Sustainability Report - Colart
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2 Overview Sustainability Officer 04 CONTENTS Words from the CEO 05 KPI’s 06 Strategy Recap 08 Sustainability Trend 10 Lindéngruppen 11 OVERVIEW Business Brand Updates 13 Shopper Marketing & Insights 16 Governance 18 Supply Chain 19 BUSINESS Digital 20 NPD 22 Elephant West 23 People PEOPLE Our People 25 Partnership and Charity 31 Planet PLANET Footprint 33 SVHC 34 Social Impact 35 Site Stories 36 SUSTAINABILITY 2.0 Sustainability 2.0 Sustainability 2.0 44
Sustainability 4 Officer CONTENTS Whilst good progress has been 2020 has brought unprecedented made with our sustainability challenges for Colart due to the agenda over the last few years, it global spread of Covid 19. From OVERVIEW is now time to take further steps. the beginning the safety of our people has been our biggest Sustainability in order to be priority. In China initially, then the successful needs to be integrated EU, UK and US we were able to as part of the business, through learn, adapt and act quickly to our new and existing product the situation by sharing ideas & development, across our entire best practice as well as equipment supply chain and all of Colart’s such as face masks and other BUSINESS sites. In doing so we ensure we protective equipment. We continue are a socially and environmentally to evolve with the situation and responsible company that does as our sites restart after closures business in ways that are good we will look at these learnings for people and the planet to see what sustainable benefits We kick off Sustainability 2.0 could come out of the crisis such this year with a clear 5-year as changing ways of working with PEOPLE plan including KPI’s and clear new technology which could result targets. These can be found in reduced travel and energy in this report. Our sustainability consumption and improve the ambassadors will continue to health and wellbeing of our staff. drive change across their sites. In my role as sustainability officer and in my role as a Group Leadership Team member I will PLANET ensure transparency and will follow through on ideas where feasible. Richard Llewellyn SUSTAINABILITY 2.0 Sustainability Officer 5 year KPI’s Sustainability 2.0 and clear plan begins targets in place
Words from 5 Our purpose-driven vision of ‘Inspiring every artist in the world’ has a truly deep meaning for society and everything we do at Colart lives up to that aspiration. Our the CEO catalogue of over 17,000 products are being CONTENTS sold in more than 120 countries, enabling millions of creatives to express themselves in colourful and meaningful ways. When it comes to sustainability, we don’t treat this topic as a simple fad that will go OVERVIEW away one day. We don’t do greenwashing pretending to be on the good side of the debate. We take sustainability very seriously as our mission ‘To provide sustainable creative tools and services’ clearly states. For us, reducing our environmental impact and BUSINESS increasing our social responsibility while making a profit is more than a moral commitment. We are convinced that it adds long-term value to our company. Whilst there is still a lot to do, we have taken steps such as reducing plastic in our packaging, introducing Cadmium free paints, increasing the hours of community work PEOPLE and returning to profit are clear examples that we ‘are walking the sustainability talk’ for real. Now in 2020, after three years of structural transformation, we have entered a phase of stability which gives Colart the confidence PLANET to be more committed than ever to our sustainability agenda. Ambitious targets are set up to 2025, as mentioned in this report and with a ‘can do’ mindset fuelled by our true Inspiring beliefs, we know we will make sustainable SUSTAINABILITY 2.0 improvements in the years to come. every artist Dennis van Schie Colart CEO in the world
KPI’s 6 CONTENTS INCLUSIVENESS OVERVIEW ENERGY & DIVERSITY Our objective is to continuously reduce our energy consumption We currently measure and use renewables where feasible. gender according to our new management levels 3-5 £13.52 BUSINESS per KWh used +2.9% since 2018 Male 75% +11.2% energy increase since 2018 Female 25% PEOPLE As part of our targets that have been set, we hope to achieve our objectives. Target 50% PLANET 4% increase in share of renewable energy SUSTAINABILITY 2.0 In 2020, we will look at strategising our energy buying in order to change to renewable energy.
KPI’s 7 CONTENTS SOCIAL IMPACT WASTE SVHCs UPDATE OVERVIEW -35.3% Substances of Very High Concern (SVHCs) are 3886 hours YoY Total Waste chemicals that will eventually hours spent in the community -15.5% be banned due to their YoY of Hazardous Waste environmental and 3342 PPM health impacts. 31% BUSINESS vs target of 5000 ppm of all waste recycled Figures based on 2015 data vs (parts per million) (Target of 50%) reformulations implemented in manufacture to date. 29% of all suppliers evaluated against our supplier code of conduct 67% reduction in the number of raw materials PEOPLE 67% which contain SVHCs. of all new suppliers evaluated against our SICKNESS ACCIDENTS supplier code of conduct Our objective is to monitor Colart’s target is to have 83% reduction sickness levels and have zero industrial in the number of pastes with SVHCs. awareness of any issues accidents PLANET that may occur. 17 57% reduction in the number of products industrial accidents in 2019 2% that contain SVHCs. SUSTAINABILITY 2.0 sickness level 5132.5 hours of lost time in 2019 Against a target of less than 3%
Strategy Recap 8 CONTENTS TRANSPARENT SUPPL BLE & YC IN A HA OVERVIEW TA IN SU S Colleague Wellbeing Energy & Water ING REDUC L LBE I NG WE EN BUSINESS & VI E COMMER D& RO IV CI AN AL AT NM BR E Goals CR EN TA INCREASING L IMPA Enhancing the wellbeing of people and the shared worldwide CT Artists’ planet through Packaging PEOPLE Wellbeing creativity & Waste BR L AN IA D& C C O M MER PLANET Creative Product Thinking Ingredients SUSTAINABILITY 2.0 SUSTA INABILITY COMMITTEE
Strategy Recap 9 CONTENTS PEOPLE RESPONSIBLE PRODUCTS SOURCING We will drive cultural change Wellbeing throughout all levels and aspects We are committed to sourcing OVERVIEW of the business through relentless products materials and services to communication of information and the highest standards whilst driving Product development: learning. We will drive the sharing of ideas internally and externally is at the heart of through continuous improvements in quality and cost. We will establish We will ensure sustainability is with colleagues, suppliers, everything we do a transparent and ethical supply at the core of our innovation and design process when customers and consumers. chain with high environmental legal developing new and existing compliance and human rights products in our portfolios. BUSINESS measured via internal and external audit programs. Reducing our environmental impact is going to Health Safety & wellbeing: be a key focus for our 2025 strategy. We want to provide a safe, This will include a packaging Packaging: sustainable working environment strategy to help us identify the most sustainable materials for We will ensure we never use for our global community. By driving more packaging than is needed our products, reducing our GHG PEOPLE a positive safety culture we can and what we do use is from reduce the number of accidents emissions, which will in turn reduce our energy and waste consumption. sustainable sources and goes and in doing so protect our most on to be reused or recycled. important asset, our people. Our commitment to wellbeing is at the heart of everything we do. PLANET UN SUSTAINABLE ENVIRONMENT DEVELOPMENT Social Impact: GOALS (SDG’S) We continue to engage with SUSTAINABILITY 2.0 local communities, promoting Colart adapted a new way of and providing employees with understanding SDG’S and what Waste: volunteer opportunities will help they mean to the individual by Working towards We will measure and set targets to attract top talent, engage develop and retain employees. sending out an SDG a week on a global comms. This will enable us 2025 to remove, reduce, reuse and recycle throughout our strategy to further embed the goals and production and supply chains. report against them in the future. We will track our progress and recalibrate targets as part of our continuous improvement.
