Responsibility, growth and sustainable solutions

Product

A more sustainable product is one that not only meets your immediate needs, but also helps to reduce resource consumption and environmental impact over time. It could be an energy-saving component that lowers your operating costs, or a connected solution that tells you when maintenance is required and how it can be conducted more efficiently

Industrial PCs offering high performance, energy efficiency and a long service life

OEM Automatic AB is one of Europe's leading suppliers of components and systems for industrial automation. A high level of knowledge about the sustainability aspects of products is central to the offering and a key part of the sustainability work. One good example is industrial PCs from the supplier Neousys, which are designed to combine high performance with energy efficiency and a long service life. By using the same components in the computers over a long period of time, it is also possible for older systems to be upgraded without the need for completely new devices, which further strengthens the sustainability aspect. By working alongside innovative suppliers, OEM demonstrates that it is possible to combine technical excellence with environmental considerations. This is a clear part of the company's pursuit of innovative, resource-efficient and future-proof solutions.

Industrial computers are evolving rapidly, and OEM can see an exciting trend where performance is being improved at the same time as energy consumption is reducing. Smaller computers, such as POC and NRU, are prime examples – energy-efficient yet powerful enough to handle many of our customers' applications. This combines efficiency with sustainability, and is an important step towards the greener industry of the future. Smart technology for a more sustainable world!

Energy storage systems for a self-sufficient future 

With energy efficiency becoming an increasingly important sustainability aspect, Batteripoolen, in collaboration with the supplier Studer Innotec, is offering innovative energy solutions that promote a self-sufficient future. Their NEXT series is made up of a family of hybrid inverters with built-in solar chargers, where all models are designed with a focus on high quality and performance in both off-grid and on-grid applications. These advanced energy storage systems combine solar energy generation, storage and smart energy management in one convenient and reliable device.

Thanks to the potential to easily expand the battery capacity, combined with the flexible input for adaptable energy management, the offered solution is both efficient and user-friendly. The guaranteed high levels of quality and reliability also deliver high operational reliability, which in turn contributes to an even stronger sustainability profile. This product represents a major advance towards a future where renewable energy is easily available and convenient for everyone.

Person

Human Rights

OEM works to ensure that its suppliers meet human rights requirements as well as offering a good working environment. The Group's companies are constantly working to strengthen their supplier relationships and ensure that suppliers sign the Code of Conduct (CoC). This is based on the ten principles in the UN Global Compact, covering human rights, labour issues, the environment and anti-corruption. These areas are key elements of the responsibility that all the companies in the Group, along with their suppliers, are expected to take. 

Equal-opportunity organisations

In the quest to be an attractive employer, inclusive and equal organisations where everyone can feel involved are highly valued. The recruitment process is crucial when it comes to achieving the gender equality goals. By specifying requirements for recruiters, giving female candidates the opportunity to meet female employees during the recruitment process and ensuring equal marketing communication, the recruiting companies are succeeding in increasing the number of female applicants for advertised positions.

Employee satisfaction index

A Group-wide staff survey was conducted in 2024. This is a valuable tool for gathering systematic feedback from staff about the working environment, management, well-being, engagement and many other factors that affect the success of the organisation. By conducting staff surveys on a regular basis, the management is able to gain an insight into how employees are feeling, what motivates them and what aspects of the organisation can be improved. In the long run, this contributes to a stronger company culture, improved performance and a happier workforce.

Planet

Product transport and business travel account for a significant proportion of OEM’s emissions. Several initiatives have been launched in recent years to reduce this impact. The introduction of a new company car policy is contributing to a more rapid transition to fossil-free company cars. The collaboration with Geodis as regards the introduction of sustainable (SMF) fuel for sea freight is contributing to a cleaner environment through a more sustainable shipping process. In 2024, OEM Electronics AB was the first to invest in SAF fuel via Air France and KLM's Corporate SAF programme, for business travel by air. This encompassed more than 50 per cent of CO emissions from air travel in 2023, as well as all CO₂ emissions from air travel in 2024. This collaboration, which also falls under the UN Sustainable Development Goal 17, demonstrates the importance of partnerships for a more sustainable future. SAF is based on renewable raw materials and replaces fossil fuels.

Another focus area is the companies' energy consumption, where OEM is gradually increasing the share of self-generated electricity by installing solar panels on its own properties. This is helping to reduce emissions and achieve a higher share of renewable energy in the operation. Contracts that comprise 100 per cent renewable energy are also increasingly being prioritised when signing new electricity contracts. Another area that has a major impact on emissions is the manufacture and use of the products that OEM sells. OEM is working to include more parts in the GHG Protocol's Scope 3 by starting to ascertain the products' emissions throughout their life cycle. This is an extensive project that is a high priority.

GOALS AND OBJECTIVES 

• Inventory the number of suppliers reporting CO₂ emissions
OUTCOME: Analysis of the work forms the basis for future activities to strengthen the sustainability work in the supply chain

• Communicate environmentally sound products in marketing communications and sales processes
OUTCOME: This is already a natural part of the sales process and marketing communication

• 100% of our A-suppliers must have completed self-as sessment according to “Supplier assessment”
OUTCOME: 73%

Sustainable solutions for the future  

Helping customers to select the right components is an important part of OEM's sustainability work. The focus is on offering products that contribute to reduced environmental impact and increased resource efficiency. This can range from energyefficient components and high-efficiency products to solutions that reduce the need for travel and optimise production processes. Products with a long service life that are easy to repair and recycle are equally important, providing clear support for the principles of the circular economy.

With in-depth product knowledge and an extensive range, OEM is able to combine different components and customised solutions, which can result in lower energy consumption and more efficient work for the customer.

