SALVATORE FERRAGAMO GROUP 2019 SUSTAINABILITY REPORT
CONSOLIDATED NON-FINANCIAL STATEMENT PURSUANT TO ITALIAN LEGISLATIVE DECREE 254/2016 LETTER FROM THE CHAIRMAN
More than ever before, our society now has to deal with events that threaten the health and safety of both people and ecosystems. As a com- pany, it is our duty to take inspiration from the principles of solidarity and create positive value in our work in order to protect people, safeguard the environment and enhance communities. For our Company, sustainability and strategy are integrated elements, guided by a sense of responsibility. For this reason, in 2019 we updated our Sustainability Plan with a time horizon up until 2022, aligned with the Strategic Plan, in order to promote further integration between strategic targets and sustainability. The 2019 Sustainability Report aims to narrate on a year full of major achievements and key commitments. In 2019, we launched the Sustainable Thinking project, which started with the exhibition at the Museo Salvatore Ferragamo. The project involved the whole Company with contests, work- shops, conferences and collaborations, engaging all of our people and be- coming a real driver for the culture of sustainability. My mother used to say: “The people working in the Company are the lifeblood of our business". This is the vision that drives us to devote great importance to the people who work with us and to constantly im- prove their places of work. This year, we adopted an Inclusion Policy, which formalizes our commitment to promoting and protecting the val- ues of inclusion, equality and diversity. Moreover, in order to achieve the highest standards of ethics and business sustainable development, we have obtained the SA8000 social responsibility certifi cation for the italian perimeter. For us, it’s essential for the culture of sustainability to involve the whole value chain, including the supply chain. This year, we released the Sup- plier Code of Conduct, which makes ethical and sustainability principles the key focus of our relationship with the supply chain. This drives us to work together to reduce impacts and adopt a common vision of how to do business. To demonstrate how important collaboration is when it comes to sustainability, we signed the Fashion Pact with multiple other fashion and textile brands, whose aim is to set practical and concrete targets for re- ducing the environmental impact of our industry. In the coming years, we’ll work to achieve our goals while striving to improve our performance and to create positive partnerships for our industry. The commitment toward environmental protection enshrined in the Fashion Pact comes in addition to the many initiatives we undertake every day to maximize energy effi - ciency and reduce CO2 emissions. These include the ISO 140001 certifi ca- tion which we obtained in 2019 for all our offi ces and stores in Italy and the LEED Platinum certifi cation for the new Logistics Hub. All without neglecting our city: Florence. In 2019, we signed a three-year agreement with the Municipality of Florence to support the restoration of the complex of statues in Piazza della Signoria and Michelangelo’s David in Piazzale Michelangelo, Florence. It also gives me great pride to have signed a three-year partnership with the Fondazione Meyer to support newborn screening activities and the expansion plan for the Meyer hospital in Flor- ence – a model of excellence and source of pride for the city. Every day we work hard, with dedication and enthusiasm, with the aware- ness that our quality not only lies in the master craftsmanship of our products, but also in our ability to manage our business responsibly, with respect for people, the environment and the community.
Ferruccio Ferragamo
Sustainability Report 2019 3 TABLE OF CONTENTS
1 4
RESPONSIBLE PASSION 6 A SHARED HISTORY 46
Commitment Inclusion and equal opportunity Sustainability Plan and SDGs Attracting and developing talent Stakeholders and materiality Wellbeing of people 2 5
SALVATORE FERRAGAMO GROUP 16 CULTURE AND PARTICIPATION 60
Numbers Link with the community and the local territory History and market Museo Salvatore Ferragamo Responsible management Fondazione Ferragamo 3 6
MADE IN ITALY QUALITY 28 PROTECTING THE ENVIRONMENT 80
Tradition and innovation Responsible consumption Suppliers and contract manufacturers Emissions monitoring Customer focus Green initiatives
METHODOLOGY ANNEXES BOUNDARY OF THE GROUP'S MATERIAL ASPECTS GRI CONTENT INDEX AUDITOR'S REPORT
4 RESPONSIBLE PASSION
Commitment Sustainability Plan and SDGs Stakeholders and materiality
“My father also believed in sustainability. Only then, it was called respect”.
Ferruccio Ferragamo
7 RESPONSIBLE PASSION
COMMITMENT THE GROUP'S MILESTONES - 2019
“Since the introduction of the Brand, creativity, innovation, and world- class craftsmanship have always been the core values of the Salvatore Ferragamo Group, guiding the design and production of any creation. FASHION PACT Over the years, the deep connection with the local community and its culture has made the Salvatore Ferragamo Group increasingly aware of SIGNED AT THE G7 IN BIARRITZ TOGETHER WITH MAJOR PLAYERS the need for a strong commitment to protect the places where it oper- FROM THE WORLD OF FASHION AND LUXURY ates and the people that work for the Group, going above and beyond the requirements of domestic and international laws, rules and regulations”.
For the Salvatore Ferragamo Group, investing in sustainable development means respecting the values handed down by the Founder and believing that the use of innovative materials, the connection with the local com- SUSTAINABLE THINKING munity and the respect for the environment and its own people are key to success, not only of the business, but of all stakeholders. EXHIBITION INAUGURATED AT THE MUSEO SALVATORE FERRAGAMO Sustainability is a positive challenge that the Salvatore Ferragamo Group decided to adopt and interpret in favor of future generations, committing to place social responsibility at the center of its decision-making process and pursuing economic growth objectives that also take into account the positive and negative impacts of its operations on society and the environ- SA8000 ment. The commitment to sustainability, intended as a behavioral model to be SOCIAL RESPONSIBILITY CERTIFICATION OBTAINED BY SALVATORE FERRAGAMO followed without compromise, has been structured over the years and draws inspiration from the values that underlie the history of the Salvatore Ferragamo Group: a passion for world-class craftsmanship, creativity and innovation. Understanding and respecting these values translate into ethi- cally correct behaviors, both inside and outside the Group, supporting it in terms of economic growth and credibility. INCLUSION POLICY ADOPTED BY THE SALVATORE FERRAGAMO GROUP
SUPPLIER CODE OF CONDUCT SHARED WITH THE GROUP’S SUPPLIERS OF RAW MATERIALS, PROCESSING SERVICES AND FINISHED GOODS.
ISO 14001 ENVIRONMENTAL MANAGEMENT SYSTEM CERTIFICATION OBTAINED FOR ALL OFFICES AND STORES IN ITALY
8 Sustainability Report 2019 9 The company’s commitment to Report Award” - an event organ- issues with the aim of monitoring guarding natural ecosystems; stimulating the collaboration and the most important social respon- the issue of sustainability culmi- ized by the University of Pavia to the integration of responsible be- - reduce the fashion industry’s innovation necessary to create a sibility projects that the Group has nated in 2019 with the launch of award Italian companies for their haviors in business strategies and negative impacts on the oceans new fashion industry, in line with promoted over the years. Digital the Sustainable Thinking project, non-fi nancial statements. Lastly, supervising the Company’s rela- through practical initiatives such the principles of circular economy. versions of the Sustainability Re- which since April included exhibi- the 2018 Sustainability Report tionships with its stakeholders. as gradually reducing the use of The Salvatore Ferragamo Group’s port, for user-friendly browsing tions and side events involving the was awarded the Special “Social single-use plastics. participation further highlights the on mobile devices, as well as the Museo Salvatore Ferragamo, the Commitment” Prize, awarded by In order to disseminate the Group’s Company’s commitment towards Sustainability Policy are also avail- Company and other local public in- Biblioteca Bilancio Sociale (BBS), guiding principles and commit- Moreover, in light of its commit- the virtuous model of circular able on the website. In 2019, new stitutions. The aim of the project thanks to the initiatives linking Sal- ment, the Sustainability Policy ment in the fi eld of sustainability, economy. content was added to the website was to offer up food for thought vatore Ferragamo to the world of was published in 2017, with the in 2019 Salvatore Ferragamo was with the aim of further engaging on such an important issue for the art, culture, community and the lo- aim of establishing a corporate selected by BlackRock, the larg- In November 2017, the Group users. The sustainability initiatives future and put forward sugges- cal area. culture oriented towards fairness est investment fund in the world, signed the Manifesto for Circular undertaken by the Brand contin- tions for a paradigm shift in the and professionalism, promoting to host the Florence stage of the Economy, which establishes an ue to be promoted on social me- world of fashion, art and architec- At the organizational level, in order honesty, integrity and transpar- Italian roadshow on sustainable in- Alliance aimed at promoting inno- dia: in August 2019, the news of ture. It included an exhibition at the to ensure integrated management ency, encouraging sustainable novation. The event was held at vative and sustainable projects. the Fashion Pact posted on the Museo Salvatore Ferragamo and of sustainability issues, since 2014 development, fostering dialogue the historic Palazzo Feroni, where The Alliance, promoted by Enel Brand’s LinkedIn profi le attracted other prestigious venues in Flor- a cross-functional working group on corporate ethics and increas- the Chairman and CEO spoke and Intesa San Paolo, involves around 90,000 views. ence, such as Palazzo Vecchio, the called Green Team has been set ing stakeholder responsibility. about the Group’s pathway to sus- various “Made in Italy” business- city hall, and the Museo Novecen- up, dedicated to designing and Prepared in accordance with the tainability and the commitment to es from different sectors, recog- to. There were also conferences promoting corporate responsibility principles and rules of the Group’s issues such as environmental pro- nized worldwide. The collaboration and workshops led by artists, de- initiatives. The team, which con- Code of Ethics as well as the Unit- tection, inclusion and link with the aims to develop business models signers and architects. The day sists of people from several cor- ed Nations’ framework concerning territory. based on sharing, extending prod- before the exhibition opened, a porate functions, allows to bring Sustainable Development Goals ucts’ useful life, re-using and using major Symposium was held at the together cross-functional skills (SDGs), the Policy seeks to en- In order to implement the univer- renewable resources. In Novem- Salone dei Cinquecento in Palazzo in order to promote an extensive courage the Group’s governance sal principles of sustainability and ber 2018 the Alliance presented Vecchio, organized by key fi gures development of sustainability. The bodies, employees, and collabo- support the United Nations’ goals, a Position Paper with the aim of on the topic of sustainability. This main responsibility of the Green rators to share ideas and recom- in December 2018, the Salvatore bringing the issue of the circular was a unique opportunity to know Team is improving the quality of mendations to implement sustain- Ferragamo Group joined the Unit- economy at the very heart of the what the word sustainability really the workplace and the internal ability in day-to-day activities. ed Nations Global Compact, the political agenda and of making means, how companies’ business and external impact of the Com- world’s largest corporate sustain- proposals that can set the basis models are changing, and where pany’s operations, as well as fa- Over the years, the Company’s ability initiative. The United Na- for discussion in developing an we are with research to improve cilitating a direct relationship with commitment in the fi eld of sustain- tions Global Compact provides a Italian approach to this issue. our environment. the local community in all its envi- ability has been characterized by universal language for social re- ronmental and human facets. The its membership to associations sponsibility and a framework for Furthermore, since 2011 the Sal- To be transparent about its opera- particular structure of the Green and networks with a view to shar- businesses of all sizes, complexity vatore Ferragamo Group has tions, the Group has committed to Team enables the development of ing experiences and best practices. and location. In addition, this initia- been a member of the Sustain- reporting on its corporate social sustainability initiatives within the tive supports companies in work- ability Roundtable sponsored by responsibility initiatives. Salvatore fi eld of materials research and de- In August 2019, Salvatore Fer- ing responsibly and making strate- the Italian Chamber of Fashion, Ferragamo has been preparing a velopment, communication, pack- ragamo subscribed to the Fash- gic decisions to promote broader which aims to fi nd an Italian way Sustainability Report since 2014, aging, information systems, logis- ion Pact, which brought together social goals. to making fashion responsible and according to international guide- tics, operations, environment and 250 fashion and textile brands sustainable as well as encourage lines and with a view to present- safety, community & charity, pur- to set out practical and concrete In December 2018, the Salvatore the adoption of responsible busi- ing the projects pursued by the chasing of raw materials, human targets for reducing the environ- Ferragamo Group took part in the ness models throughout the fash- Group in terms of corporate so- resources, mobility, store planning mental impact of this important Make Fashion Circular initiative ion industry’s value chain. cial responsibility. The Sustainabil- and merchandising. In 2019, the industry. The targets of the Fash- promoted by the Ellen MacArthur ity Report has received multiple e-commerce and IT departments, ion Pact are based on those of Foundation. Established in 2010 In order to help people connect awards over the years: in 2016, it as well as a representative from the Science Based Target (SBT) with the aim of speeding up the with the Ferragamo world and won “Identity and Vision” Special Ferragamo Parfums SpA, became initiative. In particular, they are transition towards circular econo- strengthen the bond between Mention from Biblioteca Bilancio part of the Green Team, in order to aimed at revising production pro- my the Ellen MacArthur Founda- stakeholders and the Brand, the Sociale (BBS) and the Business promote sustainability projects re- cesses and reducing the impacts tion has brought circularity on the Group has adopted a strategy International Finance Award in the lated to the world of fragrances in of the industry, focusing on three agenda of the most important de- that connects the online and category “Financial Statements, line with the Brand’s creative spir- key areas: cision makers of companies, gov- offl ine worlds also with respect Integrated Reporting, and Finan- it. Since 2016, the Internal Control - stop global warming by creat- ernments and universities, extend- to sustainability-related issues. In cial Communication”. The 2018 and Risks Committee, as part of ing and implementing actions to ing the principles of circularity also 2016, the Salvatore Ferragamo Sustainability Report was a fi nal- its supporting role for the Board achieve the goal of zero green- to the fashion industry. Indeed, the Group launched on its website a ist in the medium-large company of Directors, has been responsi- house gas emissions by 2050; Make Fashion Circular initiative section entirely dedicated to cor- category for the “Sustainability ble for overseeing sustainability - restore biodiversity by safe- was established with the aim of porate responsibility, highlighting
10 Sustainability Report 2019 11 SUSTAINABILITY PLAN AND SDGs
As from 2016, the Salvatore Fer- development. The Sustainability - promoting Company Welfare ini- ragamo Group launched a proce- Plan is shared with top manage- tiatives and strengthening internal dure for defi ning its sustainability ment and the Internal Control and communication; goals, starting from the analysis Risks Committee and is updated - monitoring the supply chain and of the United Nations’ Sustain- annually. It aims to create a shared collaborating with suppliers for the able Development Goals (SDGs) vision of the direction taken at development of shared projects; and translating them into concrete Group-level and to promote a - constantly improving energy and Good health Quality education Renewable energy actions to be developed in-house. culture of sustainability that re- environmental effi ciency; In line with its own Charity Policy, The Group, in collaboration with The Group is committed to pro- This process drew to a close with spects, protects and promotes - reducing the use of resources in the Group is committed to pro- the Fondazione Ferragamo, is tecting and safeguarding the en- the identifi cation of the main goals excellence. The document identi- production and consumption pro- moting and supporting initiatives committed to investing in the edu- vironment through continuous im- to be pursued in its operations and fi es the main goals to be achieved cesses; aimed at protecting the health of cation and training of those who provement of energy effi ciency in with the adoption, in 2017, of the in connection with strategy and - monitoring chemical substances women and children. intend to work in the fashion and its consumption and by promoting design world and in the highest the use of renewable sources. fi rst Group’s Sustainability Plan. governance, people and principles, inside raw materials and fi nished and most artistic forms of Italian environmental protection, culture products; craftsmanship, in line with the styli- After signing the Fashion Pact, and participation, and identifi es - promoting and using sustainable stic values and canons expressed in 2019 the Group reinforced its specifi c initiatives to be imple- materials and by-products; in the work of its Founder. commitment in the fi eld of environ- mented over three years, aimed at - leveraging the Company’s know- mental protection by integrating achieving the following goals: how and heritage in the context three additional UN Sustainable - embedding sustainability into of craftsmanship and Made in Development Goals (SDGs) into business strategies and making Italy products as well as promot- the Sustainability Plan: Climate ac- the relationships with internal and ing relevant training opportunities tion, Life below water and Life on external stakeholders more trans- (initiatives promoted by the Museo land. parent; Salvatore Ferragamo and the Fon- - increasing the frequency of inter- dazione Ferragamo); The Sustainability Plan was updat- nal communication on sustainabil- - planning and implementing chari- ed in 2019 with a time horizon up ity-related issues and promoting table initiatives aimed at protect- Decent work and economic Sustainable cities and Responsible consumption until 2022, aligned with the Strate- initiatives to engage stakeholders; ing the health of women and chil- growth communities gic Plan, in order to promote fur- - promoting the Group’s sustain- dren as well as promoting Italian The Group focuses its commit- The Group is committed to direc- The Group is committed to gua- ther integration between strategic ability strategy externally; culture around the world. ment on encouraging and enhan- ting signifi cant attention and re- ranteeing responsible manage- targets and sustainability. It also - enhancing human capital at cing people's professional de- sources to artistic and cultural ini- ment in its processes to produce suggests the mapping of targets Group level; velopment, while respecting the tiatives, in order to ensure a more and consume resources, raw ma- as they are achieved, while inte- - continuing to focus on occupa- community historical values, in or- responsible management of urban terials and packaging materials, grating new challenges for future tional health; der to encourage innovation and reality and promote culture in all investing in quality in order to re- creativity, while also ensuring the its forms and expressions. duce environmental impact and healthiness of workplaces. extend the life cycle of its pro- ducts, and reporting on its busi- ness on the basis of the principle of transparency.
Climate action Life below water Life on land With a view to combating climate The Group is committed to protec- In order to restore biodiversity, the change, the Group is committed to ting the oceans, seas and marine Group is committed to implemen- protecting and safeguarding the resources through concrete initia- ting meaningful actions to protect environment through strategies tives such as reducing the use of species and promote a sustainable and initiatives intended to minimi- single-use plastic. use of the terrestrial ecosystem. ze the environmental impact of its operations.
12 Sustainability Report 2019 13 SALVATORE FERRAGAMO GROUP'S STAKEHOLDERS' MAP SALVATORE FERRAGAMO GROUP'S MATERIALITY ANALYSIS
Quality and Made in Italy
Brand image TRADE and reputation ASSOCIATIONS Diversity, equal opportunity and non-discrimination Omnichannel experience and customer satisfaction Health and safety
Operating and Security and protection Anti-corruption MEDIA AND INFLUENCERS FINAL CUSTOMERS financial performance SHAREHOLDERS of clients’ data Respect for human rights
Responsible use of chemical products SUPPLIERS AND CONTRACT MANUFACTURERS Culture of sustainability, governance and ethical business Attraction, development INVESTORS and employees’ welfare Commitment towards art, culture and community Environmental responsibility Circular economy and responsible innovation
NGOs Relevance for Stakeholder
Animal Welfare Responsible sourcing practices Responsible consumption EMPLOYEES DISTRIBUTORS
Relevant Very Relevant LEGENDA Greenhouse gas emissions Governance, Compliance, and Anti-corruption
Sustainable packaging Responsibility towards people SCHOOLS AND UNIVERSITIES LOCAL COMMUNITIES Social responsibility Environmental responsibility
Relevant Very Relevant
REGULATORY AND GOVERNMENTAL Relevance for the Salvatore Ferragamo Group BODIES AND PUBLIC ADMINISTRATION
STAKEHOLDERS AND MATERIALITY
The numerous aspects of the sus- following have been identifi ed as Green Team and top management, scores, those issues which, for portance of issues such as: Qual- have also seen the involvement of tainability path undertaken by the internal stakeholders: employees, the Group updated the materiality their signifi cance and relevance, ity and Made in Italy, Respect for important universities, Store Man- Salvatore Ferragamo Group are shareholders, investors, distribu- analysis in 2016 and, subsequent- should be included in the Non- Human Rights, Health and Safety, agers and Assistant Store Manag- based on an approach focused tors, suppliers and contract man- ly, in 2018, in accordance with the Financial Statement. This survey Environmental Responsibility and ers of European boutiques and of on transparency, integrity and ufacturers. The following have Guidelines of the Global Reporting was submitted to the Green Team, Sustainability Culture, Governance younger Group employees. reliability, with the aim of engag- been identifi ed as external stake- Initiative (GRI STANDARDS) as the Group’s Regional Directors and Business Ethics. The key aspects being reported ing stakeholders in the economic, holders: fi nal customers, schools well as the AA1000 Stakeholder and the CEO of the Ferragamo This activity was carried out in ad- on in this document have been social and environmental goals of and universities, regulatory and Engagement Standard Guidelines Parfums. The outcome of the dition to the stakeholder engage- identifi ed in the materiality analysis its business. The Group does not governmental bodies and the for identifying, mapping and defi n- analysis is refl ected in the mate- ment initiative organized by the described above and confi rmed in simply promote social responsibil- public administration, local com- ing stakeholders’ expectations as riality matrix. In order to identify Group in 2018 with all suppliers in- 2019, following an analysis of the ity initiatives, but recognizes the munities, non-governmental or- well as for processing the results the needs and expectations of its volved in the Rainbow Future shoe trends and scenario, both in Italy value of sustainability as part of ganizations (NGOs), media and in- of their engagement and prioritiz- stakeholders, in 2019 the Com- value chain, in order to identify the and globally. its corporate strategy and puts fl uencers, and trade associations. ing them. The materiality analysis pany also held two workshops most relevant sustainability issues forward innovative proposals for The Group’s internal and external was updated on the basis of the involving the main contract manu- from their point of view as Group its stakeholders. stakeholders have not changed inputs by the Green Team and the facturers of the fi nished product. stakeholders. In 2018, the Group The Salvatore Ferragamo Group from those indicated in the 2018 Group’s top management, as well The aim was to delve deeper into also launched a digital platform to has identifi ed and selected its Sustainability Report. as by engaging different catego- the principles set out in the Sup- be used by corporate employees stakeholders on the basis of the ries of stakeholders, both internal plier Code of Conduct adopted in of Salvatore Ferragamo S.p.A. and awareness of its social role and The Salvatore Ferragamo Group’s and external to the Group, called 2018. Thanks to a digital and inter- the Group’s American and Europe- deep connection with the local materiality analysis refl ects both upon to express their opinion in active approach, more than 100 an employees to explore present community, which is necessarily the issues that are material for the the process of defi ning, assessing participants were able to provide and future projects, results and related to its operations, for the Group and the concerns and ex- and prioritizing material issues. information about the relevance goals in the fi eld of social respon- purposes of understanding their pectations of its stakeholders. Af- To this end, a survey has been of certain sustainability issues for sibility and to express their opin- expectations and translating them ter conducting it for the fi rst time in prepared with the aim of identi- their business and for the Group. ions on the latter. Over the years, into actionable objectives. The 2014 with the participation of the fying, through the assignment of The results reaffi rmed the key im- stakeholder engagement activities
14 Sustainability Report 2019 15 SALVATORE FERRAGAMO GROUP
Numbers History and market Responsible management
“Long before climate change set off a global push for sustainability in fashion, one Italian shoemaker was years ahead of the curve".
