DP Poland PLC
Climate Impact & Sustainability Data (2023)
Reporting Period: 2023
Environmental Metrics
ESG Focus Areas
- Climate Change
Environmental Achievements
- Introduced energy-efficient projects such as new oven hoods, newer generation pizza ovens, heat exchangers, and exploring renewable energy for commissary and stores; using recyclable packaging; reducing food waste through cooperation with external companies and selling goods closer to expiry dates.
- Approximately 17% of scooters used for delivery were electric scooters in 2023.
Social Achievements
- Overhauled training programs and introduced new incentive schemes for store managers.
- Increased employee salaries in 2023 considering market situation, minimum wage increases, and individual employee competencies.
Governance Achievements
- Strengthened the Board with appointments focused on Domino's experience.
- Implemented a strong training and compliance regime for Polish and Croatian markets.
Climate Goals & Targets
Long-term Goals:
- Net zero emissions by 2050
Medium-term Goals:
- Implement tracking and reviewing of electricity and water consumption; develop energy-efficient projects; achieve net-zero emissions by 2050.
Environmental Challenges
- Inflationary pressures on energy, food costs, and labor due to the Ukraine War.
- Maintaining and expanding a suitable store portfolio.
- Competition and changes in consumer tastes.
- Regulatory and compliance risks.
- Economic risks in Poland and Croatia.
- Good relationships with sub-franchisees.
- IT systems and infrastructure failures.
Mitigation Strategies
- Constantly reviewing cost structure to eliminate non-value-adding processes.
- Site acquisition strategy utilizing multiple sources and identifying potential sites well in advance.
- Reflecting consumer tastes in product offerings and offering great value, quality, and service.
- Analyzing changes in consumer behavior to adapt delivery, takeaway, and dine-in channels.
- Implementing a strong training and compliance regime and closely monitoring changes in legislation.
- Operating exclusively in Poland and Croatia, whose economies have been resilient.
- Working closely with sub-franchisees and providing support; loans with appropriate guarantees.
- Regularly monitoring, controlling, and maintaining IT infrastructure; contingency plans for failures.
Supply Chain Management
Responsible Procurement
- Seeking to ensure suppliers operate with respect to human rights and the environment.
Climate-Related Risks & Opportunities
Physical Risks
- Increased severity of extreme weather events or natural disasters
- Longer-term climate shifts such as rising mean temperatures and changes in precipitation patterns
Transition Risks
- Technology risk
- Policy and legal risk
- Market risk
- Reputation risk
Opportunities
- Development of energy-efficient products and services
Reporting Standards
Frameworks Used: TCFD