ir21-sr20-gri 2020
GRI INDEX
WWW.SUSTAINABILITY.FORD.COM
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Ford Motor Company GRI Index 2020
www.sustainability.ford.com
GRI INDEX 2020
This report is in accordance with the Global Reporting Initiative (GRI) Standards: Comprehensive option. This year we have reported to the following new standards: GRI 303: Water and Effluents 2018 and GRI 403: Occupational Health and Safety 2018. To locate the topics and standards contained within the guidelines, and our responses to these standards, use the index below. For a detailed explanation of the standards, visit the GRI website.
GRI Standard GRI Disclosure
Location and Notes
GRI 101: Foundation 2016 General Disclosures
Organizational profile
GRI 102: General Disclosures 2016
102-1
Name of the organization
Ford Motor Company
102-2 102-3
Activities, brands, products, and services Location of headquarters
https://corporate.ford.com/company.html Form 10-K: Item 1. Business, pages 17
Contact Us
102-4
Location of operations
Global Operations
102-5
102-6 102-7 102-8
102-9 102-10
Ownership and legal form
Investors Form 10-K: Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities, page 25
Markets served
Global Links Form 10-K: Item 1. Business, pages 17
Scale of the organization
Form 10-K: Item 1. Business, pages 17, 14; Item 6. Selected Financial Data, page 26 Global Operations
Information on employees and other workers
Performance Data, pages 23
Data for salaried and hourly employees by region is compiled through our finance department. Gender information is provided by our Workforce Planning and Analytics function. The scope of this data covers both our Automotive, Ford Credit and Mobility segments. Europe includes the U.K. and GEM only due to privacy data.
Supply chain
Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Minimizing Our Supply Chain Impact, page 44 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22
Significant changes to the organization and There were no significant changes to size, structure or ownership during the reporting period. its supply chain
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Ford Motor Company GRI Index 2020
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GRI Standard GRI Disclosure
Location and Notes
102-11
Precautionary principle or approach
102-12
External initiatives
102-13
Membership of associations
Strategy
The precautionary principle is the idea that if the consequences of an action are unknown, but are judged to have some potential for major or irreversible negative consequences, then it is better to avoid that action. We do not formally apply the precautionary principle to decision making across all of our activities. However, it has influenced our thinking. For example, in addressing climate change as a business issue, we have employed this principle. In addition, we assess and manage environmental, safety, supply chain, operational and other risks as described throughout this report.
Sustainability Report 2020 > Collaborating With Industry Partners, page 46 Sustainability Report 2020 > About Our Reporting Suite, page 2 UN Global Compact Communication on Progress Index United Nations Sustainable Development Goals Index UN Guiding Principles Reporting Framework Index Sustainability Accounting Standards Board (SASB) Index Task Force on Climate-related Financial Disclosures (TCFD) Index Bloomberg GEI Climate Change Scenario Report CDP Climate Change Response CDP Water Response
Sustainability Report 2020 > Collaborating With Industry Partners, page 46 Sustainability Report 2020 > Minimizing Our Supply Chain Impact, page 44 Sustainability Report 2020 > Energy and Emissions, page 41
102-14
Statement from senior decision maker
Sustainability Report 2020 > Letter from William Clay Ford, Jr. and Jim Hackett, page 3
102-15
Key impacts, risks, and opportunities
Ethics and integrity
Form 10-K: Item 1A. Risk Factors, pages 1420 Sustainability Report 2020 > About Our Reporting Suite, page 2 Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Creating Value at Ford, page 13 TCFD Index Climate Change Scenario Report
102-16 102-17
Values, principles, standards, and norms of behavior
Sustainability Report 2020 > Public Policy, page 15 Code of Conduct Handbook Policy Letter 24
Mechanisms for advice and concerns about Sustainability Report 2020 > Transparency and Trust, page 14
ethics
Code of Conduct Handbook
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Ford Motor Company GRI Index 2020
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GRI Standard GRI Disclosure
Location and Notes
Governance
102-18
Governance structure
102-19
Delegating authority
Sustainability Report 2020 > Sustainability Governance, page 14 Members of the Board Corporate Governance
Sustainability Report 2020 > Sustainability Governance, page 14
102-20 102-21
102-22 102-23
Executive-level responsibility for economic, environmental, and social topics
Sustainability Report 2020 > Sustainability Governance, page 14
Proxy Statement 2019
Our Vice President, Chief Sustainability, Environment and Safety Officer reports to the General Counsel. He is accountable to shareholders and the Board and also attends the Sustainability and Innovation Board Committee meetings (refer to 2020 Proxy for specific Board Committee function).
Consulting stakeholders on economic, environmental, and social topics
Sustainability Report 2020 > Our Materiality Process, page 8 GRI Index Appendix, page 44 Sustainability Report 2020 > Sustainability Governance, page 14 Sustainability Report 2020 > Stakeholder Review of Our Report, page 9 Ford holds annual reviews in partnership with CERES, involving investors, academia and a range of small- and medium-sized enterprises (SMEs).
Composition of the highest governance body and its committees
Performance Data, page 4 Members of the Board Proxy Statement 2019
Chair of the highest governance body
Members of the Board
102-24 102-25
Nominating and selecting the highest governance body
Conflicts of interest
Proxy Statement 2019 Proxy Statement 2019
102-26 102-27 102-28
Role of highest governance body in setting purpose, values, and strategy
Sustainability Report 2020 > Sustainability Governance, page 14
Collective knowledge of highest governance Charter of the Sustainability and Innovation Committee of the Board of Directors body
Evaluating the highest governance body's performance
Corporate Governance Principles
We take actions in response to evaluations of the Board of Directors' performance on economic, environmental and social topics when the Board determines they are in the best interest of the company. Actions may include changes in membership and organizational practice, additional training or other actions.
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Ford Motor Company GRI Index 2020
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GRI Standard GRI Disclosure
Location and Notes
102-29
102-30 102-31
102-32
102-33
102-34 102-35 102-36 102-37 102-38 102-39
Identifying and managing economic, environmental, and social impacts
GRI Index Appendix, page 44 Sustainability Report 2020 > Sustainability Governance, page 14 Charter of the Sustainability and Innovation Committee of the Board of Directors Proxy Statement 2019, page 14
Effectiveness of risk management processes
Proxy Statement 2019
Review of economic, environmental, and social topics
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Sustainability Governance, page 14 Charter of the Sustainability and Innovation Committee of the Board of Directors
Highest governance body's role in sustainability reporting
Ford's Sustainability Report Summary is reviewed by the senior executives and the Board of Directors' Sustainability and Innovation Committee. The full report is reviewed by the Vice President, Chief Sustainability, Environment and Safety Officer.
Communicating critical concerns
Corporate Governance Charter of the Sustainability and Innovation Committee of the Board of Directors Proxy Statement 2019, page 14
Nature and total number of critical concerns This information is considered confidential.
Remuneration policies
Proxy Statement 2019
Process for determining remuneration
Proxy Statement 2019
Stakeholders involvement in remuneration Annual total compensation ratio
Remuneration of the Board is put to a shareholder vote as part of the election process, see: Proxy Statement 2019
This information is considered confidential.
Percentage increase in annual total compensation ratio
This information is considered confidential.
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Ford Motor Company GRI Index 2020
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GRI Standard GRI Disclosure
Stakeholder engagement
102-40
List of stakeholder groups
102-41
Collective bargaining agreements
102-42
Identifying and selecting stakeholders
102-43
Approach to stakeholder engagement
Location and Notes
GRI Index Appendix, page 44
Through collective bargaining agreements covering wages, benefits and other employment provisions, our union partners help us to provide a safe, productive and respectful workplace. Substantially, all the hourly employees in our Automotive operations are represented by unions and covered by collective bargaining agreements. In the United States, approximately 99 percent of these unionized hourly employees in our Automotive segment are represented by the International Union, United Automobile, Aerospace and Agricultural Implement Workers of America ("UAW" or "United Auto Workers"). At December 31, 2019, approximately 56,000 hourly employees in the United States were represented by the UAW (Employment Data, page 12). We earned a reputation for being a labor friendly organization after reaching a US labor agreement with the UAW after only 3 days of negotiations, find out more in this article. A substantial number of our employees in other regions are represented by unions or government councils. For more information, please see Form 10-K, page 13.
GRI Index Appendix, page 44 Sustainability Report 2020 > Stakeholder Review of Our Report, page 9 Ford engages at many levels, including interactions between many different company functions and a wide variety of external and internal stakeholders groups, locally and globally. For example, we engage externally at the most senior levels of the company through global networks including the UN Global Compact. In addition to actively participating in industry organizations, we organize meetings with individuals and groups of stakeholders to solicit their input. Material input from all these interactions is communicated internally as appropriate, and added to our existing collective knowledge and research. Our procurement team engages with suppliers on sustainability performance, and our manufacturing plants forge links with local communities as part of being a good neighbor. Relevant stakeholder feedback on sustainability issues is also reported to executive management or our Sustainability and Innovation Board Committee as needed, through normal management channels including Business Plan Reviews. Through all these interactions and processes, we formulate engagement programs and identify stakeholders with whom to engage and track progress.
