Signatory Name: Birkenstock Australia Pty Ltd
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Signatory Name: Birkenstock Australia Pty Ltd
The question numbers in this report refer to the numbers in the report template. Not all questions are displayed in
this report.
Status: Completed
The content in this APC Annual Report is hereby endorsed by the Chief Executive Officer, or equivalent officer of the
organisation.
Yes
5. Industry sector (please select 1 only):
Brand Owner / Wholesaler / Retailer
Packaging Manufacturer
Waste Management
Other - Commercial Organisation
Community Group
Industry Association
Government
Raw Material Supplier
Other:
6. Industry type (please select 1 only):
Food & Beverage
Pharmaceutical / Personal Care / Medical
Hardware
Homewares
Communications / Electronics
Clothing / Footwear / Fashion
Chemicals / Agriculture
Fuel
Large Retailer
Tobacco
Shipping Company
Airline
Other:
7. Please indicate your organisation's reporting period:
Financial Year: 1 July 2012 – 30 June 2013
Calendar Year: 1 January 2013 – 31 December 2013Goal 1: Design
KPI 1: % of signatories with documented policies and procedures for evaluating and procuring packaging using the
SPGs or equivalent.
8. Does your company have documented policies and procedures for evaluating and procuring packaging using the
SPGs or equivalent?
Yes No
Provide details of policies and procedures
As a relatively simple organisation, with all primary, and most secondary packaging originating from overseas, we do not
maintain detailed policies and procedures into which this procedure can be incorporated. We have therefore established
policies and procedures as part of our APC Action Plan.
9. Of the types of packaging existing at the beginning of the reporting period, what percentage had been reviewed
using the Sustainable Packaging Guidelines (SPG) by the end of the reporting period?
100 %
10. Have any new types of packaging been introduced during the reporting period?
Yes No
11. If yes, of the new types of packaging introduced during the reporting period, what percentage have been
reviewed using the Sustainable Packaging Guidelines (SPG) by the end of the reporting
%
12. Please indicate your progress this year towards achieving your annual targets and milestones for KPI 1
Target: According to your Action Plan, what did you set Actual: What did you achieve?
out to do?
1. Review new and existing packaging against the SPG, and There is one existing packaging format - a shoebox. No
document identified opportunities for improvement new packaging was introduced during the period.
The existing packaging format was reviewed against the
SPG and fully documented.
2. Seek, in writing, to influence the design of packaging Outcomes from the above packaging review were sent to
performed in Germany, based on the outcome of the SPG the Birkenstock in Germany (the manufacturer), and have
review also been discussed face to face. A further face to face
conversation is set to take place in April 2014 and
relevant outcomes will be reported in the 2015 Annual
Report.
More detail is reported under KPI 6.
3. Replace disposable bags with re-usable calico bags We have eliminated the use of disposable bags in our
own retail stores - replacing these with calico bags which
are sold to consumers at cost price. (Further information
at https://www.facebook.com/birkenstockboutique)
We have observed in our own stores that over time
consumers are increasingly taking shoes away in the box
but without a bag.4. Consider packaging for online sales An increasing proportion of Birkenstock sales is occurring
through online transactions. In line with common practice
we are using plastic satchels for order fulfillment. These
are also used for returns. We have identified this an area
where secondary packaging can be improved and have
engaged with a third party to investigate re-usable
packaging.
Target - come up with a viable design during the first half
of 2014; if possible, implement this during the second half
of 2014
13. Describe any constraints or opportunities that affected performance under this KPI
We are in the midst of a rapid increase in the importance of online retail. The packaging options for distribution of online
purchases are less well developed and this represents a significant improvement opportunity across the entire retail
sector.
Goal 2: Recycling
KPI 3: % signatories applying on-site recovery systems for used packaging.
14. Do you have on-site recovery systems for recycling used packaging?
Yes at all facilities/ sites
Yes at some, but not all facilities/ sites
No
15. Please indicate your progress this year towards achieving your annual targets and milestones for KPI 3
Target: According to your Action Plan, what did you set Actual: What did you achieve?
out to do?
