Independent Assurance Report

Intro to Data section

Data

The Audi CR Report 2012 presents our work in the area of corporate responsibility in detail for the first time. The introductory chapter "About this report" presents the background and parameters of this report. The data section lists important key figures from our five CR core themes - Operations, Product, Environment, Employees and Society - for the years 2010 to 2012.

The Audi CR Report complies with the G3.1 Guidelines of the Global Reporting Initiative (GRI). Application Level B+ is confirmed by the GRI Application Level Check. The GRI Index provides an overview of the indicators we have reported against. Our first UN Global Compact Communication on Progress is integrated into this Report. The auditing firm PricewaterhouseCoopers has conducted an independent audit of this report. Its audit report provides a summary of the results.

In addition, for this report we have compiled information on the Code of Conduct and guidelines, our memberships and partnerships and on awards, which we received during the 2012 reporting period.

About this report

About this report

In publishing the 2012 Corporate Responsibility Report, we are presenting our work in the area of corporate responsibility in detail to external and internal stakeholders and to the interested public for the first time. In February 2012, AUDI AG joined the UN Global Compact as a sign of its willingness to accept corporate responsibility. Our first Communication on Progress regarding the ten principles in the areas of Human Rights, Labor, Environment and Anti-Corruption is integrated into this report.

The complete Audi Corporate Responsibility Report 2012 can be viewed online in German and English at www.audi.com/cr-report2012. The printed brochure is also available in German and English, and can be ordered online using a form.

Report period and content

The Audi Corporate Responsibility Report 2012 covers the period from January 1 to December 31, 2012. Supplementary information on significant activities that took place before and after the reporting period, through to the editorial deadline in March 2013, are also included. All information refers to the Audi Group. If the report refers to individual companies, sites or brands only, this is noted accordingly.

The corporate responsibility strategy is implemented on the basis of five core themes. The report is also structured according to the same five themes: Operations, Product, Environment, Employees and Society. Information relating to the strategic approach, measures, goals and goal attainment is provided for each of these core themes. The report content has been selected according to the principle of materiality, as documented by stakeholder management, introduced for the first time in 2012, and the resulting materiality matrix. In addition, the data section contains important key figures that were reported for the period 2010 through 2012 and are, as a rule, collected using specialist data management systems in the various business divisions.

The report conforms with the G3.1 Guidelines of the Global Reporting Initiative (GRI) and takes account of the Automotive Sector Supplement (pilot version 1.0) designed specifically for the automotive industry. Application Level B+ is confirmed by the GRI Application Level Check. An independent audit was also conducted by the auditing firm PricewaterhouseCoopers (cf. audit report).

Reporting cycle

A fully revised version of the Audi Corporate Responsibility Report is published every two years. The next report will be published in the first half of 2015. The main key figures for 2013 will be revised in the first half of 2014.

Contact

Readers with questions or comments are invited to contact Dr. Peter F. Tropschuh, Head of Corporate Responsibility at AUDI AG, by email at cr@audi.de.

Key figures

Key figures


Audi presents its sustainability activities in a transparent, factual manner. The following tables contain important key figures relating to our five CR core themes. The figures for the years 2010 to 2012 apply to the calendar year and refer to the Audi Group. If key figures refer to individual Audi Group companies only, this is specified accordingly. Figures are rounded up or down, which may result in slight deviations from the totals stated. Key figures of the 2012 calendar year that have been checked by the auditing firm are marked with a ✓ symbol.

Finances Unit 2010 2011 2012
Revenue ✓ EUR million 35,441 44,096 48,771
Operating profit ✓ EUR million 3,340 5,348 5,380
Profit before tax ✓ EUR million 3,634 6,041 5,956
Profit after tax ✓ EUR million 2,630 4,440 4,353
Total capital investments1) EUR million 2,146 2,970 6,416
Research and development expenditure EUR million 2,469 2,641 2,942
Operating return on sales ✓ Percent 9.4 12.1 11.0
Return on investment ✓ Percent 24.7 35.4 30.9

