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IKEA's 2024 Sustainability Strategy

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0% found this document useful (0 votes)
100 views19 pages

IKEA's 2024 Sustainability Strategy

Br dn

Uploaded by

snigdhasrajmane
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd

© Inter IKEA Systems B.V.

2024
IKEA Sustainability Strategy

Updated: August 2024


2 - IKEA Sustainability Strategy - © Inter IKEA Systems B.V. 2024

Contents

The purpose of this strategy is to inspire, activate and lead


What sustainability means to IKEA 3
us in our planning, decision-making and goal setting so
Being optimistic in a rapidly-changing world 5
that we together can achieve the big positive changes we
want to see for the IKEA business, and in the world. Three focus areas 11
Healthy & sustainable living 12
Climate, nature & circularity 14
The IKEA Sustainability Strategy is issued by The strategy is reviewed annually to secure Fair & equal 16
Inter IKEA Group and covers the entire IKEA alignment with the total IKEA strategic
Enablers: How we make it happen 18
value chain and franchise system.1 framework. You can read about our latest
progress measured against this strategy in Overview of ambitions and commitments 19
The IKEA business is defined as the business the annual IKEA Sustainability Report and IKEA
activities performed by all companies and Climate report.
retailers operating within the IKEA franchise
system. “We” in this strategy refers to the IKEA Our sustainability ambitions and
business. The IKEA value chain comprises commitments are set for 2030 in line with the
more than the IKEA business and includes UN Sustainable Development Goals (SDGs).
the sourcing and extraction of raw materials, However, our sustainability agenda goes
manufacturing and transporting of products, beyond 2030.
customer travel to stores, product use in
customers’ homes and product end-of-life. We don’t have all the answers and cannot
always achieve our goals alone. Therefore,
To ensure the long-term growth and we are committed to working together in
development of the IKEA business, we use a collaborative way and being transparent
a franchise system. This provides financial about what we learn. We build on our
stability while also enabling franchisees to test culture of entrepreneurship, always moving
and explore new markets and ideas. Together, forward and not waiting for perfection,
we continue to develop the IKEA business. working together to achieve continuous
improvements.

1
In total, there are 12 IKEA franchisee groups in more than 62 markets. Inter IKEA Group consists of Inter IKEA Holding B.V. and all its subsidiaries.
The IKEA sustainability agenda is set and governed by the Strategic Sustainability Council with the Inter IKEA Group CEO as chair.
3 - IKEA Sustainability Strategy - © Inter IKEA Systems B.V. 2024

What sustainability means to IKEA


We want to be a force for good for
people, society and the planet. For
us, it’s about balancing economic
growth and positive social impact Environmental
with environmental protection and
regeneration.

We always strive to think long-term to be able


to meet the needs of people today without
compromising the needs of future generations.

Doing this requires rethinking, adopting new


Better A better everyday life
ways of working and inspiring changes in
Life for the many people
lifestyles and consumer behaviour. We are
committed to leading the way forward together
with our co-workers, customers and partners,
and to using our size to make a positive
difference. This is both a responsibility and
a business opportunity. The more people we
reach, the greater impact we can have together,
and the more people we can enable to live a Social Economic
better everyday life.
The IKEA vision, to create a better everyday life for the
many people aligns closely with global environmental,
economic and social concerns.
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The IKEA vision is our inspiration


