SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT
2016 2 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 EMPLOYEE HEALTH, SAFETY ANDWELLBEING AT WORK 52 / MERIT-BASED RECRUITMENT ANDDEVELOPMENT /44 SOCIAL RESPONSIBILITY DEPARTMENT MESSAGE /8 HUMAN RIGHTS INTHEWORKPLACE 41 / MEMBERSHIPS ANDDISTINCTIONS /36 HUMAN RESOURCES PROFILE 39 / CORPORATE RESPONSIBILITY /31 INTERNAL COMMUNICATION /56 REGULATORY COMPLIANCE 24 / ECONOMIC PERFORMANCE /22 TRAINING ANDEDUCATION /48 02 CONTENTS FOROURPEOPLE ABOUT THEREPORT /9 01 CEO MESSAGE /6 OURGROUP PROFILE /13 / 12 /38 COMMUNICATION ONPROGRESS REPORT -UN GLOBAL COMPACT /104 RESPONSIBLE PRODUCT MARKETINGANDPROMOTION /85 SOCIETY ANDLOCAL COMMUNITIES 61 SUPPORT / PRODUCT COMPLIANCE ANDLABELING/83 MATERIALS ANDWASTE MANAGEMENT /98 CUSTOMER CAREANDSATISFACTION 78 / 05 FORTHEENVIRONMENT CUSTOMER HEALTH 75 ANDSAFETY / CORPORATE VOLUNTEERING /71 ECO-FRIENDLY PRODUCTS /103 03 FORTHESOCIETY 03 04 FORTHEMARKET ENERGY ANDEMISSIONS /94 GRI CONTENT INDEX /105 BOUNDARIES TABLE /110 CUSTOMER PRIVACY 89 / WATER /102 / 74 / / 60 / 92 /
3 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 4 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 to thesocietiesand economies ofthecountries where we operate”. the economic, social andenvironmental impactsto our stakeholders and engagement tool for allthosewhoare engagedwithourGroup, regarding Report oftheFOURLIS Group willconstitute animportantinformation and “We hopethat thisSocialResponsibility andSustainable Development
5 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 6 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 and economies ofscalethat have beenachieved withintheGroup. LOGISTICS SA was completed. These changes were made in order to gain benefits from synergies of warehouse anddistribution services supply towards allcompanies oftheGroup from TRADE the FOURLIS TRADE SA acquisition from HOUSEMARKETSA was finalized andtheprovision Foot stores andanew IKEACentre for Orders andDeliveries. Inaddition,duringthesameyear, compared to 2015, while we also launched seven new INTERSPORT stores, two new The Athlete’s Despite theongoingeconomic crisis,we achieved salesgrowth andimproved profitability of thesocietiesincountries where we operate. Group’s sustainable development andalsoto thesustainable development Group, in2016 we continued to operate guidedby ourcontribution to the creating value through responsible business practices, at theFOURLIS True to ourValues, Integrity, Respect,Efficiency andto OurVision for IIGRI102-10 IIGRI102-14 II CEO Message
FOURLIS Group CEO Apostolos Petalas countries inwhichwe operate. social andenvironmental impactsto ourstakeholders andto thesocietiesandeconomies ofthe and engagementtool for allthosewhoare engagedwithourGroup, regarding theeconomic, Sustainable Development Report ofthe FOURLIS Group will constitute animportant information Recognizing the potential for continuous improvement, we hope that this Social Responsibility and sources to supportouroperations. the interventions to improve theenergy efficiency ofour facilities andtheuseof renewable energy of eco-friendly products, themeasurement andrecording ofthecarbonfootprint of ouractivities, initiatives, such as the multiannual recycling and the energy conservation programs, the promotion In this report you will also find information aboutourenvironmental protection practices and Greece, creating asafe andfunctionalenvironment for hundreds ofchildren. fully equippedandrefurbished 10municipalnurseriesandkindergartens indifferent regions of fellow citizens. Aprominent example isIKEA’s “Furnished withJoy” program, through whichwe communities inwhich we operate, demonstrating inpractice ourcommitment to supportour In 2016, we alsocontinued to implementprograms andactionsaimedat supportingthelocal and from theFOURLIS Group, inarange offieldsthat mainly focus on Retail management. high level ofknowledge from University professors and seniorExecutives bothfrom themarket implemented theFOURLIS Retail MBAprogram, withthemaingoalofoffering ouremployees a dignity, education and development and equal opportunities for all. Towards this end, in 2016 we of asafe working environment andto promote respect for humanrights,non-discrimination, date andofourfuture development, for anotheryear we continued to invest inthecreation Recognizing that ourpeopleconstitute anintegral partofallthat we have achieved untilthis context oftheseGlobalGoals. allow us to coordinate our efforts in order to contribute to the sustainable development, in the objectivity andtransparency, butalsoasatool for measuringandimproving ourperformance, Compact stands for, aswell asby adheringto theGRIguidelines,notonlyasaframework of participation intheUNGlobalCompact andtheadoptionofTen (10)Principlesthat theGlobal this objective. The strong foundations we have established throughout theyears, withourvoluntary global coordinated effort to improve life inasustainable way andrecognizing ourrole inachieving impacts to theUN’s Sustainable Development Goals,embracing theUnited Nations’ visionfor a For thefirst timeinthis year’s report we are attempting to linkoureconomic, socialandenvironmental and economies inthecountries where we operate. development material topics andto contribute to thesustainable development ofthesocieties broader strategy, to focus ourrelevant actionsandpractices on theFOURLIS Group’s sustainable this choice showcases ourcommitment to integrate andconnect corporate responsibility withour Global Reporting Initiative (GRI) Standards andrefers to the2016 financial year. We believe that Report of the FOURLIS Group, which was prepared in accordance with the core option of the new We now present theeighthconsecutive annualSocialResponsibility andSustainable Development
7 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 8 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 the commitments that we make inthecontext ofthe to our Values, to themost importantofthem.Staying committed actions that respond, to the extent ofourpotential, become more effective by designingprograms and to understand theirneeds,to evaluate themandto societies where we operate. Doingso, we are able are inconstant contact withour Stakeholders inthe Responsibility andSustainable Development we all. In order to achieve our strategic goals for Social that aim to create theconditions for abetter life for we focus onthedesignandimplementation ofactions BETTER QUALITY OFLIFE”,at theFOURLIS Group As also revealed by our slogan “TOGETHER FOR A where itoperates. of thesociety inGreece, aswell asinallthecountries the strengthening oftheeconomy andthesupport consistency, transparency andvision,contributing to that since 1950 hasbeenoperating withresponsibility, The FOURLIS Group isapurely Greek organization implements andtheirresults. the actionsandSocialResponsibility programs it Group, aimingto inform itsStakeholders about Report, theeighth Report issued by theFOURLIS Social Responsibility andSustainable Development We are inthepleasantpositionto present the 2016 IIGRI102-14 II RESPONSIBILITY DEPARTMENT Integrity, Respect, Efficiency, we keep MESSAGE SOCIAL
FOURLIS Group Corporate SocialResponsibility Director Lyda Fourlis and actionstheconditions for abetter life for all. create through ourproducts, services, operations our customers’ highexpectations; therefore to society, to protect theenvironment andto meet seek new ways to support employees andthe expand andevolve ourpractices andto constantly FOURLIS Group we are committed to continue to for abetter tomorrow liesinthepresent, at the Envisioning thefuture, whilebelieving that thebasis and especiallychildren. emphasis onsupportingvulnerable socialgroups we continued to implementprograms withgreat being affected by the consequences of the crisis, in terms ofsupportingthesociety that isstill the society andprotecting theenvironment. Especially ofactionsthat aimedat respecting people, supporting In this context, in 2016 we implemented a wide array practice. into oureveryday business asanintegral value and we ensure that SocialResponsibility isintegrated update our practices whenever itis necessary and FOURLIS Group’s SocialResponsibility strategy, we Fax: 0030 210 6293205 Tel .:0030 2106293000, E-mail: [email protected], P.O.15125, Maroussi 18-20 Sorou Street, (BuildingA), FOURLIS HOLDINGS SA Corporate SocialResponsibility Director, Ms. Lyda Fourlis of theFOURLIS Group, pleasecontact: For any SocialResponsibility issue IIGRI102-53 II C ommunication
ABOUT THE REPORT
II GRI 102-50 II GRI 102-51 II GRI 102-52 II II GRI-102-54 II GRI 102-56 II REPORTING GUIDELINES REPORTING PERIOD AND CONTENT DEFINITION
This Social Responsibility and Sustainable Development The 2016 Social Responsibility and Sustainability Report of the FOURLIS Group contains information Development Report has been prepared in accordance about the Group’s management and performance with the new GRI (Global Reporting Initiative) on sustainable development and covers the period Standards, “Core” option. We believe that this from January 1st 2016 to December 31st 2016. It is choice reflects the Group’s commitment to connect the eighth consecutive annual Social Responsibility its broader strategy with its economic, social and and Sustainable Development Report issued by environmental impacts and its contribution to the FOURLIS Group and is available online as a pdf sustainable development, in the context of the file at www.fourlis.gr. The Group’s previous Report UN Sustainable Development Goals. was published in June 2016 and covered the 2015 financial year. More specifically, for defining the Report’s content, the FOURLIS Group conducted a materiality The Report is addressed to all of the FOURLIS analysis of issues that have impacts on sustainable Group’s Stakeholders and to all those who are development, for which more information is interested in the Group’s approach and management available on page 34. The GRI content index was of issues that concern its contribution to sustainable compiled according to the “in accordance - core” development. option and is available on page 105. Moreover, this Report constitutes the “Communication on Progress” Report of the FOURLIS Group, in compliance with the ten Principles of the United Nations Global Compact.
EXTERNAL ASSURANCE
This Report does not contain an independent assurance statement. In the FOURLIS Group we recognize the importance of the assurance process regarding both the reliability of the Report’s content, as well as the internal value of improving our processes. We will examine the possibility to proceed with external assurance in future Reports. SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
9 10 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 & Efficiency OUR VALUES Integrity Respect IIGRI102-16 II , OUR VISION & MISSION
II GRI 102-16 II
TO CREATE ADDED VALUE FOR OUR CUSTOMERS, PEOPLE, SHAREHOLDERS AND THE SOCIETY, BY DELIVERING GOODS AND SOLUTIONS FOR A BETTER LIFE. SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
11 12 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 OUR GROUP 01 the supportofbothretail segments. Warehouse and product delivery services through TRADE LOGISTICS for in Greece andTurkey. Cyprus, Bulgaria,Romania andTurkey andthrough The Athlete’s Foot stores Retail saleofsportinggoodsthrough theINTERSPORT stores inGreece, and Bulgaria. Retail saleofhousehold goods through theIKEAstores inGreece, Cyprus following fieldsofbusiness activity: of thelargest trading groups ofconsumer goodsinGreece, Cyprus, Bulgaria,Romania andTurkey, in the Today, theFOURLIS Group, headquartered at 18-20Sorou Street, (BuildingA)P.O. 15125Maroussi, isone in 1950 inAthens by Anastasios Fourlis, inpartnershipwithhisbrothers, Stelios, IoannisandIlias. FOURLIS HOLDINGSS.A.(FOURLIS Group) isacontinuation oftheΑ.FOURLIS andCo., whichwas founded II GRI102-1 IIGRI102-2 IIGRI102-3 IIGRI102-4 IIGRI102-5 IIGRI102-6 IIGRI102-7 II PROFILE 13 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 14 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 Founding ofA.FOURLIS &Co. FOURLIS TRADE S.A. Founding of distributor Exclusive SAMSUNG 2000 Romania andBulgaria Founding ofGENCO of P. KOTSOVOLOS S.A. Acquisition of51% household appliances Exclusive dealershipofNEFF household appliances of GENERAL ELECTRIC General Dealership 1970-1980 1995 1993 1982 1950
FOURLIS Group Milestones inthe ’s history Distribution of MOTOROLA The Company isconverted FOURLIS BROS S.A.holds & INTERSPORT franchises First IKEAstore inGreece one ofthetop positions 14 INTERSPORT stores to FOURLIS BROS SA Listed ontheAthens’ Establishment ofthe in theGreek electric Thessaloniki Branch Opening ofthe first Acquisition ofIKEA appliances market. mobile products Stock Exchange (Thessaloniki)
2001 1960
1994 1999 1988 1981 1968
2004 First IKEA store in Athens (Airport) First INTERSPORT store in Romania 2006 First INTERSPORT store 2007 in Bulgaria Founding of SERVICE ONE S.A. First IKEA store in Cyprus
2008 Founding of TRADE LOGISTICS S.A. 2009 Second IKEA store in Athens IKEA store in Larissa (Kifissos)
2010 2011 IKEA store in Ioannina Acquisition of the INTERSPORT branch network in Turkey Acquisition of NEW LOOK franchise 4 NEW LOOK stores open in Romania 2012 An IKEA store opens in Sofia, Bulgaria New INTERSPORT stores in Greece, Cyprus, Romania and Bulgaria New NEW LOOK stores in Romania (7 stores in total) New INTERSPORT online shop (e-shop) 2013 IKEA Centre for New INTERSPORT stores Orders-Deliveries in Rhodes in Greece, Romania and Turkey 3 IKEA Centres for Orders-Deliveries in Patras, Chania and Heraklion 2014 New INTERSPORT stores in Greece, Romania, Bulgaria and Turkey 1 new IKEA Centre for Orders- Deliveries in Komotini 2015 New IKEA online shop (e-shop) First The Athlete’s Foot stores in Greece and Turkey Assumption of franchise agreements rights for the growth New INTERSPORT stores of The Athlete’s Foot stores in Greece, Romania and Turkey in Greece and Turkey. First IKEA Centre for Orders-Deliveries in Bulgaria (Varna) 2016 New INTERSPORT stores in Greece, Romania, Bulgaria and Turkey New The Athlete’s Foot stores in Greece New Centre for Orders-Deliveries in Bulgaria (Burgas) 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
15 16 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 II GRI102-6 IIGRI102-7 II INTERSPORT STORES IKEA STORES 48 5
In Greece Our presence on themap The Athlete’s Foot STORES FOR ORDERS-DELIVERIES IKEA CENTRES 6 5
IKEA STORE IKEA STORE INTERSPORT 1 1 STORES
7
1 IKEA STORE
In Bulgaria In Romania
2
IKEA CENTRES 31 FOR ORDERS-DELIVERIES INTERSPORT STORES 7 INTERSPORT STORES
23 1 INTERSPORT STORES IKEA STORE 2 The Athlete’s Foot STORES
In Cyprus In Turkey
4 INTERSPORT STORES SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
17 18 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 both Cyprus and Bulgaria. website www.ikea.gr, whilee-commerce isactive in since August 2014 for onlinepurchases through the Additionally, theIKEAe-shophasbeen operating and Komotini) and2inBulgaria(Varna andBurgas). operate inGreece (Patras, Rhodes,Heraklion, Chania Moreover, 5IKEACentres for Orders andDeliveries 1 store inCyprus and1store inSofia,Bulgaria. Athens, 1inThessaloniki, 1inLarissa, 1inIoannina), Currently, 5IKEAstores operate inGreece (2in purchase them. as many peopleaspossible theopportunity to household goodsat very affordable prices, giving of well-designed andfunctionalfurniture and cept, whichisbasedonthesupplyofawiderange S.A.) introduced to theGreek market anew con- Upon itsarrival inGreece, ΙΚΕΑ(HOUSEMARKET
which are: uses modernautomation systems for allitsactivities in Schimatari, Viotia, beganoperating in2008and TRADE LOGISTICS (TRADE LOGISTICS S.A.),based of itsactivities. and delivery procedures andat thedevelopment aims at theproper functioningofallwarehousing tion ofinnovative methodsinthefieldof Logistics, personnel, the use of technology and the applica- The company, withitsspecialized andexperienced • INTERSPORT’s e-shop(www.intersport.gr) • IKEA’s e-shop(www.ikea.gr) and customers inGreece for: Delivery ofe-commerce orders straight to the • The Athlete’s Foot inGreece andTurkey • • IKEAinGreece, Cyprus andBulgaria stores: Warehouse and distribution services for the below and Turkey (central warehouse) INTERSPORT in Greece, Cyprus, Romania, Bulgaria 2 1
II GRI 102-9 II
IKEA & TRADE LOGISTICS Supply Chain Graph
IKEA CENTRAL WAREHOUSE or SUPPLIERS
TRADE LOGISTICS & e-COMMERCE
E-COMMERCE CUSTOMERS
IKEA CENTRES FOR ORDERS AND DELIVERIES IKEA STORES
CUSTOMERS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
19 20 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 Romania. e-shops for online purchases operate inGreece and 23 inTurkey (INTERSPORT ATHLETIK). Inaddition, TRADE), 7inBulgaria(GENCO BULGARIA) and in Greece, 4inCyprus, 31inRomania (GENCO and untilDecember 31st, 2016 itoperated 48stores S.A.) started itsdynamiccourse inSeptember 2000 In Greece, INTERSPORT (INTERSPORT ATHLETICS countries. in theworld, withmore than5,500stores in44 INTERSPORT istheleadingsportinggoodsretailer
2 inTurkey). to thisday, itoperates 8stores (6inGreece and Greece and1inTurkey by theFOURLIS Group and and Turkish market withtheopeningof2stores in In 2015, theinternational chainentered theGreek with sportsstyle. athletic footwear andapparel that combine fashion opened itsfirst store inthe U.S.A. in1971 andoffers The Athlete’s Foot, isaninternational brand that
II GRI 102-9 II
INTERSPORT & The Athlete’s Foot Supply Chain Graph
TRADE LOGISTICS & e-COMMERCE
SUPPLIERS
RETAIL STORE or e-COMMERCE
CUSTOMERS E-COMMERCE 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY CUSTOMERS
21 22 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 cycle hasnotbeeneliminated, theGroup’s Managementaims: the bankingsystem to provide capitalfor new investments, aswell asthefact that theriskofanew recession the ongoinghighunemployment and taxation ofindividualsand legalentitiesbutalsodueto theweakness of Following ourexpectations that intheyear 2017 theretail trading inGreece willremain underpressure dueto retail householdequipment andfurniture sector (IKEAstores). selective investments not only in the retail sector of Sporting Goods (INTERSPORT stores) but also in the environment. Intherest ofthecountries where theGroup operates, thebusiness planwas implemented with In Greece, theGroup’s Managementadapted itsactionsto thecontext formed by themacroeconomic operates. retail business gained significant market share both inGreece and inthe other countries where the Group Despite theunfavorable conditions intheGreek market and theongoingeconomic uncertainty, theGroup’s Our management approach growth basedonnational conditions. Sustainable Development Goal 8“Decent Work and Economic Growth”, by sustaining apercapitaeconomic responsible managementofthetopic ofeconomic performance, we are contributing to theachievement of of capital,payments to partnersandsupplierspayments to government. Inaddition,through the like for example through employee wages andbenefits,dividendsfrom shareholdings, payments to providers to sustainable development isrelated to theeconomic value we produce anddistribute to ourstakeholders, sustainable development ofthesocietiesandeconomies inwhichwe operate. Specifically, our contribution Our Group’s economic performance andtheimpactsithasonitsstakeholders contribute directly to the Why itisimportant to maintainandincrease itsprofitability to whichithasreturned since 2015 risk inthevarious countries ofoperation. of theGroup between domestic andabroad companies for therational allocation ofthepolitical-economic stores that theGroup iswell aware ofandhaspositive results andto maintainthebalance ofincome source to theresearch ofnew investment opportunitiesinareas ofactivity suchasthemanagementofretail company TRADE LOGISTICS S.A. completion ofwarehouse anddistribution services supplytowards allcompanies oftheGroup from the after theabsorption ofthecompany FOURLIS TRADE SA from thecompany HOUSEMARKETSA andthe to gainbenefitsfrom synergies andeconomies ofscale that have been achieved within theGroup, especially goods where investing opportunitiesexist andcanbeimplemented withthecurrent fundingabilities to thecontinuation ofstrictly selected investments, especiallyinthesegmentofretail trading ofsporting ECONOMIC PERFORMANCE AEIL TOPIC MATERIAL HOW WE EVALUATE OUR MANAGEMENT APPROACH AND PERFORMANCE - RESULTS
II GRI 102-7 II
In 2016, the FOURLIS Group’s net profits after taxes and minority interests were€ 6.0 million versus profits of € 0.3 million in 2015.
