ECONOMY

As a global leader in banking software, Temenos integrates corporate social responsibility (CSR) into its core operations, with a strong alignment to the United Nations Sustainable Development Goals (SDGs). The company’s initiatives are designed to create measurable, long-term impact in key areas such as financial inclusion, digital innovation, and environmental sustainability.

Temenos’ focus on financial inclusion and digital innovation is complemented by these sustainability efforts. The company develops banking solutions to extend access to financial services in underserved regions, while promoting economic empowerment through digital platforms. In emerging markets, Temenos collaborates with educational institutions and local partners to foster digital skills and literacy, ensuring broader participation in the digital economy.

A critical part of Temenos’ strategy involves climate change mitigation. The company actively reduces its environmental footprint by adopting sustainable practices, including transitioning to renewable energy and improving operational efficiencies to minimize resource consumption. Additionally, Temenos leverages its cloud-based technology solutions to help clients reduce their carbon emissions, aligning with global efforts to limit climate change. By offering banking solutions that require less energy and resources, Temenos not only supports its clients' sustainability goals but also contributes directly to the reduction of global emissions.

Through initiatives like "Adopt-iT" in India and the Supplier Diversity Program, Temenos also promotes gender equality and diversity. These programs aim to empower women and marginalized groups, particularly in STEM fields, by providing resources, training, and opportunities for education and career advancement.

Employee engagement is another pillar of Temenos' CSR strategy. Employees across 56 offices in 39 countries are encouraged to volunteer in community service projects, from environmental and social conservation to educational outreach. Temenos views this as an essential part of fostering a corporate culture that values social responsibility and sustainability.

Temenos addresses critical global challenges such as climate change, poverty eradication, and gender equality through its comprehensive CSR strategy. By integrating sustainability into its technology solutions and corporate practices, the company drives meaningful progress toward the SDGs, ensuring its success is aligned with the well-being of the global community and the environment. The following section provides a brief overview of how our actions contribute to the SDGs.

SDG 1: No Poverty

Temenos demonstrates its commitment to SDG 1: No Poverty by ensuring that all employees earn above the living wage. The company promotes secure, inclusive employment, financial inclusion, and human rights within its operations and supply chain. A key initiative in addressing poverty is the Adopt-a-Kid program in India, where Temenos has 65% of its global workforce. India, facing significant challenges with poverty, is a focal point for Temenos' efforts to improve living conditions through education and financial inclusion. The program raised USD 38,820, matched by the company, and supports underprivileged children by offering scholarships, sanitation resources, and educational opportunities. In 2023, the company contributed USD 697,391 and dedicated 1,378 employee hours toward poverty alleviation efforts. Temenos' Governance Framework includes initiatives like the Living Wage Policy, the Business Code of Conduct, and addressing the UK gender pay gap. Furthermore, the CSR Adopt-iT Program ensures long-term, sustainable support for underprivileged communities, focusing on education, job opportunities, and financial inclusion. Through these efforts, Temenos aims to empower individuals and break the cycle of poverty, contributing to economic self-sufficiency in the communities it serves.

SDG 3: Good Health and Well-being

At Temenos, we emphasize the importance of employee health and well-being as part of our commitment to SDG 3: Good Health and Well-being. Currently, 99.9% of our employees are covered by healthcare plans. In 2023, over 400 employees globally participated in Race for the Cure Walks, highlighting our focus on physical wellness. During Mental Health Wellbeing Week, we organized 40 local and 6 global activities across 17 countries, providing 85% of employees access to mental health platforms. In total, we held 316 wellbeing events and ensured that 20.7% of employees volunteered for various health and safety initiatives, achieving zero health and safety incidents. Our governance framework includes a Global Health and Safety Policy, Maternity and Paternity Policies, and Health and Safety Committees, ensuring a balanced, secure, and supportive work environment for all employees.

SDG 4: Quality Education

At Temenos, education is a key focus of the company’s commitment to SDG 4: Quality Education. Since 2017, the Adopt-iT program in India has played a crucial role in advancing digital literacy and expanding access to education. The program has established 13 solar-powered computer labs and 9 training rooms in schools, along with a solar-powered innovation lab and a green data center at a university, providing more than 36,694 students with the tools to enhance their digital skills. Additionally, Temenos promotes innovation through hackathons and research projects, cultivating a culture of continuous learning and technological development. As part of its gender diversity program, Temenos allocates 60% of its scholarships to young women, encouraging careers in IT. In 2023, the Adopt-iT Scholarship Program awarded 196 scholarships to students in Tamil Nadu across fields like IT, Computer Science, and Engineering. The company also invests in the professional growth of its employees, offering an average of 75 training hours per employee, with an expenditure of USD 5,830 per employee for professional development. Through these efforts, Temenos is committed to supporting lifelong learning, digital inclusion, and educational equality.

