SUSTAINABILITYREPORT

Message from the Board
Doing More with Less

Products and Technologies

About Us

People who make Embraco

Private Social Investment

Corporate Governance

Strategy for Sustainability

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Our Products’ Lifecycle
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COLD THAT TRANSFORMS
Upon waking, when we have our breakfast;

how we do this: we invest in compact productsin the aernoon, when we want a cold glass ofthat consume fewer raw materials and lesswater; or in the evening, when we enjoy a glass

energy. With this, we reduce impacts on theof wine at the right temperature, it’s present

environment and ensure that our customers

in our life: cold. As mastery over ﬁre was one

have products that meet their needs.

of the most important steps for mankind, theAware that we generate economic, social

possibility to create cold meant a revolution inand environmental impacts, we strive to

our way of life.

perfect our points of improvement, generate

Bringing more quality to people’s daily

opportunities and beneﬁts for our value chain

lives is part of our mission and motivates us towhile at the same time develop the community

constantly innovate, making modern life more

where we operate.

enjoyable, comfortable and healthy.

Throughour

technologicalvocation,We’re recognized for the technology oftalented team and customer focus we anticipate

our compressors. But we also know that justmarket trends and we oﬀer, globally, innovative

as important as producing cold with quality, iscooling solutions for your day to day.

SUSTAINABILITY REPORT 20132

Message from the Board

Products and Technologies

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About Us
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SUMMARY
Our Principles

Our Products’ Lifecycle
InputsPrivate Social Investment

Manufacturing
Customers

Message from the Board

Post-Consumer
Vocation to Innovate

About this Report

Products and Technologies
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Doing More with Less
About UsGRI Index
Corporate GovernancePeople who make Embraco
Credits
Strategy for
Sustainability

SUSTAINABILITY REPORT 20133

Message from the Board
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OUR PRINCIPLESMISSIONOﬀer innovative solutions for a better qualityof life.

Private Social Investment

Corporate Governance

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GRI 4.8

VISIONPILLARSTo be leader everywhere by 2020 andrecognized by our customers as the preferredpartner.

VALUES
Diversity and inclusion

Technology
leadership andinnovation

BRAND VALUES

Spirit of winning

Delivering Intelligent Performance

Integrity

Cultivating Passion

Respect

Shaping the Global Scenario

Teamwork

Transcending the future
Operational
excellence

Revenue growthand value creation

Sustainability

PeopleSUSTAINABILITY REPORT 2013

4

FROM THE BOARDSUSTAINABILITY REPORT 20135

Message from the Board

Products and Technologies

Doing More with Less

About Us

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Private Social Investment

and recognized by our customers as the

Leading for the future GRI 1.1
We have made the commitment topreferred partner.

Corporate Governance

Strategy for Sustainability

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methodology that will make us an even more

For this, we work to deliver innovativeeﬃcient company, World Class Manufacturingmain economic, social and environmental

solutions for a better quality of life. We(WCM), which contributes to developing

results, consistently and continuously. In thisdiﬀerentiate ourselves, above all, by how

Sustainability Report, you will ﬁnd our foremost

we develop and produce our products withachievements, challenges and strategies.

investment in technology innovation, valuing

In

with

our

2013,

stakeholders

environmentalandsocialissues gained even more relevance in global
discussions, while on the other hand, the year
was characterized by an unstable economic
environment. With slow economic growth,
slowdown in China and stagnation in theeuro zone, the period presented itself asvery challenging. It was at this moment thata talented and passionate team for what they

increasingly agile processes, ensuring global
operational excellence. In addition, throughour Supplier Excellence Program, we actively

do and emphasizing that sustainability is ainﬂuence our partners to optimize theirstrategic pillar of the business that permeates

performance and also to think in a more

the entire value chain.

sustainable manner.

Our products allow longer food preservation,

We believe businesses that combine

more eﬃciently and quieter to end consumers.

concern for people and the needs of the

In our production process, we seek to reduce

environment sustain themselves and growwater and energy consumption and waste
generation, guiding ourselves through betterin the long term. New business models mustallow for responsible and stable growth with

we rethought our strategies and focuseduse of natural resources, already scarceon making changes necessary to further

on the planet. We also disclose, in a publicstrengthen our position as global leaders facing

database, greenhouse gas emissions froman ever changing market. During this year we

all our operations around the world and weway we deal with post-consumption. Inspired

created our new vision, which reaﬃrms thecontinue ﬁrm with our commitment of sendingby the circular economy concept, we’ve

need for Embraco’s presence in the future ofzero waste to landﬁlls from our compressor

created a new business focused on recycling

society: to be leader everywhere by 2020

operations by 2018.

household appliances.

SUSTAINABILITY REPORT 2013

GRI Index

In 2013 we also began implementing a

Embraco’sshare

Our Products’ Lifecycle

respect to the environment. Thereby, with thelaunch of Nat.Genius, we revolutionized theRoberto H. Campos, President of Embraco.

6Message from the Board
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Customer focus
Understanding

ourcustomers’

needs

While the challenges are great, we’reand ensuring quality delivery, we anticipatedon track to continue being a company oftrends and took important steps in 2013. As asustainable growth. For this, we rely on the

result of our consistent incentive on research

dedication and hard work of each one ofand innovation and focus on sustainability, we

the 12,000 people on our team and manylaunched Wisemotion technology which will

partners worldwide.

revolutionize the refrigeration market. Without

I hope that this report will help you

the use of oil and using half the amountunderstand our way of producing cold, ourof raw materials, Wisemotion enables the

progress in 2013 and aspirations for the future,development of more versatile, more eﬃcientseeking a better quality of life.

and quieter compressors.
We have a strong global expansion strategy

Good reading.

that aims to provide greater agility in customer
service. In 2011, we started the operation of
our new factory in Mexico and in 2013 opened

Roberto H. Campos

a business unit in Russia.

President of Embraco

Embraco Wisemotion technology.

SUSTAINABILITY REPORT 20137

Message from the Board
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A view of sustainability
Twelve years ago we made the commitment

is only possible with the right people focused on

to report our social environmental informationa clear purpose in a company that plays to win.

through the Sustainability Report. By means ofThus, we have become agents of change which

the consistent actions described in this document

beneﬁt, beyond the planet, especially people.

we reaﬃrm day aer day our commitment to

And this includes our employees, customers,

sustainability, globally.

shareholders, consumers, partners and the

We know that every action generates impact

communities where we operate.

on the whole. As a company, we recognize theresponsibility to be present in daily life andUrsula Angeli

positively inﬂuence your way of life. Therefore,

Vice-president of Human Resources,

we have Sustainability as one of our business’Communication, Sustainability, Institutional

strategic pillars, seeking balance among theRelations and EHS (Environment,

economy, society and environment.

Healthy and Safety)

We further believe that sustainable growth
Ursula Angeli Vice-president of Human Resources,
Communication, Sustainability, Institutional Relations
and EHS.

SUSTAINABILITY REPORT 2013

8

PRODUCTS AND TECHNOLOGIESSUSTAINABILITY REPORT 20139

Message from the Board

Products and Technologies

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About Us
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Focused to best meet our customers’
demands

throughinnovation,in

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WISEMOTION

2013

and 2014 we made important product andtechnology launches that have gained ineﬃciency and versatility.
Wisemotion
Residential

One of our main launches in 2014,
Wisemotion,isatechnology

that

will

revolutionize the refrigeration market, mainly
because it’s the ﬁrst compressor for residential

Energy Savings

Versatile

With high energy efficiency levels,
it can generate consumption
savings of 20% when comparedto the most sold compressors
worldwide.

For being oil-free it canbe installed in different
locations, inside or outside
the refrigeration system. This
allows for elaboration of new
refrigerator designs outside thetraditional formats.

applications that doesn’t use oil - a concept
that, in addition to being greener, expands
theinnovation

possibilities

in

designing
Embraco Wisemotion technology.

new refrigerators.
This new technology is developed withsmart electronic components, incorporating
new materials and mechanical parts coatedwith a technology capable of eliminating
the use of lubricant oil. In the Wisemotion

Compact and eco-friendly

Maximum preservation

Silent100mm shorter, uses approximately
50% less raw material and 20%
less gas refrigerant charge than
traditional compressors.

With Wisemotion it’s possible
to obtain minimal temperature
differences inside the refrigerator,
which contributes to reducing
food waste.

Brings the most modern andinnovative solutions in noise
control. The usual ‘on and off’noise of traditional refrigerators
is imperceptible.

compressor, the refrigerant gas goes beyond
the role of cooling, also being responsible for
friction point lubrication.
SUSTAINABILITY REPORT 201310

Message from the Board

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VEGD
Commercial and Residential

About Us
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to reach evaporating temperatures ranging

launched in 2014 the VEGD. With a focus on

from 35ºC to 0ºC, and works with an energy

the North American market, VEGD is the mostsavings up to 9% - when compared to current

eﬃcient Fullmotion R134a compressor family,

models with the highest eﬃciency level

consuming 5% less energy than its predecessor

available in the market - as well as operates(VEGZ) and with a noise level up to 5 decibels

stably under the toughest application conditions

most silent compressor until then). In addition,
the VEGD also provides greater stability of therefrigerator’s internal temperature, since its
cooling capacity is variable, adjusting itself tothe most diverse needs.

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Launched in 2014, this compressor is able

Still thinking about energy eﬃciency, we

lower than the VEGY (perceived as the category’s

Corporate Governancesuch as high temperatures, low network
voltage and consecutive starts (albeit withunequalized pressures).
With this technology, manufacturers canuse the same compressor model in applications
with very distinct characteristics and can stillachieve maximum performance and reliability.

FFU
Commercial

Reinforcing our commitment to support theThis versatility simpliﬁes logistics processes,

market through solutions with high eﬃciency,

inventory

versatility and that provide savings along theforecasting, since the refrigerator manufacturer

entire production chain, we launched FFU, a 2 incan manage the demands of diﬀerent types

1 solution of the light commercial refrigerationof refrigerators, such as freezers/ horizontal

compressor line, which can be used in verticalcoolers plus food and beverage displays, using

beverage displays, as well as horizontal freezers

only one compressor model. The model is being

with glass or solid lids.

produced in Brazil.

SUSTAINABILITY REPORT 2013

management

anddemand11

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Commercial

NEU

Commercial

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Plug-inWith low noise and vibration level, NEU

Created to meet the commercial refrigeration

compressors are the evolution of the NEK

market’s needs, the Plug-in is a sealed unit thatfamily, being up to 10% more eﬃcient and withhas as a diﬀerential fast installation and easy

up to 10% greater cooling capacity from theirmaintenance. The solution has the capacity topredecessors. Specially designed to meet thecool self-service cabinets of up to 2,000 liters,

needs of retailers, NEU compressors stand out

with the beneﬁt of having its entire system

for robustness, which ensures their performance

assembled by us, which brings reliability andin severe working conditions. The model issigniﬁcantly reduces the occurrence of problems

manufactured in Slovakia.

in the ﬁeld.
One of the Plug-in’s main beneﬁts is that its
installation can be done by one operator and inless time compared to conventional assembly
systems. Using the Plug-in, displays that used totake up to an hour to be assembled, can now
take approximately 20 minutes.

NEU family compressors.

SUSTAINABILITY REPORT 2013

Plug-in.

12

Message from the Board

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New Business
Our New Business workstream has auseful life, our plan is that Nat.Genius begins

permanent focus on innovation and alternative

operating in Brazil in 2015. The plan also foresees

business segments in which we can use our

implementation of ﬁve reverse manufacturingknowledge in research, development andunits in strategic regions of the country ininnovation and apply it in other segments tothe coming years to attend customers fromdevelop innovative products in new markets.

household as well as commercial refrigeration.

Nat.Genius
Launched in 2014, Nat.Genius is a new
operation using our expertise of over 20 years
in reverse compressor manufacturing and ourThecircularinnovation

processuses

engineering and technology to ﬁnd thebest application for each recycled material.

services in reusing materials in the production

Allied to specialized reverse manufacturing,

chain and thus collaborate with the circular

this prevents materials from returning to theeconomy.

primary

and all elements are reused at the end of their

SUSTAINABILITY REPORT 2013

Discard• Statistical analysis and sorting of discarded
products and materials;• Definition of potential innovative products
and their production processes.

Circular innovation

tradition in Research and Development to oﬀer

Inspired by nature, where all cycles are closed

Engineering

manufacturing

steps,

generating

expressive energy savings. Circular innovation
works as follows:

Processing• Appropriate component sizing
and structure;• Equipment and processes tailoredto each innovative product.

Specialized disassembly• Specialized separation of parts andmaterials of discarded products;• Different equipment and processes foreach type of discarded product.

13

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Self-lubricating steel

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The technology is especially beneﬁcial

Lubricant steel is an innovation that promises

for the metal mechanical industry - such as

to revolutionize mechanical engineering, since it

the automotive industry - since it brings dualoﬀers the possibility of eliminating the use of oil

functions for coatings and is the world’s ﬁrst

to all systems that require some lubrication toself-lubricating high-strength steel, which can

prevent friction between parts.

increase industrial productivity and reduce

Developed by powder metallurgy - combining

environmental impact in production lines.

powdered iron and carbon, sintered with stocks

In addition to eliminating waste, the newof solid lubricants - the technology makes it

technology doesn’t use toxic gases and emits

possible to create a high-strength mechanicalno pollutants, making it an environmentally

system with parts that self-lubricate throughout

friendly solution.

their entire useful life.

DC Mobile
Plasma reactor

SUSTAINABILITY REPORT 2013

Strong and robust, DC Mobile is a mobile

The result of research that began in 1992

compressor with special suspension, making(conducted in partnership with the Federal

it suitable for the automotive market. The

University of Santa Catarina), the plasma

technology can also be applied in refrigerators

reactor is an innovative solution used to coaton buses, trailers, boats as well as refrigerators

metal mechanical parts with a resistant andused for transporting organs or those powered

anti-corrosion layer; it coats and cleans theby solar energy.

part in a single production cycle, enabling

The compressor is 100% designed andcomplete removal of all waste and making

manufactured in Brazil - being the only productthe part more reliable concerning its usefulof its kind produced in the country - and relies

life and performance.

on, inside, Fullmotion technology.

14

Message from the Board

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TRADE SHOW PARTICIPATION
To stay on top of new developments in

Febramec

our industry and reaﬃrm our position as

March/2013
With a focus on oﬀering smart solutions forthe machinery and equipment market we also
participated in the Brazilian Fair of Mechanicaland Industrial Automation (Febramec) for theﬁrst time. The technologies we presented at thefair, self-lubricating steel and plasma reactor,
were developed by our team of engineers
in partnership with the Federal Universityof Santa Catarina (UFSC), resulting in four
patent applications.

leaders in the refrigeration market, we takepart in strategic business trade fairs aroundthe globe. In 2013, the main fairs that weparticipated in were:

AHR - United States
January/2013
Considered the United States’ largest event in
the air-conditioning, heating and refrigeration
segment, AHR brought together in 2013, morethan 1,800 manufacturers in the city of Dallas.

FeimafeAt the event, we presented our condensing

June, 2013.
During the 14th Feimafe, Latin America’s main
fair focused on tooling machines and quality
control, we presented our self-lubricating steel
and plasma reactor. Our decision to participate
in the fair is included in the strategy to also
oﬀer smart solutions for the machinery andequipment market.

units, optimized line for distribution market andcompressors from the NT and NTU families. We
have a complete portfolio of compressors usinghydrocarbons (recognized for their low impact
on the ozone layer), which are available forNorth America, with variable cooling capacity.

SUSTAINABILITY REPORT 2013

Our booth at FEBRAVA.

Febrava - Brazil
September/2013
Held in São Paulo, we took to our standat the 18th International refrigeration,
air-conditioning, ventilation, heating and air
treatment fair (Febrava) intelligent, silent

products, with high energy eﬃciency and fastcooling for various applications, highlighting
the Plug-in as well as DC Mobile andFullmotion technologies.

