Sustainability

  • In 2013, the Falabella Group maintained the focus on sustainability, looking to contribute and generate value for all of the interest groups. The Sustainability strategy has been comprised of six pillars for many years now: Customers, Collaborators, Suppliers, Community, the Environment and Corporate Governance. However, during 2013 these pillars were assigned a priority, which was done with the collaborative work of all business units in the Group. The pillars of Customers and Collaborators were assigned top priority, Suppliers and Community were ranked second, and Environment and Corporate Governance third. These priorities led to the definition of points of greatest importance for the Falabella Group as a company, which turned into 16 management indicators that all units will begin to measure in 2014 with the aim of improving performance in the initiatives defined for the different pillars, with particular attention to Customers and Collaborators.

    The Customer indicators are centered on measuring the customer’s experience through satisfaction surveys and the number of claims, including participation in social networks. The Collaborator indicators are focused on analyzing employees’ work-life balance and how content they are at work through climate measurements (GPTW), providing exclusive benefits and measuring turnover and accidents. It is also analyzed how to contribute to their development through training and performance evaluations.

    The Supplier indicators ensure that Falabella contributes to supplier growth. Their satisfaction as suppliers is measured. Prompt payment to SMEs is essential, as is oversight to ensure that they meet the defined standards. The Community indicators are set to generate social responsibility programs that are measurable and bear a relationship to each of the businesses. The primary intent is to encourage the Group’s collaborators to join these initiatives and to dedicate part of their time to these programs. Finally, the Environment indicators are intended to further environmentally friendly constructions and increase energy efficiency that will help reduce power consumption.

    Although significant progress has been made in connection with sustainability and its measurement, there is still much room for improvement, above all in joint learning among the Group’s companies. For that reason, areas of business have begun to work together to determine which sustainability initiatives are the best, be able to transfer them to the entire Group and accelerate the development of this strategic pillar of the Group.

    Certain major events and achievements in the year are discussed below, but further details on the progress in each line of business can be found in the different sustainability reports that each company prepares.

    During 2013, Sodimac and Falabella Retail became members of Sedex, an international non-profit organization that aims to foster improvements in entrepreneurial practices relating to ethics and responsibility in the supply chain. It is the largest global platform for sharing and improving practices in a value chain. Falabella Retail also adhered to the United Nations Global Compact and promised to spread and comply with its 10 fundamental principles in matters of the four areas of world sustainability: Human Rights, Labor Rights, the Environment and Anti-Corruption. In 2013, there were no cases of discrimination in any of the businesses in the region, but there were 140 cases of corruption that were resolved immediately by severance.

    Sodimac developed the first supplier program in Latin America for formation in innovation. This theoretical-practical course will be given twice a year and forms part of the initiatives of the first Center for Innovation in Retail with Suppliers in the region that Sodimac inaugurated at the end of 2012.

    Tottus Chile implemented the Manager Formation Program, an initiative that promotes talent and will help collaborators truly grow. They were given Performance Evaluations and were trained in collaboration with Universidad Santo Tomas. Tottus Peru received Hazard Analysis and Critical Control Point (HACCP) certification for all of its perishables businesses and production centers, which is one of the strictest certifications in the food handling industry.

    Financial Services implemented a financial education program that encompasses projects such as:

    • Learning Together, an Internet portal through which customers can learn about the world of finance interactively and put that learning to use;
    • On-line training through e-classes, where more than 300 collaborators participated throughout the region; and
    • The Playing Together contest at schools that is part of the Creating a School Program.

    In November 2013, a Regional Alliance was signed with América Solidaria, which aims to contribute to projects that improve the quality of life in the poorest communities on the continent, in addition to offering a volunteer platform for collaborators. Practices to simplify marketing communications continued to be enhanced by diminishing the restrictions in contracts and advertising pieces for the different products of the Group.

    In 2013, Open Plaza received an award from the Chilean Chamber of Shopping Centers and the Chilean Energy Efficiency Agency for adding a solar lighting system in parking lots in Open Plaza Ovalle.

    Mall Plaza is a benchmark in the ambit of culture. It provides free and attractive events in each of its shopping centers, including 11 public libraries located in the shopping centers of Chile and free mass cultural events, among other initiatives. At employee level, the opening of unique spaces in all of the shopping centers in the chain called “Estar Contigo” (“Be With You”) is highlighted, designed specifically so employees of stores in Mall Plaza have a modern space where they can share.