Sustainability Report 2020 > Stakeholder Review of Our Report, page 9 GRI Index Appendix, page 44 Every day, at every level of the business, we engage with a large number of stakeholders, both formally and informally. These ongoing interactions are crucial to helping us understand and prioritize our most material issues, and enabling us to address the concerns of our stakeholders effectively. See our GRI Index Appendix, which summarizes the key stakeholder groups identified and channels we use to maintain dialogue with them. The formality and regularity of each engagement approach vary on a case-by-case basis.
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Ford Motor Company GRI Index 2020
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GRI Standard GRI Disclosure
Location and Notes
102-44
Key topics and concerns raised
Reporting practice
102-45 102-46
Entities included in the consolidated financial statements
Defining report content and topic Boundaries
102-47
List of material topics
102-48
Restatements of information
102-49
Changes in reporting
102-50
Reporting period
102-51
Date of most recent report
102-52
Reporting cycle
102-53 102-54 102-55
Contact point for questions regarding the report
Claims of reporting in accordance with the GRI Standards
GRI content index
102-56
External assurance
Sustainability Report 2020 > Our Materiality Process, page 8 Sustainability Report 2020 > Stakeholder Review of Our Report, page 9 GRI Index Appendix, page 44 For this Sustainability Report and our previous 13 reports, Ford worked with Ceres to convene an independent Stakeholder Committee to advise us. The committee made recommendations to Ford that can be found in the Stakeholder Review section of our report.
Form 10-K: Item 1. Business, pages 17
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Reporting Scope and Boundaries, page 2 Sustainability Report 2020 > Materiality Results, page 8 Performance Report 2020 > pages 2, 3, 4, 5, 6, 8, 9 and 10 Sustainability Report 2020 > Materiality Results, page 8 Sustainability Report 2020 > Reporting Scope and Boundaries, page 2 Our most recent sustainability report was published in June 2019. Sustainability Report 2020 > Welcome, page 2 Sustainability Report 2020 > Welcome, page 2
Sustainability Report 2020 > GRI Content Index
GRI Index Sustainability Report 2020 > Data Assurance, page 2
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Ford Motor Company GRI Index 2020
www.sustainability.ford.com
GRI Standard GRI Disclosure
Location and Notes
Material Topics GRI 200 Economic Standard Series
Economic Performance
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
103-2
The management approach and its components
103-3
Evaluation of the management approach
GRI 201: Economic Performance 2016
201-1
Direct economic value generated and distributed
201-2
Financial implications and other risks and opportunities due to climate change
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Creating Value at Ford, page 13 Form 10-K: Ford Motor Company and Subsidiaries Financial Statements, FS-5 to FS-6 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Suppliers, communities and investors.
Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13
Sustainability Report 2020 > Transparency and Trust, page 14
Form 10-K: Ford Motor Company and Subsidiaries Financial Statements, FS-5 to FS-6 Sustainability Report 2020 > Strengthening Communities and Making Lives Better, page 30 Information related to operating costs is referenced as "cost of sales" in the company's Annual Report on Form 10-K. Information related to payments to providers of capital is referenced as "interest expense on Automotive debt" and "cash dividends" in the company's Annual Report on Form 10-K. Ford reports on income taxes in the Form 10-K Note 7: Income Taxes, but country-level details are not reported for confidentiality reasons. In addition, Ford does not report on employee compensation and does not intend to do so in the future because the information is regarded as proprietary.
Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Reducing Our Vehicle Footprint, page 35 TCFD Index Climate Change Scenario Report 2020 Form 10-K: Item 1A. Risk Factors, pages 1420
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Ford Motor Company GRI Index 2020
www.sustainability.ford.com
GRI Standard GRI Disclosure
Location and Notes
201-3
Defined benefit plan obligations and other retirement plans
201-4
Financial assistance received from government
Market Presence
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
103-2
The management approach and its components
103-3
Evaluation of the management approach
GRI 202: Market Presence 2016
202-1 202-2
Ratios of standard entry level wage by gender compared to local minimum wage
Proportion of senior management hired from the local community
Form 10-K: Ford Motor Company and Subsidiaries, Notes to the Financial Statements, Note 17. FS-38 to FS-45 Notes to the Financial Statements, Note 17. Retirement Benefits, FS-40 to FS-49 For our retirees, we have two principal qualified defined benefit retirement plans in the United States. The Ford UAW Retirement Plan covers hourly employees represented by the UAW, and the General Retirement Plan covers substantially all other Ford employees in the United States hired on or before December 31, 2003. We established, effective January 1, 2004, a defined contribution plan generally covering new salaried U.S. employees hired on or after that date. Other U.S. and non-U.S. subsidiaries have separate plans that generally provide similar types of benefits. We report on contributions to, and the funded status of, our pension plans in our Annual Report on Form 10-K FS-40 to FS-49.
We receive grants, tax incentives and low- or no-interest loans from many countries and subdivisions of countries. Financially material assistance from governments is typically reported in our annual 10-K filing. We discuss these in our 2019 10-K (please see link below). We do not currently track centrally all of the types of potential government assistance listed in this indicator. No government is a material shareholder in the company. Form 10-K: Ford Motor Company and Subsidiaries Financial Statements, pages 17, 23, 36, FS-15, FS-5153 and FS-6364
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Empowering Our People, page 16 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Communities
Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13
Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Transparency and Trust, page 14
This is not applicable for the United States because entry-level employees are paid well above minimum wage. Pay in other global markets are in compliance with relevant local regulatory requirements.
Information unavailable: This data is not readily available and is not tracked today. It would require the establishment of global definitions and each region would need to complete its own analysis.
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Ford Motor Company GRI Index 2020
www.sustainability.ford.com
GRI Standard GRI Disclosure
Indirect Economic Impacts
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
103-2
The management approach and its components
103-3
Evaluation of the management approach
GRI 203: Indirect Economic Impacts 2016
203-1
Infrastructure investments and services supported
Location and Notes
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Suppliers and communities Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Transparency and Trust, page 14
Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Minimizing Our Supply Chain Impact, page 44 Sustainability Report 2020 > Strengthening Communities and Making Lives Better, page 30 Ford uses local suppliers everywhere we operate; in several localities in which we operate, suppliers set up operations nearby to support Ford operations. In addition, the local economic development model described frequently aligns with our Supplier Diversity and Inclusion initiatives. Attributes of our Supplier Diversity and Inclusion initiatives include economic development rationale, local employment opportunities and workforce development, supplier development and a considerable financial history of purchases from minority-, women- and veteran-owned companies. In addition, Ford encourages the Tier 1 supply base to source with diverse businesses where commercially viable. Ford is committed to supporting local and diverse communities and tracks the performance of Tier 1 suppliers to ensure the same practices are being implemented throughout the supply chain. Globally, a mandated Black Economic Empowerment Program also drives supplier development and local employment for Ford in South Africa. In other parts of the world, we are working to identify and source women-owned businesses that are certified in their country.
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Ford Motor Company GRI Index 2020
www.sustainability.ford.com
GRI Standard GRI Disclosure
203-2
Significant indirect economic impacts
Procurement Practices
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
103-2
The management approach and its components
103-3
Evaluation of the management approach
GRI 204: Procurement Practices 2016
204-1
Proportion of spending on local suppliers
Location and Notes
Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 United Nations Sustainable Development Goals Index 2020 Sustainability Report 2020 > Minimizing Our Supply Chain Impact, page 44 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Empowering Our People, page 16 Sustainability Report 2020 > Strengthening Communities and Making Lives Better, page 30 Sustainability Report 2020 > Driver Assist Technologies, page 28 Sustainability Report 2020 > Creating Tomorrow, Together, page 47 Sustainability Report 2020 > Mobility Solutions, page 49 Sustainability Report 2020 > Scaling Up Electrification, page 47 Sustainability Report 2020 > Self-Driving Vehicles, page 49
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Protecting Our Planet, page 33 Sustainability Report 2020 > Minimizing Our Supply Chain Impact, page 44 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Boundary: Internal: All Ford operating regions and business units; Ford dealers; External: Suppliers and communities Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Transparency and Trust, page 14
This information is considered confidential.
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Ford Motor Company GRI Index 2020
www.sustainability.ford.com
GRI Standard GRI Disclosure
Anti-corruption
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
103-2
The management approach and its components
103-3
Evaluation of the management approach
GRI 205: Anti-corruption 2016
205-1
Operations assessed for risks related to corruption
205-2
Communication and training about anticorruption policies and procedures
205-3
Confirmed incidents of corruption and actions taken
Anti-competitive Behavior
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
Location and Notes
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Suppliers and communities Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Code of Conduct Handbook Sustainability Report 2020 > Transparency and Trust, page 14
Sustainability Report 2020 > Transparency and Trust, page 14 We assess 100 percent of our operations for risks related to corruption. We consider operations that require contact with government officials to pose the most significant risk of corruption through bribery (obtaining necessary permits, handling crossborder logistics, making fleet sales to government entities, etc.). Sustainability Report 2020 > Transparency and Trust, page 14 Ford's anti-corruption policy must be adhered to by all Ford salaried and agency personnel around the globe, and all are required to complete the online Anti-Bribery Awareness training. This information is considered confidential.
