M

Sustainability Report 2017

GRI STANDARDS CONTENT INDEX

3

This Sustainability Report has been prepared in accordance with the GRI Standards: Comprehensive option. The following GRI Standards Content Index documents where disclosures related to each of the GRI requirements can be found within the 2017 TAKKT Sustainability Report.

The GRI Content Index also forms the basis for the Communication on Progress (COP) als part of the TAKKT’s membership in the Global Compact Initiative of the United Nations. The corresponding references are found in the column “Global Compact Advanced Level Criteria” of the GRI Standards Content Index.

An independent audit of the 2017 TAKKT Sustainability Report was completed.





Table:  = completely    = partly   (nr) = not relevant



Global Compact Advanced Level Criteria GRI-Indicator Link Reported
GRI 101: General Disclosures 2016 Foundation
  101 Foundation takkt.de/sr17/gri
GRI 102: General Disclosures 2016 Organizational profile
  102-1 Name of the organization takkt.de/sr17/gri
  102-2 Activities, brands, products, and services takkt.de/sr17/gri
  102-3 Location of headquarters takkt.de/sr17/gri
  102-4 Location of operations takkt.de/sr17/gri
  102-5 Ownership and legal form takkt.de/sr17/gri
  102-6 Markets served takkt.de/sr17/gri
  102-7 Scale of the organization takkt.de/sr17/gri
  102-8 Information on employees and other workers takkt.de/sr17/gri
2 102-9 Supply chain takkt.de/sr17/gri
  102-10 Significant changes to the organization and its supply chain takkt.de/sr17/gri
  102-11 Precautionary Principle or approach takkt.de/sr17/gri
16-18 102-12 External initiatives takkt.de/sr17/gri
17 102-13 Membership of associations takkt.de/sr17/gri
GRI 102: General Disclosures 2016 Strategy
19 102-14 Statement from senior decision-maker takkt.de/sr17/gri
19 102-15 Key impacts, risks, and opportunities takkt.de/sr17/gri
GRI 102: General Disclosures 2016 Ethics and Integrity
12102-16 Values, principles, standards, and norms of behavior takkt.de/sr17/gri
12-14 102-17 Mechanisms for advice and concerns about ethics takkt.de/sr17/gri
GRI 102: General Disclosures Governance
  102-18 Governance structure takkt.de/sr17/gri
1 102-19 Delegating authority takkt.de/sr17/gri
1; 20 102-20 Executive-level responsibility for economic, environmental, and social topics takkt.de/sr17/gri
  102-21 Consulting stakeholders on economic, environmental, and social topics takkt.de/sr17/gri
  102-22 Composition of the highest governance and its committees takkt.de/sr17/gri
  102-23 Chair of the highest governance body takkt.de/sr17/gri
  102-24 Nominating and selecting the highest governance body takkt.de/sr17/gri
2 102-25 Conflicts of interest takkt.de/sr17/gri
1 102-26 Role of highest governance body in setting purpose, values, and strategy takkt.de/sr17/gri
  102-27 Collective knowledge of highest governance body takkt.de/sr17/gri
  102-28 Evaluating the highest governance body's performance takkt.de/sr17/gri
  102-29 Identifying and managing economic, environmental, and social impacts takkt.de/sr17/gri
  102-30 Effectiveness of risk management processes takkt.de/sr17/gri
  102-31 Review of economic, environmental, and social topics takkt.de/sr17/gri
1; 20 102-32 Highest governance body's role in sustainability reporting takkt.de/sr17/gri
1 102-33 Communicating critical concerns takkt.de/sr17/gri
  102-34 Nature and total number of critical concerns takkt.de/sr17/gri
  102-35 Remuneration policies takkt.de/sr17/gri
  102-36 Process for determining remuneration takkt.de/sr17/gri
  102-37 Stakeholders' involvement in remuneration takkt.de/sr17/gri
  102-38 Annual total compensation ratio takkt.de/sr17/gri
  102-39 Percentage increase in annual total compensation ratio takkt.de/sr17/gri
GRI 102: General Disclosures 2016 Stakeholder engagement
21 102-40 List of stakeholder groups takkt.de/sr17/gri
21 102-41 Collective bargaining agreements takkt.de/sr17/gri
21 102-42 Identifying and selecting stakeholders takkt.de/sr17/gri
21 102-43 Approach to stakeholder engagement  takkt.de/sr17/gri
21 102-44 Key topics and concerns raised takkt.de/sr17/gri
GRI 102: General Disclosures Reporting practice
  102-45 Entities included in the consolidated financial statements takkt.de/sr17/gri
15; 16 102-46 Defining report content and topic Boundaries takkt.de/sr17/gri
  102-47 List of material topics takkt.de/sr17/gri
  102-48 Restaments of information takkt.de/sr17/gri
  102-49 Changes in reporting takkt.de/sr17/gri
  102-50 Reporting period takkt.de/sr17/gri
  102-51 Date of most recent report takkt.de/sr17/gri
  102-52 Reporting cycle takkt.de/sr17/gri
  102-53 Contact point for questions regarding the report takkt.de/sr17/gri
  102-54 Claims of reporting in accordance with the GRI-Standards takkt.de/sr17/gri
  102-55 GRI content index takkt.de/sr17/gri
  102-56 External assurance takkt.de/sr17/gri
GRI 103: Management approach 2016
1-21 103-1 Explanation of the material topic and its Boundary takkt.de/sr17/gri
1-21 103-2 The management approach and its components takkt.de/sr17/gri
1-21 103-3 Evaluation of the management approach takkt.de/sr17/gri
GRI 201: Economic Performance 2016
  201-1 Direct economic value generated and distributed takkt.de/sr17/gri
  201-2 Financial implications and other risks and opportunities due to climate change  takkt.de/sr17/gri
  201-3 Defined benefit plan obligations and other retirement plans takkt.de/sr17/gri
  201-4 Financial assistance received from government takkt.de/sr17/gri
GRI 202: Market presence 2016
  202-1 Ratios of standard entry level wage by gender compared to local minimum wage takkt.de/sr17/gri(nr)
  202-2 Proportion of senior management hired from the local community takkt.de/sr17/gri(nr)
GRI 203: Indirect economic impacts 2016
  203-1 Infrastructure investments and services supported takkt.de/sr17/gri(nr)
  203-2 Significant indirect economic impacts takkt.de/sr17/gri(nr)
GRI 204: Procurement practices 2016
204-1 Proportion of spending on local suppliers takkt.de/sr17/gri
GRI 205: Anti-Corruption 2016
13 205-1 Operations assessed for risks related to corrupted takkt.de/sr17/gri
13 205-2 Communication and training about ant-corruption policies and procedures takkt.de/sr17/gri
14 205-3 Confirmed incidents of corruption and actions taken takkt.de/sr17/gri
GRI 206: Anti-competetive behavior 2016
  206-1 Legal actions for anti-competitive bahvior anti-trust, and monopoly practices takkt.de/sr17/gri
GRI 301: Materials 2016
  301-1 Materials used by weight or volume takkt.de/sr17/gri(nr)
  301-2 Recycled input materials used takkt.de/sr17/gri(nr)
  301-3 Reclaimed prooducts and their packaging materials  takkt.de/sr17/gri(nr)
GRI 302: Energy 2016
11 302-1 Energy consumption within the organization takkt.de/sr17/gri
  302-2 Energy consumption outside of the organization takkt.de/sr17/gri(nr)
11 302-3 Energy intensity takkt.de/sr17/gri
11 302-4 Reduction of energy consumption takkt.de/sr17/gri
  302-5 Reductions in energy requirements of products and services takkt.de/sr17/gri(nr)
GRI 303: Water 2016
  303-1 Water withdrawal by source takkt.de/sr17/gri(nr)
  303-2 Water sources significantly affected by withdrawal of water takkt.de/sr17/gri(nr)
  303-3 Water recycled and reused takkt.de/sr17/gri(nr)
GRI 304: Biodiversity 2016
  304-1 Operational sites owned, leased, managed in, or adjacent to, protected areas and areas of high biodiversity value outside protected areas takkt.de/sr17/gri(nr)
  304-2 Significant impacts of activities, products, and services on biodiversity takkt.de/sr17/gri(nr)
  304-3 Habitats protected or restored takkt.de/sr17/gri(nr)
  304-4 IUCN Red List species and national conservation list species with habitats in areas affected by operations takkt.de/sr17/gri(nr)
GRI 305: Emissions 2016
11 305-1 Direct (Scope 1) GHG emissions takkt.de/sr17/gri
11 305-2 Energy indirect (Scope 2) GHG emissions takkt.de/sr17/gri
11 305-3 Other indirect (Scope 3) GHG emissions takkt.de/sr17/gri
11 305-4 GHG emissions intensity takkt.de/sr17/gri
11 305-5 Reduction of GHG emissions takkt.de/sr17/gri
  305-6 Emissions of ozone-depleting substances (ODS) takkt.de/sr17/gri(nr)
  305-7 Nitrogen oxides (NOX), sulfur oxides (SOX), and other significant air emissions takkt.de/sr17/gri(nr)
GRI 306: Effluents and Waste 2016
  306-1 Water discharge by quality and destination takkt.de/sr17/gri(nr)
11 306-2 Waste by type and disposal method takkt.de/sr17/gri
11 306-3 Significant spills takkt.de/sr17/gri
  306-4 Transport of hazardous waste takkt.de/sr17/gri(nr)
  306-5 Water bodies affected by water discharges and/or runoff takkt.de/sr17/gri(nr)
GRI 307: Environmental compliance 2016
11 307-1 Non-compliance with environmental laws and regulations takkt.de/sr17/gri
GRI 308: Supplier environmental assessment 2016
2; 9; 11 308-1 New suppliers that were screened using environmental criteria takkt.de/sr17/gri
2; 9; 11 308-2 Negative environmental impacts in the supply chain and actions taken takkt.de/sr17/gri
GRI 401: Employment 2016
8 401-1 New employee hires and employee turnover takkt.de/sr17/gri
401-2 Benefits provided to full-time employees that are not provided to temporary or part-time employees takkt.de/sr17/gri
401-3 Parental leave takkt.de/sr17/gri
GRI 402: Labor/Management relations 2016
  402-1 Minimum notice periods regarding operational changes takkt.de/sr17/gri
GRI 403: Occupational health and safety 2016
7 403-1 Workers representation in formal joint management-worker health and safety commitees takkt.de/sr17/gri
2; 8 403-2 Types of injury and rates of injury, occuptaional diseases, lost days, and absenteeism, and number of work-related fatalities takkt.de/sr17/gri
  403-3 Workers with high incidence or high risk of diseases related to their occupation takkt.de/sr17/gri
  403-4 Health and safety topics covered in formal agreements with trade unions takkt.de/sr17/gri
GRI 404: Training and education 2016
7 404-1 Average hours of training per year per employee takkt.de/sr17/gri
7 404-2 Programs for upgrading employee skills and transition assistance programs takkt.de/sr17/gri
8 404-3 Percentage of employee receiving regular performance and career development reviews takkt.de/sr17/gri
GRI 405: Diversity and equal opportunity 2016
8 405-1 Diversity of governance bodies and employees takkt.de/sr17/gri
  405-2 Ratio of basic salary and remuneration of women to men takkt.de/sr17/gri(nr)
GRI 406: Non-Discrimination 2016
5 406-1 Incidents of discrimination and corrective actions taken takkt.de/sr17/gri
GRI 407: Freedom of association and collective bargaining 2016
2; 5 407-1 Operations and suppliers in which the right to freedom of association and collective bargaining may be at risk takkt.de/sr17/gri
GRI 408: Child labor 2016
5 408-1 Operations and suppliers at significant risk for incidents of child labor takkt.de/sr17/gri
GRI 409: Forced or compulsory labor 2016
2; 5 409-1 Operations and suppliers at significant risk for incidents of forced or compulsory labor takkt.de/sr17/gri
GRI 410: Security practices 2016
  410-1 Security personnel trained in human rights policies or procedures takkt.de/sr17/gri(nr)
GRI 411: Rights of indigenous peoples 2016
4 411-1 Incidents of violations involving rights of indigenous peoples takkt.de/sr17/gri(nr)
GRI 412: Human rights assessment 2016
4 412-1 Operations that have been subject to human rights reviews or impact assessments takkt.de/sr17/gri(nr)
  412-2 Employee training on human rights policies or procedures takkt.de/sr17/gri(nr)
  412-3 Significant investment agreements and contracts that include human rights clauses or that underwent human rights screening takkt.de/sr17/gri(nr)
GRI 413: Local communities 2016
  413-1 Operations with local community engagement, impact assessments, and development programs takkt.de/sr17/gri
  413-2 Operations with significant actual and potential negative impacts on local communities takkt.de/sr17/gri
GRI 414: Supplier social assessment 2016
2; 4; 5; 7; 8 414-1 New suppliers that were screened using social criteria takkt.de/sr17/gri
2; 5; 6; 7 414-2 Negative social impacts in the supply chain and actions taken takkt.de/sr17/gri
GRI 415: Public policy 2016
  415-1 Political contributions takkt.de/sr17/gri
GRI 416: Customer health and safety 2016
  416-1 Assessment of the health and safety impacts of product and service categories takkt.de/sr17/gri(nr)
  416-2 Incidents of non-compliance concerning the health and safety impacts of products and services takkt.de/sr17/gri
GRI 417: Marketing and labeling 2016
  417-1 Requirements for product and service information and labeling takkt.de/sr17/gri
  417-2 Incidents of non-compliance concerning product and service information and labeling takkt.de/sr17/gri
  417-3 Incidents of non-compliance concerning marketing communications  takkt.de/sr17/gri
GRI 418: Customer privacy 2016
  418-1 Substantiated complaints concerning breaches of customer privacy and losses of customer data takkt.de/sr17/gri
GRI 419: Socioeconomic-Compliance 2016
  419-1 Non-compliance with laws and regulations in the social and economic area takkt.de/sr17/gri



