1. IKEA
A PRESENTATION ON SUSTAINABILITY

2. IKEA Corporate and Social responsibility

3. IKEA Corporate and Social Responsibilty
Our Vision
To create a better everyday life for the many people
© Inter IKEA Systems B.V

4. IKEA Corporate and Social Responsibilty
Key facts about IKEA
135,000 co-workers worldwide.
303 stores in 33 countries.
1380 Suppliers in 54 countries.
49 factories in 11 countries.
38 distribution centres in 16 countries.
Last year our stores had 522 million visitors.
450 million hits on our websites.
Last year IKEA Group sales €21 billion
UK & IRL has 19 stores & 10,000 co-workers.

5. IKEA Corporate and Social Responsibilty
Corporate Sustainability Direction -
IKEA’s business shall have an overall positive impact on people and environment.
IKEA Social & Environmental Strategy
It’s not about branding… we will encourage people to act, initiate, drive, and take responsibility and reward for sustainability, as a foundation for business tomorrow.

6. How will we achieve this?
All our products will be made of renewable, recycled or recyclable materials.
Set clear goals and Sustainability Performance Indicators (SPI)
Secure sustainable supply set-ups for production and distribution
Minimise our carbon footprint
We will offer solutions and know-how that enables our customers to live a sustainable life at home.

7. Standards and Guidelines for our Suppliers.
Our supply chain
Standards and Guidelines for our Suppliers.
The IKEA Way on Purchasing Home Furnishing Products
(IWAY) Internal & external audits
Key requirements:
Traceability of raw materials
Safe working conditions
No child labour
Measure impact on the local environment
Avoid hazardous chemicals
Reduce energy usage
For more info:

8. Product Design Considerations
Only approved materials & sources
Avoid use of hazardous chemicals
Minimise wastage of material
Minimum amount of packaging
Fit on a Euro pallet to maximise transport efficiency
Consider end of life treatment

9. Materials: Wood is an excellent choice
We want to be sure that timber comes from responsibly managed forests
IKEA employs 17 professional foresters to verify timber is from a sustainable source & to teach best practice methods
At present IKEA sources
FSC timber and works with
WWF to stop illegal logging
Wood is used in 50% of IKEA products

10. Sustainable Cotton Production
Cooperation with WWF – Better Cotton Initiative
Farmer Field Schools
Efficient use of resources: reduce water & chemical usage
Safer for people and the environment

11. IKEA Goes Renewable
Aim: to reduce energy consumption, improve our total energy efficiency by 25% (on 2005 figures) and use renewable energy in 100% of IKEA stores & facilities.
Examples include wind, geothermal, biomass and solar panel installations
At present IKEA UK & IE have reached the 25% reduction target.
Today 47% of IKEA stores & facilities use renewable energy

12. All actions must be in the best interest of the child.
Prevent child labour
The IKEA Way on Preventing Child Labour
Emphasis on preventive measures
Unannounced inspections
Cooperating with our partners UNICEF and Save the Children (IKEA is UNICEF’s largest corporate donor)
IKEA’s target is to invest $180m in the IWAY on Preventing Child Labour by 2015
All actions must be in the best interest of the child.

13. Reducing Transport Emissions
Flatpack design to reduce ‘air’
Modern vehicles
Emission targets
Measure CO2 output
Cleaner fuels
Fuel-efficient driving techniques
Hybrid company cars
Bike to Work Scheme
Subsidise bus tickets

14. Sustainability Indicators…
All stores & factories to use wind generated electricity
Installation of geothermal/solar panels
Use of biomass burners for heating & hot water
Rainwater harvesting at IKEA facilities & stores
90% recycle rate each month
25% energy reduction on 2005 figures
75% recovery rate for damaged & returned products
100% of timber from sustainable sources
15% of co-workers travel to work by walk, bike, bus, rail

15. Communication – The Never Ending List
To raise environmental awareness amongst co-workers, customers and visitors
Gives product information on the source of materials or tips for reducing energy or wastage at home
Size of graphics vary from wallpaper to A4s
Transport Noticeboard
Sunnan & Soft Toy Campaign

16. Examples of NEL

17. IKEA Dublin Opened July 27th 2009 31,500m2 floorspace
1850 car parking spaces
400 employees
500 seat customer restaurant
No. of visitors per day 5,000 – 15,000
I millionth customer on Oct. 20th 2009
Range of green technology features

18. Dublin’s Green Technology
Wood chipper & burner: provides hot water for the store & heating of loading bay. Chip timber from broken pallets.
Rainwater recycling: Collected from roof, treated using non chemical technique (UV) & then use for toilets. 8 week supply of water storage
Ground source heating: Saves 40% of energy costs by using soil temperature for heating/cooling. Largest system in Ireland bores 90m deep.

19. Recycling - Dublin 90% target each month
Monthly reports to Head Office
Waste Fractions: Cardboard, wood, plastic film, metal, hard plastic, glass & ceramics, plastic banding, paper, textiles,
WEEE, energy saving bulbs, batteries, polystyrene, food,
cooking oil & landfill
Treatments: reuse, recycle or recovery incl. composting
Customer Recycle Points for packaging & WEEE incl.
batteries & energy saving bulbs

20. Results to Date
Major savings made on waste management & energy costs
Dublin meeting 90% recycle rate since opening, cost neutral operation
Energy consumption reduced by 20% since store opening
due to BMS management, installation of ESB (CFLs) & staff awareness
45% of co-workers use public transport or car share to
get to work
Co-workers trained on environment issues at induction & eLearning
Green Group established

21. Local Social Initiatives
Woodland Scheme: IKEA Family card, 5 acres of woodland per year
Tree Council of Ireland
Rediscovery Centre: furniture & textile recycling
Ballymun Women’s Refuge & Crèche
Temple Street Children’s Hospital
Liberties Recycling: Clothes Bank in Recycle Point
Aisling Group – Ballymun after school programme
School tours

22. Questions?