Porsche stands for exclusive sports cars and is one of the world’s most profitable car makers. Backed by its pioneering spirit and engineering skills, the company works unswervingly to deliver innovative, climate-friendly products.
Porsche has managed to steer the company robustly through the coronavirus crisis. Despite production being halted for six weeks, the sports car manufacturer was able to ship 272,162 vehicles worldwide – just three percent below the record it set in 2019.
The sports car manufacturer turned in a positive performance in particular in the Asia-Pacific, Africa and Middle East region, with China as the largest single market. All in all, Porsche achieved a strong result, even in these difficult times, with its young, attractive product range and the successful launch of the first all-electric Porsche Taycan.
The three highlight projects 2020
As part of its Sustainability Strategy 2030, Porsche’s long-term goal is to achieve value-creating growth for economic assets and live up to its social responsibility, while continuing to reduce the company’s environmental footprint.
Porsche shoulders responsibility for society
Porsche has long supported a wide range of not-for-profit initiatives. Solidarity and social commitment are deeply engrained at the sports car manufacturer. During the coronavirus crisis, the company has mainly focused its efforts on its locations through diverse measures. It increased its volume of donations by five million euros in the reporting period, and more than doubled donations of food to food banks. As a result, people who suffered hardship due to the crisis were helped. The company also supported numerous local aid organizations in their work – for example through purchasing protective equipment or as part of targeted actions to mitigate the consequences of the pandemic.
Hospitals and their staff ensure people obtain medical care. Porsche launched a lighthouse project involving a total sum of 1.3 million euros to enable Stuttgart hospitals to cope with the enormous increase in the challenges facing them as a result of the coronavirus crisis. As part of that, the Klinikum Stuttgart received an emergency fund of 810,000 euros. The money meant that 20 anesthesia machines, 21 ventilators and additional endoscopes for intubation were able to be purchased for the Katharinenhospital, the Bad Cannstatt hospital and Germany’s largest pediatric clinic, the Olgahospital. A laboratory device for identifying the coronavirus in DNA samples was also able to be purchased. Porsche donated a further €500,000 to the Marienhospital in Stuttgart. The hospital used the emergency fund to buy a mobile X-ray machine, as well as 15,000 premium-grade FFP2 masks and 100,000 premium-grade face masks. The donation also enabled the purchase of 30 perfusors, pumps that permit the continuous infusion of medication.
Porsche also launched a lighthouse project in Leipzig, donating almost one million euros to social and medical institutions. Of that sum, €526,000 went solely to the local University Hospital, which was able to procure 11 ventilators, two blood gas analyzers and additional protective masks and face visors, for example. Porsche also supported various social welfare organizations and institutions in Leipzig, such as the Johanniter-Unfall-Hilfe, the German Red Cross and the Diakonie.
Porsche also underscored its commitment to tackling loneliness and isolation by promoting digital networking. The company donated €125,000 to a project of the Federal Evangelical Association for the Disabled (BeB). Almost 50 institutions in Baden-Württemberg and Saxony received digital end-user devices.
Suitable software was also provided and basic digital skills were taught as part of the project. As a result, people with an impairment were able to network digitally and so continue to participate in social life despite the contact restrictions.
Porsche drives development of climate-neutral e-fuels with partners
As a pioneer of sustainable mobility, Porsche sets store by a three-pronged strategy in the area of drive technologies: highly emotional combustion engines, powerful plug-in hybrids, and all-electric drives. In addition, the company pursues approaches aimed at making the CO2 emissions of vehicles with gasoline engines more climate-friendly in certain areas by means of measures to increase efficiency and to make them almost completely carbon-neutral while in use. One way Porsche aims to achieve that is by using e-fuels. By e-fuels, Porsche means synthetic liquid fuels that can be produced from hydrogen obtained solely from renewable energy and carbon dioxide from the ambient air.
E-fuels might also be used to run conventional Porsche models that have a long service life so that their CO2 emissions are reduced. The company has teamed up with partners from science and industry to enable further development of these alternative fuels on an industrial scale. As part of that, Porsche aims to tap into the world’s best locations for exploiting renewable energy sources so as to ensure that these new fuels are competitive. In Baden-Württemberg, for example, Porsche is collaborating in the “reFuels – Rethinking Fuels” project, which was launched as part of the “Strategy Dialog on the Automotive Industry in Baden-Wuerttemberg” initiated by the state government.
Porsche developed a pilot project in Chile together with Siemens Energy and a raft of international companies in the reporting period. The project aims to create the world’s first integrated, large commercial plant for producing synthetic, climate-neutral fuels. It will be constructed on the principle of environmental and social compatibility. Around 130,000 liters of e-fuel are to be produced in the pilot phase in 2022. Its capacity is then to be increased in two stages: to about 55 million liters by 2024 and to about 550 million liters by 2026. Porsche is be the main purchaser of the pilot plant’s green fuel, which will be produced using electricity generated from wind power. The conditions for that at the project’s location in Chile are excellent and some of the world’s best: An extremely strong wind blows there constantly.
Porsche joins Responsible Minerals Initiative
Porsche joined the “Responsible Mica Initiative” (RMI) initiative as a representative of the Volkswagen Group in 2020 in order to campaign for more transparency and improved working conditions in mica mining in this cross-industry coalition of international companies and non-governmental organizations.
