NH Hotel Group carries out its hotel activity with the ambition of spearheading responsible behavior, creating shared value at the economic, social and environmental level wherever it is present. With this philosophy, in 2021 the Company has continued with its strategy, in which one of the pillars is NH ROOM4 Sustainable Business, which is a key part of the Company’s global strategy.
The strategic vision of NH ROOM4 Sustainable Business is in turn based on three fundamental management levers: NH ROOM4 People, NH ROOM4 Planet and NH ROOM4 Responsible Shared Success, all in the framework of the same premise of sustainable and ethical principles, culture of responsibility and civic spirit.
Convinced that it is going in the right direction to achieve its next goals regarding sustainability, the Company is aligned with the Sustainable Development Goals (SDG) to which it can contribute and is therefore committed to continuing to create long-term value globally, in the context of Agenda 2030.
NH ROOM4 SUSTAINABLE BUSINESS MODEL
For NH Hotel Group, the strategy is based on “NH ROOM4 a better world”. In line with this, management of the Company’s corporate responsibility, NH ROOM4 Sustainable Business, is articulated around three lines of action: NH ROOM4 People, NH ROOM4 Planet and NH ROOM4 Responsible Shared Success:
Management of the Sustainable Strategy
Organization structure focused on Sustainable Business, to ensure implementation of the strategy.
Reporting on sustainability and sustainable business as an opportunity for continuous improvement and monitoring and demand for transparency.
Corporate Governance & Compliance
With the aim of conveying the ethical and responsible business principles and the commitment to Human Rights that guide the way NH Hotel Group works.
In their everyday activity, each employee can do things in the most sustainable way and under a citizenship mindset.
Activation of a fluid communication style and the recognition of the responsible and sustainable commitment by employees.
Volunteering is the key to the rollout of the sustainable business commitment with employees. Without their participation, no initiative would have the desired impact. NH Hotel Group is made up of people who are passionate about service, and that is its strength.
Promotion of equality of opportunities to be recognized as a leading company in diversity.
Hotels with a heart – Continuing to use the potential of NH Hotel Group as a hotel chain to provide accommodation for hospitalized children and their families.
Youth employment – Investment in training and career support for young people, especially those who are in an underprivileged situation.
The fight against climate change at the core of strategic planning at business level and for NH Hotel Group’s risk management.
Energy and Water
Increasing and improving production with green energy with onsite facilities, renewable energy sources and water optimisation.
Waste and Circular Economy
Working with suppliers to create opportunities and synergies in circular economy.
Providing a unique experience and innovative range of services and involving customers in NH Hotel Group’s sustainable and responsible projects.
Establishing effective dialogue with suppliers to develop innovative and sustainable solutions.
Continuing to increase social and environmental criteria in selecting partners.
Promoting long-term alliances with all kind of organizations: other companies, public administrations, non-profit organizations, multilateral bodies …
NH HOTEL GROUP AND THE 2030 AGENDA
For the purpose of focusing the business model on a hotel model that is committed to sustainable development, through the Sustainable Business Strategy NH Hotel Group generates value for the different stakeholders in the places where it is present. In this context, the Company has impact and a capacity for influence in a total of 12 Sustainable Development Goals and supports the goal of the Paris Agreement to combat climate change. NH Hotel Group has performed an analysis of the agenda’s contribution to the SDG, which in turn has allowed us to identify which goals are more relevant for the Company, both on account of its activity, commitments and strategic focus and on account of different external factors considered.
* Excluding expenses for leases paid, commissions and volume discounts on sales and supplies, among others.
** Reduction compared to 2019 in absolute terms. The atypical operation of the hotels during most of the year translates to reductions not reflecting the actual performance of the environmental data.
NH Hotel Group, recognized as one of the most sustainable companies in the sector in the world
In 2021, NH Hotel Group participated voluntarily for the third time in the Corporate Sustainability Assessment (CSA) 2021 carried out by the sustainable investment agency S&P Global. The assessment generates a world ranking in sustainable performance by companies in different sectors.
The Company has taken third place in the ranking, standing out as one of the most sustainable leaders in the sector compared to the companies included in the Dow Jones Sustainability Index. This result consolidates NH Hotel Group as one of the benchmark companies for sustainability in the industry worldwide and confirms NH Hotel Group’s strong position in social, environmental and economic performance.
NH Hotel Group, which has had an excellent performance in terms of sustainability in recent years, will continue to build a Responsible Business, one of the pillars of the Company’s strategy.
