Indicators & impact
We strive to contribute to the progress of those societies we have a significant presence in. We consider that our impact goes beyond the strictly economic value. Therefore, we evaluate our impacts from all points of view: productive, human, social and environmental.
For more than 13 years, Telefónica has had indicators for the management, monitoring and reporting of critical aspects of the business regarding the sustainability of our projects. The evolution shown by this data also helps us to analyse our progress and upcoming initiatives in the area of corporate sustainability.
Over time, we have been working on them and improving them according to both our internal needs and the requests for information from different stakeholders.
Throughout these years, we have evolved, starting from a measurement of company management, public and general indicators, according to international standards, to the evaluation of our social and environmental impact as a result of our activity, as well as our contribution to the Sustainable Development Goals.
Value analysis model
Measurement and quantification (monetization) of Telefónica's impact on 25 externalities classified in 4 capitals:
Product and Service Evaluation Model
Phase 1: Definition of the scope of analysis.
Phase 2: Impact map / Theory of change.
Phase 3: Definition of indicators / Results.
Phase 4: Measurement.
Phase 5: Action.
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We contribute more than €110 billion to socio-economic progress, 7.9% more than the previous year, thanks above all to the growth of our communication networks
Impact on the economic system through transformation and improvement in terms of productivity and efficiency
Telecommunications services and digitalisation are one of the main drivers of progress, contributing positively to both economic growth and employment.
In this sense, we contribute €52.408 billion per year to the Gross Domestic Product (GDP), €3.42 for each euro we generate. This includes our total tax contribution, €8.700 billion in 2019
It also highlights the impact of our infrastructure deployment, broadband development and digitalisation in the productive and business fabric. Thus for every euro we invest in infrastructure, we generate approximately 1.06 euros, some 9,311 million euros.
It also increases the importance of cybersecurity services both to preserve the company's communication networks and to improve the resilience of the digital environment in general.
Another important aspect is the impulse that innovation and entrepreneurship have as accelerators of productive development. In 2019 we invested 5,602 million euros in R + D + i.
Impact of our products and services
We drive evaluations of the main solutions we develop to know what social, economic and environmental impact they may generate.We drive evaluations of the main solutions we develop to know what social, economic and environmental impact they may generate.
We follow a framework that consists of 5 different phases; definition of the scope, impact map, definition of indicators, assessment model and revision, based on the results obtained.
With regard the assessment model, it can vary from product to product, although the standard models used are:
- “Impact Management Project" model for the study of socio-economic impacts
- Environmental impact assessments of Eco Smart solutions and the quantification of avoided CO2 emissions from the most representative services in collaborations with the Carbon Trust.
Some examples of solutions already evaluated are:
- Impact of fibre deployment in rural areas, where high-speed networks can generate a clear socioeconomic impact on people and the economy of rural populations.
- CO2 emissions avoided by our connectivity services, IoT solutions, cloud, digital workplace, etc.
- Social and environmental impact assessment of IoT and energy efficiency solutions.