SDG 5: Gender Equality

In the traditionally male-dominated IT and banking industries, Temenos has emerged as a leader in promoting gender equality. Our DEI strategy reflects our commitment to creating a balanced and equitable work environment. We diligently monitor gender diversity through our detailed Diversity dashboard and craft policies tailored to ensure a gender-balanced representation across recruitment, retention, pay, advancement, and representation. This holistic approach has led to significant milestones, including a commendable female representation in STEM-related roles and leadership positions within our organization. With 35% of our workforce consisting of women and 46% gender diversity among employees under 30, we are committed to driving inclusivity in sectors where men have historically held the majority of roles. At the executive level, 40% of our Executive Committee and 38% of our Board of Directors are women, showcasing our dedication to gender balance at the highest levels of leadership. Temenos also supports women in STEM through targeted scholarships and career opportunities, empowering more women to pursue careers in technology and banking. As part of our comprehensive approach, the Supplier Diversity Framework extends gender equality into our supply chain, ensuring that our impact reaches beyond the company itself. We actively participate in the Bloomberg Gender-Equality Index with a perfect disclosure score. Additionally, we invest in the development of our female employees through initiatives, Policies, and employee communities such as Women@Temenos and LGBTQIA+, creating inclusive environments across all regions. 50% gender diversity in top management further highlights our commitment to promoting equality at every level of our organization. Temenos is also a signatory of the Women's Empowerment Principles (WEP), which guides our efforts in creating gender-inclusive workplaces. Through these actions, Temenos is not only leading change within our own company but also setting an example across the IT and banking industries, proving that gender diversity and leadership in male-dominated sectors can and should go hand-in-hand.

SDG 6: Clean Water and Sanitation

Temenos is dedicated to improving water management and sanitation as part of its commitment to SDG 6: Clean Water and Sanitation. With 73% of its workforce in ISO 14001 certified offices, and key events like TKO and TCF 2023 certified under ISO 20121, sustainability is integrated across operations. In 2023, Temenos constructed new girls' restrooms at the Government Higher Secondary School in Tamil Nadu, promoting safe, inclusive sanitation. The company also treats and recycles 44% of the water it withdraws, leading to a 9,394,502-liter reduction in freshwater use. As a signatory of the WASH Pledge, Temenos is committed to providing safe water and sanitation to workplaces and surrounding communities, especially in disadvantaged areas like India, ensuring access to clean water for vulnerable groups.

SDG 7: Affordable and Clean Energy

Temenos is committed to advancing clean energy and reducing its carbon footprint. Currently, 86% of the electricity used in our internal operations comes from renewable sources, reflecting our focus on sustainability and energy efficiency. In support of this, we have invested USD 89,040 in green initiatives that aim to further reduce energy consumption and minimize environmental impact. Through these efforts, we have achieved a 37% reduction in per capita energy consumption for our ISO 14001 certified offices since 2018. In 2023 alone, we achieved a 15% energy reduction compared to the previous year. This ongoing progress is a testament to our commitment to building a low-carbon economy and ensuring that our operations align with global sustainability goals. Our Global Environment Policy, Environmental Management System (EMS), and certifications such as ISO 14064 and ISO 20121 play a crucial role in guiding our sustainability efforts. These frameworks ensure we maintain accountability and transparency in managing our energy usage and reporting our environmental impact.