Value added, Audi Group Unit 2010 2011 2012
Source
  • Revenue
EUR million 35,441 44,096 48,771
  • Other income
EUR million 2,256 2,524 2,194
  • Cost of materials
EUR million -21,802 -28,594 -30,265
  • Depreciation and amortization/write-ups
EUR million -2,112 -1,793 -1,917
  • Other upfront expenditures
EUR million -5,440 -4,705 -7,770
Value added EUR million 8,343 11,528 11,014
Appropriation
  • to stockholders
EUR million 2,010 3,138 3,790
  • to employees (wages, salaries, social insurance)
EUR million 4,274 5,076 5,053
  • to the state (taxes, duties)
EUR million 1,356 1,889 1,502
  • to creditors (interest expense)
EUR million 83 124 106
  • to the Company (reserves)
EUR million 620 1,302 563
Value added EUR million 8,343 11,528 11,014
Product Unit 2010 2011 2012
Production
  • Automotive segment
Cars2) 1,150,018 1,302,981 1,469,205
Engines 1,648,193 1,884,157 1,916,604
  • Motorcycles segment
Motorcycles3) - - 15,734
Deliveries to customers
Automotive segment Cars 1,293,453 1,512,014 1,634,312
  • Audi brand
Cars 1,092,411 1,302,659 1,455,123
  • Lamborghini brand
Cars 1,302 1,602 2,083
  • Other Volkswagen Group brands
Cars 199,740 207,753 177,106
Motorcycles segment Motorcycles3) - - 16,786
  • Ducati brand
Motorcycles3) - - 16,786
CO2-emissions of the European fleet (EU 27) ✓ g CO2/km 152 145 1384)
Environment5) Unit 2010 2011 2012
Energy
Total energy consumption (energy input) ✓ MWh 2,526,869 2,508,824 2,591,215
MWh/veh. 2.88 2.49 2.68
  • Electricity ✓
MWh 1,227,329 1,282,514 1,325,442
MWh/veh. 1.40 1.27 1.37
  • Natural gas ✓
MWh 879,863 822,597 804,895
MWh/veh. 1.0 0.82 0.83
  • District heating ✓
MWh 386,830 340,692 410,125
MWh/veh. 0.44 0.34 0.42
  • Refrigeration (externally sourced) ✓
MWh 22,009 61,111 46,307
MWh/veh. 0.03 0.06 0.05
  • Heating oil ✓
MWh 10,838 1,910 4,446
MWh/veh. 0.012 0.002 0.005
Resource-saving Audi terminal architecture6) Dealerships 147 258 390
Emissions
Total CO2 emitted ✓ t 900,852 918,576 628,916
kg/veh. 1,025.98 910.96 650.68
  • Direct CO2emissions7)
t 203,067 194,677 195,680
kg/veh. 231.27 193.06 198.45
  • VOC emissions8)
t 1,913 2,340 2,149
kg/veh. 2.18 2.32 2.22
  • Direct NOxemissions9)
t 241 268 258
kg/veh. 0.27 0.27 0.27
CO2 reductions in logistics10)
  • Ingolstadt−Emden route ✓
t CO2 2,149 6,022 7,059
  • Neckarsulm−Emden route ✓
t CO2 - - 778
Water
Total freshwater consumption ✓ 3,079,288 3,323,962 3,569,786
m³/veh. 3.51 3.30 3.69
  • Freshwater consumption, internal catchment ✓
1,559,195 1,619,174 1,668,548
m³/veh. 1.78 1.61 1.73
  • Freshwater consumption, externally sourced ✓
1,520,093 1,704,788 1,901,238
m³/veh. 1.73 1.69 1.97
Percentage of freshwater consumed as drinking water ✓ Percent 23 23 25
Volume of waste water ✓ 2,067,863 2,159,854 2,292,910
m³/veh. 2.36 2.14 2.35
Waste11)
Total volume of waste (excluding scrap)12) t 58,685 72,832 71,933
kg/veh. 66.84 72.23 72.31
  • Recyclable waste ✓
t 50,131 60,788 59,339
kg/veh. 57.09 60.28 60.00
  • other recyclable waste
t 23,568 33,550 31,035
kg/veh. 26.84 33.27 32.11
  • hazardous recyclable waste
t 26,563 27,238 26,962
kg/veh. 30.25 27.01 27.90
  • Disposable waste ✓
t 8,554 12,044 12,594
kg/veh. 9.74 11.94 12.31
  • other disposable waste
t 1,110 511 511
kg/veh. 1.26 0.51 0.53
  • hazardous disposable waste
t 7,444 11,533 11,387
kg/veh. 8.48 11.44 11.78
Metallic waste (scrap) ✓ t 323,497 335,316 324,292
kg/veh. 368.43 332.54 317.48
Employees13) Unit 2010 2011 2012
Workforce, Audi Group ✓ Total 59,513 62,806 67,231
  • AUDI AG ✓
Total 44,299 45,386 47,121
  • Apprentices ✓
Total 2,269 2,322 2,283
Average age ✓ Years 40.8 40.6 40.6
Age structure
  • < 30 years ✓
Percent 15.41 16.64 17.38
  • 30 to 50 years ✓
Percent 63.40 61.90 59.83
  • > 50 years ✓
Percent 21.19 21.46 22.79
Average length of service ✓ Years 16 15.6 15.2
Turnover rate ✓ Percent 0.3 0.5 0.6
Proportion of women
Audi Group ✓ Percent 12.6 13.0 13.7
AUDI AG ✓ Percent 13.0 13.3 13.9
  • Apprentices14)
Percent 24.0 24.2 23.7
  • Industrial ✓
Percent 20.9 21.3 20.7
  • Clerical ✓
Percent 76.5 75.8 77.8
  • Management ✓
Percent 6.9 6.7 7.3
Other structural data15)
Proportion of academics16) Percent 36.3 40.1 42.3
Proportion of foreign nationals ✓ Percent 7.7 7.7 7.7
Participants in online anti-corruption training17) Total - 1,289 3,025
Proportion of people with severe disabilities ✓ Percent 6.0 6.0 6.0
Contracts to workshops for people with mental disabilities ✓ EUR million 6.2 6.3 6.3
Frequency of accidents18) - 2.3 2.3 2.4
Attendance rate19) Percent 96.4 96.4 96.4
Audi Ideas Program
Savings EUR million 55.3 70.4 71.1
Implementation quota Percent 57.5 57.2 57.4
Profit-sharing bonus per employee20) EUR 6,513 8,251 8,030
Society Unit 2010 2011 2012
Christmas donation21) EUR 770,000 800,000 825,000

1) In 2012 including the acquisition of interests in Volkswagen Group Services S.A., Brussels (Belgium), and in DUCATI MOTOR HOLDING S.P.A., Bologna (Italy)
2) Since January 1, 2012, including vehicles manufactured in China by the FAW-Volkswagen Automotive Company, Ltd., Changchun, joint venture; 333,465 (216,053) vehicles were manufactured by the joint venture in the 2012 fiscal year. The previous year's figure has been adjusted for ease of comparison.
3) Since acquisition of the Ducati Group in July 2012
4) According to provisional calculations, the average CO2 emissions of new vehicles sold in the European Union (EU 27) in 2012 was around 138 g/km.
5) With the exception of the item "Audi terminal," refers to the Ingolstadt, Neckarsulm, Brüssel, Győr and Sant'Agata Bolognese sites
6) Figure refers to dealers worldwide who have implemented the energy-saving Audi terminal architecture concept
7) Direct CO2 emissions: This figure is made up of CO2 emissions generated by the use of fuel at the plant, and CO2 emissions produced by the operation of test rigs.
8) VOC emissions (volatile organic compounds): This figure comprises emissions from the paint shops, test rigs and other facilities.
9) Direct NOx emissions: This figure comprises NOx emissions generated by the boiler houses at the plant, paint shops and by the operation of test rigs.
10) Transportation of cars from Ingolstadt to Emden, the port of loading on the North Sea coast; since October 2012 also from Neckarsulm
11) Our plants participate in the statutory electronic verification procedure for waste management (eANV). Hazardous waste is not mixed with non-hazardous waste; the recycling and disposal of hazardous waste is monitored by the eANV.
12) Incl. non-production-specific waste
13) The employee figures are annual averages
14) Since 2012 including StEP program (Study and Experience in Practice); 2012 figure excluding StEP: 24.1 percent
15) AUDI AG
16) With respect to indirect employees
17) Employee training on compliance has been offered since 2011.
18) The accident frequency figure indicates how many industrial accidents involving one or more days’ work lost occur per million hours worked.
19) The attendance rate is calculated using the formula 100−(sick days/payment-relevant days)x100.
20) Bonus paid in the following year; average figure for pay-scale employees at AUDI AG
21) The annual Christmas donation is an employee fundraising campaign initiated by the Works Council which is topped up by the Company. The money raised goes towards social and charitable causes in the Ingolstadt and Neckarsulm regions.

