Sustainability Report - Colart
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Overview Sustainability Officer 04 Contents Words from the CEO 05 KPIs 06 Strategy Recap 08 Sustainability Trend 11 Lindéngruppen 12 Business Brand Updates 14 Shopper Marketing & Insights 20 Governance 21 Supply Chain 22 Digital 23 NPD 26 New Business Development 27 Sustainable Innovation 28 People Our People 30 Partnership and Charity 36 Planet Footprint 38 SVHC 39 Social Impact 40 Materiality 41 Site Stories 43 Plans & Targets Plans & Targets 56 CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 2
Sustainability COVID-19 has posed significant challenges for Colart throughout 2020 and into 2021. However, Officer Review we have been able to adapt quickly across the business and ultimately witnessed a growing demand for our products during the pandemic. of 2021 We kept our factories and distribution centres open whilst prioritising the safety of our people. This was achieved packaging guidelines. For 2021, we are targeting an overall reduction of plastic use, the removal of single- with investment in site health and use plastic, and moving to use of safety equipment, and redesigning recycled plastics where removal processes to protect staff. is currently not an option. In spite of these challenges, embedding Our Sustainability Ambassadors continue sustainability at Colart has continued to drive change, with a plethora of at pace. Sustainability is considered, initiatives rolled out at many local sites discussed and implemented and globally. We closely scrutinise at all levels of the business. our energy consumption; in 2020 We have set a five-year sustainability most of our European sites switched plan with clear targets and KPIs. to buying electricity from renewable Business plans across the organisation sources. In France, for example, Le now place sustainability at their core. Mans is installing a significant number of solar panels on-site with the Meanwhile, Colart’s brand plans project due to be live by mid-2021. outline the need for sustainable new product development, supported Step by step we are making by our creation of sustainable progress - and I am excited by what the next few years will bring. Richard Llewellyn Sustainability Officer CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 4
Words from Our purpose-driven vision of ‘Inspiring every artist in the world’ continues to our CEO drive everything we do at Colart. Our portfolio of seven brands Importantly, we are convinced and catalogue of over 13,000 sustainability adds long-term value products is sold in more than 120 to Colart. Whilst we still have much to countries, enabling multi-millions of do, we have set out a clear roadmap creatives to express themselves in with ambitious five-year targets. We colourful and meaningful ways. have reduced our CO2 emissions by Sustainability runs throughout our 48%, and we are driving towards zero operations; we don’t treat it as a single-use plastic in the business. simple fad that will one day disappear. In 2021, whilst still adapting to the Greenwashing and being seen to pandemic, we are enjoying the benefits join the good side of the debate of a strong and mature company, are not on our agenda. We take capitalising on consumers’ continuing our mission seriously: to become compliance to the ‘stay at home’ the most sustainable consumer- advice - leading to a significant increase driven home of creative brands. in demand for our beloved brands. In making this mission a reality, we will This positive momentum is clearly felt at lead our industry and are prepared to Colart, releasing initiative, innovation invest. For us, reducing environmental and energy that produces a ‘can impact and increasing social do’ attitude to our sustainability responsibility whilst growing as a business agenda at every company level. is more than a moral commitment. We The tide is turning; sustainability is no will take serious action with tangible longer a side issue. It’s part of our every results by reducing our carbon impact day working life - and we are very removing single-use-plastic and focusing proud to make sure that continues. To be the most sustainable on the wellbeing of our people. consumer driven house of creative brands Dennis van Schie Colart CEO CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 5
KPI Results Energy Objective: Inclusiveness To continuously reduce our & Diversity Objective: energy consumption and use To achieve a 50/50 gender renewables wherever possible. target across Colart’s leadership. We currently measure gender according to our Leadership -20.3% Levels 3 to 5: Directors to CEO. energy decrease Male 73% vs 2019 . This mainly due to closures during the pandemic. Female 27% Target 50% 3% share of renewable energy down 1% from 2018. WASTE -17% 26% increase total waste year-on-year. of renewable bought electricity -22% in the first quarter of 2021. reduction on hazardous waste. 31% of all waste recycled. CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 6
Social Impact SVHCS Update 3348.5 Substances of Very High Concern hours spent in the community. (SVHCs) are chemicals that will eventually be banned due to their 34% environmental and health impacts. of all our direct suppliers are evaluated against our code of conduct. We will be working on 83% reduction increasing the number of suppliers in the number of raw materials throughout 2021 and beyond. containing SVHCs. 39% of all new suppliers evaluated against our supplier code of conduct. 97% reduction in the number of pastes and finished products containing SVHCs. This project has significantly reduced the number of harmful chemicals (that are not banned) in our products, thereby reducing our impact on the environment. Sickness Objective: to monitor sickness levels and build awareness of any issues that may occur. 2.6% sickness level, against a target of less than 3%. CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 7
Strategy Recap & TRANSPARENT SUPPLY ABLE CHA TAIN IN SU S Goals shared Colleague Wellbeing B E IN G REDUC Energy & Water worldwide I NG LL WE EN VI & E COMMER D& RO IV CI AN AL AT NM BR E CR EN TA INCREASING L IMPA Enhancing the wellbeing of people and the CT Artists’ planet through Packaging Wellbeing creativity & Waste BR L AN IA D& C C O M MER Creative Product Thinking Ingredients SUSTA INABILITY COMMITTEE CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 8