We want IKEA to be an example Living our values Collaborating and co-creating
of how a business can operate
Caring for people and the planet is one of As a global brand, we have a
responsibly, addressing the
our core values, and it guides us in how responsibility to lead the change towards
sustainability challenges of the
we work. From the beginning, we have a sustainable future. At the same time,
world with a holistic approach. always viewed waste as a “sin”. We were we are open and engage with others,
The IKEA vision, to create a born in the rocky landscape of Småland in listening, learning and sharing knowledge
better everyday life for the southern Sweden where people had to be and ideas. This is how the IKEA business
many people, is our inspiration. creative with their limited resources. has worked and continues to work. We
see the opportunity to use creativity,
We are changing our way of working from knowledge and our size to scale ideas,
linear to circular; from not only using but Being bold in facing challenges collaborate on challenges, and be a
to also regenerating resources. As we are partner for change.
reliant on natural resources and people, It’s about setting ambitions that we know
transitioning towards a circular business we cannot reach alone. Still, being bold
enables us to secure our future, which in is not only about setting high ambitions, Working long term
turn supports the livelihoods of millions but also about being open, honest and
of people who contribute to the IKEA transparent about the challenges we We strive to always work long term,
business and value chain. face. It’s also about making difficult focusing on the root cause of issues and
decisions that inspire new and innovative not only on treating the symptoms. The
We believe that the IKEA culture – how we solutions. To take the next big steps will IKEA business setup allows us to make
work and what we value – is fundamental mean sharing our successes and failures, investments for the future in things like
to achieving our vision. In other words, admitting we don’t have all of the answers new technologies, innovative materials,
it’s not only what we do, but how we do it, and being part of a wider conversation to and ways of generating clean energy as
that matters. find new solutions. well as in social development in the IKEA
value chain.
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Being optimistic
in a rapidly-
changing world
To ensure the success of IKEA into the future, From our own history, we
we must work together with speed and know that what at first
urgency to take on the challenges we face.
seem like challenges can
We are optimistic yet realistic about the
become opportunities and
future, even in difficult times.
that limitations can lead to
We have identified major challenges that innovations.
are highly relevant for our business: climate
change and nature loss, unsustainable
consumption, and rising inequality. These
are further intensified by geopolitical
tensions, and polarisation. All these
challenges are interconnected and their
impacts vary in different parts of the world.

We recognise the ongoing and needed


development of new legislation and
regulations to address the pressing
challenges of the world.
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Challenge

Climate change and nature loss


Climate change and nature loss To minimise the worst impacts of climate As climate change is so interconnected
are two of the biggest challenges change, the global temperature increase with nature, and nature offers solutions
must be limited to 1.5°C.4 To do that, for reversing it, it’s imperative that
facing humanity. Global average
science tells us that companies need to set governments, businesses and other
temperatures are rising more
targets and take action to halve emissions organisations urgently work to also protect
and more each year,1,2 – we are by 2030 and reach net zero by 2050.5 This ecosystems and improve biodiversity.
currently heading towards a will need to be achieved mainly through
global warming of 2.7°C3 – and we drastic reductions in greenhouse gas (GHG)
are losing nature at an alarming emissions and by removing CO2 from the
rate. The urgency to act now is atmosphere through better forest and
clear. agricultural management and storage in
products from renewable materials.

1
WMO “Climate change indicators reached record levels in 2023”, 2024
2
NASA “Global Climate Change: Vital Signs”, 2023
3
Climate Action Tracker, 2024
4
IPCC “AR6 Synthesis Report: Climate Change”, 2023
5
The Science Based Targets initiative (SBTi) “The Corporate Net-Zero Standard”
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Challenge

Unsustainable consumption
By 2030, the global population While many people are escaping poverty,
is expected to reach nearly 8.6 many still lack access to healthy food, water,
clean air and energy. The fulfilment of basic
billion.1 This means that more
human needs is connected to consumption.
and more people will look for a
The global population must move away from
chance for a better life. under- or over-consumption to a consumption
where equity, the wellbeing of current and
The world is already using resources future generations and the planet are all
requiring more than one planet, with considered.
material consumption expected to continue
to increase.2 In many parts of the world,
consumption is growing at an unsustainable
and unequal rate.2 Resource scarcity is due,
in part, to unsustainable production and
consumption and unnecessary waste.

1
UN “World Population Prospects”, 2022
2
UNEP “Global Resources Outlook”, 2024
8 - IKEA Sustainability Strategy - © Inter IKEA Systems B.V. 2024

Challenge

Rising inequality
The world economy has grown Many people have seen their jobs become Climate change alone could push 130 million
exponentially over the past unstable, with wages not sufficient to cover people into extreme poverty by 2030.2 At
basic needs, and rapid technological shifts that the same time, the transition to a net-zero
hundred years, contributing to
are difficult to adapt to. Gender equality is still economy brings additional challenges for
the largest reduction of poverty
far from a reality and people continue to be livelihoods and human rights, as industries
in the history of mankind. At discriminated against based on their ethnicity, make the needed changes.
the same time, there is an ever- ability, gender identity and sexual orientation.
increasing level of inequality 1
and social instability. Inequality Global challenges such as climate change
has become a systemic risk and nature loss, and geopolitical conflicts
threatening individuals, continue to accelerate inequality, hitting the
communities, companies and most vulnerable the hardest. Inflation and an
increased cost of living are also amplifying
entire economies.
inequality.

