2020 Sustainability Report

Company: ZTE (763)
Year: 2020
Published: 2021-03-16
Status: Processed

Extracted ESG KPIs

KPIs are organized by ESG aspects.

The types of emissions and respective emissions data.

Indicator Unit 2020 Report Pages
Annual emissions of volatile organic compounds after process update tons 4.5 14
Emissions of volatile organic compounds per hour after process update kg per hour 0.66 14
Lead and its compounds - Maximum detected emission concentration mg/m3 0.015 73
NOx emission at Nanjing Base (Actual emission) mg/m3 30 58
NOx emission at Shanghai Base (Actual emission) mg/m3 41 58
NOx emission at Xi'an Base (Actual emission) mg/m3 30 58
NOx emissions Ton(s) 5.41 73
PM emissions Ton(s) 0.3 73
Reduction in annual emissions of volatile organic compounds tons 41.5 14
SOx emissions Ton(s) 0.33 73
Tin and its compounds - Maximum detected emission concentration mg/m3 3×10⁻⁴ 73
VOCs - Maximum detected emission concentration mg/m3 0.43 73
VOCs emission at Shenzhen Base (Actual emission) kg/hour 0.66 58

Direct (Scope 1) and energy indirect (Scope 2) greenhouse gas emissions (in tonnes) and, where appropriate, intensity (e.g. per unit of production volume, per facility).

Indicator Unit 2020 Report Pages
Carbon emissions reduction at Shenzhen and Xi'an bases (actual, by end of 2020) tons of standard coal equivalent 1879 56
Density of direct greenhouse gas emissions tCO2e/million revenue 0.1841 73
Density of indirect greenhouse gas emissions tCO2e/million revenue 4.26 73
Indirect energy intensity kWh/million revenue 6157.23 73
Scope 1: Direct greenhouse gas emissions tCO2e 18676.16 73
Scope 2: Indirect greenhouse gas emissions tCO2e 432398.06 73
Share of global carbon emissions from countries with carbon neutrality goals % 65 62
Total amount of greenhouse gas emissions tCO2e 451074.22 73

Total hazardous waste produced (in tonnes) and, where appropriate, intensity (e.g. per unit of production volume, per facility).

Indicator Unit 2020 Report Pages
Density of hazardous wastes Ton(s)/million revenue 0.0057 73
Total hazardous wastes Ton(s) 576.64 73

Total non-hazardous waste produced (in tonnes) and, where appropriate, intensity (e.g. per unit of production volume, per facility).

Indicator Unit 2020 Report Pages
Density of non-hazardous wastes Ton(s)/million revenue 0.0961 73
Kitchen wastes Ton(s) 3208.59 73
Municipal wastes Ton(s) 5842.4 73
Office wastes Ton(s) 695.54 73
Overall recycling rate of environmental protection service providers % 95 60
Sheets of printing paper saved by electronic process documents (SOP) sheets/year 100000 58
Total non-hazardous wastes Ton(s) 9746.54 73

Description of emissions target(s) set and steps taken to achieve them.

Indicator Unit 2016–2020 2020 Report Pages
Carbon emissions reduction at Shenzhen base (management target, 2016–2020) tons of standard coal equivalent 1054.86 56
NOx emission at Nanjing Base (Target) mg/m3 50 58
NOx emission at Shanghai Base (Target) mg/m3 50 58
NOx emission at Xi'an Base (Target) mg/m3 30 58
Total emissions of volatile organic compounds reduced at Shenzhen base % more than 90% 5
VOCs emission at Shenzhen Base (Target) kg/hour 2 58

Direct and/or indirect energy consumption by type (e.g. electricity, gas or oil) in total (kWh in '000s) and intensity (e.g. per unit of production volume, per facility).

Indicator Unit 2020 Report Pages
Diesel consumption Liter(s) 13021 73
Direct Energy Converted Electricity kWh 58914921.2 73
Direct energy density kWh/million revenue 580.72 73
Natural gas consumption 10000 m3 22.88 73
Outsourced electricity kWh 534178078.8 73
Petrol consumption Liter(s) 6513017 73
PowerPilot commercial use sites sites 700000 62
Reduction in power consumption from cooling system reconstruction at SMT production line, Shenzhen base kWh per year 280000 14
Reduction in power consumption in baseband chips with 7nm process compared to 16nm process percent 50 14
Reduction in power consumption in intermediate-frequency chips with 7nm process compared to 16nm process percent 58 14
Solar power generation kWh 2778741.3 73
Total Indirect Energy Consumption kWh 624655393.1 73

Description of energy use efficiency target(s) set and steps taken to achieve them.

