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4 building blocks for sustainability - Block 2

Block 2: That’s the way we do it: ESG & SDG practices at Peikko

Welcome to the world of sustainability. In this article series, Peikko presents 4 building blocks for sustainability to make the construction sector more environmentally friendly.

This article presents the overall principles of corporate responsibility under environmental, social, and governmental categories and explains how they are related to sustainability. We also discuss the global sustainable development goals defined by the United Nations and look over some concrete actions in progress to fulfill them.


ESG – company’s internal sustainability rating

The abbreviation ESG stands for environment, social responsibility, and governance, and it is referred to as corporate responsibility. In business life ESG is related to companies’ business models; how they take responsibility, how their products and services support sustainable development, and how they eventually develop their business towards sustainability.

Some examples of topics under ESG:


  • energy efficiency
  • greenhouse gas emissions
  • recycling processes
  • water management

 At Peikko, environmental responsibility topics are mainly production-related, such as work towards the circular economy, and EPD and ISO certificates.



  • health and safety
  • working conditions
  • diversity and inclusion
  • human rights

At Peikko, we focus on safety, gender equality, training possibilities, and fair employment practices.



  • ethical standards
  • shareholder rights
  • stakeholder engagement

At Peikko, transparency, anti-corruption, SCM (supply chain management), and Code of Conduct are important means of corporate governance responsibility.


ESG is not a must nor governed by legislation. Moreover, it is a moral obligation to do the right things and do the things right. ESG can also arise from the company’s initiative in establishing its KPIs (Key Performance Indicators) or key criteria and reporting the progress internally and externally. Well-formed and clearly communicated ESG practices also attract new employees.

What’s more to it, ESG is of great interest to certain stakeholders and thus should not be ignored. For instance, financial bodies such as banks or investors are interested in ESG practices and seek to invest in companies that take responsibility seriously. They may also require constant ESG reporting.


SDG – global goals for sustainability

Whereas ESG is a rating system used by companies to measure their own ESG performance, Sustainable Development Goals (SDG) are 17 global goals set by the United Nations. SDGs are timebound – they are designed to be achieved by 2030 and they focus on specific targets around the world. ESG has a focus on long-term solutions.

Peikko’s Sustainable Development Goals are divided into two:

What we do for our own operations / focus on reducing our CO2 footprint:

  • what kind of energy we use
  • what kind of and how much waste we create
  • what kind of resources and materials we use
  • how we improve energy-efficiency


Solutions that we offer for our customers:

  • products from recycled materials (such as DELTABEAM® Green)
  • products that enable more efficient recycling (such as bolted column connections allowing for the design for disassembly)
  • reducing CO2 emissions by enabling hybrid construction with DELTABEAM®


From the United Nations’ Sustainable Development Goals, Peikko has chosen the following focus areas:

Goal 5: Gender equality

Achieve gender equality and empower all women and girls

  • In 2030, the share of women among Peikko’s white-collar employees will be 40%. It was 29% in 2020 and 29% in 2023.


Goal 8: Decent work and economic growth

Promote sustained, inclusive, and sustainable economic growth, full and productive employment, and decent work for all

  • Peikko is committed to improving the Lost Time Injury Frequency Rate (LTIFR) by 5% annually. In 2020 the rate was 19.2% and 12.4% in 2023.


Goal 9: Industry, Innovation, and Infrastructure

Build resilient infrastructure, promote inclusive and sustainable industrialization and foster innovation

  • Peikko aims to accelerate R&D investments in the sustainable building industry. Peikko’s financial input to sustainable development projects has significantly increased during the last few years. Currently, 47% of all development projects are considered as sustainable development projects.


Goal 12: Responsible consumption and production

Ensure sustainable consumption and production patterns

  • Peikko aims at transferring from solvent-based to solvent-free coatings. By 2025, all coatings will be made as solvent-free.
  • By 2025, the share of renewable energy used at Peikko’s manufacturing units will be 75%. It was 60% in 2020 and 48% in 2023.


Goal 13: Climate action

Take urgent action to combat climate change and its impacts

  • By 2025, DELTABEAM® Green will be used in a minimum of 100 projects. As of 2023, DELTABEAM® Green has been utilized in 192 different projects.


Further to what already has been done, Peikko has several ongoing sustainability actions:

  • Peikko’s internal sustainability coordination group’s regular meetings
  • preparations for CSRD (Corporate Sustainability Reporting Directive). The reporting standard was published in 2023, whereas the reporting will start in 2025.
  • improvements on existing SDG reporting
    • improving internal & external communications such as website updates and internal webinars
    • adding local sustainability activities to local websites
    • developing SDG reporting with new tools and systems and more accurate data collection


Corporate responsibility and, along with it, sustainability, is no longer a temporary stage or a trend – it has become the new normal. There are many ways to take action and improve – now it is time to make an impact.


We in the building industry need to be innovative in creating economical yet ecological solutions good for people. We need to provide products and solutions that greatly improve the sustainability of buildings during their whole life cycle. In addition, by providing our customers with products manufactured using recycled raw materials with lower CO2 emissions, even challenging environmental targets can be achieved sooner than expected.

You are welcome to find out more about sustainability building blocks in our next article!