facilitating environmental sustainability...2 • operating since 1934 • 237 stores in six states...
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Facilitating Environmental SustainabilityMichigan Sustainability ConferenceSeptember 14, 2017
Background
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• Operating since 1934• 237 stores in six states• 5 distribution centers• 6 food manufacturing
facilities• Over 60,000 team members• Over 900,000 SKUs
Meijer in Michigan
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Meijer’s Michigan footprint• 113 supercenters• Lansing Distribution Center• Newport Distribution Center• Walker Distribution Center• Lansing Logistics – Fleet
Maintenance• Lansing Fresh Assembly• Holland Purple Cow Creamery• Corporate Offices – Grand Rapids
Values-based Sustainability
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Sustainability is integrated into Meijer core values…
sustainability = community
Meijer Sustainability Plan
Establish Meijer
Sustainability Council
Track Progress
Report back to
Leadership
Draft Business
Area Strategies
Impl
emen
tatio
n
RILA benchmarking
Develop goals, metrics, and
strategiesCommunication
StrategySustainability Plan and Environmental
Commitment
Leadership Review and
approval
Desig
n
Identify Leadership
goals
Benchmark retailers best
in class
Inventory Meijer work
to date
Metrics Memo
Environmental Footprint ReportDa
ta C
olle
ctio
n
Our Company’s Heritage & Environmental Commitment
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"I want to leave the world in a
little better shape than when I
entered it.“
Fred Meijer
Environmental compliance
Local & sustainable products
Carbon footprint intensity reduction
Waste reduction
Responsible growth
Sustainability Benchmarking
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Environmental/GRI Metricsü Greenhouse gas emissionsü Wasteü Water useü Stormwaterü Wastewaterü Water securityü Facility energy efficiencyü Transportation energy
efficiencyü Land use and biodiversity
Sustainability Plan
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Strategy & Commitment
People & Tools
Products
Supply Chain
Visibility
Environmental Issues
Retail Operations
Meijer 2015 Sustainability
Plan
Meijer 2020 Sustainability
Goals
Sustainability Council
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Meijer Sustainability
Council
SustainabilityPlan
EnvironmentalFootprint
Communication
Sustainability Initiatives
Innovating our operations Partnering with communities we serve
Sourcing our materials & productsDesign, construction, and maintenance of our stores
Green Infrastructure
11
FY2016 Waste Footprint
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46.0%
44.0%
8.2%
0.2% 1.5%
Landfill
Recycling
Organics Recycling
Hazardous Waste
Food Bank Donations
Total Company: 292,202 tons
Business Area Diversion RateCorporate 72%Distribution 68%Logistics 53%Manufacturing 95%Pharmacy 37%Retail 49%Total 54%
Food Waste
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Retail Food Waste – Current Practice
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2,021,700 dry goods
4,832,000 bakery
2,523,000 meat
240,300 deli and
dairy
775,000 produce 10.4 million
in total8.5 million
meals
In 2016, Meijer stores donated the following to local food banks (in lbs)
Retail – Anaerobic Digestion Pilot
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Retail – Animal Feed Pilot
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Manufacturing Food Waste – Current Practice
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Middlebury Central Kitchen
• 15,462 tons to anaerobic digestion• 1,573 tons to animal feed• 5,122 tons to compost
Holland and Tipp City Dairies
Lansing Fresh Assembly
FY2016 Carbon Footprint
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5.78 5.01 5.04
17.17 16.98 17.19
-
5
10
15
20
25
30
FY2014 FY2015 FY2016
Normalized CO2e, tonnes/1000 sq ft
Scope 1 Scope 2
3.2%
10.9%
8.6%
77.3%
FY2016 CO2e by Activity Type
Transportation
Refrigerants
Natural Gas
Electricity
22.95 21.99 22.23
Renewables Strategy
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Renewable Energy Goal
Onsite solar projects
Power Purchase Agreements
Renewable Energy Credits
RILA Sustainability Maturity Benchmarking
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Meijer Performance in RILA Maturity Matrix
Dim
ensio
ns
0
0.5
1
1.5
2
2.5
3
3.5
Stores / Corporateoffices
Warehouses Transportation /Logistics
2015 2017 2017 Peer Average
Benchmarking Example
• Comparison to retail peers on 30 dimensions• Participated in benchmarking in 2015 and 2017
0
5
10
15
20
25
30
43% 37%
63%
Facilitating Sustainability - Take Aways
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• Lead with values • Leverage existing business strategies• Engage employees with interest in
sustainability• Utilize a cross-functional team• Dispel myths with metrics• Set achievable goals and stretch targets
Meijer Environmental Team
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Academic Collaborations
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Thank [email protected]