1 Section 1: Company details This section is not scored, however assessors will take any relevant information into account when reviewing your submission. Please ensure that all details in section 1, particularly the company details, are correct and written in full. Award Category Company name (in full) Parent company name (if applicable) Turnover Business in the Community s Responsible Business of the Year Award Nationwide Building Society N/A 2.8bn Number of full-time employees Sector 17,000 employees overall (13,000 full-time employees) Accountants & Consultants Financial investment services Leisure & hotels Aerospace & Defence Food & beverage Media, marketing providers & PR Architects Higher education Mining & basic resources Automobiles & parts Household & Oil & gas personal goods Chemicals Food & drug Pharmaceuticals retailers & biotech Construction Industrials & Real Estate engineering Financial banks & x IT hardware, Retailers building societies software & services general Financial insurance Legal Support services Surveyors Telecommunications Tobacco Transport Utilities Other (please specify) Brief description of your business (100 Words) Where does your business have an impact? (tick all that apply) Do the activities described in your award entry go above and beyond what your business is required to do? Nationwide is world s largest building society as well as one of the largest savings providers and a top-three provider of mortgages in the UK. We are governed by UK Building Society Act 1986 and regulated by the Building Societies Commission. We are also a major provider of current accounts, credit cards, ISAs and personal loans. Nationwide has over 15 million customers, 17,000 employees and 700 branches in the UK. Our head office is in Swindon and our other major sites are in Northampton, Bournemouth, Dunfermline and London. East Midlands Northern Ireland West Midlands East of England Scotland Yorkshire & Humber London South East Nationally X North East South West Internationally please North West Wales Confirm by ticking the relevant boxes below. Legal/Statutory requirements X Regulatory requirements X specify where (multiple countries permitted): Contractual requirements X
2 Please provide a quote from your CEO (or equivalent) endorsing your approach and why others businesses should follow suit. Please include their full name and title. (100 words approx.) What 3 top tips would you share with companies that wanted to replicate your success? (100 words approx.) Being responsible and doing what is right by our members goes to the heart of the mutual business model. I am proud to lead Nationwide on its path to become the number one choice for financial services. Since 2008, our sector has been under the spotlight and Nationwide has shown that success comes through acting responsibly and focusing on long-term sustainability. Our Citizenship strategy, Living on your side, is a clear demonstration of our mutual philosophy and culture. I strongly believe that as a major organisation we have a responsibility to tackle the pressing issues that are faced by society. Graham Beale, CEO 1. Integration - negotiate thorough integration and buy-in throughout the business 2. Relevance - make your strategy relevant to your organisation, your employees and your customers it must be a part of what you do as a business, it will then take on a life of its own 3. Communication - internal and external stakeholders need to hear about your agenda, so they can engage and be your advocates End of non-scored section
Scored section 3 Section 2: Q 2.1 Why should your business be Business in the Community s Responsible Business of the Year 2015? Please include a maximum of six relevant URL links to supporting evidence in the public domain within the body of your answer (URLs will be excluded for the purposes of word count). (1,500 words max) Nationwide is the largest building society in the world, we are a mutual, owned and run for the benefit of our members. We operate in one of the most contentious sectors of all financial services. Whilst our sector has been under the spotlight since 2008 and our competitors have relied on government support, Nationwide has been a standard-bearer for responsible business. Acting responsibly and doing the right things for our members is our core business purpose. Our five-year Citizenship strategy, Living on your side, is a clear indicator of our mutual philosophy. It s in place to enable us to achieve some key targets that address some of society s most pressing social challenges that matter to our members. Our strategy will help us to become first choice for financial services in the UK. Living on your side was agreed by key stakeholders and influenced by members, it is integrated into our culture. We focus on four main areas: - Your Home, links closely to our mortgage activity and focuses on housing issues - Your Money, links closely to our savings activity and addresses issues with money-management, debt and financial education - Your Community, links closely to the communities we live and work in, engaging 17,000 employees across our branch and admin networks as well as our 15 million members - Your Society, focuses on how we run our business in an ethical, environmental and responsible way
4 We set clear long term targets: - Your Home: help 750,000 people into a home of their own by 2017 - Your Money: help 1 million people to start saving by 2017 - Your Community: strengthen local communities by investing/unlocking 15 million by 2017 - Your Society: stay true to our mutual values and run our business in an ethical and responsible way Our strategy ensures that we improve the way we run our business and tackle key issues that are faced in the UK every day. For example, through Your Home, we ve successfully campaigned for longer term tenancies and further supported landlords with the removal of a minimum landlord age. Citizenship is an important part of the culture at Nationwide, with 65% of employees logging citizenship involvement in 2014/15 and 94% responding that Nationwide makes a positive impact on local communities. Nationwide has proved that by doing the right thing and putting Citizenship at the heart of everything we do, it is possible to have a positive impact on business performance and brand reputation. In 2014, Nationwide maintained its position of being number one for service with a lead of 4.2% (GfK NOP s Financial Research Survey) and we were also rated the most trusted financial brand in 2014 in YouGov Brand Index. Campaigning and visible leadership Nationwide works hard to challenge sector issues that members and the UK public face every day. Working with key stakeholders throughout the organisation we identify how we can help improve lives through charitable partnerships and consumer campaigns. ISA Reform In 2014, Nationwide successfully campaigned for ISA parity on behalf of members. CEO, Graham Beale called on the chancellor to equalise ISA limits, meaning savers could make the most of their savings blog here. After the chancellor answered Nationwide s call to equalise ISA limits, Graham communicated his delight via social media:
5 Living Wage Nationwide was the first high street financial services provider to become a principle partner of the Living Wage Foundation. From 2015, all staff working on a Nationwide site will be paid the Living Wage. Mayor of London, Boris Johnson, was an advocate of our approach, he commended us when he visited our head office. Stamp Duty Nationwide campaigned for more than a decade for stamp duty reform. We called on the Chancellor to make a change to provide a lifeline for first time buyers as well as those upgrading to larger properties.
