A question of Attitude

In 2024, the global population had already reached more than 8 billion; according to the United Nations (UN), this figure is expected to reach almost 10 billion by the middle of the century. This population, too, should have the right to fresh air, clean water, and a healthy diet. Humanity is already consuming the natural resources available to it at a faster rate than they can be regenerated. What is more, greenhouse gas emissions have been on the rise since the beginning of the 21st century – most recently to 39 billion tons of CO₂ – with a significant impact on the climate. The result is climate change, the most profound challenge of our time. This calls for swift and decisive action if humankind is to have any sort of future worth living. At the same time, however, it requires a collective effort. If these efforts are to have a tangible impact, it is essential that everyone pulls together – across companies and countries.

At ElringKlinger, the idea of responsible action is firmly ingrained in the company’s DNA. In fact, company founder Paul Lechler himself embraced social responsibility and agreed with his father in the 1870s to donate a tenth of all profits to charitable or community causes. This social ethos lives on today through the Lechler-Stiftung, a foundation at the heart of the Lechler family’s commitment as majority shareholder of ElringKlinger AG. ElringKlinger also applies its passion for technology and innovation in a purposeful manner – for a future that is sustainable and socially fairer. The Group is of the firm belief that next-generation mobility and technological progress can only be achieved in a world of harmony between humankind and nature. It is with this in mind that ElringKlinger has firmly enshrined the Group’s commitment to sustainability in its corporate purpose statement: pioneering innovative technologies for a sustainable future.

A key element of the Group’s vision is to actively shape the present and future era of sustainable mobility as a preferred partner to customers and stakeholders. To this end, ElringKlinger has defined five success factors as part of its SHAPE30 Group strategy. One of these encompasses sustainability in all its dimensions. This includes social and ecological issues as well as the aspect of corporate management. In the context of this specific success factor, the Group defined the cornerstones for its sustainability strategy, encompassing six areas of action: Products and Innovations, Production and Environment, Responsibility in the Supply Chain, Employees, Social Commitment, and Corporate Governance. This involved setting targets, determining measures, and assigning responsibilities for each area of action. With a view to implementing the areas of action, the Group expanded its organizational structure and established a sustainability department, which works closely with the specialist departments in Sustainability Steering Groups for the purpose of driving forward initiatives relating to sustainability. The Sustainability Council reviews the progress of the sustainability strategy on an annual basis. Alongside the Management Board, it also includes the decision-makers in the respective areas of action.

Another key area of focus for ElringKlinger is centered around the emissions generated within its own scope of activity and in the Group’s upstream and downstream supply chains – the so-called Scope 1, Scope 2, and Scope 3 emissions. In 2024, ElringKlinger calculated ambitious science-based climate targets across the Group that are in line with the global 1.5-degree target of the Paris Climate Accords. The company has already evaluated and partially implemented specific measures to achieve the calculated reduction targets for Scope 1 and 2 emissions. In addition to improving energy efficiency at the sites, this action plan includes generating more electricity in-house, stepping up the procurement of green electricity, gradually converting the company fleet to electric vehicles, and raising employees’ awareness of sustainable practices. The key area in which ElringKlinger can scale back greenhouse gas emissions is Scope 3. This category accounts for around 16 times the Group’s Scope 1 and 2 emissions. The Group is also looking to achieve annual reductions in Scope 3 emissions through appropriate measures. These include, for example, the more widespread procurement of materials and services from low-emission and sustainable sources, efforts to evolve existing suppliers towards more sustainable products, and the transition to more climate-friendly logistics.

Alongside its strong commitment to the supply chain, ElringKlinger attaches equal importance to actively making its mark on society in its immediate surroundings. As in the case of company founder Paul Lechler, the Group supports a wide range of projects in the areas of education, sport, social affairs, and culture. ElringKlinger concentrates its sponsorship activities and applies uniform criteria to ensure a more targeted distribution of financial and physical resources. In taking this approach, ElringKlinger aims to reach out to precisely those people who are located in the vicinity of the company’s sites and require support.

Building on principles and processes, ElringKlinger ensures that environmental and social responsibility forms an integral part of all business decisions and is practiced in a spirit of solidarity. This includes drawing up policies, such as the code of conduct, or establishing compliance management processes with fit-for-purpose reporting channels relating to compliance issues. In addition, it is becoming increasingly important to examine and evaluate sustainability risks and opportunities as part of the existing risk management process. In this context, the aim is to mitigate financial and environmental risks and safeguard the long-term stability of the company. ElringKlinger maintains full transparency through open and consistent communication on sustainability issues. At the same time, the Group encourages stakeholder engagement relating to sustainability issues, for example by pursuing an active dialogue on sustainability targets, sustainability measures, and effective solutions within this area.

In 2024, ElringKlinger charted an important route relating to sustainability, the aim being to make the Group even more climate-friendly and socially just. To ensure that the full range of sustainability targets set within the respective fields of action can be achieved in the coming decades, it is now a matter of continuing successfully along the path that has been chosen. This calls for further innovation, technological progress, and new ideas from employees that contribute favorably to the individual fields of action. ElringKlinger is keen to set a good example and encourage others to place greater emphasis on sustainability aspects. Indeed, for ElringKlinger, sustainability is more than just a strategy. It is an attitude, a conviction that defines ElringKlinger’s actions and provides a basis on which the Group can help shape a future worth living for generations to come.