15

US

SUSTAINABILITY REPORT 201316

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OUR OPERATING STRATEGY

Residential

Light Commercial• Freezers• Bakery Displays• Vertical refrigerators• Large freezers for Merchandising• Ice Machines

Distribution
and Resale

New Business• Beyond core solutions• Resale• Spare Parts• Horizontal Freezers• Ice Cream Machines• Vending Machines• Post Mix

SUSTAINABILITY REPORT 201317

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PROFILE AND HISTORYGRI 2.1 2.2 2.3 2.4 2.5 2.7 2.8

We’re Embraco, a global company, a world
leader in the hermetic compressor market for

DO YOU KNOW WHAT
A COMPRESSOR IS?

refrigeration, founded in 1971, headquarteredin Joinville (SC), Brazil. With 43 years ofexperience and a focus on technology andinnovation, today we have a structure with

Compressors are the heart of refrigerators, freezers, wine

presence in Brazil, Mexico, United States, Italy,

coolers and other equipment responsible for preserving

Slovakia, Russia and China, customers in more

food and keeping drinks at the ideal temperature.

than 80 countries and production capacity ofCompressors, together with the cooling system,

over 37 million units per year.

generate cold. Our products are part of everyday life forall people, both in homes as well as in industries andcommerce. Through them, we guarantee that life is more
comfortable and has more quality. You may not realizeit, but cold is present at life’s important moments, fromthe simplest meal to a remarkable celebration among
friends and family.
Compressor.

SUSTAINABILITY REPORT 201318

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OUR GLOBAL PRESENCE
43 years of history
completed in 2014

More than 500 people
dedicated to R&D

More than 90% of suppliers
adhere to Code of Conduct

1,277 registered patents

More than 40
R&D laboratories
A company that’s areference in strategic
people management

More than 30 thousandpeople benefited fromsocial investment actions

1 EMBRACO UNITED STATES
SuwanneWarehouse and Sales office
2 EMBRACO RUSSIA
MoscowSales office
3 EMBRACO MEXICO
Apodaca, Monterrey
Compressor factory and office

SUSTAINABILITY REPORT 2013

4 EMBRACO BRAZIL
Joinville
Headquarter
Office, Compressor factory, Foundry and Electronics unit
Itaiópolis
Component and cooling systems factory

EMBRACO CHINA
Beijing
Office and Compressor factory
QingdaoElectronics unit

6 EMBRACO SLOVAKIA
Spisska Nova Ves
Office and Compressor factory
7 EMBRACO ITALY
Riva Presso Chieri
Office and Compressor factory

19

Message from the Board
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Our entire operation is driven by theobjective that the business be sustainable in

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National Solid Waste Policy.
One of the most striking features in ouras one of the strategic pillars that guides our

DNA is innovation. With it we encourage

NEW UNIT IN
RUSSIAdecision making. In Embraco, we constantly

development of a large research network andWe’ve operated with commercial activities

and continually evaluate our impacts andcreate products that consume less raw material

in the Russian market for over 10 years, andand are more energy eﬃcient, which guarantee ain 2013, we inaugurated our business unit inlower environmental impact, bring beneﬁts andthe country, which is part of the organization’senvironmental spheres, seeking to develop
a lasting business and a value generator for
all stakeholders.
Thinking sustainable is present in directing
new products, along our value chain andengaging people around our values, our culture
and our strategy. As a result of this process,over time we’ve become signatories to global

generate a perceived value for our customers,
with a focus on creating extraordinary resultsfor our business.

global expansion strategy and aims to oﬀer
more ﬂexibility in serving Russian clients aswell as expand business in the region.
We’ve operated in Europe since 1994, with

Historically, we’ve been investing 3% tomanufacturing units in Slovakia and Italy,

4% of our annual net revenue in Research &and through them we have attended theDevelopment (R&D) funding that is dedicatedRussian market for six years. Now with anoﬃce dedicated to Russia and an exclusive

initiatives, such as the Global Compact (since

to more than 40 state-of-the-art laboratories,2004) and the Sustainable Energy for All

which house 500 professionals, in addition to(since 2012) - both led by the United Nations

strategic partnerships with universities anddemand more quickly, ensuring more ﬂexibility(UN). In Brazil, we signed an Ethos Instituteresearch institutes in various countries. Because

to customers for product sales and technicaldocument which aims to strengthen theof this proﬁle, we are now in possession of 1,277

support in the country.

private sector’s commitment to sustainablepatents granted worldwide.

SUSTAINABILITY REPORT 2013

GRI Index

development and implementation of thethe long term, and for this we have Sustainability

opportunities in the economic, social and

Our Products’ Lifecycle

sales team for the Residential, Commercialand Aermarket segments, we support local

20

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Our brand consistency
leadership,

Performance (understanding customers’ needs,

anticipate trends and create innovative solutions

responsiveness and eﬃciency in deliveringthat oﬀer better quality of life to consumers, ininnovative and customized solutions; Shaping

CONTROLLERCHANGE2011 we began the process of restructuring

the Global Scenario (strategic presence andIn 2006, aer a shareholder reorganization,

our global brand. The new image reinforces

global market leadership); Transcending thethe company joined with Multibrás - a homeattributes such as innovation, simplicity and

Future (foreseeing trends and creating the futureappliance producer - forming, in Brazil, Whirlpool

power to change; reﬂecting the company’sof technology); and Cultivating Passion (pride

S.A., controlled by the American Whirlpool

transformation over four decades of activities.

and engagement of talents in diﬀerent nations

To

strengthen

ourglobalPower to Change is the main concept thatand close relationship to customers).

Corporation, which is today the largest home
appliance manufacturer in the world.
Since it provides cooling solutions to the entire

inspires the new Embraco brand and reﬂects

Two years aer the launch, we constantly

the company’s operating strategy worldwide,

reinforce our new brand through actions thatmanagement, with a strong shield policy thattranslated into four pillars: Delivering Intelligent

permeate our internal and external public.

ensures the conﬁdentiality of information,market, Embraco maintains an independent

protecting its business as well as thatof its customers.

SUSTAINABILITY REPORT 201321

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OUR HISTORY

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GRI 2.6

1970s

1990s

2010s

• Empresa Brasileira de Compressores S.A.
(Embraco) is founded in 1971.

• Italy operations begin through a merger withAspera compressor factory.

• Wisemotion and NatGenius launch.

• Production exports begin to Peru, United States
and Canada.

• Industrial joint venture in China is created.

• New brand launch.

• Slovakia operations begin.

• Embraco Russia inauguration.

• Inauguration of new factory in Mexico.

• Embraco reaches the end of the decade
producing 21.7 million compressors per year.

1980s

2000s

• First technical cooperation agreement, with theFederal University of Santa Catarina (UFSC).

• Mexico Sales office inauguration.

• R&D area is created and the first compressor with
100% Embraco technology is produced.

• Embraco receives international certifications, such as
ISO 14001 and QC 080.000.
• Company signs UN Global Compact.

• United States sales office inauguration.

• Begins operating in Brazil with corporate name Whirlpool S.A.

• Participation in UN Montreal Protocol, seeking toeliminate CFC gas use.

• Eletronics inauguration to produce electronic components usedin compressors (Brazil and China).
• China factory inauguration.

SUSTAINABILITY REPORT 201322

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Awards and Recognitions GRI 2.10
• We were voted as one of the companies, inrespected publications on sustainability andthe Corporate Social Responsibility (CSR)

Brazil, with the most innovative management

corporate responsibility. We were highlighted

National Award Program Via Bona Slovakia forin the Large Company category by Financier

in the Electronics sector and winner in thethe works developed in 2012. We were alsoof Studies and Projects (Finep). The award istheme “Community relations”.

recognized with first place in the Supporter ofthe most important recognition for innovation

The recognition is the result of consistent

Volunteering and Good Partner for Community

in Brazil and has been held since 1998.

actions such as the Embraco Ecology Award,

categories.

• We received the Best Innovator award

which for 21 years has encouraged public and• Embraco Slovakia also received the Coolingfor being one of Brazil’s 10 most innovative

private schools in Santa Catarina to undertakeAward for developing the NTU compressor,

companies according to Época Negócios

projects geared towards a more sustainable

launched in 2012. The recognition was given

magazine and the international consultancy

way of life.

by the Slovak Union for cooling and

A.T. Kearney. For us, innovation is in each

• We’re considered Santa Catarina’s mostdetail of the technology cycle of products

remembered brand when it comes to Social• Embraco United States received honorable

and processes.

and Environmental Responsibility. That’s

mention in the contest Metro Atlanta’s• We were also elected, once again, one ofwhat Top of Mind tells us, the state’s biggest

Top 100 Workplaces, a survey conducted

the Best Companies to Work for in Brazil

and most important brand recognition andby the Constitution newspaper and its

and, for the second consecutive time, in firstvaluation award.

partner Workplace Dynamics, involving 184

place in the Diverse Industries sector, by theThat’s what the Top of Mind award says, thecompanies.

Você S/A guide.

most important prize in brand recognition and• We were elected, for the third consecutive
year, as one of the most sustainable companies

valuation of the state.

in Brazil by Exame Sustainability Guide,

Responsible

one of the country’s largest and mostgranted by the Pontis Foundation through

SUSTAINABILITY REPORT 2013

• The North American unit was also voted oneof the best companies to work for (Atlanta’s• Embraco Slovakia received, in 2013, theLarge

air-conditioning technique.

Company award,

Best and Brightest Companies to Work
For) by the National Association for BusinessResources (NABR).

Roberto Campos receiving Guia Você S/A trophy.

23

GOVERNANCE

SUSTAINABILITY REPORT 201324

Message from the Board

Products and Technologies

Doing More with Less

People who make Embraco

Corporate Governance GRI 4.1 4.10
In our company the highest level of

About Us
Private Social Investment

Corporate Governance

Strategy for Sustainability

About this Report

Adjacent Information

Our Products’ Lifecycle
GRI Index

COMPOSITION OF PRESIDENT’S STAFF

corporate governance structure - responsible
for the decisions that have potential to impact
all Embraco stakeholders - is the president’s
staﬀ, a forum comprised of nine members whomeet weekly to track implementation of the

President

company’s strategy, monitor the performanceof the organization and executives throughquarterly assessments and make key decisions
on economic, environmental and social aspects.
This forum also ensures that results aredelivered to shareholders in accordance with theSix Vice-Presidents

established goals.
Another important staﬀ role is to perform thecompany’s risk management - using Enterprise
RiskbyManagement
executing(ERM)

actionplans

methodology
and-deﬁning

Three Directors

those responsible to monitor risk factors• Logistics

and, in parallel, identify opportunities for• LegalEmbraco’s business.

• Procurement

SUSTAINABILITY REPORT 201325

Message from the Board
Doing More with Less

Products and Technologies

About Us

People who make Embraco

Change in structure:
Vice President for Asia GRI 2.9
Due to the importance which the Asianmarket has for our business and for the
strategic growth that the continent has
taken on a global level, in 2013 we madea change in the structure of the President’s
staﬀ to create the Vice President for Asia,
a position currently occupied by Luis Felipe
Berthi Abboud Dau.
The purpose of this change is to ensure
greater autonomy and a quick decision
making process - always linked to our global
strategy - and, in this way, increase ourrelevance in the Asian market.

To connect Embraco’s management andthe day to day operation aligning them to its

Strategy for Sustainability

About this Report

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Besides observing and fulﬁlling speciﬁc

Subsequently, this information is validated andin our Code of Ethics and our Global Policies, as

legislation in each location, we adhere tocertiﬁed by an external audit on an annual basis.

well as in documents such as our Organizational

requirements of the American Sarbanes-Oxley

During 2013, 205 controls in 40% of Embraco’s

Act (SOX), created to reduce the risk of ﬁnancial

plants were audited.

Letter of Values and our Code of Conduct.
Besides employees, direct suppliers distributed
throughout the Americas, Europe and Asia haveaccess to these directives, and over 96% ofthem have already signed the document thatfraud and adopted mainly by companies with

In 2013, SOX controls were implemented inshares traded on stock exchanges. We also

China (Compressors and Electronics) and will be

conduct internal audits to assess the internal

audited in 2014.

control environment.

Besides SOX, we use another control tool:

Following SOX rules, all internal controls over

operational audits. Currently, 100% of the units- among other issues - has guidelines on thesigniﬁcant ﬁnancial reports are documented

are subject to periodic review of all processes

posture of the companies regarding social andand tested by the internal audit area, whichthat are carried out and documented in them. In

environmental issues.

also tests the controls that concern aspects

2013, six operational audits were conducted inrelated to design, performance and eﬃciency.

order to verify the internal control environment.

an Ethics Committee that meets periodically andis responsible for monitoring compliance with

SOX assessed processes

the code and maintaining all communication

Brazilchannelsforclaimsorcomplaints.

Our

Dialogues, which counts on the participation of

employees have a speciﬁc line (hotline) - with

Total

directors who are part of the Company’s staﬀ.

guaranteed anonymity.

Percentage

SUSTAINABILITY REPORT 2013

GRI Index

Our principles and values are consolidated

strategy and objectives, we held events such as
the Annual Leadership Meeting and Strategic

Our Products’ Lifecycle

Combating corruption GRI SO2

Ethics and transparency GRI 4.6

In order to manage all these issues, we have
Strategic engagement

Corporate Governance

Italy

Slovakia

United States

2012

2013

2012

2013

2012

2013

2012

2013

13

13

9

9

9

9

6

6

45%

45%

24%

24%

24%

24%

16%

16%

26

Message from the Board
Doing More with Less

Products and Technologies
People who make Embraco

Our Employees Participation
GRI SO3 SO4About Us
Private Social Investment

Corporate Governance

Strategy for Sustainability

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GRI Index

Employees trained in anti-corruption
policies and procedures

To ensure knowledge of our practices and

2011

2012

2013

Brazil

21%

59%

15,3%

one of the tools with an essential role for this

China

9%

8%

4,8%

engagement is our Code of Ethics - which

Italy

26%

28%

3,7%

Slovakia

13%

33%

11,6%

laws - being the subject of presential training for

United States

80%

91%

100%

new employees. Additionally, we have 15 global

Russia

N/A

80%

0%

customers, suppliers and other stakeholders.

Mexico

N/A

98%

14,8%

Once performed, a speciﬁc committee veriﬁes -their applications, we continuously transmit
our values to our employees. In addition,

Reporting channels - Hotline

addresses issues such as corruption, money
laundering and antitrust and trade practice

We maintain a channel for anonymous
allegations

administrative personnel and interns.

corruption

throughafree hotline that is available to employees,

internal compliance and ethics policies. In 2013,
we trained 1,540 people, among managers,about

conﬁdentially - all allegations received.
Global

17%

47%

12,4%

Reporting channels
Brazil: 0800 891 4247
Italy: 800 788 476
Slovakia: 800 961 2419
China: 11 800 711 0475

Just as in the last three
years, in 2013 there were
no confirmed cases ofcorruption in Embraco.
SUSTAINABILITY REPORT 2013

Mexico: 001 800 961 4262

27

Message from the Board
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Products and Technologies

About Us

People who make Embraco

Public development GRI SO5
Focused on formulating guidelines forinnovation, energy eﬃciency, professional
development
andrefrigerationindustry
regulation, we actively participate in articulating
public policies that contribute to our industry’s
development. We’ve established partnerships
with research centers and universities in the
countries where we operate, conducted researchand development of technologies applied toour products and processes. We also work
strategically with government agencies in thesecountries to utilize beneﬁts and incentives oﬀered
to our sector. We’ve also established partnerships
with research centers and universities in the
countries where we operate, conducting researchand development of technologies applied in our
products and processes.
Additionally, we work strategically withgovernment agencies in these countries to utilize
beneﬁts and incentives oﬀered to our sector.
In the list of organizations that count on our
cooperation are:SUSTAINABILITY REPORT 2013

Corporate Governance

Strategy for Sustainability

About this Report

Adjacent Information

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PARTICIPATION IN ASSOCIATIONS AND ORGANIZATIONSOur Products’ Lifecycle
GRI Index

GRI 4.13• American Chamber of Commerce in Slovakia;• Brazilian Foreign Trade Association (AEB);• Electricity Utility Company of Santa• Brazilian Electrical and Electronic Industry• Occupational Health and Safety Professionals

Catarina (Celesc);

Association (Abinee);

Association of Joinville and Region (APSSOJ);• Center of Industries of the State of Santa• Brazilian Association of Advertisers (ABA);• Joinville Business Association (ACIJ);

Catarina (Ciesc);• Brazilian Business Communication Association• Latin American Electrical and Electronic• Joinville Architect and Engineer Center (Ceaj);Industrial Association (Alainee);• Joinville – Spisská Nová Vês Sister City• National Association of Manufacturers ofCommittee;

Electro-electronic Products (Eletros);• National Confederation of Industry / Brazilian• National Research Association

Business Coalition;• National Research, Development and• National Council for Scientiﬁc and TechnologicalEngineering Association of Innovative

Development (CNPq);

Ventilation and Heating Association

Companies (Anpei)• Federation of Industries of Santa Catarina(Abrava);• Human Resource Development Association –(Fiesc);• Itaiópolis Commercial and Industrial Association

Slovakia;• Federation of Industries of São Paulo (Fiesp);(ACII);• Business Leaders Forum – Slovakia;

and• Slovakia Electrical Equipment Industry Association;• American Chamber of Commerce - Slovakia;• International Electrotechnical Commission (IEC).

