The purpose of our environmental efforts is to ensure that PUMA and its suppliers are in full environmental compliance and any negative impact on the environment is reduced.
We frequently conduct efficiency audits at our own entities. Compulsory in the European Union, these audits help us identify energy saving opportunities at our offices, stores, and warehouses and roll them out on a global basis.
As far as our suppliers are concerned, our PUMA compliance audits (detailed in the Human Rights section) contain a dedicated section on environmental and chemical compliance. For example, during each audit we inspect environmental permits, waste management, and effluent treatment plants.
In addition, we continued to ask all our core suppliers to complete the Environmental Facilities Module developed by the Sustainable Apparel Coalition. In 2020, a total of 127 assessments – a 19% increase compared to 2019 – were subjected to external verification, which equates to an on-site environmental audit. This figure is complemented by audits our suppliers frequently undergo to obtain environmental certifications such as those issued by bluesign®, OEKO-TEX® GOTS, GRS, or the Leather Working Group.
|
Assessment Type |
2020 |
2019 |
2018 |
|
HIGG FEM 3.0 |
127 |
107 |
43 |
|
bluesign® |
23 |
24 |
26 |
|
Leather Working Group |
12 |
13 |
15 |
Going forward, we will continue to encourage our suppliers to carry out environmental assessments that follow industry standards. In 2020, we also developed a scoring system for the HIGG Facility Environmental Module of the Sustainable Apparel Coalition. We will report our core suppliers’ aggregate scores starting in 2021.
Further data on the environmental performance of PUMA and our suppliers can be found in the Climate and the EP&L sections.
Target description:
Existing science-based CO2 emission target:
New 1OFOR25 targets
Relates to United Nations Sustainable Development Goals 7 and 13
Examples of the 10FOR25 action plan:
KPIs
During the UN Climate Conference in Paris in 2015, PUMA agreed to set a science-based CO2 emissions target. In 2018, PUMA co-founded the Fashion Industry Charter for Climate Action, an industry-wide coalition which aims at aligning the fashion industry’s emissions with the targets included in the Paris Agreement. One year later, PUMA agreed and published its science-based emission target (SBT) with the SBT Coalition and joined the Fashion Pact, which also includes a climate action commitment.
In 2020, we continued our transition to renewable energy for the offices, stores, and warehouses under our control. Through renewable energy tariffs and the purchase of renewable energy attribute certificates (RECs) where no such tariffs were available, we increased the coverage of renewable electricity within our own Scope 2 emissions to 100%. To further reduce our Scope 1 emissions, which can be attributed largely to the vehicles in our fleet, in 2020 we introduced the first six hydrogen cars and expanded the number of electric cars from two to nine. For the future, we plan to increase the number of cars with alternative engines by 10% each year.
We combined our SBT agreement with an increased effort to support the use of renewable electricity by purchasing RECs for countries where PUMA has a major presence and renewable electricity cannot be purchased directly. We purchased RECs worth 50% of PUMA’s emissions from electricity for 2018 retroactively and increased that figure to 74% in 2019 and to 100% in 2020.
In this way, we managed to lower our combined Scope 1 and 2 emissions by 71% compared to 2019 and by 89% compared to 2017. Taking these RECs into account, we already have hit our science-based emissions target of 35% for Scope 1 and 2 emissions. We also achieved the absolute 45% reduction required to align our target with a 1.5 degree scenario.
Over the coming years, we will aim at replacing the RECs certificates with renewable energy tariffs and/or power purchase agreements where possible and as mentioned above, expanding the percentage of cars equipped with alternative engines by 10% each year.
For our Scope 3 emissions, we decided to focus entirely on purchased goods and services since this also is the category in which many of our indirect emissions are created. In addition, we set a target to reduce emissions from the transport of goods by 20% relative to the volume transported.
To reduce the emissions from the production of our PUMA goods, we worked with our suppliers on several programs ranging from energy efficiency to installing on-site solar photovoltaic power plants to generate renewable energy. The details are shown in the table below:
|
Country |
Vietnam |
China/Taiwan |
Bangladesh |
Cambodia |
Indonesia |
Total |
|
Efficiency Program |
Clean by Design (CbD) |
Clean by Design (CbD) |
Partnership for Cleaner Textiles (PaCT) |
|
|
|
|
Renewable Energy Program |
GIZ Solar PV |
|
Partnership for Cleaner
Textiles (PaCT) |
GIZ Solar PV |
GIZ Solar PV |
|
|
Number of factories covered (energy efficiency/renewable energy projects) |
20 |
10 |
10 |
1 |
|
41 |
|
Percentage of core factories covered (energy efficiency/ renewable energy projects) |
50% |
24% |
80% |
13% |
|
34% |
|
Percentage of core factories with coal fired boilers |
13% |
8% |
0% |
13% |
|
8% |
In 2021, we will continue working with all our core suppliers to agree on individual reduction plans. We also plan to launch a program to replace the coal fired boilers used by our core supplier base, ideally under the umbrella of the Fashion Industry Charter for Climate Action.