T Magazine Singapore
16 17 SALVATORE FERRAGAMO GROUP
NUMBERS THE GROUP’S MILESTONES - 2019
The Salvatore Ferragamo Group, which has always been a byword for top quality and Made in Italy products, is one of the main players in the luxury industry and its origins date back to 1927. The Group is mainly ≈ 90 active in the creation, production and sale of footwear, leather goods, ap- parel, silk products, and other accessories, as well as fragrances for men COUNTRIES WHERE IT OPERATES and women. In addition, the product range includes eyewear and watches manufactured under license by third parties in Italy and abroad, with the aim of taking advantage of local traditions. The Salvatore Ferragamo Group includes Salvatore Ferragamo S.p.A. as the Parent Company and the subsidiaries1, consolidated on a line by line basis, in which the Parent Company holds, directly or indirectly, the OVER 650 majority stakes and over which it exercises control. The subsidiaries are STORES WORLDWIDE grouped into fi ve geographic areas: Europe, North America, Central and South America, Asia Pacifi c and Japan. The Group works constantly to consolidate and increase over time the value of the brand and maintain high quality standards for the products and distribution processes through investments in research, product inno- vation, IT and business support. OVER 4,200 EMPLOYEES WORLDWIDE
1,377.3 MILLION EURO IN REVENUES
335.5 MILLION EURO IN EBITDA
87.3 MILLION EURO IN NET PROFIT ATTRIBUTABLE TO THE GROUP
1 For more information on the Group companies, please refer to the Salvatore Ferragamo Group's Annual Report at 31 December 2019, which is available at the following link: group.ferragamo.com/it/investor-relations/documenti-fi nanziari
18 Sustainability Report 2019 19 HISTORY AND MARKET
18981923 1927 1936 1938 1947
Salvatore Ferragamo born in Bonito in After joining his siblings in America, The Salvatore Ferragamo Italia set up, Salvatore Ferragamo transfers the Salvatore Ferragamo makes the famous In Dallas Salvatore Ferragamo receives the province of Avellino. Salvatore Ferragamo opens the producing women’s shoes. Opens the shoe laboratory to Palazzo Spini Rainbow model for Judy Garland, the the Neiman Marcus Prize for his Hollywood Boot Shop marking the fi rst laboratory in Florence. Feroni, which he then bought in 1938 year after inventing the patent for the "Invisibile" sandal. start of his career as "shoemaker to and is still the registered offi ce of the cork wedge heel. the stars". Group.
1950s 1960s 1970s 1978 1986 1990
The women’s leatherwear and After the death of the Founder, his wife Launch of the fi rst men’s Ready-to-Wear Creation of Vara, one of the most Opening of the fi rst DOS in Asia (Hong Creation of the bag with the famous Ready-to-Wear lines are created. Wanda takes charge at the Company. collections, men’s footwear, silk and famous shoes by Salvatore Kong) and entry into the Asian market. Gancini decorative symbol. The success is now international and In 1965 the production of bags starts. accessories. Ferragamo. the store in Florence is visited by celebrities such as Audrey Hepburn and the Dukes of Windsor.
1995 1998 2003 2006 2011 2019
Inauguration of the Museo Salvatore Launch of the Salvatore Ferragamo Realization of the fi rst Salvatore Start of the Ferragamo's Creations Salvatore Ferragamo S.p.A. listed on Appointment of Paul Andrew as Salvatore Ferragamo at Palazzo Spini Feroni, Fragrances and Eyewear lines. Ferragamo watches. collection, a limited production run of the Mercato Telematico Azionario Ferragamo's Creative Director. dedicated to shoes and the Company’s some of the most famous shoes made (screen-based stock exchange) organized history. by Salvatore. and managed by Borsa Italiana S.p.A.
20 Sustainability Report 2019 21 JAPAN No. OF STORES 67 NORTH AMERICA EUROPE No. OF STORES 99 No. OF STORES 162 ASIA PACIFIC No. OF STORES 264
CENTRAL AND SOUTH AMERICA No. OF STORES 62
Considering the whole distribution Ferragamo’s Creations, featuring selection of artisan workshops, structure, the Ferragamo Group some of the Brand’s iconic foot- restaurants and innovative stores is present in about 90 countries wear models inspired by the ge- in New York, Milan, London, Paris across the world. nius of its Founder. Additionally, in and Shanghai. At 31 December 2019 the Group’s October 2019, the Salvatore Fer- distribution network, consisting of ragamo Uomo store reopened in a total of 654 stores, could rely Rome. For the reopening, a kalei- on 393 directly operated stores doscopic digital work was created (DOS) and 261 single-brand third- by artist James Dawe, who exclu- party operated stores (TPOS) in sively signed a series of video in- the Wholesale and Travel Retail stallations featuring photographic channel, as well as on its presence fragments of the eternal city and in leading Department Stores symbols of the Ferragamo world. and top-level multi-brand Specialty Furthermore, in 2019 a series of Stores. initiatives were also presented In 2019, the Group’s distribu- in store with international part- tion network underwent multiple ners for the launch of the Gancini renovations and saw some new Monogram project. To celebrate openings: in April 2019, Salvatore the collection, starting in January Ferragamo opened in Portofi no with the Gancini pop-up store in - following those in Florence and Tokyo Omotesando, various pop- Capri - its third store in the world up stores were opened around exclusively dedicated to the line the world in collaboration with a
22 Sustainability Report 2019 23 RESPONSIBLE MANAGEMENT
Salvatore Ferragamo S.p.A.’s interaction with all stakeholders. company’s impact on climate and, The Group’s Code of Ethics, which legal entities. The latest version of text of the Group’s Compliance Corporate Governance system in turn, the impact of climate on was updated in 2016, outlines the the Model was approved by the risk, the Group is strongly com- complies with the principles of the Concerning risks, the Salvatore the company. Other factors in- standards of ethics and conduct, Board of Directors in March 2017 mitted to fi ghting corruption and Corporate Governance Code for Ferragamo Group adopts an En- clude the failure to adopt new, including the protection of employ- and adopted by the subsidiary bribery. The same applies to em- listed Companies issued by Borsa terprise Risk Management (ERM) more innovative and environmen- ees’ health and safety, the environ- Ferragamo Parfums S.p.A. after ployee-related matters and the re- Italiana S.p.A. The main corporate model designed to support top tally-friendly technologies, the dis- ment and Made in Italy products, making the necessary changes. spect for human rights: the Group governance body is the Board of management in identifying the semination of information or news the social value of the company, The aim is to prevent persons in considers its human capital to be Directors, which has the primary main business risks and the ways and possible breaches relating to and the centrality of human re- top positions, or persons subject crucial, and is committed to maxi- responsibility for determining and in which they are managed, as the production chain (e.g. green- sources. On one hand, the Group to their management or supervi- mizing people’s potential at each pursuing the strategic objectives well as organizing the system for house gas emission management) encourages everyone to sponta- sion, from committing in the inter- step of the production chain while of the Company and of the Group. their monitoring and treatment. which, albeit entrusted to out- neously share, comply with, and est or for the benefi t of the Com- constantly monitoring risk factors. The current Board of Directors The system adopted deals with sourced workers, may have an in- disseminate the Code of Ethics; pany the offenses set out in the was appointed by the Sharehold- the following aspects: updating direct impact on the Brand. on the other, it requires everyone Decree. The Group has set up a In order to mitigate the probability ers’ Meeting of 20 April 2018 of risk mapping, identifi cation and • Operating risks connected to operating on behalf of the Salva- Supervisory Body with independ- and impact of the occurrence of based on the single list submitted assessment of the risks and con- typical processes, which include tore Ferragamo Group or coming ent powers of initiative and con- such risks, the Group implements by the majority shareholder Fer- trols adopted to mitigate them both external risks, such as those into contact with the Group to trol, which is responsible for su- numerous measures relating to the ragamo Finanziaria S.p.A., except and defi nition of suitable monitor- relating to the infringement of in- abide by and apply the Code, also pervising the implementation of, enhancement of the local commu- for the Director Micaela le Divelec ing and management strategies. tellectual property rights, and in- envisaging the application of disci- and compliance with, the Model nity, responsible communication Lemmi, who was co-opted by the Moreover, in 2019, in line with the ternal risks related to the organi- plinary and contractual sanctions as well as constantly updating it. and marketing, respect for human Board of Directors on 31 July European Commission’s recom- zational structure, processes and in the case of violation. During To raise awareness with respect rights in the supply chain and the 2018, pursuant to art. 2386 of the mendations (Guidelines on report- systems adopted by the Group. 2018, the Anti-corruption Policy, to the Model and its guiding prin- promotion of integrity and ethics in Italian Civil Code, and will remain ing climate-related information) The main impacts in terms of sus- which had already been adopt- ciples, the Parent Company regu- business. In particular, the Group in the position until approval of under the Sustainable Finance Ac- tainability are mainly connected to ed by the Parent company, was larly offers training sessions for all has a specifi c assessment proce- the separate fi nancial statements tion Plan, the Group embarked on safety and customer satisfaction, adopted by all the subsidiaries employees. Salvatore Ferragamo dure for contract manufacturers as at 31 December 2020. The a path to integrate climate-related including product quality, health, through approval by the individual decided to formalize its care and and suppliers of raw materials and Board of Directors has also set up risk factors into its risk mapping. safety and quality of workers’ pro- Boards, its translation into local attention for its own people in fi nished products, and carries out three board committees provid- This activity included an analysis fessional life and the value chain. languages and dissemination to all its Company Regulation that set audits on the production chain. In ing advisory services and making of both the organization’s impacts • Financial risks, in other words staff. In line with best practices out the principles underlying the 2019, the Group disseminated its proposals: the Nomination and Re- on climate and the climate’s im- those risks impacting directly on and in accordance with the most employment relationship, as well own Supplier Code of Conduct, muneration Committee, the Brand pacts on the Group’s value chain, the economic result and on the val- restrictive regulations applied at a as the main rights of Ferragamo which it adopted in 2018, to sup- and Product Strategic Committee, so as to determine how physical ue of the Company’s assets. The global level, this Policy formalizes employees. pliers of raw materials, processing and the Internal Control and Risks and interim climate change risks impacts in terms of sustainability our strong commitment to fi ghting services and fi nished products. Committee. are integrated and mitigated with- are connected to the economic corruption, rejecting it in any con- With particular reference to social Drawn up with a view to integrat- in the Group’s ERM system. The and fi nancial performance and to text or form. Indeed, it sets out topics, the Group monitors the ing social responsibility and collab- Following the amendments to the process made it possible to in- the systems adopted for the relia- the principles, rules of conduct, risks associated with the supply orating with its own supply chain, Italian Corporate Governance crease the level of awareness, un- bility, timeliness and completeness and controls to be implemented chain, the local community, and the Supplier Code of Conduct sets Code for listed companies, the derstanding and monitoring of cli- of fi nancial reporting, as well as to to prevent all possible incidents of occupational health and safety is- out ethical principles and rules of Board of Directors of Salvatore mate-related risks and opportuni- the involvement and transparency corruption. The Group believes it sues. It constantly monitors and conduct, which supplement the Ferragamo S.p.A. resolved to as- ties. The macro-categories of risk of information towards stakehold- is essential to tackle any behavior regularly evaluates the adequacy legal, regulatory and procedural sign the following powers to the and the main impacts in terms of ers and the market in general. that is at odds with the values and of the procurement model and standards that underpin commer- Group’s Internal Control and Risks sustainability are described below: • Internal and external compliance principles laid down in its Code of the supply chain as well as compli- cial relations with the supply chain. Committee: • market and strategic risks, in risks connected to the failure to Ethics or that breaches legisla- ance with Made in Italy labeling re- The rules and standards of con- • support, with suitable inquiries, other words internal and external comply with laws and regulations tion. To cement this, an e-learning quirements and OSH regulations duct concern business ethics and the assessments and decisions risks relating to the general and/or to which the Salvatore Ferragamo course was provided in 2019 to all in terms of impact and probability integrity, labor and human rights, of the Board of Directors relating specifi c macroeconomic trends in Group is subject. With respect to Group employees. of occurrence. On the other hand, respect for ecosystems and prod- to the management of risks deriv- the markets where the Group op- sustainability, the following con- with reference to environmental uct responsibility. ing from unfavorable events and erates. As part of this category, trols should be mentioned: the In addition, the Parent Company risks, the Group constantly com- facts which the Board has be- the main impacts in terms of sus- adoption of a Code of Ethics, the has adopted an OHSAS 18001 plies with environmental laws and Failure to comply with the Code come aware of, including the risks tainability are connected to inter- implementation of an Anti-Cor- Occupational Health and Safety the risks which stem from the ac- of Ethics and internal procedures, which may be relevant in terms nal and external events that could ruption Policy, the adoption of an Management System for all the tivities, products or services over including the 231 Model and the of sustainability (e.g. reputational impact on the Brand’s image and Organization, Management and Company’s offi ces and stores in which the organization has the Anti-Corruption Policy, as well as risks and risks connected with cli- reputation. Risk factors include, Control Model pursuant to Italian Italy. The Salvatore Ferragamo power of direct control, for exam- applicable laws and regulations, mate change) in the medium/long- for example, the product’s appeal Legislative Decree 231/2001, and Group has also adopted an Organ- ple concerning emissions released may be reported through dedicat- term for the Company’s business; to customers in terms of its trans- the creation and dissemination of ization, Management and Control into the atmosphere, energy and ed channels, including the whistle- • supervise sustainability issues parency and sustainability and the a Supplier Code of Conduct. Model pursuant to Italian Legisla- water consumption, or over which blowing system, which covers the connected to the business un- failure to move to a lower carbon tive Decree 231/2001 that gov- the organization has only the pow- entire Group. All employees can dertaken by the Company and its economy, as it would increase the erns the administrative liability of er of infl uence. In the broader con- use this tool to submit a report,
24 Sustainability Report 2019 25 either anonymously or not, with the In 2019, Salvatore Ferragamo ob- vent children from being exposed utmost confi dentiality and privacy. tained the SA8000:2014 certifi ca- to situations that may be risky or An Ethics Committee is in charge tion for its management system in harmful for their development and of evaluating the reports received, the area of social responsibility. A physical and mental health. Last- of carrying out all necessary in- committee, called the Social Per- ly, further confi rming the Group’s vestigations to establish whether formance Team (SPT), was set up; key focus on its human capital the report is well-founded and of it is composed of a balanced num- and in line with the Code of Eth- taking the measures deemed nec- ber of representatives of workers ics, in 2019 an Inclusion Policy essary. Since 2018, the Group has and management and it oversees was adopted which enshrines the adopted Whistleblowing Policy to the implementation and correct Group’s commitment to promoting regulate how to send and handle application of SA8000 standard. and protecting inclusion values in reports of breaches of the Code In addition, in line with the Group’s all its business activities. of Ethics, laws or any other pro- Code of Ethics, Salvatore Ferrag- cedure within the Group, in line amo adopted the SA8000 policy with best practices and the recent to further confi rm the Company’s law 179/2017, which introduced commitment to achieving the high- whistleblowing for the private sec- est ethical and sustainable busi- tor in Italy. This policy has been ness development standards, up- provided to all recipients (employ- holding and implementing the prin- ees, social bodies and collabo- ciples of SA8000 in its corporate rators working on behalf of the activities, in line with applicable Group), while appropriate instruc- legal provisions and main interna- tions have been disseminated to tional conventions on human rights all subsidiaries to spread aware- and workers’ rights. Also in 2019, ness of the policy. Additionally, in the Company adopted the Policy 2019 a specifi c e-learning course for combating child labour, which on the whistleblowing system was aims to formalize the company’s provided to all Group employees. commitment in this area and pre-
MEMBERS OF THE BOARD OF DIRECTORS OF THE PARENT COMPANY - 31 DECEMBER 2019
30 - 50 > 50 Tot Men Women Men Women Men Women
MEMBERS OF THE BOARD OF DIRECTORS 15%15% 47% 23% 62% 38%
• OF WHICH EXECUTIVE 25% 40%
• OF WHICH INDEPENDENT 25% 40%
26 27 MADE IN ITALY QUALITY
Tradition and innovation Suppliers and contract manufacturers Customer focus
“Welcome to the circular economy: also in this Salvatore Ferragamo was a pioneer".
Io Donna
28 29 MADE IN ITALY QUALITY
TRADITION AND INNOVATION THE GROUP'S MILESTONES - 2019
Salvatore Ferragamo was a pioneer in exporting Made in Italy quality. Since 1927 Italian craftsmanship has been an essential value at the basis of every creation of the Brand: it is not just a question of manual skills, OVER 90% but also of experience, utmost care and attention to detail, continuous research into materials and technologies, to be incorporated into a hand- ITALIAN RAW MATERIAL SUPPLIERS crafted and at the same time innovative product, in line with the Founder’s creative principles. Relentlessly pursuing innovation is a key value for the Group, rooted in Salvatore Ferragamo’s legendary creative talent. The Patent Archive of the Founder has over 350 patents and trademarks, which at the beginning of the 21st century were collected in the patent fund of the State Central Archive, thus encompassing a technical and ≈ 50% scientifi c knowhow of inestimable value. The Founder’s restless creativity FINISHED PRODUCT CONTRACT MANUFACTURERS IN TUSCANY is refl ected in the massive amount of ideas he patented over the years, such as the shell-shaped sole, the wedge, the sculpted heel, the invisible upper, the cage heel, and the metal sole. The Archive is still today a source of innovation and inspiration for the new generations of creative talents.
Passion for materials accompanied Salvatore Ferragamo’s work right OVER 280,000 from his early days in the United States in the 1920s. The material, in the COUNTERFEIT PRODUCTS SEIZED BY CUSTOMS OFFICIALS same way as the form and craftsmanship on which the beauty, comfort and durability of a shoe depend, was valorized by Salvatore Ferragamo in every model, so as to leave the material’s qualities unchanged and, at the same time, to adapt it to the functionality of the shoe. This interest and continuous experimentation was not only for leather and embroidered uppers, the heirs of a centuries-long tradition of Italian craftsmanship, but OVER 350 also for poorer materials which had never been used for shoes in Fer- ragamo’s time: paper, bark, raffi a, hemp, fi sh skin and cellophane. PATENTS AND TRADEMARKS
SUPPLIER CODE OF CONDUCT SHARED WITH THE GROUP’S SUPPLIERS OF RAW MATERIALS, PROCESSING SERVICES, AND FINISHED GOODS
SPECIAL SUSTAINABILITY AWARD CONFERRED TO THE RAINBOW FUTURE BY BORN AWARDS
30 Sustainability Report 2019 31 Many of the Founder’s most fa- in several conferences and acad- cultivated in Italy. The fi lling of the In 2019, the Rainbow Future san- techniques, the model was born tore Ferragamo has called on the mous creations are products emies set up to stimulate a con- sole in cork is developed in Sardin- dal, which was presented in a from the legendary Rainbow san- support of Treedom, a Florence- of his time and clearly show he versation on sustainability among ia and the footbed insole is 100% limited edition in the Ferragamo’s dal, one of Salvatore Ferragamo’s based company which promotes was sensitive to the economic Italian and international fashion made from organic fi bers such as Creation collection, obtained the iconic creations, made in suede in the implementation of agri-forest and manufacturing changes that leaders. Salvatore Ferragamo also corn, kenaf and wool, without any “Special Sustainability” prize at 1938 for the actress Judy Gar- projects and CO2 offsetting. Tree- swept Italy in the 20th century. To participates in the Make Fashion chemical binding agents. The lin- the Born Awards 2019 - Italy. Or- land. Rainbow Future features a dom has planted 100 orange trees strengthen the sole of his shoes Circular Initiative promoted by the ings are fi nished with water and ganized by BORN, the digital plat- hand-fi nished wedge in real wood, in the countryside around Cata- during the autarky of the 1930s, Ellen MacArthur Foundation with not with solvent. The ribbon, which form that brings together and sup- handcrafted in organic crocheted nia, in the context of sustainable Salvatore Ferragamo had the bril- the aim of engaging companies on is the connecting element in the ports the creativity of the best Ital- cotton (certifi ed in accordance production of high-quality prod- liant idea of using cork and thus the circular economy issue in the collection, is in woven fabric, yarn- ian and international companies, in with the strict environmental and ucts by means of environmentally created the wedge, one of the world of fashion starting from the dyed with a system which enables partnership with Land Rover, each social GOTS – Global Organic friendly processes. A code on the fashion industry’s most revolution- design phases. a reduction in the consumption year the BORN Awards recognize Textile Standards), with lining in accompanying certifi cate fi rmly ary and enduring innovations. The of water, fossil fuel and chemical creative intelligence in six catego- leather fi nished with no carbon ties each tree to a pair of Rainbow change in vision, caused by unfa- With a view to celebrating the link products. The ribbon is made with ries: architecture, interiors, sport, dioxide emission or water con- Future sandals: a precious, sym- vorable circumstances, becomes between the tradition of Made in a yarn obtained from an exclusive fashion, mobility and technology. sumption (Layertech technology). bolic gift by Salvatore Ferragamo for the true creative designer a Italy and the Brand’s commitment hi-tech polymer, which, thanks to a The Rainbow Future sandal cele- Rainbow Future has obtained the to the customers who buy them. powerful stimulus to refi ne re- to sustainable development, in mechanical and not chemical pro- brates the link between the Made ISO 14067 certifi cation, by virtue search and to fi nd alternative solu- 2019, the 42 DEGREES capsule cess, transforms 100% of plastic in Italy tradition and the Brand’s of which it was possible to quan- tions which maintain the key goals collection was presented, con- bottles, saving water and energy commitment to sustainability. The tify the emissions produced by of fashion, that are glamour and ceived by two young designers and with lower CO2 emissions model, inspired by the principles the manufacturing process and to innovation. This is the lesson that from Salvatore Ferragamo, Flavia compared to a standard polyester. of sustainability, was presented in offset them through reforestation Ferragamo left us with his work: Corridori and Luciano Dimotta. The backpack is made with the a limited edition of 100 pairs. Made projects, thus making the sandal any material, even the most mod- The capsule is the result of an in- same material. The capsule collec- with responsible materials and carbon neutral. To this end, Salva- est and apparently unsuitable for house competition, which saw the tion was launched in stores in April a luxury business, can be brilliantly participation of the young design- 2019, at the same time as the and creatively adapted when the ers from Salvatore Ferragamo, inauguration of the “Sustainable ideas, which are linked to the ma- who followed the following brief: Thinking” exhibition at the Museo terials, are driven by limitless tech- “create accessories with sustain- Salvatore Ferragamo. nical and innovative ability. Follow- able materials that are in keeping The launch of the in-house con- ing the death of his Founder, the with the Brand’s iconic style”. The test was also the opportunity to Group has consolidated the tradi- result was judged by an interna- provide further training on the sus- tion of experimenting with sustain- tional jury of experts, journalists tainable materials now on the mar- able and alternative materials by and infl uencers. The capsule, con- ket to a broad audience of stylists setting up a dedicated function, sisting of two sneakers for men and product area managers. with the aim to constantly updat- and women, a backpack and a ing what is used. shopping bag, was inspired by the In 2019, again during the Sus- iconic “Rainbow” sandal, a model tainable Thinking exhibition, Fer- The Group has always interacted from 1938, which uses the colors ragamo’s Creations, the line cre- with realities committed to re- of the rainbow. In fact, the collec- ated in 2006 to reintroduce the search and experimentation and tion is named after the 42nd de- most innovative and important acknowledges the importance of gree: the height of the sun that models created by Salvatore Fer- raising the awareness of its crea- makes this extraordinary optical ragamo throughout his artistic ca- tive teams with respect to the phenomenon visible. All the com- reer, launched fi ve women’s mod- use of sustainable, innovative and ponents of the collection are made els which faithfully reproduce the high-quality materials. For this rea- of Italian materials and are manu- originals created by Salvatore Fer- son, in 2019 a seminar was organ- factured by companies that oper- ragamo from the 1930s to the 50s ised for the style, production and ate in Italy and have been present and which are now in the Brand material research teams, entitled on the market for years, combining archive. From the cork heel to the “Metal free: eco-toxicological and tradition and innovation and ensur- felt, from the cellophane to the media aspects”, given by Profes- ing a transparent and traceable raffi a, to the patchwork uppers, sor Gustavo Defeo, one of the supply chain. The leather used for the models in this capsule bear world’s leading experts in tanning the bags and sneakers was ex- witness to the creativity of Sal- chemistry. During the seminar, the clusively developed for Salvatore vatore Ferragamo: materials and results of his research on the en- Ferragamo with wet-white chrome techniques which at the time re- vironmental impact of tanning and and metal-free tanning. For the fl ected the creative expression of the consequences of using spe- sneakers, the soles contain a high that period of history and now em- cifi c metals were set out. In 2019, percentage of natural rubber, dyed brace the world of sustainability. the Company actively participated with colors obtained from plants
32 Sustainability Report 2019 33 SUPPLIERS AND CONTRACT MANUFACTURERS2
protection agreement. The Group goods, ready to wear, PVC shoes, direct relationships with the Com- recognizes the importance of and rubber soles, by selecting col- pany, was completed. SUPPLIERS IN FIGURES - 2019 manufacturing and selling prod- laborators exclusively among certi- ucts which comply, in terms of fi ed raw materials suppliers. Since The Group relies on a procurement chemical security, to the laws in 2016, the Salvatore Ferragamo structure with a high level of tech- force on global markets, in order Group has been addressing the nical preparation and works with to protect the health of workers issue of chemical substances by historic companies, with which it 99.6% 95.5% and consumers as well as reduce submitting its Restricted Sub- has established an ongoing collab- the environmental impact from stances Lists (RSLs). The lists, oration. This structure highlights manufacturing and throughout which were drawn up voluntarily the Group’s strong connection to ACCESSORIES PURCHASED FROM LEATHER HIDES PURCHASED FROM the product’s life cycle. EU legis- in order to eliminate or restrict the the local territory and, considering ITALIAN SUPPLIERS ITALIAN TANNERIES lation relating to chemical security use of some chemical substances the geographic distribution, it has is based on the REACH regulation during the manufacturing process, a high percentage of Italian raw concerning the use of chemical were updated in 2018 and were material suppliers, equal to around substances. For these purposes, shared with all suppliers and con- 98% of procurement in 2019. 95.3% 99.3% environmental and toxicity tests tract manufacturers and signed are conducted on several com- by them. During 2019, the sub- OTHER RAW MATERIALS PURCHASED TEXTILES PURCHASED FROM ponents and fi nished products scription of the Group’s RSLs by FROM ITALIAN SUPPLIERS ITALIAN SUPPLIERS such as accessories, footwear suppliers of special works and structures, leather, textiles, leather structures, with both direct and in-
While respecting the values of ing to only one tier in order to bet- the technical and qualitative pre- GEOGRAPHICAL BREAKDOWN OF ITALIAN CONTRACT MANUFACTURERS BY SECTOR - 2019 quality and Made in Italy, the Group ter monitor quality throughout the requisites, the economic and fi - has always been committed to supply chain. Similarly, the Group nancial prerequisites and all the Footwear 32% 32% 11% 8% 6% 11% supporting the development of lo- directly manages the product de- documentation and certifi cation cal communities, promoting Italy’s velopment and industrialization required to start collaborating. Po- world-class manufacturers and stages, performing quality and tential new partners must meet Accessories 35% 3%3% 5% 3% 32% 3% 13% 3% carefully purchasing products and safety controls, both at the start specifi c requirements in order to services almost exclusively from and at the end of the manufactur- qualify as contract manufacturers Italian suppliers. The philosophy of ing process, on the whole produc- and suppliers of raw materials or Apparel 34% 3% 17% 11% 9% 20% 6% the Founder, who remained deeply tion. fi nished products for the Group, connected to his roots, still lives on such as: acceptance of the Sup- Handbags and 77% 4% 9% 5% 5% in the strategy of the Group, which In selecting the most suitable sup- plier Code of Conduct, Privacy suitcases relies on a wide network of care- pliers, the Group places special Policy, self-certifi cation of suc- fully selected and qualifi ed con- emphasis on the technical as- cessful verifi cation of the profes- Small leather goods 87% 7% 3% 3% tract manufacturers known for sessment of raw materials, semi- sional and technical requirements, their outstanding craftsmanship. fi nished and fi nished products as pursuant to Italian Leg. Decree Many of them have been work- well as on the acquisition of docu- 81/08, the Certifi cation of Labor Jewellery 100% ing with Salvatore Ferragamo for ments concerning manufacturing Compliance (DURC – Documento years now. plants – and, in some cases, it fol- Unico di Regolarità Contributiva), lows up with a visit to the premis- the signing of the Restricted Sub- Tuscany Campania Emilia-Romagna In order to deliver a quality prod- es. In order to ensure the essential stances List (RSL), the statement Veneto Marche Lombardy uct while making production and quality of the Brand’s products, of compliance with social security, distribution cycles more effi cient the Salvatore Ferragamo Group welfare and occupational safety Umbria Piedmont Other Regions and fl exible, the Salvatore Fer- uses a selection process for sup- regulations, the statement of ac- ragamo Group pays special at- pliers and contract manufactur- ceptance of the subcontracting tention to the key stages of the ers, aimed at assessing whether policy, the list of subcontractors supply chain, limiting subcontract- the potential new partners have and the signing of the trademark
