SUSTAINABILITY REPORT 2017

We think ahead.

Table of Contents

SUSTAINABILITY ................................................................................................................................................. 1 STRATEGY AND ANALYSIS ..................................................................................................................................... 1 SUSTAINABILITY GOALS ......................................................................................................................................... 2 THE FIRST SUSTAINABILITY REPORT ....................................................................................................................... 3 THE COMPANY ..................................................................................................................................................... 3 VALUES AND PRINCIPLES OF ETHICS AND INTEGRITY ............................................................................................... 9 INVOLVEMENT OF STAKEHOLDERS ....................................................................................................................... 10 DEFINING THE ASPECTS OF THE REPORT .............................................................................................................. 11

ECONOMY .......................................................................................................................................................... 13 MANAGEMENT APPROACH: ECONOMY .................................................................................................................. 13 ECONOMIC PERFORMANCE AND INDIRECT ECONOMIC IMPACTS .............................................................................. 13 PROCUREMENT .................................................................................................................................................. 14

ENVIRONMENT AND QUALITY ......................................................................................................................... 16 MANAGEMENT APPROACH: ENVIRONMENT AND QUALITY ....................................................................................... 16 PRECAUTIONARY PRINCIPLE ................................................................................................................................ 16 SUPPLIER EVALUATION ....................................................................................................................................... 17 PRODUCT RESPONSIBILITY .................................................................................................................................. 18 ENVIRONMENTAL PERFORMANCE ......................................................................................................................... 19 CERTIFICATES .................................................................................................................................................... 24

COMPANY ........................................................................................................................................................... 25 MANAGEMENT APPROACH: COMPANY .................................................................................................................. 25 EMPLOYMENT .................................................................................................................................................... 25 OCCUPATIONAL SAFETY AND HEALTH ................................................................................................................... 26 EDUCATION AND TRAINING .................................................................................................................................. 28 SOCIAL RESPONSIBILITY ..................................................................................................................................... 28

CONTENT INDEX AS PER GRI .......................................................................................................................... 31 CONTACT PERSON, DATE FOR THE NEXT SUSTAINABILITY REPORT ..................................................... 34

1

SUSTAINABILITY

STRATEGY AND ANALYSIS

Dear Readers,

Demographic transition as well as climate changes have a palpable influence on us and our environ-

ment. Nevertheless, corporate sustainability does not mean thinking and acting solely in an ecologi-

cally and socially sustainable way, but also in an economically responsible manner. The three dimen-

sions of sustainability - economy, ecology and society - flow into the implementation of sustainability

management in equal measure.

Our management approach is based on the commitment to increase sustainability equally at the eco-

nomic, ecological and social level, and to fulfil the responsibility which we have towards the environ-

ment, the coming generations as well as to those with a stake in the future.

For over 135 years, the REISS Büromöbel GmbH registered office has been located in the spa town

of Bad Liebenwerda where it has been creating and securing jobs. For this reason, good relations

with the environment as well as social commitment have always been a part of our company policy.

For one thing, we involve all our employees in environmental considerations and, for another, all pro-

cesses are measured in terms of their sustainable impact. Today, sustainable entrepreneurial activity,

the responsible use of resources and ecological product design have become top priorities at REISS.

We feel we have an obligation to the coming generations and our aim is to hand on to them an intact

habitat in a natural environment.

The increasing demands of our customers for environmentally friendly products are an incentive for

us to continue to drive this development. We see sustainability management as a management re-

sponsibility, which is accompanied by the personal responsibility of each individual employee. The

same applies to cooperation with our customers, specialist dealer partners and suppliers. In this re-

gard, we engage in a continuous exchange of opinions, which, among other things, serves the imple-

mentation of the three sustainability dimensions.

"Deliver only the best" was one of the mottoes of the founder of our company, Robert Reiss. Today, it

also includes the implementation and further development of sustainability issues.

Bad Liebenwerda, May 2017

Gerd Widule Managing Director

Hans-Ulrich Weishaupt Managing Director

2

SUSTAINABILITY GOALS

� Increased customer satisfaction

� Extension of language competencies (international product training)

� 5 % growth in Germany through specialist dealers

� Strengthening of the sales team (GVL) ! Increasing number

of employees

� Short-term extension of the warehousing capacities

� Reduction of the fully sealed areas by 1,900 m2

� Creation of a concept for the reduction of waste

� Decrease in CO2 by reducing the transport volume of selected

products by 50 %

Targets 2017

� Improving technological standards

� Reducing environmental impact in production processes

� Improved environmental performance with all associated

logistics partners

� Increase of the market share in Germany

� Reduction of business risk

� Expansion of the specialist dealer network in Europe

Achieve-ments 2016

3

THE FIRST SUSTAINABILITY REPORT

The drawing up of a sustainability report which provides REISS with self-reflection will enable us,

among other things, to further optimise important economic, ecological and, above all, social issues.

In addition to facilitating the company's self-reflection, the report also serves the purpose of stimulat-

ing and holding dialogues with the stakeholders. To this end, it is essential to integrate their interests

and expectations. REISS has undertaken the task of writing a sustainability report for the first time,

and it is in accordance with the G4 Guideline of the Global Reporting Initiative (GRI). The reporting

principles, such as comparability, truth, materiality and clarity, were strictly adhered to in the prepara-

tion of the report, thus enabling an objective and transparent presentation of the aspects of the report.

The REISS Environmental Declaration 2016 was used as the basis for the topic section "Environment

and quality". Therefore, selected facts and figures in this section were subject to an external audit. An

external audit for the entire sustainability report was not planned.

In future, this sustainability report will be prepared annually and will be available to the public in a digi-

tal format on the REISS homepage. For improved readability, we have avoided using gender distinc-

tions in word forms in this report. It goes without saying that the gender used in this report refers to

the masculine and feminine form at all times. Furthermore, the terms REISS Büromöbel GmbH and

REISS are used synonymously.