Sustainability Trend 10 CONTENTS Sustainability continues to be a global concern, it is the job of businesses to play their part. OVERVIEW CLIMATE PLASTICS SUPPLY CHAIN MITIGATION The concern over plastics has been We have identified materiality Is more important than ever. growing over recent years, not for our business by listening to We have only 10 years to halve only with the end consumer, but in our stakeholders, and identifying BUSINESS global greenhouse gases (GHG) industry and also in governments key trends that are relevant to emissions and keep global with legislation dictating the Colart in order to set targets for warming to 1.5 degrees. way businesses are going to our business through to 2025. have to comply in future. PEOPLE CIRCULAR SUSTAINABLE SOLUTIONS CONSUMPTION From food and fashion to With the global population electronics and the built expected to rise to 8.5 billion PLANET environment, circular thinking by 2030 and an ever-growing (keeping resources in use for as middle class increasing by 3 billion long as possible to extract the people over the next 20 years, maximum value) will continue ensuring that global consumption to gain momentum in 2020, remains in line with planetary SUSTAINABILITY 2.0 driving innovation and disrupting boundaries will be critical. linear business models. 10 years to reduce GHG by 50%
Lindéngruppen 11 CONTENTS OUR OWNER’S PURPOSE Lindéngruppen’s purpose is to Lindéngruppen lead by own and develop successful example and provide a businesses to lead the transition business model that is geared towards a sustainable world. to generate long-term value. Their aim is to create shared OVERVIEW and sustained societal They also provide clear purpose, value through their owned values, a Code of Conduct, companies. This involves guidelines and priorities that all creating meaningfulness for of their companies follow. They their people and value for their also expect all their companies businesses, customers, suppliers, to report according to their BUSINESS children, local communities Sustainability Framework. This and society at large. includes identifying material issues, setting clear strategic They work actively to targets and continuously support their companies to tracking progress. minimise negative impacts and optimise benefits in PEOPLE terms of environmental and societal impact. PLANET SUSTAINABILITY 2.0 Shared Clear and sustained purpose and values Code of Conduct
12 SUSTAINABILITY 2.0 PLANET PEOPLE BUSINESS OVERVIEW CONTENTS Inspiring artists everywhere Business
Brand Updates 13 Removing all black CONTENTS For Snazaroo, we are taking The event was also open to the plastic Lefranc Bourgeois relaunched their Artists Oil range in 2017, and were sustainability and embedding it public and Snazaroo had a face from our packaging the first to introduce Cadmium Free into our core values. Here are some painting booth that was one of OVERVIEW oil colours. We are now preparing of the projects illustrating this: the most popular at the venue. to launch 5 more cadmium free The space was transformed into • We are currently working on colours for the relaunch of Linel a haunted Halloween themed removing all black plastic Artists Gouache range in 2020. event featuring face painting, arts from our packaging and & crafts, music, food and spooky • Ongoing new branded sets are including sustainability activities. It was fulfilling to share are in FSC cardboard and in our product roadmap in the fun first hand. Snazaroo new plastic vacforms come BUSINESS • All our cardboard packaging was among many formidable from recycled plastic. is currently recyclable and sponsors including LEGO, Scholastic Launching 5 new • Lefranc Bourgeois Enfants colour ranges have been all we are looking at expend the use of FSC/PEFC/Recycled Education and Whole Foods Market. Repurposing good quality cadmium free colours adapted to new biocides paper and cardboard for our overstocked inventory from regulation. The brand is also whole range of products the warehouse served as a able now to propose its offer • The plastic we use for our primary philanthropic, sustainable and good PEOPLE with compliant finger paints, packaging is recycled PET will gesture. The product was marked baby crayons, ultra washable out of stock and qualified as a tax paint colours for younger children from 18 months old SNAZAROO AND NYC deduction since it was a non-profit GRACE MANSION event. Snazaroo made a positive • The repackaging of the brushes HALLOWEEN EVENT impression on thousands of children. offer will be labelled FSC This event created an outlet to In collaboration with Blick and PLANET manage overstock product, • Over 150,000 sets for LB the New York City Mayor’s office, extending the product life cycle and enfants were relaunched Snazaroo donated over 3600 reducing expenses from close out using cardboard packaging assorted Mini Kits to support the offerings and maintaining excessive replacing plastic. annual Halloween event. Gracie warehouse stock. SUSTAINABILITY 2.0 Mansion, The NYC Mayor’s This event introduced a channel residence and the grounds were to serve the community while opened to the public to host a managing the brands many Halloween celebration to benefits assets to foster engagement thousands of NYC homeless and brand awareness. shelter and foster care children.
