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GRI Index

We have self-declared our reporting to be Application Level A+ of the GRI G3 Guidelines (version 3.0). PricewaterhouseCoopers Oy has checked our reporting and has confirmed it to be Application Level A+. Kesko reports on all material information and indicators related to its operations. GRI indicator protocols are not applied in detail for all of the indicators.

GRI guideline
Kesko’s Report
Code GRI content Included Page in printed report Link Further information Global Compact







1. Strategy and analysis




1.1 Statement from the President and CEO 8–9 Review by the President and CEO

1.2 Description of key impacts, risks, and opportunities 14–15, 20–23 Strategy,

Opportunities and risks,





Responsibility programme,





Updated responsibility programme












2. Organisational profile




2.1 Name of the organisation 6 Kesko 2012

2.2 Primary brands, products and services 4–5 Divisions

2.3 Operational structure 4–5 Divisions

2.4 Location of organisation’s headquarters 4 Kesko 2012

2.5 Countries where the organisation operates 4–5, 7 Divisions,

Key performance indicators





2.6 Nature of ownership and legal form 6, 77 Kesko 2012,

Economic performance





2.7 Markets served 3–7 Kesko 2012,

Divisions,





Key performance indicators





2.8 Scale of the reporting organisation 6–7 Kesko 2012, Kesko’s 2012 Annual Report
Key performance indicators





2.9 Significant changes during the reporting period regarding size, structure, or ownership 6, 13 Kesko 2012,

Events in 2012





2.10 Awards received in the reporting period 11, 38 Kesko in the most significant sustainability indices,

Working community












3. Report parameters




3.1 Reporting period 3


3.2 Date of most recent previous report 3


3.3 Reporting cycle 2


3.4 Contact point for questions regarding the report or its contents 104 Contacts

3.5 Process for defining report content (materiality, prioritisation, stakeholders expected to use the report) 3, 16–17 Materiality assessment

3.6 Boundary of the report 2–3


3.7 Specific limitations on the scope or boundary of the report 3


3.8 Basis for reporting on joint ventures, subsidiaries, leased facilities, outsourced operations 2–3


3.9 Data measurement techniques and the bases of calculations 3


3.10 Explanation of the effect of any re-statements of information provided in earlier reports 3


3.11 Significant changes in the scope, boundary, or measurement methods applied in the report 3


3.12 GRI content index 60–64 GRI index

3.13 Policy and current practice with regard to seeking external assurance for the report 3, 102–103









4. Governance, commitments, and engagement



4.1 Governance structure of the organisation 68–69 Responsibility monitoring and steering Kesko’s 2012 Annual Report, pages 53–54.
4.2 The Board Chair’s function within the organisation’s management 68 Responsibility monitoring and steering Kesko’s 2012 Annual Report, page 54.
4.3 Independence of Board members 68 Responsibility monitoring and steering Kesko’s 2012 Annual Report, page 54.
4.4 Mechanisms for shareholders and employees to provide recommendations or direction to the Board 68–69 Responsibility monitoring and steering Kesko’s 2012 Annual Report, page 53.
4.5 Linkage between compensation for members of the Board and the management, and the organisation’s corporate responsibility performance 69, 91 Responsibility monitoring and steering, Kesko’s 2012 Annual Report, page 55.
Labour





4.6 Processes in place for the Board to ensure conflicts of interest are avoided 68–69 Responsibility monitoring and steering Kesko complies with the Finnish Corporate Governance Code for Listed Companies. Kesko’s 2012 Annual Report, pages 52–55.
4.7 Qualifications and expertise of the Board members for strategic management and corporate responsibility 69 Responsibility monitoring and steering

4.8 Mission, values, codes of conduct and principles, and the status of their implementation 65–66 Responsibility monitoring and steering

4.9 Procedures of the Board for overseeing the organisation’s management of economic, environmental and social performance, including risk management 16, 65–66, 68–69 Materiality assessment,

Responsibility management,





Responsibility monitoring and steering





4.10 Processes for evaluating the Board’s own performance 68 Responsibility monitoring and steering

4.11 Explanation of how the precautionary principle is addressed 20–21, 78–79 Opportunities and risks,

Economic performance





4.12 Externally developed economic, environmental and social initiatives to which the organisation endorses 66 Responsibility management

4.13 Memberships in associations and advocacy organisations 71 Responsibility monitoring and steering www.kesko.fi/responsibility
4.14 Stakeholder groups engaged by the organisation 19 Key stakeholders

4.15 Basis for identification and selection of stakeholders 18 Stakeholder interaction

4.16 Approaches to stakeholder engagement 18–19 Stakeholder interaction,

Key stakeholders





4.17 Key topics and concerns raised through stakeholder engagement 16–18, 95 Materiality assessment,

Stakeholder interaction,





Labour












5. Management approach and performance indicators



Economic responsibility
Management approach to economic responsibility 20–23, 65–71 Opportunities and risks,
x
Responsibility programme,