When the sun rises over the outskirts of Ho Chi Minh City in Vietnam, the large flat roof of the Leading Star factory starts to generate electricity and reduce carbon emissions in PUMA’s supply chain.
The factory, which makes knits and woven apparel for PUMA, installed solar panels on its roof last year in cooperation with PUMA and German development agency GIZ PDP. After the first phase of the project was completed in December 2020, Leading Star was able to reduce its carbon emissions from electricity by 25%. Per year, this installation alone will save 1,331 tonnes of CO2. There are plans to expand the solar installation so that half of the electricity used by the factory will come from solar panels.
In China, Ningbo Shenzhou implemented the Clean by Design Program. Thanks to better resource data management, increased staff awareness, steam valve and pipeline insulation, and an equipment upgrade, it has seen annual energy savings of up to 7.7% and water savings of up to 13.0%. CO2 emissions have been reduced by 9.7%.
PUMA continues to play a key role in driving industry action, both through a leadership role in the UN-convened Fashion Industry Charter for Climate Action and through an active role in the Fashion Pact, a global coalition of companies in the fashion and textile industry working together to help stop global warming, restore biodiversity, and protect the oceans. PUMA has not only taken decisive action to meet its own goals around operational and supply chain renewable energy sources, but it has also supported the rollout of a collective program to rapidly scale improvements on sourcing renewable energy within key countries. I look forward to seeing even more ambition from PUMA in the future, as it continues its leadership role on climate action, delivers its existing goals, and aligns its climate targets with a 1.5-degree pathway.
LAILA PETRIE
CEO 2050, Co-Chair of the Fashion Industry Charter Steering Committee, Climate delivery partner for the Fashion Pact
* Including renewable energy attribute certificates
The reduction of our Scope 3 emissions at the factory level is complemented by purchases of more sustainable – and therefore less carbon-intensive – raw materials. In 2020, we used 82.8% bluesign®- or OEKO-TEX®-certified polyester and 16.7% recycled polyester for apparel and accessories, 100% cotton from the Better Cotton Initiative, and 97.9% leather from Leather Working Group medal rated tanneries. In addition, 99.0% of our primary paper and cardboard packaging was recycled or FSC-certified paper. By 2025, we aim to use 75% recycled polyester.
|
CO2e
emissions1-6 |
2020 |
2019 |
2018 |
2017 |
% Change 2019/2020 |
% Change 2017/2020 |
|
Scope 1 – direct CO2e emissions fossil fuels |
4,179 |
6,326 |
6,918 |
7,678 |
-34% |
-46% |
|
1,985 |
3,618 |
4,073 |
4,134 |
-45% |
-52% |
|
|
2,194 |
2,708 |
2,845 |
3,545 |
-19% |
-38% |
|
|
Scope
2 – indirect CO2e emissions |
29,839 |
40,986 |
43,366 |
40,029 |
-27% |
-25% |
|
Scope
2 – indirect CO2e emissions |
1,078 |
11,533 |
22,128 |
40,029 |
-91% |
-97% |
|
28,761 |
39,282 |
42,145 |
38,914 |
-27% |
-26% |
|
|
0 |
9,828 |
20,907 |
38,914 |
-100% |
-100% |
|
|
1,078 |
1,705 |
1,221 |
1,115 |
-37% |
-3% |
|
|
Total Scope 1 and 2 (location-based) |
34,018 |
47,312 |
50,284 |
47,707 |
-28% |
-29% |
|
Total Scope 1 and 2 (market-based) |
5,257 |
17,858 |
29,046 |
47,707 |
-71% |
-89% |
|
Scope 1
and 2 relative to sales |
6.5 |
8.6 |
10.8 |
11.5 |
-24% |
-43% |
|
Scope 1
and 2 relative to sales |
1.0 |
3.2 |
6.2 |
11.5 |
-69% |
-91% |
|
|
|
|
|
|
|
|
|
CO2e
emissions1-6 |
2020 |
2019 |
2018 |
2017 |
% Change 2019/2020 |
% Change 2017/2020 |
|
Scope
3 – indirect CO2e emissions from |
211,108 |
250,240 |
222,315 |
208,525 |
-16% |
1% |
|
Purchased goods and services – Tier 1 suppliers |
113,561 |
123,769 |
126,590 |
123,061 |
-8% |