Brand Updates 14 LIQUITEX ACRYLIC CONTENTS MEDIUMS PACKAGING: LABEL UPDATES In 2019, we initiated a new print ART FOR ALL production process for Liquitex Sing for Hope London piano, titled Acrylic Mediums labels to an ‘on the and togetherness, the varied designs OVERVIEW Supporting the arts has always been ‘Express Yourself’, was designed and manufacturing line’ method. This at the heart of the Liquitex philosophy. were painted in a huge communal painted by renowned artist Stuart enabled us to reduce the number Founder Henry Levison understood studio stocked with a full range of Semple, who generously donated of label components from 116 to that the role of a good tool-maker Liquitex paints, tools and mediums. his time and talent for this project. 24 master formats. Previously, the was to support the tool users - the The Liquitex team ran technical The piano remained at Elephant Liquitex Acrylic Mediums packaging artists - and their communities. Liquitex workshop to equip the piano artists West for people to play and enjoy, labels were printed individually continues to follow suit by supporting with the skills to achieve their designs for each specific product. BUSINESS art events, charities, and community before being donated to Hospital Liquitex was put to the test on the building initiatives around the globe. Rooms to be permanently placed This has led to increased unconventional 3D canvases, and in an adolescent mental health NHS management efficiencies, a 75% In 2019, Liquitex launched a global the artists used them for sketch ward, where it will be used as part reduction in storage space, a partnership with Sing for Hope, a portraits applied with direct transfer of their music therapy programme. reduction of potential waste and non-profit arts organisation whose mediums, layering, experimental In celebration of this partnership, financial write-offs, and improved mission is to transform lives by using the graphic effects and varnishing for the Liquitex team invited Colart agility to address any required label power of the arts to create a better the great outdoors After a few weeks PEOPLE colleagues around the world to changes, all while still reflecting world. As the official paint sponsor, in the open air, each piano found contribute to an internal art installation the quality of the brand. Liquitex supported the Sing for Hope a permanent home in a school, NYC piano program, where 50 artist- hospital, veteran centre or community ‘Painted Keys,’ encompassing hand- designed pianos appeared over the summer in parks and community hub, to be enjoyed for years to come. painted piano keys, which now lives in the North America office. 75% reduction In November 2019, Liquitex launched spaces throughout the five boroughs, in storage space the London edition of its partnership at PLANET each created using Liquitex acrylics. With themes of joy, hope, inspiration Elephant West, Elephant Magazine’s new art and community space. The Reduction in potential waste Improved agility SUSTAINABILITY 2.0 to address changes
Brand Updates 15 CONTENTS W&N PAPER RELAUNCH WATERCOLOUR SETS Consumer research has shown that From 2020, we’re removing the sustainability is rarely questioned by single-use plastic wrapping on our consumers. They assume paper Winsor & Newton’s Cotman is ‘always’ environmentally friendly. Watercolour brush pen set OVERVIEW INTRODUCING NEW In addition, Artists‘ Oil Colours are Retailers are growing We’re also investigating the OIL COLOURS AND adding 15 of its most popular 37mL increasingly concerned about possibility of removing plastic EXTENDING THE RANGE colours to the 200mL range. This allows sustainability, especially in packaging on the brand’s artists to buy larger tubes of these regard to shrink-wrapping. watercolour half pans. Winsor & Newton has continued paints and use less packaging by We’ve decided that: to develop more sustainable avoiding buying more, smaller tubes. alternatives without compromising on • All products in the relaunch COMMUNICATION BUSINESS performance. Following the launch will be sourced in Europe, CAMPAIGN ‘EXPERT of eight cadmium-free watercolours W&N GRAPHIC ART from sustainable sources COLOUR. ENDLESS in 2019, nine cadmium-free Artists‘ (FSC / PEFC certifications) POSSIBILITIES’ Oil Colours will be launched in In 2019, we relaunched our chunky, and with full transparency 2020. These paints have the same plastic-heavy clamshell box to sleek, throughout our supply process. We are expanding our ‘Expert performance as genuine cadmium slim boxes that are more space Colour. Endless Possibilities’ efficient and save 60% plastic mass. • All products will be campaign, from watercolour colours, such as colour strength, PEOPLE shrink-wrapped at MOQ, in 2019 to oil in 2020/2021. vibrancy, and opacity, without They can fit into a space in and Le Mans is working containing cadmium. The cadmium- store that’s 40% smaller, making Aside from focusing on our to find an alternative to free paints have been granted space for our NPD launches. innovative offering of cadmium- recyclable plastic. Approved Product seals, which free oils, we’ll be including In 2020 we’re extending our promarker • If consumers feel they can’t means they’ve been certified as not our existing , Artisan range, range, and introducing six new sets, feel the paper when shrink- being toxic or injurious to humans. featuring water-soluble oils including Manga and Tattoo. wrapped, retailers will be PLANET Winsor & Newton are also launching that are more sustainable. In addition, Promarker minimum given the option to open eight new Winton Oil Colours in We’ll also be including our medium order quantity increased to three, and sacrifice one pad/block 2020 that have also been granted ‘Sansodor,’ which is better from a resulting in fewer plastic bags to accommodate this. Approved Product seals. To support health and safety perspective, and needed for loose pens packaging. • W&N has improved the the launch of these Winton and SUSTAINABILITY 2.0 is recommended by selected art cadmium-free colours, samples are We’re exploring replacing the way of communicating schools banning turpentine and being offered to consumers in tubes plastic backing on our Fineliners about FSC and Hydro Power white spirits from their class and so they can be used over a longer to a cardboard backing. giving a better explanation recommending low-odour thinners. period of time, rather than packaged on the paper package in a single use, disposal format.
