We've been a dedicated member of the UN Global Compact since 2002. The initiative, which companies around the world may join, lists ten principles within the areas of human rights, labour standards, the environment, and anti-corruption. Described below are our efforts in 2008 related to those ten principles.

PRINCIPLE 1

Business should support and respect the protection of internationally proclaimed human rights

• OHSAS certification at production site in China is in progress
• OHSAS certification at Coloplast European Distribution Centre is in progress
• Coloplast Code of Conduct on human rights and labor standards further implemented
• Training of employees in the Code of Conduct on human rights and labor standards conducted in Hungary and China subsidiaries
• Initiation of Access to Healthcare – Coloplast Donation Programme, which aims to bring awareness and knowledge to the challenges for people living with insufficiently treated health problems, and of offering the right treatment

PRINCIPLE 2

Business should ensure that they are not complicit in human rights abuses.

• Implementation of new procedure , the so-called "0502", on Control of Suppliers of materials, products or manufacturing processes is concluded, with assessment on the basis of a quality-ethics-risk matrix:
  • Quality: measures on whether the supplier has relevant management systems for quality, or if it is "critical material" with risk of affecting end-users negatively
  • Business ethics: measures on the branches and countries of suppliers, assessing high risk companies on these two parameters
  • Business risk: measures on the likelihood and impact of supply disruption on sales
• Completion of classification of all suppliers of materials, products or manufacturing processes into three levels: high risk, medium risk and low risk. Followed by arrangements on external audits and procurement visits with high and medium risk suppliers
• Coloplast code of conduct on human rights and labour standards further implemented
• Stakeholder Engagement Process concluded in Coloplast Hungary, giving input to further development of CSR Strategy

PRINCIPLE 3

Business should uphold the freedom of association and the effective recognition of the right to collective bargaining.

• Implementation of new procedure , the so-called "0502", on Control of Suppliers of materials, products or manufacturing processes is concluded, with assessment on the basis of a quality-ethics-risk matrix:
  • Quality: measures on whether the supplier has relevant management systems for quality, or if it is "critical material" with risk of affecting end-users negatively
  • Business ethics: measures on the branches and countries of suppliers, assessing high risk companies on these two parameters
  • Business risk: measures on the likelihood and impact of supply disruption on sales
• Completion of classification of all suppliers of materials, products or manufacturing processes into three levels: high risk, medium risk and low risk. Followed by arrangements on external audits and procurement visits with high and medium risk suppliers
• Coloplast code of conduct on human rights and labour standards further implemented
• Stakeholder Engagement Process concluded in Coloplast Hungary, giving input to further development of CSR Strategy

PRINCIPLE 4

Business should support the elimination of all forms of forced and compulsory labour.

• Implementation of new procedure , the so-called "0502", on Control of Suppliers of materials, products or manufacturing processes is concluded, with assessment on the basis of a quality-ethics-risk matrix:
  • Quality: measures on whether the supplier has relevant management systems for quality, or if it is "critical material" with risk of affecting end-users negatively
  • Business ethics: measures on the branches and countries of suppliers, assessing high risk companies on these two parameters
  • Business risk: measures on the likelihood and impact of supply disruption on sales
• Completion of classification of all suppliers of materials, products or manufacturing processes into three levels: high risk, medium risk and low risk. Followed by arrangements on external audits and procurement visits with high and medium risk suppliers
• Coloplast code of conduct on human rights and labour standards further implemented
• Stakeholder Engagement Process concluded in Coloplast Hungary, giving input to further development of CSR Strategy

PRINCIPLE 5

Business should support the effective abolition of child labour

• Implementation of new procedure , the so-called "0502", on Control of Suppliers of materials, products or manufacturing processes is concluded, with assessment on the basis of a quality-ethics-risk matrix:
  • Quality: measures on whether the supplier has relevant management systems for quality, or if it is "critical material" with risk of affecting end-users negatively
  • Business ethics: measures on the branches and countries of suppliers, assessing high risk companies on these two parameters
  • Business risk: measures on the likelihood and impact of supply disruption on sales
• Completion of classification of all suppliers of materials, products or manufacturing processes into three levels: high risk, medium risk and low risk. Followed by arrangements on external audits and procurement visits with high and medium risk suppliers
• Coloplast code of conduct on human rights and labour standards further implemented
• Stakeholder Engagement Process concluded in Coloplast Hungary, giving input to further development of CSR Strategy

• Declaration against child labour issued by Coloplast Hungary

PRINCIPLE 6

Business should support the elimination of discrimination in respect of employment and occupation.

• Implementation of new procedure , the so-called "0502", on Control of Suppliers of materials, products or manufacturing processes is concluded, with assessment on the basis of a quality-ethics-risk matrix:
  • Quality: measures on whether the supplier has relevant management systems for quality, or if it is "critical material" with risk of affecting end-users negatively
  • Business ethics: measures on the branches and countries of suppliers, assessing high risk companies on these two parameters
  • Business risk: measures on the likelihood and impact of supply disruption on sales
• Completion of classification of all suppliers of materials, products or manufacturing processes into three levels: high risk, medium risk and low risk. Followed by arrangements on external audits and procurement visits with high and medium risk suppliers
• Coloplast code of conduct on human rights and labour standards further implemented
• Stakeholder Engagement Process concluded in Coloplast Hungary, giving input to further development of CSR Strategy

PRINCIPLE 7

Business should support a precautionary approach to environmental challenges.

• Continuation of reporting to Carbon Disclosure Project (CDP) since 2007, making our measures publicly accessible on their website
• Gathering of CDP findings in a catalogue of reduction possibilities for future use

PRINCIPLE 8

Business should undertake initiatives to promote greater environmental responsibility.

• Continuation of reporting to Carbon Disclosure Project (CDP) since 2007, making our measures publicly accessible on their website
• Gathering of CDP findings in a catalogue of reduction possibilities for future use. Production site in China has been certified according to environmental management system ISO 14001
• Coloplast Hungary has become first Coloplast subsidiary member of the UN Global Compact, participating actively in the regional UNGC networks

PRINCIPLE 9

Business should encourage the development and diffusion friendly technologies

• Continuation of reporting to Carbon Disclosure Project (CDP) since 2007, making our measures publicly accessible on their website
• Gathering of CDP findings in a catalogue of reduction possibilities for future use. We are working on concrete aims for reduction, to be decided in the autumn of 2008
• We have continued and extended the work on substituting plasticizers that are regarded as problematic, and do not use phthalates in new products

PRINCIPLE 10

Business should work against corruption in all its forms, including extortion and bribery.

• Ongoing evaluation of subsidiaries on how they have implemented the Coloplast Code of Conduct on Corruption and Bribery. The target is to evaluate 6-8 subsidiaries per annum, with all subsidiaries evaluated within 3-4 years
• Coloplast Hungary has taken action to work against corruption within the healthcare industry in Hungary in general. Thus, several competing companies have now signed the Code of Conduct on Corruption and Bribery initiated by Coloplast