(Aberje)• Brazilian Foundry Association (Abifa);• Brazilian Association of Technical Standards(ABNT);• Brazilian Human Resources Association (ABRH);• Brazilian Refrigeration Association• Brazilian Refrigeration, Air Conditioning,28

Message from the Board
Doing More with Less

Products and Technologies
People who make Embraco

In relation to these entities, we highlight ourwork focused on the following areas:

About Us
Private Social Investment

Corporate Governance

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GRI Index

Regulations
Through representative bodies, we monitor
political decisions and bills that impact theInnovation

refrigeration market and we collaborate towards

We operate in a coordinated mannerconstructing public policies and incentive

together with a large group of companies toprograms aimed at the refrigeration sector,

create in the units where we operate, particularly

always focused on issues that concern thein Brazil, a favorable environment for innovation.

sector’s energy eﬃciency and sustainability.

The idea is to discuss, formulate, suggest andbuild policies and programs in cooperation
with the competent agencies on topics suchas laws to encourage innovation, patent
systems and partnerships between universities
and businesses.
Energy eﬃciency
We support the creation and adoption ofprograms aimed at energy eﬃciency. In this way,
we work with major companies in the energy
distribution sector with a focus on structuring
research and development as well as energy
eﬃciency projects in refrigeration systems.

SUSTAINABILITY REPORT 2013

29

FOR SUSTAINABILITYSUSTAINABILITY REPORT 201330

Message from the Board
Doing More with Less

Products and Technologies
People who make Embraco

SUSTAINABLE
THINKING

About Us

Corporate Governance

Strategy for Sustainability

About this Report

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Our Products’ Lifecycle
GRI Index

Learn more about the initiatives that we’ve developed in each of these stages within the chapters of this Report, identified in this infographic by the symbol*
Learn, get inspired, participate, contribute!

GRI 1.2

We perceive sustainability as a continuous
journey that challenges, guides and inspires day aer day - our practices, decision-making

Actions in communities
where we operate

Definition, strategy and governance• Vocation to Innovate (future)• Corporate Sustainability Structure• Vocation to innovate (future)• Private social investment

and management of our businesses.
Through our business we deliver food
Product design and development

preservation to people and, consequently,
an improvement in quality of life. We havesustainability as a pillar of the business and• Integrated management for efficiency• Manufacturing (production)• Customers (products)• Vocation to innovate (future)

Our products’ post-consumption care
• Post-consumption (reverse logistics)

therefore it permeates all stages of ourvalue chain:
Our environmental commitments

Managing our
supply chain• Doing more with less• Our commitment to the planet• Vocation to innovate (future)• Private social investment• Inputs (suppliers)

Training our teams• Vocation to innovate (future)• People who make Embraco

SUSTAINABILITY REPORT 201331

Message from the Board
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Products and Technologies
People who make Embraco

About Us
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GRI Index

Corporate Sustainability Structure GRI 4.9
In Embraco we engage sustainability in our daily life through three workstreams: Sustainableproducts, Sustainable value chain and Engaged people.

Sustainable products
Innovation plays a central role in the sustainability strategy.
Within this context, the energy efficiency of our products is an
essential aspect. We invest in developing innovative solutions
and reducing the use of raw materials.

Sustainable value chain
Our sustainability view extends to our value chain, from supply to postconsumption. In the supply chain, we work in partnership with our suppliers
to incorporate into their daily practices sustainability requirements,
promoting joint work on finding solutions. In post-consumption, we havea reverse compressor logistics program, ensuring the product’s recycling
after its disposal by the final consumer.

The structure is composed of the vicepresident of Sustainability (Ursula Angeli), who
is also accountable for the areas of Human
Resources, Communication, Environment, HealthEngaged people
We have a private social investment policy that guides
us to permanently apply resources in the communities
in which we operate, through educational andenvironmental projects.

and Safety as well as Institutional Relations.
We have a corporate Sustainability structure
and in each one of our units there are local
teams who in addition to managing corporatesocial responsibility, integrate sustainability into
other Embraco’s strategic pillars and promote
engagement of various stakeholders.

SUSTAINABILITY REPORT 201332

Message from the Board
Doing More with Less

Products and Technologies
People who make Embraco

About Us

Corporate Governance

Strategy for Sustainability

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Our Products’ Lifecycle
GRI Index

OUR COMMITMENT TO THE PLANETGRI 4.12

Sustainable Energy for All

adopt fundamental and international values

waste to landﬁlls from compressor factories by

In 2012, we became the ﬁrst company

that include human rights, labor relations, the2018 and from Foundry by 2022.

based in Brazil to sign the global commitment,

environment and anti-corruption. In 2012, we

Sustainable Energy for All, whose goal is tostrengthened our commitment by signing the

double the production of energy from renewable

Global Compact’s Letter of Commitment during

sources by 2030.

our participation in Rio+20.

The initiative originates from the United
Nations (UN) and was launched in 2011 withthe goal of promoting the mobilization ofSilver Medal in Brazilian
GHG Protocol
Since 2012, we receive the silver medal in
the Brazil GHG Protocol - a methodology that

Letter of Commitment to
Sustainable Solid Waste
Management

permits accounting for greenhouse gas (GHG)
emissions. The rank in the protocol attests tothe inventory of all direct and indirect emissions

governments, business and civil society to

On June 5, 2013 - World Environment

ensure access of all to energy, increase global

Day - we signed a Letter of Commitment toenergy eﬃciency and elevate the participation

Sustainable Solid Waste Management from theof renewable sources in the energy mix.

Ethos Institute, which aims to strengthen thewith emissions of China, United States, Italy,

private sector’s commitment to sustainable

Slovakia and Mexico along with the Brazilian

development and implementation of theplants (Itaiópolis, Foundry and Headquarters).

For 11 years we’ve been a signatory of

National Solid Waste Policy. The commitment

More information about our emissions can be

the UN Global Compact, an initiative thatis in sync with our sustainability strategy which,found in the chapter Doing More with Less inaims to engage the business community toamong its global goals, strives to send zero

this report.

Global Compact

SUSTAINABILITY REPORT 2013arising from electrical energy consumption. In
2013, we conducted the inventory for 2012,33

Message from the Board
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Corporate Governance

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An important part of managing our operations is adherence to global certiﬁcation

From the early stages of new productstandards, through which we apply best practices in monitoring and operationalizing diﬀerent

development, we work to reduce health andbusiness aspects.

Brazil (Foundry, Compressors, Components
and Eletronics)

safety risks of employees and customers. We have
Environmental Management System ISO 14001

a list of 655 harmful substances, which must be

Brazil (Foundry, Compressors, Components andElectronics)

avoided in our processes and our products. The
process is certiﬁed by the QC080000 standard.

China (Compressors and Electronics)

China (Compressors and Electronics)

Slovakia (Compressors)

Slovakia (Compressors)

Italy (Compressors)

Italy (Compressors)

In addition, internal and external tests(partners) are also performed to ensuretransparency and quality in our manufacturing

Mexico (Compressors)

process.
Occupational Health and Safety
Management System - OSHAS 18001

Hazardous Substances Process
Management and RoHS (Restriction ofHazardous Substances IECQ QC 080.000

Duringthedevelopment

andmanufacturing of compressors we do a seriesof tests and simulations to detect potential

Brazil (Foundry, Compressors,
Components and Electronics)

Brazil (Foundry, Compressors,
Components and Electronics)

improvement opportunities and avoid potential

China (Compressors and Electronics)

China (Compressors and Electronics)

failures when the products are in the market. This

Slovakia (Compressors)

Slovakia (Compressors)

evaluation is performed on 100% of compressor

Italy (Compressors)

Italy (Compressors)families, following a representative statisticalsampling.

SUSTAINABILITY REPORT 2013

GRI Index

Product Safety GRI PR1

Certiﬁcations

Quality ISO 9001

Our Products’ Lifecycle

All compressors manufactured by us undergo a series oftests before reaching the market.

34

LIFE CYCLESUSTAINABILITY REPORT 201335

Message from the Board
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About Us
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Or, in other words, understand the market andDaily we seek to optimize all phases of ourof continually analyzing our processes brings

operation, from the materials purchased frombeneﬁts such as reducing our production

We believe that improving the future is

our suppliers, to recycling our ﬁnal productcost and a better relationship with all

an ongoing commitment and inspired byaer the end of its useful life. The exercise

our stakeholders.

Leonardo Da Vinci’s phrase “Simplicity is theKnow the project’s beneﬁts: optimize theultimate sophistication”, we began the projecttransport ﬂow; standardize the raw material

that focuses on transforming our supply chain,process; gain productivity; standardize plantfrom planning to product delivery, creating

indicators and processes; a more cohesive team,a competitive diﬀerential in the service wefocused on meeting customer demands; better

provide our customers. We seek eﬃciency inplanning of our operations: customer demands,

our operations, and for this to happen, we’re

products, materials and production; intelligent

working to strengthen integration among areas.

inventory.

Embraco Fullmotion Technology.

SUSTAINABILITY REPORT 2013

Da Vinci Project

Our Products’ Lifecycle

oﬀer innovative and eﬀective solutions throughagile and sustainable processes.

We divided the project into 15 workstreams,

To get an idea of Da Vinci Project’s impact

which are being implemented interdependently

in our operation, Embraco’s portfolio included

in our units around the world: Brazil, Mexico,

17,000 compressor models, of which less than

Italy, Slovakia and China.

50% were eﬀectively used for sales. This excess

The project has inserted new habits into ourof products in the portfolio made the operation

culture and has brought results that have alreadyeven more complex, which could hinder

been perceived by our team as well as by our

optimization of sales, planning, production

customers and our suppliers. We’ve consequently

processes and even impact correct customer

achieved, in practice, total adherence to our ﬁrst

service. Since August 2012, we’ve reduced ourbrand value: delivering intelligent performance.

available portfolio to 4,000 models.

36

Message from the Board

Products and Technologies

Corporate Governance

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Private Social Investment

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Our suppliers are an extension of ourand improvement of its products, as well as in

Supplier self-assessment

manufacturing process and, because of this,matters relating to supply chain management.

Every two years, we invite our suppliers

we encourage all who participate in our supply

In addition, suppliers must comply with our code

to complete a self-assessment questionnairechain to adopt sustainable practices.

of conduct.

which includes questions regarding proﬁle,Doing More with Less

People who make Embraco

About Us

Our Products’ Lifecycle
GRI Index

SUPPLIERS
GRI HR1 HR2 HR6 HR7Supplier self-assessment

When a company begins supplying us

In 2013 the document was sent to 100% oflabor relation rights, environmental impact

with their products and/or services, we build

our direct suppliers globally and received 96%

management and production chain control. In

a partnership so we can support it to evolve

adherence. We had not cases of forced labor or2013 we carried out this process and achieved

its business, with regard to the development

child labor in any of our suppliers were identiﬁed.

feedback from 90% of our supplier base.

Supplier Adherence to the Code of Conduct in 2013
Plant

Adherence

Brazil158

China+ 18 p.p

90%
72%

2012

2013

Self assessment feedbacks in 2013
Nº of processes

%

Plant

Received

In progressNº of processes

%

0

158

100%

Brazil

117

41

158

74%

135

5

140

96%

China

135

5

140

99%

Europe

267

9

276

97%

Europe

267

9

276

68%

Mexico

24

12

36

68%

Mexico

32

4

36

88%

Total

584

26

610

96%

Total

551

59

610

90%

SUSTAINABILITY REPORT 2013

In progress

37

Message from the Board
Doing More with Less

Products and Technologies

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Private Social Investment

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GRI Index

Supplier Excellence Program
Developed
Excellence

since

2012,

our

Supplier

Programaims

toimprovethe performance of our supply chain in
aspects related to service, quality, costs
and sustainability.
The program seeks to achieve improvementsin the operations of partner companies
through workshops and joint work carriedout between our multidisciplinary teams
and supplier partner to develop diﬀerent typesof actions.

In 2013, 22 workshops were heldwith suppliers in Slovakia, Italy,
China and Brazil, generating
several actions to responsibly
optimize our supply chain.

SUSTAINABILITY REPORT 2013

SUCCESS STORY  HUAXIANG FOUNDRY
In 2013 we took the Supplier Excellence

as professionals from the Huaxiang Foundry,

Program to the Huaxiang Foundry, a global

to suggest solutions, such as standardization

supplier with a plant in China. Aer initialof measurement methods of the parts.

analysis, our team concluded that there weregood opportunities for improvement in the

Improvements were also made as a result of
the change in procedures in the production

partner’s production process, which could
generate beneﬁts for both companies.
With an initial focus on the quality of theline equipment of our supplier.
Through these initiatives we were able tomachined parts process, we gathered aachieve substantial gains for our partner, suchteam of professionals from diﬀerent areas

as an increase of up to 39% in the productivityof Embraco Brazil, China and Mexico, as wellof certain parts.

38

Message from the Board
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Products and Technologies

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Corporate Governance

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MANUFACTURING
World Class Manufacturing
In 2013 we began implementation of Worldthrough it we seek to have zero work accidents,

Class Manufacturing (WCM) in our operation.

zero energy and raw materials waste, zero

Introduction of this system is in sync withproduction obstacles that increase our costs,

our cost leadership strategy, in other words,

among other zeros that contribute to elevating

we’re reducing the cost of our compressor

our performance.

PILLARS OF WCM
WCM is based on 10 technical pillars toincrease an organizations’ performance.
They are:production to be even more competitive in the

As we are a global company, this methodology

market - and, of course, without sacriﬁcing our

becomes particularly interesting and strategic,• Costrenowned quality.

since it allows us to replicate success stories• Focused Improvementfrom a particular plant to other continents,• Autonomous Activities (Autonomous

standardize our processes globally and bringalways

Maintenance and Workplace

beneﬁts such as simplifying and organizing our

region’s particularities.

For this we’ve invested in a system toconsideringandrespecting

eachroutine, gains in productivity and quality, besides

Initiated in 2013, the project implementation

reducing accidents in all units and countries

is expected to be completed in 2014 andwhere we operate.

impacts four management systems: Embraco

In its implementation phase in Italy, Brazil

Lean System (ELS); Embraco Quality System

and Slovakia operations, WCM is a methodology(EQS); Environment, Health and Safety Systemthat remains “focused on zeros”, for example,(EHS); and Productivity for Growth (P4G).

SUSTAINABILITY REPORT 2013

• Safety

Standardization)• Professional Maintenance• Quality• Logistics• Early Management• People Development• Environment and Energy

WCM: lower production costs, more competitivenessin the market.

39

Message from the Board
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CUSTOMERSGRI PR5

We have customers in over 80 countries,

For 2014, an increase in scope is expected,

conducts the training with support materials

was redesigned in 2013 and was renamed

and to meet their needs, we seek to understandthe satisfaction survey will be conducted insuch as catalogs and manuals. In other cases,

Refrigeration Club and today is one of the

how they perform their activities to always oﬀer

12 languages, covering over 400 customers

the training is done in our own facilities.

sector’s most important publications.

the best solutions.

in more than 60 countries.