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Suppliers and communities
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Ford Motor Company GRI Index 2020
www.sustainability.ford.com
GRI Standard GRI Disclosure
Location and Notes
103-2 103-3
The management approach and its components
Evaluation of the management approach
Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Code of Conduct Handbook
Sustainability Report 2020 > Transparency and Trust, page 14
GRI 206: Anti-competitive Behavior 2016
206-1
Legal actions for anti-competitive behavior, Form 10-K: Item 3. Legal Proceedings, pages 2123 anti-trust, and monopoly practices
GRI 300 Environmental Standards Series
Materials
GRI 103: Management Approach 2016
103-1 103-2 103-3
Explanation of the material topic and its Boundary
The management approach and its components
Evaluation of the management approach
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Protecting Our Planet, page 33 Sustainability Report 2020 > Moving Toward a Circular Economy, page 39 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Customers, suppliers and communities
Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Moving Toward a Circular Economy, page 39
Sustainability Report 2020 > Transparency and Trust, page 14
GRI 301: Materials 2016
301-1
Materials used by weight or volume
301-2
Recycled input materials used
Sustainability Report 2020 > Moving Toward a Circular Economy, page 39 Ford monitors total materials used and recycled materials used per vehicle. However, we're not able to report the total materials used, as volume of vehicles and model mix is confidential. We are currently reviewing the feasibility of reporting and our target is to include sustainability and recycling matrices in future reports.
This information is considered confidential. Refer to Ford SASB Index, Materials Efficiency and Recycling; Average recyclability of vehicles sold; TR-AU-440b.3.
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Ford Motor Company GRI Index 2020
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GRI Standard GRI Disclosure
Location and Notes
301-3
Reclaimed products and their packaging materials
Energy
Information not readily available. Ford reclaims and remanufactures a number of components (e.g. engines and transmissions) for service parts in older vehicles. But it would be a small percentage of overall parts or vehicles produced.
Ford remanufactures a number of components for the aftermarket and has many uses for recycled content in our components including rubber from post-consumer tires in underbody covers, recycled plastic bottles in carpet and nylon from carpeting in cylinder head covers. Parts remanufactured and with recycled content also vary by region.
Refer to Ford SASB Index, Materials Efficiency and Recycling, Weight of end-of-life material recovered, percentage recycled; TR-AU-440b.2.
Sustainability Report 2020 > Moving Toward a Circular Economy, page 39
GRI 103: Management Approach 2016
103-1 103-2 103-3
Explanation of the material topic and its Boundary
The management approach and its components
Evaluation of the management approach
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Our Strategy for Reducing Carbon, page 41 Sustainability Report 2020 > Minimizing Our Supply Chain Impact, page 44 CDP Climate Change Response TCFD Index 2020 Climate Change Scenario Report 2020 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Customers and suppliers
Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Protecting Our Planet, page 33 Sustainability Report 2020 > Reducing Our Vehicle Footprint, page 35 Sustainability Report 2020 > Energy and Emissions, page 41 Sustainability Report 2020 > Minimizing Our Supply Chain Impact, page 44 Climate Change Scenario Report
Sustainability Report 2020 > Transparency and Trust, page 14
GRI 302: Energy 2016
302-1
Energy consumption within the organization
Sustainability Report 2020 > Energy and Emissions, page 41 Performance Data, page 8 CDP Climate Change Response (items C7.5, C8.2a, C8.2c, C8.2e and C8.2f)
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Ford Motor Company GRI Index 2020
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GRI Standard GRI Disclosure
302-2
Energy consumption outside of the organization
302-3
Energy intensity
302-4
Reduction of energy consumption
302-5
Reductions in energy requirements of products and services
Water
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
Location and Notes
We estimate 1.85 Exajoule (EJ) were consumed by the Ford vehicles sold in 2019. This represents the Scope 3 definition of "use of sold vehicles" in the World Resources Institute's and World Business Council for Sustainable Development's GHG Protocol. Use of sold vehicles is Ford's largest source of Scope 3 energy and emissions. This calculation is based on the lifetime emissions (150,000 km) of all passenger cars and other light-duty vehicles sold during the reporting year in the United States, EU-28, China, Canada, Mexico, Australia, Brazil and India, representing 87 percent of vehicles sold. The energy consumed is calculated from the regional light-duty vehicle government regulation reporting of fleet average gCO2/km or L/100 km. Regulatory incentives that do not reduce energy use such as supercredits, BEV and FFV volume multipliers are excluded from the calculation. The emissions or fuel consumption are converted to energy using the factors 8,887 g CO2/gallon gasoline (US EPA) and 122 MJ/gallon gasoline (Argonne National Laboratories, GREET 2015 model).
Sustainability Report 2020 > Energy and Emissions, page 41 Performance Data, page 8 CDP Climate Change Response (items C6, C6.5, C8.2a and C8.2c)
Sustainability Report 2020 > Energy and Emissions Performance Data, page 8 CDP Climate Change Response (items C1.3a, C4.3b and C4.3c)
Sustainability Report 2020 > Reducing Our Vehicle Footprint, page 35 Sustainability Report 2020 > Energy and Emissions, page 41 Performance Data, page 8 CDP Climate Change Response (item C4.5a)
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Protecting Our Planet, page 33 Sustainability Report 2020 > Water Use, page 43 Sustainability Report 2020 > Reducing Our Vehicle Footprint, page 35 Sustainability Report 2020 > Minimizing Our Supply Chain Impact, page 44 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Communities and suppliers
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Ford Motor Company GRI Index 2020
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GRI Standard GRI Disclosure
Location and Notes
103-2 103-3
The management approach and its components
Evaluation of the management approach
Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Protecting Our Planet, page 33 Sustainability Report 2020 > Water Use, page 43 Sustainability Report 2020 > Reducing Our Vehicle Footprint, page 35 Sustainability Report 2020 > Minimizing Our Supply Chain Impact, page 44
Sustainability Report 2020 > Transparency and Trust, page 14
GRI 303: Water and Effluents 2018
303-1 303-2 303-3
Interactions with water as a shared resource
Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Water Use, page 43 CDP Water Response
Management of water dischargerelated impacts
Ford's discharges are subject to many regulatory requirements, therefore we measure and monitor standard effluent parameters and report to the appropriate regulatory agencies as required. Frequency of monitoring and parameters monitored vary by facility depending on discharge permits, ranging from batch to weekly to annual to continuous. Commonly measured parameters are TSD and zinc, and methods are lab analysis or in-line measurement.
Water withdrawal
CDP Water Response
303-4
Water discharge
CDP Water Response
303-5
Water consumption
Biodiversity
CDP Water Response
Ford does not separately calculate consumption at each facility on an ongoing basis. This decision is continually reassessed via the water assessments performed each year. Consumption data is obtained from water assessments performed at select Ford facilities. As of 2018, a third party has conducted water assessments at 80 percent of all Ford facilities. These assessments indicate that consumption associated with water incorporated into the product is not material.
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Protecting Our Planet, page 33 Sustainability Report 2020 > Sustainable Operations, page 41 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Communities and suppliers
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Ford Motor Company GRI Index 2020
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GRI Standard GRI Disclosure
Location and Notes
103-2 103-3
The management approach and its components
Evaluation of the management approach
Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Protecting Our Planet, page 33 Sustainability Report 2020 > Reducing Our Vehicle Footprint, page 35 Sustainability Report 2020 > Sustainable Operations, page 41 Climate Change Scenario Report
Sustainability Report 2020 > Transparency and Trust, page 14
GRI 304: Biodiversity 2016
304-1 304-2
304-3
Operational sites owned, leased, managed in, or adjacent to, protected areas and areas of high biodiversity value outside protected areas Significant impacts of activities, products, and services on biodiversity
Habitats protected or restored
Necessary information cannot be obtained. The processes we have in place do not collect this data, and we have no current plans to collect it in the future.
Ford's most significant impacts on land use and biodiversity are indirect and related to the effects of auto travel generally, including road-building, urban/suburban sprawl and associated changes to habitats and ecosystems. Ford does not consider direct impacts of its own operations on biodiversity to be a material issue. Remediation Ringwood Mines Landfill Site Ford Motor Company continues to work cooperatively with the Borough of Ringwood, the U.S. Environmental Protection Agency (EPA), and the New Jersey Department of Environmental Protection (DEP) to address concerns raised in connection with Ford's prior disposal activities in Ringwood, New Jersey. In the fall of 2014, the EPA issued a Record of Decision (ROD) for the three soil areas requiring remediation. The parties negotiated a proposed Consent Decree for the soil remedy in 2019, and await final lodging of the Consent Decree by the Court. It is anticipated that the permitting, planning and bidding activities will be completed during the summer/ fall of 2020 with remedy construction to begin in early 2021. Ford submitted the Sitewide Groundwater Focused Feasibility Study (FFS) to the EPA in October 2018. EPA reviewed the remedial options presented in the FFS and issued a proposed clean-up plan in January 2020. It is anticipated that the EPA will draft the groundwater ROD by the end of 2020. Livonia Transmission Plant Ford Motor Company is continuing to address groundwater impacts east of the Livonia Transmission Plant in Michigan. A groundwater treatment system was installed in March 2017 and is currently preventing migration of groundwater impacts. Ford and the State of Michigan entered into a Consent Decree in July 2017 to continue investigation and remediation actions. Per the Consent Decree, Ford submitted a Conceptual Site Model in August 2017 and completed Remedial Investigation activities in 2018/2019. Corrective actions are being implemented at off-site properties east of the Facility. Area residents are connected to the City of Livonia's water source and there is no impact to drinking water.
