Climate Change Data

Environmental Metrics

ESG Focus Areas

• Social Responsibility
• Environmental Sustainability
• Economic Sustainability

Environmental Achievements

• Waste management (separation of organic and inorganic waste)
• Energy saving program by replacing regular lamps with LED lamps
• Organized effective delivery (1 trip to multiple customers)
• Delivery from warehouse to customer (directly)
• Used larger container trucks for shipping (as needed)

Social Achievements

• Provided opportunities for local communities around the factory to work
• Implemented CSR programs throughout 2021 (Eid al-Adha, Islamic New Year, Indonesian Independence Day, Mawlid of Prophet Muhammad SAW, Christmas)
• Prioritized local workers for development projects
• Transparent, fair, and equal recruitment process, regardless of background
• Provided compensation above the provincial Regional Minimum Wage (UMR)

Governance Achievements

• Established an Audit Committee
• Established a Nomination and Remuneration Committee
• Implemented a Whistle Blowing System
• Consistently committed to implementing Good Corporate Governance (GCG) principles
• Published first Sustainability Report

Climate Goals & Targets

Environmental Challenges

• Decreased purchasing power and/or interest in furniture
• Raw material supply availability
• Operational activities
• Human resources
• Business competition
• Technological change
• Economic conditions in Indonesia
• High loan interest rates
• Lawsuits
• Foreign exchange rates
• Government policies

Mitigation Strategies

• Increased efficiency in production to lower prices
• Developed modern furniture designs
• Multiple suppliers to ensure raw material availability
• Used legal wood
• Issued and monitored SOPs for production safety and maintenance
• Followed labor regulations and provided employee training
• Strict selection of new employees
• Continuous innovation to improve efficiency and effectiveness
• Adapting to trends without sacrificing quality
• Followed technological changes and adopted new technologies
• Applied prices according to quality
• Adjusted funding sources based on interest rates and terms
• Followed Indonesian regulations to ensure smooth operations and marketing
• Maintained competitive product prices and premium quality
• Followed government policies and reviewed business processes

Supply Chain Management

Responsible Procurement

• Committed to using legal wood
• Multiple suppliers to ensure availability

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI, POJK No. 51/POJK.03/2017

Environmental Metrics

ESG Focus Areas

• Economic
• Environmental
• Social

Environmental Achievements

• Obtained SVLK (Timber Verification and Legality Certificate) on October 17, 2022, valid until October 16, 2028.
• Reduced electricity consumption and fuel oil usage through energy-efficient technologies and regular maintenance.

Social Achievements

• Disbursed Rp48,881,620 for community activities.
• Provided equal employment opportunities.
• Complied with minimum wage regulations.
• Implemented health and safety programs.

Governance Achievements

• Implemented Good Corporate Governance (GCG) principles.
• Established an Audit Committee and a Nomination and Remuneration Committee.
• Conducted regular internal audits.

Climate Goals & Targets

Environmental Challenges

• Rising raw material costs.
• Intense competition.
• Evolving consumer preferences (sustainability).
• Supply chain disruptions.
• Labor shortages.
• Fluctuating commodity prices, inflation, exchange rates, and energy costs.

Mitigation Strategies

• Investing in R&D for innovative products.
• Expanding distribution channels.
• Building strong supplier relationships.
• Adopting sustainable practices.
• Improving efficiency and productivity.
• Implementing risk management strategies.
• Diversifying supply sources.
• Developing attractive sales packages.
• Exploring new markets (e-commerce, international).

Supply Chain Management

Responsible Procurement

• Using legal wood

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: POJK-51/2017

Certifications: SVLK