2 The reported data and information exclusively refer to suppliers related to production operations.
34 Sustainability Report 2019 35 YEARS OF PARTNERSHIP CONTINUITY WITH SUPPLIERS BY SECTOR - 2019 With respect to contract manu- cialized products and production In addition, by signing the trade- facturers, the Salvatore Ferraga- processes involved. Approximate- mark protection agreement, the mo Group works exclusively with ly 60% of handbag and suitcase Salvatore Ferragamo Group bans Footwear 26% 41% 22% 11% highly specialized manufacturing contract manufacturers have external workshops from selling companies that meet the most de- worked with Ferragamo for over the Brand’s products to third par- manding quality standards, most 11 years and 67% of footwear ties. Contract manufacturers are Accessories 35% 24% 10% 31% of them located in Italy. The selec- contract manufacturers have had required to disclose if they work tion and retention of external con- a work relationship with the Group with any subcontractors, to which Apparel 18% 54% 19% 9% tract manufacturers is key to the for over 4 years. This integration they can outsource different pro- Brand, mainly for the purposes of is supported by an IT system that duction processes, in accordance maintaining the world-class quality connects the main workshops with with the policy limiting subcon- Handbags and suitcases 23% 40% 24% 13% standards of its products as well the Group. This allows to share the tracting to just one tier. Further- as protecting Ferragamo’s exten- progress of production and logis- more, the Group constantly moni- Non-consecutive 1-3 years 4-10 years ≥11 years sive know-how developed over tic processes, check whether raw tors workshops through inspec- the years. The retention of exter- materials are in the workshops’ tions performed by technical and nal manufacturing facilities has stock, and effectively plan the production staff. been traditionally guaranteed by production stages as well as the ongoing partnerships, the frequent procurement of raw materials and exchange of information and skills components. between the Group and contract manufacturers, and the highly spe-
YEARS OF PARTNERSHIP CONTINUITY WITH CONTRACT MANUFACTURERS BY SECTOR - 2019
Footwear 14% 19% 35% 32%
Accessories 3% 30% 21% 46%
Apparel 15% 31% 23% 31%
Bags and suitcases 9% 9% 23% 59%
Small leather goods 3% 17% 33% 47%
Jewellery 25% 50% 25%
Non-consecutive 1-3 years 4-10 years ≥11 years
36 Sustainability Report 2019 37 For the Group, collaborating with ply chain, including the signing of supply chain are organized ac- terial cutters, joiners and fi tters and provide the opportunity to ex- tion and craftsmanship, the Group the supply chain is key to achiev- the Supplier Code of Conduct, in cording to a multi-year plan and - was inaugurated. Established in plore Salvatore Ferragamo’s crea- wants to celebrate the “Ferraga- ing the highest ethical and sustain- 2019 the Ferragamo Link platform managed by a specialized exter- 1967, the Manovia mainly creates tive tradition, celebrating his pio- mo touch” in the world of leather able business development stand- was launched, which enables im- nal company, in order to verify samples and prototypes and fi ne- neering vision and know-how. goods, with infi nite possibilities for ards: for this reason, it promotes mediate and effi cient exchanges respect for human and workers’ tunes the structures (stretchers, testing innovative types of leather monitoring and awareness-raising of documents and information be- rights, as well as compliance with heels, insoles, and soles) for the Since November 2017, the Mod- and materials during the process- initiatives along its supply chain. tween the company and suppliers. occupational health, safety and new models. It consists of approxi- elleria division for Men’s and ing stages as well as improving the In 2019, the Company formally hygiene regulatory standards. The mately 20 people, mostly young, Women’s Leather Goods has quality and effi ciency of develop- diffused the Supplier Code of The Salvatore Ferragamo Group audit process involves several who produce 30 to 40 pairs of been active: a 1,200 square me- ment processes. Together, Mano- Conduct, setting out the ethical has always paid particular atten- stages. Firstly, subcontractors are shoes a day. In addition, the Mano- ter workshop where craftsman- via and Modelleria are key to pre- principles and rules of conduct tion to the social, environmental required to fi ll in a pre-assessment via manufactures models of the ship and research meet, designed serving the know-how passed on that, along with legal, regulatory and economic impacts that it gen- survey; then, an on-site audit is highest quality that are part of the to pass the know-how of master by the Founder and carried on by and procedural provisions, must erates and considers collaboration carried out, which includes inter- Ferragamo’s Creations collection. leather craftsmen on to young the skilled craftsmen of the Salva- govern the Group’s business rela- with the supply chain essential to views with both employees and The models are manufactured in talents. With this investment, the tore Ferragamo Group. tions with its partners. The Code achieve the highest ethical and the management. Based on the limited quantities and numbered. Company has created a state-of- includes rules and standards of sustainable business development audit fi ndings, the Group prepares They are entirely handcrafted us- the-art workshop that celebrates conduct concerning business eth- standards. In this context, of par- an improvement plan with the sub- ing the techniques, materials, and the world-class technical skills ics and integrity, labor and human ticular importance is the respon- contractor to prevent, mitigate, or fi nishing details of the Founder. and creativity of the people that rights, the respect of ecosys- sible procurement of materials remedy any non-compliance. The All Ferragamo’s Creations shoes research materials, create the tems, including respect of animals derived from animals, which are plan requires implementing spe- feature the Brand’s historic logo, style, and make the Ferragamo and environment protection, and used in manufacturing processes, cifi c actions within given deadlines designed by Lucio Venna in 1930, product. Staying true to its tradi- product responsibility. The recipi- for each product category. The agreed upon by the parties, as ents of the Code are the Group’s Group considers the approach to well as clearly identifying a person suppliers of raw materials, manu- the issue of animal welfare along responsible at the supplier. Since facturing services and fi nished the supply chain essential, in the 2014, the Group has conducted goods, and they are responsible knowledge that the value of prod- over 300 audits and about 120 fol- for guaranteeing their own com- ucts can be maximized only while low-ups. During 2019, the assess- pliance with the Code, as well as respecting the environment and ment process mainly involved the for disseminating it and asking biodiversity. To formalize its com- categories of women’s footwear, their employees, suppliers and mitment to animal welfare, during men’s footwear and leather prod- external collaborators to comply 2019 the Group decided to draw ucts. Also in 2020, the Salvatore with it. During 2019, two days of up an Animal Welfare Policy in or- Ferragamo Group will be commit- training were organized for the der to guarantee that the whole ted to continuing this monitoring, main Group’s contract manufac- supply chain acts appropriately in order to guarantee responsible turers of fi nished goods, with the in terms of animal welfare. The management of its supply chain in aim of sharing the principles set Policy establishes the minimum compliance with the laws in force. out in the Supplier Code of Con- requirements, certifi cations, stand- duct. More than 100 participants ards, forms of collaboration, strat- Always with a view to social re- at the workshops were able to egies and procurement sources to sponsibility and human rights in learn more about the provisions be favored in order to guarantee the supply chain, in 2019 Salva- of the Supplier Code of Conduct such welfare. tore Ferragamo took part in the and the sustainability strategy of Social Sustainability Commission Salvatore Ferragamo. The Code, In addition, in order to assess of the National Chamber of Ital- which has been included in the compliance with the principles set ian Fashion, which, in collaboration list of documents that should be out in the Supplier Code of Con- with Fair Wage, launched an anal- signed for the qualifi cation of sup- duct, the Company is setting up ysis to assess salaries in the Ital- pliers and contract manufactur- a specifi c audit plan for contract ian fashion supply chain, in order ers, provides for the request for a manufacturers and suppliers, who to identify possible problems and formal commitment to comply with are initially asked to fi ll in a self-as- highlight the virtuous approach of the principles and rules contained sessment questionnaire. This audit Made in Italy as good practice. therein, the monitoring of compli- activity accompanies the moni- ance through an audit plan, as toring of sub-suppliers which the With reference to footwear pro- well as the provision, if necessary, Group has been doing since 2014, duction, in 2019 at the factory of support to achieve full com- in order to assess compliance with in Osmannoro, the new Manovia pliance. In order to facilitate the ethical and social standards. The - the historic unit for prototypes qualifi cation process for its sup- audits on the second level of the and production consisting of ma-
38 Sustainability Report 2019 39 40 41 CUSTOMER FOCUS
Customer satisfaction has always experience the brand and product the needs of the customer of the panded and optimized in terms of stored in the Tag, such as the seri- perience, offering the possibility to been the main goal for Salvatore through an engaging experience. In future. The training program was form and usability, as well as con- al number, the manufacturer num- enrich the knowledge of the Brand Ferragamo when defi ning its strat- this perspective, during 2019 the initially developed through focus tents, specifi cally focusing on key ber, and the collection the product in an effective and experiential egies, from the conception of the Customer Relationship Manage- groups and interviews to identify selling points and storytelling. At is part of. The Group has gradually way. In 2019, there was greater product to the service offered at ment (CRM), Client Engagement the training needs of store man- the end of each training module, expanded the scope of the pro- connection between customers the stores. Respect is the foun- and Customer Care divisions were agers and sales staff, and subse- employees are given tests whose ject in recent years, and the Tag and the Salvatore Ferragamo’s dation of the relationships with integrated under the Customer Ex- quently saw the organization of results are tracked by the digital is currently embedded into all Fer- world through the Group-wide op- customers. This is why the Group perience division, with the aim of workshops in the United States, platform; everyone can download ragamo leather products, except timization of product display and works on several initiatives to de- developing synergy and consisten- Europe and China, following a test their certifi cate of attendance and for a few models. Moreover, with engagement. The innovations in- liver a satisfactory and delightful cy between customer knowledge, stage. The cornerstone of the digital passport, which includes a respect to ties and scarfs, the pro- troduced included the eCommerce purchase experience that meets involvement and relationship man- “Stardust” plan retail strategy is record of all digital courses at- ject will be implemented starting platform and website in Mexico; the desires of its customers. agement. This integration enables directly linked to the customer ex- tended. Around 60 digital courses from the next collections. in addition, product variety in the the Group not only to enhance the perience, in order to enable them have been published on iLearn in Ready-to-Wear category has been At the Reputation Awards 2019, relationship with existing custom- to experience “Salvatore Ferrag- nine languages on the in-store col- Over the years, the Salvatore Fer- increased in the online stores in Eu- an event realized by the Repu- ers and win over new ones, but amo emotions”, such as energy, lections. As part of seasonal train- ragamo Group has implemented rope and the United States, guar- tation Institute in collaboration also to periodically monitor per- magic and authenticity. The learn- ing, during 2019 the key selling a series of offl ine and online anti- anteeing online customers access with Borsa Italiana, Italy Rep- formance. In order to involve and ing methodology of the training points of the product were once counterfeiting measures to pro- to a catalog similar to that availa- Trak®2019 was presented, a create even more engaging experi- courses is based on a multi-fac- again highlighted, seeking to offer tect its customers and the value ble in Store. In the same direction, study on the reputation of Italian ences for customers, in 2019 nu- eted and multisensory approach ideas for storytelling aimed at im- of its brands. Its online monitor- on the Chinese market the Visual companies in which Salvatore Fer- merous initiatives were developed which leverages both existing skills proving the Client Experience. ing activities have enabled it to Merchandising of WeChat Mini-Pro- ragamo was ranked 11th, the top to support the launch of new prod- and knowledge and the values of achieve signifi cant results every gram has been implemented, and brand in the fashion and luxury ucts and collections, including: the the Brand, developing the sense As part of the initiatives promoted year. In 2019, 18,422,922 illicit the Japanese market has seen the sector. Managing and protecting involvement of a stylist to present of belonging to the Company and in favor of customers, the Group contents and profi les were re- introduction of ERP SAP, in order one’s reputation is now a respon- the collection and to create specif- to the global training community uses the “Authenticity Tag” sys- moved from the main social media to offer an increasingly innova- sibility for all corporate divisions; ic looks dedicated to customers, by adopting consistent means of tem, which protects the consum- platforms, and a total of 128,878 tive service aimed at Asian users. this recognition highlights the in- the collaboration with Ferragamo expression at both corporate and er that purchases a genuine and advertisements of counterfeited In order to be able to control the ternal cohesion and teamwork and Parfums to personalize fragrance local level. The results have had a Made in Italy Salvatore Ferraga- products were identifi ed, blocked availability of the various products strengthens the Brand’s external bottles, the Gifting service for loyal very positive impact on the Client mo product, preventing and limit- and removed from online auction and to book an appointment, the perception by all stakeholders. customers and the “collecting mo- Experience and on staff engage- ing counterfeiting. This innovative sites. Furthermore, 74 illegal web- omni-channel Reserve in Store ser- ments” campaign, with the involve- ment. traceability project consists in the sites were also challenged through vice has been extended to some The Group adopts a customer ment of customers and sales staff Therefore, for the Salvatore Fer- implementation and adoption of an "almost in rem" actions before the European stores and to the Kore- centricity strategy that allows to who, by shooting with a polaroid, ragamo Group, retail staff training NFC (Near Field Communication) New York court. Still in 2019, the an store. Instead, in the American anticipate the needs of existing captured unique in-store moments. is key to keeping the Brand exclu- solution to uniquely identify Sal- Group carried out constant con- market another omni-channel ser- and potential customers in order sive and driving engagement. The vatore Ferragamo products. NFC trols on physical markets through vice has been introduced, the Ship to create long-term value. In this To ensure customer understand- goal is to make every employee is a radio-frequency technology several in-court, out-of-court ad- from Store, which enables various light, during 2019 the Brand pro- ing and satisfaction, the Group aware of the company’s culture, based on a chip, which stores the ministrative and criminal proceed- boutiques to dispatch eCommerce moted the development of collec- strives to make its sales staff ca- which is made up of traditions as data, and an antenna that sends ings, focusing its efforts on one of orders directly from the store, re- tions which are more focused on pable of conveying the passion well as strong and distinctive val- signals using radio waves. The the territories where counterfeit- ducing delivery costs and times. customer needs and which follow for craftsmanship and quality that ues. The iLearn platform, available combination of chip and antenna is ing is most widespread, that is in The most important improvement the concept of “Buy-now/Wear- characterized Salvatore Ferraga- to all sales staff, continues to be the so-called Tag. A device known China. In this country, thanks in has been the activation of the now”. A further step forward in mo. In this regard, in 2019 the new the tool used for the training con- as reader is able to decode the part to increasing cooperation with new TFour customer care service, Customer Centricity was taken “Stardust” training plan was devel- cerning guidance of new hires and radio signals emitted by the RFID local authorities, 194,010 counter- aimed at offering online users a with the creation of a new buying oped, which recalls the Founder’s seasonal training. This platform, (Radio Frequency Identifi cation) feit products were seized in 2019, service to ensure excellence and process that takes into considera- epithet “Shoemaker to the stars” accessible from PCs, tablets, Tag. The NFC Tag is embedded compared to a total of 282,434 prompt order fulfi llment. During tion - starting from the store - the and focuses on the importance and smartphones, is based on an into the product at the end of the worldwide. The Group’s commit- 2019, TFour started to operate in location, the sales history and cus- of the customer relationship and adaptive technology that allows manufacturing process and acti- ment to combating counterfeiting Europe, the United States, Cana- tomers. In addition, during 2019 the training of store managers and perfect viewing from any device. vated following a quality control has delivered remarkable results, da and Mexico and will be gradu- the Merchandising and Customer sales assistants. The model was The contents include a general check. It cannot be counterfeited, also in terms of damage compen- ally introduced worldwide. In order Experience teams worked increas- developed with the objective of introduction to the history and as it is based on a unique identifi er sation, and has guaranteed con- to be able to offer an increasingly ingly side by side, to enable a bet- Customer Centricity, following the legacy of Salvatore Ferragamo, certifi ed and assigned by a man- stant and effi cient protection of customer-oriented service, new up- ter understanding of current and 4Cs model: Consistency, Collabo- information on product storytelling ufacturer. It allows to encrypt or industrial and intellectual property grades were released for the User potential customers, and to pro- ration, Community and Communi- and the selling ceremony, as well protect with a password the data rights. These activities will be vig- Experience Mobile, guaranteeing pose collections that are more in cation, focusing on the Customer. as more specifi c and professional on it, as well as read it from only orously renewed in 2020. more fl uid and intuitive navigation. line with the market. The "Stardust" project aims to contents related to individual prod- a few centimeters using new gen- Worthy of note was the develop- enhance the role of store man- uct categories. The Group uses eration smartphones. Industry in- The integration of the digital world ment and introduction of the My- The store is one of the main ager and sales assistant through the iLearn platform also to distrib- siders can also access an applica- in the modes of communication Vara project, an online service touchpoints to communicate and workshops focused on meeting ute seasonal training programs, ex- tion that reads some of the data completes the Group’s brand ex- which allows users to personalize
42 Sustainability Report 2019 43 the iconic Vara décolleté, choosing backdrop for the 2020 Spring- Andrew, whose vision celebrates from among various colors, letters Summer men’s collection fashion “being together” and “inclusion” as and special characters in order to show, which was held in Piazza models for all ages, cultures and create unique models. della Signoria in Florence during backgrounds. Pitti Immagine Uomo and which The digital initiatives have also was shared on the Brand’s digital involved social media, the use of platforms. which makes it possible to further Again in 2019, social media told engage customers and guaran- the story of Salvatore Ferraga- tee a complete experience of the mo’s debut at the Met Gala, one Brand. The year started with the of the biggest fundraising events launch of the Gancini project, ac- in the fashion world, which put the companied by the digital campaign Brand in the global spotlight and run by the blogger Bryanboy. Am- had a signifi cant impact on social plifi ed by a range of collaborative media. experiences with craftsmen, the In 2019, the digital campaigns project has been shared on social launched by Salvatore Ferragamo media in the digital series Gancini also celebrated women, such as Chronicles. the BOXYZ Bag project, which During 2019, Salvatore Ferrag- promoted female diversity, bring- amo’s digital world was also the ing together women from all gen- catalyst for messages linked to erations and cultures, and the sustainability. From the inaugura- #FollowVara campaign, realized to tion of the Sustainable Thinking celebrate the 40th anniversary of exhibition to the launch of the 42 the iconic pumps. Degrees Capsule Collection, social Finally, the social platforms also media raised public awareness of reached the world of perfumes, environmental responsibility, while with the launch of Gilio, a reinter- the inauguration of the Fountain pretation of the fragrance born in of Neptune, which was restored 1960 from the Founder’s inspira- thanks to the contribution of Sal- tion, and of the perfume Signorina vatore Ferragamo, was shared Ribelle. All social media advertising on social media, thus celebrating campaigns were designed in line the Company’s bond with the lo- with the Patchwork of Charac- cal territory. In addition, in 2019 ters philosophy promoted by the the Fountain of Neptune was the Brand’s Creative Director, Paul
THE SALVATORE FERRAGAMO GROUP ON SOCIAL MEDIA GROWTH IN FOLLOWERS (2018 vs 2019)
INSTAGRAM +30.3%
PINTEREST +14.8%
LINKEDIN +26.1%
WEIBO +23.4%
WECHAT +53.9%
FACEBOOK +3.6%
44 Sustainability Report 2019 45 A SHARED HISTORY
Inclusion and equal opportunity Attracting and developing talent Wellbeing of people
“A dive into the world of sustainability, not only in terms of manufacturing, but also of the environment and people in all their diversity”.
