business and a clear commitment to corporate responsibility.
Sustainable business guides our decisions and actions as
a company, and is a core management principle at Voith.
We work to uphold this principle each and every day – but
this is not enough for us: Our explicit goal is to make Voitha benchmark company in sustainability terms, and we areworking consistently and with great dedication to achieve this.
Since 2009 we have provided regular reports on our actions,our progress areas, and our objectives: With this document,
our sixth Sustainability Report, we stay true to this tradition.
We offer you this report looking back on a year that brought
far-reaching changes for Voith. It was also a year in which we
successfully brought Voith on track towards new strength.
Our success program Voith 150+ remains the basis for this,and the portfolio optimization and efficiency-raising measures
it comprises are increasingly gaining traction. We are focusedon our roots as a technology and engineering group, and thisorientation is underscored by major strategic decisions suchas our participation in KUKA AG, and the divestment of our
discontinued Group Division Voith Industrial Services.
With this we are preparing Voith for the next development
phase, in which we will focus on seizing the opportunities
that digitization offers our company. We have drawn up an
ambitious digital agenda to turn Voith into a prime mover ofthe digital transformation in our sectors and markets.

6 I Voith Sustainability Report 2015

The thoroughness with which we are pursuing this approachis currently evidenced by the creation of our new Group
Division Voith Digital Solutions, in which we will concentrate
all our Industry 4.0 activities.
We intend to make Voith fit for the future, and we are now laying the groundwork for this. Naturally, this also means that wewill continue to work to make Voith a company wholly basedon sustainable business principles. This is because we areconvinced that only a sustainable company can remain successful over the long term – and only a successful company
has the power to do business sustainably and consistently.
Based on this fundamental conviction, in the past year we
further developed our Health, Safety and Environment (HSE)
structure into a global Voith HSE organization. The crossdivisional functions’ new Business Service structure and four
regional competence centers now enable us to support theoperative business units on location in embedding sustainability even more deeply in their daily work.
At the same time, in the reporting year we further improved
our sustainability performance, particularly in the fields ofenergy, water and waste. After a brief deviation in the previous
year, our key performance indicators are now right back on
track and I am confident that we will reach the environmental
objectives we have set for ourselves.

that also spurs us on to continue contributing to sustainable
development.
In the area of occupational safety, Voith is already an industry
leader. In the reporting year we further consolidated our good
position, which was confirmed by the top rating of A+ we
received from oekom research AG. Both the number andgravity of the work-related accidents saw a clear decline in
the reporting year.
Our efforts are bringing results, and the examples offered
above provide impressive confirmation of this. Furthermore,
I am highly confident that with our progress in the field ofsustainability we will be able to continue our company’s successful business development. This is because sustainability
means future viability – and this holds true today just as it did
150 years ago.
I wish you a stimulating and inspiring read!

Yours sincerely,

Dr. Hubert Lienhard
President and CEO

Our powerful Green Controlling system is one of my main
reasons for optimism. This approach enables us to identify areas of economic and ecological efficiency potential
in our business activities, and thus to steer towards these,guided by the respective KPIs. In September 2015 ourefforts were rewarded with the Péter Horváth Foundation’s
Green-Controlling Award – a prize that not only recognizes
the uniqueness of this solution in our industrial sector but

Voith Sustainability Report 2015 I 7

8 I Voith Sustainability Report 2015

Being firmly rooted in all regions of the world and knowing local markets –this is part of our Corporate Strategy, which in turn underpins ourcompany’s success. The European markets, and in particular our homemarket of Germany, have always been a pillar of our success: This is thebirthplace of our company.

01

Sustainable
Management
Voith is a globally active technology group. With ourportfolio of production plants, products and industrial
services, we actively serve five essential markets
worldwide: Energy, Oil & Gas, Paper, Raw Materials,
and Transport & Automotive. Our understanding ofsustainability is strongly influenced by the tradition ofVoith as a family-owned company, and the way it has
always done business. This understanding is at thecore of our commitment to conduct business in anenvironmentally friendly and fair manner, and thus tosecure long-term business success.
Voith Sustainability Report 2015 I 9

Sustainable Management

1.1 Group Portrait
Overview of the GroupAs a global technology group active in over
60 countries, Voith maintains a worldwide networkof product, service and distribution locations. The
Group generated € 4.3 billion in annual sales infiscal year 2014/15.
Voith GmbH, headquartered in Heidenheim/Brenz,
Germany, is the operational management holding company for the Group and is entirely familyowned. The Board of Management of Voith GmbH is
responsible for the Group’s strategic management
and operations. The Shareholders’ Committee andthe Supervisory Board act as the advisory andsupervisory bodies respectively. The Supervisory
Board also monitors the Board of Management.
As at the end of the reporting period, the Group’s
operating business is bundled in three Group
Divisions, which are each managed by legallyindependent management companies.
Voith Hydro is a turnkey provider that equips leading operators’ hydropower plants around the world.
A quarter of the world’s hydroelectric power is generated using Voith Hydro turbines and generators.
Voith Paper is a system supplier to the paperindustry, providing technologies, products andservices covering the entire paper production process. A large share of the global paper production
is performed on Voith machines.
Voith Turbo produces drive solutions as well as
technical systems and components, which are in
use around the globe in industrial plants as wellas on railroads, highways and seaways worldwide.
The discontinued Group Division Voith Industrial
Services is a service provider to key sectors suchas the automotive, energy, chemical and petrochemical industries. Major companies around theworld rely on Voith Industrial Services’ technicalservices and expertise.
In the 2014/15 fiscal year the Corporate Board ofManagement of Voith GmbH decided to focus theGroup on its technology and engineering strengths
within the three above-mentioned core businesssegments, and to divest the Group Division
Voith Industrial Services. Consequently, in theGroup’s Annual Report this division is treated asa discontinued operation in accordance with theInternational Financial Reporting Standard (IFRS 5).
In accordance with how information is presented in
our Annual Report, our Sustainability Report also
focuses on the three core business segments ofVoith Hydro, Voith Paper and Voith Turbo. (Organisationsstruktur)

Organizational Structure
Voith Group Divisions
Voith GmbH

Voith
Hydro
* From April 2016.

10 I Voith Sustainability Report 2015

Voith
Paper

Voith
Turbo

Voith
Digital ­­Solutions*

Digital Agenda for the Fourth Industrial Revolution
We developed a Digital Agenda to tap into the new growth opportunities offered byIndustry 4.0. Its aims include establishing a new Group Division: Voith Digital Solutions.
In future, this new unit will house all the Group’s Industry 4.0 know-how. The new unit
will focus on developing new digital business models – even in industries where Voith
is not currently active.

Existing automation, software, IT, digitizationand sensor expertise from the Group Divisions
Voith Hydro, Paper and Turbo will be bundled
and further developed in this new Group
Division. Furthermore, Voith Digital Solutions
will also be home to all of the Group’s digital
ventures and start-up activities. The division
was launch on April 1, 2016, with a team of
600 staff and around 250 million euros inexisting business.

Stability and Long-term Focus of a Familyowned Company
Founded in 1867, Voith is now one of Europe’s
largest family-owned companies. Stability and thelong-term focus of its owners have always been
the driving force behind the company. Ensuring
the company develops sustainably and profitably
is the core aim of the shareholders, Supervisory
Board and Corporate Board of Management. It isthe basis for Voith’s financial independence – andat the same time the prerequisite in ensuring thecompany can be passed on to the next generation.

“We are bundling our expertise in the areaof Industry 4.0 and taking a decisive step
towards achieving our goal with Voith Digital
Solutions. We are systematically developing
Voith into a company that will play a majorrole in shaping digital change in our industries
and markets”, explains Dr Hubert Lienhard,President and CEO of Voith.
Additional cornerstones of Voith’s Digital
Agenda are planned venture activities, inareas including software, platforms, cyber
physics and Industry 4.0, which may also be
integrated into the new unit in the mid-term.

Group Strategy Geared Towards Sustainable,
Profitable Company Development
At Voith we see business success as a long-termgoal and our Group Strategy is geared towards
sustainable, profitable company development. Our
success is built on five pillars:• A diversified product portfolio based on megatrends• An international footprint and strong local roots• Our innovative capabilities• Embracing digitization, and• Our financial independence as a family-owned
company.

Voith Sustainability Report 2015 I 11

Sustainable Management

Starting from the original core business of machineand plant manufacturing, over recent years wehave expanded our product and services portfolio
and carved out a strong position for ourselvesin our core markets of Energy, Oil & Gas, Paper,
Raw Materials, and Transport & Automotive. Our
positioning cushions us against many economic
risks. For instance, falls in sales in markets that
respond less quickly to cyclical changes suchas Oil & Gas, Raw Materials, and Energy can becompensated by markets that respond quickly tocyclical changes such as Transport & Automotive –and vice versa.

AR 201501.1. Group structure
and businessactivities

We set ourselves the goal of being present in key
growth regions with development and production
facilities to supply markets locally and advise theiractors directly. We achieve this by creating value
at a regional level as, alongside local management
and regional supply chains, we are increasingly
using local sources of finance. We aim to embed
ourselves as firmly in our international markets as
we do at our German locations.
Voith 150+ Program – Rigorously Driving
Forward the Group’s Transformation Process
We launched our Group-wide Voith 150+ successprogram right at the start of the 2013/14 fiscal
year. It aims to optimize our product and service
portfolio, increase our efficiency through process
improvement and further develop the Voith corporate culture. By doing so, we aim to secure thelong-term competitiveness and capacity for growthof the Voith Group well beyond our 150th anniversary in 2017! After all, only a financially soundcompany can remain viable over the long term.

HR
4.1 Management
ApproachContinuing in the tradition of our family-owned
company we aim to make the consequences of
our Group’s transformation process as sociallyacceptable as possible for our employees, and are

12 I Voith Sustainability Report 2015

working closely with employee representatives toachieve this. (Verweis)
We are well on schedule in terms of implementing
Voith 150+. The key decisions taken in the reporting period included divesting the Group Division
Voith Industrial Services, and in doing so clearly
focusing the Group on its engineering expertise.
Voith and funds advised by the private equity company Triton have reached a basic agreement on thesale of the Group Division Voith Industrial Services
and signed a corresponding contract. The conclusion of the sale is expected by the end of the fiscal
year 2015/16.
Furthermore, in the reporting period Voith acquireda strategic shareholding in KUKA AG, and holds a27.96 % stake in the company as at the end of the
2014/15 fiscal year. The KUKA Group is one of theworld’s leading providers of robots and automatedproduction facilities and solutions. (Verweis)
We have also achieved key milestones in restructuring of our Group Division Voith Paper, which is
confronted with a fundamental structural change
in the market for paper machines. The measures
we introduced in the previous fiscal year have now
been fully implemented and have made a significant contribution to the clear improvement in Voith
Paper’s operating result in the reporting year. In
February 2015 Voith Paper presented a further
package of measures to consolidate its European
activities into just a few locations and trim 900
jobs. Implementation of these measures will becompleted by the end of 2016.
In the reporting period, the three other Group
Divisions made targeted portfolio adjustments. These included the sale of business units
as well as the relocation, reduction in size or closure of locations. The most extensive changes

affected Voith Industrial Services with the divestment of an entire business area, the DIW Group,on September 30, 2014, and focused the Group
Division on technical services for key industries.
At the same time, in the reporting period we selectively expanded our portfolio by making acquisitions. Among them, we strengthened our service
business for the automotive industry by acquiring
a company in the USA.
In the reporting year we also started to extensively
restructure cross-divisional functions such as
Purchasing, IT, Finance, Controlling, Accountingand HR. Our new structures and processes, which
are uniform across the Group, are designed tomake administration more streamlined and efficient. In doing so, we intend to support our operating units in taking the burden of routine tasks off
their shoulders, thereby giving them the necessary
freedom to focus on their core business.
Key elements of our new organizational model
include Global Business Service Centers,
Competence Centers and Business Partner structures. In future, our four regional Global Business
Service Centers will bundle administrative tasks
that can be standardized. All indirect activities also
maintain a competence center which is responsible throughout the Group for defining global
standards for Voith, as well as for dealing withindividual topics that require specialist knowledge.
Local business partners offer the business units
customer-oriented support with specific projects
on a “one face to the customer” basis.
The new organization commenced operations
on October 1, 2015. The four Global Business
Service Centers in Kunshan (Asia-Pacific region),
York (North America), São Paulo (South America)and Heidenheim (EMEA) will be completed in

September 2016 and the new structure will be up
and running globally by then at the latest.
The reorganization of cross-divisional functions
will result in the need for fewer employees in theindividual divisions. The corresponding reductionof around 720 jobs will have been completed by
the end of the 2015/16 fiscal year.
Fiscal Year 2014/15 – Voith on its Way to
Achieving New Strength
Despite the persistently weak economic environment, in fiscal 2014/15 the Voith Group clearly
increased its economic strength. Following falls
in sales in previous years, in the reporting year
we were able to increase our Group revenues by
3 % to € 4,302 million and stabilize the order volume at much the same level as the previous year(€ 4,389 million).
The efficiency increases we achieved as part of
the Voith 150+ success program are reflected in aconsiderably higher operating result and improved
profitability. Above all, efficiency increases led to adisproportionately high increase in operating profitof 15 % to € 270 million. Our net result stood at€-93 million, burdened by one-time factors related
to ongoing restructuring measures. However, we
will return to a clearly positive net result in the current fiscal year.
Our three continued Group Divisions were either
able to stabilize (Voith Hydro) or increase (Voith
Paper and Voith Turbo) revenues in the 2014/15
fiscal year. All three reported positive operating
figures, although trends differed in each. (Verweis) (Verweis)(Umsatzgrafik)

AR 201501.1. Group structure
and businessactivities
F&F
Miscellaneous

Outlook
We anticipate a three-speed world over the coming year. Even if China has lost a little momentum
as a growth engine, the strongest growth stimuli

Voith Sustainability Report 2015 I 13

Sustainable Management

will come from Asia’s emerging markets. We also
expect continued growth from North America,
although the majority of other industrialized counties, particularly in Europe, may show hardly any
dynamism. Essentially, we have prioritized Asia
and North America as strategic growth regions for
the Voith Group. Strong investment, even deeper
local-market embedding and increased localization of our products are all intended to allow us

to participate in the growth of these markets. We
additionally intend to utilize special developments
in individual markets, segments and countries asopportunities for specific Group Divisions or business units.

Sales Group1)

Sales 2014/15 total € 4,302 million1)in € millions

by Group Division

1)

2)

4,1682)

4,302

2013/142014/15

 xcluding the discontinued Group Division
E
Voith Industrial Services.
Previous year restated.

Voith ­Turbo
34 %Voith ­­Hydro
31 %Voith Paper
35 %by region
Americas29 %Germany
11 %EuropeexcludingGermany
27 %

Asia
28 %
1)

14 I Voith Sustainability Report 2015

Excluding the discontinued Group Division
Voith Industrial Services.

Other
5%

1.2 Strategy and Organization
Sustainability at the Heart of our Strategy
At Voith, sustainability and striving for commercial
success are inextricably linked. Our approach tosustainability has its roots in Voith’s family tradition:
The commitment to conduct business in a waythat is ecologically clean, fair and with long-term
success.
We make a measurable contribution to the sustainable development of our company, society andthe environment. We also aim to make Voith thebenchmark in our markets and industries when it
comes to sustainability – a goal we intend to live
up to throughout the value chain and in all our
processes.
Six fields of action integrate sustainability management within the Group. This includes the aim ofsustainable corporate governance and striving forprofitable growth. Our sustainability approach also
includes responsibility for our products, the environment, our employees and for society. Each fieldof action is assigned specific measures withscheduled goals. We also regularly publish ourgoals as part of our sustainability reporting activities, and document our level of achievement.
(Verweis) ((GrafikHF)))

How Voith Organizes Sustainability
At Voith, sustainability is a cross-functional
responsibility shared by our Corporate Board ofManagement, Group Divisions and Corporate
Departments. Our new Group Directive on
Sustainability, which was developed in the reporting year and entered into force in December 2015,sets out the organization, responsibilities and theprinciples underpinning our actions.

The Corporate Sustainability central function provides the framework for the strategic focus andorganization of sustainability at Voith. It advises
the Group companies and Corporate Departments,and further develops the topic as a strategic
issue. The central function reports directly to the
President and CEO. It defines tools and methods
to measure and control the Group’s activities, suchas the sustainability database and associatedreporting tools. Furthermore, the global specialist organization Health, Safety and Environment
including the Sustainability Office report directly
to the central function.
The Corporate Sustainability Council (CSC) serves
as a central management organ, which comprises
the Group Division’s Sustainability Officers. In fiscal
year 2014/15 this central control body convened
five times.

Goals and Goal
Achievement
Miscellaneous

The CSC prepares the bases for decisions
and reports directly to the Corporate Board ofManagement. In its controlling and monitoring
function, the central control body monitors theoperational implementation of strategies, goals andmeasures in the Group Divisions and is responsiblefor data-collection processes. The Group Divisions
and various Corporate Departments (e.g. HR and
Purchasing) are responsible for the operational
implementation of these measures.
We follow a very strict system to ensure the rigorous implementation of our Sustainability Strategy.
As part of the CSC’s quarterly report, the achievement of sustainability goals is regularly checked at
Group and Group Division level. The report contains a detailed list of measures which describes
the tasks, responsibilities and deadlines for therespective operational levels. (Kasten)

Voith Sustainability Report 2015 I 15

Sustainable Management

New Health, Safety and Environment Structure
Streamlined structures, standardized processes and improved efficiency – inline with this goal, in fiscal 2014/15 we further developed Health, Safety andEnvironment (HSE) into a global HSE organization which has been active since
the start of the fiscal year 2015/16. Similar in structure to other cross-divisional
functions, it comprises our global Center of Competence HSE and four regionallybundled service organizations for expert support.

Torsten Kallweit, Head of the central function
Corporate Sustainability & HSE, summarizes
the benefits: “Our new HSE organization
gives us a streamlined, flexible and effective
business-partner structure. Across the Group,
experts provide our operating units with vitalknow-how to further improve our performancein health, safety and environmental protection,
while tapping into valuable synergies andreducing service costs. Each operating unit
has access to skilled partners at any time, toidentify risks and systematically reduce themthrough continual process improvement.”
The management team of the central function Corporate Sustainability & HSE is responsible for continually developing the topic ofhealth, safety and environmental protection atVoith. Besides further developing it conceptually, this also includes defining guidelines
and standards, setting goals and measuringperformance.

HSE Structure

Head of Corporate
Sustainability & HSE

Center of Competence HSE– Occupational Safety– Health Protection– Environmental Protection

HSE Service
EMEA

16 I Voith Sustainability Report 2015

Ecological Business
Management– Energy management– Resource management

HSE Service
North America

HSE Service
South America

Sustainability Office– Controlling– Reporting

HSE Service
APAC

The newly created Center of Competence
HSE is a one-stop shop for methods, tools
and standards for the Group Divisions. EachGroup Division is assigned one employee
from the Center of Competence HSE as abusiness partner. As the central point ofcontact, this business partner is available to
the Board of Management of each Group
Division to answer any HSE questions.
Our operating units remain responsible for
implementing health, safety and environment
activities locally.
Regionally bundled service organizations
support Voith organizations in each region on
all HSE topics. They are responsible for theapplication and implementation of the methods, tools and standards provided centrally by
our Center of Competence HSE. The regional
service organizations EMEA, APAC, North
America and South America commenced
operations on October 1, 2015.
Each HSE expert supports several Voith
Group companies and is responsible foradvising and supporting the General Manager
and staff responsible at the Group companies
and locations – the expert’s “customers” – on
all questions relating to the health and safetyof employees as well as environmental protection. Duties include providing support withannual safety instructions and risk analyses,
local approval of hazardous substances, andincident analyses. The expert functions are
divided into Occupational Health and Safety,
and Environmental Protection.
The Heads of the regional HSE service organizations and the members of the Center ofCompetence HSE form the HSE Steering
Team. It meets biannually and is chaired by

the Head of the Corporate Sustainability &HSE central function.
This streamlined organization is supportedby the integrated IT system hse+, which isused globally. hse+ provides the HSE experts
around the world with highly standardized,
automated processes to assist them in their
daily work. The IT solution is designed to further accelerate the development of the system
into becoming a global HSE management
system, while also simplifying certification
processes. In doing so, the current standards
in the area of occupational health, safety andenvironment (OHSAS 18001 and ISO 14001),
which were still certified divisionally, will betransitioned and bundled in a Group-wide
HSE Matrix. Besides optimizing costs, this will
also lead to qualitative improvements throughcross-divisional learning.
In light of this, we are aiming to reach three
milestones in the fiscal year 2015/16:• The transitioning of all existing HSE certifications to the Group-wide HSE Matrix,• The incorporation of HSE certificates froma wide range of certification bodies into an
HSE Matrix, and• The integration of further Group companies
in the HSE Matrix as necessary.
With the establishment of the new HSE organization in 2015 we also consolidated theexisting Environment and Occupational
Safety/Health Group Directives into our new
Health, Safety and Environment (HSE) Group
Directive, which, among other things also
includes five reformulated HSE principles.

HSE principles
2.1 Management
ApproachVoith Sustainability Report 2015 I 17

Sustainable Management

In Constant Dialog with Stakeholders
As a globally active Group, Voith is in constantdialog with a large number of stakeholders. We
address their wide-ranging requirements, interestsand expectations, and take account of these in
our business decisions. Our key dialog partners
include the shareholders, supervisory committees,
employees, the Works Council, our customers,
suppliers and investors, as well as neighboring
communities, trade associations, academia, government agencies and politicians, NGOs (such as
the World Wide Fund for Nature) and the interested
general public.

AR 2015
06 Sustainability

towards promoting the topic of sustainability atVoith. Here, site and plant managers take on a
special role: With practical know-how, we aim to
help them save resources in their areas of responsibility. To illustrate this, in the reporting period welaunched a newsletter aimed specifically at thistarget group to reinforce the sharing of experience
between sites, in order to disseminate best practice as quickly as possible within the Group.
Regular Stakeholder Survey
At the end of 2013 we conducted our first extensive stakeholder survey to identify the needs andexpectations of our stakeholders on corporate
responsibility at Voith. It was a resounding success,with 1,048 participants from 43 countries completing our anonymous online survey, which wasavailable in five languages on Voith’s homepage.

External Experts to Provide Further Stimuli
To expand the internal view of sustainability topics
and to generate new stimuli for the sustainability
management activities of Voith we will establish
a Sustainability Advisory Board from fiscal year
2015/16 onwards. This committee will be composed of Prof. Dr. Stefan Schaltegger from the
Leuphana University, Lüneburg (Germany), andAndreas Zamostny, Managing Director of manage­
ment consultancy firm Schlange & Co. based in
Hamburg (Germany), which specializes in sustainability. The experts will join the biannual meetingsof our CSC to discuss aims, strategies and progress towards implementation of the measures foreach topic area.

As planned, we will survey our stakeholders once
again in the spring of 2016. Besides the relevanceof Voith’s activities, participants are also asked toevaluate our company’s sustainability performance.
Based on the feedback gained from the previous
survey, we revised the questions on individual
fields of action and integrated new topics relating
to such matters as the supply chain and productresponsibility. We will publish an extensive accountof the results in our Sustainability Report 2016.

Transparency and Reporting (Verweis)
We inform our stakeholders through our annual
Sustainability Report as well as via additional information published on the Internet. Furthermore, sustainability is an integral part of our Annual Report.
We keep our employees updated on sustainability
issues through posts on our Group-wide intranet
and articles in our employee magazine. Throughthis, we intend to encourage them to contribute

Materiality Analysis – Focusing on What
Matters Most
The results of our stakeholder survey of 2013/14
provided us with the basis to perform a detailed
materiality analysis, allowing us to realign our sustainability management and reporting activities,
and to focus on the key aspects. We achieved
both aims with our survey. We also identified new
fields of action and have already launched an

18 I Voith Sustainability Report 2015

Green Controlling Brings Greater Efficiency
In September 2015 Voith was awarded the
Péter Horváth Foundation’s Green Controlling Prize. Under the slogan “Get into theblack with green!”, the foundation, together
with the ICV (International Controlling Association), presents the award annually for themost innovative and effective “green” controlling solution.
Voith identified the economic and environmental efficiency potentials of its businessactivities at a very early stage way back in2008. It makes these potentials measurable
and controllable, and rigorously implements
improvements. It is a commitment that is paying dividends: Energy, water and material-efficiency measures have achieved annual savings of 6.5 million euros for Voith, with 52,704

megawatt-hours of energy, 737,078 m 3 ofwater and 1,907 tonnes of materials saved
each year.
Building on traditional controlling methods,
Voith’s Green Controlling solution provides
the basis for these improvements. It reflects
traditional recording, analysis and reporting
processes, and in doing so creates a high levelof transparency in the Group. The key factor
for success is its uniform, Group-wide implementation using a dedicated IT solution. At alllevels, from the Group to the individual location, the focus is on economic added value
and environmental benefit. At the same time,achievement levels regarding specific targets
are reported on in each case, which has led tothe improvements over previous years.

Winners of the Green Controlling Prize 2015 (left to right): Siegfried Gänßlen, Chairman of ICV;
Erwin Gutensohn, Vaude; Isabel Stiefenhofer, Vaude; Dr. Heinz-Gerd Peters, Deutsche Telekom;
Silke Thomas, Deutsche Telekom; Torsten Kallweit, Voith GmbH; Prof. Dr. Dr. h.c. mult. Péter Horváth.

Voith Sustainability Report 2015 I 19

Sustainable Management

Voith
http://voith.com/en/
index.html

initial set of initiatives regarding these. By doing
this, among other things, we intend to better identify risks in our supply chain and present thesemore transparently by producing a risk “heat map”.
The approach we took in evaluating the survey
proved worthwhile and we will employ it again with
our next survey. First we identified the relevant
topics: Besides the Global Reporting Initiative(GRI) standards and external benchmarks, we
paid particular attention to the goals of ourSustainability Strategy. After we had prioritized
the individual topics based on our stakeholder
survey, their materiality was defined in workshops.
We then presented the outcome of the analysis to
our Corporate Board of Management.
To better understand the results, we rearranged
the individual topics by fields of action or by
section, and presented them in the form of amatrix. The main topics derived from the materiality analysis are assigned to the individual fieldsof action or sections.

A detailed analysis shows that the “Productresponsibility” field of activity is of greatest importance to both internal and external stakeholders.
By contrast, “Society” is considered to be of secondary importance. The respective importance ofthe other fields of action lies between these twopoles.(Verweis) ((Kleine GRAFIK Materialitätsmatrix + ))Outlook
We intend to systematically continue our stakeholder dialog activities in the coming years andexpand them to integrate universities in particular.
We also hope our newly established Sustainability
Advisory Board, which convened for the first timein February 2016, will provide further key stimuli
for our actions.
We will run our newly established stakeholder survey biennially. At the same time, the survey weconducted in fiscal year 2015/16 will also serveas the basis for overhauling our Sustainability
Strategy, which we will develop further alongside
our Corporate Strategy.

