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Action: Case study

Action, our largest portfolio company, is a pan-European non-food discount retailer with over 2,250 stores in 11 countries. 

  • Portfolio
  • Action
Action (1)

Sustainability is an integral aspect of Action’s strategy. It is committed to making sustainability accessible for everyone by continually investing to improve the quality and sustainability of its products and stores.

Action’s Sustainability Programme is structured around the four pillars of people, planet, product and partnership, each with clear and measurable KPIs and targets. We highlight below the progress Action has made on some of its priorities.

  • Action 074 20220812
  • Action (1)
  • Action DC Exterior FR Belleville Double Decker

Progress on material topics

GHG emissions reduction

Key commitments Progress to 2022
60% reduction in Scope 1 and 2 emissions by 2030 (2021 baseline)
  • 40% reduction in Scope 1 and 2 emissions in 2022 compared to 2021
  • 85% of stores disconnected from gas grid
  • 90% of electricity used or consumed from renewable sources
  • 95% of stores fitted with LED lights

Action is committed to reducing the absolute emissions from its own operations and to decreasing the impact the company has on the environment. In support of this, it has set an ambitious reduction target with several initiatives underway, including disconnecting its store base from the gas grid, installing solar panels on some distribution centres and stores, procuring electricity from renewable sources, as well as various other energy efficiency measures, such as the installation of LED lights in stores.

Action is also working to reduce the emissions associated with its logistics and delivered a 13% reduction in transportation emissions from its own trucks in 2022, driven primarily by piloting the use of biofuels. In 2023, Action will take this further by piloting the use of electric trucks. The company has entered into a collaboration with key logistics partner Maersk to lower the emissions of its sea freight operations through Maersk’s ECO Delivery programme, which involves the replacement of fossil fuels with ISCC certified green fuels. This will result in the reduction of Action’s Scope 3 emissions by an estimated 29,000 tonnes of CO2 in the current calendar year.

Importantly, Action is in the process of calculating its Scope 3 emissions to determine future targets and reduction strategies throughout the value chain.

Responsible sourcing

Key commitments

Progress to 2022
100% sustainably sourced cotton by 2023
  • 90% of cotton sustainably sourced (BCI/organic/recycled)
100% sustainably sourced cocoa for private label products by 2023
  • 100% of own brand chocolate sourced with Fairtrade cocoa
100% sustainably sourced timber by 2024
  • 92% of timber products sustainably sourced (FSC/PEFC)
100% private label and white label Tier 1 supply chain transparency by 2025
  • Launched partnership with ImpactBuying to improve supply chain transparency across product categories
  • Engaged the consultancy firm Enact to assess and improve supplier due diligence practices
  • 100% private label product transparency (Tier 1 suppliers) achieved in 2022
  • 98% of direct import factories in high-risk countries assessed on social impacts through social audits and spot checks
  • Piloted the amfori BEPI assessment

Action has a global supply chain and is committed to sourcing its products responsibly with consideration for the environment, human and labour rights. The company uses a number of tools to achieve this ambition, including:

  • an ethical sourcing policy, accepted by suppliers and which is built upon recognised international frameworks;
  • responsible sourcing policies for timber products, cotton, cocoa, chemicals, plastics and packaging, implemented through third-party certification with partners such as FSC, Better Cotton and Fairtrade; and
  • robust due diligence procedures on suppliers and factories, including a programme of social audits and spot checks applied to direct import suppliers, which can result in remediation actions or in the termination of supplier relationships.

Product circularity and sustainable packaging

Key commitments Progress to 2022
100% recyclable packaging by 2025 (excluding A-brands)
25% weight reduction target for the primary packaging of its fixed assortment (private and white label products) by 2025 (from 2019 baseline)
  • Completed circularity baseline assessments for all 14 product categories
  • Improved 10 category scores from original baselines
  • Currently assessing a product circularity goal
  • 100% of private label packaging recyclable (no PVC or black plastics)
  • Launched sustainable packaging policy to aid buyers in purchasing decisions

Action strives to improve product circularity, which is managed per product category. It has completed circular baseline assessments for each of its 14 product categories and set targets to improve
the circularity scoring of each of these.

Its Buying and Quality teams have been supported by Circle Economy, a circularity specialist, to improve their awareness and implementation of circularity through product sourcing. Action has also implemented policies for unsold and damaged goods which are separated into resaleable products or waste, which is separated and re-used where possible.

The company also aims to mitigate the negative impact caused by pollution from packaging by increasing the use of renewable materials, reducing the weight and improving the recyclability
of packaging. Action’s commitments on these topics are set out in the table above.

  • Action Trailer Sustainable FR Belleville
  • Action Trailer Sustainable Full EN
  • Action DC Exterior FR Belleville Double Decker