TIDMAIRC
RNS Number : 8514J
Air China Ld
03 July 2017
Please click to see the full report:
http://www.rns-pdf.londonstockexchange.com/rns/8514J_-2017-7-3.pdf
Beijing - Warsaw Route
In China's "the Belt and Road" strategy, Poland plays an
important role as China's gateway to Europe due to its pivotal
geographical significance. Sitting by the Vistula River, Warsaw is
Poland's Capital and political, economic and cultural centre. The
launch of the Beijing - Warsaw Route by Air China, the second air
route from China to Central and Eastern Europe following the
Beijing - Minsk - Budapest Route launched in 2015, not only
extended Air China's global network with Beijing as the core hub,
but also further enhanced the pattern of its route network
connecting China and Central and Eastern Europe. This "Air Silk
Road" not only promotes the social and economic development of the
two countries, but also provides additional choices for passengers
traveling between China and Europe.
Shanghai - San Jose Route
San Jose, known as the "Capital of Silicon Valley", is the
gathering place for successful industrialists and brilliant
entrepreneurs from around the world. The headquarters, branches or
R&D centres of hundreds of world-renowned companies were set up
in San Jose. The Shanghai - San Jose direct route is Air China's
first air passage connecting Shanghai and North America, which made
Air China the only airline provide direct flights between the two
cities. The route provides business people and tourists travelling
between the two places with a new and convenient choice, which not
only consolidated Air China's presence in America, but also
improved the global network with Shanghai as an international
portal, and further optimized and integrated the route network in
Eastern China.
About this Report
Dear readers, this report reflects the efforts and
accomplishments of Air China Limited in fulfilling its social
responsibility in 2016. We hope you can feel our passion and
commitment, and continue to support us in carrying on our reform
and development.
Reporting Period
The report covers the period from January 1 to December 31,
2016, and some events might be traced back to the previous
years.
Scope of the Report
The report is primarily about Air China Limited, but also
involves its branches, operating units, supporting units, and main
subsidiaries such as Air China Cargo Co., Ltd. (Air China Cargo)
and Shenzhen Airlines Co., Ltd. (Shenzhen Airlines).
Basis of Preparation
This report is prepared in accordance with the Guidelines for
National Enterprises on Fulfilling Corporate Social Responsibility
released by the State-owned Assets Supervision and Administration
Commission of the State Council, the Notice on Strengthening the
Fulfilment of Corporate Social Responsibility by Listed Companies
by the Shanghai Stock Exchange, the Guidelines of the Shanghai
Stock Exchange on Disclosure of Environment Information for Listed
Companies released by the Shanghai Stock Exchange, and the
Environmental, Social and Governance Reporting Guide of the Hong
Kong Stock Exchange (HK- ESG), the Sustainability Reporting
Guidelines (G4) of the Global Reporting Initiative (GRI), GB/T
36001 Guidance on Social Responsibility Reporting and additional
guidelines for the aviation service industry.
Publishing of the Report
This is the ninth annual CSR report published by Air China
Limited.
Sources of Data
All the financial data cited in this report, applying domestic
accounting standards, are extracted from the audited annual reports
of Air China Limited, while the other data comes from official
internal documents and relevant statistics.
Abbreviations
In this report, "we", "the Company" or "Air China" refers to Air
China Limited, while "Air China Group" refers to Air China Limited
and its wholly-owned and controlled subsidiaries.
Accessibility of the Report
The report is prepared in both Chinese and English, and should
there be any discrepancy in meaning between the two versions, the
Chinese version shall prevail.
Electronic copies of the report are also available for download
from the Company's website (www. airchina.com.cn).
If you wish to acquire a printed version or raise suggestions
and/or comments on the report, please contact us at:
Mr. Yang Zheng
Address: No.30, Tianzhu Road, Airport Industrial Zone, Shunyi
District, Beijing, China
Tel: 86-10-61462794
Fax: 86-10-61462805
Email: yangzheng@airchina.com
CONTENTS
02 Chairman's Statement
04 About Us
4 Company Overview
5 Organisational Structure
6 Routes and Fleet
8 Corporate Culture
9 Corporate Governance and Risk Prevention
10 CSR Management
10 CSR Concepts
10 Sustainable Development Strategy
11 CSR Management Mechanism
12 Materiality Analysis
13 Stakeholder Engagement
60 Table of Major Indicators
62 Major Honours
63 Outlook
64 HK-ESG Index
66 GRI G4 Index
68 Third-party Assurance
14 An Economic Engine that Creates Value
20 Ensuring Safety First with Full Commitment
28 Enjoyable Experience of Our 4C-based Service
36 Preserving Blue Sky and Clear Water
46 Pursuing Happiness by Adhering to the People- oriented
Philosophy
54 Discharging Responsibilities to Serve the Community
Chairman's Statement
China's economy has achieved moderate but stable and sound
development in 2016 with the main objectives and missions for the
year generally accomplished, making a good start with our
"Thirteenth Five-Year Plan". Air China remained determined and
committed to our mission, joined hands and made concerted efforts
with stakeholders to grow the Company into a world-leading airline
admired for its recognition, observation and undertaking of
responsibility, with safety, development, efficiency, environment,
employee and social
responsibility as main pursuits.
We have always taken safety as our first concern and had a
strong awareness and alert of the red lines and bottom lines while
earnestly implementing our safety production responsibility system.
We leveraged our safety management system to help improve
identification, warning and prevention of safety risks, and rolled
out special rectification and safety inspection procedures with a
"Zero Tolerance" stance towards the potential safety risks. We have
also optimized our emergency response mechanism to improve our
emergency tackling capability. We continued to enhance our role in
leading the economic growth while vigorously implementing the "the
Belt and Road" and "Going Global" strategies, with which we have
developed a balanced international and domestic route network
pattern leveraging on our hub network advantages. We have been
striving to promote the transformation of our business models with
the focus on frequent flyers, ancillary products and e-commerce
based on the three major leads, i.e. customers, products and
channels. We focused on quality and efficiency improvement, made
hard efforts to optimize production organization, improve
operational efficiency, and promoted the collaborated development
of our principal businesses. We adhered to our guiding principle of
"4C-based service" while constantly increasing our efforts and
dedication to the development of our service capacity, aiming to
take good advantage of the Internet technologies to improve
passenger satisfaction. We have been constantly innovating our
talent management mechanism and caring about the growth and
development of our staff, and willing to share the Company's
accomplishments and profits with them. We upheld our operating
philosophy of "Green Operation, Sustainable Development" while
thoroughly implementing the state policies on energy conservation
and environmental protection, driving green development concept in
every cell of our body. We carefully performed our social
responsibilities as a state-owned enterprise under the central
government and accomplished a series of important missions such as
the earthquake rescue, emergency personnel evacuation and charter
flights for important events and tasks.
With the joint efforts of all our staff and the strong support
of our stakeholders, we achieved magnificent results in 2016: a
brilliant record of safe flight of 2,028.7 thousand hours, carrying
96,605.9 thousand passengers; an annual operating income of
RMB113.964 billion and a net profit attributable to the
shareholders of the company of RMB6.814 billion; 45 new routes
launched during the year, reaching 41 countries (regions) and 176
cities, adding to a total of 378 passenger routes; we ranked 295th
on the list of the "World's Top 500 Brands" with a brand value of
RMB115.689 billion, up by 5 places compared with 2015; fuel
consumption per RFTK for passenger aircraft of 292 grams, and that
for cargo aircraft of 129 grams; we accomplished a series of
important tasks such as charter flights for G20 summit, Olympic and
Paralympic delegation and appropriated a total of RMB6.05 million
for targeted poverty alleviation efforts during the year.
2017 is an important year for achieving the "Thirteenth
Five-Year Plan" of Air China. We are full of confidence about our
future and will follow the development concepts of "innovation,
coordination, green development, opening up, and sharing" and join
hands with our stakeholders in fulfilling our social
responsibilities, aiming to achieve greater success.
Cai Jianjiang Chairman, Air China Limited
About Us
Stock Code
Shanghai Stock Exchange: 601111
Hong Kong Stock Exchange: 00753
London Stock Exchange: AIRC
Company Overview
Air China Limited was founded in 1988, its predecessor being
known as Air China International. In October 2002, Air China
International integrated the air transportation resources of China
National Aviation Company and China Southwest Airlines to form a
new entity. On September 30, 2004, Air China Limited was founded in
Beijing. The Company was then listed both in Hong Kong (stock code:
00753) and London (trading code: AIRC) on December 15 of the same
year, before floating in the domestic A-shares market (stock code:
601111) on August 18, 2006.
In the lead among domestic airlines in both passenger and cargo
transportation and other related services, Air China is a member of
the Star Alliance, the world's largest airline alliance, and the
only Chinese civil aviation enterprise that is among the World's
500 Most Influential Brands. The company is also China's only
flag-carrier, providing exclusive flight services to the
government, top-ranking foreign officials and visitors
to China as well as emergency flight services.
In 2016, the Air China Group carried 96,605.9 thousand
passengers and 1,769.1 thousand tons of cargo and mail, and its
RTKs (revenue ton kilometres) reached 23,698 million. It recorded
RMB113,964 million in business revenues, with a net profit of
RMB6,814 million attributable to shareholders, ranking top among
aviation
companies in terms of business performance.
Organisational Structure
Routes and Fleet
As at the end of 2016, Air China was operating 378 passenger
routes, covering six continents of the world, including 102
international routes, 14 regional routes and 262 domestic routes,
reaching 41 countries (regions) and 176 cities, including 109
domestic cities, 64 international cities and 3 regions.
Details of Air China Group's fleet (including Air China, Air
China Cargo, Shenzhen Airlines, Air Macau, Beijing Airlines, Dalian
Airlines and Air China Inner Mongolia).
Corporate Culture
In 2016, Air China continued to improve its corporate culture
while striving to be "a leading airline in the world", focusing on
steadily improving safety, operation, service and efficiency. We
set up a systematic corporate culture promotion platform to spread
our visions and values, so as to inspire the common values and
pride in our staff and let the outside world feel the charm of the
Chinese culture. We have been constantly promoting our corporate
culture and emphasizing the importance of safety, and have rolled
out a series of corporate culture promoting activities entitled
"Life is Wonderful with You Around", with the spotlight cast on our
outstanding frontline employees represented by the Golden Phoenix
Crew, also known as the "Role Models of the Times", aiming to
demonstrate the efforts of Air China and our employees in route
development and market expansion with real touching stories. Such
efforts have not only enhanced the internal cohesion and brand
image of the Company, but also pictured the footprints of
state-owned enterprises in their long and persistent march to the
world and exhibited their self-confidence in their unique corporate
culture.
Corporate Governance and Risk Prevention
We are fully aware that the long-term success of a company can
only be achieved with sound corporate governance, persistent risk
prevention efforts and full respect of business ethics. Therefore,
we have been constantly improving our corporate governance and
working to establish a standardised internal control system and
develop ourselves into a professional team driven by integrity and
dedication.
Corporate Governance
Air China strictly complies with the listing rules and relevant
laws and regulations in China and overseas markets to maintain and
improve corporate governance while having the independent directors
and board committees playing critical roles, as a result of which
our corporate governance has been constantly improved.
Internal Control
Air China prioritized risk prevention and efficiency improvement
while vigorously promoting the construction of the Company's
internal control system with its branches, important business
management units, management support units and invested enterprises
included for appraisal. We implemented positive rectification
measures for the problems spotted in accordance with the
requirements of the internal control system and the relevant
provisions, so as to maintain the effectiveness of our internal
control. In 2016, there was no any significant or material
deficiencies in our financial and non-financial report.
Business Ethics
We are committed to maintaining high-standard business ethics.
While striving to maintain our respectable corporate image, we have
been contributing to the development of a fair, orderly and
harmonious social atmosphere. We have been persistently combating
corruption, promoting integrity and strengthening accountability to
form a stringent work style and integrity. We organized
anti-corruption reporting sessions for the management and lectures
on how to maintain integrity and honesty in career pursuit and
ensured proper and efficient handling of letters and visits in
relation to corruption reporting, and as a result, an effective
risk-preventing network and risk control mechanism has been set up.
In 2016, we continued to scrutinize corruption-reporting clues,
filter corruption-related risks, urge rectification of defects and
problems and ensure harsh disciplinary punishments were imposed on
the offenders in strict accordance with the laws,
regulations and relevant procedures.
CSR Management
Air China has always been adhering to the guidelines of
combining social responsibilities with our strategic deployment so
as to develop a comprehensive and sustainable development plan
while actively performing its social responsibilities, aiming to
promote the harmonious development of both the Company and
community.
CSR Concepts
Sustainable Development Strategy
Management of corporate social responsibility will not only
bring enormous benefits to the community, but also provide
enterprises with valuable opportunities for development. Through
performing its corporate social responsibilities, Air China has
promoted exchanges with stakeholders, deepened the understanding of
the potential markets and improved its service quality, laying a
solid foundation for maximizing the economic,
environmental and social values of the Company.
CSR Management Mechanism
A scientific social responsibility management framework is the
guarantee of smooth operation of the social responsibility
management mechanism, accordingly, Air China has been constantly
improving the social responsibility management structure, and
vertically implementing the guidelines and tasks of the social
responsibility management system throughout the Company.