Materiality Analysis

Very important

Importancefor external
stakeholders

Important

Very important

Importance for internal stakeholdersR esponsibility for Products
and Supply Chains

20 I Voith Sustainability Report 2015R esponsibility for the EnvironmentR esponsibility for EmployeesS ustainable ManagementR esponsibility for Society1.3 Values and Compliance
Our Values – How We See Ourselves
Our actions are built on trust, which is reflectedin our values: Professionalism, respect for theindividual, colleagueship, openness, reliability, and integrity. Our claim “Voith – Engineered
Reliability” encapsulates this understanding ofourselves: Voith provides reliable, high-quality
technologies and acts fairly, openly and reliably
towards its employees, partners and customers.
When it comes to our workforce, we want to retain
employees who meet our performance standards,
for the long term wherever possible. Indeed, thepartnerships we maintain with our business partners, customers and suppliers often span several
generations. Our values underpin Voith as a brandand are at the heart of our corporate identity. Our
values – and the guidelines we derive from them –ensure that every single employee at Voith aroundthe world acts according to the same businessprinciples and practices the same philosophy. Thisway, we combine the tradition of a family-owned
company with the culture of a global Group.(GRAFIK:Uwerte)

We ask every single one of our employees to comply with prevailing legislation and the company’s
internal regulations. This applies across our Groupand all hierarchical levels, and any violations willentail sanctions. We constantly update our rules
and procedures, and adapt them to meet current
requirements.

Key Aspects Addressed by theVoith Code of Conduct•

Observance of the rules of fair competition.

•

No anti-competitive agreements.

•

•

•

•

Code of Conduct for All Employees
Voith committed itself to uphold the following business principles way back in 1927: “In the businessworld one must be ethical, decent and honest. If acontracting party or competitor behaves unfairly,
this does not give us the right to deviate from thisprinciple.”

Publicly visible
Code of Conduct•

http://voith.com/en/
coc-english.pdf

No corruption or bribery: No offering and granting
or demanding and accepting of unfair ­benefits.
Transparency of donations and sponsorship.
Safeguarding our own trade secrets and patents,
and respecting those of third parties.
No undue preferential treatment of suppliers andservice providers.
Respect for human rights, fair working conditions, and rejection of child and forced labor. (Verweis)

These principles still govern our actions today. Our
Code of Conduct defines the way we act towards
customers and business partners, as well as how
employees act towards each other within the company. It can be viewed online and contains information on contact partners and the Compliance
Committee, among other things.

Voith Sustainability Report 2015 I 21

Sustainable Management

Voith Compliance Organization
Our Compliance Committee convenes once amonth and is responsible for setting up, developing and coordinating our Compliance Program,revising compliance regulations and coordinating
training. This committee comprises the Head of the
Corporate Office (Chairman) as well as the respective Heads of the Group Law Department, Group
Human Resources Management and the Group
Audit Department. Its Chairman reports directly to
the President and CEO of Voith GmbH. The Chief
Financial Officers (CFOs) of our Group Divisions
and the individual Group companies serve as theCompliance Officers in their units, where they are
responsible for implementing the Voith compliance organization. This also corresponds to ourother Risk Management organization. Within theirarea of responsibility, our Compliance Officers are
responsible for implementing our Code of Conduct
in the individual Group Divisions and also serve asGroup-wide contact partners.
Group-wide System for Reporting Information
and Complaints
Our overriding principle is that every employee
is responsible for compliance and acts in accordance with prevailing legislation and Voith’s internal
regulations. Any employee can report a suspectedviolation of our Code of Conduct either personally through his/her line manager or the respective Compliance Officer for their Group Division, or
electronically via the Helpdesk or via e-mail. We
also follow up on complaints that have been submitted anonymously via our Group-wide whistleblower system. The number and type of violations
are documented centrally and this whistleblower
system can also be accessed by external parties at
any time, so it is open to all business partners and

22 I Voith Sustainability Report 2015

suppliers too. Any type of complaint on any subject
can be reported. To ensure the strictest confidentiality is maintained, the number and nature of thecomplaints at Voith are not disclosed externally.
The design, implementation and effectivenessof our compliance system were examined by anauditing firm in accordance with the IDW PS 980
standard in respect of its constituent areas to prevent violations of antitrust and corruption laws. As
part of this certification process we were given
various recommendations on how the system
could be further optimized, which we implemented
in the reporting period.
Our Internal Audit Department also examines
observance of all compliance regulations in a routine risk assessment involving around 30 random
samples annually. Through this, this department
was once again able to confirm our compliancemanagement system (CMS) had been appropriately implemented in the reporting period.
As in virtually all companies, in the reporting year
we also had isolated cases where complianceregulations had been violated at Voith. Appropriate
action was taken in all instances.
We ensure our business partners comply with
our regulations by means of a supplier selfassessment. Compliance also forms part of ourGeneral Purchasing Terms. In the reporting period
we received no complaints concerning violations
on the part of suppliers against environmental orsocial standards, nor were we notified of any suspected cases of corruption.

Employees Trained to Identify Corruption
All of our employees are required to keep theirknowledge of compliance issues up to date ona regular basis via e-learning programs. Around
95 % of our employees with a computer workstation completed the program on anti-corruption andantitrust law, while around 94 % took e-learning
courses on the subjects of leadership and employees. Employees who do not have a computer
workstation are trained by their line manager toensure their knowledge is up to date.
Face-to-face training courses were also held again
in the reporting year. 466 employees took partin 22 events, comprising mainly managers andemployees from Sales and Purchasing. Separate,
especially detailed training courses were offered
to Compliance Officers from our Group Divisions.

special precautionary measures apply to high-riskcountries.
Confidential Treatment of Information
Information security and protection of confidential
data are core aspects of corporate security atVoith. Every employee is expected to show anappropriate awareness of security and a senseof responsibility. Our information technology andsecurity management system is certified according to the international standard ISO/IEC 27001.
Our Group Directive on Information Security andData Protection sets out how information, andparticularly customer data, must be handled.

Fighting Corruption
It is vital we take rigorous action against corruption. All Compliance Officers create a Risk Control
Matrix, which also includes potential corruption
risks, for their specific Group Divisions. All Voith
locations worldwide are covered by this structured process. The results of all Group Divisions
are aggregated and, among other things, form thebasis of internal compliance audits.
Our risk assessment is based on many factors
including the Corruption Perception Index (CPI)
which is published annually by Transparency
International. The index ranks virtually all countries
by their perceived levels of corruption on a scale of
1 to 100. According to this index, the least affected
country is currently Denmark, while Somalia has
the highest perceived levels of corruption. As wemaintain business relationships the world over,

Voith Sustainability Report 2015 I 23

24 I Voith Sustainability Report 2015

We have set ourselves the goal of continuously minimizing our ecologicalfootprint, and aim to be a leader in terms of sustainability in all our
industries and markets globally. We place great emphasis on environmental
protection, energy efficiency and resource conservation at all our locations.
In fact many of our European locations, particularly in Germany, are alreadysetting industry-leading benchmarks. This is a global goal at Voith, so wehave been working systematically for many years now on continuously
improving our performance.

02

Responsibility
for the Environment
We aim to continuously reduce our environmental
impact across the entire value chain by uniting
economic principles and ecological aspects to create
measurable added value for our company.

Voith Sustainability Report 2015 I 25

Responsibility for the Environment

2.1 Management Approach
Voith is a globally active technology group, so
we see it as our corporate responsibility to treat
resources and energy efficiently at all our locations. At the same time, we combine economic
principles with our ecological actions. This way,
we not only contribute to protecting the world’s
climate but also create measurable added value
for our company.
We have defined three areas of focus for our environmental actions:• Eco Standards provides strategic and operational support to our divisions and locations incomplying with and implementing environmental regulations as well as internal environmental
protection policies.
• Ecological Business Management (EBM) improves energy and resource efficiency at our locations, with a constant focus on cost effectiveness. We describe these activities as energy andresource management.
• Eco Technologies drives the analysis and evaluation of our products and services through energy and resource efficiency aspects, and further
develops our EBM approaches and methods.
HSE Organization
1.2 Strategy andOrganization
HSE box
1.2 Strategy andOrganization

Our central function Corporate Sustainability &HSE, which reports directly to our President andCEO, is responsible for all three focus areas. This
central function is responsible for continually further developing the topic of health, safety andenvironmental protection (HSE) at Voith and indoing so is also accountable for all of our environmental activities.(Verweis)

26 I Voith Sustainability Report 2015

Clear Focus on Risks and Opportunities
With the restructuring as part of our Voith 150+
success program, how we manage our responsibility is now focused even more clearly on risks
and opportunities.
• We manage risks through our newly establishedHSE organization, in which we also incorporated our existing Eco Standard activities. A Centerof Competence HSE, responsible for the entire
Group, devises the necessary strategies, standards, tools and processes within the new organization. These are available to the regional
HSE service organization, which supports our
locations and which is bundled in four regional
Service Centers. Each country has environmental experts who provide strategic and operational support to our locations in complying with andimplementing environmental regulations and internal environmental protection policies.
• We are guided by operational and product responsibility to leverage environmental opportunities and efficiency potentials, and our Group
Divisions still hold individual responsibility for this.
Here, we continue to focus on our establishedapproaches of Ecological Business Managementand Eco Technologies.
Framework for Our Actions
As a globally active technology group, Voith isrequired to comply with a large number of national,
regional and industry-specific laws, regulations
and guidelines. It goes without saying that wecomply fully with these, and our HSE concept
among other things ensures we do this. (Verweis)Our HSE Group Directive commits each location
to appoint an Environmental Representative. Theirtasks cover a wide range of topics including
immission and water protection, waste management, hazardous materials and goods, and preventing environmental incidents. They also advise
local management on new plant constructions
and modifications or approval processes, andconduct regular facility inspections and audits.
We use our reporting tools to collect information
on health, safety and environmental protection
as well as to verify key performance indicators(KPIs) and monitor our goals on acting sustainably. We are guided by the international standards ISO 14001 and OHSAS 18001. In 2003
we set out binding Group-wide environmental
standards that apply to all value-adding process
steps. With the establishment of the new HSE
organization, in 2015 we also consolidated theexisting “Environment” and “Occupational Safety/
Health” Group Directives into our new “Health,
Safety and Environment” (HSE) Group Directive,
and at the same time incorporated our seven
existing environmental guiding principles into our
five new reformulated HSE principles. ((Kasten))

Voith’s Health, Safety and Environmental
Protection Policy
As a family-owned enterprise, we recognize
the responsibility we have for health, safety
and the environment. As such, health, safety
and the environment are top priorities for Voith.
We pursue a holistic approach which not only
minimizes the risks that our economic activities entail, but also seizes opportunities. In theprocess, we take into account the entire value
chain and our products’ life cycles.
1)	Health, safety and environmental protection
generate added value – for our employees,
our business and the environment.

3)	All workplace accidents, work-related
health impairment and environmental incidents can be avoided. This is the responsibility of the company executives.
4)	It is the duty of the company executives
to give training to and involve all theemployees.
5)	T he management operates a system toachieve continuous improvement andmonitors HSE performance on the basis
of KPIs and audits.

2)	We base our actions on compliance withthe legal requirements and standards.

Voith Sustainability Report 2015 I 27

Responsibility for the Environment

2.2 Conserving Resources
2.2.1 Our Management Approach
At a technology company such as Voith, the majority of energy used and greenhouse gases emitted come from our production processes, with amuch smaller share from the service locations. Our
Ecological Business Management (EBM) system
therefore aims to identify ecological and economic
potentials for improvement in these processes. We
perform analyses at process, system and component level to tap into these potentials.
We use hot-spot analyses to additionally address
cross-location focus areas, such as the energy
consumed during a process step. To achieve maximum effect, we focus on the greatest consumption
drivers at our individual regions and locations. In
the reporting year this enabled us to define several
new measures and significantly boost the identified savings potential and the level of implementation of the respective measures.
We review our progress towards achieving all of ourEBM measures through our integrated process ofmonitoring of measures and KPIs, something our
Corporate Board of Management is also involvedin as part of our quarterly reporting.
Focus on Energy, Waste and Freshwater
When recording and managing the raw materials
we use, we focus on the areas of energy, waste
and freshwater by following three specific aims,
set out by the Corporate Board of Managementtaking fiscal year 2011/12 figures as our benchmark: Based on sales, we will reduce our energy
consumption by 20 %, our waste by 25 % and ourfreshwater consumption by 10 % by fiscal year
2017/18. Our stakeholder survey in 2014 showsthat these topics are important to our stakeholders.
Progress Towards Goals on Schedule
While in the previous year we were unfortunately
unable to achieve a continuous improvement in our

28 I Voith Sustainability Report 2015

KPIs in terms of energy, waste and freshwater, in
this reporting period we succeeded in getting backon track with our reduction plan.
In the area of energy, our consequent implementation of the measures identified as part of our
hot-spot analyses is having an impact. Here, theroll-out of a certified energy management system
at locations that consume large amounts of energy
and with high peak loads helped us achieve this,as did our energy audits as part of our implementation of the EU Energy Efficiency Directive.
In the area of freshwater, we identified thegroundwater cooling of our new training centerin Heidenheim, Germany, as the reason for theincrease in consumption. Thanks to quarterly
reporting of our water consumption we pinpointed
a technical defect in the control system for coolingthe building. We fixed this in the early part of summer 2015, thus preventing a further consumption
increase.
In terms of waste, we continued to rigorously
pursue the measures detailed in our Sustainability
Report 2014. We completed the consolidation ofwaste data, and building on this we performed
hot-spot analyses. In doing so, we significantly
filled our pipeline of measures and quadrupled our
implementation rate compared to the year before.
Company-wide Data Collection
Our locations collect data on energy consumption every month, and data on waste and freshwater every quarter using our sustainability
database. The EBM organizations in our Group
Divisions and the central function Corporate
Sustainability & HSE validate the data and report
it to the Corporate Board of Management on aquarterly basis. Besides data and KPIs, this report
also includes a listing of resource-conservation
measures and their implementation status. Before

a measure can be completed, its validity must be
checked at the location in question and the result
stored in the database.
Our Internal Audit Department reviewed thisreporting procedure along with the resulting data
quality in the early part of summer of 2014, andrated it as generally satisfactory. The Internal Audit
Department’s review also resulted in an action planof measures to further develop our sustainability
organization, which was worked through during the reporting period. When establishing our
new HSE organization, we implemented plenty ofmeasures.
Hot-spot Analyses Leverage
Further Potential
To allow us to tap into additional optimization
potentials, in the reporting period we conducted
18 hot-spot analyses – ten in Europe, six in
America and two in Asia – which also enabled us
to address the regional distribution of resource
consumption.

The analyses’ areas of focus were on energy andwaste, with a further global hot-spot analysis
devoted to cross-divisional waste such as metal,
wood, packaging and emulsions. The results ofthese analyses are explained later in the respective report sections.
Overall it’s clear that we are increasingly moving away from infrastructure topics (lighting,compressed air, ventilation and air conditioning)towards process-specific topics (such as the useof steel grit for sandblasting and the heat-setting
process for felt production). In doing so, we are
gradually leveraging the greatest value potentials,
although the expense and risks involved in implementing the relevant measures are increasing.
((Kasten))Communication Measures Launched
Through targeted communication measures we
aim to further raise the awareness of plant managers and employees at our Group companies, andmotivate them to help identify saving potentials
and measures.

Background: Analyzing a Hot-spot
When conducting a hot-spot analysis, theconsumption of each control and analysis
level (i.e. region, Group Division, location,system, process) is determined and displayed
graphically. Data is prepared both according
to physical consumption and by associatedcost, bringing transparency to “hot-spots”
with high consumption levels and costs.
Based on this, we develop and approximately evaluate project ideas before graduallydeveloping them further using a stage-gateprocess through to implementation. As partof this, we employ economic and ecologicalevaluation criteria, in accordance with our
Green Controlling cycle. We regularly review
the distribution of consumption based onchanging patterns of consumption and general conditions (location activities, economic
activity, changes to the fleet of machines andplant, etc.).

Voith Sustainability Report 2015 I 29

Responsibility for the Environment

To achieve this we devised a communications planin the reporting period. A key element of this is
our regular EBM newsletter, with which we intend
to reach all plant managers in particular andencourage them to share the measures already
implemented at other locations. We have alreadypublished two editions online on a quarterly basis
and they have been greeted very positively by our
locations. In addition, our HSE Best Practices and
HSE Flash News newsletters, which highlight current HSE focal risks, will supplement the rangeof publications on offer with information on main
incident-related topics concerning occupationalsafety and environmental protection. This will
enable us to raise awareness among plant managers about HSE and EBM on a monthly basis. In
addition, in the reporting period we relaunchedand expanded our energy, waste and freshwater
poster campaign. ((Grafik Plakatkampagne))
There were various reasons driving our decision
not to run our Group-wide competition as originally2.2.2 Energy Efficiency and CO2 Emissions
In fiscal year 2014/15 Voith consumed
492,358 MWh of energy, around 6.8 % less thanthe previous year (528,414 MWh). 114 MWh ofenergy was needed per € million in sales, which
was 9 % less than the previous year (127 MWh per€ million in sales).
This means that in the reporting period we camemuch closer to achieving our target of reducing our
specific energy consumption by 20 % by fiscal year
2017/18. Currently, we have achieved a reductionin our specific energy consumption of 9 % versus
the base year.
The reasons for this positive development are on
the one hand the aforementioned hot-spot analyses, the measures derived from these and the clear
increase in the rate of implementation of the identified measures. On the other hand, it is evident
that our restructuring measures are taking effect,
especially in terms of production relocations andcapacity adjustments at Voith Paper at the locations of Krefeld and Ravensburg, Germany.
Regional Distribution of Energy Consumption
We consume over half of the energy required for
production purposes in Europe (52 %; previous
year: 50 %), followed by the Americas at 34 % (previous year: 36 %) and Asia at 14 % (previous year:
13 %). Apart from a slight increase in Asia, absoluteenergy consumption is falling in all regions.

Our goal: 20 % less energy
consumption. Let’s tackle it!
Your contribution counts.

Our goal: 10 % less water use.
Let’s tackle it!
Your contribution counts.

You could drive around the world 25,000 times with Voith’scurrent energy consumption.

Voith’s water consumption is equivalent to the volumeof an approximately 375 mile-long train with more than
40,000 tank cars.

planned, not least because of cultural differences
at our individual locations. Instead, we now intend
to run competitions at similar production sites ordifferent Group companies at a particular location.
In terms of these activities, we are already in theconceptualization phase.

30 I Voith Sustainability Report 2015

Energy Mix Largely Unchanged
15.5 % of the energy we consumed came fromrenewable and 84.5 % from non-renewable
resources. This calculation included all energy
sources associated with our production-related
energy consumption.
Besides heating and cooling, which account for
34 % of our energy consumption, the productionof paper machine clothing remains the key driverof our production-related energy consumption,accounting for around 25 % of global consumption.

Apart from weaving processes, heat-setting is
especially energy-intensive, particularly in felt
production. 5 % of our production-related energy
consumption is incurred at our foundry in São
Paulo, Brazil; around 5 % of the energy is consumed through operating machine tools.
To reduce the energy we consume in manufacturing paper machine clothing, half of our hot-spot
analyses were devoted to this area. The measures
we derived centered around the widespread conversion to LED lighting, optimization of heating
and ventilation systems, the use of waste heatfrom processes to heat production halls, and the
optimization of heat-setting processes.
The proportion of direct (33 %) versus indirect(67 %) energy remained virtually the same in thereporting period.

Natural gas remains the key energy source forour direct production-related energy consumption, followed by LPG (liquefied petroleum gas),
diesel and heating oil.
We use natural gas, LPG and heating oil as heating fuel and for heat-intensive thermal processes.
Diesel is used to operate emergency generatorsand generate steam at our locations in Karawang,Indonesia, and Kunshan, China, as well as forthermal processes in São Paulo, Brazil.
In the reporting period we consumed 270,843 MWhof electricity (previous year: 288,356 MWh). In
terms of our electricity mix, the share of energy
sources supplied by external providers remained
almost the same at 71.8 % (previous year: 70.3 %)from non-renewable and 28.2 % (previous year:
29.7 %) from renewable resources.

Production-related Energy Consumption*
specific value in MWh/€ million sales
126.5
mal 2

126.8

114.4

Target value
for 2017/18

100.8

Production-related Greenhouse Gas Emissions*
Energy consumption/GHG emissions total
in t CO2ein MWh574,668

175,037
528,414492,358

154,374

Germany

Germany
durch 17

164,312Europe excluding
Germany

Europe excluding
Germany

25 %

37 %
14 %

Americas36 %Americas

34 %

Asia
Other

14 %
< 1%

Asia
Other

31 %
< 1%

2012/132013/142014/15

7%

2012/132013/142014/15* Excluding the discontinued Group Division Voith Industrial Services.

Voith Sustainability Report 2015 I 31

Responsibility for the Environment

The measures identified in fiscal year 2014/15
enabled us to leverage an additional energysaving potential of 36 GWh. Since the base yearof 2011/12 we have identified measures to save
90 GWh, which is equivalent to 75 % of the forecast savings required to achieve our target in fiscal
year 2017/18. Of these, we have already achievedsavings of 50 GWh (previous year: 25 GWh).
In direct comparison to the previous year, our efficiency measures have brought us energy savingsof 25.4 GWh (previous year: 12.5 GWh) and CO 2e
savings of approx. 11,003 t. ((Grafiken Produktionsbezogener
Energieverbrauch und Treibhausgasemissionen))

ISO 50001 Certification
As planned, in the reporting year we completed
the ISO 50001 certification process of ourenergy-intensive plants. We certified our facilities in Heidenheim (VT Holding, market areas:
rail, commercial vehicles and marine), Crailsheim,
Sonthofen, Munich, Zschopau, Kiel, Essen andRutesheim – including our facility in Salzgitterin 2016.
The certification of these locations allows us toestablish a systematic energy management system and a continual energy efficiency improvement
process at these facilities.
Further Cuts in CO2 e Emissions
In fiscal year 2014/15 the CO 2e emissions of ourfacilities fell by 6 % to 154,374 t (previous year:
164,312 t). The share of direct CO 2e emissions
fell from 36,426 t to 32,792 t, which is equivalent
to a 10 % cut. Indirect CO2e emissions also fell
to 121,583 t (previous year: 127,888 t), which isequivalent to a 5 % reduction.
The Voith Group’s CO2e emissions relative to sales
fell by 9 % versus the same period in the previous
year. Per € million in sales, these were 35.9 t CO2e
(previous year: 39.4 t CO2e per € million in sales).

32 I Voith Sustainability Report 2015

Owing to variations in national electricity mixes, we
can only influence the amount of CO2e emitted by
the amount of energy we consume. This makes
both environmental and economic sense, which is
why we place particular emphasis on using energy
efficiently.
Recording Greenhouse Gas Emissions
We calculate our greenhouse gas emissions byenergy source and based on specific CO 2e factors. We derive these from a database as CO2
equivalents. Where possible, we use the specificCO2e emission values of the respective local orregional electricity utility. Recording emissions
as CO2 equivalents based on conversion factors
also allows us to factor in the emission of othergreenhouse gases such as CH 4, N2O, HCF, PFC
and SF6.
Process-based and volatile emissions with asignificant greenhouse gas potential are only
found in refrigerants. As emissions of these canonly be identified during maintenance measures,
which are usually performed by external specialist companies, global recording of their volumes
has been hampered so far by several inaccuracies.
Furthermore, beyond determining R11 equivalents,
up to now we have distanced ourselves from calculating them, as conservative assessments put
our expected annual greenhouse gas potential
at less than 2 % of our emissions under Scope
1 and 2.
Regional Development of CO2 e Emissions
In fiscal year 2014/15 Voith’s CO 2e emissions
across all regions where we are active fell in absolute terms. The Americas account for 36 % (previous year: 38 %) of our emissions, primarily due tothe energy-intensive production of paper machine
clothing and the strong share of coal in the electricity mix in the USA. This is followed by Europe(32 %; previous year: 32 %), where CO2e emissions

were attributable mainly to a building structure thatis aging in many respects, and the multitude ofmechanical engineering locations. Asia accounted
for 31 % (previous year: 29 %) due mainly to theshare of coal in the electricity mix in China.
Transport Emissions
At an international group such as Voith, we generate a not insignificant amount of emissions fromtransporting goods and from business travel.
In the reporting period we generated greenhousegas emissions of 17,896 t CO2e (previous year:
16,076 t) through our business trips. 6,652 t CO2eof those were generated by our own vehicle fleet(Scope 1) (previous year: 8,563 t). Emissions forall other means of transport, such as flights andrail travel (Scope 3), stood at 11,244 t CO2e in thereporting period.
Since fiscal year 2011/12, our CO2e emissions fromflights (business travel) have fallen constantly by
14.3 % over the past three fiscal years (17,975 t in
FY 11/12; 15,400 t in FY 14/15; total reduction of
2,575 t).
Wherever possible we avoid taking unnecessary
business trips, which is why we are increasingly
using video and telephone conferencing in our
global organization to save on travel expenses
and allow speedy coordination. Our use of thesemeans of communication, and their spread acrossour Group, increased significantly in the reporting
period.
Furthermore, every quote provided by our travel
agency partner automatically shows the CO2eemissions generated by a particular means oftransport, providing transparency to Voith travelers
when choosing their means of transport in termsof CO2e emissions.

In addition, we predominantly lease the vehicles
in our vehicle fleet and replace them every three
years with the next generation of lower-emission
vehicles.
Logistics
Our transport-related CO 2e emissions – caused
mainly by our external logistics service providers –rose year on year by 33 % to 36,575 t (previous
year: 27,398 t). This increase was due mainly tothe clear increase in CO2e emissions from airfreightcompared to the previous year.
How we optimize transportation depends mainlyon the type of product being shipped. In mechanical and plant engineering we need to use a higher
share of special forms of transportation owing to
the size and weight of the components. Amongother things, this concerns the transportationof hydropower turbines, the shipment of paper
machine rolls and the transportation of universal
joint shafts for our drive systems.
Wherever we can use standard forms of transport,
we bundle these. As an example, in the area of
paper machine clothing we prefer to work globally with one logistics company and its partnercompanies. We also use this logistics company’s
intermediate storage facilities.
In the service and spare parts business, it is criticalthat our customers are supplied with the required
spare part quickly. Wherever possible and where
it can be planned, we also bundle activities here to
optimize transportation routes and costs.
One key prerequisite for success is intelligent
transport planning and an efficient underlying
production planning process.
As part of our Group-wide program to improve
operational excellence, we’re also working on

Voith Sustainability Report 2015 I 33

Responsibility for the Environment

shortening delivery times. In future we expect
our efforts to be reflected in the area of logistics
and to lead to an improvement, particularly inairfreight KPIs.
Energy and CO2 Reduction Measures
To save even more energy and further reduce ourCO 2e emissions, once again we implemented
numerous measures in the reporting period. Some
examples:• We saved 4.1 GWh or 2,500 t CO 2 e by replacing the lighting at our facilities in Düren,Rutesheim, Heidenheim, Ipoh, Appleton,
Karawang, Kunshan, Laakirchen, Frankenmarkt,
Summerville and Wilson.
• A range of measures achieved savings of
1.6 GWh or 620 t CO 2e in the area of compressed-air production and distribution in
Laakirchen, Wimpassing, Crailsheim, Düren,Heidenheim, Sonthofen, Högsjö, Manchester,West Monroe and Shanghai.
• At our location in Högsjö alone, we’re saving approx. 3.6 GWh of energy annually (650 t CO 2e)
by partly exchanging oil and LPG burners forheat pumps as well as through the optimizationof the ventilation system.
• Following the commissioning of our new training center in Heidenheim we saved 2.5 GWh ofenergy (520 t CO 2e) by decommissioning theold center.
• We saved over 2.4 GWh of energy (590 t CO 2 e)
thanks to additional HVAC (heating, ventilation
and air conditioning) measures at our Rutes­
heim, Summerville, West Monroe, Appleton, Laa­
kirchen, Wimpassing and Shanghai facilities.
• By consolidating floor space in Heidenheim we
achieved energy savings of 950 MWh (180 t
CO 2e).
• Improving the efficiency of welding equipmentin Appleton and Shanghai resulted in energy reductions of 190 MWh (approx. 110 t CO 2e).
• By improving the hot water pipework insulation
at our facility in Heidenheim, we’re now saving afurther 600 MWh of energy (150 t CO2e) ­annually.