Since 2012, we’ve been the only compressor
manufacturer which conducts an annual surveyof this public to ﬁnd out what their level ofsatisfaction is in relation to us and understandwhat the main factors are that impact ourcustomers’purchasing

decisions

Relationship with
Contractors
We maintain a close relationship with

The new magazine was conceived as partIn 2013, we conductedtraining for more than
1,226 contractors fromvarious countries.

of Embraco’s branding strategy “educate topromote” acting as an educational support
tool in the refrigeration sector, through thedissemination of useful information to assist

contractors, who play a key role in recommending
our products to customers. We invest in training

contractors in their day to day work.
Refrigeration ClubFor its redesign, we carried out an extensive(productthese professionals so that they are able toFor 30 years we’ve produced a magazine

study with the target public. First, we conducted

quality, price, credit, logistics, portfolio, etc.).

provide more qualiﬁed service to Embracowith content geared towards contractors,

a survey of contractors, counter sales andAs in previous years, in 2013 the survey wasproduct users and stay informed about our main

retailersfromretail owners to understand what their real

conducted with partners in over 30 countries.

launches through speciﬁc training. The work is

the refrigeration segment. The traditional

needs are in the day to day. Next, we prepared

For strategic reasons, we do not disclose thedone through a partnership with our customers:

publication, which appeared in 1984 anda diﬀerentiated editorial design, layout andsurvey’s result.

an Embraco team goes to the company anduntil 2012 was named Revista Bola Preta,visual identity.

SUSTAINABILITY REPORT 2013

andtechnical

assistants

40

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for contractors. The pages contain interviews,
opinions from recognized market professionals,

To enhance the safety of consumers and

CARBON FREE
SEAL

customers, we publish on our site the compressor

In June 2014 the Refrigeration Clubuse and solutions to the main technical problems

receivedthat may occur.

application manual with information on electricalinstallation, mounting, handling, storage, goodtechnical content along with commercial,marketing and sustainability issues in a didactic
and detailed manner, serving as permanentreference material for the contractor, as
well as indicating courses, lectures, fairs andindustry books.
The Refrigeration Club magazine is freeof charge, quarterly and has a circulation ofthecertiﬁcation

Carbonthat

Free

recognizes

seal,

a

On our products’ labels, we disclose

100%

certiﬁcations obtained from regulatory agencies

neutralization of greenhouse gas emissions

which certify the models’ safety, such as the seals
generated by the publication’s printing
processes and distribution.
To neutralize the emissions, we promote

52,000 copies distributed in diﬀerent Latinthe planting of more than 80 tree species

American countries and oﬀered in Portuguese

per hectare in Areas of Permanentand Spanish. The magazine is also available on

Preservation (APPs), oﬀsetting 7.9 tons

the site www.clubedarefrigeracao.com.br, withof emissions.

weekly news.

GRI Index

Product labeling GRI PR3

The result of this work is a clear andaccurate publication, with relevant guidelines

Our Products’ Lifecycleof Underwriters Laboratories (UL), Association for 



Electrical, Electronic & Information Technologies(VDE), Instituto Argentino de Normalización yCertiﬁcación (Iram), Rheinland - Technischer
Uberwachungs-Verein Rheinland (TUV) andChina Quality Certiﬁcation Centre (QCC). On
compressors that have outsourced components,
the label has a speciﬁc coding, indicating thisspecial situation.

SUSTAINABILITY REPORT 201341

Message from the Board
Doing More with Less

Products and Technologies

About Us

People who make Embraco

Private Social Investment

POST CONSUMPTION

Corporate Governance

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GRI Index

Obsolete compressors recycling historyGRI EN2 EN26 EN27

Anticipating the demand from society forThis theme is also highlighted in our R&D sector,

2014

proper disposal of post-consumer products,

which guides the choice of the best raw material

creation of

we manage our products at the end of their

to be used in the production process so that alife cycle through the Top Green Program, an
initiative created about 20 years ago that hasenabled the collection and recycling of morethan three and a half million used compressors.
In 2013 alone there were nearly ﬁve thousand
tons of recycled material.

large part of what is produced can be recycled.
Because of this, 99% of discarded materials aretreated and reused in our production cycle.

2013

2007

3,7 million
recycled compressors*

1 million
recycled
compressors*

2010
2 million
recycled compressors*

In 2014 the Top Green program becomespart of the new business Nat.Genius (see more

However, the challenge for us to recycle andon page 13), focused on recycling and closing

use these products as inputs in our production

the appliance and commercial refrigeration

is not limited to the material’s collection stage.

product cycle at the end of its useful life.

The main recycled materials in 2013 were:2004
0,5 million
recycled compressors*

2000

1992

Top Green Program start

Mato Velho campaign
creation

Steel: 4,724,625 kg
Iron: 976,520 kg
Aluminum: 38,537 kg
Copper: 328,649 kg
Oil: 138,570 l*Accumulated amount

SUSTAINABILITY REPORT 201342

Message from the Board

Products and Technologies

Doing More with Less

People who make Embraco

About Us
Private Social Investment

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GRI Index

VOCATION TO INNOVATE
The

constant

pursuitfor

operational

Recognized Innovator DNA

excellence led us to be a company that

Innovation is part of Embraco’s DNA andhas innovation as one of its most striking

this characteristic led us to be drivers of thecharacteristics. Every day we feel challenged to

global scenario. In recognition of our daily work,

look to the future and think about how tomorrow

we’ve received important awards that reﬂect thewill be.

importance that this concept has on our agenda,

Our innovations are the result of a longsuch as the most innovative management ofResearch and Development (R&D) work, fostered

Brazil award by Finep and the Best Innovatorby continuous investment of 3% to 4% of ourAward, for being one of the 10 most innovative

annual revenue and an operational structurecompanies in Brazil.

designed to stimulate the creative side of ouremployees.

You can ﬁnd more information about the

See how our innovation process works
Innovator DNA

3% to 4% of annual
revenue invested in R&D

More than 500
employees dedicated toresearch and innovation

Reducing our customers’
electricity bill

Increasingly efficient
products

GHG emissions
reduction

Reducing raw
material use

Smaller products witheach time more quality

awards on page 23.
Partnerships with
universities

Partnerships withcustomers

SUSTAINABILITY REPORT 2013

Solutions focused on
customer demands

New possibilities forour customers

Reducedproduction cost

43Message from the Board

Products and Technologies

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People who make Embraco

Stimulating innovation

About Us
Private Social Investment

Corporate Governance

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Innovation network

In 2013 we created the Innovation
Programtostimulateemployees

fromdiﬀerent areas to think about solutions for our

Opportunities for researchers
We have on hand a team of nearly 500

EMBRACO INNOVATION AWARD

professionals - present in ﬁve countries

Held since 2011, the Embraco Innovation Award

In this edition, the technical committee

Through a customized soware tool, we- dedicated to new product R&D and toencourages Chinese students and researchers tocarefully evaluated all six ﬁnal projects oflaunched a challenge for employees, encouraging

encourage our employees to always innovate,develop high energy eﬃciency cooling solutions.

2012. Aer alignment with professors andthem to suggest solutions to improve ourwe oﬀer diﬀerentiated salary opportunities forIn the awards’ third edition, in 2013, we received

evaluators, it was decided that, despite

production system and bring beneﬁts to theresearchers - with compensation equivalent to57 projects from students and professionals

the good quality and innovative ideas ofcompany as well as the environment.

administrative management positions.

in the refrigeration market. All were analyzed

projects, none of the ﬁnal projects had

A pilot version of the program involved

by a team of over 30 members, in the criteria

suﬃcient maturity and technical quality

510 people from eight areas of the company

innovation and originality; social-environmental

to receive the award. The prize value isin Brazil and, in all, 52 ideas were generated,

impact; marketing and application for the

being applied in developing prototypes andof which three were chosen as ﬁnalists andmarket; technical quality; and energy eﬃciency.

improving research.

strategic challenges.

shouldbe

gradually

implemented

withinthe company.

SUSTAINABILITY REPORT 201344

Message from the Board

Products and Technologies

Doing More with Less

People who make EmbracoPartnerships with universities
Since 1982, when we began our partnershipwith the Federal University of Santa Catarina(UFSC), Embraco has expanded its partner

About Us
Private Social Investment

Partnerships with our customers

Adjacent Informationon the agenda of our employees involved with(more on page 40) we included questions about

new product developments. The guideline forEnergy eﬃciency evolution is an aspect

innovation to evaluate if we’re being eﬀective in

Embraco’s products is to use the least amountconstantly worked in our projects focused on

our work in the customers’ eyes.

of energy to produce cold that preserves food.

innovation, both to manufacture productsThis method of thinking and acting waswith less consumption need as well as in our

responsible for an evolution in our productcompressors’ performance. Therefore, wewith our pillars and values.
“Catarinense Talents”, a partnership between

We also establish strategic partnerships to

the Foundation for Research Support of Santabring customers into our modern laboratories

Energy eﬃciency

line: Embraco Fullmotion technology. Throughso that we can develop - together - solutions

it, the compressor works on demand and withmasters and doctoral students to develop theirthat are aligned to our customers’ needs

less speed oscillation, in other words, if thetheses within the partner companies.

(co-development).

refrigerator is at its maximum capacity (withEmbraco to beneﬁt state researchers, allowing

GRI Index

Increasingly eﬃcient product

Energy eﬃciency is a topic that is constantly

to combine expertise to ﬁnd solutions that fulﬁll

Catarina (FAPESC), Whirlpool Latin America and

About this Report

Our Products’ Lifecycle

INNOVATION AND
EFFICIENCY

in directing our developments, within theannual survey we conducted with this public

In 2013, the great exponent of this trend wasStrategy for Sustainability

To ensure meeting our customers’ demands

programs and projects with universities in order
our customers’ demands and are in conﬂuence

Corporate Governancemore food), the compressor will work harderand, if it’s empty, it will work less. This systemseek in our portfolio to increase eﬃciency generating better results for our customers- and minimizing the environmental impact- reducing the consumption of natural
resources and disposal of used equipment,
for example.

allows refrigerators and freezers to save up to
40% on the electricity bill.

SUSTAINABILITY REPORT 201345

Message from the Board

Products and Technologies

Doing More with Less

About Us

People who make Embraco

Private Social Investment

Corporate Governance

Strategy for Sustainability

About this Report

Adjacent Information

Our Products’ Lifecycle
GRI Index

Fullmotion: global expansion ofcompressor production
In 2013, we announced global production
expansion, by approximately 140%, of the
3rd compressor generation with Embraco

Do you know Embraco Fullmotion
technology?
Pioneerinmanufacturing

variable

speed

preservation, avoiding waste and reducing noise

Fullmotion technology by 2015. To achieve thiscompressors,conventional

levels of refrigerators, providing better acoustic

index, we’ll invest in our factories’ production

compressor on-oﬀ technology and createdcomfort. Noise reduction in refrigerators is a trend

in Italy and China. Our expectation is to ensure

Embraco Fullmotion compressors.

that’s increasingly present in the segment, which

faster response to global customers’ needs,

When we compare technologies used in older

needs to address changing habits and customs. In

strengthen its presence in the Asia Paciﬁc region

refrigerators, up to 10 years old, common

this case, the solution deals with the current reality

and ensure its global competitiveness.

in many regions of the planet, Embracoof ever-smaller spaces to live. In an increasingly

Fullmotion technology brings a 40% gain incrowded planet, apartments and houses where theenergy eﬃciency. This occurs because thisfridge and television share the same environment

technology allows the refrigerator - commercial

are becoming each time more common. With theor residential - to automatically “know” theEmbraco Fullmotion, it’s possible to reduce by up tosystem’s demand, operating in accordance with

2 decibels the noise coming from the refrigerator,of these compressors in these units will be

the consumer’s needs.

which makes a signiﬁcant diﬀerence for thosededicated to European and Asian markets,

In practice, a signiﬁcant energy consumption

listening. Furthermore, another advantage of thisensuring more supply of technology that enables

reduction, allowing consumers to save on theirtechnology is faster cooling and better temperaturerefrigerator manufacturers to meet the market’s

electricity bill, as well as bring more well-being

control inside the refrigerator, which ensures fooddemands for increasingly more eﬃcient and low

to their day to day as it provides better foodsafety and more eﬃcient conservation.

Investment in the Italian and Chinese
factories is our ﬁrst step to expand the supply
of compressors with Embraco Fullmotion
technology worldwide. Therefore, production

environmental impact equipment.

SUSTAINABILITY REPORT 2013we

perfected

Embraco Fullmotion technology.

46

Message from the Board

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About Us
Private Social Investment

Since the launch in 1998, Embraco has soldsolutions in both commercial refrigeration -over 11 million Embraco Fullmotion compressors

with propane (R290) - as well as in household

worldwide. When compared to the technology

refrigeration - with isobutane (R600). Suchused at the time it was launched, it’s estimatedCorporate Governance

Strategy for Sustainability

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GRI Index

Miniaturization GRI EN26
The exercise of constantly evaluating our
production process allowed Embraco to reduce,over the years, the use of raw materials. Today,

refrigerant gases, in addition to being harmlessour products weigh - on average - 5.8 kilos,that adoption of this technology would allow

to the ozone layer, have the beneﬁt of having

but they’ve already weighed - on average - 7.2

savings of 2.7 thousand GWh equivalent to thea potential of global warming virtually nil, or inkilos. This means that we use less material toother words, its contribution to global warming

manufacture our compressors and, moreover,electricity consumption of Rome’s populationfor 6 months.

We are pioneers in the use of alternativetochloroﬂuorocarbons

besides being sustainable allow our customers

major refrigerant gases on the market. Besides

Refrigerant gases

gases

are producing smaller and lighter products, which

is not representative when compared to other(CFCs)

bythe environmental beneﬁts, systems with

In 2013 Embracoused 7.1 tons of raw
material less than thatused in 2009.

hydrocarbon refrigerant gases help signiﬁcantly

refrigerant gases that have no impact on thein reducing energy consumption when comparedozone layer. Until today, we focus our eﬀorts

to synthetic ﬂuids. We’ve produced compressors

on developing even more innovative solutions

with hydrocarbons for over two decades andthat have less impact on the environment. This

our extensive expertise enables us to develop

way, we prioritize, for example, application of

better and more sustainable technologies

natural refrigerant gases, oﬀering our customers

around the world.

SUSTAINABILITY REPORT 2013

to have more internal space in their products.

Embraco Wisemotion pilot line.

47

MORE WITH LESSSUSTAINABILITY REPORT 201348

Message from the Board
Doing More with Less

Products and Technologies

About Us

People who make Embraco

Doing more with lessOur entire production is guided by a

production is a goal in all our plants. In 2013, we

focused on avoiding waste of all inputs usedconsumed - globally - 1,468,991 GJ, meaningthat there was a 7% reduction to what we
consumed in 2012. Analyzing direct and indirectenergy consumption, we observed that the
reduction was 5% and 8%, respectively.
This reduction, in absolute terms, is due

initiatives are aimed at reducing GHG emissions

to the result of our global initiatives to reduce(Greenhouse Gases).

energy consumption as well as the variation ofalso present in the transportation issue. We

our production.

Energy Consumption in 2013 (GJ)

avoid unnecessary travel and perform regular

2011

2012

2013

equipment maintenance so that they operate at

Direct476,908

551,004

522,703full capacity and thus improve our productivity

Indirect913,044

1,033,215

946,288

and reduce our costs.

TOTAL

1,389,953

1,584,219

1,468,991

Direct Energy Consumption Global

produced - had a performance lower than thatof 2012, in direct energy as well as indirectenergy. This decrease is mainly explained by theﬁxed energy consumption, which is not linked to
production variation.

