ALDI: Corporate Responsibility Strategy Madeline

Transcript:ALDI: Corporate Responsibility Strategy Madeline:
ALDI: Corporate Responsibility Strategy Madeline Bird, Elaina DeHoratius, Kate Morrison, Helen Phillips-White Theme Aldi must capitalize on opportunities presented by the current zeitgeist of corporate social responsibility in the United States in order to increase its visibility and enhance its public image. Background Current Sustainable Business Practices Organic product offerings Living wages/benefits Current Low-Cost Business Practices Low property costs Low labor costs Limited product assortment Marketing and Public Relations Current policy-no publicity Cultural Values - vanity highly discouraged Customer Trust - built through simplicity Analysis Value Chain Analysis Recommendations Attain B-Corp Status Increase Public Relations Initiatives Develop strict PR guidelines Encourage media coverage Do not increase marketing activities Let actions speak for Aldi B Corp and Aldi B Corp For profit companies, certified by B Lab Meet standards Social/environmental performance Accountability Transparency Aldi Currently meeting and exceeding standards Becoming a B Corp will Generate press and increase positive brand reputation Save money which is in line with operational model Hold Aldi accountable to CR principles (est. 2015) How to Become a B Corp Meet Performance Requirement Complete B Impact Assessment 80/200 Governance Workers Community Environment Meet legal requirement Determine path for corporate structure and state of incorporation Make it official Sign B Corp Declaration of Interdependence and Term Sheet Governance Ex: Has the company worked within its industry to develop social and environmental standards for your industry? Environmental Aldi has increased # of sustainably produced cocoa products Similar increases in seafood, coffee, etc. Social Partnerships with Feeding America and Action for Healthy Kids in California Workers Ex: Based on the results of your employee satisfaction assessment (conducted within the past two fiscal years), what percent of your employees are “satisfied” or “engaged? High employee satifaction is part of Aldi’s culture Community Ex: What % of management is from underrepresented populations? (includes women, minorities, people with disabilities) Over half of total employees are female There is room for improvement in management representation Environment Ex: Does your company monitor and record its universal waste? “Avoid, reuse, recycle” strategy Recycles nearly 100% of transport packaging 81% of stores donate unsold food Value Added Macro trend Importance of purpose as a purchase factor has risen 26 percent globally since 2010 88 percent of research shows solid ESG practices result in better operational performance Reputation “Word of mouth is becoming your number one marketing tool” -Kaspar Ulf Nielson 73% of global consumers would recommend companies