Materiality Analysis
We combined the expectations of our stakeholders with China's
development conditions and policies, industrial characteristics and
features of our businesses to identify, pick and rate substantive
issues which are important to both the Company and our stakeholders
so as to draw a matrix of materiality and help the Company perform
its social responsibilities while promoting the businesses steady
development.
Stakeholder Engagement
Stakeholder engagement is essential for Air China's sustainable
development. Through various channels of dialog with stakeholders,
we have tried to understand stakeholders' expectation of Air China,
and communicated with all parties about Air China's development and
operation to facilitate continuous improvement of our CSR work.
An Economic Engine that Creates Value
Air transportation is an important means of connecting people
between countries and regions as well as moving goods in between,
which is important for promoting the integration of the world
economy and international exchange. Air China has been innovating
operation style and striving to protect the interests of the
investors and join hands with its value-chain partners to drive the
economic growth while maintaining its own sustainable
development.
Our Strategies
Air China adhered to the pursuit of sustainable development
while constantly improving service quality and operating
efficiency, with core profitability further enhanced. Through
strengthened marketing efforts, the Company managed to keep the
cash flow stable. Through implementation of a series of cost
control measures, Air China has been making great deal of
contribution to the global exchange and communication as well as
the economic and social development while creating common value for
stakeholders.
Our Actions
Protecting Investors' Value
Air China strove to expand its production while vigorously
implementing the state's development strategies of "the Belt and
Road" and "Going Global", improving its route network coverage and
market penetration. In 2016, the ASKs of Air China reached 233.218
billion, representing a year-on-year increase of 8.56%, and the
RPKs reached 188.158 billion, representing a year-on-year increase
of 9.58%. The net profits, net assets and total annual dividends of
the Group from 2012 to 2016 are as follows:
Strengthening Advantage in Efficiency
Air China constantly consolidated its foundation while
strengthening organization of production and operation, improving
efficiency in its capacity resources and enhancing its profit
management expertise. It also strove to accelerate the
transformation of its business models and enhance its innovation
capability. At the same time, Air China revised and promulgated the
"Management Methods for Intellectual Property Rights", aiming to
further optimize the structure of its intellectual property rights.
As at the end of 2016, Air China has registered 2,587 intellectual
property rights (745 international and 1,842 domestic).
Consolidating advantage
Air China focused on market demands while constantly optimizing
its services. While unswervingly advancing its hub strategies, Air
China launched and intensified a number of domestic and
international routes, aiming to expand its route network coverage.
It closely followed the market movements, optimized capacity
configuration and flexibly adjusted the rhythm of production to
improve its transportation efficiency. Air China prioritized
introduction of competitive aircraft models and optimization of
aircraft utilization. While adhering to its price stabilization
strategy and striving to maintain its advantage in domestic
revenue, Air China adjusted its marketing strategies, strengthened
process monitoring and enhanced its premium cabins marketing
efforts, and as a result, achieved a full coverage of the
International Route Income Management System and
enhanced income management capability.
Advancing business model transformation
In 2016, Air China continued its business model transformation
pivoting on frequent flyers sales, ancillary products and
e-commerce and based on the three major leads, i.e. customers,
products and channels, aiming to evolve from a "Transportation
Service Provider" into a "Comprehensive Service Provider".
Air China advanced the progress of Big Data exploration and
personalized services while innovating its marketing style from the
perspective of users. It has been developing APP aiming to snatch a
share of the mobile Internet business. Air China relied on its
Customer Relationship Management (CRM) System to collect and manage
customer information sorted in basic categories, aiming to exercise
precise labelling management by analysing the customer behaviours
and preferences and regulating message transmission between systems
through online interaction and offline contacts with the customers,
so that it can satisfy the customers' demands while improving
profitability. In 2016, Air China's sales through APP went close to
RMB4 billion, representing a year-on-year increase of 147%, with a
total number of users of 4.6 million, of which the high-value
frequent
flyers accounted for 70%.
Driving Economic Growth
The extension of routes and consolidation of hubs will increase
chances of flight connection, expand network coverage and enhance
competitiveness; accordingly, Air China strives to consolidate its
foundation for strategic development, continuously reinforce its
strategic hubs, expand its route network and increase flight
frequency. In 2016, Air China launched 45 new routes (35
international routes and 10 domestic routes), which brought the
total of our passenger routes up to 378, including 102
international routes, 14 regional routes and 262 domestic routes,
covering 41 countries (regions) and 176 cities (64 international
cities, 3 regions and 109
domestic cities).
Case study: Network technologies enhanced channel functions, the
development of e-commerce drove marketing transformation
Advancing the passenger hub network strategy
Air China combined long-term development of its aviation hubs
with route profitability while enhancing its efforts in hub
construction, expanding network coverage and increasing chances of
connection, resulting in expanded network coverage and enhanced
competitiveness. In 2016, Air China's automatic all-through
boarding service was provided in 151 terminals, serving 5.51
million passengers in connected transfer. It also increased the
marketing efforts for its international connecting services,
resulting in international connecting
flight passenger flow surging by 49%.
Improving the global cargo network
As at the end of 2016, Air China Cargo owned 15 cargo aircraft
and was operating 22 cargo routes (5 domestic routes, 16
international routes and 1 regional route), reaching 8 countries
(regions) and 22 cities (11 international cities, 1 regional city
and 10 domestic cities). Air China Cargo added Chengdu and
Chongqing to its self-operated cargo stations, which strengthened
its air logistics services and resulted in a better optimized
network, product and service advantage and brand concentration
effect, providing propelling power for the overall development.
Joining Hands with Value-chain Partners
Air China cares about sharing success with its value-chain
partners, and has been constantly optimizing its resource
configuration, enhancing multi-lateral cooperation and improving
its supplier management expertise and enhancing its sustainable
development capability, aiming to join hands with its value-chain
partners to create greater value.
Enhancing value of the Air China group brands
Air China enforced safety management accountability among the
Air China Group Members based on coordinated strategic resource
sharing and strove to establish a "Broad Platform and Big Market"
while constantly procuring coordination and cooperation among Air
China Group Members in respect of sales & marketing, fleet
development, consolidation of maintenance resources and joint
procurement, aiming to optimize resource configuration, lower costs
and cut expenditure, share values and develop combined
competitiveness and achieve integrated development.
Co-operations with peer partners
Air China procured joint operation among the Star Alliance
members in accordance with its own needs for development, such as
strengthening joint operation and code-sharing cooperation with
Lufthansa Airlines, Air New Zealand, United Airlines and Singapore
Airlines and promoting the "Under One Roof" Project, laying a solid
foundation for the enhancement of its international
competitiveness. In 2016, Air China entered into a cooperative
agreement on route joint venture with Lufthansa Group, aiming to
provide its passengers with more flexible choices of flights, more
favourably-priced tickets and seamless travel experience through
expanding Sino-European route network, enhancing flight connection
and optimizing flight schedule, so as to improve Air China's
overall competitiveness in the European market. The cooperation
between Air China and Cathay Pacific has lasted for ten years and
will be constantly strengthened.
Link:
The "Under One Roof" Project aims to shorten the transfer time
and ensure smooth connection between passengers and luggage through
sharing of airports between Star Alliance members which results in
reduced costs. With the accomplishment of "Under One Roof", the
Star Alliance members will be able to co-develop new products and
services, so as to provide passengers with seamless travel
experience.
Strengthening supplier management
Air China instilled the concept of social responsibility in its
supply chain management system, and maintained agreeable
relationship with its suppliers, aiming to achieve sustainable
development for both sides. In 2016, the Company clarified the
requirements for supplier management in such aspects as supplier
acceptance control, performance appraisal and evaluation, blacklist
management and supplier database. Air China insisted on open
procurement and "Sunshine Procurement", and casually invited
potential suppliers to participate in competition for its
procurement projects by publishing announcements on the
"Procurement Platform" of the Company's official website and
www.chinabidding.com.cn, and gradually raised the ratio of public
procurement to enhance transparency.
Air China resorted to local procurement in certain key areas of
operation to achieve effective coordination and interaction with
the suppliers. As at the end of 2016, Air China had a total of
2,665 suppliers (2,575 domestic and 90 international), purchase
from the five largest suppliers amounted to RMB37.547 billion,
representing
45.08% of the total purchase of the Group.
Our Story
Air China deepening strategic cooperation with Lufthansa Group
On 20 September 2016, Air China entered into a formal
cooperative agreement with Lufthansa Group on route joint venture
in Beijing, pursuant to which the two parties will jointly operate
the air routes between China and Europe, which means that the two
parties will roll out cooperation as per the Memorandum of
Understanding signed in the summer of 2014.
Under the joint operation, Air China and Lufthansa Group will
optimize their flight schedules to provide passengers with more
convenient and favourable options, so as to improve their travel
experience; the two parties will also offer more choices of prices
and jointly launch the major account scheme, so as to provide the
corporate customers with more attractive products while continuing
to optimize its incentive plan for frequent flyers to better reward
them; meanwhile, through the expanded code-sharing flight
connection, the passengers of Air China will be able to take the
code-sharing flights from and to Austria, Belgium, Germany and
Switzerland at Frankfurt, Munich, Zurich and Vienna aviation hub,
and Lufthansa Group will be able to penetrate the Chinese market
effectively, the world's second largest aviation market, with the
help of Air China.
In the future, Air China will continue its negotiation with
Lufthansa Group on joint venture, aiming to deepen the cooperation
in boosting sales, revenue and network, provide passengers with
more benefits, maintain and enhance competitiveness of Air China
and Lufthansa Group in the Sino-European market, so as to achieve a
"win-win-win" result for the customers, Air China and Lufthansa
Group.
Voices of Stakeholders
The launch of the Beijing-Warsaw Route is a strategic move of
Air China to ride on the trend and promote the "Air Silk Road"
initiative. In China's "the Belt and Road" strategy, Poland plays
an important role as China's gateway to Europe due to its pivotal
geographical significance. We hope that this "Air Silk Road" will
promote the economic development of the two countries and provide
more choices to the passengers travelling between China and
Europe.
Hou Xulun Vice General Manager of Air China
As the only flag-carrying airline, Air China is an ideal
business partner of Lufthansa Group in China. This ground-breaking
joint venture will substantially improve our competitiveness in the
operation of Sino-European routes, and will bring greater benefits
to our passengers. China's aviation market is one of the most
important growing markets in the world, and we wish to benefit from
this tremendous growth with Air China, our Star Alliance
partner.
Carsten Spohr
Chairman of the Executive Committee and CEO of Lufthansa
Group
Ensuring Safety First with Full Commitment
Safety is one of the permanent subjects that the aviation
industry relies on for survival and development. Air China is
committed to safeguarding the safety of passengers and their
properties in strict accordance with the civil aviation law and the
relevant requirements of the civil aviation while constantly
consolidating the foundation for safety management, enhancing its
safety management expertise, actively promoting the development of
its safety culture, so as to ensure the steady advancement of
flying operation.
Our Strategies
Air China always takes safe operation as the top priority and
adheres to the guidelines of "Safety First, Focus on Prevention,
Integrated Management" while constantly strengthening aviation
safety management, innovating technical application, optimizing
resource allocation, organizing various kinds of training on safety
skills to develop its safety culture and enhancing the safety
awareness of passengers, so as to ensure safe operation from all
aspects and ultimately establish a prestigious brand image.
Our Actions
Strengthening Safety Control
Air China has been constantly strengthening risk management,
enforcing accountability at all levels, innovating its working
style to guarantee safety and continually advancing the development
of emergency responding capability through optimizing the safety
management system and centring on risk management, aiming to lay a
solid foundation for the sustainable development of the
Company.
Strengthening risk management
Air China has been constantly developing the risk management and
control capability while vigorously rolling out targeted inspection
and rectification movements to identify the sources of danger at
the organizational and managerial level, establishing a dynamic
evaluation system for the operating risks throughout the workflow
based on the Big Data, so as to achieve a quantitative evaluation
on the operative risks and ensure the safety and reliability of air
transportation.
Ensuring aviation security
Air China has established the Aviation Security Committee and
signed the "Letter of Aviation Security Accountability" with every
fleet and relevant departments while releasing safety prewarning
and strengthening implementation of safety measures, optimizing
emergency handling plan, emphasizing duty backup and information
reporting, and carrying out concerted aviation security inspection.
We have revised the personnel working abroad management regulations
and implemented the security checklist system for personnel working
abroad, which clarified the security management and administrative
responsibilities of the captain during the working abroad period,
aiming to further strengthen the efforts of anti-terrorism and
stability maintenance and ensure the security and internal
stability of personnel working abroad.
Case study: Air China strictly followed rules to ensure flight security
In order to prevent risks and ensure the safety of our aircraft
and passengers and their properties, on 19 September 2016, Air
China and the Air China Group Members began to impose a ban on
mobile phones with hidden dangers in accordance with the latest
alerts of Civil Aviation Administration of China and the
requirements of the Regulations on the Administration of the
Transport of Dangerous Goods for Civil Aviation and the Technical
Regulations for the Safe Air Transport of Dangerous Goods released
by ICAO, which prohibited the transport of lithium batteries with
security defects identified by the manufacturer, strengthening risk
warning and enforcing standard procedures, so as to ensure the
safety of flying operations.