Direct Energy
Natural gas

495,957

Methanol393

Propane

4,109

LPG

13,482

Diesel

5,379

Gasoline

3,383

Total direct energy consumed

95% o Natural gas
2% o LGP
1% o Propane
1% o Gasoline
1% o Diesel
0% o Methanol

522,703

Indirect Energy
Eletricity

946,288

Total indirect energy consumed

946,288

Total energy consumed

SUSTAINABILITY REPORT 2013

GRI Index

the ratio of GJ consumed for each compressor

Energy Consumption in 2013 (GJ)

this way, excess inventories. Consequently, these

Our concern with what we consume is

Adjacent Information

Our Products’ Lifecycle

our indicator related to energy - which measures

GRI EN3 EN4 EN5

the proposal is to make it so that teams areproduction adjusted to our demand, avoiding, in

About this Report

With the decrease in production in 2013,

Energy Eﬃciency
Using less and less energy in compressor-, eliminate reworks and maintain factory

Strategy for Sustainability

Private Social Investment

philosophy called Lean Thinking. In practice,in our operation - including water and energy

Corporate Governance

1,468,991

49

Message from the Board

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About Us
Private Social Investment

Analyzing our plants’ direct and indirect energy consumption, we observe the following scenario:

Corporate Governance

Strategy for Sustainability

About this Report

Adjacent Information

In Italy, construction of a new cafeteria at
the factory located in Riva Presso Chieri opened

Direct Energy Consumption

Indirect Energy Consumption

the possibility for us to replace the water heating

Our Products’ Lifecycle
GRI Index

Eﬃciency in Produced Compressors
GRI EN6

Through research and innovation, Embraco
invests to produce ever more eﬃcient products.

system - previously done by electric boilers - for

One of the leading exponents in energy

a solar heating system. For this, the Italian teameﬃciency is Fullmotion technology, which

opted to install a thermal heating system withallows - on average - a 25% reduction in energy

a high degree of coverage, with approximately

consumption compared with on/oﬀ compressors(more information on page 46.).

41% o Brazil (Compressors)
8% o Mexico
2% o Brazil (Components)
3% o Brazil (Foundry)
0% o United States
13% o China (Compressors)
10% o Italy
23% o Slovakia

MORE INFORMATION ON PAGE 82.

Eﬃciency in oﬃces andproduction process GRI EN6

38% o Brazil (Compressors)
6% o Mexico
1% o Brazil (Components)
23% o Brazil (Foundry)
1% o Brazil (Electronics)
1% o China (Electronics)
0% o United States
12% o China (Compressors)
5% o Italy
13% o Slovakia

In Brazil, replacing all light ﬁxtures in anoﬃce, with individual switches, generated 65%
savings in electricity used to light the ambiance.

ﬁve countries which will save, in 2014, more

We also repaired leaks in the compressed air

than 15,000 MWh/year, enough energy to power

network of our plants, which will generate

218,000 homes for one year.

savings of 871.2 MWh per year.

To get an idea of the impact of this reduction,

are about 18 thousand gallons of heated waterin Munich (Germany) the average consumption

per day, used to prepare 300 meals daily in theof a common refrigerator is 227 kWh per year,

factory refectory, which will generate a savingsof more than 15 MWh/year.

During 2013 we implemented projects in

SUSTAINABILITY REPORT 2013

50m2 of absorbent surface (solar panels). There

while a refrigerator with Fullmotion technology
consumes, on average, 170 kWh annually.
Considering that the per capita electricity

For 2014 our objective is to reduce our global

consumption in the German town is 7 kWhconsumption by 5%, which represents a great

per day, and the energy saved due to using

challenge and makes our Health, Environment

Fullmotion technology in one year could servenearly 15 million people for a month, or evenand Safety team feel motivated to look forsupply the German city’s 1,350,000 residents

creative alternatives to achieve the goal.

during 11 months of the year.

50Message from the Board

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People who make Embraco

Private Social Investment

Corporate Governance

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GRI Index

Direct Emissions

Emissions GRI EN16
In 2013 we emitted 109,553 tons of CO2

Compressors units

Other units

50% o Brazil (Compressors)
21% o Slovakia
8% o Italy
6% o Mexico
15% o China (Compressors)

62% o Brazil (Foundry)
35% o Brazil (Components)
3% o Brazil (Electronics)

globally to run our operations in our plants andoﬃces, which means a low increase of 0.7%
compared to what we had emitted last year.
67% of the emissions occurred due to indirectemissions - in Embraco’s case, the entire
amount is due to obtaining electricity - and 33%
of emissions were direct.

Global emissions (tCO2)
108,823+ 0.7%

109,553

65%

67%

35%

33%

2012

2013
Indirects
Directs

Analyzing emissions with a focus on ourplants, we ﬁnd the following overview:

SUSTAINABILITY REPORT 2013

Indirect Emissions
Compressors units

Other units

35% • China (Compressors)
19% • Brazil (Compressors)
17% • Slovakia
11% • Italy
18% • Mexico

69% • Brazil (Foundry)
20% • China (Electronics)
5% • Brazil (Components)
4% • United States
2% • Brazil (Electronics)

MORE INFORMATION ON PAGE 84

51

Message from the Board

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Corporate Governance

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Water GRI EN8UNDERSTANDING OUR DIRECTEMISSIONS BETTER
Directemissionsareclassiﬁed

into

GRI Index

Water Consumption Compressors units

around the globe. In 2013, we reduced our global
water consumption by 9.6% due to actions suchas the treatment and reuse of water.

following chart:

three types:• Stationary:stationary emissions, as shown in the

Embraco uses diﬀerent water sources

Our Products’ Lifecycle

emissionsarising

from

Direct Emissions Embracoburning fuel to generate electricity, steam,

Water Consumption (m3) - EMBRACOGLOBAL
2011

2012

2013

Wells

292,583

332,195

273,448

Water supply
networks309,236

396,616

385,735

Total

601,819

728,811

659,183

heat or power stationary equipment, suchas boilers, furnaces, etc.;• Mobile: emissions arising from burning
fuels for transportation vehicles, such as

43% • Brazil (Compressors)
7% • Italy
15% • Slovakia
14% • Mexico
21% • China

Water Consumption Other units

cars, trucks, trains, aircras, ships, etc.; and• Fugitive: emissions that aren’t physicallycontrolled but result from release of GHGs,
arising from the production, processing,transmission, storage and use of fuels andGlobal Water Consumption (m3)
79% o Stationary
3% o Mobile
18% o Fugitive

728,811
659,183
601,819other chemical agents.
Analyzing our direct emissions, we observe
that, in 2013, most of them arose from
2011

2012

2013

80% • Brazil (Foundry)
2% • Brazil (Electronics)
3% • China (Electronics)
3% • United States
12% • Brazil (Components)

MORE INFORMATION ON PAGE 85.

SUSTAINABILITY REPORT 201352

Message from the Board

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People who make Embraco

About Us

Corporate Governance

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Adjacent Information

Private Social Investment

Our Products’ Lifecycle
GRI Index

Recycled and reused water - EMBRACO GLOBAL

Water Reuse GRI EN10
Globally, 27% of all water that enters ourChinaunits, whether from internal or external sources,
is treated and recirculated. The recycled water
is used in toilets, cooling towers and washing

Total volume (m3)BrazilMexicoFoundry

Total

2012

2013

2012

2013

2012

2013

2012

2013

2012

2013

32,54540,634

144,994

141,621

20,00031,751

27,972

22,997

225,511

237,003

24%

34%

59%

67%

31%

42%

28%

23%

31%

27%

Recirculation rate (%)

containers and ﬂoors.

Global Recirculated Water

Global Water Discharge (m3)

Water Discharge GRI EN21
In 2013 we discharged 25.2% more treated water than in the previous year.

485,37331%

Discharge of eﬄuents (m3) - EMBRACO GLOBAL- 4 p.p.
27%

387,628
321,199

2011

2012

2013

Return to collection point

278,552

337,155

394,360

Public Sewage System

2,430

0

0

Evaporation

30,06550,25444,781

Irrigation

10,152219

46,233
2011

2012

2013

SUSTAINABILITY REPORT 2013

Total

321,199

387,628

485,374

2012

2013

MORE INFORMATION ON PAGE 86.

53

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People who make Embraco

Private Social Investment

Waste GRI EN22 EN24
When analyzing global waste generation, it’s possible to note that between 2012 and 2013
there was a 15% reduction. In addition, the amount of hazardous waste sent to industrial landﬁlls
reduced by 27% compared to last year.

Corporate Governance

Strategy for Sustainability

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GRI Index

We’re generating lesswaste globally and recyclinga higher percentage of ourhazardous waste.

Total waste - EMBRACO GLOBAL
Non-hazardous waste (t)

2011

2012

2013

Economic recycling

96,653

107,896

89,790

Environmental recycling

77

1,042

1,625

The results presented are already aIncineration

0

0

0,1

consequence of our eﬀorts to reach our global

16,953

18,511

16,702

goals, which include the challenge of sending

167

0

0

zero waste to landﬁlls from our compressor

Subtotal

113,849

127,449

108,117

plants until the end of 2018 and our Foundry

Hazardous waste (t)

2011

2012

2013

plant until 2022.

255

306

308

1,985

1,992

1,973

Incineration

880

844

784

Landﬁll

581

967

704

Subtotal

3,701

4,109

3,868

117,550

131,558

111,985

Landﬁll
Construction/remedial waste

Economic recycling
Environmental recycling

Total
MORE INFORMATION ON PAGE 87

Goals

Currently 96% of thewaste we generate
globally in our compressor
factories is recycled.
Compressors components.

SUSTAINABILITY REPORT 201354

WHO MAKE EMBRACOSUSTAINABILITY REPORT 201355

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People who make Embraco

Our Products’ Lifecycle
GRI Index

We develop and implement human resource

We know our market leadership is a reﬂection

Extraordinary Performancesystems aligned with the industry best practices,of our talent management and passion for what

Highly effective organizationthat consistently delivers
results ahead of expectations.

to oﬀer the best quality possible for everyone.

we do. Therefore, we believe that each one of the

Validating

ourstrategic

human

resource

12,000 people are fundamental to the successmanagement recognition, we were elected oneof our operations around the world.

of the Best Companies to Work for in Brazil by

Accordingly,

ourpeoplemanagement

the Você S/A guide for two consecutive years instrategy is based on the strategic pillar -Brazil; and our USA unit was recognized too by

Excellence in People. Therefore, we invest time,
resources and research to be a global company,
comprised of professionals from diﬀerent

Great People
Robust and diverse talentand leadership pipeline
for the future.

major awards such as Metro Atlanta’s Top 100
Workplaces and Atlanta’s Best and Brightest
Companies to Work for. (see page 23).

nationalities, genders, languages and cultures,
who share diverse ways of seeing the world and,in this way, drive us to always innovate. This is a

Winning Culture

strong competitive diﬀerential.

Internally and externallyrecognized as Great Place
to Work.

Embraco Wisemotion Test Line.

SUSTAINABILITY REPORT 201356

Message from the Board

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Doing More with Less

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Adjacent Information

Private Social Investment

Our employees proﬁle GRI LA1Our Products’ Lifecycle
GRI Index

Employees of Embraco

In all, Embraco had - on December 31, 2013 - 12,444 employees distributed in six countries
as follows:

Embraco Global Employees
China

United States

Italy

MexicoSlovakia

BrazilRussia

2,557

51

594

879

2,045

6,310

8

Employees by employment contract
China

United States

Italy

F

M

F

M

F

Deﬁnite time (Temporary)

82

311

25

26

0

Indeﬁnite Time (Permanent)

651

1,513

0

0

Interns

0

0

0

Total

733

1,824

25

MexicoM

Slovakia

BrazilRussia

F

M

F

M

F

M

F

M

0

246

621

41

133

11

62

M

H

181

410

0

0

644

1,227

1,509

4,470

5

3

0

2

1

9

3

0

30

48

0

0

0

26

183

411

255

624

685

1,360

1,550

4,580

5

3

50.7% • Brazil
20.6% • China
16.4% • Slovakia
7.1% • Mexico
4.8% • Italy
0.4% • U.S.A.
0.1% • Russia

Employees by employment type
China

Full workday (8h)
No control of workday
Total

United States

Italy

MexicoSlovakia

BrazilRussia

F

M

F

M

F

M

F

M

F

M

F

M

733

1,824

25

26

181

410

255

624

685

1,360

1,442

4,192

5

3

0

0

0

0

2

1

0

0

0

0

108

388

0

0

733

1,824

25

26

183

411

255

624

685

1,360

1,550

4,580

5

3

SUSTAINABILITY REPORT 2013

F

M

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GRI Index

Employees by job category
China
F

United States
M

F

M

Italy
F

MexicoM

F

Slovakia
M

F

BrazilM

F

RussiaM

F

M

Vice-presidents and President

0

0

0

0

0

0

0

0

0

0

1

5

0

0

Board

0

2

0

0

0

2

0

1

0

1

1

23

0

0

Management

8

10

0

1

2

8

0

1

2

6

7

55

0

2

Leaders

18

36

4

8

6

13

7

23

6

23

21

75

1

0

Administrative

176

289

19

11

36

64

33

102

100

214

290

876

4

1

Operational

507

1,453

2

6

139

324

206

494

577

1,116

1,230

3,546

0

0

Others

24

34

0

0

0

0

9

3

0

0

0

0

0

0

Total

733

1,824

25

26

183

411

255

624

685

1,360

1,550

4,580

5

3

Respecting Labor Relations GRI LA4
As a global company, we are always awareof and comply with all local laws of the countries
where we have plants and/or sales oﬃces.

Employees covered by collective bargaining
agreements
Unit

Percentage of
employees covered

Brazil

100%

China

77%

United States
Italy

SUSTAINABILITY REPORT 2013

Not applicable*
100%

Slovakia

11.30%

Mexico68%* Our United States operation is run through a sales office
and a warehouse, which - according to American law doesn’t require a collective bargaining agreement.

58

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GRI Index

Diversity
We value and celebrate Diversity in all ourinteractions where synergy among diﬀerences
around common goals makes the company
increasingly prepared to work as an organizationthat thinks and acts globally.
Diversity permeates our entire business,
culture and relationships and is seen as amanagement model, essential for making
decisions about people, processes, products
and markets. In practice, this means moreleadership involvement and building a diverse
and accessible environment for everyone.
One of its exponents is the Talents ofDiversity Program that, since 2005, has oﬀered
employment and training courses for people
with disabilities, accelerating integration andemployability. Close to 230 people have alreadygone through the program with 70% being hired.
Also considering accessibility in physical spaces,
we oﬀer sign language courses and translation
along with internal awareness actions. On
December 31, 2013 the number of PWDs in
Embraco was 63, which corresponds to 0.5% of
our workforce.

SUSTAINABILITY REPORT 2013

OUR OLYMPICS
On September 9th the 7th edition of

We also held the 26th edition of Oliembraco,

Paraoliembraco

Joinville,

our internal Olympics. The games feature

a sporting event for employees with32 sports, both female and male, and, besides

disabilities in which approximately 150

encourage practicing sports, act as an

athletes with visual and auditory, intellectual

important integration point. The main goal,

andhowever, is to strengthen Embraco values.

physical

was

held

disabilities

incompetedin

11 diﬀerent sports - including futsal,

Oliembraco

reinforces

theimportancedominoes, bowling, general, canasta, tableof teamwork and is part of the actions

tennis and billiards. The event was open toof organizational climate management. Last

the public and admission was free.

year, 3,809 athletes participated in the event.

Paraoliembraco is a pioneering initiative inthe country. In addition to games, the event
held at Embraco Sports Association featured
an inclusion fair, in which entities that serve
people with disabilities in the region could
exhibit their social work to the community.

Athletes competing in the 7th edition of Paraoliembraco.

59Message from the Board

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GRI Index

Embraco employees with disabilities GRI LA13
Brazil*

China

Italy

Slovakia

United States

MexicoVice Presidents, Directors and Managers

0.14%

0.00%

0.00%

0.00%

0.00%

0.00%

Leaders

0.34%

0.00%

0.00%

0.00%

0.00%

0.00%

Team

24.91%

0.08%

2.84%

2.24%

0.00%

0.00%

Brazil*

China

Italy

Slovakia

United States

MexicoUp to 30 years

2,420

1,357

16

306

3

316

30 to 50 years

3,261

1,046

478

1,313

39

534

Over 50 years

376

154

100

426

9

29

6,057

2,557

594

2,045

51

879

United States

Mexico* Embraco Brazil plants don’t control diversity indicators for temporary employees.

Embraco employees by age GRI LA13

Total
* Embraco Brazil plants don’t control diversity indicators for temporary employees.

Participation of women in workforce GRI LA13
BrazilChina (Compressors)

Vice-Presidents, Directors and Managers

10%

47%

Leaders

21%

Team

26%

SUSTAINABILITY REPORT 2013

China (Eletronics)

Italy

Slovakia

0%

0%

0%

0%

13%

31%

31%

1%

0%

4%

23%

18%

69%

29%

33%

21%

29%

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Attraction and Retention

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GRI Index

Hirings in 2013 by gender
Brazil

GRI LA2

China

United States

Italy

MexicoSlovakia

Daily we attract, recognize and develop our

F

M

F

M

F

M

F

M

F

M

F

M

people to retain the best talents, also focusing

471

1,186

125

178

0

0

3

5

78

533

112

41

on development of our leaders.