MF Fashion
46 47 A SHARED HISTORY
It is people who, every day, with passion and dedication, contribute to the THE GROUP’S MILESTONES - 2019 Brand’s success, carrying out the Group’s business while respecting the heritage and values which have always been a hallmark of the Founder and his family. This is why the Salvatore Ferragamo Group attributes vital importance to the over 4,200 people with whom it works and is committed ≈ 70% to ensuring their management based on the principles of fairness, integrity and respect. FEMALE EMPLOYEES The enhancement of human capital at every stage of the manufacturing process translates for the Group into the professional development of its people, the attraction of new talent and the promotion of work-life balance, guaranteeing compliance with occupational health and safety standards. During 2019, the Group further enhanced its commitment by adopting an Inclusion Policy and Salvatore Ferragamo adopted an SA8000 Policy and OVER 50% a Policy for combating child Labor. These initiatives supplement the Code UNDER 30s AMONG THE NEW RECRUITS of Ethics, the Group’s Sustainability Policy and the Company Regulation, which already established the values and principles underpinning working relationships. In particular, the Inclusion Policy enshrines the Group’s commitment to pro- moting and protecting the values of inclusion in business activities. Salva- tore Ferragamo’s SA8000 Policy confi rms the corporate commitment to OVER 90% achieve the highest standards of ethics and business sustainable devel- EMPLOYEES ON PERMANENT CONTRACTS opment in compliance with the applicable legal provisions and the main international agreements on human and workers’ rights. Finally, the Policy for combating child Labor aims to further formalize the corporate commit- ment in this fi eld and to avoid minors being exposed to situations that may risk or harm their growth and their physical and mental wellbeing. SA8000 SOCIAL RESPONSIBILITY CERTIFICATION OBTAINED BY SALVATORE FERRAGAMO
INCLUSION POLICY ADOPTED BY THE SALVATORE FERRAGAMO GROUP
WOMEN EMPOWERMENT PRINCIPLES ADOPTED BY THE SALVATORE FERRAGAMO GROUP AND PROMOTED BY UN GLOBAL COMPACT AND UN WOMEN
48 Sustainability Report 2019 49 INCLUSION AND EQUAL OPPORTUNITY
Guaranteeing its people the op- ensuring the same work condi- by collective bargaining agree- portunity to grow in a work envi- tions for male and female employ- ments, as required by applicable ronment where diversity is consid- ees and promoting initiatives to laws and regulations in the coun- ered an added value is a priority help balance family and profes- tries where it operates. In addition, for the Group and during 2019 it sional life through different types these agreements, together with launched many initiatives in this of employment agreements. More the laws in force in the countries direction. specifi cally, at 31 December 2019 where the Group operates, also there were 89 male employees and regulate the pay aspects as well The Inclusion Policy, which was 336 female employees who were as the minimum notice periods for formally adopted in 2019, is among on part-time contracts. The latter signifi cant operating changes. With the main projects taken forward have always played a key role in respect to the Parent company, in this sense. The Policy aims to the Salvatore Ferragamo Group in 2019 the new supplementary support multiculturalism, which is and female talent underpins the agreement was signed concern- considered essential to develop in- Brand’s success, accounting for ing the stipulation of the corporate novative and distinctive elements nearly 70% of its employees and contract and the results bonus for that can increase the Brand’s com- holding around 65% of senior man- 2019-2021. This envisaged signifi - petitiveness and promote equality agement positions. Women make cant changes in the structure of and equal opportunities, fi ghting up a signifi cant 38% of the Par- the Performance Bonus, building all types of discrimination and con- ent’s Board of Directors, beyond an innovative incentive system demning any form of harassment. law requirements. In line with this which aims to reward excellence In addition, the Policy sets the goal vision and in order to strengthen at work. of promoting meritocracy and fair its commitment to human rights treatment at all levels, facilitating and equal opportunities, in 2019 the development, expression and the Company adopted the Wom- enhancement of individual poten- en’s Empowerment Principles pro- tial. As further confi rmation of the moted by UN Women and the UN commitment in terms of inclusion Global Compact. They consist of and diversity, in 2020 the Com- seven principles which aim to pro- pany will join Valore D, the fi rst vide companies with a guide on business association in Italy com- how to promote gender equality mitted to creating a professional and female empowerment in the world free of discrimination, where workplace and in communities in gender equality and the culture of general. In line with the contents inclusion support the growth of of the Code of Ethics and the In- the organization itself. The issue clusion Policy, by adopting these of diversity will be at the heart of principles, Salvatore Ferragamo in- a training course which will see the tends to reconfi rm its commitment involvement of the Group’s em- in terms of inclusion and respect ployees during 2020, with the goal of the principles of equality and of promoting and raising aware- dignity. ness on the culture of inclusion. The engagement of workers on The Group adopts remuneration these issues started in 2019, when policies that recognize the per- the Group’s employees were at sonal contribution of each em- the center of a project on diversi- ployee according to the principles ty realized by the profi ler Ellie Uyt- of gender equality and merit. For tenbroek and the photographer several years now, the Group has Ari Versluis, and displayed in the been implementing a remuneration Sustainable Thinking exhibition at system differentiated for the vari- the Museo Salvatore Ferragamo. ous employee categories, including The two artists photographed the also economic incentives contin- Group’s employees and grouped gent on individual and company them into series, highlighting how performance goals aimed at pro- people in the company can freely moting a sense of belonging and express their individuality. teamwork. Finally, as for industrial Special emphasis is placed also relations, more than 50% of the on providing equal opportunities, Group’s employees are covered
50 Sustainability Report 2019 51 ATTRACTING AND DEVELOPING TALENT
Passion and respect are values edition of the Master with a focus the Accademia Costume e Moda is reserved to executives and the sense of belonging by identify- sustainability. The winner of the that characterize Salvatore Fer- on sustainability, led to the recruit- in Rome, the “Hands-free Bags” managers, is instead organized so ing and rewarding colleagues who contest was chosen by the prefer- ragamo’s way of doing business; ment of two young foreign de- project was launched, involving that it is tailored to the position best represent the corporate val- ences expressed on the platform the Group is committed to attract signers who joined the men’s and the students of the Master in Ac- the incoming manager is called to ues of passion and respect. All the and by a jury made up of millen- talented individuals who believe women’s footwear creative teams. cessories who were asked to de- cover and, in 2019, it also involved Group’s employees were invited nials from the Group. Ferragamo in these principles and create an In 2019, the Company supported velop a capsule collection in men’s colleagues from regions outside of to express a preference by voting Together also enables the diffu- environment which favors their the “Sustainability Management leather goods with a focus on car- Italy. for the colleague who best embod- sion of content linked to the sus- diffusion. track” of the Master in Brand & ryovers, customized creations and ies the values of the Brand in day- tainability projects promoted by Business Management, held at some visual merchandising pro- In order to promote the growth of to-day activities. The 11 winners, the Group through a dedicated In 2019, 1,590 employees joined Milano Fashion Institute, an inter- posals. In addition, in collaboration people in the Company, in 2019 the Brand Values Ambassadors, section that can be accessed by the Salvatore Ferragamo Group, university consortium for high- with MAFED, the Master in Fash- the activities to train and develop were given the opportunity of a all employees. around 52.3% of them were under level training in the fashion fi eld ion, Experience & Design Manage- the talented staff continued, and memorable experience by trave- 30 and around 66% were women, founded by Bocconi University, ment of SDA Bocconi University, a a project was launched to design ling to Florence to get to know the The digitization process the Com- thus recording a staff turnover of Cattolica University and the Poly- project focused on the Customer a Talent Management system at Parent company, visit the Museo pany is pursuing has led the im- 27%. Moreover, the offer of a sta- technic of Milan. The aim of the Experience was fi nalized, with the global level. As part of its own Salvatore Ferragamo and Palazzo plementation of a new eLearning ble and long-lasting employment re- course, offered in collaboration purpose of developing an omni- Ferragamo Excellence Model, the Spini Feroni. In addition, the win- platform intended to expand the lationship is considered a prerequi- with Cittadellarte Fashion B.E.S.T. channel and multisensory experi- Parent company identifi es nine ners were able to take part in the availability of training materials. site for the company’s growth, as and Fashion Technology Accel- ence aimed at attracting and re- essential competencies, broken Pitti Uomo Fashion Show held in The platform contributes to pro- well as an important motivational erator, is to teach how to manage taining young customers. down into Core Competencies Piazza della Signoria and in other mote greater interaction between factor. The high proportion of em- sustainability using a holistic ap- Finally, the Company collaborated and Managerial Competencies, to important events linked to the employees and favors the dissem- ployees on permanent contracts, proach, planning successful busi- with Cattolica University in Milan be enhanced in each employee. fashion world. ination of cross-cutting content accounting for 92.4% of the total ness strategies and responsible for the Master EMLUX, Executive Core Competencies are key for also with respect to compliance in 2019, is evidence of the Group’s innovation, intercepting the new Master in Luxury Goods Manage- all employees and enable them to In 2019 the Internal Job Posting and certifi cations. Furthermore, commitment in this sense. trends that are infl uencing the ment, which included classroom achieve high levels of performance tool was enhanced at Group level. with a view to sharing best practic- fashion industry. The collabora- lectures given by the Company’s and quality, as well as promptly This enables the constant updat- es, in 2019 the Knowledge Sharing The Group promotes numerous tion included the launch of a fi eld top management on the subject of address issues and problems as ing of open positions, promptly meetings, open to all the Brand’s initiatives aimed at attracting tal- project, dedicated to the students Digital & Innovation, in preparation they arise, by working in teams informing employees of potential employees, continued. In particu- ented employees and valorizing of the Sustainability Management for the launch of a competition in and exploring new ideas and so- internal growth opportunities. The lar, during the year, these meetings them in their professional develop- Track, aimed at investigating Sal- which 35 international students lutions. The Group has identifi ed Group will continue to develop aimed to promote knowledge of ment. To select top young talents, vatore Ferragamo’s approach to were asked to develop media ma- additional competencies for mid- the project in the upcoming years the world of fragrances. the Parent company has partner- circular economy, which led to the terial, for the purpose of commu- dle and senior managers focus- to promote a closer integration ships with several Italian Universi- recruitment of a young female par- nicating corporate values and cul- ing on knowledge that is crucial in between all the areas in which ties, Business Schools and Design ticipant to the company team ded- ture to the Z Generation. order to create value and improve the Salvatore Ferragamo Group Academies, organizing presenta- icated to sustainability initiatives. competitiveness over time, inspir- operates. tions, career days, and fi eld pro- In addition, Salvatore Ferragamo For Salvatore Ferragamo it is im- ing enthusiasm and a passion for jects. During 2019, 23 employer offered a work experience to portant that the corporate culture work and excellence in other peo- Many of the initiatives carried out branding initiatives were organized the winning student of the Vogue and sense of belonging are trans- ple. In 2019, the “Nine Box Grid” internally were promoted thanks with national and international uni- Talents Contest for the course mitted right from the start of the methodology adopted by the Par- to the use of the Ferragamo To- versities, during which Salvatore "New Sustainable Fashion 2019 - employment relationship and, for ent company was extended to gether digital workplace, which Ferragamo met 974 candidates, Crafting innovative business mod- this reason, the Company pro- more corporate divisions, in order became pivotal in terms of em- 42 of whom started training pro- els through sustainability" of the vides an induction program called to strengthen the culture of talent ployee engagement. The innova- grams and work relationships with- Milano Fashion Institute. Finally, in “Discovering Ferragamo” for all management and to map resourc- tive platform, which can also be in the company, double the num- 2019, the Company started a col- new recruits in Italy. The three-day es on the basis of performance used via mobile application, has ber recorded in the previous year. laboration on sustainability with Classic Induction course consists and potential indicators. Over the been designed to facilitate collab- Domus Academy for the launch in a training session to introduce next few years, the Group will oration and the sharing of ideas, As for specifi c agreements with of a competition to award some new hires to the Brand, the history gradually expand the Talent Man- information and projects among universities, 2019 saw the launch scholarships for two Masters in of the Founder, and the Group’s agement system to all employees, all Group’s employees, increasing of the fi rst edition of the Master Fashion Management. The Com- values, as well as guided tours of regardless of the geographic area the sense of belonging and team in Shoe Design in partnership with pany established the brief for the the new Logistics Hub, Manovia, in which they operate, maximiz- spirit. Thanks to Ferragamo To- the Polimoda Institute of Florence, competition and supported Domus the Museum and the Historical ing the potential of key resources gether, in 2019 all the Group’s em- a project designed to train the Academy in choosing the winners. Archive in partnership with Fon- across the entire Salvatore Fer- ployees were involved in a contest next generation of designers who dazione Ferragamo and Museo ragamo Group. launched during the Sustainable can combine Ferragamo’s creative In 2019, fi eld projects also regard- Salvatore Ferragamo. In addition, Also in 2019, the Company Thinking exhibition at the Museo inheritance and know-how with an ed other universities and 20% of in 2019, this Group’s program was launched “Ferragamo’s Finest”, an Salvatore Ferragamo: employees innovative vision in line with new the young people who were of- enriched with a workshop on the important initiative of internal in- were indeed invited to express market trends. The partnership, fered internships came though Company’s values and know-how. volvement, aimed at both the cor- their creativity by inventing a slo- which in 2020 will see a second this channel. In partnership with The Customized Induction, which porate and retail sides, to increase gan on Salvatore Ferragamo and
52 Sustainability Report 2019 53 54 Sustainability Report 2019 55 To facilitate staff development, cifi c items and on achieving indi- the Group implemented, in con- vidual performance objectives. In tinuity with previous years, some addition, again in the retail sector, performance assessment pro- a specifi c staff development pro- grams, including the Performance gram was taken forward, with the Appraisal System, in order to aim of defi ning structured career identify strengths and areas of paths and facilitating internal mo- improvement. The system is con- bility. ceived not only as a monetary in- centive system, but also as a de- Finally, as part of the initiatives to velopment instrument: in fact, the engage employees and promote performance appraisal is connect- team culture, in 2019 was organ- ed to a position profi le and the ized a day of corporate volunteer- specifi c technical skills required. ing involving, for the fi rst time, During 2019, over 97% of the colleagues from other Regions in Group managers were subject which the Group operates. In Italy, to this type of analysis, as were the initiative envisaged mainte- around 80% of all the Group em- nance, cleaning and gardening ac- ployees. In Italy, the new supple- tivities at the Horticultural Garden mentary agreement signed for in Florence, in collaboration with 2019-2021 envisaged, among the Fondazione Angeli del Bello, other things, the extension of the which is committed to enhancing performance assessment process beauty as well as cleaning and re- to all employees and for all levels storing many areas of the city. Sal- within the organization, in order to vatore Ferragamo China also un- increase engagement and to make dertook gardening and tree plant- everyone feel part of the corpo- ing activities at Changfeng Park, rate goals and results. In particu- while colleagues from Hong Kong lar, an assessment method was volunteered at an elderly center. introduced, based on three of the Salvatore Ferragamo Korea pre- Brand’s distinctive elements: ini- pared handmade soaps using nat- tiative, result orientation and cus- ural oils in order to fi ght the chemi- tomer orientation. The outcome of cal pollution of waterways, while this assessment will allow to fur- employees of Ferragamo Taiwan ther increase the value of the bo- helped to clean some beaches. nus for the individual, while also re- warding individual performance. In addition, in order to enhance and expand the feedback and assess- ment culture throughout the Com- pany and to support the applica- tion of the assessment expected by the new Performance Bonus, the training content “Capsule As- sessment and Self-Assessment” was introduced in Italy and saw the involvement of over 350 em- ployees.
In order to maximize resources in the retail segment and promote the constant improvement of the experience offered to customers in store, in 2019 the Stitching To- gether initiative continued, which allowed retail staff to obtain an increase in variable pay, focusing their energy on the sale of spe-
56 WELLBEING OF PEOPLE
The Salvatore Ferragamo Group dle managers and white-collar and operations the SA8000 social re- considers the wellbeing of its blue-collar workers. In addition, in sponsibility certifi cation, the main workers and the climate at the 2019 a project was started, which social certifi cation standard based Company essential elements for will continue during 2020, aimed on the Universal Declaration of its success and implements nu- at implementing a global manage- Human Rights, ILO agreements, merous initiatives as part of com- ment plan for the Group’s benefi ts international human rights laws pany welfare aimed at facilitating programs, in order to support the and national labor laws. The stand- employees work-life balance. Company in achieving important ard encourages organizations to goals in terms of compliance with develop, maintain and implement As from 2014, a Flexible Benefi t local regulations, control of insur- practices that include respect for Plan was introduced in Italy, the ance coverage as well as cost human and workers’ rights, pro- purpose of which is to support optimization and uniform and ef- tection against the exploitation of workers and their families in social fi cient management of employee minors and guarantees for work- and cultural activities, in their train- benefi t plans. place health and safety. ing and in school fees and costs for their children. The plan consists of As part of the initiatives to im- Attention to people is refl ected the possibility to replace or com- prove work-life balance, an experi- also in the creation of workspaces plement part of the variable pay mental stage continued through- that are both functional and pleas- with benefi ts in the form of servic- out 2019 aimed at ensuring that ant. Since 2016, the Company es, to address personal and family Italian employees have greater has been working together with needs. Specifi cally, employees can working hours fl exibility with re- the Ferragamo Foundation on the select their own type of benefi t spect to start and fi nish times. renovation, decoration and embel- from a vast selection, including Furthermore, during 2019, the lishment of workspaces. In 2019, areas such as: education, sports, smart working pilot project was for example, the new Manovia and culture and leisure, travel and sup- extended to other corporate de- the New Historical Archive were plementary pensions. In Italy, the partments and a new workfl ow set up in the Osmannoro site. Fi- new supplementary agreement system to manage attendance, nally, again with a view to work- signed for 2019-2021 envisaged, with a more innovative and user- place wellbeing, in 2019, the Com- among other things, an increase friendly interface, was introduced. pany started a collaboration with in the value of the Performance Finally, in order to optimize em- the University of Florence, which Bonus, including the possibility of ployees’ time spent commuting, will continue in 2020, in order to transforming, in whole or part, the in September 2019, a Company undertake a program to assess monetary value of the bonus into Shuttle service was launched in work-related stress. Besides the welfare services for employees on Italy, aimed at improving the qual- assessment expected by the law, permanent contracts. Employees ity of the commute and promoting seminars, as well as team-building who choose to convert the bo- a sustainable approach to mobility. and face-to-face exercises which nus will have the right to a further involved various corporate depart- net amount that can be spent on For Salvatore Ferragamo pro- ments, were organized. In addi- goods and services through the tecting and safeguarding human tion, together with the University Flexible Benefi ts portal. resources also takes the form of of Florence, a collaboration was guaranteeing high occupational started to analyze methods of in- As part of company welfare, Sal- health and safety standards. For tegrated ergonomic assessment vatore Ferragamo also provides a this reason, in 2019 the Company and design of workstations and in- series of exclusive benefi ts to its renewed its OHSAS 18001:2007 dustrial machinery with a high level employees through agreements certifi cation relating to the man- of manual input in the fashion and with companies operating in other agement of health and safety and leather manufacturing sector. sectors, such as health and well- which is valid for all the administra- ness, banks, insurance, tourism, tive offi ces and the Italian stores. and sports. As regards supple- This result strengthens the effec- mentary healthcare offered to Sal- tiveness of the existing adminis- vatore Ferragamo’s employees, in trative liability system pursuant 2019 a series of improvements to the 231/2001 Model, ensuring were implemented to extend the that the principles of the relevant range of healthcare services cov- policy are properly implemented in ered, such as, for example, the all work environments. In addition, inclusion of the employee’s whole in 2019 Salvatore Ferragamo ob- household at no extra cost for mid- tained for the scope of its Italian
58 Sustainability Report 2019 59 CULTURE AND PARTICIPATION
Link with the community and the local territory Museo Salvatore Ferragamo Fondazione Ferragamo
“Today everybody supports the sustainable fashion trend but not everyone devotes a whole exhibition to it”.