Strategy Recap If 2020 taught us anything it’s that we would not have a business without our people; they are at People the heart of all our activity. As working from home became the new normal for many of them, it was important to ensure they remained connected with each other and the wider company. We continue to drive cultural change Health, Safety across all levels and aspects of the business through relentless dissemination & Wellbeing of information and learning collateral. Colart’s constant goal is to provide a safe and sustainable working environment for our global community. Social Impact In April 2021, we held a Health and We continue to engage with Safety virtual conference, highlighting local communities. We believe our key initiative to drive a positive promoting volunteer opportunities safety culture at all our sites. for employees to engage with helps In so doing, we will reduce the to develop and retain them, whilst number of accidents and protect also attracting top talent. Even in our key asset - our people. a year as tough as 2020 we still hit our target of 3000 hours spent in the community per million hours worked. We drive a positive safety culture at all our sites. CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 9
Strategy Recap Packaging Colart introduced sustainable packaging guidelines in 2020, which Responsible Sourcing We are committed to sourcing were rolled out in early 2021. The products, materials and services of the guidelines will support new product highest standards, driving continuous development to ensure we use improvements in quality and cost. only the packaging we need. Our aim is to establish a transparent We are committed to reviewing our and ethical supply chain with a high current packaging portfolio, and level of environmental legal and take a holistic approach to improving human rights compliance, audited the sustainability of our packaging. both internally and externally. Reducing Waste We continue to drive the reduction of waste across our production sites, implementing and monitoring stringent controls. Despite being in the chemical production industry we ensure that no waste from Colart’s operations negatively impacts the environment. CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 10
Sustainability Sustainability is a concern of consumers across the globe. In fact, the pandemic has brought business Trend values and activity into clearer focus - meaning they must demonstrate how they are caring for their communities and the planet as a whole. Colart’s goals reflect the positive Due to COVID-19 we also devised effect creating art is known to have an initiative to help our employees on mental health; many people balance work with homeschooling started art hobbies during lockdown duties. This entailed Zoom-based art to alleviate anxiety and boredom. classes for their children, as part of Our dedicated teams, The Fine Art activity for our Elephant brand. Collective, ran online tutorials to The feedback was rewarding: support both artists and retailers. “The classes have been amazing, keeping my seven- year-old occupied twice a day so I could work.” CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 11
Lindéngruppen Our owner Lindéngruppen is a second- generation family business focused on long-term development of industrial companies. The purpose Review of 2021 of the Group is to own successful companies that lead the transition to a sustainable world. The Group is unified by a belief that Going forward, an important by being rooted in strong values and part of optimising benefits is to long-term thinking, we are able to build understand and drive sustainability resilient and prosperous companies among all our customers. whilst also making a difference and taking an active part in solving some of the major challenges our world is facing. Together we work actively to optimise environmental and societal benefits, and to minimise negative impact. Each of our companies is required to have a clear understanding of key issues, and how these can be influenced and transformed over time. Shared Clear purpose and sustained and Code of values. Conduct. CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 12
Our business Inspiring artists everywhere CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 13
Brand updates • We have successfully moved • As part of our aim to reduce •During the first COVID-19 lockdown • The brand had confirmed the use away from black vacuum forms single-plastic use, we are currently in 2020, Lefranc Bourgeois of glass jars for all its oil mediums that were not easily recyclable. replacing plastic packaging of developed an online, artist-led and varnishes, as well as the • In September 2020, we launched our brush pens and 18ml pot blisters with programme called #StayCreative iconic vinyl Flashe paint range. very first customisable palette via sustainably sourced cardboard. (#RestezCréatifs) dedicated to • Most handles of the Lefranc Bourgeois Snazaroo.com, allowing consumers to • Our new range of biodegradable all home-confined consumers. Kids school brushes ranges are FSC refill their palette as colours run out. glitter is due to launch in Q3 2021. Several artists from France and abroad certified, reinforcing our commitment • Our brand new factory in who have recently collaborate with to a sustainable supply chain. Minehead, UK, moved to renewable the brand shared technical tutorials • As of 2020, all cardboard energy in March 2021. and virtual tours of their studios. Artists packaging on our sets are FSC. at home were invited to try their turn at a challenge and share their • The brand has moved away creations with the digital community. from black vacuum forms that were not easily recyclable. • After having been the first brand ever to launch cadmium-free colours (in • Most of our suppliers are accredited 2017 with Lefranc Bourgeois’ oil paint with ISO standards 9001 and 14001. relaunch), the brand extended the scientific expertise to their gouache range and in 2020 launched the first ever cadmium-free gouaches. The launch was encapsuled in the 300 years celebration, in which histories of great artists and the brand were revealed, such as Matisse’s love for Linel Extra Fine Gouache. CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 14