34 I Voith Sustainability Report 2015

2.2.3 Material Efficiency and Waste
We control the use of materials and raw materials
Group-wide at Voith, and work continuously on
using resources more efficiently and on recycling
materials. In this regard, our wide-ranging product portfolio and correspondingly diverse process
landscape pose particular challenges for us. We
also face challenges in the Voith Hydro and Voith
Paper project businesses, as well as in smallbatch production at Voith Turbo.
Known methods for increasing material efficiency
have so far focused heavily on mass production
and high volumes; however, in practical terms
there is currently a genuine lack of useful methodical approaches to increasing material efficiency inthe project business.
This is why we have invested a lot of time overrecent years in developing a useful standard methodology for project business and small-batch production. We were repeatedly confronted by thechallenge not to invent standalone solutions fordifferent specific projects, while developing anapproach that was still useful in practical terms
and not too abstract.
In the reporting period we procured around
161,739 t of materials from suppliers, an in­creaseof around 30 % versus the previous year (124,412 t).
The division in terms of the materials we purchased
is as follows: 55 % semifinished products (previous year: 52 %), 34 % raw materials (previous year:
34 %), 8 % packaging (previous year: 11 %) and 3 %auxiliaries (previous year: 3 %). The proportion ofrenewable materials was 10 % (previous year: 10 %)owing to the large share of wood packaging.
Around 50 % (previous year: 49 %) of the materials
we used in the reporting period were recycled. The
proportion for auxiliaries was 53 % (previous year:
55 %), 47 % (previous year: 45 %) for raw materials,
49 % (previous year: 46 %) for semifinished products and 84 % (previous year: 74 %) for packaging.

Volume of Waste
We generated 43,108 t of waste internally in thereporting period (previous year: 45,820 t), whichis 2,712 t or 6 % less than the previous year. As aresult, the ratio of the volume of waste comparedto sales improved by 9 % to 10.0 t per € million insales (previous year: 11.0 t). (GrafikAbfal)
Regional Distribution of Waste
Similar to production-related energy consumption, we generate the largest waste volumes in
Europe, at 45 % (previous year: 45 %), followedby the Americas, at 38 % (previous year 41 %). In
Asia, the amount of waste we generated increasedslightly in the reporting period to 17 % (previous
year: 14 %) owing to the increase in production at
our facilities in Shanghai and in India.
The high percentage of waste generated in Europe
is due to the large number of mechanical engineering locations, which involve a lot of metal
processing. With the exception of South America,

Waste*
speciﬁc value in t/€ million sales
10.3

mal 1,5

11.0

10.0

Target value
for 2017/18

8.0

in t
46,710durch 1,3

45,82043,108Germany

37 %Europe excluding
Germany

8%

Americas

38 %

Asia
Other

17 %
< 1%
2012/132013/142014/15* Excluding the discontinued Group Division Voith Industrial Services.

metals account for the greatest volume of waste
in all regions. The waste volume in South America
is attributable mainly to casting-sand waste fromthe foundry in São Paulo, Brazil.
Wood, paper and cardboard waste account for alarge share of waste in all regions, largely due topackaging and making one-off production components safe and secure to transport.
Hazardous and Non-hazardous Waste
Our waste classifications remain unchanged versus the previous year, with around 80 % of ourwaste deemed non-hazardous and the remaining
20 % classified as hazardous. In absolute terms
we generated 2,025 t less non-hazardous waste
and 687 t less hazardous waste compared to theprevious year.
The reduction in hazardous waste is due predominantly to the fall in production at our facility in São
Paulo, Brazil, particularly at the foundry there,
which produces the majority of our hazardous
waste. This location generated 3,555 t of hazardous waste in the reporting period (previous year:
4,204 t), equivalent to 64 % of the Group’s total
hazardous waste volume. This is followed by our
foundry facility in Noida, India, which generated ahazardous waste volume of 735 t (previous year:
573 t). In addition, in the reporting period we generated 2,573 t of hazardous waste in the form ofwaste emulsion and washing water (Crailsheim,
Heidenheim, Munich and São Paulo) as well as
waste from the lacquering process (Salzgitter).
In terms of non-hazardous waste, our previous
year’s restructuring measures had a significant
effect: At our locations of St. Pölten, Ravensburg
and Krefeld we produced 1,136 t less wastecompared to the previous year’s period. At thesame time, the waste volumes at our locations of
Heidenheim, Kunshan and Appleton – which werelocated production to – rose slightly by 338 t of
non-hazardous waste.

Voith Sustainability Report 2015 I 35

Responsibility for the Environment

At Voith, external waste disposal and recycling
companies take care of our waste; we do nottransport any waste ourselves. In the reporting
period no violations of the law were reported inrelation to the disposal of waste on the part ofexternal service providers.
The collection of hazardous waste at Voith isgoverned by internal regulations. Only qualified
specialist waste disposal companies that adhere
strictly to our regulations are permitted to disposeof our waste. Any violations are rigorously pursued and lead to the termination of the business
relationship. To check this, we regularly audit thewaste disposal companies we use. The scope ofthese audits includes inspections of the waste
disposal companies’ sites and related plants, aswell as the collection and documentation of proofof disposal. Our new Center of Competence HSE
is currently working on standardizing our waste
disposal company audits – a process we expect tobe completed by the end of this fiscal year.
Material Efficiency Improvement Measures
In fiscal year 2013/14 we consolidated our waste
data. Among other things, this process included
the uniform allocation of waste fractions at all locations, which improved data quality and increased
the detail of data records considerably. This
allowed us to conduct a range of analyses andderive new potentials for related measures.
It is also apparent in the area of material efficiency
that we are increasingly moving away from quick
wins (e.g. packaging waste) to more complex
topics (e.g. auxiliaries) and towards addressing
the core of the problem, which offers the greatest
long-term promise. By this we mean from production processes, right through to purchasing andconstruction topics. In doing so, we are also dealing increasingly more with product-specific topics
and in particular the quality of our products. The
speed at which our actions are taking hold is, however, slowing as the topics become more complex.

36 I Voith Sustainability Report 2015

The measures we identified in fiscal year 2014/15
allowed us to leverage an additional efficiency
potential in terms of our materials use and waste
volume of 7,900 t. Since the base year of 2011/12
we have planned measures to save 8,700 t, whichis equivalent to around 70 % of the forecast savings required to achieve our target in fiscal year
2017/18. Of these, we have already achieved savings of 1,399 t (previous year: 326 t).
In the reporting period numerous Voith locations
also developed specific solutions to local waste
challenges. The following were among the measures we implemented in the reporting period toincrease our material efficiency and reduce ourwaste volume:• Increasing the dry content of paper fiber wastefrom pilot machines is achieving annual waste
volume reductions of approx. 270 t in São Paulo.
• Our facility in Kunshan now returns used load
carriers to the USA for recycling, reducing its
plastic waste by over 80 t.
• By optimizing heavy-duty pallets, our facility in
Crailsheim saved 33 t of packaging waste.
• Optimization of the blasting processes in
Wimpassing, West Monroe and Kunshan generated around 40 t less waste.
• Lower manufacturing dosages resulted in a drop
in material use of 12 t in São Paulo and Kunshan.
• Process improvements in Wimpassing, Kara­wang and Appleton achieved solvent waste savings of around 10 t.

2.2.4 Efficient Water Use
We use around a third (32 %; previous year: 35 %)of our freshwater consumption for cooling, and in
the reporting period our freshwater consumption
totaled 1,395,991 m³. This represents an equivalent increase of 44,219 m³ or 3.3 % versus theprevious year, from a consumption versus sales
revenue perspective we stabilized at our target
level of 0.32 m³ water per € thousand in sales set
for 2017/18 (previous year: 0.32 m³).
The slight increase in our freshwater consumption
in absolute terms is because we commissioned
our new Training Center in Heidenheim, where
we use groundwater for energy-efficient building
cooling. Thanks to quarterly reporting of our water
consumption, we identified a technical defect in
the control system for cooling the building. We
fixed this in the early part of summer 2015, thus
preventing a further increase in our consumption. Despite this, we were unable to prevent theincrease in absolute terms in the reporting year,
although the results of loop closure for cooling
purposes at our facility in Garching became

Freshwater Consumption*
Speciﬁc value in m3/€ thousand sales
Target value
for 2017/18

0.27

0.32

0.32

1,396

1,237

Germany

55 %Europe excluding
Germany

10 %Americas

18 %

Asia
Other

17 %
< 1%
2012/132013/14

Regional Distribution of Water Consumption
In the reporting period we consumed 65 % of
our water in Europe (previous year: 61 %), 18 %accounted for the Americas (previous year: 21 %)and 17 % for Asia (previous year: 17 %).
In Europe, we mainly use freshwater for cooling
purposes and for operating pilot machines. By
contrast, one key driver behind our consumption in Asia is the production of paper machine
clothing. In North America, our yarn and felt
production facilities consume larger volumes ofwater, and in South America we also use considerable quantities of water to cool our foundry inSão Paulo, Brazil.
Water conservation measures are especially
important to us – particularly at our facility in São
Paulo, as Brazil has been increasingly afflicted bydroughts and water shortages in recent years. This
is why we replaced the freshwater used to cool
the foundry with processed water from our own
wastewater treatment plant as early as fiscal year
2013/14. By doing so, we are achieving freshwatersavings of up to 25,000 m³ annually.

0.32

in thousand m3
1,352

evident for the first time. Both of these measuresare, however, expected to result in a drop in ourabsolute consumption to below the target level inthe coming reporting period.(GrafikFrischwas erverbauch)

Water Efficiency Improvement Measures
In the reporting period we implemented additional
measures to further increase our efficiency in termsof water use. Among these, we’re saving around
190,000 m³ of water annually through the closureof the water cycle at our Heidenheim facility. At our
location in Appleton, we closed water cycles so
12,000 m³ of water can be saved there annually.
In addition, we identified additional freshwater savings potentials of around 6,000 m³ in the reporting
period.

2014/15* Excluding the discontinued Group Division Voith Industrial Services.

Voith Sustainability Report 2015 I 37

Responsibility for the Environment

Outlook
We will continue to focus on the three target areas
we set ourselves of energy, waste and freshwater. In addition, we will continue to implement our
Green Controlling cycle rigorously. The additionaltransparency provided by our new hse+ IT system
will increase our ability to see through entire processes and better leverage potentials.
Furthermore, we will continue to work on increasing the implementation rate of the measures wehave identified. Among them, we plan to implement the following measures this fiscal year:• Redesigning the HVAC system at our Munich facility (2.4 GWh, 480 t CO2e)• Completely shutting down heating at additional buildings in Heidenheim (1 GWh, 160 t CO2e)

Further optimizing the HVAC system at our buildings in Crailsheim and Heidenheim (1.5 GWh,
260 t CO2e)• Continuing the implementation of lighting
projects in Crailsheim, Heidenheim, Munich,Wimpassing, Shreveport and Summerville(1.2 GWh, 720 t CO2e)• Exchanging the heating pumps at Heidenheim(120 MWh, 30 t CO2e)• Optimizing the casting process at São Paulo(2,400 t molding sand waste)• Reducing waste from aqueous washing liquids
in Salzgitter by 170 t• Lowering manufacturing dosages in Franken­
markt, Düren, Karawang and Wimpassing (13 tof material)• Closing the cooling water circuits in Summerville(18,700 m³ of water).
•

2.3 Protecting Our Environment
HSE box
1.2 Strategy andOrganization

Management Approach
The aim of operational environmental protection
is to minimize all environmentally harmful effectsof our operating activities. Our activities in thisarea focus on strategic and operational control,with the aim of ensuring environmental regulations
are implemented and upheld. In particular, thisincludes the assessment and internal communication of potential environmental risks, organized
into risk classes, in relation to their probability andpotential damage level.
With the entering into force of our new HSE organization at the start of fiscal year 2015/16, responsibility for coordinating and standardizing operational environmental protection at Voith lies with
the HSE Steering Team, which comprises employees from the Center of Competence HSE and theheads of our regional HSE Service Centers. In
addition to questions regarding hazardous

38 I Voith Sustainability Report 2015

material management (e.g. REACH Directive),
training and management systems are also coordinated here.(Verweis)
Eco Compliance
Eco Compliance is a key component of our HSE
Group Directive. In turn, a key aim of Eco Compliance is to ensure that defined standards andregulations are implemented and complied with,environmental risks are identified and assessed,
and action plans to minimize these risks aredefined and implemented.
Our existing Eco Compliance structures were
included as part of our Voith 150+ project within
the further development of our HSE organization.
With the establishment of our new HSE organization we have now implemented a uniform Eco
Compliance model globally, which comprises twoelements.

In the new organization, full-time environmental
experts at the regional HSE service organizations
ensure our Operational Units are provided withhigh-quality, systematic support. To assist them,our environmental experts have access to a central HSE legislation database that contains all the
relevant HSE regulations and standards that apply
to us in each region. Besides the latest legislative
texts, it also contains summaries and commentsin the particular national language. The data in ourlegislation database is imported largely automatically into our global hse+ IT tool and linked therewith plants and buildings as well as responsibilities. The same applies to Voith standards andrequirement approvals. For environmental risks
arising from a particular location, environmental
risk assessments are also performed in hse+ following a uniform procedure. The derived measures
are assigned implementation responsibilities andimplementation review dates, and documented
and monitored in hse+.
Since October 1, 2015, over 95 % of Voith employees worldwide are served by our new HSE organization. The remaining 5 % are covered by qualified
external service providers, who are coordinatedand involved by our relevant regional HSE service organization. This mainly concerns countries
where we have few local employees.
Our implementation is currently running to schedule and all locations will have been incorporated
into the new system by the end of the fiscal year
2015/16. This means we will also have then established the basis for our global HSE matrix certification system.
However, we are still faced with the challenge ofsuccessfully structuring the corresponding change
process, as each employee must also be able tokeep pace with the rapid speed of implementation.

Environmental Incident Reporting System
Using our Group-wide reporting system, every
month we record all environmental incidents
based on standardized criteria, and analyze
them. The results of this analysis (KPIs, examples,etc.) are then reported to our Corporate Board ofManagement every quarter.
Our Group Directive on Health, Safety andEnvironment sets out the environmental incident
reporting process. The reports are consolidated
at our Center of Competence HSE and are also
evaluated there for local analysis.
In the reporting period we worked in particularon raising awareness among employees for the
topic of environmental protection and environmental incidents, through focusing mainly on theemployees at the new HSE organization and theregional management levels. Using posters andcontributions in the Voith employee magazine, we
also succeeded in spreading the message among
the wider workforce.
We are pleased to announce that no incidents
requiring public reporting were registered in thereporting period.
Handling of Environmental Complaints
Anyone can contact us with their environmental
grievances or complaints. This principle applies
just as much to our employees as it does to our
suppliers, local residents or other stakeholders of
our company. This is an opportunity that is also
used: In the reporting period one incident wasreported regarding noise; the incident was dealt
with and the issue resolved.
Complaints can be reported centrally via our company website or locally at our facility via one of ourEnvironmental Representatives.
The exact complaints process and escalation
paths are set out in our HSE Group Directive andVoith Sustainability Report 2015 I 39

Responsibility for the Environment

its annex “Environmental Incidents”. Complaints
are communicated based on their severity along
disciplinary and functional reporting lines.
Environmental Impacts of our Buildings
We take environmental aspects fully into consideration with new plant constructions and modifications. By doing so, environmental experts from theregional HSE service organization are involved in
the project right from the planning phase. They
provide expert advice on minimizing environmental impacts as well on applicable legislativerequirements and provide support with approval
processes.
When it comes to new plant constructions
and modifications, our Ecological Business
Management experts (see section “Resource
Efficiency”) set their sights particularly on measures to improve the energy and water efficiencyof the building. The procedure they follow is set out
in an Environmental Group Directive, which is partof our HSE Group Directive. Besides new plant
constructions and modifications, this also covers
the procurement of systems and components.

over the past year, with the sealing rate remaining
unchanged versus the previous year at 54 %(based on the total surface area of Voith locations).
(NEUER Verweis)
Hazardous Materials Management
The hazardous materials we use at Voith include
coating materials such as paints, lacquers, thinners and solvents, adhesives, resins and hardeners, lubricants, cleaning agents and industrial
chemicals.
We ensure these materials are handled as safely
and securely as possible by means of a central
hazardous materials approval process. Throughthis, we pursue the objective of fulfilling environmental protection, occupational safety and compliance requirements, and achieving the greatest possible degree of standardization. We aim
to exert an equally positive influence on hazard
potentials and costs by reducing the wide rangeof materials we use.

Our actions here are also receiving external recognition: At our production facility in Kunshan, China,
one production building and the new Training
Center are certified to the LEED Gold Standard.

Wherever possible, we try to eliminate particularly
harmful materials and encourage the use of lowrisk substitutes and the harmonization of safety
standards across the Group. Our implementationof a Group-wide hazardous materials management process, which began in fiscal year 2011/12,
was completed as planned in the reporting year.
We now have a central hazardous materials
approval process that applies globally. At its heart
is a hazardous materials database with a globally
uniform assessment of the environmental, healthand safety risks of work materials and hazardous
substances. This allows us to examine legal andother requirements in the relevant area of jurisdiction all from one central point.

To counter the progressive sealing of soil surfaces
we pay particular attention to this development inour sphere of influence. We are pleased to say thatannual reporting on the status of sealed surfaces
from location to Group level showed no increase

The new, modular process allows us to respondquickly and reliably to new legal or customer
requirements and reduce compliance risks. We
also impose a strict “polluter pays” principle toensure priority use is given to approved materials

As part of our energy audits to implement the EU
Energy Efficiency Directive, in the reporting period
we additionally examined the building shells of
our German and relevant European locations andanalyzed them to identify options to improve theirenergy efficiency.

40 I Voith Sustainability Report 2015

from the hazardous materials database. As aresult of our efforts to standardize the materials
used, we are not only minimizing risks but also
tapping into synergies and cost-saving potentials.
At the same time, our new process allows productdeclarations to be issued at the press of a buttonand pollutants in products to be reduced.
Since we rolled out the new process there has
been a considerable increase in both the quality
and completeness of data as well as in transparency of the requested substances.

In the reporting period we submitted 947 requests
for new hazardous materials, of which 867 wereapproved. 8 % of applications were rejected; inover half of these it was because they concernedbanned or harmful materials – proof that the newprocess is working and effective. The rejected
applications were returned with the request
to select a substitute from the list of approved
materials.
We aim to gradually further increase the rejection
rate in coming years, but we can only achieve
this in collaboration with the people who use
these materials within our company. They needto trust the substitutes, particularly in relation to
the integrity of our processes and the quality ofour products. ((Grafik Gefahrstoffmanagement, optional))

Hazardous Materials Management
Hazardous
materials
database

ComparingCase-by-caseexamination

Transferred

Approved

Hazardous materials
andmaterials master

AnalysisAnalyzed

Transferred

ERP system landscape

Product information

Voith Sustainability Report 2015 I 41

Responsibility for the Environment

Nanotechnology
Nanoparticles are embedded in the following
products:• Voith Turbo: Cooling systems for monorails, locomotives, railcars, special vehicles and highspeed trains. The particular coating process isperformed by a service provider, and currently
less than 10 kg of material is in field use.
• Voith Paper: Calendar and roll covers in the­area of finishings. The NanoPearl coatings represent the latest in calendar cover technology
thanks to an improved nanoparticle filler system.
According to the manufacturer’s statement, thequartz particles are produced in situ with the resin and never released at any stage of the manufacturing process. When rubbed during use, theparticles are still surrounded by plastic, so poseno hazard. No particles are released in thermal
processing either.
Fewer Pollutants, Less Noise
Regarding production-related air pollutants, wepredominantly release volatile organic compounds (VOCs) and dust produced as a direct
result of our manufacturing processes. Whenrecording and calculating these emissions weare guided by the regulations of the country inquestion and associated requirements, such as
the VOC Directive within the European Union.

42 I Voith Sustainability Report 2015

Coating processes (resins for generator production and roll coating), lacquering processes andcleaning processes (particularly surface cleaning)account for roughly a third each of our productionrelated VOC emissions.
Non-methane VOCs (NM VOCs) accounted forthe greatest share of our production-related air
pollutants in the reporting period at 70 t (previous
year: 100 t). This drop is due mainly to a fall inlacquering activities.
This is followed by dust emissions at 17 t (previous
year: 11 t), generated mainly by our foundry in São
Paulo, Brazil. As forecast in our last Sustainability
Report, despite the installation of a dust removal
system, our dust emissions increased by 6 t owing
to increased production at the foundry.
However, in the coming reporting period we
expect dust emissions to fall, as gray cast ironproduction has been discontinued and foundry
activities now focus on stainless-steel casting.
In the reporting period we countered pollutant
emissions with a series of measures. Amongthese, we continued to work on reducing ouruse of butanone. We also replicated the cleaning agent treatment system installed last year at
our facility in Wimpassing, Austria at our facility
in Karawang, Indonesia, where we commissioned
an identical system.

We constantly work to minimize noise pollution at
our locations and rigorously follow up on all information or complaints. In the reporting period we
received and dealt with one complaint concerningnoise. (Verweis Eco Compliance)
Wastewater Management
In the reporting period our volume of wastewater
stood at 1,215,153 m³ (previous year: 1,197,244
m³). Around 56 % (previous year: 48 %) was discharged into rivers, lakes or the soil, while 44 %(previous year: 52 %) was discharged into the sewage system.
The year-on-year increase of 17,909 m³ was due
mainly to the cooling water at our new Training
Center in Heidenheim. However, midway throughthe reporting period we dramatically cut theamount of cooling water we use, so a fall in the
coming reporting period is to be expected.(Verweis)

OutlookIn future, we expect a further tightening of chemical and hazardous substances legislation, furtherbans or restrictions on certain materials, andadditional labeling requirements for hazardous
substances in products. With our innovative
hazardous materials management system wehave already created the basis for meeting thesechallenges. In the coming two years, one of ourobligations will be to continue the standardization process to push forward with minimizing risks.
Integrating the hazardous materials databases ofall our production sites into our central hazardous
materials database is a key step towards this, andis therefore our goal.

Eco Compliance
4.3 Occupational
Health and Safety

Water Use
2.2 Conserving
Resources

We record the KPIs to provide more detailed information about the effects of the process water wedischarge. In the reporting period the biochemical
oxygen demand (BOD) was 13 t (previous year:14 t) and the chemical oxygen demand (COD) was
40 t (previous year: 44 t). The overall suspendedmatter content of the water was 8 t (previous year:
8 t), and as in the previous year there was lessthan 1 t of heavy metals, nitrogen and phosphorus
respectively.
Our wastewater has no significantly negative
impact on watercourses and neighboring habitats.

Voith Sustainability Report 2015 I 43

44 I Voith Sustainability Report 2015

Voith products are renowned around the world for their high quality andreliability. Our claim “Engineered Reliability” sums this up – and our aim
remains to keep on improving progressively each and every day. This is
why we consistently develop our products further, improve their efficiency
and minimize their environmental impact. In doing so, we support ourcustomers in saving precious resources, and help them produce in a moreenvironmentally friendly way.

03

Responsibility for
Products andSupply Chains
We intend to create economic and ecological added
value with our products and industrial services.
Besides our products’ quality and reliability, we place
great value on their energy and resource efficiency –both in the production and usage phases. And beyond
this, within our overall sphere of influence, we also
ensure that internationally accepted environmental
and social standards are upheld. In a nutshell, we set
high standards for ourselves and for our suppliers toprovide the same for our customers.
Voith Sustainability Report 2015 I 45

Responsibility for Products and Supply Chains

3.1 Management Approach
Voith products and industrial services are successful in five major markets around the globe – Energy,
Oil & Gas, Paper, Raw Materials, and Transport &Automotive – and our solutions are just as diverseas these markets. As a result of our materiality
analysis, and following a scientific analysis of external benchmarks (for instance oekom research), aspart of a Master’s thesis we defined our key fieldsof action across all markets in relation to our product responsibility:• Quality of our products and services• Guarantee of maximum product safety• Long service life of products• Technological expertise and innovation• Customer dialog and cooperation• Product energy efficiency• Minimizing products’ environmental impacts.
Our organization ensures that we meet countries’
statutory and official requirements wherever our
products are placed on the market.
Product portfolio
1.1 Group Portrait

As our product portfolio is so broad and we are
active in such a variety of markets, we constantly
face the challenge of producing a balanced
account of our activities in a uniform, standardized
report that covers all Group Divisions.(Verweis)
3.1.1 Key Product Responsibility Topics
3.1.1.1 Quality, Long Service Life and Safety
Success Factor: Quality“Engineered Reliability” – this principle sums up
the commitment we make to our customers
around the world. Voith products stand apartthanks to their reliability, long service life, precision and exceptional quality. The significance of
the individual aspects of our commitment differs
for each Group Division depending on the particular products, their areas of application, and our

46 I Voith Sustainability Report 2015

customers’ requirements. To ensure our principleof “Engineered Reliability” is met to the highest
possible degree in the respective market environments, our Group Divisions pursue specificapproaches and correspondingly implemented arange of different programs and measures in thereporting period.
Through an internal management system, Voith
Hydro ensures that quality standards and certificates are uniform for all units globally. Furthermore,
all of Voith Hydro’s locations are certified according
to the ISO 9001 international quality management
standard.
In fiscal year 2014/15 Voith Hydro launched projects, among others EPEX (Excellence in Project
Execution), which focuses on process and productstandardization as well as even greater customer
orientation.
The Voith Paper Quality Management systemcomprises various modules. Standard Operating
Procedures (SOPs) outline the processes andset out how the results are evaluated and correspondingly documented, particularly in relation
to potential impacts on health, safety and theenvironment. To continually improve processes(Operational Excellence), Voith Paper uses a rangeof tools such as 8D reports in quality management,
root cause analyses, and its Design of Experiments.
In the reporting period, one of the focus areas for
Voith Paper was the further roll-out of its Modular
Key Component project, which targets the consistent improvement of product quality. Under thisproject, paper machine components are harmonized irrespective of the paper grades to be produced, resulting in a reduction in mechanical engineering variance. This way, components can beused more universally and can be better combined,
resulting in a drop in the error rate and an increasein quality. The other area Voith Paper focused on in
the reporting period was the production and material quality of suppliers’ products, which always
need to meet the same high standards we expectof our own products.
Voith Turbo maintains a uniform and comprehensive quality management system, which is also
certified to ISO 9001. All employees are trainedon quality issues and consistently implement thissystem.
Several quality programs are currently running atVoith Turbo to increase the reliability of its products
even further. At the same time, Voith Turbo seeksa close relationship with customers to allow theirexperience of daily system operation to be incorporated into further product development.
Extensive Risk and Quality
Management System
Voith products and services are respected aroundthe world for their safety, quality and reliability. The
principles underpinning how we deal with risks andmaintain quality are set out in a binding Group
Directive, which our Group Divisions and theircompanies define in more detail and supplement.
We document and certify our activities according
to the ISO 9001 standard, which we also supplement with many of our own methods.
Using our Group-wide Technical Risks and Quality
Management System (TRQM), we control targets,processes and methods for the development
and production phases. Our Group Divisions are
responsible for implementation, while the relevant
Quality Assurance departments ensure processcompliance. With the help of clearly defined KPIs
(Key Performance Indicators), a Group-wide
Operational Excellence initiative places an evenstronger focus on the quality of our products andprocesses.
Our TRQM system and Group Division-specificstandards lay the basis for meeting the requirements of the international ISO 9001 quality management standard, to which virtually all Voith locations are certified. Our TRQM system also outlines
procedures for decisions that entail risks. We train
our employees on requirements and standards
and make the relevant information available tothem through our internal databases or via internal
communication channels.
Our TRQM system also defines how to meet relevant statutory product documentation requirements, and how products are to be labeled.
Besides internal technical documentation, operating instructions also provide information on theintended use of our products as well as on how tohandle them in a technically and environmentallysafe way. Furthermore, we provide our customers with the relevant know-how through training
courses. To do this, we analyze and simulate various operating states as early as the development
stage, make computer-based calculations, andperform model tests regarding the performanceand safety of our products.
We evaluate the effectiveness of our quality assurance measures in our respective Group businesslines by using Division-specific KPIs as well asinternal and external audits. We also involve our
suppliers closely in these activities.

