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WWF IKEA Partnership




WWF and IKEA
Why, what and how?


Anita Falkenek
7th of December 2010

SI
Agenda
Who is WWF?
Who is IKEA?
Why does WWF cooperate with companies?
What is the overall objective with the IKEA WWF Partnership?
What issues and areas does the IKEA WWF Partnership include?
What are the results so far?
WWF IN SHORT

+100
                         +5000
WWF is in over
                         WWF has over
100 countries, on
                         5000 employees
5 continents




       1961              +5M
       WWF was founded   WWF has over
       In 1961           5 million supporters
IKEA WWF Partnership




WWFs mission

To stop the degradation of the planet's natural
environment and to build a future in which humans live
in harmony with nature, by:
 • Conserving the world's biological diversity
 • Ensuring that the use of renewable natural resources is sustainable
 • Promoting the reduction of pollution and wasteful consumption
The Living Planet Report


Living Planet Index     Ecological Footprint
IKEA
FOR THE MANY

OUR VISION
To create a better
everyday life for the   OUR BUSINESS IDEA
many people.
                        To offer a wide range of well-
                        designed, functional home
                        furnishing products at prices so
                        low that as many people as
                        possible will be able to afford
                        them.
FACTS ABOUT IKEA
• 21,5 billion Euro sales
• 123 000 co-workers
• 267 stores in 25 countries
• 1 220 Suppliers in 55
  countries
• 46 factories in 10 countries
• 39 distribution centres in 17
  countries
SALES AT A GLANCE

                        Top five sales countries


                        Germany           16%
                        USA               11%
                        France            10%
                        UK                 7%
Sales by region
                        Italy              7%
  Asia & Australia 5%
  North America 15%
  Europe 80%
PURCHASING AT A GLANCE
                        Top five purchasing
                        countries
                        China                 20%
                        Poland                18%
                        Italy                  8%
                        Germany                6%
 Purchasing by region   Sweden                 5%
   North America 3%
   Asia 30%
                        1,220 suppliers in 55
                        countries
   Europe 67%
iss
  r m l…ion
Ou
and goa
Our mission is to improve the rights and life opportunities of
the many children – creating substantial and lasting change
Our goal is to bring down malnutrition and infant disease, and
dramatically improve literacy
Our way of making a difference for the many
children – our three commitments to children


 CHILDREN’S          CAMPAIGNS               EMERGENCY
 RIGHTS IN           WITH IKEA’S             RELIEF
 SOUTH ASIA          CUSTOMERS



• A healthy start   • Soft toys campaign.   • Financial support
  in life             Proceeds to better      and in-kind
                      school projects.        donations in
• Education &                                 emergency situations
  Protection        • Donation of Sunnan
                      lamps. 1 lamp sold    • In-kind donations
• Empowering          in IKEA stores
  women               – 1 lamp donated.
100 million children benefit from current
IKEA Social Initiative projects
Why is WWF working with
companies?
Global threats and commodities
Consumers            Persuade >6B
About 300-500
 companies                                              shoppers?
control ~ 70%
  of choice

                Retailers /
                 Buyers




                                       Supply Chain
                 Brands

                                                      Investors
            Manufacturers


                 Traders


            Processors

                                    Primary
                              producers/extractors     Engage with
    Need to reduce
    Need to reduce                                    >1B producers
      the threat!
      the threat!
                              WWF Global Priorities
Places        Commodities                 Companies




                                      ne
                      k
                   Oil




                                      s
                    ls


                  oc




                                r ca

                                 r ie
                   n




                                    r
                fue




                               be
               tto
               est

              lm




                              he
                              ga


                          Tim
           Bi o




              y
           Co
           Liv

           Pa

           So

                          Su

                          fis
Amazon


 Coral
Triangle


Borneo


   East
  Africa


 Arctic
Priority commodities
• Forest Products             Marine Seafood
• Timber                      • Whitefish
• Pulp and Paper              • Tuna

•   Agriculture & Bioenergy   Aquaculture Seafood
•   Palm Oil                  • Salmon
•   Soy                       • Shrimp
•   Sugarcane
•   Cotton
•   Beef/ Dairy
•   Bioenergy
WWF – wants to change markets
                                   Företag
• Better Management Practices

• FSC, MSC

• Stakeholderdialogs
   • palmoil - RSPO
   • soya - RTRS
   • cotton - BCI
   • sugar- BSI
   • etc
Global Partnerships
Swedish Partnerships
IKEA & WWF Partnership
Scope of the
 Partnership


- An important part of making IKEA sustainability direction a reality
(IKEA business shall have an overall positive impact on people and the environment)


- One way to work towards transforming markets and decrease
humankind’s ecological footprint.

