Sustainability
            

Sustainability and responsible action are guiding principles that are at the heart of everything we do at Software AG. We firmly believe that moral principles and economic success belong together. In order to protect future generations and our planet, we are committed to creating not only economic, but also ecological and social value. Therefore, Software AG’s Sustainability Strategy sets targets and commitments in five action areas: Leadership and Governance, Our Employees, Customers and Technology, Value for Society, and Impact on Environment.

A key aspect of Software AG’s solutions and services is that they assist our customers in their digital and sustainable transformations – two areas in which the EU Commission and the German government, both customers of Software AG, are working hard to make improvements. Software AG believes sustainability to be a key contributor to increasing business revenue and growth, because it is a strong driver of innovation. Moreover, increasing business regulations as well as the broader shift in the wider community’s and in customer’s preferences, make sustainability a fundamental requirement for Software AG’s long-term profitable growth.

In 2020 Software AG has launched a global Diversity, Equity & Inclusion initiative throughout which more than 200 employees shared their experiences, ideas, and suggestions in workshops. The results of these workshops have been taken into account in the development and implementation of global and regional diversity concepts and activities. Software AG has joined "The Valuable 500" initiative, an organization that puts the inclusion of people with disabilities on the agenda of managers. Moreover, the Group has signed up to the "Charta der Vielfalt" which promotes the recognition, appreciation and integration of diversity in business culture. As founding member of "Alliance for Chance", Software AG aims to assist workers across a variety of industries in adapting to the rapid changes in the employment landscape brought about by demographic developments, digitalization and climate change. In addition, Software AG is a member of the "Initiative for Women into Leadership" (IWiL), a non-profit association for the sustainable development of female leaders. Software AG India was awarded "Great Place to Work for Women" in 2020 and is one of the 50 best employers for women in India.

Innovation is a core driver of our business model and anchored as a strategic priority in Software AG’s Helix transformation strategy. As part of our sustainability strategy, we have set a target for R&D investment to account for at least 15% of our total revenue. In addition, through our participation in collaborative research projects, we are driving the further development of technologies that make a positive contribution to sustainable development. We have committed ourselves to aligning at least 80% of our research projects with the United Nations Sustainable Development Goals (SDGs) by 2025; thus, ensuring that our technology can support broader global sustainability efforts.

Software AG's Sustainability Strategy is underpinned by our Value Proposition: We Empower, We Enable, We Preserve. Our Sustainability Strategy sets targets and commitments to positively impact society: It includes the development of a reduction path towards net zero emissions and our firm commitment to supporting our customers during their own digital and sustainable transformations. Furthermore, Software AG aspires to effectively assist people in building expertise in the area of modern technologies through education and research projects. A key aspect is to align at least 80% of our research projects with the United Nations Sustainable Development Goals (SDGs) by 2025. In addition, the company's University Relations Program, set up in 2007 to provide software free of charge for teaching and research purposes, has been rolled out to more than 29,000 students via 2,000 universities in 101 countries. The aim is to ensure this program reaches a total of 40,000 students worldwide by 2025.

Software AG supports the goals of the Paris Agreement and efforts to limit global warming to 1.5°C above pre-industrial levels. Through efficient energy management and an increase of renewables in the energy mix, we are already taking steps to reduce our energy consumption and the associated carbon footprint. We have been developing environmentally responsible practices at many locations for years. For instance, we switched to using green energy in Darmstadt back in 2010, and then in all our subsidiaries in the DACH region four years later. However, we recognize the need to do more – our long-term goal is to reach net-zero emissions across the Company.