Module 3 - WWF

WWF IKEA PartnershipWWF and IKEAWhy, what and how?Anita Falkenek7th of December 2010SI

AgendaWho 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 +5000WWF is in over WWF has over100 countries, on 5000 employees5 continents 1961 +5M WWF was founded WWF has over In 1961 5 million supporters

IKEA WWF PartnershipWWFs missionTo stop the degradation of the planets naturalenvironment and to build a future in which humans livein harmony with nature, by: • Conserving the worlds biological diversity • Ensuring that the use of renewable natural resources is sustainable • Promoting the reduction of pollution and wasteful consumption

The Living Planet ReportLiving Planet Index Ecological Footprint

FOR THE MANYOUR VISIONTo create a bettereveryday life for the OUR BUSINESS IDEAmany 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…ionOuand goaOur mission is to improve the rights and life opportunities ofthe many children – creating substantial and lasting changeOur goal is to bring down malnutrition and infant disease, anddramatically improve literacy

Our way of making a difference for the manychildren – 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 currentIKEA Social Initiative projects

Why is WWF working withcompanies?

Global threats and commodities

Consumers Persuade >6BAbout 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 fisAmazon CoralTriangleBorneo 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 decreasehumankind’s ecological footprint.- Aim at creating a leading example for other companies, suppliersand governments to follow”

Lithuania UK, Poland & Sweden Russia China USRomania, 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 SupplierLaos, Cambodia & V People Transportation Russia Sus. Life at Home China Food Lithuania Closing the Loop Romania, Bulgaria & Ukraine

WWF´s missionTo stop the degradation of the planets natural environment and to build afuture in which humans live in harmony with nature, by:• Conserving the worlds biological diversity• Ensuring that the use of renewable natural resources is sustainable• Promoting the reduction of pollution and wasteful consumptionIKEA’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 implementsrealistic solutions to the world´s mostpressing environmental problems• Reinforces our programme of fieldprojects with policy work to address theroot causes

The WWF and IKEA forest projects aim to: • combat illegal logging • support responsible forest management • support forest certificationForest projects • map and promote High Conservation Value Forests1. High Conservation Value Resource Network (HCV RN)2. Vietnam - Sustainable Rattan3. Lithuania – Responsible Forest Management (RFM)4. Russia – Illegal logging & RFM5. Bulgaria, Romania and Ukraine – RFM6. China – Illegal logging & RFM7. 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 CottonCotton projectsIndia – 4 000 farmers in 2010 MaharastraPakistan – 40 000 farmers in 2010 Bahawalpur, Lodharan, Rahim Yar Khan, Muzafargarh, Sadiq Abad, Sukkur and Toba Tek Singh.

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 profitIndia- 18% less use of chemical fertilisers- 81 % reduction in pesticide use- 49 % reduction of water use+15 % increase of profit

CottonFirst Better Cotton ever arrivingat the factoryPakistan 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 societyClimate 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

Climateachivements • 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)

CommunicationsPosition and strengthen the partnership as;- being perceived as the leading example forother companies, NGOs and governments tofollow- successful among consumers and inspirethem to live a more sustainable life at homeand take action against climate change andother 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 NetherlandsStarted to do work together Hungary, Czech Republic, Slovakia, AustraliaEarth Hour Greece, Finland, Japan (IKEA is doing EH on its own) Portugal, UK, CanadaEH + 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

Module 3 - WWF

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