Brand update Liquitex Digital-first Commitment to being a communication strategy: more inclusive brand: • Focuses on providing content • Championing underrepresented that can be adapted by channel talent, featured in campaign and audience type, to ensure shoots, influencer programmes, maximum reach with minimal user-generated content. environmental impact. • Celebrate individual artists behind the • Increase in virtual demonstrations - work, and diverse artist groups across Liquitex Live - limiting the need for style/type of practice, materials used, printed takeaways whilst reaching ethnicity, geography, age, gender. more people and allowing for • Residency programme provides increased attendance. access to studio space, materials and • Artist-led content capture - Artist mentoring in a creative community. Spotlight. Production equipment is • Community building and support. Packaging improvements programme: shipped to the artist to capture content • Purposeful inclusion - partnering with • Liquitex Basics 60 x 22ml set will • FFP certification means: over a period of time, eliminating the organisations that provide support be launched exclusively for – The product is designed to need for individual production shoots. and funding to underrepresented artist Amazon - certified for its Tier 1 reduce waste and requires no • Long-term relationships formed groups e.g. Black Art Futures Fund. Frustration Free Packaging (FFP) Amazon over-box or prep to ship. with digital creators - influencer programme - in August 2021. – It is made from kerbside programme, In the Studio • This is a new packaging initiative recyclable packaging materials. collaborations and Artist Spotlight. for Colart to design a set – It is easy to open and has certified for FFP, and will inform minimal packaging. product development and – Minimal damage and improvements moving forward. defect rates. CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 15
Brand update Winsor & Newton Winsor & Newton is committed to • Most handles of the new professional • We are launching 16 new skin tones in offering sustainable alternatives without synthetic brush ranges are FSC certified, our promarker range to provide a wider compromising on performance. and feature reduced solvent in their variety of shades. This includes revising • In 2019 and 2020, we successfully paint, reinforcing our commitment our packaging system to replace launched Cadmium Free to a sustainable supply chain. single-use plastic with recycled plastic. watercolour and oil colour, which • The introduction of these ranges • Most of our suppliers are accredited artists confirmed to perform on par addresses supply chain issues for with ISO standards 9001 and 14001. with counterparts in blind testing. larger size brushes, which have been • From 2021, all cardboard packaging • Continuing in the spirit of offering difficult to produce with natural hair on our watercolour sets will be consumers an alternative, Winsor & due to a shortage of longer natural FSC and no longer have a plastic Newton launched synthetic watercolour hair because of climate change. coating on the cartons so they can and oil colour brushes in 2021. The • Winsor & Newton is also committed be recycled. There has been further product performs at the same level as to fully sustainable packaging. investigation completed on removing our Watercolour sable and hog brushes. All launches follow new Colart plastic packaging from watercolour • As with our Cadmium Free colours, artist sustainable packaging guidelines. half pans, whilst ensuring there is no feedback indicated the quality of the • We are in the process of relaunching adverse impact to product quality. synthetic brushes meant they performed our entire paper range. We ensure all on par with counterparts in blind testing. materials are not derived from animals. 80% of our papers are FSC certified - and 40% is made using renewable hydropower energy. CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 16
Brand update Winsor & Newton • In addition, on our recently developed Further development • By working with artists who have painting entry sets for beginners we similar values to those we want of our communications avoid plastic whenever possible: to convey about sustainability strategy - Expert Colour. and the environment, we are - No additional plastic sheet in the product window for Endless Possibilities: taking the first steps to aligning all wet colour sets. • The impact of COVID-19 and ourselves with these issues. results of Colart-commissioned • Later in 2021 we will roll out a strong, - A high-quality photo on cardboard brand preference research ongoing communication plan for the front of pastels packs, highlighted the importance to outlining our actions and initiatives replacing plastic sleeves. our audiences of community, to showcase our sustainable - Pastel ranges no longer feature education, heritage, innovation, and initiatives and support our community additional an inner carton. emotional connection. Increased with their own commitments to • In late 2019, despite the higher awareness of environmental factors being environmentally friendly cost, we decided proactively to is also playing a part in consumers’ in 2022 and beyond. make vacuum forms only from a relationship with our brands. recyclable material. This generic • We continued our oil campaign rule has now been rolled out as a in early 2021, focusing on our requirement for all Colart products. innovative Cadmium-Free oils and new Winton colours. Both ranges have been granted Approved Product seals - certified as not being toxic or injurious to humans. • Key initiatives such as Our Featured Artists and Material Matters give us a platform to talk to our audience in an authentic and informative way, creating content where artists speak to artists about our materials. CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 17
Brand update Sustainability is a key focus for Elephant throughout 2021 and beyond. It has become Elephant standard practice to ask ourselves what the environmental impact of any new project or opportunity will be. This is a great starting point from which to create change and challenge previous ways of doing things. Moving to become a digital-first Our ecommerce business Elephant brand is the first step in reducing Kiosk has removed all plastic tape from our impact on the world around us. packaging and will have eliminated Elephant Academy’s online learning all plastic outer packaging by the end classes are a great example of of Q2. In Q3 we will be launching our building meaningful connections own-brand sustainable paint sets out of with consumers without the need for Kiosk. Paints in this range will be offered travel or premises. We are discovering in plain aluminium tubes with recyclable that you can create sustainability paper labels and all plastic moulding without detriment to customer removed. Sets will be fully customisable, experience. In fact, for many customers, reducing waste, and we will offer a free sustainability is a key enhancement return scheme for safe disposal of tubes. of any product or offering. Plastic-free packaging in Elephant’s own paint brand. CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 18