Voith Sustainability Report 2015 I 47

Responsibility for Products and Supply Chains

Challenge: Long Service Life
A long service life is a key quality attribute of Voithmachines and systems, which is why Voith Turbo
gear systems and Voith Hydro turbines are often
in operation for decades. Because of this, ourGroup Divisions are faced with the challenge ofsupplying spare parts even after many decadesof operational use.
To address this, in the reporting period Voith Turbodeveloped an obsolescence management system,
which identifies, manages and controls the naturaland artificial aging or non-availability of a product,
not least from an innovation viewpoint. To give an
example, Voith Turbo offers a system for use inbuses that allows driveline monitoring over theentire life cycle. The bus operator is informed automatically of any impending malfunctions, which
in turn improves operational reliability and almost
completely rules out spontaneous vehicle failures.

As part of its Life Cycle Partnership program, Voith
Hydro supports power plant operators both withspare parts and services such as the repair andmodernization of existing plants. At over 15 locations in Asia, Europe as well as North and SouthAmerica, experts are on hand to perform regular
maintenance and in emergency situations also toprovide help at short notice to maintain plant availability and avoid expensive downtimes.
Voith Paper is currently developing systems which
use sensors to forecast the service life of products. This approach improves operational reliability
and almost completely rules out sudden system
failures. Automated monitoring systems havealready been launched with the OnCare productfamily and are now being expanded.

Papermaking 4.0 – Networked Solutions for Greater
Efficiency and Lower Resource Consumption
Papermaking 4.0 encapsulates our efforts to raise our efficiency, productivity and quality
along the entire paper production value chain, also at existing plants.

The principle is just as simple as it is effective:
Using cutting-edge sensors, paper machineprocesses are made transparent, can be stabilized by means of actuators and controls,
and ultimately future-optimized. We makethis possible by interconnecting numerous
sub-processes and supporting them with48 I Voith Sustainability Report 2015

key parameters such as quality-related datafrom stock preparation, or from finished products. This also prevents excessive use of precious resources, while the savings in terms ofenergy, chemicals, fibers and time increase
the overall value added.

3.1.1.2 Technological Expertise andInnovation
Research and development have always beenhighly valued at Voith. The success of our business hinges on our technological expertise andthe ability to constantly apply our know-how toinnovations that create genuine added value forour customers.
Driven by this awareness, since fiscal year 2014/15
we have progressively rolled out and establishedthe function of the Chief Technology Officer to allof our Group Divisions. By doing so, we intend toproactively meet challenges in our markets, particularly the advance of digitization, and use theseas opportunities for our company.
All of our Group Divisions involved in mechanicaland plant manufacturing have a strong patent
base: The Voith Group currently holds several
thousand active patents and many hundreds wereadded in this reporting year alone. In fiscal year
2014/15 our R&D expenditure totaled € 210 million(previous year: € 216 million). This is distributed
more or less equally over our Group Divisions, withcross-Group development activities also includedin this expenditure. Measured against Group revenues of € 4,302 million based on continued activities, the Group dedicated 4.9 % of its revenues to
R&D in the reporting year (previous year: 5.2 %).
(Verweis)
We fully intend to remain highly competitive inall our Group Divisions, and work constantly todefend and strengthen the leading position wehold in many markets. The digital transformationin particular, frequently referred to as “Industry
4.0”, offers immense opportunities for our Group
Divisions. They are working consistently to leverage the potential of Industry 4.0 in their own production processes and in specific products for theircustomers.

AR 2015
05 Research andDevelopment

As an example, in the reporting period Voith Paper
established a process to identify trends andassess their scope. In terms of the market, thecentral trends that emerged included ecologicalthis is labor-intensive and is always performed
too late, resulting in both sub-optimal yieldand the imprecise matching of bleachingchemicals to the specific conditions. With
OnEfficiency DIP, resources in the production process can be used efficiently and in acontrolled way, with correspondingly positiveeffects on operating costs.
OnEfficiency DIP stabilizes and optimizes thede-inking process in paper manufacturing.

One example of this is the de-inking process,which is greatly influenced by the varying quality of the raw material. Manual correction of

OnEfficiency DIP detects process fluctuations
in real time and adjusts the subsequent process proactively, meaning that quality fluctuations can be counteracted through real-timeprocess adaptation and the precise dosing of
bleaching chemicals.

Voith Sustainability Report 2015 I 49

Responsibility for Products and Supply Chains

Papermaking 4.0
2.2 Conserving
Resources

sustainability and further globalization. In terms ofIndustry 4.0-related technological development,
focus areas include the further automation as wellas the digitization of production. This is why thisGroup Division is focusing in particular on theopportunities presented by digitization, and aims
to turn these into competitive advantages under
the overarching Papermaking 4.0 strategy.
Specific fields of action will be defined to tap into
the trends identified during the course of fiscal
year 2015/16. (Verweis)
In the reporting period Voith Hydro established an
Industry 4.0 task force to leverage the opportunities of the digital transformation for the Group
Division. These lie particularly in the digitization of
production and the analysis of Big Data. Among
its activities, Voith Hydro is currently working on
further developing its existing monitoring anddiagnostics systems so that customers only
need to have their Voith machines serviced whenrequired and when it suits the particular operating
model.
Voith Turbo is also focusing on the new opportunities that the macro-trends Industry 4.0 and theInternet of Things offer for this Group Division as
well as its products and services. In all business
units, initiatives are underway to make “smart &connected” products – and to develop businessmodels and services that build on this. An example of this is preventative maintenance: By using
cutting-edge sensor technology, critical systemcomponents can be monitored continuously to
avoid unplanned outages to a very great extent.
Kasten50 I Voith Sustainability Report 2015

3.1.1.3 Customer Dialog and Cooperation
We systematically involve our customers to
improve our quality constantly. As an example,
in fiscal year 2014/15 Voith Turbo extensively
analyzed customer satisfaction. The evaluation showed above all that customers’ needfor ever-shorter delivery times is a challenge.
Corresponding improvement projects were proactively implemented, also in shopfloor management, where production employees and managers discuss the current production status several
times a day and take corresponding measures
immediately if problems arise. As early as theend of the reporting period, progress was evident
in terms of delivery times and delivery reliability,with a considerable reduction in production leadtimes achieved in the majority of products. As an
example, the lead time for Vorecon variable-speed
planetary gears has fallen from between 12 and 14
months to 7 to 9 months.
We support our customers in many areas throughspecial training courses and consulting services,that also focus on how to operate our productsin the most efficient and resource-friendly way
possible. For instance, when it comes to existing systems we investigate areas of potential toincrease the efficiency of hydropower turbinesand generators. When optimizing paper machines
we work closely with customers to improve theiruse of raw materials through recycling, as wellas to reduce electricity consumption based onenergy audits. Our aim is to develop energy andwater-efficient products and further reduce overall
operating costs. We also offer training courses
on the correct use of drives, turbines, pumps andcompressors – either at our training center ordirectly on-site at the customers’ locations. In thereporting year we delivered around 5,100 hoursof training Group-wide (previous year: around
1,300 hours). Kasten

Voith Turbo Crailsheim Receives MX Award
In November 2015 Voith Turbo Crailsheim
in Berlin, Germany received the Manufacturing Excellence (MX) Award 2015 in theProcess Innovation category. The jury commented: “This production facility developed
very strongly in terms of its procedures, andthrough its culture of continuous improvement it delivered solid proof that the available
potentials are being leveraged promptly”. The
award is given in recognition of the activities
and measures which were successfully implemented over recent years at the Crailsheim
location, as part of Voith’s Group-wide Operational Excellence (OPEX) initiative.
Recent history shows how much can beachieved if the culture of constant improvement is fully embraced. The future also
holds huge potential for optimization at the
Crailsheim facility, which will secure the longterm competitiveness of the location.

3.1.1.4 Resource Conservation andEnergy Efficiency
We want our products to make a contribution
towards conserving resources and protecting
the environment – and in doing so, to meet ourcustomer’s demands, statutory requirements andultimately our own stated aim. Our goal is for our
products to become increasingly environmentallyand resource-friendly, both in terms of production
processes and in the subsequent utilization phase.

The aim now is to further instill the OPEX
philosophy and the principle of continuous
improvement into the administrative areas
and among suppliers. Industry 4.0 also offers
us additional opportunities to optimize processes both internally and at a local level withcustomers.

Voith Turbo, Crailsheim

Eco Technologies Assesses Energy and Raw
Material Efficiency
We predominantly supply components which, aspart of an overall system, have different impacts
on the energy and material balance. We employ
a range of tools to achieve an even more detailed
evaluation of our products’ energy and raw-material efficiency.
Our Eco Technologies team drives the analysis andevaluation of our products and services throughVoith Sustainability Report 2015 I 51

Responsibility for Products and Supply Chains

StreamDiver Premiers
in Sweden
After extensive rehabilitation work, theBruksfors hydropower plant, locatedaround 700 kilometers (approx. 430 miles)
north of Stockholm, Sweden, is now
equipped with a 250 kW StreamDiver
turbine.
Commissioned at the start of 2015, it was
the first commercial project to enter into
service using this environmentally friendly
compact turbine from Voith. The StreamDiver is a new type of turbine generator
unit for small hydropower plants, which
reduces the impact of construction on theenvironment to a minimum, does not affectwater quality, and at the same time minimizes maintenance effort and costs. This
opens up future opportunities to utilize
locations to generate power where theconstruction of conventional hydropower
plants was previously impossible, due tofactors such as low heads or environmental protection reasons.

Illustration of StreamDiverin the hydropower plant.

52 I Voith Sustainability Report 2015

energy and resource efficiency aspects. To achievethis, Eco Technologies relies on collaboration
with other companies, universities and research
centers with the aim of identifying economic andenvironmental trends, as well as analyzing the levelof maturity and cost-effectiveness of technologies
available on the market to Voith. The team also
assesses the risks that arise for the Group fromusing certain materials, and develops measures tocounter these risks.
Our Eco Technologies team also supports the
cross-divisional Eco Innovation process: This comprises employees from Corporate Environment,
the Group Divisions’ R&D Departments, ProductManagement and Corporate Strategy.
Resource-friendly Products in All Group
Divisions
The primary aim of all our Group Divisions is to conserve resources and to minimize the environmental
impact of our products. Here too, we pursue adecentralized management approach to provide
products that best meet the specific requirementsof the markets in question. To achieve this, formany years now we have conducted Life Cycle
Assessments (LCAs) for selected products in compliance with ISO 14040 and 14044.
Voith Hydro
Hydropower is a renewable energy and, despite
its unavoidable impacts on nature, remains one of
the most eco-friendly ways to generate electricity.
Voith Hydro works tirelessly to further minimize thelatent environmental impacts, for instance by using
air-cooled generators to avoid warming the water.
Particularly when it comes to large systems andequipment, our customers also focus on their own
energy requirements and material use during theutilization phase to optimize their operating costs.
Especially in Scandinavia, avoiding the use of oil

in bearings and runners is an important topic forour customers.
The Voith HyEco seal is awarded to our latest technical solutions for sustainable energy generationfrom hydropower. All Voith HyEco products, systems and services deliver greater efficiency, lower
resource usage and the greatest possible ecocompatibility, depending on the usage profile in
the power plant. With HyEco, we look at the complete life cycle of new and existing large and smallhydropower plants. To document the minimal environmental impact of our components and entire
hydropower plants, such as their excellent energy
payback ratio or their low carbon footprint, we also
perform LCAs in accordance with ISO 14040. In
addition, we develop environmentally sound solutions for the automation of hydropower plants andprovide services for all plant components.
To avoid harming the local fish population, Voith
developed Minimum Gap Runner (MGR) technology as part of the Advanced Hydropower Turbine
System (AHTS) program established by the US
Department of Energy. The MGR blades are contoured to a fully spherical hub and periphery, sothat the design gap remains constant across thepitch range. The advantages of this minimized gap
are a positive impact on fish survival rates andimproved turbine efficiency. Over the past decade,
MGR technology has been implemented at several
large axial flow units in the field. Kasten

Voith Paper is increasingly relying on renewablematerials, and is working systematically on closing
material, water as well as auxiliary cycles. In doing
so, we intend to further reduce the environmental
impacts of paper production while increasing thecost-effectiveness of plants at the same time. The
aim is to generate the greatest added value for ourcustomers by operating our machines in the mostresource-friendly way possible, and by designingthem to be as efficient as they can. Kasten
Voith Paper achieved further progress in thereporting period in terms of its energy efficiency
and in reducing the environmental impacts of its
products and services. Among them:• Thanks to its OnEfficiency DIP technology andthe use of virtual controls (Papermaking 4.0),
Voith Paper customers are achieving savings interms of fiber as a raw material of up to 3 % and
up to 5 % in terms of energy*. (Verweis)• Using a greatly extended hydraulic press zone ina tissue machine, thermal energy consumption
reductions of 4 % can be achieved*. (Fußnote)

Papermaking 4.0
2.2 Conserving
Resources

Voith Paper
To Voith Paper, resource conservation means
above all reducing the specific consumption ofwater as well as electrical and thermal energy per
tonne of paper. Moreover, it also means reducing
fiber losses and achieving time savings in terms of
producing paper for customers through having themost efficient systems possible.

* Savings potential based on established standard.

Voith Sustainability Report 2015 I 53

Responsibility for Products and Supply Chains

Voith Turbo
Voith Turbo also follows the principle of offering
increasingly energy-efficient and environmentallyfriendly product generations. It focuses on theimpact of using Voith components on the total costof ownership (TCO). There are two levers here – theefficient use of materials in production on the one
hand, and the continuous improvement of systemefficiency on the other. Here, Voith Turbo aims to
adopt a continual process of improvement in whichcustomers are also involved. The topic of resource
conservation through increased efficiency is a key
aspect of related customer discussions, whether
during the tendering phase, or on handover of the
product.
In the reporting period Voith Turbo achieved progress in terms of its energy efficiency and in reducing the environmental impacts of its products andservices.

Here are just a few examples of our many measures and product developments to improve
resource efficiency and reduce the environmental
impacts of our products and services:• With Vorecon 2020, a further development of our
successful Vorecon gears, a special torque converter with an adjustable guide blade improves
efficiency in the partial load range and increases power density. Losses are reduced by 25 %while 32 % less oil is consumed compared to
traditional Vorecon gears. Ultimately, the higher
power density offers greater power transfer anda more efficient system configuration.
• The AeroMax package reduces the power lossof our industrial gears by 30 % and oil consumption by 20 %. To achieve this, our turbo parallel
shaft gear units feature integrated inner housings
which allow separate lubrication and cooling of
the gear teeth. This is combined with highly optimized, low-loss bearings which require 20 % lesslubricating oil. The inner housing lowers friction

Voith Honored with Baden-Württemberg Environmental
Technology Award
We successfully participated in the Baden-Württemberg Environmental Technology Awards
with our HydroSeal product, taking second place in the category “Technologies for Emission
Reduction, Treatment and Separation”.
Since 2009 the Ministry of Environment, Climate and Energy of Baden-Württemberg hasawarded the Environmental Technology Awardevery two years for excellent and innovative
products in environmental technology.
HydroSeal, a Voith Paper product, is a new
sealing-strip system with an integrated

54 I Voith Sustainability Report 2015

lubricating water supply for suction rolls ina paper machine. Compared to previous
sealing-strip systems, Voith’s new design (forwhich several patents have been filed) saves
water and energy at the same time, while
also yielding a number of additional processadvantages for customers. The environmental benefit is immense: With the modification

losses on the extremely high-speed gear, thus
reducing the ventilation energy requirement.
• For our DIWA bus transmissions we collaborate
with a number of mineral-oil suppliers to offer
our own custom lubricating oils, which extend
oil change intervals by 50 % (from 120,000 to
180,000 km/approx. 75,000 to 112,000 miles).
This reduces maintenance costs and less waste
oil is generated as a result.
Recycling and Reuse
Materials recycling and reuse has always beena core topic in paper production. Voith Paper isalso always looking for opportunities to increase
the recycling rate of its own production processes,
and to reuse materials wherever possible.
As an example of this, in felt production purepolyamide fibers are reused as standard in the
production process. In the Fabric & Roll Systems
Business Line, Voith Paper is currently rolling out

the process of recycling virgin and fresh PPS polymer production waste. PPS is used for dryer fabrics and is produced as a byproduct of processing
at the location. Furthermore, Voith Paper is also
currently reviewing the cost-effectiveness of recycling used materials – in other words, products
used and contaminated through use. If this material is fit for reuse under technical and economic
considerations, Voith Paper aims to recycle thismaterial.
Hydropower plants are designed to last for generations. While many operate reliably for decades,
they may no longer be operating at their peak andat optimum cost-effectiveness. Voith Hydro is
specialized in bringing these plants up to date interms of technology by modernizing and overhauling components, machines and systems. By doing
this, plant efficiency and availability can often be
increased considerably. Furthermore, utilities canprovide considerably more eco-friendly electricity

Marc Erkelenz, Voith Paper,with the award-winning
product HydroSeal.

of only one suction roll, savings in fresh andwastewater of up to 20,000 m³/year (comparable to approx. 8 Olympic swimming pools),
and about 1 million kWh/year (the equivalentannual energy consumption of approx. 667
people) can be achieved – depending on thesize and type of the machine.

Voith Sustainability Report 2015 I 55

Responsibility for Products and Supply Chainsas a result of extensive modernization measures.
Voith Hydro supports customers as a service partner throughout the plant’s life cycle.

Digital Solutions
box

Voith Turbo products are extremely durable.
Consequently, their reparability is a central
requirement right from the product development
stage. They can even be repaired if they suffer
more extensive damage, such as from overvoltage events. Furthermore, there is a huge market forused and refurbished products such as housings,
wheelsets, retarders and gears.

1.1 Group Portrait

3.1.2 Outlook
We expect environmental protection legislation tofurther tighten in future, and customer demands tocontinue to rise regarding the environmental andresource efficiency of our products. This is something that affects all of our Group Divisions. The rising complexity of the challenges confronting manyof our customers in their markets is increasingly
leading them to decide on obtaining solutions froma single supplier.
In the coming years, we see Industry 4.0 opening
up huge opportunities for all three Group Divisions
involved in mechanical and plant manufacturing.
With the founding of our Group Division Digital
Solutions, we intend to bundle existing know-how
in our Group, develop new digital business models
and further expand our technological leadership in
the coming years. (Verweis

3.2 Sustainability in the Supply Chain
3.2.1 Management Approach
Sustainability does not stop at the factory gates.
Our understanding of corporate responsibility also
includes our suppliers, as we want to ensure sustainability is at the heart of our supply chain. To
achieve this we attach great importance to longterm, trusting relationships with our suppliers. Our
stakeholders also considered these aspects asmaterial to the way we manage sustainability.

Extensive statutory regulations, such as the EU
chemicals regulation REACH and the hazardous substances directive RoHS, combined withthe somewhat unclear legal situation, placehigh demands on our business. Among thesechallenges, the SVHC (Substances of Very High
Concern) list is being constantly updated. Anotheris currently posed by ongoing legislation concerning “conflict minerals” within the EU.

Procurement Challenges
Controlling complex, heterogeneous supply chainsremains a core challenge for Voith’s Purchasing.
Owing to the multitude of suppliers and the fluctuating supplier base, we can only provide reliable
information on tier 1 of our supply chain.

National regulations additionally exacerbate thechallenges in procuring materials. Our Trade &Compliance Department ensures that Voith, asa globally active Group, complies with respective
national regulations relating to customs duties andexport restrictions.

56 I Voith Sustainability Report 2015

In the reporting period we saw an increase in thenumber of customer enquiries concerning theorigin of the goods we procure. We took organizational steps to answer these questions promptly,
accurately and comprehensively, and have now
created a position responsible for the central collection and answering of such enquiries.
Risk Map for Greater Transparency
With the help of a study by the Swiss Federal
Institute of Technology (ETH) Zurich, we gather
information on key economic, social and environmental risks in our supply chain. These areunderpinned by public sources of information suchas the UN Global Water Report or Transparency
International’s Corruption Index.
We launched the project as planned in October
2015 with the aim of producing a geographicalrisk map. By the end of fiscal year 2015/16 this willallow us to derive suitable concepts and strategies,
as well as concrete measures for Voith. By doing
so, we aim to penetrate our supply chains in evengreater detail and depth, and define the complex
topic of sustainability in the supply chain and makeit clearer.
The study focuses on our key material groups andregions, with special attention devoted to countries with especially critical conditions. Our analysis
centers on risks associated with complying withsocial or ecological standards, as well as on compliance risks in our supply chain.
Organization
Our Purchasing organization is divided into centralized and decentralized as well as strategic andoperational responsibilities. Strategic Purchasing
is responsible for supplier and material-groupmanagement and concludes framework agreements. It only conducts individual negotiations

once a specific value threshold has been passed.
Below this threshold, Operational Purchasing
conducts individual negotiations and deals with
day-to-day business such as placing and following
up orders.
Since we established our four Global Business
Services Centers in Heidenheim, York, São Paulo,
and Kunshan, we have gradually been transferring
responsibility for the strategic and operational purchasing of non-production materials to these centers, which will coordinate this process in future.
By contrast, production materials are procured
directly by our various Operating Units around theworld.
Sustainability topics are mainly assigned to our
Corporate Strategic Purchasing (CSP) Department.
Corresponding activities are coordinated acrossDivisions by the Global Purchasing Board (GPB)with representatives from the Group Divisions,and relevant topics are identified internally within
the Group. ((Grafik ))Consistently High Purchasing Volumes
In fiscal year 2014/15 we procured materials andservices to the value of around € 2.5 billion. The
spectrum of goods we procure is as broad as
our own product portfolio: In terms of production
materials alone, it ranges from the procurementof a one-millimeter nut to a 250-millimeter thicksteel sheet, and from special customer-specificlacquering to electrical cable custom-made for
Voith. In terms of purchasing volumes, as in theprevious year the material group structural components accounted for the majority of the production
materials we procured in the reporting period. Thiswas followed by electrical/electronic, subcontracting and cast parts.

Voith Sustainability Report 2015 I 57

Responsibility for Products and Supply Chains

Total Purchasing Volume of the Voith Group: € 2,540
in € millions

Production
material
1,830 (72 %)Non-production
material
710 (28 %)“Local for Local” Principle
As an international company we work with suppliers from 84 countries. The majority of products
are provided by European suppliers, with Germany
accounting for 40 % alone. However, in line withthe principle “local for local” we intend to consistently increase our local purchasing volumes inorder to reduce transport-related CO 2 emissions
and strengthen local relationships with suppliers.
We continue to focus on Asia, where we have set
up various new facilities in recent years. The task
now is to establish local know-how and develop
working relationships with regional suppliers,
where our new training center in Kunshan near
Shanghai will make a decisive contribution bycovering the resulting training requirement locally.
Requirements, Values and Standards
We demand very high standards of ourselves – andthis is something we also expect of our suppliers,
especially in regard to resource conservation and

58 I Voith Sustainability Report 2015social responsibility. We have made this aim part ofour Purchasing Guiding Principles and set specificgoals, with our Voith Purchasing Manual outlining
the requirements on our employees.
As a Group Voith is required to guarantee thatorders are reviewed, awarded and processedtransparently. Compliance with local environmental protection and labor laws as well as strict
avoidance of corruption and forced labor form thefundamental principles of our day-to-day business,and consequently also apply to our suppliers.
Our fundamental understanding of partnership,
and our requirements relating to compliance aswell as environmental and social standards, areoutlined in our Code of Conduct and our General
Purchase Conditions (GPCs). Our GPCs are thebasis for contractual agreements with our suppliers and also ensure that their sub-suppliers abideby these requirements. Our GPCs are available

on the Internet and also contain a reference to
our current Code of Conduct. We also provide
additional country-specific versions that ensurethat local purchasing processes always takespecial country-specific aspects into account, forinstance regarding payment terms, environmental
standards and customs requirements.
Extensive Training
Our Purchasing Training Program, developed specifically for purchasing, ensures that our employees are always updated in terms of legal compliance, using IT tools, or negotiating with suppliers.
Local trainers also address special cultural andlocal aspects through face-to-face training sessions, ensuring our employees are prepared aswell as possible for their international working environment. The training modules also cover sustainability and compliance aspects.
In the reporting period our Purchasing Training
Program was expanded to include Asia and SouthAmerica, with many courses taking place in China
and Brazil. The training measures at our North
American locations are currently in the planningphase, although fixed dates have already been
agreed.
To ensure all Voith Buyers around the world receive
the best training, in the reporting period we created a position with central responsibility for the
Purchasing Training Program. This position’s duties
include producing a training catalog, making training documents available in other languages as
quickly as possible, and increasing participationin e-learning courses.

3.2.2 Supplier Selection and Evaluation
Through our long-term, trusting collaboration with
our suppliers we aim not only to work out especially cost-effective solutions but also to optimize
our purchasing processes under consideration ofsustainability aspects.
To mitigate risks in the purchasing process werequire our suppliers and third-party service providers to provide regular Supplier Self Assessments(SSAs). In fiscal year 2014/15 we transacted 61.7 %of our invoicing volume with suppliers listed in oursystem as having an up-to-date and approved
SSA. Through centralized processing, in future
we also intend to ensure that meaningful and suitable information is collected from our core suppliers. The findings of the aforementioned ETH Zurich
study will also be incorporated into this process.
Evaluating Supplier Performance
In addition to the self-assessment, once a year
employees from the specialist departments aswell as Purchasing evaluate those suppliers withwhom we place the largest order volumes. We use
a standardized process based on transparent criteria, which ensures the results can be comparedacross the Group. This reveals suppliers’ strengths
and weaknesses, as well as potential risks. Our
supplier evaluation is also used as the basis for
specifying preferred suppliers with whom we wish
to collaborate as strategic partners.
Although our Preferred Supplier Lists do not notcommit us to purchasing from selected suppliers, it is intended to encourage our employees tomake extensive use of individual supplier relationships. The main selection criteria for qualification

Voith Sustainability Report 2015 I 59

Responsibility for Products and Supply Chainsas a Preferred Supplier are product range, availability, pricing, and quality.
In the reporting period we evaluated 3,814 suppliers. As a result, we transacted 62 % of our i­nvoicing
volume with suppliers listed in our central supplier
database as having an up-to-date and approved
evaluation – a level we fully intend to continue tomaintain.
In the reporting period we modified our supplierevaluation criteria and, in particular, revised oursustainability criteria that we use to calculate oursustainability ratio. The changes will be incorporated into our supplier database once we roll-out
the new system.
Based on the existing criteria, the partners weevaluated in the reporting period achieved an average sustainability ratio of 84 %.