GRI index

GRI Index

The Audi Corporate Responsibility Report 2012 is based on the internationally recognized Global Reporting Initiative (GRI) Guidelines. Since 1997, the GRI Guidelines, which take into account equally economical, environmental and social aspects, have provided a standardized framework for sustainability reporting.

Our report corresponds to the Guidelines revised in 2011 (G3.1) and also includes the sector-specific additional disclosures for the automotive sector (pilot version 1.0). Application level B+ was verified by GRI. The following table provides detailed information on the level of fulfillment of the individual indicators.

GRI Index (G3.1)

Indicator Status Reference
1.1 Statement from the Board of Management Fully Foreword by the Board of Management
1.2 Key impacts, risks and opportunities Fully Strategy
Foreword by the Board of Management
CR program
Compliance and risk management
Indicator Status Reference
2.1 Name of the organization Fully About Audi
2.2 Primary brands, products and/or services Fully About Audi
2.3 Operational structure of the organization Fully About Audi
2.4 Location of the organization's headquarters Fully About Audi
2.5 Countries where the organization operates Fully About Audi
Audi 2012 Annual Report, p. 140 ff.
(Audi Group, Structure)
2.6 Nature of ownership and legal form Fully About Audi
Audi 2012 Annual Report, p. 140 ff.
(Audi Group, Structure)
2.7 Markets served Fully About Audi
Audi 2012 Annual Report, p. 140 ff.
(Audi Group, Structure)
2.8 Scale of the reporting organization Fully About Audi
Audi 2012 Annual Report, p. 140 ff.
(Audi Group, Structure)
Key figures, Finances
2.9 Significant changes during the reporting period Fully About Audi
Audi 2012 Annual Report, p. 140 ff.
(Audi Group, Structure)
2.10 Awards received in the reporting period Fully Awards
Indicator Status Reference
3.1 Reporting period Fully About this Report
3.2 Date of the most recent previous report Fully Not applicable due to this being the first report
3.3 Reporting cycle Fully About this Report
3.4 Contact point for questions regarding the report Fully About this Report
3.5 Process for defining report content Fully About this Report
Stakeholder management
3.6 Boundary of the report Fully About this Report
3.7 Limitations on the scope or boundary of the report Fully About this Report
3.8 Joint ventures, subsidiaries, outsourced operations Fully About this Report
Audi 2012 Annual Report, p. 140 ff.
(Audi Group, Structure)
3.9 Data measurement Fully About this Report
3.10 Re-statements of information provided in earlier reports Fully Not applicable due to this being the first report
3.11 Changes in the scope, boundary or measurement methods Fully Not applicable due to this being the first report
3.12 GRI Content Index Fully GRI index
3.13 External assurance/confirmation of the report Fully Audit report
Indicator Status Reference
4.1 Governance structure of the organization Fully CR organisation
Compliance and risk management
4.2 Independence of the Chairman of the Supervisory Board Fully Audi 2012 Annual Report, p. 266, 271 f., 277 ff. (Supervisory Board, Corporate Governance, Mandates of the Supervisory Board)
4.3 Members of the highest governance body that are independent Fully Audi 2012 Annual Report, p. 271 f., 276 (Corporate Governance, Mandates of the Board of Management)
4.4 Right of representation for employees and shareholders Fully Audi 2012 Annual Report p. 149 (Stockholders' rights and obligations)
Co-determination and social partnerships
4.5 Linkage between compensation for members of the management committees and the organization's performance Fully Audi 2012 Annual Report p. 264 f. (Details relating to the Supervisory Board and Board of Management)
4.6 Processes to ensure conflicts of interest are avoided Fully Compliance and risk management
4.7 Expertise of the management committees in the areas of economics, environment, social Fully CR organisation
4.8 Statements of mission or values, codes of conduct, and principles relevant to sustainability Fully Compliance and risk management
UN Global Compact Progress Report
Code of Conduct and guidelines
4.9 Procedures of the highest governance body for overseeing sustainability performance Fully CR organisation
Compliance and risk management
4.10 Processes for evaluating the highest body's own sustainability performance Fully CR organisation
Compliance and risk management
Audi 2012 Annual Report 2012, p. 273 f. (Compliance)
4.11 Consideration of the precautionary principle Fully Compliance and risk management
4.12 Support of externally developed economic, environmental and social initiatives Fully UN Global Compact Progress Report
Code of Conduct and guidelines
Memberships and partnerships
Stakeholder management
4.13 Memberships in associations and advocacy organizations Fully Memberships and partnerships
4.14 Stakeholder groups engaged by the organization Fully Stakeholder management
4.15 Stakeholder group selection Fully Stakeholder management
4.16 Approaches to stakeholder engagement Fully Stakeholder management
4.17 Key topics and concerns raised through stakeholder engagement Fully Stakeholder management
Indicator Status Reference
Economy − management approach Fully Strategy
Operations
Product
EC1 Direct economic value generated and distributed Fully Key figures, Finances
Key figures, Society
Audi 2012 Annual Report, p. 202 (Income Statement)
EC2 Financial implications of climate change Fully Environmental management
Compliance and risk management

A quantification of the financial consequences of climate change is not possible due to the complexity of the issue.
EC3 Defined benefit plan obligations Fully Social benefits and remuneration
EC4 Financial assistance received from government Fully Audi 2012 Annual Report p. 226, 228, 259 (Government grants, Other operating income, Personnel costs)
EC5 Relationship between standard entry level wage compared to local minimum wage Partly Social benefits and remuneration