Vogue Russia
60 61 CULTURE AND PARTICIPATION
In 1927 Salvatore Ferragamo returned to Italy after twelve years in the THE GROUP’S MILESTONES - 2019 United States and decided to set up his business in Florence, fascinated by the skill of the local craftsmen and by the beauty of the city with its wealth of art and history. Over the years the link with the city of Florence has remained unbroken and has been strengthened through the Compa- OVER 1 MILLION ny’s support for signifi cant restoration projects and numerous charitable initiatives for local causes. EURO TO BE DONATED FOR THE RESTORATION OF THE LARGE SCULPTURES IN After redefi ning, in 2014, the Group Charity Policy adopted by all subsidi- PIAZZA DELLA SIGNORIA AND OF THE DAVID IN PIAZZALE MICHELANGELO IN aries, the Group decided to make several donations to charity initiatives FLORENCE IN THE THREE-YEAR PERIOD 2019-2021 promoting Italy’s culture across the world as well as the health of women and children. The purpose of this policy is to provide a reference frame- work, for all Group subsidiaries, to be followed in defi ning donations, gifts and any participation in charitable associations, foundations and non-profi t organizations. This process facilitates stronger governance and a new ap- proval process, in order to coordinate more effectively charitable actions OVER 35,000 at an international level. In 2019, the Salvatore Ferragamo Group thus sup- T-SHIRTS MADE FOR CORRI LA VITA ported communities, charitable bodies and non-profi t organizations that work for the causes identifi ed by the Charity Policy, about 85% of which are aimed at promoting Italian culture worldwide. Since 2017, the Group has doubled down on its commitment to culture and the local community by formalizing, in its Sustainability Policy, its inten- tion to spread Italy’s culture throughout the world, with particular regard FONDAZIONE MEYER to the sponsorship of initiatives that pay homage to art, cinema and music, and to actively promote social initiatives, with particular regard to projects BEGINNING OF A THREE-YEAR PARTNERSHIP TO SUPPORT in support of women and children. NEWBORN SCREENING ACTIVITIES AND THE EXPANSION PLAN FOR THE MEYER CHILDREN’S HOSPITAL IN FLORENCE
SAN PATRIGNANO COMMUNITY SUPPORT TO THE WEAVING AND LEATHER GOODS WORKSHOPS
OVER 41,000 VISITORS TO THE MUSEO SALVATORE FERRAGAMO SINCE 2019
SUSTAINABLE THINKING EXHIBITION INAUGURATED AT THE MUSEO SALVATORE FERRAGAMO
62 Sustainability Report 2019 63 LINK WITH THE COMMUNITY AND THE LOCAL TERRITORY
Right from the start, Salvatore three separate programs, started In July 2019, in the presence of the Ferragamo has constantly in- in February 2017 and initially hid Ferragamo family and the munici- terfaced with the world of art the statue of the “Biancone” from pal authorities, at the crossroads and culture. A relationship driven view, nonetheless allowing guided of Ponte Vecchio, Via dei Bardi over time also by artistic patron- visits to the worksite along a pro- and Via Guicciardini, in the heart age programs aimed at promoting tected route so that around 2,000 of Florence, Salvatore and Wanda culture and safeguarding Italy’s people from 90 different countries Ferragamo were honored with the artistic heritage, and in particular could appreciate the various stag- inauguration of “Piazzetta Salva- that of Florence. This approach in- es of the work. The restoration re- tore e Wanda Ferragamo”. By do- cludes the new agreement signed quired over 1,250 hours to clean ing so, the Mayor Dario Nardella, with the City of Florence, which the marble using lasers and 3,200 together with the members of the includes the restoration of the hours of restoration work on the city council, wished to honor the equestrian statue of Cosimo I de’ bronzes, for a total of 764 work- founder of the Brand and his wife, Medici by Giambologna in Piazza ing days. During the festivities for entrepreneurs who contributed della Signoria, the Hercules and the end of the works on the Foun- to Florence’s economic and cul- Cacus by Baccio Bandinelli and tain of Neptune, all the Company’s tural development, establishing a the copy of Michelangelo’s David employees were invited to take strong and lasting bond with the at the entrance of Palazzo Vec- part in the event organized by the city. chio, the copy of Judith and Hol- Municipality of Florence: for the ofernes on the “Arengario” plat- inauguration of the restored Foun- The Group supports Italy’s culture form of Palazzo Vecchio, and the tain, Maggio Musicale Fiorentino worldwide through additional pro- bronze copy of David at Piazzale performed the theatrical piece “E jects and donations in all the areas Michelangelo. This support, which nel marmo e nel bronzo mise ac- in which it operates. In 2019, for started in 2019, will continue over qua e fuoco” (And in the marble example, the Salvatore Ferraga- 2020 and 2021, bearing witness and bronze he put water and fi re), mo Group supported the Italian to how the relationship with art, evoking the spirit of Renaissance National Ball in Australia and the with the city of Florence and with and Baroque celebrations with a Dante Alighieri Society in Hong all its surrounding area is an inte- contemporary touch using modern Kong, as well as the association gral part of the Brand’s DNA. technologies, such as projected Save Venice in the United States. images, lights and sound. In addition, in May 2019 the new Moreover, thanks to Salvatore Museum of the Statue of Liberty, Ferragamo, in 2019 the Fountain Over the years, Salvatore Fer- dedicated to the history and the of Neptune - the so-called “Bian- ragamo’s charitable contributions ideals that the Statue embodies, cone” was inaugurated in Piazza have allowed to reopen 8 rooms was opened in New York. At the della Signoria in Florence. It was of the Uffi zi Gallery, containing ap- entrance to the museum there are returned to its original splendor proximately fi fty major works of 50 stars, as many as on the Ameri- by a careful and thorough resto- art from 15th-century Florence, as can fl ag. Each star is a dedication ration program. This gave the city well as to renovate Florence’s Col- left by the patrons of this project back its most famous fountain in onna della Giustizia in Piazza San- and the Ferragamo family, which all its renewed glory thanks to the ta Trinita and Santa Trinita Bridge supports the museum, decided to reactivation of the water system and curate the exhibition of Leon- dedicate its star to Salvatore and which feeds the majestic water ardo’s Saint Anne painting, usually Wanda Ferragamo, so that the features and which, for the fi rst on display at the Louvre Museum memory of them as well as their time in history, brings to life the in Paris. In addition, the Company story remain alive alongside that scenarios imagined and desired by helped preserve Florence’s cultur- very monument which welcomed the designer Bartolomeo Amman- al heritage by participating in the the Founder and many others to nati. The restoration of one of the British Institute of Florence’s fun- the United States. best known and most loved monu- draising campaign for the renova- ments in the city, presented in the tion of the Harold Acton Library lo- Since it cares deeply about wom- year that celebrates 500 years cated in Lungarno Guicciardini and en’s and children’s health, in 2019 since the birth of Cosimo I who supported the renovation of the Salvatore Ferragamo launched an commissioned the work and Ca- Campatelli Tower-House, a mid- important three-year collaboration terina de’ Medici, was supported 12th century architectural master- (2020-2022) with the Fondazione thanks to 1.5 million euro provided piece owned by Fondo Ambiente Meyer of the Meyer Children’s by Salvatore Ferragamo through Italiano (FAI, Italy’s National Trust) Hospital in Florence, an outstand- Art Bonus. The works, divided into and located in San Gimignano. ing center for pediatric research
64 65 and treatment. The collaboration physical and social rehabilitation, rials which would otherwise have the Italian Association for Cancer tina, which teaches art to hospital- envisages the Company’s sup- prevention, training, and palliative been destroyed. The young wom- Research, and the Tuscan Tumor ized children. In Taiwan, instead, in port for the Hospital’s newborn care. The funds raised in 2019 en produced eleven combinations Association. 2018 the Group started a major screening activities, through the were allocated to the EVA project that bear witness to their handi- activity of Christmas gifting for purchase of a new machine for that will involve the whole Florence craft skills, technical research, To help the needy and reduce less fortunate children who live in the neonatal diagnosis of rare dis- area (Florence, Prato, Empoli, and dedication to and appreciation of waste, starting from 2014, Sal- remote areas, involving employees eases and the scientifi c research Pistoia) in the fi ght against breast the concept of beauty. In addition, vatore Ferragamo has chosen who managed to fi ll 100 Ferrag- into new diseases. In addition, Sal- cancer and assistance to cancer the Company collaborated with to donate through the Banco Ali- amo shoe boxes with a range of vatore Ferragamo will contribute patients; in addition to this, it also the graphics section of the San mentare ONLUS Association (It- gifts. Furthermore, in line with the to the plan to expand the Hospital, cooperated with Florence’s LILT Patrignano Community entrusting aly’s food bank) the excess food Group’s Charity Policy, additional in particular the Parco della Salute (the Italian League for the Fight it with the printing of the Group’s from the Company cafeteria to donations were made to support (Health Park), where an important against Cancer) to support the Sustainability Report for 2018 “CEIS - Centro di Solidarietà” in local charities, including: The Tril- structure dedicated to daytime Ce.Ri.On. (ISPRO-LILT Cancer and 2019. Florence, where a canteen serves lium Health Partners Foundation activities and child neuropsychia- Rehabilitation Center in Villa delle both lunch and dinner. The Banco in Canada, Girls supporting Girls, try will be built. Rose), FILE (Italian Foundation for Since 2019, the Company has Alimentare ONLUS Association, Champions for Charity and Leu- Palliative Care) and SenoNetwork supported Flo Concept, a social which collects food and checks its kemia & Lymphoma Society in the Another initiative to support the Italia Onlus, a portal that brings to- cooperative in Florence which integrity, received approximately United States, The Korea Breast excellence of Italian hospitals saw, gether the Italian Breast Units. To promotes a new fashion business 1,300 fi rst courses, more than Cancer Foundation and Arumjigi in 2019, support for the clinical give visibility to the event, Salva- model to boost the confi dence and 1,280 second courses, and over Culture Keeper Foundation in Ko- work and research at the Lympho- tore Ferragamo made over 35,000 enhance the independence and 1,000 side dishes. rea, The British School of Tokyo in ma Unit of San Raffaele Hospital t-shirts for the participants and skills of those who are struggling Japan, The Food for Good Charity in Milan, by means of a donation. offered free entry to the Museo economically, socially or psycho- Again, as part of its charity initia- Event and Hong Kong Ballet The Salvatore Ferragamo provided Salvatore Ferragamo during the logically, through many initiatives. tives, Salvatore Ferragamo contin- Nutcracker Benefi t in Hong Kong, fi nancial support for the work of whole day, recording over 2,600 Salvatore Ferragamo allocated ued to support the Charity Star The Pearl S. Buck foundation in two young female researchers visitors. Additionally, in 2019, the the money saved from the deci- and Charity Buzz initiatives, auc- Taiwan. specializing in Medical Oncology Group donated 10% of the income sion not to print 2019 Christmas tioning off tickets for the Septem- and Hematology. Specifi cally, they of a day in March 2019 in its Mi- cards to a work grant for a young ber fashion show. The revenues In addition, also abroad the Com- study the treatment and biological lan Women and Milan Men stores Pakistani man from the coopera- obtained from the sale of the tick- pany works to support local characterization of primary and to the Italian League for the Fight tive. In addition, the Company do- ets were donated to associations communities by facilitating their secondary lymphomas of the cen- against Cancer. nated to Flo Concept over 1,000 operating in research, healthcare growth. In November 2019, during tral nervous system and indolent meters of slow-moving materials, and social integration. Specifi - the Montenapoleone Gala Night in extra-nodal lymphomas. The Lym- In 2019, the Salvatore Ferragamo which were destined for disposal, cally, Charity Star collected funds Shanghai, Salvatore Ferragamo phoma Unit consists of a dynamic Group also continued to support for the realization of gadgets and for the Made in Carcere (Made in received the 2019 Cultural & Sus- and multidisciplinary team in the the San Patrignano Community, other products. Prison) association, a social coop- tainable Award given for the Com- Onco-Hematological Area of the which has been helping the reha- erative which helps female prison- pany’s contribution to the growth San Raffaele Scientifi c Institute bilitation of young drug addicts in In line with its Charity Policy to ers rejoin society and promotes of the Jing’An district of Shanghai. consisting of doctors from various Italy for years. The money saved protect the health of women and the recycling and reuse of textiles. The award was given to the fi ve units. This clinical research group from the decision not to print children, during the year, the Sal- Charity Buzz, instead, collected companies which, in recent years, has already made important con- 2018 Christmas cards was al- vatore Ferragamo supported Tri- funds to support the research and have had the greatest impact on tributions in various areas of ag- located to four work grants, so somia 21 Onlus, the non-profi t assistance activities of the Nation- the growth of the district in social gressive and indolent lymphoma that two young women from the association born to improve the al Association for the Fight against and economic terms. and established some of the spe- weaving section and two from social and personal skills of chil- AIDS (ANLAIDS). cifi c treatments for these illnesses the leather-making section could dren with Down syndrome. Among As can be seen from the many which have been incorporated into continue their work experience in other initiatives, the Association The commitment to social respon- activities that the Group imple- most international guidelines. the Community, once their drug could count on the support of- sibility is not limited to Italy but ex- ments every year, the support and recovery program was complete. fered by the Salvatore Ferragamo tends also to all the areas in which development of local communities In September 2019, Salvatore In addition, during the inauguration Group’s employees through a fun- the Salvatore Ferragamo Group are key objectives: as evidence of Ferragamo was once again one of of the Sustainable Thinking exhibi- draising initiative. Besides Trisomia operates. In Mexico, the Group do- this commitment, it should be not- the main sponsors of the charita- tion, the young women from the 21 Onlus, during the year Salva- nated a percentage of revenues ed that over the years the Group ble sporting event “Corri la Vita”, Community’s weaving section col- tore Ferragamo hosted numer- from sales of a limited edition mod- has always endeavored to limit which in this edition achieved its laborated on a special set-up for ous associations in its company el of the Boxyz bag, developed the risk of generating actual or all-time record of over 37,000 par- the shop windows of the Salva- space for fundraising initiatives, by Paul Andrew together with potential negative impacts on the ticipants. Corri la Vita’s proceeds tore Ferragamo store in Florence, including: the Onlus Faedesfa as- the artists Frida Escobedo, Luna community. go to non-profi t projects for na- creating eleven large tapestries in sociation, which operates for the Paiva and Milena Muzquiz, to the tional health facilities specializing a range of textures, one per shop benefi t of young children affected Origen Foundation, which assists in the treatment of breast cancer window, using as the warp and the by a rare genetic illness, the Ital- women and children, and to the through psychological support, weft the Company’s waste mate- ian Multiple Sclerosis Association, Vergel Arte Foundation in Argen-
66 Sustainability Report 2019 67 68 69 MUSEO SALVATORE FERRAGAMO
In keeping with the main mes- point of view and told of their own project, and of Hollywood becom- sage conveyed, the Sustainable experiences linked to sustainabili- ing the world’s capital of the infant THE MUSEO SALVATORE FERRAGAMO IN FIGURES Thinking exhibition obtained ISO ty. Some of the top fashion and de- movie industry, the exhibition told 20121:2012 certifi cation, which sign universities and schools also the story of characters who were establishes a Management Sys- took part. The event, moderated already surrounded by the aura of tem prerequisites for the sustaina- by Camila Raznovich, opened with myth, movies that marked an era, over 290 over 41,000 ble organization of events. Among speeches by the Chairman Fer- and great directors. In addition, the objectives of the management ruccio Ferragamo and the Mayor the exhibition showed the impor- system is that of sharing the Sal- of Florence Dario Nardella, and tant role played by Italian musi- EXHIBITIONS AND PROJECTS MADE VISITORS IN 2019 vatore Ferragamo’s sustainability focused on the meaning of sus- cians in the birth of jazz music and program in its entirety, placing par- tainability, on how companies’ busi- of the many Italians who, in work- ticular attention on the stages of ness models are changing, and on ing “behind the scenes”, made an design and set-up, the choice of the state of research to improve essential contribution to the crea- over 400 500 local suppliers, and the integration our environment. The Symposium tion of the Hollywood myth. Dur- of the concepts of environmental was streamed on the CSR section ing the “Italy in Hollywood” exhibi- CONTACTS WITH SCHOOLS AND UNIVERSITIES CONTACTS WITH MUSEUMS AND INSTITUTIONS sustainability, recovery and reuse. of the Group’s website and on the tion, the Fondazione Ferragamo, Brand’s Facebook page. in collaboration with the Museo The exhibition was preceded by Salvatore Ferragamo, developed the Sustainable Thinking Sympo- In 2019, the “Italy in Hollywood” new educational programs and sium, an international meeting on exhibition at the Museo Salvatore workshops for primary and mid- sustainability and future of fash- Ferragamo ended; this exhibition dle school children and families. ion, held in the Salone dei Cinque- analyzed the presence of Italians Thanks to the educational publica- cento in Palazzo Vecchio, with in California in the early decades tion “Italy in Hollywood. Inspiration The strongest evidence of our layout of the exhibition, aimed to sustainability”, in a format that the patronage of the Municipality of the 20th century and their infl u- and know-how”, the young visitors commitment towards culture is explore the key issue of sustain- can be easily understood by the of Florence and made possible ence in various sectors, from archi- could discover and explore the the Museo Salvatore Ferragamo, ability, through a cultural and ar- various types of public who are thanks to the support of Intesa tecture to art, from craftsmanship 1920s California where Salvatore established in 1995 inside the tistic experience that tells the tale offered the chance not only to Sanpaolo. The Symposium saw to the infant movie industry. On the Ferragamo lived, amidst cinema, Group’s historic headquarters of its evolution and interpretation. learn about the issues addressed, speeches by leading personalities backdrop of the Italian migration art and crafts. by Mrs. Wanda Miletti Ferragamo The exhibition housed works by in- but also to interact with them. The from the world of fashion, archi- to these lands, which constituted and her six children. The activi- ternational artists and fashion de- exhibition, which welcomed over tecture, and art, who offered their the common thread of the whole ties of the Museum do not only signers who presented their own 35,400 visitors between April and include temporary exhibitions and interpretation of the recovery of a December 2019, draws inspira- workshops for children, the latter more thoughtful relationship with tion from the research into mate- in collaboration with the Fondazi- nature and its profound bond with rials conducted by the Founder one Ferragamo, but extend well know-how, the use of organic ma- Salvatore Ferragamo since the beyond the site of the Museum. terials and their creative use, up 1920s. Covering hemp, cellophane Specifi cally, the Museo Salvatore to highlighting the importance of a and fi sh skin, the exhibition then Ferragamo intends to represent collective commitment, of a smart explores the stories of precious the Group by exhibiting its most and common approach. The invit- materials which, on reaching the important signifi cant items, i.e. to ed artists, textile and yarn manu- end of their natural life, are trans- pass on culture within the Group in facturers and fashion designers formed into high quality products, compliance with the Brand’s iden- proposed a range of approaches concretely representing the circu- tity, to create a sense of belonging, which, albeit being individual, fo- lar economy concept. to train and spread business cul- cus on alternative manufacturing ture to the local community where processes, offering ideas for de- Calling on a scientifi c committee the Group operates and, fi nally, to sign that can enhance the differ- made up of specialists, academ- interact with other institutions. ences, use new technologies with- ics and art historians with wide out having them imposed, mix the knowledge of sustainability-related In April 2019, the Sustainable local with the global, and protect issues and on different curators Thinking exhibition was inaugurat- our ecosystem. The exhibition in- for the various sites, the Sustain- ed at the Museo Salvatore Ferrag- cludes recent materials, works able Thinking project envisaged amo, a narrative experience which and items of clothing that are exhibitions also in other prestigious follows the Founder Salvatore sometimes made to order for an locations around the city: Palazzo Ferragamo’s groundbreaking intui- occasion, and projects aimed at Vecchio, home of the City Council, tions on the use of natural, recy- exemplifying and breaking down which is one of the most important cled and innovative materials, and the multiple and essential forms artistic sites in the city, and the the latest green experiments. The of “an ethic and an aesthetic of Museo Novecento.