Brand update Elephant Elephant magazine, now published twice delivered to the art education of a year, is fully recyclable on FSC-certified pupils. We will be repeating this paper and produced by a carbon-neutral programme later in the year in the US, printer. We invest in offsetting carbon targeting schools on the east coast. emissions released while creating the • Donating more than 200 chairs from magazine. The editorial team covers Elephant Space to a school in Africa. many artistic projects that address sustainability, with an example being • Offering substantial charity the interview in the Spring/Summer 2021 discounts on all our products. issue featuring art duo Cooking Sections, • Working with our local London who explore ways of making the food borough to create a community industry more environmentally friendly. garden at Elephant Space, designed The Elephant team is passionate to absorb pollutants from traffic. about making a positive contribution • By Q3 2021, every order placed to charities, NGOs and the local through Elephant will contribute to community. Our work has included: planting trees in the developing • Overseeing the giveaway of 200,000 world through our partnership with Winsor & Newton pigment markers to Eden Reforestation Projects. 380 UK schools and colleges during These initiatives represent a first step the first half of 2021. These markers for Elephant towards developing a have been gratefully received, with business where our commitment to Elephant receiving significant positive sustainability is meaningful and at feedback on the value this initiative has the heart of everything we do. 300 marker sets donated to charity by Elephant “Such a great resource, especially with not being in specialist Carbon-neutral printer classrooms at the moment. They’ve been so useful for providing for Elephant magazine. a new medium to work with. Thanks so much!” CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 19
Shopper Marketing & Insights Green Sustainability as Meeting consumer Harness the values purchase driver demand influencer effect Art supply customers want products to Art suppliers agree more needs to Three-quarters of artists have bought Key influencers are starting to want become more sustainable. Just under half be done to meet regulatory and more sustainable items in the past two sustainable products, which is likely already recycle materials (42%) rather consumer demand. From Cadmium years (74%),with 36% saying they would to influence the whole market than throw them away (25%) (Source: Free paints to refillable markers and pay more for ‘greener’ products. (Source: GFK Brand Preference Colart Sustainability Report 2019-20). recyclable aluminium paint tubes Drivers Research 2019/21). They believe brands should be This is a key opportunity for brands many changes can be made. to differentiate, drive emotional Professionals tackling sustainability in three ways: Retailers also have a big part to engagement and build brand loyalty. Sustainability is a key purchase • Reduced packaging. play, and could offer change driver for professional artists along Nearly two-thirds of artists (64%) say • Increased recyclable materials. such as reduced plastic options with product performance. they are likely to feel more loyalty to • Fewer toxic ingredients. and local recycling points. eco-friendly suppliers (Source: Colart Sustainability Report 2019-20). UK France USA Did you know? 25% Total population: 19% Total population: 30% Total population: 66.7M 67.1M 328.2M Fine Art Professionals Across the globe we are seeing an uptick in art Fine Art Market 16.4M Fine Art Market 12.8M Fine Art Market 98.1M participation. With ‘stay at home’ orders now Students in place for long periods at a time, we expect 68% 71% 9% 3% Creative Professionals 7% 86% this increased participation to be sustained. 9% 30% 5.5M 30% 5.5M 21% 14% 13.8M 4% 3% Hobbyists 16% 7% CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 20
Governance 2020 saw the strengthening of Colart’s commitment to governance through the creation of a new Business Partner Code of Conduct. The Code is intended to enhance The Code supplements Colart’s internal Colart’s responsible business agenda by Employee Code of Conduct to ensure setting out the standards and practices the standards we expect are upheld expected from our business partners, throughout the supply chain. To ensure covering our suppliers, distributors, commitment to the Code, business retail customers, artists and anyone partners will be asked to confirm else we engage with; as well as their their acceptance of the Code. In own suppliers, sub-contractors and addition, both business partners and representatives in the supply chain. Colart employees continue to have the ability to anonymously report any The Code places an obligation breaches through EthicsPoint - our on our business partners and their independent online reporting portal. supply chains to adhere to the highest ethical standards and A register to capture any interactions business practices such as: with competitors continues to be updated with declarations from Colart’s • Compliance with all applicable laws. Group Leadership Team. Plans are in • Refraining from bribery and corruption. place to ensure the wider roll-out of the • Avoiding conflicts of interest. register to all Colart staff, supplemented • Ensuring gifts and hospitality are with relevant guidance and training. not given or received with the aim of influencing a decision. Global litigation and legal entity governance continues to be tracked • Fair treatment of all workers with centrally through respective portals no use of child or forced labour. and registers, to ensure legal and • Striving to reduce environmental compliance risk is effectively managed. footprint by minimising use of energy and resources in the development, manufacture, transport, use and disposal of all products. CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 21
Supply Colart continues to improve transparency and relations with its supply chain… Chain Resource scarcity We have observed in 2020 and at Packaging changes As we continue our sustainability the beginning of 2021 an increasing journey we have made significant dependence on limited resources. changes to our packaging. Colart has started an initiative to derisk We are aiming to remove single- dependence by dual sourcing raw use plastic as much as possible, materials that are deemed critical, and but we are also working on other finding local alternatives when possible. initiatives behind the scenes. We’re working on our formulations For example, we have stopped over- to reduce the supply chain stress packaging goods that were shipped and locate sources closer to the within the Group, by removing inner consumption point. This helps cartons wherever possible. The same avoid unsustainable airfreights. approach is also being taken for shipping material in customer orders. SEDEX & our We aim to reduce the use of Code of Conduct such material, and even when this is not possible, shift to more We continue to make strides to environmentally friendly material. ensuring our partners are committed to sustainability as much as Colart is. To make this happen, we have revised Sustainable our Code of Conduct so that it applies cotton to all of our stakeholders - whether upstream or downstream - and continue We are putting in place a to lead change in our supply chain. cotton sourcing policy for all of our cotton fabric. All of our sites are signed up to SEDEX. We ask our suppliers to sign up as part The initiative is intended to encourage of the procurement process, an online better water and energy management social and digital exchange focusing practices during production. We on labour standards, business ethics, also aim to ensure we draw from health & safety & the environment. socially responsible sources. CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 22
