The Volvo Group believes there is no contradiction in running a financially viable business while contributing to sustainable development. A strategic CSR (Corporate Social Responsibility) approach is increasingly important for the Volvo Group’s competitiveness by e.g. improving brand image, reducing cost, creating new business opportunities and building stakeholder relationships.
The Volvo Group is convinced that responsible business contributes to long-term success. Responsibility is deeply rooted within the Volvo Group and is based on the values and principles in the Group's Code of Conduct. The Volvo Group strives to assume economic, environmental and social responsibility for its operations, products and services within its sphere of influence in the value chain. The Volvo Group believes this approach is essential to build lasting relations with customers, employees, suppliers and other stakeholders.
The Volvo Group’s global foot print has changed dramatically in the past decade. The Volvo Group has grown significantly and has welcomed new employees and new entities. As a consequence, the Group is operating in approximately 190 markets. Local conditions differ – as do the expectations on business in different parts of the world.
From risk to value
For a long time, CSR has primarily been seen as an effective risk management tool and for optimizing the use of resources. Risk management and building relationships with stakeholders are important components of the overall CSR strategy. However, the Volvo Group believes that this approach fails to fully explain the business potential of CSR or how a proactive approach creates value for the Volvo Group. The Volvo Group is convinced that CSR is much more than a risk management tool.
Creating shared value
The world faces urgent global challenges, such as climate change, depletion of natural resources and uneven distribution of wealth. The complexity, size and scale of these challenges require cooperation among states, regions and different sectors of society. The expectations on business to provide solutions to the challenges are growing. Today, a company is largely judged by the value it brings to society.
The Volvo Group develops products and services based on customer needs and the Group intends to give its shareholders a good return on their investment. But the Group also strives to serve society by providing solutions that meet the challenges of sustainable transport. This is what the Volvo Group means with Creating shared value.