AUDI AG pays all pay-scale employees as per the valid collective agreement of the metal and electrical industry (IG Metall).
EC7 Procedures for local hiring Fully Diversity and equal opportunities
EC8 Infrastructure investments and services provided for public benefit Fully Society
Key figures, Society
EC9 Type and scope of indirect economic impacts Partly Strategy
Society
Audi 2012 Annual Report, p. 153 ff. (Research and Development)
Indicator Status Reference
Environment − management approach Fully Strategy
Product
Enviroment
EN1 Materials used by weight or volume Partly Material management
EN2 Percentage of materials used that are recycled materials Partly Material management
EN3 Direct energy consumption Fully Key figures, Environment
see Energy Note: 1 megawatt hour (MWh) = 3.6 gigajoules (GJ) E.g. total energy consumption in 2012: 2,591,215 MWh = 9,328,374 GJ
EN4 Indirect energy consumption Partly Key figures, Environment, see Energy
EN5 Energy saved Fully Environmental management
CO2 - neutral locations
EN6 Energy-efficient products and services Fully Holistic analysis
Technologies for increasing efficiency
EN7 Initiatives to reduce indirect energy consumption Fully Environmental management
CO2 - neutral locations
Logistics
EN8 Total water withdrawal Fully Water management
Key figures, Environment, see Water
EN9 Water sources significantly affected by the withdrawal of water Fully None
EN10 Recycled and reused water Partly Water management
EN13 Natural habitats protected or restored Fully Audi Stiftung für Umwelt
Partnerships for the environment

Audi has planted half a million trees and bushes around its proving grounds in Neustadt to compensate for sealed areas. This provides new habitats for flora and fauna, including various indigenous plant and animal species that are endangered. The success of these measures is documented in an expert report. A biotope has thus been created on land that was formerly intensively used for agriculture.
EN14 Strategies and measures for managing impacts on biodiversity Fully Audi Stiftung für Umwelt
Partnerships for the environment
EN15 Endangered species in areas affected by operations Partly See EN13: Endangered indigenous plant and animal species have been provided with a new habitat around the Neustadt proving grounds.
EN16 Direct and indirect greenhouse gas emissions Partly Key figures, Environment, see Emissions
EN17 Other relevant greenhouse gas emissions Fully Key figures, Environment, see Emissions
Logistics
EN18 Initiatives to reduce greenhouse gas emissions and reductions achieved Fully Holistic analysis
CO2 - neutral locations
Logistics
EN19 Emissions of ozone-depleting substances Fully In the period under review, there are no known cases of emissions of substances listed in annexes A, B, C, and E of the Montreal Protocol on Substances that Deplete the Ozone Layer.
EN20 NOx, SOx and other significant air emissions Partly Key figures, Environment, see Emissions
EN21 Water discharge Fully Key figures, Environment, see Water
Water management
EN22 Waste by type and disposal method Fully Key figures, Environment, see Waste
EN24 Transported, imported, exported or treated waste deemed hazardous Fully Material management
Key figures, Environment, see Waste
EN25 Water bodies affected by discharges of water and runoff Fully Not applicable
EN26 Initiatives to mitigate environmental impacts of products Fully Holistic analysis
Technologies for increasing efficiency
Alternative drives
Renewable fuels
Material management
Water management
EN27 Packaging materials that are reclaimed Fully Insignificant since Audi sells its products unpackaged
EN28 Fines for non-compliance with environmental laws and regulations Fully none
EN29 Environmental impacts of transporting products, goods, materials, and employees Partly Logistics
Indicator Status Reference
Working conditions − management approach Fully Strategy
Employees
LA1 Total workforce by employment type, employment contract, region and gender Partly Key figures, Employees, see Workforce
LA2 Employee turnover by age group, gender, and region Partly Key figures, Employees, see Turnover
LA3 Benefits that are only provided to full-time employees Fully Social benefits and remuneration
LA4 Percentage of employees covered by collective bargaining agreements Fully Co-determination and social partnerships
LA5 Minimum notice period(s) regarding significant operational changes Fully Co-determination and social partnerships
LA6 Percentage of total workforce represented in health and safety committees Fully Occupational safety and health management
LA7 Occupational illnesses, lost days and the number of work-related fatalities by region and gender Fully Occupational safety and health management
Key figures, Employees, see Accident statistics
LA8 Health protection, counseling and training programs regarding serious diseases Fully Occupational safety and health management
LA9 Health and safety topics with trade unions Fully Occupational safety and health management

Company agreement 3/90 governs the cooperation between the company, members of the workforce, and statutory co-determination bodies of AUDI AG in the fields of occupational safety.
LA10 Training measures by gender Partly Training and advancement
LA11 Programs for skills management and lifelong learning that support the continued employability of employees Fully Training and advancement
LA12 Employees receiving performance and career development reviews, by gender Fully Training and advancement
LA13 Diversity of employees and governance bodies Fully Diversity and equal opportunities
Key figures, Employees, see Age structure, proportion of women, proportion of people with severe disabilities
Audi 2012 Annual Report, p. 180 f. (Women at Audi)
LA14 Ratio of remuneration of women to men Fully Social benefits and remuneration