THE COMPANY

REISS Büromöbel GmbH was established in 1882 by Robert Reiss as a mail-order business for

measurement equipment and office supplies in Bad Liebenwerda. Twenty-two years later, REISS

began production of drafting machines, dye line printers and office furniture. A mere 6 years after that,

Robert Reiss set a milestone in ergonomic workplace design with the development and production of

the first sit-stand desk - the “Reform”. In 1921, for the first time, an ergonomic workstation was made

possible in industry with the carriage-type drafting machine - “Phoenix” (REISS board).

In 1945, the company was expropriated and completely dismantled. It was purely due to the dedica-

tion of REISS staff that the company was able to survive and re-establish itself. REISS dedicated

itself to the development and production of drafting machines with a height-adjustable, tilting drawing

board - the REISS board - for builders. The year 1990 saw a transition to a focus on developing,

manufacturing and selling office furniture. In 1994, REISS introduced its own quality management

system (DIN EN ISO 9001) and, four years later, an environmental management system (DIN EN ISO

14001).

4

The first furniture range was REISS ReForm, specialising in sit-stand desks for CAD applications.

This was followed by the height-adjustable REISS ERGO office furniture range in 1998. Since 2012,

REISS has been pursuing a growth programme with extensive investments in sustainable process

design, state-of-the-art production systems and a new ERP system. Since 2013, REISS has been

listed in the ECO Management and Audit Scheme (EMAS) Register and, since then, it has published

an environmental declaration in accordance with the EMAS III standard at regular intervals of 3 years.

For more than 135 years, REISS Büromöbel GmbH has had its head office in the spa town of Bad

Liebenwerda, in south Brandenburg. REISS is a nationally and internationally operating company

and, apart from the customer centre in Bad Liebenwerda, it has another one in Berlin as well as an

information centre in Dortmund. From here, REISS caters to the national as well as international mar-

kets, such as the Benelux member countries, Switzerland, Hungary, Poland, Ireland, Russia and the

Czech Republic.

Daily …

… 30 t of materials are processed

… 2,500 décor trims are in order-specific cutting

… 5,000 metal parts are finished on the nibbling machine, the laser or the tube

and profile cutting laser machine

… 160 employees work in a 2-shift system at the facility in Bad Liebenwerda

… 10 trucks leave the factory premises in Bad Liebenwerda

Weekly 2,000 m3 of

new furniture are

loaded and delivered.

Yearly REISS produces approximately …

… 75,000 tables/desks

… 64,000 cupboards and sideboards

… 40,000 containers

5

Products and services

The products offered by REISS range from stand-alone workstations to conference solutions and re-

ception systems right up to furnishings for open-plan offices. REISS has its own design and devel-

opment departments, as well as its own woodworking and metalworking facilities in Bad Liebenwerda.

Today, tables/desks and carcass furniture are the main focus of production. The services we provide

include planning as well as delivery and assembly. Additionally, a variety of training sessions are reg-

ularly organized for installers, specialist traders and logistics providers.

The various product lines of office tables/desks from REISS provide a high degree of flexibility and

quality as well as individual adjustment of ergonomic working heights. REISS offers system solutions

to customers in public administration as well as to customers in industry and trade. The customers'

individual requirements are continuously being implemented.

- Workstations - Sit-Stand workstations - Communications solutions - Acoustics solutions - Storage - Reception

- Planning services - Delivery - Assembly - Product and assembly training - Training of specialist traders and

logistics providers

Ownership structure and legal forms

Weekly 2,000 m3 of

new furniture are load-

ed and delivered.

Product categories Services

100%

REISS Beteiligungsgesellschaft mbH, Berlin

Commercial register: District Court Charlottenburg in Berlin

(Reg.No.: HRB 105037 B)

REISS Büromöbel GmbH

6

Corporate management

Key Account

Field sales force (GVL)

Product develop-ment / technology

Marketing / advertising

Internal sales (VID) Finances

Commercial departments Production Pur-

chase

IT

Management representative for

Quality (QMB)

Distribu-tion

Supply Chain Management

Design

Work scheduling

Management representative for the Environment

(UMB)

Data protection officer

IT security officer

Waste man-agement officer

Fire prevention officer

Laser safety officer

Safety officer

Management control system

Human resources

Management

7

Key indicators

REISS Büromöbel employs 160 persons in the spa town of Bad Liebenwerda. 91% of the employees

are covered by collective agreements. Seasonal fluctuations with regard to the number of employees

are not an issue.

In the reporting year, important changes related to the size and structure of the company occurred.

For one thing, REISS was able to achieve an increase in sales of approx. 20%. For another, after 25

years, a generational change in the management structure took place. Dietmar Menzel retired after 35

years, for 25 of which he was Managing Director of REISS. This was one of the largest structural

changes in the company. In addition to this, other structural changes were undertaken, such as the

newly created position of Head of Internal Sales, and the restructuring of the two supervisor functions

in production into four team leader functions.

2015 2016

Revenue € 33,096,951 € 39,617,417

Depreciation rate 19.90% 23.20%

Employment profile

77%

23%

160 Employees (incl. apprentices)

♂ ♀

82%

18%

40 Temporary workers (maximum)

♂ ♀

8

Employment relationship

Memberships and charters

REISS integrates itself into the social life of the region and participates in the annual Elsterlauf race in

the spa town with its own team, the "REISS RUNNERS". In addition to this, REISS is also a member

of the following federations and associations:

- IBA – Industrieverband für Büro- und Arbeitswelt (Industry Association for Office and the World

of Work)

- HKN – Verband Holz und Kunststoff Nord-Ost e.V. (Federation of Wood and Plastic Northeast)

- IHK – Industrie- und Handelskammer Cottbus (Chamber of Industry and Commerce, Cottbus)

- BVMW – Bundesverband mittelständische Wirtschaft (German Federation of Small and Medi-

um-Sized Enterprises)

- Wirtschaftsforum Brandenburg e.V. (Economic Forum, Brandenburg)

- DIN – Deutsches Institut für Normung (German Institute for Standardisation)

- Verein für Qualitätsförderung (Association for Promotion of Quality)

- Förderverein des Grundschulzentrums Robert Reiss (Association for the Promotion of the

Robert Reiss Primary School Complex)

- Förderverein der Robert Reiss Oberschule (Association for the Promotion of the Robert Reiss

Secondary School)

- REISS Zweck e.V.

