Ethics and CSR Ayush Khanna

Stefanie Kindt
Valentina
Raffaele Simonetta
Alessio Vigliotti
Guowei Zhu
Loguercio
ADIDAS - PARLEY Rohith Patel

30.03.2017
AGENDA
1.Key data

2.Overview of sustainability/CSR policy

3.The stakeholder approach

4.Critical analysis

5.Recommendations for a 5-year sustainability/CSR policy

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Key facts
1949 2nd 55.000
founded in Germany by Adolf biggest sportswear employees in more than 160
Dassler manufacturer in the world countries

19.3 billion 2015 & 2016 Since 2005

revenue in 2016 best performing share in one of the Global 100 most
german DAX Index sustainable corporations in the
World

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The four pillars of sustainability

PRODUCT PEOPLE

PARTNERS
PLANET
HIPS

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Improving environmental PRODUCT

footprint

Better Cotton
Parley DryDye Initiative Sport Infinity
Initiative

- Use of ocean - Revolutionary - Target to source - Identify and

waste for textile dyeing 100% sustainable develop innovative
innovative technology / not cotton until 2018 recyclable
product use of water (until 2015 already composites to
40% achieved) close the loop

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 PLANET

The green company programme

Overall goal to become a carbon neutral company by:
Green company - 30% water savings/employee
programme
- 25% waste reduction/employee
- 20% relative reduction in energy consumption
- 50% paper reduction
- 20% reduce of environmental footprint of IT infrastructure
The stakeholder approach
(general)
Employe
es
Getting closer to workers and
supporting fair and safe
working conditions with
appreciation of all employees:
Sms worker hotline to
enable workers to raise
their voice
A portfolio of activities,
internal and external, such
as the declaration against
homophobia in sport.
Customers
Utilising sport as a tool to reach
values and boost young
peoples academic and physical
performance and raising
consciousness about the
importance of sport in life.
Inspiring people to make a
positive impact on society and
on our planet and to contribute
to a sustainable future.
Suppliers
Increasing the social compliance
of suppliers and their awareness
of delivering fair and
environmentally right workplace
conditions.
Adidas compliance key
performance indicator is the
rating tool to evaluate direct
suppliers and it influences
decisions about which one to
choose.
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 The stakeholder approach (specific
for Parley)
NGO: Parley for the oceans Designer: Alexander Taylor Local communities: Fishermen
Government: Republic of Maldives

Parley is the space where
creators, thinkers and
leaders come together to
raise awareness for the
beauty and fragility of our
oceans and collaborate on
projects that can end their
destruction
Alexander taylor is the artist
in charge of the design of
the shoes. For adidas is also
important the marketing
aspect of this project
because they have to
maintain their reputation
and the brand awareness.
Attention on the
environmental problem of
the plastic pollution bring
a benefit also for the local
communities and in
particular to the local
fishermen that can enjoy
more cleaned water and a
sea more rife and fishy.
Thanks to this partnership also
the government of the
maldives (the main site in
which the ngo works) can
receive a benefit in term of
waste disposal for free.
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 Critical Analysis
Planet People Profit

Green company programme SMS Worker hotline Increase in sales 10% ( 16.915 bn)
Energy usage reduction at supplier end Communities support through Gross margin : 48.3%
through us of C-KPIs and E-KPIs relief funds, product or financial Operating margin : 6.5%
ISO 14001 certification donations or corporate Increase in net income 12%( 720 mn)
Better cotton, recycled polyester volunteering programs AG share price increases by 56%
Virtualisation of physical samples Fair wage and safe working conditions

Source : http://www.adidas-group.com/media/filer_public/9c/f3/9cf3db44-b703- Source : http://www.adidas-group.com/media/filer_public/9c/f3/9cf3db44-b703- Source : http://www.adidas-group.com/media/filer_public/e9/73/e973acf3-f889-

4cd0-98c5-28413f272aac/2015_sustainability_progress_report.pdf 4cd0-98c5-28413f272aac/2015_sustainability_progress_report.pdf 43e5-b3c0-bc870d53b964/2015_gb_en.pdf 9
 Sport Needs a Space (six strategic
priorities)

Generic Social Value Chain Social Impacts Social Dimensions of

Impacts Competitive Context
Stimulates workers productivity
Provides a stable and Save water
conducive work Good reputation and create demand
environment Save non-renewable resource &
Raise awareness of the environmental find new material
Inspire people to live an cause
active and healthy lifestyle Improve carbon footprint Save energy
Reduce energy consumption
1 we empower people High-performance functional and 1 we value water
2 we improve health quality materials 2 we innovate materials
3 we inspire action Positive impact for global waste & processes
challenge and resource shortages 3 we conserve energy

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 Implementing Green Company
Initiative
Carbon Reduction Water Reduction Waste and Paper Reduction
Carbon neutrally for our own operations Management of water Household waste and paper
globally
as vital resource consumption for the different
administration offices

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 Tackle out chemical footprint &
Partnership Assessment
Workplace Responsible
PFC-free Chemicals Reduction Sourcing with
Standards for
R&D in close collaboration Management of Licensee Suppliers
with leading chemical chemicals in multi-tiered Long-term and mutually
Integrate compliance into
companies in finding supply chain. Partnership beneficial relationship
their daily performance
alternatives that still meet with Bluesign based on constructive
and evaluate them
out high performance and Technology, provider of two-way dialogue
accordingly
quality standards assessment tool for
chemical processes in
textile industry

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Thank you
for your
attention!

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