Revenue reached € 428.1 million increased by 3.3% compared to 2015 (€ 414.4 million)
The Group’s total equity amounted to € 163.6 million and the total debt to € 148.1 million.
II GRI 201-1 II Operating Expenses € 157.6 million Donations € 578,227
Revenue € 428.1 million 3,904 Investments Employees € 12.6 million Personnel Expenses* € 67.3 million Economic Value Distributed Financial Expenses € 14.9 million
Taxes and Fees € 4.2 million Inventories € 77.7 million * Includes employer contributions and personnel-related taxes
The complete financial results of the FOURLIS Group are available in the Annual Report for 2016 at www.fourlis.gr SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
23 24 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 with theCommittees andtheDepartments ofFOURLIS HOLDINGSSA. The following organization chartdepictsthecommunication andinteraction networks oftheBoard members we manageeachoneofthesepillarsisdescribedbelow. Corporate Governance, Business Ethics andAnti-Corruption aswell asAnti-competitive Behavior. The way Our approach to issues ofRegulatory Compliance isbasedonandhasasaprerequisite three key pillars: Our management approach Institutions” through promoting theruleoflaw at anational andinternational level. we also contribute to the achievement of the Sustainable Development Goal 16: “Peace, Justice and Strong same time, reduces therisksassociated withincidents ofnon-compliance. By managingtheissue responsibly, regulatory compliance andanti-corruption issues affects theGroup’s reputation andperformance while, at the integral partoftheGroup’s activitiesandadministrative practices. Inthiscontext, theproper managementof At theFOURLIS Group, corporate responsibility hasbeenintegrated to ourmanagementstyle andisan Why itisimportant II GRI102-18 II REGULATORY COMPLIANCE Material TOPIC ORGANIZATIONAL Board STRUCTURE of Directors
Nomination & Remuneration Audit Committee Committee
Company Internal Secretary Audit
Group CEO
Legal Counsel
Human Information Corporate Treasury, Financial Resources Technology Social Investor Controlling Responsibility Relations & Planning & Risk Management
Board of Directors (BoD)
The Company has chosen to set up its BoD with the maximum number of members allowed by its Articles of Incorporation (3-9 members) to ensure quality and diversity of gender, age, skills, qualification and experience that serve the Objectives of the Company, as well as the balance between executive and nonexecutive members. The company’s Articles of Incorporation provide for a 5-year term for BoD members.
In the following list, we indicatively mention the procedures adopted by the Group related to the election, number, duties and remuneration of the Board members.
The Board members are elected by the Annual General Assembly of shareholders. They are proposed to the General Assembly by the BoD after an evaluation of their skills, abilities, professional experience and Curriculum Vitae. Of the nine Directors of the Board, four are executive and five non-executive. The Chairman of the Board is a different person from the CEO. As of 27.05.2014, based on BoD’s decision, an Independent non-Executive member is appointed as Independent Vice Chairman. The Managers and members of the BoD are paid according to the company’s overall performance and their individual contribution to it, after the proposal made by the Nomination and Remuneration Committee. The Corporate Social Responsibility Director, who is an executive member of the BoD, is responsible for communicating Social Responsibility issues to the Board.
During the Annual General Assembly, the company’s shareholders assess the performance and activity of Board members. The Annual General Assembly also elects the BoD, its independent members, as well as the Audit Committee members. The Group’s new Board will be elected during the first half of 2017, since their term ends at that time. The Corporate Governance Statement contains detailed information about the BoD’s operation and its members. In the same Statement, which is included in the Annual Report, the operation of both the Nomination and Remuneration Committee and the Audit Committee is also described.
More information is available on the website www.fourlis.gr SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
25 26 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 More information isavailable at www.fourlis.gr operates, andincludesinformation onBoDmembers,riskmanagementandinternal control. with which it discloses its voluntary compliance with the Code. The Statement also describes how the BoD Since the2010 AnnualReport, theCompany includesinitsAnnualReport aCorporate Governance Statement, shareholders ande) theGeneral Assembly ofShareholders. members, b) theinternal auditsystem, c) the level andstructure ofremunerations, d)communication with role, profile, dutiesand conduct, remuneration, functioningand evaluation oftheChairmanandotherBoard The general provisions oftheCode provide guidance onissues like: a)therole, responsibilities, size, composition, the horizons to attract investment capital. the investors’ confidence bothintheentirety oflisted companies and ineachoneindividually, andbroadens corporate governance practices, whichaimto enhance thetransparency ofGreek companies andincrease The Code isadapted to theGreek legislation and business reality andconstitutes astandard ofleading competitiveness ofGreek businesses andthecontinuous growth ofthecredibility of theGreek market. Both thesebodiesjointlyrecognized thecontribution ofCorporate Governance intheimprovement ofthe later modified for the first time by the Greek Council of Corporate Governance (GCCG) on 28/06/2013. Code ofCorporate Governance that was drafted at theinitiative ofSEVfor Listed Companies andwas The Company hasdecided(Board ofDirectors decisionon28/2/2011) to voluntarily comply withtheGreek C orporate Governance C ode Code of Conduct II GRI 102-16 II
The Code of Conduct focuses on creating a working environment that promotes respect and protection of Human Rights. Through the Code, the FOURLIS Group promotes and applies a policy of equal opportunities for all employees, as well as a policy that prohibits sexual harassment and is in full compliance with labor legislation. Furthermore, the FOURLIS Group’s violence prevention in the workplace policy, as it is set out in the Code, strictly prohibits acts of violence, threatening messages or behavior and the use or possession of weapons by any person in the workplace or during any transactions with external partners.
All the FOURLIS Group employees are required to adopt and implement the Code of Conduct. The detailed version of the Code is delivered to all company Executives, while the concise version and any changes are distributed to all employees. Every year, all employees sign the accompanying Code acceptance form. If in the meantime any changes occur in relation to the provisions of the Code on the part of the employees, they in turn must notify the Management.
The FOURLIS Group has adopted high business ethics standards, which are included in the Group’s Code of Conduct, ensuring the commitment and cooperation of all Executives, concerning the following:
Obligation of adherence to business ethics and compliance with legislation Communication of cases where non-ethical or non-lawful behavior is observed Conflict of Interest Business gifts, payments and fair transactions International business behavior Precision and preservation of company archives and documents Company announcements Working environment at the FOURLIS Group Trade and competition practices Merchandise quality and natural environment protection Use of the Group’s assets (equipment and services) Confidentiality Use of electronic mail (e-mail) and Internet within the working environment Usage restriction of privileged information for transaction purposes Participation in Community Activities and Politics Social Media Networks Usage Relations between employees working at the FOURLIS Group
In paragraph 2 of the Code of Conduct that is available at the Company’s website, instructions for “Communicating unethical or unlawful behavior” are given as follows:
“The Code of Conduct Line of the Group is available 24 hours a day and anyone may call the Line in order to report any concerns related to Code of Conduct violations or non-compliance with the valid legislation. The access to the Code of Conduct Line of the Group may be obtained by phone, landline or cell, at (+30)2106293010. There is also an e-mail available: [email protected]”
More information is available at www.fourlis.gr SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
27 28 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 Economic &Compliance auditsandsubmitsanannualauditplanto theAudit Committee for approval. that are required to perform anaudit.With objectivity anddiscretion itconducts Operational, Managerial, The internal auditors have fullaccess to alldata, employees, sites andactivitiesof allGroup companies procedures ofthecompany. Internal auditors are individualswithadequate qualifications and experience. with theInternational Standards for theProfessional Practice ofInternal Auditing, aswell asthepoliciesand Internal auditors applytheprinciples of independence, objectivity andconfidentiality andactinfull compliance Board ofDirectors oftheparent company abouttheprojects currently beingcarriedout. Committee is the supervising body of the Internal Audit Department and informs, on a quartely basis, the contributes to improving corporate governance, internal auditsandriskmanagement systems. The Audit company’s processes. The DepartmenthelpstheGroup achieve itsobjectives through assessment, which independent, confirmative andadvisory role andisdesignedassuch to add value and to improve the The Group’s Internal Audit Departmentisorganized in suchaway that would allow itto carryoutan INTERNAL AUDIT responsibilities oftheExecutive Directors are altered orincasethelaw for otherrelated provisions require. can alsobeupdated incase theactivitiesofGroup orany ofitsdepartmentschange, orinthecase of relevant laws and/or thedecisionsofSecuritiesandExchange Commission (SEC). The Regulation at least once ayear, to determine whetheritcomplies withthecurrent Group practices andtheprovisions Based on the initiative of the Group’s CEO, the Internal Regulation Charter is reviewed at regular intervals and for itssecurities andthecompliance oftheInternal Regulation ofOperations withrelevant regulation. Committee andtheAudit Department.Additionally, itcontains thebasicprinciplesoftransaction Code describes the composition and responsibilities of the Audit Committee, the Nomination andRemuneration internal auditsystems. Itincludesthebasicprinciples ofoperation andtherelevant procedures, whilealso approved by theBoard ofDirectors anddescribestheorganizational structure, theriskmanagementand The Internal Regulation of Operations ofthe parent company oftheGroup (FOURLIS HOLDINGSS.A.) is Internal Regulation Charter Audit Committee
Through the Audit Committee, the BoD develops a direct and regular contact with the independent auditors to receive regular updates in relation to the proper functioning of the audit system in order to safeguard the company’s assets and to identify and address the most significant risks. The function of the Audit Committee is detailed in the Corporate Governance Code and the Audit Committee Charter, it is approved by the BoD and is posted on the FOURLIS Group website (http://www.fourlis.gr).
Audit Committee Charter contains the following sections:
The Purpose of the Audit Committee Members and term of the Audit Committee Responsibilities of the Audit Committee Tasks and duties of the Audit Committee Functioning of the Audit Committee
Nomination and Remuneration Committee
Nomination and Remuneration Committee is a single committee responsible for the application procedure for electing Board members and the selection of Senior Executives and prepares proposals to the Board regarding the remuneration (basic salary, bonuses or financial incentives and benefits) of Executive Directors and key Executives. To ensure the principles of fairness and equal treatment, the FOURLIS Group has set and communicated clear and transparent guidelines according to which the salaries of Executive members of the Board are determined. The remuneration policy is based on the objectives and description of the job, the effective evaluation and the management of the performance.