83% 14% 3% 17%

unbefristet befristet ♂ befristet ♀

17%

63%

20%

83%

befristet unbefristet ♂ unbefristet ♀

95%

1%

4%

5%

Vollzeit Teilzeit ♂ Teilzeit ♀

5%

76%

19%

95%

Teilzeit Vollzeit ♂ Vollzeit ♀

temporary temporary temporary indefinite indefinite indefinite

full Time full Time full Time part Time part Time part Time

9

VALUES AND PRINCIPLES OF ETHICS AND INTEGRITY

For us, the customers take centre stage in all our activities and we take the time to implement the

wishes and suggestions of our customers. The enthusiastic recommendations by our customers

strengthen us in what we do.

Moral and ethical action is closely linked with each other. We reject discrimination and corruption and

advocate equal rights in all respects such as gender, age, nationality, religion, disability, etc.

We expect these ethical principles to be held by each of our employees as well as by our suppliers

and customers. We are aware of our responsibility towards ourselves and other interested parties and

always act according to ethical principles.

10

INVOLVEMENT OF STAKEHOLDERS

Stakeholders are persons who are directly or indirectly affected by the impacts of entrepreneurial ac-

tivity or have a direct or indirect influence on the company. In order to facilitate the appropriate in-

volvement of the stakeholders, all stakeholders relevant to REISS were initially identified and catego-

rised as internal and external (see figure). Subsequently, the positive and negative impacts of the

activities, the products or the services of the company on them was determined.

The employees represent the key value-adding factor of the company and are involved in the yearly

performance review meetings. The interests and expectations of customers can be determined by

evaluating customer satisfaction and the monthly visits and discussions with the customers. Based on

the annual supplier audit and the monthly evaluations and statistics, possible corrective measures can

be undertaken and the expectations of the suppliers can be anticipated. In addition to this, dialogues

and information events take place to determine the expectations of the local residents, the communi-

ty, as well as of the associations and federations.

Internal Stakeholders External Stakeholders

Management

Employees

Shareholders

Residents

Authorities

Customers

City Bad Liebenwerda

Suppliers

Associations and Federations

11

DEFINING THE ASPECTS OF THE REPORT

The contents of the report were selected in accordance with the G4 guidelines of the Global Reporting

Initiative (GRI). The standard data for the reporting (section "Sustainability") resulted from the GRI

Index Option "In accordance" - Core(GRI indices G4-1, G4-3 to G4-34 and G4-56). Based on the

specific data, the following relevant topics from the economic, ecological and social sectors were se-

lected in close cooperation with the management and in line with stakeholder interests:

Economy

− Economic performance − Market presence − Indirect economic impacts − Procurement

Environment and Quality

− Quality management − Materials − Energy − Water − Emissions − Waste water and garbage

Society

− Employment − Occupational safety and

health safety − Education and training − Human rights − Regional involvement − Customer health and safety

12

Prioritisation and materiality matrix

To determine the priority of the individual material aspects of the report, the materiality principle of the

GRI Guidelines was used. Each individual aspect was assessed according to its "influence on the

assessments and decisions of the stakeholders" and its "significance for the economic, environmental

and social impacts of the organisation", and presented in the materiality matrix.

The most important issues for REISS and for the interested parties can be found in the matrix. Apart

from the internal and external limits of the aspects, occupational safety, ecological aspects, quality, as

well as customer health and safety have highest priority for the interested parties. REISS, when con-

sidering the various aspects, prioritises quality, environmentally relevant issues, customer health and

safety as well as economic performance, the indirect economic impacts and involvement in the re-

gion.

Materials Energy

Water Emissions

Waste water and garbage

Economic performance

Market presence Indirect

economic impacts

Procurement

Employment

Occupational safety and health safety

Education and training

Human rights

Regional involvement

Customer health and safety

Quality management

Influ

ence

on

the

stak

ehol

ders

Significance for REISS

Materiality matrix

B

C

D

A

Legend: A: Monitoring B: Consultation C: Information D: Shareholding

13

ECONOMY

MANAGEMENT APPROACH: ECONOMY

Economic sustainability and the responsible behaviour of the company are closely related. This in-

cludes, on one hand, the primary preservation of physical capital and, on the other, enhancing the

company's reputation with its customers and society.

Key indicators of economic sustainability include the value added by the company and the percentage

of managers domiciled in the region. This is a measure of indirect regional impacts, such as shortage

of skilled labour.

Within the realm of what is possible for us, we attach importance to cooperation with local suppliers.

Due to the situation of the industry in the region, we refer to the selection of our suppliers within Ger-

many as local.

ECONOMIC PERFORMANCE AND INDIRECT ECONOMIC IMPACTS

Value added

Value added, as a key indicator of economic sustainability, is also understood as input-output ratio. At

REISS, the value added denotes the total output (direct economic value generated) minus the inputs

(economic value distributed).