General Disclosures



Foundation

101
Foundation

The TAKKT GRI standards online report is based on the guidelines and principles of the Global Reporting Initiative (GRI) on sustainability reporting. The current guidelines of the GRI standards were used in the preparation of the report. The present report was prepared in accordance with the “Comprehensive” option of the GRI standards. The TAKKT GRI standards online report is structured according to the GRI standards reporting layout. The respective topics, indicators and key figures are explained in the subsections.



Organizational profile

102-1
Name of the organization

TAKKT AG



102-2
Activities, brands, products, and services

The TAKKT Group is a portfolio of B2B direct marketing specialists for business equipment. TAKKT AG as a management holding company is responsible for the strategic management and monitoring of the portfolio companies as well as the control of the companies according to the same value and growth drivers. Besides the strategic orientation of the portfolio and the individual companies, TAKKT AG is also responsible for classical holding company functions such as financing, controlling, human resources and legal. In addition, the holding company promotes and organizes the transfer of knowledge between the divisions and supports the segments in implementing the measures of the digital agenda.

The companies of the TAKKT Group position themselves as B2B direct marketing specialists for business equipment that have a comprehensive range of services and predominantly horizontal alignment.

The companies operate in Europe and North America. The portfolio companies are divided into seven divisions that operate in different markets. The sales brands pursue either a multi-channel or a web-focused approach.

Primary brands: KAISER+KRAFT, BiGDUG, Ratioform, Hubert, Central, Displays2Go, Post-Up Stand and National Business Furniture

Products and services:

  • KAISER+KRAFT, as a supplier of business equipment, offers around 66,000 products for transportation, plant, warehouse and office equipment in 24 European countries.
  • BiGDUG, as an online retailer for business equipment specializing in storage and shelving, supplies its customers with shelving systems and work benches.
  • As a packaging specialist, Ratioform offers around 7,000 different kinds of transport packaging in seven European countries for companies in different industries as well as customer-specific packaging solutions. Some examples of products are collapsible boxes, package padding, shipping pallets and stretch film.
  • Hubert offers around 115,000 products in North America and since 2010 also in Europe. The range includes equipment for the food service industry and food retail sector as well as sales promotion products and supplies. The Hubert group’s customers mainly include operators of large cafeterias, food service businesses and the food retail industry. Products include buffet equipment such as serving platters, bread baskets and table decorations as well as plates and cutlery.
  • Central offers around 730,000 products for restaurant equipment in the US. Restaurant operators are the core customer group of the Central group. The product range includes all the equipment and supplies required for the operation of small to mid-sized restaurants. Some examples of products are kitchen stoves and freezers.
  • Displays2Go and Post-Up Stand offer around 13,000 display products in the US. Sales are carried out mostly online. Products include advertising banners, printed and digital display stands, mobile trade booths and fixtures.
  • National Business Furniture offers around 41,000 office furniture products in the US. In addition to companies, its customers include government agencies, the health care sector, schools and churches. Some examples of products are office chairs and desks, conference tables and furniture for reception areas.



Products and services that are prohibited or not offered in markets: No incidents in the 2017 reporting period.



102-3
Location of headquarters

Stuttgart, Germany



102-4
Location of operations

With around 70 facilities in Europe and North America, TAKKT serves markets in 26 countries.

With respect to the sustainability issues covered in the report, Germany and the US are especially relevant because the main facilities of the subsidiaries are in these countries.