60 I Voith Sustainability Report 2015

Rigorous Action on Violations
Violations of contractual standards by individual
suppliers, such as environmental requirements orsocial standards, initially trigger an official warning from Voith to desist and a formal demand forspecific improvements. If these are not achieved,
Purchasing is required to terminate the business
relationship and block the supplier.
This approach is part of the Blocked Supplier
Concept that we implemented throughout theGroup in the reporting period. In fiscal year 2014/15
fifteen suppliers were blocked Group-wide, with
only one of those suppliers blocked because it had
violated social or environmental standards.
Suppliers can also report violations of sustainability
standards in the supply chain on their own initiative.
Like our employees, they can also use our anonymous Compliance Helpdesk. In the reporting
period we are pleased to report that we received
no voluntary declarations nor were we informedby suppliers of any violations by competitors or
sub-suppliers.

Systematic Data Management
The results of our supplier evaluations and thedata from self-assessments and contracts are
stored in our central SupplierManagement@Voith(SM@V) database. It serves as a reference andtool for our buyers, helps increase transparency
in the supply chain, and mitigates risks in the purchasing process. To further increase the system’s
performance, through improved interfaces to ourERP (Enterprise Resource Planning) system for
instance, we are currently searching for a new
system provider.

3.2.3 Outlook
Our new risk map will enable us to penetrate our
supply chain in even greater depth and define what
action is required. This will then allow us to devise
specific concepts and strategies for our suppliermanagement, self-assessment and supplier-evaluation processes.

The Voith database for work and hazardous substances, which we launched in fiscal year 2013/14,
enables us to make material declarations and supports the uniform, centralized handling of manufacturers’ safety data sheets and product information.
Our suppliers are required by law to provide us with
their Safety Data Sheets. In future, once we havedeveloped a suitable system our suppliers will also
be asked automatically to declare the substancesin and compositions of the products they supply.
Use of Conflict Minerals
The EU has still not clearly defined its position on
the US’s Dodd-Frank Act concerning the use of
conflict minerals. To prepare in good time for the
new regulations, in fiscal year 2013/14 we established a working group consisting of representatives from Purchasing, the Legal Department, andthe central function Corporate Sustainability. The
aim is to record and evaluate all information centrally, including related customer enquiries, andprepare action recommendations for Voith.

Voith Sustainability Report 2015 I 61

62 I Voith Sustainability Report 2015

Even though the proportion of our overall workforce working in Asiaand the Americas is increasing, we still continue to employ over half
our workforce in Europe. As a vocational training pioneer we have
lived up to our responsibility to train the coming generation of skilledworkers. An example of this is our headquarters in Heidenheim, where
we have invested around € 16 million in the Voith Training Center: Thiswas inaugurated in 2014 and also serves as the further education center
for Voith employees and managers.

04	Responsibility for
Our Employees
Voith has a special responsibility towards its
employees, not least because of our long tradition asa family company. It has been proven time and again
over almost 150 years of Voith business history:
Qualified, motivated employees are the engine thatpowers our success. This is why we work hard todeserve the long-term loyalty of our employees. To
achieve this, we aim to offer them an attractive
working environment and personal development
opportunities tailored to their personal circumstancesand career paths.
Voith Sustainability Report 2015 I 63

Responsibility for Our Employees

4.1 Management Approach
Challenges and Focus Areas
Increasing digitization in business and society
poses new challenges not only to our employees and their skills profile, but also to our Human
Resources (HR) area. Maintaining our global
presence continues to demand our attention, as
does the ever-increasing internationalization of ourbusiness. Labor market requirements and statutory frameworks around the world are continuallychanging, and this presents our HR area with fundamental challenges.
Responsible Group Restructuring
Continuing in the tradition of our family-owned
company, we aim to make the consequences of
our Group’s transformation process as sociallyacceptable as possible for our employees.
To achieve this, we work closely with employee
representatives at our individual locations to findsolutions that best meet the local circumstances.
In the reporting year we have already concluded
various location-specific agreements. Employees
who are affected by location closures will, where
possible, be offered the opportunity to take on a
new role in another area of our company.
Matrix
1.2 Strategy andOrganization

Voith as an Employer
At the end of fiscal year 2014/15 20,981 employees
were working for the Voith Group, within the continued business activities of Voith Hydro, Voith Paper
and Voith Turbo (previous year: 21,967 employees, -4.5 %). This is equivalent to 20,223 full-time
equivalent (FTE) jobs excluding apprentices. As
at the review date, 20,094 (17,253 FTE) employees worked at our Group Division Voith Industrial­Services, which has been sold. This represents afall of 2.1 % compared with the end of 2014 (19,684
employees; +2.1 %; 18,359 FTE jobs).
Around 54 % of our employees (FTE jobs excluding
apprentices) work in Europe, 25 % in the Americas,
20 % in Asia and 1 % in other regions of the world.
In the reporting period the share of women in theGroup fell to 17.5 % (previous year: 17.7 %). The
number of employees on temporary contracts also
dropped by 15 % to 2,475.*(FUßNOTE:
Clear Alignment on Focus Areas
As early as fiscal year 2012/13 we initiated a multiyear transformation process under our Group-wide
success program Voith 150+. With this extensive
package of measures, we intend to further develop
HR work at Voith in a qualitative respect, and makeinternal processes more streamlined and efficient.
Through this, we aim to ensure that we can assign
sufficient numbers of suitably qualified employees
in all markets in a timely manner (availability). Furthermore, we are implementing measures that will
ensure our employees reach the highest possiblelevel of qualification and are optimally motivatedduring their careers at Voith (effectiveness).
Many of our HR activities are required to meetthese objectives. In doing so, they also address
the four focus areas derived from our materiality
analysis:• Personnel development, training and further education• Occupational health and safety• Leadership• Diversity and equal opportunity. (Verweis)*U nless stated otherwise, all figures relate to the Voith Group and its continued activities of Voith Hydro,
Voith Paper and Voith Turbo.

64 I Voith Sustainability Report 2015

Value-oriented Corporate Culture
Clear values shape our corporate culture andtherefore Voith’s identity. They are an integral partof our training programs, such as our standard
training programs for prospective managers, andalso serve as the benchmark for our employees’
annual appraisal. (Verweis)
We have always firmly believed in the concept oflifelong learning, and support our employees intheir professional development. The equal statusof all employees, observance of human rights inaccordance with the UN Universal Declaration of
Human Rights, and action against discrimination
are mandatory guiding principles for our company
and are anchored within our Code of Conduct.
Our Group-wide success program Voith 150+ alsobuilds on this corporate culture in terms of making Voith fit for the future. As such, we want toencourage open discussion even more strongly
and make further progress in the areas of diversity
and inclusion.
Upholding Employee Rights Globally
All of our employees have the right to form unions.
Indeed, freedom of association is an integral partof our Code of Conduct.
In the reporting period 97 % of our employment
relationships in Germany were covered by collective agreements, and globally this figure stoodat 74 %.
Local employee representatives are involved
in discussions between Group management,
employees and local HR departments. Within theindividual countries, relationships are structured

in accordance with national laws, collective wage
agreements and company agreements. Our compliance processes ensure that agreements are also
upheld.

Values andCompliance
1.3 Values andCompliance

Our Corporate Board of Management or the local
management team communicate fundamental
changes to employees at all our sites in a timely
manner. Within this, we strive to inform employees
as early as possible via a number of communication channels, especially the intranet, video andtelephone conferencing, notice boards, employee
magazines and other employee media.
In Germany, the decision-making process is subject to co-determination if fundamental changes
are made to the company. Implementation of themeasures that have been taken is supported by
the respective locations’ Works Councils. erweis)
New Operating Model Creates Freedom
In the reporting year we commenced with theimplementation of our new operating model for
HR. Four Global Service Centers around the world
handle tasks such as payroll, time management,
and HR administration for the particular region
using a service approach that is uniform acrossthe Group. This lays the basis for Voith-wide standardization, automation, and at the same time themodernization of HR processes – including the
expansion of self-service options for employees
and managers. It also reduces the workload on
our managers and HR experts, which gains us
precious time to give our managers more personalized support and gives us freedom to devote
ourselves to strategic tasks such as succession
management and staff development.

Voith Sustainability Report 2015 I 65

Responsibility for Our Employees

We pool our know-how on strategic HR topics
and define Voith-wide standards at three global
competence centers. The employees at the competence centers serve as points of contact andadvisors to their internal business partners.
To measure the success of our activities we are
currently devising a stringent monitoring systemand defining the KPIs. Our aim is to complete thisprocess by the end of fiscal year 2015/16. As partof our Group-wide success program Voith 150+ we
check our progress on meeting our objectives on amonthly basis, and in parallel our HR area monitors
the implementation status.

Group-wide Personnel Information System
Powerful HR IT systems are a key prerequisite forwell-functioning processes and making informed
HR-related decisions. In a multi-year project wehave developed an HR information system thatallows us to map all relevant HR processes globally. We are pleased to say that we completed theroll-out in the reporting year as planned. Both our
HR experts and managers in the business units
now use our uniform global People Excellence
Platform (pep.) and in doing so have access tohigh-performance tools.
pep. contains basic information on the level ofqualification and development paths of all of ouremployees around the world. In addition, it maps
the organizational structure of all Voith business
units. The system brings transparency to reporting lines and expert knowledge, making it easierto form virtual teams across national borders andGroup Divisions.
We also steer our entire talent management
process using the new platform, from employee
recruitment, through appraisals and performance
reviews, to professional development and succession planning. Last but not least, pep. is the central
source of information for HR reporting at Voith.

66 I Voith Sustainability Report 2015

4.2 Attractive Employer
Challenges in Attracting Talent
Voith has a presence at many locations around theworld, where the competition for qualified employees is intense. To win in the global war for talents,
we present ourselves as a modern, forward-looking employer. As part of this we are progressively
increasing our activities on the social Web, without
neglecting personal contact.
We intend to spur on the professionalization of ourrecruitment process by successively adjusting andstandardizing it. In this regard we achieved important milestones in the reporting year, including thestandardization of our recruitment process in Germany and the roll-out of our pep. recruiting module.
Alongside process efficiency, benefits include selfservice options for applicants as well as integration
into the Talent Management Platform.
However, owing to our ongoing transformation
process, the challenges we face in recruiting
employees have changed significantly. Amongthem, the number of employees we need to attract
will fall, and we will require hardly any unskilledemployees.
In the reporting period we already hired fewer
employees in the retained Group Divisions owing tothese restructuring measures. We also did everything possible to reassign employees from Group
Divisions that were affected by the restructuring
measures, particularly in administration functions.
Appealing to New Talent at an Early StageWe address students directly, and offer them aninsight into our company as a potential employer
through collaborations and international HR marketing campaigns at universities. We also award
scholarships and sponsor competitions in theregions where we are active. (Verweis)

First-rate Training and Education
We have been actively involved in offering first-rate
vocational training for over 100 years, placing greatemphasis on interdisciplinary learning and the integrated provision of social and specialist expertise.
Today we train young people in over 40 commercial, technical and industrial professions, and weusually hire them after they have completed their
vocational education. In the reporting year we
employed 889 apprentices (previous year: 1,015),
827 of whom work in Germany, including 406 in
Heidenheim.
Of the current 87 students in dual-track training,
62 are enrolled in technically focused courses and
25 in commercial courses.
Our two training centers in Heidenheim and Kunshan, China, testify to the high regard Voith has
for training and education. They serve as further
education centers for employees and managers,
and as multi-functional buildings they bring cutting-edge training programs together with architecture, construction, building technology anddesign, within an innovative overall approach. In
the reporting year the first 19 employees successfully completed their one-year training program in
Kunshan – and we hired all of them.
We also recruit trainees with technical or business administration qualifications worldwide. Our
Global Graduate Program offers practical experience combined with training, coaching and expert
mentoring, as well as the opportunity to work invarious Group Divisions and regions, so this is aperfect way to get a foot on the career ladder inour company. In the reporting period we hired
10 ­trainees locally under our Global Graduate
Program.Kasten

Society
5.2 Projects andActivities

Voith Sustainability Report 2015 I 67

Responsibility for Our Employees

Achievement Honored with an Award
In November 2015 no less than 116 top apprentices were recognized for theiroutstanding performance by the Association of Chambers of Commerce andIndustry of Baden-Württemberg.
They are the best graduates of their year,
chosen from 47,000 candidates. And once
again, one of our apprentices was among theaward winners: Tim Trabert from Voith Turbo in
Crailsheim was recognized as being this German state’s top apprentice in the professionof Technical Product Designer.
“With the great importance it places on education and its consistently high-quality training,
Voith is safeguarding the career prospectsof many young people. And as in the caseof Tim Trabert, when you add a high level ofmotivation, ability and effort into the mix, suchexceptional achievements are also possible”,
said Herbert Benesch, apprentice at Voith
Turbo in Crailsheim. It goes without saying that
Tim Trabert will continue on his career track

Continued Professional Development of
Employees
Lifelong learning is part of Voith’s corporate culture.
We develop and challenge our employees in equalmeasure, and support them in their continued
development.
Employees and managers always have access tointernal and external training as well as further education courses. We provide this not only to ensurethat their knowledge is up to date, but also to

68 I Voith Sustainability Report 2015

at Voith: He was hired by Voith Turbo and is
now producing CAD drawings as a Technical
Product Designer.

Herbert Benesch and Tim Trabert (right), Voith.

prepare them for future responsibilities. The rangeof subjects covers occupational health, safety andthe environment, technology, IT, quality assurance,
languages, business, as well as leadership andpersonality. We also offer targeted training courses
at the Voith Management School for Purchasing,
Finance and HR employees as well as for project
managers.
Our personnel development measures are always
tailored to the particular challenges of the region,

field of work and management level. To determine
the training and further education requirementsof our employees, we derive focus areas fromeach Group Division’s strategy. In addition we
define individual development plans in the annual
employee appraisals, which are aligned with dayto-day business requirements.

general further education requirements. Whereas
the performance review is used to discuss the orientation and each employee’s individual contribution to achieving the company’s objectives, withthe employee appraisal the relationship between
employee and manager is also a topic for discussion, as are personal career objectives andprospects as well as potential further educationneeds. In the reporting period, 83 % (previous year:84 %) of Voith employees involved in mechanicaland plant manufacturing participated in such a
discussion.

In the reporting period our personnel information
system pep. also enabled us to optimize the management of our further education measures aroundthe world. In fiscal year 2014/15 14,505 employees(previous year: 3,443) across all Voith locations
took up our further education offerings. In doing so,they completed 171,991 hours of further education(previous year: 97,056 hours). We achieved thisimmense year-on-year increase as the roll-out of
pep. means that e-learning courses can now also
be evaluated. Furthermore, all employees now
undergo compliance training.

As an international company we value a Groupwide, uniform understanding of our corporate andmanagement culture. We are still faced with thechallenge of selecting managers systematicallyworldwide and developing them in a targeted way,
so in principle we strive to fill management positions with local employees.

To measure the success of each training course,
and to constantly improve our training offering,
we ask participants for feedback on their experiences. The results are then passed on to the trainers and HR. In addition, the participant’s supervisor is asked to rate the success of the training
measure.

At the same time we place considerable value on
temporarily reassigning our managers abroad asa development step, so that they can gain international experience. In this regard we follow our 3x2
principle: Over the course of their career at Voith,
our managers are expected to gain experiencein two Divisions, two functions and two regions.

Leadership at Voith – Focus on Development
and Feedback
Managers at Voith are expected to lead their staff
in a way that enables them to fulfill their responsibilities in meeting joint objectives, and which at
the same time allows their own talents to unfold
and develop further. Managers are familiarized withthe relevant leadership tools at various Leadership Training courses. The core tools are employee
appraisals and performance reviews, which enable
us to determine our employees’ personal andThrough our Voith Leadership Program we offer
our managers the chance to prepare in a detailed,targeted way for their task. The program conveys
the principles of our leadership model and provides the corresponding management knowledge
and skills – all tailored to the requirements of thevarious management levels. These programs arecompulsory for all managers with supervisory roles
and are supplemented with personalized training
and development measures, coaching sessions
and support from coaches or mentors.

((GRAFIK: Anteil Führungskräfte

Voith Sustainability Report 2015 I 69

Responsibility for Our Employees

We review the performance of our managers aspart of our annual Management Review, in which
we also assess individual potential and derive corresponding development measures.
Over the coming years the requirements on ourmanagers will change and grow. Consequently,
they must seize the opportunities that digitization offers to Voith. At the same time, working atVoith will be increasingly shaped by greater team
self-management: As such, we intend to encourage autonomy, and strengthen motivation andengagement.
To prepare our managers to meet these challenges, in the reporting period we devised a new
further education format: the Business Forum
Leadership. This two-day event focuses on topics
arising from daily management practice as well as
key aspects of the personal work/life balance formanagers. Following experiences gained from thefirst pilot event in November 2015, the final scope
will now be agreed before we offer the event ona regular basis.
Performance-based Remuneration
The compensation we pay our employees is inline with the market, gender-independent, andbased on their level of qualification and performance. Remuneration models and other benefits
vary by region. At our German locations, the levelof wages and salaries is generally regulated undercollective bargaining law. At our international locations, we ensure that we comply with minimumwage requirements and that these secure a decent
standard of living for our employees.
In Germany we offer our employees additional
benefits such as a company pension scheme,

70 I Voith Sustainability Report 2015

disability and invalidity pensions, group accident
insurance, and company healthcare. However,these general conditions are not offered acrossthe board: For historical reasons, their scope of
application and variants differs at the individualGroup companies and businesses. Wherever such
benefits are offered, they are in principle available
to all employees regardless of their gender or
employment relationship.
Long-term Collaboration
We want to secure the long-term loyalty of ouremployees – and we are making clear progressin this area, as the typical period of employment
in the reporting year rose to 12.5 years (previous
year: 12.2 years). The average period of employment is highest at Voith Germany, where employees remain for 16.7 years. This is followed by ourEuropean locations (excluding Germany) with anaverage of 12.5 years, and then the Americas
with 10.5 years. In the rapidly growing markets ofAsia, and especially China, we have hired many
employees in recent years. Correspondingly, theaverage period of employment there is currently
lower, at 6.5 years.
As forecast, the turnover rate at Voith rose in thereporting period at 12.4 % (previous year: 7.4 %).
Over half of the attrition rate (6.9 %; previous year:
4.3 %) is due to employees terminating the employment relationship. As part of exit interviews, we
ask these employees why they are leaving Voith,and record their feedback: 45 % of interviewees
stated personal reasons for changing companies;
43 % gave no details. Only 9 % wanted to taketheir next step on the career ladder outside ofVoith, with a mere 3 % giving wages and working
conditions as the reason.

Promoting Diversity and Equal Opportunities
Voith’s workforce is highly diverse, with employees from over 120 nations. They all contribute theirpersonal experience and are at different stages
in their lives. This diversity enriches our corporate
culture and contributes to our business’s success. This is because innovation can only arise
from the interplay of different skills, backgrounds
and perspectives.

Increasing the proportion of women in ourcompany, especially in management positions,remains especially important to us. In fiscal year
2014/15 3,680 women (previous year: 3,880)
were employed at Voith, equating to 17.5 % of ourworkforce. In the Voith Senior Management Circle,
the proportion of women currently stands at 7.3 %(previous year: 6.3 %). Nine nations continue to be
represented in this circle.

We recognize the equality of every individual andfoster respect for all colleagues and business
partners. We do not tolerate any discriminationon the basis of gender, culture, age, belief or otherpersonal characteristics.

Bringing Balance to Work and Family Life
Balancing work and family is very important to us,
as we want to offer our employees an attractive
working environment that adapts flexibly to theirpersonal situation. In this regard the aspect of caring for family members is also increasingly gaining
in importance.

Equal treatment is enshrined in our Code of Conduct, and the implementation of and compliancewith it is monitored at every Group level by theCompliance Committee. In the reporting period
we are pleased to announce that we received noreports of discrimination.
We promote diversity and equal opportunities
within the Group through our Diversity&Inclusion
Program. In the reporting year we held awareness workshops at almost all locations outside ofEurope to raise awareness of these matters on
the upper four management levels. In doing so
we have reached around 30 % of management
staff so far, and participants’ evaluation of thesemeasures has been overwhelmingly positive. In
fiscal year 2015/16 we intend to fully roll-out theDiversity&Inclusion Program for this target groupin the region of Europe too. In the reporting year
we already launched the second phase at ourChinese locations, with workshops for informationlevels 5 and 6.

A key element of our family-friendly HR policy
is flexible working time models. We also try ourutmost to meet employee requests and offer themworking time variability, where they can choose
between different working models: These range
from remote working or a home office, throughpart-time hours, to job sharing. Special working
time regulations apply to individual departments
and specific employee groups. The scheduling of
personal working hours can be arranged on an
individual basis that takes account of business
requirements and personal needs.
Furthermore, we help our employees achieve a
better work/life balance through our offering ofassorted company daycare centers. At several of
our locations in Germany we offer our employees
childcare places for their children under the age often. Heidenheim offers 160 places and Sonthofen
offers around 10 places for children of pre-school

Voith Sustainability Report 2015 I 71

Responsibility for Our Employees

age. Priority is given to applications from Voith
employees. In addition, Sonthofen, Heidenheim
and Crailsheim each have their own parent-childworkroom, enabling parents to bring their children
to work with them should they have difficulty finding someone to look after their children at short
notice.
In fiscal year 2014/15, 304 employees (previous
year: 459) took advantage of statutory parental
leave.
To ease the burden on our employees in their private life, our intranet site Family & Work offers information on regional offers in Germany on the topicof Children & Work and Caring & Work. For many
years now we have collaborated with an external
service provider to offer all of our employees inGermany the opportunity to obtain information
via telephone and e-mail on the topic of caring.
Furthermore, they can use Voith-organized services to arrange childcare. The response to thisoffering has been thoroughly positive and demandis increasing.

72 I Voith Sustainability Report 2015

Outlook
The task facing HR today is to support the change
process at Voith with forward-looking strategies
and organizational structures, which are driven
forward by our Group-wide success program
Voith 150+. To meet this challenge, in the coming
years we intend to continuously qualify our HR staff
to steer jointly with the Management also in volatile times and expand our HR information system,
among other measures. To further promote diversity within our company, in fiscal year 2015/16 wewill drive forward the Europe-wide roll-out under
our Diversity&Inclusion Program. This means wewill have reached the majority of our managers by
the end of the fiscal year.

4.3 Occupational Health and Safety
Health and safety in the workplace have maximum
priority at Voith. By optimizing workplaces andprocesses we intend to prevent accidents andwork-related illnesses as far as possible. From
as early as 2009, reducing the frequency andseverity of accidents has been anchored in our
corporate goals.
4.3.1 Organization
Occupational Health and
Safety Restructured
As part of our Group-wide success program
Voith 150+, we began to extensively restructure
our cross-divisional functions in the reporting year.
In line with our new organizational model, we also
reorganized Health, Safety and Environmental
protection (HSE).(Verweis)
The responsibilities for occupational health andsafety, as well as the frameworks guiding ouractions, are documented in our new HSE Group
Directive. This also incorporates our previous
Group Policies on Occupational Safety/Health. The
Group Directive outlines the binding minimum
requirements and standards for the Group, andalso includes Standard Operating Procedures on
Occupational Safety (SGDs). The Center of Competence HSE will also revise these SGDs as it takes
over this task: This means they will be combined
and consolidated with our Standard Operating
Procedures on Environmental Protection (EGDs).
In future, 23 Health, Safety and Environmental
Protection Standard Process Instructions (SPI)
will replace these; we have already produced 5
SPIs so far.

Joining Forces with Employee
Representatives
We pursue a collaborative approach regarding occupational health and safety, whereby weinvolve employee representatives when making
key decisions. Company agreements on occupational health and safety, as well as on preventing
addiction, complement the regulations in our HSE
Group Directive.
A Safety Committee comprising employee andemployer representatives meets every month ateach production location, and works to develop
the annual occupational safety program and implement it in monthly actions.

HSE box
1.2 Strategy andOrganization

Our locations are required to incorporate fundamental occupational safety topics into the program.
At the same time, they are expected to additionallyallow for the individual hazards which they identify
through accident and incident analyses. In relation
to this, reports on near-miss incidents are becoming increasingly important.
4.3.2 Occupational Safety
Safety in the Workplace Affects Everyone
Our occupational safety program includes every
employee. Information and targets are cascaded
down from the Board of Management to the relevant managers and further down to employee level.
Managers with supervisory roles have a particular responsibility in this regard: They have a clear
duty to train their staff and actively communicate
current developments. Employees must be given
documented instruction at least once a year, withcentrally prescribed training documents supporting this process.

Voith Sustainability Report 2015 I 73

Responsibility for Our Employees

In the reporting period, virtually all operations
managers and 80 % of administrative managers
received occupational safety training. We also
involve our service providers in our activities
through our Occupational Safety Directive “Coordination of Visitors and Contractors”.
These training sessions are required by law and are
documented. Besides verbal or written instruction,pilot projects have allowed us to gather positive
experiences over recent years in the area of online
instruction, which we are now also gradually rollingout using our global HSE IT tool hse+. We consider
the initial focus areas to be decentralized organizations, such as site construction, and service orsales employees. Another advantage: Our online
training tool allows us to perform quality reviews,
for instance in the form of questionnaires.
Production employees’ awareness of the topic ofoccupational safety is raised on a daily or weekly
basis through short, high-impact presentations.
Beyond the annual instruction we provide, withthese five- to ten-minute presentations on current
topics we aim to keep the topic of occupationalsafety at the forefront of their minds as they go
about their daily work.
Documenting, Analyzing and Preventing
Accidents
At Voith, all accidents are immediately recorded,
reported to the manager with supervisory responsibility, and then published on our intranet. In theevent of serious incidents, the Corporate Board ofManagement is informed directly within 24 hours.
Every accident is then studied and documented by an investigation team, which comprises
those affected, managers with supervisory roles,
and safety experts. The accident definitions aredescribed in detail in the Group manual, and are

74 I Voith Sustainability Report 2015

made comparable with other Voith companies
inter­nationally. Serious incidents are also re-investigated separately at our newly established Centerof Competence HSE.
We monitor the development of occupationalsafety on a monthly basis through accident analyses, audits and other measures. This allows us totake immediate steps if serious incidents occur,
or if specific types of accident increase in number. The first step we take in every instance is to
issue a global HSE Flash News (information on
the accident/incident focus areas in occupational
health and safety) to promptly inform all affected
employees.
In the reporting period we continued to focus onreporting near-miss accidents. Through doing so
we intend to take more preventative action – especially in view of the continual decrease in accident
numbers.
To ensure our standards are implemented globally,in the reporting period we launched a local networkof experts and translated the guidelines and standards into the relevant national languages. This
network regularly shares experience at a local
level, thereby ensuring that know-how is transferred quickly between locations.
Progress in the Reporting Period
In the reporting period we made further progressin terms of occupational safety.
We systematically reduced potentially high risks
by establishing a standardized procedure for safe
energy-activation, thereby creating an importantsafety component in ensuring the safe use of
our production systems. Through the rapid rollout and thorough, systematic implementation at
our locations, we set standards that ensure theperformance of repairs, maintenance and adjustments to our complex systems and machines are
now performed much more safely. This is an important step, also considering the further automationof our production systems as part of Industry 4.0.
Alongside addressing hazards at our locations,in fiscal year 2014/15 we began systematicallyanalyzing activities outside our locations andimproving them in terms of occupational safety.
One of our focus areas was on site construction
and services. To benefit from external experience,
we actively take part in German Engineering Federation VDMA working and project groups on the
topics of “HSE Management in Plant Manufacturing” and the “Guide to Introducing a Travel Risk
Management System”. Together with the specialist areas, we will then adapt the results obtained
to Voith’s specific requirements through internal
working groups. We are also working alongside theGerman Institute for Standardization on compilingthe new ISO 45001: Here we can contribute ourexperience as well as benefit from external stimuli.
Besides reducing “classic” occupational accidents,
in future we aim to put greater effort into achieving
a reduction in the number of work-related illnesses
that are a direct result of our operational activities.
In this regard, in the reporting period we focusedon two projects: running a pilot project on backproblems and noise-induced hearing impairment.
In fiscal year 2015/16 our Occupational Safety andInternal Medical Care departments jointly produced
a detailed training course on arranging the working environment at workplaces ergonomically. This
course was initially offered at Heidenheim, as partof a pilot project. These departments will target
noise-critical areas in production and manufacturing, run corresponding training courses in theseareas, and take technical steps where necessary.

