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1 France Telecom Orange ISR presentation Brigitte Dumont Director of Corporate Social Responsibility May 2013 PROJET

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Page 1: ISR presentation - Orange S.A. · CSR stakeholders dialogue allows Group to better ... equal weight for HR indicators and results of employee satisfaction survey « baromètre social

1

France Telecom Orange

ISR presentation

Brigitte Dumont Director of Corporate Social Responsibility

May 2013

PROJET

Page 2: ISR presentation - Orange S.A. · CSR stakeholders dialogue allows Group to better ... equal weight for HR indicators and results of employee satisfaction survey « baromètre social

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cautionary statement

This presentation contains forward-looking statements about France Telecom’s business, notably for 2012. Although France Telecom believes these statements are based on reasonable assumptions, the actual occurrence of the forecasted developments is subject to numerous risks and uncertainties, including matters not yet known to France Telecom or not currently considered material by France Telecom, and there can be no assurance that anticipated events will occur or that the objectives set out will actually be achieved. Important factors that could cause actual results to differ materially from the results anticipated in the forward-looking statements include, among other factors, overall trends in the economy in general and in France Telecom’s markets, the effectiveness of the “Conquests 2015” strategic plan and of other strategic, operating and financial initiatives, France Telecom’s ability to adapt to the ongoing transformation of the telecommunications industry, notably in France with the arrival of the fourth mobile operator, tax and regulatory constraints, notably on fixing wholesale tariffs, as well as the outcome of legal proceedings and the risks and uncertainties related to international operations and exchange rate fluctuations. More detailed information on the potential risks that could affect France Telecom's financial results can be found in the Registration Document filed with the French Autorité des marchés financiers and in the annual report on Form 20-F filed with the U.S. Securities and Exchange Commission. Except to the extent required by law, in particular sections 223-1 et seq. of the General Regulations of the Autorité des marchés financiers, France Telecom does not undertake any obligation to update forward-looking statements.

Page 3: ISR presentation - Orange S.A. · CSR stakeholders dialogue allows Group to better ... equal weight for HR indicators and results of employee satisfaction survey « baromètre social

3

Stéphane Richard Chairman and Chiel Executive Officer

« corporate social responsibility is a key component

of our conquests 2015 project »

CSR stakeholders dialogue allows Group to better

anticipate business opportunities and manage risks

CSR reinforces differentiation among the sector and

increases performance and reputation

involved and motivated employees contribute more to

customer satisfaction, productivity and innovation

CSR to create new revenue streams and develop new

territories to grow business

a rigorous governance to drive a dynamic, reactive and

agile strategy

March 2012 - Orange presents its

“10 commitments” in Brussels,

contributing to Europe’s Digital

Agenda

– 6 commitments tagged as

« Responsible behaviour »

insight

Page 4: ISR presentation - Orange S.A. · CSR stakeholders dialogue allows Group to better ... equal weight for HR indicators and results of employee satisfaction survey « baromètre social

4

Our main achievements

Employees Customers Digital world Greener world

•Top employeur

2012:(France, Spain,

Poland, Belgium & Europe)

•Orange People

Charter: 23 countries

•SPCI •National

•International

•4 000 new recuitments

(2013-2015)

* New Senior Part Time

plan (2013-2015)

•Orange Campus:

AMEA (2012)

•Health & Security

Policy (07/12)

•Gender Equality

European Standard

•Mixity: Top 3

(Capitalcom)

•CET (Customer

Experience Tracker)

•responsible supply

chain / JAC: extension

of on-site audits

•Label « Relations

Fournisseurs Resp.

« (Fr) (2013)

•Best mobile network

in France (ARCEP)

(2013)

•European programs

for Child Protection

CEO Coalition – « A

better internet for

kids »(monitored by N.Kroes)

ICT coalition for a

Safer internet for

children

•Orange for

Development (04D)

10 op. domains

•Sub-marine Cables:

ACE (12/12), LION..