102-5
Ownership and legal form

TAKKT AG is a publicly listed company under German law. The company is listed on the SDAX and has been in the Deutsche Börse Prime Standard since January 1, 2003.

Nature of ownership as of 12/31/17:

  • Franz Haniel & Cie. GmbH (FHC): 50.2%
  • Free float: 49.8%



Regional distribution of free float shares of institutional investors:

  • UK: 29%
  • USA: 27%
  • Germany: 19%
  • Scandinava: 11%
  • Benelux: 8%
  • Others: 6%




102-6
Markets served

The TAKKT Group makes a distinction between the TAKKT Europe and TAKKT America segments. For purposes of reporting, the individual divisions are arranged by segment. TAKKT renamed the divisions at the beginning of 2018. In the TAKKT Europe segment, the Business Equipment Group (BEG) was renamed the KAISER+KRAFT group and the Packaging Solutions Group (PSG) is now called the Ratioform group. In addition, as of January 1, 2018 the newport Group was formed as a separate third division within TAKKT Europe. In the TAKKT America segment, the Merchandising Equipment Group (MEG) was renamed the Hubert group, the Restaurant Equipment Group (REG) was changed to the Central group, the Displays Group (DPG) became the D2G group and the Office Equipment Group (OEG) is now called the NBF group.

The TAKKT Europe segment is divided into three divisions:

  • The KAISER+KRAFT group , as a supplier of business equipment, offers around 66,000 products for transportation, plant, warehouse and office equipment in 24 European countries. Customers include industrial enterprises such as automotive suppliers, service and retail companies as well as public institutions. Some examples of products are pallet lifting trucks, universal cabinets and swivel chairs as well as special products such as environmental cabinets and containers for hazardous materials. The KAISER+KRAFT group pursues a mostly centralized warehouse strategy.
  • As a packaging specialist, the Ratioform group offers around 7,000 different kinds of transport packaging in seven European countries for companies in different industries as well as customer-specific packaging solutions. Some examples of products are collapsible boxes, package padding, shipping pallets and stretch film. The division pursues a decentralized warehouse strategy.
  • The newport Group bundles young, web-focused companies that target small and medium-sized corporate customers. The division offers around 83,000 items in different European countries and product areas. For example, Certeo sells plant and office equipment in four European countries. In contrast, Mydisplays, which was acquired in 2017, provides products such as custom-printed advertising banners and mobile display systems to a broad customer segment primarily in the DACH region. OfficeFurnitureOnline, acquired at the beginning of 2018, is a UK product specialist offering office furniture such as desks, chairs and cabinets in its web shop. Also in the UK, BiGDUG, as an online retailer for business equipment specializing in storage and shelving, supplies its customers with shelving systems and work benches. In addition, the TAKKT investment company with its investments in innovative start-ups is also part of the newport Group.




The TAKKT America segment is divided into four divisions:

  • The HUBERT Gruppe offers around 115,000 products in North America and since 2010 also in Europe. The range includes equipment for the food service industry and food retail sector as well as merchandising products and supplies. The Hubert group’s customers mainly include operators of large cafeterias, food service businesses and the food retail industry. Products include buffet equipment such as serving platters, bread baskets and table decorations as well as plates and cutlery.
  • The Central group offers around 730,000 products for restaurant equipment in the US. Restaurant operators are the core customer group of the Central group. The product range includes all the equipment and supplies required for the operation of small to mid-sized restaurants. Some examples of products are kitchen stoves and freezers.
  • The D2G group offers around 13,000 display products in the US. Sales are carried out mostly online. Products include advertising banners, printed and digital display stands, mobile trade booths and fixtures.
  • The NBF group offers around 41,000 office furniture products in the US. In addition to companies, its customers include government agencies, the health care sector, schools and churches. Some examples of products are office chairs and desks, conference tables and furniture for reception areas.



102-7
Scale of the organization

  • Net sales according to value added statement (including changes in inventory and other own work capitalized): EUR 1,117.2 million
  • Net sales according to income statement: EUR 1,116.1 million, divided into TAKKT Europe: EUR 574.7 million, TAKKT America: EUR 541.4 million
  • Number of employees: Total headcount as of 12/31/17: 2,614
  • Number of locations: around 70



Total capitalization as of 12/31/17:

  • Total equity: EUR 567,822
  • Total liabilities: EUR 360,636 thousand
  • Number of orders: 2,461,023
  • Number of products: >1,000,000



102-8
Information on employees and other workers

Total number of employees by employment contract and gender:

  • Full-time employees as of 12/31/2017 (headcount): 2,405
  • Part-time employees as of 12/31/2017 (headcount): 209
  • Employees by gender: Male: 1,450 Female: 1,164



Employees by permanent employees and supervised workers and by gender:

  • Number of executive personnel: 364, thereof 118 female, 246 male
  • Number of permanent employees and supervised workers: 2,250, thereof 1,046 female, 1,204 male



Employees by region and gender:

  • Number of employees TAKKT America: 998, thereof 494 female and 504 male
  • Number of employees TAKKT Europe: 1,565, thereof 648 female and 917 male
  • Number of employees TAKKT Holding: 51, thereof 22 female and 29 male



Independent contractors do not perform any fundamental part of the activities of the organization.

There are no significant fluctuations with respect to the number of employees.

The data was compiled and summarized by the human resources department of TAKKT AG.



102-9
Supply chain

The companies of the TAKKT Group compile a total product range of more than 1,000,000 high-quality products from the offerings of several hundred suppliers per company.

TAKKT has a total of more than 4,000 suppliers worldwide, the majority of which are local and regional (please see also indicator 204-1).

The monetary value of payments to suppliers corresponds to material costs (cost of goods sold and freight costs) according to the income statement (see the 2017 TAKKT AG Annual Report, p. 110).

The TAKKT value added chain is defined as follows:

  • Sourcing: Management of the entire life cycle of the products we sell – from sourcing to their use, including the disposal of materials and packaging.
  • Marketing and sales: Direct marketing using a multi-channel strategy via traditional and electronic channels
  • Logistics: Storage, packaging and transportation logistics including direct delivery in the drop shipment business



In addition to product suppliers, there are service providers who also contribute to the value added chain, e.g., printing companies for the production of the catalogue. In this regard, TAKKT works with selected companies who guarantee sustainable, environmentally friendly production and make possible the use of certified paper. The carriers who ship the goods to the customers are another component in the supply chain.



102-10
Significant changes to the organization and its supply chain

There was no change in the distribution of share ownership compared to the previous year.

Acquisition of Mydisplays as of 7/11/2017 and OfficeFurnitureOnline as of 1/29/2018.

We made an organizational adjustment of our divisions at the beginning of 2018. In the new organizational structure, the activities of BiGDUG, Certeo, Mydisplays and OfficeFurnitureOnline, which was acquired at the beginning of the year, are bundled in the separate newport division. As a result, the TAKKT Europe segment now consists of three divisions.

At the KAISER+KRAFT group, the sales and marketing activities of gaerner in the UK, France, Belgium and the Netherlands were merged with the KAISER+KRAFT retail brand in the 2017 financial year.

For disclosures on changes in capital see the 2017 TAKKT AG Annual Report, p. 47 ff.



102-11
Precautionary Principle or approach

In the Rio Declaration on Environment and Development, the importance of environmental protection is highlighted in principle 15. In TAKKTʼs value added chain, potentially negative environmental impacts arise especially with respect to the manufacturers of the products sold. In this context, TAKKT works in partnership with the suppliers to make sure that negative environmental impacts in the development and introduction of new products are minimized or completely eliminated.



102-12
External initiatives

  • UN Global Compact: Advanced Level approval renewed
  • Carbon Disclosure Project: In the year under review, TAKKT achieved a Climate Score of “C,” putting it among the top of the participating SDAX companies.



102-13
Membership of associations

  • UN Global Compact
  • German E-Commerce and Distance Selling Association (bevh)





Strategy

102-14
Statement from senior decision-maker

See interview with the Management Board in the 2017 Sustainability Report



102-15
Key impacts, risks, and opportunities

  • See the 2017 TAKKT AG Annual Report, p. 83 ff.





Ethics and Integrity

102-16
Values, principles, standards, and norms of behavior



102-17
Mechanisms for advice and concerns about ethics

  • The Group-wide compliance guidelines include internal as well as external contact persons.
  • The organization has an independent, anonymous whistleblower hotline, which is available to all employees.
  • On an internal level, employees have the option of contacting the Works Council or compliance officer.
  • A Group-wide Code of Conduct has been established in which guidelines for appropriate conduct are explained.





Governance

102-18
Governance structure

See the 2017 TAKKT AG Annual Report, p. 99 ff.



102-19
Delegating authority

See the 2017 TAKKT AG Annual Report, p. 99 ff.



