Analytics to better serve our customers

As Mexico’s second largest financial group we have a great responsibility and, at the same time, a unique opportunity to contribute to the development of our country.

We have the vocation to serve our customers and reach more people, which is why we are developing solutions to better understand customers’ needs and provide them with the best service and establish stronger relationships.

We know that customer relations form part of our Social Capital and to strengthen those relationships we must have a better understanding of customers’ needs to respond with appropriate, practical and safe solutions.

We use analytics to translate customer information into value; developing a deeper knowledge of the customer and our company, using the experience of our business lines with analytical tools that use the information thereby increasing Grupo Financiero Banorte’s profitability. This is developed through five main aspects:

• Identify opportunities to streamline processes.
• Use predictive analytics on customer behavior, to strengthen and increase the value of their relationship with Banorte over time.
• Increase opportunities to promote vertical and cross sales, and direct campaign heads to propose better offerings of value to customers.
• Reduce financial and operational costs and those for risk.
• Develop studies that contribute to improving the decision-making process within GFNorte.

The nature of projects managed in the area of Analytics, with which it seeks to challenge the statu quo, implies a break with inertia and requires a comprehensive action.

Analytics develops transformation projects jointly with the business lines and support projects that generate ever-increasing contributions to direct profits. We have gone from generating a Ps 5.249 billion impact in 2016, to generating a value of Ps 10.494 billion in 2017.

During the year several projects were developed, among which were:

• Cross-selling to significantly expand GFNorte’s loan origination capacity in lower risk segments and therefore, with a higher value in the customer - time relationship:
  • Credit cards increased the Group’s sales capacity by 20% for customers whose risk cost is around 400 basis points lower than the general public.
  • Payroll loans increased the Group’s sales capacity, incorporating 23% new originations for clients whose risk cost was up to 1,00 basis points lower.
  • Obtaining mortgage customers through new channels, which has contributed to us surpassing our main competitors in the generation of new mortgages. Customers who from these channels exhibited a risk cost of 116 basis points lower than for those customers from traditional channels.
  • Portfolio campaigns to strengthen relationships with cardholders, considering the use of alternative channels for loan originations through means such as convenience checks, transferring balances, increasing lines of credit, and/or additional lines of credit.
  • Optimization of origination processes for various retail banking loan products. In 2017, we achieved a 57% reduction in non-formalized loans, which in turn directly reduced administrative acquisition costs implied by reprocessing and indirectly, acquisition costs; while at the same time increased placement of credit cards, payroll and car loans.
  • Identification of opportunities for vertical and cross selling among business banking customers, which has helped to accelerate the placement of various banking products with clients, as well as extend relationships with them, which translates into value for the GFNorte-client relationship.

These projects generated benefits for that group of customers who generally have better access to credit with more favorable costs, a better value offering, as well as greater facility and ease in acquiring loans. In this case we look for less aggressive communication with the customer and one done through their favorite channels.

Our annual goal is to create value based on a rate equivalent to 10 times the cost. An example of how we have achieved this is that at the beginning of 2017, the Lafferty Group awarded Banorte with the Lafferty Global Award in Credit Card Excellence for the analytical work that was developed in conjunction with credit cards to optimize the cross-selling process and improve the value offering to customers.

AIn addition, we work hard to analyze the information that will allow us to offer customers the best services and product offerings across all the channels that they use.

Analytics for the future

For 2018, we will continue to promote conditions to generate vertical and cross sales, acquire new customers and, in general, optimize processes. In addition, we will seek to influence these five relevant aspects in the creation of value:

• Ensure the creditworthiness of customers to achieve quality growth in their loan portfolios.
• Establish prices according to our customers’ profile, in such a way that the risk-return relationship is adequate.
• Increase deposit balances enabling GFNorte to broaden its credit relationship with customers.
• Identify the relevant factors to broaden the relationships with customers and reduce the cancellation rate.
• Explore opportunities for synergy between the different lines of business of the Group.