-8% |
|
Fuel- and energy-related activities* |
2,855 |
|
|
|
|
|
|
Upstream transportation and distribution |
91,775 |
107,744 |
104,347 |
105,380 |
-15% |
-13% |
|
67,842 |
98,386 |
98,386 |
98,386 |
-31% |
-31% |
|
|
23,933 |
9,358 |
5,961 |
6,994 |
156% |
242% |
|
|
Business travel |
1,751 |
18,727 |
15,582 |
14,394 |
-91% |
-88% |
|
Upstream leased assets* |
1,166 |
|
|
|
|
|
|
Total Scope 1-3 (market-based) |
216,365 |
268,098 |
251,361 |
256,232 |
-19% |
-16% |
|
Annual sales PUMA (in € million) |
5,234 |
5,502 |
4,648 |
4,136 |
-5% |
27% |
|
Total
Scope 1-3 relative to sales |
41.3 |
48.7 |
54.1 |
62.0 |
-15% |
-33% |
|
Total
Scope 3 relative to sales |
40.3 |
45.5 |
47.8 |
50.4 |
-11% |
-20% |
Target description:
Relates to Sustainable United Nations Development Goals 3 and 6
KPIs:
While the effects of potentially hazardous chemicals on human health have yet to be assessed in full, PUMA takes precautionary measures to prevent harm to human health and the environment from its products and operations.
All the materials used in PUMA products are subject to our Restricted Substance List (RSL) Testing Program to ensure compliance with global chemicals regulations.
Rather than applying internal testing standards, for our tests we rely on the AFIRM Group’s Product RSL and on the Manufacturing RSL developed by the Hazardous Chemicals Foundation (ZDHC).
Since 2018, we have increased the number of RSL tests from 5,318 to 7,465 and decreased our failure rate from 1.9% to 1.2%. When materials fail an RSL test, they cannot be used for PUMA products until the failure has been corrected and they successfully pass the test. In this way, we mitigate the risk of product-level RSL failures.
|
Product Division |
2020 |
2019 |
2018 |
Variation 2019/2020 (%) |
Variation 2018/2020 (%) |
|||||
|
No. of test reports |
Compliance rate (%) |
No. of test reports |
Compliance rate (%) |
No. of test reports |
Compliance rate (%) |
No. of test reports |
Compliance rate |
No. of test reports |
Compliance rate |
|
|
5,117 |
99.3 |
4,668 |
99.2 |
3,512 |
98.4 |
9.6 |
0.1 |
45.7 |
0.9 |
|
|
1,318 |
98.9 |
1,239 |
99.1 |
988 |
98 |
6.4 |
-0.2 |
33.4 |
0.9 |
|
|
878 |
96.8 |
639 |
96.2 |
764 |
97.1 |
37.4 |
0.6 |
14.9 |
-0.3 |
|
|
152 |
91.4 |
59 |
100.0 |
54 |
100 |
157.6 |
-8.6 |
181.5 |
-8.6 |
|
|
Total |
7,465 |
98.8 |
6,605 |
98.9 |
5,318 |
98.1 |
13.0 |
-0.1 |
40.4 |
0.7 |
At the manufacturing level, as part of our Zero Discharge of Hazardous Chemicals commitment we continued to ban the intentional use of 11 priority chemical groups classified as particularly hazardous. This phase-out was supported by the increased use of bluesign®- and OEKO-TEX®-certified materials. While the use of most of these chemical groups was never intentional, poly-fluorinated chemicals (PFCs) were used until 2017 for water repellent finishes on apparel and footwear products. In 2020, we engaged in detailed discussions with Gore-Tex on the potential use of its bluesign®-certified membranes and finishes which are either completely PFC-free or free from PFCs of environmental concern.
The phase-out of hazardous substances is reflected in the results of wastewater tests performed by our core wet-processing suppliers: compliance levels of over 94% for each of the parameters listed in the ZDHC MRSL. Most parameters show compliance rates of 100% or close to 100%, except for harmful AZO Dyes (98% compliance) and PFCs (94% compliance). Although phased out by PUMA, the two chemicals still were found in a small number of samples because we share production lines with other brands and retailers.
During 2020, we also successfully piloted the MRSL tracking tool BHive by Goblu. This tool uses a relatively simple mobile phone application at the chemical-inventory level to track and trace the percentage of MRSL-compliant chemicals used by suppliers.
