Dear readers,
2023 was a challenging year dominated by great uncertainty. The macroeconomic scenario was marked by persistent geopolitical tensions, high inflationary pressures and restrictive monetary policies, which dampened investment activities in our major markets. This consequently led to a drop in demand and orders for the Group.
People are our first priority. In 2022, we achieved a significant milestone related to SA8000 ethical certification on Corporate S cial Responsibility, confirming the Group's willingness to enhance human resources by ensuring respect for Human Rights and the values of equality and development, protection of diversity and the strictest health and safety standards, while building long-term partnerships.
Amidst these challenges, our dedication to sustainability has grown stronger. We redefined and improved the Materiality Analysis process, incorporating feedback from our key stakeholders in defining sustainability priorities and in identifying 10 material topics. This has laid a solid foundation for the formulation of strategic sustainability goals in alignment with evolving Sustainability Reporting legislation.
We also implemented the principles of the European Taxonomy on Sustainable Finance (the first internationally unified classification system identifying sustainable economic activities). Anticipating certain regulatory obligations on a voluntary basis, we already disclosed this year the share of revenue, operating costs, and investments eligible and aligned with the 6 objectives of the Taxonomy.
Datalogic’s activities continue to align with the path towards sustainable development, particularly regarding the transition to a circular economy. As evidence, 96% of our Group Revenue is eligible and aligned with the objectives of the Taxonomy.
Research, development and innovation remain pivotal issues for our Group. Innovation continues to be a competitive lever for our success. In 2023, the total monetary costs for Research and Development (R&D Cash Out) amounted to €66.7 million with a percentage of revenue of 12.4%. The Vitality Index in 2023 stood at 7.4%.
Product Quality and Safety, along with Customer Centricity, represent our commitment to continually enhancing the Quality Management System. This ensures the delivery of high-quality, effective, and certified product offerings, with the primary objective of customer satisfaction, spanning from product use to after-sales service. We continuously monitor any product non-conformities, which, at December 31, 2023, were identified in approximately 0.8% of the total active stock. No instances of non-compliance with regulations or self-regulatory codes concerning the health and safety impacts of our products and services were recorded. Additionally, from a customer safety perspective, there were no complaints regarding privacy violations or losses of customer data. We consistently monitor the customer experience by examining “Critical Customer Complaints” and ensuring timely feed-back. In 2023, 94.7% of responses were provided within one business day, while 92.6% of cases were concluded within 3 business days. Net Promoter Score (NPS), the main metric of customer satisfaction, was 65 in 2023 (10 points higher than in 2022).
Responsible supply chain - our direct supplier qualification process includes risk and financial sustainability assessments. Qualification procedures entail signing up to the Code of Ethics, which includes references to compliance with current regulations, including REACH and RoHS, for assessing environmental impacts and human rights. In 2023, 75% of new direct material suppliers were also evaluated based on ESG parameters.
Energy and emissions - while our processes are not particularly energy-intensive, we are actively involved in monitoring and reducing the environmental impact of our consumption. In 2023, total consumption was 68,473 GJ versus 76,964 GJ in 2022 (-11%).
Waste and packaging - at all our sites, waste is managed in accordance with current regulations, keeping track of the waste generated, distinguishing between hazardous and non-hazardous materials. The types of waste generated include materials from production processes, maintenance (routine and extraordinary) and laboratory activities, demolition if any, and office activities. In 2023, the Group’s total waste amounted to 757.2 t versus 810.7 t in the prior year (-7%). Additionally, in the packaging area, we focused on utilising recyclable materials and reducing over-packaging. In 2023, 66% of the total value of the product boxes consisted of approximately 80% recycled material.
Material sustainability - in 2023, a number of material sustainability projects were launched; in addition to packaging, we launched a project aimed at increasing the use of recycled plastics instead of virgin plastics in the manufacturing of our products.
People well-being - people remain one of our priorities. In 2023, our commitment to listening to our employees continued. Following up on the Virtual Focus Groups held in 2022, we launched several initiatives (including increased working time flexibility, “kindergarten” and “book” bonuses, and a Smart Working Policy) in our main countries of operation. The focus on people growth is shown by the percentage of internal promotions to senior management positions of 58% in 2023.
Worker Health and Safety - our Health and Safety Policy includes ongoing prevention in workplace health and safety, and environmental protection in compliance with applicable legislation. To this end, the implementation of the ISO 45001 standard in the Group reached 60% coverage globally. In Italy, the system covers 100% of employees, ensuring full compliance with occupational health and safety standards. All Group companies routinely conduct information and training activities on health and safety issues. These activities are based on the results of risk assessments, internal or external monitoring, and critical events such as near misses, accidents, or contextual circumstances. Courses are developed in accordance with current regulations in the relevant country. In 2023 there were 22 minor accidents, most of them due to accidental falls or collisions, with an annual accident frequency rate of 3.7.
The journey we have embarked on since 2017 in non-financial reporting, aligning with our aim of contributing to the Sustainable Development Goals of the United Nations 2030 Agenda, has led us to continuously enhance and refine the content of this document.
This path will prepare us for the implementation of the Corporate Sustainability Reporting Directive (CSRD) starting next year.
Valentina Volta
Group CEO
Through the DNF, Datalogic undertakes to objectively and transparently report and disclose its current sustainability status.
Download DNF Archive 2017-2019
Download CODE OF CONDUCT
This Code indicates ethical principles and rules of conduct, also for the purpose of preventing the offences and crimes which might be committed by the Company or by a Group company. The aim of this Code is to recommend, promote or forbid certain conduct in any relevant jurisdiction, independently and apart from any and all provisions set forth by the relevant legislation.
Download HUMAN RIGHTS & SOCIAL ACCOUNTABILITY POLICY
Thanks to the Human Rights & Social Accountability Policy, Datalogic expresses its commitment to comply with international standards on human rights and social responsibility.
Download Datalogic Group E, H&S Policy
The Environmental, Health & Safety Policy expresses the directive of the Top Management with respect to environmental protection and to the development of the business in an ecological and sustainable way.
Download Datalogic WASTE ELECTRICAL AND ELECTRONIC EQUIPMENT POLICY
Download Datalogic RoHS – Reach – Conflict mineral policy
SA8000 is the international standard aimed at certifying aspects of the Company management, relating to Corporate Social Responsibility such as respect for human rights, respect for labor law, protection against child exploitation and guarantees of health and safety at the work place. Datalogic Spa, Datalogic Srl and Datalogic IP Tech Srl’s internal and external stakeholders, who identify a non-compliance with the SA8000 requirements, or want to suggest ideas/recommendations to improve the management system, can do it anonymously or by name and through one of the methods listed below:
The information to be communicated in the event of a report is:
The overall claim management process is detailed in the procedure SA8000_P05: