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Letter from the CEO to the stakeholders
2019 Sustainability Report

Telecommunications networks can be considered the nervous system of modern societies: a complex and widespread system, sensitive to the digital progress of an entire economy.

Thanks to this, telecommunications operators play an essential role in the economic and social growth of countries. A sustainable economic and social system is built on sustainable, inclusive and environmentally friendly digital networks and services.

As a leading company in Italy, we can make the difference by taking action on the environment, social issues and governance to reinforce society, families and businesses.

Acknowledging this, the following responsibility brought us to develop our 2020-2022 Strategic Plan focused on sustainable themes. The key elements, identified in line with the UN's Sustainable Development Goals, on which our three-year strategic plan is based on, are three: the development of sustainable networks, services that improve the sustainability of businesses and help citizens’ lives, enhancement and development of our human resources.

We will work to update our networks and provide more efficient data centers, leading not only to significant energy savings for the Group but also for customers who use our platforms and services. We will increase the use of cleaner energy sources, which will eventually result in more stable underlying costs. In brief, less and cleaner energy – for TIM and our customers. Our goal is ambitious: achieve carbon neutrality in 2030.

Innovation and sustainability will be our twin guides as we select and develop new services. The Internet of Things will increasingly change the way companies operate by enabling greater automation of risky processes and achieve more efficient use of natural resources such as water, gas and energy. We will continue to develop transport-related services, to give authorities and citizens the information they need to improve mobility. 5G networks will make another major contribution to connectivity and value-added services, even thanks to robotics and Big Data. Security and customer data protection services, together with "cloud" services will reinforce Italian companies.

To develop our human capital, we will focus even more on training through initiatives for young people and talented staff, with job rotation, professional growth pathways, learning new skills and harnessing the benefits of diversity. Our efforts will not be just for our people but for the whole society: citizens, businesses and Institutions. This is the idea behind Operazione Risorgimento Digitale – a huge training program open to all Italians. Initially set up as a travelling digital school that would visit all 107 Italian provinces; after the Coronavirus emergency, it has been rethought and enriched with a series of initiatives that allow everyone to exploit the potential of the digital world in response to the crisis.

As much as our Group will influence positively on citizens’ lives, in the organization of our cities and in the relationship between Institutions and citizens, TIM's value will grow.

Our commitment to corporate responsibility as an integral part of our strategies has been confirmed for the sixteenth year in a row by our inclusion in the Dow Jones Sustainability Index Europe, along with other big global indexes such as FTSE4Good and Euronext Vigeo Eiris. As further proof of TIM Group's good work, for the second year in a row it was on the Refinitiv index, a recognition that shows our commitment on inclusion.

Almost twenty years after signing the UN Global Compact, we still believe that to grow responsibly it is essential to align our strategies with universal principles such as protecting Human Rights, work enhancement, protecting the environment and fighting corruption.

The role that we have always played in economic and social development – and want to continue to play – cannot ignore the difficulties that Italy is facing at the moment. This health crisis involves us all and affects us personally. The current state of emergency imposes significant changes and radically modifies our normal life style.

It is still too early to accurately assess the economic and social impact of what is happening, but there is no doubt that there will be consequences. The only thing we can assure is that we will always be there. We will continue to act rapidly and proactively, through our infrastructure, our engineers and our services, to stand beside citizens and the entire Country against the Coronavirus.

  

Luigi Gubitosi, Chief Executive Officer