Necessary information cannot be obtained. The processes we have in place do not collect this data, and we have no current plans to collect it in the future.
18
Ford Motor Company GRI Index 2020
www.sustainability.ford.com
GRI Standard GRI Disclosure
304-4 Emissions
IUCN Red List species and national conservation list species with habitats in areas affected by operations
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
103-2
The management approach and its components
Location and Notes
Necessary information cannot be obtained. The processes we have in place do not collect this data, and we have no current plans to collect it in the future.
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Protecting Our Planet, page 33 Sustainability Report 2020 > Reducing Our Vehicle Footprint, page 35 Sustainability Report 2020 > Energy and Emissions, page 41 Sustainability Report 2020 > Understanding Our Suppliers' Impact, page 45 Sustainability Report 2020 > Reducing Our Vehicle Footprint, page 35 Sustainability Report 2020 > Improving Fuel Economy, page 36 Sustainability Report 2020 > Alternative Fuels and Powertrains, page 37 Sustainability Report 2020 > Addressing Non-CO2 Emissions, page 39 TCFD Index Climate Change Scenario Report CDP Climate Change (Item C3) Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Customers, communities and suppliers Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Protecting Our Planet, page 33 Sustainability Report 2020 > Reducing Our Vehicle Footprint, page 35 Sustainability Report 2020 > Energy and Emissions, page 41 Sustainability Report 2020 > Understanding Our Suppliers' Impact, page 45 Sustainability Report 2020 > Reducing Our Vehicle Footprint, page 35 Sustainability Report 2020 > Improving Fuel Economy, page 36 Sustainability Report 2020 > Alternative Fuels and Powertrains, page 37 Sustainability Report 2020 > Addressing Non-CO2 Emissions, page 39 Climate Change Scenario Report Please see our most recent CDP response: C3, business strategy. C4, targets and performance. C1, governance.
19
Ford Motor Company GRI Index 2020
www.sustainability.ford.com
GRI Standard GRI Disclosure
103-3
Evaluation of the management approach
GRI 305: Emissions 2016
305-1
Direct (Scope 1) GHG emissions
305-2
Energy indirect (Scope 2) GHG emissions
305-3
Other indirect (Scope 3) GHG emissions
305-4 305-5
GHG emissions intensity Reduction of GHG emissions
Location and Notes
Sustainability Report 2020 > Transparency and Trust, page 14
Sustainability Report 2020 > Energy and Emissions, page 41 Performance Data, page 8 Please see our most recent CDP response: C5, emissions methodology. C6.1, scope 1 emissions. Verification data is not yet available for Ford's 2019 global facility greenhouse gas (GHG) emissions. As completed for 2018, 100 percent of Ford's 2019 global facility GHG emissions will be third-party verified to limited assurance in accordance with ISO 14064-3. In addition, all of our European facilities impacted by the mandatory E.U. Emissions Trading Scheme (EU-ETS) are third-party verified. All EU-ETS verification statements are provided to Ford, by facility, from Lucideon for U.K. facilities, Lloyds for Spain and Intechnica for Germany. European facilities are verified against the EU-ETS rules and guidelines. Find out more about EU-ETS in our CDP Climate Response, section 11.1.
Sustainability Report 2020 > Energy and Emissions, page 41 Performance Data, page 8 Please see our most recent CDP response: C5, emissions methodology. C6.2, scope 2 emissions. Verification data is not yet available for Ford's 2019 global facility greenhouse gas (GHG) emissions. As completed for 2018, 100 percent of Ford's 2019 global facility GHG emissions will be third-party verified to limited assurance in accordance with ISO 14064-3. In addition, all of our European facilities impacted by the mandatory E.U. Emissions Trading Scheme (EU-ETS) are third-party verified. All EU-ETS verification statements are provided to Ford, by facility, from Lucideon for U.K. facilities, Lloyds for Spain and Intechnica for Germany. European facilities are verified against the EU-ETS rules and guidelines. Find out more about EU-ETS in our CDP Climate Response, section 11.1.
Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Protecting Our Planet, page 33 Sustainability Report 2020 > Energy and Emissions, page 41 Sustainability Report 2020 > Minimizing Our Supply Chain Impact, page 44 CDP Climate Change Response (item C6.5)
Performance Data, page 8 CDP Climate Change Response (items C3.1d, C5 and C6.2)
Sustainability Report 2020 > Protecting Our Planet, page 33 Sustainability Report 2020 > Reducing Our Vehicle Footprint, page 35 Sustainability Report 2020 > Energy and Emissions, page 41 Sustainability Report 2020 > Minimizing Our Supply Chain Impact, page 44 CDP Climate Change Response (items C3.1d, C5, C6.2 and C7.0) Performance Data, page 8
20
Ford Motor Company GRI Index 2020
www.sustainability.ford.com
GRI Standard GRI Disclosure
Location and Notes
305-6
Emissions of ozone-depleting substances (ODS)
305-7
Nitrogen oxides (NOx), sulfur oxides (SOx), and other significant air emissions
Effluents and Waste
Performance Data, page 8 Performance Data, page 8
GRI 103: Management Approach 2016
103-1 103-2 103-3
Explanation of the material topic and its Boundary
The management approach and its components
Evaluation of the management approach
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Protecting Our Planet, page 33 Sustainability Report 2020 > Water Use, page 43 Sustainability Report 2020 > Reducing Waste, page 43 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Communities and suppliers
Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Protecting Our Planet, page 33 Sustainability Report 2020 > Energy and Emissions, page 41 Sustainability Report 2020 > Water Use, page 43 Sustainability Report 2020 > Reducing Waste, page 43
Sustainability Report 2020 > Transparency and Trust, page 14
GRI 306: Effluents and Waste 2016
306-1 306-2
Water discharge by quality and destination Waste by type and disposal method
Performance Data, page 10
We report process water discharged (see water data section). All discharges from Ford facilities meet Ford water quality standard or local regulations, whichever is more stringent. We do not have any agreements with other organizations for direct reuse of our discharged water.
Performance Data, page 9
At each of our facilities, we work with total waste management contractors who determine the waste disposal method based on our strict requirements. We take care to hire companies that are experts and will dispose of all our waste responsibly. Our waste disposal contracts with total waste management contractors include strict requirements to follow all relevant laws and to dispose of waste in an environmentally and socially responsible way.
21
Ford Motor Company GRI Index 2020
www.sustainability.ford.com
GRI Standard GRI Disclosure
Location and Notes
306-3 306-4
Significant spills Transport of hazardous waste
306-5
Water bodies affected by water discharges and/or runoff
Environmental Compliance
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
103-2
The management approach and its components
No significant off-site spills were registered in 2019.
Performance Data, page 9 All of our hazardous waste (see waste data for weight) is transported from our sites by our total waste management contractor for each facility. Ford does not import any hazardous waste. At each of our facilities, we work with total waste management contractors who determine the waste disposal method based on our strict requirements. We take care to hire companies that are experts and will dispose of all our waste responsibly. Our waste disposal contracts with total waste management contractors include strict requirements to follow all relevant laws and to dispose of waste in an environmentally and socially responsible way.
This indicator is not applicable because the impact captured by the indicator is insignificantly low.
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Protecting Our Planet, page 33 Sustainability Report 2020 > Minimizing Our Supply Chain Impact, page 44 Sustainability Report 2020 > Energy and Emissions, page 41 Sustainability Report 2020 > Water Use, page 43 Sustainability Report 2020 > Reducing Waste, page 43 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Communities and suppliers
Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Protecting Our Planet, page 33 Sustainability Report 2020 > Minimizing Our Supply Chain Impact, page 44 Sustainability Report 2020 > Energy and Emissions, page 41 Sustainability Report 2020 > Water Use, page 43 Sustainability Report 2020 > Reducing Waste, page 43 Ford's Environmental Operating System (EOS), which is fully integrated into the Ford Production System (FPS), provides a standardized, streamlined approach to maintaining compliance with all legal, third-party and Ford internal requirements, including government regulations, ISO 14001 and Ford's own environmental policies and business plan objectives and targets. The EOS allows us to monitor compliance with external regulations and helps us develop and track internal environmental performance goals at the corporate, regional and facility level. In addition, we require our preferred "Q1" suppliers of production parts to certify their facilities to ISO 14001.
22
Ford Motor Company GRI Index 2020
www.sustainability.ford.com
GRI Standard GRI Disclosure
Location and Notes
103-3
Evaluation of the management approach
GRI 307: Environmental Compliance 2016
307-1
Non-compliance with environmental laws and regulations
Supplier Environmental Assessment
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
103-2
The management approach and its components
103-3
Evaluation of the management approach
GRI 308: Supplier Environmental Assessment 2016
308-1
New suppliers that were screened using environmental criteria
Sustainability Report 2020 > Transparency and Trust, page 14
Please see GRI 304-2. Form 10-K: Item 3. Legal Proceedings, pages 2123 In 2019, Ford facilities globally received eight new notices of violation (five in the United States, two in Europe and one in Argentina) from environmental protection agencies on matters related to environmental regulatory requirements. Fines of US$14,650 were paid in calendar year 2019.