•Incubators for

technologies start-up

(Senegal, Niger,

Tunisia)

•3nd African Social

Venture Prize (2013)

•OBS: 1er Network in

Africa (11/12)

•Orange Money:

5,6 m customers in 13

countries (12/12)

•« Rural Lab in Ivory

Coast with Grameen

Foundation

•Energy Action Plans

(EAP): launched in 24

countries

-305 GWh (2012)

•Mobo, the

“intelligent » collector

(10% mob. Collected)

•Orange named to

Carbon Performance

Leadership Index

(CPLI)

•Ecomobilité Ventures

(5m$ invested in 3

companies)

•Solar in AMEA (2300

sites end of 2012)

•ISO 14001 (34%, end

of 2012)

Governance

•CSR Report:

reasonable assurance

(approach and roadmaps) A+ (GRI)

•Deployment of

stakeholder dialogue

•Industry Dialogue –

GNI (Human Rights)

(03/13)

•Simplicity Prog.

•8e in « Transparency in

Corporate Reporting »

(Transparency

International (07/12)

•Vigeo : Eur. Index

•N°1: Sustainable

Development Trophy

(French Institute of

Chartered Accountants))

Page 5: ISR presentation - Orange S.A. · CSR stakeholders dialogue allows Group to better ... equal weight for HR indicators and results of employee satisfaction survey « baromètre social

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creating social links for everyone’s benefits

I. A responsible governance and processes

III. Next Steps

II. CSR, at the heart of the Group’s strategy

Page 6: ISR presentation - Orange S.A. · CSR stakeholders dialogue allows Group to better ... equal weight for HR indicators and results of employee satisfaction survey « baromètre social

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Corporate governance

•The Board of Directors presides over all

decisions relating to the Group’s major

strategic, economic, employment, financial

or technological policies and monitors the

implementation of these policies by the

Management

•Principle of Balanced Representation

between Women and Men :

the Company’s Board has 3 women

out of 12 members (1), which

exceeds the 20% target set by the

law.

•The Governance and Corporate Social

Responsibility Committee (CGRSE) met 6

times in 2012

(1) Apart from the directors elected from among the employees, who are not taken into account by the French Law of January 27, 2011

insight

12

2

14

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CSR supported with rigorous processes

a complete mapping of issues, through a thorough stakeholders dialogue

Capacity to handle at the highest level sensible issues such as

Supply chain management

Business initiative on Human Rights issues

an improved reporting, audited by a statutory auditor

reasonable assurance on

all the achievements of the 2012 Roadmap

implementation of AA1000 principles

10 indicators

moderate assurance on 10 indicators (total evacuated internal waste, % of women in management positions, redundancies, external recruitments, resignations, accidents, days lost due to accidents and illlness)

A+ for GRI

an increased completeness and accuracy of the CSR reporting

Nb 1: Sustainable Development Trophy (Council of the French Institute of Chartered Accountants (Feb. 2013): best sustainable development report publish by a CAC40 company

Page 8: ISR presentation - Orange S.A. · CSR stakeholders dialogue allows Group to better ... equal weight for HR indicators and results of employee satisfaction survey « baromètre social

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A structured stakeholder dialogue strengthening our options

main AMEA countries (Botswana, Cote d’Ivoire, Cameroon, Madagascar, Mali,

Niger, Senegal, Uganda, Guinea Bissao, Jordan)

engage for countries’ development

three well identified axis

exam

ple

of “m

ate

rialit

y m

atr

ix”

in

Belg

ium

main European countries (France, Poland, Spain, Belgium, Romania, Armenia, …)

be irreproachable and responsible on core business

& trend toward empowerment of local ecosystems

importance for business

Stakeholder requirements for each country are drawn up in a

“materiality matrix”.

