As part of Ericsson's commitment to making communication more affordable and accessible for all, the company last year undertook an in-depth research project in Nigeria and Kenya to assess the socio-economic contribution of mobile communication. Ericsson also launched two pioneering bio-fuel projects in Nigeria and India to find locally produced, reliable and non-carbon-intensive fuel sources that could contribute to the local economy.
Elaine Weidman-Grunewald, director of Corporate Responsibility at Ericsson, says: "Our research confirms the mobile phone is a major catalyst for social and economic empowerment. The bio-fuel projects build upon this theme and explore the replacement of traditional fossil fuels while helping expand business opportunities, boost local economies and improve quality of life."
Climate change is high on the global agenda and Ericsson's strong commitment to reducing environmental impacts across its operations has resulted in significant improvements in the energy efficiency of various products. By applying Life-Cycle Assessment (LCA) - a scientific technique that can be used to analyze the environmental impact of a product or system from beginning to end - Ericsson aims to decrease the environmental impact of products by improving their energy efficiency.
"Telecommunications is a relatively energy-lean industry," Weidman-Grunewald says "We know that our main environmental impact is from energy consumed during operation. This is also a key cost-driver for our customers. By combining life-cycle thinking with a focus on reducing the total cost of ownership, we can create a win-win for the environment and businesses. For example, during 2006 Ericsson achieved a 35 percent efficiency improvement in its 3G radio base stations.
"Our ambitious goals have greatly reduced products' energy consumption and our new base station products will save about 2.2 million tons of carbon dioxide over their average 10-year life span. This will also result in significant cost savings for customers."
The report also contains additional information on energy performance, including a power-down (sleep mode) feature valid for the entire Ericsson GSM installed base, as well as details on the company's focus on green sites.
"We are weaving our corporate responsibility agenda into the company fabric through policy work, training and dialog," Weidman-Grunewald says.
Internally, Ericsson is focused on ensuring its employees "walk the talk" when it comes to corporate responsibility. During 2006 more than 99.9 percent of all employees acknowledged that they had read and understood Ericsson's Code of Business Ethics.
Externally, Ericsson's successfully piloted a risk-based approach for monitoring compliance with its Supplier Code of Conduct - based on the UN Global Compact's 10 principles covering human rights, labor standards, the environment and anti-corruption measures - and directly engaged with suppliers to bring about measurable improvements.
In turn, it also took the decision to address human rights issues directly and joined the Business Leaders Initiative on Human Rights (BLIHR).
Weidman-Grunewald says: "Ericsson is committed to making positive contributions to the communities in which we work and the world in which we live. Our technology offers countless opportunities to create more sustainable societies and we will continue to build on these initiatives throughout 2007."
