SO Responsibilityreport_2018

solpalvelut

www.sol.fi

Responsibility report 2018

Everyday acts


2 Responsibility 2018 | www.sol.fi

Solarsystem


4 Responsibility – everyday acts

10 Highlights of 2018

14 Description of the organisation

18 Management at SOL

26 Financial responsibility

28 Responsibilities to stakeholders

32 Environmental responsibility

42 Social responsibility

www.sol.fi | Responsibility 2018

3


1Responsibility

– everyday acts

This SOL Responsibility report is the ninth report

in this form. The guide is published in Finnish

and English every spring on the company’s website.

We want to constantly develop our operations

and make our services more sustainable

and responsible, taking into consideration the

needs of our customers and stakeholders. The guide contains

an introduction to the subject, key figures regarding

the actions implemented and the future goals.

At SOL, responsible business operations mean spontaneous

responsibility that supports the company’s

business and that are determined by the company’s values

and objectives, while also taking into account key stakeholders.

Many practical issues related to responsibility are

addressed in our everyday work. These issues include

occupational safety, good managerial work, improvements

in working methods, environmental issues, work ethics, a

pleasant work community, caring about others and about

customers, correct salary payments, the development of

competence and many other minor aspects. Our goal is

to be an excellent corporate citizen, focusing in particular

on the continuity of operations, supply chain responsibility,

our customers’ superior service experience, responsible

environmental management, well-being at work as well as

continuous improvement and development. Responsible

operations are essential and global. Ethical and responsible

choices are increasingly dictating our procurement

decisions and consumption.

The figures reported below are those of the SOL

Group, unless otherwise stated in the text. The segments

are Finland and the foreign subsidiaries, and the services

are the business lines of SOL Palvelut Oy: property services,

cleaning and facility services and security services, the

laundry services of SOL Pesulapalvelut Oy and the personnel

services of SOL Henkilöstöpalvelut Oy.

4 Responsibility 2018 | www.sol.fi


International

service locally

Turnover

306

milj. eur

€€€€€

Number of personnel

14 000

Customer satisfaction

visits

42 000

www.sol.fi | Responsibility 2018

5


1.1 Description of the

operating environment

in Finland

According to the Confederation of Finnish Industries’

economical cycle barometer the economical cycles grew

stronger towards the end of the last year and the situation

is still stronger than average. Growth in sales became

quicker in the last quarter of the year and the expectations

for sales are positive. Estimates indicated additions to

personnel and the challenges in recruitment are still very

big. The general economical cycle picture is not expected

to really change in 2019.

Estimates of the development of demand for property

sector’s services are mainly positive among the member

companies of the Real Estate Employers. 60 per cent of

those who answered the Real Estate Employers’ industry

barometer in September 2018 estimate that the demand

for property sector’s services has grown in the last 12

months and 55 per cent expect the demand to grow in the

coming year. For cleaning, the future is the most positive:

55 per cent of respondents expect the demand for cleaning

services to grow.

In the property services sector faces great challenges in

the availability of workforce. According to the Confederation

of Finnish Industries’ economic cycle barometer (October

2018) these recruitment challenges can be extremely

difficult. The availability is largely affected by the problem

of tax incidence, which became apparent also in the Real

Estate Employers’ industry barometer, where 62 per cent

of respondents estimated that the availability or workforce

has weakened in the previous 12 months. This trend is

expected to continue in the coming year.

In the digital survey implemented for the property

services sector in November 2018, a third of the 70 respondents

assessed that the opportunities offered by different

digital solutions and services are very significant to

a company’s operations. 70 per cent of respondents estimated

that investments related to digitality will increase in

the next three years. A central motive for the development

of digitality was the enhancing of business, but customers’

requests, improving communication, growing business

and cost saving were also important.

The effects of the reform of vocational education for

the property services sector meet the needs of work life

better when there are no more overlapping qualifications

and the skills content of new degrees are up to date. All

qualifications are completed as practical examinations.

Learning happens increasingly at the workplace, which

makes the dialogue between schools and companies

even more important. Forms of training that are arranged

at the workplace are apprenticeship training and training

agreement. Skills can be acquired by completing the

whole degree or, which is a more flexible way than before,

by completing some parts of the degree.

The future of the personnel services sector does not

appear so bright in the barometer of the Confederation

of Finnish Industries. Economic growth slows down, but in

the revenue enquiry of the Private Employment Agencies’

Association HPL, it is estimated that personnel services are

not likely to be the first to fade out.

According to the Private Employment Agencies’ Association

HPL’s revenue enquiry, 42 per cent of the personnel

services’ revenue comes from Uusimaa and 58 per cent

from the rest of Finland. Uusimaa’s share has continuously

decreased by 4 per cent since the end of 2016.

For laundry services, the economic outlook is hopeful.

The circular economy of textiles and clothing has raised

its head. People buy their clothes more responsibly and

invest in the quality of the clothes and textile products.

Consumers have started to consider their own consumer

habits and clothes are now more cared for than before,

since people have started to wash and repair them. The

flee markets of quality clothes, today’s clothes shops, have

appeared in the cityscapes. This phenomenon of the new

era is believed to increase the need for laundry services.

Situation in property services

6 Responsibility 2018 | www.sol.fi


1.2 SOL Future

SOL Future has endeavoured to forecast SOL’s prospects

in the property services and temporary staffing up until the

year 2025. SOL will be a strong contender in these future

markets.

Our Group-level growth target for net sales is one billion

euros by 2025. Of this total, operations in Finland will

represent MEUR 755 and the foreign subsidiaries’ MEUR

246. Correspondingly, the number of personnel in Finland

is expected to grow to some 20,000 people and to also

increase significantly in the foreign subsidiaries.

We anticipate that as many as 60% of our employees

will be of non-Finnish origin by 2030 compared to approximately

30% at present. Employees are increasingly expected

to have multi-expertise where different work tasks are

combined. In addition to property maintenance, key jobs

will be in the sectors of logistics, industry and commerce.

The skills and development of the personnel are ensured

by investing in training. Our age programme, in turn,

takes into account the employment needs of different

age groups. The programme connects the life situations

of different groups with work tasks suited to those life

situations. The rapid digital transformation of operating

methods and procedures will continue.

Net sales target (MEUR)

Figure 4. Group net sales target for 2025

1010

1001

808

606

404

202

0

222,6

51,4

2015

274

404

107

2020

512

755

246

2025

Total

Abroad

Finland

www.sol.fi | Responsibility 2018

7


1.3 Risk management

We have evaluated our key risks in cooperation with our

insurance provider OP:

Market position risks

• Operative process risks

• Personnel risks

• Information system risks

Risks are prioritised according to the importance of

the risk by evaluating the influence and likelihood of risks

and the level of risk management. When evaluating the

influence of risks, the effects on the well-being of people,

the environment and the reputation of SOL are taken into

account in addition to the financial effects. At SOL, risk

evaluation utilises

Tools in accordance with the Operating System.

There are appointed persons in charge of risk management

at SOL, who are responsible for the planning,

execution and monitoring of procedures. The defined

procedures are attached to the action plans and monitoring

systems.

Risk management procedures are directed at the most

significant risks in terms of influence with cost-efficient and

purposeful procedures.

The management at SOL regularly monitors the success

of risk management and reports on the risks and the

development of risk management procedures. The sufficiency

and influence of procedures is evaluated as a part

of business monitoring. Corrective action will be taken as

necessary.

Preparing for the EU General Data Protection Regulation

(GDPR, entered into force on 25 May 2018) was already

started at SOL in 2017 in the Data protection team.

In 2018, we drafted the risk evaluation of data protection

and data security and also an extensive evaluation of data

protection’s effects, which was done together with outside

experts. We also drafted the data processing agreements

needed in customer and partner cooperation. Data protection

directors have been appointed for every company.

Financing and

liquidity risks

Credit risks

Management risks

Market position

risks

Market risks

Environmental

risks

Personnel risks

Personal injury

risks

Financial

risks

Liability

risks

Risks of

physical

damage

Total risk

Strategic

risks

Operational

risks

Process risks

Information

system risks

Operating environment

risks

Supply chain

risks

Legal risks

Risk management

1.4 Responsibility for service

provision and service

SOL’s responsibility is to ensure that the services it provides

are safe, reliable and sustainable and that they meet

quality standards, such as hygiene requirements. SOL

prefers long-term relationships with selected suppliers,

and expects from all its service providers a commitment

to the requirements set for security, the environment and

employment relationships.

SOL operates in the corporate and consumer markets,

and the end-user is always an individual who requires

reliability and safety. We require a picture ID from the personnel

of our supplier partners as well as an attached tax

number in order to prevent the grey economy.

SOL’s provision of services is well defined and mostly

designed and developed by SOL. Development work is

carried out in collaboration with all the suppliers to ensure

accurate provision of the services. Development relies on

safety, usability, functionality, durability and quality – all of

which are factors needed for excellent customer satisfaction.

In SOL Henkilöstöpalvelut Oy, the customer, as the user

company, is responsible for the safety of SOL’s service experts.

SOL’s role is to recruit, train and provide orientation

for service experts so that they are able to act according

to customers’ needs, instructions and safety regulations.

8 Responsibility 2018 | www.sol.fi


1.5 Managing

Director’s review

Last year, we had many great events where we have, together

with our customers, celebrated our long-lasting cooperation.

In this time, these long-term partnerships cannot be

taken for granted and we are very proud and happy about

the trust we have earned. Together with our customers and

personnel we have discussed why the customer relationship

continue for years in a way where both parties feel extremely

content. We found many reasons, but one thing became

clear – everyday life decides!

Trust, which is the requirement for good cooperation, is

earned with everyday acts. This means being ready to work

steadfast to maintain and develop the relationship. It is apparent

how important the people, superiors and colleagues

and customers of the workplace are. People make the atmosphere

and therefore give the work its meaning. Working

together and feeling like a part of the group are valuable

things in work life.

Responsibility concerns us all

In addition to the Group’s Management Team and task-specific

development groups, the entire staff works for and

towards SOL’s responsibility. Many practical issues related

to responsibility are addressed in our everyday work. These

issues include occupational safety, good managerial work,

improvements in working methods, environmental issues,

work ethics, and a pleasant work community. We care about

each other and our clients and strive for fair salaries.

The goal for SOL is not only to maintain a superb business

culture but also to keep on improving it. Working should be

cheerful, without forgetting the everyday creativity of each individual,

the preservation of entrepreneurship and a lifetime

of learning.

The reform of the reformed vocational education was

renewed at the beginning of this year and its effects for

property services sector meet the working life’s needs better

than before. It is great that our own organisation has gained

there a vantage point and the role of an active influencer.

We received the chair’s position in the newly found working

life committee of our industry. SOL has always invested in

training and apprenticeship training has been a practice at

SOL for years.

Last year we organised about 900 different training events

that almost 12,000 SOL personnel members participated

in and about 300 people completed a vocational degree.

Business Akatemia, SOL’s own management training was

developed in 2018 and started in 2019. Out training organisation

could therefore be called a medium-sized school.

In accordance with the training strategy, the functionality

of the trainings is continuously developed and in 2018

the new online learning environment Aurinkoakatemia was

implemented and the reformation of employees’ orientation

training began in 2018 and will continues this year.

This year, the development of customer-specific concepts

and operations models was invested in especially. SOL Palvelut

was the first in Finland’s hotel cleaning business sector to

be awarded the Swan label.

Future views

The Group’s views for the year 2019 are good despite the

tough competition situation. Our goal for the future is to be

a billion class family company that operates in the international

markets. We have the readiness and the passion

to grow and evolve. Taking care of the customer’s needs is

important to us, sustainable development and offering job

opportunities to different people will continue to be our

mission. Harnessing technology and new innovations to help

in everyday life and to support management will be at the

centre of our growth. We bear our responsibility for social

environment and nature. We have a bold attitude towards

building the future and our participating personnel together

with our customers ensure our success.

To achieve our billion-class objective we must continue

to develop and grow our already existing businesses and

patronages. Furthermore, we will consider our opportunities

to expand to new sectors and to export our already existing

services to geographically new areas. In the summer we

bought the majority shareholding of Consultor Finland Oy,

meaning that we took a step into a completely new area

of operation. In November, due to a company acquisition,

our international operations expanded to Denmark. In the

company acquisition, TekniClean A/S, specialised in food

cleaning, transferred under SOL’s ownership. These are

examples of our growth opportunities and we will continue

to see more of them.