OEM's sustainability ambition is not only a matter of contributing to a sustainable society, it is also a strategic advantage. Offering sustainable alternatives strengthens competitiveness and opens up new business opportunities. At the same time, the company is working actively to increase knowledge and awareness of sustainability, both internally and externally. By integrating sustainability into sales processes and training, as well as collaborating with suppliers, OEM is continuing to develop its offering and create even more sustainable solutions for the future.

GOALS AND OBJECTIVES 

• At least 30% women in recruitment, with the aim of increasing the share of women employed
OUTCOME: 37% 

• At least 20% women in recruitment for sales and product services, with the aim of increasing the number of women in management positions over time
OUTCOME: 29% 

• Employee satisfaction index (ESI) must be higher than 4.0
OUTCOME: 4.2

• 100% of our suppliers must have signed the Code of Conduct
OUTCOME: 64%

• Zero vision as regards workplace accidents
OUTCOME: 13

Inclusive workplaces with committed staff  

During the year, OEM conducted a Group-wide staff survey, which had a response rate of 99% and resulted in an ESI score of 4.2. Both the response rate and the score are satisfactory and demonstrate a high level of commitment.

A safe and pleasant working environment, both within the company and at suppliers, is essential for sustainable growth and long-term success. There is a strong link between employee well-being and the company's financial performance. For this reason, OEM prioritises creating good working conditions through regular staff surveys and systematic work to safeguard physical and psychosocial working environment aspects. 

OEM also places high demands on its suppliers and actively requests information about their sustainability work and compliance with codes of conduct. In the same way that the working environment is central internally, it is important to ensure responsible conditions throughout the value chain. Gender equality is another priority area. OEM is working actively to increase the proportion of women during recruitment, with the goal of having more women in leading positions in the long term. Through its marketing communications, OEM aims to convey an inclusive image of the company as an attractive workplace for everyone, regardless of gender or background. By broadening its recruitment efforts and aiming at a wider target group, OEM is also contributing to the development of the sector towards greater gender equality

GOALS AND OBJECTIVES 

• Halve CO2 emissions every 10 years, base year 2020
OUTCOME:

Scope 1:	1,075 tonnes of CO2	(1,027)
Scope 2:	960 tonnes of CO2	(153)
Scope 3:	5,432 tonnes of CO2	(3,013)

Some of the increase in emissions can be explained by much more extensive reporting

• 100% renewable purchased energy by 2030
OUTCOME: The companies are already purchasing a significant amount of renewable energy and makes this a priority when entering into new agreements

• Fossil-free vehicle fleet by 2030
OUTCOME: 28%

• Implement activities to reduce fossil fuel dependency in freight transport
OUTCOME: Several activities completed. For example, several Group companies have signed an agreement with the Geodis Marine Fuel Insetting programme

• Increase the share of self-generated energy
OUTCOME: In 2024, solar panels were installed on the properties owned in Finland and Denmark

OEM has a considerable environmental impact from goods transport, business travel and energy consumption in properties. The company's goal is to reduce CO₂ emissions by 50% by 2030, compared to base year 2020. To achieve this, OEM is actively working to streamline operations and encourage customers and suppliers to make more sustainable choices. At the same time, work is in progress to develop sustainability reporting, particularly within Scope 3 according to the GHG Protocol, where the more extensive measurements that are now conducted can make annual comparisons more difficult. The focus is on implementing measures in areas where the impact is greatest. For a logistics-intensive company like OEM, transport is one of the biggest challenges. In 2023, the company started using sustainable marine fuel through its collaboration with Geodis, which is helping to reduce emissions from maritime transport. At the same time, the pace of the transition to a fossil-free car fleet has increased in 2024. Investments have also been made in charging stations at several of the company's own properties. Pool cars are already powered in part by HVO100, a renewable diesel alternative that works particularly well in cold climates. In addition, electrically powered freight vehicles are used for urgent transport to major customers, resulting in emission reductions.

The Höganloft logistics centre in Tranås is the hub for the Group's warehousing and transport operations. Here, several companies co-operate in areas such as economy, quality and sustainability. All the companies in the Group share common sustainability goals, but also have the freedom to adapt and develop their own focus areas. This collaboration also includes GHG reporting and supplier assessments.

Within energy consumption, OEM has been working systematically to reduce its environmental impact. An energy-saving programme was launched for the company's own properties as far back as 2012, which included the installation of solar panels. The expansion of solar panels continued in 2024, further reducing dependence on external electricity supplies.

Sustainability reporting is another priority area, where resources are allocated to ensure that OEM meets the requirements in the CSRD and ESRS, which apply to the company as from the 2025 financial year.

GHG Protocol 

The Greenhouse Gas Protocol (GHG) is a global standard that helps companies to measure and report their greenhouse gas emissions. OEM has historically reported emissions within Scope 1 and Scope 2, as well as certain parts of Scope 3, such as transport, business travel and leased premises.

More detailed, comprehensive reporting of emissions is now taking place, including several initiatives to ensure more comprehensive reporting within Scope 3. This improvement is an important step in meeting the requirements according to the CSRD and preparing the company for a future accession to the Science Based Targets initiative (SBTi). More complete reporting not only creates transparency, but also forms the basis for setting science-based climate goals and strengthening sustainability efforts.

Scope 1: Direct greenhouse gas emissions, i.e. emissions that the organisation itself is responsible for and can influence.

Scope 2: Indirect emissions in the form of purchased energy from external suppliers. The operations can influence Scope 2 emissions by choosing climate-friendly energy suppliers.

Scope 3: Indirect emissions beyond purchased energy, such as materials, transport and other external suppliers.