With the help of our footwear suppliers we managed to further reduce the number of solvents or volatile organic compounds (VOCs) per pair to below 15 grams in line with our target projection for 2020. This reduction was a direct result of our long-standing VOC Program, which saw the first targets achieved as early as 2003. We are confident that the use of new technologies such as hotmelt adhesives, water-based adhesives, and improved VOC content in the products of major adhesive suppliers will help us reduce the amount of organic solvents to below 10 gr/pair by 2025.
* 2019 figure based on core suppliers, in alignment with general reporting scope.
Target description:
Relates to United Nations Sustainable Development Goals 6, 14 and 15
Examples of the 10FOR25 action plan:
KPIs:
Since 2015, we have increased the number of wastewater tests from 33 to 72 suppliers and 125 test reports, covering approximately 96% of all our core suppliers with industrial wet-processing facilities.
The test results confirm that priority hazardous chemicals have been phased out as planned. Regarding the conventional wastewater parameters that apply only to suppliers that discharge their wastewater directly into natural water bodies, in 2019 we failed to hit our target of 90% compliance for one out of 17 parameters (coliform bacteria). However, our suppliers closed this gap in 2020. Consequently, all our core suppliers now are 90% in compliance with the ZDHC Wastewater Guidelines (foundational level). This means we also have achieved our last remaining wastewater target from the 10FOR20 cycle.
In terms of heavy metals and the chemical parameters regulated in the ZDHC MRSL, the suppliers we tested were able to keep their high compliance rates above 90% for each parameter measured, with the exception of antimony. However, antimony is exempt from the ZDHC Wastewater Guidelines for polyester producers because they use it as a catalyzer.
*Antimony is exempt for mills that produce or dye polyester fabric.
Since the publication of the ZDHC Air Emission Guidelines was delayed by the impact of COVID-19 in 2020, we decided to conduct an internal study to monitor our supply chain’s performance regarding air emissions. We examined a random sample of 30 core factories air emissions test reports (including point sources of gas and ambient air quality) for compliance with global (covering major supply chain regions such as China, Vietnam, Bangladesh, Cambodia, and Indonesia) and local regulations. The result shows that 100% of the core factories sampled were compliant.
Target description:
Relates to United Nations Sustainable Development Goals 3, 14 and 15
KPIs:
|
Sub-targets |
Baseline 2020 |
Target 2025 |
|
Plastic shopping bags (stores, tons) |
400 |
0 |
|
Plastic bags (product packaging, tons) |
245 |
|
|
Plastic bags recycled (product packaging, recycled (%) |
4.9% |
|
|
Offices that have eliminated single-use plastic (%) |
0% |
100% |
Plastic pollution of our oceans is one of the most urgent challenges to sustainability of our time. As a company that uses polymers for most of its products, we have a special responsibility to work on this issue. Avoiding plastic pollution also is one of the three pillars of the Fashion Pact, of which PUMA is a founding member. Also, several countries and regions have formed initiatives to ban certain types of single-use plastics or plastic bags.
Therefore, we have added the Plastics and the Oceans target to our 10FOR25 sustainability strategy.
Plastic shopping bags and single-use plastics aggravate the problem of plastic pollution significantly. By eliminating them from our stores and office environment we can set a positive example for our consumers and colleagues and at the same time reduce our use of plastics by several hundred tons per year.
In recent years, we switched our shopping bags to FSC-certified paper bags or polyethylene bags with 80% recycled content. During 2020, our Retail division devised a detailed plan to completely phase out plastic bags from our global stores.
Our stores ordered 430 tons of polyethylene bags in 2019 and 400 tons in 2020. We plan to halve this figure in 2021. By 2023 at the latest, we want to replace all polyethylene bags for consumers with paper bags.
At the same time, we switched other plastic items in our retail stores, such as hangers and shoe fixtures, to recycled polymers. We also started working on more environmentally friendly solutions for our B2B product packaging for apparel and accessories, which is also based on polyethylene bags, in collaboration with the Fashion Pact.
At our offices, we have challenged our catering partners and employees to avoid single-use plastics such as coffee cups, lids, stirring sticks, cutlery, or straws.
While Plastics and the Oceans is a new target and we are not quite there yet on a global scale, we have started to eliminate single-use coffee cups and cutlery, for example, at our headquarters in Germany.