2015 2016

Direct economic value generated € 33,096,951.00 € 39,617,417.00

Economic value distributed € 23,687,634.00 € 28,355,505.00

Economic value retained € 9,409,317.00 € 11,261,912.00

Value added 28.43% 28.43%

14

Market presence and indirect economic impacts

Economic sustainability means, among other things,

investing in employees and providing them with social

and economic security. By paying salaries above the

minimum wage, we give our employees economic secu-

rity and increase employee loyalty. For this reason, the

range of the standard entry-level salaries compared to

the minimum wage is not an issue for us. Likewise, the

proportion of the regionally domiciled managers in the

company is an important indicator of economic sustaina-

bility. At REISS, 44% of all managers reside within a

radius of 60 km.

Investments in infrastructure, such as transport links, care facilities or health centres were not made in

the reporting period. For REISS, indirect economic impacts are brought about, among other thing, by

the combination of demographic change and the location of the company in a rural area in the south

of Brandenburg. These factors have clearly left their mark in the regional labour market, which are

reflected in the form of a shortage of skilled labour.

For the presently and for the foreseeable future, there are no financial consequences, risks or oppor-

tunities to be expected for REISS due to climate change. With regard to the productivity of REISS or

the economy as a whole, there are no notable changes, since our activity remains unchanged, with a

focus on the development, manufacture and sale of office furniture.

PROCUREMENT

Description of the supply chain

There are only a few industrial companies

located in the south of Brandenburg, at the

border with Saxony and the surrounding

areas. REISS acts sustainably within the

realm of possibility in that 99% of our sup-

pliers are located in Germany and one-

fourth of the suppliers are located at a dis-

tance of no more than 200 km.

16 Managers

nicht regional regional

North Rhine-Westphalia

Baden-Wuerttemberg Saxony

Brandenburg Bavaria Hesse Lower Saxony Rhineland-Palatinate

Other

suppliers per federal state

non-regional regional

15

Due to our geographic location, nearly 100% of the budget available for purchase is spent in the "lo-

cal" area. The purchasing budget in the reporting period amounted in total to approx. 45% of sales.

The geographic definition for "local" in this context refers to all regions within Germany.

At the turn of the year 2015/2016, we were able to acquire two new A-class suppliers. We were able

to further reduce the proportion of suppliers from abroad in the reporting year. At present, their pro-

portion is only 1% of the total suppliers (no A-class suppliers).

The environmental compatibility of the engineered wood materials is taken into consideration even

during the procurement process. The FSC® or PEFC™ certified materials come from sustainable

forestry. These products guarantee that the ecological function of forests is preserved, the extinction

of species of animals and plants is prevented, and the rights of indigenous peoples and employees

are protected.

The raw materials and product materials used by REISS are treated appropriately in the manufactur-

ing processes, in order to finally obtain the end product which will fulfil customer requirements. The

raw materials and product materials used by REISS include, among other things, engineered wood

materials, plastics, metals, drive systems and partition walls.

For instance, the wooden and metal parts are cut to the size required for the end product and the ap-

propriate holes are drilled. Besides conventional edge banding, the Zero-Joint technology is also

used. Depending on requirements, the metal parts also pass through the following process stages:

Bending, drilling, milling, lasering and washing. Finally, they are surface-treated with powder coating.

After the products have been assembled, they are delivered to customers nationally and international-

ly.

Value chain

Distribution

Domestic International

Processing

Woodworking

Coating of edges

Metalworking

Metal washing Powder coating

Delivery of source materials

Operating and

auxiliary materials

Raw materials / product material

Packaging material

16

ENVIRONMENT AND QUALITY

MANAGEMENT APPROACH: ENVIRONMENT AND QUALITY

The aspects classified as significant in this section are essential for reporting within the scope of the

environment management system and environmental protection.

Environmental protection is of great importance to us, on the one hand because of the bond with the

spa town Bad Liebenwerda and therefore due to personal convictions. On the other hand, we would

like to contribute to it and to bequeath to people elsewhere on Earth as well as to subsequent genera-

tions an intact environment.

The respective management executives in charge are responsible for the implementation and actuali-

sation of the quality and environment management system (QMS). Quality management and envi-

ronment management will define their objectives jointly and will also implement these jointly. Envi-

ronmental protection and work safety are an integral component of the quality philosophy of REISS.

One of our management goals is the highest standard of environmental protection;. This is taken into

consideration for all technologies, procedures and materials. REISS continues to strive for improve-

ment and further development with regard to recycling or re-usability for packaging and products.

All corporate activities are subject to environmental protection and the dealings of all corporate divi-

sions are aligned to this goal. We comply with all the relevant environment protection laws and regula-

tions in our business procedures. Nevertheless, we always strive to further develop our environmental

policy beyond the statutory provisions. REISS carries out its commercial and industrial activities so

that a high environmental standard is guaranteed today as well as in the future.

PRECAUTIONARY PRINCIPLE

Precaution is an important component of environment management. This includes eliminating haz-

ards which already exist, as well as preventive protection against environmental damage. This princi-

ple prevents risks to the environment and subsequent generations beforehand. Regular evaluation of

the direct and indirect environmental aspects, as well setting environmental goals, represents preven-

tive measures for environmental protection. Among others, these measures include recycling of pack-

aging materials or at best their re-use. Preventive measures for environment related aspects are tak-

en at the product development stage itself. In order to be able to guarantee such a precaution, the

principle has to be long-term, holistic and properly thought out and implemented.

The precautionary principle is widely established in the areas of quality and risk management. The

quality and risk-related aspects are taken into consideration during the product development stage.

17

Setting quality targets as well as the certification of products contribute substantially to prevention.

Internal audits in all corporate divisions and risk evaluation of the existing products in the market are

carried out as preventive measures.

SUPPLIER EVALUATION

Our suppliers are regularly evaluated with regard to qualitative and ecological aspects. This is be-

cause all materials, substances and products supplied which go into the production influence our own

product, and can jeopardize its quality or environmental relevance. Firstly, supplier evaluations are

carried out once a year in the form of audits for all A-suppliers. Secondly, A-suppliers and B-suppliers

submit a voluntary disclosure annually.

