CORPORATE SHARED VALUE
During 2015, Telecom Italia completed the implementation of a new strategy based on creating economic and social value, developing Corporate Social Responsibility towards the concept of Corporate Shared Value (CSV), with the aim of linking economic and financial results to the social progress created by responding to the needs expressed by the sectors in which the Group operates.
The new approach adopted by Telecom Italia defines a different way to respond to the social needs expressed by stakeholders, as well as the economic ones of the Company, and to interpret the role of the business in society based on an awareness that there can be no long-term economic development unless it guarantees an improvement in social welfare and the protection of natural resources at the same time. The latter consideration is particularly relevant for Telecom Italia and the ICT sector in general, especially where digital technologies are concerned, as these are increasingly emerging as a key factor for the Country’s economic and social growth.
The culmination of this process implemented by Telecom Italia is the integration of the sustainability approach conventionally adopted by the Company as part of the overall corporate strategy, turning it into a vehicle for creating economic and social value.
Telecom Italia’s activities respond to the objective of providing the country with innovative infrastructure, IT skills, products, services and ICT solutions that meet the needs of society. Furthermore, the Company is strengthening this commitment through its active contribution to achieving the country’s digitisation objectives as defined in the Italian Digital Agenda, developed by the Italian government by transposing the directives set out by the EU in the European Digital Agenda.
A focus on innovation and investments in new infrastructures and technologies also characterizes Telecom Italia’s activities in Brazil, through its subsidiary TIM Brasil which, by investing in next generation infrastructure for broadband penetration, plays an important role in the digital inclusion process, responding to a strong social need in the Country.
In order to complete the transition to Shared Value that began in 2014, over the past year Telecom Italia’s CSV department has implemented several initiatives, both within the Company and externally. Of particular note is the establishment of a CSV model which, starting with an analysis of the country’s main needs, has identified three areas of intervention that can respond to these needs, through technologies, skills and specific projects. Once these strategic areas had been defined, and the results of the materiality matrix had been confirmed, the structure of the 2015 Sustainability Report was revised. The three areas identified are:
- digitisation, connectivity and social innovation
- environmental protection
- digital culture
The first 17 projects measured using the CSV model in Italy and Brazil were inserted into these three areas.
Considering in particular the close association between corporate shared value and business, reflecting the over-arching nature of the CSV model, Telecom Italia defined a new enhanced structure by involving the Company’s main departments and drawing up a CSV organisational procedure.
Stakeholder involvement, which includes listening to their requests, is one of the pillars of Telecom Italia’s sustainability model. The multi-stakeholder approach aims to garner their suggestions for innovative activities and projects the Group could implement. The most relevant project suggestions are shared with the business departments and senior management and, if there is a convergence of interests, they find a commercial outlet.
This approach allows to achieve major benefits, including:
- better risk management;
- high level of product and process innovation;
- better knowledge of the contexts in which the Group operates;
- scouting for the best market opportunities.
During the year, a new communication framework was established (#wesharethefuture), which expresses Telecom Italia’s CSV vision and systematises the Company’s sustainability initiatives and projects.
The development of the CSV strategy within the Company is constantly evolving and is principally based on the following drivers:
- updating the strategic areas of intervention;
- supplementing the strategic guidelines of the CSV in the business strategy guidelines;
- using social marketing guidelines to support the development of offers and services producing shared value;
- using CSV themes as positioning drivers in terms of both market and brand communication;
- monitoring the impact of CSV on the Group’s reputation.