The RMI was founded in Paris in 2017 and develops global standards for mica mining. These standards aim to address fair working conditions and wages. Organizations that join the RMI commit to adopting these standards. The initiative is supported by various representatives of the paint, pigment, textile and cosmetic industries, such as the chemical companies BASF and Clariant, the pharmaceuticals manufacturer Merck and the cosmetics manufacturers Chanel, L’Oréal and The Body Shop, among others. The human rights organization Terre des Hommes is a founding member of the initiative.
Mica is a raw material that is used in numerous industrial and cosmetic products. As an automotive manufacturer, Porsche also contributes to the global consumption of this raw material by using mica. Porsche wants to significantly improve people’s lives on the ground through concrete projects in the regions where mica is mined and also play an active role in developing and implementing sustainable industry standards.
Porsche in dialog
Porsche’s business activities impact on the interests of many people worldwide. The company is especially committed to proactive dialog with its stakeholder groups and expanding that continuously. Porsche believes that open and transparent sharing of information and arguments is the foundation for mutual understanding and acceptance. The holistic approach as part of Porsche’s stakeholder management aims to systematically identify the expectations of the individual stakeholder groups and use the feedback for a critical reflection on its strategic planning processes. Important social trends can be identified in a timely manner and integrated in commercial decisions if the interests and views of different stakeholder groups are taken into account. Vice versa, mutual dialog can give a transparent picture of what scope for action Porsche has in tackling current challenges and what requirements and conditions the company sees as important.
Stakeholder survey and materiality
Since 2013, Porsche has asked its stakeholders every two years to formulate their assessments and expectations in relation to the issues of “sustainability” and “future challenges.” Various stakeholder groups were asked for the third time for their assessment of Porsche’s sustainability activities in an anonymous, international online survey held in the fall of 2019. A total of 1,459 persons from Europe and China gave their assessments. Around 79 percent of the responses came from European markets and approximately 21 percent from China. In addition to customers, business partners, analysts/investors, politicians and representatives from public authorities, the media, non-governmental organizations and academia/science, Porsche employees were also surveyed extensively for the first time.
Apart from an assessment of the topics, the responses Porsche’s stakeholders gave to additional questions revealed that they view “climate change and environmental impact,” “changing mobility needs” and “energy and resource scarcity” as being the biggest challenges facing the company at present and in the near future. These assessments are also reflected in the relevance of the topics to stakeholders and in the strategic action areas of Porsche’s 2030 Strategy. The surveyed stakeholders confirm that they do not see any contradiction in principle between manufacturing premium sports cars and sustainability: That view was shared by 81 percent of participants.
The members of Porsche’s Sustainability Council also provided details on current sustainability issues at Porsche in individual expert interviews, and also addressed potential opportunities and risks. They provided concrete recommendations on how Porsche can further shape ifs commitment. Key issues for the Sustainability Council included “new mobility offerings,” “alternative drive systems and emissions of vehicles” or “dialog with stakeholder groups.” The members of the Sustainability Council discussed the fresh and stimulating ideas together with Porsche’s Board of Management in the reporting period.
A workshop with the members of the Sustainability Expert Group and representatives of relevant departments at Porsche was staged in the fall of 2019. The impact of Porsche’s business activity on the environment, employees and society was assessed in a multi-stage process in the context of the 18 defined subject areas. The importance of the issues for the business activity of the sports car manufacturer was also assessed. Porsche pooled the results in the reporting year in the form of a materiality matrix, identified the key issues, and defined the links between them. The findings will be used to continuously further develop the company’s Sustainability Strategy 2030.
The next survey of Porsche’s stakeholders is scheduled for 2021 and is to be expanded to include further markets.
Awards in 2020
Awards for vehicles/customer satisfaction (excerpt)
- J.D. Power: Automotive Performance, Execution and Layout (APEAL) Index 2020 – 1st place
- Kelley Blue Book: 2020 Best Resale Value Luxury Brand
- Motorweek Driver’s Choice Award: Porsche Taycan Turbo S “Best Dream Machine 2020”
Awards for products (excerpt)
- WCOTY organization: Porsche Taycan “World Car of the Year Awards 2020 – World Performance Car” – 1st place
- WCOTY organization: Porsche Taycan “World Car of the Year 2020”
- Auto Bild: Porsche Taycan “The Golden Steering Wheel 2020, category: Sports cars” – 1st place
- Auto Bild readers’ choice: Porsche Taycan “The Golden Steering Wheel 2020, category: Most beautiful car of the year” – 1st place
- Sport Auto: 911 Carrera S Cabriolet (992) “Sport Auto Award 2020, category: Cabriolets/Roadsters up to €150,000” – 1st place
- auto motor und sport readers’ choice: Porsche Taycan “Car Connectivity Award, category: Connected E Cars” – 1st place
- auto motor und sport readers’ choice: 911 (992) Turbo “Autonis best design innovation 2020, category: Sports cars”
Awards as an employer (excerpt)
- Glassdoor: “Best Places to Work 2020” – 1st place
- Universum: “Employer Ranking for Engineering 2020” – 1st place
- Trendence Awards: “Best Employer Branding Campaign 2020” – 3rd place for “Bad Days”
Awards for communication (excerpt)
- Red Dot Design Award: 2019 Annual and Sustainability Report
- Best of Content Marketing: Gold award for the 9:11 magazine and Christophorus Porsche magazine
- Automotive Brand Contest: Winner – Digital 2020
- Automotive Brand Contest: Best of Best – Digital 2020
- Automotive Brand Contest: Winner Architecture and Event 2020
- Automotive Brand Contest: Best of Best – Corporate Publishing 2020
- Automotive Brand Contest: Winner – Corporate Publishing 2020
- Automotive Brand Contest: Winner – Campaign