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Protecting Our Planet, page 33 Sustainability Report 2020 > Minimizing Our Supply Chain Impact, page 44 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Suppliers Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Governance > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Protecting Our Planet, page 33 Sustainability Report 2020 > Minimizing Our Supply Chain Impact, page 44 Sustainability Report 2020 > Transparency and Trust, page 14
Sustainability Report 2020 > Minimizing Our Supply Chain Impact, page 44 Of our Tier 1 production suppliers with manufacturing facilities providing production parts directly to Ford (approximately 1,200 parent suppliers, representing 4,400 supplier sites) 100 percent are required to have ISO 14001 certification, which requires them to implement an environmental management system. In 2017 we launched a pilot of an automotive industry self-assessment questionnaire (SAQ), which was issued to over 500 suppliers to assist with evaluating risk in the business and identifying supplier opportunities. In 2019, as well as the previous years, we issued more than 500 SAQs to Tier 1 suppliers.
23
Ford Motor Company GRI Index 2020
www.sustainability.ford.com
GRI Standard GRI Disclosure
Location and Notes
308-2
Negative environmental impacts in the supply chain and actions taken
GRI 400 Social Standards Series
Sustainability Report 2020 > Minimizing Our Supply Chain Impact, page 44
Sustainability Report 2020 > Putting People First, page 16
Sustainability Report 2020 > Audit Findings, page 26
We engage with suppliers on their environmental performance. Our environmental web-guides are a part of our global terms and conditions for all suppliers and spell out requirements for ISO 14001 certification, compliance with local and national environmental laws, prohibited and declarable substances and other environment specifications. No suppliers were terminated for negative impacts in 2019.
Employment
GRI 103: Management Approach 2016
103-1 103-2
103-3
Explanation of the material topic and its Boundary
The management approach and its components
Evaluation of the management approach
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Empowering Our People, page 16 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Communities and suppliers
Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Identifying Our Salient Human Rights Issues, page 22 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Diversity and Inclusion, page 18 Sustainability Report 2020 > Attraction and Retention, page 20 Sustainability Report 2020 > Learning and Development, page 20
Sustainability Report 2020 > Transparency and Trust, page 14
GRI 401: Employment 2016
401-1
New employee hires and employee turnover
Performance Data, page 5
Information unavailable: This data is not readily available and is not consistently tracked globally today. It would require the establishment of global definitions and each region would need to complete its own analysis. Age and gender turnover is confidential information.
24
Ford Motor Company GRI Index 2020
www.sustainability.ford.com
GRI Standard GRI Disclosure
Location and Notes
401-2 401-3
Benefits provided to full-time employees that are not provided to temporary or parttime employees
Parental leave
Labor/Management Relations
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
103-2
The management approach and its components
103-3
Evaluation of the management approach
Sustainability Report 2020 > Attraction and Retention, page 20 Ford offers comprehensive benefit packages that are competitive in the countries where we do business. Depending on location and country-specific practices, the packages may include pension plans, medical plans, life and accident insurance, disability protection, and paid vacations and holidays.
Sustainability Report 2020 > Building An Adaptive Workforce, page 20 Salaried U.S. employees as of December 31, 2019 are eligible for eight weeks of new parent days: 31,207 (females: 8,577; males: 22,630). All U.S. salaried employees are eligible for parental leave benefits. Global parental leave data unavailable: This data is not readily available and is not currently tracked. Employees on parental leave in the United States are on active payroll because it is 100 percent paid. To maximize flexibility, each new parent schedules the eight weeks of paid leave directly with their supervisor. The process relies on an honor system rather than employees having to formally code or track their time off, which means that we do not have aggregated data at the corporate level. We believe that this process is beneficial for employees due to the greater flexibility it provides.
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Attraction and Retention, page 20 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Communities and suppliers
Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Identifying Our Salient Human Rights Issues, page 22 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Diversity and Inclusion, page 18 Sustainability Report 2020 > Attraction and Retention, page 20 Sustainability Report 2020 > Learning and Development, page 20
Sustainability Report 2020 > Transparency and Trust, page 14
25
Ford Motor Company GRI Index 2020
www.sustainability.ford.com
GRI Standard GRI Disclosure
GRI 402: Labor/Management Relations 2016
402-1
Minimum notice periods regarding operational changes
Occupational Health and Safety
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
103-2
The management approach and its components
103-3
Evaluation of the management approach
GRI 403: Occupational Health and Safety 2018
403-1
Occupational health and safety management system
Location and Notes
Ford fully complies with applicable national and/or local legal requirements for minimum notice periods regarding significant operational changes. The vast majority of Ford's global hourly workforce is covered by collective bargaining agreements. However, in most cases, minimum notice periods and provisions for negotiation/consultation of significant operational changes are not specified in such agreements. Rather, communication of such changes generally occurs as part of the ongoing engagement between the company and employee representatives. For example, in the United States, the company utilizes a weekly reporting process that provides the UAW with three-week advance notice of any planned "indefinite layoff" actions and two-week advance notice of any planned "temporary layoff" actions. In addition, the UAWFord collective bargaining agreement includes a provision for a joint monthly meeting (NJSOESC), which provides a forum to review such actions.
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Empowering Our People, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Communities and suppliers Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Identifying Our Salient Human Rights Issues, page 22 Sustainability Report 2020 > Health and Safety, page 23 Sustainability Report 2020 > Transparency and Trust, page 14
Sustainability Report 2020 > Health and Safety, page 23 Ford has an internal Safety Operating System (SOS) that is based on Occupational Safety and Health Administration (OSHA), OSHA references and ISO standards as compliance requirements. Ford is not legally required to have such a system, but this is used to monitor and track the company's compliance with both internal and external required standards. The scope of the SOS is Ford's majority-owned facilities. Joint ventures are encouraged to adopt Ford standards.
26
Ford Motor Company GRI Index 2020
www.sustainability.ford.com
GRI Standard GRI Disclosure
Location and Notes
403-2
403-3 403-4 403-5 403-6
403-7
Hazard identification, risk assessment and incident investigation
Ford's internal hazard identification, risk assessment and incident investigation processes are required when on-site.
The company works with internal documents that detail the health and safety requirements and must be followed by contractors and all personnel when on-site at Ford majority-owned facilities.
For all work performed by contractors, a Pre-Task Analysis (PTA) that identifies the hazards for the work and mitigation of those hazards must be completed. The PTAs are reviewed and monitored by Ford.
Contractors are instructed to report any job hazards to their supervisor for resolution. If the hazard relates to Fordowned equipment or facilities, then they are instructed to notify their Ford representative.
Occupational health services
The identification and elimination of hazards and the minimization of risks are managed through the Occupational and Health and Safety Administration.
Postings throughout the plants state that employees must report a work-related injury or illness to the medical department. Non-Ford employees will be given first aid treatment and their respective agency notified of the injury. The agency will direct its employee to the proper facility for medical treatment.
Worker participation, consultation, and communication on occupational health and safety
Most of our manufacturing facilities have joint union/management safety committees that guide the development and implementation of safety programs in their operations. We do not report the percentage of workers that are represented by formal joint managementworker health and safety committees, as the necessary information cannot be obtained.
Worker training on occupational health and safety
Ford has an extensive training catalog that includes training every employee must receive prior to starting work, as well as program-specific training based on their job assignment. Each region and facility has a training matrix that details what training is required for each person. The required training will vary based on the work they perform and the location.
Promotion of worker health
For non-occupational services, consultation is provided for employees who seek advice, but the employee is referred to their personal medical doctor (PMD) for the treatment of non-occupational conditions (unless temporary care is required to relieve an emergency condition). Ford medical staff do not treat non-occupational medical conditions except in an emergency. Salaried employees have access to programs offered through the Ford Benefits Department, including Castlight a personalized program focused on health promotion.
Hourly employees have access to employee stock purchase plan (ESPP) programs that include weight management and smoking cessation. Both hourly and salaried employees have access to Quarterly Wellness Programs that include blood pressure evaluations/monitoring, lipid profile and glucose monitoring.
Prevention and mitigation of occupational health and safety impacts directly linked by business relationships
Sustainability Report 2020 > Improving Vehicle Safety, page 27
Ford's internal hazard identification, risk assessment and incident investigation processes are ongoing and required at all times. Requirements pertain to contractors and all personnel on Ford majority-owned facilities, including preassessment tasks (PTA) identifying work hazards and mitigation, in case of occurrence. All PTAs are monitored by Ford. Contractors are instructed to report any job hazards to their supervisor and Ford representative.
Ford has a strong health and safety training program for its employees. When employees are on-site at non-majorityowned facilities and joint ventures, they are required to adhere to the facilities' requirements.
27
Ford Motor Company GRI Index 2020
www.sustainability.ford.com
GRI Standard GRI Disclosure
Location and Notes
403-8
Workers covered by an occupational health and safety management system
403-9
Work-related injuries
403-10
Work-related ill health
Training and Education
Ford has an internal Safety Operating System (SOS) that is based on OSHA, OSHA references and ISO standards as compliance requirements. Ford's internal processes are based on OSHA references and ISO standards as compliance requirements. These processes are in place at all Ford majority-owned facilities.
Sustainability Report 2020 > Health and Safety, page 23 Performance Data, page 5 Data for occupational global injury breakdown is omitted as this information is considered confidential.