70 Sustainability Report 2019 71 The Museum constantly coop- contribution to the European Week In addition, in 2019 the Museo Sal- erates with many institutions, of Sustainable Development. For vatore Ferragamo was included schools and universities through- 17 days, were organized event, in the Google About platform as out Italy, sometimes offering re- such as: meetings, seminars, work- an Italian success story: the pres- duced-price entry tickets to the shops, exhibitions and shows, to ence on the Google Arts & Culture Museum and organizing special draw attention to the United Na- international platform resulted in tours. Here below are the main ini- tions’ 17 Sustainable Develop- an increase in the presence of tiatives in this area: ment Goals. On this occasion, the young people in the rooms of the • renewed partnership with France Museo Salvatore Ferragamo, in Museum, while enabling the virtual Odeon, the French fi lm festival collaboration with the Fondazione visit of the exhibition. that has become one of Florence’s Ferragamo, took part in the pro- most important cultural events and ject by offering the chance to visit celebrated its 11th edition. During the Sustainable Thinking exhibition the festival, the actresses Bene- with cut-price entry. detta Porcaroli and Zita Hanrot received the “Essence of Talent” In 2019, the Group continued award sponsored by Ferragamo working together with leading Ital- Parfums, which was the event’s ian cultural institutions such as main sponsor; Museimpresa, the Italian associa- • renewed partnership with the tion of company museums and ar- River to River Florence Indian Film chives, the Portal of the 20th Cen- Festival, which celebrated its 19th tury Fashion Archives at Rome’s edition in December 2019 at the State Archive, ANAI (the Italian Great Hall of the cinema La Com- National Association of Archivists) pagnia and was sponsored by the and Europeana Fashion, the Eu- Indian Embassy. River to River is ropean digital library to which the the world’s fi rst festival entirely Salvatore Ferragamo Group sub- dedicated to Indian cinema and mitted more than 1,000 records movies about India; of historic footwear. The Museo • renewed partnership with the Salvatore Ferragamo is part of 12th edition of the Schermo ICOM (International Council of dell’Arte Film Festival. This one-of- Museums), the most important a-kind project in Italy dedicated to and prestigious international or- the multiple interactions between ganization for museums and mu- cinema and contemporary art fea- seum professionals. tured avant-garde fi lms and docu- mentaries, including several Italian As a member of the Italian Asso- and world premieres; ciation of Business Archives and • renewed partnership with the Museums, the Museo Salvatore Strings City festival, a music Ferragamo took part in the Week marathon featuring 80 string mu- of Business Culture, the series of sic events for a total of 50 hours events promoted by Confi ndustria across more than 50 locations. The that, through meetings, workshops, Museo Salvatore Ferragamo, with fi lms and guided tours, informed an event offering free entry, gave visitors about the huge cultural visitors the chance to see the con- heritage safeguarded in the mu- cert by the orchestra of Tuscany seums and archives of small, me- in a room of the Museum. In order dium and large Italian companies. to offer a unique experience and The theme: “To the highest stand- at the same time to raise aware- ard. The Italy of business cultures: ness of the important Sustainable inclusive and sustainable”. In this Thinking project, the concert was stimulating and culturally vast sce- followed by a guided tour of the nario, the Museum provided free exhibition; guided tours for adults and chil- • between May and June 2019, dren for four days. took place the Sustainable Devel- opment Festival, the main Italian
72 Sustainability Report 2019 73 FONDAZIONE FERRAGAMO
THE FONDAZIONE FERRAGAMO IN FIGURES ≈ 30,000 8
ITEMS AND MODELS CATALOGUED NATIONAL AND INTERNATIONAL SCHOOLS IN THE HISTORICAL ARCHIVES INVOLVED IN THE YOUNG TALENTS PROJECT IN 2019
≈ 600 oltre 6,700
ADULTS PARTICIPATING IN WORKSHOPS IN CHILDREN PARTICIPATING IN WORKSHOPS 2019 FROM 2013 TO 2019
On 15 March 2013, the Ferraga- for children, and various kinds of ion Archives as well as for the Eu- mo Family set up the Fondazione initiatives for the young - the main ropeana Fashion portal. Ferragamo in Florence to promote benefi ciaries of an institution that the values of craftsmanship and considers handing down technical In 2019, the transfer of the whole Made in Italy as well as to invest expertise and educating people Group’s Historical Archive, dedi- in the education and training of one of its main goals. cated to Fiamma Ferragamo di those seeking a career in the world San Giuliano, to a space at the of fashion, design, and the most The Fondazione Ferragamo is at Osmannoro premises in Florence, elegant and artistic forms of Ital- the forefront in managing and pro- was completed. The physical re- ian craftsmanship, in keeping with tecting its archive, which is made unifi cation of the various collec- the values and style of Salvatore up of heterogeneous funds that tions in a single location enabled Ferragamo’s works. The Founda- are implemented each day. The an improvement in the security of tion intends to promote knowledge Archive allows to protect and pro- the cultural heritage in terms of and recollection of Salvatore Fer- mote the Salvatore Ferragamo conservation, safeguarding and ragamo’s work and personality in Group’s historical-artistic heritage, control. In addition, the establish- order to enhance and disseminate which represents the memory of ment of a consultation area makes them and to let the global audi- an entire industrial and social cul- it possible to enhance and dissem- ence learn of his artistic qualities ture. It is a constant source for inate more effectively the con- and of the role he played in the inspiration that is consistent with tents of the archive and facilitates history not only of shoemaking, the Brand’s identity, as it pre- the research process. but also of international fashion. serves its history and infl uences the communication and work of In 2019 the work, which started in In order to achieve these objec- the designers and marketers de- 2017, involving processing, dispos- tives, the Foundation intends to veloping new products. The or- al and digitalization on the Group’s safeguard and promote the Fer- ganization, processing and sharing historic press archives, focused ragamo Historical Archive, which of information is possible thanks on the digitalization of articles includes garments, accessories, to the use of the cataloguing soft- mentioning “Ferragamo”. In total, documents and photographic ma- ware Samira, which can meet the 5,134 articles were digitalized dur- terial, organizing training courses widest possible management and ing the year. In addition, thanks for fashion, creating prizes and dissemination needs of archives to the mass cataloguing process, study grants and collaborating with and museums. As a testament to developed in collaboration with the Museo Salvatore Ferragamo. its effi ciency and functionality, the the Information Systems Division The Foundation regularly holds cataloging system used by the and specialist external suppliers, conferences and events open to Historical Archive was taken as a the year’s press archives were the residents of Florence and the case history for the project of the loaded on the software as well as general public, learning workshops Portal of the 20th Century Fash- the archives for the years 2003
74 Sustainability Report 2019 75 to 2018, thus enabling the cata- the Liceo Classico Michelangiolo, For the fi fth consecutive year, brief provided by Paul Andrew, the Fondazione Ferragamo, on the attendees’ areas of interest. loguing of 112,590 articles. The whose students focused on the the Foundation collaborated on the Creative Director of Salvatore the agenda for “The Keys of the After a presentation dedicated to interface created will make it pos- archiving and reorganization of the the “Blogs & Crafts” competition Ferragamo. The brief required the City”, for the 2019-2020 academ- Brand Heritage by the Director of sible to archive and acquire digital photographic, printed and digital for young artisans and bloggers, use of the patchwork technique, ic year and among the propos- the Museum and the Foundation, fi les for the press archives for all material related to catalogs, fash- promoted by the Florentine event which makes it possible to express als of FAMU, the National Day of a guided tour of the exhibition cur- the years to come, enabling sig- ion shows and advertising cam- “Artigianato e Palazzo”, which in creativity freely and corresponds Families at the Museum, held on rently on at the Museo Salvatore nifi cant savings in terms of man- paigns of the years 1990-1993, 2019 was in its sixth edition. The to the criteria of sustainability in 13 October 2019. Ferragamo is included, as well as aging space and physical mate- and with the Benvenuto Cellini In- initiative supports the new gen- fashion since it gives new life to a visit to the Foundation and the rial. From among the huge initial stitute, specializing in textiles and erations of artisans and increases waste materials, which would oth- Finally, as part of the partner- Historical Archive. number of magazines, the historic fashion, whose students contrib- online and social media visibility, erwise be destroyed. In addition, it ship and training activities for the publications were conserved as uted to the analytical implementa- to create a productive combina- is one of the stylistic tenets of Sal- Work-Based Learning Program, in Finally, since 2016 the Foundation well as those of particular inter- tion of the cataloguing forms for tion of “doing” and “communicat- vatore Ferragamo who, since the 2019 the Foundation undertook has been working together with est for the Company. Of the re- part of the clothing archive. ing”. In May 2019, a selection of 1920s, created patchwork uppers a project with the Liceo Classico the Salvatore Ferragamo on the mainder, periodic donations were 10 artisans aged under 35 had fascinated as he was by the possi- Michelangiolo in Florence, linked renovation, decoration and embel- made to the Polimoda Library and Since 2016, the Fondazione Fer- the chance to exhibit for free their bility of combining different colors to the Sustainable Thinking exhibi- lishment of the workspaces, both to the Marangoni Institute of Flor- ragamo has hosted the biennial products in a dedicated area in and materials in infi nite ways. The tion, which addressed issues such by selecting existing fi xtures and ence, which accepted around 600 cataloguing seminar organized in the evocative setting of the Cors- models proposed were evaluated as sustainability, defending the en- fi ttings and designing new ones, magazines. collaboration with the Anna Maria ini Garden in Florence, at the 25th by a jury consisting of James Fer- vironment, social responsibility in as well as evaluating spaces and Enriques Agnoletti School of Ar- edition of “Artigianato e Palazzo”. ragamo and Paul Andrew, respec- the fi eld of fashion and elsewhere, preparing specifi c projects. Education and training are some chiving, Paleography and Diploma- The ten young talents selected tively the Deputy Chairman and presented from the viewpoint of key objectives around which the cy of the Florence State Archive. during the competition were also Creative Director of Salvatore young high school students. After Foundation plans its work. Among The students are focusing on the invited to visit the Company’s Mu- Ferragamo, and by fashion jour- taking part in a training course, other initiatives, the Fondazione reorganization and analytical fi ling seum and Historical Archive. nalists, infl uencers and experts students drew up and read out Ferragamo hosts “Ideas and cre- of the Decorative Books, i.e. al- in new trends. The fi nal projects short texts to freely express their ativity workshops” for children, bums of samples of designs and During 2019, the Fondazione Fer- were exhibited in a temporary ex- thoughts on the topic. On this oc- teenagers and adults dedicated decorative motifs, which were his- ragamo collaborated with the Mu- hibition which took place at Pitti Fi- casion, the video “Sustainable to craftsmanship, fashion, and torically used in the company as seo Salvatore Ferragamo and with lati, a prestigious event organized Thinking according to the young” design. To celebrate holidays or inspiration to create silk accessories. the Company on the realization of in Florence in June 2019. The win- was shot by the video maker Roc- events concerning children, the several projects linked to the Sus- ning female student was offered co Gurrieri, which was then includ- Museum organizes learning activi- The Foundation, in collaboration tainable Thinking exhibition. the chance to undertake an intern- ed at the end of the exhibition in ties or guided tours for the whole with the Museo Salvatore Fer- Of particular interest was the pro- ship in the creative divisions of the the Museo Salvatore Ferragamo. family, aimed at bringing adults and ragamo, in April 2019 participated ject “Young Talents for Sustain- Company. children together. The Foundation in the three-day festival “The Flor- able Thinking”: a contest aimed The activities promoted by the also continues the development ence of Children. Like Leonardo”, at eight national and international During the “Sustainable Thinking” Foundation were also targeted at of the “Musei da favola” project, which featured special events pro- fashion schools on the theme of exhibition, the Foundation Fer- the Company’s employees and which was launched in 2013 in moted by the Municipality of Flor- sustainability and recycling. The ragamo, in collaboration with the their families. In 2019, the Foun- collaboration with the School and ence and organized by MUS.E. schools called on to take part in Museo Salvatore Ferragamo, also dation, in collaboration with the Youth Department of the Uffi zi For the occasion, the Fondazione the project were: Aalto University developed new educational pro- Sustainability team, organized Gallery and offers thematic itin- Ferragamo created the Sustain- in Helsinki, Accademia Costume & grams and workshops for primary 4 events for the children of Sal- eraries in Italian and English allow- able Genius format, proposing six Moda in Rome, Coconogacco in To- and middle school children and vatore Ferragamo’s employees, ing families to discover Florence’s workshops linked to the Sustain- kyo, IED in Milan, the London Col- families. Thanks to the publica- allowing them to visit the place main museums and cultural land- able Thinking exhibition and dedi- lege of Fashion, Parsons School tion “Sustainable Thinking. Think where their parents work and marks, including the Museo Salva- cated to sustainable creativity. of Fashion in New York, Polimoda sustainable to change the world”, learn about the values that char- tore Ferragamo. Children and teenagers created in Florence, and Donghua Univer- young visitors were invited to ex- acterize the Brand’s history. original works of art using plas- sity in Shanghai. Students were plore the world of sustainability As part of its efforts to support tics and other recycled materials, invited to realize projects on the through the language of art and The Fondazione Ferragamo or- Florence’s schools, since 2017 the learnt how a loom works and made theme of sustainability and recy- fashion, addressing issues linked ganizes induction days for new Foundation has also participat- textiles using scrap from industrial cling using materials, which would to the environment and society, hires and the Group’s creative ed in the Italian ministerial Work- processing. In addition, they were otherwise be destroyed, that Sal- interacting with different types departments, at which Salvatore Based Learning Program by offer- able to refl ect on and discuss with vatore Ferragamo donated to the of materials and refl ecting on the Ferragamo’s Brand Heritage is ing high-school students an inside their peers and teachers issues individual schools. These materials future of the planet thanks to the presented. Given the important view of how a company archive is around environmental and social were integrated with other recy- works of international artists and educational value of this activity, managed and the chance of con- sustainability, which are important cled materials, with a view to cir- designers. This year, for the fi rst a structured format has been cre- tributing to its implementation. In for their future and for that of the cular creativity. Each participant time, the publication was made ated so that it can be used in all 2019 two agreements with Floren- planet. created a product by choosing be- available also in English. The pro- general presentations for new re- tine high schools, called “Business tween a women’s shoe, bag or gar- gram was included by the Munici- cruits and implemented with spe- archive”, were activated: with ment, following the criteria of the pality of Florence, as a project of cifi c in-depth analyses based on
76 Sustainability Report 2019 77
PROTECTING THE ENVIRONMENT
Responsible consumption Emissions monitoring Green initiatives
“Ferragamo takes a strategic step on the road to environmental sustainability, and it does so by deploying a range of cultural, artistic and industrial projects”.
Il Sole 24 ore - Moda 24
80 81 PROTECTING THE ENVIRONMENT
Salvatore Ferragamo has always put environmental sustainability at the THE GROUP’S MILESTONES - 2019 heart of its development policies. To protect the environment, the Group aims to positively contribute to safeguarding it through strategies and ini- tiatives intended to minimize the environmental impact of its operations. In 2019, Salvatore Ferragamo obtained ISO 14001:2015 certifi cation, OVER 3,200 which defi nes an Environmental Management System, for all its Italian of- fi ces and stores. In the Environmental Policy, which is linked to obtaining PHOTOVOLTAIC PANELS INSTALLED ON THE NEW LOGISTICS HUB the certifi cation, the Company identifi es respect for the environment as a key variable in its growth strategies. For this reason, the Group, as its leading commitment, makes available human, practical and economic re- sources and assets which are needed to achieve the environmental im- provement goals. The commitment taken on by obtaining ISO 14001 certifi cation joins the LEED PLATINUM many Management Systems linked to emissions monitoring and responsi- CERTIFICATION ON SUSTAINABLE DESIGN OBTAINED FOR THE NEW ble use of energy resources, which the Company has adopted over the LOGISTICS HUB years. In 2019, Salvatore Ferragamo extended the ISO 14064:2012 certi- fi cation to all the Italian stores, after achieving it in previous years for the Italian offi ces and the Museo Salvatore Ferragamo. In 2019, the Company maintained the ISO 50001:2011 certifi cation for the Osmannoro site. By adopting the Group Sustainability Policy in 2017, which defi nes the commitment to the environment and ecosystems, the Group formalized its ≈ 8,000 MQ desire to work to reduce the consumption of materials such as paper and DEDICATED TO A NEW GREEN AREA AT THE OSMANNORO SITE plastic, promoting the use of certifi ed and traceable alternative sources, and to monitor effi ciency in the use of energy and water resources, meas- uring and evaluating greenhouse gas emissions, with a view to reducing environmental impacts. To Salvatore Ferragamo, protecting the environment also means promot- ing sustainable mobility initiatives for its employees as well as monitoring ISO 14001 the retail area’s consumption and impacts, to constantly improve its envi- ronmental effi ciency. ENVIRONMENTAL MANAGEMENT SYSTEM CERTIFICATION OBTAINED FOR ALL OFFICES AND STORES IN ITALY
ISO 14064 CERTIFICATION ON MONITORING OF GREENHOUSE GAS EMISSIONS EXTENDED TO ALL ITALIAN STORES
ISO 20121 CERTIFICATION ON THE SUSTAINABLE MANAGEMENT OF EVENTS OBTAINED FOR THE SUSTAINABLE THINKING EXHIBITION
82 Sustainability Report 2019 83 RESPONSIBLE CONSUMPTION3 THE SALVATORE FERRAGAMO GROUP IN FIGURES
With a view to environmental pro- emissions, a procedure has been the Osmannoro site the method of 2019 2018 tection, the Salvatore Ferragamo adopted to manage temperatures waste collection was revised, with Group pays close attention to its in the work areas at the Osman- the installation of new waste con- NATURAL GAS CONSUMPTION (GJ)6 14,640 10,787 consumption, promoting several noro site. By complying with the tainers and new labeling. initiatives to improve effi ciency. parameters indicated in the pro- ELECTRICITY CONSUMPTION (GJ)7 113,898 108,511 During 2019, Salvatore Ferrag- cedure, it is possible to obtain a NON-RENEWABLE FUEL CONSUMPTION (GJ) 10,682 9,058 amo drew up the Management 34-ton annual reduction in CO2. System Guidelines – HSE & En- The procedure, which regards the TOTAL ENERGY CONSUMPTION (GJ) 139,220 128,356 ergy, with the aim of disseminating management of temperatures in throughout the whole Group a sig- both winter and summer, is one nifi cant level of awareness about of the initiatives adopted by the health and security, environmental Company to improve energy ef- 3 On the basis of their availably and materiality, the data for 2018 and 2019 have the following limitations: protection and increased energy fi ciency and compliance with en- - as for energy consumption, on the basis of the scope under consideration, approximately a 3,000 headcount in both 2018 and 2019: effi ciency. These standards and vironmental sustainability stand- -natural gas consumption accounted for 83% and 81% of the scope in 2018 and 2019, respectively; principles, which also establish the ards. In addition, multi-meters are - electricity consumption accounted for 91% and 92% of the scope in 2018 and 2019, respectively; roles and responsibilities of the present at the Osmannoro site in - non-renewable consumption accounted for 83% and 81% of the scope in 2018 and 2019, respectively. main stakeholders involved, will be order to constantly monitor con- - as for water consumption and waste production, on the basis of the scope under consideration and set out in the "Methodology" section, approximately a 1,300 headcount in both 2018 and 2019: shared in 2020 with all the foreign sumption. - water consumption accounted for 80% and 81% of the scope in 2018 and 2019, respectively; Regions. - the production of waste accounted for 77% and 79% of the scope in 2018 and 2019, respectively. The Group promotes a sensible The figures for 2018 and 2019 are directly provided by the companies that handle waste disposal. In 2019, the Salvatore Ferragamo and responsible use of the water 4In 2018, water consumption stood at 39,544 m3 (56% of water extraction was from aqueducts, 2% from aquifers and 42% from surface water). Group consumed 14,640 GJ of for hygiene-sanitary purposes. 5In 2018, the production of waste stood at 1,051 tons (of which 99.4% was non-hazardous waste and the remaining 0.6% hazardous waste). Of this, 8.6% natural gas. Electricity consump- During 2019, water consumption was recycled, 0.2% was incinerated, 22.2% treated in tips and the remaining 69% through other disposal methods. tion stood instead at 113,898 GJ. in relation to the Group’s offi ces 6The increase in natural gas consumption recorded in 2019 is attributable to the normal performance of business activities 7 In relation to the consumption of alone was 47,453 m³ (of which The increase in electricity consumption recorded in 2019 is due to the improvement in the data collection process and the related methods for making estimates. non-renewable fuel, i.e. diesel and 51.8% from the aqueduct and 4 petrol, this stood at 10,682 GJ 48.2% from surface water) . For some Group stores, the data relating to consumption provided in this chapter are hard to source given the location of the stores, the nature of their activities in 2019. As for the Italian scope, and the indirect management of these types of data. Finally, some data could be based on estimates or calculations. 100% of the energy used comes In addition, the Group is commit- from renewables thanks to the ted to reducing the production of purchase of certifi ed energy waste arising from its operations, through a guarantee of origin. In raising awareness among its em- 2019, the solar energy system ployees about properly managing at the Osmannoro site saw the and disposing of garbage, encour- installation of other photovoltaic aging to reuse and recycle ma- fi elds, which increased the over- terials as well as minimize waste. all installed power to 1,307 kWp: Waste production in 2019 stood thanks to the photovoltaic panels, at 1,386 tons (of which 99.6% the electricity self-generated by was non-hazardous waste and the Company was 1,673 GJ, i.e. the remaining 0.4% was hazard- around 6% of the Company’s to- ous waste)5. Among the waste tal consumption. As regard ener- produced in the year, 10.4% was gy effi ciency, of particular impor- recycled, 46.3% was reused, tance is the presence, in several 0.2% was incinerated, 40.7% was buildings at Osmannoro, of a com- treated in landfi lls and the remain- puterized management system, ing 2.4% through other disposal the Building Management System methods. (BMS), which enables the control and monitoring of the mechanical The Company is also active in the and electric systems, such as for training and empowerment of its example micro-climate and illumi- employees. In 2019 it internally nation, depending on the amount released a video aimed at raising of natural light from outside. In or- employees’ awareness on contain- der to improve the micro-climate in ing consumption, providing ad- all the work areas, thus ensuring vice on good practice for waste thermal comfort and a reduction disposal, energy saving and CO2 in the use of fossil fuels and CO2 emissions reduction. In addition, at
84 Sustainability Report 2019 85 The Salvatore Ferragamo Group, was used made with by-products each type identifi ed. In selecting in keeping with responsible man- of agro-industrial processes, such its packaging suppliers, Salvatore agement of its business, is strong- as residues of citrus fruits, grapes, Ferragamo verifi es that not only ly committed to reducing the con- cherries, lavender, corn, olives, cof- they are based locally, which is the sumption of materials such as pa- fee, hazelnuts and almonds, which, main guarantee of Made in Italy per and plastic. As regards paper now saved from disposal, replace quality, but also that they have im- packaging for the retail business, up to 15% of the tree-based cel- portant certifi cations such as ISO the Salvatore Ferragamo Group lulose. Furthermore, this paper is 9001, ISO 14001, SA8000, OH- has favored paper certifi ed by FSC, recyclable, 100% composta- SAS 18001, GOTS, OEKO-TEX the Forest Stewardship Council ble and 100% produced with self- and BCI. (FSC), which bears witness to cor- generated green energy. rect forest management and the In addition, for packaging of some traceability of paper products. The bags used for products eCommerce shipments, the Com- The FSC logo guarantees that the such as footwear, bags and ac- pany uses bubble wrap made from product is made of raw materials cessories, as well as most cov- renewable plant sources that can harvested from forests managed ers used for clothing, are Made in be disposed of as organic waste according to sustainable princi- Italy and 100% made of cotton. together with animal and vegeta- ples. The iconic red packaging, in In addition, the Company under- ble food scraps, since it is com- addition to being “Made in Italy” as took an assessment process on postable and biodegradable. well as fully recyclable and biode- some sustainable materials, with gradable, is also post-consumer, a view to replacing the materials As for non-packaging materials i.e. up to 40% composed of recy- with the greatest environmental such as catalogs, invitations, leaf- cled fi bers and the remainder of impact that are currently used lets, stationery and, in general, ECF (Elementary Chlorine Free) in its packaging, such as plastic. printed materials, the Group is cellulose, which is treated with In this regard, following the re- placing increasing emphasis on ecological processes. These char- lease of the European “Single-use ensuring that they are made with acteristics make it possible to use Plastics” Directive, which aims to FSC certifi ed paper, inks and pro- the related symbols on Corporate prevent and reduce the impact cesses that do not negatively im- and Outlet packaging and Muse- of particular plastic products on pact the environment, integrating um shopping bags. In 2019, the the environment and promote the this goal in the Sustainability Plan. Group enhanced its use of FSC transition to a circular economy, Finally, in order to further reduce and post-consumer paper and the Company assessed its use the use of paper, in 2019 the IT undertook, as part of its Sustain- of single use plastic, in order to procedure for the digital storage ability Plan, to extend the use of map the quantities of single-use of paper archives was adopted. such paper also to other product plastic and identify concrete solu- categories. tions to eliminate and/or reduce its consumption. The assessment in- In 2019, for the packaging and cluded site visits to premises and print material of the “Gilio” capsule stores and, as the fi nal output, collection, which is part of the Fer- the drafting of guidelines in order ragamo’s Creations line, a paper to replace single-use plastic for