Target description:
Relates to United Nations Sustainable Development Goals 9, 12, 14 and 15
KPIs
|
Sub-targets |
Baseline 2020 |
Target 2025 |
|
Takeback schemes |
Pilot in Hong Kong |
All major markets covered |
|
Recycled
material options |
3 out of 4 available |
4 out of 4 |
|
Production waste to landfills: |
Apparel: 1.6 gr/piece Footwear: 17.1 gr/pair Textiles: 8.9 kg/ton Leather: 0.2 kg/m2 |
50% reduction |
PUMA’s exploration of the issue of circularity dates back to 2011 when we partnered with Cradle to Cradle co-founder Michael Braungart. Our rich history as the first company in our industry to develop a Cradle to Cradle-certified collection – our InCycle collection launched in 2013 – led us to put circularity back on the agenda with our 10FOR25 sustainability strategy.
We are aware that the linear business model currently applied in our industry is far from the ideal concept of a circular economy. Despite our best efforts to use more sustainable materials at scale, PUMA is no exception.
Therefore, we have set circularity targets for ourselves, for example, scaling up the use of recycled polyester and cotton and using recycled alternatives to leather, rubber, and polyurethane (PU), the materials we use most frequently after cotton and polyester.
We also have started to encourage our suppliers to reuse and recycle the fabric waste they are creating for PUMA production, either through applications outside of our industry or ideally, by recycling offcuts into polyester or cotton yarns.
At the end of 2020, our material toolboxes included recycled options for all the above materials and nylon. For recycling and recycled PU, we have entered into a research project with a large chemical company and aim to announce our first pilot in 2021.
To demonstrate our responsibility as a producer and to secure options for more circular material streams in the future, we also have set the target to offer takeback schemes in all our major markets by 2025.
In our efforts to extend the lifespan of our products and re-integrate used materials into our production, we started a project group headed by our Retail division. We aim to pilot the first takeback options in 2021, complementing our existing takeback pilot scheme in Hong Kong.
At the same time, we partnered with Circle Economy and held a virtual workshop on the definition and concept of a circular economy and circular product design for our designers, product line managers, developers, and sourcing teams. The training addressed the challenges and opportunities in our industry to enhance the cyclability of our products, for example, by designing for longevity, easy disassembly, modularity, etc.
To communicate our use of recycled materials, we launched our First Mile collection made from recycled plastic bottles. The concept was well-received and was promoted by several PUMA ambassadors including Formula One champion Lewis Hamilton and Antoine Griezmann, the star of Spanish football club FC Barcelona.
In 2021, we plan to scale up our use of recycled materials. We will continue our partnership with First Mile and launch our first collections made from recycled cotton.
Target description:
Relates to United Nations Sustainable Development Goal 12
KPIs:
The PUMA Environmental Profit and Loss Account (EP&L) attributes more than 50% of our environmental impact to material and raw-material production. Against this background, we have decided to prioritize the large-scale use of more sustainable raw materials. In our 10FOR20 strategy, we had set 90% targets for more sustainable raw materials such as cotton, polyester, leather, and cardboard.
For the new targets we intend to have achieved by 2025, we have extended previous targets and have agreed to source 100% of our cotton, polyester, leather, down feathers, and cardboard from more sustainable sources. In addition to measuring the use of more sustainable materials, we will now also determine the percentage of more sustainable products, that is, products made with a significant proportion of more sustainable materials. As defined in our PUMA Sustainability Index, or S-Index, more sustainable apparel or accessories products have at least 50% more sustainable materials. For footwear, we currently measure sustainability as including one or more components made from more sustainable materials.
KPIs:
|
Product Category |
Baseline 2020 |
Target 2025 |
|
Apparel with at least 50% more sustainable material |
81% |
90% |
|
Accessories with at least 50% more sustainable material |
47% |
90% |
|
Footwear with at least one more sustainable component |
24% |
90% |
Our long-term efforts to scale up more sustainable materials in partnership with our material suppliers has helped us achieve our target of using 100% more sustainable cotton as early as 2020, five years ahead of schedule. For polyester (99.5% in apparel and accessories), leather (98% in footwear), and cardboard (99% shoeboxes and labels) we came very close to achieving our targets.
As in previous years, a large percentage of our more sustainable materials can be attributed to cotton from the Better Cotton Initiative, bluesign®- and/or OEKO-TEX®-certified polyester, and Leather Working Group (LWG)-certified leather. In addition, we only use down feathers certified by the Responsible Down Standard, and 100% of our viscose is made by Lenzing, one of the world’s leading viscose suppliers with a proven track record on sustainability. Therefore, more than 80% of our apparel products already are classified as more sustainable products, in line with the definition in our PUMA Sustainability Index.