1
Inequality is the uneven distribution of income, wealth, and wellbeing. It matters because it undermines human dignity – breeding discontent, fuelling division,
and leaving our societies incapable of tackling the collective challenges we face. WBCSD, 2022
2
World Bank Group “Revised Estimates of the Impact of Climate Change on Extreme Poverty by 2030”, 2020
9 - IKEA Sustainability Strategy - © Inter IKEA Systems B.V. 2024

The UN Sustainable
Development Goals (SDGs)
Many of the global sustainability challenges
and calls for action are described in the UN
Sustainable Development Goals (SDGs).
Launched in 2015, the SDGs provide a
framework for collective action to tackle
global issues such as poverty, gender
equality and climate change. The SDGs
were used as one of the key inputs in the
IKEA Sustainability Strategy and ambitions
for 2030. In the yearly IKEA Sustainability
Report, we summarise how the IKEA
business contributes to the SDGs where we
can have an impact.

As of 2023, the world is unfortunately not


on track to meet these goals by 2030.1 This
reinforces the importance of businesses
like the IKEA business to do our part by
delivering our sustainability ambitions and
commitments.

1
UN “The Sustainable Development Goals Report”, 2023
10 - IKEA Sustainability Strategy - © Inter IKEA Systems B.V. 2024

How IKEA can


make a difference
Through our business, we Part of our role is to use our size, unique
have a unique opportunity to integrated value chain, creativity,
innovation and knowledge in life at
show the way by being a good
home to scale ideas and be a partner
example for positive change
for positive change. Our aim is to be
in society. resource efficient and do more with less.

Being a good example means looking


critically at all aspects of our business,

“No method is more but also engaging in the debate and


enabling all stakeholders across the
effective than a value chain and beyond to take action

good example.” and contribute.

Ingvar Kamprad Each one of us can be a good example


for change. To change the world, good
ideas must be nurtured and magnified to
reach as many people as possible.
11 - IKEA Sustainability Strategy - © Inter IKEA Systems B.V. 2024

Three focus areas


The sustainability work of the IKEA
business is organised into three
focus areas with ambitions and
commitments. This structure is
based on materiality – defining the
sustainability issues on which the
IKEA business has the most impact
– and how the IKEA business IKEA Sustainability Strategy
operates. We recognise the
interconnectedness of these focus
areas and always strive to address
these challenges in a holistic way
across all focus areas.

Under each focus area, we outline our


commitments to achieving our ambitions. Healthy & Climate, Fair
sustainable nature & &
living circularity equal
12 - IKEA Sustainability Strategy - © Inter IKEA Systems B.V. 2024

Healthy &
sustainable living
Two-thirds of all greenhouse gas organise our everyday lives.5 To be able to
emissions related to consumption live sustainable lifestyles based on informed
purchasing decisions and changes in behaviour,
are connected to our individual
consumers need the support from business,
lifestyles.1
governments and civil society.

The environmental impacts mainly come from


In addition to offering responsibly produced
four areas: food, personal transport, housing,
products, the IKEA business has a big role to play
and consumer goods.2 According to the IPCC,
in innovating and promoting products, services
changes in lifestyle and behaviour can result
and solutions that through their function
in big reductions in greenhouse emissions by
support healthy and sustainable lifestyles, and
2050.3
that are attractive, affordable and accessible.
We can inspire and enable people in changing
People all around the world want to live
habits and behaviours which, collectively, will
healthy and sustainable lives. But there is a
contribute to solving the environmental and
gap between intention and behaviour. This
social challenges facing us all.6
gap exists for several reasons, including
affordability, convenience, availability, product
performance, conflicting priorities, scepticism,
and habits.4

