DaimlerChrysler's standards of business conduct

DaimlerChrysler has established a comprehensive set of standards that go beyond the scope of legal requirements. This system, which has been developed over the course of many years, applies directly or indirectly to external principles such as the Global Compact, as well as to charters and conventions (e.g. from the UN or the ILO). This system offers the employees guidance and enables actions to be effectively controlled and monitored.

DaimlerChrysler formulated a comprehensive Integrity Code back in 1999 and supplemented it with the Principles of Social Responsibility and the Code of Ethics in 2003. Specific Corporate Policies and Corporate Guidelines were added in 2006. These translate standards of business ethics from the Integrity Code into internal conduct guidelines. Through these multistage guidelines DaimlerChrysler aims to achieve consistency between all of the codes of behavior that are in effect throughout the Group. The individual elements are related to one another and form a clear hierarchy:

Core values. The foundation of all actions of DaimlerChrysler is expressed in its core values – passion, respect, integrity and discipline p.11f. – which were resolved by the Board of Management. The Board also decided on the Corporate Policies and the overarching Integrity Code.

Integrity Code. In addition to compliance with legal regulations, DaimlerChrysler’s principles of ethical business conduct are anchored in its Integrity Code, which is based on the company’s core values. In addition to rules of general conduct, the Integrity Code also defines for example requirements on conduct in international business, handling conflicts of interest, equality issues, combating corruption, the role of internal monitoring systems, and the requirement to fulfill legal standards and other internal and external regulations. The Code of Ethics, which was approved in July 2003, extends the provisions of the Integrity Code to specifically address Board members and managers who have a material influence on planning and reporting in the context of annual and quarterly financial statements. The provisions of the code aim to prevent incorrect behavior and to promote not only ethical behavior but also the complete, appropriate, accurate, timely and understandable reporting of corporate information.

Principles of Social Responsibility. Many of DaimlerChrysler’s internal rules and principles of conduct make specific reference to the Global Compact – above all the Principles of Social Responsibility, which are integrated in the Integrity Code. These are binding for the entire Group and apply worldwide. In the Principles of Social Responsibility, DaimlerChrysler respects and supports internationally recognized human and employee rights such as the condemnation of child and forced labor and the support of freedom of coalition, and is committed to the principles of equal opportunity and “equal pay for equal work.”

Corporate Policies. DaimlerChrysler’s Corporate Policies, being the next level, were drawn up in line with the core values and the Integrity Code and make them even more concrete. They have been approved by the Compliance Committee and the Board of Management. In addition to existing policies (e.g. on occupational health and safety), another seven Corporate Policies were published in October 2006. Their content focuses on protection against corruption, protection of corporate property, dealing with donations, and avoiding conflicts of interest. Also resolved by the Board of Management are the Environmental Guidelines, in which the Group demonstrates its commitment to integrated, preventive environmental protection – an objective that has been further extended and substantiated since the introduction of the Environmental Handbook in 1993, which is valid throughout the Group. p.26ff.