SOL is already a part of many life cycle projects, which are

rapidly becoming more common in the municipality sector.

In them the goal for property maintenance and a building’s

upkeep can be set as far as 30 years in the future. This also

creates for us completely new possibilities to develop out

services

We have the readiness and the passion to grow and

evolve, the world is quickly changing. Change and future are

always a possibility. We just have to approach them bravely

and participate in building something ne

Juhapekka Joronen

SOL Group is now

under fourth-generation

leadership in Peppi

Kaira and Juha-Pekka

Joronen.

www.sol.fi | Responsibility 2018

9


Highlights

of 2018

10 Responsibility 2018 | www.sol.fi


Highlights of 2018

Multiculturalism

At the beginning of every year, we publish a multicultural celebration

day calendar. Diversity is a richness and we appreciate it on all levels.

We all have important dates related to our religion and nationality

that we want to celebrate. The Multicultural team operating within

SOL annually maintains the multicultural celebration day calendar.

This helps us to acknowledge our employees on holidays that are

important to them and to take this into account when planning the

work shifts.

Backpack of Happiness

Backpack of Happiness gives you the tools for work well-being!

Work well-being mentoring that was created as a part of the Backpack

of Happiness project and which has an important role in our

work well-being at SOL. Our capable mentors create new operations

models for everyday life and tools for maintaining well-being, for

cooperation between managers and the work community and for the

everyday life of the employee.

SOL Life Personnel services

SOL & FirstBeat started the year with gusto – with the well-being and

health of SOL employees as the priority! For us, the equation is clear.

Our sunny way of serving our customers is only possible because

of our healthy personnel. When our hearts and minds are well, we

develop and evolve. SOL Henkilöstöpalvelut salaried employees

completed the First-Beat-well-being survey during December and

January. Because of the survey, we have received valuable and individual

support from well-being experts to develop the keys for daily

well-being.

Swan label

SOL Palvelut was the first in Finland’s hotel cleaning business sector

to be awarded the Swan label. Getting the renowned Nordic environmental

labelling was one of the promises in SOL’s environmental

programme ‘Sitoumus 2050’.

Summer employees

We employed a 1,000 summer employees in Finland in different

property services, security and laundry service jobs, we participated

in the Vastuullinen Kesäduuni campaign for responsible summer

jobs.

Consultor Finland Oy

Solemo Oy (SOL) bought two thirds of the stock of the information

technology expert company Consultor Finland Oy. Consultor’s good

reputation, strong skills and having the capable, motivated and

growth-hungry management remain were the condition for the stock

trading. In service business, the significance of and dependency on

automatisation and robotics is growing and SOL wants to be in the

frontline offering these services.

www.sol.fi | Responsibility 2018

11


Highlights of 2018

#eisyrji campaign against discrimination

We were one of the firsts to participate in the expansive #eisyrji campaign

that challenged Finns to contemplate their own attitude. The

campaign aimed to change attitudes and to decrease discrimination

in the Finnish working life. The goal is to make parity and equality in

working life a matter of course. As a labour-intensive company, SOL

wants to maintain a cheery atmosphere and use diversity in customer

services. Any kind of discrimination between people is not accepted

at SOL.

Elina Jalonen

Elina Jalonen was appointed to be the Managing Director of SOL

Pesulapalvelut Oy.

Summer days in Tuuri

The SOL employees’ Hyvä Tuuri summer celebration, which we held

for the second time, gathered SOL employees and their families in

the shopping centre Tuuri to spend a sunny summer day together.

Work well-being challenge

The purpose of the SOL Life Kuntokuuri programme (which started

in the autumn and will continue in the spring) is to activate our staff,

guide them into a healthier lifestyle and help them look after their

own well-being as a whole. We hope you make important discoveries

about your energy resources and the actions you can take to

improve your own well-being. The purpose of the programme is

to activate our staff, guide them into a healthier lifestyle and help

them look after their own well-being as a whole. We hope you make

important discoveries about your energy resources and the actions

you can take to improve your own well-being.

Redi

A full-service SOL Laundry opened its new landry in Kalasatama in

the shopping centre REDI

Working life partner of Keuda

Keuda chose SOL as the Working life partner of 2018. Strategically

long-term cooperation, innovation, development and trust counted

in the selection.

12 Responsibility 2018 | www.sol.fi


Highlights of 2018

Juhana Olkkola

SOL Henkilöstöpalvelut Managing Director Juhana Olkkola.

Solar panels

SOL had solar panels installed on the roof of the headquarters. Our

own solar electricity generates power for the personnel’s computers

and the property’s lighting.

TekniClean A/S

In November, SOL bought the Danish TekniClean A/S which specialises

in food cleaning. In the trade SOL receives 300 new employees

and a company with a MEUR 14 turnover and customers who include

the leading meat processors of the food industry.

Clothes lending

The clothes lending company Vaatepuu and the SOL Pesulapalvelut

laundry service serve together in a sustainable and practical manner.

The new cooperation piloting will be implemented in the Greater

Helsinki area. The returning and maintenance of Vaatepuu’s clothes

can in the future be done conveniently in any SOL Laundry in the

areas of Helsinki, Vantaa, Espoo and Kauniaiset..

Pirkanmaan Osuuskauppa

The cleaning service business of Pirkanmaan Osuuskauppa transferred

as a company transfer to SOL Palvelut Oy on 1 February

2019. Pirkanmaan Osuuskauppa and SOL have successfully worked

together for several years and we mean to continue to develop the

relationship in the future.

Yellow Panthers

At the beginning of December we always celebrate SOL’s Yellow

Panthers, those who have retired from SOL, by having a Christmas

lunch with them and catching up with new and old friends.

www.sol.fi | Responsibility 2018

13


2Description

of the organisation’s background

SOL is a business owned by a Finnish family.

SOL’s management is guided by values where

economical, social and environmental responsibilities

are at the centre. The SOL Group comprises

the parent company SOLEMO Oy and its

five wholly owned subsidiaries in Finland and

five international subsidiaries. We offer cleaning and facility

services in St. Petersburg and Moscow in Russia and

in Estonia, Latvia, Lithuania and Sweden. Retail laundry

services are offered in Moscow, St. Petersburg and Estonia

as part of a cleaning and facility management company.

The dry cleaning shop concept of laundries began in

Finland in 2001. Last year, Finland had 61 serving laundry

shops. New laundry shops were established in Easton

shopping centre and Järvenpää. International laundry

operations were launched in Estonia in 2008, St. Petersburg

in 2010 and Moscow in 2011. In 2009, we began to

offer temporary staffing and recruitment services to our

customers in Finland. In Russia, we were in the temporary

staffing business from 2013 to 2015.

2.1 The SOL companies

Solemo’s Finnish subsidiaries include SOL Palvelut Oy, a

provider of cleaning and facility services, property services

and security services. SOL Henkilöstöpalvelut focuses on

temporary staffing and direct recruitment services. SOL

Pesulapalvelut Oy provides laundry services to private

individuals, businesses and public sector entities.

Group companies:

SOL Palvelut Oy, Helsinki

SOL Pesulapalvelut Oy, Helsinki

SOL Henkilöstöpalvelut Oy, Helsinki

SOL Baltics OÜ, Eesti

• OOO SOL, Venäjä

• OOO SOL Sp, Venäjä

• OOO SOL DC, Venäjä

• Solreneriet AB, Ruotsi

• Tekniclean A/S

• Goldcup 17817 AB

• Reneriet Estonia OÜ, Eesti

• Consultor Finland Oy

2.2 SOL is a Solar

System – outstanding

partnership and quality

SOL is a Solar System consisting of the Solar Centre,

personnel services, property services, laundry services,

cleaning services, facility services and security services. We

want each of the services to represent the absolute top in

its field and provide our customers with positive experiences.

We act responsibly, respecting the environment and

providing the best customer service. We are quick and

cost-efficient. We want to be a superior partner in all of

our services and service solution packages.

In addition to SOL’s Management Team and task-specific

development groups, the entire personnel works for

and towards SOL responsibility. The work of a responsible

corporation involves us all. The operational organisation is

structured so that all the services, marketing and sales as

well as development and administrative operations support

the operative activities throughout the Group. The

backbone of the operations is the line organisation, which

serves locally and with uniform quality in accordance with

the SOL Operating System. The Group’s development

activities focus on establishing and developing service

concepts and processes. Procurement and logistics are

also under development..

14 Responsibility 2018 | www.sol.fi


At the sources of Solar energy

SOL

Values

• Sunny and satisfied customers

• The joy of working

• Everyday creativity

• Enterprising spirit

• Reliability

SOL

Success factors

• Skilled and participating personnel

• Sunny customers

• Profitable growth

• Profitability and competitive strength

• Productivity

• Efficiency and safety

SOL

Mission

• We allow our customers to focus on their own tasks

SOL

Vision

• We want to be the superior service partner for our

customers and provide positive experiences

SOL Philosophy

SOL’s image of humankind

• People are responsible individuals and they want

to do good work

• People have a need to succeed

• People are different

• People take the initiative and are creative

• People are thinking, acting and feeling beings

SOL freedom

• Freedom of workplace: it is not important where

work is carried out; what is achieved is what

matters

• Freedom from status symbols: respect has to be

earned

• Freedom from working hours: the result counts

www.sol.fi | Responsibility 2018

15


2.3 Reporting

Net sales (MEUR)

Figure 1. Net sales development 2014–2018, Finland and other countries

250

221,5 222,6

230,8

244,9 242,5

Finland

200

Other countries

150

100

50

48,1 51,4 54,2

66,9 64,3

0

2014

2015

2016

2017

2018

Operating profit (MEUR)

Figure 2. Net operating profit development 2014–2018

14

13

12

11

10

9

8

7

6

5

4

3

2

1

0

2,5

2014

4,7

2015

5,2

2016

13,6

2017

11,3

2018

Net sales of SOL Henkilöstöpalvelut, 2014–2018 (MEUR)

60

50

40

41,6

52,1

50,4

30

26,0

20

20,1

10

0

2014

2015

2016

2017

2018

16 Responsibility 2018 | www.sol.fi


Gross investments (MEUR)

Figure 3. Gross investments 2014–2018

10

9

8

7

6

5

4

3

2

1

0

8,8

2014

7,0 6,9 7,0 7,0

2015 2016 2017 2018

Number of personnel 2014-2018

10000

9000

8000

8200

8692

9050 9050

9530 9598

Finland

Other countries

7000

6000

5000

4000

3000

3282 3339

3606 3747

4155 4122

2000

1000

0

2013

2014

2015

2016

2017

2018

2.4 Mission, vision

and strategy

Our mission is to strengthen our customers’ corporate

image with the services we provide. We act in a

responsible manner and we are a valued employer.

All our activities and decision-making are based on

shared values: sunny and satisfied customers, reliability,

enterprising spirit, everyday creativity and the joy of

working. We are here to serve our customers.

Happy working clothes of red and yellow symbolise the

SOL values and brand. The striking colours also improve

occupational safety.

We at SOL believe in a positive image of humankind,

where everyone wants to work and succeed in their work

and each of us is a different, creative, thinking, acting and

feeling human being.

We want to encourage and give feedback in order to

develop in our work. Success and praise, in particular, are

important to us and essential for work motivation.

Our vision is to be a superior partner for our

customers across all services. In line with our mission, we

allow our customers to focus on their core business.

We want to grow by utilising our service concepts

and employing qualified personnel while developing

cooperation with our customers. The end result is a

profitable, financially-sound and excellently-managed SOL

with sunny and satisfied customers and personnel.

The SOL corporate image is projected to the market

and to all our stakeholders. The cornerstones of our brand

are cheerfulness, yellow sunniness,

– enthusiastic service, skilled professional personnel,

flexibility and ease.

www.sol.fi | Responsibility 2018

17


3Management

at SOL

SOL’s management culture is established to allow

trustworthy interaction and an atmosphere that

encourages everyday creativity and to promote people’s

respect and responsibility towards each other.

t SOL, we aim towards servant and coaching

Aleadership. Giving responsibility, trust, and

supporting a functional work community are

some of the essential mindsets.

The parent company’s Board of Directors

comprises Juhapekka Joronen, Chairman,

and ordinary members Peppi Kaira and Anja Eronen for

the duration of the accounting period and Oona Kaira as

of 10 February 2017. Juhapekka Joronen is the Managing

Director of SOL Palvelut Oy. Elina Jalonen is the Managing

Director of SOL Pesulapalvelut Oy. Juhana Olkkola

is the Managing Director of SOL Henkilöstöpalvelut Oy,

and Peppi Kaira is the Managing Director of SOLEMO Oy.

