LATAM’s commitment to the creation of shared value for shareholders, the market, employees, clients, suppliers and society at large, is an integral part of the company’s business strategy and decision-making guidelines. Sustainability advances, present through business practices, constitute an important thrust forward towards the aspiration of becoming one of the three largest airline groups in the world.
In 2016, what had already become a reality in the company’s daily operations was then elevated to the category of company policy via the approval of LATAM’s Sustainability Policy. This document, which was validated by the company’s Board of Directors, the highest corporate governance body, establishes the main guidelines and principles to be adhered to in the development and articulation of sustainable development strategies and initiatives throughout the entire Group.
From a long-term perspective, the company’s sustainability strategy is divided into three (3) dimensions:
- Sustainable governance: the company established a clear and transparent position regarding its commitments and objectives, decision-making structures, execution and follow-up of results that support the application of such strategy;
- Climate change: to balance out a risk mitigation vision and search for new opportunities in managing the real and potential impacts of the business, with an emphasis on the reduction of the carbon footprint and ecological actions;
- Corporate citizenship: to make of LATAM’s business and value network’s relationships -with suppliers, employees, clients and society at large- socioeconomic catalyzers of the region’s environmental equilibrium via the development of its employees, its social investments, the promotion of tourism and good practices.
These dimensions group the major development objectives, which are broken down into objectives and goals, helping to systematize the continuous improvement process and quantify the results.
In order to put the focus on our efforts to improve performance, LATAM considers a structured process of the most relevant sustainability topics, including the real or potential impacts of the operation of its various stakeholders, the public’s expectations, the company’s future outlook and the commitments assumed, sector and international sustainability drivers and global trends.
The following is the list of the organization’s most important topics:
- Climate change mitigation: to continuously reduce the intensity of emissions and introduce the results of new energy technologies’ research;
- Efficient management: to achieve levels of excellence in the rational use of fuel and the management of resources;
- Noise reduction and other emissions: to control de emission of aircraft noise in communities near airports and the impact of emissions on air quality;
- Connectivity and customer relations: to pay attention to technological opportunities and trends and meet new client demands, investing in the quality of our services and in transparent and ethical communications;
- Health and safety in the air and on the ground: to manage potential risks, including cyber risks and guarantee the highest standards of security to our customers, employees and the community;
- Talent and productivity management: to improve the management of performance and of the career in the different business units, aimed at professional growth and the maintenance of a high-performance culture;
- Relations with the Government, healthy competition and regulatory specifications: to pursue a continuous dialogue with governments, local authorities and representative industry organizations, focusing on compliance and the creation of responsible solutions.
- Value chain: to promote the suppliers’ good practices in terms of ethics, sustainability and the ecology and promote the development of those communities with which the company relates;
- Economic and financial sustainability: to look for synergies in managing costs and assets, the planning of current and future investments focusing on the creation of value for the company and its shareholders.