Customer experience

We recognize that the most powerful source of innovation is our customer; therefore we aspire to become the best bank in terms of attention and service to Mexicans by focusing on them.

Through the area of customer experience, we attend their needs and requirements, seeking to generate positive experiences at every point of contact. In this regard, we are working so that in the new platforms, processes, operational changes and transformations of the Group, the customer’s voice is always present and we meet their expectations.

We are constantly checking the pulse of customer experience in the different interactions with Banorte through metrics that allow us to determine the important moments and areas of opportunity. The implementation of Net Promoter Score (NPS), a satisfaction methodology used throughout the organization, as well as the alignment and efficiency of internal processes guaranteeing service, inspire confidence and provide the assurance of a pleasant customer experience.

In 2017, we promote various projects, including:

• Customer’s voice management program
  This program has had the greatest impact in our organization and with our clients, because, at Banorte, we listen to customers in real time. In Mexico we are one of the two banks that process feedback from customers only hours after receiving their comments. Thanks to this, we can improve our processes day-by-day, identifying root problems and areas of opportunity in the products and services we offer, and generating appropriate improvement measures to improve customer experience.
  This project has allowed the NPS to improve 20 points by the end of 2017, obtaining a 66% rating on the recommendation level of high-value customers, with an impact on the service of 1.7 million more client promoters, with a 80% coverage of the customer base.
  This daily management of information, together with the weekly and/or monthly analysis, allows us to take actions to improve customer experience, resulting in significant operational improvements that translate into excellence in service.
• Banorte Móvil
  The dynamism that is required today to carry out financial operations with security, simplicity and immediacy has encouraged us to provide one of the best mobile banking offerings on the market.
  We are counting on a functional self-service in which customers have the freedom to carry out financial operations whenever they want, reducing visits to branches and calls to the Call Center, achieving a higher level of autonomy with lower risk and friction.
  In this regard, we have worked on various fronts ranging from the continuous improvement of the application resulting from user-friendly studies with client groups, to the incorporation of new capabilities that put Banorte mobile banking at the forefront of this sector.
• Migrating branches towards self-service
  Banorte’s internal transformation is reflected in changes in branch image and service, with spaces dedicated to self-service.
  Transformed branches have a shift manager and quality service executives who provide differentiated service to high value customers. Additionally, kiosks and digital displays promote the use of efficient electronic channels, allowing customers to migrate more and more towards carrying out transactions using self-service channels.
• Service model
  The objective of this model is to implement an institutional culture of customer service, to provide the comprehensive expertise to develop the talent and bring out the spirit of service from within employees.
  This year we made great strides in this regard by developing competitions and initiatives to strengthen our service model. Training programs for branch executives and internal areas were implemented, based on more than 70 interdisciplinary work groups focused on improving experiences, with the premise that “the customer experience is a commitment by all of us”.
  This effort will allow us to shape GFNorte’s culture of service, directly contributing to the objectives laid out in our 20/20 Vision strategy.

Improving customer experience in the future

In 2018, we will continue with the actions that we have implemented to improve customer satisfaction, focusing on the following projects:

• Integrate the Banorte Call Center and Insurance operations into the customer’s voice management program in real time.
• Build a systematic and integrated approach of the NPS that enables us to define our position versus our competitors, to achieve permanent and sustained leadership in service.
• Close the gaps between the customer’s expectations and experiences in major Banorte transactions, giving priority to improving the customer’s voice initiatives.
• Ensure that new developments aimed at the customer boost effective use of self-service channels, supported by an intuitive, simple, quick and easy access design and available 24/7.

We will consolidate the service model at all levels of the organization, as a tool to differentiate us from our competitors, becoming the best institution in service.

SRS 203-1, FS-16

Support for SME customers

It is very important to Banorte to support small and medium-sized Mexican enterprises (SMEs) because we know that entrepreneurship is crucial for the economic development of a nation.