Digital We continue to build our internal digital capabilities, upskilling teams across the business. transformation Winsor & Newton e-commerce Colart Trade In 2020, we relaunched Winsor & Another key event during 2020 was Newton e-commerce websites in the the launch of our business-to-business UK, US, Australia, and Rest of the World portal, Colart Trade. Smaller firms onto our internal WordPress platform. can now more easily and effectively This was a major milestone, driving place orders, reducing time and effort simplicity and efficiency, saving more on manual paper-based ordering. than £100,000 in platform management The portal is currently available in expenditure. Results to date are the UK and Italy; during 2021 it will encouraging, with increased consumer launch in several more markets. page visits and dwell time as they seek All of our websites and Colart Trade to learn more about our products. are supported by - and dependant on - PIM, our ‘one source of truth’ for all product data, further driving efficiency and removing complexity. Over one million data points are now in PIM, which will continue to mature during 2021. £100,000 saving in platform management expenditure. CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 23
Digital transformation Data-driven and Digital consumer-centric democratisation Being both data-driven and During 2021, we will begin the consumer-centric in our approach important project of spreading are key strategic priorities for our digital marketing activities. digital capability wider across the business. Progress will include Greater insight By consolidating several data upskilling capabilities in brand teams into our consumers. platforms into one with the launch and local markets, in addition to of a Consumer Data Platform, we supporting further e-commerce are simplifying access to data whilst and direct to consumer initiatives. also gaining more powerful, granular By embedding digital throughout insights about our consumers that Colart we will continue to will help us to deliver even more mature and future-proof our relevant, timely and consistent marketing activations. brand communications to our different target audiences. During 2020, all Winsor & Newton and Liquitex consumer data was Future proof migrated to this new platform. marketing by The work continues in 2021 with Lefranc Bourgeois, Elephant digital upskilling. and Snazaroo following suit. CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 24
Digital Consumer care Ethics and Sustainability matters Geographical split Total Sustainability • All Lefranc Bourgeois “Sustainability Geographical Queries queries queries” are about usage of Area by area by area 1.7% of the total number of enquiries received in 2020 animal derived ingredients. Oceania 3% 4% is about Sustainability & Social Responsibility. UK is • Liquitex and Reeves consumers North the market more concerned about those subjects. are mainly concerned about America 40% 25% using vegan products. Whilst in terms of subjects, majority of questions Europe 39% 52% relates to respect for animals and environment. • Snazaroo consumers are UK 17% 19% interested in product safety and environmentally friendly products. ROW 18% 31% • Winsor & Newton consumers are equally concerned about the environment and Sustainability respect for animals, however queries by Brand they pay attention to Human Rights matters too. # % Sustainability Brand Sustainability Queries Queries per Brand 5% 7% Lefranc 12 1.1% Bourgeois 14% Liquitex 49 1.1% Reeves 35 4.6% Snazaroo 6 0.9% Winsor & 177 1.9% Newton 74% Vegan Products Ethics & Human Rights Reeves & Winsor & Newton Safety & Product composition consumers care the most. Environment Concern CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 25
NPD We continue to further Lefranc Bourgeois Liquitex: embed sustainability within Lino Ink Set - Replaced vacform Heavy Body - Investigations continue new product development with a new reusable fabric bag; to uses eco-friendly (PCR) tubes also developing carton sets for acrylic paint; planned for soft as we drive cultural change roll-out when production trials and without plastic windows. throughout Colart. product quality pass testing. Enfant Gifts - Requesting FSC Sets - Where possible, we are developing boxes where possible; considering Where possible on NPD projects, we new sets and modifying existing sets, the best place to assemble sets to have no vacforms, which reduce source eco-friendly options such as PCR with components from both plastic usage and the set footprint. tubes, R-PET plastic bottles, and support China and France, to minimise We are also investigating the use of these changes by making necessary transportation between countries. recyclable shrink wrap for all sets. adjustments to production equipment. Watercolour Sets - Existing plastic Vacforms - We are moving from black The following projects highlight boxes switched to more durable vacforms to clear vac-forms that our bid to continue to embed metal boxes. FSC carton packaging can be recycled, while also seeking sustainability, and challenge the sustainable material alternatives is now being implemented; it is materials we use in our products: for sets where they are needed. recyclable, with plastic coating on the paper packaging removed. Future sustainability improvements Crown Artist Brush: include removing plastic wrapping over half pans and replacing them Pthalate content removed with a sustainable alternative. from all packaging to ensure compliance with new legislation Vacforms - All interior vacforms will be Phthalates products - fully migrated over sourced from white recycled plastic. during 2020 to ensure compliance. Blockprinting Starter Set - To be Two new Winsor & Newton brush proposed in a FSC cardboard ranges were launched with FSC wood box, containing all materials handles coated with water based in an original cotton bag. lacquer. This in turn led to a project to progressively extend the use of FSC wood handles and water based lacquers across all our core existing ranges. CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 26
