Enhancing value

As a value developer with a long-term investment strategy, Haniel aims to implement an integrated approach along the entire value chain in the area of corporate responsibility – from the dialogue with our investors, through the investment phase and portfolio management all the way through to divestment. The goal is to anchor corporate responsibility consistently in all stages of Haniel's creation of value. The focus here is the area where the holding company enjoys great leverage: in the development and management of the divisions.
The integrated approach allows the Group to gear itself to value and growth. By integrating CR in existing processes and structures of the investment and value development phase, Haniel seeks to exploit potential for further profitable growth and to support the divisions in market-leading positions over the long term.

Sustainable investments

CR already plays an important role at Haniel in the development of the investment portfolio. Investments are considered only if they are a good fit for the company and the values it puts into practice. So all acquisition opportunities are examined to ensure they are consistent with Haniel's values and the criteria of the Haniel investment filter, something that also takes ecological and social aspects into account. These sustainability concepts require constant refinement in an increasingly complex environment. In 2014, specific criteria and instruments were developed in an interdisciplinary project which allow a better assessment of the CR potential of a takeover candidate. After a company has been successfully acquired – as in 2015 with the purchase of Bekaert Textiles – CR becomes an integral element of the integration plan. Depending on existing CR activities, structures and processes are created to begin with as a basis for successfully integrating CR into the core business.

It is not only when acquiring new business divisions that Haniel invests with great prudence: the company also looks at financial investments from CR perspectives. A multidisciplinary CR committee has been established that specifies in detail the CR perspectives derived from the Haniel code of conduct, for example in the form of a negative CR list, and further develops them for financial investments. In addition, aspects of CR are taken into systematic consideration in the approval of investments and acquisitions of the business divisions, with the holding company making decisions on these on the basis of the investment and business valuation policy. This stipulates that the specific positive and negative effects on the CR targets in the Haniel action areas must be examined.

CR as an integral part of the management dialogue

As a family-equity company, Haniel also provides impetus in terms of corporate responsibility for portfolio companies, by putting CR on the agenda of the regular management dialogue between the Haniel Management Board and the managing directors of the divisions. Every year since they were first introduced in September 2013, targets are now agreed in the three CR action areas. In 2015, too, CR was again a subject of the dialogue at the top level. In this process, new targets were agreed for 2016 and the progress in the targets that had previously been set was discussed.* For the first time in 2015, CR aspects were also taken into consideration in the variable remuneration of the top management of the Group. What the holding company and the divisions have undertaken in detail for the coming year is shown at a glance in the 2016 CR Programme. What focal points Bekaert Textiles, CWS-boco, ELG, TAKKT and the METRO GROUP are pursuing and what progress they have been able to achieve is also listed for each individual division.

More on the CR management approach and the CR organisation

* The CR target agreement process for 2015 applies to the divisions CWS-boco, ELG and TAKKT, which were fully consolidated as at 1 January 2015. Bekaert Textiles will be integrated into the CR control process in 2016. No CR targets are agreed with the METRO GROUP as a financial investment.