For this reason, our relationship with customers is a key factor that motivates us to focus on their financial needs, as well as those special circumstances that might occur in national and local markets. In order to promote local development we continue to provide special conditions for SMEs in sectors or regions of the country that require some special support. In 2017 the portfolio of funding for these programs was Ps 3,851,168,539 offering support with 1,965 loans.

SRS 203-1 FS-13 FS-14

Correspondents: ever closer to customers

To build a stronger Mexico, Banorte has been working to improve financial inclusion in populations with limited banking penetration. We do this through our network of correspondents, through which we offer various services to customers and users with the support of third parties: retail chains that put their personnel and technical equipment at the disposal of our clients to realize online and in real-time banking transactions for payments, deposits, withdrawals or consultations.

The services that we offer to our customers through the network of correspondents are deposits, payment of some services as well as credit card payments and cash withdrawals. These operations are executed immediately, as if they had performed directly in a bank branch.

The correspondents are a huge plus in terms of financial inclusion in the development of Mexico, since they offer diverse benefits such as products, transparency and, most importantly, proximity. Many of our correspondents are located in areas where there is no bank presence at all, which allows us to be there without a large investment in infrastructure.

Correspondents enable us to provide banking services to regions with no physical banks.

CHANNEL	NUMBER OF OFFICES	NUMBER OF MEXICAN MUNICIPALITIES COVERED	% OF MEXICAN MUNICIPALITIES COVERED
Banorte branch network	1,148	327	13.3
Correspondents network	26,131	1,367	55.6
Correspondents located in municipalities with no Banorte branches	3,573	1,046	42.5
Correspondents located in municipalities where there is no presence of any bank	749	490	19.9
Correspondents located in municipalities with a poverty index over 40%	635	418	16.9

Total municipalities in Mexico: 2,459. Source: www.inegi.gob.mx
Data corresponds to the poverty index taken from: www.coneval.gob.mx

Learn more about correspondent infrastructure growth in the       We are Banorte section.

SRS 102-9 SRS 308-1

Promoting the development of Mexico through our value chain

At GFNorte, whenever possible, we try to choose domestic suppliers to provide services to help Mexican society. In 2017 we had 1,336 suppliers, of which 96% were national and 99% provided some kind of service to us.

INFORMATION OF SUPPLIERS 2016 VS 2017
	2016	2017	Var. % 2017 vs 2016
Interaction with suppliers
Number of suppliers	1,446	1,336	-7.6
Origin of supplier
Foreign	50	49	-2.0
National	1,396	1,287	-7.8
Total	1,446	1,336	-7.6
Category of supplier
Goods	56	12	-78.6
Services	1,390	1,324	-4.7
Total	1,446	1,336	-7.6
Type of supplier
Permanent	1,004	949	-5.5
Eventual	442	387	-12.4
Total	1,446	1,336	-7.6

Sustainable value chain

We encourage our suppliers to share our adherence to healthy business practices. To ensure a positive and lasting impact, since 2012 supplier contracts declare that the supplier acknowledges and applies the 10 UN Global Compact Principles of the in their contracts.

Supplier contracts that stipulate knowing the 10 UN Global Compact Principles

In addition, as part of our sustainable value chain program, we developed a questionnaire in accordance with criteria established in the second edition of the UN Global Compact’s Supply Chain Sustainability guide which outlines the hiring process for new suppliers, which is handled from our SAP ARIBA platform.

With this initiative, we received 162 responses from new suppliers to the questionnaire with 20 environmental and social indicators, which will allow us to detect the risks associated with compliance to applicable legislation, as well as the sustainability and corporate social responsibility initiatives.

SRS 203-1

Banorte’s Foundation

The main purpose of our foundation is to give back to Mexico and Mexicans what they have so generously provided us. For this reason, we focus much of our philanthropic efforts into transforming education for the 21st century, as this is the best tool for social mobility.

