Philips continues to strengthen its responsible business strategy through ESG commitments

Philips continues to strengthen its responsible business strategy through ESG commitments

Royal Philips, a world wide chief in clinical technological know-how, has designed major progress in achieving its essential environmental, social engagement and corporate governance (ESG) ambitions. By 2022, Philips has improved the life of 1.81 billion people today by its technologies and alternatives, additional lowering operational emissions as perfectly as indirect emissions throughout the worth chain with its suppliers.


“We continue on to transfer closer to our intention of strengthening 2 billion lives for every yr by 2025, whilst stepping up our sustainability endeavours across our operations and provide chain,” claimed Marnix van Ginneken, Main ESG & Lawful Officer at Royal Philips. “The escalating momentum to reduce our collective environmental footprint, demonstrated in the healthcare field and between consumers, encourages us every day to continue our efforts to cut down emissions all through the source chain and speed up the transition to a circular financial state.”

The updated environmental, social effects and corporate governance targets are an integral section of the Philips 2022 Yearly Report.

Natural environment:

  • Round profits accounted for 18% of the company’s product sales in 2022, when compared to 16% in 2021. In 2022, Philips registered 10% far more clinical devices returns as opposed to the past year and more than 3,500 units have been returned for recycling. EcoDesigned items and answers accounted for 71.7% revenue, supported by care and magnificence products and solutions containing far more than 25% recycled plastic and Oral Healthcare, which launched the initially toothbrush heads designed from 75% bio-dependent products. Demand for sustainable health care techniques is supported by the MR 5300 with its industry-primary BlueSeal magnet, which assists radiology departments massively decrease the want for gasoline and helium
  • Philips has arrived at a renewable electrical power use stage of 77%, exceeding the concentrate on of 75% for 2025. The organization decreased CO₂ emissions relevant to transportation and distribution by 22% by way of a stricter air transportation policy and optimized warehouse areas. The organization improved the circularity of its squander stream to 91% by increasingly recycling, reusing or lessening waste. A person instance is changing solitary-use plastic in supplier packaging with boxes that can be utilised repeatedly.
  • CDP, a world-wide NGO that assesses the performance and CO₂ emissions administration of reporting organizations, has rated Philips on the CDP Climate Adjust “A” checklist for the tenth consecutive time because of to the company’s ongoing weather overall performance and transparency
  • In 2022, Philips turned the very first medical technologies company to receive acceptance from the Science Centered Targets (SBTi) initiative for CO₂ reduction targets throughout the worth chain. In addition, 41% of suppliers (dependent on devote) have now dedicated to science-based mostly targets – Philips’ goal is 50% by 2025

Social engagement:

  • Philips arrived at 1.81 billion people with its systems and remedies by 2022, which includes 202 million in disadvantaged communities (with the enable of the Philips Basis). This delivers the firm nearer to its intention of increasing 2 billion lives for every 12 months by 2025, 300 million of them in deprived communities.
  • In 2022, increasing obtain to care in vulnerable communities has been underpinned by sustainable partnerships, the development of impressive digital alternatives and the implementation of new small business and financing versions that are both sustainable and scalable.
  • Philips has state-of-the-art its dedication to gender range in management roles, together with a 30% illustration of ladies in leadership roles, an amplified concentration on personnel health and fitness and very well-becoming (equally physical and psychological wellbeing), and a continued concentrate on furnishing a protected and wholesome workplace.

Company governance:

  • Philips’ motivation to accountable and clear governance is illustrated by the publication of the Philips Human Legal rights Report 2022, in which Philips has educated stakeholders of crucial progress produced in addressing human rights over the previous calendar year, together with programs for constant improvement.
  • -Philips proceeds to consider an energetic part in operating with world wide institutions such as the Intercontinental Economic Reporting Criteria Basis (IFRS), the Environment Economic Discussion board (WEF) and the European Union to lead to the improvement of a conventional global ESG reporting framework.

Philips proceeds to pursue the directions in its sustainability-centered method to support a more sustainable health care marketplace, mitigate weather adjust and go away a more healthy world for upcoming generations. In 2023, the company is provided for the tenth consecutive calendar year in the Claritive 100 World wide Innovator, a leading ranking that measures excellence based on consistency and innovation. Philips invests a lot more than €1.7 billion every year in investigate and enhancement to supply patient- and folks-centric innovations. With its world existence, strong informatics platforms, ambulatory monitoring and imaging details, own overall health offerings, and potent abilities to guidance treatment in distinct environments, Philips contributes to people’s well-currently being to make medication additional accessible and sustainable, both in clinic and at household.