SOMFY // 2022 Annual Report

03 NON-FINANCIAL STATEMENT

PROSPERITY

Challenges in the materiality matrix

Risks

KPIs

Pages

Challenges

– Lack of customer satisfaction measure and action plans – Products quality issue – Customer litigation linked to SOMFY offer modifications – Cyber breach exposure – Regulatory non-compliance of products (including safety standards) – Failure to achieve strategic – Outdated innovation model – Significant or recurring delay in new product releases – Non-alignment between the Group strategy and the market expectations – Counterfeiting and industrial property theft – Infringement of third-party patent – Non-compliance with business ethics laws and regulations – Employee misconduct – Breach of human rights and employment laws – Corruption and fraudulent practices objectives and succeed in the company project

– Customer satisfaction and quality of products & services – Transparency and fulfilment of commitments made to customers – Customer health & safety – Product innovation – Promoting access for all

Developing a customer-centric model

– Customer Net Promoter Score

61-62

– Number of ethics alerts – Percentage of connected employees who have taken at least one training course on ethics and compliance in the last two years – Rate of new hires who have taken the GDPR online training – Percentage of local purchases – Rate of signature of the Responsible Purchasing Charter – Number of suppliers covered by a supplier risk assessment – Amount of financial sponsorship of social and solidarity projects

– Respecting human rights throughout the value chain – Prevention of corruption – Fair competition (anti-trust measures) – Personal data protection – Dialogue with stakeholders – Responsible purchasing – Sustainable supplier relationships – Economic and social development of location territories – Support for social, solidarity and environmental projects of public interest

Putting business ethics into practice

63-65

– Anti-trust laws violation – Failure to protect data and privacy – Cyber breach exposure

– Suppliers non-compliance with CSR standards – Suppliers risks non-detection – Bad buzz on employer brand – Hiring & retention issues

Growing with the Group’s ecosystems

66-67

SOMFY’S RESPONSES TO NON-FINANCIAL RISKS

SOMFY’s response to these risks is structured and organised based on the three pillars of its sustainable development strategy: Planet, People and Prosperity.

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SOMFY – ANNUAL REPORT 2022