Stakeholder dialogue enables to tailor CSR policies as

close to local needs as possible and monitor them in time.

imp

ort

ance f

or

share

ho

lders

2 3

1

1 1 1

Orange country where a stakeholder dialogue has been conducted

OBS country where a stakeholder dialogue has been conducted

Page 9: ISR presentation - Orange S.A. · CSR stakeholders dialogue allows Group to better ... equal weight for HR indicators and results of employee satisfaction survey « baromètre social

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a management of our suppliers promoting the principles of responsible purchasing

sourcing policy is

based on a

structured dialogue

with suppliers and a

common vision

thanks to:

long term

partnerships

a rating according to

strategic importance

a structured assessment

and monitoring process

quarterly strategic supplier

review with dedicated tool:

QREDIC

100% of key

strategic suppliers

subject to the

QREDIC system (vs

83% in 2009)

improved management of suppliers

risks

publication of Suppliers’ Code of

conduct with all applicable law texts

contractual clauses integrating ethical and

social criteria

indicator concerning local supplies

on-site audits and suppliers questionnaire

online

January 2013: JAC* membership =

9 operators

59 CSR audits of mostly Asian suppliers

under the JAC initiative

action plans designed with suppliers after

audit revealed non conformities mainly on:

- compensation

- working hours

- health and safety

quality

reactivity

relationship

ethic environment

deadline

innovation

cost - billing

focus: follow-up of Asian suppliers audits focus: example of a results of

QREDIC

*JAC: Joint Audit Corporation: FT, DT, TI; 2011/2012: extended to Vodafone, KPN,

Swisscom, Belgacom, Telenor and TeliaSonera

sourcing policy to be

implemented also

through Buyin, the

JV between DT and

FT

2012: local deployment of QREDIC in 6

countries, totalling 18 countries convered;

in total the evaluation of more than 500 local

suppliers across the majority of purchasing areas

Page 10: ISR presentation - Orange S.A. · CSR stakeholders dialogue allows Group to better ... equal weight for HR indicators and results of employee satisfaction survey « baromètre social

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creating social links for everyone’s benefits

I. A responsible governance and processes

III. Next Steps

II. CSR, at the heart of the Group’s strategy

Page 11: ISR presentation - Orange S.A. · CSR stakeholders dialogue allows Group to better ... equal weight for HR indicators and results of employee satisfaction survey « baromètre social

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Group’s principal commitments and priorities

We have defined 8 clear priorities in 2010 – one change has been decided by ExCom

Ambition and quantified targets are endorsed by ExCom members

Former priority

“Strengthen and extend

the Group’s leadership in

accessibility offerings (for

handicap) and their

specialized distribution”

Extended to:

“Foster digital inclusion

by developing offers and

solutions for the largest

number of people and

reducing all types of digital

divides (geographical,

economical, handicap,

digital illiteracy)”

Page 12: ISR presentation - Orange S.A. · CSR stakeholders dialogue allows Group to better ... equal weight for HR indicators and results of employee satisfaction survey « baromètre social

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creating social links for everyone’s benefits

1. recognising and supporting employees

3. sharing the benefits of the digital world with the greatest possible number of people

2. ensuring transparency, quality, security and safety for our customers

4. finding innovative solutions for a greener world

Page 13: ISR presentation - Orange S.A. · CSR stakeholders dialogue allows Group to better ... equal weight for HR indicators and results of employee satisfaction survey « baromètre social

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1- recognising and supporting employees

a specific demography in France…

the most steady decrease of employees on domestic markets …

TEF* (incl. Atento) DT FT

2005 2000 2010

40

60

80

100

FT net decrease of 49k

over 10 years

a high “loyalty” to the company, leading to a specific age pyramid in France

group pyramid ageing

outside France France

6k

4k

2k

0

60 50 40 30 20 >30

41%

20 to

29

26%

10 to

19

21%

<10

12%

seniority at FTSA, in years

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recognition and incentives

a free-shares plan conditioned upon the success of Conquests 2015

an appropriate weight of profit-sharing***

diversify profiles

Gender Equality European Standard (2011); (Top 3 in 2012 by CapitalCom )

diversity promotion (LGBT Charter, 2012) more international profiles

a new management strategy

commitment towards employees in France through a “Social Contract” since 2010

creation of the “Orange People charter” in Nov. 2011 (deployed in 23 countries in 2012)

management strategies adapted locally

social performance as a key objective

SPCI*, a reliable reference index for management quality

included in French “leaders” variable part of remuneration** through the corporate factor

extended to all countries (2S2012)

composition of French corporate factor

composition of average remuneration in France in 2012

% of women among Leaders (Target 2015: 35%)

