SUSTAINABILITY
REPORT
2016

REPORT PARAMETERS



Our sustainability report compares the results of Softtek for the period of January 1 to December 31, 2016, which is certified according to the international GRI (Global Reporting Initiative) Index as an essential option in its latest version G4.

LETTER FROM CEO



Being part of what I like to call the talent economy is the challenge of finding, attracting, developing and, most importantly, engaging people through passion, to transform the world in which we live.

We are currently in a digital era that offers numerous business opportunities due to the need for companies and corporations in the public and private sectors to evolve towards this new facet. We have to make sure we find them and demonstrate that we are the best option to generate value through technology.

Without a doubt we have a solid services offering, an unquestionable positioning on our leadership in the Information Technology (IT) industry, an invaluable maturity in our quality assurance processes, in which we have been pioneers. But above all, we have a unique culture based on the human element, to see our employees as the true architects of that value creation.

For this reason, we seek the inclusion of this talent from an early stage through our Momentum program that integrates hundreds of students each year. We have a development program of both technical and soft skills and a virtual university through which we exchange knowledge. We offer a compensation and benefits package that represents security and stability for our employees and their families; We develop and implement an entire quality of life program that promotes physical condition, healthy eating and integration and coexistence.

This report is a tangible sample of our capabilities, reach and achievements. It is evidence that Softtek is an organization that was born to excel.

I invite you to read it, to share it and to be proud of what together we create each day.

Hugs,
Blanca Treviño

SOFTTEK PROFILE


We create value through technology

Defining Softtek is an invitation to understand what we do as well as how and why we do it.

We imagine, invent and evolve solutions to complex problems. We transform the intangible into something tangible. We convert ideas into reality.

Our engine is talent and technology is our tool. We create value for our clients, our people and our shareholders through technology. There is always an enduring impact in everything we do.

The transforming power of technology is useless in the absence of human essence. The human element is the catalyst for creating value, set in motion by a proper environment as well as talented and determined people.

We have a complex job; a product of multiple disciplines, diversity of ideas and perspectives.

The dynamics of our surroundings has made us agile and experts in the use of technology that allows us to remain one step ahead.

We are cognizant that collaboration is the only way to achieve our purpose.

Our beliefs not only guide us but make us unique and identify us as well.

What is our driving force? Unquestionably it’s a passion for reaching new horizons, for leaving our mark, to reach a higher plateau, in short, a passion to transcend.

This is our essence… This is who we are.

Business Ethics


Living according to our essence, beliefs and values has become for us not only a way of working, but also a way of life. Since our foundation we have had a daily and constant commitment to our integrity both inside and outside of Softtek. This is reflected in every conversation, in every behavior and in every intention, and transparency, honesty and respect will continue to be present.

By 2016 we are launching our new version of the Code of Ethics at the global level, which is based on integrity, honesty and respect as guiding principles. In this respect our Code of Ethics fulfills the function of being a guide and light so that our professional conduct continues to be governed under the most absolute conscience of integrity. We are convinced that in this way we are fully protecting our organization and the interests of our shareholders, collaborators, subcontractors and clients. In addition, an internal site was created to disseminate information about the new Code of Ethics and was endorsed by the Global Ethics Committee:

  • Luis Revilla
  • Beatriz Vallejo
  • Fernando Méndez
  • Agustín De La Maza
  • Mauro Mattioda

Our Ethics Committee aims to preserve and ensure a culture and business practices at Softtek based on ethical principles, through the definition, implementation and updating of tools or means to ensure compliance.

SUSTAINABILITY


Materiality

We at Softtek consider that it is of great importance to know the ethical, social, labor, community and environmental aspects. These are essential for our strategic planning and for the establishment of objectives.

The study of materiality helps to prioritize the main issues at Softtek which can influence decision making of our interest groups. The information that has been gathered has allowed us to better determine the content of our report.

The following sources were considered in order to establish the most relevant aspects:

  • Our business strategy.
  • Business objectives.
  • Global Reporting Initiative guidelines (GRIG4).

Our Materiality subjects:

  • Governance
  • Budget
  • Social Intern
  • Social
  • Environment

Stakeholders

Collaboration and contribution are basic attributes of the day-to-day. The majority of leading companies in this segment have integrated sustainability as a way of being, of growing and taking care of their business. All this is done jointly with their clients, employees and external interest groups such as NGOs, the communities where they operate and government, etc.

