Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Reduced total electrical energy consumed by 3% in 2021 through energy efficiency investments.
• Prevented the emission of 268 tons of CO2 by evaluating 79 tons of products in cooperation with Surplus Food.

Social Achievements

• Increased the number of SEÇ Market business partners from 1,209 to 1,726.
• Increased the number of customers by 6.2% to over 2.3 million.
• Achieved a customer satisfaction score of 3.88 (target was 3.85).

Governance Achievements

• Full compliance with Capital Markets Board (CMB) Corporate Governance Principles and all legal regulations.
• Four notifications submitted to the Ethics Committee were all resolved, with no reports of bribery and corruption.

Climate Goals & Targets

Environmental Challenges

• Pandemic conditions in the first half of 2021 affecting both the industry and stakeholders.
• Increasing waste and waste management challenges.

Mitigation Strategies

• Prioritized uninterrupted service and health protection for employees and customers.
• Implemented energy efficiency investments and waste reduction strategies.
• Continued training of suppliers and employees on occupational health and safety.

Supply Chain Management

Supplier Audits: 99% of private label product suppliers audited in 2021

Responsible Procurement

• Prioritizing local suppliers to support domestic production.
• Conducting periodic inspections and controls of supplier production facilities.
• Requiring food suppliers to comply with quality and food safety standards (ISO 9001, ISO 22000, BRC, IFS, FSSC 22000).

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards (Core option)

Certifications: ISO 14001:2015, TSE COVID-19 safe service certificate

UN Sustainable Development Goals

• SDG 8: Decent Work and Economic Growth
• SDG 12: Responsible Production and Consumption

Environmental Metrics

ESG Focus Areas

• Working for the Future of the Environment
• Growing Stronger with Stakeholders
• Inspiring the Future with Purpose Driven Products and Business Models

Environmental Achievements

• Installed a 264 kWp solar power plant on the roof of their Gebze store, covering 83% of the store's electricity consumption.
• Began testing electric BizON vehicles for short-distance deliveries, covering 1,939 km and preventing over 6,700 kg of carbon emissions.
• Installed electric vehicle charging stations at 12 stores.
• Achieved Zero Waste Certificate in 138 stores.

Social Achievements

• Increased the ratio of women employees from 14% to 17% (32% in white-collar and 15.4% in blue-collar positions).
• 65% of new hires were employees under the age of 30.
• Achieved ISO 22301 Business Continuity Management System certification in 2022 (first in the retail sector).

Governance Achievements

• Expanded risk categorization to evaluate traditional business risks, financial, and non-financial risks with an integrated approach.
• Provided 153.25 hours of Code of Ethics training to 613 employees.
• Resolved all 13 notifications made to their ethics hotline.

Climate Goals & Targets

Environmental Challenges

• Raw material and supply problems
• Talent gap
• Water shortage
• Waste and plastic pollution
• Climate risks
• Changing consumer behavior
• Human rights
• Information security
• Restrictive regulatory decisions

Mitigation Strategies

• Establishing effective communication with suppliers, diversifying supplier networks, building safety stocks.
• Organizing training programs, establishing mentoring programs, developing new talent hunting strategies.
• Accurately measuring water consumption, creating strategies for water reuse and recycling, educating employees and suppliers.
• Improving waste management systems, creating recycling models, reducing single-use plastic packaging, communicating efforts to customers.
• Investing in renewable energy, energy efficiency, infrastructure investments, raising employee awareness.
• Conducting market research, interacting with consumers, updating business models and products, following digitalization trends.
• Developing ethics hotline, creating human rights policy, organizing trainings, carrying out regular audits.
• Investing in secure digital infrastructure, creating internal and external information security policies, organizing trainings, preparing data backup plans.
• Closely following regulatory developments, receiving legal consultancy, creating business continuity plans.

Supply Chain Management

Supplier Audits: 122/year (75 for own-branded products)

Responsible Procurement

• Compliance with quality and food safety standards (ISO 9001, ISO 22000, BRC, IFS, FSSC 22000)
• Prioritizing local suppliers (100% in 2023)

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events
• Water shortages

Transition Risks

• Regulatory changes
• Fluctuations in energy prices

Opportunities

• Investing in renewable energy sources and energy efficiency
• Offering sustainable and environmentally friendly products

Reporting Standards

Frameworks Used: GRI Standards 2021, SASB Sector Standards - Food Retailers and Distributors

Certifications: ISO 14001:2015, ISO 45001, ISO 22301

Third-party Assurance: PwC Bağımsız Denetim ve Serbest Muhasebeci Mali Müşavirlik A.Ş.

Sustainable Products & Innovation

• Private label products

Awards & Recognition

• Diamond award at the A.C.E Awards
• Three awards at the international Vision Awards