2010 Sustainability objectives for 2011, 2012, 2013, 2014, 2015

Legend:  In progress   in lavorazione  -  Target year   Anno di raggiungimento  -  Mantenance   mantenimento
  2011 2012 2013 2015
Impact of sales of green performance products against total of group sales >45%

Adjustment of production activities in rapidly developing economies (RDE), Latin America and mature markets,
where each of the three areas will contribute 1/3 to Group profits in 2015

Technological upgrade of production sites and machinery (in 2015, 60% of production will be realised at sites and plants less than 10 years old).

Pirelli will invest Euro 1.9 billion over next 5 years, increasing its production capacity and focusing on the premium market segment in rapidly developing economies, according to a “local for local” strategy aimed at improving product mix and efficiency and consolidating leadership in all market segments in Latin America.

Maintenance of value of investments in research and development over next three years at about 3% of sales,
representing one of the highest levels in the sector.

investors and financial community
Communication focused on publicising gradual implementation of the new 2011-2013 Business Plan

Communication focused on publicising gradual implementation of the new 2011-2013 Business Plan

Rewriting of sustainability clauses of contract to simplify syntax
Training for all buyers on management of independent audits of vendors and deployment of remedial plans
Vendors Portal: development, pilot project in Italy and first extension to other EMEA countries in 2011

Drafting of Pirelli Manual on management of supply chain

Definition of new audits according to criteria established by local Pirelli facilities, while retaining central support and after the training mentioned above

Focus on dialogue with the end customer through web platforms and opinion surveys

Launch of Engaging the Consumers project. On the basis of detailed analysis of all phases of procurement process, the project aims to identfy and select Pirelli consumer targets exactly, on whom “consumer insights driven” plans and marketing activities are to be focused, with all of this serving Group growth strategies.
Road safety information and training campaigns, according to the programme defined after signing the EU Safety Charter

Entire range of tyre products free of highly aromatic oils worldwide

Extension of Environmental Management System certificate to all activities at New Technological Centre
Specific energy consumption -15% against 2009 value (by 2015)

Specific energy consumption -13% against 2009 value (by 2011)
Specific equivalent CO2 emissions -15% against 2009 value (by 2015)

Specific equivalent CO2 emissions -9.5% against 2009 value (by 2011)
Specific water consumption -35% against 2009 value (by 2015)

Waste: -5% production, +5% recycling against 2009 values

Complete substitution by Steel Cord Business Unit of all wood pallets in favour of plastic or metal ones

Use of solvents in production processes -5% against 2009 value by extending solvent free technologies.

Focus on employee welfare: mapping and actions

Analysis of gender differences in Pirelli, in its industrial sector and in the global evolutionary context in order to update the related Management System and then transfer it to the management of all other diversity elements for setting targets about increasing diversities among managers in medium and long term

Pirelli will commission new independent SA8000® audits to be carried out at production plants in South America, China, Egypt, Turkey and Romania
New online and paper Employer Branding campaign
New Settimo Torinese industrial centre: 11 days of training pro capita on average for a total of about 1250 employees
Pirelli Leadership System: training for local middle management (final involvement of 400 middle managers),
similar to training courses held for executives in 2010

OHSAS 18001 standard: issuance of all certificates with SAS international accreditation beginning in 2011

Health, Safety and Environment Week - Event held simultaneously at all Pirelli production facilities
Pirelli Tyre industrial accidents FI (frequency index) reduced about 40% against 2009

Definition of new Group standard for maintenance activities
Consolidation of new POWRA (point of work risk assessment) tool for maintenance activities

OHSAS 18001 certification of Guacara plant (Venezuela) and of Bumbesti (Romania)
Focusing of monthly “Safety Bulletin,” distribuited internally, on key safety indicators
Integration of a Health, Safety and Environment module in the Process Kaizen Engineer training course

Definition of a Group standard for internal non-monetary rewarding on Health, Safety and Environment issues
External Community
Reinforcement of social and environmental responsibility partnerships with local NGOs and central and local institutional entities, based on dialogue for identification of action priorities

Continual pro-active approach to dissemination of good sustainability practices at the local and international level n(through CSR Europe, World Business Council For Sustainable Development ...)

Revision of internal procedures for management of philanthropic activities
Application of Whistleblowing Procedure to external community