It is of vital importance to Softtek to maintain contact with our interest groups because they are essential to the business, its growth and staying competitive in the market. For this reason, we establish communication channels for adequate interaction.

Commitment to Our Customers

Softtek’s characteristic approach has six key components that we believe essential to any successful client relationship, project or engagement:

Right Culture

We believe in establishing an environment that is value, results and efficiency-driven as well as a culture that rewards action-oriented behaviors.

Right Governance

Good governance requires identifying key business performance indicators, a clear change management strategy and baseline processes to create predictable performance in accordance with Six Sigma, CMMi, ITIL or any other applicable set of guidelines. Softtek automates processes and measures via digital dashboards, which yield relevant business performance metrics and continuous improvement.

Right Size

One must have the right number of people with the right mix of skills. At Softtek, we do not believe in simply re-badging or relocating people as a first approach. First, we identify the client’s business objectives, and then we build an optimalsized team with the right skill mix.

Right Place

Labor arbitrage is a strong tool for cost reduction, yet often a recipe for failure. We believe that team allocation should be determined by performance, regulation, geopolitical and risk mitigation factors rather than solely the location of labor. Our onsite, onshore, Nearshore and offshore capabilities allows us to make optimal work-allocation recommendations.

Right Execution

Softtek’s approach optimizes outcomes and ensures operational health throughout the engagement lifecycle, whether the objective is improved time to market, gain market share, or reduce operational costs.

Right Quality

We believe quality must be evaluated based on business performance. Our quality assurance metrics ensure that performance is measured by service level agreements and your bottom line.

SOCIAL PERSPECTIVE



Talent is the steel angle of our business and many of the most important organizations in the world trust our services on an ongoing basis. For this reason, we take special care of our people because their success is our ultimate goal.

Softtek offers an extensive array of resources and training programs that allow our employees to be highly competitive, creative, take risks and stand out. We promote professional and personal development through our corporate culture and a unique social structure which has made Softtek one of the best companies to work for in different countries.

Headcount

Distribution by age



Engagement Index

By propitiating the proper environment, talented and self-determined people create amazing things.

The Engagement Index evaluation provides us with information about our organizational climate so that we can understand our strengths and opportunity areas. It also gives us visibility to take action to build the place we all aspire to work in.





Training Programs

At Softtek we are convinced that supporting new talent development is a worthwhile endeavor and is key to reaching the goals of our organization.

We want to support the professional development and to have the best talent that can be outstanding in the IT industry.




Momentum Program

Our “Momentum” project allows people to work on actual projects during the early stages of their professional development. Each year, thousands of students that are in different stages of their education, as well as those who are new graduates, can gain experience in training while specializing in practices and technologies that are crucial to Softtek, in addition to learning software engineering techniques, and quality initiatives like Six Sigma.

Avarage Momentums
in 2016: 404


Quality of life

For Softtek, Corporate Social Responsibility is a value-creating process whereby we strive to attain an optimum balance between our profitability, the environment and people.



3E Employee Engagement Events

We believe that a dynamic quality of work life that is affected by balancing programs or activities, as well as recreation, can maintain and increase emotional wellbeing which translates into better performance. The quality of life programs at Softtek have a focus aimed at getting an employee to be in recreational surroundings and at the same time, place him/her closer to information and tools for his physical and mental health.

Health Programs
4,218 participants
Integration Programs
30,021 participants
Entertainment Programs
3,177 participants
Sports Programs
5,000 participants


Softtekiada

A fundamental part of our quality of life program, the Softtekiada is the culmination of the GET IN THE GAME program, comprised of sports tournaments, social and cultural activities, that also serve as a classification mechanism.

The primary objective is to incentivize physical activity, relationship-building and integration.

The venue for 2016 was Cabo San Lucas, Baja California Sur, Mexico.

650
Attendees
374
Relatives and friends
276
Athletes
13
Countries
15
Venues


Softtekian Day

This is a space to recognize the enormous talent of each employee, to show appreciation for the great value they contribute to the organization and is also designed to inte¬grate and promote fellowship.

November 10 is the day in which we unite to celebrate and recognize all the talent that makes up the organization, through surprise meetings between leaders and team members, in a different environment, in a celebratory environment, where the loudest message shared is the commitment to continue to create amazing things.

5,011 Softtekians

FUNDACIÓN SOLIDARIA

This foundation focuses its efforts on actions that contribute to developing community sustainability where we operate. We are aware that the collaboration between our volunteers and the communities is fundamental to achieve great changes in society.