102-20
Executive-level responsibility for economic, environmental, and social topics

The entire TAKKT Management Board is responsible for economic, environmental and social topics. For implementation at the corporate level, the Group-wide organizational structure SCORE (Sustainable Corporate Responsibility) was anchored in the entire company. (See also GRI 102-46).



102-21
Consulting stakeholders on economic, environmental, and social topics

The consultation with stakeholders takes place on various levels of the organization, including directly between the Management Board and external stakeholders, e.g., at TAKKT’s annual Shareholders’ Meeting, different investor relations events, Bankers’ Day and the Suppliers’ Day event. (See also GRI 102-40 to 102-44)



102-22
Composition of the highest governance body and its committees

See the 2017 TAKKT AG Annual Report, p. 99 ff.



102-23
Chair of the highest governance body

See the 2017 TAKKT AG Annual Report, p. 99 ff.



102-24
Nominating and selecting the highest governance body

See the 2017 TAKKT AG Annual Report, p. 99 ff.



102-25
Conflicts of interest

See the 2017 TAKKT AG Annual Report, p. 99 ff.



102-26
Role of highest governance body in setting purpose, values, and strategy

See the 2017 TAKKT AG Annual Report, p. 99 ff.



102-27
Collective knowledge of highest governance body

See the 2017 TAKKT AG Annual Report, p. 28  ff. and p. 36 ff.



102-28
Evaluating the highest governance body’s performance

A performance assessment of the Management Board is conducted by the shareholders at the annual Shareholders’ Meeting as part of the discharge procedure as well as by the Supervisory Board on a regular basis. The performance is evaluated as a whole rather than in relation to individual aspects such as economic, environmental or social topics. (See also the 2017 TAKKT AG Annual Report, p. 103 ff.)



102-29
Identifying and managing economic, environmental, and social impacts

See the 2017 TAKKT AG Annual Report, p. 82 ff.



102-30
Effectiveness of risk management processes

See the 2017 TAKKT AG Annual Report, p. 82 ff.



102-31
Review of economic, environmental, and social topics

See the 2017 TAKKT AG Annual Report, p. 82 ff.



102-32
Highest governance body’s role in sustainability reporting

The sustainability report is reviewed and approved by the Management Board of TAKKT AG. In addition, the Management Board of TAKKT AG prepares the non-financial statement, which is audited by the Supervisory Board of TAKKT AG.



102-33
Communicating critical concerns

The organization has an independent, anonymous whistleblower hotline, which is available to all employees. On an internal level, employees have the option of contacting the Works Council or compliance officer.



102-34
Nature and total number of critical concerns

The confidential treatment of critical issues has the highest priority at TAKKT. For this reason, no information is published.



102-35
Remuneration policies

For information on the remuneration policy and total remuneration of the Management Board and the Supervisory Board, please see the 2017 TAKKT AG Annual Report, p. 103 ff. 102-36 Process for determining remuneration Please see the 2017 TAKKT AG Annual Report, p. 103 ff.



102-36
Process for determining remuneration

Please see the 2017 TAKKT AG Annual Report, p. 103 ff.



102-37
Stakeholders’ involvement in remuneration

The shareholders of TAKKT AG have the possibility to comment on the remuneration of the governance body at the annual Shareholders’ Meeting and to submit proposals.



102-38
Annual total compensation ratio

For information on the total remuneration of the Chief Executive Officer (CEO), please see the 2017 TAKKT AG Annual Report, p. 103 ff.

Group-wide personnel expenses from the income statement for the 2017 year under review amount to: EUR 166,686 thousand



102-39
Percentage increase in annual total compensation ratio

For information on the development of total remuneration of the CEO, please see the 2017 TAKKT AG Annual Report, p. 103 ff.

Group-wide personnel expenses from the income statement for the 2017 year under review increased by 0.3% from the previous year.





Stakeholder engagement

102-40
List of stakeholder groups

Stakeholder groups of TAKKT AG

  • Customers
  • Suppliers
  • Society
  • Employees
  • Shareholders



102-41
Collective bargaining agreements

The German companies of TAKKT are aligned with the respective applicable wage agreements.

Due to the fundamentally different employer-employee relationship in the US, there are no employees there who are covered by collective bargaining agreements.

As a result, no TAKKT employees are covered by collective bargaining agreements.



102-42
Identifying and selecting stakeholders

All stakeholder groups with which TAKKT comes into contact in the course of its business activities are defined and included as stakeholders. The major stakeholders affected by TAKKTʼs business activities are also taken into consideration.



102-43
Approach to stakeholder engagement

Customers:

  • Periodic representative customer surveys
  • Customer feedback and product evaluation in online business
  • Complaint management
  • Individual measures of customer relationship management
  • Online communication
  • Annual and sustainability reports



Suppliers:

  • Discussion with suppliers at least once a year to discuss goals and the potential for improved collaboration
  • The holding of regular supplier days
  • Regular participation in trade fair events
  • Annual and sustainability reports



Society:

  • Press releases on individual initiatives
  • Online communication
  • Annual and sustainability reports
  • Dialogue with industry associations



Employees:

  • Employee meetings
  • Intranet communication
  • Employee magazine
  • Employee satisfaction surveys
  • „Future@TAKKT“ group conference (conference for executive personnel)
  • Annual performance reviews
  • Annual and sustainability reports



Shareholders:

  • Shareholders’ Meeting
  • Quarterly statements
  • Half-year financial report
  • Regular interaction in quarterly discussions
  • Regular CR roundtables
  • Investor Relations events
  • Roadshows
  • Earnings calls
  • Banker’s Day
  • Online communication
  • Annual and sustainability reports



TAKKT communicates with its stakeholders on a regular basis concerning their requirements and needs, e.g., customer surveys. TAKKT makes the results of these exchanges quantifiable and integrates them into the development of the company. The results of the customer surveys are not disclosed due to reasons of confidentiality.



102-44
Key topics and concerns raised

Customers:

  • Expectation:
    • Ensuring good compliance management

     

  • Measures:
    • TAKKT has implemented corporate values that form the basis for internal collaboration as well as cooperation with business partners.
    • TAKKT supports the aims of the German Corporate Governance Code.
    • TAKKT has established an extensive Group-wide and company-specific reporting and control system that makes it possible to record, assess and manage compliance risks.
    • TAKKT has a central compliance management system that is checked by the specialist departments and the compliance officer.
    • In addition to the existing TAKKT values, the TAKKT Code of Conduct and the TAKKT compliance management guidelines, TAKKT has a whistleblower hotline set up with an external service provider where employees can, to the extent permitted by law, report compliance violations anonymously.
    • TAKKT has introduced an electronic platform for training in compliance-related issues.

     



Suppliers:

  • Expectation:
    • Contributing to climate protection

  • Measures:
    • Since 2010, TAKKT has gained important starting points for targeted improvement measures – such as the use of environmentally friendly materials and production processes – from the collection of CO2 emissions data. TAKKT relies here on the continuous expansion of certified carbon footprints. The introduction of certified carbon footprints enables us to ensure the greatest possible transparency for the CO2 emissions along our value chain. We have implemented projects and measures based on these results in order to sustainably reduce the resulting CO2 emissions (e.g., conversion to LED lighting at our warehouse locations).
    • Particularly in our focus areas of marketing and logistics, which are the largest drivers of CO2 emissions, we intend to offset the resulting CO2 emissions step-by-step by supporting carefully selected and certified climate protection projects.
    • Since 2008, TAKKT has participated in the annual ranking of the Carbon Disclosure Project (CDP) international initiative. It aims to make companies’ climate strategies more comparable and to sustainably reduce their emissions.

     



Society:

  • Expectation:
    • Dialogue with industry associations regarding certification of sustainability measures

  • Measures:
    • Member of bevh Germany
    • Active support of the international Global Compact Network
    • Participation in public events (including the German Retail Congress).

     



Employees:

  • Expectation:
    • Ensuring high resource efficiency

  • Measures:
    • TAKKT works exclusively with efficient and modern printing houses
    • Almost all of the paper used to produce the print advertising materials is from certified resources (FSC/PEFC).
    • Systematic expansion of the e-commerce business
    • Continuous improvement of resource usage in business operations through the expansion of certified environmental management systems

     



Shareholders:

  • Expectation:
    • Offering of sustainable products to increase customer satisfaction

  • Measures:
    • The excellent quality of products ensures customers that the products will have a long useful life. Therefore, TAKKT assumes responsibility for the entire life cycle of the products sold – from sourcing to their use, including the disposal of materials and packaging.
    • Together with its partners, TAKKT is systematically expanding the range of sustainable (“green”) products in all sales companies. External product certifications are relied upon as much as possible. For example, an environmental performance report certified by the German Association for Technical Inspection (TÜV) was prepared for EUROKRAFT Active Green products; the CO2 emissions generated during production are completely offset.