Improving emergency responding capability
Air China complies with the laws and regulations in relation to
emergency responding mechanism while continuously optimizing
emergency management workflow, improving emergency handling
procedures and organizing various emergency drills, aiming to
improve the joint operation and coordination efficiency and
steadily improve our emergency management expertise.
Ensuring Operation Safety
Air China makes sure the "Safety First" concept instilled into
every aspect of its operation, identifies and makes early warning
of operational risks while dynamically monitoring the changes in
the sources of danger, accelerating the upgrading of aircraft
models and equipment maintenance and constantly improving the
safety margin with reliable facilities and equipment and high-tech
applications, so as to ensure sustainable safe operation.
Accelerating aircraft replacement
Air China replaces the old aircraft models in a timely manner
while actively introducing new aircraft models and equipment, so as
to ensure safe operation. In 2016, Air China launched the research
project on aircraft's life cycle value to sort out the critical
control points and indicators in an aircraft's life cycle,
with which the Company has optimised aircraft introduction
procedures and prepared a template of Wide- body Aircraft
Introduction Request For Proposal (RFP) and a unified view system
for our fleets. During the year, Air China introduced 54 new
aircraft, retired 21 old aircraft, resulting in an average age of
6.36 years for the whole fleet.
Innovating technology development
Air China adheres to technological innovation as the development
orientation while increasing technological innovation efforts and
support for research and development, finalizing the renovation of
the Wireless Quick Access Recorders (WQAR) for the whole fleet,
accelerating the pace of the e-operation project and application of
the electronic flight package in all fleets and optimizing the
Digitized Risk Evaluation System,
so as to reduce the fleet operation risk.
Case study: Digitized Risk Evaluation System ensured the flight
safety
As the expansion of aircraft fleets and the coverage of flying
routes continuously develops, large-scale network operation has
raised the requirements on our capability of flight control and
risk prevention and control. Air China's Digitized Risk Evaluation
System covers all the key positions of fleet operation, with the
experience of the flight, maintenance and operation experts, the
Company has achieved visualized and quantified processing of
operational risks by using mathematical models through value
assignment and parameter setting on the three risk factors of crew,
aircraft and environment to conduct comprehensive assessment on the
quantified risks, which can provide supplementary analysis and
decision support for the flight operators and accomplish the change
from identifying the quality to determining the quantity of the
operational risks, so as to achieve risk control throughout the
entire process of flight operation and ensure flight safety in all
aspects.
Improving maintenance service
Air China has been actively promoting innovation in the
maintenance technologies, and conducting independent research and
development of the Airplane Prognostic and Condition Based
Maintenance (APCM), which enables the Company to carry out active
maintenance based on malfunction prediction and eliminate the
aircraft malfunction in the budding stage. At the same time, the
APCM platform also provides a mobile internet maintenance
management solution, which has effectively improved the accuracy of
information transmission and reduced safety risks. In 2016, the
technical risk index for Air China's aircraft fell by 14% as
compared with the previous year, and the rate of abnormality per
thousand services fell by 9.5%.
Nurturing Safety Culture
Air China maintains strict safety control and continues to
strengthen accountability while rolling out systematic and targets
safety education and training programs centring on "Strengthening
Workstyle, Preventing Incompliance, Controlling Risk and
Reinforcing Implementation". The Company has organized a number of
activities to educate passengers about aviation safety and enhance
their safety awareness, aiming to build a
safe environment with joint efforts.
Carrying out safety training
Air China has been actively carrying out various forms of safety
training and education and organizing the safety management
personnel of the production units, functional departments and
invested enterprises to attend the training session and seminars on
key safety work promotion, organizational risk control, safety
performance management, safety supervision on invested enterprise
and so on, aiming to further enhance the comprehension and
administration of safety management methods to the safety
management staff.
In 2016, Air China accomplished pilot training for 33,067
person-time with a total of 124,242 hours (including simulator
training and theoretical study); completed flight simulator
retraining for 9,163 person- time, carried out emergency respond
retraining for 11,647 person-time; organized more than 600 safety
management personnel to attend the training and discussion on
application of the Aviation Safety System and the aviation safety
APP; and organized 12 targeted trainings to ensure the steady
improvement of flight quality.
Case study: Air China rolled out online study programs for
pilots and dispatchers
In 2016, Air China organized pilots and dispatchers to attend
two online courses of "High Altitude Operations" and "Class-I
Electronic Flight Bag-EFB". The Training Department of the Company,
together with the Flight Technology Management Department,
Operations Control Centre and Southwest Branch, prepared the
training programs, dispatched weekly statistical report to the
training administrator of the respective departments, which
provided them with information on the performance of the trainees
in a timely manner to help them urge their trainees to study
persistently, ensuring the smooth progress of the two online
courses from beginning to end.
Case study: Forging the safety chain with the efforts from
everyone of the Company
On 29 July 2016, 27 pilots from the General Fleet and the fleets
of various branches of the Company were assembled to visit the
various ground service posts such as the maintenance, operations
control, ground service and telephone sales service, and
communicate with their "brothers and sisters" at the front-line
divisions on the ground on every aspect of safety assurance,
explore together for the ways to ensure safety of
passengers throughout the safety chain.
This activity enhanced the development of ideology and culture
as well as professional ethics of the flight team and passed on the
family responsibility, mission and undertaking, through which the
participants had an opportunity to understand and experience the
valuable efforts of various positions in ensuring the safe
operation of each flight, so that their collaboration and safety
awareness throughout the whole process has been strengthened, and
the safety culture of the Company has been promoted and
implemented.
Advancing safety promotion
Air China attaches great importance to safety promotion, taking
into account both inheritance and innovation, the Company carries
out safety-themed promotional activities to help employees and
passengers build up their knowledge and awareness of safety, and
work together to maintain aviation safety.
In 2016, Air China released a compilation of typical unsafety
cases, set up safety promotion billboards and organized activities
such as safety production knowledge quiz, the Ankang Cup skill
competition, safety forum, safety comic competition and public open
day, aiming to help employees and passengers form a proper
viewpoint of safety, develop a proactive safety culture and ensure
everyone's awareness of the importance of safety.
Case study: Moving safety barrier forward and beginning the
First Class of Sky
The "First Class of Sky" is a corporate cultural promotional
activity with the Company safety barrier moving forward, which is
carried out since the student stage and aims to strengthen the
"Safety First" mission awareness and professionalism. On 30 July
2016, Air China's students took part in their "First Class of Sky"
of their pilot career. Through learning and communication, they had
bred a better understanding of their future path and became more
attached to the Company, laying a solid foundation for their future
career as a qualified pilot of Air China with a strong sense of
responsibility and mission four years later.
Our Story
Putting safety above everything else and maintaining strict
control over low visibility conditions
Weather is one of the most important factors affecting aviation
safety. Therefore, Air China strictly follows the Guidelines on
Development and Implementation of Minimum Standards for the
Operation of Civil Aviation Airports and puts safety above
everything else while carefully performing inspection on the
maintenance of machinery and equipment and storage of jet fuel,
constantly improving the cooperation between the crew and the
airport, ensuring real-time feedback of weather conditions along
the routes, wholeheartedly protecting the safety of passengers and
their properties.
Winter in the northwest China is known for a changeable snowy
weather. On 12 December 2016, the CA1477 Crew was about to carry
out the Kashi - Urumqi flight mission. In response to the
extraordinary weather conditions and to ensure reliable and safe
operation of the aircraft, the crew carried out meticulous
pre-flight preparation. During the voyage, as the weather
conditions in Urumqi deteriorated, the crew, taking into account of
the risk factors, decided to implement the plan of alternate
landing at the Karamay airport, and strictly followed the rules of
instrument landing system (ILS) approach in accordance with the
weather conditions at the airport, finally achieved a smooth
landing. After the completion of the subsequent arrangements at the
alternate airport, the plane took off again and landed safely at
the Urumqi airport. The crew successfully accomplished
the flight mission. Air China realized the commitment of ensuring the safety of the passengers.
Voices of Stakeholders
I used to think that an airline only consists the ground
service, flight attendants and pilots, and felt the safety warning
and safety demonstration are quite "hypocritical". However, by
participating the media and public open day activities, I finally
realized how huge and complex an airline's operating system should
be, and how much hard work involved in protecting the safety of a
single flight, I have been so impressed by Air China's efforts to
ensure the safety of the passengers.
A Passenger Representative at the Public Open Day
As a pilot, professional skill is the source of trust of
passengers, therefore we must build a solid theoretical foundation,
develop excellent skills, establish a rigorous work style and
continuously expand our professional knowledge while carefully
accomplishing each emergency evacuation training, sincerely
participating every simulator training, completing training on each
subject with high standards and strict requirements and constantly
accumulating flight experience, so as to ensure the happiness of
our passengers, crew members, and their families.
Wang Yang A Pilot of Air China
Enjoyable Experience of Our 4C-based Service
Passenger's satisfaction is the tireless pursuit of quality
service in aviation industry. Guided by the spirit of "Perseverance
and Pragmatic Innovation", Air China continuously intensifies the
investment in service improvement while actively widening the range
of training and external exchange, fully exploiting and utilizing
Internet technologies and innovating the methods to ensure the
improvement of service quality in all aspects.
Our Strategies
Air China adheres to the concept of "4C-based Service",
sincerely identifies the needs of passengers and continuously
improves the passenger service management system while constantly
optimizing the service mechanism at different dimensions, actively
streamlining the service work flow, strengthening the service
quality control, enhancing the function of the facilities and
equipment, strengthening service risk control, giving full play to
the role of service operation monitors and developing a
comprehensive emergency service system to meet the
diverse needs of our passengers.
Our Actions
Improving the Service System
Air China continues to optimize the service management system,
strengthen service quality monitoring, smooth passenger feedback
channel and ensure authenticity of service quality information
while striving to build up a long-term response mechanism,
integrate quality control records for the whole process, enhance
the analysis and integration capabilities, explore for the
establishment of a feedback-oriented performance evaluation
mechanism, actively promote reconstruction of the service
management system, systematically improve the service management
expertise and effectively carry out service management system
operation and maintenance.
In 2016, Air China strengthened the inspection and support for
the Common Use Self Service (CUSS) System and established a
long-term mechanism for daily inspection and maintenance of
facilities and equipment; under the guidance of the "Maintenance
Requirements for Facilities and Equipment in the Self-operated
Lounge" and the "Design Specifications for Passenger Service
Nameplates of Air China Fleets", Air China organized special
inspection and rectification for the lounge facilities and
equipment, and spotted and solved 44 problems; while continuously
improving the cleanness and tidiness of the cabin, we sorted out 23
problems in seven categories, revised the cockpit and cabin
cleaning specifications with clearly defined responsibilities for
specific units and established the cleaner's service card
management system, and by doing all above we dedicated to meet the
diverse needs of passengers.
Providing Quality Services
Air China manages to have both ends of the service chain
connected, strengthens the passenger- oriented and competition
awareness of whole staff, integrates the Company's internal and
external expert resources, enhances the professional ability and
exerts the leading influence in innovation while constantly
optimizing the service process, improving infrastructure and
promoting service upgrade, aiming to provide comfortable experience
for passengers in every aspect, from the ground to the air.
Enjoyable air journey
Air China cares about the experience of passengers and relies on
innovation to improve its services as the Company has formulated
and made improvements on 14 business specifications for the use of
new kitchen plug-ins, lighting operation and use of on-board
equipment, released 8 issues of "I Service Videos"; Air China also
pays great attention to the food served on board, and makes special
efforts in improving food quality as the Company has optimized the
catering services at 62 international and 57 domestic airports and
completed the food & drinks upgrade for 13 international and 14
domestic routes.
Case study: Diversified mood-sensitive cabin lighting design
In order to further improve the comfort of passengers in the
cabin, especially to reduce the impact of time difference, Air
China joined hands with Boeing and a famous British design company
to redesign the cabin lighting of the latest B787-9 aircraft
delivered after May 2016 to provide customized settings for 13
scenes and 26 scenarios, aiming to create a pleasant and
comfortable environment for passengers.
Case study: New "Cabin Name Card" to introduce our new service
model
As an effort to bridge the gap and enhance interaction between
Air China and passengers, so that every passenger can feel our
meticulous care, Air China, through cooperation with China Post,
launched a new upgraded version of the "Cabin Name Card" with
conscientious efforts. The new communication card introduces the
function of information transmission, with which passengers can
write down their thoughts and emotions of love and missing for
their loved ones, friends and families, and then Air China will
take care of this heavy affection by mailing it out for the
passenger to make the journey filled with love and care.
Improving ground services
Air China stresses on inter-departmental collaboration,
encourages each segment to exert their own advantages, improves the
capability of guidance for passenger flow, and make full use of the
radio and media to ensure aircraft take off on time. The Company
also continues to build and renovate its branded lounges, so as to
ensure
passengers having an agreeable experience.
