DLH_Balance_2016_ENG

tal committee is placed at the upper management level and has the task of steering all topics and processes related to sustainability within the Group in an effective manner. The CRC comprises the heads of the Group departments Strategy, Political Affairs, Group Environmental Issues, Human Resources, Legal Affairs, Communications, Investor Relations, Controlling and Corporate Sourcing. It reports directly to the Lufthansa Group’s Executive Board. In addition, a working group whose members come from dif- ferent Group departments covers current aspects and concerns related to topics of entrepreneurial responsibility. Commitment to corpo- rate responsibility is acknowledged Sustainability analysts and rating agencies in 2015 again assessed the activities of the Lufthansa Group with regard to respon- sible corporate governance. For example, the US trade publication Air Transport World honored the Group’s pioneering role in the area of climate and environ- mental responsibility for the second time in three years with the award “Eco-Airline of the Year”. Furthermore, the Lufthansa Group is listed in such sustainability indices as FTSE4Good, Ethibel Sustainability Index (ESI) Excellence Europe, ECPI and MSCI Global Sustainability Index Series (see cover, Corporate Responsibility: Prizes, awards and indices). Strategic program “7to1 – Our Way Forward” The strategic program “7to1 – Our Way Forward”, which was launched in July 2014, reorients the Lufthansa Group for the future. Aimed at increasing ef ciency, its measures are the basis for developing the aviation group successfully and sus- tainably. The strategic program’s goal is to increase the Group’s ability to create added value – and to secure the Company’s competitiveness and future viability. “7to1 – Our Way Forward” com- prises seven key areas of action that refer to market conditions as well as to internal structures and processes (see page 15, Annual Report 2015): Customer centricity and quality focus New concepts for growth Innovation and digitalization Culture and leadership Value-based steering Constantly improving ef ciency Effective and lean organization The topic of sustainability is present in all seven action areas. The Lufthansa Group will invest a total of 500 million euros in innovations by 2020 to make the product “ ying” more ef cient, more environmen- tally compatible and more attractive. Simultaneously, the Group is currently implementing the largest eet moderni- zation program in its history (see page 29, Fleet development). Furthermore, the focus on “Culture and leadership” will help to ensure that talent- ed job seekers see the aviation group as an attractive employer in the future as well. Inasmuch as a modern, feedback-oriented leadership culture forms the basis for motivated and autonomous employees. In addition, the Lufthansa Group realigned itself organizationally with effect from Janu- ary 1, 2016 as part of the measures taken in the action area “Effective and lean orga- nization”. As a result, more functional crite- ria are applied in steering the entire organi- zation. The restructuring allows the Group to interlink commercial, operative and administrative functions more closely across all business segments. All efforts in the framework of “7to1 – Our Way Forward” serve the purpose of creating added value for customers, employees, shareholders and partners. “Consistently safeguarding the future” is the title of the Lufthansa Group’s Annual Report 2015, available at www.lufthansagroup.com/investor- relations. Sustainability and responsible management play important roles in this context. Sustainability Report Balance // Issue 2016 // Lufthansa Group // 19

Pages Overview