cfo discussion hong kong future state - esg reporting mark … · 2016. 7. 26.  · esg reporting...

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Prepared by: CSC Asia Pacific Ltd For: SAP Finance Event HK July 26, 2016 CFO Discussion Hong Kong Future State - ESG Reporting Mark Rittmayer CFO July 25, 2016

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Page 1: CFO Discussion Hong Kong Future State - ESG Reporting Mark … · 2016. 7. 26.  · ESG reporting ("ULAB") ESG KPI's - Cost optimization available for large early adopters 1. Strategic

Prepared by: CSC Asia Pacific Ltd For: SAP Finance Event HK July 26, 2016

CFO Discussion Hong Kong

Future State - ESG Reporting

Mark Rittmayer

CFO

July 25, 2016

Page 2: CFO Discussion Hong Kong Future State - ESG Reporting Mark … · 2016. 7. 26.  · ESG reporting ("ULAB") ESG KPI's - Cost optimization available for large early adopters 1. Strategic

SAP and where it makes sense

1.Cloud Platforms (CMS 2016 / 2022)

2.Supply Chain Reporting !

3.Sustainalytics

"Cloud and Cloud services up 124%"

Page 3: CFO Discussion Hong Kong Future State - ESG Reporting Mark … · 2016. 7. 26.  · ESG reporting ("ULAB") ESG KPI's - Cost optimization available for large early adopters 1. Strategic

Public Companies / Transparency and Risk

CSC - Case Study on

Market impacts and

related ESG events

(HKG:319)

External Use - CSC Asia Pacific Ltdimages provided under separate agreement with Thompson Reuters

Page 4: CFO Discussion Hong Kong Future State - ESG Reporting Mark … · 2016. 7. 26.  · ESG reporting ("ULAB") ESG KPI's - Cost optimization available for large early adopters 1. Strategic

Corporate Financing - and ESG dataFinancial debt consists of current and non-currentbank loans, bonds, and private placements. Formore information about our financial debt, see theNotes to the Consolidated Interim FinancialStatements section, Note (10).

Page 5: CFO Discussion Hong Kong Future State - ESG Reporting Mark … · 2016. 7. 26.  · ESG reporting ("ULAB") ESG KPI's - Cost optimization available for large early adopters 1. Strategic

ESG Components and Risk2016 increased requirements

1.Cube is 400+ data-points2.Analytics across Geos and Companies3.Exception processing including identification and explanation phase.4.Outsourcing initialization phase accelerates rapid information requirement curve5.First movers obtain the best and brightest resources, reduced risk, and access to optimization opportunities as thought leaders

External Use - CSC Asia Pacific Ltdimages provided under separate agreement with Thompson Reuters

Page 6: CFO Discussion Hong Kong Future State - ESG Reporting Mark … · 2016. 7. 26.  · ESG reporting ("ULAB") ESG KPI's - Cost optimization available for large early adopters 1. Strategic

2015 Example - Simple Explanations ENVIRONMENTAL PERFORMANCE:

ENERGY AND EMISSIONS

Over the past several years, we have worked to better understand the connections between our energy consumption, its related cost, and

the resulting environmental impact. Today we measure and address our energy usage throughout SAP, as well as our greenhouse gas (GHG)

emissions across our entire value chain. Between the beginning of 2008 and the end of the third quarter of 2015, we calculate that energy

efficiency initiatives have contributed to a cumulative cost avoidance of € 338 million, compared to a business-as-usual extrapolation. Our

goal is to reduce the greenhouse gas emissions from our operations to levels of the year 2000 by 2020. SAP’s GHG emissions for the third

Quarter of 2015 totaled 110 kilotons CO2 compared to 125 kilotons in the third quarter of 2014. This decrease is primarily due to a decrease in

business flights. As we measure our emissions per employee and per euro of revenue, we gain insight into our efficiency as we grow. Since

2007, we have increased our efficiency according to both measures, lowering our emissions per employee by about 38.9 % and per euro of

revenue by about 54.4 % at the end of September 2015 (rolling four quarters). In recognition of the exemplary actions SAP has taken to

embed sustainability across its business worldwide, SAP has been included in various ratings and rankings. For the ninth time in a row SAP has

maintained its position as the software-industry leader in the Dow Jones Sustainability Index (DJSI), with a total score of 76 points. In the

Sustainalytics

2016/17 HKEx "Comply or explain" with KPI's

Page 7: CFO Discussion Hong Kong Future State - ESG Reporting Mark … · 2016. 7. 26.  · ESG reporting ("ULAB") ESG KPI's - Cost optimization available for large early adopters 1. Strategic

