Johnson Controls, Inc. is a technology company that provides products, services, and solutions to optimize energy and operational efficiencies of buildings, lead-acid automotive batteries, and advanced batteries for hybrid and electric vehicles, and seating and interior systems for automobiles. The Company operates in three segments: Automotive Experience, Building Efficiency, and Power Solutions. The Company serves both automotive original equipment manufacturers and the general vehicle battery aftermarket.
As a first-to-market provider of lithium ion batteries for hybrid applications and a leading manufacturer of building efficiency systems, Johnson Controls’ business model is based on addressing climate change. Johnson Controls, an early signatory to the UN Global Compact, reports to the Carbon Disclosure Project, has set an aggressive GHG reduction target for its own operations and diverts more than three quarters of its waste from landfills across all of its facilities. The company also devotes many resources to ensuring the safety of its workers, both at the company’s owned facilities and in its supply chain. For instance, Johnson Controls conducts workplace inspections and safety observations as well as reports on injury occurrences. Johnson Control’s commitment to its supply chain can also be seen in its stated commitment to conflict mineral sourcing. Lastly, while the company has high risk exposure to product quality and safety, the company has not been subject to ongoing or severe recalls.
Although the company is transparent in its reporting around environmental, social, and governance key performance indicators, the trend data shows downward trends in these areas without any explanation of underperformance relative to previous years.
Country: United States
To the best of our knowledge the above information is accurate and was obtained from sources we believe to be reliable. Neither the information presented above nor any opinion expressed shall be construed as an offer to sell or a solicitation to buy the security. The views expressed are those of portfolio management as of 12/31/16 and may not reflect current opinions or subsequent events.