MATERIALS CONSUMPTION (Kg) 2019 2018
A3 PAPER 3,350 2,725
A4 PAPER 27,818 32,980
PLASTIC CLOTHING BAGS 3,819 5,078
NYLON CLOTHING BAGS 1,057 3,218
COTTON CLOTHING BAGS 16,455 2,326
Sustainability Report 2019 87 88 89 EMISSIONS MONITORING8
CARBON FOOTPRINT 2019 2018 tify the best international practic- amo pursued many initiatives in or- 2017 the project involved planting es in the management, measure- der to reduce its environmental im- approximately 230 native trees, ment and verifi cation of data and pact. In 2019 the agreement with also with the help of some of the
SCOPE 1 - Direct emissions (t CO2 eq) 1,308 1,034 information related to greenhouse UPS was extended to offset all Parent company’s employees, and gas emissions, and its extension to the emissions caused by deliveries was made possible thanks to the all the Group’s Italian offi ces rep- in Europe and the United States of partnerships with local institutions SCOPE 2 - Indirect emissions associated with electricity generation (t CO2) 13,268 12,517 (location-based) resented an important progress in products ordered through eCom- and entities such as LifeGate, the path of continuous improve- merce. This offset takes place by Carbonsink, and the Department ment towards ever higher sustain- adhering to carbon neutral pro- of Agri-Food Production and En- SCOPE 3 - Indirect emissions attributable to the product (t CO eq) 41,250 n.a. 2 ability standards. jects and in 2019 over 31.53 tons vironmental Sciences. The pro-
of CO2 eq. were offset. As from ject will bring several social and SCOPE 3 - Indirect emissions not attributable to the product and, in 3,498 2,832 Since 2017, bearing witness to July 2019, the offset programs environmental benefi ts: from an
particular, linked to business travel (t CO2 eq) the Group’s commitment to re- were also extended, thanks to the improved air quality, with positive duce environmental impacts, Sal- partnership with DHL Express, implications for public health, to a
vatore Ferragamo has voluntarily which envisages the offset of CO2 new green area that will promote The signing of the Fashion Pact almost all9 the Group’s upstream logistics were 41,250 tons of taken part in the Carbon Disclo- emissions resulting from the deliv- local biodiversity and enhance the sure Project (CDP) to report on eries for the daily replenishment urban landscape, and it will give lo- in August 2019 further enhanced and downstream shipments. Spe- CO2 eq. the commitment taken on by the cifi cally, for the upstream stage, in- CO2 emissions. The goal of the of European stores, amounting to cal schools the opportunity to con-
Group to reduce its environmental formation was collected relating to In order to facilitate the develop- CDP is to promote transparency around 13 tons of CO2 eq. duct play-based learning activities impact in terms of climate change. the movement from the raw mate- ment and implementation of plans about the emissions generated in the fi eld of biology, ecology, and
The reduction and offsetting of rial suppliers to the Raw Materials to manage greenhouse gases by by businesses, cities, states, and In order to reduce CO2 emissions nature preservation. Through the regions, allowing anyone to obtain from the delivery of goods and methodology approved and recog- CO2 emissions is thus one of the Warehouse at Osmannoro, from the organization itself, in 2019 Sal- priorities established by the Group the Raw Materials Warehouse to vatore Ferragamo extended the information on the environmental products over a short distance, in nized by the UNFCCC (United Na- in its Sustainability Plan. the contract manufacturers and ISO 14064:2012 certifi cation to impacts of each of these entities. 2019 the collaboration with UBM tions Framework Convention on from the latter to the Finished the Italian stores. The certifi ca- The assessment was conducted bike couriers, for the deliveries of Climate Change), starting from the Curbing greenhouse gas emis- Products Warehouse at Osman- tion, which was already obtained for the “Climate Change” section orders placed by customers at the species’ biomass it was possible to sions and calculating the Compa- noro. As for the downstream in 2018 for the Osmannoro facility through a comprehensive survey Milan stores, continued. Again, for estimate the quantity of carbon di- ny’s carbon footprint play a key stage, the collection of information and the offi ces located in Milan, in on emissions and consumption. the same purpose, collaboration oxide so far absorbed by the trees role in the Group’s commitment regarded the movements from 2017 for Palazzo Spini Feroni and Salvatore Ferragamo obtained, started with Ecopony, an express in the Park of Ideas, at around to protecting the environment. the Finished Products Warehouse in May 2016 for the Salvatore Fer- again in 2019, a score of B, which courier service by bike, which ena- 1,771.04 Kg of absorbed CO2. In this context, in 2019 a project at Osmannoro to European cus- ragamo Museum - the fi rst green is higher than the general average bles the Florence store to deliver This estimate was made through relating to the calculation of emis- tomers/stores and to other ware- company museum in Italy - aims for the apparel design sector and in the city without releasing any non-destructive methods using al- sions attributable to the Scope 3 houses/customers/stores world- to quantify the greenhouse gas higher than the general average. In CO2 emissions into the atmos- lometric equations, which make it “Logistics” category was started. wide and the deliveries from Local emissions connected to the activi- this respect, the Company is en- phere. possible to determine biomass on The number of movements, the Warehouses (outside the EU) to ties carried out. Obtaining the ISO gaged in developing new initiatives the basis of diameter. Salvatore weight transported, and the dis- customers/stores worldwide. Total 14064 certifi cation, as specifi ed that can further improve perfor- In addition, with a view to reducing Ferragamo met the costs for the tance traveled were calculated for GHG emissions from the Group’s in the related Policy, allows to cer- mance in terms of transparency the environmental impact linked maintenance of the Park of Ideas and reporting. to the supply chain, the initiative from 2017 to 2019. aimed at promoting the reuse of The reduction of the environmen- cardboard boxes by footwear The search for sustainable mobil- 8 On the basis of the availability and the materiality of the data, the scope under consideration, with approximately a 3,000 headcount in both 2018 and 2019, tal impact and of CO emissions manufacturers, in order to reduce ity solutions is another key aspect has the following limitations: 2 released into the atmosphere is CO emissions from the produc- of the Group’s sustainability vi- - the emissions from natural gas and non-renewable fuel consumption (SCOPE 1) and electricity consumption (SCOPE 2) cover the same scopes set out in 2 the note on page 85; a key issue also in the Environ- tion of cardboard, continued. The sion. In Italy, Salvatore Ferragamo - the emissions related to rail business travel (SCOPE 3) accounted for 82% and 81% of the scope in 2018 and 2019, respectively; mental Policy formalized by Sal- pilot project, which started in 2016 has appointed a mobility manager - the emissions related to air business travel (SCOPE 3) accounted for 81% of the scope in 2018 and 2019. vatore Ferragamo S.p.A., in line and extended to six of the Group’s to optimize employee travel and
SCOPE 2 market-based emissions totaled 9,687 and 10,154 tons of CO2 in 2018 and 2019, respectively. with the requirements of the En- main contract manufacturers, led promote solutions allowing to curb The factors used in 2018 and 2019 to calculate SCOPE 1 and SCOPE 3 emissions are those issued by the Department for Business, Energy & Industrial vironmental Management System to a saving of over 20 tons of CO2 environmental impacts. In 2019 Strategy in 2018 and 2019. ISO 140001:2015, adopted for in 2019 thanks to the saving of the collaboration with JoJob, an The factors used to calculate SCOPE 2 location-based emissions in 2018 and 2019, respectively, are those published by Terna for 2016 and 2017. The factors all the sites in Italy and the stores. emissions from the manufacture innovative company carpooling used to calculate SCOPE 2 market-based emissions in 2018 and 2019, respectively, are those published by the AIB (Association of Issuing Bodies) in 2018 and 2019, while for non-European countries and Austria the data used were those published by Terna for 2016 and 2017. The policy envisages action by the of new cardboard. service which makes it possible to Company on its processes and share a car with work colleagues SCOPE 2 emissions are expressed in tons of CO2; however, it is specifi ed that the percentage of methane and nitrous oxide has a negligible effect on total greenhouse gas emissions (CO2 equivalent), as can be inferred from the technical literature. products to keep atmospheric Another environmental protection or with employees of companies 9The stretch between raw material suppliers and contract manufacturers was excluded since it accounts for less than 10% of the total deliveries of the raw emissions under control, in order initiative was the fi nancing and nearby, continued. The initiative, in materials purchased. to identify and monitor the envi- creation of the Parco delle Idee addition to saving money, reduces
ronmental indicators. (Park of Ideas) on land owned by CO2 commuting emission and in The increase in scope 1 and scope 2 CO2 emissions generated by the Group in 2019 compared to 2018 is connected to the increase in electricity consumption, attributable to the refi nement of the data collection process and the related estimation methodologies, and to the increase in natural gas consumption, the University of Florence at Ses- 2019 saw a 10% increase in regis- attributable to normal conducting business activities. During the year, Salvatore Ferrag- to Fiorentino’s Scientifi c Hub. In tered employees. Since 2018, the
90 Sustainability Report 2019 91 GREEN INITIATIVES carpooling service has been inte- tives such as bike to work, during and to promote a sustainable ap- Over the years, the Group has Furthermore, measures consist- obtained a recognition by the grated by Bici&Piedi, which allows which participants were shown the proach to employee mobility. taken action to obtain the main ent with the LEED standard have Green Shop Alliance Award 2019, anyone coming to work on foot or safest and easiest route to reach environmental certifi cations for its been implemented for both me- which classifi ed the Ferragamo by bike to take part in the initiatives the Osmannoro site by bike, a ride Finally, in 2019 the Group con- sites, extending this commitment chanical and electrical systems, store as the 2nd runner-up for the and to reduce CO2 emissions. In through the city of Florence, which fi rmed the preferential agree- also to the retail area. such as the use of lamps that award “Best Green Practice in addition, with the aim of promoting saw the participation of over 400 ments in favor of its employees reduce light pollution to a mini- Shops (Retail Sector)”. sustainable mobility and the use people, and a conference on road with car and motorcycle manufac- In 2019, the Salvatore Ferragamo mum. In addition, the construction of JoJob, prize competitions were safety held at Palazzo Vecchio in turers that offer hybrid or electric Logistics Hub, a building of around work was made more sustainable After having been obtained in organized, both for carpooling Florence. vehicles and car sharing services. 20,000 sq.m. which was opened through, among other things, the 2018 for the Osmannoro site, in and for Bici&Piedi. In 2019, with in 2018, obtained the LEED cer- use of products made of FSC cer- 2019 the ISO 50001:2011 certifi - carpooling alone, in over 5,600 In September 2019, following a tifi cation at its highest level, i.e. tifi ed wood and of products with a cation was maintained. This speci- journeys a total of over 124,000 survey submitted to employees at Platinum. This had previously high level of recycled content and/ fi es the prerequisites to establish, km. was driven, double the previ- Osmannoro relating to their pref- been obtained in 2016 by the Q or made locally, always in line with implement, maintain and improve ous year, while the Bici&Piedi pro- erences for the commute to and building at the Osmannoro site. In LEED standards. a more effi cient and sustainable gram reached almost 15,900 km. from home, a company shuttle 2019, as part of the redevelop- energy management system. in around 3,700 journeys. The two service was started, which con- ment of the whole area, the green During 2019, redevelopment work Through a systemic approach, programs together enabled a sav- nects the Osmannoro site to the area was inaugurated, a space of was undertaken on the ground the certifi cation aims to facilitate ing of around 10,600 kg of CO2. T2 tramway stop in Florence. The around 8,000 sq.m. The vegeta- and fi rst fl oors of building M at the achievement of the objec- Again in 2019, during the Europe- service, which is provided free of tion and the pathways provide a the Osmannoro site, where the tives defi ned in the Policy, such an Sustainable Mobility Week, the charge, has been designed to im- visual reconstruction of Gancini, New Manovia was transferred as the commitment to initiatives Company supported some initia- prove the quality of the commute the Brand’s symbol, enhanced by and where, in 2020, the new His- aimed at improving energy perfor- accent lighting, which has been torical Archive will be inaugurated. mance, the dissemination within created to make the symbol vis- The project, which was designed the company of the objectives of ible also from high above for in compliance with the main en- the Energy Management System those fl ying over the area into or vironmental standards, followed and the related implementation out of Florence airport. The Hub the process, already adopted for programs, the optimization of the project envisaged the revision of the Logistics Hub, of LEED certi- use of energy resources and the the access and transport system fi cation, and led to the defi nition increase in the use of alternative within the facility in accordance of a procedure for energy saving and renewable energy sources. In with the concepts of path simpli- with the installation of a Building the future the certifi cation will also fi cation and rationalization. In ad- Management System and multi- be extended to some stores of the dition to the 475 parking spaces meters. retail area. provided in the covered garage, 25 reserved parking spaces for The commitment to obtain certi- In 2019, the certifi cations obtained low-emission cars have been pro- fi cations also involved the retail for environmental performance re- vided to encourage the use of area: in 2019 the Group obtained garded for the fi rst time also the alternative transport. In addition, the LEED Gold certifi cation for management of events. The Com- thanks to numerous expedients the Beijing China World store and pany obtained, for the Sustainable in the technical systems, water the LEED Silver certifi cation for Thinking exhibition inaugurated at consumption has been optimized, the Seasons Place Beijing store the Salvatore Ferragamo Muse- leading to a 50% reduction in total and for the Pacifi c Place store in um, the ISO 20121:2013 certifi - water consumption for irrigation Hong Kong. These latter join the cation, which sets out the require- and a 100% reduction in the con- LEED Gold certifi cation obtained ments of a Management System sumption of drinking water. The in October 2017 for the historic for the sustainable organization of electrical and mechanical systems Canton Road store in Hong Kong, events. The regulation is targeted have been designed to minimize which was followed in December at organizations that intend to im- light pollution, and the property will of the same year by the LEED Sil- plement or improve the organiza- feature a BMS (Building Manage- ver certifi cation for the Troy store tion of their own corporate events ment System) allowing to regulate in Michigan and the Ginza fl agship in a sustainable way and requires mechanical systems as well as store, and in April 2018 by the the defi nition of procedures and to monitor and manage electrical LEED Gold certifi cation for the methods relating to their design, ones. The site will feature a photo- Copley Place store in Boston. The planning, implementation, monitor- voltaic plant with a peak capacity Group has undertaken, as con- ing and reporting, with a view to of 863.50 kWp and consisting of fi rmed in the Sustainability Plan, continuous improvement. over 3,200 solar panels, resulting to certify other stores in the com- in a net 5,350 sq.m. installed sur- ing years. In addition, in 2019 the face area. Pacifi c Place store in Hong Kong
92 Sustainability Report 2019 93 94 95 METHODOLOGY
This document represents the the stores which are considered ing Initiative Sustainability Report- Sustainability Plan, which includes the Sustainable Thinking exhibi- Employee-Related Matters third Consolidated Non-Financial relevant to ensure the necessary ing Standards”, defi ned in 2016 four macro-areas and multiple tion obtained the ISO 20121:2013 The Group has always been com- Statement (hereinafter also re- understanding of the Group’s busi- by the Global Reporting Initiative objectives, defi nes the Salvatore certifi cation, which defi nes the re- mitted to promoting and enhancing ferred to as “NFS” or “Sustain- ness, its performance, results and (GRI), Core option. At the end of Ferragamo Group’s strategic vi- quirements of a Management Sys- the potential of its human capital ability Report”) pursuant to Italian environmental impact. This report- the document, the Group has in- sion on sustainability and will guide tem for the sustainable organiza- as well as to offering a stimulating Legislative Decree no. 254 of 30 ing scope accounts for over 70% cluded a table listing the reported the short- and medium-term ac- tion of events. The Group intends work environment, in accordance December 2016 implementing Di- of the Group’s headcount. In addi- GRI indicators, which provides a tions of the Group. to continue its commitment to with corporate welfare principles. rective 2014/95/EU of the compa- tion, it should be noted that, in ref- summary of the indicators and the As further evidence of the Group’s environment protection, optimiz- The attention and care for em- nies belonging to the group con- erence to stores, in line with 2018, relevant page numbers. deep commitment to integrat- ing and making consumption and ployees are expressed not only in sisting of Salvatore Ferragamo data on water consumption and This document is published annu- ing sustainability into its business greenhouse gas emissions more the Group’s Sustainability Policy, S.p.A. and its subsidiaries (here- waste production for 2019 were ally, in accordance with Italian Leg. operations, two important events effi cient, both for the Group’s of- but also in the Company Regula- inafter also referred to as the not calculated since not consid- Decree 254/16. For information that took place during 2019 fi ces and stores, and continuing tion available at Parent company “Group” or “Salvatore Ferragamo ered material. on the Consolidated Non-Financial should be mentioned. In August the process to obtain certifi ca- level. In addition, to confi rm the im- Group”) for the period from 1 Jan- The chapter “Culture and Partici- Statement, please contact csr@ 2019, Salvatore Ferragamo sub- tions. portance of the principles of diver- uary through 31 December 2019. pation” includes data and infor- ferragamo.com. scribed to the Fashion Pact, which sity and inclusion, during 2019 the In compliance with Art. 5 of Italian mation relating to the Ferragamo This Sustainability Report is brought together 250 fashion and Social Matters and Respect for Group adopted an Inclusion Policy. Leg. Decree 254/16, this docu- Foundation which, although not also available in the sustainability textile brands to set out practical Human Rights ment is a separate report with included in the scope of consolida- section of the Group’s website and concrete targets for reducing To provide customers with prod- Anti-Corruption and Bribery specifi c denomination in order to tion of the Salvatore Ferragamo (https://csr.ferragamo.com/en). the environmental impact of this ucts that meet the highest inter- Matters consider it as the NFS required Group, plays a signifi cant role in This document was submitted important industry. national safety standards, the In order to ensure the utmost by the law. The NFS was pre- the way the Group has an impact to the Internal Control and Risks In addition, again during 2019, Group has adopted Restricted transparency in its operations, dur- pared to ensure the understand- on society. Committee and subsequently ap- the Group undertook a process Substances Lists for the differ- ing 2017 the Group implemented ing of the Group’s operations, Ways of presenting quantitative proved by the Board of Directors to integrate climate-related risk ent product categories and has an Anti-Corruption Policy. In addi- performance, results and impact, data other than the above are ex- of Salvatore Ferragamo S.p.A. on factors into its mapping of risks, been conducting eco-toxicological tion, the Group relies on a whistle- addressing the topics considered pressly indicated in specifi c notes. 10 March 2020. as part of the Action Plan on Sus- tests on numerous components blowing system and in 2018 im- material and set out in Art. 3 and In addition, in order to present The cross-functional working tainable Finance, with the aim of and fi nished products for sev- plemented a Group Whistleblowing 4 of Italian Leg. Decree 254/2016. fairly the Group’s performance group of Salvatore Ferragamo increasing the level of awareness, eral years now. As regards cul- Policy. The contents being reported on in and ensure data reliability, the use S.p.A. dedicated to sustainability understanding and monitoring of ture and the local community, the this document have been select- of estimates has been limited as gathered and processed data and risks and opportunities connected Group directs signifi cant atten- ed based on a structured analysis much as possible. Any estimates information through forms sent to climate, in line with the recom- tion and resources to developing of materiality, which was updated in this document are made using to the heads of the Group’s func- mendations provided by the Euro- artistic and cultural initiatives, in in 2018 and confi rmed in 2019, the best available methods and ex- tions concerned and included in pean Commission (Guidelines on line with the Charity Policy. As for downstream of a trend and sce- pressly noted. Where possible, the the relevant scope. reporting climate-related informa- health and safety, the Italian ad- nario analysis, both in Italy and information contained in the NFS The entity engaged to the limited tion). In conclusion, an overview of ministrative offi ces and stores of globally, and made it possible to has been provided along with a assurance of this NFS is Deloitte the objectives already achieved Salvatore Ferragamo S.p.A. are identify the most important sus- comparison to the year 2018. Fi- & Touche S.p.A., which certifi es and of those set with reference OHSAS 18001-certifi ed. This as- tainability issues for the Group nally, for the sake of understand- the compliance of the information to the various topics deemed rel- pect is also important along the and its stakeholders, as detailed ing of the information contained provided herein with Art. 3, para- evant is provided below: whole supply chain: during 2019, in the section “Stakeholders and herein, please note that the fol- graph 10 of Italian Leg. Decree the Group further strengthened materiality”. In addition, the pro- lowing terms are used in the docu- 254/16 in a separate report. The Environment the audit activities undertaken visions of the European Commis- ment: limited assurance engagement The Group considers protection of on its suppliers. Finally, the Group sion’s “Guidelines on Non-Financial • “the Group” refers to the Salva- was conducted in accordance the environment in which it works works constantly to guarantee Reporting” have also been taken tore Ferragamo Group (“Group” with the procedures outlined in the of fundamental importance: in respect of human rights, both in- into account for the defi nition of means the Parent Company Sal- section of this document “Inde- 2019, Salvatore Ferragamo ob- ternally and along the whole sup- the contents. vatore Ferragamo S.p.A. and the pendent Auditor's Report”. Since tained ISO 14001:2015 certifi - ply chain, and in 2019 the Parent The scope of economic data is subsidiaries consolidated on a line- the very beginning, the Salvatore cation for all its Italian sites and company obtained the SA8000 the same as that of the Group’s by-line basis); Ferragamo Group has always con- stores; the latter were also certi- social responsibility certifi cation 2019 Consolidated Financial • “Salvatore Ferragamo”, “the sidered sustainability as a model fi ed ISO 14064. The Salvatore for the scope of its Italian opera- Statements, while the scope of Company”, “the Parent Compa- of conduct to follow without any Ferragamo’s Logistics Hub, which tions and adopted the Policy for social and environmental data and ny” refer to Salvatore Ferragamo compromises, and it has achieved was inaugurated in 2018, in 2019 combating child labor, which aims information is limited only to the S.p.A.; signifi cant results in this area over obtained the LEED Platinum cer- to further formalize the corporate companies consolidated on a line- • “Italy” refers to the main area of the years. In order to reinforce its tifi cation, the highest possible. commitment in this fi eld. by-line basis. business of Salvatore Ferragamo commitment, in 2017 the Group Again in 2019, the certifi cations Nonetheless, it should be noted S.p.A. and Ferragamo Parfums developed a Sustainability Policy obtained also regarded events: that in reference to the informa- S.p.A., unless otherwise specifi ed; and implemented a continuous tion and data relating to environ- • “Ferragamo” refers to the Salva- improvement program through mental issues, in line with 2018, tore Ferragamo Brand. a Sustainability Plan up to 2022, For further information on the initiatives undertaken by the Salvatore Ferragamo Group, on the main risks generated or fa- also during 2019 an analysis was The NFS has been prepared in ac- which has been most recently up- ced, including the relevant management procedures and objectives, reference should be made to the relevant sections in undertaken in order to identify cordance with the “Global Report- dated in 2019. Specifi cally, the this document.
