Background

Since 2012, telecom company KPN has continuously been in the worldwide Dow Jones Sustainability Index (DJSI). This index was introduced in 1999, and reflects the sustainability scores of the 2500 largest listed companies in the world. The ranking is divided into sectors, and is based on economic, social and environmental performance. This is an important measure of sustainability for investors. KPN is a large, listed company and therefore receives an annual invitation from RobecoSAM for an assessment. Based on this assessment, RobecoSAM scores companies across many sustainability themes to arrive at a DJSI ranking.

Cooperation

Sustainalize has been advising KPN on the RobecoSAM assesment since 2015. KPN has chosen to combine assessments for the DJSI and the Carbon Disclosure Project (CDP) due to the fact that the same colleagues are often involved in both questionnaires. We helped KPN by structuring the submission process for both benchmarks. We also assisted in the realization of their integrated annual report for the 2017 financial year.

Result

There are currently nine telecom companies in the world index. In 2017, KPN finished as ‘industry leader’ in the Telecommunications category of the DJSI World and Europe indices for the first time. This makes KPN the most sustainable telecom company in the world, according to independent experts. The figures show that KPN scores well on climate policy, network reliability and innovation management. In addition to its leading status in the DJSI, KPN obtained ‘A-status’ for CDP. This was a source of great satisfaction for KPN, who appreciated us for our substantive knowledge, structured approach and attention to detail.

Integrated annual report

On February 26, 2018, KPN published an integrated annual report for the 2017 financial year. This annual report meets the most elaborate standards of the Global Reporting Initiative (GRI Standards) and the International Integrated Reporting Council (IIRC). Sustainalize advised KPN intensively on the preparation of this annual report, and we were able to introduce a number of great elements, such as:

  • A new value creation model that has been used as an index for the annual report;
  • A materiality analysis;
  • UN Sustainable Development Goals (SDGs) based on value creation;
  • A compliance check for the new EU directives;
  • A clear connectivity table depicting all relevant interconnections.