IKEA Implementing Sustainable Practices Mark Finnegan, Environment Specialist IKEA Ballymun mark.finnegan@ikea.com Introduction IKEA Sustainability Overview • Sustainability?: a balance between social needs, environmental protection and economic growth • IKEA Sustainability Direction: IKEA’s business should have an overall positive impact on people & the environment • Sustainability Structure throughout the IKEA Group incl. procurement, logistics, food, property, manufacturing, forestry and retail – sustainability managers, specialists and co-ordinators. IKEA Business Plan 2011 • Sustainability is one of four key cornerstones in the IKEA business plan. IKEA Sustainability Current Projects • IKEA WAY: Social & environmental protection – code of standard • IKEA Goes Renewable: Reducing CO2 & utilising green energy • EMS Monitoring: Waste, energy, water, non-car transport, community support • Never Ending List: Communication & raising awareness • Local community & charity work • Environment & Recovery Dept. – waste minimisation and waste management IKEA Goes Renewable - Dublin • Ground source heating/cooling system – 158 bores, 90m deep, 65% carbon reduction = energy savings for 300 homes • No oil or gas connection • Biomass Burner: 650kw – heat water & loading bay area = 24% carbon reduction • Rainwater harvesting – UV treated & used for flushing toilets IKEA Sustainability KPIs – 2011 • Waste: 90% recycle rate • Energy: 10% reduction on 2010 total (kwhs) • Transport: 25% of employees use sustainable transport & 15% of customers • 75% Recovery Index for damaged products/packaging, ex-display and customer returns Sustainability results – Dublin 2010 • Waste: 91% recycle rate • 80 tonnes of customer WEEE & packaging take back • Energy: 2010 (baseline year) buy green energy • Transport: 47% of employees use sustainable transport & 8% of customers • 71% Recovery Index • Planted 5 acres of native woodland in Fingal – IKEA Family & Tree Council of Ireland • 90% of employees completed sustainability training (excl. induction) Future Sustainability Focus • Offer a range of products that are more sustainable – Product Scorecard • Take a lead role towards a low carbon society – IGR, customer electric vehicle chargers… • Turn waste into a resource eg Closing the Loop project on furniture reuse • Reduce our water footprint • Take social responsibility Thank You ‘Sustainability is our ultimate goal…We’re only at the beginning of our journey towards a sustainable IKEA range’ Thomas Bergmark ex-Sustainability Manager IKEA Group