Thanks to our corporate volunteer platform, we can be agile in the creation of technological solutions to social problems and open up space for our employees to put their abilities to work. All this with one thing in mind: TO KEEP MAKING THE DIFFERENCE!

Our principal programs (participants):


10
Codellege
429
Softtek Donate
787
Make a Difference Day
895
MAD
485
5K Race Benefit

ENVIRONMENT


Softtek is committed to the management of our direct environmental impacts through monitoring the use of our energy, recycling and water usage, as well as ensuring proper storage and disposal of our computers and cell phones.

We look for the certification of our company with recognized environmental organizations. Because of this, and as part of a commitment to standardize the efforts within the company, 2016 marked the beginning of our norm ISO14001:2015 certification process.

Softtek is consciously aware of our industry, processes and activities and assumes this responsibility by committing to:

  • Fulfill the pertinent legal, local, state, national, international volunteer requirements.
  • Prioritize the use of clean technologies in our processes and services.
  • Protect the environment and prevent contamination.
  • Efficiently use the resources to minimize our environmental impact.
  • To have processes for continuous improvement throughout the entire organization

Emission Control

Although our activities do not generate significant direct gas emissions, we utilize some measures aimed at promoting the responsible consumption of energy among employees.

Softtek continues to strengthen the use of new technologies that contributes to achieving better communication and reducing the number of trips. To facilitate communication, Softtek has 26 teleconference units worldwide that facilitate a connection between employees and with clients.

For the environment, we aim to constantly improve results year after year. In 2017, we will continue to work on environmental awareness in our groups of interest support in new environmental initiatives and activities.

COMMITMENTS FOR INNOVATION

We at Softtek, are certain that Innovation is one of the strongest drivers for the overall success of any kind of organization; which is why we are seeking Innovation where most companies fail to do so. Normally, Innovative ideas for the enterprise come exclusively from corporate leaders which is where Softtek takes a different approach.

We believe that everyone at the company has great ideas that could shape the future... and we aren't talking solely of our company, as we are sure that there are a number of Innovative thoughts within our employees that could potentially change the world.


Softtek Innoventures

Softtek Innoventures is an initiative geared to propel innovation and entrepreneurship within Softtek. We are committed to carrying out a valuable impact in the entrepreneurship culture in Mexico.

Mission

To provide a platform so that entrepreneurs solve global business organization challenges and reinforce the value and influence Softtek has in the market.

Vision

To establish a process and innovation and entrepreneurial platform that is profitable and recognized worldwide that will:

  • Establish and adopt the highest standards for processes and innovation.
  • Promote and utilize LatAm resources to innovate through software and technology.
  • Provide a large-scale impact in business technology at a local, transnational and worldwide level.
  • Provide a large platform for education and continuous support for emerging and well established companies.

The program transforms ideas into sustainable initiatives.

FINANCIAL PERSPECTIVE



2016 was a year in which high volatility continued in the global economy thus propitiating the growth of political strife and inflation in the emerging markets. This caused the US dollar to strengthen against all the rest of the currencies as well as adjustments in the reference interest rates in the majority of the markets where we do business.

Softtek is an anonymous variable capital society, and as per the laws of the United States of Mexico, has subsidiaries and operations around the world. The company, by decision of its shareholders, continues to operate as a private company, adopting the better business practices with evolving internal controls, financial statements, as well as the safeguarding and information security in compliance with the applicable corporate laws in each of the countries where it has presence.

The corporate government and Board of Directors at Softtek is continuously supported by various committees, among them: the Executive Committee, responsible for ensuring the continuation of business as usual, with respect to the approved plans, and the Risk and Investment Evaluation Committee, responsible for evaluating and approving business and initiatives that will ensure a defined minimum return by said committee. These committees have contributed to maintaining an administrative, financial and operational discipline that will ensure sustainable growth at higher rates than the industry average—always above income growth and the expansion of its profit margins.

SUSTAINABILITY
REPORT 2016

PDF VERSION

Todos los Derechos Reservados © Valores Corporativos Softtek S.A. de C.V. 2017. Softtek, the Softtek logo, Near Shore® and other Softtek products and services mentioned herein are registered trademarks of Valores Corporativos Softtek S.A. de C.V. in USA, Mexico and several other countries.

© 2017 Softtek