- Aim at creating a leading example for other companies, suppliers
and governments to follow”
Lithuania
 UK, Poland & Sweden
                                         Russia                 China

      US


Romania, Bulgaria & Ukraine


                   Pakistan

                        India
                                       Laos, Cambodia
                                          & Vietnam



      HCV Resource Network                        Green: Forest projects
                                                  Blue: Cotton projects
           Communication                          Yellow: Climate projects
Partnership Steering Group

                                          Partnership Manager       Cooperate Communication

                                                Administrator       Communication Working Group



          FOREST Coordinator + SG         COTTON Coordinator + SG    CLIMATE Coordinator


   HCV Network                       Pakistan                             Climate Positive

      Vietnam                         India                                   Supplier

Laos, Cambodia & V                                                      People Transportation

      Russia                                                             Sus. Life at Home

       China                                                                    Food

     Lithuania                                                           Closing the Loop

 Romania, Bulgaria
    & Ukraine
WWF´s mission

To stop the degradation of the planet's natural environment and to build a
future in which humans live in harmony with nature, by:

• Conserving the world's biological diversity

• Ensuring that the use of renewable natural resources is sustainable

• Promoting the reduction of pollution and wasteful consumption


IKEA’s Vision
• To create a better everyday life for the many people.
To Achieve Its Mission,
WWF:
• Works in partnership with others

• Jointly identifies and implements
realistic solutions to the world´s most
pressing environmental problems

• Reinforces our programme of field
projects with policy work to address the
root causes
The WWF and IKEA forest projects aim to:
                                      • combat illegal logging
                                      • support responsible forest management
                                      • support forest certification
Forest projects                       • map and promote High Conservation Value
                                       Forests


1.   High Conservation Value Resource Network (HCV RN)

2.   Vietnam - Sustainable Rattan

3.   Lithuania – Responsible Forest Management (RFM)

4.   Russia – Illegal logging & RFM

5.   Bulgaria, Romania and Ukraine – RFM

6.   China – Illegal logging & RFM

7.   Vietnam – Responsible Forest Management
Forest achievements

•   Russia; > 26 million ha FSC certified forest.
•   China; 1,4 million ha FSC certified forest
•   Three rattan nurseries established and rattan taxonomic field guide.
•   Romania: a national timber tracking system, SUMAL was developed.

•   Latvia and Lithuania: Six demonstration forests established.
•   GFTN – includes solid wood, layer-glued, plywood, and veneer: 35% FSC.
Latest results

•     Russia:
      •   The FCS campaign is soon over - first FSC certified printing house
      •   Two guides for the Russian Customs (timber identification & measurements)
•     Romania: 14 IKEA suppliers trained (FSC CW, FSC CoC etc), 1 major sub-supplier FSC
      certified.
•     FSC process ongoing for the first 50 ton of rattan – Dec 2010.
•     Lithuania: 3 FSC CoC seminars covering >70% of timber industry.
•     Vietnam: a gap analysis and identified training needs on timber legality at selected
      IKEA suppliers and sub-suppliers.
•     China:
      •   Posters and movie in production for the Shanghai Expo in Oct.
      •   A study on forest resources development and utilization by Chinese enterprises in Russia.
The WWF and IKEA cotton projects aim to:
                                • reduce use of water, pesticides and fertilizers
                                • increase farmers earnings
                                • help farmers produce Better Cotton

Cotton projects


India – 4 000 farmers in 2010
          Maharastra

Pakistan – 40 000 farmers in 2010
         Bahawalpur, Lodharan, Rahim Yar Khan,
         Muzafargarh, Sadiq Abad, Sukkur and
         Toba Tek Singh.
India
Cotton achievements by BMP farmers
(On average, compared with conventional farmers, results from 2006-2008)



