Climate Change Data

Environmental Metrics

ESG Focus Areas

• Economic Performance
• Social Performance
• Environmental Performance
• Good Corporate Governance

Environmental Achievements

• Implemented green office policy (replacing fluorescent lamps with LED lamps, turning off lights when rooms are not in use, turning off computers and other electronics before leaving)
• Paper saving policy for all employees

Social Achievements

• Launched annual scholarship program “Sharing the Dream 2021” for outstanding students in operational areas
• Regular management training for employees (internal and external)
• Provided clear career paths for employees
• 50% WFH policy to support government efforts in reducing COVID-19 transmission
• Distribution of masks and vitamins, and antigen tests for employees

Governance Achievements

• Consistently implemented GCG principles
• Revised Company’s Code of Conduct
• Strengthened whistleblowing system
• Implemented “9 Lives Saving Rules” program

Climate Goals & Targets

Environmental Challenges

• Reduced consumer spending on non-essential commodities due to COVID-19
• Temporary closure of retail stores due to mobility restrictions
• Supply chain disruptions (container shortages, delays in imported goods)
• Fluctuating exchange rates increasing import costs

Mitigation Strategies

• Coordination with forwarders to ensure distribution
• Coordination with banks regarding exchange rates
• Internal coordination to minimize challenges
• Development of online marketplace and e-retail business
• Expansion of building material supermarkets

Supply Chain Management

Responsible Procurement

• Code of Ethics (Business Ethics section)

Climate-Related Risks & Opportunities

Reporting Standards

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

UN Sustainable Development Goals

• Goal 5: Gender equality
• Goal 8: Decent work and economic growth
• Goal 4: Quality education

Initiatives contribute to these goals through job creation, employee well-being programs, career development, and the scholarship program.

Environmental Metrics

ESG Focus Areas

• Corporate Governance
• Social Performance
• Environmental Performance

Environmental Achievements

• Reducing Fuel Consumption to Cut Greenhouse Gas Emissions

Social Achievements

• Expanding 'Belanja Keramik' retail stores throughout Indonesia
• Actively increasing online transactions through Mitraruma website
• Adding product varieties (Granite Tile, Sanitary Ware, faucets, Vinyl)
• Conducting attractive promotional programs to attract consumers and increase sales

Governance Achievements

• Implementing the “9 Life Saving Rules” program
• Promoting anti-corruption campaigns and implementation of code of conduct
• Developing anti-fraud, anti-corruption, and anti-bribery campaigns, as well as diversity and inclusiveness policies

Climate Goals & Targets

Environmental Challenges

• Rising prices of goods and services caused by inflation
• Business volatility due to global events (Russia's invasion of Ukraine, COVID-19, China's Zero-COVID policy)
• Increase in fuel prices
• Depreciation of Rupiah against US dollar

Mitigation Strategies

• Expanding distribution network to new areas and opening new retail stores
• Organizing more effective operational truck routes for goods delivery

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Sustainability
• Good Corporate Governance (GCG)
• Social and Environmental Responsibility (TJSL)
• Digital Transformation
• Employee Well-being
• Safety

Environmental Achievements

• Consistently implemented energy and water saving measures in offices, warehouses, and Belanja Keramik stores.
• Banned single-use plastic packaging in the office and encouraged the use of reusable water tumblers.
• Implemented a ban on plastic bags in Belanja Keramik stores.
• Achieved zero accidents across all operations.

Social Achievements

• Implemented the "9 Lifes Saving Rules" program for workplace safety.
• Continued the "Sharing the Dream" scholarship program for 417 high school students and 10 university students.
• Opened the first Mitraruma showroom in Indonesia, integrating online and offline services.

Governance Achievements

• Implemented the Indonesian General Guidelines for Corporate Governance (PUGKI) 2021.
• Consistently applied the code of ethics and established guidelines for the Board of Commissioners, Directors, and committees.
• Implemented information technology governance to manage digital risks and protect customer data.
• Routinely evaluated the effectiveness of the Board of Directors and Board of Commissioners.

Climate Goals & Targets

Environmental Challenges

• High logistics costs and slow processing times in Indonesian ports due to infrastructure limitations and the archipelagic nature of Indonesia.
• Compliance with the government's Zero ODOL (Over Dimension & Over Loading) policy.
• Decline in middle-class jobs impacting the availability of skilled human resources.
• Compliance with the new Personal Data Protection Law (UU PDP).

Mitigation Strategies

• Implemented a careful distribution strategy complying with Zero ODOL regulations.
• Enhanced cooperation with logistics and transportation partners.
• Focused on improving employee training and development programs.
• Implemented data security measures, strict data usage policies, and employee training on data privacy.

Supply Chain Management

Climate-Related Risks & Opportunities

UN Sustainable Development Goals

• Goal 4 (Quality Education)
• Goal 9 (Industry, Innovation, and Infrastructure)
• Goal 11 (Sustainable Cities and Communities)

The "Sharing the Dream" scholarship program contributes to Goal 4. The focus on digital transformation and infrastructure development contributes to Goal 9. The expansion of Belanja Keramik and Mitraruma contributes to Goal 11.

Sustainable Products & Innovation

• Use of environmentally friendly E1 grade MDF boards in Mitraruma kitchen sets.