Optimizing Intelligent Services
Air China actively innovates service models, gives full play to
the multi-party management synergy, promotes the iterative update
of the software platform, and strengthens the on-board network
construction while introducing new technology and new equipment,
building high quality operation system, supporting service quality
upgrade and promoting the tourism business, aiming to ensure
passengers have an enjoyable and convenient travel experience.
Construction of convenient travel service
Air China is committed to "Facilitating the Journey of
Passengers and Practicing Heart-felt Service", and has been
vigorously carrying out the construction of convenient travel
service and improving the service channels via APP, official
website and official Wechat account. We have launched the optimized
family self- service check-in function, and constantly expanded the
coverage of CUSS devices and self-service check- in service, and
achieved co-ordination between Air China's website and APP,
completed the testing of "One-stop" self-service check-in +
self-service luggage check-in and verification, which greatly
promoted the intelligent passenger service. In 2016, the CUSS
check-in service covered 84 airports worldwide, and remote
self-service check in service (with computer and mobile phone)
covered 143 airports worldwide.
Case study: Shenzhen Airlines introduced robots for passenger services
On 5 December 2016, Shenzhen Airlines recruited 16 robots to
replace humans in some of the lounges to serve passengers, and
became the first domestic airline to introduce robot applications.
These robots can play music, dance, tell stories, entertain
passengers and answer various questions about the journey,
providing advices, guidance, entertainment and other interactive
services, giving passengers much more new experience.
In-flight broadband connection
Air China continued making efforts to optimize the in-flight
Internet connection, improve the in-flight network platform &
ecosystem, enhance the functions and page display of network
platform by enriching the contents and launching six new channels,
so as to cater for the diversified needs of passengers. In 2016,
Air China continued to improve the in-flight WiFi connectivity,
with three of its aircraft capable of ground-to-air
interconnection, providing in-flight WiFi service to passengers on
nearly 80 flights each day.
Case study: Watching CCTV New Year's Gala in the air
On the New Year's Eve of 2016, Air China made it real for the
first time for passengers to watch CCTV New Year's Gala on three
"CCTV New Year's Gala" flights 10,000 meters above ground, allowing
a total of 462 passengers to synchronically watch the CCTV New
Year's Gala on the TVs in cabin or passengers' own mobile devices.
Among them, the CA9696 flight also streamed a live in-flight
webcast, as well as air-to-ground interactions such as grabbing red
envelopes, sending greetings and cross-ocean video conference,
embracing passengers with caring services and interactions and
giving them a strong feeling of happiness on the New
Year's eve.
Caring for Passengers' Needs
Air China offers a variety of channels for passengers to provide
feedback, listens carefully to their opinions so as to understand
their needs, and actively responds to their requests, winning their
understanding with
cordial communication and rewarding their trust with sincere services.
Improving passengers' satisfaction
In order to improve passenger experience, Air China consistently
enhances flight on-time operation by forming a special luggage
complaint handling team, which has significantly improved the
efficiency of luggage handling, providing the passengers with
convenient and reliable travel options and giving them a pleasant
flight experience.
Case study: Air China took measures to manage the mess of fare
and firstly printed boarding check bearing ticket price for
trial
On January 15, North China Marketing Centre of Air China issued
a notice to the ticket agents requiring them to sell air tickets in
strict accordance with the relevant provisions. When passengers get
any questions about the fare shown on their boarding passes, they
can call Air China's Service Hotline 95583 or directly inquire the
ticket offices (including those in the airports) of Air China for
specific fares. It is the first measure taken by an airline
following the disclosure of selling "fake tickets" by the ticket
agents on their platform and the confession of regulatory loopholes
in the supplier side, which can help regulate the air
ticket agent market and ultimately benefit passengers.
Air China respects privacy, strives to safeguard the security of
personal information of passengers and maintains a strict control
of the use of personal information. The company has published the
detailed "Privacy Policy" on the official website and APP and
applied the encryption technology in personal information
transmission to prevent personal information from leaking.
Emergency service assurance measures
Air China proceeds with the in-depth coordination of services
and operation, enhances the process monitoring by the service seat
of Airplanes Operations Centre (AOC), timely handles service
emergency events, improves the information release mechanism on
irregular flights, optimises the flight delay emergency assurance
plans and service standards, actively organises and carries out
special trainings and practices, makes the emergency service
capability and overall emergency service quality a much better
level, so as to ensure that passengers can enjoy a comfortable
travel experience.
Emergency service assurance
On July 20, sustaining rainfalls led to a substantial decrease
of over 50% in the operation capability of the Capital Airport,
resulting in a large-scale flight delay. Air China was forced to
cancel 180 flights. In accordance with the standard requirements of
the "Large-scale Flight Delay Contingency Response Plans for
Beijing Terminal", Air China provided passengers with considerate
service on a timely basis, aiming to "make passengers feel a little
better". The Company distinguished passengers with different needs
through staff guide, tips board and other means to provide targeted
passenger services. At the same time, the service management team
of Air China arrived at the terminal within 30 minutes, and they
promptly started to work in different frontline posts according to
their own expertise, so as to better meet passengers' needs and
maintain
flight operation in a stable state.
Caring for special passengers
Case study: A speedy "living lung" delivery in 5.5 hours
Case study: Air China made efforts to deal with the thunderstorm
problem to make passengers feel better
Air China endeavours to fully meet the needs of special
passengers, continuously improve service standards, optimise
service experience, enhance the handling capability of special
passengers, and provide passengers with enthusiastic and
considerate work attitude, so as to ensure the travel safety and
pleasure of special passengers.
On May 9, two medical staff carrying a living lung took the
CA4501 flight from Chengdu to Hongqiao, Shanghai, who would then
take a train to Wuxi City to conduct living organ transplant
surgery for a patient with acute illness. Through close
coordination among various departments of Air China, the "living
lung" was smoothly delivered from Chengdu City to the operating
room in Wuxi City on time within five and a half hours, and the
living organ transplant surgery was successful. Liu Dong, a doctor
responsible for the organ transhipment task, said: "Thank Air China
for their efforts in this human organ transhipment mission! We felt
the enthusiasm and determination of Air China to serve people. Air
China is a reliable airline".
Our Story
The service hotline 95583 -a transformative and gained
decade
Service not only lives in Air China's mission and guidelines,
but also in commitment to and care for passengers. Air China
officially launched the service hotline 4008-100-999 in 2006, over
the past decade, the hotline number has been changed to 95583, and
the service team has grown into an integrated service platform,
with the number of staff increasing from 100 plus to 1,577 with an
average age of
29. The service hotline has undergone a remarkable development
from only one service centre into a comprehensive service platform
comprising two self-operated centres, two domestic outsourced
centres and five international centres, which enables us to serve
our passengers with multilingual service in Chinese, English,
Japanese, Korean, German, French, Italian, Russian, Spanish, etc.
In 2016, the call centre answered a total of 14,624,527 incoming
calls.
The past decade is fruitful to Air China hot line. Along the
road of growth and development, Air China's customer service
harvested a number of honours and awards, demonstrating its
glorious achievements along the journey. The 95583 service hotline
has won the "Outstanding Service Star Unit" Award from SASAC, the
"Workers' Vanguard" title from Beijing Federation of Trade Unions
and many other honours. Looking ahead to the future, Air China's
service team will try to integrate the service resources, optimise
service channels and enhance the capability of comprehensive
service, aiming to grow into an Internet- based global service
support platform and strive for more brilliant accomplishments!
Voices of Stakeholders
If there was ever a golden period of time in my life, that must
be my ten years' service in the call centre. Over the past decade,
I saw my dreams came true and the best part of my life blossomed
here. I witnessed her growth and grew with her. We both underwent
amazing changes. I will continue to grow with her, look forward to
seeing her changes and do my best to add to her glory.
Xu Zheng A Quality Inspector of the Telephone
Sales Service Centre
The cabin is cold while the words are warm. It is commendable
for the cabin crew to devote themselves to serving the passengers
with their due diligence, considerate professionalism and excellent
character! This is the best of your heart and exact reflection of
the Chinese spirit. You really touched me with your selflessness,
responsibility, warmth and friendliness, and I was so deeply
impressed by your hospitality and thoughtfulness.
Zhou Xiaodong
A Chinese Rice Breeding Expert and Passenger of Air China
Preserving Blue Sky and Clear Water
Along with the development of China's economy and the upgrading
of consumption structure, China's aviation industry has arrived at
a stage of rapid development and become one of China's new
strategic industries. With growing concern about aviation emission
reduction and climate change, and the increasing restrictions on
energy consumption and emission control, Air China seized the
opportunities and introduced a large number of high-performing
aircraft models while continuously strengthening the energy- saving
and emission reducing efforts, with the concept of energy saving
and emission reduction deeply blended in the process of corporate
development.
Our Strategies
Air China adhered to its guiding principle of "Green Operation,
Sustainable Development", put the energy conservation and
environmental protection guidelines into active practice and
strictly abided by the relevant requirements of the environmental
laws and regulations while establishing and constantly optimizing
its organizational and regulatory system for environmental
management, taking active measures to reduce emission and discharge
of waste water and solid waste, improving its energy management
system with the characteristics of the industry taken into account
and vigorously advancing its energy saving and emission reducing
undertaking. We minimized the negative impact of our operation on
the environment by taking comprehensive, all-round and multi-angle
management initiatives, so as to make ourselves as benchmark of
environment-friendly
operation for the aviation industry.
We instilled the concept of "Green Development" into every
aspect of our daily operation: we closely observed global climate
changes, advocated low-carbon operation, reduced greenhouse gas
emission, closely monitored and controlled waste discharge into the
water and soil and vigorously carried out our energy-saving and
emission reducing responsibilities, aiming for low-carbon
development; we introduced and developed advanced energy-saving
technologies and adopted a business model featuring low
consumption, low emission and high efficiency while constantly
enhancing our employees' awareness of energy conservation through
various promotional activities and actively enhancing the awareness
of environment protection of our passengers through our service. We
also joined hands with the community to take practical actions to
promote Air China's image as an environment-friendly company, who
is committed to contributing to the sustainable development of the
industry and the construction of a resource-saving and
environment-friendly society.
In 2016, Air China continued to implement the "13th Five-Year
Plan on Energy Saving and Emission Reduction" and develop the
guiding theories and principles for its energy-saving and emission
reduction campaign through systematic analysis of the Company's
internal and external environment, present status of energy-saving
and emission reduction campaign and following the industrial
development trend. In order to accomplish the target of improving
fuel efficiency by 4% during the "13th Five-Year Period", Air China
constantly improved the monitoring system and optimized fleet
structure while intensifying fuel saving efforts and optimizing
energy management system, coupled with balanced management of
ground energy and fuel.
Air China's working principles for energy saving and emission
reduction for the 13th Five-Year Period
Our Actions
Green Fleet to Protect the Blue Sky
Air China commits to energy saving and environmental protection,
closely observes global climate changes and greenhouse gas
emission, optimizes energy efficiency of its fleet and strives to
reduce energy consumption from such aspects as flight, operation
and maintenance, aiming at constant improvement in energy
efficiency, emission reduction and resource conservation.
As jet fuel is the most important source of energy for airlines,
continuous improvement on fuel efficiency is a key factor in
reducing emission as well as the operating costs of airlines. Air
China continues to improve fuel efficiency and reduce energy
consumption and emission through upgrading its fleet, renovating
and slimming down its aircraft, aiming to build a green fleet. We
strive to reduce energy consumption and the impact of our
operations on the environment throughconstantly improving
operational efficiency, further optimizing our management and
maintaining a delicate balance between such factors as safe
operation, service quality, force majeure and constantly improving
operational efficiency, further optimizing our management and
maintaining a delicate balance between such factors as safe
operation, service quality, force majeure and market fluctuations.
In 2016, Air China recorded a total energy consumption equivalent
to 9.80 million tonnes of standard coal equivalent, with a jet fuel
consumption of 6.624 million tonnes (equivalent to 9.746 million
tonnes of standard coal), accounting for 99.5%.
Aircraft is the biggest energy consuming equipment and source of
emission of an airline, and continuous improvement in fuel
efficiency is the persistent pursuit of aviation manufacturers and
airlines. Over the past 40 years, the aviation fuel efficiency has
improved by more than 70%.
Fleet upgrade
Fleet optimization not only directly affects an airline's
operating results, but also has a significant impact
on its fuel efficiency. The target market of an airline is a
decisive factor in fleet planning. Once the fleet structure is
determined, its fuel efficiency level is set. In our operation, we
continuously optimized our fleet structure and the match of our
fleet and route network, aiming to achieve better operating results
while enhancing fuel efficiency.
Case study: Air China introduced the new B787-9 fuel-efficient
aircraft model
In 2016, Air China introduced the first Boeing 787-9 Dreamliner
aircraft, and the B787-9 aircraft we received is a lengthened model
of the B787-8, with 6 metres longer, resulting in higher passenger
and cargo capacity. The fuselage of the B787-9 is largely made of
composite materials, resulting in reduced overall weight and lower
fuel consumption and waste emission. Its long-haul capacity can
achieve more direct flights, representing a good practice of the
"Green Flight" concept that Air China has always been
promoting.