Anja Eronen was the Managing Director of SOLEMO Oy

and SOL Palvelut Oy until 31 August 2011 and has been

Chairman of the Board of SOL Palvelut Oy as of 1 September

2011.

SOL’s Management Team comprises Anja Eronen,

Chairman, the Managing Directors of the Finnish companies,

Timo Sairanen, Director, HR and Legal Issues and

Riitta Sirviö, Director, Development Group. The Management

Team also includes representatives of senior salaried

employees, salaried employees and other employees.

The company’s auditor is KPMG Oy Ab, Authorised

Public Accountants, with Toni Aaltonen as the lead auditor.

The management organisation is as lean as possible

in order to be close to the customer and personnel. The

Development Group of each service sector is responsible

for monitoring operational management and for development

and improvement projects. All meeting practices are

presented in the SOL Operating System. They are defined

in the annual Action Plan and also scheduled according to

it.

The SOL Operating System is based on the ISO

9000:2015 quality standard, the ISO 14001 environmental

management standard, the OHSAS 18001 safety specification

and the ISO 31000 risk management standard. Each

company has its own operating system compliant with the

Group’s core system. Our customers audit our operating

system, which serves as a foundation for developing operations.

SOL’s Estonian and Latvian companies have quality

certificates. The well-being programme is integrated into

the SOL Life programme. Documentation is saved centrally

in the databank, which also includes the customer

management system. The system utilises SOL’s in-house

customer information system (Sirkkeli).

Safety instructions are an integral part of the SOL

Process Management System. They are easily available on

the intranet or in separate folders at our full-service laundry

shops. The Group and its companies have nominated

people to be responsible for data security, environmental

safety, occupational safety and other safety. Updating

safety instructions, as well as early intervention and preventive

measures, are important to SOL. We emphasise

the personnel’s responsibility, and acting according to that

responsibility, in all our communications. We never permit

any form of corruption or bribery whatsoever. The guidelines

for receiving gifts and for travel are documented in the

SOL Operating System.

The management

organisation is as

lean as possible in

order to be close to

the customer and

personnel.

18 Responsibility 2018 | www.sol.fi


Management principles, illustrating lean organisation and internal services.

Leveraging

shared resources

Lean central management.

Clear objectives,

indicators and

monitoring

Selected group

services

Decentralised

organisation,

accountability as lean

as possible

Continuous

improvement

Individuals deliver

results in

cooperation with

each other

Increasing

flexibility

www.sol.fi | Responsibility 2018

19


3.1 SOL’s ethical rules –

principles of good business

3.1.1. Introduction

SOL’s operations are guided by values that emphasise

economic, social and environmental responsibility. Each

SOL employee must comply with our values in their work:

Sunny and satisfied customers, the joy of working, everyday

creativity, enterprising spirit and reliability.

At SOL, we believe that everyone wants to do their job

well and succeed in their work. We encourage independence

and the acceptance of responsibility. Everyone at

SOL must act responsibly with regard to our stakeholders.

SOL’s responsibility covers all stakeholders: customers,

personnel, shareholders, subcontractors, partners, authorities,

the company’s own business sectors and their

organisations, the media, and cooperation with non-profit

organisations.

These rules are part of the SOL Responsibility Report.

The rules apply to all SOL’s subsidiaries in Finland and

abroad. Each SOL employee is responsible for playing by

the rules.

3.1.2 Ethical rules and legislation

SOL and its employees act legally and in accordance with

current, generally accepted business practices. As a member

of the Real Estate Employers, SOL and its employees

develop the industry by complying with the ethical rules.

Each SOL employee is responsible for acquiring the necessary

information on the legislative regulations concerning

their work. Supervisors must ensure the employees

receive adequate orientation to these rules. If in doubt,

SOL employees should always turn to their supervisor

for help. SOL supervisors must ensure full compliance

with laws, regulations and good business practices. If

an employee notices any breaches of regulations, they

must immediately notify their supervisor, who will take the

necessary actions at once and report the matter to the

Group management.

We apply the ethical

guidelines published by the

Real Estate Employers and

work to raise the profile of

the property service sector

• We will act reliably and with high quality, in accordance

with the promises and commitments given to

customers

• We will act responsibly and also expect responsible

operations from our partners

• We are bound by the duty of professional secrecy

with regard to confidential information and we will not

misuse any information obtained

• We will fulfil our social obligations and responsibilities,

and we are familiar with the standards of the industry

• We undertake to maintain the skills and development

of our personnel and we will promote employee wellbeing

and the occupational safety of our personnel and

customer companies

• We will respect other enterprises in the sector, compete

fairly and work to abolish the grey labour market

• We will provide every employee with a photographic

ID, displaying their personal details and tax ID and

submit all company and subcontractor information

required under the provision of the Act on the

Contractor’s Obligations and Liability when Work is

Contracted Out, using the tilaajavastuu.fi online service

• We are committed to promoting environmental values

and awareness

• We will encourage equality at work and acceptance of

individuality and diversity within the work community

20 Responsibility 2018 | www.sol.fi


we will operate responsibly

by providing fair temporary work.

3.1.3 Conflicts of interests, gifts and bribes

SOL employees are expected to promote SOL’s interests

and act in a responsible manner. SOL employees

must avoid all situations that might result in a conflict of

interests.

The corruption and bribery ban permeates all SOL

operations. SOL and its employees may not make or offer

bribes or unlawful payments to customers, managers,

national of local authorities or other parties to gain or

retain business, or for any other equivalent reason.

SOL does not grant direct or indirect support to political

parties, organisations or individual politicians.

SOL employees may not accept personal benefits or

gifts from stakeholders or suppliers which run contrary

to applicable laws or local business practices. Gifts or

benefits must only be accepted if they are offered in the

context of regular business activities and they are ordinary,

reasonable and low in monetary value.

Gifts and hospitality may be acceptable if they are:

• not offered on a regular basis, are given or received

openly and without an obligation and/or expectation of

a favour in return

• approved by stakeholders and able to stand public

scrutiny

• legal, ordinary and of moderate monetary value

• Before offering a gift or benefit to a partner, employees

must ensure that they are aware of the rules and ethical

guidelines observed by the recipient to prevent bribery.

In Finland, hospitality in the public sector is subject to

guidance (1592/2010) issued by the Ministry of Finance,

available (in Finnish) at: www.vm.fi/vm/fi/04_julkaisut_ja_

asiakirjat/02_henkilostohallinnon_asiakirjat/03_ohjeet/

20100825Vieraa/Vieraanvaraisuudesta__eduista.pdf

Examples of acceptable hospitality include attendance

at occasions such as birthday and retirement receptions

organised by a partner. In these circumstances, gifts in

keeping with convention are acceptable. Also acceptable

are parties and cultural events in the context of meetings

and training courses.

Gifts or benefits exceeding a value of EUR 100 offered

to a SOL employee must be authorised by a Service Director,

Business Director or Managing Director.

Benefits must not be accepted if:

• The value of the benefit exceeds conventional business

practices

• The benefit is in conflict with SOL’s interests and values

• The benefit may impair or be seen to impair the other

party’s independence or impartiality

• The benefit is likely to arouse suspicions regarding the

giver’s motives or its impact on decision-making or

outcomes of business

• The benefit could generate negative publicity for SOL

As a general rule, SOL will cover the costs of any travel

related to events and travels organised by external parties.

In the event of confusion regarding the appropriateness/legality

of giving or receiving a gift, it must be

declined.

3.1.4 Responsible Personnel services

The SOL Group’s personnel services arm, SOL Henkilöstöpalvelut,

is an authorised member of the Private

Employment Agencies’ Association (HPL) and a member

of Service Sector Employers Palta. As an authorised company,

we commit to adhering to the authorisation rules

and to responsible operations by offering fair temporary

work.

3.1.5 Fair temporary work

The authorisation of personnel services companies ensures

the fairness of temporary staffing for both employees

and user companies. Authorised companies wish to

highlight their commitment to legal, ethical procedures.

As for customer companies and temporary staff, they wish

to be able to identify the honest and reliable operators

in the field. The authorisation rules are provided to both

parties for information. Compliance with the authorisation

rules is monitored.

The Private Employment Agencies’ Association has

prepared general terms and conditions for temporary

staffing and recruitment to clarify the distribution of

responsibilities and rules between the contractual parties.

The terms and conditions also take into account the

right of employees and job applicants. The general terms

and conditions are intended to serve as an appendix

to the contract between a personnel services company

and its customer. The contractual terms and conditions

specify the course of the process, the obligations of the

contractual parties, the validity and termination of the

contract, the making of reclamations, and indemnities. The

parties may deviate from the terms and conditions by a

separate, written customer agreement.

www.sol.fi | Responsibility 2018

21


3.2 Stakeholders

SOL’s social responsibility covers all stakeholders:

customers, personnel, subcontractors, partners, shareholders,

authorities, the company’s own business sectors

and their organisations, the media, and cooperation with

non-profit organisations.

We comply with the laws, regulations and guidelines

of local authorities in all our operating countries. We

diligently take care of our taxes and payments, which are

further used for maintaining social services and public

infrastructure.

3.2.1 Our priority is a sunny, satisfied and

loyal customer

SOL’s operations are divided into local service districts,

which are responsible for their own customers and are as

close to the customer as possible. SOL has nearly 10,000

registered customers. and fulfilling contractual obligations

with them is a matter of honour to SOL. SOL likewise

expects the same from its contracting parties.

In line with our operating system, we aim to prevent

problematic situations and to rectify and continuously

improve our services.

Customer satisfaction and customer retention are

monitored in all our activities every month. A continuous

customer feedback and questionnaire procedure is in use

and it is conducted monthly with some of the customers.

This procedure is based on the SOLE guidelines and on

an annual plan. SOL’s customer satisfaction has been at an

excellent level for many years.

The end-user of SOL’s services is a private customer

whom we serve to the best of our ability. Our goal is to

have customers who want to do business with companies

and communities using our services or with our own

full-service laundries also in the future.

3.2.2 Personnel

We currently employ nearly 14,000 people, to whom we

are committed to paying wages and salaries according

to agreements and for whom we pay employers’ contributions.

We serve our customers with and through our

personnel. Our key value is the joy of working.

SOL aims for a fair personnel policy, which enables the

company to safeguard employment and guarantee high

job satisfaction. Investment in the continuous development

of employees’ skills provides maximum benefits for

customers, employees and SOL.

The well-being of personnel is fully addressed.

Employees are encouraged and trained to participate

in the planning and development of their own tasks in

everyday work, as well as in long-term planning and development.

For instance, the annual action plan and budget

are built from the bottom upwards, thus involving as many

employees as possible. In Finland, the personnel working

at least 15 hours per week are provided with general prac­

22 Responsibility 2018 | www.sol.fi


Customer satisfaction

Figure 5. Customer satisfaction 2014-2018

100

90

80

70

60

50

40

30

20

10

0

2014 2015 2016 2017 2018

SOL Palvelut Oy

2014 2015 2016 2017 2018

SOL

Pesulapalvelut Oy

2014 2015 2016 2017 2018

SOL

Henkilöstöpalvelut Oy

Laughter

Smile

www.sol.fi | Responsibility 2018

23


titioner-level healthcare after six months of employment,

and SOL has adopted SOL Life as an “Ongoing Care

Model”.

High priority is systematically given to occupational

safety, risk management and pro-activeness throughout

our operations. Rapid communications and interaction

commensurate with the situation have been further

strengthened.

Personnel competence is improved by short-term and

long-term in-house coaching and training sessions, and

by apprenticeship training. SOL offers active tutoring and

mentoring for all personnel groups and conducts a continuous

Joy Barometer job satisfaction survey. “From goals

to results” discussions help in setting goals, achieving

results, developing operations and they also facilitate the

personnel’s self-development. A scorecard is used for monitoring

and controlling the achievement of the goals. The

Quality Passport has been in use at SOL for a long time

now as a tool to reward employees for good performance.

SOL has a good and effective relationship with labour

organisations.

3.2.3 Responsible owners with a face

In a family business, the owners of SOL have a key role

and long traditions of developing the company and its

operations. The owners expect from the employees responsible

operations in accordance with the company’s values.

SOL is an active member of the Finnish Family Firms

Association, which promotes an operational framework for

and responsible ownership of family enterprises.

