Danfoss has worked with the SDGs since their adoption in 2015. With our focus on electrification and energy efficiency, we have chosen to focus on four of the Global Goals. These goals cover areas where we consider our products and solutions to have the highest impact.
Our impact however is not limited to these four goals. Our policies on carbon neutrality in 2030, our “Safety First” approach in the workplace, our devotion to human rights, and our effort to foster diverse teams allowed us to expand the list of goals that we consider in our actions.
Fresh, clean water is a basic element of life - it is vital for agriculture and important for industries. At Danfoss, we provide solutions with optimized energy consumption for water and wastewater handling, and desalination, which is important in water-scarce areas. Our technology helps to reduce water loss in city pipe networks and secure more efficient water use within food production.
Optimizing energy use and minimizing water loss
At Danfoss, we engineer technologies for an energy-neutral water sector, by optimizing energy use and minimizing water loss in water-treatment applications and irrigation networks. With the use of sensors and variable speed drives coupled with advanced process control, we can reduce both water leakage and energy consumption by at least 25%.
To reach carbon neutrality energy-efficient technology and renewables must be implemented together and on a large scale. We must not only turn our energy supply green but decouple economic growth from energy demand. An enabler for the energy transition is electrification. Danfoss engineers solutions for an electrified mobility sector on land and sea.
Navigate without carbon emissions
At Danfoss, we engineer electric solutions for maritime transport to reduce CO2 emissions and improve energy efficiency. Ellen is a first-of-its-kind electric ferry powered by Danfoss’ motors, and she navigates without carbon emissions.
This holds great potential. That’s why we joined the Global Maritime Forum’s multi-stakeholder initiative “Getting to Zero Coalition”, aiming at zero-emission vessels by 2030.
To ensure our future, cities must scale up urban efficiency and transform their energy systems. At Danfoss, we provide energy-efficient solutions for sustainable buildings, heating and cooling, district energy systems, and electric transport to develop carbon-neutral cities as the world’s first responders to the climate emergency.
District energy
At Danfoss, we engineer energy-efficient solutions for district energy systems, solutions for sustainable buildings, and electric transport. Our Leanheat solution uses Artificial Intelligence (AI) and The Internet of Things (IoT) sensors to adjust indoor climate and reduce both energy consumption and cost.
With a growing population, consumers are demanding more, safer, and healthier food. This means that the need for efficient and effective food supply and cold-chain management has never been more important. We offer technologies that enable the reduction of post-harvest food losses and ensure reliable conditions from farm to fork.
Cold chain technologies
At Danfoss, we provide technology for every step of the food supply chain. In the state of Tamil Nadu, in India, farmers reduced post-harvest food losses by 20% by implementing cold-chain technologies, while farmers’ income increased by 200%.
We have joined the UN’s Cool Coalition to share the knowledge and, together with others, to help governments develop cooling action plans and increase their farmers’ income and productivity.
We strive to create a safe working environment and continuously improve the health and well-being of our colleagues across our global organization. Every year, we set ambitious safety targets, and it is our vision to be a workplace without work-related accidents.
As we expand our business, we stay committed to ensuring a healthy and safe working environment. Since 2017, we have almost doubled the size of Danfoss. In 2024, the Lost Time Injury Frequency rate (LTIF) has increased slightly from a record low 1.2 in 2023 to 1.3 in 2024. We expect to get back to 2023 levels during 2025. Another key focus area for our safety efforts was mental health. In 2024, our actions included increasing awareness about mental health, and we have introduced a stress management e-learning training for all leaders. The e-learning was piloted in Denmark and will be made globally available in 2025.
At Danfoss, our ambition is to offer equal opportunities to all our colleagues, no matter who they are or where they work.
We firmly believe that diverse teams perform better and that equal opportunities and inclusion drive engagement. Our aim is to provide an inspiring and inclusive work environment where our people feel valued, respected, and safe to contribute their best. Our people activities support us in attracting and retaining the best talent. With the best people, we get the best performance.
We have identified women in leadership positions as a key metric for improving gender balance in the organization, while improving the gender and nationality diversity of our global leadership teams is also a key metric.
In 2024, the share of woman leaders increased to 23.7% from 22.0% in 2023. We continue our efforts to improve but also realize that it will take time to reach our stretched 30% target.
At Danfoss, we believe that providing a decent total compensation through a living wage is an important aspect of respecting human rights. We are therefore committed to paying our employees a living wage.
We also believe in the principle of equal pay for work of equal value. The basic principles of fairness, equity, and transparency are embedded in our company values and behaviors and as such Danfoss is committed to competitive and fair compensation and benefits.
At Danfoss, we want to be the preferred partner in helping our customers decarbonize. We do this through our products and solutions that enable the transition to a low-carbon economy.
Our competitive decarbonization approach covers all our climate targets. When decarbonizing our own operations, we use the same technologies and solutions that we develop for our customers. In 2024, we have continued to execute our 2030 roadmaps toward achieving carbon-neutral operations throughout Danfoss. We remain committed to achieving our verified science-based target, aligned with the Paris Agreement’s goal of limiting global warming to 1.5°C. By decarbonizing along our value chain, we also support our customers in navigating the transition to a low-carbon economy.
At Danfoss, we are deeply committed to fulfilling our responsibility to respect human rights across our value chain. Our commitments and approach to upholding human and labor rights are grounded in the UN Guiding Principles on Business and Human Rights (UNGPs), the OECD Guidelines for Multinational Enterprises, the International Bill of Human Rights, and the ILO Core Conventions on Labor Standards.
These principles are outlined in our Human Rights Policy and further anchored in the Danfoss Supplier Code of Conduct and our Danfoss Ethics Handbook.