Department stores around the world are facing increasing challenges in implementing corporate social responsibility (CSR) measures. The International Association of Department Stores (IADS) has emphasized the complexities involved in this industry. While basic CSR measures have been taken, department stores now need to collaborate with stakeholders and adapt to changing demands more quickly.
One key aspect that all IADS members agree on is the importance of involving employees and stakeholders in defining and prioritizing CSR actions. This includes engaging with external parties such as consultants and NGOs like Oxfam, WWF, and the Sustainable Apparel Coalition. Examples of progress in CSR efforts include Galeries Lafayette establishing a dedicated CSR office and introducing the Go For Good label to identify sustainable products, Magasin du Nord in Denmark focusing on improving their own brands, and Breuninger in Germany releasing their first internal CSR mission statement.
Communicating CSR efforts to customers is crucial for department stores. It is important for IADS members to influence customer behavior towards responsible buying without being accused of greenwashing. Department stores have primarily focused on controlling emissions related to their facilities and vehicles, as well as sourcing electricity, steam, and heating. Some stores have achieved significant reductions in emissions and have set ambitious targets for zero emissions by 2050. However, addressing emissions caused by suppliers is more challenging.
Collaboration and information exchange among retailers are beneficial but limited by national regulations. A one-size-fits-all strategy is not feasible, and strategies will evolve over time. The IADS emphasizes the importance of ESG criteria, which include environmental impact, societal aspects, and corporate governance issues. Companies must consider governance factors as they may impact credit ratings and bank loans. Retailers face consequences if they do not meet their commitments.
CSR strategies among department store chains vary depending on the regions they operate in and the regulatory frameworks in place. The IADS includes department store groups from various countries, highlighting the global nature of this industry.
As CSR measures become more complex, department store chains must navigate challenges and collaborate with stakeholders to reduce their impact on the planet. By involving employees, stakeholders, and external parties like NGOs, and adapting to evolving demands, these stores can work towards a more sustainable future.
Useful links:
Oxfam
Sustainable Apparel Coalition