Women and men performing the same function earn equal pay.
LA15 Return to work and retention rates after parental leave, by gender Partly Work and family
Indicator Status Reference
Human rights − management approach Fully Compliance and risk management
UN Global Compact Progress Report
Code of Conduct and guidelines
HR1 Investment agreements that take human rights into account Fully Supplier relationships
UN Global Compact Progress Report
Code of Conduct and guidelines
HR2 Significant suppliers, contractors and business partners that have undergone human rights screening Partly Supplier relationships
UN Global Compact Progress Report
Code of Conduct and guidelines
HR3 Employee training on human rights Partly Compliance and risk management
HR4 Incidents of discrimination and actions taken Fully No incidences of discrimination recorded in the period under review.
HR5 Operations in which the right to exercise freedom of association and collective bargaining may be violated and actions taken to support these rights Fully Compliance and risk management
Co-determination and social partnerships
HR6 Operations identified as having significant risk for incidents of child labor and measures taken Fully Supplier relationships
UN Global Compact Progress Report
Code of Conduct and guidelines
HR7 Operations identified as having significant risk for incidents of forced or compulsory labor and measures taken Fully Supplier relationships
UN Global Compact Progress Report
Code of Conduct and guidelines
HR8 Security personnel trained in human rights aspects Fully Compliance and risk management
HR9 Incidents of violations involving rights of indigenous people Fully No incidences recorded in the period under review.
HR10 Percentage and number of operations that have been subject to human rights reviews Partly Compliance and risk management
Supplier relationships
HR11 Number of grievances related to human rights that were filed, addressed, and resolved Fully No grievances recorded in the period under review.
Indicator Status Reference
Society − management approach Fully Strategy
Compliance and risk management
Society
SO1 Percentage of operations with local community engagement, impact assessments, and development programs Partly The locations as vibrant communities
Our locations are also where people live
SO2 Business units analyzed for risks related to corruption Fully Compliance and risk management
SO3 Employees trained in anti-corruption policies and procedures Fully Compliance and risk management
SO4 Actions taken in response to incidents of corruption Fully In the 2012 reporting year, we received information from a total of 46 internal and external sources as well as information in six cases from the Volkswagen Group ombudsman system regarding possible rule violations by employees or external partners. This information resulted in five disciplinary measures and one dismissal.
SO5 Public policy positions and participation in public policy development and lobbying Fully Compliance and risk management
SO6 Financial and in-kind contributions to political parties and politicians Fully The Audi Group donations directive forbids donations to political parties and politicians.
SO9 Operations with significant potential or actual negative impacts on local communities Fully Compliance and risk management
Stakeholder management
SO10 Prevention or mitigation measures implemented in operations with significant potential or actual negative impacts on local communities Fully Stakeholder management
Compliance and risk management
Society
Indicator Status Reference
Product responsibility - management approach Fully Strategy
Operations
PR1 Life cycle stages in which health and safety impacts of products and services are assessed Fully Vehicle safety
Customer orientation
PR2 Non-compliance with regulations concerning health and safety impacts of products and services Fully No contraventions recorded in the period under review.
PR3 Product and service information required by procedures Fully Audi 2012 Annual Report, p. 280 ff. (Fuel consumption and emission figures)
PR4 Non-compliance with regulations and voluntary codes concerning product and service information Fully No contraventions recorded in the period under review.
PR5 Customer satisfaction Fully Customer orientation
PR6 Adherence to laws, standards and voluntary codes related to marketing communications Partly The Audi Group complies with all statutory regulations in relation to marketing communications.
Indicator Status Reference
A1 Stipulated working hours per week and average hours worked overtime in production Fully At the German locations, the stipulated working hours per week is generally 35 hours. Overtime is balanced out using flexible working-time accounts.
A2 Percentage of employees without overtime compensation schemes Fully Insignificant
A4 Vehicles sold, broken down by type, fuel, drivetrain system, and region Fully Audi 2012 Annual Report, p. 165 ff. (Deliveries and distribution)
A5 Compliance of vehicles sold with the respective existing and planned emissions standards Partly Today we already certify vehicles as per the Euro 6W emission standard that comes into effect in 9/2014. For some time now, we have had vehicles in our portfolio that comply with Euro 6 (e.g. A4 3.0 TDI clean diesel quattro).
A6 Average fuel economy by type of vehicle Fully Audi 2012 Annual Report, p. 280 ff. (Fuel consumption and emission figures)
A7 Average carbon dioxide emissions by type of vehicle Fully Audi 2012 Annual Report, p. 280 ff. (Fuel consumption and emission figures)
A8 Compliance of vehicles sold with the respective existing and planned noise standard Partly The vehicles sold by the Audi Group comply with all statutory noise standards.
A9 Environmental impacts of transportation Fully see EN 29

UN Global Compact Progress Report

UN Global Compact Communication on Progress


On February 23, 2012, AUDI AG officially joined the UN Global Compact and is therefore expressly committed to its ten principles in the areas of Human Rights, Labor, Environment and Anti-Corruption. The Audi Corporate Responsibility Report 2012 also contains the first UN Global Compact Communication on Progress. The following gives an overview of our guidelines, systems, measures and progress in respect of the ten principles in the period under review.

Human rights References
Principle 1
Support and respect internationally proclaimed human rights

Principle 2
No involvement by the company in human rights abuses
Guidelines and systems:
  • Code of Conduct of the Audi Group
  • Volkswagen Group requirements concerning sustainability in the relationships to business partners1)
  • Commitment to international agreements2)
Measures and progress:
  • Training documents on the Code of Conduct of the Audi Group (German and English) are available to all managers and employees on the intranet
  • In the period under review, no complaints about impacts on human rights concerning supplier companies whose main business partner within the Volkswagen Group is Audi
  • Advancement of the concept "sustainability in supplier relationships"1)
  • Introduction of an interdisciplinary process for supplier development: mandatory self-evaluation questionnaire for all suppliers
  • Introduction of an e-learning training module on the topic of sustainability, available in nine languages, on the central business platform of the Volkswagen Group
Code of Conduct and guidelines

Supplier relationships
Labor References
Principle 3
Uphold the freedom of association and the right to collective bargaining

Principle 4
Elimination of all forms of forced and compulsory labor

Principle 5
Abolition of child labor

Principle 6
No discrimination in respect of employment and occupation
Guidelines and systems:
  • Code of Conduct of the Audi Group
  • Guidelines for equal opportunities and equal rights at AUDI AG
  • Declaration on Social Rights and Industrial Relationships at Volkswagen (Social Charter)
  • International Charter on Labor Relations of the Volkswagen Group
  • Volkswagen Group requirements concerning sustainability in the relationships to business partners1)
  • Commitment to international agreements2)
Measures and progress:
  • Employee representatives at all Audi Group locations; the "Charter on Labor Relations" defines binding minimum standards for all Volkswagen Group locations.
  • The Audi Europe Committee was founded to promote better international cooperation of employee representatives at all European Audi locations.
  • As part of a voluntary commitment, Audi defined differentiated targets to increase the proportion of women at all levels.
  • In the period under review, the proportion of AUDI AG employees with a severe disability was 6.0 percent.
Code of Conduct and guidelines