Due to the relatively low level of vertical integration, the environmental conduct of the supplier and/or

the environmentally sound quality of the supplied materials and products also substantially determine

our own environmental performance. Therefore, it is necessary to work together as partners and find

environmentally relevant regulations which guarantee a consistent standard. Regular dialogue with

the suppliers also help to achieve this. During these talks, topics such as reduction of the packaging

material or its re-usability are addressed. Evaluation procedures are carried out regularly so as to be

able to guarantee sustainability among suppliers. However, it is mainly the new suppliers who are

audited, to ensure the quality of products and the sustainability of production. The certifications we

stand for are obviously the basis for auditing new suppliers.

In a monthly evaluation of quality assurance, the performances of the logistics providers and service

enterprises are assessed with regard to damage of the products in delivery and installation. Moreover,

the proportion of missing parts in delivery and installation is statistically recorded and analysed. With

the help of these statistics the necessity of additional talks with the suppliers is defined.

18

PRODUCT RESPONSIBILITY

Customer health and safety

Customer safety is ensured by means of the GS mark on the products manufactured by REISS. The

GS mark ensures that the product fulfils the quality and safety standards of applicable norms and

German product safety laws.

The stand-sit tables provided enable an appropriate switch between sitting and standing, which pre-

vents a one-sided strain due to prolonged sitting or standing and thus it can improve the health as

well as the work performance of the user. The reason for this is that the varying strain and relief due

to the standing-sitting dynamic supports, among other things, the back muscles and the well-being of

the user. A product sticker as well as assembling instructions and instructions for use are present in

addition to the marking of products. Likewise, the safe use of products is a subject of discussion in the

section “Customer health and safety“.

Customer satisfaction

Construction and design significantly influence the sustainability, that is, environmental protection as

well as quality of the production and the subsequent use of the products by the customer. If the quali-

tative and ecological principles of the product are not observed here, it has far reaching consequenc-

es.

Customer satisfaction as well as customer requirements are measured in different ways. Regular sur-

veys are carried out and evaluated by the area sales managers (GVL) and with the retail trade at the

annual meeting. Moreover, the assessments by the specialised publishers, such as the “markt-intern

performance level for office furniture manufacturers”, are also included in the customer satisfaction

analysis. The publishers “markt-intern” publish an evaluation of customer satisfaction of specialist

dealers every two years. This provides them with an opportunity to compare and evaluate the office

furniture manufacturers with each other. In odd calendar years, the territory sales managers measure

customer satisfaction. Apart from that, the end customers can also provide brief feedback about our

products and services by means of a proof of delivery when the furniture is delivered. These sugges-

tions and information are regularly utilised to undertake appropriate corrective measures.

19

ENVIRONMENTAL PERFORMANCE

The REISS environmental declaration 2016 certified as per EMAS III, is used as a basis for the eco-

logical aspects. The environmental declaration encompasses all important and relevant aspects such

as emissions, energy consumption, water consumption and material usage, effluents and water etc.,

from the years 2012 to 2016. These are updated annually and fully renewed every 3 years. Environ-

mental performance provides information about the weak spots and/or the potential of the environ-

ment management system. This can lead to preventive measures and corrective action if necessary.

Land

Land utilisation can be seen from the inventory data of the company.

2016

Land [m2] Sealed 9,157.00 Green 8,865.00 Built over 12,054.00 Total 30,076.00

Materials

Hazardous substances, such as surface cleaners, which are used during the process, cannot be fully

avoided at present and possibly not in the future either. All preventive measures are carried out, from

reducing the quantity used, to measurements at the workplace and instructions, to the search for sub-

stitutes; in order to avoid risks and observe the applicable provisions.

1.736,89

4.628,81

93,80 125,50 332,07

Metalle Spanplatte/MDF Kunststoffe Kantenband Antriebssysteme

in t

Product materials

metals chipboard / MDF plastics edge band drive systems

20

Prefabricated metal parts are surface-treated in the powder-coating plant. The coating plant works

with solvent free powder-coating. An over-spray recycling permits practically loss-free application of

the powder coating. The sintering furnace operated by natural gas makes for an energy-saving opera-

tion. The necessary process materials, such as cooling and lubricating agents, water, fats, etc., are

mainly processed in closed circuits.

It was possible to reduce the amount of waste arising from metal processing in the reporting year

through the acquisition of a new punching and nibbling machine. The unavoidable waste is recycled in

a recycling centre.

Energy

With an increase in turnover of approximately 20%, the energy consumption remained almost con-

stant. It was possible to achieve this by means of new machines and lighting equipment. The use of

liquid gas and oil fuel was discontinued in 2013/2014. The proportion of renewable energy in power is

not yet known, as the composition of the supplier’s power consumption is published only in October in

the following year.In the year 2015, the proportion of renewable energy in power was over 50%. A

further increase in this proportion is expected in the following years.

* Composition of power for 2016 is not yet known

4,08

9,41

15,98

Oberflächenreiniger Leime Pulverlacke in

t

Auxiliary materials and operating supplies

1.936,58 2.103,23

810,22

Strom* Erdgas Holzspäne

in M

Wh

Energy

Energie erneuerbare Energie

surface cleaners glues powder coatings

energy renewable energy

electricity* wood shavings natural gas

21

The shavings which arise during wood processing are transported by the extraction system to the

filter system. There they are separated from the transport air and deposited in a special shavings silo

for thermal recycling.

The fuel consumption of petrol has reduced substantially as compared to 2015. One reason for this is

the restructuring of the transport fleet since 2014 and the resultant new registrations of predominantly

diesel vehicles.

