In Singapore, for Singapore

To find out about the extent of our contribution to Singapore in terms of reaching national goals, we prepared our first Business to Society Report.

Introduction

A different way to measure value and benefits

At Siemens, we believe companies only really succeed if they add lasting value to the economy and society they are in. Corporate success is much more than profit.

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Big and small businesses must demonstrate how their business interests play an active role in the national economic and societal development so they can be a force for good.
We have developed a bespoke approach to guide us in our sustainability efforts, to demonstrate the value which Siemens can bring to the society.
The insights of our Business to Society Analysis also help us to address the topics that are important to our customers, employees, suppliers, communities and stakeholder groups in the country. Business opportunities and improvement actions derived from these topics will be integrated into our future operations.
Through our research and analysis we have identified 5 key pillars that set the framework to measure Siemens' contribution to the social and economic prosperity of Singapore. For each of the pillars we highlight the key insights gained and metrics used in the value map.
It is a different way of looking at things - moving beyond traditional financial reporting to measure the value and benefits we've created for Singapore.

Methodology

Business to Society

- A bespoke method to determine what impact we have in Singapore

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As a company, we want to contribute to the prosperity and progress of Singapore – this is what ultimately does grant us the licence to operate in this society. Hence, the priorities, needs and challenges of the Singapore society are the starting point of our analysis, to guide us in our sustainability efforts. We have involved multiple stakeholders in this approach.
While our assessment follows the "measuring impact framework" of the World Business Council for Sustainable Development, where Siemens is an active member, we also taking into consideration the specifics of the Singapore context.
Firstly, we looked at a wide variety of data like economic, societal, educational and environmental indeces. Some of those data are being presented in more detail in the following chapter in order to provide insights of where the nation stands in comparison to others in the world. The other important aspects of our analysis are Singapore‘s development goals and its infrastructure plans.
These form the ancor points to identify where Siemens can make a contribution to Singapore, and to map what we are doing as a business to determine what impact we have in the country. This has to be done using the most relevant metrics, in order to quantify the effects of our operations in a meaningful way.
The calculations are based on the fiscal year 2015/16, and most metrics are based on internal sources and calculations. In addition, the established macro-economic PwC ESCHER model was used to calculate the indirect and induced contributions of Siemens‘ global operations to the gross value add and jobs in Singapore. Indirect contributions include all effects of Siemens‘ activities in its global value chain on the value add and jobs of suppliers and sub-suppliers based in Singapore. Induced effects estimate the economic impact of the salaries of our own employees and those of our suppliers, when spend for consumption in Singapore.

Priorities - What is important for us in Singapore

Singapore in comparison

Singapore in comparison - Urban infrastructure

Singapore's highly-rated urban infrastructure requires massive investments to cope with the growing population. Plans are in place to double the rail network as well as air - and seaport capacities.

Innovation and reliability are key to master the challenges infrastructure development poses on community, environment, finance & manpower issues.

 
SG
avg. OECD
DEU
USA
CHN
Organization
Report
Government Spending as % of GDP 16.9% n/a 44.3% 31.8% 13.6% Singaporebudget & OECD n/a
Motor Vehicles per 1000 Capita 119 527 552 798 126 Singapore Land Transport Authority, Kraftfahrtbundesamt, Oak Ridge National Laboratory
USA: Transportation Energy Data Book (Edition 34)
Total Electricity Generation in TWh 49.3 317.4 625.3 4306.9 5794.5 BP BP Statistical Review of World Energy
Logistics Performance Index 5 22 1 9 28 World Bank Group Trade Logistics in the Global Economy
Networked Readiness Index 1 26 15 5 59 WEF Global Information Technology Report 2015

Singapore in comparison - Human Capital and Innovation

Despite Singapore's excellent rankings in higher education and scientific research, the productivity of blue collar jobs has not significantly improved over the last decade. GDP share of manufacturing has declined to less than 20%.

 

The government has put a program on track to make Singapore the 1st true Smart Nation in the world.

 
SG
avg. OECD
DEU
USA
CHN
Organization
Report
Global Competitiveness Index 2 28 4 3 28 WEF
Global Competitiveness Report 2015-2016
UN Education Index 9 22 6 5 91 UN Human Development Reports
Immigrants as % of Total Population
50% 10% 15.3% 14.5% 0.1% UN International Migrant Stock 2015
R&D Expenditure (bn USD) $8.7 $34.3 $103 $457 $334 Singstat & OECD n/a
R&D Intensity as % of GDP 2% 2.4% 2.8% 2.7% 2% Singstat & OECD n/a
Intellectual Property Protection Rank 4 30 20 15 63 WEF
Global Competitiveness Report 2015-2016
Global Innovation Index Rank 6 22 10 4 25 INSEAD, WIPO & Cornell The Global Innovation Index 2016

Singapore in comparison - Economic Growth

Singapore's economy has one of the most advanced frameworks in the world with very low unemployment rates. But it will have to transform itself to keep up with the 4th Industrial Revolution. Especially SME's are challenged as the local suppliers bench strength is comparitively weak.