     





Reporting practice

102-45
Entities included in the consolidated financial statements

See the 2017 TAKKT AG Annual Report, pp. 180–181.



102-46
Defining report content and topic Boundaries

Step 1: Identification of the aspects

  • 1.1: Identification of relevant topics:
    • In 2016, TAKKT developed its new sustainability strategy until the end of 2020 in line with the requirements of the GRI guidelines as part of a comprehensive dialogue with stakeholders. The focus areas of sourcing, marketing, logistics, resources, climate, employees and society defined by the end of 2016 were again confirmed in dialogue with our stakeholders.

  • 1.2.: Defining the boundaries for the relevant topics:
    • TAKKT reports on the impacts within the responsible value chain. This relates to impacts that may occur either within or outside of the organization.

     



Step 2: Prioritization of the identified topics

  • The topics identified during the dialogue with stakeholders confirmed the focus areas that we have defined. On this basis, TAKKT has derived specific goals, measures and corresponding activities in the individual focus areas.





Diagram: Materiality analysis



Diagram: Focus areas



Step 3: Validation

  • With SCORE (Sustainable Corporate Responsibility), we have established a Group-wide organizational structure in order to anchor sustainability in the entire company. This allows us to implement and manage measures across all levels and divisions in day-to-day business.
  • The relevant aspects were validated with a SCORE work group as well as internal and external specialists. The topic list derived from this was confirmed during a Management Board meeting. Afterwards, new goals, measures and clear key indicators were established in order to measure and manage sustainability performance transparently.



Step 4: Review

  • For the review, the current topics and measures are coordinated internally by the SCORE officers from the different divisions at regular intervals. Sustainability is also an integral part of the Management Board meetings. Feedback from the different stakeholder groups is obtained and evaluated on a regular basis with the measures described in 102-43 (see 102-44).
  • Continuous review in the course of preparing the current 2017 TAKKT sustainability report.



102-47
List of material topics

The following aspects were identified as material according to the method described in 102-46.

  • Fighting corruption
  • Anti-competitive behavior
  • Energy
  • Emissions
  • Effluents and waste
  • Environmental compliance
  • Environmental evaluation of suppliers
  • Employment
  • Labor/management relations
  • Occupational health and safety
  • Training and education
  • Diversity and equal opportunity
  • Non-discrimination
  • Freedom of association and collective bargaining
  • Child labor
  • Forced or compulsory labor
  • Local communities
  • Social evaluation of suppliers
  • Political influence
  • Customer health and safety
  • Marketing and labeling
  • Protection of customer data
  • Socioeconomic compliance



102-48
Restatements of information

No corrections or changes to the reported values shall be made retroactively.

The report for 2017 does not contain any information on the Mydisplays company, which was acquired in 2017.

The OfficeFurnitureOnline company, which was acquired in 2018, is not included in the disclosures for 2017.

The Post-Up Stand company, which was acquired in 2015, is not included in the reporting of all material indicators. Corresponding references can be found in the disclosures on the individual indicators.



102-49
Changes in reporting

Reporting for the BIGDUG company, which was acquired in 2015, integrated for the first time.



102-50
Reporting period

Calendar year = Financial year = 2017



102-51
Date of most recent report

March 21, 2018



102-52
Reporting cycle

Key figures annually, comprehensive report twice a year



102-53
Contact point for questions regarding the report

Alexander Meier, TAKKT AG SCORE Officer



102-54
Claims of reporting in accordance with the GRI Standards

The present report was prepared in accordance with the GRI standards: Comprehensive option.



102-55
GRI content index

The 2017 TAKKT Sustainability Report was prepared in accordance with the guidelines and principles of the Global Reporting Initiative (GRI). The GRI Standards Content Index documents where disclosures for each of the GRI requirements can be found within the 2017 TAKKT Sustainability Report.

The GRI Standards Content Index also forms the basis for the Communication on Progress (COP) update as part of TAKKT’s membership in the Global Compact Initiative of the United Nations. The corresponding references are found in the column “Global Compact Advanced Level Criteria” of the GRI Standards Content Index.



102-56
External assurance

An external audit of the TAKKT Sustainability Report was completed in 2017. The independent audit opinion can be found online at: Independent certification



Management approach

103-1
Explanation of the material topic and its Boundaries

The management approach explains how TAKKT determines and analyzes the actual and potential significant impacts on the economic, environmental and societal level. Furthermore, strategies and measures for handling the aforementioned effects are described. The processes described are universally valid, meaning that the management approach is applicable to all aspects and indicators included in this report.

Unless stated otherwise, the aspects are material for all fully consolidated units according to indicator 102-45. The following aspects are significant within the organization:

  • Fighting corruption
  • Anti-competitive behavior
  • Energy
  • Emissions
  • Effluents and waste
  • Environmental compliance
  • Environmental evaluation of suppliers
  • Employment
  • Labor/management relations
  • Occupational health and safety
  • Training and education
  • Diversity and equal opportunity
  • Non-discrimination
  • Freedom of association and collective bargaining
  • Child labor
  • Forced or compulsory labor
  • Local communities
  • Social evaluation of suppliers
  • Political influence
  • Customer health and safety
  • Marketing and labeling
  • Protection of customer data
  • Socioeconomic compliance



103-2
The management approach and its components

Important aspects are identified, prioritized and reviewed on a regular basis using the method described in detail in indicator 102-46. In the process, an evaluation of the actual and potential positive and negative impacts of the organization in relation to the specific aspects is also carried out. The methods used are described in indicator 102-46 as well as in the “Business Outlook” section in the 2017 Annual Report. Depending on the actual and potential impacts, the measures at TAKKT aim to either eliminate or minimize negative impacts (e.g., with regard to energy and paper consumption) or increase positive impacts (e.g., by promoting the social involvement of employees or increasing the share of sales of sustainable products).

The management approach is communicated in the company worldwide in a number of ways, systematically implemented and integrated in the organization:

  • TAKKT Code of Values
  • TAKKT Code of Conduct
  • Integration of sustainability aspects in personal objectives, if appropriate for the specific activity, as well as in the general performance evaluation of the employees
  • Group-wide SCORE (Social Corporate Responsibility) organizational structure with clear responsibilities
  • Annual planning and budgeting of sustainability measures for the following year
  • Adoption of Group-wide sustainability goals by the entire Management Board



103-3
Evaluation of the management approach

The effectiveness of the management approach is periodically reviewed by high-ranking executive personnel based on various criteria, including the results of internal operating audits as well as through benchmarking and the exchange with other market players in the same or other industries. In addition, the feedback of external stakeholders is incorporated into the efficiency audit on a regular basis (comparison indicators 102-43 and 102-44). TAKKT provides continuous, transparent reporting on the most important measures and progress achieved and communicates this to the stakeholders. TAKKT implements recognized reporting standards such as GRI indicators and the guidelines of the Carbon Disclosure Project. If challenges are identified in the implementation of the management approach, a discussion of which possibilities exist for improving its efficiency takes place with the involvement of all the participants. In particular, this could include adjustments in the allocation of resources or responsibilities if this results in improved process implementation.



Economy



Economic performance

201-1
Direct economic value generated and distributed

See value creation statement



201-2
Financial implications and other risks and opportunities due to climate change

At present, there are no significant opportunities and risks at TAKKT resulting from climate change.



201-3
Defined benefit plan obligations and other retirement plans

See the 2017 TAKKT AG Annual Report, p. 147 ff.



201-4
Financial assistance received from government

None in 2017.





Market presence

202-1
Ratios of standard entry level wage by gender compared to local minimum wage

The aspect is not material at TAKKT and therefore not reported.



202-2
Proportion of senior management hired from the local community

The aspect is not material at TAKKT and therefore not reported.





Indirect economic impacts

203-1
Infrastructure investments and services supported

The aspect is not material at TAKKT because no capital expenditures are made beyond the companyʼs own business activities. There are therefore no significant positive or negative economic impacts on communities or local business establishments.



203-2
Significant indirect economic impacts

The aspect is not material at TAKKT because no significant indirect positive or negative economic impacts result from the business activities of the company.





Procurement practices

204-1
Proportion of spending on local suppliers

  • Reporting is done for the European as well as American companies.
  • For the European companies, local means that goods are procured from suppliers based in Europe (except for Turkey and Eastern Europe). With regard to the American companies, suppliers from the US and Canada are defined as local.
  • According to the definition above, TAKKT obtains around 85 percent of its purchasing volume from local suppliers.





Anti-corruption

205-1
Operations assessed for risks related to corruption

There is a worldwide organization for compliance management in the TAKKT Group. Compliance risks are identified by the compliance office in coordination with the risk management officers and systematically incorporated, documented and prioritized on an annual basis.

