Although Demant’s core business is not heavy production, we still address how our products, services, and business operations impact the environment. We acknowledge that we must address our own climate impact and we are determined to improve our environmental and climate performance. Our industry is not notoriously a “black” industry, however our value chain does emit greenhouse gasses and we have an obligation to raise awareness of where we ourselves can do better in pursuit of a more climate friendly future for MedTech and healthcare companies, both in the local and international communities.

We are committed to reduce our environmental footprint significantly in the years to come. In 2020, we initiated a far-reaching analysis and mapping of our total Group CO2 emissions, in order to find out where to devote our efforts further. In order to know where to devote our efforts most effectively, we need the full picture. We further support the Danish Government’s ambition to deliver a 70% reduction of emissions from greenhouse gasses by 2030 compared to 1990.

To track our corporate CO2 emissions, we collect consumption data annually, some of the highlights can be found below.


Total Group Emissions
(tonnes)

Emissions per employee
(tonnes)

2018: 24,811

2018: 1.89

2019: 27,595

2019: 2.03

Committed to improve
Demant has a growth strategy and in terms of both revenue and employees, we see stable and high rates, which is also reflected in the CO2 emission numbers. We take the current development very seriously and are committed to work on reducing our footprint.

The development should be seen in the light of the ongoing expansion of our business activities and the gradual inclusion of new retail entities into the Demant Group and thus into our reporting. To improve our reporting, we aim to expand our scope by including more retail entities each year. In 2019, this has not been possible, but it is our clear ambition to expand the scope in 2020 and to continue this progress in the years to come.

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Via our owners we have a stake in an offshore wind farm in the North Sea off the German coast. With all 78 wind turbines operating, the farm produces electricity equivalent to the consumption of 320,000 households.

 

Within the material challenge of our operation, we have identified potential for reducing our footprint by reducing consumption of materials, such as plastic in production and excess materials in our packaging. One green initiative, addressing our environmental and climate impact, is the new and more sustainable packaging solution from Oticon. The new packaging introduces sustainable alternatives and reduces excess material, bringing value to users, the Demant Group, hearing health professionals and the environment.

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Use of raw material is limited in our manufacture compared to other industries, however we still enforce a precautionary approach to environmental challenges. We have implemented the use of a 'restricted list', which provides instruction and information on the utilisation and categorisation of substances and material. The aim is to ensure that the Group complies with relevant law regulations related to specific substances. In the restricted list, all relevant components and materials that are banned or restricted are listed.

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It is mandatory for our suppliers to comply with the restricted list, which is controlled through a declaration of conformity and/or audits. The list is based on the following regulations:

• Restriction of Hazardous Substances (ROHS)

• Toys directive

• Conflict minerals that are subject to the requirements of Dodd-Frank Section 1502

• Registration and the Evaluation, Authorisation and Restriction of Chemicals directive (REACH)

Related to conflict minerals that are subject to the requirements of Dodd-Frank Section 1502 suppliers are requested to declare content.

 

Substances are categorized as below:

• Class I: Prohibited (not to be introduced in the production or be presented in any products put on the market by companies of Demant

• Class II: Restricted (for restricted use only)

• Class III: Subjected to special deliberation (can be used, but under observation)

• Class IV: Under observation (can be used after thorough risk assessment)

On top of the mandatory requirements according to laws, we have enforced extra specifications, e.g. ban on the use of al phthalates and natural rubber latex. Working with the restricted list ensures full transparency on the use of hazardous substances, compliance with relevant directives and the opportunity to set a higher bar than the external required or recommended standards.We are developing a risk-based approach where material compliance is not only secured by supplier declarations, but also via material analysis for high risk materials.