SDG 8: Decent Work and Economic Growth

Temenos continues to make significant contributions to SDG 8: Decent Work and Economic Growth by driving sustainable economic growth through its operations. In 2023, Temenos achieved a revenue of 1.0002 billion USD, reflecting its robust economic performance. In line with its commitment to providing decent work and fair remuneration, the company allocated USD 487.7 million to employees’ wages and benefits, ensuring that all employees are paid above the living wage.. With 97.7% of permanent employees and 100% of all employees paid above the living wage, Temenos emphasizes decent employment as a key driver of economic growth. This commitment is reflected in initiatives such as the Business Code of Conduct and Gender Pay Gap Report, which ensure fairness and equity in employment practices. Temenos supports lifelong learning and skills development, providing diverse trainings per employee, equipping them with the necessary tools to succeed in a rapidly evolving digital landscape. Programs like the Mentoring Program, which has held over 600 mentoring sessions in 2023, showcase the company’s dedication to personal and professional growth. Health and safety are also at the forefront of Temenos' approach, with zero health and safety incidents reported in 2023. Additionally, 100% of focus suppliers underwent sustainability assessments, ensuring high ethical standards throughout the supply chain. Temenos' Diversity, Equity, and Inclusion (DEI) strategy further enhances the work environment by eliminating barriers and fostering collaboration, contributing to economic growth and employee well-being. Through initiatives such as the Temenos Keys, Temenosian Award, The Club, Temenos Badges and T-Stars Program, Temenos fosters a culture of recognition and appreciation, reinforcing employee engagement and performance. The company's ongoing commitment to enhancing employee experience, through partnerships like that with Qualtrics for its annual employee survey, demonstrates a continuous effort to listen to and improve the workplace environment. Temenos' commitment to SDG 8 not only supports inclusive economic growth but also intersects with other global goals

SDG 9: Industry, Innovation, and Infrastructure

Temenos plays a crucial role in fostering innovation and advancing infrastructure within the banking software industry. Every year, 20% of our revenue is allocated to research and development (R&D), with a total expenditure of USD 277.9 million in R&D for 2023. Since 1990, our cumulative R&D investment has reached USD 3.1 billion. Our innovative solutions focus on sustainable economic growth and financial inclusion, empowering banks and financial institutions globally and promoting resilient financial infrastructures. In 2023, USD 215 million of our revenue came from products with a strong environmental and social impact, further demonstrating our commitment to sustainable development. Through initiatives like the Temenos Carbon Emissions Calculator, we provide financial institutions with the tools to adopt greener technologies, contributing to reduced carbon emissions and the promotion of sustainable infrastructure. Additionally, our Client Voice Program has seen participation grow to 12,753 from a baseline of 4,000 in 2016, with a +90 percentage point improvement in the Net Promoter Score (NPS), reflecting our strong customer engagement and satisfaction. Temenos' governance framework, including certifications like ISO 27001, ISO 9001:2015, ISO 27017, ISO 27018, ISO 22301 AICPA SOC and ISO 20000-1:2018, ensures we meet the highest standards of security, quality, and operational excellence in delivering cutting-edge financial solutions that drive innovation and resilience across the industry.

SDG 10: Reduced Inequalities

Temenos is committed to promoting diversity, equity, and inclusion (DEI) across its global operations, with a workforce that represents 86 nationalities in 39 countries with 56 offices. DEI is central to Temenos' values and mission, ensuring that the company operates in a way that promotes inclusivity and reduces inequalities. In 2023, Temenos demonstrated its commitment to reducing inequalities by spending USD 7.9 million with diverse suppliers globally and ensuring 43% racial diversity within its US workforce. Additionally, 48.7% of Temenos' revenue is allocated to employee wages and benefits, reflecting the company's dedication to fair compensation practices. To further support inclusivity, Temenos has implemented frameworks such as the Supplier Diversity Framework, Business Code of Conduct, and Gender Pay Gap Report. The company also fosters diverse employee communities through groups like ¡ALMA!, LGBTQIA+, and Women@Temenos. With clients in over 150 countries, including 950 core banking clients and 600 digital clients, Temenos plays a pivotal role in reducing inequalities by fostering inclusive practices, both internally and within the global communities it serves. Furthermore, Temenos integrates human rights principles across its operations and supply chain, aligning with international standards such as the Universal Declaration of Human Rights and the ILO's Declaration on Fundamental Principles and Rights at Work. By maintaining high ethical standards and conducting regular audits, Temenos strives to uphold its commitment to reducing inequalities both within and outside the company.