Through Banorte foundation programs we contribute to achieve our country’s full potential, favoring those sectors, people or regions of higher vulnerability, because we know that Mexico’s greatest strength lies in its people.

In 2017, our social investment amounted to more than Ps 69 million through programs such as our Líderes Educativos Banorte (Banorte Educational Leaders), Mil Sueños por Cumplir (1,000 Dreams to Fulfill), Natural Disasters as well as other philanthropic support in which we contribute with 21 organizations directly benefiting 41,855 people throughout the country. We also collaborate with other areas of our institution in special programs that provide support for specific social needs.

• Líderes Educativos Banorte
  This innovative program offers a learning network; continuing education and support for strengthening the role of principals in school communities and affirming the rights of children receive an education.
  We seek to become leaders of change that will help transform preschool education for the 21st century. We want our children to develop their full potential in order to become strong, supportive and creative Mexicans, ready to contribute to society and to successfully overcome current and future challenge.
  To accomplish this, we established alliances with civil society organizations, academic institutions as well as federal and state educational authorities.
  Líderes Educativos Banorte operates in five Mexican states: Aguascalientes, Campeche, Hidalgo, Puebla and Sonora.
  Supported organizations: 4
  Amount: Ps 14,170,277
  Direct beneficiaries: 7,665 personas
  Indirect beneficiaries: 82,078 people
  Alliances: 19
• Mil Sueños por Cumplir
  We support talented Mexican youths in the areas of academia, arts and sports to encourage them to fulfill their dreams through maintenance grants. For three years we encourage them to continue their studies maintaining standards of excellence in their educational, cultural or athletic performance.
  In 2017 students from secondary and high school levels in the 32 states of the country received support.
  Supported organizations: 1
  Amount: Ps 13,378,000
  Direct beneficiaries: 1,575 people
  Indirect beneficiaries: 6,300 people
• Desastres Naturales
  As a result of the earthquakes in September 2017, we activated two campaigns to receive donations from customers, employees and the general public, amounts that we matched donating 1 peso for each peso received.
  With these resources, we provided humanitarian aid and immediate attention to affected populations in Mexico City. We also initiated a plan of action to support the rehabilitation and reconstruction of housing, equip schools and restore livelihood in the communities of Chiapas, Morelos and Oaxaca.
  Supported organizations: 5
  Amount: Ps 23,767,964
  Direct beneficiaries: 4,366 people
  Indirect beneficiaries: 5,000 people
• Other philanthropic support
  We allocated resources and donated matching funds to philanthropic actions to solve problems that affect the communities in which we have a commercial presence or provide services. These problems are linked to Banorte Foundation’s strategy and/or to the particular concerns for aid of employees or the Group.
  During the year we provided opportunities for access to education to low-income youth and homeless people. We also contributed to the development of socio-emotional skills in children, by introducing them to art.
  Supported organizations: 11
  Amount: Ps 17,742,241
  Direct beneficiaries: 28,249 people
  Indirect beneficiaries: 270,629 people

Special programs

We would like to share the Foundation’s experience as a guide and operator of social initiatives led by other areas of the Group. We seek to permeate a culture of philanthropy in internal and external communities that leads to social action. Two examples are AyuDamos (We Give Help) and Causa Social Tarjeta 40 (Social Cause Card 40).

• Causa Social Tarjeta 40 (Social Cause Card 40).
  This credit card, in alliance with the radio station “Los 40 Mexico”, earmarks resources for projects in community development, education, environment and health that are enduring because they contribute to improve the quality of life of vulnerable communities. The causes are selected by a vote of cardholders, listeners and the general public. Donations are obtained through a trust coming from of a percentage of the credit card billings.

In 2017 Ps 2.5 million was donated to four organizations, benefiting people in the states of Chihuahua, Morelos, Oaxaca and Sonora.