Total

1,657

303

0

8

611

153

BrazilChina

United States

Italy

MexicoSlovakia

1,145

201

0

5

337

82

30 and 50 years

486

102

0

3

267

65

> 50 years

26

0

0

0

7

6

1,657

303

0

8

611

153

In 2013 we conducted, globally, 2,732
hirings and 2,955 terminations. The hirings wereHirings in 2013 by age groupmade as follows:< 30 years

Total

SUSTAINABILITY REPORT 2013

61

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Dismissals were performed as follows:

Our Products’ Lifecycle
GRI Index

Trainee Program
As part of our strategy to prepare leaders

Dismissals in 2013 by gender
Brazil

Total

China

United States

Italy

Mexicofor the future, we have a global trainee program,

Slovakia

F

M

F

M

F

M

F

M

F

M

F

M

1,511

559

178

238

2

6

16

16

30

281

42

76

2,070

416

8

32

311

118

held once a year in Brazil, Slovakia and China.
With the program, trainees know thecompany’s

business

comprehensively

sothat, throughout their career, they are able

Dismissals in 2013 by age group
Brazil

China

1,268

263

30 and 50 years

701< 50 years> 30 years

Total

United States

to take on challenges in diﬀerent areas.

Italy

MexicoSlovakia

1

0

178

38

In the ﬁrst year, they receive a strategic project

132

3

15

132

56

and count on the support of former trainees,

101

21

4

17

1

24

2,070

416

8

32

311

118

HR professionals and the requesting area.
The professional who has the best performance

Facing the challenges posed by the 2013

more eﬃcient, simple and agile. Focusedand the new business team -, we had as aeconomic climate, in September we began

on maintaining competences that are theresult of this project a reorganization of theanproject

great diﬀerentials in our industry - suchadministrative structure, which involved about

which evaluated our processes and redeﬁned

as constant maintenance of our products’

90 people (less than 1.5% of Embraco Brazil’s

where they will develop a strategic project inpriorities

quality, research & development innovation

total workforce).

one of our units abroad.

Organizational
for

the

Eﬀectivenesscompany

tobecomeSUSTAINABILITY REPORT 2013(based on reviews of HR and results) will
participate in the International Trainee program,

62

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Local hiring

About Us
Private Social Investment

Compensation GRI LA14

Corporate Governance

Strategy for Sustainability

About this Report

Adjacent Information

Our Products’ Lifecycle
GRI Index

Proportion of base salary and compensation between women and men

We have no speciﬁc policies aimed at local

Based on merit and with the intent tohiring. However, due to our culture of valuing

value and retain our talents, our compensation

diversity and merit, we have - in general - a large

policy aims to reward people according to theirVice-Presidents,
Directors and Managers

5%

63%

0%

percentage of local leaders in our plants, as

performance. To provide salaries compatible

Leaders

7%

243%

shown in the following table:with the market, we have the support of

Team

88%

391%

consultants to conduct compensation and* Mexico’s director and manager positions, however, are all Brazilian expatriates and therefore are included in thenumber for Brazil.

Local hiring GRI EC7(Leadership positions*)

beneﬁt surveys, monitoring the market as well

2011

2012

2013

Brazil

100%

100%

100%

In order to identify opportunities for wage

China (Compressors)

79%

86%

91%

growth, either through horizontal and/or vertical

China (Electronics)

85%

83%

60%

movement, we use internal performance

Italy

86%

77%

91%

Slovakia

88%

88%

100%

2%

2%

84%

United States

66%

66%

91%

* Leadership positions include: president, vice president,
board and leaders.

SUSTAINABILITY REPORT 2013

China
(Compressors)

UnitedStates

Italy

MexicoSlovakia

Brazil

59%

N/A*

91%

13%

3%

50%

89%

106%

2%

1%

59%

104%

117%

41%

Proﬁt Sharing Programas our operating segment.

Plant

MexicoChina(Eletronics)

In
our

order

to

employees,

attractweandmaintainmotivatea variable

compensation policy that aims to motivate
our professionals to improve and constantly

those of Embraco.
Therefore, in addition to the company’s
general goals, each area has to choose
two speciﬁc goals aligned with Embraco’s

evaluation tools to review the employees’

development themselves. Implemented insalaries through the annual compensation

1996, the Proﬁt Sharing Program (PSP) was

cycle. Whenever there is a vacancy available, werevised in 2013 to make it simpler and thus

guide our leaders to look for internal promotion

show more clearly to our employees thecalled Performance Award - which awards ourto value the careers of all our professionals.

relationship between the areas’ results andemployees, according to their performance.

strategy of that year. Additionally, our PPR
program includes an individual portion -63

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Beneﬁts GRI LA3

About Us
Private Social Investment

BeneﬁtIn line with our strategy to retain our talents,

Corporate Governance

Strategy for Sustainability

About this Report

Adjacent InformationOﬀered to permanent
employees

Oﬀered to temporary
employees

Our Products’ Lifecycle
GRI Index

Private Pension Plan GRI EC3
Only plants in Brazil, Italy and China oﬀer aand strictly comply with local labor laws in

Health care

all countries where we operate, our beneﬁts

Dental carein Slovakia, Mexico and the United States have

our employees and the mission to provide

Foodno such beneﬁt.

him/her and his/her dependents well-being andTransportation

policy expresses the care we have withquality of life.
For this, we also have a Sports Association,
in Joinville, Brazil - where our largest ﬂow
of employees is located - which oﬀers

In Brazil, participation is voluntary and open
to all positions. The contribution varies from

Private Pension Plan

1% to 5.5% of the employee’s gross monthlyLife Insurance

salary - in accordance with the salary range -Maternal Care (nursery)

being that we contribute with the same value.

Pharmacy Beneﬁt

The plan provides coverage for normal or earlyvarious activities for both employees andthe community.

pension plan to their employees. Units installed

Christmas gi

retirement and disability. The pension in case ofdeath, is paid to dependents.

Homage for length of service

In Italy, joining the pension plan is also
Social Assistancevoluntary and is foreseen in collective agreements.

Marriage gi

The contribution is 1.2% (employees) and 4%

Bonus for punctuality and regular attendance(managers). We contribute with the same value.

Housing assistance

China has a statutory pension insurance forall employees and the contribution is 8% by the

Education aid

SUSTAINABILITY REPORT 2013

employee and 20% by Embraco.

64

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Professional development

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Our Products’ Lifecycle
GRI Index

Employees that receive performance analysis GRI LA12
China (Eletronics)

China (Compressors)

United States

Italy

MexicoSlovakia

BrazilPerformance assessment
Performance assessment is a topic widely
studied by our HR area so that the process is

F

M

F

M

F

M

F

M

F

M

F

M

F

M

83%

17%

100%

100%

49%

51%

30%

70%

100%

100%

100%

100%

100%

100%

each time more accurate and fair. To accomplish
this task, we adopt the EP&R (Extraordinary
Performance & Results), an assessment model

Y Careerwith a focus on balancing the delivery of results

Our commitment to innovation always- “what” - with quality and sustainability - “how.”involves the talents that make up our company.

The model is structured in ﬁve dimensions:

To recognize the talent of our R&D teams and• Results x Goals• Work scope• Leadership Practices• Adherence to Embraco’s culture• Talent and personal development.
In addition to EP&R, in particular cases

value the diversity of our talents, we oﬀer our
researchers compensation compatible with
employees who are in management positions.
This management model - called Y career - wasdesigned to attract, retain and encourage thewe use the 180 degree assessment, which

professional who has a technical backgroundconsists of the employee’s self-assessment, his/

to invest in his/her main talent and collaborate

her manager’s assessment and his/her directsoreport’s assessment.

to innovate.

SUSTAINABILITY REPORT 2013

that

Embracoconstantly

continues

65

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Corporate Education
Our Corporate Education model underwent

Another

importantchangewasthea major restructuring in 2013 that sought tolargest engagement of our leadership in thebring the Training and Development (HR) area

training process, since by bringing decision

to a People Training Strategic Model. This

makers to the classroom, we can align our

implies a culture change, since this new line

leadership and, consequently, strengthen ourofgreater

culture for all our employees and contributealignment with the company’s strategy andto the standardization movement of oura more planned and proactive (and lessproduction worldwide.

corporate

education

foresees

reactive) behavior.

Culture change: more active and less reactive corporate education.

Average number of training hours GRI LA10

In practice, this means that - instead ofChina (Eletronics)

reacting upon the need for training certain

China (Compressors)F

M

Executives

40

21

5

9

0

competences are needed for each area

Middle management

870

621

5

5

and apply training so that our employees

Team

13

83

3.01

assimilate

Per employee

52

288

5

employees - we begin to deﬁne what

thisknowledgeintheeﬀective manner.

SUSTAINABILITY REPORT 2013

most

F

M

United States
F

M

Italy

MexicoSlovakia

F

M

F

M

0

174

909

17

17

1

2

154

2,204

20

4

10

16

1,073

10,720

5

10

13

15

59

*

Brazil
F

M

806

0.1

0.4

19

2,810

0.3

0.4

27

27

47,351

23

21

31

31

2

23

22

* The Slovakia plant recorded, in 2013, training data per employee without distinguishing between genders.

66

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The English Acceleration program uses

Scholarship

Leadership Academy

Our Products’ Lifecycle

The scholarship is a beneﬁt for employees

immersion tools so that the student has intense

between the operational and administrative

contact with the English language during thelevels that oﬀers ﬁnancial assistance to thosecourse period. Measurement of the results iswishing to take technical and graduate courses.

done through TOEIC1, applied before and aer
the course.

The Leadership Academy, a program forits culture needed to be reviewed, maintained

global long-term development, underwent

or strengthened so that this culture wasThinking strategically, the scholarship always

a restructuring to oﬀer better solutions foraligned with Embraco’s strategy. Based on

focuses on the next hierarchical level of thethese studies, the modules using diﬀerent

employee, so he/she can be prepared for his/

activities:

her next step within Embraco.

• English level assessment before and aer

our leaders at diﬀerent hierarchical levels in 2013, from the ﬁrst leadership level tothe president of the company attended
the academy.

resources

such

as

classroom,

video

conferencing, coaching, successful caseHas duration of six months the following

the program• 2 English classes per week

Speaking English for real!

• 2 phone calls a week in English

To carry out this restructuring, we ﬁrst

studies and others were developed. In 2013,

Being a global company, we invest in training

conducted a study to understand what thenearly 400 employees participated in the

our employees so that they can speak and write• Extracurricular activities

in English and therefore communicate with all• One day per month of full English immersion

company’s main needs are, what aspects of

Leadership Academy

our plants.
Created in 2013, the Accelerated English
program was developed - in partnership withlanguage schools - to make the learning process
more eﬀective and so that we could moreaccurately measure the results of this initiative.
In Brazil, 60 people whose English level was at
the intermediate stage were invited to join the1

program in 2013.

SUSTAINABILITY REPORT 2013

TOEIC - The “Test of English for International Communication”
is an international English language proficiency test.

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Health and Safety
GRI LA6 LA7 LA9Global BBS numbers

Behavior-Based Safety
Since 2011, we’ve adopted globally the•Observations and conversations among

The

most

important

step

of

the

Behavior-Based Safety (BBS) program as a tool

coworkers about safety always with amethodology is the stimulus to the teams

to build a safer and healthier work environment

positive approach focused on reinforcing

throughby observing employees’ behavior and positive

safe behaviors;conversations that reinforce safe behaviors.

Plan actions to remove barriers that prevent

In 2013 more than 500,000 feedbacks were

feedback. The process is based on three•safe behaviors during observations andmain elements:•

feedbacks

madeduringgiven to employees in all plants - considering

Feedbacks received by
employees in 2013

Brazil214,134

China

115,798

Italy

10,165

Slovakia

119,649

Mexico26,206

conversations; andall our units. As a result of this work, we’ve

Celebrate the improvements implemented.

United States

been able to have appreciable reductions

Brazil (Eletronics)

2,223

in incident rates which, since the program’s

China (Eletronics)

17,438In December 2013 wereached the milestone of 1
million feedbacks oﬀered toour employees.

SUSTAINABILITY REPORT 2013

positive

Regioninception, have fallen 43% overall in the total
accident rate and 50% in the accident rate withtime away.

755

We celebrate these numbers since they
represent a step forward, however our goal
remains Zero Accident.
With the intention of going beyond andincrease even further our people’ safety, in 2012
we initiated the second phase of the programand began coaching, conducted by the leaderswith their teams, aiming to continuously improve
the quality of conversations and feedbacks.
In 2013, 2,739 coaching sessions were held in
all our plants.

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Since 2012, we also developed a global
assessment project of all installed machinery

Private Social Investment

manufacturing processes. Besides enabling

above, we carried out other global actoions to

the exchange of best practices among plants

reduce the number of accidents. They are:

In 2014 we’ll continue to invest in thevarious EHS workstreams such as global andof new production lines, issuance of new

addressing topics such as: World Day

global standards aligned to the organization’s

Our units in Brazil rely on the Internal

for Safety and Health at Work, World No

needs, creation of new management tools andCommission for Accident Prevention (CIPA),

Smoking Day and World Environment Day;

implementation of new global projects.

Participation of the EHS area in theWorld Class Manufacturing

aim is to support actions that prevent accidents.
CIPA is present in Brazil to fulﬁll the Ministry ofLabor’s Regulatory Standard 5 (NR-5). The 92
members of this Commission incorporate into
their routine monthly meetings, inspections,participation in improvement groups, running
campaigns, conducting internal work accident
prevention

week

and

the

environment(SIPATMA), among other activities.

•

GRI Index

Registration and Investigation.

professionals working in our operations,•

Our Products’ Lifecycle

Accident

for safe behavior, participation in the projects

consisting of a group of employees whose main

healthPolicies,

environment focused on awareness of

CIPA

safety,Actionlocal campaigns, use of BBS as a stimulus tooland Safety management.

on

Adjacent Informationandseeks to standardize best practices in HealthCampaigns

About this Report

Disciplinary

In addition to the initiatives described•

Strategy for Sustainability

vehicles, docks and general storage),

Other Health and Safety
initiatives

in order to increase the safety of ourto ﬁnd a solution to any problems, this initiative

Corporate Governanceproject development of new factories

World Class Manufacturing (WCM), chosen

and machinery purchases in all units,

to be our new management tool, has the item

establishing the necessary deliveries forsafety as the ﬁrst among 10 technical pillars

the proper risk management as well asthat make up its methodology, which also

seeking an environment free of injuries andincludes quality, logistics, maintenance,

environmental damage.

among others, having as its main objective theCreation/revision of global standards forpursuit of zero accident. More information

various elements of the EHS system such

about WCM on page 39.

as Safe Handling of Materials (industrial

SUSTAINABILITY REPORT 201369

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Disease Prevention GRI LA8

Indicators

In 2013 we carried out a severe disease

In 2013, we reduced globally the injury rate by 29%, occupational illness rate by 33% and days away

prevention work together with our employees.

rate by 42%, compared with the previous year.

In the Brazil plants we promoted:

Health and Safety
Injury Rate2012

Occupational Illness Rate
2013

2012

Days Away Rate for Accidents

2013

2012

•

STDs/ AIDS awareness campaign;•

Influenza Vaccination Campaign (with 6,352
doses to employees, contractors and family

2013

Brazil (Compressors)

1.16

1.18

0.02

0.04

6.71

2.28

China (Compressors)

0.70

0.37

0.00

0.00

0.57

0.00

members);•

Breast Cancer prevention campaign andsupport to the international movement “Pink

China (Electronics)

0.63

0.00

0.00

0.00

29.17

0.00

Italy

2.31

0.51

0.00

0.00

11.60

17.67

Slovakia

0.53

2.49

0.00

0.00

1.87

6.21

United States

0.00

0.00

0.00

0.00

0.00

0.00

Mexico

1.34

0.75

0.00

0.00

6.05

2.67

Brazil (Electronics)

1.50

0.00

0.00

0.00

0.00

0.00

October”, which also aims to combat thedisease;•Awareness about the importance of handhygiene;•Diabetes Prevention (with 2,128 tests
conducted on employees, their families andgeneral public);

Components

0.52

0.70

0.00

0.00

0.00

0.00

Foundry

1.35

3.11

0.45

0.00

0.45

7.76

and in Mexico we conducted a Vaccination

Total Embraco Global

1.02

0.72

0.03

0.02

4.60

2.69

Campaign against Inﬂuenza.