In addition, TAKKT has a comprehensive internal control system (IKS) that documents and assesses operational risk controls.

The effectiveness of the operational risk controls are audited worldwide by the Groupʼs internal audit department and auditors on a regular basis; the results are reported to TAKKTʼs Management Board.

In 2014, a Group-wide Code of Conduct was developed in which corruption risks are addressed and employees are given guidelines on correct action.

The vulnerability to corruption of TAKKT’s business model is very low: The comparably low prices of TAKKT products result in low order values with variable order levels. Customer orders are handled by the TAKKT companies in standard processes that are highly IT driven. TAKKT places purchase orders for products with the manufacturers solely as needed.



205-2
Communication and training about anti-corruption policies and procedures

A compliance handbook is available to all employees via the intranet.

In 2014, a Group-wide Code of Conduct was developed in which important rules of conduct are defined.

Sensitization to the Code of Conduct is supported by using an e-learning tool on compliance principles, which all employees have.



205-3
Confirmed incidents of corruption and actions taken

No incidents in 2017.





Anti-competitive behavior

206-1
Legal actions for anti-competitive behavior, anti-trust, and monopoly practices

No incidents in 2017.



Ecology



Materials

301-1
Materials used by weight or volume

The aspect is not material for TAKKT as a direct marketing specialist because the products are not manufactured by the company itself.



301-2
Recycled input materials used

The aspect is not material for TAKKT as a direct marketing specialist because the products are not manufactured by the company itself.



301-3
Reclaimed products and their packaging materials

For TAKKT as a direct marketing specialist for low-value items (categorized as C items), it is not possible to obtain data for the disposal of all sold products at the end of the life cycle. This indicator is therefore not reported.





Energy

302-1
Energy consumption within the organization

Prepared for facilities in the US and Germany.

Energy consumption: 14,666 (thousand gigajoules)

Fuel consumption from non-renewable sources: 45,331 (thousand gigajoules)

Heat energy consumption: 63,402 (thousand gigajoules)

Electric energy consumption: 123,399 (thousand gigajoules)

The standards and conversion factors for the American facilities come from the US Environmental Protection Agency. For the German facilities, the standards and factors of the Bavarian State Office for the Environment and the Öko-Institut are applied in accordance with GEMIS 4.6.



302-2
Energy consumption outside of the organization

Data on energy consumption outside of the organization is not gathered because it falls outside the value creation process and thus the reporting boundary for TAKKT.



302-3
Energy intensity

Energy consumption per order (in megajoules per order)
201770.6



Energy consumption within the organization for facilities in Germany and the US is compared to the total number of orders in the respective countries. The energy consumption includes all forms of energy.



302-4
Reduction of energy consumption

Energy reduction based on locations in 2016 (in %)
2017 vs. 2016+3.2



All existing location in 2017 have consumed 3,2% more energy than in 2016. The increase of energy consumption from 2016 to 2017 is mainly attributable to the move into new facility- and office locations of our subsidaries Displays2Go and National Business Furniture.

Prepared for facilities in the US and Germany. Base year is 2016, due to the start in 2017 of the new TAKKT sustainability strategy 2020.

The standards and conversion factors for the American facilities come from the US Environmental Protection Agency. For the German facilities, the standards and factors of the Bavarian State Office for the Environment and the Öko-Institut are applied in accordance with GEMIS 4.6.



302-5
Reductions in energy requirements of products and services

The indicator is not relevant for TAKKT because most of the products and services distributed do not consume any energy.





Water

303-1
Water withdrawal by source

The aspect is not material for TAKKT as a direct marketing specialist because no material in-house manufacturing takes place and the water at the facilities is taken only from the normal public mains.



303-2
Water sources significantly affected by withdrawal of water

The aspect is not material for TAKKT as a direct marketing specialist because no material in-house manufacturing takes place and the water at the facilities is taken only from the normal public mains.



303-3
Water recycled and reused

The aspect is not material for TAKKT as a direct marketing specialist because no material in-house manufacturing takes place and the water at the facilities is taken only from the normal public mains.





Biodiversity

304-1
Operational sites owned, leased, managed in, or adjacent to, protected areas and areas of high biodiversity value outside protected areas

The aspect is not material for TAKKT as a direct marketing specialist because no material in-house manufacturing takes place and the distribution facilities are not located in protected areas or in the immediate vicinity. Two of the warehouse facilities worldwide are located in water protection areas, but they do not cause any significant impacts on the biodiversity of the areas.



304-2
Significant impacts of activities, products, and services on biodiversity

The aspect is not material for TAKKT as a direct marketing specialist because no material in-house manufacturing takes place and the distribution facilities are not located in protected areas or in the immediate vicinity. Two of the warehouse facilities worldwide are located in water protection areas, but they do not cause any significant impacts on the biodiversity of the areas.



304-3
Habitats protected or restored

The aspect is not material for TAKKT as a direct marketing specialist because no material in-house manufacturing takes place and the distribution facilities are not located in protected areas or in the immediate vicinity. Two of the warehouse facilities worldwide are located in water protection areas, but they do not cause any significant impacts on the biodiversity of the areas.



304-4
IUCN Red List species and national conservation list species with habitats in areas affected by operations

The aspect is not material for TAKKT as a direct marketing specialist because no material in-house manufacturing takes place and the distribution facilities are not located in protected areas or in the immediate vicinity. Two of the warehouse facilities worldwide are located in water protection areas, but they do not cause any significant impacts on the biodiversity of the areas.





Emissions

305-1
Direct (Scope 1) GHG emissions

Direct GHG emissions (SCOPE 1) based on locations in 2016 (in t CO2 equivalent)
20175,105
20164,724



Prepared for facilities in the US and Germany. The greenhouse gas CO2e is included in the calculation.

The increase of scope 1 and 2 emissions from 2016 to 2017 is mainly attributable to the move into new facility- and office locations of our subsidaries Displays2Go and National Business Furniture.

Base year is 2016, due to the start in 2017 of the new TAKKT sustainability strategy 2020.

The standards and emission factors for the American facilities come from the US Environmental Protection Agency. For the German facilities, the standards and factors of the Bavarian State Office for the Environment and the Öko-Institut are applied in accordance with GEMIS 4.6.



305-2
Energy indirect (Scope 2) GHG emissions

Direct GHG emissions (SCOPE 2) based on locations in 2016 (in t CO2 equivalent)
20176,918
20167,459



Prepared for facilities in the US and Germany. The greenhouse gas CO2e is included in the calculation.

The decrease of indirect GHG emissions from 2016 to 2017 is mainly attributable to reduced energy consumption at our US locations.

Base year is 2016, due to the start in 2017 of the new TAKKT sustainability strategy 2020.

The standards and emission factors for the American facilities come from the US Environmental Protection Agency. For the German facilities, the standards and factors of the Bavarian State Office for the Environment and the Öko-Institut are applied in accordance with GEMIS 4.6.



305-3
Other indirect (Scope 3) GHG emissions

Indirect GHG emissions (SCOPE 3) (in t CO2 equivalent)
201718,715
201622,251



Reporting is done in CO2 equivalents for the emissions produced for all companies in the course of producing paper advertising materials. The decrease of other indirect GHG emissions from 2016 to 2017 is mainly attributable to reduced print advertising consumption at our European locations. Base year is 2016, due to the start in 2017 of the new TAKKT sustainability strategy 2020. The determination is carried out on behalf of TAKKT by ClimatePartner, a Munich-based consulting firm specializing in emissions reporting.



305-4
GHG emissions intensity

Intensity of GHG emissions (in kg CO2 equivalent per order)
20176.9
20167.0



Scope 1 and Scope 2 emissions for facilities in Germany and the US are compared to the number of orders in the respective countries. CO2e is included in the calculation.



305-5
Reduction of GHG emissions

Reduction of GHG emissions based on locations 2016 (in %)
2017 vs. 2016–1.3



Scope 1 and 2 emissions for facilities in Germany and the US. Reduction of scope 1 and 2 emissions of the organization at facilities in Germany and the US compared with the base year. Base year is 2016, due to the start in 2017 of the new TAKKT sustainability strategy 2020. The greenhouse gas CO2e is included in the calculation.

The standards and emissions factors for the American facilities come from the US Environmental Protection Agency. For the German facilities, the standards and factors of the Bavarian State Office for the Environment and the Öko-Institut are applied in accordance with GEMIS 4.6.



305-6
Emissions of ozone-depleting substances (ODS)

The indicator is not relevant for TAKKT because no ozone-depleting substances are produced in the course of business activities.