Supplier relationships

Co-determination and social partnerships

Diversity and equal opportunities
Environment References
Principle 7
Support a precautionary approach to environmental challenges

Principle 8
Support initiatives for greater awareness of environmental responsbility

Principle 9
Development and diffusion of environmentally friendly technologies
Guidelines and systems:
  • Commitment to the charter for sustainable development of the International Chamber of Commerce
  • Commitment to additional international agreements2)
  • Audi environmental policy
  • Certified environmental management systems at all Audi Group production sites (EMAS)
  • Volkswagen Group requirements concerning sustainability in the relationships to business partners
  • Integrated product policy (IPP)
  • Creation of life cycle assessment during product development
Measures and progress:
Location-specific
  • Definition of goals to reduce location- and company-specific environmental impacts as well as implementation of appropriate measures
  • Oak Forest research project of the charitable environmental foundation Audi Stiftung für Umwelt GmbH
  • Environmentally sound logistics processes thanks to CO2-neutral rail transport
  • Energy optimization of buildings in Sales and Administration
Product-specific
  • Further development of modular efficiency platform technology to reduce fuel consumption and CO2 emissions along with a gradual expansion of availability in the Audi model lines
  • Increase in the number of model variants with CO2 emissions of under 140 g/km and 120 g/km
  • Expansion of the hybrid portfolio with the launch of additional models
  • Involvement in research projects to expand electric mobility
  • Projects to produce sustainable fuels (e.g. Audi e-gas and Audi e-diesel)
Supplier relationships

Technologies for increasing efficiency

Alternative drives

Renewable fuels

Environmental management

CO2-neutral locations

Logistics
Anti-Corruption References
Principle 10
Work against corruption in all its forms, including extortion and bribery
Guidelines and systems:
  • Code of Conduct of the Audi Group
  • Preventative compliance organization
  • Integration of compliance risks into risk management
  • Connection to the anti-corruption system of the Volkswagen Group
Measures and progress:
  • Introductory events on compliance for new employees; 3,025 AUDI AG employees took part in online training on the subject of anti-corruption in 2012.
  • Intensification of internal communication through the "Protect what you love" campaign
  • On-site training sessions in the area of anti-corruption and antitrust law at the Ingolstadt and Neckarsulm locations
  • Establishment of a reporting system for subsidiaries
Code of Conduct and guidelines

Compliance and risk management

1) Volkswagen AG is the major shareholder of AUDI AG and controls approximately 99.55 percent of the share capital. Selection of Audi suppliers and supplier management is performed in consultation with Volkswagen Group Procurement.
2) Audi is committed to a large number of international agreements. See here for an overview.

Independent Assurance Report

The auditing firm PricewaterhouseCoopers has conducted an independent audit of the Audi Corporate Responsibility Report 2012. Click here to read the Independent Assurance Report.

Code of Conduct and guidelines

Code of Conduct and guidelines

The Audi Code of Conduct defines the behavioral rules applicable to all Audi employees. It is based on our self-perception and is supplemented by international conventions.

The Code of Conduct for the Audi Group lays down the key basic principles according to which all Audi employees and members of corporate bodies should carry out their daily work. They illustrate the self-perception and binding regulations that guide our actions. Spirited, passionate, human and fair, responsible, success-oriented - we base our action on these characteristics outlined in the Audi self-perception. In addition to laws, internal regulations and ethical standards, they are the foundation for the Audi Code of Conduct. This code encompasses rules for preventing conflicts of interest and corruption, for handling business partners and information, for occupational safety and health protection, for protection of the environment as well as for protection and proper use of property belonging to the Audi Group. Thematic brochures, classroom training sessions and computer-aided training programs are offered to ensure implementation of the Code of Conduct. In 2012, a Company-wide information campaign was launched on the topics of corporate governance, risk management and compliance.

International conventions

In addition to the laws and regulations of individual countries, there are also numerous agreements and recommendations from international organizations. They are intended primarily for their member states and not specifically for individual companies. However, they do provide important guidelines for the conduct of globally operating corporations and their employees. Audi therefore attaches great importance worldwide to harmonizing its business actions with international conventions. The most important agreements of this type are listed in the overview below. As part of the Volkswagen Group, we have also expressly committed ourselves to globally valid social rights and principles through the "Declaration on Social Rights and Industrial Relationships at Volkswagen" (Volkswagen Social Charter) and the "Volkswagen Charter on Labor Relations."

International conventions of relevance to the actions of the Audi Group

  • Universal Declaration of Human Rights from 1948 (UNO) and European Convention for the Protection of Human Rights and Fundamental Freedoms, 1950
  • International Covenant on Economic, Social and Cultural Rights, 1966
  • International Covenant on Civil and Political Rights, 1966
  • Tripartite Declaration of Principles concerning Multinational Enterprises and Social Policy from the ILO (International Labour Organization), 1977, and the ILO Declaration on Fundamental Principles and Rights at Work, 1998 (in particular with the following topics: ban on child labor, abolition of forced labor, non-discrimination, freedom of association and right to collective bargaining)
  • OECD Convention on Combating Bribery of Foreign Public Officials in International Business Transactions, 1997
  • "Agenda 21" on sustainable development (outcome document of the underlying UN Conference on Environment and Development, Rio de Janeiro, 1992)
  • Principles of the Global Compact for a more social and ecological form of globalization, 1999
  • OECD Guidelines for Multinational Enterprises, 2000

Memberships and partnerships

Memberships and partnerships

As a member of various organizations, Audi ensures a structured exchange with stakeholders. By working together in these networks, we are able to meet business-related and social challenges effectively.