In accessories we also have made good progress: 47% of our products are more sustainable.
Coverage and calculation are more complex for footwear because all our shoes are made from a number of components. The main materials we use include polyester, polyurethane, rubber, leather, and nylon. In line with our previous targets, we have achieved 98% coverage of LWG-certified leather. For the other materials, in 2020 our Sourcing teams worked to find more sustainable solutions that also are cost-efficient. For example, we now are using recycled materials for all our counters and many of our linings and have replaced the polyester-based backing of all polyurethane (PU) materials, which we use as an alternative to leather, with recycled polyester.
By the end of 2020, 24% of our footwear products had at least one major component classified as more sustainable. This calculation is based on the use of 98% more sustainable leather (from LWG-certified tanneries). In 2021, we will work on more accurate internal reporting and on scaling up the use of more sustainable materials with a clear vision to achieve our 2025 targets.
Besides switching our core materials to more sustainable versions, our product teams have created several sustainability-focused collections and initiatives. Under our Forever Better Platform, we launched two lighthouse initiatives in 2020: First Mile, and our Day Zero collection in partnership with Central St. Martin’s College, London.
While First Mile emphasized the collection and recycling of used plastic bottles and on the related human stories, our Day Zero collection was inspired by the severe water shortage in Cape Town, South Africa. It focused on water saving technologies such as dope-dyed polyester or digital printing.
Complementing our lighthouse initiatives, we had further sustainability focused collections in our product ranges, for example our Time4change and Downtown collections.
|
Division |
Material Targets |
% of Total 2020 |
|
% of Total 2019
|
% of Total 2018 |
Target 2025 |
|
Apparel |
BCI
cotton: 99.4% |
100% |
BCI cotton: 80% Organic cotton: 2% |
82% |
50% |
100% |
|
Polyester: |
99.5% |
bluesign®: 55% OEKO-TEX®: 42% Recycled: 1% |
98% |
66% |
100% |
|
|
|
RDS-certified down feathers |
100% |
|
100% |
|
100% |
|
|
Viscose from green-shirt rated fiber producers** |
100% |
Viscose from green-shirt rated fiber producers** |
100% |
|
100% |
|
Accessories |
BCI cotton: 100% |
|
|
|
|
|
|
Polyester: |
100% |
bluesign®: 54% OEKO-TEX®: 46% |
100% |
46% |
100% |
|
|
Footwear |
LWG Medal Rated leather/recycled leather |
97.9% |
|
97.7% |
99% |
100% |
|
Recycled polyester |
12.1% |
|
6% |
|
|
|
|
|
|
- |
|
- |
TBD |
|
|
|
Recycled or natural rubber |
11.9% |
- |
|
- |
NA |
|
|
Recycled or solvent-free PU |
0% |
- |
|
- |
NA |
|
|
Number of vegan styles |
15 |
|
|
|
|
|
Product packaging |
Recycled
paper and |
99% |
Product packaging |
100% |
92% |
100% |
|
|
|
|
|
|
|
|
Target description:
Relates to United Nations Sustainable Development Goals 14 and 15
KPIs:
|
Sub-targets |
Baseline 2020 |
Target 2025 |
|
Science Based Target (SBT) |
Joined Fashion Pact activities on biodiversity |
SBT set |
|
Cotton (BCI and/or recycled) |
100% |
100% |
|
Leather (LWG-certified tanneries) |
98% |
100% |
|
Down (RDS-certified) |
100% |
100% |
|
Sustainably sourced viscose / MMCF |
100% |
100% |
|
Cardboard and paper (FSC and/or recycled) |
99% (product packaging supply chain) |
100% |
|
|
|
|
* excluding trims and licensee production
Scientific reports point to the fact that the loss of biodiversity has increased over the last decade. Once extinct, species can never be brought back and are lost forever. Not only because our logo features a wild animal, we have decided to dedicate one of our 10FOR25 targets to biodiversity.
PUMA’s impact on biodiversity is indirect yet severe. We use approximately 30,000 tons of cotton and 2,400 tons of leather per year for our products. Both cotton farming and cattle ranching require extensive land use and have been cited to reduce biodiversity, for example, by transitioning virgin forest to farmland in South America or depleting the Aral Lake in Central Asia for cotton farming during the Soviet Union era.
In addition, our annual paper and cardboard consumption amounts to 18,500 tons (supply chain only), the equivalent of 6,000 trees.
To mitigate the loss of biodiversity resulting from the production of our materials, we have set ambitious targets: As of 2020, 100% of our cotton fibers, 97.9% of our leather, and 99% of our cardboard originates from preferred sources such as BCI cotton, LWG-certified leather, and recycled and/or FSC-certified cardboard.