305-7
Nitrogen oxides (NOX), sulfur oxides (SOX), and other significant air emissions

The indicator is not relevant for TAKKT because these kinds of emissions are produced only to a very small and therefore to an insignificant extent in the course of business activities. Wherever possible, however, these emissions are measured in CO2 equivalents.





Effluents and waste

306-1
Water discharge by quality and destination

The indicator is not material for TAKKT as a direct marketing specialist because no in-house manufacturing takes place and the water at the facilities is taken only from the normal public mains and fed in again.



306-2
Waste by type and disposal method

  • Total weight of waste in 2017: 2,107 tons*
  • Breakdown by disposal method: recycling: 63.9%, waste incineration: 9.4%, landfill: 25.1%, other: 0.2%



The method of disposal is decided directly by the organization.

The separation into special waste and normal waste is not material for TAKKT as a direct marketing specialist because there is no disposal of hazardous waste.

*Values without Mydisplays and Post-Up Stand



306-3
Significant spills

No incidents in 2017.



306-4
Transport of hazardous waste

The indicator is not material for TAKKT as a direct marketing specialist because there is no disposal of hazardous waste.



306-5
Water bodies affected by water discharges and/or runoff

The indicator is not material for TAKKT as a direct marketing specialist because no in-house manufacturing takes place and the water at the facilities is taken only from the normal public mains and fed in again.





Environmental compliance

307-1
Non-compliance with environmental laws and regulations

No incidents in 2017.





Supplier environmental assessment

308-1
New suppliers that were screened using environmental criteria

All suppliers are visited by the product managers on site prior to listing and the production facilities are inspected. The suppliers undertake to comply with the legal requirements, e.g., REACH reporting.



308-2
Negative environmental impacts in the supply chain and actions taken

All suppliers are visited by the product managers on site prior to listing and the production facilities are inspected. The suppliers undertake to comply with the legal requirements, e.g., REACH reporting.

There are no significant actual negative environmental impacts. Potential negative environmental impacts are minimized by means of the existing supplier evaluation at TAKKT.

For TAKKT as a direct marketing specialist for business equipment, an important part of the value chain already lies in the procurement of goods. For this reason, TAKKT places a strong emphasis on sustainability in its supply chain. TAKKT does this by collaborating with the internationally recognized EcoVadis platform. The test method allows the relevant aspects of sustainable action to be shown in a transparent manner in the business models of the suppliers while identifying where there is room for development. By repeating the audits at regular intervals, TAKKT aims to measure the progress and improvement of the suppliers. The four areas that EcoVadis analyzes are “environment,” “social conditions,” “ethics” and “supply chain.” TAKKT product managers can view the results in the online portal, make suggestions for improvements to the suppliers and draft development plans. The evaluation program was successfully tested in 2013. Since then it has been gradually expanded. In 2017 the purchase volume from suppliers certified by EcoVadis amounted to 46.8%.



Social



Employment

401-1
New employee hires and employee turnover

  • Reporting is done for the entire Group and broken down for the TAKKT Europe and TAKKT America segments.



New hires:

  • TAKKT EUROPE*
  • Total: 234, thereof 132 male and 102 female. 89 of the newly hired employees were under 30 years old, 123 employees between 30 and 50 years old and 22 over 50 years old.
  • TAKKT AMERICA*
  • Total: 193, thereof 134 male and 59 female. 82 of the newly hired employees were under 30 years old, 99 employees between 30 and 50 years old and 12 over 50 years old.



Employee turnover:

  • TAKKT EUROPE*
  • Total: 218, thereof 128 male and 90 female. 71 of the departing employees were under 30 years old, 99 employees between 30 and 50 years old, and 48 over 50 years old.
  • TAKKT AMERICA*
  • Total: 198, thereof 119 male and 79 female. 60 of the departing employees were under 30 years old, 95 employees between 30 and 50 years old and 43 over 50 years old.



*Values without Mydisplays and Post-Up Stand



401-2
Benefits provided to full-time employees that are not provided to temporary or part-time employees

No differences between full-time and part-time employees.



401-3
Parental leave

Prepared for facilities in Germany.*

Total number of employees entitled to parental leave:

  • Male: 55
  • Female: 47



Total number of employees who took parental leave:

  • Male: 18
  • Female: 24



Total number of employees who returned to the workplace after parental leave ended:

  • Male: 17
  • Female: 14



Total number of employees who returned to the workplace after parental leave ended who were still employed twelve months after their return to work:

  • Male: A minimum of 12 months have elapsed for 16 of the male employees who returned to the workplace since 1/1/2017.
  • Female: A minimum of 12 months have elapsed for 14 of the female employees who returned to the workplace since 1/1/2017.



Rate of return to the workplace:

  • The rate of return to the workplace cannot be calculated at this time. No statement can be made on how many of the employees currently on parental leave will return to the workplace.



Retention rate:

  • As previously stated for the rate of return, the retention rate also cannot be calculated at this time.



*Values without Mydisplays





Labor/management relations

402-1
Minimum notice periods regarding operational changes

Compliance with the respective legally defined periods at all facilities. There are no internal TAKKT regulations that extend beyond the scope of the legal provisions.





Occupational health and safety

403-1
Workers representation in formal joint management–worker health and safety committees

Reporting done for facilities in Germany

At all major German facilities, there are occupational safety committees that are staffed by safety officers, Works Council representatives, safety experts and a representative from the board of directors.

In total, over 90 percent of the employees in Germany are represented through such committees.

At the smaller facilities (customer service, sales offices), there are either permanent safety experts or supervision is provided by a safety expert from another facility.

All requirements of the Employerʼs Liability Insurance Association are met at the German facilities.



403-2
Types of injury and rates of injury, occupational diseases, lost days, and absenteeism, and number of work-related fatalities

Prepared for warehouse facilities in Germany and the US as well as for the production site of a German affiliate. Aggregate figures are reported for Germany and the US. A full breakdown by gender cannot be done because this data is not collected for minor incidents.

Reporting and disclosure of accidents is carried out according to the respective applicable national law. Serious accidents are reported to the appropriate government agencies or organizations.

Germany (for all employees):*

In 2017 there was a total of 55 accidents at the German warehouse facilities and the production site. These included 44 minor cases in which there was either a short-term absence or no absence from work. 11 moderately serious cases resulted in absences of 5 days or more.

In 40 of the accidents, male employees were affected; 15 accidents involved female employees.

Germany (for all employees, not counting interns, apprentices, temporary workers, personnel leasing, self-employed individuals and those who work for other organizations):*

In 2017 there was a total of 49 accidents at the German warehouse facilities and the production site. These included 44 minor cases in which there was either a short-term absence or no absence from work. 5 moderately serious cases resulted in absences of 5 days or more.

In 34 of the accidents, male employees were affected; 15 accidents involved female employees.

USA (for all employees):*

In 2017 there was a total of 53 accidents at the American warehouse facilities. These included 50 minor cases in which there was either a short-term absence or no absence from work. 3 moderately serious cases resulted in absences of 5 days or more.

In 34 of the accidents, male employees were affected; the remaining 19 incidents involved female employees.

US (for all employees, not counting interns, apprentices, temporary workers, personnel leasing, self-employed individuals and those who work for other organizations):*

In 2017 there was a total of 49 accidents at the American warehouse facilities. These included 46 minor cases in which there was either a short-term absence or no absence from work. 3 moderately serious cases resulted in absences of 5 days or more.

In 30 of the accidents, male employees were affected; the remaining 19 incidents involved female employees.

No fatal accidents occurred in the entire Group in the reporting period.

Since there are no employees for whom there is an occupational health risk (see GRI 403-3) at TAKKT, the occupational disease rate is not calculated.

*Values without Mydisplays and Post-Up Stand



403-3
Workers with high incidence or high risk of diseases related to their occupation

With respect to the activities that arise in connection with TAKKTʼs business activities, there are no employees with an occupational health hazard.



403-4
Health and safety topics covered in formal agreements with trade unions

Addressed by means of legal and internal provisions and directives. There are no formal agreements with labor unions on these topics.





Training and education

404-1
Average hours of training per year per employee

Data on the annual number of hours for employee training and development is not collected due to the extensive amount of documentation that would be required. The requirements for further training are personally determined with each employee at least once a year and measures for realizing them are agreed upon. Reporting of expenditures for further training is done for informational purposes: 2017: EUR 1,172,793



404-2
Programs for upgrading employee skills and transition assistance programs

There is a comprehensive range of courses for internal training and development as well as the option of attending external seminars or courses. The requirements for further training are personally determined with each employee at least once a year and measures for realizing them are agreed upon.



404-3
Percentage of employees receiving regular performance and career development reviews

100% worldwide.





Diversity and equal opportunity

405-1
Diversity of governance bodies and employees

Reported at the level of total employees and for the Management Board. Membership in a minority group is not measured because this concerns sensitive personal information.