Pakistan
- 38 % less use of chemical fertilisers
- 32 % less use of pesticides
- 32 % reduction of water use
+ 20 % increase in profit

India
- 18% less use of chemical fertilisers
- 81 % reduction in pesticide use
- 49 % reduction of water use
+15 % increase of profit
Cotton
First Better Cotton ever arriving
at the factory
Pakistan Oct 2010
Latest results

• Flooding in Pakistan (anticipated 15-20% of the cotton crop damaged overall)

• Significantly increased number of farmers in Maharastra

• Decent work studies nearly finalised, to determine how to meet BCI criteria

• Streamline way of reporting results

• Organized suppliers meetings
The projects aim to:
                                • Find market transformation opportunities to
                                provide low carbon solutions
                                • Search solutions that can contribute for
                                reducing GHG emissions in the society
Climate projects                • Engage stakeholders through the value chain




     1.   Mapping Climate Positive Opportunities

     2. Promoting a Sustainable Life at Home

     3. IKEA Food Range from a Climate Perspective

     4. Closing the Loops

     5. Sustainable Transportation of People

     6. Climate Positive Opportunities for Suppliers
Climate
achivements

   • Calculations of ”what if” questions for climate positive opportunities

   • Guidelines for Food Managers

   • LCA for main food products/ingredients (IKEA)

   • Suppliers can decrease energy consumption up until 40%

   • Some suppliers can become energy producers

   • Models of calculating effects of different transport modes
Latest results


• Spain and US ready as pilot countries for food

• Input to a more sustainable product range made

• The Closing the Loops project is up and running

• Analysis over internal and external barriers for suppliers

• Internal material and models to be shared about StoP

• External stakeholder meetings (BSR and prel. China)
Communications


Position and strengthen the partnership as;

- being perceived as the leading example for
other companies, NGOs and governments to
follow

- successful among consumers and inspire
them to live a more sustainable life at home
and take action against climate change and
other environmental challenges.
Next steps?


• Climate communications

• Forestry FY 2011

• Earth Hour 2011

• More national partnerships
National Partnerships
    (updated November 2010)


Agreement                     Austria, Belgium, France, Italy, Switzerland, Singapore, Norway, US
                              The Netherlands

Started to do work together   Hungary, Czech Republic, Slovakia, Australia


Earth Hour                    Greece, Finland, Japan (IKEA is doing EH on its own)
                              Portugal, UK, Canada


EH + other activities         Germany (WWF participates on Env Day on 5/6 2010. RSPO issues)
                              Sweden, Russia, Poland
                              China (World Exhibition)
Agreement on its way          Denmark (EH, energy & climate)
                              Spain (EH and campaign about Sustainable home)