Weight control
Weight management is one of the most important aspects of fuel
management. Aircraft weight reduction involves two main aspects:
weight control in aircraft model selection and weight management of
In-service aircraft. Air China has been making every effort to
reduce the weight of its aircraft and fuel on board so as to
increase the effective load and improve fuel efficiency.
Increasing effective load
In 2016, Air China launched the belly capacity enhancing
initiative, pursuant to which strengthened the coordination of
sales of passenger and cargo transportation, optimized the loading
forecast, improved the accuracy of computer-aided fuel planning and
increased the belly space loading capacity. With such effective
measures, the company successfully dealt with the adverse impact of
the cargo market and significantly improved fuel efficiency while
bringing the load factor of passenger aircraft back to a stabilized
rebound. Through the hard efforts, the belly space load factor
increased by 2.0 percentage points in the second half of 2016 as
compared with the previous year, or by 3.8 percentage points as
compared with first half of 2016, of which the belly space load
factor of the wide-body aircraft increased by 2.5 percentage points
as compared with the previous year, or by 3.7 percentage points as
compared with first half of 2016, representing a significant
improvement in fuel consumption per RTK.
Implementing fuel saving measures
Fuel saving is the core of aviation fuel management, which
involves aircraft performance, operation control, flight operation
and ground support. Fuel saving has been an important part of Air
China's daily operation since the company launched the fuel saving
projects in 2004. In 2016, Air China focused on optimization of
flight take-off control, application of Flight Management Computer
(FMC) in flight optimization, aircraft performance monitoring and
management, computer-aided fuel management, application of
electronic flight bags and monitoring of aircraft's auxiliary power
unit (APU).
Air China maintained effective control of the fuel cost through
exploiting temporary route resources available in the air ways,
summarising the regular pattern of aircraft take-off and landing
and analysing aircraft taxiing time and fuel consumption.
Cherishing Resources and Saving Energy
Air China has always emphasized the importance to the management
of resources and energy, and optimized the allocation of resources
through a series of effective measures such as the introduction of
new energy vehicles and waste recycling.
Use of new energy
Air China adheres to its pursuit of comprehensive
environment-friendly from the air to the ground, and strives to
minimize the impact of its operation on the environment and reduce
emissions and pollution through a series of effective measures such
as the introduction of new energy vehicles. In 2016, Air China
conducted a survey and analysis of the potential solar energy
resources available to the Company to demonstrate the feasibility
of the proposal of photovoltaic power generation and heating
project, aiming to further reduce the network power and gas
consumption and reduce carbon emission on the ground.
New energy vehicle is an important direction to advance energy
conservation and achieve healthy development. The "Oil to
Electricity" Project is one of the key projects of energy saving
and emission reduction rolled out by China Civil Aviation
Administration. As an example of new energy vehicle operation for
the aviation industry, Air China enthusiastically advanced the "Oil
to Electricity" Project and exploited the use of new energy
vehicles and equipment while exercising dynamic management of
electric vehicles and detailed data analysis and maintenance to
ensure smooth operation of new energy vehicles.
Link:
"Oil to Electricity" refers to the replacement of special
vehicles driven by traditional fossil energies with those driven by
electricity and other clean energies. At present, the Dongfeng
electric commuter cars currently used by Air China can reduce
emission by 92% - 98%, save energy costs by more than 50% and keep
the noise level below 30 dB.
Case study: "Oil to Electricity" financial leasing cooperation
projects
On June 2, Air China, China National Pharmaceutical Group
Corporation, China Potevio Co., Ltd and Dongfeng Motor Corporation
joined together for a meeting in Beijing to negotiate on providing
finance leasing for Air China's "Oil to Electricity" Project,
during which Air China signed a letter of intent with the three
companies to advance the "Oil to Electricity" Project, so as to
propel the overall development of China's civil aviation
industry in a green and sustainable manner.
Case study: Shanghai Branch installed charging piles for new
energy vehicles
On April 8, Air China's Shanghai Branch completed installation
of the charging piles for new energy vehicles in the carparks of
the Air China Building at Hongqiao and Air China's Pudong Premise,
which have been put into trial operation subsequently. The
employees now can scan the QR code on the charging piles with their
mobile phones and download the APP to use the charging pile to
recharge their vehicles. This new environment-friendly initiative
demonstrated Air China's commitment to actively practicing the
philosophy of green development.
Air pollution control
In 2016, in active response to the relevant requirements of the
country, Air China rolled out low-nitrogen renovation on its six
gas-fired boilers, and installed gas recycling equipment for the
other two boilers, further reducing emissions into the air.
For the gas emissions from the production sites such as the
hangars and workshops, we have adopted a variety of methods to keep
emissions under control, including installing filters for the
ventilation facilities in the painting workshops, and conducting
regular tests of exhaust gas, aiming at strict control of volatile
gas emissions from the painting workshops and the cleaning rooms in
the hangar where organic solvent are used. In order to meet higher
standards of environmental protection, in 2016, we transformed the
six painting workshops in Beijing into automated spray-painting
workshops where painting and drying are done in one place. Upon
completion of the transformation, the painting workshops have all
met the requirements of the Standards for Emission of Air
Pollutants in Industrial Coating Processes (DB11/1226-2015) of
Beijing.
Water resource management
Air China considers water resource management as a key task in
environment protection and have developed methods to reduce water
consumption and increase water utilization efficiency through
restrictive measures while regularly checking on water resources
consumption and monitoring water use, aiming to conserve water
resources.
The waste water generated in the aircraft maintenance process is
Air China's main source of water pollution. To deal with it, we
have installed the chemical oxygen demand (COD) on-line detection
and remote monitoring system at the waste water discharge sites to
ensure that the industrial waste water is discharged only after
being treated properly. In 2016, the three waste water stations of
AMECO's Beijing maintenance base treated a total of 44,334 tonnes
of industrial wastewater, while the waste water from the first and
second canteen was also treated with oil-filtering and biochemical
measures before discharge. The waste water treatment station of
Chengdu Branch treated a total of 151,925 tonnes of domestic sewage
and industrial wastewater.
Case study: Southwest Branch's Water Conservation Week
In May 2016, Air China's Southwest Branch rolled out the "Water
Conservation Week" activities, which were intended to enhance its
employees' awareness of water conservation and water-saving skills
through education and trainings at regular meetings or team
meetings, so as to summarize and promote daily energy saving and
emission reduction efforts, recycle water resources to the greatest
extent, promote planned use of water and put its commitment of
saving resources into actions.
Case study: AMECO's renovation in water dispenser and waste
water recycling
In 2016, AMECO upgraded its 100 traditional water dispensers
into instant hot water dispensers, which not only eliminated
repeated heating and wasting energy inherent in the traditional
water dispensers, but also improved the water quality, meeting with
high compliments from the staff. It has been figured out that each
instant hot water dispenser can save 60% more energy than a
traditional one. At the same time, we carried out secondary
renovation on the waste water from the water purifiers, i.e. using
a self-regulating pump to pump the waste water to a nearby mop pool
at the same floor, so as to make better use of waste water.
Management of waste materials
We generally produce waste materials during aircraft
maintenance, including waste oil, mineral oil and chemicals
produced during the painting process. These waste materials are
taken care of by designated organizations in accordance with the
regulations on hazardous discharges. We have established a
hazardous waste management system to tighten management of
hazardous waste produced during operation. We also set emission
reduction targets every year, and maintain strictly control of
emission by adopting advanced equipment and technologies, so as to
ensure strict compliance with national environmental laws and
regulations.
Air China's hazardous waste is mainly produced by AMECO,
including 16 types of hazardous waste. We have entered into
long-term agreements on collection and disposal of hazardous wastes
with professional and qualified environmental protection companies,
so as to ensure that hazardous waste is disposed of properly. In
2016, AMECO's Beijing Base and Chengdu Branch disposed of 350
tonnes of hazardous waste in total.
Recycling
Air China also scrutinized the harmless waste produced during
operation and developed recycling measures to enhance recycling
economy, so that the waste can be put into better use with reduced
negative impact on the environment. At the same time, Air China
emphasized reasonable use of resources, reduced supply of
consumables and increased the use of recyclable products while
developing measures such as classification of garbage to improve
the efficiency of resource utilisation. In 2016, Air China
continued to strengthen recycling important recyclable products as
the headsets, dental bags and casual wear and strengthen
supervision on the recovery and clean-up of the food supplies.
Air China encourages its employees to recycle resources around
them so as to reduce energy consumption and secondary pollution. To
the end of year Air China has installed 9 intelligent beverage
bottle recycling machines in the headquarters, operation control
centre and cabin service department, which collected a total of
72,680 beverage bottles in 2016, equivalent to a reduction of CO2
emissions by 43.6 tonnes. We will continue to expand the recycling
channels and enhance the awareness of recycling among our employees
with their
actual needs taken into account.
Advocating Environmental Protection, Passing on the Green
Commitment
Air China organizes trainings on environmental management
systems and environmental knowledge for its employees and managers
to enhance their awareness of environmental protection, and through
various promotional activities, Air China aims to mobilize
passengers and the public to get involved in this nation- wide
environmental protection campaign.
Biodiversity
Biodiversity is the basis for the survival and development of
human society. Air China attaches great importance to the
protection of the ecosystem and biodiversity, and is committed to
making the contributions to the sustainable development of the
society. We understand the desire of the public to protect marine
resources and hope to play a more important role in combating the
trading of endangered wildlife. In 2016, Air China Cargo became the
first airline in Chinese Mainland to ban shark fin transport by
issuing the "Notice of Banning Shark Fin Transport", which clearly
demonstrated its commitment to the protection of biodiversity.
Green office
Air China instils the concept of environmental protection into
every aspect of its operation, encouraging its employees to adhere
to low-carbon living, green office and green travelling. Air China
promotes low-carbon living and environmental protection knowledge
with posters, WeChat official account, QQ groups,
environment-friendly stickers and videos, aiming to help its
employees develop an attitude and consumption pattern that is
helpful in conserving energy and protecting our ecological
environment. Air China promotes the concept of green office
throughout the company, encouraging its employees to take an active
part in the environmental protection activities and improve their
awareness of energy conservation and emission reduction.
Training on environmental protection publicity
Air China also increased its publicity efforts in respect of
energy conservation, low-carbon living and environmental protection
through a variety of activities and trainings, aiming to constantly
improve the
awareness of its employees of energy conservation and environmental protection.
Case study: Air China's "Flying Together" crew carried out the
Earth Day theme activities
April 22 is the 47th Earth Day. In order to call on more people
to show their love and care to our planet, save resources and live
a green and simple life, Air China's Golden Phoenix Sisters from
the "Flying Together" cabin service team held the theme activity
known as "Love the Earth, Enjoy Green Life!" on the CA1405 flight
from Beijing to Chengdu.
On the flight, the Air China cabin crew illustrated to the
passengers that the Earth is facing a variety of environmental
problems such as reduced species, climate warming, snow-capped
mountains slowly melting and sea level rising, and placed 10
environmental protection badges randomly in the passenger's seat
pockets, those who found the badges would be honored as the "Earth
Guards". Passengers also volunteered to sign their names on the
banner "Doing my part to care the Earth" to express their support
and determination in environmental protection.
Our Story
Persistent pursuit of fuel efficiency
Protecting the Earth and pursuing green development is the
solemn responsibility of Air China. Large modern aircraft and jet
engines are at the tip of human industrial innovation capacity, and
every step of improvement on fuel efficiency is extremely difficult
with safety prioritized. With the wide-range use of ground power
equipment instead of aircraft APU, airlines can reduce fuel and
maintenance costs significantly while realizing a remarkable
reduction in air pollution and noise level, resulting in
significant economic and social benefits, making it an effective
means to achieve energy saving and emission reduction as well as a
win-win outcome.
Air China formulated its standards for the use of APU in
consideration of different airports as well as the near and distant
positions of the aircraft. It relies on the Big Data to create
customized APU and ground power ACARS messages for different
aircraft models, maintaining real-time monitoring of the status of
aircraft's ground APU and external power source, and making
effective use of integrated information on the airport, aircraft's
docking position, status of APU and external power source through
multi-system docking. In its aircraft monitoring and management
system, Air China displays the status of APU and external power,
and pushes information on the aircraft with APU overusage onto the
PC and mobile terminals, so as to assist our front-line technicians
and engineers in monitoring the status of aircraft's ground power
unit and help save energy and reduce emission.
Voices of Stakeholders
I am 69 years old now, and this is my fourth time on a plane
with my wife. Joining in this theme activity "Love the Earth, Enjoy
Green", it means a lot to us, and gives us the hope of saving the
environment.
Wang Baozhu A Representative of Passengers
Improvement in fuel efficiency can not only save fuel, but also
significantly reduce air pollution, bringing substantial benefits
to the passengers, airlines, environment and community. Air China
has been making remarkable efforts to improve fuel efficiency and
is recognized as a pace setter in the aviation industry in energy
saving and emission reduction.
Professor Li Xiaojin Civil Aviation University of China
Pursuing Happiness by Adhering to the People-oriented
Philosophy
While adhering to its employment guidelines of "people-oriented,
mutual growth", Air China constantly innovated its talent
management mechanism, paid close attention to the growth and
development of its employees in various areas, platforms and
stages, and strove to create a harmonious working environment for
them and allow them to share the achievement of the Company.