Total employees:

  • Gender: Female: 44.5%, Male: 55.5%
  • Age groups: less than 30 years old: 19.6%; 30–50 years old: 51.4%; over 50 years old: 29.0%



Management Board:

The Management Board for the 2017 year under review consists of three men. Two are over 50 years old and the third is in the 30–50 age group.



405-2
Ratio of basic salary and remuneration of women to men

In principle, TAKKT does not disclose any information on remuneration beyond the legal requirements. Equal rights and anti-discrimination are important objectives at TAKKT, which are consistently implemented through various measures.





Non-discrimination

406-1
Incidents of discrimination and corrective actions taken

A reporting system has been set up for all facilities at TAKKT. One incident in 2017. The situation was investigated in collaboration with local lawyers. The behaviour of the employyes concerned was sanctioned. The incident is completed.





Freedom of association and collective bargaining

407-1
Operations and suppliers in which the right to freedom of association and collective bargaining may be at risk

No violations found.

Suppliers are inspected by product managers prior to listing and visited on site at regular intervals.

Obligation due to the expanded Supplier Code of Conduct that was drawn up in 2013.

For TAKKT as a direct marketing specialist for business equipment, an important part of the value chain already lies in the procurement of goods. For this reason, TAKKT places a strong emphasis on sustainability in its supply chain. TAKKT does this by collaborating with the internationally recognized EcoVadis platform. The test method allows the relevant aspects of sustainable action to be shown in a transparent manner in the business models of the suppliers while identifying where there is room for development. By repeating the audits at regular intervals, TAKKT aims to measure the progress and improvement of the suppliers. The four areas that EcoVadis analyzes are “environment,” “social conditions,” “ethics” and “supply chain.” TAKKT product managers can view the results in the online portal, make suggestions for improvements to the suppliers and draft development plans. The evaluation program was successfully tested in 2013. Since then it has been gradually expanded. In 2017 the purchase volume from suppliers certified by EcoVadis amounted to 46.8%.

2017 belief sich das Einkaufsvolumen von durch EcoVadis zertifizierten Lieferanten auf 46,8%.





Child labor

408-1
Operations and suppliers at significant risk for incidents of child labor

There are no business facilities or suppliers with significant risks.

Suppliers are inspected by product managers prior to listing and visited on site at regular intervals.

Obligation due to the expanded Supplier Code of Conduct that was drawn up in 2013.

For TAKKT as a direct marketing specialist for business equipment, an important part of the value chain already lies in the procurement of goods. For this reason, TAKKT places a strong emphasis on sustainability in its supply chain. TAKKT does this by collaborating with the internationally recognized EcoVadis platform. The test method allows the relevant aspects of sustainable action to be shown in a transparent manner in the business models of the suppliers while identifying where there is room for development. By repeating the audits at regular intervals, TAKKT aims to measure the progress and improvement of the suppliers. The four areas that EcoVadis analyzes are “environment,” “social conditions,” “ethics” and “supply chain.” TAKKT product managers can view the results in the online portal, make suggestions for improvements to the suppliers and draft development plans. The evaluation program was successfully tested in 2013. Since then it has been gradually expanded.

In 2017 the purchase volume from suppliers certified by EcoVadis amounted to 46.8%.





Forced or compulsory labor

409-1
Operations and suppliers at significant risk for incidents of forced or compulsory labor

There are no business facilities or suppliers with significant risks.

Suppliers are inspected by product managers prior to listing and visited on site at regular intervals.

Obligation due to the expanded Supplier Code of Conduct that was drawn up in 2013.

For TAKKT as a direct marketing specialist for business equipment, an important part of the value chain already lies in the procurement of goods. For this reason, TAKKT places a strong emphasis on sustainability in its supply chain. TAKKT does this by collaborating with the internationally recognized EcoVadis platform. The test method allows the relevant aspects of sustainable action to be shown in a transparent manner in the business models of the suppliers while identifying where there is room for development. By repeating the audits at regular intervals, TAKKT aims to measure the progress and improvement of the suppliers. The four areas that EcoVadis analyzes are “environment,” “social conditions,” “ethics” and “supply chain.” TAKKT product managers can view the results in the online portal, make suggestions for improvements to the suppliers and draft development plans. The evaluation program was successfully tested in 2013. Since then it has been gradually expanded.

In 2017 the purchase volume from suppliers certified by EcoVadis amounted to 46.8%.





Security practices

410-1
Security personnel trained in human rights policies or procedures

The aspect is not material. There are no security personnel directly employed by TAKKT.





Rights of indigenous peoples

411-1
Incidents of violations involving rights of indigenous peoples

The aspect is not material. TAKKT is not represented in a significant way with business facilities where it could be assumed that the rights of indigenous people are being compromised.





Human rights assessment

412-1
Operations that have been subject to human rights reviews or impact assessments

The aspect is not material because TAKKT does not operate any facilities in regions where there are alarming human rights conditions.



412-2
Employee training on human rights policies or procedures

The aspect is not material because TAKKT has not implemented any significant investment projects in regions where there are alarming human rights conditions or project partners in these areas.



412-3
Significant investment agreements and contracts that include human rights clauses or that underwent human rights screenin

The aspect is not material because TAKKT has not implemented any significant investment projects in regions where there are alarming human rights conditions or project partners in these areas.





Local communities

413-1
Operations with local community engagement, impact assessments, and development programs

TAKKT promotes the social involvement of its employees, and in 2017 it offered 65.7% of all employed individuals the option of paid leave to work on non-profit projects. 15.1% of all employed individuals took advantage of this opportunity.

Committees and methods for consultation of the local communities or impact assessments are not carried out beyond the legal requirements because there are no significant negative impacts on the local communities at the TAKKT facilities.



413-2
Operations with significant actual and potential negative impacts on local communities

There are no significant or potential negative impacts on local communities.

Due to the elimination of purchasing trips, the TAKKT business model is 1.5 times more CO2 efficient than the procurement of business equipment through trading systems with local stores.





Supplier social assessment

414-1
New suppliers that were screened using social criteria

All suppliers are visited and inspected on site by the responsible product manager of the purchasing department prior to listing.

In addition, the suppliers undertake to comply with the highest labor, safety and health standards as well as all applicable national and international regulations.



414-2
Negative social impacts in the supply chain and actions taken

All suppliers are reviewed and visited by the product managers on site prior to listing and the production facilities are inspected. The suppliers undertake to comply with the legal requirements and international standards, e.g., the ILO Conventions.

There are no significant actual negative impacts. Potential negative impacts are minimized by means of the existing supplier evaluation at TAKKT.

For TAKKT as a direct marketing specialist for business equipment, an important part of the value chain already lies in the procurement of goods. For this reason, TAKKT places a strong emphasis on sustainability in its supply chain. TAKKT does this by collaborating with the internationally recognized EcoVadis platform. The test method allows the relevant aspects of sustainable action to be shown in a transparent manner in the business models of the suppliers while identifying where there is room for development. By repeating the audits at regular intervals, TAKKT aims to measure the progress and improvement of the suppliers. The four areas that EcoVadis analyzes are “environment,” “social conditions,” “ethics” and “supply chain.” TAKKT product managers can view the results in the online portal, make suggestions for improvements to the suppliers and draft development plans. The evaluation program was successfully tested in 2013. Since then it has been gradually expanded.

In 2017 the purchase volume from suppliers certified by EcoVadis amounted to 46.8%.





Public Policy

415-1
Political contributions

TAKKT does not make any donations to political organizations or politicians.





Customer health and safety

416-1
Assessment of the health and safety impacts of product and service categories

Is not prepared because the suppliers are responsible for the product design.

In the utilization phase, one of our key priorities is to carry products with the highest quality standards in all ranges. TAKKT products are generally designed for professional long-term use in companies and therefore subject to the highest standards with respect to functionality, ergonomics, occupational safety and resilience.



416-2
Incidents of non-compliance concerning the health and safety impacts of products and services

No incidents in 2017.





Marketing and labeling

417-1
Requirements for product and service information and labeling

The TAKKT companies set the respective applicable national and international standards for the labeling of products. This can involve the origin of components as well as the composition of products, e.g., within the scope of implementing the REACH guideline.



417-2
Incidents of non-compliance concerning product and service information and labeling

No incidents in 2017.



417-3
Incidents of non-compliance concerning marketing communications

No incidents in 2017.





Customer privacy

418-1
Substantiated complaints concerning breaches of customer privacy and losses of customer data

A customer complaint to the responsible government agency because his request for information was answered late. The inquiry was substantively invalid and did not lead to any sanctions.





Socioeconomic compliance

419-1
Non-compliance with laws and regulations in the social and economic area

No incidents in 2017.