96 Sustainability Report 2019 97 ANNEXES
TOTAL EMPLOYEES BREAKDOWN OF EMPLOYEES BY EMPLOYEE CATEGORY AND GENDER
2019 2018 2019 2018
No. people Men Women Tot Men Women Tot MenWomen Men Women N° % N° % N° % N° %
Employees 1,4192,8584,277 1,371 2,857 4,228 Managers 291 6.8 480 11.2 258 6.1 471 11.1
BREAKDOWN OF EMPLOYEES BY EMPLOYMENT CONTRACT, GENDER AND GEOGRAPHIC AREA White collars 937 21.9 2,270 53.1 924 21.8 2,273 53.8 Blue collars 191 4.5 108 2.5 189 4.5 113 2.7 2019 BREAKDOWN OF EMPLOYEES BY EMPLOYMENT TYPE AND GENDER TEMPORARY CONTRACTS PERMANENT CONTRACTS
No. people Men Women Tot Men Women Tot 2019 2018
No. people Men Women Tot Men Women Tot Parent Company 33 41 74 394 547 941
Europe 29 55 84 123 222 345 Full Time 1,3302,5223,852 1,312 2,610 3,922
North America 15 42 57 261 285 546 Part Time 89336425 59 247 306
Central and South America 5 7 12 114 87 201 Total 1,4192,8584,277 1,371 2,857 4,228
Asia Pacifi c 12 64 76 342 1,201 1,543 BREAKDOWN OF EMPLOYEES BY TYPE (HEADQUARTERS AND RETAIL) AGE GROUP AND GENDER
Japan 4 17 21 87 290 377 2019 Total 98 226 324 1,321 2,632 3,953 No. people <30 30-50 >50 Tot Men Women Men Women Men Women Men Women 2018 Headquarters 46 122 365 565 123 122 534 809 TEMPORARY CONTRACTS PERMANENT CONTRACTS Retail 293 536 514 1,351 78 162 885 2,049
No. people Men Women Tot Men Women Tot Total 339 658 879 1,916 201 284 1,419 2,858
Parent Company 37 45 82 374 518 892 EMPLOYEES WHO RECEIVED A PERFORMANCE APPRAISAL BY EMPLOYMENT CATEGORY AND GENDER Europe 25 60 85 115 217 332 2019 2018 North America 26 52 78 263 295 558 Percentage Men Women Tot Men Women Tot Central and South America 12 1 13 107 92 199 Managers 97.3%97.9%97.7% 91.5% 93.4% 92.7% Asia Pacifi c 9 44 53 312 1,216 1,528 White collars 76.7%81.5%80.1% 62.7% 69.1% 67.2% Japan 7 15 22 84 302 386 Blue collars 49.7%20.4%39.1% 39.7% 17.7% 31.5% Total 116 217 333 1,255 2,640 3,895 Total 77.3%82.0%80.4% 64.9% 71.1% 69.1% BREAKDOWN OF EMPLOYEES BY EMPLOYEE CATEGORY AND AGE GROUP
2019 2018
<30 30-50 >50 <30 30-50 >50 N° %N° %N° % N° % N° % N° %
Managers 140.360614.21513.5 19 0.5 574 13.6 136 3.2
White collars 92221.62,01447.12716.3 1,052 24.9 1,885 44.6 260 6.1
Blue collars 611.41754.1631.5 57 1.3 184 4.4 61 1.4
98 Sustainability Report 2019 99 NEW EMPLOYEE HIRES AND EMPLOYEE TURNOVER BY GEOGRAPHICAL AREA, GENDER AND AGE GROUP Incoming employees - 2019 INJURIES No. people <30 30-50 >50 Tot Turnover Men Women Men Women Men Women Men Women Men Women 2019 2018
Parent Company 36 59 39 31 52 80 92 18.7% 15.6% No. of cases
Europe 53 74 41 75 01 94 150 61.8% 54.2% Injuries 55 57 North America 55 71 31 60 511 91 142 33.0% 43.4% (23 for men; 32 for women) (24 for men; 33 for women)
Central and 22 17 18 14 20 42 31 35.3% 33.0% Occupational diseases 0 2 South America (1 for men; 1 for women) Asia Pacifi c 131 295 84 255 113 216 563 61.0% 44.5% HEALTH AND SAFETY INDICATORS10 - 2019 Japan 612 13 46 210 21 68 23.1% 22.1%
Total 303 528 226 481 15 37 544 1,046 38.3% 36.6% Parent Company11 Europe North America
Outgoing employees - 2019 Rates Men Women Tot Men Women Tot Men Women Tot No. people <30 30-50 >50 Tot Turnover Lost day rate 20.0 36.8 29.7 28.1 11.2 17.2 104.1 3.7 49.7 Men Women Men Women Men Women Men Women Men Women
Parent Company 22 36 28 25 14 6 64 67 15.0% 11.4% Occupational diseases rate 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Europe 40 69 36 76 65 82 150 53.9% 54.2% Injury rate 1.6 1.9 1.8 4.4 3.6 3.9 6.6 3.7 5.0 North America 53 76 43 69 817 104 162 37.7% 49.5% Central and South America Asia Pacifi c Japan Central and 20 15 21 14 11 42 30 35.3% 31.9% South America Rates Men Women Tot Men Women Tot Men Women Tot Asia Pacifi c 111 254 72 286 018 183 558 51.7% 44.1% Lost day rate 40.1 72.4 54.4 0.0 7.9 6.1 33.9 39.1 37.9 Japan 212 14 56 510 21 78 23.1% 25.4% Occupational diseases rate 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Total 248 462 214 526 34 57 496 1,045 35.0% 36.6%
Incoming employees - 2018 Injury rate 1.7 3.2 2.4 0.0 0.1 0.1 0.0 0.7 0.6
No. people <30 30-50 >50 Tot Turnover HEALTH AND SAFETY INDICATORS10 - 2018 Men Women Men Women Men Women Men Women Men Women
Parent Company 29 62 40 41 36 72 109 17.5% 19.4% Parent Company Europe North America
Europe 36 65 35 70 11 72 136 51.4% 49.1% Rates Men Women Tot Men Women Tot Men Women Tot
North America 59 90 27 53 212 88 155 30.4% 44.7% Lost day rate 7.1 13.0 10.5 1.6 211.5 141.0 5.6 55.4 33.8
Central and 20 7 20 8 10 41 15 34.5% 16.1% South America Occupational diseases rate 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Asia Pacifi c 129 290 85 260 26 216 556 67.3% 44.1% Injury rate 1.1 1.0 1.1 2.4 5.6 4.5 11.9 4.7 8.0 Japan 69 26 48 04 32 61 35.2% 19.2% Central and South America Asia Pacifi c Japan Total 279 523 233 480 929 521 1,032 38.0% 36.1% Rates Men Women Tot Men Women Tot Men Women Tot Outgoing employees - 2018
No. people <30 30-50 >50 Tot Turnover Lost day rate 0.0 16.4 7.2 96.7 8.7 26.8 197.4 11.1 52.7 Men Women Men Women Men Women Men Women Men Women Occupational diseases rate 0.0 0.0 0.0 0.3 0.1 0.1 0.0 0.0 0.0 Parent Company 22 41 31 46 10 8 63 95 15.3% 16.9% Injury rate 0.0 2.2 1.0 0.0 0.2 0.2 0.0 0.3 0.3 Europe 33 51 37 57 06 70 114 50.0% 41.2%
North America 45 71 53 55 10 12 108 138 37.4% 39.8%
Central and 76 16 16 00 23 22 19.3% 23.7% 10 The lost day rate is calculated as the ratio of total days lost for occupational diseases or injury to total working hours during the same period, South America multiplied by 200,000. The occupational diseases rate is calculated as the ratio of total occupational diseases to total working hours during the same Asia Pacifi c 109 279 80 278 110 190 567 59.2% 45.0% period, multiplied by 200,000. The injury rate is calculated as the ratio of total injuries to total working hours during the same period, multiplied by 200,000. The absentee rate is not currently reported. Japan 311 16 71 413 23 95 25.3% 30.0% 11 As part of the analysis carried out during 2019 in relation to the signifi cance of data and information regarding other non-employee workers, especially agency staff, interns and consultants, the Group registered, out of a total of 71 workers (26 men and 45 women) within the Italian scope, Total 219 459 233 523 25 49 477 1,031 34.8% 36.1% the following accident rate: Men - 0.0; Women - 2.5; Total - 1.6.
100 Sustainability Report 2019 101 BOUNDARY OF THE GROUP'S GRI CONTENT MATERIAL TOPICS INDEX
The following table shows the material aspects identifi ed for the Salvatore Ferragamo Group and its stakehold- Here below is the GRI9 Content Index prepared in accordance with the GRI Standards: Core option. Any omissions ers through the materiality analysis, grouped into topics of Leg. Decree 254/16, the related boundary, the type of are reported as notes to the individual indicators, if applicable. impact and the related topic-specifi c Standard.
CODE INDICATOR PAGE/NOTES
GRI 102: GENERAL DISCLOSURE 2016
ORGANIZATIONAL PROFILE
to GRI 102-1 Name of the organization Pp. 3;96-97 GRI 102-2 Activities, brands, products, and services Pp. 18-21 GRI 102-3 Location of headquarters P. 21 GRI 102-4 Location of operations Pp. 18;22 GRI 102-5 Ownership and legal form Pp. 24-26
uent and waste, environmental uent and waste, GRI 102-6 Markets served P. 22 Child labor, forced or compulsory labor Child labor, Economic performance N/A Effl compliance energy Water, N/A Emissions Anti-corruption Employment, training and education Employment, Diversity and equal opportunity, non-discrimination Customer health and safety Customer N/A N/A N/A Customers privacy labor forced or compulsory Child labor, Local communities Anti-competitive behavior Procurement practices Occupational health and safety TOPIC-SPECIFIC STANDARD LINKAGE STANDARD TOPIC-SPECIFIC GRI 102-7 Scale of the organization P. 18
Italian boundary, in particular agency in particular agency Italian boundary, GRI 102-8 Information on employees and other workers Pp. 48-49; 98-99 he Group, assessing the quality and the he Group, GRI 102-9 Supply chain Pp. 34-39
ces. GRI 102-10 Signifi cant changes to the organization’s size, structure, During 2019 there were ownership or supply chain in the reporting period no signifi cant changes to the Group’s size, structure, ownership or supply chain. GRI 102-11 Precautionary Principle or approach Pp. 24-26; 82-83 ces. GRI 102-12 Externally-developed economic, environmental and social Pp. 10-13; 24-26; 38; 49; charters, principles, or other initiatives to which the organization 90-93 subscribes, or which it endorses GRI 102-13 Membership in national and/or international industry Pp. 10-11; 64-67 cance of data and information regarding workers who are not employees, was that cance of data and information regarding workers who are not employees, Caused by the Group and directly connected to its Caused by the Group and directly connected activities Caused by the Group Caused by the Group Caused by the Group Caused by the Group Caused by the Group and directly connected to its activities Caused by the Group Caused by the Group and directly connected to its connected to the Group and directly Caused by activities Caused by the Group Caused by the Group Caused by the Group Caused by the Group and directly connected to its Caused by the Group activities and contributed to by its Caused by the Group activities Caused by the Group and directly connected to its Caused by the Group activities to its Caused by the Group and directly connected activities Caused by the Group Caused by the Group Caused by the Group Caused by the Group Caused by the Group associations TYPE OF IMPACT
STRATEGY
GRI 102-14 Statement from senior decision-maker about the relevance of P. 3 sustainability to the organization and its strategy for addressing sustainability
GRI 102-15 Key impacts, risks and opportunities Pp. 24-26
ETHICS AND INTEGRITY Group, suppliers and workers Group, Group, logistic distributors Group, Group, suppliers and workers suppliers Group, Group Group suppliers Employees of the Group, and workers suppliers and workers Group, Group Group, suppliers and workers Group, workers suppliers and Group, Group Group Group Group employees*** Group’s Group Group Group workers suppliers and Group, Group BOUNDARY OF THE MATERIAL THE MATERIAL OF BOUNDARY TOPICS GRI 102-16 Values, principles, standards, and norms of behavior Pp. 8; 24-26
cance in relation to other workers who are not employees starting from the next reporting period, in order to assess the need in order to other workers who are not employees starting from the next reporting period, cance in relation GRI 102-17 Mechanisms for advice and concerns about ethics Pp. 24-26
GOVERNANCE
GRI 102-18 Governance structure Pp. 24-26 nancial performance nancial signifi rst outcome of the analysis carried out during 2019 in relation to the Diversity, equal opportunity and Diversity, non-discrimination Sustainable packaging Omnichannel experience e customer satisfaction governance Culture of sustainability, and ethical business Security and protection of clients' data Responsible sourcing practices culture and Commitment towards art, community Brand image and reputation Health and safety Respect for human rights Operating and fi Responsible use of chemical products use of chemical Responsible responsible Circular economy and innovation Environmental responsibility* Responsible consumption** Animal Welfare Greenhouse gas emissions Attraction, development and employees' Attraction, welfare Anti-corruption Quality and Made in Italy Quality and Made in MATERIAL TOPICS MATERIAL the Group provided for the collection and reporting of data and information regarding workers who are not employees within the the Group provided for the collection and reporting of data and information regarding staff, interns and consultants. staff, The Group will further assess signifi accuracy of this data over which the Group does not have direct control. collect data from employers of external collaborators and suppliers who work at the Group’s sites and/or under the control of t at the Group’s collect data from employers of external collaborators and suppliers who work ***The fi ** offi The scope of the information reported in relation to water consumption is limited to the Group’s * offi the Group’s The scope of the information reported in relation to waste production and management is limited to N/A Social 9
related All the General Disclosures, the management approaches and topic-specifi c Standards provided in the GRI Content Index are those published by matters Employee- Respect for and bribery human rights the GRI in 2016. Environmental Anti-corruption TOPICS OF LEG. OF LEG. TOPICS 254/16 DEC.
102 Sustainability Report 2019 103 CODE INDICATOR PAGE/NOTES CODE INDICATOR PAGE/NOTES
STAKEHOLDER ENGAGEMENT GRI 103-3 Evaluation of the management approach Pp. 34-39 GRI 204-1 Proportion of spending on local suppliers P. 34 GRI 102-40 List of stakeholder groups Pp. 14-15
GRI 102-41 Collective bargaining agreements P. 50 Anti-Corruption GRI 102-42 Identifying and selecting stakeholders Pp. 14-15 GRI 103-1 Explanation of the material topic and its Boundary Pp. 14-15; 102 GRI 102-43 Approach to stakeholder engagement Pp. 14-15 GRI 103-2 The management approach and its components Pp. 24-26 GRI 102-44 Key topics and concerns raised Pp. 14-15 GRI 103-3 Evaluation of the management approach Pp. 24-26 by stakeholders GRI 205-3 Confi rmed incidents of corruption and actions taken During 2019 and 2018 REPORTING PRACTICE there were no incidents of corruption. GRI 102-45 Entities included in the Sustainability Report Pp. 96-97 Anti-competitive behavior GRI 102-46 Process for defi ning the Sustainability Pp. 14-15; 96-97 Report content GRI 103-1 Explanation of the material topic and its Boundary Pp. 14-15; 102 GRI 102-47 List of material topics Pp. 14-15; 96-97; 102 GRI 103-2 The management approach and its components Pp. 24-26 GRI 102-48 Restatements of information given in the previous Pp. 96-97 GRI 103-3 Evaluation of the management approach Pp. 24-26 Sustainability Report GRI 206-1 Legal actions for anti-competitive behavior, anti-trust, and During 2019 and 2018 GRI 102-49 Signifi cant changes in the list of material topics and topic Pp. 96-97 monopoly practices there were no legal actions boundary for anti-competitive behavior, anti-trust and GRI 102-50 Reporting period of the Sustainability Report Pp. 96-97 monopoly practices. GRI 102-51 Date of most recent report Pp. 96-97 GRI 102-52 Reporting cycle Pp. 96-97 ENVIRONMENTAL INDICATORS GRI 102-53 Contact point for questions regarding Pp. 96-97 Energy the report GRI 102-54 Claims of reporting in accordance with the GRI Standards Pp. 96-97 GRI 103-1 Explanation of the material topic and its Boundary Pp. 14-15; 102 GRI 102-55 GRI content index Pp. 103-109 GRI 103-2 The management approach and its components Pp. 82-93 GRI 102-56 External assurance Pp. 96-97; 110-112 GRI 103-3 Evaluation of the management approach Pp. 82-93 GRI 302-1 Energy consumption within the organization Pp. 84-85 MATERIAL TOPICS
Water ECONOMIC INDICATORS
GRI 103-1 Explanation of the material topic and its Boundary Pp. 14-15; 102 Economic Performance GRI 103-2 The management approach and its components Pp. 82-93 GRI 103-1 Explanation of the material topic and its Boundary Pp. 14-15; 102 GRI 103-3 Evaluation of the management approach Pp. 82-93 GRI 103-2 The management approach and its components Pp. 18-19; 24-26 GRI 303-1 Water withdrawal Pp. 84-85 GRI 103-3 Evaluation of the management approach Pp. 18-19; 24-26 GRI 201-4 Financial assistance received from government In 2019, the Salvatore Ferragamo Emissions Group received approximately 26,000 Euro in government grants GRI 103-1 Explanation of the material topic and its Boundary Pp. 14-15; 102 for training purposes, compared to GRI 103-2 The management approach and its components Pp. 82-93 50,000 in 2018. For both years the grants relate GRI 103-3 Evaluation of the management approach Pp. 82-93 only to Salvatore Ferragamo S.p.A. GRI 305-1 Direct (Scope 1) GHG emissions Pp. 90-91 Procurement Practices GRI 305-2 Energy indirect (Scope 2) GHG emissions Pp. 90-91 GRI 305-6 Emissions of ozone-depleting substances (ODS) Considering the nature of GRI 103-1 Explanation of the material topic and its Boundary Pp. 14-15; 102 its business, the Salvatore GRI 103-2 The management approach and its components Pp. 34-39 Ferragamo Group has not identifi ed other signifi cant emissions of ozone-depleting substances in 2019 and 2018.
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Considering the nature of GRI 305-7 Nitrogen oxides (NOX), sulfur oxides (SOX), and other GRI 404-3 Percentage of employees receiving regular performance Pp. 56; 99 signifi cant air emissions its business, the Salvatore and career development reviews, by gender and by Ferragamo Group has employee category not identifi ed signifi cant
emissions of NOx, SOx, or other gases in 2019 and Material Aspect: Diversity and Equal Opportunity 2018. GRI 103-1 Explanation of the material topic and its Boundary Pp. 14-15; 102
Effl uents and Waste GRI 103-2 The management approach and its components Pp. 49-51 GRI 103-3 Evaluation of the management approach Pp. 49-51 GRI 103-1 Explanation of the material topic and its Boundary Pp. 14-15; 102 GRI 405-1 Diversity of governance bodies and employees, Pp. 26; 48; 50; 98-99 GRI 103-2 The management approach and its components Pp. 82-93 breakdown by gender, age group and other indicators of GRI 103-3 Evaluation of the management approach Pp. 82-93 diversity GRI 306-2 Waste by type and disposal method Pp. 84-85 Material Aspect: Non-Discrimination Material Aspect: Environmental Compliance GRI 103-1 Explanation of the material topic and its Boundary Pp. 14-15; 102 Pp. 14-15; 102 GRI 103-1 Explanation of the material topic and its Boundary GRI 103-2 The management approach and its components Pp. 24-26; 50-51 Pp. 24-26; 82-83 GRI 103-2 The management approach and its components GRI 103-3 Evaluation of the management approach Pp. 24-26; 50-51 Pp. 24-26; 82-83 GRI 103-3 Evaluation of the management approach GRI 406-1 Incidents of discrimination and corrective actions taken* GRI 307-1 Non-compliance with environmental laws and regulations During 2019 and 2018 there were no cases Material Aspect: Child Labor of non-compliance with environmental laws and GRI 103-1 Explanation of the material topic and its Boundary Pp. 14-15; 102 regulations. GRI 103-2 The management approach and its components Pp. 24-26; 38; 96-97 SOCIAL INDICATORS GRI 103-3 Evaluation of the management approach Pp. 24-26; 38; 96-97 GRI 408-1 Operations and suppliers at signifi cant risk for incidents Material Aspect: Employment of child labor**
GRI 103-1 Explanation of the material topic and its Boundary Pp. 14-15; 102 Material Aspect: Forced or Compulsory Labor GRI 103-2 The management approach and its components Pp. 48-59 GRI 103-3 Evaluation of the management approach Pp. 48-59 GRI 103-1 Explanation of the material topic and its Boundary Pp. 14-15; 102 GRI 401-1 New employee hires and employee turnover by age group, Pp. 49; 52; 100 GRI 103-2 The management approach and its components Pp. 24-26; 38; 96-97 gender and region GRI 103-3 Evaluation of the management approach Pp. 24-26; 38; 96-97 GRI 401-2 Benefi ts provided to full-time employees that are not provided P. 58 GRI 409-1 Operations and suppliers at signifi cant risk for incidents to temporary or part-time employees Benefi t for the Group of forced or compulsory labor** full-time employees vary according to local regulations and practices. Material Aspect: Local Communities
GRI 103-1 Explanation of the material topic and its Boundary Pp. 14-15; 102 Material Aspect: Occupational Health and Safety GRI 103-2 The management approach and its components Pp. 62-77 GRI 103-1 Explanation of the material topic and its Boundary Pp. 14-15; 102 GRI 103-3 Evaluation of the management approach Pp. 62-77 GRI 103-2 The management approach and its components Pp. 24-26; 58 GRI 413-2 Operations with signifi cant actual and potential negative Pp. 62; 67 GRI 103-3 Evaluation of the management approach Pp. 24-26; 58 impacts on local communities GRI 403-2 Type of injury and rate of injury, occupational diseases, lost Pp. 101-102 days, and absenteeism and number of work-related fatalities In 2019 and 2018 no fatal by region and gender of employees injuries were recorded.
Material Aspect: Training and Education
GRI 103-1 Explanation of the material topic and its Boundary Pp. 14-15; 102 *Confi dentiality obligation in relation to 406-1: data cannot be disseminated outside the Group. GRI 103-2 The management approach and its components Pp. 42-43; 52-56 **Information not available for 408-1 and 409-1. The information will be available as from subsequent reporting periods, when the company launches an audit plan to verify the compliance of its suppliers to the principles of the Supplier Code of Conduct, which include forced and GRI 103-3 Evaluation of the management approach Pp. 42-43; 52-56 child labor.
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Material Aspect: Customer Health and Safety Material Topic: Sustainable Packaging
GRI 103-1 Explanation of the material topic and its Boundary Pp. 14-15; 102 GRI 103-1 Explanation of the material topic and its Boundary Pp. 14-15; 102 GRI 103-2 The management approach and its components Pp. 24-26; 34-35; 42-44 GRI 103-2 The management approach and its components Pp. 84-92 GRI 103-3 Evaluation of the management approach Pp. 24-26; 34-35; 42-44 GRI 103-3 Evaluation of the management approach Pp. 84-92 GRI 416-2 Incidents of non-compliance concerning the health and During 2019 and 2018 safety impacts of products and services there were no incidents of non-compliance with regulations on health and safety of products and CORRESPONDENCE BETWEEN THE PRINCIPLES OF THE UN GLOBAL COMPACT AND THE GRI STANDARD services during their life INDICATORS cycle. For the Salvatore Ferragamo Group the Sustainability Report is also a Communication On Progress (COP), in Material Aspect: Customer Privacy other words the annual document which offers stakeholders information on the progress made in applying the Ten GRI 103-1 Explanation of the material topic and its Boundary Pp. 14-15; 102 Principles of the UN Global Compact in carrying out its activities. Given this, the table below provides a precise correspondence between the GRI Standards and the Principles. GRI 103-2 The management approach and its components Pp. 24-26; 42-44 GRI 103-3 Evaluation of the management approach Pp. 24-26; 42-44 GRI 418-1 Substantiated complaints concerning breaches of During 2019 the Group CATEGORIES PRINCIPLES OF THE UN GLOBAL COMPACT GRI STANDARD INDICATORS customer privacy and losses of customer data recorded two cases of data leaks both categorized PRINCIPLE 1 according to a low risk profi le, Businesses should support and respect the protection of 408-1; 409-1; 413-1; 413-2 only one of these has internationally proclaimed human rights HUMAN RIGHTS interested customer data. PRINCIPLE 2 Make sure that they are not complicit in human rights 412-1; 412-3 Material Topic: Animal Welfare abuses
GRI 103-1 Explanation of the material topic and its Boundary Pp. 14-15; 102 PRINCIPLE 3 GRI 103-2 The management approach and its components P. 38 Businesses should uphold the freedom of association 102-41; 402-1; 407-1 and the effective recognition of the right to collective GRI 103-3 Evaluation of the management approach P. 38 bargaining
PRINCIPLE 4 Material Topic: Circular Economy and Responsible Innovation The elimination of all forms of forced and compulsory 409-1 LABOR labor GRI 103-1 Explanation of the material topic and its Boundary Pp. 14-15; 102 PRINCIPLE 5 Pp. 8-13; 30-33; 82-87 GRI 103-2 The management approach and its components The effective abolition of child labor 408-1 GRI 103-3 Evaluation of the management approach Pp. 8-13; 30-33; 82-87 PRINCIPLE 6 Material Topic: Brand Image and Reputation The elimination of discrimination in respect of 102-8; 202-1; 202-2; 401-1; 401-3; 404-1; employment and occupation 404-3; 405-1; 405-2; 406-1 GRI 103-1 Explanation of the material topic and its Boundary Pp. 14-15; 102 PRINCIPLE 7 GRI 103-2 The management approach and its components Pp. 24-26; 30-45 Businesses should support a precautionary approach to 301-1; 302-1; 303-1; 305-1; 305-2; 305-3; environmental challenges 305-6; 305-7 GRI 103-3 Evaluation of the management approach Pp. 24-26; 30-45 301-1; 301-2; 301-3; 302-1; 302-2; 302-3; 302-4;302-5; ENVIRONMENT PRINCIPLE 8 Material Topic: Omnichannel Experience and Customer Satisfaction Undertake initiatives to promote greater environmental 303-1; 303-2; 303-3; 304-1; 304-2; 304-3; 304-4; 305-1; responsibility 305-2; 305-3; 305-4; 305-5; 305-6; 305-7; 306-1; 306-2; GRI 103-1 Explanation of the material topic and its Boundary Pp. 14-15; 102 306-3; 306-4; 306-5; 307-1; 308-1; 308-2; 419-1 GRI 103-2 The management approach and its components Pp. 42-44 PRINCIPLE 9 Encourage the development and diffusion of 302-4; 302-5; 305-5; 102-16; 102-17 GRI 103-3 Evaluation of the management approach Pp. 42-44 environmentally friendly technologies
PRINCIPLE 10 Businesses should work against corruption in all its 205-1; 205-2; 205-3; 415-1 ANTI-CORRUPTION forms, including extortion and bribery
108 Sustainability Report 2019 109 110 Sustainability Report 2019 111 112