6 Collaboration Your Home Goals are aligned with our mortgage business and support social issues, e.g. homelessness, first time buyer access to mortgages, affordable housing and longevity of tenure for tenants. Social issue: Every 11 minutes a family is made homeless Goal: Help 750,000 people into a home of their own by 2017 Example activities: Worked with Shelter for 15 years. In 2012 launched 1million four year partnership Responsible for lending 1 in 5 First Time Buyer mortgages 200,000 people helped into a home of their own 2013/14 Your Money Goals aligned with our savings business and are supportive of key financial management related social issues; we re helping people of all ages start saving, as well as helping people out of debt and supporting people to improve their financial capability. Social issue: 20% of people have no savings Goal: Empower 1 million people to start saving by 2017 Example activities: Improving numeracy skills among young people and adults via our Talking Numbers programme and working with National Numeracy. Nationwide Education is a key resource linked to national curriculum to improve numeracy skills, which are a barrier to good money-management 203,600 people helped to start saving 2013/14
7 Your Community Goals aligned with brand and customer strategy. As a mutual, we want our members to feel that we re their Society and that there are meaningful ways in which they can get involved and influence what we re doing to support their communities. Initiatives including the Big Local and Community Match allow members to support their local charities through Nationwide, we match their donations. Social issue: 20% reduction in voluntary sector funding Goal: Unlock/invest 15 million in local communities by 2017 Example activities: 1,020 charities helped 2013/14; 337,900 raised through Big Local and Community Match Over 20 year partnership with Macmillan 4 million channelled into local communities 2013/14 Your Society Underpins our strategy and demonstrates our commitment to operate in a responsible and ethical way. Social issues: Wide-ranging environmental, ethical and fairness challenges. Goal: Look after our employees, work fairly with suppliers and minimise impact on the environment. Example activities: Awarded the Carbon Trust Triple standard following our reduction in carbon emissions (15% reduction from 2010/11 baseline), waste (94% diverted from landfill, increased from 42% in 2010/11) and water consumption (20% less water consumed than 2010/11 baseline). Planted 3,000 trees in 3 days in Wiltshire Recognised as one of the top companies to work for in the UK, being placed sixth in the Sunday Times list of Top 25 Big Companies
8 Leadership and Governance Citizenship led by CEO Graham Beale; chairs the Corporate Citizenship Committee, which comprises senior leaders who own our strategy. Graham personally champions the agenda. Leading on: - Adoption of Living Wage - Pay-roll giving 30% of employees are signed up to support Macmillan/Shelter - The creation of Nationwide Woodlands: pledged to plant a tree for every employee Graham reports on Citizenship activity to the board on a regular basis and they review the overall Citizenship strategy annually. We have a Board Composition Matrix relating to non-executive capability/experience. CSR is one of 10 areas of capability/experience referred to. The matrix helps shape future recruitment and development activity in relation to Non-Executive Directors. 30% of Graham s pay review is based on Citizenship activity. His performance plan also focuses on business sustainability - a strong capital ratio is key to sustaining a healthy business. Annual Board Effectiveness Reviews evaluate the effectiveness of the Board and areas for improvement, which are then actioned with the oversight of the Nomination Committee. Areas of ongoing activity to support Board effectiveness with regard to independence and relevant knowledge include annual review of time commitment, number and nature of directorships and focused development. Gender diversity targets are set, actioned and reviewed, as a result of which there continues to be a positive shift. Working Groups for each strategic focus area are led by the relevant business leader e.g. Head of Mortgages leads Your Home.
9 Inspiring future-leaders Nationwide s culture is illustrated through PRIDE. Each letter holds a meaning; the most relevant is D Doing the right thing. Each Director within Nationwide has Citizenship objectives in his/her annual performance plan, ensuring they lead by example. Citizenship is integrated into highly effective training programmes, ensuring the next generation embody our values and continue our support of Citizenship. Modules are included in Next-Generation-Leadership- Programme and Senior-Executive-Development-Programme. Transparent and balanced reporting Transparency in reporting is a fundamental part of responsible business. Our strategy is shaped by ongoing materiality assessment of key issues and stakeholders. Reporting guided by Global Reporting Initiative and the BITC CR Index - because of the index, we ve expanded on the data we disclose, for example, tax transparency and diversity and inclusion data. Citizenship performance is reported through our Annual Report & Accounts plus our annual Citizenship report. They are easily accessible, non-technical and suited to members as they re set out in a colourful and engaging way.
10 Annual Citizenship Report details performance and strategic direction including future action points/commitments. It s structured around our Living on your side strategy. Feedback from key stakeholders informs future reporting. Updates on performance against citizenship targets are reported quarterly.