Integrated Annual Report 2025

Sustainability data is rapidly becoming one of the most valuable strategic assets a company can have. What began as a mere compliance requirement can now be a real advantage, as those who generate credible, product-level intelligence are able to shape markets rather than respond to them. This moves environmental performance from a constraint to be managed to a lever for value creation, resilience, and growth.

Focus areas - The new digital currency: how data is enabling the sustainable transition (Icon )

Historically, sustainability performance relied on a jumbled assortment of proxies and estimates, usually assembled hastily and retrospectively for disclosure or reporting purposes. No longer. Expectations have now moved toward precision, transparency, and decision relevance. At dsm-firmenich, we recognized this inflection point early. Our company has moved from enterprise-level reporting toward detailed, product-level sustainability intelligence, an evolution that is reshaping decision-making. Metrics that once sat at the margins now inform portfolio steering, investment prioritization, and operational trade-offs. Sustainability is shifting from a retrospective reporting exercise to a forward-looking management discipline.

The digital foundation

As the focus moves from broad commitments to sustainable product steering, a robust digital foundation is essential. This is why we established our Sustainability Digital Northstar, a comprehensive vision for sustainability digital transformation. In essence, this is a ledger, a single, trusted, end-to-end system that captures and connects data across the value chain with architecture underpinned by a state-of-the-art Sustainability Data and AI strategy.

Here, enterprise-wide data governance and a unified source of truth ensure consistency, auditability, and decision-ready insights. Rather than fragmented datasets for individual functions, we are building an integrated system that aligns sustainability intelligence with financial and operational data, strengthening both credibility and strategic relevance.

In the ongoing transition to more sustainable business models, data is the new gold standard. We increasingly see it as the currency that turns ambition into advantage and environmental performance into trust and long-term value.

Rouzbeh Amini, Vice President Sustainability Performance

Harnessing AI innovation

At the core of the Digital Northstar is an AI-enabled sustainability information system that curates metrics, insights, and evidence. Over time, this will be complemented by decision cockpits that allow leaders to track progress against targets and make better steering decisions. Advanced data capabilities will support end-to-end accounting for Scope 3 emissions while digital management reporting will enhance transparency across climate, health, nutrition, and social impact indicators. Automated supplier intelligence will improve traceability, risk management, and compliance with regulations such as the EU Deforestation Regulation, while scalable product footprinting and assurance-ready data management will form the backbone of non-financial reporting, double materiality assessments, and regulatory alignment.

Data as credibility

Data separates substantiated leadership from unsubstantiated claims. Granular, reliable information enables confident decision-making and ensures that sustainability commitments are credible, auditable, and trusted by stakeholders. Critically, robust data infrastructure transforms sustainability from a perceived cost into a value driver, enabling new commercial models and competitive differentiation.

The challenge and the opportunity

Our progress accelerated dramatically in 2025. Teams were upskilled in data management and AI applications, Scope 3 methodologies were modernized, product carbon footprinting was scaled, and executive reporting now tracks monthly progress against sustainability targets. Challenges remain, particularly fragmentation across systems and processes, yet as of 2025 we are well on our way toward moving from retrospective reporting to proactive steering and smarter portfolio decisions.

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