No actions                    Finland
Thank you
• www.panda.org

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Module 3 - WWF

  • 1. WWF IKEA Partnership WWF and IKEA Why, what and how? Anita Falkenek 7th of December 2010 SI
  • 2. Agenda Who is WWF? Who is IKEA? Why does WWF cooperate with companies? What is the overall objective with the IKEA WWF Partnership? What issues and areas does the IKEA WWF Partnership include? What are the results so far?
  • 3. WWF IN SHORT +100 +5000 WWF is in over WWF has over 100 countries, on 5000 employees 5 continents 1961 +5M WWF was founded WWF has over In 1961 5 million supporters
  • 4. IKEA WWF Partnership WWFs mission To stop the degradation of the planet's natural environment and to build a future in which humans live in harmony with nature, by: • Conserving the world's biological diversity • Ensuring that the use of renewable natural resources is sustainable • Promoting the reduction of pollution and wasteful consumption
  • 5.
  • 6. The Living Planet Report Living Planet Index Ecological Footprint
  • 8. FOR THE MANY OUR VISION To create a better everyday life for the OUR BUSINESS IDEA many people. To offer a wide range of well- designed, functional home furnishing products at prices so low that as many people as possible will be able to afford them.
  • 9. FACTS ABOUT IKEA • 21,5 billion Euro sales • 123 000 co-workers • 267 stores in 25 countries • 1 220 Suppliers in 55 countries • 46 factories in 10 countries • 39 distribution centres in 17 countries
  • 10. SALES AT A GLANCE Top five sales countries Germany 16% USA 11% France 10% UK 7% Sales by region Italy 7% Asia & Australia 5% North America 15% Europe 80%
  • 11. PURCHASING AT A GLANCE Top five purchasing countries China 20% Poland 18% Italy 8% Germany 6% Purchasing by region Sweden 5% North America 3% Asia 30% 1,220 suppliers in 55 countries Europe 67%
  • 12. iss r m l…ion Ou and goa Our mission is to improve the rights and life opportunities of the many children – creating substantial and lasting change Our goal is to bring down malnutrition and infant disease, and dramatically improve literacy
  • 13. Our way of making a difference for the many children – our three commitments to children CHILDREN’S CAMPAIGNS EMERGENCY RIGHTS IN WITH IKEA’S RELIEF SOUTH ASIA CUSTOMERS • A healthy start • Soft toys campaign. • Financial support in life Proceeds to better and in-kind school projects. donations in • Education & emergency situations Protection • Donation of Sunnan lamps. 1 lamp sold • In-kind donations • Empowering in IKEA stores women – 1 lamp donated.
  • 14. 100 million children benefit from current IKEA Social Initiative projects
  • 15. Why is WWF working with companies?
  • 16.
  • 17. Global threats and commodities
  • 18. Consumers Persuade >6B About 300-500 companies shoppers? control ~ 70% of choice Retailers / Buyers Supply Chain Brands Investors Manufacturers Traders Processors Primary producers/extractors Engage with Need to reduce Need to reduce >1B producers the threat! the threat! WWF Global Priorities
  • 19. Places Commodities Companies ne k Oil s ls oc r ca r ie n r fue be tto est lm he ga Tim Bi o y Co Liv Pa So Su fis Amazon Coral Triangle Borneo East Africa Arctic
  • 20. Priority commodities • Forest Products Marine Seafood • Timber • Whitefish • Pulp and Paper • Tuna • Agriculture & Bioenergy Aquaculture Seafood • Palm Oil • Salmon • Soy • Shrimp • Sugarcane • Cotton • Beef/ Dairy • Bioenergy
  • 21. WWF – wants to change markets Företag • Better Management Practices • FSC, MSC • Stakeholderdialogs • palmoil - RSPO • soya - RTRS • cotton - BCI • sugar- BSI • etc
  • 24. IKEA & WWF Partnership
  • 25. Scope of the Partnership - An important part of making IKEA sustainability direction a reality (IKEA business shall have an overall positive impact on people and the environment) - One way to work towards transforming markets and decrease humankind’s ecological footprint. - Aim at creating a leading example for other companies, suppliers and governments to follow”
  • 26. Lithuania UK, Poland & Sweden Russia China US Romania, Bulgaria & Ukraine Pakistan India Laos, Cambodia & Vietnam HCV Resource Network Green: Forest projects Blue: Cotton projects Communication Yellow: Climate projects
  • 27. Partnership Steering Group Partnership Manager Cooperate Communication Administrator Communication Working Group FOREST Coordinator + SG COTTON Coordinator + SG CLIMATE Coordinator HCV Network Pakistan Climate Positive Vietnam India Supplier Laos, Cambodia & V People Transportation Russia Sus. Life at Home China Food Lithuania Closing the Loop Romania, Bulgaria & Ukraine
  • 28. WWF´s mission To stop the degradation of the planet's natural environment and to build a future in which humans live in harmony with nature, by: • Conserving the world's biological diversity • Ensuring that the use of renewable natural resources is sustainable • Promoting the reduction of pollution and wasteful consumption IKEA’s Vision • To create a better everyday life for the many people.