Sustainability Report 2020 > Health and Safety, page 23 Performance Data, page 5 Data for work-related ill health breakdown is omitted as this information is considered confidential.
GRI 103: Management Approach 2016
103-1 103-2 103-3
Explanation of the material topic and its Boundary
The management approach and its components
Evaluation of the management approach
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Empowering Our People, page 16 Sustainability Report 2020 > Learning and Development, page 20 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Communities and suppliers
Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Empowering Our People, page 16 Sustainability Report 2020 > Learning and Development, page 20
Sustainability Report 2020 > Transparency and Trust, page 14
GRI 404: Training and Education 2016
404-1
Average hours of training per year per employee
This information is currently not available. Rather than measure the average hours of training an employee has taken, our focus is on developing our employees through our Competency Development Framework. We achieve this by developing training for each competency and associated level, allowing employees to build their skills where they have gaps in a given competency.
28
Ford Motor Company GRI Index 2020
www.sustainability.ford.com
GRI Standard GRI Disclosure
Location and Notes
404-2
Programs for upgrading employee skills and transition assistance programs
Sustainability Report 2020 > Learning and Development, page 20
We offer a full catalog of functional/technical as well as leadership and professional development training opportunities in all regions. In addition, we currently offer leadership programs globally, tailored for every level of management. We provide reemployment assistance for salaried employees who exit on some types of separation programs. Reemployment assistance is not made available to salaried employees who retire without a separation program referenced above. Hourly employee collective bargaining agreements in some countries include provisions for tuition and transition assistance programs.
404-3
Percentage of employees receiving regular performance and career development reviews
All full-time, regular, salaried employees are subject to the performance review process. Performance reviews for hourly employees depends on their collective agreement.
Diversity and Equal Opportunity
GRI 103: Management Approach 2016
103-1 103-2 103-3
Explanation of the material topic and its Boundary
The management approach and its components
Evaluation of the management approach
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Diversity and Inclusion, page 18 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Communities and suppliers
Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Diversity and Inclusion, page 18
Sustainability Report 2020 > Transparency and Trust, page 14
GRI 405: Diversity and Equal Opportunity 2016
405-1 405-2
Diversity of governance bodies and employees
Ratio of basic salary and remuneration of women to men
Performance Data, pages 34 Sustainability Report 2020 > Governance, page 14
Sustainability Report 2020 > Diversity and Inclusion, page 18 We report global salaried gender pay ratio (see our Sustainability Report 2020 > Diversity and Inclusion, page [xx]). We do not currently report ratio by region or employee category.
29
Ford Motor Company GRI Index 2020
www.sustainability.ford.com
GRI Standard GRI Disclosure
Location and Notes
Non-discrimination
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
103-2
The management approach and its components
103-3
Evaluation of the management approach
GRI 406: Non-discrimination 2016
406-1
Incidents of discrimination and corrective actions taken
Freedom of Association and Collective Bargaining
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Diversity and Inclusion, page 18 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Communities and suppliers Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Diversity and Inclusion, page 18 Sustainability Report 2020 > Transparency and Trust, page 14
Sustainability Report 2020 > Diversity and Inclusion, page 18 Performance Data, page 5 All incidents are promptly investigated and handled appropriately. Status of incidents and actions taken are not reported as this information is considered confidential.
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Empowering Our People, page 16 Sustainability Report 2020 > Identifying Our Salient Human Rights Issues, page 22 Sustainability Report 2020 > Building Capability in Our Supply Chain, page 26 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Communities and suppliers
30
Ford Motor Company GRI Index 2020
www.sustainability.ford.com
GRI Standard GRI Disclosure
Location and Notes
103-2 103-3
The management approach and its components
Evaluation of the management approach
Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Empowering Our People, page 16 Sustainability Report 2020 > Identifying Our Salient Human Rights Issues, page 22 Sustainability Report 2020 > Building Capability in Our Supply Chain, page 26
Sustainability Report 2020 > Transparency and Trust, page 14
GRI 407: Freedom of Association and Collective Bargaining 2016
407-1
Operations and suppliers in which the right to freedom of association and collective bargaining may be at risk
Child Labor
Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Empowering Our People, page 16 Sustainability Report 2020 > Identifying Our Salient Human Rights Issues, page 22 Sustainability Report 2020 > Building Capability in Our Supply Chain, page 26 Assessment of the right to freedom of association and collective bargaining is included in Ford's audit processes and is part of our risk management. Our annual risk analysis has identified a list of 22 high-priority countries which pose the highest risk as evaluated through our human rights indicators. In 2019, we identified non-conformances associated with freedom of association at 43 percent of production suppliers audited, out of a total of 24 assessments. This data is not broken down by region due to a limited sample size in some regions.
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Empowering Our People, page 16 Sustainability Report 2020 > Identifying Our Salient Human Rights Issues, page 22 Sustainability Report 2020 > Building Capability in Our Supply Chain, page 26 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Communities and suppliers
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Ford Motor Company GRI Index 2020
www.sustainability.ford.com
GRI Standard GRI Disclosure
Location and Notes
103-2
The management approach and its components
103-3
Evaluation of the management approach
GRI 408: Child Labor 2016
408-1
Operations and suppliers at significant risk for incidents of child labor
Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Empowering Our People, page 16 Sustainability Report 2020 > Identifying Our Salient Human Rights Issues, page 22 Sustainability Report 2020 > Building Capability in Our Supply Chain, page 26 Sustainability Report 2020 > Collaborating With Industry Partners, page 46
Sustainability Report 2020 > Transparency and Trust, page 14
Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Empowering Our People, page 16 Sustainability Report 2020 > Identifying Our Salient Human Rights Issues, page 22 Sustainability Report 2020 > Building Capability in Our Supply Chain, page 26 Sustainability Report 2020 > Collaborating With Industry Partners, page 46 Assessment of child labor is included in Ford's audit processes and is part of our risk management. Our annual risk analysis has identified a list of 22 high-priority countries which pose the highest risk as evaluated through our human rights indicators. In 2019, our audits did not reveal any instances of child labor, although we identified non-conformances associated with child labor avoidance policies and management systems at 52 percent of production suppliers audited, out of a total of 23 assessments. This data is not broken down by region due to a limited sample size in some regions.
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GRI Standard GRI Disclosure
Forced or Compulsory Labor
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
103-2
The management approach and its components
103-3
Evaluation of the management approach
Location and Notes
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Empowering Our People, page 16 Sustainability Report 2020 > Identifying Our Salient Human Rights Issues, page 22 Sustainability Report 2020 > Building Capability in Our Supply Chain, page 26 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Communities and suppliers Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Empowering Our People, page 16 Sustainability Report 2020 > Identifying Our Salient Human Rights Issues, page 22 Sustainability Report 2020 > Building Capability in Our Supply Chain, page 26 Sustainability Report 2020 > Collaborating With Industry Partners, page 46 Sustainability Report 2020 > Transparency and Trust, page 14
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GRI Standard GRI Disclosure
Location and Notes
GRI 409: Forced or Compulsory Labor 2016
409-1
Operations and suppliers at significant risk for incidents of forced or compulsory labor
Human Rights Assessment
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Empowering Our People, page 16 Sustainability Report 2020 > Identifying Our Salient Human Rights Issues, page 22 Sustainability Report 2020 > Building Capability in Our Supply Chain, page 26 Sustainability Report 2020 > Collaborating With Industry Partners, page 46 Assessment of the risk of forced or compulsory labor is included in Ford's audit processes and is part of our risk management. Our annual risk analysis has identified a list of 22 high-priority countries which pose the highest risk as evaluated through our human rights indicators. In 2019, our audits did not reveal any instances of forced labor, although we identified non-conformances associated with freely chosen employment policies and management systems at 74 percent of production suppliers audited, out of a total of 23 assessments. This data is not broken down by region due to a limited sample size in some regions.
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Empowering Our People, page 16 Sustainability Report 2020 > Identifying Our Salient Human Rights Issues, page 22 Sustainability Report 2020 > Collaborating With Industry Partners, page 46 Sustainability Report 2020 > Building Capability in Our Supply Chain, page 26 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Communities and suppliers
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GRI Standard GRI Disclosure
Location and Notes
103-2 103-3
The management approach and its components
Evaluation of the management approach
Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Empowering Our People, page 16 Sustainability Report 2020 > Identifying Our Salient Human Rights Issues, page 22 Sustainability Report 2020 > Building Capability in Our Supply Chain, page 26 Sustainability Report 2020 > Collaborating With Industry Partners, page 46
Sustainability Report 2020 > Transparency and Trust, page 14
GRI 412: Human Rights Assessment 2016
412-1 412-2
Operations that have been subject to human Sustainability Report 2020 > Building Capability in Our Supply Chain, page 26
rights reviews or impact assessments
ESG Reporting Hub > Human Rights
Ford's Policy Letter 24, our Code of Human Rights, Basic Working Conditions and Corporate Responsibility, applies to our own facilities as well as those of our joint venture partners and suppliers. We began doing formal assessments of Ford and joint venture facilities globally in 2004.
In 2019, we piloted a new, more quantitative process to conduct assessments at global facilities across our operating regions. We have conducted around 50 human rights assessments at our global facilities, including joint ventures. An overview of recent assessments is available for download.
