Flokk AS
Climate Impact & Sustainability Data (2021)
Reporting Period: 2021
Environmental Metrics
Total Carbon Emissions:4906 tCO2e/year
Scope 1 Emissions:1614 tCO2e/year
Scope 2 Emissions:2549 tCO2e/year
Scope 3 Emissions:1204 tCO2e/year
Renewable Energy Share:46%
Total Energy Consumption:20002 MWh/year
Waste Generated:1356 tons/year
Carbon Intensity:3.6 kgCO2e/unit in 2021
ESG Focus Areas
- Climate
- Resources
- Health
- Social Responsibility
- Governance
Environmental Achievements
- Reduced carbon emissions per unit by 16% since 2015
- 86% renewable electricity
- Launched HÅG Capisco Puls recycled Snow plough markers edition, winning two awards
Social Achievements
- 82% response rate in biannual working climate survey
- Developed a Policy for Diversity, Equity and Inclusion
- Increased percentage of women employees from 33.7% to 40.2%
Governance Achievements
- Established ESG Forum for strategic sync/status meetings
- Implemented a specific Remote Work Policy
- Completed mandatory code of conduct training for all white-collar workers
Climate Goals & Targets
Long-term Goals:
- Net zero emissions
Medium-term Goals:
- Reduce CO2e emissions per unit by 55% by 2030 (vs 2015)
- Reduce energy consumption per unit by 40% by 2030 (vs 2015)
- 75% renewable energy by 2030
- Increase share of recycled materials in products to an average of 60% by 2030
- Products in core markets will be distributed with clear obligations on end-of-first-use handling: 75% of HÅG, RH, Giroflex by 2030 (30% by 2025) and 50% of Flokk integrated brands by 2030
Short-term Goals:
- 100% renewable electricity by 2025
- 0% fossil fuels for heating by 2025
- 100% recycled & recyclable plastic packaging by 2025
- 1500 tonnes of recycled plastics used in products by 2025
Environmental Challenges
- Supply chain disruptions due to Covid-19 and raw material availability
- Vulnerability of remote suppliers and long supply chains
- Increased GHG emissions due to the addition of new production sites
Mitigation Strategies
- Focus on minimizing exposure to Asian suppliers with reshoring projects
- Consolidation of suppliers with focus on high-performing ones
- Implemented digital platforms for supplier follow-ups
- Implemented a sustainability data management tool (Greenstone+)
Supply Chain Management
Supplier Audits: 18 Asian suppliers re-assessed in 2021; new supplier appraisal format introduced in December 2021
Responsible Procurement
- Code of Conduct for Business Partners
- Flokk Environmental Requirements
- Supplier Performance monitoring
- Supplier audits
- 3-year agreements with main suppliers
- 82% of annual purchased value under contract with a signed code of conduct
Climate-Related Risks & Opportunities
Transition Risks
- Global warming from GHG emissions
- Inefficient energy consumption
- Energy & heating emissions
- Transportation & travel emissions
- Dirty energy mixes
- Overconsumption
- Material scarcity
- Waste generation
- Barriers for full implementation Circular Economy
Opportunities
- Capitalize from long-standing effort on leading low-carbon furniture
- Tap into strong circular design capabilities through new products
- Tap into strong innovative capability to develop new business models & service concepts
- Advice customers on setting environmental purchasing criteria
- Continue migration of post-consumer recycled material in existing products
- Counter labour arbitrage by high industrialization rates & owned IP
- New market segments - Home office
- New product segments - Home office
- Less travel and lower emissions
- Higher efficiency with digital meetings
Reporting Standards
Frameworks Used: GRI Standards 2016
Certifications: ISO 14001:2015, ISO 50001:2018, ISO 45001:2018, ISO 9001
UN Sustainable Development Goals
- Goal 3
- Goal 7
- Goal 8
- Goal 12
- Goal 13
- Goal 14
- Goal 15
- Goal 16
- Goal 17
Flokk's strategic goals and targets on environment towards 2030 are defined to ensure we contribute to the achievement of the global targets as set e.g. by the EU European Green Deal, UN Sustainable Development Group and the UN Convention on Climate Change.
Sustainable Products & Innovation
- HÅG Capisco Puls recycled Snow plough markers edition
- HÅG Tion with colored recycled polypropylene
Awards & Recognition
- Winner of ‘Household & Leisure Product of the Year’ at the Plastics Recycling Awards Europe 2021
- Mixology Awards – Product of the Year 2021