 
SG
avg. OECD
DEU
USA
CHN
Organization
Report
GDP per Capita (PPP) in USD $85,400 $41,500 $47,400 $56,100 $14,500 IMF IMF 2011-2015
Credit Rating (S&P) AAA n/a AAA AA+ AA- Standard & Poor's n/a
Global Competitiveness Index 2 28 4 3 28 WEF Global Competitiveness Report 2015-2016
Ease of Doing Business 1 26 15 7 84 World Bank Group Boing Business 2016
Economic Freedom Index 2 35 17 11 144 The Heritage Foundation & The Wall Street Journal
2016 Index of Economic Freedom
Unemployment Rate 1.9% 6.8% 4.6% 5.3% 4.1% OECD, MOM, Bureau of Labor Statistics, National Bureau of Statistics of China n/a
Employment of Total Population (secondary or higher) 67% 55.4% 56.9% 59% 68% Singstat & World Bank
n/a
Immigrants as % of Total Population
50% 10% 15.3% 14.5% 0.1% UN International Migrant Stock 2015
Stock of Foreign Direct Investment (bn USD) $1,041 $5,148 $1,416 $3,648 $1,458 CIA World Factbook 2016
Networked Readiness Index 1 26 13 7 62 WEF Global Information Technology Report 2015

Singapore in comparison - Caring for the Environment

Although being a rich economy with high consumption, Singapore has a very good environmental performance. Yet dealing with the growing consumption of energy and water as well as pollution and waste generation continues to be a crucial task.

 

The country has commited to reduce CO2 emissions by 36% by 2030.

 
SG
avg. OECD
DEU
USA
CHN
Organization
Report
Environmental Performance Index 14 26 30 26 109 Yale University EPI Report 2016
CO2 per Capita 8.62 9.55 9.25
16.18 6.6 IEA IEA report 2015
Annual Waste per Capita 318 516 618 724 n/a NEA & OECD Municipal Waste Indicator
Motor Vehicles per 1000 Capita 119 527 552 798 126 Singapore Land Transport Authority, Kraftfahrtbundesamt, Oak Ridge National Laboratory USA: Transportation Energy Data Book (Edition 34)
Renewable Energy Percentage of Power Supply <1% 9.2% 13.8% 13% 20.7% EMA, Eurostat, IEA and IEA
Singapore Energy Statistics 2015

Singapore in comparison - Social Fabric

Singaporeans today enjoy a high quality of life and the life expectancy has gone up to 85 years. However, not all Singaporeans can harvest the country's prosperity but depend on help from the society. Therefore Singapore aspires to evolve from a livable to a lovable city.

 
SG
avg. OECD
DEU
USA
CHN
Organization
Report
GDP per Capita (PPP) in USD $85,400 $41,500 $47,400 $56,100 $14,500 IMF IMF 2011-2015
Corruption Perception Index 8 25 10 16 83 Transparency International Corruption Perception Index 2015
Unemployment Rate
1.9% 6.8% 4.6% 5.3% 4.1% OECD, MOM, Bureau of Labor Statistics, National Bureau of Statistics of China
n/a
Employment of Total Population (secondary or higher) 67% 55.4% 56.9% 59% 68% Singstat & World Bank
n/a
UN Education Index 9 22 6 5 91 UN Human Development Reports
Home-ownership % of households 90.8% n/a 52.5% 63.9% 90% Singstat, Eurostat, US Census Bureau, Chinese National Bureau of Statistics Eurostat: Distribution of population by tenure status, type of houzsehold and income group
Global Gender Gap Index 55 43 13 45 99 WEF Global Gender Gap Report 2016
Global Peace Index 20 32 16 103 120 Institute for Economics & Peace Global Peace Index 2016
UN Human Development Index (HDI) 11 23 6 8 90 UN Human Development Report
The where-to-be-born index 6 21 16 16 49 Economist Intelligence Unit
The lottery of life
Global Innovation Index Rank 6 22 10 4 25 INSEAD, WIPO & Cornell
The Global Innovation Index 2016
BERI World Labour Force Evaluation
1   n/a n/a n/a
n/a BERI BERI Report 2014
World Happiness Ranking 22 32 16 13 83 Sustainable Development Solutions Network
World Happiness Report 2016 Update

Value Map

Our contribution to