Climate Change Data

Powersports Distribution Group (PDG)

Climate Impact & Sustainability Data (2022)

Reporting Period: 2022

Environmental Metrics

ESG Focus Areas

  • Reduction of energy use
  • Employee well-being
  • Reduction of transport emissions
  • Sustainable performance in the supply chain

Environmental Achievements

  • Implemented initiatives to reduce gas and electricity consumption (smart sensors and LED lighting), generated on-site renewable energy (solar panels), procured GOs, and offset remaining footprint.
  • Afam Group transitioned packaging from recycled plastic and cardboard to 100% recycled cardboard, reducing packaging and transport costs by 25-30% over eight years.
  • CMS upgraded office lighting to LED.
  • MCU improved building energy label from G to A through various energy efficiency upgrades (roof insulation, HR++ Glass, LED lighting, solar panels).

Social Achievements

  • Launched a baseline study in 2022 to measure employee satisfaction (eNPS) and will set targets to improve the score.
  • Implemented performance management reviews to improve internal talent development and employee well-being.
  • Afam Group installed flexible working spaces (quiet rooms, meeting rooms, standing desks) and implemented annual employee assessments.
  • Hoco Parts prioritizes employee well-being with family-friendly environment and family fairs.
  • MSC implemented full employee surveys annually.

Governance Achievements

  • Annual supplier reviews implemented using BSCI standard.
  • Commitment to maintaining high standards of transparency and accountability.

Climate Goals & Targets

Short-term Goals:
  • Scope 1 & 2 emissions in line with Paris Agreement reduction targets.

Environmental Challenges

  • Supply chain disruptions due to COVID-19 pandemic and China's zero-Covid policy.
  • Slower pace of motorcycle-specific electrification regulation compared to overall vehicle electrification.
Mitigation Strategies
  • Increased inventory levels, diversified supplier base, invested in digital technologies, and collaborated with partners and suppliers to optimize supply chains and create contingency plans.
  • Building strong relationships with suppliers, evaluating risks, and expanding the horizon for new suppliers in different geographical locations.

Supply Chain Management

Supplier Audits: 2 supplier reviews conducted by Hoco Parts in 2022

Responsible Procurement
  • Sustainability supplier reviews implemented using BSCI standard.

Climate-Related Risks & Opportunities