Water and waste water

2015 2016 Water [m3]

public supply network 2,494.00 2,685.00

Waste water [m3] 2,494.00 2,685.00

As water is principally used in closed circuits, water consumption results,for the most part, from the

requirements of the sanitary facilities and/or for the cleaning of gluing machines. A wet chemical bath-

line operated with reduced waste-water plus subsequent iron phosphatisation does the pre-treatment

for the powder coating of metal parts. Rinsing takes place several times in a cascade process. The

waste water is regenerated by using evaporation technology and fed once again to the treatment pro-

cess. The degreasing and phosphatising baths are run with a long operating life in the circuit.

27.860 35.466

8.409 36.269 36.914

2015 2016

in l

Fuel

Diesel Benzin Petrol Diesel

22

Emissions

One third of the present process heating requirements at REISS are covered directly by a combustion

plant for wood shavings. Compliance with the permissible emission values is ensured by means of

regular maintenance and metering.

Scope 1 – direct THG emissions

All greenhouse gases arising from installations or processes that are the property of REISS are in-

cluded in the Scope 1 emission. These include the emissions which arise due to the combustion of

wood and burr waste for obtaining energy. Moreover, the direct THG emissions include the CO2 emis-

sions from fuel consumption.

CO2ei CO2 CH4 N2O SO2 NOx PM

Wood shavings 23.69 21.1 0.04 0.01 0.12 0.27 0.06

Diesel 106.21 102.03 0.05 0.01 0.04 0.16 0.01 Petrol 4.20 4.13 0.00 0.00 0.00 0.00 0.00

i CO2 equivalents or greenhouse potential

Scope 2 – direct energy-related THG emissions

Emissions that arise during the generation of power and heating energy to meet requirements, for

example, are included in the indirect energy related THG emissions.

CO2e CO2 CH4 N2O SO2 NOx PM

Natural gas 525.79 479.39 1.50 0.00 0.03 0.039 0.02

Energy intensity and intensity of the THG emissions

In order to clarify the intensity of energy and emissions, a parameter specific to the organisation is

fixed, namely, the employees. Energy efficiency forms a part of the core indicators from the environ-

mental statement. This illustrates the usage of power, natural gas and wood shavings per employee.

29,84 29,94 3,86 4,07

2015 2016

Values per employee

Energieeffizenz [MWh/MA]

Emissionen [t/MA]

energy efficiency [MWh / MA]

emissions [t/MA]

23

Waste

The waste arising from the production process is collected separately and disposed of by properly

certified waste management facilities. If possible, these are also recycled or used for the production of

energy.

REISS uses a certain amount of the wood shavings for the production of energy by combustion.

Likewise, some of the resulting waste wood in the form of clippings is shredded and used for obtain-

ing energy by combustion. The remaining waste wood is available for further processing.

33,06 33,17

460,40 479,04

43,74 40,33 43,74 40,33 6,76 9,90

246,24 313,34

7,90 6,95

2015 2016

in t

non-hazardous waste

gemischte Siedlungsabfälle Holzabfälle Papier/Kartonagen

Papier/Kartonagen Kunststoffe Mischschrott

Asche

0,96 1,44

4,00 4,00

2015 2016

in t

hazardous waste

ölverschmutzte Betriebsmittel Duridine oil contaminated equipment

ash

plastics

paper / cardboard

mixed scrap

wood waste mixed muncipal waste

paper / cardboard

duridine

24

Packaging & transport

With the implementation of the new REISS logistic concept, positive changes can already be seen in

the service quality. REISS deploys external service providers in the area of shipping, who take over

delivery and assembly. The forwarding agencies deployed are integrated more intensively into the

specific process sequences for orders. Regular assembly and product training sessions guarantee an

increasingly consistent quality standard in transport and setup. This also has a positive influence on

the amount of protective packaging. In terms of environmental policy, the objective is to be able to do

without packaging. However, for reasons of quality, this will not always be possible in the future. Nev-

ertheless, in the case of some products, the essential packaging can be restricted to the materials of

cardboard and plastic film. The take-back system for packaging required by the packaging ordinance

is implemented in cooperation with the forwarding agencies. This process is based on partnership and

cooperation and expresses a joint commitment to environmental policy.

CERTIFICATES

REISS has its own quality and environment management system which is certified as per ISO 9001

and ISO 14001. In addition, REISS fulfils the guidelines as per EMAS III criteria.

In the certifications, the focus is always on re-certifications and new certifications. Moreover, REISS

also has several customer-specific certifications, such as:

• GS mark

• Quality Office

• RAL-UZ 38 (Blauer Engel)

• FSC®, PEFC™ certified composite wood

58,13 57,46

9,23 10,64

2015 2016

in t

Packaging material

Pappen Folien

REISS UNI consists of an OEKO-TEX®

certified polyester needle-punched floor

covering, which can be recycled 100%. In

addition, the transport and environmental

packaging are recycled by REISS UNI as

per the RESY provisions.

cardboard foils

25

COMPANY

MANAGEMENT APPROACH: COMPANY

Due to the fact that REISS has been based in the spa town for many years, we have exceptionally

good relations with the communities in the region and with the town itself. REISS is always interested

in promoting the integration of the communities in the region. No differentiation is made with regard to

origin, sex, age etc.

Above all, employees are an important resource for the company, as they form the vital foundation for

ensuring the quality of all organisation and production processes. Assessment of the quality level and

customer satisfaction can help to ascertain new tasks as well as the need for training all employees.

In the area of occupational safety and health, we comply with all the relevant health and safety regula-

tions and further strive to improve the health and safety of our employees. We consider customer sat-

isfaction and employee satisfaction as an essential aspect of social sustainability.