Our Strategies
Air China has established a flexible labour mechanism,
strengthened manpower building and improved the talent training
mechanism in strict compliance with the relevant provisions of the
Labour Law. The Company took active measures to protect the basic
rights and interests of its employees and improve their
remuneration and welfare. It has fostered an open and transparent
internal communication atmosphere that aroused the passion of its
employees. In addition, the Company also took care of its
employees' needs and ensured they feel happy with their work and
live a healthy life by consolidating and improving the functions of
the staff service centre.
Our Actions
Attracting Diversified Talents
Bringing together a diversified group of talents is necessary
for an enterprise to achieve sustainable development. Air China
treasured the concept of inclusiveness, diversification and
internationalization. We have been actively expanding our
recruitment channels, innovating on the market-oriented talent
recruitment, promoting global talent recruitment and striving to
create a harmonious working environment featuring inclusive and
diversified culture and multi-language coexistence.
In 2016, Air China had 23,258* employees, including 9,365 female
employees, 1,155 foreign employees, 1,051 employees of ethnic
minorities and 19 handicapped employees. Among which, there were
253 management staff (including general managers and those at a
higher level), including 35 female officers. In order to further
optimize the staff structure, Air China further recruited a total
of 1,092 employees in 2016.
Protecting Employees' Rights and Interests
In strict compliance with the Labour Contract Law and other
relevant laws and regulations, Air China actively promoted equal
employment, opposed labour discrimination, upheld equal pay for
equal work, declined child labour and standardized labour
employment. The Company signed labour contracts with each and every
one of its emplyees in 2016. To further standardize the labour
employment management system, we have established a differentiated
labour contract classification management system, which clearly
stipulated the legitimate rights and obligations between the
Company and the employees, so as to protect the employees' basic
rights and interests.
Guaranteed labour contracts
Air China has formulated the "Provisions on Management of Labour
Contract System of Air China Limited" (2016 version), and further
implemented the labour employment management system based on
position management, and strengthened the authorization
classification management. We have also established the collective
contract negotiation system, that was held every three years and
covered all the employees, on the protection of rights and
interests of female employees and the special collective contracts
on labour safety and healthcare.
Social insurance and enterprise annuity system
Air China purchased five kinds of insurances (retirement
insurance, medical insurance, unemployment insurance, industrial
injury insurance and maternity insurance) and made contributions to
the housing provident fund for its employees in strict accordance
with the national social insurance policy, and established the
comprehensive medical insurance plan for all its employees and
their minor children. In addition, in order to ensure our employees
live a decent life after retirement, we established the enterprise
annuity system for our employees in accordance with the relevant
national policies. Air China and its invested enterprises completed
aggregate personal and corporate contributions of RMB116.96 million
and RMB431.07 million to the enterprise annuity in 2016,
respectively. As at the end of 2016, the paid cumulative enterprise
annuity amounted to RMB103.06 million.
Health and safety
Air China cares for the health and safety of its employees and
conducts safety education activities regularly. The Company has
compiled occupational health manuals, clearly specified the safety,
supervision and rescue measures and regular reporting system for
occupational diseases, and taken effective measures to prevent the
serious injuries to employees in workplace and the occupational
hazards affecting the health of them. In 2016, Air China entered
into the first phase of "Collective Contract for Labour Safety and
Health" with its employees, which effectively protected their lives
and health.
Case study: the "Happiness in Heart Plan" psychological
counselling project
In 2016, Air China implemented the "Happiness in Heart Plan" and
launched a mental health caring platform for its despatched
employees to extend the caring services to its employees working
abroad. In order to enhance the expertise of internal EAP happiness
ambassadors and ensure employees enjoy overall mental health
services, the Company launched the high-level training courses
known as the "EAP Happiness Ambassadors". In 2016, the Company
rolled out the "Happiness in Heart Plan" to offer a total of 48
trainings and 76 group guidance, covering an aggregate of 4,620
employees; carried out 58 on-site consultations, offering one-to-
one consultation to 134 employees, and answered 1,452 phone calls.
438 employees logged onto the online learning platform, and 12,252
copies of EAP promotional materials were distributed.
Case study: Air China relied on the "Internet +" technology to
improve its comprehensive medical insurance services
In 2016, Air China rolled out the "Internet +" application to
improve its comprehensive medical insurance services, and offered
online medical reimbursement DIY services to enhance service
quality and employee satisfaction, so that they can truly feel the
care from the Company. Through online and offline classes and
lessons, nearly 3,000 people participated in the activity, and over
9,000 people downloaded the APP.
Democratic communication
Air China has continuously improved the review and approval
system for the employee representative meeting to protect its
employees' right to know, express, participate and supervise. The
Company cordially communicated and entered into three collective
contracts with its employees, to guarantee the implementation of
the proposals from its employee representatives. The Company
conducted open dialogues with its employees, expanded communication
channels, and listened to its employees through forums.
Motivating Employees in Career Development
Air China attaches primary importance to the career development
of its employess, actively developed the career development
channels, and provided them with a broad platform offering equal
opportunities for career development. In addition, the Company has
improved the occupational training system, created various learning
opportunities and fully stimulated the potential of its employees,
maintaining a good balance between employee and enterprise.
The channels for career development
Based on the capability and quality of its employees, Air China
has provided them with three channels of career development in
management, business and technology, and given full play to their
individual capacity and help them grow rapidly.
Enhancing feature trainings
Air China constantly improved its training mechanism, built up a
versatile learning platform and offered personalised and
differentiated trainings for its employees at different levels. In
2016, we continued to strengthen the development of the
"Four-Feature" Team, and offered various Air China-featured
training programmes, including the training on the B787-9 new
aircraft, the "Phoenix Flying High in the Sky" new staff training
and the "Light Training on Leadership", so as to help employees
grow rapidly.
The "light training", as an innovative initiative for Air
China's leadership training in the "Internet +" model, covered APP
micro-class, WeChat community, E-Learning and mixed face-to-face
training. In future, it will become an effective complement to the
face- to-face training of leadership, so that the leadership
training will be easier and more convenient, providing senior
management with a broader learning platform. In 2016, the Company
initially offered 32 pilot trainings, attracting an aggregate of
over 5,000 attendees.
Selecting innovative talents
Air China has recruited a variety of talents, adopted a more
flexible and innovative talent training and selection model, and
maximised the personal value of its employees, so as to show the
capability of its employees.
Case study: The "Evaluation Centre" promoted the selection of
talents in key positions
The "Evaluation Centre", which was built up by Air China
independently, is a comprehensive evaluation system that includes a
variety of evaluation methods and techniques. The system can
utilise the online, offline, simulated and realistic scenarios of
candidates to make overall analysis on the characteristics,
expertise and potential of talents, and offer the guiding
suggestions on targeted talent development and selection, thereby
laying a solid foundation to implement the strategies of the
Company. In 2016, Air China conducted a comprehensive evaluation
and pooling of the talents in key positions of three key business
units.
Demonstrating employee appearance
In order to "meet the employees' demands", Air China strove to
provide them with stages to showcase their talents, including three
major demonstration platforms, e.g., the "Air China" periodical,
the "Youth Air China" WeChat public number and the "Air China
channel" video system, so as to constantly stimulate their
innovative, enterprising vitality by publicising the deeds of its
outstanding employees.
Case study: The interactive exchange activity focused on the
"Life Is Wonderful with You Around" corporate culture
In 2016, Air China organised the interactive exchange activity
named "Life Is Wonderful with You Around" in Beijing, Shanghai and
Chengdu, providing its employees a stage to display their
distinctiveness through story sharing, interesting dialogue and
free talk, summing up and passing over the valuable experience of
its outstanding employees for mutual growth. In the activity, the
Company also released the "Air China People in 'Air China'", one of
the corporate culture book series, displaying the growth stories
about over 100 domestic and overseas employees, which became the
specific interpretation of Air China's effort to "meet the
employees' demands".
Caring for the Livelihood of Employees
Based on giving full respect and equal treatment to each
employee and protecting their rights and interests, Air China is
committed to improving the livelihood of its employees, protecting
their physical and mental health and providing them with a good
working environment, so as to create a "warm" home for them.
Offering considerate services to employees
Air China always cares for its employees and actively makes
responses to their demands. The Company continuously increased its
investment in employee services, pushed the operation of the staff
service centre (referred to as the staff centre), and continuously
improved employee satisfaction.
The staff service centre is affectionately known as the
"employee-benefiting" centre, which is both the service centre and
welfare centre of the Company. Since the staff service centre has
commenced its operation two years ago, it has benefited over 30,000
employees of the Group. The Company has consecutively completed the
construction of 7 service stations, e.g., Air China headquarters
building, General Fleet, Cabin Service Department, Ground Service
Department, Southwest Branch, Zhejiang Branch and Shanghai Branch,
marking the completion of the "seven in one", "one-stop" employee
service centre, a new starting point of Air China serving its
employees.
In 2016, the staff service centre was designed to meet the needs
of our employees, offering 78 types of services in three major
categories. By improving its employees' experience with the
one-stop, diversified, online, offline, internal and external
services, the Company has facilitated its employees to work
efficiently and established its internal service brand. Our
employees' satisfaction with the staff service centre reached
90.8%.
Caring for special groups
Air China continued to improve the caring and support system and
mechanism, and strove to build up a harmonious internal development
environment, and offered personalised care for the needy and female
employees, so as to offer heart-warming services to different
groups of people.
The Company continuously enhanced the management of the employee
mutual aid fund, implemented the targeted poverty relief tasks, and
increased its effort in poverty relief, making employees deeply
feel the caring of the Company. On July 1, Air China launched the
fifth phase of the civil aviation employee disease mutual aid fund,
attracting a total of 27,095 attendees and raising total proceeds
of RMB2,714,150.
The Company always cares for the career development of female
employees. It has strengthened the protection of the rights and
interests of female employees by building up the "caring mother's
hut" and the "female employee disease mutual aid fund", thus
protecting the special interests of female employees. As at the end
of 2016, Air China Group has a total of 21,140 female employees
participating in the mutual aid fund, raising total proceeds of
RMB716,160.
Case study: A "nursing" mother in the "caring mother's hut"
In view of a rising number of female employees reaching the
childbearing age and many of them becoming "nursing" mothers in
lactation, and in order to meet their pressing needs, the cabin
service department of Air China has established the "caring
mother's hut" to provide them with a more humane and warm services
in the special physiological stage, enabling them to better adapt
to the switching of professional women and nursing mothers and
improving their sense of happiness and belonging.
Enjoying a colourful life after work
Air China attaches importance to the balance of work and
livelihood of its employees. We organised a number of cultural and
sports activities to encourage and guide our employees to enjoy
life, promote communications among our employees to relax
themselves and enhance the cohesion and sense of belonging of the
employees.
Our Story
The flower blooming at the top of the cloud - Air China captain
Lin Guannan
In Air China, women are just as competent as men in so many
areas. There is a beautiful landscape in the general fleet of Air
China, a group of lovely girls who are bubbly and chirpy. In this
man-dominated industry, their participation adds a bright shade of
beauty and gorgeousness in the sky. Lin Guanan is one of them.
In 2004, I was fortunate to become one of the six female pilots
recruited by Air China, and eventually became a female captain
after passing various tests. I have joined the general fleet of Air
China for eight years, and in this period, I have learned and
achieved a lot.
I remember that, when I was a co-pilot, the captain was very
strict with us, and never ignored any details. He made me
understand that a person in that position shoulders the greatest
responsibility and allows no mistake. Bearing this in mind, I have
flown for more than 7,000 hours safely. I would be ready to share
my own experience and knowledge with other pilots, so that we can
learn from each other and grow rapidly.
As a member of the basketball team of the seventh squadron of
the third fleet, I often played basketball with my teammates to
keep fit. After work, I would spare time with my family or
participate in the volunteer activities. In Air China, I feel not
only the joy of my achievement at work, but also my colourful life
after work. This is a stage that I would shed tears and laughter
and do my best to achieve my missions.
Voices of Stakeholders
I have joined the staff service centre for nearly one month, and
in here my deepest feeling is warmness. The staff service centre,
as its name suggests, is to provide services for our staff. But I
don't think it is just like that, more importantly, our services
should make our staff feel warm and comfortable, just like home.
Here we help and support with each other in work. In our spare
time, we would, like family members, discuss service skills to
bring the feeling of home to our staff. I am a member of Air China,
my heart is with Air China.
Wei Yu An Employee of Air China
The most important part of my l ife was spent here in China. I
think, maybe one day I become old and can no longer walk, sitting
in a wheelchair, I will tell my grandchildren that I spent four
years in China in my thirties, which is one of my best times. Once
thinking of leaving China, I will feel sad about it. When the last
day came, I will go to the hangar to say goodbye to each aircraft
there, and all of my Chinese colleagues.
Dietmar Focke
An Employee of Air China from Germany
Discharging Responsibilities to Serve the Community
Air China takes the fulfilment of its responsibilities as an
important mission, always deems public responsibilities as its own
responsibilities, actively participates in social welfare practices
and disaster relief, makes contributions to the country and
society, strengthens communication and contact with the community,
brings vitality and positive energy to the community, and
demonstrates the image of state-owned enterprises in China.
