Hermes Europe GmbH
Climate Impact & Sustainability Data (2011-03 to 2013-02)
Reporting Period: 2011-03 to 2013-02
Environmental Metrics
Total Carbon Emissions:331,900 tCO2e (2012)
Renewable Energy Share:4.5% (2012)
Total Energy Consumption:121,538 MWh (2012)
Water Consumption:62,824 m3 (2012)
Waste Generated:15,646 tons (2012)
ESG Focus Areas
- Climate change
- Resource scarcity
- Fair working conditions
- E-commerce growth
- Stakeholder engagement
Environmental Achievements
- Reduced transport-related CO2 emissions by 42% per parcel since 1994
- Reduced CO2 emissions in overall distribution logistics by 11.1% since 2006
- Reduced CO2 emissions at logistics sites by 36.6% since 2006
- 18 new depots built to silver standard of German Sustainable Building Council (DGNB)
- Reduced total energy consumption by 4% year-on-year in 2012
Social Achievements
- Certified as Top Employer for five consecutive years (2013)
- Low staff turnover rate of 6.2% in 2012 (German reporting companies)
- 3,260 training days for employees in 2012
- Developed a unique sector certification system for assessing social and safety standards of contractual partners
- Donated approximately €650,000 to community projects in 2011 and 2012
Governance Achievements
- Anchored environmental protection in corporate aims since 1986
- Established a group-wide sustainability management team
- Implemented a Code of Conduct for employees and contractual partners
- Regular anti-corruption training for employees
- Independent ombudsman available for anonymous reporting of abuse
Climate Goals & Targets
Medium-term Goals:
- Reduce carbon emissions by 50% at logistics sites and 30% in distribution logistics by 2020
Environmental Challenges
- Growing stakeholder expectations regarding sustainability
- Increasing energy costs
- Tightening legislation in the logistics industry
- Need for information transparency
- Balancing economic requirements with ecological and social issues
- Demographic change and skilled worker shortage
- Public criticism of working conditions of contractual partners
Mitigation Strategies
- Group-wide sustainability management system
- CO2 master plan with targets to reduce emissions by 50% at logistics sites and 30% in distribution logistics by 2020
- Modernization of vehicle fleet with alternative power supplies
- Intelligent route planning and optimization of transport capacity
- Investment in sustainable building practices (DGNB silver standard)
- Employee training and development programs
- Unique sector certification system for contractual partners
- Code of Conduct for contractual partners
- Independent ombudsman and whistle-blower system
Supply Chain Management
Supplier Audits: Random tests on general contractors since spring 2012 (health & safety, remuneration, quality, environmental protection)
Responsible Procurement
- Otto Group’s Code of Conduct
- Sustainability aspects as major criteria in partner selection
- Code of Conduct obliging parcel distribution contractors to provide fair working conditions
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: GRI G3
Certifications: ISO 14001
Awards & Recognition
- Hanse Globe for WE DO! programme
- VDI innovation prize for Hermes Fulfilment