The following Audi memberships and partnerships are examples of our exchange with industry, politics, science and society:

  • Berufliche Qualifizierung und dauerhafte Integration bildungsferner Gruppen e.V., Heilbronn; Lernende Region Heilbronn-Franken e.V., Heilbronn
  • Bürgerinitiative Pro Region Heilbronn-Franken e.V., Heilbronn
  • Bürgerstiftung Ingolstadt
  • co2ncept plus – Verband der Wirtschaft für Emissionshandel und Klimaschutz e.V., Munich
  • Deutsche Gesellschaft für Arbeitsmedizin und Umweltmedizin e.V. (DGAUM), Lübeck
  • Deutsche Gesellschaft für Nachhaltiges Bauen e.V. (DGNB), Stuttgart
  • Deutsche Gesellschaft für Personalführung e.V. (DGFP), Düsseldorf
  • Deutsche Verkehrswacht e.V., Bonn
  • Deutscher Verkehrssicherheitsrat e.V. (DVR), Bonn
  • Deutsches Verkehrsforum, Berlin
  • Europäische Forschungsvereinigung für Umwelt und Gesundheit im Transportsektor e.V. (EUGT), Berlin
  • Europäische Metropolregion München e.V., Munich
  • European Women’s Management Development Network (EWMD), Wiesbaden
  • Initiative Regionalmanagement Region Ingolstadt e.V., Ingolstadt
  • Nationale Plattform Elektromobilität
  • Pakt Zukunft Heilbronn-Franken gGmbH, Heilbronn
  • Solar- und Energie-Initiative Heilbronn e.V., Neckarsulm
  • Stifterverband für die Deutsche Wissenschaft, Essen
  • Stiftung "Jugend forscht" e.V., Hamburg
  • Südwestmetall, Verband der Metall- und Elektroindustrie Baden-Württemberg e.V.
  • Umweltpakt Bayern
  • UN Global Compact
  • VDA Verband der Automobilindustrie e.V., Berlin
  • Verband Sozialer Wettbewerb e.V., Berlin
  • World Economic Forum, Geneva

Awards

Awards

In the period under review, Audi received various awards for our sustainable and responsible corporate conduct.

Operations:

"Corporate Responsibility Prime Status" for AUDI AG's sustainability performance

This was the verdict in the oekom research ratings, which assessed social and environmental compatibility in October 2012. oekom research AG is one of the most renowned rating agencies in the sustainable investment segment (oekom Industry Report Automobile, Munich, January 2013).

Rupert Stadler is "CEO of the Year"

Award made by WirtschaftsWoche based on the CEO rankings by the financial research company Obermatt, which studied the balance sheets for 2010 and 2011 of the 115 largest publicly-traded German companies (cf. WirtschaftsWoche).

Germany's most highly regarded company

Audi came top in the "Image Profile 2012" study carried out by the publication manager magazin. 4,050 board members and managers were interviewed. The survey is conducted every two years (cf. manager magazin).


Product:

Good CO2 balance

According to a study by the Center of Automotive Management (CAM), Audi achieves the best CO2 balance of any premium German manufacturer, with CO2 emissions of 144.5 g/km (Center of Automotive Management (CAM), Innovations in Drive Technology, October 12, 2012, p. 16).

Distinction for cross-brand charging socket

Audi, along with other manufacturers, won the "eCarTec Award - Bavarian State Prize for Electric Mobility" in the "Energy, Infrastructure, Connection Technology" category for a universal wired charging solution (cf. eCarTec).

"Golden Steering Wheel" for the Audi A3

First prize in the Compact Cars category in the competition staged by BILD am SONNTAG and the European AUTO BILD Group (AUTO BILD, 46/2012, p. 54 ff.)

First places in 2012 ADAC breakdown statistics

The Audi A5 and A6 models were voted winners of the Midsize and Upper Midsize categories. 92 model series in all were investigated, featuring car models from the past six years (cf. Exite Motor).

Winner of DEKRA Used Car Report 2012

First place for the Audi A4 in the "Best of All Classes" category, by virtue of having the fewest defects in all mileage classes (cf. DEKRA).


Euro NCAP awards

The consortium of the "European New Car Assessment Programme" (Euro NCAP) selected the Audi A3 for multiple awards in 2012: “Reward 2012” for the Audi pre sense front plus safety system, highest rating of five stars for its passive crash safety, and four "Euro NCAP advanced" awards for the driver assistance systems Audi pre sense basic, Audi pre sense front, secondary collision brake assist and Audi active lane assist (cf. Euro NCAP).

Top ratings in U.S. NCAP

Maximum score of five stars in the American New Car Assessment Program (NCAP) for the Audi A4 and S4 models. The National Highway Traffic Safety Administration (NHTSA) investigates behavior in a front and side impact, as well as rollover safety (cf. safercar.gov A4 and safercar.gov S4).

Best key account care

The trade magazine Autoflotte singled out Audi in its Fleet Awards 2012 for best key account care of all fleet service providers. In addition, the Audi A1, A4, A6 and A8 models were voted the most popular company cars in their respective categories (cf. Autoflotte).

Top brand for customer satisfaction

According to the U.S.-based "Total Quality Index™" (TQI), Audi was the top brand in the automotive sector in 2012, scoring 918 out of a maximum of 1,000 points. The award is made each year based on a customer satisfaction study conducted by U.S. market researcher Strategic Vision (cf. Strategic Vision).

Second place in ADAC "Auto MarxX 2012"

The index measures the performance and market impact of car brands and is published biannually by Germany's leading automobile club. Compared with the previous index, Audi had gained ground in the areas "Market Strength," "Customer Satisfaction" and "Safety" (cf. ADAC).


Enviroment:

Sustainability Award for Logistics 2012

Award made by the Austrian and German Logistics Associations for the Audi transport concept's sparing use of resources, in some cases already with a CO2 - neutral footprint (cf. BVL).

UN award for the Audi Stiftung für Umwelt

On behalf of the office of the UN Decade on Biodiversity, the Environmental Center "Outdoor Classroom" in Breitengüßbach was recognized as an official project. The Audi Stiftung für Umwelt and its partners honored it for its outstanding commitment to biological diversity (cf. UN Decade).