EMPLOYMENT

Labour turnover

4

10

0

3 2

5

2 4

0 0 1

5

< 30 30 - 50 > 50 < 30 30 - 50 > 50

Insgesamt 20 Zugänge Insgesamt 16 Abgänge

Num

ber

Age

♂ ♀

a total of 20 additions a total of 16 departures

26

Company benefits

All 160 employees are entitled to parental leave. In the reporting year 2016, 5 men and 2 women

made use of their parental leave. The men returned to work at the end of their parental leave. The

return-rate at the end of 2016 was 71.4%, as the women were still on parental leave. They will like-

wise continue with their work at REISS in 2017 once their parental leave ends. The rate of retention in

employment is 100% and defines the number of employees who are still employed 12 months after

the end of parental leave. In addition to parental leave, the company guarantees further benefits, in-

cluding:

- Health care

- Retirement provision

- Vacation benefits

- Special payments

- Allowances e.g. for births and weddings

- Allowance for protective work clothing

OCCUPATIONAL SAFETY AND HEALTH

Occupational safety and health is a high priority for REISS as well as for its stakeholders. A safety

committee (ASA) which is permanently established in the company, meets every quarter. The chair-

man of the ASA, the team heads from human resource management and production, works council

members, the in-house doctor and the safety in-charge attend this meeting. 8% of the employees are

represented in this committee.

Accident statistics

There were no documented occupational illnesses or work-related deaths during the reporting period.

In 2016, there were a total of 6 accidents which had to be notified, including a commuting accident.

For further statistical observation, only the work-related accidents which have to be notified are taken

into consideration. For recording accident statistics, the guidelines are used in accordance with the

quality assurance procedural instructions QSV 04 06 00 07.

27

2015 2016

♂ ♂ ♂ ♂

Work-related accidents which have to be notified (excluding commuting acci-dents)

1 0 4 1

Proportion of days lost (LDR) in % 0.11 - 0.10 0.07

1,000 employee ratei (TMQ) 6.67 32.47

Work-related accidents per 1 million work hours, which have to be notified (RIR)ii

3.86 17.69

i Number of work-related accidents x 1,000 employees / number of full-time employees ii Total number of work-related accidents x 1,000,000 work hours / working time in h

The 1000 employee rate (TMQ), as well as the work-related accidents to be notified per 1 million work

hours (RIR), are methods of calculation for the off time due to work-related accidents that have to be

notified. In 2015, our figure of 6.67 was significantly below the comparable value of 39.45 for the pro-

fessional association (BG) Holz und Metall. Likewise, REISS is much below the value of 23.55 for BG

Holz und Metall in 2015 with reference to work-related accidents per 1,000,000 work hours (RIR).

* Comparative data for BG Holz und Metall for 2016 not yet known

20%

80%

accidents which have to be notified

Wegeunfall Arbeitsunfall

6,49

32,47 36,97

2015 2016

work-related accidents which have to be notified - per 1,000

full-time employees

REISS BG

3,86 17,69 25,29

2015 2016

work-related accidents which have to be notified - per 1,000.000 working hours

REISS BG

commuting accident

accident at work

28

EDUCATION AND TRAINING

The employees’ requirement for education and training is determined individually in the annual inter-

views and targets are fixed. Due to this, no detailed documentation was prepared in the report period

for the average annual number of hours for education and training per employee according to sex and

employeecategory. Instead of that, the number of trainings as well as the overall duration of the train-

ings in the training schedule was determined and documented.

In 2016, seven employees from the internal sales team and sales representatives were trained as

certified work experts. This basic course for planning and evaluation of office spaces and office work-

stations of the Mensch & Büro-Akademie included a training period of 6 days.

SOCIAL RESPONSIBILITY

Human rights

We respect the internationally applicable human rights provisions such as fair wages, safe and

healthy working conditions, as well as restrictions on working time. The protection of human rights, as

formulated and laid down in the German constitution and the general declaration of the United Na-

tions (UNO), is obvious for us. We do not tolerate and accept any type of child labour, forced labour

and compulsory labour. The REISS Büromöbel GmbH and its suppliers are not located in emerging

economies and developing countries. Supplier locations are in adjacent national or international re-

gions, due to which there is no risk of violating human rights. The rule of law in these countries pre-

vents such inhumane work practices.

Furthermore, we do not accept any discrimination on grounds of origin, nationality, sexual identity,

sex, age as well as physical or mental disabilities.

3 8

24 18

27 26

2015 2016

Num

ber

Number of training sessions

intern extern

37

370 151

375

188

2015 2016

in h

Overall duration of training sessions

intern extern internal internal external external

29

Regional commitment

REISS is involved in the region and supports regional communities, because the future of REISS is

here. We promote children and youth in various ways, e.g. sports, culture and education. The primary

and secondary school of the town Bad Liebenwerda are named after Robert Reiss, the founder of the

company for good reason. REISS integrates the regional communities by supporting and promoting

them. The following regional communities are supported e.g. by means of donations and sponsorship:

- FC Bad Liebenwerda e.V. Waldstation

- Handballclub Bad Liebenwerda e.V.

- HausLeben Kurstadtregion Elbe-Elster e.V.

- Big Band Bad Liebenwerda

- Förderverein des Robert Reiss Grundschulzentrums

- Förderverein der Robert-Reiss Oberschule

- Potsdamer Sport-Union 04 e.V.

Even the voluntary fire brigade and the schoolgirls of the Elsterschloss Gymnasium are supported by

REISS in their projects. One of these projects is supposed to help the youth understand the opportu-

nities and perspectives as well as the various tasks of the fire brigade.

Since 1895 REISS Büromöbel GmbH has been consistently training apprentices in the most varied

professions. In addition there is a close cooperation with the scientific institutions like the TU Dresden

or the BTU Cottbus-Senftenberg. The objective of cooperation with the colleges is the knowledge

transfer for further development of processes, technologies and products in the company.