The Nomination and Remuneration Committee charter, which is available at www.fourlis.gr, contains the following sections:
The purpose of the Nomination and Remuneration Committee Members and term of the Nomination and Remuneration Committee Responsibilities of the Nomination and Remuneration Committee Tasks and duties of the Nomination and Remuneration Committee Functioning of the Nomination and Remuneration Committee SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
29 30 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 in thefollowing areas: ones) that took place by employees orwiththeirparticipation. These incidentswere identified by safeguards incidents offraud, for theperiod1/1-31/12/2016 we hadeight(8)reports for fraud incidents(low importance Besides theabove, inthecontext oftheprocedure for informing theTop Managementfor theresponse to reports was related to incidentsofcorruption orbribery. for dealingwiththesespecificbehaviors butalso for preventing similarincidentsinthefuture. Noneofthese to theGroup’s HumanResources Departmentinorder for theappropriate measures to betaken, notonly after beingevaluated by theInternal Audit Department,they were sentto theappropriate Departmentsand the reasons for resignation that for themost partconcern thesettlement ofworking hours.These reports, abusivesupervisor’s behavior, one(1)arequest for thesettlement ofworking hoursandone(1)explained communicated to theInternal Audit Department.From thesereports, one(1)concerned acomplaint for a employees were recorded viathetelephone lineandemailoftheCode ofConduct. These reports were email oftheCode ofConduct. For the period 1/1-31/12/2016 three (3)reports from aGroup Company’s The evaluation ofourperformance isrealized viathereports we receive through thetelephone lineand II GRI205-3 II AND PERFORMANCE -RESULTS HOW WEEVALUATE OURMANAGEMENT APPROACH responsible were terminated. In allcases,after themembersofCompanies’ Managementwere informed, thecontracts withthepeople Reserves management Useoffamily card pointsfor personalgain acashier’s Cashmanagement Taking advantage ofthepositionincompany (furniture assembly offer to customer for personalgain) Corporate Responsibility
Social Responsibility Department
Social Responsibility is a concept inextricably linked with the FOURLIS Group’s operations.
The Social Responsibility Department was established in 2008, with the aim to coordinate the Group’s companies to take initiatives and actions in the field of Social Responsibility, driven by the Group’s Values and Principles. The Department operates and continuously grows with the following priority pillars: respect for our People, support of the Society and the Market and protection of the Environment.
The Social Responsibility Department plans and implements the Group’s Annual Social Responsibility Program in cooperation with Executives of the Group’s subsidiaries’, who act as coordinators for issues related to these four pillars. The Department is also responsible for monitoring and supervising the program’s action flow until their completion.
For our People For the Market
For the Society For the Environment
CORPORATE RESPONSIBILITY SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
31 32 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 way communication withthem. The following tablelists ourStakeholder groups andthepractices we follow to maintainahealthy andtwo- also for thereduction ofany possible negative impactderivingfrom ouractivities. effort to improve ourproducts andservices for ourresponsible andsustainable operation andgrowth and expectations andneedsofourStakeholders, aswell astheirrole andviews, are importantelementsinour in relation to theirdemands,concerns andexpectations. We believe that abetter understanding ofthe communication withthem, inorder to maintainasteady flow ofinformation, to andfrom the company, Having identified and prioritized our Stakeholders, we invest inthe continuous andinteractive contact and vary. We defineas Stakeholders anyone related to, affecting orbeingaffected by ouroperations. At the FOURLIS Group, we operate in retail commerce in Greece and abroad andas a result our Stakeholders II GRI102-42 II S takeholders II GRI 102-40 II GRI 102-43 II
STAKEHOLDER TABLE
COMMUNICATION & ENGAGEMENT STAKEHOLDER GROUP FREQUENCY OF COMMUNICATION METHODS
Employee Insight Survey Annual
Corporate Events Annually or on the occasion of a specific event Issuance of electronic or printed versions Every 2 or 4 months, or depending on needs of Newsletters/Updates Announcement Boards Constant
Yammer (Intranet) Constant EMPLOYEES In the context of specific actions (e.g. as a follow up Workshops to the Employees΄ Insight Survey) It was launched in 2013 and is implemented annually 360ο Evaluation Process (biannually per grade) Employee Performance Appraisal Annual One to One: When a relevant need arises Meetings Statutory: At intervals specified by each Division/ Department based on their needs Annual General Assembly Annual
SHAREHOLDERS Announcements Whenever there is a need to inform
Ad hoc Communication Constant Contact and communication within the Constant stores and ad hoc (phones / emails) Newsletters delivery / SMS/ Viber / Use Constant of Social Media
CUSTOMERS Satisfaction Surveys Constant IKEA: Constant (via computers available to customers “Help Us to Improve” Survey within the stores) Catalogues: At least twice a year (Spring and Fall) Catalogues and Publications Publications: According to planning Meetings Constant
SUPPLIERS / PARTNERS Participation in industry associations According to planning
Delivery of joint programs According to planning Contact and provision of information through print media and electronic Constant SOCIETY means Events According to planning
Contacts with local bodies Constant LOCAL COMMUNITIES (areas where the Group Events According to planning companies operate) Implementation of Social Responsibility Constant programs and actions Discussion with representatives of the Constant OFFICIAL & authorities at national and local levels SUPERVISORY Participation in organizations and AUTHORITIES/STATE Constant associations Participation in associations, BUSINESS COMMUNITY/ Constant ASSOCIATIONS organizations Press Conferences Constant
MASS MEDIA Brochures / Press Kits Constant
Meetings Constant
Meetings Constant NGOs Collaborations Constant EΚΘΕΣΗ ΚΟΙΝΩΝΙΚΗΣ ΥΠΕΥΘΥΝΟΤΗΤΑΣ KAI ΒΙΩΣΙΜΗΣ ΑΝΑΠΤΥΞΗΣ 2016 ΒΙΩΣΙΜΗΣ KAI ΥΠΕΥΘΥΝΟΤΗΤΑΣ ΚΟΙΝΩΝΙΚΗΣ FOURLIS EΚΘΕΣΗ COMPETITION Participation in associations, bodies Constant SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
33 34 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 disclosures, onpages105-109 respectively. the boundariesofmaterial topics canbefound onpage110 andtheirconnection withtheGRIStandards’ of the Group. The results of the Group’s materiality analysis are presented in the following graph, while Validation oftheresults oftheprocess, through aspecialworkshop, whichwas attended by SeniorExecutives identified by Management. of reference theUN’s Sustainable Development Goalsand(b) by theirimportance for thestakeholders, as Prioritization oftopics (a)by theimportance oftheirimpactsonSustainable Development, usingasaframe through current engagementmethods. issues, aswell astheexpectations oftheGroup’s Stakeholders asthosewere identified by theManagement objectives, thereview ofpractices ofpeercompanies at aninternational level inorder to recognize sectorial on the wider sustainability context ofthe Group’s countries ofoperation, the Group’s strategy andwider Identification ofpotential topics andtheirboundaries,withinoutsidetheGroup, based,amongothers, The methodologyusedwas basedonthenew GRIStandards andincludedthefollowing steps: significantly influence our Stakeholders. order to prioritize thosewiththemost significanteconomic, socialandenvironmental impactsandthosethat issues, at theFOURLIS Group we performed amateriality analysis oftheGroup’s issues, inearly2016, in In thecontext ofcontinuously improving ourapproach to socialresponsibility andsustainable development II GRI102-44 IIGRI102-46 II Materiality analysis 2 3 1 Materiality Map
Economic Product Compliance Regulatory Performance and Labeling Compliance
Customer Care CUSTOMER Responsible Product and Satisfaction HEALTH AND Marketing and Promotion SAFETY takeholders
Human Rights in the workplace SOCIETY AND LOCAL COMMUNITIES SUPPORT
Customer Privacy the S for I mportance
Health, Safety and Employee Wellbeing at Work
Importance of impacts on Sustainable Development
For the Society
For the Market
For our People SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
35 36 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 The FOURLISGroup participates in: Memberships inA II GRI102-13 II regarding the10PrinciplesofUNGlobalCompact) are available at www.fourlis.gr. Sustainable Development Reports (thelatter includingtheGroup’s Communication onProgress Report (COP) The FOURLIS Group’s AnnualCommunication on Progress Reports aswell astheSocialResponsibility and has committed to adopt,supportandpromote theseprinciplesthrough itsbusiness practices. pertain to humanrights,laborconditions, anti- corruption andenvironmental protection. The FOURLIS Group The UNGlobalCompact consists often principlesthat stem from internationally accepted standards that international voluntary initiative for responsible business practices. Since 2008,theFOURLIS Group isanofficialmemberoftheUnited Nations Global Compact, thelargest United Nations GlobalCompact United Nations Global C II GRI102-12 IIGRI102-16 II As amember, theFOURLISGroup also participates in: and transparency groups. The HellenicFederation ofEnterprises (SEV)withactive participation intax,HR,supplychainand technology The Athens ChamberofCommerce andIndustry (A.C.C.I.) The UnionofListed Companies Natasha Spirou). The Greek People Management Association (GPMA) (represented by theHumanResources’ Director, Mrs. The Association ofChiefExecutive Officers ofGreece (represented by theCEO, Mr. Apostolos Petalas) The Corporate Governance Committee oftheAmerican-HellenicChamber ofCommerce. while Group Executives participate initsworking groups. The Board oftheHellenicCorporate Governance Council (HCGC) through itsChairmanMr. Vassilis Fourlis, Memberships andDistinctions ssociations ompact A INTERSPORT ATHLETICS S.A.participates inthefollowing bodies: HOUSEMARKET S.A.(IKEA)participates inthefollowing bodies: TRADE LOGISTICS (S.A.)participates inthefollowing bodies: COMPANY SEV (HellenicFederation ofEnterprises) ACCI (Athens ChamberofCommerce andIndustry) TCCI (Thessaloniki ChamberofCommerce andIndustry) ACEO (Association ofChiefExecutive Officers) H.R.B.A. (The HellenicRetail Business Association) PCCI (Piraeus ChamberofCommerce andIndustry) GRECA (Greek e-Commerce Association) SDE (HellenicAdvertisers Association) Greek People ManagementAssociation (GPMA) HILME (HellenicInstitute for Logistics Management) Achaia ChamberofCommerce andIndustry CCCI (Chania ChamberofCommerce andIndustry) Hellenic-Swedish ChamberofCommerce TCCI (Thessaloniki ChamberofCommerce andIndustry) ACEO (Association ofChiefExecutive Officers) ACCI (Athens ChamberofCommerce andIndustry) Institute ofCommunication ELOT (HellenicOrganization for Standardization) SEV (HellenicFederation ofEnterprises) SDE (HellenicAdvertisers Association) H.R.B.A. (The HellenicRetail Business Association) GRECA (Greek e-Commerce Association) Greek People ManagementAssociation (GPMA) wards -Distinctions 2016 ORGANIZATION Forum (BBLF) A 13th Annual ResponsibleB usiness RETAIL BUSINESS AWARDS 2016 SUPERBRANDS 2016 GREECE) 19th HUMANRESOURCESSYMPOSIUM (KPMG Business A GREECE 2016 FORTUNE MOST ADMIREDCOMPANIES IN wards –Bulgarian Business Leader wards “HRIMA” 2016 AWARD the SOFTTOYS FOR EDUCATION campaign 2nd prize for IKEABulgariaandUNICEF for Sportswear Glyfada Store –Category Retail Store / Corporate Superbrand Best Company 2016 the 20most admired companies inGreece FOURLIS HOLDINGSSA was ranked among Media (Yammer)” Communication Reinforcement through Social Human Resources Prize for the”Internal 37 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 38 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 FOR OURPEOPLE 02 HUMAN RESOURCES PROFILE
The FOURLIS Group is its People, all those who support its operations on a daily basis. At the FOURLIS Group, the creation and safeguarding of employment positions, the occupational health conditions, the meritocracy and personal development, the respect for human rights, as well as the provision of equal opportunities at training, assessment and reward for all, constitute the focus of our Group’s philosophy and practices.
Our approach to employment and our relations with our employees directly affect their performance, retention and development, while these issues are also significant for the long term sustainability of our Group. SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
39 40 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 AND AREA TOTAL NUMBEROFEMPLOYEES PERTYPEOFEMPLOYMENT CONTRACT TOTAL NUMBEROFEMPLOYEES PEREMPLOYMENT CONTRACT ANDGENDER II GRI102-8 II out ofwhich2,743 work inGreece andCyprus. In 2016, theFOURLIS Group’s total numberofemployees was TOTAL NUMBEROFEMPLOYEES * II GRI102-7 II AND GENDER TOTAL NUMBEROFEMPLOYEES BY TYPEOFEMPLOYMENT CONTRACT the numberofemployees in the Group, suchasseasonal fluctuations. of thework iscarried outby peoplethat are not in the“employees” category asdefinedabove. Finally, there are no variations in The term “Employees” refers to theindividualswho are directly employed by theGroup. Itisnoted that nosignificantpercentage * The numberofemployees has beenexpressed asthenumberofindividualsemployed respectively. and31/12/15 ason31/12/16 Fixed –Term Contracts Permanent Contracts Part-time Employment Contract Full Employment Contract Bulgaria Romania Cyprus Greece Turkey Employment Contract Employment Contract Employment Contract Permanent 2,300 1,705 1,268 309 462 246 587 287 150 2016 2016 2016 Fixed-term 1,899 1,022 1,027 150 154 127 12 7 - 3,904 Permanent 1,652 1,228 2,311 560 245 243 265 418 136 2015 2015 2015 Fixed-term 1,830 1,019 953 142 112 68 82 16 - HUMAN RIGHTS IN THE WORKPLACE
MATERIAL TOPIC
WHY IT IS IMPORTANT
For the FOURLIS Group, the respect and the protection of Human Rights is an important issue. At the same time, we recognize that it is one of the world’s leading issues of sustainability and that the way we approach this issue contributes not only to our Group’s sustainable development and stability but also to Sustainable Development in the countries where we operate.
Through responsible Human Rights management, we contribute to the achievement of the following UN Sustainable Development Goals:
Goal 5
Gender Equality, through the elimination of all forms of discrimination against women
Goal 8
Decent Work and Economy Growth, through the protection of the labor rights, ensuring a safe working environment for all and eliminating all forms of forced and child labor.
Goal 10
Reduced inequalities, by supporting and promoting social and economic integration for all people, regardless of age, gender, nationality, religion or economic status.
Goal 16
Peace, Justice and Strong Institutions, through the promotion and implementation of laws and policies aimed at tackling discrimination and the drastic reduction of all forms of violence. SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
41 42 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 This effort hasthefollowing mainaxes: way through thepolicieswe adoptandtheinitiatives we take. At theFOURLIS Group, we approach theissues ofrespect andprotection ofHumanRightsinasystematic OUR MANAGEMENT APPROACH
integrated end-userproduct information to theuser(see “Product Compliance andLabeling”,p. 83) The responsible product policies of our Group’s subsidiaries, which aim at ensuring safety and at providing premises. provide thebest possible healthandsafety conditions for bothGroup employees andclients/visitors to our Health andSafety Policy (see section“Customer HealthandSafety”, p. 75), whichhasbeendeveloped to equality issues. The Code ofConduct, whichfocuses onemployees’ obligation for ethicalprofessional conduct andon Conditions and disciplinaryanddismissal procedures. training andperformance appraisal, behavior at work, relations between colleagues, HealthandSafety Internal Labor Regulations, whichregulate work issues suchasHumanResources wages andbenefits, and forced laborandthediscrimination intheWorkplace (see Communication onProgress Report, p.104) Principles, suchasthoserelating to theadvocacy for thefreedom ofassociation, theelimination ofchild Our participation intheUNGLOBAL COMPACT, through whichwe commit to adheringto therespective II GRI 406-1 II
HOW WE EVALUATE OUR MANAGEMENT APPROACH AND PERFORMANCE - RESULTS
Our performance is evaluated based on the reports we receive via the Code of Conduct telephone line and e-mail. No incidents of discrimination or violation of Human Rights were recorded during the reference period. SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
43 44 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 Resources, are: The main pillars of our Policy on employee recruitment and professional development of ourHuman giving themtheopportunity to applyandto participate intheassessment andselectionprocess. Τhe Open Resourcing Policy, ensures that all the job openings are firstly announced to the Group’s employees, employee (for Executives), orby anew recruit. promotion ofemployees (through theOpenResourcing Policy), orby adirect transfer/promotion ofan When any ofourcompanies require new jobpositions,thoseare readily covered eitherby aninternal transfer/ countries inwhichwe operate. back to astable growth, whilewe strengthen localcommunities andstimulate national economies inthe our activitiesinGreece andabroad. By doingso, we emphasize ontheeffort to bringtheGreek economy Despite thedifficulteconomic conditions, we aim at creating new jobopeningsthrough thedevelopment of
processes. Taking into consideration thebalance between thetwo gendersinemployee selection anddevelopment employees oftheGroup. The provision ofequaldevelopment opportunitiesthrough internal transfer andpromotion processes to all avoid incidentsofdiscrimination. The common recruitment evaluation criteria for allGroup’s companies to ensure equal opportunitiesandto MERIT-BASED RECRUITMENT AND DEVELOPMENT
different group ofManagers andSupervisors. collaboration. The planning of the360 understanding theneeds,to identifying thestrengths andtheareas for improvement andthusto empowering Supervisors), incooperation with an independentconsulting company. The 360 Furthermore, since 2013, we implementa360 high responsibility positions. way, we ensure afair working environment andwe create anoperational succession planfor Executives at all theGroup employees to ensure that theemployees’ appraisal process isandwillremain transparent. This Also, since 2008,we have adopted asinglePerformance Appraisal andDevelopment Review Process for positions between menandwomen, asevidenced by thefollowing information: It isworth noting that at theFOURLIS Group, we ensure equaladvancement opportunities in management ones who are being evaluated. This way, the 360 express theiropinion,providing constructive comments onthebehavior andthemanagementstyle ofthe offers theopportunity to thosecollaborating at any level (supervisors, subordinates, colleagues), to openly of women inthe the percentage Group’s total 52% workforce.
o Evaluation Process provides that itisperformed once ayear for a manager/supervisor FOURLIS Group positions ofthe the percentage 2016 /2015 of women in 33% o o Evaluation, is a self-improvement tool that contributes to Evaluation for theGroup’s Executives (Managersand
o Evaluation isatool that Board ofDirectors of women inthe of theFOURLIS the percentage 22% Group.