1
UNEP “Emissions Gap Report”, 2020
Creating sustainable lifestyles requires a 2
Hot or Cool Institute “1.5-Degree Lifestyles”, 2021

change in social norms. It means rethinking 3


IPCC “Sixth Assessment Report”, 2022
4
WBCSD “Sustainable Consumption Facts and Trends”, 2008
our ways of living, including how we buy and 5
UNEP “A Framework for Shaping Sustainable Lifestyles”, 2016
6
WEF “How Businesses Can Help Consumers Build Sustainable Habits”, 2022
13 - IKEA Sustainability Strategy - © Inter IKEA Systems B.V. 2024

Healthy &
sustainable
living

Our ambitions for 2030 We are committed to

We will inspire and enable people to move Offering home furnishing products, Contributing to creating a shift in society
towards healthy and sustainable lifestyles, services and solutions that support a where healthy and sustainable lifestyles
healthy and/or sustainable life at home become the default
by making healthy and sustainable living a
desirable choice that is affordable, attractive
Develop and promote affordable home Provide knowledge and ideas through our
and accessible for as many people as furnishing products, services and solutions marketing and communication to guide people
possible. with the primary function to: to adopt behaviours to:

• inspire and enable resource-efficient • reduce their environmental impact at


We will offer products where environmental
consumption in the areas of energy, home by eating more plant-rich food,
and social impact as well as circular
water, waste and prolonging product being energy- and water-efficient, reducing
capabilities have been considered. We will life. waste and by participating in the circular
also offer products and services that can economy.
directly support a healthy and sustainable • enhance people’s physical, social, and
mental health in their everyday life • support healthy living at home with a focus
lifestyle in, for example, the areas of
at home, including the adaptation of on good quality sleep, well balanced and
energy, water, air, waste and food. We will
homes to the impacts of climate change nutritious food, sufficient physical activity,
inspire behaviours that lead to a reduced as well as air and water purification. mental wellbeing and an active social life.
environmental footprint as well as better
health and wellbeing at home. Influence a shift in societal norms where healthy
Offering a food range that supports and sustainable lifestyles become the default.
healthy and sustainable eating

Develop and promote a food range that


is plant-rich1 and nutritious, full of variety,
and creates an eating experience that is
sustainable, healthy, delicious and affordable.

1
The IKEA business defines “plant-rich” as a meal/dish that is at least 75% plants, qualified as foods whose ingredients are derived only
from plants and the remaining 25% can contain any animal-derived ingredient.
14 - IKEA Sustainability Strategy - © Inter IKEA Systems B.V. 2024

Climate, nature
& circularity
We have only one planet, with chain. Transitioning towards a circular business
limited resources. The escalating is essential to reduce the pressure on nature,
by minimising the use of virgin, non-renewable
impact of climate change,
resources, preventing pollution, and promoting
pressure on the world’s natural
regenerative practices. Circularity is also critical
resources, loss of biodiversity, for addressing the root causes of climate
soil erosion, water scarcity, change by transforming how we produce,
and increasing levels of air, use, and dispose of goods and by promoting
freshwater and ocean pollution sustainable patterns of consumption.
affect the lives and livelihoods
of millions of people around the By continuously reviewing and securing
a robust and responsible management in
world.
forestry and agriculture throughout the IKEA
value chain, we will remove and store carbon
Combating climate change, reversing nature
as well as prevent soil depletion and reduce
loss and moving to more regenerative practices
the use of fossil-based fertilisers. Preventing
as part of a circular economy are all urgent
deforestation and actively engaging in
global priorities.
reforestation and afforestation efforts are vital
for preserving biodiversity and ecosystems.
The largest portion of the IKEA climate
Furthermore, extending the lifespan of our
footprint comes from materials and IKEA
products and materials and transitioning to a
products1 used in customers’ homes. We’re
circular business will reduce greenhouse gas
committed to drastically reducing greenhouse
emissions and help mitigate the impacts of
gas emissions across the IKEA value chain.
climate change.