Indicator Unit 2016 to 2020 2020 Report Pages
Electric charges saved by PowerPilot billion US dollars 1 62
Electricity saved by energy-saving transformation at Shenzhen base kWh per year 280000 57
Electricity saved by load-based intelligent energy-saving project in Tianjin Mobile kWh per day 7500 63
Maximum network energy-saving effect of PowerPilot % 20 62
Number of 4G communities provided with energy-saving services by Tianjin Mobile project communities 40000 63
Power consumption reduction by multi-mode digital IF chip % 58 5
Power consumption reduction by self-developed 7nm multi-mode baseband chip % 50 5
PowerPilot precision power saving solution site-level power consumption reduction % 20 5
Ton of standard coal equivalent of the Shenzhen Manufacturing Base reduced ton 1054.86 39

Total packaging material used for finished products (in tonnes) and, if applicable, with reference to per unit produced.

Indicator Unit 2020 Report Pages
Packaging materials saved by green packaging pilot project tons 61.82 58
Packaging volume saved by assembly packaging replaces independent packaging m3 8071 58
Shipment volume saved by integrated packaging m3 46184 58
Total purchasing weight of packaging materials (excluding mobile device products) tons 31496.32 58
Volume of packaging material saved by replacing separate packaging with assembly packaging in pilot projects m3 8071 14

Description of the significant impacts of activities on the environment and natural resources and the actions taken to manage them.

Indicator Unit 2020 Report Pages
Number of ZTE sites certified in China 11 14
Number of certified sites in China 11 38

Description of the significant climate-related issues which have impacted, and those which may impact, the issuer, and the actions taken to manage them.

Indicator Unit 2020 Report Pages
BCP establishment in countries exposed to BCM risks in engineering services 100% 18
CDP climate change rating Level B 14
Countries and regions announcing carbon neutrality goals 30 62
Number of high-risk countries with completed BCM drilling countries 31 18
Share of global GDP from countries with carbon neutrality goals % 75 62

Total workforce by gender, employment type (for example, full- or part-time), age group and geographical region.

Indicator Unit 2020 2021 Report Pages
Grantees as percentage of company’s total employees in first grant percentage 8.8% 28
Maximum A-share stock options to be granted under 2020 share option incentive scheme A-share stock options 163472000 28
Number of employees Person 73709 8, 13
Number of employees globally persons 73709 18
Number of jobs offered to college graduates worldwide 5000 13

Number and rate of work-related fatalities occurred in each of the past three years including the reporting year.

Indicator Unit 2019 2020 Report Pages
Incident rate per 200000 working hours 0.7625 0.4997 33

Lost days due to work injury.

Indicator Unit 2019 2020 Report Pages
Lost time incident rate per 200000 working hours 0.1708 0.136 33

Description of occupational health and safety measures adopted, and how they are implemented and monitored.

Indicator Unit 2020 Report Pages
Emergency recovery time reduction % 50 50
Number of countries with ISO 45001 certification 27 13
Number of countries with ISO 45001 certification for operation sites countries 4 18

The percentage of employees trained by gender and employee category (e.g. senior management, middle management).

Indicator Unit 2020 Report Pages
Employee training coverage 100% 18
New employees participating in training Person-time 6480 29
Number of 5G end-to-end solution courses compiled courses 80 28
Number of Sword-Sharpening Action training classes for Chinese engineering service outsourced personnel 41 14
Number of courses on the online learning platform (PC) Course 14857 29
Number of grantees involved in first grant of 2020 share option incentive scheme employees 6123 28
Number of learning materials developed in various fields copies 1000 28
Number of new courses in the mobile application Course 248 29
Number of new courses on the online learning platform (PC) Course 1461 29
Number of persons learning through the online platform Person-time 702772 29
Number of persons trained in Sword-Sharpening Action classes 1085 14
Number of sessions in Sword-Sharpening Action for Chinese engineering service subcontractors sessions 41 31
Number of trainees in Sword-Sharpening Action for Chinese engineering service subcontractors trainees 1085 31
Number of training courses held to meet employees' demands training courses 100+ 28
Percentage of employees trained % 100 13
Percentage of persons attending 5G training out of total external knowledge services 63% 31
Remote video conferences as percentage of all conferences 50% 57
ZTE cloud services enabled employees to work from home employees 70000 5

The average training hours completed per employee by gender and employee category.