SDG 11: Sustainable Cities and Communities

Temenos is committed to promoting sustainable cities and communities through its innovative facilities management strategies, designed to optimize natural resource use while respecting protected areas. As part of this commitment, 34.5% of Temenos' office spaces have earned Green Building Certifications. In 2023, Temenos launched several sustainability projects, including the donation of 10 retrofitted electric vehicles to individuals with disabilities in rural India, promoting accessible and eco-friendly transportation. Many of our offices also feature electric vehicle (EV) charging stations, encouraging employees to adopt sustainable commuting practices. Temenos also promotes the use of public transportation, reducing our carbon footprint and supporting eco-friendly travel options. To further these efforts, Temenos runs initiatives like the Vehicle Emission Test Campaign in India, helping employees ensure their vehicles meet emission standards. This initiative contributes to reducing air pollution and advancing cleaner cities. Additionally, a solar-powered computer lab was built at SOS Children’s Villages in Bangalore, supporting education with renewable energy. Temenos maintains sustainability standards in its operations, including ISO 20121 certification for major corporate events like TKO and TCF, ensuring sustainable event management. The company has also banned single-use plastics in two offices and encourages sustainable practices like eco-friendly dining and public transit, with 80% of Taipei office employees now using public transportation. These initiatives are part of Temenos' broader Climate Transition Action Plan, which aims to reduce emissions across the value chain. Temenos is actively contributing to building sustainable, inclusive, and resilient cities while fostering cultural and social vitality in urban communities.

SDG 12: Responsible Consumption and Production

Temenos is committed to SDG 12, which focuses on ensuring sustainable consumption and production patterns. Through innovative banking technology, comprehensive internal policies, and a focus on resource efficiency, Temenos is making significant strides in promoting sustainability. Temenos' cloud-based solutions optimize energy use, reduce carbon emissions, and help clients transition to more sustainable IT infrastructures. Temenos' recognition at the Hellenic Responsible Business Awards 2023, where it received gold for B2B Collaboration and bronze for Technology and Environment, highlights the company's leadership in merging digital transformation with sustainable business practices.Temenos' supplier diversity framework ensures that sustainability is embedded in the supply chain. Suppliers are assessed based on diversity and environmental criteria, promoting sustainable sourcing practices. The company also addresses the environmental impact of e-waste, ensuring 100% of e-waste is responsibly treated. Within its offices, Temenos has implemented policies to reduce waste, such as minimizing single-use plastics and encouraging recycling. Temenos actively engages with its clients, employees, and stakeholders through educational programs, promoting the integration of sustainability into banking operations. Initiatives like the Mission Earth Team and environmental awareness events, such as World Environment Day, inspire action toward environmental protection and reducing plastic pollution.

SDG 13: Climate Action

Temenos is committed to climate action, aligning its efforts with Sustainable Development Goal 13 (SDG 13). The company aims to achieve net-zero emissions by 2050 and has already reduced Scope 1 and 2 emissions by 90.7% since 2019, as well as a 31.3% reduction in combined Scope 1, 2, and 3 emissions. This progress is reinforced by the Science Based Targets initiative (SBTi), ensuring alignment with the Paris Agreement's goal of limiting global warming to 1.5°C. Temenos' Climate Transition Action Plan focuses on reducing emissions across all aspects of its operations, including offices, data centers, and its supply chain. The plan highlights four critical areas for achieving net-zero: implementing TCFD recommendations, reducing emissions in operations, engaging the supply chain, and empowering clients to meet their sustainability goals. Notably, Temenos sources 86% of its annual energy from renewable sources for its offices, uses 100% renewable energy at its colocation Data Centers in Europe, and achieves 75% renewable energy usage across its colocation Data Centers worldwide. Furthermore, 73% of Temenos' office spaces (by headcount) are now ISO 14001 certified, underscoring its commitment to energy efficiency and responsible environmental management. Temenos is also an early adopter of the Task Force on Nature-related Financial Disclosures (TNFD), joining over 320 global organizations dedicated to creating frameworks for assessing and managing climate and biodiversity risks. Beyond its internal operations, Temenos' influence extends through the Temenos SaaS, which is powered by hyperscalers to provide scalable, energy-efficient digital banking solutions that reduce the environmental impact of banking operations globally. This cloud-based service exemplifies Temenos’ role in enabling the digital transformation of the financial industry while supporting climate-friendly practices. Additionally, the company supports community-driven initiatives, such as tree planting programs, and encourages employees and local communities to actively participate in climate action. Temenos fosters a culture of environmental stewardship among its employees through its "Mission Earth" team, which focuses on waste reduction, biodiversity, and natural resource management, guiding sustainable practices both in and outside the workplace. Through these integrated strategies, Temenos is setting a new standard for climate action in the financial services sector. With clear targets, transparent reporting, and strong governance, Temenos is addressing climate change as a core business priority. Temenos' holistic vision for SDG 13—focusing on emissions reduction, sustainable practices, client empowerment, and community engagement—ensures its climate action efforts are impactful, far-reaching, and aligned with global efforts to combat climate change.