3.2.4 We select our partners carefully

SOL’s partners include a number of suppliers of services

and goods. Our partners are expected to be reliable, professional

and responsible, and SOL invests in cooperation

with them. For further information, please see the section

on Social Responsibility. Our aim of cost effectiveness will

also challenge SOL’s partners.

3.2.5 Developer of the business sector

SOL’s roots in Finland’s business community run deep.

The first operations are considered to have started in 1848

when dye master C.A. Lindström founded a textile dye

house and laundry on the hill where Finland’s Parliament

House currently stands.

SOL has significantly improved the sector’s image with

its reputation as a good employer and provider of quality

services. SOL is well-known for transforming the property

business into a service sector.

SOL is an active opinion leader in the Confederation

of Finnish Industries, Real Estate Employers and Palta

Oy. Juhapekka Joronen, the Managing Director of SOL

Palvelut, is a member of the Board of the Confederation

of Finnish Industries and the Chairman of the Board of the

Real Estate Employers. We also participate in the work

of other bodies and accept positions of trust and expert

tasks offered.

3.2.6 Communications and media

Our business sectors interest everybody. SOL aims for

transparent interaction with the media and regularly

reports the Group’s news directly to the media via targeted

press releases, which are also available on our

website. Our communication channels in Finland include

the Group’s intranet and the SOLISTI customer magazine,

in addition to the website and social media. Our entire

website has been translated into English. Our communications

department coaches and trains the personnel and it

is responsible for internal and external communications in

accordance with the company’s communications plan.

We are pleased to share information about our actions

and results. Our experts are encouraged to make public

presentations and to share their knowledge outside the

group.

3.2.7 Increasing our global role

Individual rights and shared responsibility are evolving. We

will have an increasing role in employing labour coming

from less developed countries and also in improving the

conditions of their countries of origin.

In 2012, we signed the Diversity Charter Finland, according

to which:

We will offer equal opportunities. We will recognise and

utilise individual skills and needs.

We will manage the personnel and customers fairly.

We will provide information on our goals and accomplishments.

SOL has a multicultural development group, which

reports directly to the Management Team. We employed

2,171 foreign nationals in Finland in 2018.

Since 2007, SOL has had a Young Staff Development

Group with participants representing employees from

different sectors. The purpose of the group is to promote

the position of young employees and highlight their views

on issues.

SOL is a member of FIBS and a partner of the Responsible

Summer Job campaign. During 2018 we have

supported the education of Tanzania’s orphan children in

many different ways.

3.2.8 Working life committee cooperation

SOL is engaged in large-scale cooperation with educational

institutions, starting from sponsoring classes in upper

secondary schools. Vocational schools in our field as well

as polytechnics and universities are important partners

for us in training, internships and teaching and they also

provide us with skilled employees.

The Manager of Training at SOL acts as the chair of

the new working life committee of Cleaning and Property

Services appointed by the Board of Education and as the

Chair of the degree committee.

In 2017, SOL was involved in a work group to renew

some of the qualifications in our sector. Now, the Facilities

Services Sector has a new degree entity for the Vocational

Qualification and Further and Specialist Vocational Qualifications

in Cleaning and Property Services that combine

the previous seven qualifications of our sector.

24 Responsibility 2018 | www.sol.fi


We comply with the UN

Global Compact principles

in our operations:

1. Businesses should support and respect the protection

of internationally proclaimed human rights within

their sphere of operation.

2. Businesses should make sure that they are not complicit

in human rights abuses.

3. Businesses should uphold the freedom of association

and the effective recognition of the right to collective

bargaining;

4. the elimination of all forms of forced and compulsory

labour;

5. the effective abolition of child labour; and

6. the elimination of discrimination in respect of employment

and occupation.

7. Businesses should support a precautionary approach

to environmental challenges;

8. undertake initiatives to promote greater environmental

responsibility; and

9. Businesses should encourage the development and

diffusion of environmentally friendly technologies.

10. Businesses should work against corruption in all its

forms, including extortion and bribery.

in Finland,

we employ more than

3,000 foreign nationals

www.sol.fi | Responsibility 2018

25


Financial

responsibility

SOL’s financial goals are based on profitable growth

and profitability. In addition to organic growth, SOL

aims to acquire business operations and enterprises

that will support the Group’s operations. A long-term

goal is for return on investment (ROI) to exceed 20%.

4rowth

G

will be financed from income. Our

equity ratio of 48.8% enables cost-effective

liquidity fluctuations. Good liquidity safeguards

SOL’s payment obligations to stakeholders

and also builds in flexibility for any

quick acquisitions needed. SOL’s liquidity has remained at

a good level. In addition to paying employees’ contributions

and public payments, the Group has been able to

finance investments and other acquisitions from income

in accordance with set plans. SOL wants to ensure that it

meets all payment obligations according to the agreed

payment terms without delay, and also expects the same

punctuality from customers with regard to their payments.

Our liquidity is measured with the Quick ratio which in

2018 was 1.3, meeting our objective.

All of SOL’s services are produced locally, and the operations

have been organised accordingly. SOL’s business

management, as well as the financial and HR administration

of SOL City, SOL headquarters in Finland, support

our local operations. Some of the financial administration

operates in Seinäjoki and Kouvola.

The turnover of SOL Group has risen by 13.8% since

2014, the growth of foreign subsidiaries has reached

33.7%, and that of Finnish subsidiaries 9.5%.

In 2018, the turnover in Finland were distributed as

follows: cleaning and facility services 73.4%, property

and security services 5.6%, laundry services 3.8%, and IT

services 0.7%. Finnish operations accounted for 79% and

foreign operations for 21% of turnover.

SOL’s gross investments amounted to MEUR 7, while

procurement of materials and services amounted to a

steady MEUR 12.3 in 2018.

We operate

nationally,

we serve locally.

26 Responsibility 2018 | www.sol.fi


Group net sales, MEUR Change in net sales, %

320

288

269,6 274,0

285,0

311,8 306,8

25

256

20

224

192

15

160

128

10

9,4

96

64

32

0

2014

2015

2016

2017

2018

5

0

2,9

2014

2

2015

4,04

2016

2017

-1,6

2018

Equity ratio, %

Return on investment, MEUR

50

42,9

44,8 43,7

47,7 48,8

40

40

32

27,8

30

24

21,4

20

16

12,6 12,9

10

8

7,2

0

2014

2015

2016

2017

2018

0

2014

2015

2016

2017

2018

Gearing, %

Quick Ratio

0

-10

-20

-30

-40

1,6

1,4

1,2

1,0

1,1

1,2

1,3

1,4

1,3

-50

0,8

-60

-70

-80

-90

-57,7

-66,5 -69,0 -68,5

-59,2

0,6

0,4

0,2

-100

2014

2015

2016

2017

2018

0,0

2014

2015

2016

2017

2018

Purchases, MEUR

14

12

10

12,5 12,8

11,8 11,6

11,7

10,7

10,5

12,0

11,2

Services

Material

8

6

4

2

1,1

0

2014

2015

2016

2017

2018

www.sol.fi | Responsibility 2018

27


Responsibilities

to stakeholders

SOL wants to offer everyday experiences that delight,

inspire and excite customers. At their best, these

experiences elevate the mind, enhance everyday life and

the workday, and provide a sense of cleanliness and security.

55.1 Responsibilities to

customers

SOL offers high-quality services in a timely manner as

agreed in the contract. The services are developed in

accordance with the customer’s expectations and preferences.

Our service solution model enables SOL to provide

multiple services from one source, making our solutions

the most advantageous economically.

Productivity and efficiency are important goals in developing

SOL’s processes. All our service sectors in Finland

have a personnel recruitment and substitute system in

electronic format. The personnel’s orientation training and

some of the other training sessions are on the Internet,

giving learners more freedom with regard to time and

place. Nearly all of the invoices in Finland are transmitted

to customers in a paperless format. Also nearly 100% of

the purchase invoices are e-invoices. Continuous attention

is paid to proper management of receivables, ensuring

equal treatment for all customers.

In Finland, we have enhanced the reporting system under

the provisions of the Act on the Contractor’s Obligations

and Liability when Work is Contracted Out. We use

the www.tilaajavastuu.fi online service. These links enable

customers to check that we fulfil our social responsibilities.

while the figure in 2013 was 77.2%. Wages and salaries, excluding

side expenses, amounted to MEUR 197.3 in 2017.

SOL bears responsibility for safeguarding employment

also in the future. The company’s workforce consists

mainly of people in permanent employment relationships,

some of which may be part-time due to the nature of the

work. The proportion of temporary staff will increase with

the expansion of SOL Henkilöstöpalvelut Oy’s operations.

Personnel are rewarded for good work performance,

which is followed up by customer satisfaction and other

weighted indicators, such as the scorecard. Rewards

for successful work performance have been given, for

instance, to the service district of the year, the vendor of

the year, the service instructor of the year, the Service Supervisor

of the year, and the Service Director of the year.

SOL organises an annual Quality Award competition

with separate categories for service supervisors, service

districts and sales personnel. Awards are also given for the

environmental and well-being at work categories. Competition

entries are submitted in the form of applications

showing budgets, results and the previous year’s figures.

The Quality Award is based on a competition by the

Finnish Quality Association, which has been adapted to

suit SOL’s needs. The key considerations in the competition

are customer orientation, employee well-being and

financial results. The practice has been established since

1996.

5.2 Responsibilities

to employees

At SOL, employees have a key role in everything we do.

In 2017, personnel costs represented 79.4% of net sales,

28 Responsibility 2018 | www.sol.fi


The quality prizes of 2018 were awarded in the SOL Days of November.

1st category quality prize was awarded to Julija Goncalves ja Vladen Melechko.

‘Every time the prize comes as a really good surprise. It was the same this year, since we

did not do as well as we had hoped. To us the quality prize means that we are on the right

path and we are very proud of our ship team. It was amazing to announce that we got

the prize. Last year’s biggest challenge was labour shortage in Greater Helsinki, but we

prevailed. In our company cooperation works well and help and advice is always available

The other challenge was balance and staying in budget. We thought a lot about how

to implement work so that we benefit more and can at the same time maintain our good

quality. Keeping both the customer and the employees happy. Our location has two

superiors and they both have their own strengths and weaknesses we use to complement

each other. And it has worked really well Thank you for appreciating our work this year!’

Thank you to you also, Julija and Vladen.

www.sol.fi | Responsibility 2018

29


LIIAN PIENI

RESOLUUTIO

5.3 Responsibilities to the

authorities

SOL and its personnel must comply with local laws and

regulations in all countries and under all circumstances.

SOL pays its statutory obligations in accordance with

existing regulations. As an employer, SOL takes care of its

employees’ statutory contributions. The company also reports

and compiles statistics for the authorities as agreed.

In 2018, SOL’s Finnish companies paid value-added tax,

income tax, operational taxes and PAYE income tax totalling

MEUR 69.9 (MEUR 64.1 in 2014). Compulsory social

security and pension contributions amounted to a total of

MEUR 35.1 in 2018 and MEUR 35.9 in 2014.

5.4 Responsibilities to

suppliers and partners

SOL purchases products, services and energy for its property,

cleaning, facility maintenance and laundry services, as

well as for production subcontracting services that include

delivery and laundry services, outdoor area property management

service and a variety of made-to-order cleaning

services. Products and services necessary for running the

administration and operations are also purchased.

SOL’s General Terms and Conditions apply to all

suppliers, and invoices are paid according to the terms

of payment. All payments made to suppliers are based

on contracts and invoices. All forms of corruption and the

use of illegal (“black”) labour are strictly prohibited within

SOL. Good contractual practice is monitored by internal

controls and audits in accordance with the SOL Operating

System.

In 2018, all purchases by SOL’s Finnish companies were

from within the EU area.

SOL’s operations have significant indirect impacts, especially

in smaller towns. SOL is a primary client for many

entrepreneurs and thus affects the economic well-being of

subcontractors’ employees.

5.5 Liabilities to

financial institutions

SOL’s goal is to finance its operations from income. The

Finnish companies do not have short-term or long-term

loans from banks. The Group’s foreign subsidiaries have

bank loans. SOL Palvelut Oy has a limit of EUR 3 million.

30 Responsibility 2018 | www.sol.fi


All procurement is governed

by written supplier

contracts and pre-planned

logistics solutions.

SOL does not use random

procurement or randomly

selected suppliers.

