Product safety impacts, risks and opportunities (SBM-3)
Material impacts, risks and opportunities and their interaction with strategy and business model
Safety is of paramount importance for our customer within mining and infrastructure. As a business-to-business manufacturer of mining and infrastructure equipment, our products and services directly impact professional end-users operating our equipment in the mining and construction industries. These end-users can be exposed to potential health and safety risks and it is critical to support customers to improve safety and wellness for the operators and their colleagues. They are dependent on accurate and accessible product- and service related information, such as manuals and product labels, to avoid potentially damaging use.
Through customer dialogues, we develop an understanding of how different end-user groups may face greater product risks. All materially impacted end-users are included in the scope of our disclosures. These users are employed by our customers or Epiroc. For more information about our own employees, see ESRS S1 Own workforce. Identified material IROs in this section only covers the area of product safety.
| Product safety | Location in value chain | Time horizon | |||||
| Up- stream | Own operations | Down- stream | Short- term | Medium- term | Long- term | ||
| Misuse of products and defective products can risk customer health and safety | Potential negative impact | o | o | o | o | ||
| Defective products can risk liability and lead to reputational damage | Risk | o | o | o | o | ||
| Safe solutions can increase Epiroc's competitiveness and stakeholder satisfaction | Opportunity | o | o | o | o | ||
Customers expect maximum productivity. The operators and technicians work in challenging conditions that can pose safety risks. To support our customers in meeting their productivity targets while prioritizing safety is a key part of our strategy. We consider product safety in every aspect of the product lifecycle, from design and development to production, testing, services, and customer support. Despite all safety measures, accidents can still happen. We investigate and act on every individual incident communicated to us.
Defective products can result in liabilities such as recalls, legal action, injury compensation, and higher insurance costs, negatively impacting Epiroc’s reputation, profitability and customer confidence. To avoid negative impacts and mitigate this risk, we work closely with customers on risk management, accident and incident reporting, training and change management. Safe solutions with a focus on preventive measures uphold our commitment to deliver high-quality and reliable equipment designed for safe operations in challenging environments. These measures preserve customer confidence while enhancing Epiroc's competitiveness, business opportunities, and stakeholder satisfaction.