2021 Financial Year

Scope

The SQS Company Report provides information about the corporate, social and environmental aspects of our actions. Its structure is based on the sustainability issues of the Global Reporting Initiative (GRI). In addition to the head office in Zollikofen, reporting also includes the Italian branch office in Milan – and consequently SQS’ entire business activities. Unless otherwise indicated, all disclosures refer to the 2021 calendar year or 31 December 2021, respectively.

Certifications, accreditations and approvals

In 2021, SQS managed over 100 products in the area of accredited certifications and other services in its portfolio. This substantial number should not belie the fact that the majority of revenue was generated from three main standards in the area of accredited certifications: ISO 9001 (quality management), ISO 14001 (environmental management) and ISO 45001 (occupational health and safety). These are all the more important as they are often the starting point for the integration of additional standards within the framework of an integrated management system for clients and are therefore a driver of cross-selling where SQS can exploit the competitive advantage of its wide range of services.

Its core accreditation business shapes SQS in financial and cultural terms by requiring and promoting the following qualities in the company:

• Technical expertise that is able to link the accreditation requirements with reality in individual sectors and companies
• Excellent reliability and credibility vis-à-vis clients and the accreditation body
• A markedly practical approach
• Long-term thinking and action

The striking increase in the significance of the rail sector in 2021 supports our conviction that accredited certification business offers a promising future. Since December of last year, SQS ist accredited with the European Railway Industry Association for certifications in accordance with the main standard, the “International Railway Industry Standard (IRIS)”. This means that the certification in question is now Swiss. Previously, it had been dealt with through foreign partners. The reasons behind this strategic decision included expectations to this effect from stakeholders in the Swiss rail sector (SBB, Stadler Rail, Swissrail, etc.), clients’ desire for “Swissness” and the prospect of being able to serve the local market more effectively. Organisationally speaking, this increasing significance was reflected in the creation of a “Rail and Public Transport” sub-division.

Another major investment in the area of accredited certifications was the establishment of SQS Deutschland GmbH, based in Konstanz, in September 2021. Following the termination of negotiations on the Institutional Framework Agreement with Switzerland, the EU refused to update the mutual recognition of conformity assessments for medical devices. To continue serving Swiss exporters as a certification body for the EU area, SQS prepared a notification for the Central Authority of federal states for Health Protection, with regard to Medicinal Products and Medical Devices (ZLG), via its subsidiary. Notification is expected for 2023.

SQS is the holder of numerous accreditations and approvals in Switzerland and abroad. The Swiss Accreditation Service is by far the most important accreditation body ahead of the Italian body Accredia.

Link to the overview of all accreditations and approvals

Client structure

Besides Switzerland, the most important markets for SQS are the neighbouring European countries, especially Italy and Germany. International clients benefit from our global certification service, where various locations are combined and certified using random sampling. 
Our deep roots in our domestic market and proximity to major companies operating on a global basis give us multiple insights, knowledge and ultimately the expertise to offer our clients the best possible support of their development. This expertise has a wide-ranging impact, as 94 percent of our almost 9,000 clients are micro, small and medium-sized enterprises (SMEs). Two-thirds have 49 or fewer employees. We reported growth among small companies in 2021. Our client base reflects the open, dynamic, competitive Swiss economy. 

On average, we have been looking after our clients for eleven and a half years, 56 percent have been using our services for more than nine years. Overall, we reported growth in cross-selling, with 17 percent of our clients having three or more certifications from SQS.

Training courses and seminars

In 2021, SQS offered seminars both on-site and online. In total, it carried out 108 seminars, of which 19 were held at clients’ premises (in-house seminars) and 89 were public. Of the latter, around three-quarters were organised as webinars. An increase in participant days was recorded compared with 2020.

We constantly evaluate participants’ satisfaction as part of the quality inspections. In 2021, they rated our public seminars with an average of 4.7 out of 5 points, the highest figure in the last five years. This suggests that the large number of SQS live webinars in particular were well received. To ensure a continuous focus on client needs, we also ask participants for qualitative feedback.
 

Supply chain

Ongoing digitalisation means that SQS purchases the majority of its products and services from the ICT sector. It also procures services in the fields of mobility, overnight accommodation, catering, buildings maintenance, event organisation, marketing, finances, legal advice and insurance. When choosing suppliers, SQS prefers to use its own clients whenever possible. It focuses on proven, long-term partnerships.

Conditions of employment

If employed full-time, employees at the head office in Zollikofen work 42.5 hours per week on a flexitime basis. In the course of the coronavirus pandemic, we launched a remote work concept. We offer our auditors an annual working time model, which allows them to deal with fluctuations in their workload during the year autonomously and flexibly. All employees have the option of working part-time. They are entitled to at least five weeks leave per year – which is a week more than required by law. Employees aged under 20 or over 50 receive an additional five days leave. Early retirement is possible from the age of 60.

Personnel structure

SQS has 178 permanent employees and 290 independent contract staff. Female staff accounted for 48 percent of permanent employees. There were 264 auditors and 26 technical experts among the independent contract staff. Since the end of 2020, half of the SQS Board members are women.

The permanently employed auditors (including members of the executive management) are responsible for managing audits as lead auditors. The other permanent employees work at the head office in Zollikofen and the branch office in Milan. Permanent auditors are supported by independent contract staff, who exercise either lead or co-functions. External experts who have the requisite technical expertise are also called upon to audit specific standards.
 

Mobility

The mobility concept developed by SQS promotes the minimisation of emissions from business travel. A graded allowance encourages auditors to purchase economical vehicles and, by doing so, reducing their CO2 emissions. Those who choose to do without a car and use only public transport when travelling receive the cost of a first-class GA Travelcard and have their mobility and taxi charges reimbursed. SQS pays for a SBB half-fare travel card for all permanent employees.

The experiences made during the pandemic were used to implement a permanent remote work concept for our head office team (see conditions of employment for more details). According to an internal commuter survey, our head office employees on average work remotely 57 percent of their time . Employees commuted a distance of 22,518 kilometres by bike or on foot, contributing to a reduction in CO2 emissions.