Otis Releases Inaugural ESG Report

“Sustaining Connections” theme highlights how the OEM builds connections to elevate people, societies and environments.

submitted by Otis

On March 31, Otis Worldwide Corp. released its first Environmental, Social and Governance (ESG) report as an independent company. The report provides updates on its 13 ESG targets — each aligned with select United Nations sustainable development goals — and makes disclosures to the Global Reporting Initiative standard and against the Sustainability Accounting Standards Board and Task Force on Climate-Related Financial Disclosures frameworks. Otis Chair and CEO Judy Marks said:

“At Otis, we give people freedom to connect and thrive in a taller, faster, smarter world. Our first ESG report demonstrates how we’re setting this vision in motion and bringing our purpose to life through actions such as focusing on reducing our greenhouse gas emissions, expanding our (science, technology, engineering and mathematics)-focused Made to Move Communities™ signature social impact program and advancing diversity, equity and inclusion programs globally. ESG is embedded in our strategy, culture and programs, and we are committed to continue moving these initiatives forward as we drive value for all our stakeholders.”

Otis’ target is to reduce its Scope 1 and Scope 2 emissions 50% by 2030.

Following a thorough materiality assessment last year to identify the ESG topics most important to Otis and its stakeholders, the company set measurable goals and strategic actions around its four ESG focus areas:

1. Health & Safety
2. Environment & Impact
3. People & Communities
4. Governance & Accountability

Through the end of 2021, Otis’ progress on ESG targets included:

• All global factories completing ISO 14001 certification, four years ahead of target
• A 7% reduction in Scope 1 and Scope 2 (direct emissions from owned or controlled sources and indirect emissions from the generation of purchased electricity, steam, heating and cooling, respectively) emissions versus its 2019 baseline. Otis’ target is to reduce its Scope 1 and Scope 2 emissions 50% by 2030.
• Achieving the annual goal of educating 100% of Otis field professionals and subcontractor companies in Otis’ life-saving Cardinal Rules, which are focused on safe practices when working on elevators and escalators.
• 78% of Otis colleagues worldwide have access to an employee assistance program. Otis is now targeting 100% coverage of its global colleagues in 2022, one year ahead of its original target.
• 36% of executives globally are women. Otis was the first in the industry to sign the Paradigm for Parity® gender parity commitment and aims for gender parity in its executive ranks by 2030.
• Achieving its annual 20% target of U.S supplier spending with diverse suppliers, defined as minority-owned, small businesses and/or those that operate in an economically challenged area

In addition to these 2021 ESG milestones, Otis became a signatory of the U.N. Global Compact, completed its first CDP disclosure and launched the second year of its Made to Move Communities program. The full ESG Report can be found at otis.com and otisinvestors.com.