Actively managing sustainability
In line with METRO AG’s strategy, sustainability is systematically and organisationally entrenched in the core business. Sustainability management takes into account interdependencies between economic, environmental and social aspects in an efficient, solution-oriented manner. The Management Board of METRO AG is involved in the topics presented here and is regularly updated about their progress by the Sustainability Committee. Moreover, the remuneration of the Management Board and the global senior management is linked to the assessment of METRO’s sustainability performance e.g. in the rating of the Dow Jones Sustainability Index (DJSI).
As the highest sustainability body in the company, the Sustainability Committee provides the strategic framework and group-wide goals and facilitates the exchange of information on sustainability issues at the highest management level – sometimes also with external input from guest speakers. To adequately respond to the specific market and customer requirements, the METRO companies manage the operational implementation of overarching sustainable development goals within this framework. They are responsible for working on the relevant sustainability issues, for defining and implementing specific targets and measures and for monitoring their success. The committee is chaired by 2 representatives from the top management, who are regularly rotated. Other members of the committee are:
- People in charge of corporate responsibility at METRO AG
- Representatives of the core functions procurement, quality assurance, communication as well as energy management/real estate sustainability
- Representatives of the METRO national subsidiaries
Sustainability management is closely linked to our opportunity and risk management through formalised reporting and assessment of sustainability-related opportunities and risks. This enables the Management Board to systematically identify, evaluate and control deviations from the sustainability goals and the associated opportunities and risks.
In accordance with § 289c Section 3 Sentence 1 Nos. 3 and 4 of the German Commercial Code (HGB), there are no reportable risks for financial year 2020/21 with regard to our material topics.
Our stakeholders evaluate all sustainability measures implemented, for example through ratings. These assessments by independent third parties show us progress and potential for improvement in our actions and are thus an important motivation and management tool for us.
ISS ESG (Institutional Shareholder Services – Environmental, Social, Governance) already awarded the prime status C+ (on a scale from D– to A+) to METRO in April 2020 already to recognise METRO as a leader in the industry sector. The next assessment is expected in 2023. In financial year 2020/21, we were once again listed in the Food & Staples Retailing group in the internationally important Dow Jones Sustainability Index World and Europe. In 2021, METRO was also again listed in the FTSE4Good index. New results at CDP were last published in December 20201The score for CDP 2021 are published after the assurance date of this annual report.. METRO improved its CDP Climate Change score to an A (F to A scale) in 2020 and is recognised by NGO CDP as a leader in this category and hence included on the ‘A List’ for commitment to tackling climate change. In addition, METRO was also assessed by CDP in the Water Security and Forests categories. In the Water Security category, METRO was able to maintain its B rating. The rating improved in 3 out of 4 assessed Forests categories: from B– to B in the Palm Oil and Timber categories. In the Cattle category, METRO was rated C after a D rating in the previous year. The B– rating in the Soy category stayed the same.
