Mercedes-Benz Aligns Business Strategy with Six Key ESG Focus Areas
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- Comprehensive Strategy: Mercedes-Benz addresses sustainability through six focus areas—Environment & Climate, Resources & Circularity, Human Rights, Traffic Safety, Digital Trust, and People—aligned with its ESG goals.
- Bold Targets: The company commits to achieving net carbon-neutrality by 2039, promoting a circular economy, and leading in digital and safety innovation.
- Stakeholder-Centric Vision: Mercedes-Benz focuses on creating lasting value for customers, employees, investors, and society through its sustainability strategy.
Embedding Sustainability in Six Focus Areas
Mercedes-Benz has integrated sustainability into its corporate strategy, defining six focus areas to drive lasting impact: Environment & Climate, Resources & Circularity, Human Rights, Traffic Safety, Digital Trust, and People.
“Sustainability has been a fundamental component of the Mercedes-Benz Group’s corporate activities for many years. For we strongly believe that only those who focus on a sustainable business strategy in the long term can remain economically successful.” – Renata Jungo Brüngger, Board Member, Integrity, Governance & Sustainability
These focus areas aim to create ecological, social, and economic value, ensuring the company’s long-term success while addressing critical challenges.
1. Environment & Climate
Mercedes-Benz is pursuing net carbon-neutrality across its fleet by 2039, 11 years ahead of EU legislation requirements. This ambitious goal spans the vehicle lifecycle—from material extraction and production to recycling—driven by renewable energy adoption and a circular economy approach.
“Our ambition is that by 2039, our entire fleet of new vehicles will be net carbon-neutral over their entire life cycle.”
Key initiatives include:
- Transitioning to all-electric mobility and sustainable production practices.
- Establishing environmental management systems worldwide to ensure efficiency and sustainability.
- Supporting the Paris Climate Agreement by reducing greenhouse gas emissions.
For more details, visit the Environment & Climate Overview.
2. Resources & Circularity
Mercedes-Benz is committed to decoupling resource consumption from production growth by focusing on recycling, secondary materials, and modern processes. The **4R strategy—Rethink, Reduce, Repair, and Recycle—**guides its efforts toward a circular economy.
“We want to increasingly decouple the consumption of resources from the growth of our production volume.”
Key initiatives include:
- Prioritizing secondary materials like recycled plastics, steel, and aluminum.
- Designing vehicles with resource efficiency in mind throughout their lifecycle.
- Operating a battery recycling factory in Kuppenheim to preserve material value.
For more details, visit the Resources & Circularity Overview.
3. Human Rights
Mercedes-Benz champions human rights throughout its value chain, emphasizing ethical sourcing and social responsibility. The company has implemented the Human Rights Respect System (HRRS) to address risks in supply chains systematically.
“We only want to offer products and services that have been manufactured without violating human rights.” – Jürgen Gleichauf, Chief Compliance Officer
Key initiatives include:
- Integrating human rights standards in the Principles of Social Responsibility and Human Rights.
- Taking a risk-based, strategic approach to procurement.
- Advocating for fair labor practices and ethical partnerships.
For more details, visit the Human Rights Overview.
4. Traffic Safety
Mercedes-Benz aims to eliminate road accidents caused by its vehicles by 2050, surpassing the EU’s Vision Zero target. This aligns with its vision of accident-free mobility, supported by innovations in advanced safety technologies and automated driving systems.
“From 2050, none of our vehicles should be the cause of a road accident.”
Key initiatives include:
- Collaborating with stakeholders, NGOs, and public authorities to enhance safety standards.
- Advancing automated driving technologies with ethical and social considerations.
- Reducing fatalities and injuries to make roads safer for all users.
For more details, visit the Traffic Safety Overview.
5. Digital Trust
Mercedes-Benz prioritizes responsible and ethical data use to build Digital Trust among stakeholders. This focus area is vital as digital transformation reshapes mobility.
“The resulting trust from important stakeholder groups is crucial to the success of our digital innovations.”
Key initiatives include:
- Strengthening data security and transparency to empower customer control.
- Leveraging artificial intelligence (AI) responsibly to enhance mobility experiences.
- Ensuring ethical handling of digital technologies and data.
For more details, visit the Digital Trust Overview.
6. People
Mercedes-Benz invests in its workforce through training, diversity initiatives, and modern working conditions. The Sustainable People Plan supports employee development and ensures a future-ready team.
“Every day at Mercedes-Benz, we work as a team on the future of sustainable mobility – with passion, pioneering spirit and great commitment.” – Sabine Kohleisen, Board Member, Human Relations
Key initiatives include:
- Offering flexible working conditions and training programs to empower employees.
- Promoting diversity, equity, and inclusion across the organization.
- Enhancing employee health through comprehensive wellness programs.
For more details, visit the People Overview.
Holistic Sustainability Strategy
Mercedes-Benz’s six strategic focus areas underline its commitment to a comprehensive sustainability strategy, addressing environmental, social, and governance challenges. By embedding sustainability into its operations, the company aims to create lasting value for stakeholders and society while achieving its bold targets.
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