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A CSR Strategy Based on Materiality

June 2016

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Our most recent strategy refresh occurred in 2014. We deepened our focus on positive social impact through strong risk management. We also formalized a focus on social finance to further enable positive change through investments.

As the investments company for the world, it is our business to understand where resources can have the greatest impact and how our firm can engage and enrich society. We apply this thinking to our CSR strategy, identifying areas where we can foster positive change. Additionally, we are increasingly focused on connecting programs to create interdisciplinary strategies that allow for optimized value and performance.

 

Click below to explore Materiality at BNY Mellon: 

CSR Materiality

Tier 1:

Topics that are critically important to society and our business


INCLUDES:
Risk Management
Financial Stability
Ethics & Compliance
Operational Reliability


Risk and Reliability

Why it's important
BNY Mellon processes more than 3 billion transactions every month, making our ability to manage risks essential for the global economy. We recognize that this fundamental importance to the health and operations of the financial markets carries with it a responsibility to maintain the highest standards of excellence. Our ability to manage risk and operate reliably is critical to our business and the needs of our stakeholders.

Strategy
Help meet the needs of our stakeholders in light of shifting regulations, risks and client demands, by focusing our approach on risk management (including embedding a risk culture), financial stability, ethics and operational reliability.

Learn more:
Risk ManagementFinancial StrengthEthicsOperational Reliability

Tier 2:

Topics that are important to society and our firm's strategy


Diversity and Inclusion

Why it’s important
In this global marketplace, we rely on our workforce to provide creative insights and innovative solutions that meet the wide-ranging needs of our clients around the world. To adequately serve our stakeholders, we aim to have the very best talent and provide an engaging and inclusive environment that leverages diversity and differences, so that all of our employees can thrive.

Strategy
Strive for continuous improvement in diversity trends for our management and leadership ranks globally and sustain positive trends in diversity and inclusion on employee survey scores.

Learn more:
Diversity & Inclusion

Engagement and Wellbeing

Why it’s important
Our ability to meet and exceed client needs depends on maintaining an engaged, motivated workforce. We believe that caring for our people, including their wellbeing, promotes higher levels of engagement to best serve our clients.

Strategy
For engagement, enhance key drivers of employee engagement including leadership, management, empowerment, collaboration and career opportunities. For wellbeing, educate, encourage and empower employees to enjoy healthy, happy and fulfilled lives.

Learn more:
Engagement and Wellbeing

Leadership and Development

Why it’s important
By driving a high-performance culture that stems from great talent, leadership and learning, we will achieve business success and help to build meaningful careers for our people.

Strategy
Support a learning culture that builds leaders at all levels. By providing employees with opportunities to learn, develop and receive ongoing feedback, help them realize their full potential.

Learn more:
Leadership and Development

Social Finance

Why it’s important
We believe that investments are key to enabling positive change in society and for the environment. As the world becomes increasingly resource constrained, investments will be needed to meet the needs of a growing population. Sustainable investments that take a longer-term view can help hedge against social and environmental risk, leading to opportunities for investors.

Strategy
From our unique view of the markets, help explain how social, environmental and governance forces are creating new investment opportunities and show investors how to protect and generate long-term value, identify areas of growth and innovation, and drive positive social and environmental change. Build on our extensive experience handling our clients’ environmental, social and governance (ESG) investments, and grow our Social Finance capabilities across three focus areas: Products and Services, Thought Leadership and Research, and Partnerships.

Learn more:
Social Finance

Strong Governance

Why it’s important
Good governance promotes accountability, compliance and the highest ethical standards from the Board of Directors to all levels of the firm.

Strategy
Meet evolving stakeholder needs and expectations by enhancing and sustaining practices for substantive stakeholder engagement, corporate social responsibility, and responsible political engagement.

Learn more:
CSR GovernanceStakeholder EngagementCorporate GovernanceTax PolicyPolitical Engagement

Tier 3:

Topics that are important to society


Community Commitment

Why it’s important
Operating in 35 countries, our global presence gives us a unique vantage point on major problems facing society today. We are committed to contributing solutions to address these challenges and target our efforts toward programs that make our communities better places to live and work.

Strategy
Demonstrate a measurable positive impact in our communities through philanthropic activity, employee community involvement, supplier management and relationships and human rights advocacy.

Learn more:
Philanthropy and CommunityHuman RightsSupplier Responsibility

Environmental Management

Why it’s important
Prudent management of natural resources is one of the world’s most pressing issues. We strive to make our operations as efficient and effective as possible, driving increased standards for environmental performance. Our strategic management of resources achieves a positive effect on the bottom line, helps manage risk, inspires ways to help our clients succeed and supports our communities around the world.

Strategy
Integrate continuous environmental improvement and sustainability across our operations and into everything we do — from cutting carbon emissions in the way we travel and the design of our offices to providing our clients with investment options that manage climate risks and opportunities.

Learn more:
Climate Change Leadership Operational Efficiency

 

 

In 2014, we refreshed our strategy to ensure that we are focusing on areas with the highest importance and relevance to our firm. The evaluation included research and interviews with a diverse group of internal and external stakeholders to gather their feedback on our existing CSR framework and the proposed evolution of our CSR strategy. The outcomes of the materiality refresh were reviewed by our Executive Committee and by the CSR Committee of the Board of Directors. While some areas have evolved from our previous materiality analysis completed in 2011, our core strategy continues to comprise the three pillars of Market Integrity, Our People and Our World, which are described as follows:

  • Market Integrity: We earn clients’ trust every day by upholding the highest standards of integrity and responsibility in our practices and products. We contribute to the health of global markets through the resiliency and effectiveness of our operations.
  • Our People: We nurture a culture of engagement, wellbeing and inclusion and provide our talented, diverse workforce with the opportunities they need to grow and succeed.
  • Our World: Through our influence, infrastructure and innovations, we contribute to solutions to the world’s most pressing issues.

Based on key findings from the materiality refresh, our strategy has evolved in the following ways:

Market Integrity

An increased emphasis on risk management.

  • Managing risk responsibly helps to protect markets. Under the pillar of Market Integrity, our focus on Risk Management and Reliability comprises our Risk Framework, Risk Culture, Risk-Related Products, ESG Risk Management and Resilience.

Our People

An emphasis on how we attract, develop and retain excellent talent and are invested in our employees.

  • We cultivate highly engaged, productive talent through Leadership and Development, Engagement and Wellbeing, and Diversity and Inclusion.

Our World

The addition of Social Finance and the expansion of Environmental Management.

  • Social Finance can be both a business driver and a way to have a positive impact on society and the environment. We have broadened our Environmental Management focus to include all areas related to our environmental efforts, such as Climate Change Leadership and Environmental Efficiency.

As a result of the refreshed materiality analysis, we view stakeholder engagement, transparency and strong CSR governance as key principles and mechanisms that underpin our CSR strategy, rather than particular areas within our strategic focus.

1Based upon the value of assets held in custody reported by the top 51 custodians, as reported by Global Custody.net in March 2014. 

See BNY Mellon CSR Disclosure