Our procurement procedures

include at least the following:

• legality – compliance with each country’s applicable

legislation

• corruption and bribery ban

• respect for employees’ human rights

• child labour ban

• employee safety and health

• environmental protection

• effective service chain with low overall cost

• CO2 emissions of the auto equipment max. 130 g/km

www.sol.fi | Responsibility 2018

31


Environmental responsibility

We all have a dream of a better and cleaner environment,

of a place where our children and grandchildren can

grow and live safely. Environmental deterioration

must be stopped. We can affect our future by

actively seeking new ways and means to secure a

cleaner and healthier environment in the future.

66.1 Environmental policy

SOL wants to provide services in a manner that aims to

conserve natural resources and reduce environmental

impacts. We are aware of the environmental impact of our

services and of our responsibility as the user of products

and the producer of waste, all of which are addressed

throughout our decision-making processes. We comply with

all valid laws and regulations in all our activities.

We are committed to continuously improving our operations

and reducing environmental impacts. We purchase

the most eco-friendly technology available at reasonable

costs. We aim to use natural resources and energy in a way

that minimises their consumption and emissions. We promote

the right type of waste sorting and we aim to reduce

the amount of waste generated.

We disseminate information about our operations transparently,

both to our external stakeholders and to SOL’s

own personnel. We aim at being able to guide our customers

towards an environmentally friendly model of operations

and support them in achieving their environmental

goals through our expertise. We aim to be ranked by

our customers and personnel as the best operator in the

environmental field.

We train, advise and encourage SOL employees to work

in a responsible manner and to address environmental

issues more efficiently both at work and in their leisure time.

We develop indicators that can verify the environmental

impact of our operations. The management regularly monitors

the status of the environmental issues. The business

line management reviews include an evaluation of the

environmental management, and necessary measures are

taken based on the results of the evaluation.

6.2 Environmental

goalsand objectives

Environmental objectives have been defined for industries

in the SOL’s environmental policy. They guide our personnel

to act to control climate change.

Responsibility is a shared concern for all of us.

32 Responsibility 2018 | www.sol.fi


We reduce the

consumption

of paper and

energy

We reduce the

use of plastic

We reduce the

emissions of

vehicles and

machinery

SOL

Environmental

Goals

We use Swan

labelled

detergents

The personnel

acts responsibly

Our

suppliers are

environmentally

responsible

We participate

in the customer’s

environmental

work

www.sol.fi | Responsibility 2018

33


The environmental objectives are evaluated annually and

the achievement of these objectives and the changes in the

operation’s environmental impact are measured on a group

level.

6.3 Environmental aspects

SOL’s environmental policy, goals and objectives are based

on information about the environmental aspects and

impacts of our operations and services. Identification and

evaluation of the environmental aspects are presented

in the Environmental Management system. A valuation

method that is based on information gained from our own

operations, on the company’s potential leverage, and on

information provided by external studies is used for identifying

the importance of environmental aspects. Statutory

requirements, importance to the company’s image, environmental

benefits in relation to implementation costs, and the

severity and scope of environmental impacts are taken into

account when assessing importance factors.

The industry-specific assessment procedure for environmental

aspects and the criteria for valuation are documented

in the environmental data of our Operating System. The

activities receiving the largest weighting using this method

have been selected for implementation.

An industry-specific implementation programme defining

the operating instructions, timetables, measurement

method and responsibilities for achieving the environmental

goals and objectives has been prepared. The implementation

programmes are documented in the environmental data

of our Operating System.

Customer-specific environmental goals will be prepared

in conjunction with customer-specific action plans.

Environmental Team and environmental coordinator

The task of the SOL group environmental section is to coordinate

the responsibility functions related to the subject

and to follow its global and local trends.

The environmental supervisors for each region coordinate

local environmental operations and training and this

relays local environmental knowledge to the employees.

The environmental coordinators will conduct customer-specific

environmental reviews and give reports about

them to the Environmental Team.

Environmental aspects are evaluated when necessary

and at least once every three years. The required changes

in action plans and goals are implemented based on the

information obtained from the evaluation and monitoring.

Environmental reviews by sector and by location will be

made according to the annual plan prepared by the Environmental

Team.

The achievement of the environmental goals specified

in action plans is monitored in development discussions.

The districts will monitor the implementation of the action

plans in their district meetings. The implementation of the

environmental plans will also be evaluated in conjunction

with internal audits.

6.4 Me, you, SOL and

the environment

As part of the Society’s Commitment to Sustainable Development,

SOL as a service employer has committed to

strengthening SOL’s egalitarian work community. A good

work community is made up of people from different

cultures and of different ages and backgrounds. We are

an international company, but our values are the same

regardless of the country of operation. According to our

image of humankind, people want to do good work. We

want to give everyone this opportunity. We signed the

Finnish Society’s Commitment to Sustainable Development

in June 2016. The targets and actions related to the

commitment were drafted in cooperation between our

environmental coordinators, the Environmental Team and

senior management.

As a steady employer, our commitment also includes

wise accounting practices and sustainable work that respects

nature and people. We communicated our Commitment

2050 targets and actions in the form of a video

to reach a larger number of our personnel, customers and

stakeholders.

We constantly work to fulfil our social commitment and

monitor the realisation of the objectives.

34 Responsibility 2018 | www.sol.fi


Commitment 2050 targets and actions

1. Equal opportunities for well-being

We are all different and we all have a place at SOL. We

value diversity and consider it a resource. We develop

management at SOL and we believe that our management

in the future will be service-oriented management.

We believe that a good work community is made up

of people of different ages and from different cultures.

About 30 per cent employee are citizens of a country

other than Finland. We predict that, by 2050, 60% of our

employees will be from countries other than Finland.

SOL also has a lot of young employees. Employees under

30 years of age make up 42% of our workforce. According

to our image of humankind, people want to do

good work. We want to give everyone this opportunity.

We are committed to developing SOL’s age programme

The goal of the age programme is to promote the

work ability and well-being at work of SOL’s employees,

support the motivation of different age groups, reduce

sickness absences, increase the average retirement age,

increase respect towards senior workers and ensure the

transfer of tacit knowledge.

We have drafted the age programme in 2016

We are committed to promoting the career development

of immigrant employees

we have salaried employees who are immigrants

in all of our districts achieved/not achieved

2. Working sustainably

We want SOL to be a place where happy multi-experts

work. We provide a wide range of active training opportunities

and our online study programmes bring studies

close to SOL employees right from the very beginning.

We train professionals who know how to do it right the

first time and develop their work continuously in small

steps according to the LEAN method. The SOL Life

programme looks after the safety and well-being of

employees throughout their employment relationship.

We want our employees to retire healthy. We actively

monitor the job satisfaction of our personnel as well as

the rates of sickness absences, accidents and disability

pensions. We have set goals for these and aim to achieve

them.

Now we want to make sure that the information we

receive through employee satisfaction surveys is accurate.

We also want to develop new methods for supporting

our employees. We value the joy of working and

everyday creativity.

We are committed to developing our work so that

the results of the Joy Barometer employee satisfaction

survey is above four and the response rate is

80%.

Joy Barometer: Target: above 4 (scale 1-5) + response

rate 80% in all employee groups

achieved/not achieved

We are committed to developing an online tool for

supervisors that enables them to be constantly present

and support the well-being of employees.

Manager’s online tool 2050

achieved/not achieved

3. Resource-wise economy

SOL is a Solar System that provides its customers with

service solutions. We work to break down unnecessary

barriers between different services. It is easier and more

affordable for our customers to buy, manage and develop

work when they can do it with a single partner. The customer

saves time and we, for our part, can offer new work

opportunities for multi-experts. By combining different

tasks, we can make it easier to find full-time work from

within our company. Supervisors are responsible for shift

planning and ensuring shift availability. Now we want to

make it possible for employees to book work shifts easily

and flexibly. Our values are sunny and satisfied customers

and an enterprising spirit. We value a sunny and satisfied

customer and an enterprising spirit.

We are committed to developing an electronic shift

booking system.

electronic shift booking system

achieved/not achieved

4. Decision-making that respects nature

We always consider the environment in our work. We aim

to constantly decrease the load that our operations cause

on the environment. We have already done a lot of work in

this regard and we want to ensure that this work continues.

We are establishing rules for our procurements. Reliability

is one of our core values.

We are committed to establishing procurement instructions

that will take into account matters important

to us: our partner suppliers will have environmental

management certificates

• we will favour domestic suppliers

• we will use less detergent than we do now

• we will use less unrecycled plastic

• we will use detergents with environmental labels (85%))

We are committed to auditing suppliers and our own

procurement processes.

procurement instructions complied with/not complied

with

supplier audits carried out/not carried out

www.sol.fi | Responsibility 2018

35


6.5 Responsibility as a

part of everyday work

6.5.1 Environmental auditing established in

operational development

We use the environmental audits to monitor whether our

operations meet SOL’s Environmental Goals and measure

our performance at the district, business sector and

customer-specific levels. Our environmentally friendly

operations are guided by the development perspective.

Environmental audits are carried out with the help of the

electronic system of SOL. 250 customer-specific environmental

audits were completed.

6.5.2 Procurements’ environmental impact

In our procurement, we consider the environmental impact

of the products and operate in a cost-efficient manner.

We use established partners. and carry out supplier audits

to ensure the environmentally friendly operations of our

partners.

6.5.3 Swan label-certified hotel cleaning

SOL Palvelut was the first in Finland’s hotel cleaning

business sector to be awarded the Swan label. Getting the

renowned Nordic environmental labelling was one of the

promises in SOL’s environmental programme ‘Sitoumus

2050’. Swan label is an official sign to our customers of the

quality of our services.

In order to obtain the Swan label, our services has to meet

the very strict conditions for the whole life cycle. The

evaluation took into account, among others, the origin

of the materials, the energy consumption of production

and use, the use of chemicals and the generation of waste

throughout the whole production and consumption chain.

In cleaning services, the Swan label emphasises the use

of cleaning agents that have environmental labelling

and the limitation of chemicals, because in the cleaning

process, cleaning agents comprise the largest environmentally

taxing agent. Other criteria included minimising the

environmental impact of transport and the environmental

training of the personnel.

6.5.4 Eco-labelled detergents

We have paid particular attention to choosing detergents

and assessing their environmental impacts. For this reason,

SOL only uses eco-labelled products in washing cleaning

textiles and dishes. With respect to other detergents,

the proportion of Nordic Swan eco-labelled products is

85%. We cooperate with a Finnish detergent manufacturer

and invest in product development. We take care to regularly

renew the Swan label for our products.

We aim to make smart choices that support the

occupational safety of our employees and environmental

protection and keep waterways clean.

6.5.5 Circular economy plastics in use

We have started to use new and more environmentally

friendly rubbish bags made out of circular economy material.

Circular economy plastics are recycle plastics that customers

have delivered to waste collection points. These

Consumption of eco-labelled and other

detergents

15%

85%

Eco-labelled detergents

Other detergents

36 Responsibility 2018 | www.sol.fi


SOL Palvelut

was the first in

Finland’s hotel

cleaning business

sector to be

awarded the Swan

label.

plastics are now used as a new material in the rubbish

bags SOL uses.

This is an amazing thing for us and the consumers,

since the plastics consumers recycle will really be returned

into use and this in turn encourages customers to keep on

recycling plastic.

The material also saves considerably CO2 emissions.

The products are collected in Finland, they are recycled

and reworked into raw materials and finally produced into

products in Finland.

Multiple-use rubbish bags

We are currently using some 2,000 permanent garbage

bags. The use of permanent garbage bags has seen steady

growth. We carried out several campaigns related to

the use of permanent garbage bags at our service districts

in 2018.

11 plastic bottles are used to make one multiple-use

garbage bag. A total of 58,850 plastic bottles have been

used to make all the multiple-use waste sacks in SOL’s use.

6.5.6 Eco-labelled cleaning equipment and

towels

We invest in eco-labelled cleaning textiles. All of the mop

strings and microfibre towels we use carry the Swan label.

6.5.7 Storage inventories

Inventories were established as part of our daily

philosophy of getting it right the first time and the development

of our in-house operations. The inventories were

carried out electronically for the first time and the results

were available to the districts in real time. A total of 1,000

inventories were carried out at our customer locations in

2018.

6.5.8 Responsible choices

The entire staff works for and towards SOL’s responsibility.

This year, responsibility is a strong element in work

clothes choices. SOL’s whole Finland personnel will in the

future work in clothes made of responsible materials. Over

350,000 recycled plastic bottles have been used as the raw

materials of the clothes.

SOL and the Finnish work clothes manufacturer

TouchPoint Oy want to take care of our shared planet. The

harming environmental impacts of the clothing industry

are many and decreasing them is our shared goal.

