Report scope and profile

Report scope

Wärtsilä's Sustainability Reporting 2010 is prepared according to the GRI (Global Reporting Initiative) sustainability Reporting Guidelines (G3).

Wärtsilä reports those core indicators which are of most relevance to its operations, products and stakeholders. The Sustainability section of the Annual Report examines the company's economic, environmental and social performance. The core indicators chosen are of importance at the corporate level and are based on the core indicators of the G3 guidelines. Reporting of the product performance, which is done mainly on the internet (www.wartsila.com), describes the environmental aspects and impacts of Wärtsilä's products, the measures taken by Wärtsilä to reduce these impacts, and the environmentally advanced solutions that Wärtsilä has developed.

Coverage of the report

This report covers Wärtsilä's businesses. At the company level the report includes the parent company and its subsidiaries as well as its manufacturing, service and sales units. The report excludes Wärtsilä's associated companies, joint ventures and supply chain companies.

Wärtsilä's businesses comprise of the Ship Power, Power Plants and Services businesses and Wärtsilä Industrial Operations. The first three of these generate external net sales while the fourth is an internal function.

The economic performance data covers all Wärtsilä companies. The data on environmental and social performance covers all Wärtsilä companies except the following:

Wärtsilä Ship Design Russia CJSC
Whessoe Total Automation Ltd.
Wärtsilä Tanzania Ltd.
Wärtsilä Egypt Power S.A.E
Wärtsilä Belize Ltd.

These companies will be included in Wärtsilä's sustainable development reporting in the forthcoming years. Wärtsilä's Sustainability Reporting is an integrated part of its annual reporting and therefore Wärtsilä publishes its Sustainability data annually.

Significant changes in Group structure

The structural changes that apply to Wärtsilä are described in the Business review. They relate mainly to development of the Ship Power and Services businesses.

Coverage of operational data

Operational data, % of Wärtsilä companies

 2010 2009 2008 2007 2006
Economic 100 100  100 100  100 
Environmental  93  84 85 90 90
Social 93  84 85 90 90

Operational data, % of personnel

 201020092008 2007 2006 
 Economic 100 100 100 100 100
 Environmental   98 98 95 96 91
 Social  98 98 95 96 91

Operational data, % of product manufacturing

  20102009 2008 2007 2006 
Economic 100 100 100 100  100 
Environmental  100 100 100 100 96
Social 100 100  100 100  96

Reporting profile

Data collection

The data on product environmental performance is based on measured test results. Performance data on the environmental and social aspects of sustainability has been collected from the Wärtsilä companies using a detailed questionnaire. Economic performance data is based mainly on audited financial accounts.

The sustainability data is collected and reported according to Wärtsilä's specific internal reporting guidelines that include all the definitions and instructions necessary for this purpose. Environmental expenditure and investments are reported applying the Eurostat instructions.

Each company has a nominated individual responsible for collection and consolidation of the data, and for its quality and reliability. The management of each company approves the data before it is consolidated at Group level. The companies report their sustainability data using Wärtsilä's CSM reporting system. The reported data is checked at both local and Group levels before its consolidation.

The content of this Sustainability Report was reviewed and approved by Wärtsilä's Board of Management.

KPMG Oy Ab has independently assessed the report against GRI principles for defining content and quality. Site assurances were carried out in Hamburg, Germany, in Gothenburg, Sweden and in Winterthur, Switzerland.

Wärtsilä self-declares an Application level of "A+" according to the GRI G3 guidelines for this report. KPMG has checked our reporting and has confirmed it to be Application level "A+".

Additional sources of information

Wärtsilä has previously published the following reports:

Wärtsilä Environmental Report 2000
Wärtsilä Sustainability Report 2002
Wärtsilä Sustainability Report 2004
Wärtsilä Sustainability Report 2005
Wärtsilä Annual Report 2006
Wärtsilä Annual Report 2007
Wärtsilä Annual Report 2008
Wärtsilä Annual Report 2009

These reports and their sustainability data are available on Wärtsilä's website: www.wartsila.com.

Sustainability Report Project Team

Mikael Troberg Director, Testing and Validation, Industrial Operations
Ari Suominen Director, Technology, Industrial Operations
Juhani Hupli Vice President, Ship Power Technology
Leonardo Sonzio Director, Environmental Services
Joséphine Mickwitz Director, Investor Relations
Natalia Valtasaari IR Officer 

Harri Mäkelä Sustainability Officer
Marko Vainikka Director, Sustainability
(contact person: marko.vainikka@wartsila.com)