2012

2010

financial perf.

social perf. (SPCI)

QoS

50%

30% 20%

Development of

Orange Campus 73% managers trained end 2012

(220 000 hours of formation)

a new management model to combine economic and

social performance

80%

20% profit-sharing***

*social performance composite indicator

**”leaders” variable part = (60% of individual objectives + 40% collective objectives) x corporate factor

*** variable pay (commercial and managerial), profit sharings and employer matching of employee savings

fixed

competency adaptation to business priorities

better alignment of skills allocation with operational needs at Group level

leverage on increasing training, make or buy policies, recruitment and departure levels

52%

40% 27,5%

28,2%

Orange Campus in Dakar

(May 2013)

Cloud Academy (OBS, 09/12)

Page 15: ISR presentation - Orange S.A. · CSR stakeholders dialogue allows Group to better ... equal weight for HR indicators and results of employee satisfaction survey « baromètre social

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… supported by the integration of social climate as a key top management objective: SPCI

equal weight for HR indicators and results of employee satisfaction survey

« baromètre social »

50% 50%

5

HR indicators (HR dashboards)

departure rate < 3 years

% of women in management

networks (leaders)

% of annual appraisals realized

% of employees with no training

since 3 years

absence rate < 5 working days

5

items taking into account the social concerns (baromètre social)

management

working environment

professional development

recognition

CSR and Strategy

-5 <Y<+5

if value = +1

if ~ value = 0

if value = -1 -5 <X<+5

if value = +1

if ~ value = 0

if value = -1

=( X+Y)/2 (Value between -5 and + 5)

S

P

C

I

ocial

erformance

omposite

ndicator

(X+Y)/2

=>value between -5 and +5

results 2nd semester 2012:

SPCI value = + 3,5

increase of all HR indicators, especially:

Recognition – Pay: + 1,6

Strategy & CSR: + 1,4

main messages from the employees

survey:

management relations continue to benefit

from a very positive perception

employees perception of CSR strongly

improved such as items related to work

conditions

career path and transparency on

compensation schemes remain at the heart

of employees’ expectations

insight Evolution of the Group France employees on each theme: Average mark

between -100 and +100 calculated from the answers of the questioned

employees on each theme

Page 16: ISR presentation - Orange S.A. · CSR stakeholders dialogue allows Group to better ... equal weight for HR indicators and results of employee satisfaction survey « baromètre social

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end of 2012: an improving social climate

*social performance composite indicator

ambition to become an employer of choice

Orange: top employers in 4 countries: France,

Belgium, Spain, Poland and in Europe

worldwide launch of the Orange People Charter

be an ethical and socially responsible employer

offer career and development opportunities

provide a work environment for outstanding

customer satisfaction

empower managers and hold them accountable

for progress and success

provide a positive quality of life at work

recognize and reward our people for individual

and collective contributions to our success

launch of the international barometer to measure

social performance progress (SPCI) (yearly)

– 2nd measure in dec. 2012 (+ 4 pts vs 2011 av.)