Sustainability Report 2020 > Identifying Our Salient Human Rights Issues, page 22
Employee training on human rights policies or procedures
Sustainability Report 2020 > Governance, page 14
Sustainability Report 2020 > Building Capability in Our Supply Chain, page 26
Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22
Our information collection process measures this information in other ways than the total hours trained, but does provide detail on the number of employees trained, and the type of training. In 2019, we trained approximately 100,000 people globally on human rights issues covering bribery, anti-harassment and anti-discrimination (in addition to other ethics and compliance topics). This represents virtually all of our workforce excluding our manufacturing labor.
In 2019, we trained additional employees in the Asia-Pacific region in our Policy Letter 24 code of Human Rights Basic Working Conditions and Corporate Responsibility and Supply Chain Sustainability Program. To date, we've trained over 4,500 employees.
In addition, our publicly available mobile app for smartphones, The Right Way, can be used by people inside and outside our company and provides just-in-time compliance and ethics information for our increasingly global and mobile workforce. This includes anti-corruption and anti-bribery guidance, as well as information on mutual respect, non-discrimination and warning signs for human trafficking.
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GRI Standard GRI Disclosure
Location and Notes
412-3
Significant investment agreements and contracts that include human rights clauses or that underwent human rights screening
Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Building Capability in Our Supply Chain, page 26 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22
Local Communities
GRI 103: Management Approach 2016
103-1 103-2 103-3
Explanation of the material topic and its Boundary
The management approach and its components
Evaluation of the management approach
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Community Life, page 30 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Communities and suppliers
Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Community Life, page 30
Sustainability Report 2020 > Transparency and Trust, page 14
GRI 413: Local Communities 2016
413-1
Operations with local community engagement, impact assessments, and development programs
Sustainability Report 2020 > Community Life, page 30
Measuring the impact of community investments and calculating success of nonprofit work can be challenging. We take a conservative approach toward measuring outcomes and use standard industry practices for quantifying the financial impact of our volunteer work. Throughout 2019, more than 17,000 Ford employees in 37 countries and 18 U.S. states participated in over 1,400 volunteer activities for more than 1,400 community service projects that helped feed the hungry, provide clean water, build homes, renovate schools, mentor young people and protect the environment. Ford Fund contributed more than $1 million to buy tools and supplies to support the projects. When possible, we use outside resources to measure an investment's value. An outside study found that the Ford Resource and Engagement Center in Detroit returned $3 in services for every $1 invested by Ford and our nonprofit affiliates. Since the FREC opened in 2013, nonprofits have assisted more than 125,000 local residents, distributed more than 2.7 million pounds of food and helped complete over 11,000 tax returns.
Sustainability Report 2020 > Our Response to the Covid-19 Outbreak, page 4
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GRI Standard GRI Disclosure
413-2
Operations with significant actual and potential negative impacts on local communities
Supplier Social Assessment
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
103-2
The management approach and its components
103-3
Evaluation of the management approach
GRI 414: Supplier Social Assessment 2016
414-1
New suppliers that were screened using social criteria
Location and Notes
Form 10-K: Item 3. Legal Proceedings, pages 2123 In 2019, Ford facilities globally received eight new notices of violation (five in the United States, two in Europe and one in Argentina) from environmental protection agencies on matters related to environmental regulatory requirements. Fines of US$14,650 were paid in calendar year 2019.
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Identifying Our Salient Human Rights Issues, page 22 Sustainability Report 2020 > Building Capability in Our Supply Chain, page 26 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Communities and suppliers Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Identifying Our Salient Human Rights Issues, page 22 Sustainability Report 2020 > Building Capability in Our Supply Chain, page 26 Sustainability Report 2020 > Supplier Diversity, page 27 Sustainability Report 2020 > Transparency and Trust, page 14
All new Ford suppliers are expected to comply with our Global Terms and Conditions. All our suppliers are subject to an ongoing program of human rights and working conditions audits. As new suppliers come on board we will include them in the consideration for a SAQ to evaluate their social and environmental sustainability, business conduct and compliance and supplier management. We are currently looking at the process of onboarding suppliers.
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GRI Standard GRI Disclosure
Location and Notes
414-2
Negative social impacts in the supply chain and actions taken
Public Policy
Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Identifying Our Salient Human Rights Issues, page 22 Sustainability Report 2020 > Auditing Our Suppliers, page 26 In the period covered by the report, no suppliers were terminated for negative impacts.
GRI 103: Management Approach 2016
103-1 103-2
103-3
Explanation of the material topic and its Boundary The management approach and its components
Evaluation of the management approach
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Public Policy, page 15 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Governments
Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Public Policy, page 15 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Safety and Quality, page 27
Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Public Policy, page 15
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GRI Standard GRI Disclosure
GRI 415: Public Policy 2016
415-1
Political contributions
Customer Health and Safety
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
103-2
The management approach and its components
Location and Notes
Ford Motor Company does not make corporate contributions to political candidates or political organizations (but may do so in limited cases in some non-U.S. countries where it has operations). Company resources are not used for the purpose of electing candidates to public office, even when permitted by law. Nor do we take positions for partisan political purposes that is, specifically for the purpose of advancing the interest of a political party or candidate for public office. We support a broad range of trade associations and coalitions to enhance our understanding of, and advocacy for, policy issues, including climate change. To learn more see Ford Political Activity When our views do not align with those of the associations to which we belong we reserve the right to make our own position clear. See Sustainability Report Public Policy, page 15 and Climate Change Scenario Report, page 19. Sustainability Report 2020 > Letter From William Clay Ford, Jr. and Jim Hackett, page 3 Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Climate Change Strategy, page 33 Sustainability Report 2020 > Ethics and Compliance Training, page 15 Sustainability Report 2020 > Public Policy, page 15 Climate Change Scenario Report 2020 > Trust, page 12 Climate Change Scenario Report 2020 > Public Policy, page 19
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Safety and Quality, page 27 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Customers and suppliers
Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Public Policy, page 15 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Safety and Quality, page 27
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GRI Standard GRI Disclosure
Location and Notes
103-3
Evaluation of the management approach
GRI 416: Customer Health and Safety 2016
416-1
Assessment of the health and safety impacts of product and service categories
416-2
Incidents of non-compliance concerning the health and safety impacts of products and services
Marketing and Labeling
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
103-2
The management approach and its components
103-3
Evaluation of the management approach
GRI 417: Marketing and Labeling 2016
417-1
Requirements for product and service information and labeling
Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Response to the Covid-19 Outbreak, page 4
All of our significant vehicle categories are subject to health and safety regulations that tend to become increasingly stringent over time. As such, their health and safety impacts are regularly assessed for improvement. Performance Data, page 6 Form 10-K: Item 1. Business. Vehicle Safety, page 13. Government Standards, pages 812
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Safety and Quality, page 27 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Customers and suppliers Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Public Policy, page 15 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Respecting Human Rights Within Ford, page 22 Sustainability Report 2020 > Safety and Quality, page 27 Sustainability Report 2020 > Transparency and Trust, page 14
Ford follows all federal and state requirements applicable to the manufacturer for product certification and service information and labeling of our vehicles. Percentage of significant product categories is confidential. Ford Motor Company follows all federal and state guidelines regarding marketing and advertising communications and abides by the "Ford Marketing Standards Manual." This information is confidential.
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Ford Motor Company GRI Index 2020
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GRI Standard GRI Disclosure
Location and Notes
417-2
Incidents of non-compliance concerning product and service information and labeling
417-3
Incidents of non-compliance concerning marketing communications
Customer Privacy
This information is considered confidential. This information is considered confidential.
GRI 103: Management Approach 2016
103-1 103-2 103-3
Explanation of the material topic and its Boundary
The management approach and its components
Evaluation of the management approach
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Data Privacy and Security, page 53 Sustainability Report 2020 > Safety and Quality, page 27 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Customers and suppliers
Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Public Policy, page 15 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Putting People First, page 16 Sustainability Report 2020 > Data Privacy and Security, page 53 Sustainability Report 2020 > Safety and Quality, page 27
Sustainability Report 2020 > Transparency and Trust, page 14
GRI 418: Customer Privacy 2016
418-1
Substantiated complaints concerning breaches of customer privacy and losses of customer data
This information is considered confidential.