  • 29. To Achieve Its Mission, WWF: • Works in partnership with others • Jointly identifies and implements realistic solutions to the world´s most pressing environmental problems • Reinforces our programme of field projects with policy work to address the root causes
  • 30. The WWF and IKEA forest projects aim to: • combat illegal logging • support responsible forest management • support forest certification Forest projects • map and promote High Conservation Value Forests 1. High Conservation Value Resource Network (HCV RN) 2. Vietnam - Sustainable Rattan 3. Lithuania – Responsible Forest Management (RFM) 4. Russia – Illegal logging & RFM 5. Bulgaria, Romania and Ukraine – RFM 6. China – Illegal logging & RFM 7. Vietnam – Responsible Forest Management
  • 31. Forest achievements • Russia; > 26 million ha FSC certified forest. • China; 1,4 million ha FSC certified forest • Three rattan nurseries established and rattan taxonomic field guide. • Romania: a national timber tracking system, SUMAL was developed. • Latvia and Lithuania: Six demonstration forests established. • GFTN – includes solid wood, layer-glued, plywood, and veneer: 35% FSC.
  • 32. Latest results • Russia: • The FCS campaign is soon over - first FSC certified printing house • Two guides for the Russian Customs (timber identification & measurements) • Romania: 14 IKEA suppliers trained (FSC CW, FSC CoC etc), 1 major sub-supplier FSC certified. • FSC process ongoing for the first 50 ton of rattan – Dec 2010. • Lithuania: 3 FSC CoC seminars covering >70% of timber industry. • Vietnam: a gap analysis and identified training needs on timber legality at selected IKEA suppliers and sub-suppliers. • China: • Posters and movie in production for the Shanghai Expo in Oct. • A study on forest resources development and utilization by Chinese enterprises in Russia.
  • 33.
  • 34. The WWF and IKEA cotton projects aim to: • reduce use of water, pesticides and fertilizers • increase farmers earnings • help farmers produce Better Cotton Cotton projects India – 4 000 farmers in 2010 Maharastra Pakistan – 40 000 farmers in 2010 Bahawalpur, Lodharan, Rahim Yar Khan, Muzafargarh, Sadiq Abad, Sukkur and Toba Tek Singh.
  • 35. India
  • 36. Cotton achievements by BMP farmers (On average, compared with conventional farmers, results from 2006-2008) Pakistan - 38 % less use of chemical fertilisers - 32 % less use of pesticides - 32 % reduction of water use + 20 % increase in profit India - 18% less use of chemical fertilisers - 81 % reduction in pesticide use - 49 % reduction of water use +15 % increase of profit
  • 37. Cotton First Better Cotton ever arriving at the factory Pakistan Oct 2010
  • 38. Latest results • Flooding in Pakistan (anticipated 15-20% of the cotton crop damaged overall) • Significantly increased number of farmers in Maharastra • Decent work studies nearly finalised, to determine how to meet BCI criteria • Streamline way of reporting results • Organized suppliers meetings
  • 39. The projects aim to: • Find market transformation opportunities to provide low carbon solutions • Search solutions that can contribute for reducing GHG emissions in the society Climate projects • Engage stakeholders through the value chain 1. Mapping Climate Positive Opportunities 2. Promoting a Sustainable Life at Home 3. IKEA Food Range from a Climate Perspective 4. Closing the Loops 5. Sustainable Transportation of People 6. Climate Positive Opportunities for Suppliers
  • 40. Climate achivements • Calculations of ”what if” questions for climate positive opportunities • Guidelines for Food Managers • LCA for main food products/ingredients (IKEA) • Suppliers can decrease energy consumption up until 40% • Some suppliers can become energy producers • Models of calculating effects of different transport modes
  • 41. Latest results • Spain and US ready as pilot countries for food • Input to a more sustainable product range made • The Closing the Loops project is up and running • Analysis over internal and external barriers for suppliers • Internal material and models to be shared about StoP • External stakeholder meetings (BSR and prel. China)
  • 42. Communications Position and strengthen the partnership as; - being perceived as the leading example for other companies, NGOs and governments to follow - successful among consumers and inspire them to live a more sustainable life at home and take action against climate change and other environmental challenges.
  • 43. Next steps? • Climate communications • Forestry FY 2011 • Earth Hour 2011 • More national partnerships
  • 44. National Partnerships (updated November 2010) Agreement Austria, Belgium, France, Italy, Switzerland, Singapore, Norway, US The Netherlands Started to do work together Hungary, Czech Republic, Slovakia, Australia Earth Hour Greece, Finland, Japan (IKEA is doing EH on its own) Portugal, UK, Canada EH + other activities Germany (WWF participates on Env Day on 5/6 2010. RSPO issues) Sweden, Russia, Poland China (World Exhibition) Agreement on its way Denmark (EH, energy & climate) Spain (EH and campaign about Sustainable home) No actions Finland
  • 45.
  • 46.