45 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 46 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 *The numberofemployees has beenexpressed asthenumberofindividualsemployed respectively. and31/12/15 ason31/12/16 2016 TURNOVER BY AGE GROUP, GENDERANDREGION TOTAL NUMBER*ANDRATES OFNEWEMPLOYEE HIRESANDEMPLOYEE 2015 TURNOVER BY AGE GROUP, GENDERANDREGION TOTAL NUMBER*ANDRATES OFNEWEMPLOYEE HIRESANDEMPLOYEE II GRI401-1 II Age group Countries Gender Age group Gender Countries FOURLIS Group’s Total FOURLIS Group’s Total 50> <30 Turkey Greece Men 30-50 <30 Women Women Men 50> 30-50 Cyprus Bulgaria Romania Greece Cyprus Bulgaria Romania Turkey Employee Employee Turnover Turnover 1,254 1,145 860 550 208 320 254 245 595 687 567 293 882 247 358 255 337 272 123 35 78 31 Number of Number of employees employees 3,904 2,049 2,095 3,760 2,427 2,393 2,144 1,855 1,972 1,788 1,271 1,331 434 429 394 246 243 474 377 441 316 313 Turnover Turnover rate (%) rate (%) 104.9 84.6 30.5 24.9 66.3 55.6 38.9 33.3 37.0 27.9 67.5 67.5 67.7 10.3 14.8 27.7 15.7 32.1 72.1 12.1 8.2 7.9 Employee Employee 1,449 1,079 544 654 350 220 394 720 Hires Hires 427 326 347 795 333 New New 167 197 212 127 119 113 23 71 9
Number of Number of employees employees 3,904 2,049 2,095 3,760 2,427 2,393 2,144 1,855 1,972 1,788 1,271 1,331 434 429 394 246 243 474 377 441 316 313 Rate ofnew Rate ofnew employee employee hires (%) hires (%) 40.2 45.4 42.9 46.5 22.0 42.8 86.2 75.5 73.8 22.7 16.5 16.2 31.9 31.6 17.6 37.1 19.1 81.1 8.0 5.4 9.2 2.3 II GRI 401-2 II
BENEFITS PROVIDED TO FULLY EMPLOYED AND NOT PROVIDED TO TEMPORARY EMPLOYEES, IN SIGNIFICANT LOCATIONS
Greece Cyprus Romania Bulgaria Turkey
2015 2016 2015 2016 2015 2016 2015 2016 2015 2016
Life Insurance ü ü ü ü ü ü
Health Care ü ü ü ü ü ü ü ü ü ü
Disability and invalidity ü ü ü ü ü ü coverage
Parental leave ü ü ü ü
Retirement ü ü ü ü provision
Stock Option ü ü ü ü ü ü ü ü ü ü Plan SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
47 48 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 Development Goals4“Quality Education” and8“Decent Work andEconomic Growth”. Overall, theissue ofEmployee Training andEducation contributes to theachievement oftheSustainable For thisreason, thetraining ofeachGroup’s employee beginsuponhis/herrecruitment. education needs. competition and the current market requirements are constantly generating new vocational training and At theFOURLIS Group we believe that theemployees’ needfor training iscontinuous andincreasing, asthe AND EDUCATION TRAINING OUR MANAGEMENT APPROACH
The first training program for every Group employee is an induction program, through which we make sure that all the newly hired employees are informed about the Group’s Structure, its Values, the Code of Conduct and each company’s Internal Regulation Charter.
In addition, in 2011 the FOURLIS Group’s Education Academy “Learning Institute Sharing the Knowledge” was established and in 2012 it was renamed to “FOURLIS Learning Academy”. All the FOURLIS Group employees are members of the Academy, participating in programs that better suit their role and their needs for personal development.
The FOURLIS Learning Academy 1. 3. consists of a total GREEN GOLD of 4 programs: Program Program
2. 4. SILVER PLATINUM Program Program 1. GREEN Program It is the base of the Academy and is addressed to all the FOURLIS Group employees. It includes Induction as well as Product/Technical Training and specialization Programs, essential for any job position at all levels.
2. SILVER Program Development Programs for newly appointed Managers and Supervisors of the FOURLIS Group
3. GOLD Program Development Programs for all the Managers and Supervisors of the FOURLIS Group
4. PLATINUM Program Development Programs for the FOURLIS Group Top Management Team
The training courses are developed on four pillars: Management / Business Operations / Health & Safety / Sales – Products
In the context of the Academy, in 2016 a new program started, the FOURLIS Retail MBA. This program was created in 2015 under the auspices of the Athens University of Economics and Business and the Hellenic Retail Business Association (H.R.B.A.) with the main objective to provide high level knowledge from University Professors and Senior Executives of both the Market and the FOURLIS Group, in a range of fields mainly focusing on Retail Management.
16 Group employees participate in the program in each class and the selection is based on a set of objectives and merit criteria. Every year we have a new class. The courses start in January and the total duration of the program is 2.5 years. In addition to the training programs included in the FOURLIS Learning Academy, for skills development purposes addressed to each employee according to their position level, in 2015 we launched a new institution, the Open Seminars. These seminars aim at the skills acquisition by employees in subjects that do not cover knowledge related to their current job position, but are essential for their future development. This new institution was introduced upon employee request, as resulted from the Employees’ Insight Survey 2014. SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
49 50 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 At thesametime, allactionsrelating to theemployees’ Development Planare recorded inthereview. in alloftheGroup’s companies. For HOUSEMARKETtheevaluation iscarriedouttwice ayear. objectives andtheassessment ofemployees’ skillsandbehavior, isconducted once ayear for allemployees The Performance Appraisal andDevelopment Review, which includestheassessment ofagreed measurable AND DEVELOPMENT REVIEW, BY GENDERANDBY EMPLOYEE CATEGORY PERCENTAGE OFEMPLOYEES RECEIVINGREGULARPERFORMANCE II GRI404-3 II are assessed: In order to ensure thetraining programs’ effectiveness for eachindividualemployee, thefollowing parameters AND PERFORMANCE –RESULTS HOW WEEVALUATE OURMANAGEMENT APPROACH Eachemployee’s skilllevel Eachemployee’s jobpositionspecifications The company goalto beachieved through eachtraining THEM INMANAGING CAREERENDINGS SUPPORT THECONTINUED EMPLOYABILITY OFEMPLOYEES ANDASSIST PROGRAMS FORSKILLSMANAGEMENT ANDLIFELONG LEARNINGTHAT II GRI404-2 Change Managementetc) (Managing Excellence &Leadership, CrisisManagement, Managerial Skillsfor Executive Managers/Directors (Managing People, Managing HighPerformance Teams etc.) Managerial Skillsfor SeniorManagers Constructive Feedback, Interviewing Skills, etc) (Your role andprofile asManager, Givingand Receiving Management Skillsfor Newly Appointed Managers Managing Your People Potential Annual Performance Appraisal andDevelopment Review Developmental tools for allGroup’s employees Foreign Languages Specialized trainings for eachfunction(e.g. payroll training) Product Training Information Technology Selling Techniques /Customer Service Health &Safety Concept Awareness Trainings (e.g. InductionTraining) Topics 2016 ü ü ü ü ü ü ü ü ü ü ü ü ü 2015 ü ü ü ü ü ü ü ü ü ü ü ü ü 51 FOURLISFOURLIS SOCIAL EΚΘΕΣΗ RESPONSIBILITY ΚΟΙΝΩΝΙΚΗΣ AND ΥΠΕΥΘΥΝΟΤΗΤΑΣ SUSTAINABLE KAIDEVELOPMENT ΒΙΩΣΙΜΗΣ ΑΝΑΠΤΥΞΗΣ REPORT 2016 2016 52 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 environment for allemployees. to theSustainable Development Goal8“Decent Work andEconomic Growth” by ensuringasafe working impact on our Group’s Sustainable Development and the way we manage them is regarded as contributing consider important.Overall, Health,Safety andWellness issues intheworkplace have aparticularlyimportant We are alsoimplementingaseriesofactionsfor thewell-being ofouremployees at work, anissue we also accidents. of possible risksthat we may face andwe take thenecessary measures inorder to prevent any possible not onlyfollow therelevant clausesoftheGreek legislation onlaborlaw, butwe alsoattend to theassessment Knowing that thecreation ofasafe andhealthy work environment isourobligation, at theFOURLIS Group we WHY ITISIMPORTANT SAFETY ANDWELLBEINGAT WORK EMPLOYEE HEALTH, Material TOPIC 53 EF ZIN(WELLBEING)PROGRAM implementation ofourpolicy. the “Customer HealthandSafety” section.The Group’s HealthandSafety Divisionisresponsible for the Our approach to theHealthandSafety issue for employees andcustomers iscommon andisdescribedin Protection andFirst Aidteams. affecting boththeir andourclients’safety. EspeciallyintheIKEAstores we have created internal Safety, Fire also invest intheconstant andregular training ofallemployees, sothat they canrespond to emergencies and the“ILO Code ofPractice onRecording andNotification ofOccupational Accidents andDiseases”. We At theFOURLIS Group, asaminimumprerequisite, we comply withtherequirements oftheGreek legislation recommendations soasto proceed withcorrective actions. safety technician draw upaspecificappraisal report onoccupational risk,whichisthenmonitored for any of intensive inspections by safety technicians, throughout theGroup companies’ facilities and by having the An importantpriority for usisto safeguard compliance withtheHealthandSafety Policy by theconduction OUR MANAGEMENT APPROACH presented below: Some of the most importantEFZINactionsthat took place in2016, are to adoptahealthier lifestyle. health and well-being issues and to encourage them with the main objective to inform employees on by theSocialResponsibility Departmentin2010 The EF ZIN (WELL BEING) program was launched
53 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 54 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 sports, suchasfootball, basket, beachvolley, bowling, tennis, a5kmrace etc. Stadium inAttica. Through thisevent, theemployees had theopportunity to compete inindividualandteam 2016, organized by theHellenic Organization for Company Sports andHealthat thePeace andFriendship participated, andfinallythe FOURLIS Group employees participated intheHellenic CompanyGames Sports the sportstournament inThessaloniki, where employees from ourGroup inThessaloniki, LarisaandIoannina in Cyprus, where theIKEA and INTERSPORT employees competed inbeachsports. This was followed by tournaments that are organized by theGroup onanannualbasis.The first tournament ofthe year was held In 2016, theFOURLIS Group employees inGreece andinCyprus participated intheestablished sports Sports T of mealsthat could contribute to anoverall balanced diet. various usefulnutritionaladvice are provided onaweekly basis,aimingto suggest thebest possible choice program anutritionproposal based ontheavailable menusat theIKEAemployee restaurants, alongwith in cooperation withadietician-nutritionist andisaddressed to theemployees ofIKEA.Inthecontext ofthis In 2016, the“EFZIN”nutritionprogram continued for thefifth consecutive year. The program isimplemented Menu forabalanceddiet of 620employees participated intheexaminations. in a free of charge blood sugar examination that was held at the Group companies’ premises. A total number In 2016, alltheFOURLIS Group’s employees inGreece, Cyprus andBulgariahadtheopportunity to participate Annual PreventiveMedical Examination ournaments HOW WE EVALUATE OUR MANAGEMENT APPROACH AND PERFORMANCE – RESULTS
As a result of our overall management approach regarding Health and Safety issues in the workplace, in the latest Employee Insight Survey conducted in 2016, the area with the highest satisfaction rate from our employees is Safety.
The following table contains information about HOUSEMARKET.
II GRI 403-2 II
Type of injury and rates of injury, occupational diseases, lost days and absenteeism, and total number of work-related fatalities, by region and by gender Greece
Airport Egaleo Ioannina Larisa Thessaloniki
Injury rate 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Occupational diseases rate 0.40 0.97 0.82 1.09 0.58 1.31 0.60 1.07 0.19 0.27 Lost Days rate 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Absenteeism rate 0.00 0.00 2.21 2.92 0.58 1.31 0.18 0.60 0.15 0.02 Work related fatalities 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Chania Heraklion Komotini Rhodes Patra
Injury rate 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Occupational diseases rate 0.00 0.02 0.00 0.00 0.00 0.01 0.00 0.00 0.00 0.01 Lost Days rate 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.01 0.00 Absenteeism rate 0.00 0.00 0.00 0.00 0.00 0.00 0.04 0.05 0.07 0.09 Work related fatalities 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Cyprus
Injury rate 0.00 0.00 II GRI 403-3 II Occupational diseases rate 0.00 0.00 We note that there are no employees who are Lost Days rate 0.00 0.00 involved in occupational activities who have a high Absenteeism rate 0.00 0.00 incidence or high risk of specific diseases and that Work related fatalities 0.00 0.00 most incidences are musculoskeletal in nature.
Τhe data presented in the table refer to 2016 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
55 56 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 The managementofinternal communication isrealized through anumberofactivitiesandtools suchas: seniority. time, we provide themwiththeopportunity to communicate witheachother, regardless oftheirlevel of For thisreason, we make sure to inform andengageourPeople intheGroup’s initiatives, whileat thesame For the FOURLIS Group, internal communication is a priority for the proper operation of our Organization. employees. Development Goal8:“Decent Work andEconomic Growth”, through safeguarding thelaborrightsofour The responsible managementofinternal communication isconsidered to contribute to theSustainable
for orthecountry they live in. current news andactivities,aswell asto communicate witheachotherregardless thecompany they work exclusively for theFOURLIS Group employees, whohave theopportunity to getinformed abouttheGroup’s Use, since 2014, ofanew onlinecommunication tool called“Yammer”. Yammer isa”private” socialnetwork, This newspaper isdistributed electronically to alltheGroup’s employees viaYammer onamonthlybasis. in thecreation ofwhichtheemployees themselves are involved withpersonalstories inspired by sports. Information related to theactivities of INTERSPORT anditsnew products, viaanew newspaper (newsletter) COMMUNICATION INTERNAL
In the context of the ongoing improvement of our internal communication, we aim at periodically evaluating our efforts, through an Employee Insight Survey. Under the slogan “Your opinion counts!” and the primary aim to enhance the satisfaction and commitment of the Group’s Human Resources, all employees are invited, every two years, to participate in a survey and to express their views on issues pertaining administration, communication, organization, cooperation, training and development, work climate, remuneration etc. Through the survey’s results, areas for action and further improvement for the Group are highlighted and respective actions are taken.