– is now integrated into “leaders” network’s bonus

implementing the framework to

increase employee involvement

Group

158 initiatives of the social contract launched

perception of change continues to improve

throughout 2012

– 2H12 SCPI* at +3,5 showing upturn

and collective progress

– improvement on feminization, training,

CSR and strategy, recognition and

professional development

5% of French headcounts entered the part-

time senior plan

Absenteeism : between 2010 and 2012, the

total number of days of absence fell by

84,088 days (-8%), continuing the downward

trend started in 2010

France

first results of the major commitments set up after close negotiations with trade unions in 2010

improving social climate

Page 17: ISR presentation - Orange S.A. · CSR stakeholders dialogue allows Group to better ... equal weight for HR indicators and results of employee satisfaction survey « baromètre social

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Results 2012: People & CSR

France Europe AMEA Enterprise

Communty Phone = 1 Telephone + 1 antenna + 1 solar panel

Page 18: ISR presentation - Orange S.A. · CSR stakeholders dialogue allows Group to better ... equal weight for HR indicators and results of employee satisfaction survey « baromètre social

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creating social links for everyone’s benefits

1. recognising and supporting employees

3. sharing the benefits of the digital world with the greatest possible number of people

2. ensuring transparency, quality, security and safety for our customers

4. finding innovative solutions for a greener world

Page 19: ISR presentation - Orange S.A. · CSR stakeholders dialogue allows Group to better ... equal weight for HR indicators and results of employee satisfaction survey « baromètre social

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2- ensuring transparency, quality, security and safety for our customers invest on quality and meet customer needs to build loyalty

customers satisfaction more involved & satisfied

employees

OPEX savings

churn reduction

value creation

better economic & social performance

&

• DLM: Dynamic Line Management

• KARMA: infrastructure for remote

Management of the Liveboxes

improve end-to-end QoS • better manage end-to-end on :

- mobile with handset based solutions

measurement for voice and data services

- fixed broadband with DLM*

• more simplicity: 19 customer testing centres in 15

countries

•development of remote management with KARMA

•strong focus on first time right & reducing repeated

calls

adapt to customers

expectations • invest in tools to better understand customers’

behaviour and expectations

• self service and self care: dedicated social networks

oriented training in call centres, boost of e-care channels

& “Orange et Moi”

• CET- Customer Experience Tracker: help to manage

customer experience & to compare it with competition

Page 20: ISR presentation - Orange S.A. · CSR stakeholders dialogue allows Group to better ... equal weight for HR indicators and results of employee satisfaction survey « baromètre social

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promoting safe and responsible usages Child protection tools – Data privacy protection tools

develop tools to manage data privacy

a global policy to manage security risks and

ensure the confidentiality of personal data:

Definition of “Standard of Security Group) (2012)

Security Policy for data privacy protection

(Experts of the Group): 1st diffusion in 2012

Deployment of the “Public Key Infrastructure”

(Infrastructure à clés publiques) and tools (2012)

create & develop solutions for customers

detection and anticipation of attacks

privacy dashboard: provision of an interface

enabling customers to manage and share their

personal data

Cloudwatt (Orange & Thales): launched in

2012 (Securised Cloud Services)

Mobile applications & Child Protection:

“GSMA Mobile Privacy Initiative Developers

Guidelines for mobile applications (signed in

Feb. 2012)

The Group’s policy for protecting children on line

is guided by three action principles :

promoting responsible use

educating parents and teachers

increasing the visibility and performance of

parental control tools

At global level, Orange has made extensive new commitments

CEO Coalition to Make a Better Internet for Kids

ICT Coalition to promote the “Principles for the Safer Use of Connected Devices and Online Services by Children & Young People”

Former commitments are still being followed up

European Framework for Safer Use of Mobile by Young Teenagers and Children, Mobile Alliance Against Child Sexual Abuse Content, promotion of Safer Internet day by all Orange European countries …

Different countries, different initiatives

In-boutique parental controls training courses for

customers (France), courses on good Internet

usage by psychologists in schools (Slovakia), live

chats between parents and psychologists…

child protection :

Orange digital coach for parents

Page 21: ISR presentation - Orange S.A. · CSR stakeholders dialogue allows Group to better ... equal weight for HR indicators and results of employee satisfaction survey « baromètre social