The IKEA business is dependent on and


impacts nature throughout the IKEA value
1
Includes products such as lighting, home electronics, appliances and the
burning of candles.
15 - IKEA Sustainability Strategy - © Inter IKEA Systems B.V. 2024

Climate,
nature &
circularity

Our ambitions for 2030 We are committed to

We are transitioning towards a circular Transitioning towards a circular business


business built on clean, renewable energy Promoting on-site renewable energy generation Promoting and implementing responsible
Designing all IKEA products with circular and new installations. forest management to eliminate degradation
and regenerative resources, de-coupling
capabilities. and deforestation, and expanding our efforts
virgin non-renewable material use from our Contributing towards additional emissions beyond the supply chain as part of our forest
growth. The aim is to end our dependency Aiming to only use recycled and renewable reductions in society. agenda. Encouraging innovative approaches to
on virgin non-renewable materials and fossil materials, with a specific focus on significantly nature management, protection, restoration and
fuels. increasing the share of recycled content in IKEA Reducing air pollutants across the IKEA value regeneration. Contribute to forest adaptation and
products. chain. climate change mitigation.

We will contribute to limiting the global Making it easy for people to acquire, care for and Striving towards securing a just transition – Addressing land use in our business and value
temperature increase to 1.5°C, in line with pass on products in circular ways. maximising socio-economic opportunities and chains, striving to eliminate conversion of natural
the Paris Agreement, by drastically reducing minimising and managing negative impacts on ecosystems.
emissions in line with science, removing and Aiming to send zero waste from IKEA operations people and communities.
to landfill. Implementing sustainable water management
storing carbon through forestry, agriculture
in freshwater and marine environments, with a
and products as well as contributing with Regenerating resources, protecting focus on water efficiency, reducing pollution and
additional reductions in society. Taking climate action by halving emissions ecosystems and improving biodiversity protecting ecosystems.
from the IKEA value chain, on our way towards
We will also do our part to contribute to net zero Addressing our impacts and dependencies on Advancing water stewardship by leading
nature in a science-based way and taking the local regenerative projects in priority basins aimed at
clean air, water and improved biodiversity.
By FY30, reduce the absolute greenhouse gas context into consideration, with the ambition to increasing water availability, addressing pollution
emissions from the IKEA value chain by half, halt and reverse biodiversity loss and negative and enhancing climate resiliency.
compared to the baseline year FY16.1 effects on water caused by the IKEA business.
Leading regenerative projects on degraded land,
By FY50, reach net-zero greenhouse gas deforested areas and agriculturally cultivated
emissions from the IKEA value chain. areas.

Removing and storing carbon through forestry, Continuing to secure, develop and implement
agriculture and products within the IKEA value responsible sourcing standards that include
chain. environmental, social and animal welfare criteria.

Striving towards 100% renewable energy Continually improving efficiency (energy, material,
(electricity, heating, cooling and fuels) and logistics, waste, etc.) to reduce overall resource
electrification across the IKEA value chain. usage.

1
The Greenhouse Gas Protocol (scope 1, 2 and 3 emissions)
16 - IKEA Sustainability Strategy - © Inter IKEA Systems B.V. 2024

Fair & equal


The many challenges facing We’re striving to take our full responsibility
people in the world today as a business to respect human rights and
ethical business practices, to providing and
including pandemics, geopolitical
supporting decent and meaningful work
conflicts, technological shifts,
across the IKEA value chain, and to further
climate change and nature loss developing into an equal, diverse and
are all accelerating inequality inclusive business.
and impacting the lives of the
many people, especially the most While growing our business to reach more of
vulnerable. the many people, we must ensure that people
across our value chain can thrive. That’s
Our business is built by people and touches why we’re taking action to strengthen the
the lives of millions across our value chain. resilience of people in our value chain and in
We recognise our responsibility to ensure we the communities where we operate, focusing
always respect human rights and understand on those who are most vulnerable.
the impact our business has on both people
and the communities where we operate. The In addition, we’re advocating for a more
IKEA business is values-based and strives fair and equal society, in line with our
to put caring for people at the heart of our commitments and in collaboration with
decision-making. policymakers and external partners.