New Business The function of business development is newly created to explore longer-term growth through Development partnerships within the creative industry. We not only investigate the commercial opportunity of such collaborations but actively embed our values - including our sustainability agenda - in all discussions. As such, we have actively turned down We believe this is a great example viable commercial opportunities that of how a business purpose of conflict with our views on sustainability, spreading the joy of painting and whilst engaging in collaborations we fair business ethics can go hand felt were worth paying more for due in hand. We are proud to partner to the supplier’s brand message of with Viviva as its distribution partner, sustainability whilst inspiring creativity. bringing the brand and products One such a collaboration is our work to consumers around the world. with India-based start-up business Viviva Colors. The company has developed ultra-portable and easy-to-use colour sheets. They are predominantly made of lightweight paper, providing a stable income for women in the local community. CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 27
Sustainable With full alignment to the Sustainability Strategy on Products and Environment, my new role is Innovation to drive the sustainable innovation agenda for new product development across our brands. We will achieve this through expertise Another of my key objectives is and leadership, providing guidance to rebuild stronger connections to the newly transformed local I&D with our expert suppliers (via teams across the business; ensuring procurement) and artist consumers resulting workstreams are aligned with (via TFAC) to ensure Colart is their deliverable and timely objectives. first contact for using sustainable raw materials, and facilitating new thinking and opportunities. Watch this space! Cris Cosgrave Sustainable Innovation Programme Manager CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 28
Our people. It’s the Colart Way CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 29
Our people… make the difference We know Colart’s people make a major Leaders Plus Mentoring difference to our success and we value everyone’s input - whether as a leader, part During 2020, we continued our The diminished ability to meet of a team or an individual contributor. Our membership and support of Leaders Plus face-to-face in 2020 initially posed commitment to developing our people, as - a social enterprise enabling talented significant challenges for our mentoring well as building their understanding of and people in the UK with young children programme. But taking learnings from engagement in sustainability inside and to develop their leadership careers. remote working, we managed to revive outside of Colart, is unwavering. the scheme with several mentoring The network and mentoring offered by this relationships taking place online. Leadership programme have been delivered hand- This also created the potential for cross- in-hand with Colart’s flexibility and support. We believe sustainable business Our commitment is recognised as evidence border mentoring, which we are seeking performance starts with effective of the desire to build a positive environment to enhance in 2021 as part of our focus leadership. The starting point is knowing for new parents in leadership roles. on collaboration and connectivity. what good leadership looks like - as We continue to support Leaders We have also enhanced our described in The Colart Way - and having Plus during 2021, with our first male intranet mentoring platform clarity over who has leadership responsibility. leader attending the programme. to improve accessibility and This became evident in 2020 as understanding of the scheme. our leaders had to learn how to “My LeadersPlus journey helped me maintain focus alongside a sense of realise that I can be a good mother teamwork, with COVID-19 creating and ambitious leader at the same time factors beyond their control. with out feeling any guilt but instead be inspired to do more. I would like to Collaboration, communication and describe my experience as a working connectivity became the underlying mother at Colart in 3 words = Trust, Flexibility call to action for our leaders, and core and Empathy; these empowered me to to our global leadership development become a better leader, better colleague programme during 2020. and most importantly a better mother.” The programme is underpinned by Cris Cosgrave engendering self-awareness and reflection, R&D Manager (London) to enable our leaders to become mindful We value of self, team and Colart’s collective mission. everyone’s input CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 30
Our people… Day in the life of Splash Our 2020 ambitions for our Day in the Life Agile system development is part The enhancement of the review of Colart’s way of working. The process in Splash has also programme were severely limited by remote continued development of Splash enabled better analytics and working and social distancing, but we still - our global People System - is a follow-up strategy, especially managed to enable 50 people to take part. great example of this approach. for succession planning. Following the full cascade of During 2021, we will continue to The benefits of the the system to all levels in 2019, enhance the value of the system we took the next step in 2020 by leveraging existing functionality; programme include: “Good experience, very to enhance it by integrating for example, automating line • Ability to discover a new job. satisfied with this day. An automated performance and manager requests and enabling • Understanding the challenges interesting job that could development functionality. people to see their total rewards. and needs of colleagues. interest me.” This step not only removed the Splash also provides the platform • Knowledge sharing. need for a standalone system but for our commitment to align with Guillaume Bouet, France also provided the opportunity to the Colart Code of Conduct: • Creating social and enhance the focus on employee presented in all languages and professional bonds. development. All line managers accessible to every employee. • Improved internal communication. across Colart attended to help increase the value of the discussions. • A better vision of the organisation. • Collaboration and breaking down silos. Direct sourcing of new recruits continued in 2020 7933 to be an effective way of hours dedicated to introducing new people training across all sites. to the Colart Family. CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 31