Indicator Unit 2020 Report Pages
Administrative personnel training hour Hour 76.33 29
Average period of training per employee hours 102 13, 18
Hours of lecturing Hour 1289.5 29
Marketing personnel + customer service personnel training hour Hour 117.21 29
Number of class days in Sword-Sharpening Action for Chinese engineering service subcontractors class days 380 31
Number of days for Sword-Sharpening Action training days 380 14
Number of internal training sessions organized (Nanjing cybersecurity lab) sessions 66 47
Per capita training hour among female employees Hour 91.29 29
Per capita training hour among male employees Hour 104.03 29
Production personnel training hour Hour 101.44 29
R&D personnel training hour Hour 96.62 29
Remote work efficiency of R&D staff % more than 95% 5

Number of suppliers by geographical region.

Indicator Unit 2020 Report Pages
Number of countries with integrated BCM organizations countries 51 18
Number of demonstration projects for innovative 5G application launched 60 14
Number of networks using PowerPilot networks 20 62
Number of partners developed for 5G application (industrial, transportation, energy, government, financial, cultural, tourism) 500 14
Overseas operating revenue Million CNY 33939.5 8

Description of practices relating to engaging suppliers, number of suppliers where the practices are being implemented, and how they are implemented and monitored.

Indicator Unit 2020 Report Pages
External review problem closure rate for ISO 22301 certification 100% 18
Number of major modules in Green Supply Chain Innovation training 7 14
Number of members from suppliers participating in Green Supply Chain Innovation training 64 14
Number of strategic and core suppliers attracted to 2020 Global Partners Day 300 14
Number of suppliers participating in Green Supply Chain Innovation training 34 14

Description of practices used to identify environmental and social risks along the supply chain, and how they are implemented and monitored.

Indicator Unit 2020 Report Pages
Number of key European countries with completed risk assessments countries 10 18
Number of medium-risk vulnerabilities disclosed vulnerabilities 13 47

Number of products and service related complaints received and how they are dealt with.

Indicator Unit 2020 Report Pages
Average daily visits to learning platform visits per day 6000 28
Daily average trading volume handled by GoldenDB system transactions 300000000 44
Domestic operating revenue Million CNY 68051.2 8
Number of business segments covered by QC topics 9 14
Number of users of GoldenDB system users 300000000 44
Out-of-warranty service times offered to customers in Europe and Japan times 38856 50
Total trading amount handled by GoldenDB system trillion CNY 4 44
User service provided by customer service personnel through hotline and email times 300000 50

Description of practices relating to observing and protecting intellectual property rights.

Indicator Unit 2019 2020 Report Pages
Number of authorized patents worldwide 36000 13
Number of patents applied for worldwide 80000 13
Total number of patent applications worldwide 10000 7.4 8 41
Total number of patents granted worldwide 10000 3.4 About 3.6 41

Description of quality assurance process and recall procedures.

Indicator Unit 2019 2020 Report Pages
Increase in timely recovery rate of faults and problems % 6.4 50
Number of QC participants 44000 14
Number of QC topics covered 171 14
Number of product categories passed ISO 9000 certification 63 14, 38
Proportion of return-for-repair by courier in one overseas country % <5 50
Proportion of return-for-repair by courier in one overseas country (monthly average) % 15 50

Description of consumer data protection and privacy policies, and how they are implemented and monitored.

Indicator Unit 2020 Report Pages
Number of core rules for data protection issued rules 4 18
Number of scenario-based red lines for data protection developed red lines 39 18
Number of training topics covered (Nanjing cybersecurity lab) topics 57 47

Number of concluded legal cases regarding corrupt practices brought against the issuer or its employees during the reporting period and the outcomes of the cases.