Work clothes made of responsible materials are suitable

for different working environments. The products

of the SOL collection are designed so that they can be

matched together and layered as the changing working

and weather conditions require. Working clothes made of

ecological materials ensure a comfortable user experience

for the whole work day.

The clothes collection gives also a strong outward

message of responsibility. Every piece of clothing has a

‘sustainable choice by SOL’ label and the product also

tells the amount of plastic bottles used in it. A yellow sun

shines from the collection, spreading positive energy.

In cooperation with TouchPoint, we have produced

mop bags and work clothes for the hotel sector out of

plastic bottles. The total impact was over 500,000 recycled

bottles.

6.5.9 Waste management and energy

efficiency at SOL headquarters

At SOL City, the headquarters of SOL, waste management

has been organised in line with circular economy. The

energy utilisation rate of our waste is now 41% and the

material utilisation rate is 59% at our headquarters and

property (including tenants of the property). As energy

efficiency measures, our headquarters have had the following

changes:

- reformation of district heating heat exchangers

- a part of the lighting has been changed into

LED technology 1, 2, 3

floor corridors and stairways

- ventilation equipment and building automatisation

improved after the space changes

- a solar panel system has been installed on

the roof of the property, the system generates

a part of the property’s electricity.

6.5.10. Societal influencing

The general secretariat of the committee of sustainable

development held on Wednesday May 30 in the Finlandia

Hall the State and future of sustainable development

event for stakeholders and also the celebration reception

of the committee of sustainable development’s 25 anniversary.

Decision-makers and agents of government, organisations,

business and science meet in the annual event.

During the day the agents who have committed to the

procedures of sustainable development are also given the

time to speak. SOL’s representatives attended the event.

www.sol.fi | Responsibility 2018

37


esponsibility is reflected

in day-to-day choices.

6.6 Environmentally

friendly transport

In the procurement season 2017–2019, the emission limit

for new vehicles is 130 g/CO2/km. The emission limit

applies to passenger cars and small vans. Large vans and

pickups used for ploughing are not included in the emission

limit. This objective was met by 81% of our fleet, with

a 19.4% improvement from the previous year.

SOL vehicle procurement emphasises acquiring the

right equipment for the right site. We have reduced the

size of the vehicles whenever possible in order to enable

lower emissions. We use hybrid and gas cars as well as

a fully electric car that is currently in test use. We have

reduced the number of diesel cars and favour cars that use

petrol and alternative fuels. This is due to the NOx emissions

from diesel engines that are difficult to purify.

In 2018, SOL operated a total of 374 vehicles, 187 of

which were passenger cars and 172 vans. The cars are

used for about six years, making the average age of

the cars three years. This means that about 60 cars are

replaced every year.

SOL pays attention to economic driving habits. In

cooperation with our insurance company, we have organised

courses in economic and safe driving for our personnel.

We will continue the training in the next years.

The reported emissions are in compliance with the recommendations

of NEDC. The emissions of new vehicles

will be determined according to the new WLTP test which

will result in an increase in the emissions. This means that

the same vehicle may have different emissions, depending

on when it was registered.

6.7 July Life cycle projects

SOL is involved in producing services for the life cycle projects

of property. We produce services in cooperation with

construction companies or property maintenance service

providers. In 2018, the instructions and actions programme

with its responsibilities were drafted for the life cycle

project.

We provide expert assistance in the design stage of the

sites from surface materials and maintenance facilities to

indoor and outdoor passageways. We influence the material

choices of life cycle projects in an ecological manner,

taking sustainable development into account. Our choices

have a long-term impact on the quality of indoor air, the

comfort of the property users, etc. We take care of the

properties so that our services support the operations that

follow the property’s life cycle plan.

38 Responsibility 2018 | www.sol.fi


Energy utilisation rate of waste

41 %

Material utilisation rate of waste

59 %

650 000

plastic bottle has been used in work

clothes, multi-use bags, mop bags,

garment covers, multi-use bags.

www.sol.fi | Responsibility 2018

39


6.8 SOL Pesulapalvelut

6.8.1 Developing in-house operations

The Group’s laundry services company, SOL Pesulapalvelut,

invests in eco-friendliness in both machinery and

detergents. Advances are made in both washing techniques

and detergents. We use ongoing training to keep

our laundry personnel up to speed with the changes. The

training of new employees is also very comprehensive.

With respect to the environmental impacts of dry

cleaning, the largest change has been the switch from per

wash to hydrocarbon wash. SOL Pesulapalvelut is constantly

renewing its machinery and replacing old machines

with hydrocarbon machines in about 2–5 laundry shops

per year. At the moment, about 45 per cent of all dry cleaning

machines is modern machines that use environmentally

friendly, non-toxic and biodegradable detergents.

The dosage pump systems of water washing machines

are used in nearly all the laundry shops. The dosing

of detergent in water washing machines is automated.

New, computer-controlled water washing machines use

strictly specified amounts of detergents and water. The

detergents are as environmentally friendly as possible. The

use of machinery is optimised in each laundry shop and

the water and electricity consumption is monitored with a

detailed set of indicators.

In autumn 2015, we started collecting the cooling water

of a dry washing machine for washing with water. The cooling

water from the dry cleaning machine is run into a separate

water tank and reused in a water washing machine.

The water is warmer than room temperature, up to 45

degrees. The system also saves electricity when clothes

put in a tumble dryer are first rinsed with warm water. The

water collection system is used in several laundry shops.

6.8.4 Impacting environmentally friendly

operations of customers

We actively communicate environmental actions to

various stakeholders. For example, customers have been

instructed to return hangers and use protection treatment

that makes the textiles last longer and reduces the need

for washing them.

6.8.2 Reducing the use of plastic

We actively influence the amount of plastic waste by reducing

plastic packaging materials. A growing number of our

laundry shops are plastic-free, meaning that they return

clean clothes to customers without plastic packaging and

provide an option of a reusable fibre bag. Plastic consumption

is reduced every year. We are also developing

other materials for packaging.

6.8.3 Recycling textiles and projects

Since 2016, we have been involved in Tekstiilirinki, developing

and expanding the operations. In the laundries of

Greater Helsinki, Kerava and the Aleksis Kiven katu Street

in Tampere can dispose their textiles for recycling conveniently

into a collecting tank when visiting the laundry.

In the spring 2017 we took part in the Telaketju project,

which is a network advancing the sustainable use of disposed

textiles. Telaketju develops textile collection, sorting

and refinement to correspond to the needs of companies

utilising recycled textiles.

40 Responsibility 2018 | www.sol.fi


Environmental aspects at SOL

Environmental aspects at SOL Palvelut

Environmental file

SOL

Criteria for assessment procedure

for environmental aspects based

on environmental reviews and the

environmental programme

IMPORTANCE FACTORS/IMPACT

FACTORS

A = Statutory requirements

B = Importance to image

C = Environmental benefits/costs

D = Severity of environmental impacts

E = Potential leverage

Total = (A+B+C+D)*E

IMPORTANCE SCALE

0 = Statutory requirements

1 = Importance to image

2 = Environmental benefits/costs

3 = Severity of environmental impacts

ACTIVITY, PROCESS OR SERVICE ENVIRONMENTAL ASPECT ENVIRONMENTAL IMPACT IMPORTANCE

A B C D E Total

PROCUREMENT OF PRODUCTS,

MACHINES/EQUIPMENT

Selection of suppliers

Environmental impact caused by the

production of products

1 3 2 3 3 27

Selection of suppliers, cleaning

services

Environmental impact caused by

consumption

1 3 1 1 3 18

Selection of suppliers, property

services

Environmental impact caused by

consumption

1 3 1 1 3 18

Selection of suppliers, laundry

services

Environmental impact caused by

consumption

3 3 1 3 3 30

PRODUCTION/SERVICE

Correct selection, dosage and use of

substances to be used

Impact on wastewater caused by the

unnecessary use of detergents

1 2 2 2 3 21

Wastewater generated

Consumption of water supply, impact

on water treatment plants

0 2 2 1 3 15

Energy consumption

Consumption of natural resources

and emissions caused by production

1 1 1 1 2 8

-Waste generated by in-house

processes

Plastic waste

Conservation of natural resources,

environmental impact caused by

waste and emissions at the final

disposal site

1 2 2 2 3 21

Hazardous waste, PER waste,

Laundry services

Environmental impact caused by

waste and emissions at the final

disposal site

3 2 2 3 3 30

Transportation

Fuel consumption/emissions caused

by driving

Consumption of energy resources,

impact on atmosphere

1 2 2 1 2 12

Maintenance of transport fleet and

machines

Service life of transport fleet Conservation of natural resources 2 1 2 1 2 12

PERSONNEL ACTIONS

Personnel’s environmental awareness,

eco-friendly and environmentally

oriented activities

Identifying and addressing environmental

aspects at work and in leisure

time

0 3 2 2 3 21

Guidance and training

Increasing personnel’s environmental

awareness and knowledge

Improving personnel’s ability to act

sustainably in their work

0 3 2 2 3 21

COOPERATION WITH CUSTOMERS

Recognising and supporting the customer’s

environmental activities

SOL’s role in ensuring the customer’s

environmental objectives are met

3 3 2 1 3 27

www.sol.fi | Responsibility 2018

41


Social

responsibility

Personnel commitment, personnel satisfaction, the joy of

work and the management of the personnel experience

are central to SOL’s strategy. HR work is done with and

among the personnel in all the Group’s business sectors.

The joy of working is one of SOL’s core values

77.1 Personnel matters are

central to SOL’s strategy:

from person to person

At SOL we invest in the development of people and personnel

costs form the largest part of overall costs. In Finland,

we offer a job for almost 10,000 employees. High priority is

given to raising and maintaining the personnel’s enthusiasm,

willingness and readiness to serve, and vocational skills,

as these are the factors guaranteeing superior service to customers.

Committed employees comply better with unified

instructions and ensure long-term operations of high-quality.

Trust is the cornerstone of our work. Competent personnel

with the right attitude in the right tasks, continuous personnel

development, performance management, feedback and

incentive strategy are the focus areas of the company’s HR

strategy. The feeling that one’s work is useful is important to

everyone and creates the joy of working. SOL’s HR strategy

is based on a positive image of humankind, where everyone

wants to do good work, to succeed and to be thinking and

feeling human beings who accept individuality. Our management

culture must support trustworthy interaction and

an atmosphere that encourages creativity. We pay special

attention to young people and yellow panthers (we offer

job opportunities for those who have already passed the

retirement age). In 2018, we reformed the ‘from goals to

achievements’ conversations into Success conversations. In

them the person’s own view and will develops and their own

actions are discussed.

Personnel development focuses on orientation and

training that support the employees themselves and the

satisfaction of customer-specific needs. It is monitored area-,

customer-, employee- and training-specifically with the help

of a training index. The coaching and training sessions are

supported on a personal level by competence assessment

and a learning passport. Each SOL employee completes orientation

training online, and a supervisor and a tutor ensure

location-specific competence through method and on-site

orientation and constant care for the well-being of the personnel.

At the end of their probationary period, each SOL

employee also attends the SOL IN training in their district.

Each employee acknowledges that he/she has completed

orientation training sessions.

For a long time, SOL has used employees trained as

tutors, who also work as occupational guides to support the

training process. Their role was enhanced at the beginning

of 2015 to cover the implementation of location-specific

training and ensuring competence. Salaried employees are

additionally provided with mentoring and coaching in their

sales and managerial work. The employee-specific Quality

Passport, where positive customer feedback is documented

with a laughter or smile symbol, continues to be used as a

feedback tool.

Our aim is to offer opportunities for job rotation and

career advancement within the Group. Internal recruitment

and external job applications, today mainly in electronic

format, create a foundation for the company’s expanding

operations. The individual’s own views and their desire and

intent to develop and move forward are also seriously discussed

at the ‘From goals to results’ discussions, now known

as the success conversations.

We have published the SOL Age Programme aimed

at promoting the work ability of employees of all ages.

The goals of the age programme are to support the work

ability of different age groups, maintain good work fitness

and reduce sickness absences as well as promote positive

cooperation between different age groups. We pay special

attention to young people and “yellow panthers”.