Improving – Year by Year
Since implementing our management system atall production locations in 2009, we have continually improved in terms of occupational safety. As
an example, the frequency rate, which we calculate according to the international standard – thenumber of accidents per 1 million working hours –has fallen continuously. In fiscal year 2014/15 we
improved with a frequency rate of 1.5 (previous
year: 2.0). This corresponds to 57 notifiable accidents (previous year: 82). In the reporting period
we are pleased to announce that there were no
fatalities as a result of occupational accidents.
We also achieved a considerable improvement interms of the accident severity rate. In the mid-term
we aimed to achieve a value of under 350 losthours per 1 million hours worked. We are pleased
to announce that we already achieved this goal infiscal year 2014/15. The value now lies below 273
lost hours (previous year: 396), thus clearly provingthat besides the absolute number, the severity ofaccidents has also fallen considerably. Both are
key indicators for the effectiveness of our program.
((Grafiken))Through providing uniform tools and audits, as well
as detailed information, we intend to involve
employees and managers even more closely inthese activities. With our new HSE IT tool hse+ we
aim to further optimize the transparency of ouractions and derive measures in an even more targeted way.(Verweis)hse+
2.3 Protecting Our
Environment

As part of our new central structures, HSE experts
in all regions received extensive training on using
hse+. From fiscal year 2015/16 onwards we will
map audit-planning, audits, hazardous substances, compliance and hazard assessments
uniformly and transparently worldwide in hse+.

Voith Sustainability Report 2015 I 75

Responsibility for Our Employees

Frequency Rate*

Severity Rate*

specific figure in accidents
per 1 million working hours

specific figure in hours lostper 1 million working hours

2.3

396

2.0

Absolute figures

1 Ring
= 25

336

1.5

273

Absolute figures94

16,20682

13,908
10,54457

2012/132013/142012/132014/15

2013/142014/15* Data excluding the discontinued Group Division Voith Industrial Services.

the 64 events held, 970 employees took part andwere informed and advised on questions relating
to ergonomics on a one-to-one basis directlyat their workplaces. The feedback was so positive that we now plan to offer this event at otherlocations. Furthermore, in fiscal year 2015/16 wewill run an ergonomics campaign in the area ofmachine workshops. Alongside this, we havealready started rolling out the next measure:With a campaign on the topic of “Emergency
Management” we aim to ensure that an optimallyfunctioning rescue chain is always in place in theevent of an emergency.

4.3.3 Occupational HealthPrevention Takes Priority
We systematically promote the health of ouremployees, focusing on illness prevention in particular. We want our employees to stay fit for workand retire healthily at the end of their professional
lives. To achieve this aim, we focus on four fields ofaction in which we achieved the following progressin the reporting period:•

Ergonomic and safe working environment
Within our ergonomics campaign we targeted
office workers in particular. As part of workplaceinspections we informed them about ergonomics and advised them on optimally arranging theirworkspace layout at their desks. In the production area, the information focused mainly on dealing with heavy components and loads. The pilot
measure in Heidenheim ran for nine months: At

76 I Voith Sustainability Report 2015•

Health promotion and illness prevention
In this field of action, the campaigns are run on
the initiative of the individual locations, as part oftheir respective annual programs. In the reporting year the focus lay on skin-cancer screening,••and the offering of a vaccination certificate check.
We have planned many activities for the future,including a focus campaign on the topic of “Back
Health”.
Future measures will be developed as pilots in
the Center of Competence HSE in Heidenheim,
then rolled out to all German locations andimplemented via the new central organizational
structure.

4.3.4 Outlook
The improvement in the frequency and severity
rates testifies to the positive impact of our activities.
A regular comparison with benchmark companies
also proves that we have further consolidated ourstrong position in the area of occupational safety –and this was recently verified in the respective
oekom research rating, where we achieved the
top score of A+.

Support in the event of illness and stressThanks to our cooperation with an external
service provider, our employees can obtain
information and support relating to the care offamily members and childcare. We are currently
continuing to work on implementing robust processes at our locations. Following that – insofar
as it is permitted under data protection legislation – we will establish a central reporting systemon this topic. In addition, we will have completed
the implementation of the standardized occupational reintegration management system in thecurrent fiscal year.

By restructuring our HSE organization under ourGroup-wide success program Voith 150+, over 95
percent of our employees around the world aresupported on the topic of HSE by internal full-time
experts. In doing so, we expect to achieve a considerable and lasting improvement in the qualityof the support we provide. At the same time, wewill keep working to improve the efficiency of ouroccupational safety activities.

Corporate culture and leadership
Occupational health and safety are fundamental
aspects of our corporate culture. To assist ourmanagers with this task, we developed andintroduced a corresponding reporting systemin the reporting year: This provides robust KPIs
on a quarterly basis on the development of ouremployees’ health, such as their illness rate. At
our locations with an above-average illness rate,
we offer seminars on preventative healthcare.
With seminars on the topic of “Leadership &Health”, in the reporting year we also started
to make our managers more aware of the topic
of health management. In the reporting year we
conducted 26 seminars, which attracted around
350 participants in total. In addition, we are planning further events at a number of locations inGermany.

Voith Sustainability Report 2015 I 77

78 I Voith Sustainability Report 2015

We believe firmly that business success goes hand-in-hand with social
engagement. This is why for many years we have lived up to our responsibility towards society as a corporate citizen, especially at our locations.
Consequently, our CSR activities have a regional focus centered around
Europe and focus on Germany in particular.

05

	
Responsibility forSociety
Active social engagement has always been very
important to Voith. Wherever we are located aroundthe world, we want to contribute to the positive
development of society. As part of this, we provide
targeted support at a local level and focus ouractivities on the key areas of sports, education,social affairs and culture.

Voith Sustainability Report 2015 I 79

Responsibility for Society

5.1 Management Approach
As a company we want to contribute to promoting the common good, which is why active social
engagement is an integral part of our understanding of sustainability.
The nature and scope of our engagement havebeen documented since 2008 in our Donations
and Sponsorship Group Directive, which we
updated in fiscal year 2014/15. Our engagement
continues to focus on sports, education, social
affairs and culture, which we support either by
providing direct financial assistance or through inkind donations. The Group Directive also outlines
the financial frameworks of our spending commitments. The budget is based on the previous year’s
earnings before tax (EBT), limited to a maximumof one percent of EBT or at least two-thirds ofthe volume of funding in the year before last. By
simplifying our approach we aim to ensure ourengagement is continuous – even at times when
our company’s development is volatile.
When updating our Group Directive we paid particular attention to the issue of transparency in our
donation and sponsorship policy, as this topic is
important to many of our stakeholders.

have many sponsorship goals – mostly communication-based – besides funding, for which we
receive an agreed consideration. Individual Group
Divisions can also launch and run their own assistance and sponsorship projects, provided they
comply with the Group Directive.
Besides the local Voith companies, our individual
social engagement activities are managed predominantly by two organizations:• Voith GmbH, Heidenheim• Fundação Voith, Brazil. Since 2004 Voith has
helped social projects in Brazil through thisfoundation.
We also support numerous initiatives andprojects in coordination with the Hanns Voith
Foundation. Through its activities, this independent foundation regularly engages in a large number of local and supraregional initiatives, and also
provides financial support as annual donations tovarious projects.

We record our donation and sponsorship activities
in our internal controlling system and update it
every six months, covering all our global activities and across all business units. Once a year,
the Head of the Legal Department informs the
Corporate Board of Management about how funds
have been allocated across the entire Voith Group.

Project Selection Based on Clear Criteria
We set Group-wide criteria for selecting individual
projects: To qualify for assistance, above all wemust be convinced the recipient’s project is aworthy one, and of their integrity. We also take
into consideration the regional relevance and theappropriateness to our business segments, ourvalues and our corporate culture. The frequency
and volume of previous contributions is also factored in, as is the focus on distributing them as
widely as possible. Irrespective of this, in humanitarian emergencies that demand urgent action we
provide help quickly and directly. An example ofthis is our donations and in-kind contributions aspart of our earthquake disaster assistance activities in Nepal in fiscal year 2014/15.

Organization of our Engagement
Our Legal Department coordinates our social
engagement activities, and Corporate Communications controls our sponsorship activities. We

Besides this, our sponsorship activities always
focus on the appropriateness of the contribution,
the consideration we receive in return, and thebenefit to Voith.

Indeed, in our Code of Conduct we pledge to betransparent and act lawfully. To illustrate this, any
donations we make to political parties require theapproval of our Shareholders’ Committee.

80 I Voith Sustainability Report 2015

5.2 Projects and Activities
In fiscal year 2014/15 we kept up our social
engagement activities in a period that was shapedin particular by the restructuring of our Group.
In fiscal year 2014/15 Voith and Fundação Voith
spent around € 2.8 million on social engagement
activities (previous year: € 1.84 million). Of this,Fundação Voith contributed € 13,000, which represented a further year-on-year fall owing to thechallenging economic situation in Brazil.
The considerable increase in overall funding wasdue primarily to one-time effects in the area ofsponsorship. We also further improved the Groupwide recording of activities, so now even more
activities are documented.
We provided € 0.87 million in the form of donations, while € 1.93 million was used for sponsorship measures. We spent the greatest share on
sports (65 %), followed by education (26 %), social
projects (5 %) and cultural projects (4 %). In thereporting year we made no contributions to political parties or political organizations. ((Grafik))Geographical Distribution of Donations
2014/15 total € 0.87 million
Americas
6%
Asia
7%

Germany
80 %

Other
4%
Europe excluding
Germany2%

5.2.1 Sports Engagement
Voith sponsors professional and amateur sports,and supports sports clubs and events around theworld. In the reporting year we spent € 1.82 million
in this area. At our company’s headquarters, wesponsor the sports club 1. FC Heidenheim 1864
e.V. This includes sponsoring the naming rights
to the Voith Arena and supporting the club as
the principal sponsor of the shirts and perimeterboards. By doing so, we aim to increase Voith’srecognizability in particular. In addition, we sponsor
the fencing center of the Heidenheimer Sportbund
1846 e.V. (HSB – Heidenheim Sports Association)
as well as the local HSB baseball team, who werecrowned German champions in the reportingyear. We believe support for local initiatives is an

Engagement with Tradition – the Hanns Voith Foundation
Under the slogan “Create Opportunities, Shapethe Future”, the Hanns Voith Foundation has been
dedicated to improving the prospects of young
people for over 60 years.
Founded in 1953 to mark the 40th anniversaryof service of the former director Hanns Voith, theorganization is active in the fields of education,
culture, the countryside and welfare, science andresearch, promoting international understanding,and development aid. The independent foundation supports institutions and projects such as
the Heidenheim Waldorf School, the Förderverein Eiszeitkunst (Friends of Ice Age Art Association), the Olympics 2016 project of the fencing
section of the Heidenheim Sports Association,
the Heidenheim Art Museum, and the town ofHeidenheim’s primary school project to promote
physical exercise.

Voith Sustainability Report 2015 I 81

Responsibility for Society

investment in the attractiveness of the region – one
which benefits both the regional citizens and our
employees.
In Brazil we are active in integrating mentally andphysically challenged people through sports. For
this purpose, in the reporting year we provided
the local Jari foundation with € 10,150 in funding.
5.2.2 Education Engagement
A good education and training form the basis forthe best development opportunities in life. This
is why we support kindergartens, schools anduniversities around the world, and in doing so arecontinuing the tradition of Dr. Hanns Voith.
As in the previous year, among our funding
activities we donated € 20,000 to the European Business School in Oestrich-Winkel, Germany and € 14,000 to the German Institute forStandardization. We also donated € 42,000 to
the Wissensfabrik – Unternehmen für Deutschland (Knowledge Factory – Companies for Germany), which is active as an intermediary between
business, educational establishments and the­science community.
The Zukunftsakademie (Academy of the Future) in
Heidenheim, which we have worked with for many
years as part of our talent sponsorship program,
will be sponsored in future by the Hanns Voith
Foundation.
Twelve years have passed since we began supporting the Germany-wide business@school
education initiative of The Boston Consulting
Group (BCG). It gives senior high school students
the opportunity to get a closer look at business,
including hands-on experience, over the courseof one school year.

Integration Initiative “We Together” – Voith is On Board
Voith is one of the initiators of the integration initiative “Wir Zusammen”(We Together) of German industry. It pools projects that have been
introduced by 36 German companies over the last few months to help
refugees integrate into their new surroundings.
Voith participates in the initiative with a training scholarship to make it easier for youngsters to enter the labor market. In cooperation with Heidenheim Technical College, up
to eight refugees can start their first year of
training as industrial mechanics with other
Voith apprentices. During this time they will
be accompanied by qualified Voith training
experts and obtain a range of qualifications, which – depending on their previous
knowledge, suitability, interest and personal

82 I Voith Sustainability Report 2015

development – will enable them to either continue their training into the second year, enter
the first year of a different apprenticeship, orgo straight into a job.
The potential recipients of the training scholarship will be selected by Voith once they
have successfully completed an internshipand their preparatory qualification will startin the fall. Since last year, a young Syrian has
already been participating in the scheme.

In fiscal year 2014/15 fifteen Voith employees
volunteered their services to support the initiative, providing the necessary practical link with
their knowledge and experience. In doing so, theysupervised around 50 students in ten groups at
three Heidenheim high schools.
Last but not least, we provide endowments for
professorships at several German universities. By
doing so, we aim to contribute – without influencing the research content or teaching practices – tothe training of new academic talent and promoteresearch in scientific areas relevant to Voith.
(Verweis)
Our long-standing cooperation with schools anduniversities has also proven its worth in Europe,
the US, India, China and Brazil. These activities
include our support for the Adopt-a-School program in the US, and the cooperation between
Escola Estadual Conjunto Habitacional Voith andthe Friedrich von Voith School in São Paulo, Brazil.

Research for the Future – Voith Endowed
Professorships in Germany
University of Stuttgart – Professor in Fluid
Mechanics and Professor in Railway Vehicle
Technology• University of Applied Sciences Munich –Professor in Paper Technology• Baden-Wuerttemberg Cooperative State
University – Graduate School Ostwürttemberg• Ulm University of Applied Sciences – Professor
in Hydraulics•

A particular focus of our activities lies traditionallyon our headquarters in Heidenheim where,
through our training program for instance, we
cooperate with the SonderberufsfachschuleHanns Voith (special vocational college) andOthman Mousa came to Germany in 2014
and says: “I am happy to be here at Voithand can learn something new every day. The
trainers are really a great help. Voith is like aa new family to me.”

Othman Mousa (left) on a training assignment for his
preparatory qualification with his training supervisor.

“Whether the people who have come to us
will be able to integrate depends mainly on
their acquisition of language and professional
skills. Only if they master the language andobtain expert knowledge will they be able
to get permanent work. Voith has therefore
decided to give young refugees an opportunity to settle in our country with the help of its
training scholarship. Their colleagues at theworkplace are, in our opinion, the best integration helpers”, says Dr. Hubert Lienhard,President & CEO Voith GmbH.

Voith Sustainability Report 2015 I 83

Responsibility for Society

where we also get involved as a good neighbor innumerous other activities. (Verweis)
In fiscal year 2014/15 the Hanns Voith Foundation
provided funding to the project “Place of Learningby the Brenz”, which we supported the previous
year by giving people first-hand experience of
ecological restoration by the River Brenz. (Kasten)Children's Future
Organizationwww.cfo-kinderdorfnepal.de/index.php/
home-en

5.2.3 Social Affairs Engagement
Our wish is to improve people’s living conditions around the world and promote intercultural
exchange. At the same time, many of our employees volunteer their spare time to assist people
who need their help. Among our activities in thisarea, we support them by granting temporary
paid release from work and providing them withmaterials or equipment that is no longer required.
Among the projects we support is a Children’s
Village in Nepal: This is run by the Children’s
Future Organization (CFO), which is involved in
improving children’s chances in life and accessto educational opportunities. Inspired by the
initiative of one of our employees and his wife,
who have now supported the project for six years,
numerous Voith colleagues are now actively
engaged in the project – from the Heidenheim
Voith training workshop, Voith apprentices,
through Gastro Voith and Voith Turbo Crailsheim,to the Hanns Voith Foundation. The organization
now enjoys widespread public support and has
been able to greatly expand its activities as aresult. One of its latest projects includes the construction of a Craftsmen’s School.

84 I Voith Sustainability Report 2015

However, at the end of April 2015 Nepal was
hit by a major earthquake and several aftershocks. Thankfully, the houses in the children’svillage escaped virtually unscathed, althoughneighboring villages in the region of Dhading
suffered badly.
Under the banner of “Voith Employees for Nepal”,
a project team from Voith organized spontaneousaid, Voith locations around the world joined thecampaign. Numerous fund-raising activities andcollections were launched for in-kind contributions such as blankets, and the first container ofaid supplies arrived in the catastrophe-hit region
soon after the devastating earthquake. This wasfollowed in October 2015 sending a further container with 9.5 tonnes of relief aid.(Verweis)
5.2.4 Cultural Engagement
We want to give as many people as possible
access to culture. As an example in the reporting
period we provided financial support to various
institutions in Heidenheim, including the Opera
Festival with a € 72,000 donation.

“From Acting to Understanding” – the Special Vocational
College Hanns Voith
Since as long ago as 1946, Voith has been the only industrial company in the German stateof Baden-Württemberg to fulfill the socio-political responsibility of taking disadvantaged
youngsters and preparing them for training schemes and the world of work.
What initially started as a vocational preparation and training course has now become an
institution and recognized since 2004 as theSonderberufsfachschule Hanns Voith. The aimof the institution is to support special-needs
youngsters in their development, to encourage them individually and thus open up opportunities for training placements or work. The
concept is a success story: Over 90 percent
of students are taken on
after one year of vocational
preparation, with over 80
percent of them going intoa training scheme. And weare proud to say that since1972 Voith has helped 1,351
youngsters from the districtto lead a structured life.

skills are specifically supported, with a focus
on self-learning in the three fields of work:
metalworking, household and gardening
technology, and services. The students canalso complete their junior high school education here and gain their school-leaving certificate. At the same time, the youngsters are an
integral part of the Voith business and takepersonal responsibility for tasks such as the“Young Gifts Old” project, inwhich they make gift boxes
for former employees, and“Quick Response” assignments, where they help
Voith colleagues at short
notice with various tasks.

The sponsor of the private
college is a non-profit assoThe three classes of theciation comprising seven
Young people in vocational training
at the Special Vocational College
special vocational college
Voith companies based in
Hanns Voith.
Heidenheim, which covereach comprise 10 students.
Around 90 % of the students are vocationala significant amount of the costs for the feepreparation and training-school leavers withfree special vocational college. The college
receives its core funding from the German
learning difficulties or conduct disorders, andalmost 10 % are high-school leavers. The
state of Baden-Württemberg.
multi-disciplinary college comprises six teachers and educators, and a principal who is also
A special highlight for the students of SonderHead of Technical Training at Voith.
berufsfachschule Hanns Voith was the opening of the new training center in 2014: At theUnder the slogan “From Action to Understand2,400 m2 workshop, all Voith apprentices anding” the college focuses on integrated perthe students from the special vocational colsonal development. Specialist, performancelege work together in an interdisciplinary way.
and social competencies as well as emotional

Voith Sustainability Report 2015 I 85

86 I Voith Sustainability Report 2015

Miscellaneous
Facts and Figures
Sustainable Management88

Responsibility for the Environment

90

Responsibility for Products and Supply Chains

101

Responsibility for Our Employees

103

Responsibility for Society

110

Delimitation of the Significant Topics

111

Goals and Goal Achievement

112

GRI Index

116

Remarks:
The consolidation framework described in “About this Report” (see inside front cover) applies unlessexplicitly stated otherwise. Some decimal places have been rounded up or down.

Voith Sustainability Report 2015 I 87

Miscellaneous

Sustainable Management*
Key Economic Figuresin € millions
Sales

2014/15

2013/142012/13

4,302

4,168

5,728

Operational result before non-recurring items

270

235

310

Income before taxes

-23

54

98

2014/15

2013/142012/13

4,302

4,168

5,728

Operating costs

2,840

2,537

3,412

Employee wages and benefits

1,434

1,424

2,154

73

106

71

Direct economic value generated and distributedin € millions
Direct economic value generated (=revenues)
Economic value distributed

Payments to providers of capital
Payments to government

48

59

27

Community investments

n. d.

n. d.

n. d.

Economic value retained

-93

41

63

2014/15

2013/142012/13

Sales Markets
in %Germany

11

11

20

Europe excluding Germany

27

29

27

Americas

29

31

27

Asia

28

25

23

Other

5

4

3

2014/15

2013/142012/13

2,540

2,473

2,339

Germany

40

42

36

Europe excluding Germany

22

21

22

Americas

22

27

28

Asia

15

10

14

Other

1

0

0

84

82

77

Purchasing Volume by Procurement Marketin € millions

Regional distribution of purchasing volume (in %)NumberDifferent countries of origin for suppliers

n. d. = no data.
* Excluding the discontinued Group Division Voith Industrial Services; previous year’s value adjusted;value for 2012/13 includes the Group Division Voith Industrial Services.

88 I Voith Sustainability Report 2015

Business Area Portraits in Fiscal Year 2014/151)
in € millions
Sales
Profit from operations

Voith Hydro

Voith Paper

Voith Turbo

1,313

1,506

1,470

101

58

91

2014/15

2013/142012/13

58

58

69

Certifications at Voith Locations
NumberISO 14001
ISO 9001

68

70

83

OHSAS 18001

60

60

69

ISO 14001

70.0

72.8

82.7

ISO 9001

74.4

82.3

92.0

OHSAS 18001

71.1

76.5

83.5

Degree of Coverage based on Employees (in %)Compliancein %2014/15

2013/142012/13

Employees trained in compliance

100

100

100

Managers trained in compliance

100

100

100

Compliance Training Sessions in Fiscal Year 2014/15
NumberModus

2014/15

2013/142012/13Management from the upper four levels, new managers
at the Voith Academy, Sales, Sourcing

One day

391

580

913

Decentralized training by compliance officer> 1.5 h

857

1,043

2,209

Training by supervisor> 0.5 h

1,457

1,165

2,891

Training on Compliance in Fiscal Year 2014/15
Number

Persons trained

Sessions

Type

Management, Sales, Sourcing

391

20

One-dayCompliance officers

28

2

Two-day

Expenditures for Employees2)in € millions

1)
2)

2014/15

2013/142012/13

Wages and salaries

1,188

1,170

1,753

Social security contributions, retirement pensions,and assistance

245.7

254.0

401.7

Deviation from overall sales through reconciliation (2014/15: € 13 million).
Data includes the Group Division Voith Industrial Services (see Annual Report 2015, p. 140).

Voith Sustainability Report 2015 I 89

Miscellaneous

Responsibility for the Environment*
Energy Consumption and Greenhouse Gas Emissions
Direct Energy Consumption/Greenhouse Gas Emissions (Scope 1)*
Energy used

Direct energy consumption of the Voith vehicle fleet

Unit

2014/15

2013/14MWh

23,68430,290Company cars

%

23

20

Logistics

%

77

80

n. a.

n. a.

MWh

154,013170,215Natural gas

%

81

80

Heating oil

%

3

5

Diesel

%

6

6

LPG

%

9

9

Biomass/biogenic energy sources

%

<1

<1

Other renewable energy sources andcaptive generation of renewable energy

%

0

0

Other

%

0

0

Unit

2014/15

2013/14MWh338,345

358,199

Electricity

%

80

81

Long-distance heating

%

20

19

Steam

%

<1

<1

Energy sold

MWh

343

299

Electricity

%

100

100

Heat energy

%

0

0

Steam

%

0

0

Volatile greenhouse gas emissions

Direct energy consumption in production

Indirect Energy Consumption/Greenhouse Gas Emissions (Scope 2)
Energy used

Indirect energy consumption (purchased and captive,
only if the fuels are not included above)n.a. = not available.
Energy use (total, renewable, non-renewable); total biomass + renewable energy sources;
total energy use for own fleet from non-renewable energy sources was 1,857,748 GJ.
Transport-related greenhouse gas emissions were converted using the conversion factors for passenger transportation provided by the ProBas databaseof the German Federal Environment Agency.
Transport-related greenhouse gas emissions for the carriage of goods comprise greenhouse gas emissions based on our inventory additions andsubtractions data and associated transportation activities. Transportation-related greenhouse gas emissions calculated using the emission factors provided
by the ProBas database of the German Federal Environment Agency.
* Excluding the discontinued Group Division Voith Industrial Services; previous year’s value adjusted; value for 2012/13 includes the Group Division
Voith Industrial Services.
1)
Excluding volatile greenhouse gas emissions. We plan to collect data on volatile greenhouse gas emissions from fiscal year 2015/16 onwards.

90 I Voith Sustainability Report 2015

Greenhouse gas emissions
2012/13

Unit

2014/15

2013/142012/1363,914t CO 2e

6,652

8,563

18,178

14

%

22

19

13

86

%

78

81

87

n. a.

t CO 2e

n. a.

n. a.

n. a.