Updated responsibility programme,





Responsibility management,









Responsibility monitoring and steering

Economic performance indicators




EC1* Direct economic value generated and distributed 77–78 Economic performance

EC2* Financial implications and other risks and opportunities for the organisation’s activities due to climate change 78–79 Economic performance
x
EC3* Coverage of the organisation’s defined benefit plan obligations 79 Economic performance

EC4* Financial assistance received from government 79 Economic performance

EC5 Standard entry level wages compared to local minimum wages at organisation’s significant locations of operations

In Finland, Sweden and Norway, collective agreement. In other countries, at least statutory minimum wages. Ratio data not available.
EC6* Spending on locally-based suppliers 73, 80–81 Responsibility monitoring and steering,

Market presence





EC7* Procedures for local hiring 80–81 Market presence
x
EC8* Infrastructure investments and services provided for public benefit 81 Indirect economic performance

EC9* Significant indirect economic impacts, including the extent of impacts 14–15, 23, 81 Strategy,

Updated responsibility programme,





Indirect economic performance



















Environmental responsibility
Management approach to environmental responsibility 20–23, 65–67, 75–76, 82 Opportunities and risks,
x
Responsibility programme,





Updated responsibility programme,





Responsibility management,





Responsibility monitoring and steering












Environmental performance indicators




EN1* Materials used 82 Materials Packaging materials supplied to the market. Data from outside Finland not available. x
EN2* Materials used that are recycled input material 82 Materials Reporting covers recycling of packaging plastic used in transportation.
EN3* Direct energy consumption 82–83 Materials,
x
Energy





EN4* Indirect energy consumption 82–83 Materials,
x
Energy





EN5 Energy saved due to conservation and efficiency improvements 83–84 Energy
x
EN6 Energy-efficient or renewable energy-based products and service 53, 57, 84 CASE Energy Expert, Energy savings achieved not reported. x
CASE Logistics,





Energy





EN7 Initiatives to reduce indirect energy consumption and reductions achieve 84 Energy Energy savings achieved not reported. x
EN8* Water withdrawal 84–85 Water
x
EN9 Water sources significantly affected by Not material in Kesko’s withdrawal of water


Not material in Kesko’s operations. Kesko uses municipal water.
EN10 Water recycled and reused 85 Water

EN11* Land owned, leased and managed in areas of high biodiversity value or in protected areas 85 Biodiversity

EN12* Impacts of activities on biodiversity in protected areas and¨areas of high biodiversity value 85 Biodiversity Reporting covers Kesko’s areas of direct impacts and provides purchasing policy definitions. All supply chain impacts cannot be reliably assessed.
EN13 Habitats protected or restored
Biodiversity

EN14 Strategies, actions and plans related to biodiversity 23, 75–76, 83,85–86 Updated responsibility programme,

Responsibility monitoring and steering,





Energy,





Biodiversity





EN15 IUCN Red List species and national conservation list species in areas affected by operations 86 Biodiversity

EN16* Direct and indirect greenhouse gas emissions 86–87 Emissions, effluents, and waste
x
EN17* Other indirect greenhouse gas emissions 86–87 Emissions, effluents, and waste
x
EN18 Initiatives to reduce greenhouse gas emissions 87 Emissions, effluents, and waste Emission reductions achieved not reported. x
EN19* Emissions of ozone-depleting substances 87 Emissions, effluents, and waste
x
EN20* NOx, SOx, and other significant air emissions by type 87 Emissions, effluents, and waste
x
EN21* Water discharge 87 Emissions, effluents, and waste

EN22* Total weight of waste by type and disposal method 87–89 Emissions, effluents, and waste
x
EN23* Total number and volume of significant spills 89 Emissions, effluents, and waste
x
EN24 Weight of transported, imported, exported, or treated waste deemed hazardous

Not material in Kesko’s operations.
EN25 Water bodies significantly affected by the reporting organisation’s discharges of to water and runoff 89 Emissions, effluents, and waste

EN26* Initiatives to mitigate environmental impacts of products and services, and extent of impact mitigation 22, 89–90 Responsibility programme Kesko has indirect impacts on products on sale. Results achieved through products on sale cannot be reliably assessed. x
Products and services





EN27* Percentage of products sold and their packaging materials that are reclaimed 90 Products and services Reporting covers recycling of packaging plastic used in transportation. x
EN28* Compliance with environmental laws and regulations 89 Products and services
x
EN29 Significant environmental impacts of transporting 86–87, 90 Emissions, effluents, and waste,
x
Products and services





EN30 Total environmental protection expenditures and investments

Data not available.