Our Strategies
Air China attached equal importance to development and
contribution, carried out social responsibility practices by
leveraging on its advantages in aviation capacity and shared its
resources with the community. The Company participated in community
development by supporting special flight missions, conducting
targeted poverty relief, caring for the growth of children,
spreading the Chinese culture, attending the volunteer activities
and other crucial fields, and made contributions to address social
issues, improve social life and promote the mergence and
sustainable development of cultures.
Our Actions
Supporting Special Flight Missions
We do our best to perform our duties as a state-owned enterprise
in various grave natural disasters and emergent transport flights
at home and abroad. In 2016, we successfully accomplished various
important aviation missions including the "Air Transportation for
Rescue Materials", the "Chartered Flight for Olympic Delegation",
the "Chartered Flight for Paralympic Delegation", the "G20 Summit
Airline Service" and the "Chartered Flight for Pilgrimage", and
proactively participated in social welfare practices, receiving
widespread recognition.
Case Study : Air China Cargo fulfilled the Chinese government
charter flight assignment to send relief materials to Pakistan
The fulfilment of urgent, difficult and dangerous transportation
guarantee has always been the responsibility and mission of Air
China. In 2016, in order to help Pakistan to do the earthquake
relief efforts, Air China Cargo was assigned the task of
transporting the second batch of disaster relief materials for the
Chinese government's humanitarian assistance to Pakistan by charter
flight. A total of over 9,000 pieces of relief tents were
successfully sent to the disaster area by B747-400F cargo aircraft
in three flights, helping Pakistan to get through difficult times
as soon as possible.
Case Study : Air China successfully guaranteed G20 Summit
It is incumbent for Air China to guarantee the success of major
events at home and abroad. In 2016, G20 Summit was held in
Hangzhou. Air China became a major choice for numerous delegates
and media reporters to travel during China's domestic leg. All
professional systems performed their respective duties and worked
in close collaboration to successfully guarantee flight
transportation for this Summit, providing an aggregate of 290
flights to carry over 2,700 delegates and staff workers, which was
a strong support for the successful convening of this Summit.
Deepening the Targeted Poverty Relief Efforts
Air China has further implemented the national policies, adopted
the strategy of "teaching a person to fish
is better than giving him fish", continuously deepened the
precise poverty relief concept and proactively conducted the
industrial poverty relief task, thus realising the coordinated
balance of the business operation, innovation development and
poverty relief of the Company. In 2016, the Company conducted
investigations at Sonid Right Banner of Inner Mongolia, Zhaoping
County of Guangxi Province and Batang County, Sichuan Province and
made efforts to promote the economic and social development of the
poverty-stricken areas by carrying out special projects, bolstering
innovations and providing industrial supports in accordance with
the local development plans, thus putting equal emphasis on "blood
transfusion" and "hematopoietic". In 2016, Air China appropriated
RMB6.05 million in targeted poverty relief. In addition, the
Company offered in-flight media publicity service with a market
value of RMB2.45 million free of charge to Zhaoping County, Guangxi
Province.
Case Study : Southwest Branch engaged in targeted poverty
alleviation in Mading Village, Batang County, Sichuan
Mading Village of Batang County in Sichuan Province is located
in remote mountainous areas in southwestern China, where the living
environment is harsh and the mode of production is outdated. In
order to improve the local situation and help people get rid of
poverty, in 2016, Southwest Branch of Air China set up a leading
group in charge of targeted poverty alleviation work, making full
use of its advantages to develop targeted poverty alleviation
projects and implementation plans. By dispatching delegated poverty
alleviation cadres to Mading Village to carry out village work and
"poverty alleviation day" activities and organizing employees to
subscribe for local agricultural and sideline products, Southwest
Branch assisted the local economic construction to improve the
living conditions of the local people through a variety of
channels, strongly accelerating the pace of poverty eradication of
Mading Village.
Caring for the Growth of Children
Air China attaches great importance to the growth and education
of next generation. The Company worked closely with various parties
to create for children a living environment, in which they can
receive education and grow healthily, developed children's vision
and helped them feel the charm of knowledge through entertaining
scientific activities and enabled them to enjoy the happiness and
joy in their growth. In 2016, Air China transferred a total amount
of RMB426,299.67 donated by caring passengers in flights to China
Children and Teenagers Foundation.
Case Study : Love in the Sunshine - 2016 China-Africa Children
Summer Camp in Beijing
On August 1, Air China welcomed a group of 80 children from
South Africa, Zimbabwe, Ghana and other African countries as well
as Yunnan, Guangxi, Hunan and other provinces in China. They were
little campers who were invited to participate in "Love in the
Sunshine - 2016 China-Africa Children Summer Camp in Beijing"
activities. The one-day "tour to Air China" carefully prepared by
Air China made a deep impression on these children at home and
abroad.
Case Study : "Rhythm of Sky" Crew of Air China spread knowledge
about aviation safety
At the occasion of the International Children's Day in 2016,
"Rhythm of Sky" Crew of Passenger Cabin Service Department of Air
China went into Aoyuan Kindergarten to look for little angels of
aviation safety. The Crew enriched children's knowledge about
aviation safety through explanation and questions, "act it out"
method, field practice and other vivid activities, helping the
children establish the consciousness of aviation safety.
Case Study : Employees from Air China Inner Mongolia visited
deaf-mute children
On May 30, employees from Air China Inner Mongolia spontaneously
went to the rehabilitation centre to visit deaf-mute children
during break times, offering help for children's growth as much as
possible. Team members shared the carefully prepared themed cake
together with the children, who enjoyed a sweet holiday and a
different Children's Day.
Spreading the Chinese Culture
In response to the national strategies of "the Belt and Road"
and "Go globally", Air China actively carried out cultural exchange
activities and functioned as a communication hub to promote the
"Chinese Style", taking the road of cultural confidence.
Case Study An employee from Air China won the "Chinese -
Hungarian People's Friendship Award"
On November 10, Yan Jianshu, Deputy General Manager of Budapest
Business Office of Air China, was awarded the 2016 "Chinese -
Hungarian People's Friendship Award" by Szijjarto, Minister of
Foreign Affairs and Trade of Hungary, Duan Jielong, Chinese
Ambassador to Hungary, and Euler Loyos, Chairman of "Great Wall
Hungary- China Friendship Association". Direct flights between
Beijing and Budapest established an air bridge for the friendship
between China and Hungary to facilitate business and tourism
exchanges and promote economic and social development between the
two countries.
Case Study Building dreams along the "the Belt and Road" -
supporting the mural exhibition to promote cultural
communication
Cultural communication can not only enhance the attractiveness
of the "the Belt and Road" initiative, promote win-win cooperation
with mutual benefit in all areas, but also represent the
inheritance and development of the spirit of ancient Silk Road. On
May 7, 2016, Air China sponsored the "Cave Temples of Dunhuang:
Buddhist Art on China's Silk Road" Exhibition as an official
cooperative airline, providing air tickets and transportation
service for exhibits, which was highly recognized by the organizer.
This reflects the unremitting efforts made by Air China in
promoting Chinese culture communication. Meanwhile, the image of
China is highlighted and the local community's understanding of
China is enhanced.
Inheriting the Volunteers' Spirit
Upholding the spirit of "dedication, friendship, mutual
assistance and progress" for voluntary service, Air China actively
participate in social welfare undertakings and encourage and
support employees to carry out a wide variety of volunteer
activities.
Case Study "With Air China, unattended children will fly higher"
voluntary service activities during summer transportation by
Southwest Branch
In August 2016, a total of 36 young volunteers from Southwest
Branch and Air China Cargo participated in the "With Air China,
unattended children will fly higher" voluntary service activities
during summer transportation, transferring 280 unattended children.
Volunteers of Air China undertook social responsibilities with
practical action, showing the spirit of love and mutual
assistance.
Case study: "Jinfeng" Crew of Tianjin Branch visited the lonely
elderly people
It is a fine tradition of the Chinese nationality to care for
the elderly. Over the years, "Jinfeng" Crew of Tianjin Branch
visited lonely elderly people on every festival, delivering gifts
and fantastic performances to them as an expression of gratitude or
appreciation. This not only brought warmth and joy to those elderly
people, but also set a good example for the society to respect the
elderly, so that love and responsibility can be relayed to the
surrounding communities.
Our Story
A Trip to Rio, a Journey to realize dreams in Olympic Games
During the 2016 Rio Olympic Games and Paralympic Games, Air
China provided chartered flights services successfully, carrying a
total of over 2,000 people within 82 days. Air China was highly
praised by Olympic athletes for its high-performance, safe and
comfortable aircraft, high-quality and personalized service, as
well as high-standard collaboration all through the Olympics and
Paralympics. Athletes fought hard in the Games to win honour for
the motherland, while all staff from Air China worked together to
create a smooth and comfortable journey for the athletes.
On the evening of August 23, Air China fulfilled the one-month
mission in Olympic Games with the smooth landing of Flight CA604.
B777-300ER aircraft, operated by the Sixth fleet of General Fleet,
carried back leaders of State General Administration of Sports,
members of Chinese women volleyball team, rhythmic gymnastics team,
table tennis team, cycling team, CCTV Olympic journalists and other
related personnel (a total of 212 people) with honour and glorious
achievement. On September 19, the Chinese delegation of the Rio
Paralympic Games returned by plane with glory, and were warmly
welcomed by Ground Service Department of Air China.
Voices of Stakeholders
Air China has made outstanding contributions in securing flight
transportation for previous Olympic Games. Olympic athletes compete
in athletic games, while staff from civil airlines spare no effort
to provide transportation service, both struggling for the glory of
the country in different ways.
Liu Peng Director of State General Administration of Sports
Flight attendants from Air China enthusiastically serve the
Chinese disabled sports delegation. You are handsome gentlemen or
pretty ladies with beautiful souls and your meticulous, patient and
considerate service makes everyone feel at home. Your good morality
will inspire us to get good grades in the Games. Thank you!
Yang Dongping
A Staff Worker Served at Rio Paralympic Games
Table of Major Indicators
Remarks
1. The information is based on the calibre of Air China Group.
Among which, the information on services and employees is based on
the calibre of Air China.
2. CO2 emissions include only the direct emissions from aviation
fuel combustion, and other energy emissions have no national
unified standards for calculation currently.
3. Hazardous waste emissions include the emissions from AMECO hazardous waste.
Major Honours
March Air China was awarded the "Best Airline of the Year 2015"
at the 2nd Civil Aviation
Service Summit.
June Air China again ranked 23rd among "Top 500 Most Valuable
Chinese Brands" and its
brand value increased by RMB14.153 billion compared to the
previous year, ranking the
first among China's civil airlines.
August Air China won the honorary title of "Outstanding
Enterprise in Brand-building" during
the 2013-2015 term of SASAC.
September Air China was awarded the honorary title of "Top Ten
Caring Partners of Chinese Sports
Delegation at 2016 Rio Paralympic Games" by the State General
Administration of
Sports.
December Air China was awarded "the Most Influential New Media
Account for Central Enterprise
in 2016" at the 4th Chinese Enterprises New Media Annual
Conference held in Beijing.
December Air China was honoured the "2016 Best Employer in China" at the 11th China Employer
Branding Forum.
Outlook
Economy
The Company will enhance its operation management capability and
improve its organisational efficiency. The Company plans to
complete 2.806 million flying hours and carry 100 million
passengers, with ATKs and RFTKs reaching 36.34 billion and 7.48
billion, respectively.
The Company will promote the implementation of the "13th
Five-Year Plan", continuously promote the implementation of the
Beijing hub transformation project of Air China, and constantly
enhance the competitiveness of the hub, so as to consolidate and
develop domestic and international markets.
The Company will step up the innovation of business models,
expand the ancillary products, deeply promote marketing innovation
based on frequent passengers and e-commerce, so as to increase
flight revenue and actively cultivate new drivers for profit
growth.
Safety
The Company will strive to prevent flight accidents, major
ground accidents and material aircraft repair accidents, and the
Company will do its utmost to foil any hijacking or bombing
attempts provided that the safety of passengers and the aircraft is
secured.
The Company will strengthen operational risk control, promote
the development of the digitalised operational risk assessment
system, improve response speed and disposal capacity, optimise the
dangerous source database, and continuously promote safety
performance management.
The Company will continuously enhance the cultivation of safety
culture, frequently carry out safety inspections, continue to take
the improvement of team spirit as a key aspect for safety control,
and strengthen supervision and evaluation, so as to ensure a stable
safety situation.
Services
The Company will continue to focus on "improving customers'
experience", deepen system development, and actively promote
convenient travel services and utilise mobile Internet
technology.
The Company will promote the construction of brand lounges,
implement the construction, renovation and expansion of lounges,
strengthen the quality management of facilities and equipment of
lounges, and improve in-flight product experience.
The Company will step up in-aircraft network construction,
strengthen IT construction, and improve its product and service
capabilities with mobile internet connection.
Employees
The Company will adhere to our people-oriented philosophy,
expand communication channels with its employees, and enhance the
exchange of information and suggestions between the Company and its
employees.