197,041t CO 2e32,79236,42442,405

79

%

77

76

75

7

%

5

7

9

6

%

8

8

8

7

%

10

10

8

<1

%

<1

<1

<1

0

%

0

0

0

<1

%

0

0

<1

2012/13

Unit

2014/15

2013/142012/13406,378t CO 2e121,583

127,888

143,673

77

%

92

92

91

21

%

8

8

9

<1

%

<1

<1

<1

283

t CO 2e

167

145

137

100

%

100

100

100

0

%

0

0

0

0

%

0

0

0

Greenhouse gas emissions

Scope Overview
Scope 1

Scope 2

· 	Direct energy consumption in production· Production of renewable energy·	Indirect energy consumption in production(electricity, long-distance heating, steam)· 	Direct energy consumption ofVoith vehicles· 	Volatile greenhouse gas emissions· Energy sold

Production-related energy

Scope 3·	Business travel(non-company means of transport)· Logistics· Travel by employees to work·	Greenhouse gas emissions through theuse of sold products and services·	Greenhouse gas emissions through water
consumption·	Greenhouse gas emissions throughwaste disposal

A Is not recorded at present
Voith Sustainability Report 2015 I 91

Miscellaneous

Indirect Energy Consumption/Greenhouse Gas Emissions (Scope 3)1)
Energy used
Unit

2014/15

2013/14MWh59,86052,688

Rail

%

<1

<1

Car (not belonging to the Voith fleet, e.g. hired cars)

%

6

7

Flight (short-distance)

%

2

3

Business travel

Flight (long-distance)

%

91

90

MWh

133,542

99,750

Rail

%

<1

<1

Truck

%

9

10

Ship

%

5

9

Flight%86

81

Logistics (upstream and downstream)

Note: Only the stated uses of energy and greenhouse gas emissions have as yet been able
to be recorded with reference to Scope 3. We are working to include other significant uses ofenergy and sources of emissions in our calculations.

Total Energy Consumption/Greenhouse Gas Emissions
Energy used
Unit

2014/15

2013/14

Production-related energy consumption

MWh492,358

528,414

Total for business travel

MWh65,322

58,686%

8

10

Scope 1
Scope 3
Total for logistics
Scope 1
Scope 3
Energy consumption for Scope 1 + Scope 2 + Scope 3

%

92

90

MWh

151,763

124,043

%

12

20

%

88

80

MWh

709,443

711,143

Scope 1%

25

28

Scope 2%48

50

Scope 3%27

21

Specific Production-related Energy Consumption/Greenhouse Gas Emissions (Scope 1 and 2)2)
Energy used

Specific Energy Consumption/Greenhouse Gas Emissions(Scope 1 and 2)

Unit

2014/15

2013/14MWh/€ million sales

114.4

126.8

 xcluding commuting to work by employees; greenhouse gas emissions through the use of products and services sold;Egreenhouse gas emissions through water consumption; greenhouse gas emissions through waste disposal.
2)
D ata excluding the discontinued Group Division Voith Industrial Services.
1)

92 I Voith Sustainability Report 2015

Greenhouse gas emissions
2012/13

Unit

2014/15

2013/142012/13

59,231t CO 2e16,417

14,441

16,346

<1

%

<1

<1

<1

8

%

6

7

9

3

%

2

3

3

88

%

92

90

88

120,647t CO 2e36,57527,39832,990

<1

%

<1

<1

<1

7

%

11

11

8

7

%

5

9

8

85

%

84

79

84

Greenhouse gas emissions
2012/13

Unit

2014/15

2013/142012/13603,419t CO 2e154,374

164,312

186,079

68,244t CO 2e17,896

16,076

18,799

13

%

8

10

13

87

%

92

90

87

175,548t CO 2e41,74834,327

48,716

31

%

12

20

32

69

%

88

80

68

847,205

t CO 2e

214,018

214,714

253,592

31

%

18

21

24

48

%

57

60

57

21

%

25

19

19

Greenhouse gas emissions
2012/13

Unit

2014/15

2013/142012/13126.5

t CO 2e/€ million sales

35.9

39.4

38.5

Voith Sustainability Report 2015 I 93

Miscellaneous

Production-related Energy Consumption/Greenhouse Gas Emissions (Scope 1 and 2) by Region
Energy used
Unit

2014/15

2013/14MWh492,358

528,414

Germany%

37

36

Europe excluding Germany

%

14

14

Americas

%

34

36

Asia

%

14

13

Other

%

<1

<1

Total energy consumption/greenhouse gas emissions

Reduction of Energy Consumption as a Direct Consequence of Conservation and Efficiency Drives
Energy used
Unit

2014/15

2013/14MWh

25,40019,667in t

2014/15

2013/142012/13

Total materials/raw materials used

161,739

124,412

172,989

Raw material

34

34

32

Semifinished products

55

52

55

Packaging

8

11

9

Total

Material Consumption
Materials Used by Weightin %Auxiliaries

3

3

4

Total renewable materials

10

10

8

Total non-renewable materials

90

90

92

2014/15

2013/142012/13

Share of Secondary Raw Materials in Total Materials Usedin %Raw material

47

45

41

Semifinished products

49

46

42

Packaging

84

74

74

Auxiliaries

53

55

46

Total

50

49

44

94 I Voith Sustainability Report 2015

Greenhouse gas emissions
2012/13

Unit

2014/15

2013/142012/13603,419t CO 2e154,374

164,312

186,079

40

%

25

25

28

16

%

7

7

10

32

%

36

38

35

12

%

31

29

26

<1

%

<1

<1

<1

Greenhouse gas emissions
2012/13

Unit

2014/15

2013/142012/13

5.098

t CO 2e

11,003

8,519

1,679

Water Consumption
Water Consumption by Regionin %2014/15

2013/142012/13

Germany

55

48

41

Europe excluding Germany

10

13

15

Americas

18

21

24

Asia

17

17

20

Other

<1

<1

<1

1,395,991

1,351,772

1,305,196

in m³

Total

Water Consumption by Source
in m³

2014/15

2013/142012/13

Surface water

90,431

119,402120,767

Groundwater

817,995

714,541

541,124

Rainwater

12,465

15,193

6,943

Wastewater from other companies

0

0

0

487,565

517,829

643,305

1,408,455

1,366,965

1,312,139

in m³

2014/15

2013/142012/13

Total

1,395,991

1,351,772

1,305,196

From municipal water utility

Total

Freshwater Consumption

Voith Sustainability Report 2015 I 95

MiscellaneousSpecific Freshwater Consumption
in m³/€ thousand sales

2014/15

2013/142012/13

0.32

0.32

0.27

in m³

2014/15

2013/142012/13

Total

131

134

108

As a % of total water withdrawn

<1

<1

<1

in m³

2014/15

2013/142012/13

Total

1,215,153

1,197,244

1,213,086

2014/15

2013/142012/13

Total

Percentage and Total Volume of Reused Water

Wastewater
Wastewater Discharge

Because of evaporation, the total wastewater discharged differs from water consumption.

Treated and Untreated Wastewater by Method of Discharge
in m³

Total treated wastewater

99,576

101,877

156,035

Discharged into the public sewage system

in %

59

56

54

Discharged into surface water

in %

37

40

44

Discharged into groundwater

in %

5

4

3

Reused at another company

in %

0

0

0

Total untreated wastewater

1,115,577

1,095,367

1,057,051

Discharged into the public sewage system

in %

43

51

57

Discharged into surface water

in %

26

29

33

Discharged into groundwater

in %

31

20

10

Reused at another company

in %

<1

<1

<1

Wastewater Quality
in t

2014/15

2012/13

Biological oxygen demand (BOD)

13

14

9

Chemical oxygen demand (COD)

40

44

32

Total suspended matter content
Heavy metals

8

8

11

<1

<1

<1

Nitrogen

<1

<1

<1

Phosphorus

<1

<1

<1

The emissions in wastewater are based on the volume of wastewater streams from Voith
locations subject to monitoring and the respective average of the measured concentrations.

1)

2013/14

Data excluding the discontinued Group Division Voith Industrial Services.

96 I Voith Sustainability Report 2015

Significant1) Direct Wastewater Discharge in 2014/15
Location

Destination

Protection status

Other information

Heidenheim

Brenz River/
Groundwater

Water protection area acc.
to WRRL, WHG (§§ 50–53),
Zone III/IIIA (Zone II/IIA TB
Mergelstetten, not yet final)

84 % of wastewater is returned to the natural water cycle. The water waspreviously used for cooling purposes. The discharged water is subject tostrict observation, as the location is in a water protection zone.

Garching

Groundwater–

88 % of wastewater is returned to the natural water cycle.

Högsjö (Sweden)

Lake Högsjö

–94 % of wastewater is returned to the natural water cycle. The water waspreviously used for cooling purposes.

Ibarra (Spain)

Río Oria–

57 % of wastewater is returned to the natural water cycle.

Hyderabad (India)

Groundwater–

100 % of wastewater is returned to the natural water cycle.

Noida (India)

Yamuna River–

100 % of wastewater is returned to the natural water cycle.

São Paulo (Brazil)

Perus River

Permanent Protection Area
(APP), national law (Brazil)

92 % of wastewater is returned to the natural water cycle. We havepurification equipment locally with which the water is treated fordischarge. The location is adjacent to a water protection zone.

Wimpassing (Austria)

Schwarza River–

48 % of cooling water is returned to the Schwarza.

The size and/or volume of the discharge locations cannot be determined.

Waste
Waste by Regionin %2014/15

2013/142012/13

Germany

37

37

43

Europe excluding Germany

8

8

8

Americas

38

41

35

Asia

17

14

13

Other

<1

<1

<1

43,10845,82049,574

2014/15

2013/142012/13

10.0

11.0

10.3

in t

Total

Specific Waste Weight2)
in t/€ million sales

Total“ Significant” is considered to be wastewater discharged to surface water and to groundwaterthat exceeds 5 % of the total water volume of the observed unit.
2)
Data excluding the discontinued Group Division Voith Industrial Services.
1)

Voith Sustainability Report 2015 I 97

Miscellaneous

Reclaimed and Removed Waste by Method
in t
Reclaimed waste
ReusedRecycled

2014/15

2013/142012/1327,95828,921

32,163

217

244

350

21,656

22,69525,633Composted

179

244

163

Recovered

4,538

4,334

4,886

Other reclamation

1,368

1,404

1,131

Removed waste

15,153

16,89917,411

Incinerated

2,772

2,737

3,511

Dumped at an external site1)

12,381

14,162

13,900Dumped at a company site

0

0

0

Other removal

0

0

0

43,11145,82049,574

2014/15

2013/142012/13

Total

Hazardous and Non-hazardous Waste
in t
Hazardous waste

8,689

9,376

9,813

Non-hazardous waste

34,41936,44439,761

Total

43,10845,82049,574

2014/15

2013/142012/13

Imported, Transported and Exported Hazardous Waste
in t
Total weight of transported hazardous waste

1)

8,689

9,376

9,813

Total weight of imported hazardous waste

0

0

0

Total weight of exported hazardous waste

0

0

0

Total weight of hazardous waste transported nationally andinternationally between Voith locations

0

0

0

Share of hazardous waste transported across borders (in %)

0

0

0

Foundry sand waste from the foundry in São Paulo; waste disposal in the US.

98 I Voith Sustainability Report 2015

Air Pollutants
Production-related Air Pollutants
in t2014/15Chlorofluorocarbons (CFCs)

1)

Hydrochlorofluorocarbons (HCFCs)1)
Halon1)

2013/142012/13

<1

<1

<1

<1

<1

<1

0

0

0

Methyl bromide (CH3 Br)1)

n. s.

n. s.

n. s.

Volatile organic compounds (VOCs)

70

100

104

Non-methane volatile organic compounds (NMVOCs)

70

100

104

Persistent organic pollutants (POPs)

n. s.

n. s.

n. s.

Hazardous air pollutants (HAPs)

n. s.

n. s.

n. s.

17

11

8

Respirable fraction

n. a.

n. a.

n. a.

Heavy metals

n. s.

n. s.

n. s.

Dust emissions

Nitrogen oxides (NOx)

n. s.

n. s.

n. s.

Sulfur oxides (SOx)

n. s.

n. s.

n. s.

0

0

0

2014/15

2013/142012/13

Sulfur hexafluoride (SF6)Air Pollutants from Production-related Energy Consumption
in t
Chlorofluorocarbons (CFC)

1)

Hydrochlorofluorocarbons (HCFCs)1)

<1

<1

<1

<1

<1

<1

Halon1)

<1

<1

<1

Methyl bromide (CH3 Br)1)

n. a.

n. a.

n. a.

Volatile organic compounds (VOCs)

395

421

462

Non-methane volatile organic compounds (NMVOCs)

27

29

31

Persistent organic pollutants (POPs)

<1

<1

<1

Hazardous air pollutants (HAPs)

18

19

20

Dust emissions

33

35

38

Respirable fraction

12

13

14

Heavy metals

<1

<1

<1

Nitrogen oxides (NOx)

365

394

422

Sulfur oxides (SOx)

819

885

930

Sulfur hexafluoride (SF6)

<1

<1

<1

n.s. = not significant.
n.a. = not available.
1)

Ozone-depleting substances in t CFC11 equiv.

Voith Sustainability Report 2015 I 99

Miscellaneous

Air Pollutants from Business Travel
in t
Chlorofluorocarbons (CFC)

1)

Hydrochlorofluorocarbons (HCFCs)1)
Halon

1)

2014/15

2013/142012/13

<1

<1

<1

<1

<1

<1

0

0

0

Methyl bromide (CH3 Br)1)

n. a.

n. a.

n. a.

Volatile organic compounds (VOCs)

57

56

210

Non-methane volatile organic compounds (NMVOCs)

13

13

49

Persistent organic pollutants (POPs)

<1

<1

<1

Hazardous air pollutants (HAPs)

1

1

2

Dust emissions

2

2

6

2

2

5

Heavy metals

Respirable fraction

<1

<1

<1

Nitrogen oxides (NOx)

91

82

152

Sulfur oxides (SOx)

24

24

89

Sulfur hexafluoride (SF6)

<1

<1

<1

2014/15

2013/142012/13

<1

<1

<1

<1

<1

<1

Air Pollutants from Transport of Goods
in t
Chlorofluorocarbons (CFC)

1)

Hydrochlorofluorocarbons (HCFCs)1)
Halon

1)

0

0

0

Methyl bromide (CH3 Br)1)

n. a.

n. a.

n. a.

Volatile organic compounds (VOCs)

107

97

132

Non-methane volatile organic compounds (NMVOCs)

25

23

31

Persistent organic pollutants (POPs)

<1

<1

<1

Hazardous air pollutants (HAPs)

<1

<1

<1

5

4

6

Dust emissions

4

4

5

Heavy metals

Respirable fraction

<1

<1

<1

Nitrogen oxides (NOx)

233

195

244

Sulfur oxides (SOx)

77

86

99

Sulfur hexafluoride (SF6)

<1

<1

<1

n. a. = not available
1)

Ozone-depleting substances in t CFC-11 equiv.

100 I Voith Sustainability Report 2015

Responsibility for Products and Supply Chains*
Procured Production Materials by Value
In € millions
Total purchasing volume production materials

2014/15

2013/142012/13

1,830

1,770

1,824

Electricals/electronics

171

156

197

Cast parts

138

141

136

Subcontracting

149

129

119

Structural components

253

247

277

Steel/semifinished products

59

51

84

Welded structures

84

78

81

DIN/standard components

50

46

53

Roller bearings

38

34

38

Hydraulics

39

37

39

Forged metal parts

35

31

38

Number2014/15

2013/142012/13

Total

21,54322,555approx. 40,500

33.9

33.9

44.7

Europe excluding Germany

21.6

20.8

17.2

Americas

28.3

29.8

27.2

Asia

14.8

14.1

9.7

Other

1.4

1.4

1.2

Active Suppliers

Regional distribution in %Germany

Suppliers Who Have Filled Out a Self-assessment
Number2014/15

2013/142012/13

Initial self-assessment

2,156

1,400

n. r.

Supplier self-assessment ratio (in %)(share of the invoice volume obtained from suppliers
for whom there is a valid self-assessment)

61.7

36.0

3.8

n. r. = not recorded* Excluding the discontinued Group Division Voith Industrial Services; previous year’s value adjusted;value for 2012/13 includes the Group Division Voith Industrial Services.

Voith Sustainability Report 2015 I 101

Miscellaneous

Evaluations of Existing Suppliers
Number2014/15

2013/142012/13

Evaluations (individual processes)

4,655

6,386

8,279

Suppliers evaluated

3,814

4,890

5,861

Share of invoice volume placed with evaluated suppliers (in %)

62

71

76

Sustainability ratio (out of 100) since fiscal year 2012/13 (in %)

84

74

80

Volume of invoices with suppliers for whom an up-to-date,approved supplier evaluation was available (in € millions)

947

1,188

1,330

102 I Voith Sustainability Report 2015

Responsibility for Our Employees*
Consolidation Scope
Consolidation Scope for Employee Numbers
Number
Employees Group-wide in FTE
Employees Group-wide as a headcount1)

Employees included in data analysis

2014/15

2013/142012/13

20,223

20,943

43,134

20,981

21,967

47,111

20,981

21,96742,482

Workforce Structure
Employees by Age Group and Gender 2) in Fiscal Year 2014/15
NumberVoith Group

Germany

Europe excluding
Germany

Americas

Asia

Other

Women

3,680

1,482

646

783

724

45

Men

17,301

6,853

2,575

4,460

2,760

653

< 30 years

3,142

1,005

323

899

790

125

30–50 years

11,599

4,332

1,820

2,681

2,288

478

> 50 years

6,240

2,998

1,078

1,663

406

95

Total

20,981

8,335

3,221

5,243

3,484

698

Full-time and Part-time Employees by Age and Gender in Fiscal Year 2014/15
NumberVoith Group

Germany

Europe excluding
Germany

Americas

Asia

Other

Full-time

19,662

7,730

2,933

5,143

3,162

694

Women

2,888

956

475

767

647

43

Men

16,774

6,774

2,458

4,376

2,515

651

< 30 years

2,996

981

306

879

705

125

30–50 years

10,846

3,975

1,642

2,620

2,134

475

> 50 years

5,820

2,774

985

1,644

323

94

Part-time

1,319

605

288

100

322

4

Women

792

526

171

16

77

2

Men

527

79

117

84

245

2

< 30 years

146

24

17

20

85

0

30–50 years

753

357

178

61

154

3

> 50 years

420

224

93

19

83

1

* Excluding the discontinued Group Division Voith Industrial Services; previous year’s value adjusted;value for 2012/13 includes the Group Division Voith Industrial Services.
1)
Unlike in the Annual Report, employee figures in the Sustainability Report are represented
by headcount, rather than by FTE (full time equivalents).
2)
Due to part-time work the regional distribution in headcount and FTE (full time equivalents) is different to theAnnual Report.

Voith Sustainability Report 2015 I 103

Miscellaneous

Employees with Temporary and Permanent Employment Contracts by Gender in Fiscal Year 2014/15
NumberVoith Group

Germany

Europe excluding
Germany

Americas

Asia

Other

18,506

8,069

3,119

5,123

1,519

676

Permanent employment
contract
Women

3,154

1,412

628

760

310

44

Men

15,352

6,657

2,491

4,363

1,209

632

Temporary employment
contract

2,475

266

102

120

1,965

22

526

70

18

23

414

1

Women

1,949

196

84

97

1,551

21

Temporary employees

Men

776

386

123

249

14

4

Women

127

59

19

40

9

0

Men

649

327

104

209

5

4

Collective Bargaining Agreementsin %2014/15

2013/142012/13

Number of employees covered by collective
bargaining agreements

74

71

74

In Germany

97

92

84

Workforce Fluctuation
Employees who Left the Company in Fiscal Year 2014/15 on Own Initiative
in %
Total

12.4

At the employee’s initiative

6.9

At the employer’s initiative

4.0

Other

1.5

Newly Employed Employees Who Left Voith within Twelve Months
by Gender, Age Group, and Region in Fiscal Year 2014/15
NumberVoith Group

Germany

Europe excluding
Germany

Americas

Asia

Other

386

39

30

219

97

1

Voith Group
Women

73

9

6

30

28

0

Men

313

30

24

189

69

1

< 30 years

182

17

15

91

59

0

30–50 years

157

18

10

91

37

1

> 50 years

47

4

5

37

1

0

Total

386

39

30

219

97

1

104 I Voith Sustainability Report 2015

Average Employment Length by Regionin years

2014/15

2013/142012/13

Voith Group

12.47

12.18

8.15

Germany

16.66

16.38

9.80

Europe excluding Germany

12.49

12.67

7.50

Americas

10.49

10.05

6.62

Asia

6.52

6.01

5.36

Other

8.24

7.80

5.97

Work-life Balance
Parental Leave in Fiscal Year 2014/15
NumberVoith Group

Germany

Europe excluding
Germany

Americas

Asia

Other

Employees entitled to parental leave
Total

17,231

7,287

2,488

4,843

2,073

540

Women

2,825

1,155

475

715

448

32

Men

14,406

6,132

2,013

4,128

1,625

508

304

284

16

3

1

0

Total parental leave take-up
Total
Women

61

54

5

1

1

0

Men

243

230

11

2

0

0

282

15

2

0

0

Employees who returned to Voith after parental leave
Total

299

Women

57

52

5

0

0

0

Men

242

230

10

2

0

0

Employees who returned to Voith after parental leave
who are still at Voith 12 months after returning
Total

214

209

5

0

0

0

Women

38

37

1

0

0

0

Men

176

172

4

0

0

0

Return to work rate (in %)
Total

98

99

94

67

0

–

Women

93

96

100

0

0

–

Men

100

100

91

100

–

–

Retention rate among employees who took parental leave (in %)
Total

72

74

33

0

–

–

Women

67

71

20

–

–

–

Men

73

75

40

0

–

–

Voith Sustainability Report 2015 I 105

Miscellaneous

Occupational Safety
Total Number of Employees Represented on Health and Safety Management Worker Committees
As a % (of the headcount)
Voith Group

2014/15

2013/142012/13

75

75

75

Occupational Health and Safety for the Total Workforce by Gender and Region
Work accidents (number)

2014/15

2013/142012/13

Voith Group

57

82

181

Germany

30

40

95

Europe excluding Germany

7

20

39

Americas

14

11

33

Asia

6

11

12

Other

0

0

2

Work accidents resulting in fatalities1)

0

0

1

Voith Group

1.5

2.0

2.3

Germany

2.0

2.6

3.1

Frequency rate

Europe excluding Germany

1.4

3.7

2.6

Americas

1.4

1.0

1.5

Asia

0.7

1.3

1.1

Other

0

0

5.4

Severity rate
Voith Group

273

396

425.1

Germany

167.5

235.4

401.4

Europe excluding Germany

391.2

458.6

316.1

Americas

286.8

579.4

624.9

Asia

389.8

459.4

204.8

Other

0.0

0.0

1,298.7

Voith Group

1,157,058

1,233,146

2,654,348

Germany658,078

720,790

1,445,441

Europe excluding Germany

171,446

181,664

479,907

Americas245,478

237,031

637,407

Asia

77,94690,281

91,594

Other

4,111

3,380

0

Absenteeism rate in hours

Ratio of days lost in %Voith Group

3.0

3.1

3.4

Germany

4.5

4.6

4.8

Europe excluding Germany

3.3

3.3

3.2

Americas

2.4

2.3

2.9

Asia

1.0

1.1

0.8

Other

1.4

1.0

0.0

The following aspects are not currently recorded: Frequency of work-related accidents and gender; occupational illnesses.
We intend to report this information by 2016.
1)
Regrettably, in FY 2012/13 a car accident resulted in death.

106 I Voith Sustainability Report 2015

Training Courses in Occupational Safety
In %Operations managers

2014/15

2013/142012/13

approx. 100

approx. 100

n. r.

Administrative managers

80

75

n. r.

Trained service providers

n. r.

n. r.

n. r.

2014/15

2013/142012/13

889

1,015

1,197

Training and Education
Vocational Training
NumberApprentices and students at cooperative universitiesin Germany

827

918

940

at the Heidenheim location

406

437

270

Training and Further Education Hours1)
Total number of hours

2014/15

2013/142012/13

Voith Group

171,991

97,056

127,379

Men

144,828

n. r.

n. r.

Women

27,163

n. r.

n. r.

The Corporate Board of Management, Executive Team,
Senior Management Circle; Regional Directors/Chairpersons,Board of Management of operating units, heads of productgroups, managers in Group management functions

9,728

n. r.

n. r.

Mid- and lower-level management

19,384

n. r.

n. r.

All other employees

142,879

n. r.

n. r.

Number of employees who underwent further training

14,505

3,443

3,915

2,998,737

2,938,946

2,932,230

2014/15

2013/142012/13

Voith Group

82.9

n. r.

n. r.

Men

83.6

n. r.

n. r.

Women

79.6

n. r.

n. r.

The Corporate Board of Management, Executive Team,
Senior Management Circle; Regional Directors/Chairpersons,Board of Management of operating units, heads of productgroups, managers in Group management functions

96.2

n. r.

n. r.

Mid- and lower-level management

96.1

n. r.

n. r.

All other employees

82.0

n. r.

n. r.

Total expenditure of Voith Group

Performance and Career Development
Employees who received performance andcareer development reviews (in %)n. r. = not recorded.
1)

Data excluding the discontinued Group Division Voith Industrial Services.

Voith Sustainability Report 2015 I 107

Miscellaneous

Diversity
Diversity in Senior Management Circle
Women in Senior Management Circle

2014/15

2013/142012/13

Number of women in SMC

6

6

7

Total number of SMC members

82

96

92

7.3

6.3

7.6

2014/15

2013/142012/13

82

88

99

in %
Proportion of women in SMC

Distribution of Women and Men at Management Level
NumberCorporate Board of Management, Executive Team,
Senior Management Circle
Men
Women

6

6

7

< 30 years

0

0

n. r.

30–50 years

36

44

n. r.

> 50 years

52

50

n. r.

Non-German members

26

28

n. r.

Men

342

326

398

Women

30

28

40

Regional directors/chairpersons, Management Boardof operating units, heads of product groups, managers inGroup management functions< 30 years

1

0

n. r.

30–50 years

199

205

n. r.

> 50 years

172

149

n. r.

Non-German members

199

182

n. r.

Men

684

671

691

Women

79

76

76

< 30 years

3

4

n. r.

30–50 years

470

460

n. r.

> 50 years

290

283

n. r.

Non-German members

449

448

n. r.

1,108

1,085

1,188

Mid- and lower-level management

Total (across all management levels)
Men
Women

115

110

123

< 30 years

4

4

n. r.

30–50 years

705

709

n. r.

> 50 years

514

482

n. r.

Non-German members

674

658

n. r.

n. r. = not recorded.

108 I Voith Sustainability Report 2015

Diversity in the Workforcein %2014/15

Men

82.5

n. r.

n. r.

Women

17.5

n. r.

n. r.

2013/142012/13< 30 years

15.0

n. r.

n. r.

30–50 years

55.3

n. r.

n. r.

> 50 years

29.7

n. r.

n. r.

Non-German members

61.7

n. r.

n. r.

2014/15

2013/142012/13

3.8

4.3

3.8

Employment Ratio of People with Disabilities
in %Employment ratio of people with disabilities

Reference: Voith Germany excluding Voith Industrial Services. The figures comprisepersons with serious disabilities who held a certificate of serious disability.
Note: Key figures on training in compliance, anti-corruption and human rights arereported on in the section “Sustainable Management”.
n. r. = not recorded.

