Measuring the social and environmental impact of Telefónica 2022

The Technical Report on Impact Measurement by Telefónica is a comprehensive document that outlines the company’s commitment to society, sustainability and environmental impact, in alignment with the Sustainable Development Goals (SDGs).  

By measuring the value of our impacts, and quantifying that value in economic terms, we are able to use the results in our decision-making and general management of the company. It also allows us to identify those areas in which we can maximise our positive impact and those where we need to minimise negative impacts.

Telefónica has developed a comprehensive model of analysis after testing various impact assessment models over the years. This model allows the company to track key indicators, assess its contribution to the 2030 Agenda, identify and monitor risks, and facilitate decision-making to improve business and societal contributions. The Impact Weighted Accounts initiative (IWAI) by Harvard University and the True Value framework by the consultancy firm KPMG are the primary models used. The results of this study are communicated to aid decision-making and demonstrate transparency about Telefónica’s societal and environmental impact.

We publish these results as part of our commitment to transparency in accounting for Telefónica’s impact and contribution to society and the environment.

The report is structured around three strategic pillars: Helping Society to Thrive, Building a Greener Future, and Leading by Example. 

Helping Society to Thrive

This section details Telefónica’s efforts to boost social and economic development by bringing connectivity and digitalisation closer to more people. The company’s efforts in this area have resulted in a total impact of €91 billion. Key initiatives include regional development through job creation, contribution to tax revenues, promoting open innovation and entrepreneurship, internal R&D innovation, digital training, training and talent management, and affordability of services.

Building a Greener Future

Telefónica is committed to reducing its environmental impact and contributing to a more sustainable future. The company’s efforts in this area have resulted in a total impact of €1.8 billion. This section describes the company’s initiatives to manage natural resources, reduce emissions, promote digital services for a green transition, manage water consumption, mitigate the impact on biodiversity, and manage waste. Telefónica’s digital services have helped avoid 8.7 million tonnes of CO₂ emissions in 2021, equivalent to the carbon absorbed by 143 million trees.

Leading by Example

Telefónica promotes inclusion, equality, and diversity, and is committed to protecting the privacy and security of its customers and employees. The company’s efforts in this area have resulted in a total impact of €5 million. This section covers the company’s initiatives to promote cultural programmes, ensure the health and safety of professionals, run volunteering programmes, ensure quality of wages, provide security services, and manage cyber risks.

The report concludes that Telefónica has an annual positive impact of over €98 billion. The company is committed to transparency in accounting for its impact measurement and contribution to society and the environment. The results of this report help Telefónica identify and measure its contribution to the 2030 Agenda and define concrete actions to progress in fulfilling the SDGs. 

Read the full Technical Report on Impact Measurement in the link below.