Analisys of Sustainability Report GRI : G4

The Global Reporting Initiative (GRI) is an international independent standards

organization (nonprofit) that helps businesses, governments and other organizations
understand and communicate their impacts on issues such as climate change, human rights
and corruption. This activity involve a thousand organization, professionals and expert in
many kind of sector, constituent and region.
GRI encourages the application of sustainability reporting as a way for companies and
organizations to become more sustainable and contribute to a sustainable global economy.
GRI mission is to make sustainability reporting standard practice. In order for all companies
and organizations can report on performance and impact of economic, environmental, social,
and governance them.
G4, the fourth generation of the Guidelines, was launched in May 2013. The launch
marked the culmination of two years of extensive stakeholder consultation and dialogue with
hundreds of experts from across the world from a wide variety of sectors, including
companies, civil society, labor organizations, academia, and finance. The aim of G4 is simple:
to help reporters prepare sustainability reports that matter and purposeful to be standart
practice.
G4 is designed to be universally applicable to all organizations of all types and sectors,
large and small, across the world. G4 is designed to be compatible with a range of different
reporting formats. In addition to enhancing the relevance and quality of standalone
sustainability reports, G4 also offers a widely recognized global standard for sustainability
information to be included in integrated reports.
The preparation of a G4 report starts with the process of defining material Aspects and
Boundaries. Material Aspects are issues that are significant to a business economic,
environmental and social impacts and that substantively influence the assessments and
decisions of its stakeholders.
Having identified its material Aspects, an organization must assess and describe
whether the impact of each one lies inside or outside the organization. This is the Boundary.
For example, for some companies, biodiversity is an issue. The impacts related to this
material Aspect could be associated with the organizations own operations, or to entities

outside the organization, such as suppliers or distributors. The G4 Guidelines contain

guidance to help companies specify where an impact occurs. By asking each organization to
report on material Aspects both inside and outside its operational boundaries, G4 encourages
reporters to provide a comprehensive picture of their economic, environmental and social
impacts - both direct and indirect.
There are two kinds of disclosures in G4:
1. General Standard Disclosures: these disclosures set the overall context for the report,
providing a description of the organization and its reporting process. They apply to all
organizations, regardless of their materiality assessment. There are seven types of
General Standard Disclosures, ranging from the organizations strategic perspective on
addressing sustainability issues, and how it involves stakeholders in this process, to how
it approaches key issues such as governance and ethics and integrity.
2. Specific Standard Disclosures: these are divided into two areas:
a. Management Approach (DMA)
The Disclosures on Management Approach (DMA) provide the organization with an
opportunity to explain how it is managing its material economic, environmental or
social impacts (Aspects), thus providing an overview of its approach to sustainability
issues. The DMA focus on three things: describing why an Aspect is material, how its
impacts are being managed, and how the approach to managing this Aspect is being
evaluated.
b. Indicators
Indicators allow companies to provide comparable information on their economic,
environmental and social impacts and performance. Much of this is in the form of
quantitative data. Organizations are only required to provide Indicators on Aspects
that they and their stakeholders have identified as material to the business. G4
contains Indicators for a wide range of sustainability issues. For example, these could
include water usage, health and safety, human rights or an organizations impact on
local communities.
If they wish to demonstrate that their report is in accordance with the Guidelines,
organizations must self-declare how GRIs Guidelines have been applied in their
sustainability report.
GRI recognizes that sustainability reporting is not one-size-fits-all. G4 therefore allows
organizations to choose between two in accordance options Core or Comprehensive,

based on which best meets their reporting needs and those of their stakeholders. The options
do not relate to the quality of the report or to the performance of the organization; rather, they
reflect the degree to which the Guidelines have been applied.
1. The Core Option
This option contains the essential elements of a sustainability report and provides the
background against which an organization communicates its economic, environmental,
social, and governance performance and impacts. Reporting on the organizations
management approach (DMA) related to its material Aspects is an essential requirement.
Under the Core option, an organization must report at least one Indicator for all identified
material Aspects.
2. The Comprehensive Option
This builds on the Core option by requiring a number of additional disclosures about the
organizations strategy and analysis, governance, ethics and integrity. Under the
Comprehensive option, an organization must report all Indicators for all identified
material Aspects.
Six Essential Elements to Include In G4 Report
Choose the in accordance option that is right for your organization, and meet the

requirements
Explain how you have defined the organizations material Aspects, based on impacts and

the expectations of stakeholders

Indicate clearly where impacts occur (Boundaries)
Describe the organizations approach to managing each of its material Aspects (DMA)
Report Indicators for each material Aspect according to the chosen in accordance

option
Help your stakeholders find relevant content by providing a GRI Content Index

Analisys of GRI-G4 On Samsungs Sustainability Report

Samsungs Sustainability Report has been completly appropriate with the standart
reporting GRI-G4. All of the essential elements are included in this report, the six element
that was reported by Samsung on their Sustainability report is :
1. Option
The in accordance option of the Report that was choosen by Samsung is
Comprehensive Option which They reported and explained all of the indicators for each
material aspect that been identificated.