Our people… inspire every Our vision is to inspire every artist in the world. Whilst our brand portfolio is the foundation of this vision, artist success will only come through our people - they are the ingredient that makes the difference. To actively embody the concept of ‘family’, we know we must live up to the promises we make to our Under 25% people. This means we must build a healthy working environment based on respect, dignity and collaboration. of our leadership Only then can we ensure Colart is a can be described as place where people want to work. ethnically diverse so The second global gender pay progress is necessary. analysis was conducted in 2020. It showed that average pay continued to be aligned with most companies, with our median pay being better than the norm. Whilst some progress could be seen 40% compared to 2019 - particularly in North America - encouraging more Women make up over women into leadership positions continues in 2021. We will support 40% of our leadership, flexible working and skill development an increase from 2019. to promote diversity and inclusion. CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 32
Our people… our wellbeing At Colart, we are committed to focusing on the whole person. 2020 was a year like no other, but offered us the opportunity to demonstrate this commitment. We put people first in all actions and - business units found creative ways decisions throughout the year; knowing to support people both inside and that without our health, whether outside the company. For example, mental or physical, we would not be empty office space in Northern Europe able to achieve our goals. Maintaining was offered to school teachers who connectivity and relationships was core lacked space at home to be able to this focus in response to feedback to teach their students online. received from our people through pulse surveys during the year. Maintaining connectivity in It was with great pride that we were our remote world was seen able to coordinate many wellbeing activities across the business despite of the as a top priority. challenges presented by the pandemic. Home schooling impacted many of our As in previous years, our global people during 2020. To recognise this Wellbeing Ambassadors were key to challenge we offered an eight-week these grassroots wellbeing initiatives timetable of art classes to different age making ‘welldoing’ a reality. groups. During this period, nearly 600 Whilst many wellbeing activities shifted places were taken with a dedicated online - including yoga and art classes audience of regular students. In Colart France, our people took the initiative to clean up the site creating a sense of teamwork and environmental value. CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 33
Our people… health & safety Incident report 2020 Health & safety is everyone’s responsibility. We decentralised this function in 2020, enabling each site to 0 Fatality. SEVERE take full ownership of health & safety in their location. 0 Injury or illness resulting in MAJOR permanent impairment. In 2021, we had a virtual health & Policy safety conference, sharing ideas 18 Injury requiring external and creating further alignment • Decentralised responsibilities MODERATE medical treatment. using the maturity matrix below. with global guidance. This will help Colart to plan • Local regulations as a minimum 99 Injury or illness resulting in activities and improvements to MINOR treatment. Temporary impairment. shared best practice. its culture and health & safety management systems. Process 86 Minor injuries or discomfort. No medical treatment or measurable • Greater openness encouraged; NEAR MISS physical effect. Zero lost time. People may initially lead to increases in reporting of near-miss and • Local responsibilities clearly minor incidents. We aim to communicated across sites. eliminate all but minor incidents. • Increased competency, • Local investigation and reporting, with investment in training with agreed corrective and for all employees with preventative actions; progress clear record keeping. can be monitored by local health & safety committees, overseen by local management. • Clear escalation process • Monthly and quarterly data capture and review Zero incidents at GLT & Board level. targeted for our sites. CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 34
Our people… Maturity Matrix People Process Communication Behaviour Training Ownership Governance Guidelines Tools Events Documentations Emerging Level 1 Emerging Level 1 • Clarification of H&S • Colart Way - • Skill identification - • Individual • Site Taskforces • Colour coded • KPI’s visible to all • Committee journey - Vision Safety Culture Training Matrix understanding • Ethics Point zoning Meetings Mission Scope • Awareness Videos (onboarding) • Risk Assessment • Incident Reporting Managing Level 2 Managing Level 2 • Increased signage • Toolbox talks • Skill identification - • Individual • Safety Walks • Policy Guidelines • Plan Do Check Act • Lindéngruppen • H&S Video • Adhering to Training Matrix - Everyone • Internal Audits Discipline (PDCA) Health and safety • Uniform Safety colour code Responsible • Shared learnings conference Message (activation) • Taskforce visits Conferences • Supplier Audits Involving Level 3 Involving Level 3 • Who we are what • H&S Quiz / facts • E-Learning roll out • Team - Safety • Shared learnings • Documentation • E-learning videos • Contractor Safety we do • Employee engage • Risk Assessments Captains wider audience digital database etc day • E-learning comms • Culture embedded • Awareness (involvement) • Safety Week • H&S Strategy / (videos etc) Newsletter Cooperating Level 4 Cooperating Level 4 • Safety Mascot • 6 Golden rules • Safety Checklist – • Collective - Risk • Benchmarking • Benchmarking • Human error • Recognition and competition • Safety Observation operator signed Assessments across LG across LG management celebrating success KPI • Refresher Training (empowering) Continually improving Level 5 Continually improving Level 5 • H&S Case Studies • External benchmark • Cross LG learning • Collective outside • LG Accident • LG policy sharing • Industry 4.0 • External award • LG Collaboration accreditation in assessment sharing events • Zero accident vision (building) CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 35