Employees:

Top employer among students and graduates

In the attractiveness surveys conducted by the consultants trendence and Universum in 2012, Audi was voted the most popular employer among both German economics and engineering students nearing the end of their studies ("trendence Graduate Barometer 2012 - Business and Engineering Edition," April 20, 2012; "The Universum German Student Survey 2012," April 30, 2012).

Second-most popular company among young professionals

AUDI AG was ranked second by engineers and scientists already in employment in the study conducted by Universum with the title "The German Professional Survey 2012" (cf. Universum).

Most attractive employer in Hungary

AUDI HUNGARIA MOTOR Kft. was voted the country's most attractive employer in a survey conducted by management consultants Aon Hewitt and the international student organization AIESEC among career-starters and experienced professionals (cf. Balaton Zeitung).

German Ideas Prize 2012

AUDI AG won the award sponsored by the German Institute for Business Management (DIB) in the Automotive Industry category for its ideas program. The DIB has been making these awards to companies since the 1980s in recognition of their achievements in the spheres of ideas management and corporate suggestions programs (cf. DeutscherIdeenPreis).

Prize for integration project

ComToAct Award 2011 in the Major Companies category for the "Disabilities Coordinating Team I/PI-4" project on the systematic performance management and deployment of employees with a reduced capacity to work. The prize was sponsored by the Center for Disability and Integration at the University of St. Gallen (cf. Universität St. Gallen).

Fuel consumption and emission figures

Fuel consumption and emission figures

As at: March 2013 (All data apply to features of the German market.)

Model Fuel comsumption, combined
(l/100 km)
CO2 emissions, combined (g/km)
A1 5.9-3.8 139-99
A1 Sportback 5.9-3.8 139-99
A3 6.6-3.8 152-99
A3 Sportback 5.6-3.8 130-99
A3 Cabriolet 7.4-4.3 171-114
Q3 7.7-5.2 179-137
TT Coupé 7.2-5.3 169-139
TT Roadster 8.1-7.9 189-184
TTS Coupé 7.9-7.7 184-179
TTS Roadster 8.1-7.9 189-184
TT RS Coupé 9.0-8.5 209-197
TT RS Roadster 9.1-8.6 212-199
A4 Sedan 9.4-4.3 190-112
A4 Avant 9.5-4.4 197-116
A4 allroad quattro 7.3-5.8 170-152
S4 Sedan 8.1 (urban 10.7/extra urban 6.6) 190
S4 Avant 8.4 (urban 11.1/extra urban 6.8) 197
RS 4 Avant 10.7 (urban 14.6/extra urban 8.5) 249
A5 Sportback 8.1–4.5 190–119
A5 Coupé 8.1-4.6 190-120
A5 Cabriolet 8.5-4.7 199-124
S5 Sportback 8.1 (urban 10.7/extra urban 6.6) 190
S5 Coupé 8.1 (urban 10.7/extra urban 6.6) 190
S5 Cabriolet 8.5 (urban 11.2/extra urban 6.9) 199
RS 5 Coupé 10.5 (urban 14.6/extra urban 8.5) 246
RS 5 Cabriolet 10.7 (urban 14.6/extra urban 8.5) 249
Q5 8.5-5.3 199-139
Q5 hybrid 6.9 (urban 6.6/extra urban 7.1) 159
SQ5 TDI 6.8 (urban 7.6/extra urban 6.4) 179
A6 Sedan 8.2-4.9 190-129
A6 hybrid 6.2 145
A6 Avant 8.2-5.0 190-132
A6 allroad quattro 8.9-6.1 206-159
S6 Sedan 9.6 (urban 13.4/extra urban 7.5) 225
S6 Avant 9.7 (urban 13.4/extra urban 7.5) 226
RS6 Avant 9.8 (urban 13.9/extra urban 7.5) 229
A7 Sportback 8.2-5.1 190-135
S7 Sportback 9.6 (urban 13.4/extra urban 7.5) 225
Q7 10.7-7.2 249-189
A8 9.4-6.0 219-158
A8 hybrid 6.3 (urban 6.4/extra urban 6.2) 147
S8 10.1 (urban 14.4/extra urban 7.6) 235
A8 L 9.5-6.4 221-149
A8 L hybrid 6.4 (urban 6.9/extra urban 6.2) 149
A8 L W12 11.9 (urban 16.6/extra urban 9.1) 277
R8 Coupé 14.9-12.4 346-289
R8 Spyder 14.9-12.6 349-294
Lamborghini Gallardo 14.7-13.3 351-315
Lamborghini Gallardo Spyder 14.8–13.6 354–327
Lamborghini Aventador 16.0 (urban 24.7/extra urban 10.7) 370
Lamborghini Aventador Roadster 16.0 (urban 24.7/extra urban 10.7) 370

A3 1.4 TFSI 90 kW (6-speed)
Fuel consumption: urban: 6.5 l/100 km; extra urban: 4.4 l/100 km; combined: 5.2 l/100 km; CO2 emissions: 120 g/km; energy efficiency class B

A3 1.4 TFSI 90 kW (S tronic, 7-speed)
Fuel consumption: urban: 6.1 l/100 km; extra urban: 4.2 l/100 km; combined: 4.9 l/100 km; CO2 emissions: 114 g/km; energy efficiency class B

A3 1.4 TFSI 103 kW (6-speed)
Fuel consumption: urban: 5.8 l/100 km; extra urban: 4.1 l/100 km; combined: 4.7 l/100 km; CO2 emissions: 109 g/km; energy efficiency class B

A4 3.0 TDI clean diesel quattro (S tronic, 7-speed)
Fuel consumption: urban: 6.8 l/100 km; extra urban: 5.0 l/100 km; combined: 5.7 l/100 km; CO2 emissions: 149 g/km; energy efficiency class B

Further information on official fuel consumption figures and the offical specific CO2 emissions of new passenger cars can be found in the guide "Information on the fuel consumption and CO2 emissions of new cars," which is available free of charge at all sales dealerships and from DAT Deutsche Automobil Treuhand GmbH, Hellmuth-Hirth-Str. 1, 73760 Ostfildern-Scharnhausen, Germany.