In an interview, Dr. Michael Prochaska, STIHL AG Executive Board member for Human Resources and Legal Affairs, and Martin Schwarz, STIHL AG Executive Board member for Manufacturing and Materials, discuss sustainability at STIHL and why persistence is essential to achieving real change.
STIHL RECENTLY APPOINTED A SUSTAINABILITY OFFICER TO COORDINATE EVERYTHING RELATED TO SUSTAINABILITY. WHAT INSPIRED THIS MOVE?
DR. PROCHASKA. Nature and the environment are two things STIHL is inexorably linked to. We have already done quite a lot at STIHL to advance sustainability, but the activities were not sufficiently coordinated within the STIHL Group and the Executive Board. So we wanted to tie up the loose ends and give everything a strategic direction. That also means deciding the areas we want to emphasize and specifying activities that we will no longer promote or encourage going forward.
SCHWARZ. We, our customers, our employees, and society keep raising the bar – and rightfully so. The current pandemic has also demonstrated to us how important sustainable and resilient supply chains are in every aspect.
WHAT DO YOU AIM TO ACHIEVE THROUGH THE NEW SUSTAINABILITY STRATEGY?
DR. PROCHASKA. We have defined three strategic focal areas – ecosystems, circularity, and care – in which we have set ourselves ambitious targets for the time between now and 2030. Our goal in doing so is to become climate-neutral, more resource-efficient, and fairer. Through it all, we are focused on striking a balance between the three Ps: people, planet, and profit.
SCHWARZ. We will continue to incorporate, evaluate, and prioritize new topics in addition to the projects already in place. The sustainability strategy is a source of orientation and guidance in this regard. This way, we will go beyond merely enhancing our products and processes, and help the whole of STIHL advance while strengthening our ability to compete.
WHAT CHALLENGES DO YOU SEE WHEN IT COMES TO IMPLEMENTING THE SUSTAINABILITY STRATEGY?
SCHWARZ. Sustainability relates to all processes and products, as well as the organization as a whole. We want “real” sustainability. That means we will anchor sustainable criteria in all decision-making processes. We will incorporate sustainability aspects even more strongly into everything we do going forward, whether it’s buying new equipment, expanding buildings, awarding new contracts to suppliers, or developing new products. Doing so will cost money, of course, but it will pay off in the long term. Increasing energy efficiency, for example, initially means an expense. But apart from just reducing carbon emissions, it also helps us save on energy-¬related costs in the long run.
DR. PROCHASKA. We also want to kick off a cultural transformation within the Group and succeed in getting the people at STIHL excited about sustainability. To do so, we need role models. Those of us on the Executive Board need to embody a new spirit, as does everyone else in senior management. Sustainability is a marathon, not a sprint. We must not rest on our laurels. Instead, we need to keep learning as we go and keep setting ourselves new goals.
THE STRATEGY HAS BEEN DEFINED. WHAT’S NEXT?
SCHWARZ. We will continue the consistent and systematic implementation of our current projects on climate neutrality, sustainable supply chains, and protecting biodiversity. By 2023, we plan to have specific targets for the international STIHL production and sales companies in place.
DR. PROCHASKA. We are taking a step-by-step approach to implementation. Our sustainability strategy helps prevent us from getting bogged down in the process. The task for everyone is to be transparent and to communicate our sustainability targets, both inside and outside the STIHL Group. STIHL is a family-owned business that thinks in terms of generations rather than quarters. Sustainability is already in our DNA. That foresight and vision is what guides our actions.
“Sustainability is a marathon, not a sprint. We must not rest on our laurels.”.
Dr. Michael Prochaska, Executive Board member for Human Resources and Legal Affairs
“We want ‘real’ sustainability. That means we will anchor sustainable criteria in all decision-making processes.”.
Martin Schwarz, Executive Board member for Manufacturing and Materials