A further goal of the age programme is to increase the

average retirement age. At present, SOL employees retire

on old-age pension at the average age of 63.3 years, while

42 Responsibility 2018 | www.sol.fi


Wages and social security expenses (MEUR)

Wages and salaries, statutory social security expenses and benefits 2014–2018

200

180

160

169,0 172,2

180,5

197,3

194,5

Wages and salaries

140

120

100

80

60

40

44,1 44,9 49,0 50,4

47,1

Social security expenses

Non-statutory social security

expenses

20

0

4,7 3,6 3,3 3,7

2014 2015 2016 2017

3,7

2018

Taxes paid (MEUR)

50

45

40

35

30

25

20

15

10

5

0

47,8 46,3

42,4 43,5

41,0

39,5

35,9 36,1

37,4

35,1

22,0 22,3 21,8 21,2

20,7

1,2 1,5 1,1

3,0

2,9

2014 2015 2016 2017 2018

Prepaid taxes

VAT paid

Income taxes

Social security contributions

INSURANCE PREMIUMS AND TYEL 2017 2018

Due employee pension contributions and unemployment insurance payments, employee’s

contributions

Due social security, TyEL, accident insurance, group life insurance and unemployment insurance

payments, employer’s contributions

MEUR 10.1 MEUR 10.4

MEUR 37.4 MEUR 35.1

www.sol.fi | Responsibility 2018

43


the average age of starting disability pension is 58.5 years.

We do not condone discrimination against any age group.

The goals of the SOL Age Programme are supported by

the SOL Life well-being at work programme, which has been

established for a long time now.

The “Backpack of Happiness” project developed as part

of the SOL Life programme has been continued. Workshop

activities and the use of well-being at work mentors have

been expanded to cover all service districts, with a well-being

coordinator appointed for each district.

7.2 Number of personnel

and type of employment

relationships

The average number of employees each year is calculated

from the average number of employees on the last day

of each month, and every person is included in the figure

regardless of the number of his/her working hours (not

FTE number).

In 2018, the SOL group employed 13,714 eople

(2017 13,685). The number of personnel increased by

29. In 2018, an average of 9,592 people worked in SOL’s

Finnish operations and an average of 4,122 people worked

in our foreign subsidiaries. Every summer we employ

about 1,000 summer employees in Finland. We participate

in the Responsible Summer Job campaign.

Some 93% of SOL’s personnel worked in permanent

employment relationships in 2018, compared to 92% in

2017. For 86% of the Group’s employees in Finland, their

job in the SOL Group was their main employment. At the

end of 2018, a total of 90 our employees in Finland were

on maternity or nursing leave, rotational leave or study

leave. The figures do not include the temporary staff of

SOL Henkilöstöpalvelut.

Employment relationships are mainly agreed until

further notice, except with SOL Henkilöstöpalvelut, where

the majority of the employment relationships are fixedterm.

Ilmarinen granted 67 old age pensions in Finnish companies

in 2018 (old age pension and early old age pension).

No part-time pension granted. A total of 32 people

were granted disability pension, of whom 11 receive parttime

disability pension.

The SOL Life well-being at work programme engages

in effective cooperation with occupational health services

(Terveystalo), the accident insurance provider (OP) and

pension company (Ilmarinen).

The SOL Continuous caring model was developed

to support the supervisors. The Sirius programme helps

supervisors with the early identification of disability risks.

Quality of employment relationships 31 December

2018 (SOL Henkilöstöpalvelut is excluded from these figures.)

Number of personnel permanent

employment relationship

Number of personnel temporary

employment relationship

Foreign subsidiaries

Foreign subsidiaries

3486

Finland

588

Finland

SOL total

10,004

6521

SOL total

1,063

475

Duration of employment relationships

Personnel age structure

1%

4%

6% 9%

10%

More than 20 years 15%

11–20 years

41%

19%

14%

6–10 years 14%

More than 60 years

50–60 years

40–49 years

30–39 years

26%

3–5 years

1–2 years

22%

16%

25–29 years

20–24 years

Less than 1 year

Under 20 years

44 Responsibility 2018 | www.sol.fi


4,0

3,5

3,0

2,5

2,0

1,5

1,0

0,5

0,0

7.3 Personnel’s age and

duration of employment

The average age of employees in the Group’s Finnish

companies was 37 years in 2018 (2017: 35 years). The

average age of personnel in SOL Pesulapalvelut was 39

years. In SOL Palvelut, the average age was 37 years,

while in SOLEMO it was 44 years. The average age of

SOL Henkilöstöpalvelut personnel was 30 years. The age

distribution among the personnel in Finland is as follows:

under 20 years: 9%, 20–24 years: 19%; 25–29 years: 16%;

30–39 years: 22%; 40–49 years: 14%; 50–60 years: 15%; and

over 60 years: 4%.

7.4 Employee distribution

by gender

Women accounted for 65% of the Group’s total personnel.

In Finland, the percentage of female employees was 70%.

The proportion of women in international operations is

64% among employees and 48% among salaried employees.

Five out of eight members in the Group’s Management

Team are women. Three women sit on the four-person

Board of Directors of SOLEMO Oy.

Joy Barometer, SOL Employees

5,0 4,7

4,4

4,5 4,1

5,0

4,5

4,0

3,5

3,0

2,5

2,0

1,5

1,0

0,5

0,0

The work

and I

3,6

Joy Barometer, SOL Salaried employees

4,2

The work

and I

The customer

and I

4,7

The customer

and I

The supervisor

and I

Safety and I

3,9

SOL as a

whole

4,1

Average

4,4

4,1 4,2 4,3

The supervisor

and I

Safety and I

SOL as a

whole

Average

7.5 Investing in the

personnel’s work ability

As a part of the SOL Life model we initiated in 2018 a

health programme, which we want to use to encourage

all of our employees to live actively and to consider their

life management, a healthy diet and the meaning of rest.

In 2018, SOL spent some EUR 252 per employee on the

prevention and treatment of illnesses in Finland. SOL

monitors sickness absences based on the working hours

performed, so-called 100%. In 2018, the morbidity rate in

Finland was 4.26%, which has decreased by 0.5 per cent

from last year. The most important causes of sickness

absences include musculoskeletal diseases, infections and

accidents.

The SOL Life Caring model helps supervisors to intervene

with work ability problems in their early stages. The

most important aims include preventing sickness absences,

reducing the number of accidents and minimising

disability pensions.

SOL has initiated a cooperative project with Marko Kesti

who is an associate professor at the University of Lapland.

The project examines the role good work well-being

management has in the development of productivity.

SOL’s service management develops their own management

and actions processes through a simulation game

that uses artificial intelligence.

The rate of morbidity due to occupational accidents in

Finland was 0.20%. There were 526 accidents at work, and

101 accidents occurred while commuting. The accidents

at work resulted in 2005 days of sick leave, equivalent to

some four sick days per accident. Accidents while commuting

caused 1,157 days of sick leave absence, equivalent

to some 11 sick days per accident.

Supervisors conduct continuous safety risk evaluations

at worksites and customer premises, and implement the

necessary actions according to plan. The occupational

safety officer is often also involved in these activities. The

Occupational Safety and Health Committee operates

nationwide and convenes five times a year. Each SOL employee

is responsible for safety, and all of SOL’s activities

are based on preventive measures.

A separate on-site risk list and related occupational

health and safety instructions are made on the basis of the

risk evaluations. The employees are specifically oriented

on the topic of the risk list and its instructions and the

orientation must be signed for.

In the event of an accident, our instructions are to also

immediately inform the Occupational Health and Safety

Manager, the relevant Business Director and the Managing

Director directly. The event must be explained and

the following procedures to prevent the accident from

reoccurring must be described.

Each accident is investigated and documented to find

out the core reason. The accident is discussed on-site and

the corrective measures are implemented. After this, the

next district meeting of the service management area will

discuss and state for general information all the comple ­

t ed corrective measures. Excerpts from the minutes will be

sent to the Occupational Health and Safety Manager.

www.sol.fi | Responsibility 2018

45


SOL Life – a model for continuous caring

Health issue

The supervisor makes

an appointment for

the employee at the

occupational health-care

centre for 1) a work

ability assessment and

2) a discussion between

the supervisor, the employee

and a physician

The employee’s performance has weakened

or the limit values for sickness absences have

been exceeded

THE SUPERVISOR HOLDS A DISCUSSION IN ACCOR­

DANCE WITH THE MODEL FOR CONTINUOUS CARING

A problem in the

work community

The supervisor discusses the situation

individually with each member of the

workplace community

The regional supervisor reports

to the regional manager about

the discussion.

A personal-life problem

Temporarily shorter

working hours, unpaid leave,

annual leave rescheduled

at an earlier date, flexible

working hours

The occupational

health-care centre

provides the employee

and the employer

with an assessment

of the situation and

initiates any necessary

measures

Risk of disability

pension

The occupational

health-care centre

guides the employee

to apply for professional

rehabilitation

provided by Ilmarinen

or medical rehabilitation

provided by Kela

The supervisor implements measures

to improve workplace relations and the

atmosphere at the workplace

Treatment

If necessary, the supervisor

arranges for less stressful or

alternative assignments and/

or flexible working hours either

temporarily or permanently

Recommendations

to revise the job

description or adjust

the working hours

EMPLOYEE

CAPABLE

OF WORK

Occupational accident frequency

Figure 19. Accident rate per million working hours, 2015-2018

70

60

50

40

30

On the job

20

At least 3 days

10

Less than 3 days

0

2015

2016

2017

2018

On the commute

46 Responsibility 2018 | www.sol.fi


Electronic occupational safety tool:

Risk assessments: 136

Safety observations: 331

Classification of safety observations:

Personal protective equipment, clothing: 16

Order, tidiness: 4

Chemicals, air quality: 10

Machines, equipment, platforms, supplies: 22

Passages, exits: 26

Lowering oneself: 1

Slipping, falling: 70

Noise, lighting, temperature: 5

Lifting: 8

Bumping one’s head: 20

Risk taking: 10

Transport of goods: 11

Sharp objects: 25

Threat of violence: 22

Getting squeezed between something: 18

Other: 63

05 0 100 150 200 250 300 350

01 02 03 04 05 06 07 08 0

Summary of electronically

reported safety observations.

The categories with

the most observations

match the categories with

the highest accident frequencies.

This suggests

a direct link between

paying attention to these

factors and achieving

positive development in

reducing the accident

frequency.

The Occupational Health and Safety Manager will

monitor the development of the accident statistics and the

TRIF and LTIF numbers and inform employees of any observations

and issues the personnel should pay attention

to at the workplace with any new necessary instructions or

procedures.

The sickness and accident statistics will be regularly

presented in management reviews.

7.6 Personnel training

ensures competence

The long-term and systematic development of the personnel’s

competence is critical to SOL. An estimated 30% of

the personnel employed by our Finnish business lines hold

a vocational qualification or a further or specialist vocational

qualification. The Group has six full-time instructors

with qualifications in teaching: five in SOL Palvelut and

one in SOL Pesulapalvelut. Other people in the Group

have also been trained to provide training sessions.

The needs and requirements of customers and the

needs of the company and the personnel are taken into

account in the planning of the training sessions, and the

formulated plans are turned into a tangible form as an

updated training programme for each year. Supervisors

prepare a competence plan for their staff based on the

programme and update the plan as necessary.

In 2018, a total of 12,000 people participated in the

training sessions. The number of training days amounted

to an average of two days per employee in Finland. Most

of the training sessions are conducted internally, but they

also often involve outside experts.

The training sessions are divided into targeted training,

which maintains or deepens knowledge, and long-term

degree-oriented education, which is implemented as

module and multiform/online training. The aim of the

training is to pave the way for an opportunity to take a

practical examination leading to a qualification, and to

identify and recognise the competence acquired through

work as well as the training provided by SOL in the preparation

of a personalisation plan.

We prepared for the Europe’s General Data Protection

Regulation (GDPR) and all salaried employees were

trained for the new data protection decrees with an online

course on SOL data protection.

Our diverse personnel challenge us to continuously

develop our training programmes, which is why we are involved

in a number of projects such as the SAFHY project

that produces digital learning materials, including video

clips and tests, for use by educational institutes and businesses

in Estonia and Finland. The materials are produced

in Finnish, Estonian, Russian and English. The materials

include texts, video clips, photos, tests and a professional

glossary

(The SAFHY project is funded by the ERDF Interreg

Central Baltic programme and coordinated by the Central

Uusimaa Training Consortium Keuda)

In addition to classroom training, we invest in the development

of online training. Our goal is to further invest in

orientation training and the implementation of procedures

and operating methods in line with the concepts we have

developed. We are also continuing our work in site-specific

initial and development training and increasing the

target auditing carried out by instructors as well as the

implementation of the LEAN operating model. In training,

we focus on coaching tutors, service instructors and

well-being at work mentors as well as the development

of online training and diverse coaching, including not

only online and classroom training but also webinars and

coaching.