Shopper Marketing 16 & Insights CONTENTS CONSUMER INSIGHTS These initiatives (among several TAKING OUR AT THE HEART OF OUR others) - gave us valuable insights CONSUMER OVERVIEW DECISION MAKING to make brand and commercial COMMUNICATION decisions with a high degree of confidence, whilst also bringing EXPERTISE TO OUR 2019 marked a step change in us closer to our consumers. RETAIL PARTNERS (AEC) our approach to using consumer insights to drive our initiatives A bespoke AEC (Attract, Engage, and strategy – from redesigning Convert) training workshop our best selling W&N Cotman CREATING NEW was designed and delivered CONSUMER BUSINESS Watercolour sets to increase the to commercial teams so that brand’s quality perception and TOUCHPOINTS everyone is approached the purchase intent, or speaking to We launched our very first branded Shopper Experience in the same over 4500 artists among 3 of our pop up store in our home market way to drive Attraction to the largest markets North America, UK (UK), in the heart of the city’s category, Engagement with our and France to better understand thriving creative hub (Coal Drop’s products and ultimately Conversion what drives brand preference for Yard – Kings Cross, London), which in store as continue to evolve the PEOPLE our various consumer segments, saw us open our doors to our Red Hot Stores programme. to testing our brand content consumers - allowing them to visit and its engagement among our This approach has cemented our physical store installed for 4 consumer base, to name a few. our relationship with our largest days over Dec 2019. We were able customer of Michaels and is starting Listening to our consumers to introduce some of our latest conversations in key customers sustainability requirements also products to them - from our newly across multiple geographies. helped us create some unique launched reduced packaging PLANET products to celebrate our oldest Marker Sets, to our new Watercolour brand Lefranc Bourgeois’ 300th Jewel colours for W&N. The event anniversary, launching a reusable was a runaway success, attracting and collectable tin, as well as over 2000 consumers through the a unique and replenishable doors, helping bring W&N face SUSTAINABILITY 2.0 colour range, along with a better to face with its consumers. understanding of what innovation means to them in the context of our products, to form the basis of our innovation strategy.
Shopper Marketing 17 & Insights CONTENTS HARNESSING THE WHAT’S COMING The AEC programme will be POWER OF DATA TO FOR 2020? expanded to include Digital and OVERVIEW CREATE A ROUNDED provide 360 comms guidance There are plans to scale our as we look to integrate our on ‘STATE OF THE initiatives further in 2020, building on and off line experience more. NATION’ OVERVIEW the foundations of the successes FOR OUR TEAMS from 2019, while also introducing The key outcome from all of new capabilities in the team to this will be to bring us closer to Colart identified as the key partner help us work even more closely our consumers and customers to work with on developing the and collaboratively with our largest alike, and help extend our BUSINESS widely recognised industry ‘State retail partners, through a dedicated lead as industry champions of Art Materials’ report by EuACA. Category management partner. even further than before. Utilising multiple data sources There are more research initiatives including Industry reports from planned in line with the Brand NAMTA and EuACA, Sell Out data, and Commercial strategy to and the research projects run over maintain consumer insights as the year – we were able to deliver the epicentre of our decisions, PEOPLE detailed insights into our industry while extending our consumer for our brand, commercial and touchpoints through events such digital teams, influencing their as the Chelsea Flower Show in strategies to better address our the summer of 2020 as we aim to consumers needs for our products. deepen our understanding and This also formed the basis of a offering in shopper experience to keep us ahead of our competition. PLANET much more in-depth analysis of our industry presented to the Board, which will form part of the long range plan aimed at delivering growth to our owners’ expectations. SUSTAINABILITY 2.0 EuACA - European Artists Colours Association NAMTA - The International Art Materials Association
Governance 18 CONTENTS 2019 saw the strengthening Underpinning this acceptance of Colart’s commitment to and to promote understanding governance through the of our compliance structure, update of our Code of Conduct Colart continued to develop together with the introduction the learning agenda by rolling of both a whistle-blowing out an online programme OVERVIEW policy and a register of gifts, for whistle-blowing and anti- hospitality and facilitation bribery. This training fosters payments – with the latter to complete awareness of how to supplement the prohibition report any concerns regarding on bribery, or acceptance by serious misbehaviour including staff of gifts that are beyond theft, fraud, bribery, breach of general commercial practice policies, dishonesty, harassment, BUSINESS or common courtesy under bullying, unlawful discrimination, the Code of Conduct. unethical or negligent behaviour and workplace To ensure commitment to safety hazards through the updated expectations EthicsPoint, our independent, for ethical and responsible online reporting portal. behaviours, each employee PEOPLE was asked to confirm their formal acceptance of the updated code and related policies. PLANET SUSTAINABILITY 2.0 Refresher training was also delivered to Colart’s Group Global litigation and legal Leadership Team (GLT) on their entity governance is now director duties under the UK tracked centrally through Companies Act 2006. A register respective portals / register to to capture any interactions ensure legal and compliance of the GLT with competitors risk is effectively managed. has also been created.
