Sustainable Development in ST: Building a Culture of Excellence

Creating value and respecting values

ST is committed to act as a responsible, ethical corporation. Sustainable Excellence is the ST vision to create sustainable value for stakeholders – customers, employees, shareholders, local communities and society at large – over the long term while respecting fundamental principles. This includes economic, ethical and social aspects, as well as environment, health & safety, and product responsibility.

Principles that drive the ST way of thinking and working

Sustainable development is integrated in ST through our company Code of Conduct, called Principles for Sustainable Excellence. Our Principles outline the ST commitment to integrity, people and excellence, evolving from our historical Total Quality Management culture.

They are the top-level reference for guiding behavior and decision-making in ST, and they apply to all people working in ST without exception. In turn, specific ST policies support the concrete application of our Principles in the field.

Principles for Sustainable Excellence

Accountability through governance and management systems

Strong governance and management systems ensure that we practice what we preach. Our governance structure is comprised of boards, councils and committees, which take full account of the impact of our business on our stakeholders. This structure is reinforced by management systems, which include policies, procedures and processes.

Corporate governance is complemented by site Sustainable Excellence Committees, which ensure local alignment to the Principles, promote our company culture and share information about local expectations.

Our Principles are diffused through on-going awareness campaigns and training to ST employees. Managers must certify that they have read, understood and will comply with our Principles as well as our Business Conduct and Ethics Policy.

ST has implemented two reporting channels to help employees report cases of non-compliance:

• A non-compliance reporting channel linked to the ST Ethics Committee. This channel allows ST employees to alert top management of cases of non-compliance with our Principles for Sustainable Excellence that cannot be solved by the employee's direct management, site or organization.
• A third-party reporting channel dedicated to financial and auditing issues, managed by an external ombudsman.

Corporate Governance – more information about ST corporate governance

The framework for Sustainable Excellence