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GRI Standard GRI Disclosure
Mobility Solutions
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
103-2
The management approach and its components
103-3
Evaluation of the management approach
Electrification and Alternative Fuels
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
Location and Notes
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Protecting Our Planet, page 33 Sustainability Report 2020 > Reducing Our Vehicle Footprint, page 35 Sustainability Report 2020 > Mobility Solutions, page 49 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Communities and suppliers Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Public Policy, page 15 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Protecting Our Planet, page 33 Sustainability Report 2020 > Reducing Our Vehicle Footprint, page 35 Sustainability Report 2020 > Mobility Solutions, page 49 Sustainability Report 2020 > Transparency and Trust, page 14
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Protecting Our Planet, page 33 Sustainability Report 2020 > Reducing Our Vehicle Footprint, page 35 Sustainability Report 2020 > Scaling Up Electrification, page 47 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Communities and suppliers
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GRI Standard GRI Disclosure
103-2
The management approach and its components
103-3
Evaluation of the management approach
Self-driving Vehicles
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
103-2
The management approach and its components
103-3
Evaluation of the management approach
Smart Technology
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
Location and Notes
Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Protecting Our Planet, page 33 Sustainability Report 2020 > Reducing Our Vehicle Footprint, page 35 Sustainability Report 2020 > Scaling Up Electrification, page 47 Sustainability Report 2020 > Transparency and Trust, page 14
Sustainability Report 2020 > Prioritizing Key Issues, page 8 Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Self-Driving Vehicles, page 49 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Communities and suppliers Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Self-Driving Vehicles, page 49 Sustainability Report 2020 > Transparency and Trust, page 14
Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Driver Assist Technologies, page 28 Sustainability Report 2020 > Reducing Our Vehicle Footprint, page 35 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Communities and suppliers
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GRI Standard GRI Disclosure
103-2
The management approach and its components
103-3
Evaluation of the management approach
Sustainable Cities and Infrastructure
GRI 103: Management Approach 2016
103-1
Explanation of the material topic and its Boundary
103-2
The management approach and its components
103-3
Evaluation of the management approach
Location and Notes
Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Driver Assist Technologies, page 28 Sustainability Report 2020 > Reducing Our Vehicle Footprint, page 35 Sustainability Report 2020 > Transparency and Trust, page 14
Sustainability Report 2020 > Governance, page 14 Sustainability Report 2020 > Mobility Solutions, page 49 Boundary: Internal: All Ford operating regions and business units; Ford employees and dealers; External: Communities and suppliers Sustainability Report 2020 > Our Sustainability Strategy, page 6 Sustainability Report 2020 > Transparency and Trust, page 14 Sustainability Report 2020 > Our Goals and Progress, page 10 Sustainability Report 2020 > Creating Value at Ford, page 13 Sustainability Report 2020 > Mobility Solutions, page 49 Sustainability Report 2020 > Transparency and Trust, page 14
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GRI APPENDIX
Stakeholder Engagement
Stakeholder Group
Our Approach
Communities Customers Dealers
Community Relations Committees Interactions with governments Membership of associations Dialogue with nongovernmental organizations Ford Fund Ford Driving Skills for Life program Consumer Insight process Market research Customer care programs Dealer interactions Ford.com website Ford Owners magazine Intranet communications Brand sales and service representatives Brand Dealer Councils Dealer roundtables President's Circle Salute to Dealers Advertising and public service announcements Dealer Attitude Survey
Stakeholder Group Employees
Investors
Our Approach
Intranet site Sustainability Report and executive summary Social media applications Union representatives Joint labor-management committees Webcasts, videos, blogs and executive Q&A sessions with senior management "Town Hall" meetings Employee surveys Employee Resource Group initiatives Test drive and vehicle reveal events Investment community forums Quarterly earnings communications Annual shareholders' meeting Annual report Proxy statement SEC filings (e.g., 10-K, 10-Q, 8-K) Ratings and rankings
Stakeholder Group
Suppliers
Our Approach
Top Supplier meetings Ford Partnership for A Cleaner Environment (PACE) Aligned Business Framework supplier dialogue sessions Supplier quality roundtables Supplier Diversity Development Networking External supplier organizations
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Material Issue Definitions Material Issue
Definition
Planet
Product carbon footprint and fuel economy
Fuel use and greenhouse gas (GHG) emissions from Ford vehicles in use.
Air quality
Impacts of Ford's products and operations on local air quality, including congestion and smog-forming emissions. Poor air quality and air pollution can impact negatively on human health, resulting in allergies and diseases, and affect the human right to life.
Operations and logistics energy use and Energy used and GHG emissions generated by Ford's own direct and indirect operations and logistics. GHG emissions
Climate change resilience strategy and energy future
We acknowledge that climate change is real and that we share the responsibility for reducing GHG emissions. Climate change impacts include extreme weather events and natural disasters, rising sea levels, floods, heatwaves, droughts, desertification, water shortages, impact on oceans and the spread of tropical and vector-borne diseases. We assess and respond to climate-related risks to product strategy, facilities and physical infrastructure, supply chain, regulatory environment, consumer demand, etc., and are working to ensure access to affordable, reliable and sustainable energy for Ford's business and customers.
Water use
Water use, management, treatment and discharge by Ford's operations. Assessment and mitigation of regional impacts of Ford and Ford suppliers' water use on local communities based on levels of water stress, availability and quality. We do this because everyone is entitled to sufficient, safe, acceptable, physically accessible and affordable water for personal and domestic (household) use.
Sustainable materials
Use of sustainable materials in vehicles, including renewable and recyclable materials, as well as sustainable chemicals. Design for sustainability, including product R&D, operational logistics and human capital.
Waste management
Management of vehicle end-of-life and recycling, operational waste, and non-GHG emissions and effluents.
Process chemicals
Phasing out harmful process chemicals and protecting human health during use.
Environmental management, process innovation and biodiversity
People
Effective environmental management systems for production and product development, including design for sustainability. Considering life cycle assessment of products and process innovations, and management of direct and indirect impacts on habitats and ecosystems.
Human rights Human capital Employee wellness, health and safety
Ensuring human rights are respected throughout our operations and supply chain in line with our Policy Letter 24 expectations and local law. Human rights include our ten salient issues (in alphabetical order): access to water and sanitation; air quality; child labor; climate change; data protection, privacy and security; forced labor and ethical recruitment; harassment and discrimination; health, safety and security; human trafficking; product safety and quality.
Building an effective, diverse and capable workforce, including talent attraction and retention, job security, employee and leadership development, fostering a collaborative environment and corporate culture, employee engagement, workforce planning, compensation labor relations and collective bargaining, diversity and inclusion, equality and decent work.
Providing a healthy and safe working environment for employees, contractors and visitors. Health and safety pertain to providing and maintaining for all personnel a safe and healthy work environment that meets or exceeds applicable legal standards for occupational health and safety.
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Material Issue
Definition
Supply chain management, assessment, Understanding and mitigation of potential risks to ensure continuity of supply, capacity building and improved performance. Effective
capacity building and performance,
communication of expectations throughout the supply chain. Responsible sourcing of raw materials ensures that materials are never
responsible sourcing of raw materials knowingly procured that contribute to human rights abuses, including child and forced labor; bribery or corruption; or environmental
concerns. Responsible sourcing expectations include compliance with local law, reporting requirements (i.e., conflict minerals such as
cobalt and mica, 3TG reporting), customer terms and conditions, and respect for indigenous populations, including water and land rights.
Customer satisfaction, product quality and safety
Customer satisfaction and the quality of Ford's products, including safety, performance issues, recalls and third-party ratings. Products are designed using standards that ensure they meet or exceed all applicable laws and regulations and do not represent harm or hazards to consumers. Ford's products will advance the state of the art of safety wherever practicable.
Customer privacy, data protection and understanding consumer behavior
Use of data science and analytics to better understand consumer behavior, while maintaining consumer privacy and security.
Sustainable cities and infrastructure
Meeting the demand and helping to shape sustainable transportation, cities and infrastructure. Increasing connectivity for vehicles, cities and infrastructure to help improve air quality, ease congestion, broaden mobility and enhance the customer experience, with effective management of security and safety.
Socioeconomic contribution and community engagement
Supporting local communities through investment and constructive engagement, partnering for sustainable development and applying Ford's technology to help address societal challenges.
Customer engagement and marketing
Responsible customer engagement and marketing of Ford's products and services, including education about new product lines and technology.
Changing consumer preferences
Responding to changes in market demand and acceptance and consumer preferences, including on vehicle type, features and technology.
Mobility solutions
Developing and exploring new models for sustainable mobility in response to the expanding sharing economy, including vehicle-toinfrastructure communications, non-vehicles or multimodal mobility systems, and new ownership models such as ride-sharing and ondemand mobility solutions. Effective management of safety, security and liability.
Work stoppages
Work stoppages at Ford or supplier facilities or other limitations on production, including as a result of labor disputes, geopolitical issues, natural or man-made disasters, tight credit markets or other financial distress, or production constraints or difficulties.
Innovation
Financial health, intellectual property protection and brand perception Smart technology
Self-driving vehicles
Electrification and alternative fuels
Ensuring profitable operations with effective cost and risk management, including intellectual property protection, and positive brand perception of the company and its products.
Development and impact of smart technology on manufacturing, vehicles, supply chain and user experience, including blockchain, additive manufacturing, augmented reality, head-up displays and associated accessibility services including "Feel the View" technology.
Development of self-driving vehicle technology, at levels 15 (driver assistance through complete trip automation), with effective management of safety, security and public engagement.
Delivery of affordable, efficient and low-carbon fuels and powertrains, and staying ahead of the curve on electric innovation.
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Ford Motor Company GRI Index 2020
www.sustainability.ford.com
Material Issue
Definition
Governance Ethical business practices
Government regulation, policy and engagement Accountable and inclusive governance
Effective corporate governance to manage corruption and bribery, and conflicts of interest and implement the code of conduct. Ensuring transparency and disclosure on performance, goals and challenges. Ensuring compliance with government regulation, policy and expectations. Responsible lobbying and engagement with governments.
Ensuring transparent and accountable corporate governance practices that promote the just and effective functioning of the Board, its committees and Ford as a company. Includes Board diversity and responsible CEO remuneration.
Ford Motor Company One American Road (207-E6) Dearborn, MI 48126, U.S.A. www.sustainability.ford.com
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