GBP Self-Assessment, Human Rights Impact Assessment(HRIA), Supplier assessments

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"In 2020, based on anew country risk assessment, Philips rolled out a revised HRIA approach to five of its manufacturing sites in China, covering 4,000 FTE. From this analysis, Philips identified challenges comparable to Batam, where temporary workers hired through external labor agencies were often insufficiently aware of Philips policies as well as their worker rights. With this insight, and building on best practices shared by Batam, the global team created a toolkit to support local stakeholders manage thirdparty labor providers, ensuring awareness of worker rights and Philips’ policies, and they deployed it globally."

"In addition, Philips uses the tools and supports the initiatives developed by the RMI, especially the Conflict Minerals Reporting Template (CMRT) and Responsible Minerals Assurance Process (RMAP)."

"Materiality Analysis

We identify the environmental, social, and governance topics which we believe have the greatest impact on our business and the greatest level of concern to stakeholders along our value chain. Assessing these topics enables us to prioritize and focus upon the most material topics and effectively address these in our policies, programs and targets.

Similar to 2021, we used an evidence-based approach to materiality analysis, powered by a third-party Al-based application. The application allows automated sifting and analysis of millions of data points from publicly available sources, including corporate reports, mandatory regulations and voluntary initiatives, as well as news. In our 2022 materiality analysis, we identified a list of topics that are material to our businesses. Please refer to ‘Materiality Analysis’ in 2022 Philips Annual Report for more information.