SUSTAINABILITY REPORT 2013

In Slovakia, we supported no Smoking Day

70

SOCIAL INVESTMENTSUSTAINABILITY REPORT 201371

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Private social investment GRI EC8Private Social Investment

Corporate Governance

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Private social investment (US$)

As a global company, we know that we
generate direct and indirect impacts on

395,982
285,216

various communities where we operate - andwe make every eﬀort to ensure that these

170,529

impacts are always positive. We’re willing totransform realities, so we believe that we have

2011

2012

2013

a responsibility to work to improve the lives ofpeople who live in locations where we operate.
In 2013, we planned and carried out

Unitvarious social projects that contributed to thePrivate social
investment (US$)
2011

2012

2013

120,192

241,402

190,710well-being of 33,862 people. During this period,

Brazil

we invested US$ 285,215.72 thousand andUnited States

8,495

2,550

8,700

Slovakia

36,20052,19862,173

China

5,642

7,103

6,600

MexicoN/D

1,500

14,500is the Embraco Ecology Award - which this year

Italy

N/D

91,2282,533

reached its 21st edition - Embraco Volunteer

TOTAL

170,529395,982

285,216

program and Global Volunteer Day.

N/D – não disponível.

oﬀered 8,970 hours of community service inmore than 30 actions, among which stand out

Mexico Global Volunteer Day volunteers.

SUSTAINABILITY REPORT 201372

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Global Volunteer Day
Global Volunteer Day is a global event

and a storage area for selective trash

the park and making drawings of naturethat seeks to value the communities’

collection.

alongside children with diabetes.

beauty and, through volunteer work, aims
to transform reality by realizing a dream.
The program encourages our employees to
set aside one or two days a year to workin a location, performing diﬀerent activities
that directly beneﬁt the population. In 2013

• China: on September 21, 54 volunteers

Although the intervention moment in thehelped the Mulan community to organize

community is carried out in one or two

the local library and make signs to indicate

days, Global Volunteer Day uses the Oasis

the location of the most important points.
• Mexico: on October 26 restoration workof José Guadalupe Zuno Arce School
was carried out by cleaning the garden,

the following activities were undertaken:

painting the handrails, restoring the school• Brazil: on November 22 and 23, volunteers

vegetable garden and planting six live oaks

went to the Amador Aguiar Municipal Schoolon the property.

methodology, which foresees intense behindthe scene work in the months preceding theaction so that the team involved observes
and listens to the community, this way,understands what their main needs are
and evaluates what types of actions canand Centro de Educação Infantil Espaço da• Slovakia: On September 21, volunteers

be performed - considering the number of

Criança and made repairs to playgrounds,

worked in the Spišská Nová Ves National

volunteers, their diﬀerent expertise and otherpainted fences, cleaned up the yard andPark, collecting trash and debris, planting

variables. Learn more about aspects of thebuilt vegetable gardens in mandala form

trees, restoring the existing cemetery within

methodology in the table.
Brazil Global Volunteer Day volunteers.

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Private Social Investment

In 2013, Global Volunteer Day involvedAward encourages schools to develop projects

619 volunteers, 1,903 hours devoted to workthat address three dimensions holistically:in communities and beneﬁted 1,600 people inpedagogical, management and infrastructure.

diﬀerent cities around the world. In that year a

Besides the pedagogical part, the Awardsurvey was conducted with those involved which

invites the school to think of ways to consume lessindicated 92% satisfaction of the people in theenergy, improve acoustic comfort and integrate

communities and 94% of volunteers.

the environment with the school infrastructure

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to be an example of environmental behavior for

Embraco Ecology Award

parents and students.

With 21 years of history, the Embraco Ecology

In 2013, the winners received the Quero-Award aims to disseminate environmental

Quero Trophy and ﬁnancial resources to

education among public and private schools

implement the awarded projects totaling

in the city of Joinville, Santa Catarina (Brazil),

R$ 56,000. In the Transformation category, theencouraging the development of projects

Doctor Hans Dieter Schmidt Municipal School

related to environmental education and inviting

was awarded with the “Interactive School

the participating schools to include the issue inSpace” project, which will transform an unused

their pedagogical-policy plan.

school area into a proper place for countless

Divided into two categories - Action andlearning possibilities.

Transformation - the Award involves the discussion

The Action category awarded the schoolsof sustainable practices together with principals,

Alegria de Viver Child Education Center,teachers and students. In the Action category,Espinheiros Education Center, Lea Maria Aguiar

the focus is on pedagogical and management

Lepper Basic Education and Teacher Eladir

aspects. In the Transformation category, theSkibinski Municipal School.

SUSTAINABILITY REPORT 2013

Embraco Ecology Award.

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Since its founding in 1993, the Embraco
Ecology Award has already recognized thework of 64 learning institutions from Joinville(Brazil), involving more than 100,000 people,
including principals, teachers and students. In
total, 93 projects have been awarded. Get more
information about the Award by accessing theblog www.premioembracoecologia.wordpress.
com or the site www.embraco.com.br/ecologia.

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In 2013, developing educational activities,
using the vegetable garden as a tool, wasproposed along with developing activities
related to the theme during the school year.
Every month, reports on the activities were sentby schools for publication in the project’s blog.

Breaking the Routine
The Volunteer Program was created 10

Embraco Environmental
Gymkhana

SUSTAINABILITY REPORT 2013

employees closer to the communities where weanoperate. Through structured actions, we oﬀer

environmental education work that mobilizes thetraining courses and invite them to “get theirschool community in Itaiópolis, Brazil, throughhands dirty” in periodic actions.

Since

Brazil Global Volunteer Day.

years ago in Brazil and its goal is to get our

2011

we’ve

conducted

a gymkhana involving principals, teachers andIn 2013, the program involved volunteers

students, and also has the support of the Statein all countries in which we operate and duringand Municipal Secretaries of Education.

their work, those involved received food,

The Embraco Environmental Gymkhanatransportation and materials so that theirpromotes cooperation among the participating

experiences were always positive and theirschools and brings the discussion about theactions increasingly eﬀective.

environment to the student’s world through

Other units such as the United States,

activities such as volunteering, practicing

Slovakia, Italy and China also have an internalagroecology and themed parades.

volunteer program.

75

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Embraco Slovakia

SOME EXAMPLES OFVOLUNTEER PROGRAM
ACTIONSIn Slovakia 1,546 hours were devoted
to social works in 2013, through 22 diﬀerent
activities. During the year, we helped clean
the Nová Ves Spišská zoo, made a partnershipwith ﬁshermen to clean the Hornad river

Anjos do Bem(part of the same city), collaborated in

The Anjos do Bem (Good Deed Angels) project has existed for 11 years andreconstructing a public gallery in High Tatras,

operates with 20 volunteers in the Embraco Ecology Award winning schools

took people with mental disabilities for a trip,

participating monthly in recreational activities with children and young people

among many other activities donating time,and interacting with the elderly in nursing homes.

aﬀection and attention.

Eecon@legria
The Eecon@legria project is primarily engaged in recreation with children of
the Vitoriosas do Juquiá Institution reusing recyclable materials. The group hasexisted for eight years and, in 2013, was comprised of 22 volunteers.
Bem Aventurados
The Bem Aventurados project began in 2013 and saw the participation of
12 people to carry out recreational activities with children from the Tia ISSO
institution. Among the activities developed are theatrical performances forchildren and revitalizing vegetable gardens.
China Global Volunteer Day volunteers.

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executives from diﬀerent areas and aims to• Embraco’s association to innovation; anddiscuss the company’s long term strategy.

• Our volunteer actions;

The council met every three months and is led

The survey showed that most respondents

The Business Leader Forum (BLF) is an

by our President, Roberto Campos, the viceconsider the support we oﬀer to all projects andinformal gathering of 26 companies frompresident of Human Resources, Communication,organizations with which we are involved as

Slovakia who meet to discuss best practices

Sustainability

necessary. In addition, people who responded torelated to corporate responsibility. Besides

and the board.

Sharing Best Practices
Business Leader Forum

and

EHS,

UrsulaAngeli,Community Survey

among others, who meet quarterly to share

In 2012 a survey was conducted with thebest practices and discuss - through seminars

community to assess the perception of Spisska

and workshops - topics involving questions

Nova Ves inhabitants regarding the activities

about

employees,

environment,

suppliers

and markets.

GRI Index

the survey believe that for the next projects, weshould give priority to the areas of health, sport

Embraco, the Forum includes names like
Volkswagen, US Steel, Slovak Telekom, HP,

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we’ve carried out. The survey was designed soand education.
By the end of 2013 we had registered
160 requests for donations, of which 70 havebeen met. Altogether, 67,000 euros were
distributed in the form of social investment for
the local community throughout the year.

that we could know people’s opinions about the

In an event held in November 2013,Štefan Leibiczer - our Europe Purchasing
Manager - presented Embraco cases on Supply
Chain Responsibility for the public present
in the Forum.

following aspects:• Our image;• Social assistance oﬀered;• Family Day;• Quantity and quality of information

Sustainability Council

provided by Embraco;

In 2013 we implemented the Sustainability• Projects supported by us;

Council, an initiative that brings together• Our sustainable actions;

SUSTAINABILITY REPORT 2013

Slovakia Global Volunteer Day volunteers.

77

THIS REPORTSUSTAINABILITY REPORT 201378

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About this Report
GRI 3.1 3.2 3.3 3.6 3.7 3.8This report aims to meet the level B of the
GRI 3.1 application guidelines that determine
reporting all proﬁle indicators and at least 20

includes part of our history, our structure,

performance indicators. To better understand

our management policies and major events

what this means, more information is available

and achievements of the company for thein the chapter “GRI Index” of this report.

from an economic, social and environmental
point of view.
The report follows the reporting guidelines
proposed by the Global Reporting Initiative(GRI), a nongovernmental organization basedin Amsterdam, Netherlands, which proposes
standard reporting to provide solid parameters
so that companies can be evaluated by
the market before their peers, and also to

The GRI oﬀers 84 performance indicators to
be answered, of which we responded to 40. With
the intention of making this document relevant
to all our stakeholders, we consulted with our
stakeholders to ﬁnd out which aspects of ouroperation they consider most important for our

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discuss achievements and events of 2014 too always properly marked.

Materiality Matrix
GRI 3.5 4.14 4.15 4.16 4.17

The materiality matrix used in this report
was prepared in 2011, based on the guidelinesof AA1000 - Accountability Principles Standard
2008 which focuses on consultation andstakeholder

engagement,

developedbyAccountAbility,

Britishnon-governmentalorganization specializing in these topics. The
other reference was GRI methodology itself.

business to sustain itself in the long run.
These material aspects - presented in
the materiality matrix below - were our guide

enable them to assess the evolution of their

to choose which performance indicators we

own performance in relation to corporate

would address.

sustainability. The principles that guided the

Although

MAIN STAKEHOLDERS• Customers;• Suppliers;

allperformanceindicators

report’s design and development are: balance,

report only the year 2013, to maintain thecomparability, accuracy, periodicity, clarity andreport updated on its release date (2014,

reliability of the information divulged.

September), some contents of this publication

SUSTAINABILITY REPORT 2013

Strategy for Sustainability

Private Social Investment

The annual Embraco Sustainability Reportperiod January 1 to December 31, 2013,

Corporate Governance• Employees; and• Communities surrounding our operations.

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The process included analysis of internal

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From the material issues raised in thispublic and customer survey, as well as interviews

consultation with our stakeholders, the GRI

with then president of Embraco (João Carlos

indicators related to each theme were selected.

Brega), sustainability specialists and community

To address these indicators, we created a work

representatives.

group - with professionals from diﬀerent areas

a query to some of our stakeholders. Material
aspects, maintained in this reporting process

Strategy for Sustainability

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GRI Indicators Report

documents, online consultation to the internal

In 2012, materiality was updated throughCorporate Governanceof the company - which was responsible forobtaining the information that served as input
for the report.

which guided us in the choice of performanceindicators are:
1. Eco-efficiency
2. Sustainable energy solutions
3. People development and training
4. Ethics in business5. Minimizing environmental impact
6. Respecting and valuing diversity
7. Product quality and customer
satisfaction indexes

SUSTAINABILITY REPORT 201380

INFORMATIONRELATÓRIO DE SUSTENTABILIDADE 201381

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Direct and Indirect Global Energy Consumption GRI EN3 | EN4
Energy consumption (GJ) - COMPRESSOR UNITS
China
Direct Energy

Italy

Slovakia

BrazilMexico

Total

2012

2013

2012

2013

2012

2013

2012

2013

2012

2013

2012

2013

78,00768,60659,41052,841

117,086

114,796

228,721

206,330

31,85839,276

515,083

481,849

0

0

0

0

0

0

6,089

5,880

0

0

6,089

5,880

Diesel oil

399

220

28

0

1,531

2,006

1,845

1,926

59

37

3,862

4,189

Gasoline

1,318

1,449

0

0

0

1,801

140

131

2

2

1,459

3,383

Subtotal

79,72470,27559,43852,841

118,617

118,603236,794214,267

31,92039,315

526,493495,302

Indirect Energy

2012

2013

2012

2013

2012

2013

2012

2013

2012

2013

2012

2013

Eletricidty

118,718

110,224

53,67543,412

127,707

126,749

410,855

361,046

48,13556,451

759,091

697,883

Subtotal

118,718

110,224

53,67543,412

127,707

126,749

410,855

361,046

48,13556,451

759,091

697,883

TOTAL

198,441

180,500

113,114

96,254

246,325

245,352

647,650

575,31380,05595,766

1,285,584

1,193,184

Natural gas
LPG

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Energy consumption (GJ) - OTHER UNITS
Components
Direct Energy

2012Foundry

2013

2012

2013

Brazil (Electronics)

China (Electronics)

2012

2012

2013

United States

2013

2012

Total

2013

2012

2013

Natural gas

0010,445

12,105

0

0

0

0

987

2,003

11,433

14,108

Methanol

367

393

0

0

0

0

0

0

0

0

367

393

Propane

3,264

4,109

0

0

0

0

0

0

328

0

3,592

4,109

LPG

3,687

4,235

3,631

3,367

0

0

0

0

0

0

7,318

7,602

Diesel oil

–

22

1,801

1,168

0

0

0

0

0

0

1,801

1,190

Subtotal

7,319

8,759

15,878

16,640

0

0

0

0

1,315

2,003

24,511

27,402

Indirect Energy

2012

2013

2012

2013

2012

2013

2012

2013

Eletricity

14,205

14,971

245,586

218,836

7,299

6,733

5,046

6,044

1,987

1,822

274,124

248,405

Subtotal

14,205

14,971

245,586

218,836

7,299

6,733

5,046

6,044

1,987

1,822

274,124

248,405

TOTAL

21,52423,730261,464

235,476

7,299

6,733

5,046

6,044

3,302

3,825

298,635

275,807

SUSTAINABILITY REPORT 2013

2012

2013

2012

2013

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Emissions GRI EN16
GHG emissions (tCO2)* - COMPRESSOR UNITS
China
2012

Italy
2013

2012

Slovakia
2013

2012

Brazil2013

Mexico

2012

2013

2012

Total
2013

2012

2013

Direct Emissions

5,757

5,408

3,482

2,954

7,405

7,213

17,717

17,335

1,740

2,143

36,10135,053

Indirect Emissions

33,04630,682

7,201

5,831

8,939

8,872

7,381

9,650

8,022

9,408

64,58964,444

Total

38,80336,091

10,683

8,785

16,34416,08525,09826,985

9,762

11,551

100,690

99,497

GHG emissions (tCO2)* - OTHER UNITS
Components

Foundry

Brazil (Eletronics)

China (Eletronics)
2012

United States

2012

2013

2012

2013

2012

2013

2013

2012

Direct Emissions

490

563

969

1,009

62

47

0

0

73

Indirect Emissions

258

400

4,399

5,856

133

181

1,404

1,683

Total

748

964

5,368

6,865

195

228

1,404

1,683

Total

2013

2012

2013

0

1,594

1,619

345

316

6,539

8,436

418

316

8,133

10,056* The methodology used is the GHG Protocol. All direct and indirect emissions arising from electrical energy consumption were recorded.