2. Organizations Material Aspect

There are 4 materials aspect from Samsungs Sustainability Report, they explain about :
- Economic : Economic Value Share Distribution
- People : Human Resource, Compliance, Human Rights
- Society : Supply Chain, Corporate Citizenship, Innovation
- Environment : Green Policy, Eco-Product, EHS Management

3. Boundary
The Samsungs Sustainability Report has contain the Boundary. Samsung has
reporting all of the activity and the impact of their activity. They also reporting about
their vision, commitment, trend and challenges that they deal with, plans, activity, report
of the activity and the impact. They explain about all part of the report for each material
aspect. All of the aspect thats identified not only had the impact for the organizational but
also the environment,the country, and can be impacted to Global climates (Help reducing
the global warming)
4. The organizations approach to managing each of its material Aspects (DMA)
- Economics :
a. Samsung has distributed their economic value to the Stakeholder with the
different precentage. They distribute to their Supplier, Government, Local
Community, Employees, Creditors, and Stakeholders/Investors
-

People :
a. HR Development for the Future
Operating a three-layer training system consisting of Core, Leadership, and
Expertise programs to develop employee competencies and to foster core talent;
providing various training programs according to self-assessment results;
respecting individual opinions and continuously running the Job Posting
program and the Career Consulting Center
b. Creative Performance-based System
Not only for fair evaluations, rewards, and benefits based on performance, but
also an award system to promote employee competency development
c. Dynamic Organizational Culture
Establishing an environment where all employees can display their own distinct
personalities and talents in a free and creative culture; especially committed to
improving organizational vitality through in-house club activities and mental
fitness programs

Society :
a. Supply Chain
Samsung pursues co-prosperity with all local communities and countries based
on a business philosophy of living together as a member of a global society. We
also recognize suppliersour business partners as strategic companions and
aim to establish a sustainable supply chain. Furthermore, we are committed to
providing the highest quality products and services for customers value and

satisfaction.
Supply Chain System
Monitoring 50 risk factors in supplier, procurement process, and natural

disasters areas
Win-win Cooperation
Operating win-win program to support suppliers' competitiveness such as

finance, employee capability building, and innovation consulting

Management of Suppliers Work Environment
Conducting self-assessments, onsite audits, and hot-line based on the

Samsung Supplier Code of Conduct

Conflict Minerals
Prohibit the use of conflict minerals (3TG: tantalum, tin, tungsten, gold)
unethically mined in conflict areas in 10 countries, the DRC and its nine
adjoining countries; improve suppliersawareness about this issue and inspect

their management status

Listening to the voice from customer
Running communication channels such as customer contact centers and a
website, and ranked no. 1 position in various customer satisfaction surveys in

Korea and overseas every year

Product Services
Conducting on-site quality inspections, training, and workshops for service
quality control through a standardized process at global service centers and
customer contact centers

b. Corporate Citizenship
As a member of the global community, Samsung is determined to contribute to
societys well-being and create shared value through our technology and
innovation.
Educational Support
Providing Samsungs digital devices and training to reinforce the IT
competencies of teenagers in many countries, including Germany, Thailand
and Russia

Local Community Development

Laying the foundation for economic independence by way of establishing
infrastructure, relieving unemployment, and fostering technical manpower
through integrated local services for disadvantaged people and impoverished

areas
Medical Support
Conducting medical support utilizing the companys capabilities, such as
providing remote medical services using mobile devices, installing ultrasonic

equipment, and providing educational equipment and materials

Employee Engagement
Having Samsungs employees around the world directly plan and carry out
various volunteering programs

c. Innovation
The basic principle to define Samsungs future vision is Inspiration for a future
society, the creation of a new future. When we recognize responsibility as a
creative leader in the global society, our employees and suppliers can create
shared value, and at the same time we can invest our efforts and resources to
provide new value for the industry and customers. Samsung aims to create the
future that everyone is interested in and anticipates. For this, we work hard to
enrich peoples lives by concentrating on creative managementone of our
three strategic approachesand to provide inspiration for the future through
innovative technologies, products, and designs which contribute to a sustainable
future.
Establishing an Innovative Culture
Operate small-sized innovative unit C-Labs and in-house crowd sourcing,