In February 2016, a new Employees’ Insight Survey was conducted and additional areas for action and further improvement emerged in our Group. In October 2016 we launched a number of respective actions that will be progressively implemented by 2018. The action focus on the following categories:
Communication & Collaboration Training & Development Balance between Personal and Work Life Management & Organizational Issues
The new activities and actions aiming to reinforce and strengthen internal communication (yammer, newsletter, etc.), had a particular appeal to the Group’s employees, as reflected by the corresponding indicator in the Employees’ Insight Survey (3.61 out of 5).
RECOGNITION OF CONTRIBUTION AND REWARD OF THE FOURLIS GROUP EMPLOYEES
Except from the aforementioned communication tools, at the FOURLIS Group we believe that in the context of a healthy relationship with our People, it is our duty to reward them for their contribution and commitment to the Group and also to support them and their families in any way we can.
In this context, we have the following programs in place: SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
57 58 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 presence oftheirparents andtheGroup’s Management. in Greece, Cyprus, Bulgaria,Romania andTurkey were rewarded duringevents whichwere organized at the High SchoolandSchool, orfor their successful admission to Universities. In2016, 93 students intotal, At theFOURLIS Group we annuallyreward employees’ children, either for being honorstudents inJunior A accommodation inanothercity. residencies andwhosefamilies face difficultiesinmeetingthefinancial requirements of covering the cost of children ofouremployees, whostudy inpublicUniversities inGreece andCyprus, away from theirpermanent “SPOUD@ZO MEYPOTROFIA” (Istudy withascholarship). The program aimsat supporting students, during the academic year 2013-2014, at the FOURLIS Group, we introduced a scholarship program named Recognizing thevalue andimportance ofeducation for young peopleandtheirrightfor equalopportunities, Scholarship program OTHER ACTIONS FOROURPEOPLE 17 employees were awarded through thisprogram. their professionalism anddistinct contribution, always alignedwiththeGroup’s Values andMission. In2016, This program aimsto designate andaward thoseemployees who, through certain behaviors, stand outfor Choose theBest –LivingwithourV contribution of114employees inGreece, 11inRomania and2inCyprus, was recognized. Group’s objectives are rewarded (10, 20and30years ofrecognition andcontribution). In2016, thelongterm Through thisprogram, employees whohave contributed for numerous years to theachievement ofthe Years inService A warding honorstudents Academic Year 2014-2015 2013-2014 2015-2016 2016-2017 ward Number ofScholarships 5 5 5 5 alues Scholarship Value 3,000€ each 3,000€ each 3,000€ each 3,500€ each «INVESTORS IN PEOPLE» CERTIFICATION
In 2014, FOURLIS HOLDINGS S.A. was certified for the next three years with the internationally recognized standard “INVESTORS IN PEOPLE” (IiP), which in Greece is officially represented by EEDE (Hellenic Manage- ment Association).
The “INVESTORS IN PEOPLE” standard is a tool that helps businesses and organizations to improve their performance in reaching their business objectives through the management and development of their Human Resources.
It consists of three phases (in chronological order): Diagnosis, Implementation of Action Plan and Review by IiP Executives from the UK.
The standard examines the following 10 areas:
1. Business Strategy 2. Learning & Development Strategy 3. People Management Strategy 4. Leadership & Management Strategy 5. Management Effectiveness 6. Recognition & Reward 7. Involvement & Empowerment 8. Learning & Development 9. Performance Measurement 10. Continuous Improvement SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
59 60 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 QUALITY OFLIFE! FOR ABETTER FOR THESOCIETY TOGETHER 03 SOCIETY AND LOCAL COMMUNITIES SUPPORT
Material TOPIC
WHY IT IS IMPORTANT
At the FOURLIS Group, under our main motto “TOGETHER FOR A BETTER QUALITY OF LIFE”, we daily work together as well as individually, for the realization of our common commitment and vision: the establishment of the preconditions for a better life for all.
In this context, we seek to be in constant connection with the local communities and the wider society, citizens, local authorities, bodies, organizations, non-government organizations, etc., in the countries and areas where we operate, since in this way we are able to get informed about their needs, to understand and assess them and to proceed to the design and implementation of programs and actions that respond to the most important of them.
Furthermore, through our social responsibility, our goal is to constantly strengthen our wider contribution to the Sustainable Development of the societies where we operate, by contributing through our social work and to the extent possible, to the achievement of the following UN Sustainable Development goals: Goal 1 “No Poverty”, Goal 2 “Zero Huger”, Goal 4 “Quality Education”, Goal 8 “Decent Work and Economic Growth”, Goal 11 “Sustainable Cities and Communities” and Goal 16 “Peace, Justice and Strong Institutions”.
II GRI 413-1 II
OUR MANAGEMENT APPROACH
Following the assessment and prioritization of the most important needs of the citizens and the societies where we operate, the Social Responsibility Department is constantly in close cooperation with executives from all Group companies, both centrally and regionally, in order to jointly plan, coordinate and implement actions that meet those needs.
The following are some of the major programs and actions that were implemented in 2016 to support the society. SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
61 62 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 and kindergartens in2016 IKEA refurbished with therespective MunicipalAuthorities. IKEA decorators’ experience andincooperation equipped basedonthechildren’s needs,the beautiful moments.Every space isalways spaces where children willbeableto spend stores throughout Greece, creating functional kindergartens inthebroader areas oftheIKEA they supportmunicipalnurseryschoolsand established four years agoandthrough which the “Furnished With Joy” program that was In 2016, IKEAandtheFOURLIS Group continued PROGRAM “FURNISHED WITHJOY” 10 municipalnurseries local authorities. the Headsofschoolsandrespective schools andkindergartens, incooperation with Joy” program, by fully refurbishing 20 nursery continue implementing the “Furnished with In 2017, IKEAand theFOURLIS Group will and Attica. schools in Epirus, Thessaly, Thessaloniki, Crete IKEA hasoffered products to more than35 throughout Greece, whilefrom 2013 to 2016 of 10municipalnurseriesandkindergartens In 2016, IKEAproceeded withtherefurbishment RESULTS LIBRARIES REFURBISHING PROGRAM RESULTS
In 2016, IKEA continued and completed, in In 2016, four libraries for around 640 children cooperation with the “Journalists Acting were fully refurbished in the areas of Variko in Network of Volunteers”, the refurbishing Florina, Achladochori in Serres, Nevrokopi in program of libraries for children and young Drama and Korestia in Kastoria. The program people in border and remote areas of Greece, included the refurbishment of 10 libraries in where children have limited access to basic various border areas throughout Greece (Krania knowledge and entertainment infrastructure. In in Grevena, Livadi in Elassona, Kouklioi in the context of this program, which was launched Ioannina, Mouries in Kilkis, Dikaia in Evros and in 2014, IKEA undertook the planning and design Metaxades in Evros) and after its completion of the libraries, while provided all the necessary approximately 1,500 children and young people equipment and undertook their decoration. have now access to the world of books and also to additional educational material in a pleasant and functional environment.
IKEA refurbished 4 libraries in 2016 SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
63 64 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 Promotion andsupportoflocalproduction prepared by thefamous chef. local products andto taste traditional dishes opportunity to familiarize themselves with Larisa and Ioannina. The visitors had the parking areas oftheIKEAstores inThessaloniki, hosted by the chef Dimitris Skarmoutsos at the and supportlocalproduction. The events were Country” events were heldaimingto promote For thethird consecutive year, the“Tastes ofour “TASTES OFOURCOUNTRY” products. by offering furniture andothernecessary schools andkindergartens ofthewiderregions held ineachcity, to supportmunicipalnursery the IKEAstores from theday theseevents were offered theequivalent of5%therevenue of events, IKEAcarriedoutaparallel actionand On theoccasion ofthe“Tastes ofOurCountry” RESULTS MEALS DONATION IN COOPERATION WITH THE NON-PROFIT ORGANIZATION RESULTS
“BOROUME” (“WE CAN”) Since 2012, meals have been distributed to the following organizations: Since 2012, IKEA and the FOURLIS Group RETO Hellas Association (Attica) have been cooperating with “BOROUME” Social Grocery of the Municipality of Egaleo (“We Can”), the Non-Profit Organization (Attica) committed to reducing food waste, which Social Service Department of the Municipality acts for the distribution of surplus food for of Egaleo (Attica) charity throughout Greece. In the context of Community House “Ariadne” (Attica) this cooperation, in 2016 IKEA continued the Parish breadline of Estavromenos Church in daily donation of meals not consumed at its Tavros (Attica) stores’ restaurants in Greece and at the Group Social Service Department of the Municipality Headquarters’ restaurant, to people in need. of Thessaloniki Social breadline of Toumba (Thessaloniki) Trion Ierarchon Church of Evosmos (Thessaloniki) Agios Georgios Church in Larisa Agioi Saranta parish (Larisa) Metropolitan Cathedral of Ioannina
Donation of meals to those in need
Meals
2016 2015 2014 2013 2012 96,468 92,502 62,726 82,958 41,288 SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
65 66 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 INTERSPORT’s mobileunitvisited access to sportingevents andfacilities. require greater awareness dueto theirlimited program are theareas andthoseschoolsthat access to it. For this purpose, the priority of this create thenecessary conditions for themto have to instill thevalues ofsportsto children andto initiative that serves themission ofINTERSPORT STA AKRA” (“We reach theEdges”) actionisan and healthy dietfor theirlives. The “FTANOUME inform children abouttheimportance ofsports followed by athletes from localsportsclubswho Education course. INTERSPORT’s delegation is offers free sportsequipmentfor thePhysical remote andborder areas ofGreece and which itvisitspublicelementaryschoolsin AKRA” (“We reach theEdges”) program, through INTERSPORT carriedoutthe“FTANOUME STA In 2016, for the6thconsecutive year, AKRA” (“WEREACH THEEDGES”) INTERSPORT “FTANOUME STA and approximately 2,000 students 26
elementaryschools completion ofthisprogram. ployees has beenimportant for the successful INTERSPORT’s andtheFOURLIS Group’s em- Each time, the voluntary contribution of children in various regions throughout Greece. has visited 163 schoolsandmore than17,000 since 2011, through thisinitiative, INTERSPORT Karditsa andEvrytania. Itisworth notingthat 2,000 students intheprefectures ofTrikala, municipal elementaryschoolsandapproximately In 2016, INTERSPORT’s mobileunitvisited 26 RESULTS
“Let’s Play for Change” RESULTS
IKEA supported, once again, children’s rights The amounts raised are the following: by participating in the “Let’s Play for Change” campaign. From November 20th to December Greece 24th 2016, IKEA donated €1 for every purchase 59,230 € of a soft toy or book, in order to support the child’s right to play and proper development Cyprus 15,172 € through the programs of organizations such as UNICEF and SAVE THE CHILDREN. Bulgaria 21,035 €
HOSTING ORGANIZATIONS AT THE IKEA STORES RESULTS
IKEA continued the program of hosting In the context of this program, in 2016, the IKEA organizations and associations in its stores, stores hosted FRODIDA (CARE) Association giving them the opportunity to inform the public and UNICEF. about their work and to gain new supporters. SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
67 FOURLIS HOLDINGS S.A., A CORPORATE MEMBER OF DIAZOMA
The FOURLIS Group is a corporate member of the DIAZOMA Association, which aims to connect and motivate all the forces of For further information and the results of the the Greek society (citizens, mayors/regional Association’s actions, please visit the website governors, Universities, cultural institutions) for www.diazoma.gr the promotion and the universal protection of a special category of monuments, the ancient theaters.
FOURLIS HOLDINGS S.A. SUPPORTS OPHELTES
The FOURLIS Group supports the non- profit Association OPHELTES – THE FRIEND OF NEMEA, which was founded with the aim to promote the cultural heritage of the archeological site of Nemea. The goal of Opheltes is to partially restore the temple of For further information and the results the Zeus in Nemea and to establish the Nemean Association’s actions, please visit the website Games in their authentic form, while its vision www.opheltes.gr is to promote the archeological site of Nemea and to make it a nationally and internationally acclaimed “Tourist Destination” for high-caliber visitors with cultural interests. SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
68 FOURLIS HOLDINGS are cultural while on the other the monuments S.A. SUPPORTS ELLINIKI created by traditional societies are usually ETAIRIA – SOCIETY FOR THE admirable themselves, often embodying an attitude to life which has much to offer in relation ENVIRONMENT & CULTURAL to today’s environmental concerns. For this HERITAGE reason ELLINIKI ETAIRIA has from its inception been concerned not only with traditional but ELLINIKI ETAIRIA - Society for the Environment also with contemporary culture, especially & Cultural Heritage, as its name suggests, has where this has something positive to contribute been active in the fight for the preservation to dealing with the complex environmental crisis of the environmental and cultural heritage of our time. of our country since 1972. In the fight for the preservation of the environment, on account of the complex ecological and environmental crisis For further information and the results of which the world is experiencing. In the fight ELLINIKI ETAIRIA’s actions, please visit the for the preservation of culture, because on the website www.ellet.gr one hand the causes of the environmental crisis
IKEA SUPPORTS THE of Violence in the Family (SPAVO), which will ASSOCIATION FOR THE accommodate victims of domestic violence. This project was realized with the aim to create PREVENTION AND warm and functional spaces, where people who HANDLING OF VIOLENCE are provided with accommodation can feel IN THE FAMILY (SPAVO) right at home. Offices and boardrooms, which will be used by the personnel, as well as rooms IKEA Cyprus carried out the refurbishment and for therapeutic counseling and play areas for decoration of the new tree-story space of the children were also refurbished. Association for the Prevention and Handling SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
69 70 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 were refurbished andequippedby IKEABulgariain2016 4 Zagora, Kotel andBerkovitsa inBulgaria. their families inthetowns ofShumen,Nova counseling services for kids,young peopleand for theprotection, supportandprovision of proceeded to therefurbishment offour centers Specifically, it provided equipment and RESULTS vulnerable socialgroups. to supportchildren andyoung peoplefrom in cooperation withUNICEFBulgariaaiming IKEA Bulgaria carried outaseriesofactions PEOPLE CHILDREN ANDYOUNG IKEA BULGARIA SUPPORTS centers for children, young peopleandtheirfamilies Bulgaria in2016 furbished andequippedby IKEA people andtheirfamilies were re- 4 centers for children, young In addition: Business Leaders Forum (BBLF). in cooperation withUNICEF, at theBulgarian IKEA Bulgaria received an award for its actions refugee children. to inform andstimulate publicawareness about It hosted UNICEFat itsstore’s premises aiming Museum ofSofia. museum, aswell asintheNational Polytechnic It created aspace for children inthe“Museiko”
CORPORATE VOLUNTEERING SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
71 72 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 293 companies’ premises. donation, heldtwice ayear at theGroup in theestablished annualvoluntary blood The FOURLIS Group employees participated DONATION 2016 VOLUNTARY BLOOD bottles ofbloodwere collected in2016 Greece Turkey Romania Cyprus Bulgaria 2016 218 57 18 - - 2015 246 152 53 12 - 2014 307 30 62 10 3 2013 329 66 32 - - 2012 309 49 58 8 - DONATION OF FOOD AND OTHER ESSENTIAL SUPPLIES RESULTS
In 2016, on the occasion of Christmas season, Through this action we supported the following the FOURLIS Group employees collected food bodies: and other necessary supplies, which they Attica: The “Meropio Foundation”, the “Agia offered to the following organizations in Greece Anna” Home for Girls and the Xatzikiriakio 2016 2015 2014 2013 2012 and Cyprus aiming to support their work. Foundation for Child Protection Thessaloniki: The “Arsis” and the “Greek Greece 218 246 307 329 309 Children’s Village at Filiro” Komotini: The Cathedral of the Annunciation Cyprus 53 62 66 49 57 Larissa: The Municipality’s Social Grocery Ioannina: The Orphanage run by the Bulgaria 18 12 10 32 58 Monastery of Panagia Dourachani and “Kivotos tou Kosmou” (Epirus) Romania - 152 30 - - Heraklion: Family strengthening program of the SOS Children’s Villages Turkey - - 3 - 8 Chania: The Municipality’s Social Grocery Patra: The Social Grocery of Patra Cyprus: The “Red Cross”
In total, 100cartons and 99 bags of products were collected and offered SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
73 74 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 FOR THEMARKET 04 international level. Development Goal16“Peace, Justice andStrong Institutions” aswe promote theruleoflaw at anational and to theimpactofourproducts andservices oncustomer healthandsafety, we contribute to Sustainable strengthens our customers’ trust. Ensuring that we strictly adhere to all relevant laws and regulations related The highHealthandSafety level significantlyincreases thequality ofprovided products andservices and stores inallcountries where theGroup operates and selectourproducts. sustainability topic. Every year, millionsofpeople(34,268,669 in2016) visittheGroup companies’ retail For theFOURLIS Group, customer HealthandSafety isaresponsibility commitment andamaterial WHY ITISIMPORTANT CUSTOMER HEALTH ANDSAFETY Material TOPIC 75 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 76 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 In particular, employee training includesthefollowing: own safety, butalsothesafety ofourcustomers. We regularly train all employees, so as to be able to respond to emergency incidents that affect not only their Employee trainingonHealth andS Some ofthepractices we implementat theFOURLISGroup are thefollowing: and business partners. Safety Policy inalltheGroup’s subsidiaries,whichaimsto cover therelative needsofouremployees, visitors that includesawiderange ofrelative measures andinitiatives. Concurrently, we applyaCommon Healthand The Group complies with the applicable legislation and implements a Health and Safety Management System Health andS OUR MANAGEMENT APPROACH Monthlytesting ofpersonnel’s knowledge onsafety issues Τraining ofsecurity personnelonHumanRights issues Training ofstores’ ManagersonHealthandSafety issues MonthlyFire Safety exercise Scheduledbiannualexercise onstore evacuation withouttheparticipation ofclients Scheduledannualexercise onstore evacuation withtheparticipation ofclients ISO22000certification for thesafety ofthe food served at theIKEA stores’ restaurants Infirmariesequippedwithmedicalbedsandautomatic external defibrillators inalltheIKEA stores Training ofFire Safety andFirefighting Teams Training ofFirst AidTeams Request from oursuppliersto present products’ safety certificates Written occupational riskassessment basedonexisting methodology aiming to provide safe accommodation andtransportation for peoplewithspecialneeds Provision ofwheelchairsat theIKEAstores’ entrance, aswell asofaccessible lavatories andparkingspaces, ΙΚΕΑ stores Implementation ofmeasures for reducing “emergency pick”incidentsaimingto prevent accidents inthe Cooperation withanexternal service onaccident protection andprevention afety Policy andManagement S afety Issues ystem II GRI 416-2 II
HOW WE EVALUATE OUR MANAGEMENT APPROACH AND PERFORMANCE - RESULTS
To ensure compliance with the Health and Safety Policy, regular inspections are conducted by safety technicians for all operations of our Group. All Health and Safety incidents occurring within the premises of the Group’s stores are reported, and in the context of this policy, a Safety Report is compiled for each store, as well as one consolidated report for all of them. The report includes information not only on the number and type of incidents, but also on the way they were addressed. Through these reports, we are able to receive useful information on the effectiveness of our policies and to improve our practices, where needed.