PRESENCE OF NH HOTEL GROUP IN SUSTAINABILITY NH INDEXES AND RANKINGS
NH Hotel Group has achieved the third place among the most sustainable hotels in the world, thus consolidating its position as one of the benchmark companies in sustainability in the industry worldwide, after being assessed for a second year by S&P Global, the sustainable investment agency that assesses the companies that make up the Dow Jones Sustainability Index.
The commitments in this field and the improvement that NH Hotel Group has shown during this year have earned it a Bronze Class award in the S&P Global Sustainability Yearbook 2022.
Since 2013, NH Hotel Group has been included in the FTSE4GOOD index and renews its presence year after year, thanks to the responsible management of the business and the improvements made. The index was created by the London Stock Exchange to help investors integrate environmental, social and corporate governance (ESG) factors in decision making.
NH Hotel Group has been included for the third time in the Bloomberg gender-equality index 2022 and is the only Spanish hotel company among the 380 companies included in the index.
The Company has obtained its best results in salary equality and parity, thanks to its compensation policies based on gender equality and on the fight against the pay gap. This has confirmed aspects that were already known, such as the positive presence of women at all levels of responsibility in the Company.
Carbon Disclosure Project recognizes the efforts made by leading global companies in the battle against climate change. In the last report dated December 2021, NH Hotel Group obtained a rating of B in the annual ranking. With this rating, NH Hotel Group once again sees recognition of its pioneering vision to place sustainability as a strategic value that has acted as lever for value across the Group for more than a decade.
The materiality analysis is key in NH Hotel Group’s Corporate Responsibility management process, both for reporting purposes and in defining the strategy, initiatives and the establishment of dialogue with stakeholders.
The objectives of the update of the materiality analysis are as follows:
- Comply with the requisites of the non-financial reporting directive.
- Determine the relevant aspects to guide the Company’s Corporate Responsibility strategy.
- Respond to the requisites of the Global Reporting Initiative for sustainability reporting.
- Identify the expectations of stakeholders as the basis for reputation management.
In 2021, NH Hotel Group has updated this analysis in order to define the contents of this Report and prioritize the relevant matters, based on the Materiality Study for 2020. This process involves the following phases:
UPDATING RELEVANT MATTERS
Material matters are identified based on an analysis of internal and external sources that have made it possible to determine a preliminary list of relevant matters for NH Hotel Group and for its stakeholders.
The materiality analysis has allowed us to identify the most relevant matters for each of our stakeholders, defining the essential areas or aspects for drawing up this report, the coverage of which makes it possible to assess the Company’s performance in these areas. As far as the quality of the information is concerned, our aim is always to convey a balance, reflecting both positive and negative aspects of our performance throughout 2021 in the key materiality areas identified. Accordingly, we publish this information in a precise, detailed, clear, comprehensible and reliable way, offering our stakeholders the evolution over time of the material matters so that they can be aware of this information and compare it with other companies or industries.
For this year’s update, 25 material matters have been identified based on an analysis of the current context, ESG criteria, analysis of global trends, the standards of the Global Reporting Initiative (GRI) and the United Nations 2030 Agenda. As a new feature, and in line with the current circumstances in which the Company finds itself, an analysis of trends that shows the impact of the matters in the short, medium and long term has been included.
Subsequently, a semantic review of the matters is carried out with the aim of linking similar concepts or areas and integrating them in the terms of NH Hotel Group and the hotel sector’s business approach. The matters have been grouped according to the different pillars of the Sustainable Business Strategy.
The material matters are prioritised on the basis of two variables:
Impact on the business. Importance of each matter in NH Hotel Group’s business activity, taking into account the strategy, trends in the sector, sectorial and sustainability prescribers, and the evaluation of the different areas of the Company that have relations with stakeholders, such as Communication and CSR, Human Resources, Environment or Procurement. As indicated above, this year an additional variable has been added showing the future relevance -more, the same, less relevance- of each of the matters in the next five years.
Impact on stakeholders. Importance of each matter among the different stakeholders based on the available information of NH Hotel Group, trends and social concerns, the UN Sustainable Development Goals –SDG–, and the conversation in the media on these matters.
VALIDATION AND MATERIALITY MATRIX
The prioritisation is validated internally by the Sustainable Business area of NH Hotel Group, with the aim of comparing the relevance of the material matters and their importance in relation to the business goals.
The analysis of the results has taken into account both internal and external weighting. This prioritisation is used to draw up the Materiality Matrix for the Non-Financial Information Statement – Sustainable Business Report 2020, in line with the two axes of relevance:
– Impact on the business.
– Impact for external stakeholders.
As indicated above, this year a third variable has been added, indicating whether each matter will be more or less relevant in the next 5 years.