MOSAIC, to spread creative culture in the company

R&D Investment
Reinforce business competitiveness by making steady R&D investments

regardless of the years sales

Open Innovation
Improve Samsungs technological prowess through strategic partnerships and

M&As; take the initiative in fostering innovative companies

Productivity Innovation
Improve productivity by securing manufacturing competitiveness and

innovating overall work process

Product Innovation
Work hard to secure market leadership in various products and services
Innovation in Social Areas

Apply

4C

(Considerate,

Comprehensive,

Coherent,

Co-Create)

accessibility design principles so that all customers can use our products and
services in an equal, convenient way
-

Environment :
a. Green Policy
Eco-friendly management is part of the Five Samsung Business Principles;
demonstrating that the company will do its utmost to conduct business activities
that respect and improve the lives of people and conserve the planets resources.
Our Green Management vision is Providing a Green Experience, Creating a
Sustainable Future and is symbolized under our trademark slogan
PlanetFirst.
Declaration of Green Management and Green Management System
Sharing eco-friendly ideas and our vision through the Green Management
Declaration, mid-term roadmap, and Environmental Declaration. Operating
various green management councils and an established global green

management system to supervise our company wide environmental efforts

Green Communication
Communicating with relevant stakeholders on green activities through
established channels and external agencies; e.g. the Carbon Disclosure

Project and Water Disclosure Project

Response to Climate Change
Analyzing climate change risks, and reflecting the results when deciding
upon corporate policies according to their importance. We also conduct

research projects with external institutions for adaptation to climate change

Material issues
i. GHG Reduction at Worksites
ii. Environmentally-friendly products and service
EM2020
Through EM2020, second phase of mid-term roadmap, managing GHG
emission reduction at the product use stage and the annual reduction rate of
GHG emission intensity at worksites, as performance indicators
b. Eco Product
Starting with the product planning and development stages, our vision is to fully
uphold our responsibility for the whole product life cycle principle; by
minimizing all our products environmental impacts and improving resource
efficiency at all stages of the product life.
Monitoring our Goals

Managing eco-product development rate and recycled amount of waste

electronic products as our performance indicators. Meeting EM2020 goals

for GHG emissions reduction at the product usage stage.

Resource Circulation Management
In order to minimize our environmental impact throughout the entire life
cycle, and increase resource efficiency at each stage; we will establish and
operate a resource circulation management system\

c. EHS Management
Samsung Electronics manufacturing sites conduct reen management activities
by minimizing negative environmental impacts from their production facilities
at each stagefrom the procurement of raw materials and production to the
distribution, use, reuse and disposal phases.
EHS Management
Manage the established four key mid- and long term goals for EHS

management of our worksites and manage our performance

Water Resource Management
Examining water resource risks, efforts for reduction of water use, and look
at water resources around our worksites and their influence on nearby

ecosystems
Waste Management
Operating ways of waste reduction management and recycling of water
Pollutant Management
Managing air and water pollution caused by the expansion of production

lines
Conservation of Biodiversity
Promoting the importance of conservation of biodiversity with employees

and reflecting this in business plans

Chemicals
Responding to regulations such as the Act on Registration and Evaluation of
Chemical Substances (ARECs) and the Toxic Chemicals Control Act (which
goes into effect in 2015); establish a chemical management system

5. Report Indicators
Report Indicator in Samsungs Sustainability Report are completed which compared
with the requirement of the comprehensive option thats choosen by Samsung as the in
accordance option that is right for their organization, and meet the requirements. The
comprehensive option not only contains the essential elements of a sustainability report

and provides the background against which an organization communicates its economic,
environmental, social, and governance performance and impacts and reporting on the
organizations management approach (DMA) related to its material Aspects, but also
requiring a number of additional disclosures about the organizations strategy and
analysis, governance, ethics and integrity. Under the Comprehensive option, an
organization must report all Indicators for all identified material Aspects.

6. GRI Content Index

In this Report the GRI index report has been attached in the ending part of the Report.
There was writted by order of the G4 Standart so the the stakeholders can be easily to
search the content of the report.