Banorte Foundation supports the Mexico of the future

In 2018 we will continue to contribute with the same strategic lines in which we currently operate to pursuing the following objectives:

• Be leaders in the development of 21st century education as a vehicle of social transformation in our country.
• Identify the best opportunities for social investment to improve the quality of preschool education and promote the talents of present and future Mexicans.
• Position the Foundation as a relevant actor to achieve 21^st century education in preschool, working from children’s rights to learn.
• Consolidate our act of solidarity through the recovery of communities affected by a natural disaster or emergency.
• Strengthen our social practices to meet the expectations of customers and investors.
• Create value for the social action of our company and generate a positive impact in the communities in which we operate and with whom we interact.

Acciones Banorte (Banorte Actions)

Acciones Banorte has achieved a position within Grupo Financiero Banorte as a program that integrates initiatives relating to employees, their families, the community and the environment, with the aim of supporting Mexico’s development.

AyuDamos (We Give Help) is a trust that makes donations in kind to social assistance causes for disadvantaged people in a vulnerable situation and GFNorte employees with health complications; these causes are proposed by employees. The trust exists thanks to the voluntary contributions of our employees: the Banorte Foundation matches every employee peso donated. This program strengthens the culture of donation and social work among our employees.

The projects that receive support are chosen by a selection committee comprised of volunteer members who visit the institutions to choose and review each of the projects.

In 2017 AyuDamos provided aid to 20 institutions with a total of Ps 5,893,499 distributed as shown in the following:

Working for my Community is the project through which we seek to promote activities that involve organization between the community and our employees, creating a social synergy among the different actors. In this way we strengthen not only the participation of our volunteers, but also solidarity, cooperation and community partnerships.

In 2017 we formed an alliance with Fundación Hogares I.A.P. to promote three days of volunteering in Mexico City, where the best conditions for solutions and improvement of communities were determined. Thanks to this program, we developed self-management capabilities with neighbors to identify and meet their needs through community projects. There were 24 volunteers who donated 120 hours of their time in weekly activities.

VOLUNTEER WORK IN MEXICO CITY
Alliance	Activity	Volunteers
Clara Moreno y Miramón, IAP	Installation of a kitchen-garden in the institution, facilitating teaching and learning to improve education in nutrition and food safety for girls sheltered here.	6
Collective MUTEM	Integration of art into a sports and cultural context with the completion of a mural art with a sense of community.	6
Un Techo para mi Pais (A roof for my country)	Construction of a Pocket Park to promote organization among neighbors through collaboration and teamwork.	12
Total volunteers: 24

These actions served as a guide to residents to organize themselves, establish agreements, work in teams, carry out community projects and form alliances. With the participation and support of Grupo Financiero Banorte, relationship of active participation was established with communities, thus contributing to their own development.

On the other hand, taking into context the devastating effects of the September earthquakes that affected Mexico City and other states in the country, employees from the areas of Market Promotion and Transactional Banking spent a day volunteering. Through this activity, in an alliance with Fundacion Hogares, I.A.P., we created a bond with one of the affected communities learning about their needs in obtaining food and building materials.

On October 5^th, 35 volunteers from the Group visited El Gavillero community, located in San Nicolas Totolapan, Magdalena Contreras in Mexico City to hand over collected donations.

The volunteers from various territories that make up this area of Banorte raised a total of Ps 103,420.

This amount was used to buy 400 blankets, 12 sheets of galvanized steel and poles to construct emergency housing, diapers for adults, sanitary napkins, powdered milk, bottled water, diapers for babies, canned foods and candies for the children, wet wipes, chlorine, detergent and other personal hygiene products, as well as bringing a food service into the community.

Banorte volunteers, in coordination with the community and Fundacion Hogares I.A.P. supported the reconstruction of 12 emergency housing shelters and distributed food, giving each family a package of basic staples. At the end of the day a meal was prepared and the volunteers served food to 450 people from the locality.