Social responsibility
Management approach to labour aspects 20–23, 65–67, 71–72 Opportunities and risks,
x
Responsibility programme,





Updated responsibility programme,





Responsibility management,





Responsibility monitoring and steering












Labour practices and decent work performance indicators




LA1* Total workforce by employment type and employment contract 91–92 Labour

LA2* Employee turnover 91–92 Labour Not reported by age group or gender. Data not available. x
LA3 Benefits provided to employees 91–92 Labour Benefits exceeding statutory level not reported in detail. Practices vary by operating country.
LA4* Percentage of employees covered by collective bargaining agreements 92 Labour x
LA5* Minimum notice period(s) regarding operational changes 92 Labour
x
LA6 Percentage of total workforce represented in formal health and safety committees 93 Labour Percentage of employees not reported. Arrangements compliant to local legislation. x
LA7* Rates of injury, occupational diseases, lost days, absenteeism and work-related fatalities 93 Labour Reporting does not cover contractors. Occupational injury statistics not available for countries other than Finland. x
LA8* Education and counselling to assist workforce members regarding serious diseases 93–94 Labour Kesko’s activities/programmes for serious diseases have direct impact on Kesko personnel only. x
LA9 Health and safety topics covered in formal agreements with trade unions

In Finland, arrangements based on legislation.
LA10* Average hours of training per employee 94–95 Labour Not reported by personnel category. Data not available.
LA11 Programmes for skills management and lifelong learning 94–95 Labour

LA12 Performance and career development reviews 95 Labour

LA13* Composition and diversity of governance bodies and employee categories 95–96 Labour
x
LA14* Ratio of basic salary of men to women 97 Labour Ratio not reported. Group-level comparison not possible. x














Management approach to human rights 20–23, 65–67, 71–74 Opportunities and risks,
x
Responsibility programme,





Updated responsibility programme,





Responsibility management,





Responsibility monitoring and steering












Human rights performance indicators




HR1* Human rights screening in investment decisions

In Kesko’s operating countries, no problems in human rights issues related to the retail trade have been detected. The issue is included in the risk assessment procedure.
HR2* Suppliers’ and contractors’ screening on human rights 97–98 Human rights Number of suppliers in BSCI, SA8000 and Fairtrade audits reported, no percentages. x
HR3 Employee training on policies and procedures concerning aspects of human rights 98 Human rights Training hours not reported, data not available. x
HR4* Total number of incidents of discrimination and actions taken 98 Human rights
x
HR5* Operations in which the right to exercise freedom of association and collective bargaining may be at risk 98 Human rights Employee unionisation rates reported for functions on which data is available.
HR6* Operations with a risk for incidents of child labour 97–98 Human rights
x
HR7* Operations with a risk for incidents of forced or compulsory labour 97–98 Human rights
x
HR8 Percentage of security personnel trained in aspects of human rights 98 Human rights Description of security issue management.
HR9 Number of incidents involving rights of indigenous people and actions taken 98 Human rights No violations. x














Management approach to society aspects 20–23, 65–67,70–71 Opportunities and risks,
x
Responsibility programme,





Updated responsibility programme,





Responsibility management,





Responsibility monitoring and steering












Society performance indicators




SO1* Programmes that assess and manage the impacts of operations on communities

Assessments compliant with local laws.
SO2* Percentage and number of business units analysed for risks related to corruption 99 Society Risks related to corruption considered as part of Kesko’s risk management. Key risks are identified and assessed regularly during the year. x
SO3* Percentage of employees trained in anti-corruption policies and procedures 99 Society Number of employees trained and percentages for management and other employees not reported. Percentages not available. x
SO4* Actions taken in response to incidents of corruption 99 Society
x
SO5* Organisation’s public policy positions and participation in public policy development and lobbying 99 Society
x
SO6 Financial and in-kind contributions to political parties, politicians and related institutions 99 Society
x
SO7 Legal actions for anti-competitive behaviour, anti-trust, and monopoly practices 99 Society

SO8* Fines and non-monetary sanctions for non-compliance with laws and regulations 99 Society















Management approach to product responsibility 20–23, 65–67, 73–75 Opportunities and risks,
x
Responsibility programme,





Updated responsibility programme,





Responsibility management,





Responsibility monitoring and steering












Product responsibility performance indicators




PR1* Assessment of health and safety impacts of products and services at various life cycle stages 99 Product responsibility Percentage of products and services covered by the assessment not reported. Data not available. x
PR2 Non-compliance with regulations and codes concerning health and safety impacts of products 99 Product responsibility
x
PR3* Product and service information required by procedures 100 Product responsibility Percentage of products included in mandatory product information not reported. Data not available. x
PR4 Non-compliance with regulations and voluntary codes concerning product and service information and labelling 100 Product responsibility
x
PR5 Practices related to customer satisfaction and results of customer satisfaction surveys 100 Product responsibility Results of customer satisfaction surveys not reported. Group-level results not available.
PR6* Adherence to laws, standards and voluntary codes related to marketing communications, incl. advertising, promotion and sponsorship 100 Product responsibility

PR7 Incidents of non-compliance with laws and regulations and voluntary codes related to marketing communications 100 Product responsibility

PR8 Complaints regarding breaches of customer privacy and losses of customer data 100 Product responsibility Number of complaints regarding breaches of customer privacy not reported. Statistics on complaints are not compiled by issue. x
PR9* Fines for non-compliance with laws and regulations concerning products and services 100 Product responsibility








Included




Partly included




Not included











* Key indicator recommended in the GRI guidelines

x) Reporting in compliance with Global Compact principles, COP = Communication on Progress