The Company will continue to push forward the development of a
talent promotion mechanism and create a comprehensive and vertical
promotion channel, so as to provide its employees with a broad
platform for independent learning.
The Company will continue to operate and innovate the employee
career development platform and promote the mutual development of
the Company and its employees.
Environment
The Company will perfect its energy management system,
standardise the environmental management standards and the
monitoring and inspection mechanism, and improve the energy
utilisation efficiency of the Company.
The Company will adhere to the "green aviation" development
philosophy, increase our investments in the development of
energy-saving technologies and promote the implementation of the
measures for reducing exhaust emission and energy consumption.
The Company will promote the publicity of environmental
protection to enhance our employees and passengers' awareness of
energy conservation and environmental protection, so as to ensure
the harmony between the development of the Company and the
protection of ecological environment.
Community
The Company will continue to carry out special flight operations
for major events and emergency events, and improve the targeted
poverty relief mechanism by emphasising precise poverty relief.
The Company will continue to share the achievement of its
development with the community and uphold the public welfare and
charity cause by proactively carrying out the volunteer
activities.
HK-ESG Index
HK-ESG State Page(s) Description
Environmental
A1: Emissions
General Disclosure
Information on: (a) the policies; and (b) compliance Included
36,37 In 2016, Air China did not incur any
with relevant laws and regulations that have a serious
environment pollution or over
significant impact on the issuer relating to air and discharge
accidents
greenhouse gas emissions, discharges into water and
land, and generation of hazardous and non-hazardous
waste.
A1.1 The types of emissions and respective Included 61 In the
aviation industry, discharge mainly
emissions data. Partially comes from jet fuel, which
accounts
for 99% of the total discharge, with a very
limited amount of the other substances,
which is not the main interests of
management and disclosure
A1.2 Greenhouse gas emissions in total (in tonnes)
and, where appropriate, intensity (e.g. per unit of
production volume, per facility). Included 61
A1.3 Total hazardous waste produced (in tonnes)
and, where appropriate, intensity (e.g. per unit of
production volume, per facility). Included 61
A1.4 Total non-hazardous waste produced (in
tonnes) and, where appropriate, intensity (e.g.
per unit of production volume, per facility).
A1.5 Description of measures to mitigate
emissions and results achieved.
A1.6 Description of how hazardous and
non-hazardous wastes are handled,
reduction initiatives and results achieved.
A2: Use of Resources
Policies on the efficient use of resources, including Included 40,41,42
energy, water and other raw materials.
A2.1 Direct and/or indirect energy consumption by Included 60
type (e.g. electricity,gas or oil) in total
(kWh in '000s) and intensity (e.g. per unit of
Production,volume, per facility).
A2.2 Water consumption in total and intensity
(e.g. per unit of production volume, per facility). Included 61
A3: The Environment and Natural Resources
General Disclosure :
Policies on minimising the issuer's significant Included 37,43,44
impact on the environment and natural resources.
A3.1 Description of the significant impacts of
activities on the environment and natural
resources and the actions taken to manage them. Included 43,44
Social
B1: Employment
General Disclosure
Information on: (a) the policies; and (b) compliance
with relevant laws and regulations that have a
significant impact on the issuer relating to
compensation and dismissal, recruitment and
promotion, working hours, rest periods, equal
opportunity, diversity, anti-discrimination, and
other benefits and welfare. Included 47 In 2016, Air China did
not incur any cases of
incompliance in terms of talent recruitment and
employment
B1.1 Total workforce by gender, employment
type, age group and geographical region. Included 47
B1.2 Employee turnover rate by gender, age Included region 61
group and geographical Partially
General Disclosure
Information on: (a) the policies; and Included 48 In 2016, Air
China did not incur any safety
(b) compliance with relevant laws and accidents in relation to
its employees
regulations that have a significant impact on
the issuer.relating to providing a safe working
environment and protecting employees from
occupational hazards.
B2.1 Number and rate of work-related fatalities. Not Included
B2.2 Lost days due to work injury. Not Included
B3: Development and Training
General Disclosure
Policies on improving employees' knowledge
and skills for discharging Included 49,50
duties at work. Description of training activities.
B3.1 The percentage of employees trained by Included 61
gender and employee category (e.g. senior Partially
management, middle management).
B3.2 The average training hours completed per Included 61
employee by gender and employee category. Partially
B4: Labour Standards
General Disclosure
Information on: (a) the policies; and Included 47 In 2016, Air
China did not incur any cases of
(b) compliance with relevant laws and regulations incompliance
with the laws and regulations
that have a significant impact on the issuer relating in
relation to child labour and forced labour
to preventing child and forced labour.
B4.1 Description of measures to review employment
practices to avoid child and forced labour. Included In 2016,
Air China did not incur any cases of
illegal employment
B4.2 Description of steps taken to eliminate such Included In
2016, Air China did not incur any cases that employment
involved illegal practices when discovered.
B5: Supply Chain Management
General Disclosure
Policies on managing environmental and social Included 18
risks of the supply chain.
B5.1 Number of suppliers by geographical region. Included 18
B5.2 Description of practices relating to engaging Included 18
suppliers, number of suppliers where the practices
are being implemented, how they are implemented
and monitored.
B6: Product Responsibility
General Disclosure
Information on: (a) the policies; and Included 22,23,24, In
2016, Air China did not incur any cases
(b) compliance with relevant laws and of incompliance in relation to provision
regulations that have a significant impact of services
on the issuer relating to health and safety,
advertising, labelling and privacy matters
relating to products and services provided
and methods of redress.
B6.1 Percentage of total products sold or shipped
subject to recalls for safety and health reasons. N/A
B6.2 Number of products and service related Included 33,60
complaints received and how they are dealt with.
B6.3 Description of practices relating to observing
and protecting intellectual property rights.
B6.4 Description of quality assurance process and
recall procedures.
B6.5 Description of consumer data protection and Included 33
privacy policies, how they are implemented
and monitored.
B7: Anti-corruption
General Disclosure
Information on: (a) the policies; and Included 9
(b) compliance with relevant laws and regulations
that have a significant impact on the issuer relating
to bribery, extortion, fraud and money laundering.
B7.1 Number of concluded legal cases regarding Not Included
corrupt practices brought against the issuer or its
employees during the reporting period and the
outcomes of the cases.
B7.2 Description of preventive measures and Included 9
whistle-blowing procedures, how they are
implemented and monitored.
B8: Community Investment
General Disclosure
Policies on community engagement to Included 54,55
understand the needs of the communities
where the issuer operates and to ensure its
activities take into consideration the
communities' interests.
B8.1 Focus areas of contribution (e.g. education, Included 55
environmental concerns, labour needs, health,
culture, sport).
B8.2 Resources contributed (e.g. money or time) Included 55,56,57,58
to the focus area.
GRI G4 Index
Strategy and Analysis
Organizational Profile
G4-1 Statement from the most senior decision-maker of the organization. 3
G4-2 Description of key impacts, risks, and opportunities. 3,9
G4-3 Name of the organization. 4
G4-4 Primary brands, products, and/or services. 4
G4-5 Location of organization's headquarters. 4
G4-6 Number of countries where the organization operates, and
names of countries with either major operations
or that are specifically relevant to the sustainability issues
covered in the report. 4,5,6,7
G4-7 Nature of ownership and legal form. 4
G4-8 Markets served (including geographic breakdown, sectors
served, and types of customers/beneficiaries).
4,5,6,7 G4-9 Scale of the reporting organization. 4,5,6,7
G4-10 Workforce. 47,61
G4-11 Percentage of employees covered by collective bargaining agreements. 61
G4-12 Organization's supply chain. 18
G4-13 Significant changes during the reporting period regarding
size, structure, or ownership. 5
G4-14 Explanation of whether and how the precautionary approach
or principle is addressed by the organization.
9 G4-15 Externally developed economic, environmental, and social
charters, principles, or other initiatives to which
the organization subscribes or endorses. 18,41,56,57,58
G4-16 Memberships in associations (such as industry
associations) and/or national/international advocacy
organizations. 4
G4-17 List all entities included in organization's consolidated financial statement. 7,18
G4-18 Process for defining report content (how applied Principles). 12
G4-19 List all material Aspects identified in the process for defining report content. 12
Identified Material
Aspects
Stakeholder Engagement
G4-20 For each material Aspect, report the Aspect Boundary
within the organization. 12 G4-21 For each
material Aspect, report the Aspect Boundary outside the organization. 7,15
G4-22 Report the effect of any restatements of information
provided in previous reports. About CSR Reporting,15,60 G4-23
Report significant changes from previous reporting period in the
Scope and Aspect Boundaries. About CSR Reporting G4-24 Provide a
list of stakeholder groups engaged by the Organization. 13
G4-25 Basis for identification and selection of stakeholders with whom to engage. 13
G4-26 Organization's approach to stakeholder engagement
(including frequency by type and stakeholder group,
and any specific to report process). 13
G4-27 Key topics and concerns that have been raised through
stakeholder engagement, and how the organization
has responded to those key topics and concerns, including through its reporting. 13
G4-28 Reporting period (e.g., fiscal/calendar year) for
information provided. About CSR Reporting
G4-29 Date of most recent previous report (if any). About CSR Reporting
G4-30 Reporting cycle (annual, biennial, etc.). About CSR Reporting
Report Profile
G4-31 Contact point for questions regarding the report or its
contents. About CSR Reporting G4-32 Report the 'in accordance'
option the organization has chosen; the GRI Content Index for the
chosen
option; and reference to the External Assurance Report. 66,67
G4-33 Organization's policy and current practice with regard to
seeking external assurance for the report.
68,69 G4-34 Governance structure of the organization, including
committees under the highest governance body
responsible for specific tasks, such as setting strategy or organizational oversight. 11
G4-35 Process for delegating authority for economic,
environmental and social topics from the highest governance
body to senior executives and other employees. 11
G4-36 Whether the organization has appointed an executive-level
position or positions with responsibility for
economic, environmental and social topics, and whether post
holders report directly to the highest governance
11
Governance body.
G4-37 Processes for consultation between stakeholders and the
highest governance body on economic,
environmental and social topics. If consultation is delegated,
describe to whom and any feedback processes to the
highest governance body.
G4-38 Composition of the highest governance body and its
committees by: Executive or non-executive; independence; tenure on
the governance body; number of each individual's other significant
positions and commitments, and the nature of the commitments;
gender; membership of under-represented social groups; competencies
relating to economic, environmental and social impacts; stakeholder
representation.
13,9,11
G4-56 Description of the organization's values, principles,
standards and norms of behaviour such as codes of
conduct and codes of ethics. 8,9
Ethics and integrity
G4-57 Internal and external mechanisms for seeking advice on
ethical and lawful behaviour and matter related to
9
organizational integrity, such as helplines or advice lines.
G4-58 Report the internal and external mechanisms for reporting
concerns about unethical or unlawful behaviour
and matters related to organizational integrity, such as
escalation through line management, whistleblowing
9
mechanisms or hotlines.
G4-EC1 Direct economic value generated and distributed,
including revenues, operating costs, employee compensation,
donations and other community investments, retained earnings, and
payments to capital providers 15 and governments.
Economic
G4-EC3 Coverage of the organization's defined benefit plan obligations. 48
G4-EC7 Development and impact of infrastructure investments and
services provided primarily for public benefit
through commercial, in-kind, or pro bono engagement. 56
G4-EC8 Understanding and describing significant indirect
economic impacts, including the extent of impacts. 17,18,56
G4-EC9
Policy, practices, and proportion of spending on locally-based
suppliers at significant locations of
operation. 18
G4-EN1 Materials used by weight, value or volume. 38,60
G4-EN3 Energy consumption within the organization. 60
G4-EN5 Energy intensity. 38,60
G4-EN6 Reduction of energy consumption. 39,40
G4-EN7 Reductions in energy requirements of products and services. 41,42
Environmental
G4-EN8 Total water withdrawal by source. 61
G4-EN12 Description of significant impacts of activities,
products, and services on biodiversity in protected areas
and areas of high biodiversity value outside protected areas.
43
Labour practices and decent work
G4-LA2 Benefits provided to full-time employees that are not
provided to temporary or part-time employees, by
major operations. 47,48,51,52,61
G4-LA8 Health and safety topics covered in formal agreements with trade unions. 48
G4-LA10 Programs for skills management and lifelong learning
that support the continued employability of
employees and assist them in managing career endings. 25,49,50
G4-LA12 Composition of governance bodies and breakdown of
employees per employee category according to
gender, age group, minority group membership, and other indicators of diversity. 47,61
Society G4-SO4
Communication and training on anti-corruption policies and procedures. 9
G4-PR1 Percentage of significant product and service categories
for which health and safety impacts are assessed
for improvement 23
Product responsibility
G4-PR3 Type of product and service information required by the
organization's procedures for products and services
subject to such information requirements and labelling, and
percentage of significant product and service categories
subject to such information requirements 30,31,32
G4-PR5 Results of survey measuring customer satisfaction. 33,34,60
Third-party Assurance
The company news service from the London Stock Exchange
END
MSCOKNDKPBKKDOK
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July 03, 2017 02:00 ET (06:00 GMT)
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