ESG Education Workshops - 2016 OpportunitiesESG reporting ("ULAB")

ESG KPI's - Cost optimization

available for large early

adopters

1. Strategic Prioritization of Data points

and templates

2. Identification of data ownership and

collection options

3. Reporting Models and Working

prototypes for 2016 / 17

External Use - CSC Asia Pacific Ltd images provided under separate agreement with Thompson Reuters

Page 8: CFO Discussion Hong Kong Future State - ESG Reporting Mark … · 2016. 7. 26.  · ESG reporting ("ULAB") ESG KPI's - Cost optimization available for large early adopters 1. Strategic

ESG Reporting and Profitability (opportunities)

1.The rise of populism: "Impact on portfolio returns and allocations"

2.Cloud Platforms (CMS 2016 / 2022) / Supply Chain Reporting !

3.Sustainalytics (ESG analytics renamed)

Opportunities: We have comprehensive opportunity-management

structures in place, which are intended to enable us to recognize

and analyze opportunities early and to take the appropriate action.

The opportunities remain largely unchanged since 2014, and are

discussed more fully in our 2014 Integrated Report.

You have this in place ?

Page 9: CFO Discussion Hong Kong Future State - ESG Reporting Mark … · 2016. 7. 26.  · ESG reporting ("ULAB") ESG KPI's - Cost optimization available for large early adopters 1. Strategic

Where to find Opportunities:

Marketing and Education ESG Webinar April 12,

2016Baseline Marketing

and education

materials for Top 100

Producers

•Includes Supply Chain Partners

•Over 2,000 Contacts in Hong Kong

•Repeatable

•Cost Effective

•Proven Social Media Channels

External Use - CSC Asia Pacific Ltd

images provided by AEC Ltd under separate agreement

Page 10: CFO Discussion Hong Kong Future State - ESG Reporting Mark … · 2016. 7. 26.  · ESG reporting ("ULAB") ESG KPI's - Cost optimization available for large early adopters 1. Strategic

Product Ecosystem - Lead Acid Batteries

(Financial / Automated Supply Chain)

ESG Reporting

2016 HKEx

External Use - CSC Asia Pacific Ltd

images and Documents provided by SAP HK Ltd under

agreement to CSC AP Ltd

Page 11: CFO Discussion Hong Kong Future State - ESG Reporting Mark … · 2016. 7. 26.  · ESG reporting ("ULAB") ESG KPI's - Cost optimization available for large early adopters 1. Strategic

Standard Commitment letter / Gate Charge

Release - "1st Mover Partner Case"

Pre-opening 2016 program

Business Development give back

for commitments

•$12M HKD gate fee concessions

(8,000mT at $1,500 per ton)

•Gate fee reduction incentive to

ULAB producers indicating a

willingness to recycle and work

together*

*requires verification of LAB inventory

Page 12: CFO Discussion Hong Kong Future State - ESG Reporting Mark … · 2016. 7. 26.  · ESG reporting ("ULAB") ESG KPI's - Cost optimization available for large early adopters 1. Strategic

ESG Education Workshops - 2016 OpportunitiesESG reporting ("ULAB")

ESG KPI's - Cost optimization

available for large early

adopters

1. Strategic Prioritization of Data points

and templates

2. Identification of data ownership and

collection options

3. Reporting Models and Working

prototypes for 2016 / 17

External Use - CSC Asia Pacific Ltd images provided under separate agreement with Thompson Reuters

Page 13: CFO Discussion Hong Kong Future State - ESG Reporting Mark … · 2016. 7. 26.  · ESG reporting ("ULAB") ESG KPI's - Cost optimization available for large early adopters 1. Strategic

ESG seminar this Friday - July 29thEnvironmental Social

Governance Reporting

2016 - complying with the

HKEx requirements

Webcast Date: Friday, July

29, 2016 at 11:00 AM GMT-

12:00

Audience URL:

http://event.on24.com/wc

c/r/1230949/C206918A606D

27F29C7043501E4FDABC

Page 14: CFO Discussion Hong Kong Future State - ESG Reporting Mark … · 2016. 7. 26.  · ESG reporting ("ULAB") ESG KPI's - Cost optimization available for large early adopters 1. Strategic

For further Information

Mark C Rittmayer CPA CIA CISA PMP

CFO - CSC Asia Pacific Limited

[email protected]

+852 6259 0476