In addition, in 2020 we mapped out our viscose supply chain to ensure that we procure 100% of our viscose from suppliers committed to reducing the risk of sourcing from Ancient and Endangered Forests.
In 2021, we will publish an updated Animal Welfare policy and plan to increase our preferred leather and paper/cardboard volumes to 100%. Not least because we are a signatory to the Fashion Pact, we also will continue to expand our biodiversity strategy.
Environmental Profit and Loss ACCOUNT and E-KPIs
At PUMA, we pioneered the concept of an EP&L in 2011 with the publication of our first corporate EP&L on climate and water. Since then, the EP&L has been expanded into other impact categories and has been further developed by Kering, PUMA’s former majority owner. Today, we continue to collect supply chain data to populate our PUMA EP&L, which we consider to be a good indicator of where the highest impact lies within our value chain, rather than a precise measurement tool. Because determining the individual values is very complex, we have incorporated the results of the 2019 EP&L into this report. We plan to publish our 2020 EP&L in 2021.
The chart above shows that the environmental impact of our value chain is dominated by material processing, while product assembly and raw material production also are important stages of our value chain.
*Since 2019 expanded scope of covered business activities and impacts
Our EP&L trend from 2015 to 2019 clearly indicates an increase in the EP&L value and in revenue. This means that our environmental footprint also is expanding. Compared to the increased revenue, our EP&L value has remained stable.
With our ambitious product sustainability targets and updated supplier data in our EP&L we hope to reduce the EP&L value per revenue significantly over the next five-year target period.
For an overview of the environmental KPIs of PUMA’s entities and core Tier 1 suppliers, please see figures T.20 and T.21 below. Together with data on our material consumption and manufacturing locations (T.22 and T.23 below), these figures form the basis of the PUMA EP&L.
|
|
2020 |
2019 |
2018 |
2017 |
% Change 2019/2020 |
% Change 2017/2020 |
|
Energy (MWh) |
|
|
|
|
|
|
|
Energy from electricity (PUMA own entities) |
|
|
|
|
|
|
|
0 |
12,683 |
29,766 |
52,508 |
-100% |
-100% |
|
|
10,839 |
11,547 |
11,695 |
11,611 |
-6% |
-7% |
|
|
50,526 |
37,269 |
25,051 |
0 |
36% |
n/a |
|
|
Total
electricity consumption |
61,365 |
61,499 |
66,512 |
64,119 |
0% |
-4% |
|
18% |
16% |
15% |
18% |
|
|
|
|
100% |
79% |
55% |
18% |
|
|
|
|
Energy
from non-renewable fuels |
10,739 |
10,975 |
11,724 |
14,430 |
-2% |
-26% |
|
Energy from steam |
6,247 |
7,915 |
5,734 |
5,155 |
-21% |
21% |
|
Total energy consumption (PUMA own entities) |
78,350 |
80,389 |
83,970 |
83,704 |
-3% |
-6% |
|
Non-renewable
energy consumption from |
221,641 |
246,160 |
195,866 |
194,881 |
-10% |
14% |
|
3,013 |
|
|
|
|
|
|
|
1% |
|
|
|
|
|
|
|
2020 |
2019 |
2018 |
2017 |
% Change 2019/2020 |
% Change 2017/2020 |
|
Waste, paper, and water |
|
|
|
|
|
|
|
Waste PUMA own entities (tons) |
3,021 |
3,154 |
4,877 |
5,293 |
-4% |
-43% |
|
847 |
1,111 |
2,282 |
3,419 |
-24% |
-75% |
|
|
28% |
35% |
47% |
65% |
|
|
|
|
Waste
from PUMA production |
23,498 |
24,205 |
16,682 |
14,686 |
-3% |
60% |
|
9% |
|
|
|
|
|
|
|
2,638 |
2,281 |
2,292 |
2,756 |
16% |
-4% |
|
|
Certified or recycled paper and cardboard consumption PUMA (tons) |
1,848 |
1,818 |
1,120 |
2,025 |
2% |
-9% |
|
70% |
80% |
49% |
74% |
|
|
|
|
18,538 |
14,863 |
13,607 |
14,129 |
25% |
31% |
|
|
Percentage
of certified or |
99% |
100% |
98% |
n/a |
|
|
|
96,569 |
95,291 |
89,676 |
106,397 |
1% |
-9% |
|
|
Water
from PUMA production Tier 1 suppliers |
2,332 |
2,572 |
2,030 |
2,149 |
-9% |
9% |
We continue to work with our core suppliers to reduce their environmental footprint. In 2020, we joined the Apparel Impact Institute’s Clean by Design Program and expanded our cooperation with the International Finance Corporation on resource efficiency and renewable energy in Bangladesh. We joined forces with the German Development Agency GIZ to conduct solar photovoltaic feasibility studies at 22 suppliers across Asia. Also, we worked with the World Wildlife Fund to train our suppliers on climate action.