Supply Chain 19 CONTENTS Colart continues to improve transparency within it’s supply chain INCREASED FOCUS SUPPLIER COC TO FINISHED ON SEDEX ALL KEY SUPPLIERS GOODS OVERVIEW Sedex is a social and ethical All new suppliers to Colart have We are also reviewing our supply chain tool, which enables signed our own code of conduct, trading activity & localising us to be transparent with our this will continue with all new the sourcing closer to the customers and in turn help us with suppliers and we will initiate the point of consumption. This transparency with our suppliers. same for our current suppliers. will help reduce lead times, Our own operations are audited We can use this exercise to while reducing our carbon BUSINESS once a year this gives transparency understand our suppliers better impact. This will bring us to our wider supply chain and support where necessary. closer to a sustainable end to end supply chain on this The company worked to reduce category of products. INITIATE its portfolio over 2018 in order to capitalise with suppliers. At the SUPPLIER AUDITS same time, part of our supply chain strategy is to have alternative A key part of our supply chain PEOPLE suppliers for critical components is to increase supplier audits, and raw materials to ensure A supplier audit is an effective supply. This year we will strategise way to examine the quality of our raw materials because a particular supplier and the risk regulatory and resource-scarcity it presents to the organisation will impact us in the near future. before it becomes a problem. With an effective supplier quality Colart continues working with PLANET management solution, a supplier Sedex and alternative supply chain audit can be painless and can tools such as BSCI or Ecovadis, to identify serious problems early ensure that the company continues in the production cycle. to drive transparency in our supply chains. Our internal RFI also provides SUSTAINABILITY 2.0 a tool to assess our suppliers. End to end sustainable supply chain on products
Digital 20 Intranet made it easier to CONTENTS Colart continues its digital transformation journey, building up in house capabilities, reducing dependency on expensive external parties – and driving efficiency and simplicity in how we work. Last year we focussed on relaunching the Liquitex and Snazaroo engage websites onto our internal platform using Wordpress and we have with people seen improved results across the board in terms of visits as well as sales. OVERVIEW We also migrated the Intranet to Wordpress which has made the Intranet much easier to engage with for our employees. Since the launch at the end of May 2019 – end Feb 2020 we have had almost 6000 views of the news articles and more than 464 comments on our wall. DIGITAL DIGITAL PIM AND B2B PORTAL TRANSFORMATION COMMUNICATIONS BUSINESS Having one source of truth for 12,000+ In January 2020 we launched the Digital activations with the all our product data, including Lefranc Bourgeois website in English consumer at the heart delivering product descriptions, colours, sizes, – now artists around the world can added-value content and services prices, regulatory data etc. This is experience this wonderful brand to our consumers globally is a key the ambition of the PIM (Product consumer and it’s rich 300 years history. With focus for us. Through the activation Information Management) Project. digital communications available in of marketing automations both With over 246k data points already questions every year PEOPLE English we make Lefranc Bourgeois on our Liquitex website through in the PIM, we are accelerating more accessible globally. personalisation and through eCRM this project this year as the PIM will (electronic consumer relationship improve efficiency across many During second half of 2020 we will departments and teams. PIM is also management) programs running relaunch our Winsor & Newton closely connected with the build on email, we are reducing wastage website for UK, US and ROW. This of the B2B Portal – a functional and being able to serve relevant is a big, complex project and ecommerce website – dedicated content to different audiences will save a substantial amount of PLANET driving more meaningful brand to small customers and retailers money for us moving away from removing manual, paper-based experiences and building long- the old platform used today. orders which we will release lasting consumer relationships. The website will be easier to use during the second half of 2020. and navigate, providing rich content on our products and SUSTAINABILITY 2.0 1.3% services enabling artists easy access to information that can help enhance their practise. of questions are sustainability related
Digital 21 Geographical Split 34% CONTENTS CONSUMER CARE % # We are proud of our consumer care Brand Sustainability Sustainability operations, where we respond to Queries Queries per Brand over 12,000 consumer questions 26% every year. 1,3% of these questions Lefranc 9 0.9% are around Sustainability or Social Bourgeois OVERVIEW responsibility. UK consumers seem most Liquitex 55 1.2% interested in these topics and in terms of brand, Snazaroo consumers are Reeves 11 1.5% the ones who engage with us most. Snazaroo 14 1.6% In terms of Ethical and W&N 118 1.4% 17% Sustainability matters: 14% BUSINESS • LB consumers are more concerned about product safety in terms of composition and ingredients Total Sustainability Geographical Queries queries • Liquitex and Reeves consumers Area by area by area 7% are the ones more concerned about using vegan products Oceania 2% 8% PEOPLE • Winsor and Newton consumers North 34% 18% ask the most questions America 2% about the environment Europe 17% 13% • Snazaroo consumers are equally UK 14% 26% concerned about environment North and respect for animals ROW 7% 5% Oceania Europe UK ROW Unknown America Unknown 26% 30% PLANET Data from 2019 SUSTAINABILITY 2.0 UK Snazaroo has the most consumers are the sustainability most concerned enquiries about animal welfare
NPD 22 CONTENTS We continue to further embed Sustainability within the NPD process as we drive cultural change through the business. We are ensuring that each project team challenges waste and non-recyclability, as well as questioning and seeking more environmentally friendly alternatives at each stage of the NPD process. OVERVIEW • Cadmium free paint – we have W&N SNAZAROO extended our Cadmium free paints across all our Fine Art • Paper – as we develop our • We are phasing out using Brand ranges so that we now range we will source the bulk black plastic vac forms which offer cadmium free alternatives of the range from European are difficult to recycle as within Liquitex, Winsor & suppliers with all products using they cannot be detected in Newton & LB paint ranges. FSC/PEFC certified paper. many waste sorting systems BUSINESS • In line printing of labels – we replacing them with grey • Canvas – as part of range are developing this capability Recycled PET plastic that can redevelopment we will ensure which will reduce waste and be further reprocessed. we use FSC timber on all the disposal as designs change. frames and revert to wooden • New set designs - cartons not plastic stretching wedges. will be single material card FSC fully recyclable. • ProMarker sets – in 2018 we PEOPLE made large reductions in the • Bio Glitters - new range of amount of plastic used on fully biodegradable glitters our 6 & 12 piece sets. Going made from ethically and forward we will phase out sustainably sourced raw completely all the plastic materials. The range will include packaging in our 6 and 12 chunky and fine glitters. Both piece sets and will investigate glitter sizes will be available PLANET using recycled plastic in our in 10 vibrant colours. moulded pen bodies. • Professional Synthetic brushes - we are developing alternatives to our natural hair SUSTAINABILITY 2.0 & bristle brush ranges.