Partnerships Colart is excited to share an initiative we have supported that truly aligns to our vision & Charity of ‘Inspiring every artist’ - and to our values in supporting key projects in the community. The pandemic has been challenging development of skills and knowledge Collaboration for many children and young people of different media, techniques, artworks in West London; particularly those in and makers; as well as of Frederic - vulnerable situations. To help inspire Lord Leighton - and Leighton House. creativity and learning away from This fantastic opportunity came when computer screens, Leighton House a Lindéngruppen board member - the former home and studio of introduced our CEO Dennis van Schie to Victorian British artist Frederic Leighton Sir David Verey CBE, Chair of the Friends - has collaborated with Winsor & of Leighton House Museum. We then set Newton, West London Zone and up a task force across UK commercial, RBKC Looked After Children’s Services marketing, distribution and warehousing; to create Time for Art gift boxes. TFAC; and Winsor & Newton global Each keepsake art box contains a comms to deliver this project. unique array of guided, practical arts and crafts projects linked to Leighton House, with all the materials needed to follow each activity, from brushes to paper, to paints and inks, and pencils and pens. Artists Ayesha Gamiet and Laurelie Rae have designed original art projects for Time for Art. Each box is a present, decorated with a gold ribbon, intended to bring happiness and relaxation, encourage creativity and self-expression, and support the CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 36
Planet Serious commitment CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 37
Footprint CO 2 Freight Significant reduction in Scope 3 Vs 2019 48% due to consolidated shipments, meaning fewer shipments - to be reduction overall continued going forward. 2000 tCO2e reduction in logistics (Le Mans) We measured a large reduction in in emissions due to minimum air freight. Scope 3 emissions in 2020 compared to 2019, and across the group is 55% of our overall emissions which will draw on best practice from the past includes waste, water and freight. 12 months to reduce volumes further. Our plan to increase purchasing of Energy renewables at all sites is currently on track. Significant reduction of energy use in Air freight for transporting our products Le Mans the US. We continue to increase our purchased renewables across the should be seen as a last resort. Continuous reduced by site, predicting a significant decrease improvement across our key sites will ensure 43% in 2021 for Scope 2 emissions. we are efficient and creating less waste. Waste Most of our waste is incinerated due to the nature of the chemicals used. This is a key area of focus with plans to reduce the quantity Tianjin of hazardous waste created. reduced by 46% Scope 1 covers direct emissions from owned or controlled sources. Scope 2 covers indirect emissions from the generation of purchased electricity, steam, heating and cooling consumed by the reporting company. Scope 3 includes all other indirect emissions that occur in a company’s value chain. CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 38
SVHC & A European Green Deal, a set of policy initiatives, has been published by the European Commission with the overarching aim of making REGULATORY Europe climate neutral in 2050. 67% Two areas of development will have a significant impact on the reduction consumer chemicals industry: in the number of • Mobilising industry for a clean raw materials and circular economy. containing SVHCs • A zero pollution ambition for a toxic-free environment. Whilst there is not an exact definition of toxic-free environment, we anticipate legislative change will continue to influence how we communicate 83% hazards to the consumer, and drive innovation to reduce our reduction hazardous chemical footprint. in the number of pastes Our regulatory KPI towards Colart’s containing SVHCs sustainability goal is to remove all SVHCs (Substances of Very High Concern) from our formulations. We have made significant progress on this journey. It is mandatory to notify on the SDS of their presence above 0.1% and comply 57% with any sunset date. Colart is going further than this to proactively eliminate reduction SVHCs from our formulations, and in the number of products exclude them in any new products. containing SVHCs CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 39
Social Colart continues to offer every employee up to one day per year to engage in community Impact activities. 2020 was difficult in many ways, with COVID-19 lockdowns in many locations where we have sites, so it was somewhat harder to continue this initiative. Our team in China, both in Tianjin and These included weekly shopping for Shanghai, found creative ways to people isolating due to COVID-19; use their hours, partnering with other village hall treasurer duties; Rainbows organisations to raise money for children leadership training; admin duties for from disadvantaged backgrounds. parent-teacher associations; fundraising Three members of the team - Shi for RNLI; and Breast Cancer Research. Jing, Wang Lu and Lucy Zhang - Overall, 2,833 hours contributed to spent time donating discontinued every million hours worked - a great products to Xingtong Development achievement in a difficult year. Centre for Autistic Children. In the UK, our Minehead team got involved: Gaynor Smith, Lucy Franklin, Julian Hooper, Mandy Rich, Christine Watts and Paul Ruston completed various activities throughout the year. 2833 hours contributed to every million hours worked. CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 40
Materiality Carbon Our last assessment was in 2018. Although much footprint has changed since then, our focus remains the is a key priority for same - but with increased priority in some areas: our customers. Packaging Quality Has increased in importance This is a key priority for our end not only for us but for key users. It is synonymous with our customers, including Amazon own values and plays a vital role and WHSmith. Remove, reduce, in the success of our business. reuse and recycle form part of our Innovation sustainable packaging guidelines. Legislation will also impact the Our mission is to become ‘the Quality way we package our products. most sustainable consumer-driven remains a priority for house of creative brands’. our customers. Wellbeing 2020 has shown us the importance Digital of employee wellbeing and 2020 underlined how important why it is a key focus for us. digital is. This has been recognised within our operations with the Carbon footprint launch of our business-to-business Reduction of our footprint is platform, and the ongoing imperative to the survival of process of having a single ERP our planet, and a key priority system across all business units. for our customers. In 2020, we One system measured a significant reduction Regulatory due in part to enforced changes A single ERP system across Legislation continues to change caused by the pandemic; we all business units. and we must adapt quickly must aim to maintain this trend. to ensure our products are compliant in all markets. CONTENTS OVERVIEW BUSINESS PEOPLE PLANET PLANS & TARGETS 41
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