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answering radio wave concerns: antennas and mobile phones

all the subsidiaries comply with authorities

policy on radio waves

prevention and compliance with regulation : the

correct use of mobile phones

prevention and

promotion of the

correct use of mobile

phones

***CIRC: Centre International de Recherche sur le Cancer

OMS: Organisation Mondiale de la Santé

transparency in communication and contribution

to research

contributing to research on radio waves

participation to the CIRC, OMS*** studies and

communication to public

focus in Spain: help from Orange Spain to launch a

new service (SATI) to inform and provide support

regarding the deployment of the mobile network

2013: seminar on EMF in AMEA

contributing to the public debate on antennas

according to the last scientific assessments (WHO-

2006), no evidence of any harmful effect of base

stations on human health

actual engineering of mobile networks provides

exposure levels much lower than maximum permitted

more than 1.450 (e) reported EMF* measurements

around base stations in 2012 (France)

mandatory decrease of maximum levels would not

decrease average exposure, could reduce coverage

communication on device specific absorption

rate (DAS in French)

in areas such as African

countries, where no regulation

is implemented, Orange

subsidiaries comply to

ICNIRP** recommendations

compliance verified in 2012

by internal audits

* EMF: electro-Magnetic Frequencies

**ICNIRP: International Commission on Non Iozining Radiation

Protection

countries where legislation applies European recommendations (ICNIRP)

other local legislations followed by Orange

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creating social links for everyone’s benefits

1. recognising and supporting employees

3. sharing the benefits of the digital world with the greatest possible number of people

2. ensuring transparency, quality, security and safety for our customers

4. finding innovative solutions for a greener world

Page 23: ISR presentation - Orange S.A. · CSR stakeholders dialogue allows Group to better ... equal weight for HR indicators and results of employee satisfaction survey « baromètre social

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3- sharing the benefits of the digital word with the greatest possible number of people focus on our core business: networks…

Orange mobile and fixed networks at the forefront of competition

which will accelerate with LTE and FTTx transformations

developing infrastructure to extend coverage of fixed and mobile networks across the footprint

deploying networks in the AMEA zone

contributing to economies development through fibre deployment – France

accelerate 2G and 3G mobile coverage

+12% 2G sites per year (CAGR 2010-2013)

X 2,5 3G sites between 2010- 2013

open up

African

continent

to

develop

broadband

11 millions homes passed by 2015

€2bn CAPEX plan over 2010-2015

ambition to be #1

In Senegal, mobile will account for 13.7% of all

growth in the Senegalese economy by 2016*

*Study by Dr. Raúl L. Katz, from Columbia Business School – June 2012

• Our commitment: roll out 3G by 2015 in all AMEA countries

where Orange operates; offer mobile coverage to over 80%

of the population

• Our achievements: at end 2012, 3G+ is available in 15 of

the 20 countries where Orange is a mobile operator

Page 24: ISR presentation - Orange S.A. · CSR stakeholders dialogue allows Group to better ... equal weight for HR indicators and results of employee satisfaction survey « baromètre social

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5,6 M m-payment customers

end 2012

… to support local development

develop new ecosystems … … and growth opportunities

strong assets

1

3 create favourable to economic

development conditions

improve customer value through new

service 1 meet the needs of elderly…

adapting all products and services offered

simplification of the ergonomy with large buttons,

magnified characters, list of pre-recorded numbers

launch of the new Doro PhoneEasy in Switzerland

“Esencial de Orange Spain” exclusively distributed

in pharmacies

2 … and disabled people

231 Orange stores labellised “autonomy solution” in

France in 2011 compared to 15 in 2000

3 connected healthcare systems and rural

development

Orange Healthcare joins the m-Health Alliance to

deploy mobile healthcare solutions in West Africa

facilitate access to new technologies in rural areas:

over 2,500 villages in 6 African countries benefiting from

the Orange “Community Phone” solution (end 2012)

2 adaptation to latest Internet evolutions

March 2011: inauguration of an incubator for

technologies start-up in Dakar

New incubators planed in Niger, Tunisia and Mali (2013)