1. Maximise recycled content in packaging materials Primary packaging supplied by the manufacturer in
Germany contains the maximum amount of recycled
materials possible whilst maintaining minimum acceptable
packaging strength.
Our new warehouse and distribution partner purchases
repackages incoming goods for onward distri
bution. Most secondary packaging needs are met
through re-use of incoming packaging. Where additional
secondary packaging is required, recycled carton are
purchased.
(Further information is provided against KPI6)
2. Minimise local packaging purchases for traditional retail Target for traditional retail business model: Zero
business purchases of packaging within Australia .
Our intention is to minimise local packaging purchases.
This is primarily achieved through re-use of all incoming
packaging materials.
Outcome - following transfer of warehousing and
distribution to a third party, there have been only very
occasional requests for new cartons. We are currently
meeting >98% of packaging needs through re-use.3. Minimise local packaging purchases for online sales Target for online sales: Establish re-use option for
packaging of online sales.
Currently plastic satchells are used for all online order
fulfillment. We understand that these satchells, which are
typically provided ""free"" as part of a bundled price from
couriers, often include recycled content. We are
nevertheless concerned about what we see as a huge
growth (across the entire economy) in non-recylable
packaging as a result of the increase in online sales.
We are investigating alternatives with better
environmental outcomes. Further information is provided
under KPI 6.
4. Maximise recycled content of new office During the period we completed our move to the new
office. This was a major project which has already
received the Australian BPN 2013 small commercial
Sustainability Award.
In essence this project involved the purchase and careful
restoration of a heritage building in the heart of the main
Clifton Hill shopping strip. The re-use of this building,
which needed extensive work, has prevented significant
waste and purchase of building materials.
Beyond this we have used recycled and renewable
materials where possible including:
- Re-use of brick pavers
- Re-use of timber sleepers
- Recycled paper/fibre and bamboo kitchen benchtops
- FSC certified timber from a local timber co-operative
Further information is provided under KPI 7.
5. Maximise recycled content of local purchases Other purchases with recycled content include: White
Office paper, Letterheads, Info cards, and Envelopes
(100% recycled); in addition all external print jobs are
requested to be completed using recycled paper.
16. Describe any constraints or opportunities that affected performance under this KPI
The commissioning of the new office has offered a unique opportunity to incorporate significant amounts of recycled
materials outside of the normal activities of the business.KPI 4: Signatories implement formal policy of buying packaging made from recycled products.
17. Does your company have a formal policy of buying packaging made from recycled packaging?
Yes No
Provide details of policies and procedures (including names of policies/ procedures)
Our policy is included in our “Birkenstock Australia Environmental Policy”. This policy includes the following statements
(extract only):
Birkenstock Australia will, where possible, make purchasing decisions that favour:
- Products which can be re-used, reducing the need for purchase of new products, and reducing waste
- Products containing pre and post-consumer recycled material, including recycled packaging
- Products manufactured with minimum energy and water consumption
- Products with the lowest environmental and carbon footprint throughout the product’s lifecycle
- Suppliers who are committed to improving their environmental performance, and who are signatories to the Australian
Packaging Covenant
18. Is this policy actively used?
Yes No
19. Please indicate your progress this year towards achieving your annual targets and milestones for KPI 4
Target: According to your Action Plan, what did you set Actual: What did you achieve?
out to do?
1. Maximise recycled content in packaging materials Primary packaging supplied by the manufacturer in
Germany contains the maximum amount of recycled
materials possible whilst maintaining minimum acceptable
packaging strength.
Our new warehouse and distribution partner purchases
repackages incoming goods for onward distribution. Most
secondary packaging needs are met through re-use of
incoming packaging. Where additional secondary
packaging is required, recycled carton are purchased.
(Further information is provided against KPI6)
2. Minimise local packaging purchases for traditional retail Target for traditional retail business model: Zero
business purchases of packaging within Australia .
Our intention is to minimise local packaging purchases.
