Over the years, Bradesco has continually enhanced its reporting process. Since 2013 the Organization has produced an integrated report, combining institutional, operational, business and financial information with details of its sustainability practices and initiatives. In 2014, it also incorporated aspects proposed in the integrated reporting framework established by the International Integrated Reporting Council (IIRC) as a means of advancing towards the effective integration of company information. In the current report, Bradesco has progressed in the Guiding Principles and Content Elements, fully aware, however, that further evolution is necessary. The decision was taken to name the document the 2015 Bradesco Integrated Report, demonstrating the company’s firm commitment to ongoing development in this direction. The report takes into account the major transformations impacting our businesses – global megatrends, the economy, sporting events, the political situation, among others.
Regarding alignment with the Global Reporting Initiative (GRI), this publication encompasses the entire Bradesco organization, following the guidelines of the most recent version (G4) for structuring the corporate report preparation process. The report adopts the core “in accordance” option. Bradesco has based the preparation of the document on GRI guidelines for 10 years running. G4-17 | G4-32
The challenge of reconciling relevance and concision is met by complementing the report content with information on our websites:
http://goo.gl/xxUuXGhttp://goo.gl/Vy2ySm
(only in Portuguese)
The capitals used by the Organization are indicated
throughout the Report by the following symbols:
The stakeholder groups in one way or another related to or impacted by the Organization’s activities are also identified throughout the report by the symbols below: G4-24
Bradesco relates to six priority stakeholder groups, that either exercise influence over or are impacted by its businesses and activities: clients, employees, shareholders and investors, suppliers, government (regulatory authorities) and the community, society and the third sector. G4-25
The Stakeholder Engagement Standard did not undergo any alterations in 2015. The Sustainability Policy, reviewed and released in February 2015, incorporates Guideline 8, aimed at encouraging suppliers and other stakeholders to adopt sustainability practices. This is exemplified by the Bradesco Suppliers Encounter, an annual event to present the Organization’s strategic sustainability initiatives. The 13th Encounter was held in December in São Paulo and was focused on the water crisis currently affecting the state of São Paulo, as well as other regions in Brazil.
G4-26
The Social and Environmental Responsibility Standard, reviewed and released in the same period, addresses the question in greater detail and includes a chapter dedicated to stakeholders, underscoring the importance of this process for the Organization.
Engagement initiatives are conducted independently by the diverse departments and related companies. G4-26
For further information on the Social and Environmental Standard, access
http://goo.gl/U8I1jK(only in Portuguese)
On an institutional level, Bradesco continues to track the global indicators for internal initiatives to engage stakeholders. These indicators are consolidated in the first half of each year. The intention is to improve this process over the coming cycles and review the indicators. G4-27
Priority stakeholder groups are engaged in different ways:
- Consultation: understanding the viewpoint and establishing demands related to the Organization’s performance through contacts with stakeholder groups.
- Dialogue: enabling the exchange of information, fulfilling and responding to each demand received.
- Collaboration: involving the provision of support or the development of an activity or project of common interest. Collaborations involve shared responsibilities.
- Empowerment: encompasses initiatives in which the stakeholder maintains a systematic presence and bears responsibility for part of the decision making process. G4-26
To learn more about the Bradesco Organization’s Corporate Sustainability Policy, access
http://goo.gl/RxJvkmRELEVANCE G4-18
The definition of the topics addressed in this Report was based on the Bradesco Relevance Matrix, constructed in 2014 based on the materiality concept proposed by the IIRC.
The construction process comprised three stages:- Establishment of the topics through analysis of the context and situations in which Bradesco works, mapping of the relations between stakeholders and classification in accordance with the capitals. At the end of this stage, a universe of 60 topics was established.
- Assessment of the topics taking into account the perception of both internal and external stakeholders, applying a filter based on adherence to the Organization’s strategic goals and risk management. Stakeholder perceptions were measured by means of interviews with directors and managers and by specific questionnaires for three major external stakeholder groups: shareholders and investors; suppliers; government, society and the third sector. Twenty three topics were selected from the universe established in the previous stage.
- Prioritization and grouping of the topics based on criteria such as the impact on the territory, impact on the process of protecting and generating value and the degree of demand (legal, imminent legal or other commitments). Upon conclusion of this stage, nine priority topics were selected.
