Headlam Group plc (‘Headlam’ or the ‘Company’) is Europe’s leading floorcoverings distributor. The Company’s major customer segments are retail businesses and contractors sourcing flooring products and expertise for residential and commercial end-consumers across the UK and certain Continental European countries.
Headlam is committed to mitigating its direct and indirect impact on the environment through:
This Environmental Policy (the ‘Policy’) describes the approach Headlam is taking within the commercial and operational areas of its business that have been identified as having the greatest environmental impact risks or opportunities. It includes the processes and approaches which have been implemented or are being further developed in order to prevent, mitigate or reduce identified risks and to capitalise on any related opportunities to enhance the sustainability of the business.
Based on independent audits of energy consumption and assessment of direct waste outputs, Headlam has identified the following areas of focus for this Policy:
Headlam’s direct (Scope 1) CO2 emissions predominantly arise from fuel sources used in its transport activities which account for approximately 90% of Scope 1 emissions, with the remainder due to natural gas usage at various sites. Indirect (Scope 2 and 3) emissions arise mostly through electricity consumption at sites (Scope 2), and from global supply chains and end-of-life treatment of sold products (Scope 3).
The following table outlines the processes and actions taken to reduce the Company’s total emissions.
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Focus area |
Ambition |
Approach |
|
Direct (Scope 1) emissions |
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Transport vehicle emissions |
Compliance with emission standards |
Ensure all commercial vehicles are compliant with the latest Euro 6 emission standards |
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Most efficient delivery fleet utilisation |
Continued roll-out of the transport integration project, with more deliveries per vehicle |
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Adopt industry best practices |
Adoption of good driver behaviours, and further applications of FORS accreditation |
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Company car emissions |
Reduce emissions to lowest possible level |
Continuing to improve the availability of hybrid and low emission vehicles |
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Natural gas combustion |
Lowest energy usage |
Promotion of energy saving activities and actions across all sites, and newer sites incorporating more energy efficient technologies and equipment |
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Indirect (Scope 2) emissions |
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Office and warehouse emissions |
Lowest energy usage |
Promotion of energy saving activities and actions across all sites, and upgrading of sites with more energy efficient technologies and equipment |
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Indirect (Scope 3) emissions |
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Supply chain emissions |
Engage with suppliers to reduce their emissions |
Work in partneship with suppliers to increase supply chain efficiencies, including through improved production scheduling, buying and deliveries |
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End-of-life treatment of sold products |
Proactively participate with industry bodies to reduce flooring waste and promote recycling / re-use |
Continue to support and work in partnership with Carpet Recycling UK and Recoflor, and increase awareness across the industry |
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Sustainable product set |
Increase the proportion of sustainable products available to customers |
Work in partnership with suppliers to support the development, production and marketing of sustainable and recyclable products into the marketplace |
Product packaging is a necessary component in securing the quality of products and maintaining that while in transit through the distribution network. Plastic packaging, cardboard poles and wooden pallets make up the bulk of the waste arising from Headlam’s operations. Headlam has prioritised the use of recycled plastic packaging, and the following table outlines the approach Headlam is taking in relation to product packaging and waste.
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Focus area |
Ambition |
Approach |
|
Sustainability of product packaging |
Use only recycled plastic packaging across operations |
Initiative in place for all locations to be using regranulated polythene packaging manufactured from 100% recycled polythene |
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Waste management |
Recycling of all waste arising from its operations |
Send zero floorcovering products or packaging waste to landfill |
|
Industry waste |
Help reduce waste and landfill arising from the industry |
Engage with suppliers to increase their use of sustainable or recycled packaging. Work with suppliers to promote recyclable products and recycling activities to customers |
Headlam is committed to providing the highest levels of disclosure within its annual report and accounts on its energy usage, carbon emissions and actions being undertaken to reduce its environmental impact. The Company evidenced this commitment by voluntarily complying a year early with the UK Government’s Streamlined Energy & Carbon Reporting (SECR) scheme.
Headlam aims to continually improve its levels of disclosure, as well as develop a comprehensive sustainability strategy. During 2021, the Company will publish a ESG (Environmental, Social and Governance) Strategy Report which will include the outcome of a Materiality Assessment, the resultant strategy and practices that Headlam is and will take to address the identified material risks, and supporting key performance indicators to allow measurement of progress towards them. These disclosures will form the basis of TCFD alignment in future reporting.
This Policy is publicly available on the Company’s website (www.headlam.com) and accessible to all employees via the intranet.
Headlam’s Chief Executive is nominated as the individual who champions environmental performance at Board level, and all employees of Headlam are expected to uphold and adhere to the principles, commitments and actions set out in this Policy where they are able to discharge them.
This Policy, subject to annual review and approval by the Board of Directors of Headlam, was last approved by the Board of Headlam on 15 December 2020.
Steve Wilson
Chief Executive