June 2012: 2nd edition of the African Social Venture

Prize to support start-ups and entrepreneurs 3rd

edition in 2013

Oct. 2012: Ecomobilité Ventures

Buyster: association with Atos Origin, Bouygues

Telecom and SFR in a joint venture to launch an

innovative payment solution on mobile

accelerate m-

payment expansion in

all affiliates thanks to

the confidence inspired

by the Orange brand

14% of the total number of Orange clients are

Orange Money clients in 13 African countries

Page 25: ISR presentation - Orange S.A. · CSR stakeholders dialogue allows Group to better ... equal weight for HR indicators and results of employee satisfaction survey « baromètre social

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creating social links for everyone’s benefits

1. recognising and supporting employees

3. sharing the benefits of the digital world with the greatest possible number of people

2. ensuring transparency, quality, security and safety for our customers

4. finding innovative solutions for a greener world

Page 26: ISR presentation - Orange S.A. · CSR stakeholders dialogue allows Group to better ... equal weight for HR indicators and results of employee satisfaction survey « baromètre social

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4- finding innovative solutions for a greener world Orange leads Europe’s sustainable telecoms market

Orange green IT portfolio

Business Everywhere : flexible workplace

telepresence : collaborative work

optimizing vehicle fleet management

workstation virtualization package

telemetering

selling 10 million M2M SIM cards

being in the top-3 worldwide for

videoconferencing

Conquests 2015 ambition

ambition to rollout for

all portfolio in Europe

– mobile devices

– DECT phones

2011: France, Spain,

Romania

Orange eco labeling

developing eco-design and life-cycle analyses

Over 20 life-cycle analyses performed

that contribute to a better design of our

products and services

box’s electricity consumption reduced by up to

30%

WEEE: Waste Electrical and Electronic Equipment

Page 27: ISR presentation - Orange S.A. · CSR stakeholders dialogue allows Group to better ... equal weight for HR indicators and results of employee satisfaction survey « baromètre social

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increasing collection and recycling of mobile

phones

actions implemented :

launch of buy-back schemes for old

mobile phones in 8 countries and recently in

Austria & Spain

eco- citizens programs in France

results: 1,4 million mobiles collected in 2012 in

Europe (+ 50% from 2011) (10% of the mobiles)

actions in progress:

optimize & deploy buy-back schemes

stimulate eco-citizen collects in all our

European footprint

optimizing waste management & reducing the group’s carbon footprint recycling and improving the energy efficiency

improving the energy efficiency

sensitize and mobilize people with

a smart, simple box collection

ambition to make it accessible to

all, thanks to partnerships with

institutions, enterprises

pilots in Paris, Slovakia & Romania

focus: MOBO- an intelligent recycling box

ambitious energy plan targets:

reduce GHG emissions by 20% & energy consumption by 15% by 2020 (vs 2006)

3 complementary levers to achieve objectives:

• reducing the energy consumption of networks & buildings

• use of renewable energy

• reducing emissions caused by vehicles and business trips

carbon inventories in France, Spain & Belgium

Orange named to Carbon Performance Leadership Index (CPLI)

Energy Action Plan (EAP)

in 24 countries

-370 GWh in 3 years

for network (- 225

GWh in 2011)

-25 M l. fuel ( 38% of

total network)

2300 solar sites in 20

countries (15 GWh

spared) (end 2012)

C02 emissions of the Group (in Tons C02 and in kg CO2/client)

- total emissions Group (t C02) - Kg CO2/Client

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creating social links for everyone’s benefits

I. A long-term commitment

III. Next Steps

II. CSR, at the heart of the Group’s strategy

I. A responsible governance and processes

Page 29: ISR presentation - Orange S.A. · CSR stakeholders dialogue allows Group to better ... equal weight for HR indicators and results of employee satisfaction survey « baromètre social