Our goal is to reduce the number of contact training

days and to increasingly utilise the Internet as a learning

tool.

SOL Training Steps is a model of how an employee can

exploit our in-house training to improve his/her skills and

to broaden his/her tasks. Each step includes a number

of training sessions. These are based on SOL’s in-house

www.sol.fi | Responsibility 2018

47


A total of 250

apprenticeships

leading to a

qualification and

12,000 training

participants

Location and task-specific

training, multi-experts

Special expertise and

specialisation studies

Service expertise and customer

service

Rewarding, personnel benefits, career plan, well-being at work

training, but they can also include specialised degrees or

special skills training arranged by other organisations.

In 2018, some 250 SOL employees participated in

apprenticeship training in Finland, taking various degrees,

including:

• Vocational Qualification in Textiles Care

• Vocational qualification in property maintenance services

• Further Vocational Qualification in Property Services

and Specialist Qualification for Property Services

• Vocational qualifications and specialist vocational qualifications

of cleaning and property services

• Site facilities operative, Further Vocational Qualification

• Supervisor of cleaning work, specialist vocational qualification

• Cleaning technician, specialist vocational qualification

• Specialist Vocational Qualification in Management

• Security guard, further vocational qualification

• Specialist Qualification for Security Officers

• Practical examiner qualification

• Specialist vocational qualification in business management

• Janitor, specialist vocational qualification

• Immediate supervisor, further vocational qualification

Last year, the emphasis in training investment was

placed on Immediate supervisor training, directed at service

instructors and new service supervisors. The qualification

was completed by 24 SOL members and in October a

new group of 33 people started the Immediate supervisor

training as an apprenticeship agreement.

The Backpack of Happiness project was an investment

in the coaching of SOL Life work well-being mentors. A

pilot group started at the end of 2016 and in 2018 we

continued their coaching, especially relating to ergonomics.

We expanded it into national operations, having 1–2

well-being mentors in each district (22 SOL Life well-being

mentors in SOL Palvelut and 1 in SOL Laundry services)

The objectives and purposes of the well-being mentor

operations are:

Our cooperation with Keuda has continued for 15

years.

22 SOL members completed the SOL Life well-being mentor

qualification

48 Responsibility 2018 | www.sol.fi


22 SOL members

completed the SOL

Life

well-being mentor

qualification

• To support and promote the joy of working created and

experienced by the employees.

• To promote shared commitment to the SOL organisation,

the development operations of SOL Life and

high-quality customer service

• To strengthen genuine, honest communications between

the supervisor and employees.

• To act in cooperation with the service management and

supervisors in order to improve well-being at work and

the flow of information.

• To manage the organisation of events, such as service

provider sessions, as agreed in cooperations with the

district and supervisors.

• To conduct the Joy barometer survey

• To complete quality and training rounds and help employees

work better.

• To set an example to the employees.

In 2018, the Ergonomics Handbook was created, and

ergonomics and the guidance of ergonomic work methods

were the particular focus at the tutor/well-being

mentor development event.

In 2018, SOL trained 49 new TUTORS to help the supervisors

guide and coach both new service providers and

those who have served in the position for a longer time.

The training was planned in district-specific telephone

conferences with the training organisers and the service

management. And they were responsible for the planning

and implementation of the districts’ trainings with

the district and the coaches. The year’s training calendar

was realised with the Positiivarit. We participated in ESR’s

Oppi-va project, which began in February 2017 and ended

in 2019. The final seminar was in November 2018.

The objective of the project is to promote the fluency

of work, well-being and productivity and to produce tools

to support different learners. The project has included

a questionnaire, interviews and training for supervisors.

The OPPI-VA project generated an interactive orientation

material for a food shop, in which the participant gets to

know the work environment and tasks through 360-pictures

and videos. Business Akatemia, the supervising

management for management was developed during

2018 and was started at the beginning of 2019.

Keuda rewarded SOL The worklife partner of 2018 SOL

Palvelut Oy, Reasons Strategically significant and long-lasting

cooperation with Keuda In the company’s strategy the

development of personnel’s skills and the goal-oriented

partnership with Keuda have an important role. In 2018

over 100 apprenticeship contract students study alongside

work: cooperative training has expanded during the last

15 years from one trainer’s service tasks into a goal-orientated

partnership and shared development work. Nowadays,

a patronage team of over 10 Keuda employees work

‘under the customer’s skin’. The training aims to achieve

influence and superior profession skills and therefore

the trainings are planned and realised in many ways and

on many levels: Together with SOL’s training team and

superiors, by working at customer sites, for people from

different language and cultural backgrounds, mainly in

Uusimaa, but also nationally. The training covers different

sectors of the company and Keuda’s businesses: cleaning

and property services, laundry services, personnel services.

Innovative company. Cooperation with Keuda is excellent

and it is developed continuously. We trust each other and

Keuda also operates in SOL’s spaces in accordance with

the reform.

There are eight experts at SOL who have completed

the practical examiner training. They have the skills to

evaluate employees’ previous skills in relation to their

duties and official degree requirements, and to assess the

completed degrees. The objective is the promotion of

lifelong learning, and the personnel training at SOL is integrated

to correspond to the basics of qualifications and,

thus, promotes the completion of practical examinations

and cooperation with apprenticeship offices and institutes.

Annual theme days are organised, for example, for tutors,

service instructors, coordinators of training, environmental

affairs and recruitment, service supervisors, sales

personnel, full-service laundry personnel and customer

service personnel.

SOL Life well-being game seeks good leadership models by means of gamification.

www.sol.fi | Responsibility 2018

49


We cooperate with significant educational institutes

across Finland. Our cooperation with Keuda can be traced

back more than 15 years and the partnership has developed

through the years. In particular, vocational qualifications

and further vocational qualifications in property

services have been completed as both apprenticeships

and self-motivated training.

We have worked together with Amiedu particularly in

the area of targeted training in property services.

The training is monitored area-, customer-, employeeand

training-specifically with the help of a training index.

Orientation

The online orientation for service providers were renewed

in 2016 in Finnish and in 2017 in English and Russian.

During 2018, we organised, among others, a Swan label

orientation for cleaning hotel and housing spaces and a

basic orientation for the service personnel of personnel

services. In 2018, the work continues with conceptual

training, cleaning technology, environmental training,

safety and customer service training. When necessary, we

develop customer-specific online training.

In 2018, the online learning platform for salaried

employees was changed into Aurinkoakatemia and in

May all salaried employees completed on it a course on

GDPR. The online orientations of salaried employees were

reformed in 2018 and the work still continues in 2019. We

made with Muutostaito a SOL Life game for the districts

and superiors and personnel groups to use in trainings

and we have 2 certified SOL Life game instructors.

We have utilised Coaching in 2017 for individuals and

will continue it for districts and teams in 2018.

7.7 Personnel unionisation

In Finland, the provisions of the current collective bargaining

agreement between the Finnish Real Estate Employers

and the Service Union United PAM for employees in the

property maintenance sector applies to SOL’s salaried

employees in the cleaning, property and facility maintenance

services. The collective bargaining agreement for

employees in the property maintenance sector primarily

applies to SOL’s security service employees. The collective

bargaining agreement for the textile care industry applies

to the laundry personnel, and the collective bargaining

agreement for the chemical sector to the laundries’ salaried

employees. SOL Henkilöstöpalvelut Oy is a member

of Service Sector Employers Palta and Finnmedia.

Two meetings that address financial issues, personnel

plans and reports, and the following year’s action plan and

priorities, are held every year in Finland, between the chief

shop stewards and the management.

The personnel have full freedom to unionise in all the

operating countries. Since the countries of the foreign

subsidiaries do not have collective bargaining processes

similar to Finland, local labour legislation and SOL’s internal

practices are applied to their work.

SOL Palvelut Oy is a member of the employer union

Real Estate Employers, SOL Pesulapalvelut is a member of

the Yleinen Teollisuusliitto ry, and SOL Henkilöstöpalvelut

is a member of the Palvelualojen työnantajat PALTA ry.

7.8 SOL is a multicultural

work community

SOL is a multicultural work community that offers equal

opportunities to all employees. More than 30% of SOL

services’ employees were not Finnish citizens.

We promote the equality of all employees and prevent

discrimination in all forms. (For example, discrimination

due to age, origin, nationality, language, religion, conviction,

opinions, political activities, trade union activities,

family relations, health, handicaps, sexual orientation or

other reason arising from a person is strictly prohibited.)

SOL has a Multicultural development group founded

in 2007. Its objective is to promote the integration of

employees from different environments into the operating

culture at SOL and to improve the understanding of

diversity. The multicultural work group has, for example,

prepared an annual global calendar which includes the

holidays of different religions. In cooperation with PAM

(Service Union United), the work group has produced a

video for new employees with the intent of introducing the

employee to many important issues.

– Of course, the people in the video are SOL employees

as well. A video is a modern and more lively channel

for communicating important issues to employees, and an

image also relates an important image of the employer,

colleagues, the work community and the rules of working

life to the viewer.

We were one of the firsts to participate in the Confederation

of Finnish Industries’ #eisyrji campaign that

challenged all Finns to contemplate their own attitudes.

The #eisyrji campaign aimed to change attitudes and

decrease discrimination in the Finnish working life. The

goal is to make parity and equality in working life a matter

of course. As a labour-intensive company, SOL wants to

maintain a cheery atmosphere and use diversity in customer

services. Any kind of discrimination between people is

not accepted at SOL.

The campaign was implemented at the initiative of

the Confederation of Finnish Industries and it had at its

starting phase, in addition to SOL, 17 other companies of

various sizes and communities from different sectors.

SOL is taking part in the Osaavat naiset project coordinated

by MONIKA - Multicultural Women’s Association,

supporting the employment of immigrant women in many

different ways. SOL is an active partner in the project and

has already provided many women with job opportunities.

Women with an immigrant background are trained to

seek jobs, taught IT skills, and guided towards language

studies and other training. The HR representative of SOL

has visited the Monika women several times to talk about

SOL as an employer and about the jobs SOL offers.

50 Responsibility 2018 | www.sol.fi


We are all equal

SOL is widely known as a multicultural work community.

– Orientation to SOL’s work tasks and taking root in the

Finnish working culture are emphasised in the work of

the multicultural development group, says Sari Crnobreg,

Chair of the multicultural work group.

SOL has employees from over 60 countries and all continents.

Crnobreg emphasises that despite the differences,

everyone at SOL is equal.

– We wish to give everyone equal chances for a career,

learning at work, and well-being at work. Harmonising

working methods and making service easy is important.

For instance, we have translated training materials into

many different languages.

– One of the key challenges is mapping and utilising

the skills of multicultural employees more efficiently.

According to Crnobreg, good interaction is created

by ensuring that the employer has a clear picture of the

difference of the peoples’ backgrounds. Despite training,

it is important to preserve the person’s identity.

– Families have also been integrated with the help of

SOL. An intact family has a tremendous, positive effect on

the life of an employee, which also benefits their working

life.

Crnobreg finds it delightful that more and more couples

are working at SOL these days, enabling a new level

of planning their future in their new home country.

– One must not forget one’s roots and identity – quite

the opposite. Multiculturalism is a diverse gift, and one

ought to be comfortable with one’s identity.

In 2016, SOL handed out its first award for an act

promoting multiculturalism. The award was given to the

Multiculturalism Working Group led by Sari Crnobreg in

recognition of the group’s accomplishments in promoting

equality.

Happy together

The events organised by the multicultural group have

been popular.

– They bring joy to everyday life, and SOL employees

from different cultures can get to know each other.

The multicultural development group also maintains a

world calendar containing the holidays of different countries.

– This is an important work-planning tool for the supervisors.

We share holidays from all over the world and each

of us can learn new, interesting and inspiring things from

different cultures. By getting to know different countries

and their customs, we are also more truly present as colleagues.

Join in and make a difference

According to Sari Crnobreg, the development group has a

large number of new goals, and they are in constant need

of more eager participants as the members of the development

group fluctuate among work tasks and potential

changes.

– For instance, we would really like to have participants

from South Asia. It is important to have a comprehensive

representation from different continents.

Crnobreg reminds us that the multicultural work group

encourages all SOL employees to take initiative.

Providing comprehensive orientation training

to all employees is a matter of honour for us.

www.sol.fi | Responsibility 2018

51

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