Elephant 23 West CONTENTS Our energy provider uses 100% The bar and kitchen use: renewable, clean electricity, • Biodegradable straws generated by wind and hydro OVERVIEW assets. It’s certified by Renewable • Biodegradable coffee cups Energy Guarantees of Origin • Biodegradable food bowls (REGOs) and independently verified (cardboard and bamboo) by EcoAct, a Carbon Disclosure • Wooden cutlery Project (CDP) accredited provider. • Biodegradable napkins All waste is sorted using recycling BUSINESS bins and there is a newly appointed onsite sustainability ambassador. The local community is supported through the development of an onsite community garden in collaboration with a local environmental charity. PEOPLE PLANET Community SUSTAINABILITY 2.0 supported through 100% renewable, development of clean electricity community garden
24 SUSTAINABILITY 2.0 PLANET PEOPLE BUSINESS OVERVIEW CONTENTS It’s the Way Colart People
Our people 25 CONTENTS We know Colart’s people make the difference, and we value everyone’s input whether as a leader, part of a team or an individual contributor. With this knowledge, Colart continues its commitment to developing our people as well as building their understanding of and engagement in sustainability, both inside and outside of Colart. OVERVIEW LEADERSHIP LEADERS PLUS MENTORING In 2019, Colart continued its Colart continues to actively drive We believe that sustainable business membership and support of mentoring across the group. We performance starts with effective Leaders Plus, a social enterprise believe mentoring accelerates leadership. We see the starting enabling talented people in the and enriches both business point as knowledge of what good UK with young children to develop development and individual leadership looks like (as described BUSINESS their leadership careers. Through learning for both the Mentor and in the Colart Way) and clarity over this enterprise we were able to offer Mentee. But, above all it builds who has leadership responsibility experienced high-quality training, effective internal networks as (as redefined in the new leadership levels structure). Of course, we mentoring, peer support and well as developing collaborative Our people make the access to role models so that we relationships – something core to recognise the changing landscape could reinforce our commitment the way Colart wants to work. in which our leaders need to to building a positive environment difference operate whether with respect During 2019 we actively replenished for new parents in leadership roles. PEOPLE to our people, the business as a our pool of mentors with training whole or the wider environment We will continue to support provided new and existing mentors in which we operate. In effect, Leaders Plus during 2020. and we upgraded our mentoring trying to make a difference as an portal making application individual leader can only go so far. “Leaders Plus left me motivated easier for new mentees. and inspired to make the most For this reason, we believe the only of both my children and career way is for our leadership team to and the fact that I could do both” PLANET act as a high performing team – in other words as one team so we Bhavna Savani succeed together. Our leadership Corporate Finance Manager development programme during (London) 2019 therefore put collaboration as SUSTAINABILITY 2.0 the focus core. Underpinning this programme was self-awareness and reflection to enable our We value leaders to become mindful of self, team and the collective. everyone’s input
Our people 26 CONTENTS DAY IN THE LIFE OF SPLASH 2019 saw the launch of our day in the life programme. Following the successful launch During 2020, we will continue our This program was launched in France during 2018 and this and roll out of Splash (our plan to extend the functionality of year we saw more than 50 people register in France for the global People System) in Splash as we look to incorporate programme. We are confident that this great success will be 2018, we successfully added an automated performance seen elsewhere in the Group due to the opportunities offered: OVERVIEW to the functionality of the review process removing the • Ability to discover a new job • Improve internal system by incorporating need for our existing stand-alone communication an automated recruitment system. Whilst we are very proud • Understand the challenges platform – Splash Recruit. of our commitment to the review and needs of colleagues • Get a better vision of process, having the process the organisation With this enhancement we have • Share information and on Splash will enable better made direct recruitment more learn from others • Create collaboration analytics and follow through. efficient by creating a multi- BUSINESS and break silos channel candidate journey putting Splash has also been used as • Create social and professional bonds candidates at the heart and we a tool to gain from our people have removed the majority of the confirmed understanding of and manual processes. Furthermore, commitment to our regulations. we now have full transparency to During 2019, alignment to the activate and monitor all recruitment revised Code of Conduct, activity across the Group. presented in all languages, PEOPLE was completed in this way. PLANET Our direct sourcing of SUSTAINABILITY 2.0 new recruits has increased from 70% in 2018 to 79% in 2019
Our people 27 CONTENTS DIVERSITY AND INCLUSION During 2019, Colart conducted its first global gender pay analysis. The results showed that whilst our mean pay (average) was aligned to most companies, our OVERVIEW median pay (mid-point) was better than the norm. With these results, we recognise that we need to do more to encourage women into leadership positions. We will continue to continue to encourage and support, BUSINESS flexible working and skill development to promote diversity and inclusion at Colart. PEOPLE PLANET SUSTAINABILITY 2.0 Women make up nearly International face with 40% of our 40% more leadership nationalities
Our people 28 CONTENTS WELLBEING Our commitment to the wellbeing of our people is at the heart of everything that we do. We recognise the need to adopt a holistic approach and to show we think about the wellbeing of the whole person. We believe this is the best way to foster the family feel that we strive for at Colart so preparing our people to withstand any challenge OVERVIEW that could impact our ability to deliver on our strategic goals. BUSINESS Inspiration Passion Planet Excellence 2019 was another great year for At the end of the year, we asked grassroots wellbeing initiatives all of our people to complete at Colart. Our global network of our Wellbeing Survey in order to PEOPLE over 20 ambassadors organised understand what was valued impactful activities at local level and about the current calendar. communicated globally to inform the With this insight we can build rest of the company. For example, an even better programme to in France alone over 500 people support our strategy for 2020 participated in Wellbeing activities, whether social, physical or mental. PLANET Colart not only looks inside but also Our Wellbeing Coordinator, believes that connecting to our own Carole Briquet, spent 2 weeks community is core to the wellbeing in Madagascar for a ‘solidarity of people. During 2019 we therefore leave’, helping the local SUSTAINABILITY 2.0 continued to support everyone population to organise their library spending at least one day with a and bring it to life. This is following charitable cause of their choice. a previous solidarity leave from Wellness is a another employee in Peru. More such trips are planned for 2020. top priority