SDG 16: Peace, Justice, and Strong Institutions

Temenos emphasizes governance and ethical practices as central components of its operations, fully aligning with Sustainable Development Goal 16 (SDG 16), which promotes peace, justice, and strong institutions. The company’s comprehensive governance framework is designed to ensure transparency, integrity, and accountability across all business activities globally. By integrating these principles into its operations, Temenos not only meets the requirements of SDG 16 but also strengthens the foundation for advancing other Sustainable Development Goals (SDGs). Temenos' Compliance Framework is built on the principles of assessment, prevention, detection, and correction, with a strong focus on critical areas such as anti-corruption, bribery prevention, due diligence, and conflict of interest management. This approach underscores the company's commitment to ethical business practices and integrity at every level. The company takes pride in ensuring that 99% of its employees complete annual Anti-Corruption training, reinforcing a company-wide culture of ethical practices. This commitment is further highlighted by the zero violations of the Temenos Business Code of Conduct and no corruption-related fines, demonstrating a zero-tolerance policy towards corruption. These proactive measures help Temenos build peaceful, just, and inclusive institutions while maintaining trust and integrity in its global operations. Temenos also applies strong supply chain governance, holding its suppliers to the same high ethical standards. Leadership at Temenos, particularly through its Board of Directors, exemplifies the company’s commitment to responsible governance. In 2023, the Board held 7 meetings with a 91% attendance rate, while the Audit Committee convened 5 times, achieving a 100% attendance rate. The total Board compensation of USD 1,872,169 underscores Temenos' investment in fostering responsible and engaged leadership. Through these actions, Temenos demonstrates its dedication to ethical leadership, robust compliance, and the promotion of strong, transparent institutions. These efforts directly contribute to the achievement of SDG 16, positioning Temenos as a leader in governance within the financial services industry.

SDG 17: Partnerships for the Goals

At Temenos, we are committed to achieving Sustainable Development Goal 17 (SDG 17) through impactful partnerships with organizations and stakeholders globally. By working closely with key institutions like the United Nations Global Compact (UNGC), Temenos ensures that its business strategies are aligned with broader goals of sustainable development, particularly in addressing global challenges such as climate change, poverty eradication, economic inclusivity etc. These partnerships extend to companies, NGOs, certification bodies, educational institutions, and governance organizations covering a wide spectrum of activities from environmental protection and climate action to education and well-being. Through these collaborations, Temenos amplifies its efforts across diverse sectors, ensuring that its initiatives contribute meaningfully to both local and global sustainability objectives. In 2023, the company actively collaborates with a broad network of 35 organizations, blending technological innovation with societal advancement to contribute meaningfully to global sustainable development. In total, Temenos employees have contributed 4,854 volunteer hours to community initiatives, underscoring the company's deep-rooted commitment to social responsibility. One standout example of this commitment is the partnership between Temenos and Microsoft, which empowers banks and financial institutions with cloud-native and composable banking services through the Microsoft Azure platform. This collaboration enables financial institutions to reduce time to market, deliver services at hyper-scale, and transition from on-premises systems to more efficient and scalable cloud solutions. The move not only reduces total cost of ownership but also drives operational efficiency while minimizing environmental impact through a flexible and sustainable IT infrastructure. In addition, Temenos actively engages with its supplier network through its supplier engagement program, ensuring that sustainability principles are integrated across its value chain. The program includes rigorous sustainability assessments that align with Environmental, Social, and Governance (ESG) best practices, promoting responsible and ethical business conduct among suppliers. By participating in global forums like SIBOS and partnering with international bodies, Temenos plays a critical role in shaping discussions around sustainable finance, climate action, and financial inclusion, demonstrating its leadership and commitment to advancing SDG 17. Through these focused efforts, Temenos exemplifies how collaborative partnerships can drive meaningful progress toward a more sustainable and equitable world.

Temenos is deeply committed to creating a lasting, positive impact on society and the environment. By aligning our business operations with the United Nations Sustainable Development Goals (SDGs), we are actively contributing to global sustainability efforts while generating shared value for our stakeholders. Our comprehensive approach to corporate social responsibility (CSR)—coupled with our innovative banking technology solutions—empowers individuals, communities, and businesses to prosper in a more inclusive and sustainable world. At Temenos, our commitment to the SDGs goes beyond merely meeting targets. We are driven by the desire to foster meaningful change and build a sustainable future for everyone.

Discover how we're making an impact in our Annual Report 2023 here:https://www.temenos.com/wp-content/uploads/2024/04/annual-report-2023-h504ff23.pdf#page=129

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