SOMFY - Annual Financial Report 2020

03 NON-FINANCIAL STATEMENT

PRESENTATION OF NON-FINANCIAL RISKS

A. METHODOLOGY —

Board management report) of this Annual Financial Report. A pictogram highlights the risks in relation to which a CSR component has been identified. Nevertheless, the CSR risks detailed below are not included per se in the major risks in the Risk factors section of chapter 2, as the Group has decided to present its main CSR risks according to an assessment of the gross risks, whilst the Group’s overall risk mapping takes into account control measures that have already been implemented (net risk measurement based approach).

The Group’s main CSR risks and challenges set out below have been identified and assessed through the overall risk mapping process and the use of the materiality matrix developed in 2019. A dedicated working group met several times in 2020 to work on a shared vision of risks and CSR challenges. This working group is made up of the Director of Sustainable Development, two representatives from the Environmental Performance team, one person in charge of Supply Chain in the wider sense, one person from Human Resources, and the Director of Risks, Ethics and Compliance.

II. MATERIALITY MATRIX

In addition to the review of the Group’s overall risks (chapter 2), a materiality matrix was finalised in 2019 to compare the Group’s internal CSR challenges with the challenges identified by Somfy’s stakeholders. These challenges have been grouped into three major categories, which make up the three pillars of the Sustainable Development Policy: Planet, People, Prosperity.

I. MAPPING OF RISKS

The major risks for Somfy or risks that are significant as a result of the Group’s activity are presented in chapter 2 (Management

B. PRESENTATION TABLE OF CHALLENGES AND RISKS —

Petals

Challenges

Risks

KPI

SDGs

Pages 50-52

Environmental impact of operations

Global warming – Depletion of natural – resources and damage to biodiversity Pollution of the environment – by the sites Global warming – Depletion of natural – resources (circular economy)

Water consumption – Volume of hazardous and – non-hazardous waste Energy consumption of the – sites

Environmental impact of products

53-54

Average annual power consumption per motor sold

Planet

Impact of the environment on Somfy activities Attracting new talents, developing skills & employee engagement

Financial risks related to – climate change

NA

54

55

Inadequacy of resources in – terms of talents and skills Risk of exodus of talents and – fall in engagement levels

Percentage of employees – who received training during the year Engagement rate of the – Somfyscope survey Percentage of employees – who were promoted or relocated Change in the breakdown of – men/women Percentage of female – managers Frequency rate of accidents – at work resulting in absence Severity rate –

Diversity and inclusion

Missing the opportunity to – grow as a result of our differences Discrimination – Impact on the health and – physical and psychological well-being of employees

55-56

People

Health and safety at work

57

Local impact of the sites and image with local stakeholders

58

How Somfy sites are –

NA

perceived by their local ecosystem

47

SOMFY – ANNUAL FINANCIAL REPORT 2020