In 2016, the application of our policies on Health and Safety issues had significant outcomes.
We indicatively mention that:
No accident occurred in the playgrounds of the IKEA stores. No incident of non-compliance with legislation related to Health and Safety issues occurred during the reporting period. SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
77 78 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 products, aswell asto themanagement oforders andto thereception andmanagement ofcomplaints. others, to customer care and satisfaction both before and while visiting our stores and after the sale of our and initiatives aiming to constantly improve our customer care andsatisfaction. These policiesrelate, among Depending onthestructure andoperations ofeachGroup subsidiary, we applyacombination ofpolicies OUR MANAGEMENT APPROACH areas where we operate. society, whileitcontributes to thestimulation ofthemarket andby extension to theeconomic growth inthe and services for abetter life, creates additionalvalue for ourcustomers, ourpeople, ourshareholders andthe our responsible approach to theissue ofcustomer service andsatisfaction, through theprovision ofproducts the sametime, we seekto constantly advance andimprove ourrelevant policiesandpractices. We believe that responsibly andconsistently, setting asourmainobjective thesatisfaction ofourcustomers’ needs,whileat Managing andmeetingourcustomers’ needsisourmainconcern andtop priority. We seekto operate WHY ITISIMPORTANT AND SATISFACTION CUSTOMER CARE Material TOPIC At the IKEA stores, the Customer Relations Division covers the entire range of the customer’s/visitor’s experience (customer journey), i.e. before, during and after their visit to the store, while it is worth noting that a separate Department, the Customer Care Department, deals exclusively with customer care.
In the first stage – i.e. before the customer’s visit to the store- our goal is, through the IKEA catalogue, the call center (IKEA hotline) and the IKEA website, to offer ideas and inspiration, to inform about our commercial activities, the services we offer and the purchasing options and to guide the customers to easily make their purchases on their own.
During the customer’s visit to the store, our policies focus on the service inside our stores, offering all the necessary purchasing tools and having the necessary customer service prerequisites for large customer volumes, emphasizing on servicing all age groups and needs.
In the third and last stage of customer service – i.e. after the sale of the products- we have the infrastructure, services and procedures in order to cover any potential customer’s need and demand. SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
79 80 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 and theirpassion for sports. based ontheirhighperformance appraisal scores Coach for adifferent sports’category, are chosen our clients.The Ambassadors, eachoneactingasa and alsoto transfer ourknowledge andpassion to institution, aimingto further develop ouremployees exclusively for INTERSPORT, theAmbassadors In 2016, an additionalinstitution was launched valuable advice to ourcustomers! equipment, we are here to alsogive they do. Besides the necessary maximum enjoyment outofwhat favorite sport,inorder to getthe equipment they needto enjoy their We are here to provide thesports passion for athletics andsports. To share with our customers the INTERSPORT’S VISION of the6x6service system. This system serves themainvisionofbothINTERSPORT andThe Athlete’s Foot. to getinformed abouttheVision andtheValues ofINTERSPORT andThe Athlete’s Foot andfor thecontent regardless oftheirposition,participate inanINDUCTIONprogram, through whichthey have theopportunity a monthlystore Managers’meeting.Inaddition,allnew INTERSPORT andThe Athlete’s Foot employees, well asrelated educational programs, constructive feedback, annualappraisals, weekly staff meetingsand The quality incustomer service is safeguarded through constant guidance, continuous on-the-jobtraining as in theirjobdescription. service lays ontheStore Manager, theArea SalesManager, aswell astheOperations Manager, asindicated At theINTERSPORT andThe Athlete’s Foot stores, theresponsibility for theexcellent quality ofcustomer
more style to theireffort! the athletes oftheirdreams andadd We canhelpourcustomers become The Athlete’s Foot VISION
The 6x6 system includes six service steps and six tools which are the following:
THE 6 STEPS OF SERVICE
SALE (SUGGESTION – HANDLING GREETING, WELCOME, OBJECTIONS) CLOSING CUSTOMER APPROACH THE SALE SUPPLEMENTARY IDENTIFICATION SALE PREPARATION OF THE CUSTOMER NEEDS
1 2 3 4 5 6
STORE SPECIAL OFFERS – SERVICE IMAGE PAYMENT METHODS MANUAL
SALES REPRESENTATIVE CATALOGUES CUSTOMER IMAGE PRODUCT LEAFLETS STATISTICS PRODUCTS SAMPLES MIRRORS DRESSING ROOMS
THE 6 TOOLS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
81 82 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 INTERSPORT e-commerce anelectronic methodfor measuringcustomer satisfaction isalsoavailable. complaints eitherdirectly in-store, by phoneorthrough thecorporate website, while it isworth notingthat at the Finally, at bothINTERSPORT andThe Athlete’s Foot, we respectfully monitor andmanageourcustomers’ customers (withtheparticipation oftheGroup’s customers) withvery positive results. Awareness survey carried outby INTERSPORT worldwide. For 2016, thissurvey includedasample of1,000 It isworth mentioningthat theFOURLIS Group’s INTERSPORT store network, participates intheEuropean Brand customer needs,theway employees present theproducts instores, aswell ascheckout service. measures. Sometypical assessment areas includedintheMystery Shoppingsurvey are theidentification of We monitor theresults onaquarterly basisandifnegative performance isrecorded, we proceed to ameliorative inside ourstores are beingmonitored. carried out on ourbehalf by apartner company and in thecontent ofwhichkey indicators ofcustomer service At INTERSORT, just like at IKEA,we evaluate thequality ofourcustomer service viatheMystery Shoppingsurvey, services andthesatisfaction ofourcustomers. The results ofthesesurveys and practices are usedto adaptthecompany’s policies,always aimingat improving our form withtheircomments orby answering aseriesofpredefined questions regarding their experience inthe store. At any timeourcustomers canalsoexpress theircomments at specificspotswithinour stores, a either by fillingout times peryear by apartnercompany andlasts about10days. we alsoevaluate thequality ofcustomer service through theMystery ShoppingSurvey, whichiscarriedoutfour customers. Concurrently, once ayear we carryoutaCustomer Satisfaction Survey viathecorporate website, while At IKEA we annually conduct a Customer Satisfaction Survey in our stores, with the participation of about 1,000 connection withourcustomers andtheirneeds,we regularly carryoutsurveys. Aiming at thebest possible evaluation ofourpoliciesoncustomer service issues andseekingto maintainaconstant APPROACH ANDPERFORMANCE -RESULTS HOW WEEVALUTE OURMANAGEMENT institutions” respectively. achievement ofGoal12“Responsible consumption andproduction” andGoal16“Peace, justice andstrong with laws andregulations concerning thelabelinganduseofourproducts andservices, we contribute to the regarding responsible product production andusedisposalpractices aswell asthrough ourcompliance or national legislation, isastandard practice for theGroup. Through theprovision ofthenecessary information The compliance ofourproducts withthemanufacturers’ andsuppliers’standards, aswell aswiththe European WHY ITISIMPORTANT PRODUCT COMPLIANCE AND LABELING Material TOPIC 83 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 84 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 compliance withlaws andregulations concerning theprovision anduseofproducts andservices. the relevant labeling (e.g. CE approval), while during 2016, there was no case of significant fines for non- All theFOURLIS Group companies’ products are infullcompliance withtheEuropean legislation andhave APPROACH ANDPERFORMANCE -RESULTS HOW WE EVALUTE OURMANAGEMENT II GRI419-1 II Commerce, consumers’ Associations andthegeneral consumer publicviaspecialpress releases. all thenecessary actionsinorder to inform allthepertinentinstitutions like, for example, theMinistry of In casesofdefective products, thecompanies immediately proceed to theirwithdrawal andrepair andinitiate provide for compliance withallrulesandlaws that applyto products thecompanies purchase from them. of bothINTERSPORT andThe Athlete’s Foot focus ontheinclusionofterms incontracts withsuppliers,which compliance, ensures theadherence to market regulations aswell asto European UnionCElabeling.The policies INTERSPORT’s and The Athlete’s Foot Commercial Department, which also has theresponsibility for product importance oftheincident,withdrawal caseispubliclydisclosed. 25 years, whilewe adhere to andapplyaproduct withdrawal policy. Ifnecessary, anddependingonthe It isalsoworth mentioningthat we provide aperennial product guarantee, whichinsomecases reaches and theIFB-IKEAFood andBeverage Departmentare responsible for monitoring product compliance. used onlyby adults,dimensions,aswell asproduct manufacturing information, etc. The SalesDepartment labeling regarding potential problems orhealthimpacts,hazardous substances, whetheraproduct canbe information andadvice to customers, isapriority for theIKEAstores chain.Thus, we provide information and The provision ofspecificlabeling andsignsontheIKEAproducts, aiming to provide themost thorough OUR MANAGEMENT APPROACH the responsible product communication andpromotion. justice andstrong institutions” through thefullcompliance withallapplicablelaws andregulations regarding the proper management of this topic we are also contributing to the Sustainable Development Goal 16 “Peace, consumers, butalsoonourbusiness partnersandonthecompetition (stores andbrands). Inaddition,with by responsibility, aswe recognize theimpactofourway ofcommunication notonlyonourcustomers/ At eachoftheGroup companies, we make sure that product promotion andmarketing practices are governed image andreputation ofeachtheGroup companies andreflects theimageofourproducts. The methodofcommunication that we choose to promote ourproducts hasamajorimpactonthecorporate WHY ITISIMPORTANT RESPONSIBLE PRODUCT MARKETING AND PROMOTION MATERIAL TOPIC 85 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 86 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 company’s promotions andnews. cooking, etc., through seminarsorganized at thestores. Concurrently, themembersare informed aboutthe are given theopportunity to betrained invarious topics suchas sewing anddecoration, housefurnishing, with pointsthat canberedeemed indiscounts ontheirpurchases at theIKEAstores. At thesametime, they and to develop consumer bonds with the company. In the context of this program, members are rewarded IKEA Family isanimportantinitiative ofpromoting products responsibly andaimsto improve consumer faith at theendofyear 2016 had579,943 membersinGreece, 70,559 inCyprus and82,575 inBulgaria.The Aiming to reward IKEAcustomers andto create addedvalue, we developed theIKEAFamily program, which practice, by dailyandconsistently responding to consumer needswithout compromising quality. the current difficultcircumstances, bothIKEAandthe FOURLIS Group show their respect to consumers in 2015- August 2016). Inaddition,we offer quality food at very low prices inourrestaurants. Especiallyunder we frequently have offers anddiscounts that cover the43outof52 weeks onanannualbasis(September installments for purchases of 400euros and above, whichis the most competitive market regulation, while playground facilities. Furthermore, we facilitate ourcustomers’ purchases by offering 24 interest-free We alsotryto constantly make theshoppingexperience aspleasantwe can,offering free parkingand a direct impactonconsumers’ purchasing power. more than10%ofthenetvalue. The reduction concerned basicproducts andstill remains substantive, having 2008-2016, we reduced prices onproducts available instock, at thebeginningofourcatalogue (September) high quality furniture at very low prices, makingfurniture more affordable. Especiallyduringthecrisisperiod, Since 2000, theyear when IKEA started operating in Greece, we constantly supporttheconsumer by offering are responsible for thecompany’s marketing policy. such as digital media and social networks. The Communication Department and the Marketing Department We mainlyuseprintandelectronic media,withasteady increase intheuseofnew forms ofcommunication standards andpreferences oftherespective localcommunity. this reason, the configuration of theIKEA stores differs dependingontheirlocation, inorder to meetthe IKEA worldwide, whilewe take into consideration localneedsandtheparticularity oftheconsumers. For For theadvertising andpromotion oftheIKEAproducts, we follow thecommunication code appliedby OUR MANAGEMENT APPROACH At thesametime, themembersare informed aboutthecompany’s promotions andnews. are rewarded withpointsthat they canredeem ondiscounts ontheirpurchases at theINTERSPORT stores. loyalty andto develop consumer relationships withthecompany. Inthecontext ofthisprogram, members More loyalty program isanimportantresponsible product promotion initiative aimingto improve consumer we developed theScore for More program, whichhasover 380,000 membersinGreece. The Score for goods more affordable, whilewith theaimto reward INTERSPORT customers andto create shared value, the consumers by offering a wide variety of quality sports equipment in a range of prices, making sporting Concurrently, since 2000, the year when INTERSPORT started operating in Greece, we constantly support outdoor events. events suchastennis, football, basketball andbeachvolley tournaments aswell asrunning,swimming and we promote sportsandwe shapeconsumers’ sport awareness, through thesuccessful organization ofsporting Responsibility actions(WE REACH THEEDGES Program), orsportingevents. For example, at INTERSPORT Especially at INTERSPORT, actionsthat concern theenhancement ofthecorporate imageare eitherSocial Association (HRBA)Code. as well asthe market regulations that we are obliged to adhere to, suchastheHellenicRetail Business product catalogues, onlineadvertising, etc., whilewe follow allconduct, marketing andcommunication codes The product communication andpromotion methodswe chooseincludevarious mediasuchastelevision, Communication andproduct promotion. the Commercial Department,whilebothcompanies’ marketing policiesfocus ontwo areas: Corporate Responsible for theimplementation ofthemarketing policiesfor INTERSPORT andtheAthlete’s Foot is to thepeople, while The Athlete’s Foot’s isset according to its own visionwhichisto bring style to Sports. INTERSPORT’s marketing andcommunication strategy issetaccording to itsvisionwhichisto bringSports 87 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 88 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 II GRI417-3 II main indicator andwe review ourpractices wherever andwhenever needed. We monitor theeffectiveness ofINTERSPORT andThe Athlete’s Foot marketing activitiesusingsalesasour the public’s opiniononINTERSPORT’s corporate image. Brand Vivo survey. This isanannualsurvey conducted electronically for about1,000 onlineusers andpresents For assessing INTERSPORT’s brand imageandthecommunication andmarketing policieswe usetheGFK catalogue. opinion onthequality andvariety ofproducts, prices, corporate image, in-store services andtheIKEA Survey. This isanannualsurvey conducted intheareas where thestores are located andrecords thepublic’s For assessing IKEA’s brand imageandthecommunication andmarketing policies,we usetheBrand Capital APPROACH ANDPERFORMANCE -RESULTS HOW WEEVALUTE OURMANAGEMENT