FUNDRAISING FOR THE GAVILLERO COMMUNITY
Team	Amount raised (Ps)
West	17,120
Mexico South	12,700
Investments South	11,000
Peninsular	9,200
North	7,700
Corporate/Derivates	6,500
South	5,700
Mexico North	5,000
Investments North	5,000
Central	5,000
Northwest	4,800
Others	13,700
Total	103,420

Amounts expressed in pesos.

Jugando Jugando (Playing Playing) is a nationwide toy collection initiative, on which our employees dressing costumes visit community centers and dining rooms, and orphanages to deliver the toys to needy children. A part of the toy collection also is donated to the children of our cleaning and security staff in the main corporate buildings.

In 2017 the decision was made to donate 40% of the collected toys to the communities affected by the earthquake; this percentage was distributed among the affected states. In addition, employees were invited to donate blankets and school supplies by setting as a goal to collect 23,000 gifts on the national level.

TOYS COLLECTED BY TERRITORY
Territory	Toys collected
Northwest	2,759
North Commercial	3,279
Call Center	2,497
North personnel	1,699
Central	3,611
West	2,288
South	1,983
Peninsular	1,882
Mexico (North and South)	11,535
Afore XXI	1,055
Insurance and Annuities	2,124
Total	34,712

A total of 34,712 toys was collected to be distributed among the 753 volunteers from all across the country who signed up to distribute the gifts.

Financial Education
National Financial Education Week

Every year, Grupo Financiero Banorte participates in the National Financial Education Week (SNEF), in which various public and private sector institutions work together to reinforce the financial culture of Mexicans.

From October 5^th to 8^th, 2017 we participated at the headquarters in Chapultepec Park, Mexico City. We had a stand that simulated a bank branch to carry out different experiments related to topics such as savings, investment and spending.

Banorte also participated, providing three conferences that were given by volunteers from the bank in senior management. The lectures were presented in the Auditorium that was packed to capacity. It is important to mention that the auditorium can accommodate 100 people, which means that we were able to reach out to 300 people.

The following topics were addressed:

• The evolution of the annuities’ market imparted by Banorte Annuities.
• Saving for retirement (voluntary savings), imparted by Afore XXI Banorte.
• Investment, imparted by the areas of Economic Analysis and Investor Relations.

Eight info-graphics on various themes, were shown to our volunteers, to inform them on various topics such as our participation in the National Financial Education Week, responsible shopping and advice for the better administration of their annual Christmas bonuses.

UNAM Chair

Through collaboration with the Universidad Nacional Autonoma de Mexico, (UNAM) the Chair held Markets and Financial Instruments in Mexico. Aimed at assisting students in understanding financial topics, through the knowledge and experience of professionals who are dedicated to this, as well as to strengthen the link between our institution and the university. The scope of this Chair was 100 classes of two hours each for a group of approximately 40 students.

Afore

As part of an effort to publicize the importance of saving for retirement, various communication messages were sent out through the Afore:

• Publications in Facebook and Twitter: 150 publications in 2017, reaching a total of 276,756 people.
• Four video capsules, with a total of 2,004 visits
• 27 e-mails, reaching a total of 92,015 people
• Two infographics on financial education issues
• Development of one game for download through mobile devices

Investment Funds

A major effort by Executive Management of Deposits in the field of financial education were the internal and external publications entitled “The best way to save through investment funds”, whose main objective was to present both the basics as well as the advantages of investment funds. The actions implemented as part of financial education on investment funds were:

• 11 video capsules on the ABC’s of funds
• Six video capsules on the advantages of and the different types of investment funds available on the market
• Eight Infographics on the characteristics of investment funds offered by Banorte
• 10 videos shown in GFNorte about the benefits and basics of investment funds
• Seven weekly publications Excelsior newspaper and discussed on air in the radio program Dinero en Imagen.
• Multimedia content on the internet as part of the Dinero en Imagen program: Investment funds, what are they and how to save lasting 30 minutes and a reach of 7,000 connections.
• The seminar delivered to the press and media specializing in finance: Induction into Investment Funds Workshop lasting two hours.