Indicator Unit 2020 Report Pages
A-share stock options as percentage of company’s total equity percentage 3.5% 28
Number of low-risk vulnerabilities disclosed vulnerabilities 4 47
Number of security vulnerabilities disclosed vulnerabilities 21 47

Description of preventive measures and whistle-blowing procedures, and how they are implemented and monitored.

Indicator Unit 2019 2020 Report Pages
Number of cybersecurity labs established (China, Belgium, Italy) 3 47
Number of high-risk vulnerabilities disclosed vulnerabilities 4 47
Number of subsidiaries in China and other countries covered by ISO 37001 certification countries 36 18
Security management efficiency improvement through cloud computer platform over 90% 44

Description of anti-corruption training provided to directors and staff.

Indicator Unit 2020 Report Pages
Number of BCM internal review trainees increased trainees 30 18

Focus areas of contribution (e.g. education, environmental concerns, labour needs, health, culture, sport).

Indicator Unit 2020 2021 Report Pages
Increase in daily visits to learning platform compared to 2019 increase 200% 28
Jobs offered to college graduates globally jobs 5000 18
Number of person-times provided knowledge services externally person-times 14306 31
Number of public welfare projects implemented by ZTE Foundation 37 39

Resources contributed (e.g. money or time) to the focus area.

Indicator Unit 2020 Report Pages
Number of volunteer activities conducted by ZTE Foundation 73 39
Number of volunteer service hours in ZTE Foundation activities hours 2244 39
Number of volunteers in ZTE Foundation activities 3173 39
Total annual expenditure of ZTE Foundation in public welfare Million CNY 14.04 8
ZTE Foundation total in global public welfare CNY 14044030.8 39

The types of emissions and respective emissions data.

Standard Indicator Unit 2020
Airborne Particulate Matter (PM) Emissions Ton(s) 0.3
NOₓ Emissions Ton(s) 5.41
SOₓ Emissions Ton(s) 0.33

Direct (Scope 1) and energy indirect (Scope 2) greenhouse gas emissions (in tonnes) and, where appropriate, intensity (e.g. per unit of production volume, per facility).

Standard Indicator Unit 2020
Direct GHG Emissions (Scope 1) tCO2e 18676.16
Indirect Energy Emissions (Scope 2) tCO2e 432398.06
Scope 1 GHG Emissions Intensity (By Revenue) tCO2e/million revenue 0.1841
Scope 2 GHG Emissions Intensity (By Revenue) tCO2e/million revenue 4.26
Total GHG Emissions tCO2e 451074.22
Total GHG Emissions Intensity (By Revenue) tCO2e/million revenue 0.1841

Total hazardous waste produced (in tonnes) and, where appropriate, intensity (e.g. per unit of production volume, per facility).

Standard Indicator Unit 2020
Total Hazardous Waste Ton(s) 576.64
Total Hazardous Waste Intensity (By Revenue) Ton(s)/million revenue 0.0057

Total non-hazardous waste produced (in tonnes) and, where appropriate, intensity (e.g. per unit of production volume, per facility).

Standard Indicator Unit 2020
Non-Hazardous Waste (Domestic Waste) Ton(s) 5842.4
Non-Hazardous Waste (Kitchen Waste) Ton(s) 3208.59
Non-Hazardous Waste (Office Waste) Ton(s) 695.54
Recycling Rate of Non-Hazardous Waste % 95
Total Non-Hazardous Waste Disposed Ton(s) 9746.54
Total Non-Hazardous Waste Intensity (By Revenue) Ton(s)/million revenue 0.0961

Description of emissions target(s) set and steps taken to achieve them.

Standard Indicator Unit 2016–2020 2020
CO2 Emissions Reduction Compared to Last Year tons of standard coal equivalent 1054.86
NOx Emissions Reduction Percentage Compared to Last Year % 90

Direct and/or indirect energy consumption by type (e.g. electricity, gas or oil) in total (kWh in '000s) and intensity (e.g. per unit of production volume, per facility).

Standard Indicator Unit 2020
Diesel Fuel Consumption Liter(s) 13021
Direct Energy Intensity (By Revenue) kWh/million revenue 580.72
Gasoline Consumption Liter(s) 6513017
Indirect Energy Intensity (By Revenue) kWh/million revenue 6157.23
Natural Gas Consumption 10000 m3 22.88
Purchased Electricity kWh 534178078.8
Solar Energy kWh 2778741.3
Total Indirect Energy Consumption kWh 624655393.1

Water consumption in total and intensity (e.g. per unit of production volume, per facility).