communication, includingadvertising, promotion and sponsorship. In 2016, there were nocasesofnon-compliance withregulations andvolunteer codes regarding marketing human rightsbasedoninternational agreements andthenational legislation. law through ourcompliance withtherelevant laws andregulations andwe protect, withourpractices, basic of theSustainable Development Goal16“Peace, justice andstrong institutions” aswe supporttheruleof In addition, through the responsible management of this material topic, we contribute to the achievement compliance withtherelevant legislation, butwe alsostrengthen ourcustomers’ trust andsatisfaction. strategy. By applyingthebest practices for theprotection ofcustomers’ privacy, notonlywe ensure our The respect to theprotection ofcustomers’ personaldata constitutes anon-negotiablepillarofourbusiness WHY ITISIMPORTANT Customer Privacy Material TOPIC 89 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 90 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 For Clients For Employees our customers are thefollowing: Some ofthepractices followed, inalloftheGroup’s companies, regarding therespect for theprivacy of Executives, hasalready beencreated andworks for thetimelyimplementation oftheaforementioned project. all operations inallcountries where itoperates. For thispurpose, aworking group, consisting ofGroup Regulation, whichconcerns theprotection ofpersonaldata andwillbecompleted by May 25, 2018 for for customers’ privacy. Inthiscontext, theGroup hasadopted itsgradual adjustment to EU’s 679/2016 The Group applies the existing legislation andfollows thebest practices that are connected withtherespect OUR MANAGEMENT APPROACH -Their consent to theuse oftheirpersonaldata by theGroup companies -Their rightsrelating to theuseoftheirpersonal data Providing information on corporate websites and forms where customers’ personal data is required regarding: INTERSPORT Score For More) Informing themabouttheirconsent inorder to participate incustomer loyalty programs (IKEAFamily, acceptance andunconditional agreement withtheterms ofusethat applyto allthecontent they contain Informing thevisitor /useroftheGroup companies’ web pages ande-commerce websites for their regular changes Controlled access to sensitive personaldata electronic filesusingaspecialpassword that issubject to application ofconfidentiality Commitments they undertake through theCode ofConduct (according to thepositionthey hold)for the HOW WE EVALUTE OUR MANAGEMENT APPROACH AND PERFORMANCE - RESULTS
II GRI 418-1 II
In 2016, there were no substantiated complaints concerning breaches of customer privacy for our Group companies. SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
91 92 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 II GRI102-11 II of aresponsible way oflife. environmental protectionregarding issuesawareness andtheadoption natural resources aswell asto raise theemployees’ andthepublic’s interventions aiming to reduce our environmental impacts, to conserve principle that isaccompanied by a seriesofvoluntary actionsand legislation. Hence, ourenvironmental managementincludes aprecautionary environment are not limited to those dictated by the environmental At theFOURLIS Group, theactionswe take for theprotection ofthe FOR THEENVIRONMENT 05
able to present to itsstakeholders theprogress andtheresults ofthe appliedpractices. to collect, monitor andcompare theirresults withprevious years’ data. Through thisprocess, theGroup is company, viatheSocialResponsibility Department,isto monitor therelevant procedures andpractices and of measures aimingto reduce theconsumption ofnatural resources andenergy. The role oftheGroup’s parent such asthemonitoring andapplication ofthelegislation related to theiractivities,aswell astheintroduction The Group’s subsidiariesare responsible for themanagementofenvironmental issues that concern them, (Goal 7),“Responsible Consumption andProduction” (Goal 12),and“Climate Action” (Goal 13). Sustainable Development Goals for “CleanWater andSanitation” (Goal 6),“Affordable andCleanEnergy” to the sustainable development of the countries where we operate andto the achievement of theUN In thiscontext, we manageourenvironmental impactsby tryingto continuously improve ourcontribution 93 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 94 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 At Group level at thepremises oftheFOURLIS Group companies. Below we present someindicative examples ofpractices that are appliedaimingto reduce energy consumption measures andpractices for improving theirenergy efficiency. energy consumption, we take into consideration thedifferences ofourfacilities andwe implementspecial Given that theGroup’s facilities are highlydiversified, inorder to beable to effectively intervene and reduce reduce them. with thenecessary interventions whenandwhere necessary, inorder to monitors electricity, heating oilandnatural gasconsumptions andproceeds For energy management purposes, the FOURLIS Group systematically Informing andraising employees’ awareness aboutenergy conservation intheworkplace Use ofbladeservers 100% useofnew technology monitors Replacement ofITsystems withsimilarlow energy consumption ones ENERGY ANDEMISSIONS At the IKEA stores’ facilities, which were designed by taking into account environmental criteria, the Group has proceeded with the application of specific measures to improve energy efficiency, such as:
Installation of digital heat sensors at various locations in the stores, which by contacting the management system, automatically adjust heating needs and thus natural gas and electricity consumption. Better management of all facilities’ openings like, for example, adjustment of the time and opening distance of that automatic doors, as well as the installation of air curtains. Adjustment of the temperature of the water for use at the restaurant, in order to conserve natural gas. Launch of a 3-year program for the replacement of high consumption light bulbs with LED bulbs in commercial and non-commercial areas of the IKEA stores in Greece, Cyprus and Bulgaria. Gradual installation of invertor systems at boilers to conserve natural gas. Gradual supply and use of peak consumption management systems by optimizing / differing the operation of the facilities and devices that consume electricity. Planning for supplying and using devices of quality power upgrading in order to optimize the air-conditioning. Planning for the supply and use of automations for minimizing the amount of automated expulsion of conditioned air beyond the real use requirements in order to minimize the energy consumption for the air conditioning of the premises.
In addition, the company proceeded and is now in the process of restructuring the way it handles the issue of regular/ preventive and repairing maintenance of the buildings and their systems aiming at three key areas of results:
The full integration and implementation of all provisions of the European Legislation, e.g. the full implementation of procedures to ensure the provisions of European Regulation EU 517/2014, which replaced the corresponding previous EC 842/2006 on the use control and the emissions of fluorinated greenhouse gases to the environment. The management and assurance of the proper operational quality of all buildings’ systems and facilities, in order to avoid operational failures, to maximize their performance and longevity and to ensure the economy of operations and the minimization of any kind of environmental impacts. The management and assurance of the maintenance and / or the upgrade of the quality of the building envelope to ensure its maximum participation in the economy of operations and the minimization of any kind of environmental impacts.
Concurrently, in order to avoid the risk of increasing energy consumption due to the age of the basic E/M installations of our buildings, our company proceeded and is now in the process of progressively implementing the installation of electric power generation systems on the roofs of the buildings aiming to maximize the new use of facilities that do not produce any form of burden to the environment. In this context, in 2016, the process of installing a photovoltaic electricity production system with net metering at the IKEA Cyprus store begun and is currently in progress. SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
95 Measures aiming at reducing energy consumption:
Reduction of lighting needs in the areas where the automated machines, responsible for the 70% of activities, operate. Optimization of the automated machines’ performance by using a special software, in order to allow them to operate in “full circle”. This way, the lifting machines are always carrying a load and are not performing empty routes. Adjustment of employees’ swifts so that, during periods of decreased workload, the majority of their work is performed during the day. Inspection of all distribution boards of TRADE LOGISTICS, by a specialized crew of mechanics. As a result of this inspection, equipment changes were made aiming to reduce the risk of short circuit and to reduce energy consumption. The gradual replacement of sodium vapor lamps (high pressure) with LED lamps, an initiative started in 2015, is currently in progress. In the new part of the warehouse, where INTERSPORT’s automatic system was installed, all bulbs (350 in total) are LED.
OPERATION OF A PHOTOVOLTAIC SYSTEM Since March 2013, the company has installed a 1 MW photovoltaic system for producing electricity, on the roof of the warehouse. In 2016, the total electricity production reached 1,428,112 kWh. In addition, during the same
period, 1,298 metric tones of CO2e were not released to the atmosphere, due to the fact that the electricity from the photovoltaic park is produced from renewable energy sources.
CARBON EMISSIONS In 2016, TRADE LOGISTICS calculated once again its carbon emissions for the entirety of its operations in order to implement solutions for their reduction. The results of the measurements – the annually increasing company activities must be taken into consideration when evaluating these measurements - are presented in the following table.
2016 2015 2014
Direct Emissions (tones CO2e) 60 53 42
Indirect Emissions (tones CO2e) 721 599 416
Optional or other Emissions (tones CO2e) 4,765 3,978 3,343
Total Emissions (tones CO2e) 5,546 4,630 3,801 SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
96 Starting with the renovation of INTERSPORT Nea Erithrea store in September 2014, in all new INTERSPORT & The Athlete’s Foot stores we use LED technology bulbs, while we implement programs for the gradual replacement of regular bulbs with LED ones for the rest of our stores. More than a third of our stores have LED bulbs, while our goal is to complete the replacement process in all our stores by the end of 2017.
THE GROUP’S TOTAL ENERGY CONSUMPTION
2016* 2015** 2014***
Electricity (kWh)
51,979,366 38,045,737 38,491,238
Heating oil (lt)
165,220 160,068 151,150
Natural gas (m3)
339,874 327,251 262,301
* The data refer to the following companies: FOURLIS HOLDINGS S.A. TRADE LOGISTICS, INTERSPORT Greece & The Athlete’s Foot Greece, IKEA Greece and IKEA Cyprus. ** Includes data for SERVICE ONE.
*** Includes data for FOURLIS TRADE & SERVICE ONE. 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
97 98 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 restaurants, aswell assmallelectricappliances. plastics, metals,timber, fluorescent lamps, cooking fat from theIKEA recycling programs, such as paper, toners, batteries, aluminum, glass, effective management, at theFOURLIS Group we implementmaterial Aiming at the overall reduction of the produced waste and at their most MATERIALS ANDWASTE MANAGEMENT
RECYCLING AND WASTE MANAGEMENT
Recycling programs are implemented in all the FOURLIS Group companies’ premises with the participation of employees and the use of special recycling bins placed at the workplaces for this purpose. At the same time, a number of actions and awareness campaigns are also regularly organized, aiming to raise employees’ awareness. Recycling bins for plastic, paper, glass, light bulbs and small electric devices, are available to the public at the IKEA stores.
Moreover, the Group’s companies through their financial contribution to the Hellenic Recovery Recycling Corporation (HE.R.R.CO), have actively supported the effort to develop recycling infrastructure in our country. Specifically, the total amount of their contributions from 1/1/2016 to 31/12/2016 may be mapped and thus be considered to have financed the purchase of:
From HOUSEMARKET (IKEA stores) 753 blue recycle bins or 1 recycle garbage From INTERSPORT truck (INTERSPORT & The Athlete’s Foot stores) 100 blue recycle bins SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
99 100 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 RECYCLING (INSIDE THEFOURLIS GROUP) *** Includes data for FOURLIS TRADE &SERVICE ONE. *** ** Includesdata for SERVICE ONE. * 1,477,363 93,090 54,510 AND IKEACYPRUS. Athlete’s Foot Greece (Headquarters), IKEAGREECE HOLDINGS S.A., TRADE LOGISTICS, INTERSPORT & The The data relate to thefollowing companies: FOURLIS 2016 * 19,897 11,082 2,087 17,184 520 0 Light bulbs(kg) Cooking Fat (lt) Aluminum (kg) Batteries (kg) Timber (kg) Plastic (kg) Metals (kg) Paper (kg) Glass (kg) 1,351,788 188,500 100,014 34,900 2015** 20,130 2,552 1,596 720 10 1,340,655 2014*** 87,390 15,380 18,507 4,962 6,601 3,615 0 0 USING AND SAVING PAPER
At the FOURLIS Group companies in Greece and Cyprus, we have established the use of recycled, recyclable and non-chlorinated paper. Aiming at the reduction of paper consumption across the FOURLIS Group, we implement practices, such as:
Use of fax servers Use of duplex printing printers Use of Human Resources software applications Document scanning and electronic archiving Electronic archiving and monitoring of contracts (e-docs system) Electronic system for the submission and approval / rejection of purchasing requests
Quantity of paper purchased for office use*
2016 * 2015 2014
33,257 kg 31,646 kg 27,383 kg
USING AND SAVING INK
Each year, we aim at reducing ink consumption, as well as to the reduction of printing, by using new technology practices such as laser printers, which contribute significantly to the protection of the environment, since they require smaller amounts of ink for their operation.
Pieces of ink cartridges consumed*
2016 2015 2014
2,716 2,367 2,488 pieces pieces pieces
The increase in ink consumption between 2015 and 2016 is mainly attributed to the opening of new stores.
