Recently helmet-based safety technology company Mips released their 2023 Sustainability Report. The report revealed that Mips reduced emissions per solution by an average of 20.8% compared to 2022. ISHN asked Mips CEO Max Strandwitz some questions for more insight into the report. 

Why is sustainability so important at Mips? And why do you think some companies are not able to make it a priority?

While Mips is a relatively small company, we are a global leader in the field of helmet-based safety. Just as our solutions can make a decisive difference in a helmet, Mips’ ambition is to make a difference in influencing the entire helmet industry to become more sustainable. 

Mips’ sustainability strategy is based on our overarching strategy and builds on Mips’ fundamental values; we dare, we care, and we share. We expect our business partners to act in a sustainable and responsible way as well. To develop sustainable products that have less of an environmental impact, Mips and all of our partners must do their part, and industry members need to inspire each other. 

We work closely with suppliers and partners to limit climate and environmental impact as much as possible, and to apply the same values throughout Mips’ value chain, to embrace social responsibility for all of our employees, and to respect human rights in every regard, without compromising safety.

How was Mips able to reduce its carbon emissions by 20.8% per solution in 2023 compared to 2022?

For 2023, the target was to reduce total emissions by 12% per unit sold, and the outcome was an average emission decrease per unit sold of 20.8%. This came primarily as a result of converting existing offerings of our most sold solution to consist of 100% post-industrial plastic (PIR), while simultaneously rolling out four other solutions including PIR. 

Can you provide more details on Mips' current use of post-industrial recycled plastic in its products? How does this compare to the company's overall use of plastic?

In 2023, Mips’ shifted to using more post industrial recycled polycarbonate in five different solutions. Based on rigorous scientific testing led by Mips researchers, post-industrial plastic can replace traditional plastic without compromising quality or safety. 

On average, the raw material emissions of Mips’ solutions in 2023 was 3.93 kgCO2e/kg per solution produced. Polycarbonate had an average of 8.21 kgCO2e/kg in 2023, compared with post-industrial polycarbonate, which has an average of 0.69 kgCO2e/kg.

In 2023, Mips offered suppliers 100 percent post-industrial recycled plastic for our most sold solution. This is the start of our journey towards a fully circular Mips’ solution, which also includes CO₂-neutral manufacturing and the use of recycled and recyclable materials.

What did you learn from the three third-party audits Mips conducted on its largest suppliers? Were there any areas of non-compliance that were identified?

During 2023, Mips carried out audits of three of our most strategic and largest suppliers to assess their compliance with Mips’ Code of Conduct and the ten principles of the UN Global Compact. These were thorough audits carried out by a global, certified, external third party. Through this process, Mips performed an internal review aimed at adapting our procedures to industry best practice for social audits. 

The audit covered a range of critical aspects, including but not limited to working hours, child labor, forced labor, discrimination, health and safety, and environmental practices. Meticulously defined and carried out, the process ensured a thorough evaluation of our suppliers’ compliance with established standards. This structured approach has given Mips insights into different aspects of ethical business methods, and a holistic view of the working conditions and operating policies of Mips’ suppliers.

Almost all of the deviations identified during the three audits were addressed within a few months. Only two of the initial ten major deviations identified remained at the end of 2023, and these are expected to be fully remediated by no later than June 2024. These have taken somewhat longer for the suppliers to address as they relate to improvements in the suppliers’ internal procedures and physical modifications within their operations.

Mips’ internal system classifies deviations into four different types, each of which acts as guidance for appropriate remediation. 

Minor deviations can be described as less serious situations such as a lack of waste containers or signs that waste must be sorted, or problems that do not need immediate attention, even if they are flagged. 

Medium deviations include things like emergency lighting in specific factory areas, or measures that require time to implement. 

Major, high-priority deviations are often linked to delayed compliance with laws, or issues related to safety or the environment, and require expedient attention and resolution. 

Serious deviations are circumstances that require immediate discontinuation of the collaboration.

What specific efforts did Mips undertake to achieve and surpass a gender distribution breakdown of 46/54 percent women to men in the workplace?

At the end of 2023, the number of employees at Mips was 105 (100), 46% (48) of these were women, including in Mips’ China offices, thus achieving our target of having a minimum representation of 40% of both women and men, overall. 

At the end of 2023, the total number of managers was 25, 40% of which were women. The definition of “manager” in this context is employees with staff responsibilities for at least one employee.

Gender diversity is a critical component of success at Mips. The helmet industry has traditionally been male-dominated and Mips is actively working to reverse that trend by prioritizing diversity in the business. 

Mips has actively worked to expand beyond its traditional network to secure gender-diverse candidates and noticed a significant number of women apply to jobs within the company. Mips also focuses on using inclusive language that resonates with a bigger audience and doesn’t exclude anyone based on gender stereotypes. With employee sentiment surveys on participation, autonomy, harassment and discrimination, leadership, and meaningfulness, teams discuss results on a regular basis, bolstering a culture of openness and inclusiveness where everyone’s opinion matters regardless of gender, age, and background.

Read more insights from the report in this article: https://www.ishn.com/articles/114152-mips-reports-208-emission-reduction-in-2023-sustainability-report