Our people 29 CONTENTS HEALTH AND SAFETY INCIDENT REPORT 2018-2019 Health and Safety is of vital • H&S has been decentralised importance to the physical to the sites, keeping structure wellbeing of people in Colart. and key initiatives implemented The health and safety committee via the H&S Committee. 0 Fatality meets virtually, quarterly and SEVERE OVERVIEW • Key focus for 2020 is to when serious incidents take place, so we can investigate and drive near miss reporting 1 Injury or illness resulting in for trend analysis. Aiming MAJOR permanent impairment use others knowledge to best to capture key issues and understand how we can make areas of focus for each site. 13 Injury or illness resulting Colart a safe place to work. MODERATE in hospital admission • Le Mans improving fire We completed a zoning exercise extinguisher visibility. to improve safety across our 18 BUSINESS Injury or illness resulting in manufacturing and distribution • Le Mans operators began to treatment. Temporary impairment MINOR sites to segregate them depending use new manual handling on their risks. Staff are trained equipment for drums, accordingly and issued a purchased at the end of 2019. 7 Minor injuries or discomfort. No medical treatment or measurable permit to work in these areas. MINIMAL physical effect. Zero lost time. • We continue to drive a health We aim to provide training on the and safety culture through risks associated with the whole our sites, we have a target of PEOPLE area in which they work, not zero accidents on our sites. just limited to their daily tasks. • Our accidents have increased this year as expected due to more vigorous reporting. We encourage all incident reporting however minor. PLANET SUSTAINABILITY 2.0 zero incidents targeted for our sites
Our people 30 CONTENTS HEALTH AND SAFETY E-learning is implemented as part of Following the zoning exercise, LE MANS APPROVED every employee’s induction, which the H&S team at Le Mans have IMPROVEMENTS includes Health and Safety training. made improvements to walk ways. FOR 2020 Our sites follow up any incidents Improvements in the segregation with ‘toolbox’ talks to ensure all of pedestrians a vehicles have OVERVIEW 1 Effluent Treatment update. employees have awareness. been achieved with the following: 2 New safety racks in • Committee meetings • Pedestrian fencing logistics area. continuing to facilitate • Gates information sharing and drive • Safety instructions 3 Finalisation of fire H&S culture and accountability. water bunding. • Safety mirrors • Budget has been 4 New cap feeder for ink line. • Walk ways are clearly defined BUSINESS allocated inline with site plans to improve H&S. with substantial barriers in 5 Replacement shrink place to prevent contact wrapper due to fire risk. • Risk assessments and PPE are with moving vehicles. 6 New system of powder being reviewed across all sites to ensure risk assessments are • New guarding has been transport on mixing area. Health & Safety of a high standard and PPE installed on low volume mixers. 7 Support to improve risk part of everyone’s induction is appropriate to the risk. • Safety instructions, cultural assessment and continuous training, best practice PEOPLE improvement of the document for all fork lift drivers accident prevention plan. • Mirrors and collision sensors. 8 Replace the stackers by • External rack inspection alternative machinery • Risk assessment on all processes to reduce risk of manual and machinery on site, handling injury. manufacturing, laboratory, DC. 9 Improvement of ventilation PLANET in laboratory to meet safety standards. SUSTAINABILITY 2.0
Partnership 31 and Charity CONTENTS We continue to donate our LISA MILROY’S marvellous collaborative painting, discontinued products to various INSTANT NETWORK ‘Group Portrait’; and in another OVERVIEW schools and charities, we have an SCHOOLS ‘HANDS workshop, a wonderful set of ongoing relationship with MIND – a hand-painted rings. The workshops mental health charity. They use ON’ ART WORKSHOP provided an opportunity for our materials for art workshops to PROGRAMME many of the students to engage help people with mental health. with painting for the first time, In 2015 Lisa initiated ‘Hands offering an opportunity to gain The arts valuable role in mental On’ with the support of the confidence and some curiosity. health is being recognised Vodafone Foundation, Vodafone’s BUSINESS charitable arm. ‘Hands On’ is It can help to boost confidence part of the UNHCR and Vodafone HANDS ON AT and make us feel more engaged Foundation’s Instant Network and resilient. Besides these benefits, ELEPHANT WEST Schools programme, providing art engagement also alleviates quality digital learning. ‘Hands At the beginning of February anxiety, depression and stress. On’ engages students in Kakuma the Hands On Art Workshops Since 2018 we have donated Refugee Camp, Kenya in practical came to life in London through PEOPLE to over 300 different art workshops delivered by Lisa in an exhibition held at Elephant charities and schools. London through interactive video West. Its primary purpose was to conferencing sessions facilitated draw the attention of a wider One of the projects we by the Vodafone Foundation. public and salute all partners of have supported, included a collaboration with artist Lisa Milroy, Lisa travels annually to Kakuma the Hands On art workshops., who worked with Vodafone Refugee Camp to conduct ‘Hands Foundation and UNHCR to create On’ workshops on the ground, This exhibition provided a visual PLANET the Instant Network Schools ‘Hands working with UNHCR Education. timeline of the Hands On Art On’ art workshop programme. This year, Lisa led a three-day Workshop from inception through workshop event for 35 students to the present day and beyond from Angelina Jolie Primary School, as well as a beautiful display of Morneau Shepell Girls High School original paintings and drawings SUSTAINABILITY 2.0 and Our Lady’s Girls Secondary made by the school students in the School. Lisa used Colart products to Kakuma Refugee Camp in Kenya, support the ‘Hands On’ workshops. using materials donated by Colart. The fabulous range of art materials allowed the students to create a
32 SUSTAINABILITY 2.0 PLANET PEOPLE BUSINESS OVERVIEW CONTENTS commitment Serious Planet
Footprint 33 Tianjin CONTENTS reduced by We are continually working towards reducing our CO2 impact. 26.8% OVERVIEW 2018 Scope 1&2: 4085 tCO2e 2019 BUSINESS Le Mans Scope 1&2: 4081 tCO2e reduced by CO 2 18.9% PEOPLE Reduction of 1.4% year on year PLANET Overall reduction We continue to get better quality data which improves -21.3% our reporting accuracy. We expected an improvement Including Scope 3 in Tianjin as production has SUSTAINABILITY 2.0 moved to Le Mans. Reduction in Le Mans is We measure scope 3, however we have to be reliant on significant as although increased production they have been third party data which we hope to improve year on year. able to ensure that their CO2 emissions have decreased due to better operating efficiency.