So as to detect actual or potential negative effects on the environment and the society, as well as

impact assessment at the right time, environmental impact assessment is carried out regularly and

the results are analysed.

30

Cooperation with the Elster-Werkstätten

REISS Büromöbel GmbH cooperates with the Elsterwerkstätten. These are a non-profit organisation

for grown-ups, who are not employed in the general job market due to their severe cognitive or physi-

cal disabilities. They work for social integration and occupational rehabilitation of people with disabili-

ties. REISS functions as client and supplier for the printing house and metal processing in Herzberg,

for the metal workshop in Kraupa and wood processing in Lausitz. Thus we promote employment of

people with disabilities. For example, the entire container production for REISS is done by the Elster-

Werkstätten in Lausitz and executed to our highest satisfaction. Besides, most of the printing orders,

marketing articles, catalogues and prospects are prepared and/or sent by the Print House in Her-

zberg/Elster.

31

CONTENT INDEX AS PER GRI

GRI index Reported Page Inspection Strategy and analysis 1 Sustainability declaration X 1-2 -

Organisation profile 3 Name X 3 - 4 Products, services X 5 - 5 Head office X 3 - 6 Locations X 4 - 7 Ownership structure X 5 - 8 Markets X 4 - 9 Size X 7 - 10 Occupational profile X 7-8 - 11 Collective agreements X 7 - 12 Supply chain X 14-15 - 13 Changes X 7 - 14 Precautionary principle X 16-17 - 15 external charters, initiatives X 8 - 16 Memberships in associations X 8 -

Essential aspects and limits ascertained

17 Company in consolidated Annual financial statement REISS Büromöbel GmbH - -

18 Contents of the report X 11 - 19 Essential aspects X 12 -

20 Internal essential aspects

Economic achievements, Market presence, indirect economic effects, Procurement, Employment, Occupational safety and health, Education and Training, Human rights, Regional com-mitment, Customer health and safety, Material, Energy, Water, Emissions, Waste water and Waste

21 Internal essential aspects

Economic achievements, Procurement, Occupational safety and health, Education and Training, Regional commitment, Customer health and safety, Material, Energy, Water, Emis-sions, Waste water and Waste

22 Restatement in the report not applicable, as it is the first report - - 23 Modifications to previous reports not applicable, as it is the first report - -

Integration of stakeholders 24 Stakeholders X 10 - 25 Identifying stakeholders X 10 - 26 Integration of stakeholders X 10 - 27 Stakeholders’ topics X 11 -

Report profile 28 Reporting period 2016 - - 29 Date of the latest report not applicable, as it is the first report - - 30 Reporting cycle annual - - 31 Contact details X 33 - 32 GRI index - option “In concert” -core - - 33 External inspection of the contents Partly by EMAS - -

Corporate governance 34 Organisation chart X 6 -

Ethics and integrity 56 Values, principles X 9 -

32

Economy DMA Management approach: Economy 13 -

Economic achievements EC1 Creation of value X 13 X EC2 Consequences of climate change - - - EC3 Obligations based on pension plan - - - EC4 Financial support - - -

Market presence EC5 Ratio minimum wage X 14 - EC6 regional management personnel X 14 -

Indirect economic effects EC7 Investments in infrastructure X 14 - EC8 economic effects X 14 -

Procurement EC9 local suppliers X 14-15 -

Environment and quality

DMA Management approach: Environment and quality 16 -

Materials EN1 Materials X 19-20 X EN2 Secondary raw materials - - -

Energy EN3 Internal energy consumption X 20 X EN4 External energy consumption - - - EN5 Energy intensity X 22 X EN6 Reducing energy consumption - - -

EN7 Reducing energy requirements for products and services - - -

Water EN8 Total water withdrawal X 21 X EN9 affected sources of water - - - EN10 quantity of water recycled - - -

Emissions EN15 Direct THG emissions X 22 X EN16 energy-related THG emissions X 22 X EN17 indirect THG emissions - - - EN18 Intensity of the THG emissions X 22 X EN19 Reducing the THG emissions EN20 Ozone depleting substances - - - EN21 NOX, SOX X 22 X

Waste water and waste EN22 Discharge of waste water X 21 X EN23 Overall weight of waste X 23 X EN24 significant pollution - - - EN25 treated or similar waste - - - EN26 Biodiversity value of water bodies - - -

33

Company DMA Management approach: Company 25 -

Employment LA1 Labour turnover X 25 - LA2 Company benefits X 26 - LA3 Return rate after parental leave X 26 -

Employer employee relationship LA4 Minimum notice period - - -

Occupational safety and health LA5 ASA X 26 - LA6 Accident statistics X 26-27 -

LA7 High morbidity rate due to occupa-tion - - -

LA8 Health and safety topic in trade un-ions - - -

Education and Training LA9 Ø Trainings /year X 28 - LA10 Competence management - - -

LA11 Performance evaluation Employee appraisals, agreement on objectives - -

Human rights HR1 to HR12

Statement of human rights aspects X 28 -

Regional commitment SO1 Integration X 29 - SO2 negative effects - 29 -

Customer health and safety PR1 Tested categories X 18 - PR3 Product and service information X 18 - PR5 Result of customer satisfaction X 18

34

CONTACT PERSON, DATE FOR THE NEXT SUSTAINABILITY REPORT

Contact person of REISS Büromöbel GmbH In case of questions and suggestions

Please contact Ms.Theresa Mägel

Email: Theresa.Maegel@reiss-bueromoebel.de

Date of the next sustainability report The next REISS sustainability report

will be published in May 2018.

REISS Büromöbel GmbH 04924 Bad Liebenwerda, Germany

Phone: +49 35341 48-360 Fax: +49 35341 48-368 E-Mail: info@reiss-bueromoebel.de www.reiss-bueromoebel.de

Member of Industrieverband Büro- und Arbeitswelt e.V. (IBA)