*The data refer to the companies of the FOURLIS Group operating in Greece SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
101 102 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 ** Includesarestatement ofinformation compared to last year’s report * The IKEACentre for Orders andDeliveries inHERAKLION isexcluded. Water consumption inlitres supply andinstallation ofautomated flow faucets systems inthe Water Closets (WC). reduce water consumption at ourfacilities. For example, at theIKEAstores we have proceeded to agradual Thus, we monitor consumption persubsidiaryandwe take additionalmeasures where necessary inorder to large numberofcustomers andemployees, we take measures for thereduction ofwater consumption. Recognizing thesignificantquantity of water consumed at our facilities due to sanitation needsand to the 19,000,00 * 34,557,000 2,630,911 2016 ΙΚΕΑ (Attica excluded) TRADE LOGISTICS WATER 21,964,198 *,** ΙΚΕΑ (Attica) 35,641,000 960,612 2015 38,290,000 31,176,000 700,270 2014 IKEA offers eco-friendly products suchas: A LEDbulbuses85%less energy, whileitslifespan canreach 25,000 hours. LED bulbsandlampswithembeddedbulbs.At theIKEAstores we onlyoffer LEDlightingproducts. The IKEAmirrors whichare 100%lead-free. All IKEAelectricappliances that are assessed asenergy class A,A+or++. PET bottles. The BJÖRNÅNbathroom curtainwhichismadeof100% recycled polyester, whichoriginates from plastic The MARIUSstaircase madeoutof40%recycled steel. durability. The MÄSTERBY staircase madeof100%recycled plastic, reinforced withglass fibers for stability and 50%, whiletheflow remains thesame. Similarly, kitchen faucets save up to 40% water. All IKEA washbasin faucets which have a water-saving mechanism, in order to reduce water consumption by ECO-FRIENDLY PRODUCTS
103 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 104 FOURLIS SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 Principle 10 Principle 4 Principle 6 Principle 9 Principle 5 Principle 8 Principle 2 Principle 3 Principle 7 Principle 1 C ommunication onProgress REPORT – UnitedNations Global C GLOBAL COMPACT PRINCIPLES human rights the protection ofinternationally proclaimed Businesses shouldsupportandrespect abuses they are notcomplicit inhumanrights Businesses shouldmake sure that of therightto collective bargaining of association andtheeffective recognition Businesses shouldupholdthefreedom and occupation of discrimination inrespect ofemployment Businesses shouldupholdtheelimination abolition ofchildlabour Businesses shouldupholdtheeffective of allforms offorced andcompulsory labour Businesses shouldupholdtheelimination promote greater environmental responsibility Businesses shouldundertake initiatives to approach to environmental challenges Businesses should supportaprecautionary all itsforms, includingextortion andbribery Businesses shouldwork against corruption in technologies and diffusionofenvironmentally friendly Businesses shouldencourage thedevelopment ANTI-CORRUPTION HUMAN RIGHTS ENVIRONMENT LABOUR 4. 2. 1. AND RESULTS (REFERENCE) APPLICATION OFPRINCIPLES 4. 2. 1. 2. 1. 2. 1. 2. 1. 2. 1. 5. 5. 1. 5. Code ofConduct OUR GROUP C OUR GROUP Code ofConduct OUR GROUP Code ofConduct OUR GROUP Code ofConduct OUR GROUP Code ofConduct OUR GROUP Regulatory Compliance OUR GROUP Health, Safety andEmployee Wellbeing at Work Human Rightsintheworkplace FOR OURPEOPLE Health, Safety andEmployee Wellbeing at Work Human Rightsintheworkplace FOR OURPEOPLE Merit-based Recruitment andDevelopment Human Rightsintheworkplace Human Resources Profile FOR OURPEOPLE Training and Education Merit-based Recruitment andDevelopment Human Rightsintheworkplace Human Resources Profile FOR OURPEOPLE Merit-based Recruitment andDevelopment Human Rightsintheworkplace FOR OURPEOPLE Merit-based Recruitment andDevelopment Human Rightsintheworkplace FOR OURPEOPLE Eco-Friendly Products Water Materials andWaste Management Energy andEmissions FOR THEENVIRONMENT Eco-Friendly Products Water Materials andWaste Management Energy andEmissions FOR THEENVIRONMENT Eco-Friendly Products Water Materials andWaste Management Energy andEmissions FOR THEENVIRONMENT Product compliance andlabeling FOR THEMARKET Product compliance andlabeling FOR THEMARKET ode ofConduct ompact GRI Content Index
II GRI 102-55 II
GRI Standard Disclosure Report Section or Reference Page Omission
GRI 101: Foundation 2016
General Disclosures (Core option)
102-1 Name of the 1. OUR GROUP: “Profile” 13 - organization
102-2 Activities, brands, 13 - products, and 1. OUR GROUP: “Profile” services
102-3 Location of 1. OUR GROUP: “Profile” 13 - headquarters
102-4 Location 1. OUR GROUP: “Profile” 13 - of operations
102-5 Ownership 1. OUR GROUP: “Profile” 13 - and legal form
102-6 13, 16 - Markets served 1. OUR GROUP: “Profile” 1. OUR GROUP: “Profile” 102-7 Scale of the 1. OUR GROUP: “Economic Performance” 13, 16, 23, 40 - organization 2. FOR OUR PEOPLE: “Human Resources Profile” 102-8 Information on 40 - employees and other 2. FOR OUR PEOPLE: “Human Resources Profile” workers
102-9 19, 21 - Supply chain 1. OUR GROUP: “Profile”
102-10 Significant changes 6-7 - to the organization CEO Message and its supply chain
102-11 Precautionary 5. FOR THE ENVIRONMENT 92 - Principle or approach
102-12 36 - External initiatives 1. OUR GROUP: “Memberships and Distinctions”
102-13 36-37 - GRI 102: General Standard Disclosures 2016 Membership 1. OUR GROUP: “Memberships and Distinctions” of associations
102-14 CEO Message Statement 6-7, 8 - from senior decision-maker Social Responsibility Department Message Our values
102-16 Our vision and mission Values, principles, 10, 11, 26, 36 - standards, and norms of behavior 1. OUR GROUP: “Regulatory Compliance” 1. OUR GROUP: “Memberships and Distinctions”
102-18 24-30 - Governance structure 1. OUR GROUP: “Regulatory Compliance”
102-40 1. Our Group : “Corporate Responsibility– List of stakeholder 33 - groups Stakeholder Table”
102-41 The FOURLIS Group implements the applicable Collective bargaining legislation for bargaining agreements for the 100% - agreements of its employees SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
105 GRI Standard Disclosure Report Section or Reference Page Omission
GRI 101: Foundation 2016
General Disclosures (Core option)
102-42 Identifying 1. OUR GROUP : “Corporate Responsibility– 32 - and selecting Stakeholders” stakeholders 102-43 Approach to 1. OUR GROUP : “Corporate Responsibility– 33 - stakeholder Stakeholder Table” engagement 102-44 1. OUR GROUP : “Corporate Responsibility– Key topics and 34-35 - Materiality Analysis” concerns raised
The FOURLIS Group Annual Report 2016, page 102-45 54-55 Entities included in - - the consolidated http://www.fourlis.gr/Files/IR/Financial%20 financial statements Reports/Fourlis_Holdings/en/2016/Fourlis_Notes_ FY16_en.pdf
102-46 1. OUR GROUP : “Corporate Responsibility – Defining report Materiality Analysis” 34-35, 110 - content and topic Boundaries Boundaries Table 102-47 List of material Boundaries Table 110 - topics 102-48 Restatements of There were no restatements of information - - information 102-49 Boundaries Table 110 - Changes in reporting 102-50 About the Report 9 - Reporting period 102-51 Date of most recent About the Report 9 - report
GRI 102: General Standard Disclosures 2016 102-52 About the Report 9 - Reporting cycle 102-53 Contact point for Social Responsibility Department Message 8 - questions regarding the report 102-54 Claims of reporting About the Report 9 - in accordance with the GRI Standards 102-55 GRI Content Index 105-109 - GRI content index 102-56 About the Report 9 - External assurance SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
106 GRI Standard Disclosure Report Section or Reference Page Omission
Economic Performance (Material Topic)
103-1 Explanation Boundaries table of the material 110, 22 topic and its 1. OUR GROUP : “Economic Performance” Boundaries
GRI 103: 103-2 Management The management 1. OUR GROUP: “Economic Performance” 22-23 Approach approach and its 2016 components
103-3 Evaluation of the 1. OUR GROUP: “Economic Performance” 22-23 management approach
GRI 201: 201-1 Economic Direct economic 1. OUR GROUP: “Economic Performance” 23 Performance value generated 2016 and distributed
Regulatory Compliance (Material Topic)
103-1 Boundaries table Explanation of the 110, 24 material topic and 1. OUR GROUP: “Regulatory Compliance” its Boundaries
GRI 103: 103-2 Management The management 1. OUR GROUP: “Regulatory Compliance” 24-29 Approach approach and its 2016 components
103-3 Evaluation of the 1. OUR GROUP: “Regulatory Compliance” 30 management approach
205-3 GRI 205: Confirmed Anti-Corruption incidents of 1. OUR GROUP: “Regulatory Compliance” 30 2016 corruption and actions taken
Human Rights in the Workplace (Material Topic)
103-1 Boundaries table Explanation of the 110, 41 material topic and 2. FOR OUR PEOPLE: “Human Rights in the its Boundaries Workplace”
103-2 GRI 103: The management 2. FOR OUR PEOPLE: “Human Rights in the Management 42 approach and its Workplace” Approach components 2016
103-3 Evaluation 2. FOR OUR PEOPLE: “Human Rights in the of the 43 Workplace” management approach
406-1 GRI 406: Incidents of Non - 2. FOR OUR PEOPLE: “Human Rights in the discrimination and 43 Discrimination Workplace” corrective actions 2016 taken SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
107 Merit-Based Recruitment and Development 401-1 New employee 2. FOR OUR PEOPLE: “Merit-Based Recruitment hires and employee 46 and Development” turnover GRI 401: 401-2 Benefits Employment provided to full-time 2016 employees that are 2. FOR OUR PEOPLE: “Merit-Based Recruitment 47 not provided to and Development” temporary or part- time employees Customer Care and Satisfaction (Material Topic) Boundaries table 103-1 Explanation of the material topic 110, 78-82 and its Boundaries 4. FOR THE MARKET: “Customer Care and Satisfaction” GRI 103: 103-2 The Management management 4. FOR THE MARKET: “Customer Care and Approach 2016 approach and its Satisfaction” 78 components 103-3 Evaluation of the management 4. FOR THE MARKET: “Customer Care and 78-81 approach Satisfaction” The results of customer satisfaction surveys are not Customer 4. FOR THE MARKET: “Customer Care and 82 disclosed. Satisfaction Surveys Satisfaction” Reason for omission: Confidentiality constraints
Product Compliance and Labeling (Material Topic)
Boundaries table 103-1 Explanation of the material topic 110, 83 and its Boundaries 4. FOR THE MARKET: “Product Compliance and Labeling“ GRI 103: 103-2 The Management management 4. FOR THE MARKET: “Product Compliance and Approach 2016 approach and its Labeling” 84 components 103-3 Evaluation of the management 4. FOR THE MARKET: “Product Compliance and 84 approach Labeling” 419-1 Non- GRI 419: compliance with Socioeconomic laws and regulations 4. FOR THE MARKET: “Product Compliance and 84 Compliance in the social and Labeling “ 2016 economic area
Responsible Product Marketing and Promotion (Material Topic) Boundaries table 103-1 Explanation of the material topic 110, 85 and its Boundaries 4. FOR THE MARKET: “Responsible Product Marketing and Promotion“ GRI 103: 103-2 The Management management 4. FOR THE MARKET: “Responsible Product Approach 2016 approach and its Marketing and Promotion” 86-87 components 103-3 Evaluation of the management 4. FOR THE MARKET: “Responsible Product 88 approach Marketing and Promotion” 417-3 Incidents GRI 417: of non-compliance Marketing and concerning 4. FOR THE MARKET: “Responsible Product 88 Labeling 2016 marketing Marketing and Promotion” communications Society and Local Communities Support (Material Topic) Boundaries table 103-1 Explanation of the material topic 110, 61 and its Boundaries 3. FOR THE SOCIETY: “Society and Local Communities Support” GRI 103: 103-2 The Management management 3. FOR THE SOCIETY: “Society and Local Approach 2016 approach and its Communities Support” 61-73 components 103-3 Evaluation of the management 3. FOR THE SOCIETY: “Society and Local 61-73 approach Communities Support” 413-1 Operations with local community GRI 413: Local engagement, 3. FOR THE SOCIETY: “Society and Local Communities impact assessments, Communities Support” 61-73 2016 and development programs SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
108 Training and Education 404-2 Programs for upgrading employee 2. FOR OUR PEOPLE: “Merit-Based Recruitment skills and transition and Development” 51 assistance programs GRI 404: Training and 404-3 Percentage Education 2016 of employees receiving regular 2. FOR OUR PEOPLE: “Merit-Based Recruitment performance and and Development” 50 career development reviews Customer Health and Safety (Material Topic) 1. OUR GROUP : “Corporate Responsibility– Materiality Analysis” 103-1 Explanation of the material topic Boundaries table 110, 75 and its Boundaries 4. FOR THE MARKET: “Customer Health and GRI 103: Safety” Management Approach 2016 103-2 The management 4. FOR THE MARKET: “Customer Health and approach and Safety” 76 its components 103-3 Evaluation of the management 4. FOR THE MARKET: “Customer Health and 77 approach Safety” 416-2 Incidents GRI 416: of non-compliance Customer concerning the 4. FOR THE MARKET: “Customer Health and Health and health and safety Safety” 77 Safety 2016 impacts of products and services Employee Health, Safety and Wellbeing at Work (Material Topic) Boundaries table 103-1 Explanation of the material topic 110, 52 and its Boundaries 2. FOR OUR PEOPLE: “Health, Safety and Employee Wellbeing at Work” GRI 103: 103-2 The Management management 2. FOR OUR PEOPLE: “Health, Safety and Employee Approach 2016 approach and its Wellbeing at Work” 53-54 components 103-3 Evaluation of the management 2. FOR OUR PEOPLE: “Health, Safety and Employee 55 approach Wellbeing at Work”
The results of IKEA Bulgaria are not disclosed 403-2 Types because data were of injury and rates unavailable for the of injury, reporting period. occupational diseases, lost days, 2. FOR OUR PEOPLE: “Health, Safety and Employee 55 and absenteeism, Wellbeing at Work” The results of the GRI 403: and number Group’s other Occupational of work-related companies are Health and fatalities not disclosed Safety 2016 because data were unavailable for the reporting period.
403-3 Workers with high incidence or high risk of diseases 2. FOR OUR PEOPLE: “Health, Safety and Employee 55 related to their Wellbeing at Work” occupation Customer Privacy (Material Topic) 103-1 Explanation Boundaries table of the material topic 110, 89 and its Boundaries 4. FOR THE MARKET: “Customer Privacy”
GRI 103: 103-2 Management The management 4. FOR THE MARKET: “Customer Privacy” 90 Approach 2016 approach and its components 103-3 Evaluation of the management 4. FOR THE MARKET: “Customer Privacy” 91 approach
418-1 Substantiated complaints GRI 418: concerning Customer breaches of 4. FOR THE MARKET: “Customer Privacy” 91 Privacy 2016 customer privacy and losses of customer data SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
109 BOUNDARIES TABLE
II GRI 102-46 II GRI 102-47 II GRI 102-49 II
Most Significant Impacts Boundaries MATERIAL TOPICS In relation to the UN’s Εntities inside or outside the GROUP that Sustainable Development Goals may cause or be connected with impacts
Economic Performance * The FOURLIS Group
* The FOURLIS Group Regulatory Compliance * Official & Supervisory Authorities/State
Human Rights in the Workplace * The FOURLIS Group
Customer Care and Satisfaction * The FOURLIS Group
* The FOURLIS Group * Suppliers / Partners
Product Compliance and Labeling * The FOURLIS Group * Suppliers / Partners * Official & Supervisory Authorities/State
Responsible Product Marketing * The FOURLIS Group and Promotion * Official & Supervisory Authorities/State
*The FOURLIS Group Customer Health and Safety * Official & Supervisory Authorities/State * Partners / Suppliers
Health, Safety and Employee Wellbeing * The FOURLIS Group at Work * Official & Supervisory Authorities / State
*The FOURLIS Group Customer Privacy * Official & Supervisory Authorities / State
Society and Local Communities * The FOURLIS Group Support
SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT REPORT 2016 REPORT DEVELOPMENT AND SUSTAINABLE FOURLIS SOCIAL RESPONSIBILITY
110