There is an overall trend of carbon emission reduction (within our core Tier 1 suppliers) per pair of footwear (28%) or piece of apparel product (26%) since 2017. During the same period, our core Tier 1 suppliers have been able to reduce the amount of water per piece of apparel significantly by 39%, while water consumption at Tier 1 footwear suppliers increased by 4%.
Apparel and footwear suppliers reported an increase in production waste of 23% and 25% respectively, figures that show there still is work to be done on that KPI. However, as detailed in this report, most of our Tier 1 production waste is recycled, with only 9% of waste ending up in landfills.
|
Summary of supplier e-KPIs |
Weights |
Change |
|
||||
|
Value |
2020 |
2019 |
2018 |
2017 |
2019-2020 |
2017-2020 |
Number of Suppliers |
|
Energy/pair (kWh) |
1.31 |
1.30 |
1.25 |
1.40 |
1% |
-7% |
22 |
|
CO2/pair (kg) |
0.74 |
0.96 |
0.93 |
1.00 |
-23% |
-26% |
22 |
|
Water/pair (l) |
15.08 |
15.21 |
12.30 |
14.50 |
-1% |
4% |
22 |
|
Waste/pair (g) |
144.80 |
126.66 |
108.51 |
115.90 |
14% |
25% |
22 |
|
Waste to landfills/pair (g) |
17 |
|
|
|
|
|
|
|
Summary of supplier e-KPIs |
Weights |
Change |
|
||||
|
Value |
2020 |
2019 |
2018 |
2017 |
2019-2020 |
2017-2020 |
Number of Suppliers |
|
Energy/piece (kWh) |
0.56 |
0.57 |
0.57 |
0.72 |
-2% |
-23% |
21 |
|
CO2/piece (kg) |
0.22 |
0.24 |
0.26 |
0.31 |
0% |
-28% |
21 |
|
Water/piece (l) |
4.60 |
4.39 |
4.20 |
7.58 |
5% |
-39% |
21 |
|
Waste/piece (g) |
54.27 |
56.33 |
46.50 |
44.00 |
-4% |
23% |
21 |
|
Waste to landfills/piece (g) |
1.6 |
|
|
|
|
|
|
Since 2017, we also have been measuring average environmental key performance indicators (E-KPIs) from fabric and leather manufacturing. As we have included our main material suppliers in our energy and water efficiency programs and other brands also have expanded their resource efficiency programs to include our shared material suppliers, we can see a positive trend in performance. Some of the CO2 emissions reductions can be attributed to coal and oil for boilers being replaced with less polluting fuel sources such as rice husk or natural gas.
|
Summary of supplier e-KPIs |
Weights |
Change |
|
||||
|
Value |
2020 |
2019 |
2018 |
2017 |
2019-2020 |
2017-2020 |
Number of factories |
|
Energy/m2 (kWh) |
7.0 |
8.2 |
8.7 |
9.1 |
-14% |
-23% |
6 |
|
CO2/m2 (kg) |
2.7 |
3.2 |
3.2 |
3.4 |
-15% |
-20% |
6 |
|
Water/m2 (l) |
68.3 |
74.7 |
90.2 |
91.8 |
-8% |
-26% |
6 |
|
Waste/m2 (kg) |
0.7 |
0.8 |
0.8 |
1.6 |
-13% |
-56% |
6 |
|
Summary of supplier e-KPIs |
Weights |
Change |
|
||||
|
Value |
2020 |
2019 |
2018 |
2017 |
2019-2020 |
2017-2020 |
Number of factories |
|
Energy/t (kWh) |
13,049.1 |
12,636.3 |
13,386.80 |
13,679.11 |
3% |
-5% |
21 |
|
CO2/t (t) |
4.47 |
4.37 |
4.45 |
4.45 |
2% |
0% |
21 |
|
Water/t (m3) |
103.4 |
105.5 |
122.78 |
119.30 |
-2% |
-13% |
21 |
|
Waste/t (kg) |
78.9 |
62.08 |
70.63 |
299.59 |
27% |
-74% |
21 |