Health and Wellness. At Grupo Financiero Banorte, we want to fully support women; that is why we started supporting our employees in one of the most important stages of women’s and Mexican families’ lives: motherhood.

This year we continued our internal communication campaign explaining the benefits of breastfeeding, not just for newborns, but also for mothers and the healthy development of families.

As part of our health and well-being program, a pilot project for Breastfeeding rooms was started, available in the Banorte Tower in Santa Fe, the Palo Alto building, the KOI and South Towers in Monterrey. This will enable mothers to store their milk properly and/or feed their children.

In line with our 20/20 Vision strategy, we have the objective of implementing a culture of health and wellness through healthy habits that promote physical, emotional and social well-being for all Banorte employees and their families.

In 2017 we offered a program on a nation-wide level for vaccinations against influenza aimed at more than 22,000 Banorte employees. These employees were also screened to assess health risk factors such as quality of sleep, level of stress, weight, body composition, cholesterol, glucose and triglyceride levels, all of which resulted in a diagnosis of risk factors that seeks to support employees in reducing the number of risk factors in their health.

We promote nutritional habits through coaching in nutrition and coaching in physical activities; we offer bariatric services to cases of Class III obesity with no response to medical treatment in the buildings where Kiloton contest is carried out, and all of our dining facilities offer employees a healthy menu to choose from.

We carry out follow-up visits for employees with ailments such as high blood pressure, diabetes and cholesterol; and provide psychological care for cases with moderate to severe stress and anti-stress massages in our buildings located in Santa Fe, KOI, Heroes Tijuana, Guadalajara and Tlalpan I, II and III.

We promote health within the Group through videos, capsules, infographics, postcards, mailings and social networks. In 2017 lectures on diabetes, hypertension, obesity, stress, resiliency, breast cancer, cervical cancer, lung cancer and nutrition were offered in the buildings located in Santa Fe, KOI, Heroes Tijuana, Guadalajara, Tlalpan I, II and III, the South Tower and Torre Mayor.

Employees received a copy of Mi Diario de Bienestar Total (My Total Well-being Journal) a tool for leading a healthy life with easy to follow recommendations. Copies were distributed in the buildings of Santa Fe, KOI, Heroes Tijuana, Guadalajara, Torre Mayor, Palo Alto, the Call Center and Tlalpan I, II and III. The Mayo Clinic, one of the world’s most prestigious health institutions developed this journal.

Banorte also offers a support hotline and the www.vivesanobanorte.com site, both are available 24 hours a day, 365 days a year to all employees and their families nationwide with services such as management and prevention of stress, family problems, life management, nutritional coaching, coaching physical activities, as well as providing a financial advisor and legal staff.

Taking Care of my Planet. Through this program, we promote good environmental practices to make efficient use of resources and generate awareness among employees, their families, customers, suppliers and the community. We do this through paperless campaigns, recycling, video conferencing and reducing our consumption of water, among other steps.

Learn more about what we do to contribute to caring for our planet in the       Natural Capital section.

Developing Talent. This program promotes the personal and professional growth of our employees.

Discover the initiatives that we promote to develop employees’ talent in the       Human Capital section.

Doing the Right Thing. To promote best practices with our customers, employees and suppliers, we promote our mission, vision and principles, as well as adherence to Grupo Financiero Banorte’s standards, codes and procedures.

Our mission: Generate trust and financial strength for our customers.

Our vision: Be a great ally in strengthening Mexico.

We are a large family with principles and values that inspire our relationships with customers, employees and suppliers.

