Zalando SE
Climate Impact & Sustainability Data (2018)
Reporting Period: 2018
Environmental Metrics
Waste Generated:400,000 tonnes of textile leftovers annually in Bangladesh (estimated)
ESG Focus Areas
- Transparency
- Sustainability
- Supply Chain
- Worker Rights
- Environmental Impact
Environmental Achievements
- Initiatives to reduce textile waste by re-inserting leftovers into production (Reverse Resources)
- Increased use of recycled materials in upcycled garments (75% water savings, 88% energy savings)
Social Achievements
- Increased transparency in supply chains leading to improved worker conditions (LaborVoices)
- Initiatives to ensure living wages and better working conditions for factory workers
Governance Achievements
- Increased number of brands publishing details of their tier one suppliers (from 13% to 37% in 2018)
- Collaboration with organizations like the Sustainability Apparel Coalition (SAC) to improve sustainability performance
Climate Goals & Targets
Environmental Challenges
- Lack of transparency in supply chains, including unauthorized subcontracting and poor working conditions
- Difficulty in tracing products throughout the supply chain due to fragmentation and complexity
- High volume of textile waste
- Resistance from some brands to adopt transparent practices
- Cost of implementing traceability solutions
Mitigation Strategies
- Development and implementation of digital traceability platforms (Bext360, Provenance, Transparency One)
- Use of blockchain technology to track products and payments
- Supply chain mapping (Sustainabill)
- Microbial tracing technology (Phylagen)
- Worker feedback platforms (LaborVoices)
- Collaboration with NGOs and governments to improve regulations and enforcement
Supply Chain Management
Responsible Procurement
- Initiatives to trace and track materials throughout the supply chain
- Collaboration with suppliers to improve working conditions and reduce waste