Voith Sustainability Report 2015 I 109

Miscellaneous

Responsibility for Society*Not-for-profit Engagement
Donations and Sponsoring€ in millions

2014/15

2013/142012/13

Voith Group

2.79

1.81

0.95

Fundação Voith

1)

0.01

0.03

0.43

Total

2.80

1.84

1.38

Hanns Voith Foundation

0.43

0.48

0.40

2014/15

2013/142012/13 2)Sponsorship Aid by Projectin %Education

26.4

21.0

20.5 (28.5)

Social affairs

4.9

8.0

14.1 (14.9)

Sport

64.9

62.6

58.1 (45.1)

Culture3.8

8.4

7.2 (11.5)

2.80

1.84

1.38

in € millions

Total

Taxes Paid
Taxes Paid by Region3)in € thousands

2014/15

2013/142012/13

Germany

40,47829,892-11,4684)

Europe excluding Germany

12,904

18,69522,437

Americas21,76615,19016,999Asia

16,457

18,035

13,617

Other

1,774

2,696

3,407

Total

93,37984,50844,992*E
 xcluding the discontinued Group Division Voith Industrial Services; previous year’s value adjusted;value for 2012/13 includes the Group Division Voith Industrial Services.
1)
Adjusted to revenue situation.
2)
Figures in brackets include the Hanns Voith Foundation.
3)
D ata includes the Group Division Voith Industrial Services (see Annual Report 2015, p. 112).
4)
The excess of tax refunds from tax payments made in Germany is based on a series of interim audits atdomestic companies, which have now been concluded and which led to tax reimbursement.

110 I Voith Sustainability Report 2015

Delimitation of the Significant Topics
Sustainable Management
Significant topic

Relevance along the value chain (delimitation)
Upstream activities(e.g. supply chain)

Activities of theVoith Group

Downstream activities(e.g. use)

Section: Sustainable Management
Dialog with the company’s stakeholders
Responsible investment, operating and business practices
Integration of sustainability in the Group’s strategy
Long-term economic stability
Long-term, trusted supplier relationship
Mechanisms to prevent corruption and ensure compliance
Company’s return on investment

Section: Responsibility for the Environment
Energy efficiency in production
Material efficiency in production
Reduction of emissions/pollutants/waste in production
Water efficiency in production

Section: Responsibility for Products and Supply Chains
Dialog and cooperation with customers
Energy efficiency of the productsLong service life of the products
Minimization of the environmental impacts of products
Ensuring maximum product safety
Quality of the products and services
Technological expertise/innovation
Sustainability in the supply chain

Section: Responsibility for Employees
Occupational safety
Personnel development/training and education
Diversity and equal opportunity
Leadership

Section: Responsibility for Society
Transparent donation/sponsoring policy

All the topics and aspects identified as being significant for Voith are
relevant to all Voith Group Divisions and usually to all local companies.
The assessment is based on the results of the stakeholder survey andthe materiality workshops.

Voith Sustainability Report 2015 I 111

Miscellaneous

Goals and Goal Achievement
Sustainable Management
Subject area

Goals

Measures

Date

Details

StatusIntegration ofsustainability in theGroup’s strategy

Firm establishmentof sustainability at
the company

Consolidation of existing databases

FY 2014/15

Achieved

Incorporation of the “Sustainability”
agenda item in the Voith Advisory
Committee’s agenda

FY 2013/14

Rescheduled:
FY 2015/16

Holding training courses on the topic
of sustainability at the Voith Academy

FY 2013/14

Rescheduled:
FY 2016/17

Inclusion of the topic of sustainability
at induction events for new employees

FY 2013/14

Rescheduled:
FY 2016/17

Conception and implementation of
initial measures from the sustainability
communications model

FY 2014/15

Achieved

Ongoing
Dialog with thecompany’s
stakeholders

Establishmentof stakeholder
dialog based on
megatrends relevantto the company

Re-running of survey/
incorporation into strategic process

FY 2015/16

Results will beincorporated into the
Sustainability Report
2016

Ongoing

Goals have not yet been assigned to the following topic areas:
Responsible investment, operating and business practices
Mechanisms to prevent corruption and ensure compliance

Responsibility for the Environment
Subject area

Goals

Energy efficiency inproduction

Reduction of
specific energy
reduction of 20 %(base year: 2011/12)

112 I Voith Sustainability Report 2015

Measures

Date

Details

Status

FY 2017/18

Status 2014/15:
Reduction of 9 %achieved (absolute
reduction 15 %)Ongoing

Hot-spot analyses on cross-location
focus areas as well as at the locations
with the greatest drivers of consumption.
Raising of employees’ awareness throughtargeted communication campaigns

FY 2017/18

Status 2014/15:
Identified potential ofthe measures is 78 % interms of the absolutevolume of savings
expected to be achievedby 2017/18

Ongoing

Consideration of energy efficiency
with the modification of existing andconstruction of new buildings

FY 2015/16

Included in new Real
Estate Management Group
Directive

Achieved

Subject area

Goals

Material efficiency inproduction

Reduction of
specific waste
volume by 25 %(base year 2011/12)

Water efficiency inproduction

Reduction of
specific freshwater
consumption by
10 % (base year
2011/12)

Measures

Date

Details

Status

FY 2017/18

Status 2014/15:
Reduction of 6 % achieved(absolute reduction 13 %)Ongoing

Hot-spot analyses on cross-location
focus areas as well as at the locations
with the greatest drivers of consumption.
Raising of employees’ awareness throughtargeted communication campaigns

FY 2017/18

Status 2014/15:
Identified potential ofthe measures is 71 % interms of the absolutevolume of savings
expected to be achievedby 2017/18

Ongoing

Development of a standard methodology
to raise material efficiency in production

FY 2014/15

Hot-spot analyses on cross-location
focus areas as well as at the locations
with the greatest drivers of consumption.
Raising of employees’ awareness throughtargeted communication campaigns

Achieved

FY 2017/18

Status 2014/15:
Reduction of 9 % achieved(absolute reduction 15 %)Ongoing

FY 2017/18

Status 2014/15:
Identified potential ofthe measures is 194 %in terms of the absolutevolume of savings
expected to be achievedby 2017/18

Ongoing

Goals have not yet been assigned to the following topic areas:
Reduction in emissions/pollutants

HSE management
systemIntegration of the hazardous materials
databases of all production locations(Americas, Asia, rest of Europe) into thecentral hazardous materials database

FY 2015/16

Ongoing

Roll-out of Eco Compliance model incl.
associated software globally

FY 2014/15

Achieved

Systematic implementation of the rolledout Eco Compliance model to Voith
locations (mapping and managementof environment-related facilities incl.
statutory provisions, requirement
approvals, etc., legal obligations andresponsibilities)

FY 2015/16

New

Population and use of a global HSE IT
system within the Voith GroupFY 2015/16

New

Certification of the global HSE
management system in accordance with
ISO 14001 and OHSAS 18001

FY 2016/17

New

Voith Sustainability Report 2015 I 113

Miscellaneous

Responsibility for Products and Supply Chains
Subject area

Goals

Measures

Date

Details

StatusSustainable supply
chainManaging risks/
opportunities in the
supply chain

Supplier Self-Assessment ratio (SSA
ratio): Indicator introduced with the aimof purchasing 80 % of the goods andservices Voith procures (based on invoice
volume) from suppliers who have provided
an up-to-date self-assessment

FY 2014/15

Fluctuating supplier basis,strong need for training
and explanation

Partially
achieved

Risk analysis study; creation of a risk map

FY 2015/16

Initial results in March 2016;as planned, the study will
be completed in fiscal year
2015/16

Ongoing

Revision of evaluation criteria in the
supplier database regarding compliancewith environmental and social standards

FY 2014/15

The criteria were revised,but could not be incorporated in the current system.
As such, they will now
be implemented in the
new supplier management
systemPartially
achieved

Standardization of standards (GPC)FY 2014/15

Achieved

Further development and roll-out of
Purchasing Training Program in Asia
and South America

FY 2014/15

Achieved

Development of a suitable strategy
to cluster supply chain risks andcorrespondingly structure supplierself-assessments

FY 2015/16

New

Selection of a robust and comprehensive
supplier management system

FY 2015/16

New

Roll-out of Purchasing Training Programin North America

FY 2015/16

New

Assessment of development processes of
products and services regarding energy
and resource efficiency

FY 2014/15

Achieved

Include “product energy efficiency” as acriterion in the development process andrisk checklist

FY 2014/15

Achieved

Energy efficiency of the
products

Goals have not yet been assigned to the following topic areas:
Quality of our products and services
Guarantee of maximum product safety
Customer dialog and cooperation
Long service life of productsTechnological expertise and innovation
Minimizing products’ environmental impacts
Long-term, trusting supplier relationships

114 I Voith Sustainability Report 2015

Responsibility for Our Employees
Subject area

Goals

Occupational health &safetyReduction of work
accidents to under
350 lost hours per
1 million working
hours

Diversity and equal
opportunities

Personnel development/
training and further
education

Embedding ofdiversity & inclusionin the corporate
cultureMeasures

Date

Details

Medium-term

StatusOngoing

Implementation of an international process that is also tailored to local issues incorporate integration management

FY 2014/15

Roll-out of standardized Works Doctor
support (Germany)

FY 2016/17

Ongoing

D&I Awareness Workshops for managers

FY 2014/15

Awareness-raising campaign Partiallywill be continued in theachievedcurrent fiscal year in EMEA

Increasing the share of women in senior
management positions to 10 %FY 2014/15

Increased versus theprevious year, but target
not achieved; see Facts
and Figures

Not achieved

Annual feedback appraisal with all employees: FY 2014/15
Degree of coverage: 100 % of employees

See Facts and Figures

Partially
achieved

Mapping of complete performance
process in pep.

FY 2014/15

The process now takes
place in pep. for all
employees

Achieved

Global roll-out of pep. recruiting module

FY 2014/15

The module is now being
used in all large countries (Germany, Brazil,
China and the USA), i.e.
around 75 % of employees are covered

Partially
achieved

Updating of recruitment process to allow
for developments in mobile recruiting

FY 2015/16

Review started

Rescheduled:
FY 2015/16

OngoingVoith Sustainability Report 2015 I 115

Miscellaneous

GRI Index
General Standard Disclosures
Organizational and Report Profile
Indicators

Comment

Reference

Strategy and Analysis
G4-1Statement from the most senior decision-maker of theorganization

6–7

Organizational Profile
G4-3

Name of the organization

2

G4-4

The primary brands, products, and services

9–14

G4-5

The location of the organization’s headquarters

10

G4-6

The number of countries where the organization operates,
and names of countries where either the organization has
significant operations or that are specifically relevant to thesustainability topics covered in the report

AR 2015: 114–115

G4-7

The nature of ownership and legal form

10–11

G4-8

Markets served

10–14, 88

G4-9

Scale of the organization

10–14, 88, 103,
AR 2015: 106–112

G4-10

Total workforce

G4-11

The percentage of total employees covered by collective
bargaining agreements

65, 104

G4-12

Description of the organization’s supply chain

59–60, 88

G4-13

Significant changes during the reporting period regarding theorganization’s size, structure, ownership, or its supply chain

2, 10, 64

G4-14

The organization’s precautionary approach or principle

As a family-owned company with a long-term
focus, Voith is committed to a precautionary approach. This is anchored in our Health, Safety andEnvironmental Protection (HSE) Group Directive.

HSE Group Directive

G4-15

Externally developed economic, environmental and social
charters, principles, or other initiatives

Voith implements the principle of sustainability in its
core processes.

65

G4-16

Memberships of associations

Since February 2014 Dr. Lienhard has held the position of Chairman of the Asia-Pacific Committee ofGerman Business. Please refer to our Sustainability
Report 2013 for details of further memberships.

SR 2013Supervised workers such as temps are currently
not logged groupwide in our employee datasystem. We are investigating possibilities to record
information on supervised workers throughout
the Voith Group.

64, 103–104

Identified Material Aspects and Boundaries
G4-17

Entities included in the report2,
AR 2015: 114–115

G4-18

Definition of the report’s content

18, 20G4-19

Material Aspects identified in the process for defining the report’s
content

18, 20G4-20

Material Aspects within the organization

111

G4-21

Material Aspects outside the organization

111

G4-22

The effect of any restatements of information provided in previous
reports, and the reasons for such restatements

2, 10

G4-23

Significant changes from previous reporting periods in the Scopeand Aspect Boundaries

2, 10

116 I Voith Sustainability Report 2015

Indicators

Reference

Comment

Engagement of stakeholders
G4-24

Stakeholder groups engaged by the organization

18, 20

G4-25

The basis for identification and selection of stakeholders withwhom to engage

18, 20G4-26

Approach to stakeholder engagement

18, 20

G4-27

Key topics and concerns raised by stakeholders

18, 20

Report Profile
G4-28

Reporting period

2

G4-29

Date of the most recent previous report

2

G4-30

Reporting cycle

2

G4-31

Contact point

4, 124

G4-32

GRI Content Index

116–123

G4-33

Assurance2

Governance structure of the organization

10,
AR 2015: 31–35

Governance
G4-34

Ethics and Integrity
G4-56

The organization’s values, principles, standards and normsof behavior

21–23, 58–59

G4-57

The internal and external mechanisms for seeking advice
on ethical and lawful behavior, and matters related toorganizational integrity

21–23

G4-58

The internal and external mechanisms for reporting concerns
about unethical or unlawful behavior, and matters related toorganizational integrity

21–23

Specific Standard Disclosures
Economic performance indicators
DMA* and Indicators

Reference

Comment

Aspect: Economic Performance
G4-DMAManagement Approach80,
AR 2015: 85–94

G4-EC1

Direct economic value generated and distributed

81–85, 88–89, 110

G4-EC3Coverage of the organization’s defined benefit plan obligations

AR 2015: 164–175

G4-EC4

Financial assistance received from government

No significant financial assistance fromgovernment was received in the reporting period.

*D isclosures on Management Approach.

Voith Sustainability Report 2015 I 117

Miscellaneous

DMA* and Indicators

Comment

Reference

Aspect: Materials
G4-DMAManagement Approach

26–30, 38

G4-EN1

Materials used

34–35, 94

G4-EN2

Secondary raw materials

34–35, 94

Aspect: Energy
G4-DMAManagement Approach

26–27, 28–30

G4-EN3

Energy consumption within the organization

30–34, 90–95

G4-EN4

Energy consumption outside of the organization

30–34, 90–95

G4-EN5

Energy intensity

30–34, 92–93

G4-EN6

Reduction of energy consumption

30–34, 94–95

G4-EN7

Reductions in energy requirements of products and services

51–56

Aspect: Water
G4-DMAManagement Approach

26–30, 38–39

G4-EN8

Total water withdrawal by source

95

G4-EN10Percentage and total volume of water recycled and reused37, 95–96

Aspect: Emissions
G4-DMAManagement Approach

28–30, 38

G4-EN15

Direct greenhouse gas (GHG) emissions (Scope 1)

30–34, 90–95

G4-EN16

Indirect greenhouse gas (GHG) emissions(Scope 2)

30–34, 90–95

G4-EN17

Other indirect greenhouse gas (GHG) emissions (Scope 3)

30–34, 90–95

G4-EN18

Greenhouse gas (GHG) emissions intensity

30–34, 90–95

G4-EN19

Reduction of greenhouse gas (GHG) emissions

30–34, 94–95, 99–100

G4-EN20

Emissions of ozone-depleting substances (ODS)

99–100

G4-EN21

NO x, SO x and other significant air emissions

42–43, 99–100

Aspect: Effluents and Waste
G4-DMAManagement Approach

26–27, 28–30, 38–41

G4-EN22

Total water discharge by quality and destination

37–38, 96–97

G4-EN23

Total weight of waste by type and disposal method

34–36, 97–98

G4-EN24

Total number and volume of significant spills

G4-EN25

Weight of transported, imported, exported, or treated waste
deemed hazardous under the terms of the Basel Convention,
Annex I, II, III, and VIII, and percentage of transported waste
shipped internationally

34–36, 97–98

G4-EN26

Identity, size, protected status, and biodiversity value ofwater bodies and related habitats significantly affected by
the organization’s discharges of water and runoff

43, 96* Disclosures on Management Approach.

118 I Voith Sustainability Report 2015

Voith is not aware of any significant incidents.

DMA* and Indicators

Reference

Comment

Aspect: Products and Services
G4-DMAManagement Approach

26–27, 46–56

G4-EN27

Extent of impact mitigation of environmental impacts
of products and services

46–56

Aspect: Compliance
G4-DMAManagement Approach

G4-EN29

Monetary value of significant fines and total numberof non-monetary sanctions for non-compliance withenvironmental laws and regulations

21–23
Voith is not aware of any significant incidents.

Aspect: Transport
G4-DMAManagement Approach

33–34

G4-EN30

Significant environmental impacts of transport

33–34

Aspect: Supplier Environmental Assessment
G4-DMAManagement Approach

56–61

G4-EN32

Percentage of new suppliers that were screenedusing environmental criteria

59–61

Aspect: Environmental Grievance Mechanisms
G4-DMAManagement Approach

38–42, 56–61

G4-EN34

Number of grievances about environmental impacts
filed, addressed, and resolved through formal
grievance mechanisms

38–43, 56–61

Social Performance Indicators

Labor Practices and Decent Work
Aspect: Employment
G4-DMAManagement Approach

64–72

G4-LA1

Total number and rates of new employee hires andemployee turnover by age group, gender and region71, 104

G4-LA2

Benefits provided to full-time employees that are notprovided to temporary or part-time employees, bysignificant locations of operation

70

G4-LA3Return to work and retention rates after parental leave,by gender105* Disclosures on Management Approach.

Voith Sustainability Report 2015 I 119

Miscellaneous

DMA* and Indicators

Comment

Reference

Aspect: Labor/Management Relations
G4-DMAManagement Approach

64–66

G4-LA4

Minimum notice periods regarding operational changes,
including whether these are specified in collective
agreements

65

Aspect: Occupational Health and Safety
G4-DMAManagement Approach

73–77

G4-LA5Percentage of total workforce represented in formal joint
management-worker health and safety committees that
help monitor and advise on occupational health and safety
programs

106

G4-LA6

Type of injury and rates of injury, occupational diseases,
lost days, and absenteeism, and total number of workrelated fatalities, by region and by gender

73–77, 106–107

Aspect: Training and Education
G4-DMAManagement Approach

64–72

G4-LA9Average hours of training per year per employee by
gender, and by employee category

107

G4-LA10Programs for skills management and lifelong learningthat support the continued employability of employees
and assist them in managing career endings

67–72

G4-LA11Percentage of employees receiving regular performanceand career development reviews, by gender and by
employee category69

Aspect: Diversity and Equal Opportunity
G4-DMAManagement Approach

64–66, 71–72

G4-LA12Composition of governance bodies and breakdown of
employees per employee category according to gender,
age group, minority group membership, and otherindicators of diversity

71–72, 108–109,
AR 2015: 35,
http://voith.com/en/
group/organization-159.
html

Aspect: Equal Remuneration for Women and Men
G4-DMAManagement Approach

G4-LA13

Ratio of basic salary and remuneration of women tomen by employee category, by significant locations ofoperation

70
This data is confidential and so Voith does
not report it.

Aspect: Supplier Assessment for Labor Practices
G4-DMAManagement Approach

G4-LA14

Percentage of new suppliers that were screened using
labor practices criteria* Disclosures on Management Approach.

120 I Voith Sustainability Report 2015

56–61
When reviewing existing and new suppliers,
Voith always takes their working practices into
consideration. A separate evaluation of thepercentage of new suppliers that have beenreviewed is not available.

56–61

DMA* and Indicators

Reference

Comment

Aspect: Labor Practices Grievance Mechanisms
G4-DMAManagement Approach

22, 60G4-LA16

Number of grievances about labor practices filed, addressed,
and resolved through formal grievance mechanisms

22, 60

Human Rights
Aspect: Investments
G4-DMAManagement Approach

21–23,
Code of Conduct:
http://voith.com/de/coc-english.pdf

G4-HR1

Total number and percentage of significant investment
agreements and contracts that include human rights clauses orthat underwent human rights screening

Global respect for basic human rights is enshrinedin our Code of Conduct. All investment decisions
are subject to this code.

G4-HR2

Total hours of employee training on human rights policies orprocedures concerning aspects of human rights that are relevant
to operations, including the percentage of employees trained

The Voith Code of Conduct is an integral part ofour compliance training.

23, 69Aspect: Non-discrimination
G4-DMAManagement Approach

71

G4-HR3

Total number of incidents of discrimination and corrective actions
taken

71

Aspect: Freedom of Association and Collective Bargaining
G4-DMAManagement Approach

G4-HR4

Operations and suppliers identified in which the right to exercise
freedom of association and collective bargaining may be violated
or at significant risk, and measures taken to support these rights

57–61, 64–66,
Code of Conduct:
http://voith.com/de/coc-english.pdf
Voith did not receive reports of any significant
incidents in the reporting period.**60, 64–66

Aspect: Child Labor
G4-DMAManagement Approach

G4-HR5

Operations and suppliers identified as having significant risk forincidents of child labor, and measures taken to contribute to theeffective abolition of child labor21,
Code of Conduct:
http://voith.com/de/coc-english.pdf
Voith did not receive reports of any significant
incidents in the reporting period.**60, 64–66* Disclosures on Management Approach.
**T he reported blacklisting of a supplier was due to incompatibility with Voith values.
Neither the right to collective bargaining nor measures to prevent child, forced
and /or compulsory labor were affected.

Voith Sustainability Report 2015 I 121

Miscellaneous

DMA* and Indicators

Comment

Reference

Aspect: Forced or Compulsory Labor
G4-DMAManagement Approach

G4-HR6

Operations and suppliers identified as having significant risk
for incidents of forced or compulsory labor, and measures tocontribute to the elimination of all forms of forced or compulsory
labor

21,
Code of Conduct:
http://voith.com/en/
coc-english.pdf
Voith did not receive reports of any significant
incidents in the reporting period.**60, 64–66

AEBs,
Code of Conduct:
http://voith.com/de/coc-english.pdf

Aspect: Security Practices
G4-DMAManagement Approach

We ensure our employees are protected mainly byworking together with external service providers.
Like all our service providers, they are subject toVoith’s General Purchasing Conditions. Like Voith’s
own security personnel, they are likewise obligatedto comply with the Code of Conduct.

G4-HR7

Percentage of security personnel trained in the organization’s human rights policies or procedures that are
relevant to operations

Security service providers are obligated to supportcompliance with the Code of Conduct by suitablemeans. Voith does not currently have any data on
training held by our service providers.

Aspect: Supplier Human Rights Assessment
G4-DMAManagement Approach

59

G4-HR10Percentage of new suppliers that were screened using
human rights criteria

59–60, 101–102

Aspect: Human Rights Grievance Mechanisms
G4-DMAManagement Approach

22, 60G4-HR12

Number of grievances about human rights impacts
filed, addressed, and resolved through formal grievancemechanisms

22, 60Society
Aspect: Anti-corruption
G4-DMAManagement Approach

21–23,
Code of Conduct:
http://voith.com/en/
coc-english.pdf

G4-SO4

Communication and training on anti-corruption policies
and procedures

22–23

Aspect: Public Policy
G4-DMAManagement Approach

21–23, 80

G4-SO6

Total value of political contributions by country andrecipient/beneficiary81*Disclosures on Management Approach.
**T he reported blacklisting of a supplier was due to incompatibility with Voith values.
Neither the right to collective bargaining nor measures to prevent child, forced
and /or compulsory labor were affected.

122 I Voith Sustainability Report 2015

DMA* and Indicators

Reference

Comment

Aspect: Anti-competitive Behavior
G4-DMAManagement Approach

G4-SO7

Total number of legal actions for anti-competitive behavior,anti-trust, and monopoly practices and their outcomes

21–23,
Code of Conduct:
http://voith.com/en/
coc-english.pdf
For reasons of confidentiality, the number and typeof complaints is not communicated externally.

22

Aspect: Compliance
G4-DMAManagement Approach

G4-SO8

Monetary value of significant fines and total number of
non-monetary sanctions for non-compliance with laws andregulations

21–23
Voith is not aware of any significant incidents
in the reporting period.

Aspect: Supplier Assessment for Impacts on Society
G4-DMAManagement Approach

21–23, 56–60

G4-SO9Percentage of new suppliers that were screened using
criteria for impacts on society

56–60

Aspect: Grievance Mechanisms for Impacts on Society
G4-DMAManagement Approach

22, 60G4-SO11

Number of grievances about impacts on society filed,addressed, and resolved through formal grievancemechanisms

22, 60

Product Responsibility
Aspect: Customer Health and Safety
G4-DMAManagement Approach

46–51

G4-PR1

Percentage of significant product and service categories
for which health and safety impacts are assessed for
improvement

46–51

G4-PR2

Total number of incidents of non-compliance with regulations and voluntary codes concerning the health and safety
impacts of products and services during their life cycle, by
type of outcomes

Voith is not aware of any significant incidents
in the reporting period.

Aspect: Product and Service Labeling
G4-DMAManagement Approach

47

G4-PR5Results of surveys measuring customer satisfaction50

Aspect: Compliance
G4-DMAManagement Approach

G4-PR9

Monetary value of significant fines for non-compliance withlaws and regulations concerning the provision and use of
products and services

21–23
Voith is not aware of any significant incidents
in the reporting period.

*Disclosures on Management Approach.

Voith Sustainability Report 2015 I 123

Imprint

Contact

Publisher
Voith GmbH
Corporate Communications
St. Pöltener Str. 43
89522 Heidenheim
Germany
Phone: +49 7321 37-0
Fax:
+49 7321 37-7000
E-mail: info@voith.com
www.voith.com

Project Management andContact Point for Questions
Regarding Content
Corporate Sustainability
Torsten Kallweit,
E-mail: torsten.kallweit@voith.com,
Markus Schönberger,
E-mail: markus.schoenberger@voith.com
Further Information
This report is also available inGerman.
The German and English editions areavailable on the Internet at:
www.voith.com/de/konzern/
nachhaltigkeit-178.html
www.voith.com/en/group/
sustainability-178.html
In addition to the Sustainability Report,
Voith also publishes a comprehensive
Annual Report at the end of the fiscal
year. Available online at:
http://www.voith.com/en/group/factsfigures-96.html

Consulting
Schlange & Co. GmbH
Text
Carlsberg & Richter GmbH & Co. KG
DesignCorporate Communications andG2 Printmedienmanufaktur GmbHEnglish Translation:
World2World, Hamburg –Mark Elliott & Jim Blake
Picture credits
Dawin Meckel: Title, pp. 3, 8, 24, 44,
62, 78, 85
Thomas Dashuber: p. 6
www.konferenzfotografie.de: p. 19
Jan Michael Hosan: p. 49
Baden-Württemberg Environmental
Technology Award, Ministry of theEnvironment, Climate Protection andthe Energy Sector BadenWürttemberg: p. 55
IHK Südlicher Oberrhein: p. 68
Voith: Other photo material

Environmentally
Friendly Production
All CO2 emissions produced during thecourse of printing and preparing the Voith
Sustainability Report were determined. By
making a proportionally equal investment
in a Gold Standard climate project, thecorresponding CO2 emissions will besaved in the future and the Voith Sustainability Report will be CO2-compensated.

The Respecta Silk recycled paper we used
for the Voith Sustainability Report 2015 ismade from at least 60 % secondary fibers
and was produced using a Voith paper machine.

Printed in Germany, © Voith GmbH, 2015-07

Sustainability Report 2015

Sustainability Report 2015

This Sustainability Report isalso available in German.
These versions and further
information can also be
downloaded from the Internet.
www.voith.com