SUSTAINABILITY REPORT 201384

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Water Consumption GRI EN8Water Consumption (m3) - COMPRESSOR UNITS
China
2012
Wells

Brazil2013

Italy

Slovakia

2012

2013

2012

2013

2012

Mexico

2013

2012

Total
2013

2012

2013

0

0

176,391

139,631

40,38230,29800

0

0216,773

169,929

Water supply networks

134,231

118,336

68,02373,037

10,37010,743

105,163

86,68863,90076,282

381,687

365,085

Total

134,231

118,336

244,414

212,668

50,752

41,041

105,163

86,68863,90076,282598,460

535,014

Water consumption (m3) - OTHER UNITS
Components

Foundry

Brazil (Electronics)

China (Electronics)

2012

2012

2012

2013

2012

2013

Wells

14,355

11,23894,52788,524

0

0

6,540

3,757

0

Water supply networks

2,509

4,040

5,265

11,126

3,324

2,240

0

0

16,864

15,27899,792

99,651

3,324

2,240

6,540

3,757

Total

SUSTAINABILITY REPORT 20132013

United States

2013

2012

Total

2013

2012

2013

0

115,422103,519

3,831

3,243

14,92920,649

3,831

3,243

130,351

124,16985

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Water discharge GRI EN21
Discharge of eﬄuents (m3) - COMPRESSOR UNITS
BrazilReturn to collection point
Public Sewage System
Evaporation
Irrigation
Total

Italy

Mexico

2012

2013

2012

2013

2012

75,768

146,782

48,21438,989

0

0

0

0

0

34,21828,3432,538

038,972

109,986

214,097

Slovakia
2013

China

Total

2012

2013

2012

2013

2012

2013

0

83,396

79,34563,22750,869270,605

315,985

0

0

0

0

0

0

0

0

2,052

1,313

1,086

0

0

0

0

38,06931,481

0

0

219

217

0

0

0

0

219

39,18950,752

41,041

1,532

1,303

83,396

79,34563,22750,869308,893

386,654

Discharge of eﬄuents (m3) - OTHER UNITS
Components
2012
Return to collection point
Public Sewage System
Evaporation
Irrigation
Total

SUSTAINABILITY REPORT 2013

Foundry

2013

2012

2013

Brazil (Electronics)

China (Electronics)

2012

2012

2013

Total

2013

2012

2013

13,6608,601

52,89063,777

N/D

2,240

N/D

3,757

66,55078,375

0

0

0

0

N/D

0

N/D

0

0

0

3,204

1,035

8,981

12,265

N/D

0

N/D

0

12,185

13,300

0

3,364

0

3,679

N/D

0

N/D

0

0

7,044

16,86413,001

61,871

79,721

N/D

2,240

N/D

3,757

78,73598,71986

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Non-hazardous and hazardous waste GRI EN22 EN24
Total Waste (t) - COMPRESSOR UNITS
China
Non-hazardous waste

2012

Economic recycling

12,708Environmental recycling
Incineration

Brazil
2012

2013

7,914

65,27050,168

5,590

0

229

8

73

0

0

0

957

842

0

Subtotal
Hazardous waste

Landﬁll2012

Slovakia
2013

Mexico

2012

2013

5,006

19,852

19,701

3,666

1,027

544

3

2

0

0

0

0

1,466

1,317

0

7

0

0

0

0

13,665

8,985

66,74451,558

2012

2013

2012

2013

Construction/remedial waste

2013

Italy

2012

Total
2013

2012

2013

6,150

107,086

88,939

0

726

1,038

1,574

0

0

0

0

0

819

563

128

70

3,370

2,799

0

0

0

0

0

0

0

6,617

5,557

20,674

20,266

3,794

6,946

111,494

93,312

2012

2013

2012

2013

2012

2013

2012

2013

Economic recycling

25

23

241

226

0

0

32

52

0

0

298

301

Environmental recycling

1

6

70

61

0

23

1,912

1,705

2

151

1,985

1,946

Incineration

39

32

683

635

0

0

0

0

92

60

814

727

Landﬁll

90

58

288

78

195

219

281

291

45

58

899

704

Subtotal

155

119

1,282

1,000

195

242

2,225

2,048

139

269

3,996

3,678

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Total Waste (t) - OTHER UNITS
Components
Non-hazardous waste
Economic recycling

2012

Foundry

2013

2012

2013

Brazil (Electronics)

China (Electronics)

2012

2012

2013

United States

2013

2012

Total

2013

2012

2013

597

707

107

126

76

0

28

18

0

0

808

851

Environmental recycling

2

48

0

2

0

1

0

0

0

0

2

51

Incineration

0

0

0

0

0

0,1

0

0

0

0

0

0,1

Landﬁll

69

60

15,065

13,840

0

1

6

2

38

0

15,17813,903

Subtotal

668

815

15,172

13,968

76

2

34

20

38

0

15,98814,805

2012

2013

2012

2013

Hazardous waste

2012

2013

2012

2013

2012

2013

2012

2013

Economic recycling

4

13

1

3

2

83

0

0

0

0

7

99

Environmental recycling

3

4

3

3

0

0

0

0

0

0

6

7

Incineration

8

6

22

19

0

0

0

2

0

0

31

27

Landﬁll

8

6

58

51

1

0

0

0

0

0

67

57

Subtotal

23

29

84

76

3

83

0

2

0

0

111

190

SUSTAINABILITY REPORT 2013

88

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GRI Index GRI 3.12

ProﬁleIndicator

Information to be Obtained

Page or Direct Response

Status Report

Strategy and Analysis
1.1Statement from the organization’s most senior decision maker6

1.2

Description of key impacts, risks, and opportunities

31

2.1

Name of the organization

18

2.2

Primary brands, products, and/or services

18

2.3

Operational structure of the organization, including main divisions, operating companies, subsidiaries, and joint ventures

18

2.4

Location of organization’s headquarters

18

2.5

Number of countries where the organization operates, and names of countries where its main operations are located or that are speciﬁcally relevant

18

2.6

Nature of ownership and legal form

22

2.7

Markets served (including geographic breakdown, sectors served, and types of customers/beneﬁciaries)

18

2.8

Scale of the organization, including:• Number of employees• Number of operations• Net sales or net revenues• Total capitalization broken down in terms of debt and equity• Quantity of products or services provided

18

2.9

Signiﬁcant changes during the reporting period regarding size, structure, or ownership

26

2.10

Awards received in the reporting period

23

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Status Report

Report Parameters
3.1

Reporting period

79

3.2

Date of most recent previous report

79

3.3

Reporting cycle

79

3.4

Contact point for questions regarding the report or its contents

98

3.5

Process for deﬁning report content

79

3.6

Boundary of the report (e.g., countries, divisions, subsidiaries, leased facilities, joint ventures, suppliers)

79

3.7

Statement of any speciﬁc limitations on the scope or boundary of the report

79

3.8

Base for reporting on joint ventures, subsidiaries, leased facilities, outsourced operations and other entities that can signiﬁcantly aﬀect comparability fromperiod to period and/or between organizations

79

3.9

Data measurement techniques and the bases of calculations

3.10

Explanation of the eﬀect of any re-statements of information provided in earlier reports

3.11

Signiﬁcant changes from previous reporting periods in the scope, boundary or measurement methods applied in the report

3.12

Table identifying the location of information in the report

3.13

Policy and current practice with regard to seeking external assurance for the report

Responses to performance indicators follow
the GRI protocols with respect to measurement
techniques and collection of data and are basedon our internal monitoring systems
In this report there are no re-statements of
information provided in earlier reports
There were no changes from the previous report
90 to 96
The information disclosed has not been audited

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Corporate Governance
4.1
Governance structure of the organization, including committees under the highest governance body
4.2
Indicate whether the Chair of the highest governance body is also an executive oﬃcer
For organizations that have a unitary board structure, state the number and gender of independent or non-executive members of the highest
4.3
governance body
4.4

Mechanisms for shareholders and employees to provide recommendations or direction to the highest governance body

4.5

Linkage between compensation for members of the highest governance body (senior managers, and other executives) andthe organization’s performance

4.6

Processes in place for the highest governance body to ensure conﬂicts of interest are avoided

4.7

Processes in place for the highest governance body to ensure conﬂicts of interest are avoided

4.8

4.10

Statements of mission and values, codes of conduct, and internal principles
Procedures of the highest governance body for overseeing the organization’s identiﬁcation and management, including relevant risks and opportunities,
and adherence or compliance with internationally agreed standards, codes of conduct, and principles
Processes for performance self-assessment of the highest governance body

4.11

Explanation of if and how the organization applies the Precautionary Principle

4.12
4.13
4.14
4.15
4.16
4.17

Externally developed economic, environmental, and social charters, principles, or other initiatives to which the organization subscribes or endorses
Participation in associations and/or national/international organizations
List of stakeholder groups engaged by the organization
Basis for identiﬁcation and selection of stakeholders with whom to engage
Approaches to stakeholder engagement
Key topics and concerns that have been raised through stakeholder engagement

4.9

Page or Direct Response

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GRI Index

Status Report25
Not applicable
There are no independent or non-executive members
Whirlpool SA holds an annual meeting with
their shareholders. Moreover, this public has apermanent communication channel, which can betriggered by the site, by phone and by e-mailSystems of variable remuneration are based on
economic goals and ensure consistency between
the company’s performance evolution and theﬁnancial recognition of leadership26
The competencies assessed of the members of
the highest governance body are associated withthe knowledge that the executive has of Embraco’s
business and their speciﬁc area of expertise4
32
25
We don’t fully adopt the Precautionary Principle,
but we seek to act with environmental responsibility
by eliminating from products and processes
substances proven harmful to the environment.
33
28
79
79
79
79

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Performance
Indicator

Information to be Obtained

Page or Direct Response

Report Status

Economic Performance
EC3

Coverage of pension plan obligations deﬁned by the organization64

Aspect: Market Presence
EC7

Members of senior management hired within the local community

63

EC8

Development and impact of infrastructure investments and services oﬀered, primarily for public beneﬁt, through commercial, in-kind,or pro bono engagement

72

Environmental Performance
Aspect: Energy
EN3

Direct energy consumption broken down by primary energy source

82 and 83

EN4

Indirect energy consumption broken down by primary energy source

49 and 50 / 82 and 83

EN5

Energy savings due to improvements in conservation and eﬃciency

49

EN6

Initiatives to provide energy-eﬃcient or renewable energy based products and services

50

Aspect: Water
EN8

Total water withdrawal by source

EN10

Percentage and total volume of water recycled and reused

52 and 85
53

Aspect: Emissions, Eﬄuents, and Waste
EN16

Total direct and indirect greenhouse gas emissions by weight

51 and 84

EN21

Total water discharge by quality and destination

53 and 86

EN22

Total weight of waste, by type and disposal method

54 and 87

EN24

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

54 and 87

Aspect: Products and Services
EN26

Initiatives to mitigate environmental impacts of products and services

EN27

Percentage of products sold and their packaging materials that are reclaimed by product category

42 and 47
42

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Labor Practices and Decent Work Performance Indicators
Aspect: Employmen
LA1
Total workforce by employment type, employment contract, and region, broken down by gender
LA2

Total number and rate of new employee hires and employee turnover by age group, gender, and region

LA3
Beneﬁts oﬀered to full-time employees that are not oﬀered to temporary or part-time employees, by the main operations
Aspect: Labor/Management Relations
LA4
Percentage of employees covered by collective bargaining agreements
LA5

Minimum in advanced notice period(s) regarding signiﬁcant operational changes, including whether this procedure is speciﬁed in collective
bargaining agreements

57 and 58
61 and 62
64
58
For being a global company and addressing diﬀerent
legal aspects, Embraco has no minimum period for all its
plants, but respects all local laws

Aspect: Occupational Health and Safety

LA6

Percentage of employees represented in formal joint management – worker health and safety committees that help monitor and advise on
occupational health and safety programs

LA7

Rate of injuries, occupational diseases, lost days, absenteeism, and work-related fatalities by region and by gender

LA8

Education, training, counseling, prevention, and risk-control programs in place to assist employees, their families, or community members
regarding serious diseases

LA9

Health and safety topics covered in formal agreements with trade unions

The Internal Commission for Accident Prevention (CIPA)
is the only formal health and safety committee we haveglobally and is present in all our operations in the Brazilian
territory. The 92 members of CIPA represent 100% of ourworkforce in Brazil, which equates to 50.7% of our global
employees. More information on page 68
68 and 70
70
Beijing:- The safety month, every year
- Work protection, supervision and inspection
Brazil:- Stability aer dismissal of up to 60 days and by
INSS, stability aer dismissal of up to six months
Mexico:- The Company must ensure and provide personal
protection equipment as well as all conditions for Healthand Safety mentioned in the federal work legislation
Operations in Qindao, Italy, Slovakia and Russia do nothave topics covered in formal agreements with trade unions

completpartialSUSTAINABILITY REPORT 201394

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Aspect: Training and Education
LA10

Average hours of training per year, per employee, broken down by gender and functional category

LA11

Programs for competencies management and continuous learning and end of career

LA12

Percentage of employees receiving regular performance reviews

66
We do not have a speciﬁc program for this purpose,
however we have a leadership model that directs us
in the way to work and develop ourselves, and – in the
manufacturing areas – we have started implementationof WCM, a program whose people development pillar
performs a mapping of employees’ competencies of thefactories and of all production processes
65

Aspect: Diversity and Equal Opportunity
LA13

Composition of groups responsible for corporate governance and breakdown of employees by functional category according to gender, agegroup, minorities and other diversity indicators

60

Aspect: Equal Remuneration for women and men
LA14

Proportion of base-salary and remuneration between men and women, broken down by functional category and operations in signiﬁcant locations

63

Human Rights
Aspect: Investment and Procurement Practices
HR1

Percentage and total number of signiﬁcant investment agreements that include human rights clauses or that were subjected tohuman rights screening

37

HR2

Percentage of signiﬁcant contractors, suppliers and other partners that have undergone screening on human rights and the measures taken

37

Aspect: Child Labor
HR6

Signiﬁcant operations and suppliers identiﬁed as having signiﬁcant risk for incidents of child labor and measures taken to abolish child labor37

Aspect: Forced and Compulsory Labor
HR7

Operations and suppliers with signiﬁcant risk for incidents of forced or compulsory labor and measures taken to contribute to its elimination

37

completpartialSUSTAINABILITY REPORT 201395

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Society Performance
Aspect: Corruption
SO2

Percentage and total number of business units submitted to risks assessments related to corruption

26

SO3

Percentage of employees trained on anti-corruption policies and procedures of the organization

27

SO4

Measures taken in response to incidents of corruption

27

Aspecto: Políticas Públicas
SO5

Positions relative to public policy and participation in public policy development and lobbying

28 and 29

Product Responsibility
Aspect: Customer Health and Safety
PR1

Life cycle stages of products and services in which health and safety impacts are assessed for improvement, and percentage of products
and services subject to such procedures

34

Aspect: Product and Service Labeling
PR3

Type of information about products and services required by labeling procedures, and the percentage of products and services subject
to such requirements

41

PR5

Practices related to customer satisfaction, including survey results measuring customer satisfaction

40

completpartialSUSTAINABILITY REPORT 201396

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Credits GRI 3.4

Layout, Review and Production
Luz Publicidade

General Coordination
Embraco - Corporate Communication and Sustainability

Translation
Spin Traduções

GRI Writing, Design
and Consulting
RICCA RI

Embraco Corporate
Communication and Sustainability
PhotosRua Rui Barbosa, 1.020, caixa postal 91

Embraco Archive

CEP: 89219-901
Joinville - Santa Catarina, Brazil
If there are doubts, suggestions or comments
about the content of the report, contact usby e-mail comunicacao@embraco.com.

SUSTAINABILITY REPORT 201398