SVHC 34 67% reduction CONTENTS UPDATE ON SVHC Since tracking began in 2015 in the number of we have significantly reduced the number of SVHCs in Colart’s raw materials manufactured products. containing SVHCs OVERVIEW Figures based on 2015 data vs reformulations implemented in manufacture to date. • 67% reduction in the number of RM which contain SVHCs. • 83% reduction in the number of pastes with SVHCs. BUSINESS 83% • 57% reduction in the number of products that contain SVHCs. reduction During 2019 our R&D chemists achieved a significant mile stone in this project; formulating away from our most significant in the number of pastes PEOPLE raw material which was present containing SVHCs in around 100 formulations. These new formulations are being implemented on a rolling basis through the end of 2019 and into 2020. Laboratory work continues to reformulate the PLANET remaining 2% of formulations (based on 2015 figures). 57% SUSTAINABILITY 2.0 reduction in the number of products containing SVHCs
Social Impact 35 China CTAM Italy CONTENTS 5014 PPM 3229 PPM 7024 PPM OVERVIEW Le Mans Lowestoft Spain Our target is 5050 PPM 2594 PPM 5214 PPM BUSINESS 5000 ppm PEOPLE Minehead France 11350 PPM 3000 PPM In 2019 the overall was PLANET 3342 ppm SUSTAINABILITY 2.0
Site Stories 36 125kg CONTENTS LONDON KIDDERMINSTER WELLBEING OVERHAUL OF THE PACKAGING of food in the 2019 ACTIVATION RANGE PICKING/ INITIATIVES annual foodbank PACKING PROCESS At Head office, having the We are continually looking at the collection Wellbeing 2019 activation at way our products are shipped out OVERVIEW We’ve overhauled how we pick heart we ensure to organise and pack the hundreds of orders of the warehouse, and are assessing activities that promote healthy leaving our site every week for the introduction of handheld lives and wellbeing to all the UK’s biggest customer, The banding to replace the use of employees. We raised awareness Range. By consolidating the lines pallet shrinkwrap. This would involve on important topics to care taken by The Range into three using waste cardboard to produce CHARITABLE for our people such as mental adjacent aisles and packing orders concertina packaging to replace KIDDERMINSTER wellbeing, stress management to oversized, palletised cardboard bought-in plastic alternatives. BUSINESS and healthy eating habits cartons rather than several Our airbags are now made from Kidderminster is passionate smaller cartons, we’ve simplified an eco-friendlier plastic, and the about supporting local charities We’ve organised: the process, and reduced the boxes and pallet boxes we buy in and inspiring every artist with • Wellness week (smoothie bike) amount of cardboard, time and are made from approximately 70% product donations. In 2019, • Yoga sessions energy used to pick each order. recycled product, with recycled we donated just under £300 The new layout is ergonomically inners and fluting. This is something (raised through staff sales of • Walk to work day we actively seek from our suppliers. designed, ensuring the most old or damaged goods) to a • Cycle to work scheme local homeless charity, MAGGS, PEOPLE efficient picking profile, and is In November 2019 we opted into being assessed with a view to who used the donation to pay paperless payslips, and our new We held numerous social and rolling out and streamlining the for hot breakfasts throughout time and attendance system has community events to recognise next 80 most picked lines in DC7. the entire month of December reduced the need for the old card and celebrate successes, such for people experiencing clocking-in system, making us as as a cake and staff sale to raise homelessness in the city of paperless as possible. Furthermore, money for charities, an Easter KIDDERMINSTER staff sliced over five percent off Worcester. Staff also donated ANNOUNCES dog food for Street Paws. PLANET egg hunt, Halloween Snazaroo the total miles they travelled to Party, International Culture day, SWITCH TO 100% work by car, by finding sustainable In 2019 we smashed the 2018 and summer and Christmas RENEWABLE ENERGY alternatives through car share, annual foodbank collection parties at Elephant West. walking and cycling, and this year by 10%, donating a massive From February 2020, 100% of we’re continuing to promote and 125kgs of food by the staff in SUSTAINABILITY 2.0 the electricity used on the raise awareness within the site, so Colart’s Kidderminster site to a Kidderminster site will be renewable. staff choose not to use their cars local foodbank to help families. The positive benefits of switching with a view to a further reduction. to renewable energy over harmful fossil fuels outweighs the very small premium incurred to switch and fractional increase in our annual bill.
Site Stories 37 100% CONTENTS LE MANS MAINTAL CONTINUOUS OFFICE GERMANY 2020 hydro powered IMPROVEMENT electric from 2020 From 1st January 2020, we have In the Le Mans plant, 2019 was a swapped our electricity supply from year of consolidation for our new mixed sources to 100% hydro power. OVERVIEW production layout, which allows us This will reduce our CO2 footprint by to better understand the situation more than 72 kg, and our nuclear in real time, via software tool STAM. waste by 1,55 gr. every year. We’ve became better at using By reducing corporate cars by this to improve all parameters 12%, mileage will decline by and keep control of our processes 48,000 km, counting for a CO2 that can impact sustainability. reduction of 8.800 kg every year. BUSINESS We’ve been continuing to invest in new Remaining corporate cars will be tools to improve ergonomics for and lay replaced by Ad-Blue diesel this year, 12% the foundation of further improvements reducing 85% of the NOx emission. in energy management, including real time power measurement and green electricity, as well as using less plastic. NORTH AMERICA reduction in We’ve also committed to achieving corporate cars PEOPLE our target for community hours, and North America has reduced their have organised an arts workshop at Le air travel by 23% in 2019. There has Mans Hospital, blood donations, and been an increased use of video offered support to unemployed people. and phone conferencing, as well as having more meetings at the • Le Mans site has continued its long- site to reduce overall travel. term partnership with ‘Le Mans Hospital’ and ‘La Ligue Contre le The new distribution centre and offices PLANET Cancer’ creating monthly Fine Art are much more efficient than the workshops for people with cancer. old site from a utilities point of view. There were some dual running costs • In 2019 and 2020 Colart has across both sites, as one closed and been involved in several local the other opened, the utility bills for SUSTAINABILITY 2.0 initiatives like, ‘Plein Champ’, the new site were 25% lower than ‘Plumes et Pinceaux’, ‘Puls’Art’ or ‘Journée Mans’Art’ in partnership the old site. This has been achieved Mileage reduced by through many ways including high with Le Mans City Town Hall. As well, Colart will be partnering with the new Contemporary efficiency LED lighting with motion sensors, more natural lighting, high efficiency heating ventilation and air 48,000km Art Center (FIAA), which will be conditioning systems, with sensors and opening in 2020 in Le Mans. low flow water saving plumbing.
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