The objective of this work was to present a matrix that not only considered social and environmental aspects, but also topics relevant for the process of generating and protecting value in the short, medium and long terms. The treatment and approach to each relevant topic are addressed throughout this Report.
| TOPIC | ASSOCIATED TOPICS | PAGE | CAPITALS |
|---|---|---|---|
| Managing capital, risks and opportunities |
|
Strategy Corporate governance Risk management Asset management |
|
| Adaptation to external context |
|
The Organization | |
| Innovation and technology |
|
The Organization Strategic differentials |
|
| Economic and financial results of the business |
|
Strategy Asset management Economic-financial performance |
|
| Internal audience |
|
Strategic differentials People management |
|
| Client relations and satisfaction |
|
Strategy Strategic differentials Client relations |
|
| Financial inclusion |
|
Strategic differentials | |
| Organizational culture |
|
About the Report Corporate governance |
|
| Supplier management |
|
Supplier management |
Bradesco reviewed its Relevance Matrix in preparation for the 2014 Report – a process which involved the involvement and engagement of stakeholders and was validated by the Sustainability Committee. This matrix is still in force and provided support for the preparation of the 2015 Annual Report.
The only modification was related to cross referencing the material topics with the GRI material aspects. This analysis was conducted in accordance with what is involved with each material topic and with the information from the 2014 materiality report. G4-18
G4-19 | G4-20 | G4-21
The table below is also part of the updating of materiality in 2015 regarding the boundaries of the impacts caused by Bradesco’s material aspects. It presents the bank’s macro-topics, and material topics and aspects, as well as the boundaries of the impacts inside and outside the Organization. This analysis was identified “where the impact occurs”, in other words, whether Bradesco causes the effect, suffers the effect or causes and suffers the effect of the impacts, in accordance with the key below:
| Cause and effect | Effect | Cause |
| MATERIAL MACRO-TOPICS |
ASSOCIATED MATERIAL TOPICS | RELATED GRI ASPECT | RELATED STAKEHOLDERS | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Economic-financial result of business | Margins and cost (operational efficiency); Share appreciation and distribution of dividends; Brand management (intangible asset) | Economic Performance (results) | |||||||
| Management of capital, risks and opportunities | Integrated risk management; Compliance with laws and regulations; Combating corruption and money laundering; Respect for human rights and labor laws in the value chain (including psychological and sexual harassment); Incorporation of social and environmental aspects in the businesses; Delinquency: credit quality; Climate changes | Economic performance (climate change); Compliance; Anti-corruption; Investments (Human Rights); Product portfolio; Audit; Active Ownership | |||||||
| Supplier management | Social and environmental screening (RFI); Social and environmental clauses in all contracts; Supplier engagement | Supplier screening; Labor Practices; Human Rights; Environment; Freedom of Association and Collective Bargaining; Child and Forced Labor | |||||||
| Client relationship and satisfaction | Nationwide presence and capillarity (service points); Employee training and qualification; Service quality | Product and service labeling | |||||||
| Financial inclusion | Financial education; Inclusive products and services | Community; Indirect Economic Impacts; Product Portfolio; Product and Service Labeling | |||||||
| Innovation and technology | Information security: data protection (bank and client); Digital channels: mobility, internet, social networks and ATM network; CRM: information intelligence | Client Privacy | |||||||
| Employees | Internal professional career development; Working conditions and benefits (employees and third-parties); Attracting and retaining talent | Employment; Training and Education; Grievance and complaint mechanisms Related to labor practices; Human rights; Investments (Human Rights); Non Discrimination; Assessment | |||||||
| Note: The macro-topic Adaptation to the external context (which comprises the topics Changes in the macroeconomic situation, Economic and monetary policies: Government and regulatory authorities, Variations in purchasing power and Availability of qualified manpower) and the macro-topic Organizational culture (which comprises the topics Corporate governance and transparency and Stakeholder engagement) were not included in this analysis because only general content items are linked with them, while GRI aspects are not directly associated with them. | |||||||||
This Report was prepared taking into account navigation and reading accessibility. The PDF version may be encountered at www.bradesco.com.br/ir, where the complete 2015 financial statements, the explanatory notes, the reviews of the independent auditors and the Fiscal Council, as well as the summary of the Audit Committee report may also be found.
To enable the Organization to improve the reporting process, readers are welcome to send any suggestions or queries to investidores@bradesco.com.br.
Enjoy reading it!