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Sustainability and CSR

We aspire to achieve sustainable development, i.e., to strike a good balance between financial results, value creation, and corporate social responsibility (CSR). The value created will benefit our owners, stakeholders, and society as a whole.

We set high standards for our business practices and we strive to shoulder our corporate social responsibility in a satisfactory manner. Our supplier network consists of a large number of individual suppliers and their subcontractors (lower-tier subs), and they make important contribution to Kongsberg Defence & Aerospace's added value.

Consequently, it is important to us for this link in the value creation chain to meet the same or similarly high standards in terms of business practices and corporate social responsibility.

It is a requirement that all of our procurements are performed in accordance with the principle of dualism (segregation of duties). KDA's supply chain department is responsible for the establishment of all new supplier relationships and oversight of the supplier base. In collaboration with our suppliers, Kongsberg Defence & Aerospace strives to ensure that operations are carried out in compliance with internationally recognised principles for business ethics and corporate social responsibility.

When selecting suppliers, one of our assessment criteria is the suppliers' work not only with human rights, workers' rights, health and safety, and anti-corruption initiatives, but also with climate change and the environment. To get to know our supply chain risks and challenges extensively, we perform land analysis and develop land profiles. To reduce our operational risks, we regularly perform risk-based commercial evaluations and screening of our suppliers. Through the use of self-assessment questionnaires and audits, we ensure that our suppliers applies appropriate programs (e.g., anti-bribery and corruption, health and safety). 

Kongsberg Defence & Aerospace has drawn up dedicated principles for supplier conduct that are intended to ensure secure working conditions, that employees are treated with respect and dignity, and that business activities in the supply chain are eco-friendly and carried out in compliance with internationally recognised principles of business ethics. The principles apply to the entire supply chain, and all of our suppliers must confirm in writing that they accept the content of these principles. We take a partnership approach to suppliers in an effort to pursue the principles. We proactively seek continuous improvement on the part of suppliers within the areas covered by the principles. If suppliers fail to comply with the standards in the principles, our general policy is to encourage improvement and not terminate the contract. We encourage rather than penalise suppliers that identify activities that do not measure up to these standards and who agree to pursue improvements. We consider a similar ethical trading standard as a reasonable alternative, if suppliers are already working to achieve similar standards.