Our responsibility includes everyone in the


IKEA value chain: IKEA co-workers, workers at
our business partners and people working in
other parts of our value chain, our customers
as well as the communities where we operate.
17 - IKEA Sustainability Strategy - © Inter IKEA Systems B.V. 2024

Fair
&
equal

Our ambitions for 2030 We are committed to

By 2030, our ambition is to play our full part Being a responsible business and contributing Providing and supporting safe and healthy work, Being for the many people, we strive to be
in contributing to a fair and equal society to resilient societies labour rights and social protection, and striving inclusive and include different needs and
towards securing stable and predictable work for perspectives into our offer.
by respecting and promoting human rights
Respecting human rights and children’s rights everyone in the IKEA value chain.
across the value chain and contributing to by operationalizing the UN Guiding Principles on Securing a more inclusive and diverse IKEA value
resilient societies. Business and Human Rights and the Children’s Securing a just transition2 to a net-zero and circular chain by integrating social businesses, minority-
Rights and Business Principles, ensuring we economy with a focus on enabling decent work owned enterprises and small and medium-sized
We recognise our responsibility to address address our most critical human rights risks through, for example, upskilling and reskilling to enterprises (SMEs).
and impacts across our value chain. We are also meet future demands.
the negative impacts of our business and will
committed to promoting human rights and Actively providing livelihoods and opportunities to
always seek to create a positive impact for children’s rights in society. Providing and supporting that everyone in the marginalised groups of people in the IKEA value
people. We will provide and support decent IKEA value chain is empowered to play an active chain and beyond.
and meaningful work, including providing Ensuring ethical business practices, including role in their work. Everyone is free to join or form
and promoting a living wage and ensuring a combating corruption; securing ethical handling associations of their choice (or to refrain from Promoting a human-centric approach to our digital
of data and digital technology, including artificial doing so) and bargain collectively. Everyone is touchpoints and data-driven processes, ensuring
just transition.
intelligence; complying with both the letter and recruited responsibly and is free to enter and end equality, diversity and inclusion.
the spirit of the law when it comes to corporate tax employment.
We will ensure that the IKEA business policies, and being transparent about taxes paid. Ensuring our marketing and communication
contributes to a more equal, diverse and are not discriminatory, but actively challenge
inclusive society, through our business Securing a strong approach in relation to climate Being an equal, diverse and inclusive business stereotypes and promote diversity and inclusion.
and nature, health, political and social justice crises
practices as well as our products, services
to secure the safety, livelihoods and resilience Embracing all dimensions of human diversity
and communication. We will also use our size of our co-workers and partners across our value and strive to reflect the demographics of the
and influence to advocate for a fair and equal chain. societies in which we operate. Actively working to
society. prevent discrimination and ensuring equality of
Engage with communities along our value chain opportunity and treatment.
to create a positive social impact and prevent
negative impacts from the IKEA business. Promoting accessible and inclusive workplaces
both in structure and culture, where people can be
themselves and everyone’s voice is heard. 1
Responsible Wage Practices is an IKEA programme and related
framework and methodology which takes a holistic approach to the
Providing and supporting decent and subject of wages by placing equal focus on equality at work, pay
principles, competence, dialogue and a living wage.
meaningful work across the IKEA value chain Being a child-friendly business, securing child 2
ILO definition: “A Just Transition involves maximizing the social and
safeguarding, family-friendly practices3 and economic opportunities of climate action while minimizing and
carefully managing any challenges – including through effective social
Providing living wages and income in IKEA
1
inclusion and empowerment of children and youth. dialogue among all groups impacted, and respect for fundamental
operations and support the same among our labour principles and rights”.

business partners and in the wider sectors of Family-friendly practices are defined as paid parental leave, supporting
3

breastfeeding, affordable, accessible and quality child care and


which we are a part. providing child benefits. UNICEF “Family-Friendly Policies”, 2019
18 - IKEA Sustainability Strategy - © Inter IKEA Systems B.V. 2024

