Protecting runs through our culture and is at the heart of everything we do to help protect lives. This extends to ensuring a sustainable future for us all through our approach to sustainability.
Our approach to sustainability
We recognise our operations around the world impact a broad range of sustainability areas. We understand we must make progress in each of them to ensure we protect society. Identifying material issues and reflecting them in our sustainability agenda ensure we are progressing in the areas that matter most to our key stakeholders and addressing areas of potential risks and opportunities.
We undertook our first materiality assessment in FY22 to identify material environmental, social and governance (ESG) issues, which means they have the potential to substantively affect our ability to create value in the short, medium and long term, and are of importance to our stakeholders. We received feedback from employees, customers and shareholders during this process through surveys, peer reviews and one-to-one interviews which was presented in the 2022 Annual Report and Accounts.
We launched our sustainability agenda last year which was based around four pillars which considered the five most material sustainability areas presented during this work.
Our sustainability agenda
Our sustainability agenda is underpinned by four distinct pillars: our planet, our supply chain, our customers and our colleagues and communities. Within each pillar, we have identified priority objectives, which will require initiatives to be established and will be closely monitored by the Board. Targets have been agreed against these ambitions and will help drive forward engagement. Each pillar also has a number of other focus areas that support the priority objectives and are necessary for us to manage as part of our day-to-day stewardship.
The climate impacts the life-threatening situations in which our products and services help save lives. Working towards our climate goal, building in more circularity and the targeted use of resources will help us mitigate and adapt to protect our planet.
Our 2028 targets
5% reduction per annum scope 1 and 2 GHG emissions as a percentage of revenue (2021 base year)
5% reduction per annum scrap (percentage of scrap)
5% increase in revenue per square foot annually
Highlights
We wound down the Armour business during the period; emissions associated with this business are no longer part of the Group’s continuing carbon footprint. This resulted in us restating an improved baseline and intensity target against which we have set our 5% reduction target.
Net zero teams were established during the period to identify and implement opportunities to reduce energy use and GHG emissions. A plan is in place to meet our GHG reductions next year.
Purchase of low emission electricity has been reviewed and implemented where viable. We have reviewed opportunities for on-site renewable energy generation which we will continue to monitor.
A requirement for each site to undertake Kaizens quarterly has been established to drive efficiency and develop employee lean thinking, with these starting in FY23.
Ensuring a continuous supply of high quality, ethically sourced raw materials and components is critical for us as a trusted partner. Supporting our value chain partners on their sustainability journey will ensure a resilient supply chain that protects the needs of our planet, customers and suppliers.
Our 2025 target
80% of our supply chain is reviewed against enhanced criteria (by spend)
Highlights
We worked with waste suppliers to drive improvements in data collection and improve opportunities to reduce waste to landfill.
We have used Environmentally Extended Input-Output (EEIO) modelling to estimate carbon emissions from purchased goods which has identified materials and suppliers to focus our efforts on.
We worked with our largest transport suppliers to increase data collection associated with calculating our scope 3 emissions from category 4 (upstream transportation).
We have retained our Joint Supply Chain Accreditation Register (JOSCAR) accreditation.
Our customers carry out vital work in life-threatening situations – often in support of protecting the community. They can safely perform with confidence knowing that we protect at every interface with our products and services. From innovative design, to use, aftercare and data protection, we meet the changing needs of our customers.
Our 2028 targets
Revenue increase revenue from new products (5 years)
4–7% R&D expenditure as a % of revenue
Support our customers
Highlights
We introduced our FM50 and C50 respirators to the U.S. civilian market, providing wider access to our life-saving products.
Our upgraded ST54 SCBA received certification to the NFPA 1986 Standard on Respiratory Protection Equipment for Tactical and Technical Operations, including NIOSH-CBRN certification, demonstrating to our customers that our products meet the most demanding standards.
We achieved 4.2% R&D expenditure as a percentage of revenue during FY23, with R&D expenditure in Respiratory Protection including the development of the next generation of filters and diving masks. In Head Protection, we stand at the forefront of traumatic brain injury mitigation, harnessing funding to continue our vital research in this critical area. Working hand-in-hand with our customers on research and development programmes will continue to be an area of importance for us as we ensure our products align with their unique requirements.
Our mission is only achievable as a result of our exceptional, highly engaged colleagues. As a major employer in the areas we operate in, community engagement is important to us, ensuring we contribute an inclusive workplace, with strong values and new opportunities for current and future colleagues.
Our 2028 targets
2.5% annual improvement in employee engagement
Support local communities
Support diversity, equity, and inclusion
Fill more vacancies with internal hires and promotions
Highlights
40+ employees were actively engaged in developing our STAR strategy. Everyone within the business also had the opportunity to contribute via surveys and focus groups.
We launched a mentoring programme which is accessible to all employees.
In October 2022 we approved a significant annual pay adjustment which reflected the impact rising costs are having on our employees.
We contributed $124,706 to charities and good causes through our charitable giving programme and continued to support the Teams Forces Foundation as a Bronze member.
We continued to create an environment where all females in the business can thrive by celebrating International Women’s Day, conducting our Develop x Balance training workshop and becoming committed to being a menopause-friendly workplace.