• We work to strengthen our clients: Solidarity
• We innovate to generate value: Innovation
• We develop committed teams: Loyalty
• We are inclusive: Respect
• We contribute to the well-being of Mexico: Responsibility

Banorte Actions in the future

In 2018 the corporate volunteer program will be institutionalized as the I am a Banorte Volunteer, with the following guidelines:

• Environment: Employees can participate in reforestation activities through the Banorte Actions initiative: Taking Care of My Planet, in alliance with Reforestamos Mexico in Mexico City, Guadalajara and Monterrey.
• Community: As every year, through our Jugando Jugando initiative, disadvantaged children nationwide as well as the children of our cleaning and security staff receive gifts. Working for my Community is our initiative in which employees carry out social actions that foster social organization, such as painting, recovering public spaces and cleaning up parks, among other activities.
• Natural Disasters: Under the umbrella of the Banorte program Banorte Adopts a Community and in coordination with civil society organizations and volunteers from the Group, we helped to reconstruct areas affected by the September 2017 earthquakes, by carrying out activities such as cleaning up debris in the affected areas prior to reconstruction, and housing finishes after reconstruction.
• Our goal is to have a network of volunteers in every area of the Bank that actively participates in initiatives—that 10% of our employees take part in this program.
• To promote diversity and inclusion, we are launching campaigns to make employees aware of the various vulnerable groups that exist in our country.

Human rights

At GFNorte, we are aware of the importance of this topic in society, and conduct a diagnostic to identify areas of opportunity that exist or may arise among employees on a national level.

A group of 647 employees were surveyed, representing a sample that gives 95% of trust of non-unionized employees, selected from the total workforce of all areas of the Group.

This initiative aims to identify and assess the impacts that could occur inside and outside the organization, as well as implement continuous improvement strategies derived from results of the analysis.

Diversity and inclusion

During the year we worked with the consulting firm COLABORE, to address issues for people with disabilities (PwD) in the following activities:

• Diagnostics, infrastructure and accessibility of corporate buildings in Mexico City.
• Development of process manuals.
• Focus groups to study employee perceptions on disability.

In the first quarter of 2018, six awareness workshops were held to conclude the program.

International Day for the Eradication of Violence against Women and Girls

In the framework of the International Day for the Eradication of Violence against Women and Girls we took steps to raise awareness and make the violence suffered by women and girls around the world visible. A symbolic signing of our commitment to spread the message and defend women’s rights was held. This signing was attended by directors and employees of GFNorte, collecting more than 300 signatures.

Report of operations with a gender perspective

Banorte is one of the six signatory companies of the UN Women’s Empowerment Principles in Mexico and the only bank to join this initiative.

That is why, to reaffirm our commitment to these principles, in 2018 we will publish this report to know the current state of inclusion of women in GFNorte, and thus, highlight our best practices of equality and detect areas of opportunity.

Mentoring for female Banorte employees

In 2018 this program will include 15 participants and 15 mentors (men and women in management), and through a diagnosis of personality and skills the formation of groups will be determined, so that participants can receive expert guidance on those points they wish to work on.

With this program, we hope our female employees can enhance their talent and improve social skills, to break down gender bias and all those barriers that hinder women from growing in the corporate world.

True Value: creation of shared value

The True Value methodology is a useful catalyst for a new way of thinking in companies about the creation of corporate and social value. Its objective is to understand the true worth of value generated by GFNorte to society, taking into account environmental, social and economic impacts.

With the support of an in-house consultant experienced in the subject, we implemented this tool, based on the quantification of externalities in financial terms, through a chart of results by categories (economy, environment and society), accounting for both positive and negative impacts.

• In the economic scope, categories such as revenues, costs, results of previous years and added economic value are considered.
• In the social scope, categories such as strategic social investment, health and safety, and information security are analyzed.
• The environmental field includes categories such as other emissions, recycling, renewables, alternative fuels, waste, biodiversity, energy and water.

GFNorte’s approach is to allow a balanced insight with stakeholders with respect to the creation of value, exploring both the positive and negative value created, as well as providing a strategic point of view in the creation of social and corporate value.