Measuring progress

At Atlas Copco, we are committed to being part of the solution for a better tomorrow. This means innovating with a long-term perspective to empower our customers to drive society forward. It means minimizing the environmental impact from our operations and products. It means making sure our employees are safe and healthy and that our company stays lean and efficient. We also want to live up to the highest ethical standards, with zero tolerance for corruption throughout the value chain.

Business team analyzing financial data.

To deliver lasting value for all stakeholders, we focus on the following areas for sustainability: products and service, people, safety and well-being, ethics, and the environment. We regards these areas, along with profitability and growth, as necessary to achieve long-term success. Progress in relation to the targets set in these areas is part of the variable compensation for the Executive Management as well as other employees.  

Financial targets

  • Revenue growth measured over a business cycle should be 8%.
  • Sustained high return on capital employed by constantly striving for operational excellence and generating growth.
  • Earnings as dividends to shareholders should be about 50%.

People targets

  • 30% female employees by 2030.
  • Atlas Copco employees agree that they feel a sense of belonging in the company – above the global benchmark provided by the employee survey supplier and a continuous increase.
  • Atlas Copco employees agree we have a work culture of respect, fairness and openness – above the global benchmark provided by the employee survey supplier and a continuous increase.
  • Atlas Copco employees agree there is opportunity to learn and grow in the company – above the global benchmark provided by the employee survey supplier and a continuous increase.

Ethics targets

  • 100% of employees have signed the Group’s code of conduct compliance statement annually.
  • 100% of new employees have participated in the Group’s ethics training within 12 months of joining the company.
  • 100% of employees have participated in the Group’s ethics training every other year, starting 2022.
  • 100% of significant suppliers have confirmed compliance with the Group’s code of conduct.​
  • 100% of significant distributors have confirmed compliance with the Group’s code of conduct.​

Safety and well-being targets

  • Atlas Copco Group employees agree that the company takes a genuine interest in their well-being. The rating in the employee survey should continuously increase.
  • A balanced safety pyramid, with more reports of risk observations than near misses, more reports of near misses than minor injuries and more or equal reports of minor injuries relative to recordable injuries.​

Climate and environment targets

  • To keep the global temperature increase to maximum 1.5 degrees, -46% in the CO2e* emissions (tonnes) from scopes 1 & 2 by 2030, compared to the 2019 baseline.
  • To keep the global temperature increase well below 2 degrees, -28% in the CO2e* emissions (tonnes) from scope 3 by 2030, compared to the 2019 baseline.
  • Continuous increase in the % significant direct suppliers with an approved Environmental Management System.​
  • Continuous year-on-year reduction in water consumption in relation to cost of sales.
  • 100% reused, recycled or recovered waste from internal operations by 2030. 

Products and service targets

  • 100% of projects for new and redesigned products have targets for reduced carbon impact.
  • By 2024, the Atlas Copco Group has a Group-common methodology for assessing the circularity of new or redesigned products.

 

* CO2 refers to carbon dioxide, and CO2e stands for "carbon dioxide equivalent", which includes CO2 and other greenhouse gases. An equivalent is a measure of how much a gas contributes to global warming, relative to carbon dioxide.  

Enabling the shift to a low-carbon society

Fully committed to being part of the solution for a better tomorrow, we have set science-based targets to reduce greenhouse gas emissions in line with the goals of the Paris Agreement.

Read more about our ambitious targets and how they will help enable the transformation to a low-carbon society.

Sunset in Sweden.

Our focus areas for sustainable growth

Contributing to the Sustainable Development Goals

The United Nations Sustainable Development Goals  are a call for action to promote prosperity while protecting the planet. They recognize that ending poverty must go hand-in-hand with strategies that build economic growth and address a range of social needs, while tackling climate change and environmental protection.​ Atlas Copco endorses all the SDGs and directly contributes to eight of the 17 goals in particular:​

SDG icons - gender equality

Gender equality

Increasing diversity and ensuring inclusion 

Atlas Copco promotes inclusion and diversity and strives to improve gender balance at all levels in the Group. The President and CEO have established their own related task forces.

SDG icons - clean water and sanitation

Clean water

Working to reduce water consumption

Atlas Copco entities carry out local activities targeting water consumption. Since 1984 Atlas Copco has supported the employee-driven initiative “Water for All”. Since its start more than 2 million people have gained access to clean water and improved sanitation.

SDG icons - affordable and clean energy

Affordable and clean energy

Reducing CO2 emissions from our operations and transport

Atlas Copco undertakes a range of activities to reduce CO2 emissions from energy in operations and transport of goods, such as installing solar panels, buying renewable electricity and avoiding air freight. 

SDG icons - decent work and economic growth

Decent work and economic growth

Focusing on ethics, safety and well-being – for employees and business partners 

Atlas Copco requires all business partners to comply with the Business Code of Practice. Child labor or forced labor is not tolerated and compliance is assessed and audited. Atlas Copco ensures the right to collective bargaining and expects the same of our business partners.

SDG icons - industry, innovation and infrastructure

Industry, innovation and infrastructure

Continuously increasing the energy efficiency of products and service. 

Energy efficiency in our products and service is a key selling point for Atlas Copco. The main environmental impact is in our customers’ use of our products. All projects for new and redesigned products must assess the environmental impact of the product. Products are developed with a life-cycle perspective.

SDG icon - responsible consumption and production

Responsible consumption and production

Making production as efficient as possible and reducing waste 

Atlas Copco seeks to decrease the total waste produced. Chemical handling follows strict protocols. Components that contain conflict minerals are not accepted and Atlas Copco monitors and screens its supply chain. 

Climate action SDG icon

Climate action

Cutting greenhouse gas emissions

We have set science-based targets to be a part of the solution to global warming and climate change. Our largest impact is in the use of our products, and we provide solutions designed to reduce our customers’ energy consumption and carbon emissions. We also work to lower our own energy consumption, switch to renewable energy and give preference to transport that minimizes climate impact.

SDG icon - peace, justice and strong institutions

Peace, justice and strong institutions

Zero tolerance for corruption 

This is clearly communicated  our Business Code of Practice. Atlas Copco requires all employees to sign their compliance with our code of conduct and to take annual trainings in how to handle ethical dilemmas. Business partners are expected to confirm their compliance with criteria based on our Business Code of Practice.

Read more about the UN Sustainable Development Goals

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Consulting our stakeholders

Every few years Atlas Copco conducts a materiality analysis to learn what topics are of most interest and concern to our stakeholders. The topics inform the priorities we set for our focus areas.

Read more

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