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Our new challenges for 2013

and beyond

Generalize Stakeholder dialogue and leverage it to

build CSR actions plans in each entity

Improve reporting, especially taking into account

“Grenelle 2” Law requirements

Build action plans for our newly introduced CSR

priority on Digital Inclusion

Deploy Orange For Development (04D): 10 operational

domains

Adapt to new expectations in different fields, such as

Child Protection, Human Rights or Privacy

Increase momentum on energy action plans and mobile

handset recycling

Reinforce our anti-corruption programme: Creation of a

Chief Compliance Officer

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France Telecom Orange

ISR presentation

Appendices

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March 2012 – Brussels: Orange presents its

“10 commitments” contributing to Europe’s Digital Agenda

Responsible behaviour

7- privacy: offer Orange customers the right to master, monitor and manage the personal information that they provide on Orange platforms for all Orange-managed services; and equip them with a personal data “dashboard” by 2015.

8- development: roll out 3G by 2015 in all African and Middle-East countries where Orange operates; offer mobile coverage to over 80% of the population in this region.

9- gender equality: increase from 23 to 35% the proportion of women among the Group’s top management by 2015, thus matching their presence in the overall workforce.

10- energy efficiency: decrease Orange’s CO2 emissions by 20% by 2020 (compared to 2006 levels).

Fast communications

1- ultrafast mobile broadband: roll out 4G/LTE networks in all Orange European Union markets by 2015.

2- NGA-Fibre: make fibre-to-the-home (FTTH) available to 15 million households and 80% of businesses by 2020 in France; and participate in

the roll-out of very-high speed broadband in our European markets.

Rich services

3 - cloud computing: in addition to consumer cloud services, offer all companies in the European Union high quality and secure access to

services from green data centres located in Europe; and ensure our customers retain full ownership of their data files at all times and can easily

secure their return (reversibility).

4- contactless & secure mobile payments: provide 3 million SIM-based NFC devices to our European Union customers in 2012, 10

million in 2013.

5- enriched interpersonal communication: launch Rich Communication Suite (RCS) services in 5 European countries in 2013 and

provide 20 million RCS phones in 15 countries by 2015, enabling seamless and pan-European services

6- eHealth: provide to one third of EU hospitals - and 20% of citizens - digitised health services (e.g. medical imagery, chronic disease

management, prevention and wellness, secure medical data management).

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main CSR awards received by the group in 2012 / 2013

State Label: « Responsible Supplier Relationships Label in France (15 April 2013)

Sustainable Development Trophy: best CSR report among the CAC40 (Council of the French Institute of Chartered Accountants (February 2013)

Best mobile network in France (ARCEP) (November 2012)

Orange wins Best Global Wholesale Carrier award at Capacity Awards 2012 (16 November 2012)

Orange wins five awards at AfricaCom 2012 including the “Most Innovative Service Award” (15 Nov. 2012)

Orange named to Carbon Performance Leadership Index (CPLI) for carbon performance : Orange assessed as one of the 2 best operators worldwide for carbon performance (16 October 2012)

8e in the ranking “Transparency in Corporate Reporting” of Transparency International; 1st in the telecom sector (July 2012)

Global Mobile Awards, prize for best mobile technology in emerging countries for its solar-powered station construction programme in Africa and the Middle East.

Orange Business Services ranked first in the Verdantix Green Quadrant Sustainable Telecoms Europe report,. for the third year running,

Orange Business Services among the leaders in the Gartner’s “Magic Quadrant.

“Entreprise numerique eco-engagee” prize for Shared Medical Imaging solution

Orange Poland: one of the most socially responsible companies in Poland (5th ed. of the ranking of socially responsible companies organised by the newspaper Dziennik Gazeta Prawna, the Koźminski university and the Responsible Business Forum)

Orange Poland came first in its category: “Telecommunications, technology, media and entertainment”

and third overall.

2012 Top Employers label for its human resources policy in France, Begium and Poland (February 2012) and in Spain (2011)

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O4D development in Africa

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Orange: a major investor in AMEA