Enablers: how we make it happen


Through our strength, size Entrepreneurship and innovation Competence and knowledge building Inclusiveness and community engagement
and business setup we can
We rely on our entrepreneurial spirit for We cultivate a learning environment encouraging We seek always to be inclusive and actively
think and act long-term to
innovation and turning challenges into and supporting competence development and engage in the communities where we operate,
make our commitments
opportunities. We also look to others, such knowledge building among our co-workers and through IKEA stores, offices, warehouses,
become reality. Central to as social entrepreneurs, for ideas and across our value chain. factories, and online platforms. We strive to
this process are transparency inspiration to help tackle inequality and engage with affected stakeholders to address
and accountability. We are promote human rights. Codes of conduct – IWAY and IConduct both direct and indirect impacts of the IKEA
determined to be a positive business.
force in society, and inspire Co-creation and partnership We will continue setting clear standards and
and influence and work with expectations for the IKEA business relationships Communication and marketing
others, through a set of We work together with co-workers, and ourselves. The expectations we place
customers as well as innovative partners on ourselves, and our business partners are We use ethical marketing and communication
strategic enablers:
who have unique expertise, perspectives found in our supplier code of conduct IWAY, the to inspire a healthy and sustainable way of
and insights to develop value for people, Inter IKEA Group Code of Conduct and in the living, secure co-creation and continuous
the planet and our business. franchisee code of conduct, IConduct. dialogue. Our ambition is to inspire and
enable people to make a positive difference in
Business requirements Reporting and transparency their everyday lives, in their communities and
in society at large.
We secure that investment mechanisms, We are open and transparent and invite others
performance indicators, data, digital to learn from our successes, failures, challenges Advocacy
tools and technology, processes, the and ways of working. The IKEA business is fully
IKEA Concept, and other capabilities and committed to transparently reporting on our Through advocacy, we work with
incentives are in place throughout the progress in line with relevant standards, and governments, authorities, politicians, civil
business to support the transformational welcome relevant new reporting requirements. servants, trade associations, NGO’s, unions,
changes needed. To move from vision to action, each business and others with an interest in, or impact on,
needs to set clear goals and targets to prioritise the IKEA business. We engage in dialogue and
and measure our progress. share experience-based insights on key topics
and in markets relevant for our business.
19 - IKEA Sustainability Strategy - © Inter IKEA Systems B.V. 2024

Overview of ambitions
and commitments

Healthy & Climate, Fair


sustainable nature & &
living circularity equal

Ambitions for 2030 We will inspire and enable people to move towards We are transitioning towards a circular business built By 2030, our ambition is to play our full part in
healthy and sustainable lifestyles, by making healthy and on clean, renewable energy and regenerative resources, contributing to a fair and equal society by respecting
sustainable living a desirable choice that is affordable, de-coupling virgin non-renewable material use from our and promoting human rights across the value chain and
attractive and accessible for as many people as possible. growth. The aim is to end our dependency on virgin non- contributing to resilient societies.
renewable materials and fossil fuels.
We will offer products where environmental and We recognise our responsibility to address the negative
social impact as well as circular capabilities have been We will contribute to limiting the global temperature impacts of our business and will always seek to create a
considered. We will also offer products and services that increase to 1.5C, in line with the Paris agreement, by positive impact for people. We will provide and support
can directly support a healthy and sustainable lifestyle drastically reducing emissions in line with science, decent and meaningful work, including providing and
in, for example, the areas of energy, water, air, waste and removing and storing carbon through forestry, promoting a living wage and ensuring a just transition.
food. We will inspire behaviours that lead to a reduced agriculture and products as well as contributing with
environmental footprint as well as better health and additional reductions in society. We will ensure that the IKEA business contributes to a
wellbeing at home. more equal, diverse and inclusive society, through our
We will also do our part to contribute to clean air, water business practices as well as our products, services and
and improved biodiversity. communication. We will also use our size and influence to
advocate for a fair and equal society.

Commitments • Offering home furnishing products, services and • Transitioning towards a circular business • Being a responsible business and contributing to
solutions that support a healthy and/or sustainable resilient societies
life at home • Taking climate action by halving emissions from the
IKEA value chain, on our way towards net zero • Providing and supporting decent and meaningful
• Offering a food range that supports healthy and work across the IKEA value chain
sustainable eating • Regenerating resources, protecting ecosystems and
improving biodiversity • Being an equal, diverse and inclusive business
• Contributing to creating a shift in society where
healthy and sustainable lifestyles become the default

Key enablers Entrepreneurship and innovation - Co-creation and partnership - Business requirements - Competence and knowledge building - Codes of conduct – IWAY and IConduct - Reporting and
transparency - Inclusiveness and community engagement - Communication and marketing - Advocacy

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