Standard Indicator Unit
Water Consumption Ton(s)
Water Consumption Intensity (By Revenue) Ton(s)/million revenue

Description of energy use efficiency target(s) set and steps taken to achieve them.

Standard Indicator Unit 2020
Electricity Usage Reduction Compared to Last Year kWh per day 280000

Total packaging material used for finished products (in tonnes) and, if applicable, with reference to per unit produced.

Standard Indicator Unit 2020
Packaging Material Savings tons 61.82
Packaging Materials Consumed tons 31496.32

Total workforce by gender, employment type (for example, full- or part-time), age group and geographical region.

Standard Indicator Unit 2020
Number of Employees Aged 30-50 Person 43761
Number of Employees Aged Above 50 Person 1571
Number of Employees Aged Below 30 Person 28377
Number of Employees in Americas Person 547
Number of Employees in Asia (Excluding China) Person 4828
Number of Employees in Europe Person 1480
Number of Employees in Hong Kong and Mainland China Person 66065
Number of Employees in North America Person 238
Number of Employees in Overseas Person 7644
Number of Female Employees Person 17275
Number of Male Employees Person 56434
Number of Total Employees Person 73709
Percentage of Employees Aged 30-50 % 59.39
Percentage of Employees Aged Above 50 % 2.13
Percentage of Employees Aged Below 30 % 38.51
Percentage of Female Employees % 23.44
Percentage of Male Employees % 76.56

Lost days due to work injury.

Standard Indicator Unit 2019 2020
Lost Time Injury Frequency Rate (LTIFR/LTIR) per 200000 working hours 0.1708 0.136

The percentage of employees trained by gender and employee category (e.g. senior management, middle management).

Standard Indicator Unit 2020
Percentage of Employees Trained % 100
Percentage of Trained Female Employees % 23
Percentage of Trained Male Employees % 77
Percentage of Trained Production Employees % 22

The average training hours completed per employee by gender and employee category.

Standard Indicator Unit 2020
Average Training Hours (Administrative Employees) Hour 76.33
Average Training Hours (Female) Hour 91.29
Average Training Hours (Male) Hour 104.03
Average Training Hours (Marketing & Customer Service) Hour 117.21
Average Training Hours (Production Employees) Hour 101.44
Average Training Hours (R&D Personnel Employees) Hour 96.62
Average Training Hours per Employee hours 102

Number of suppliers by geographical region.

Standard Indicator Unit 2020
Number of Total Suppliers 500

Description of practices relating to engaging suppliers, number of suppliers where the practices are being implemented, and how they are implemented and monitored.

Standard Indicator Unit 2020
Number of Suppliers Participated in CSR Training Suppliers 150
Number of Suppliers Participating in ESG Training Suppliers 34
Number of Suppliers Signing Social Responsibility Code Suppliers 289

Description of practices used to identify environmental and social risks along the supply chain, and how they are implemented and monitored.

Standard Indicator Unit 2020
Number of Suppliers Participated in Sustainability Risk Assessment countries 10

Number of products and service related complaints received and how they are dealt with.

Standard Indicator Unit 2020
Number of Products and Service Related Complaints times 65
Total Number of Customer Complaints times 65

Description of practices relating to observing and protecting intellectual property rights.

Standard Indicator Unit 2019 2020
Number of Patents Applied count 74000 80000
Number of Patents Granted count 34000 36000

Description of quality assurance process and recall procedures.

Standard Indicator Unit 2020
Passing Rate of Third-party Accreditation Performed under the Quality Management System categories passed ISO 9000 certification 63

Description of anti-corruption training provided to directors and staff.

Standard Indicator Unit 2020
Number of People Participated in Ethical Standards and Anti-corruption Training people 30

Resources contributed (e.g. money or time) to the focus area.

Standard Indicator Unit 2020
Number of Employees Participating in Volunteer Activities persons 3173
Number of Volunteer Activities Sessions activities 73
Total Public Welfare Donations CNY 14044030.8
Total Social Investment CNY 14044030.8
Total Volunteer Service Hours hours 2244