This is primarily achieved through re-use of all incoming
packaging materials.
Outcome - following transfer of warehousing and
distribution to a third party, there have been only very
occasional requests for new cartons. We are currently
meeting >98% of packaging needs through re-use.
3. Minimise local packaging purchases for online sales Target for online sales: Establish re-use option for
packaging of online sales.
Currently plastic satchells are used for all online order
fulfillment. We understand that these satchells, which are
typically provided ""free"" as part of a bundled price from
couriers, often include recycled content. We are
nevertheless concerned about what we see as a huge
growth (across the entire economy) in non-recylable
packaging as a result of the increase in online sales.
We are investigating alternatives with better
environmental outcomes. Further information is provided
under KPI 6.4. Maximise recycled content of new office During the period we completed our move to the new
office. This was a major project which has received
multiple sustainability awards. In essence this involved
the purchase and careful restoration of a heritage building
in the heart of the main Clifton Hill shopping strip. The re-
use of this building, which needed extensive work, has
prevented significant waste and purchase of building
materials.
Beyond this we have used recycled and renewable
materials where possible including:
- Re-use of brick pavers
- Re-use of timber sleepers
- Recycled paper/fibre and bamboo kitchen benchtops
- FSC certified timber from a local timber co-operative
Further information is provided under KPI 7.
5. Maximise recycled content of local purchases Other purchases with recycled content include: White
Office paper, Letterheads, Info cards, and Envelopes
(100% recycled); in addition all external print jobs are
requested to be completed using recycled paper.
20. Describe any constraints or opportunities that affected performance under this KPI
The commissioning of the new office has offered a unique opportunity to incorporate significant amounts of recycled
materials outside of the normal activities of the business.
Goal 3: Product Stewardship
KPI 6: % signatories with formal processes to work collaboratively on packaging design and / or recycling.
21. Does your company have formal processes in place for collaborating with other companies or organisations on
improved packaging designs and/or recycling which aims to reduce or eliminate waste?
Yes No
Provide details of policies and procedures (including names of policies/ procedures)
Birkenstock Australia is a relatively small organisation with hands on management and a small workforce. The business
is not managed through detailed procedures. Our approach to product stewardship is set out in our APC Action Plan.
Our process includes taking the following specific actions:
1. Identify relevant customers and other third parties with common interests in packaging product stewardship
2. Work with relevant customers and other third parties to identify product stewardship issues
3. Identify specific actions which can be taken collaboratively
4. Incorporate actions into future versions of Birkenstock’s APC Action Plan
22. Please indicate your progress this year towards achieving your annual targets and milestones for KPI 6
Target: According to your Action Plan, what did you set Actual: What did you achieve?
out to do?
1. Work with Birkenstock Germany to review and improve We maintain an ongoing dialogue with Birkenstock in
packaging design and recycling outcomes Germany to improve packaging design and recycling
outcomes in Australia. Our discussions, as reported in
previous annual reports, have indicated that sustainability
is a core value of Birkenstock, and this is reflected both in
the products and the packaging.
Over the last 12 months there has been significant
changes to the management of the German business.
This has led to ambitious plans to expand the business
globally.
We will be conducting face to face meetings with the new
management during April 2014. As part of this we will
seek confirmation that sustainability remains a core value
going forward.2. Work with new warehouse and distribution partner to We have confirmed the following with our new warehouse
review and improve packaging and recycling outcomes in and distribution partner:
Australia
- The need to purchase secondary packaging is
minimised through re-use of incoming cartons
- Any additional secondary packaging needs are met with
recycled cartons
- All cardboard and stretch wrap is recycled
- The ratio of recycling to landfill is approximately 4:1
3. Find ways to prevent presswood pallets going to landfill Goods received from Germany are delivered on
presswood pallets. These pallets are used globally by
Birkenstock. They have many environmental benefits and
are fully recyclable in many countries, but not in Australia
due to lack of recycling systems. Other pallet options are
heavier and require fumigation (under IPSM 15) before
being sent to any overseas country including Australia.
Following the switch to a new warehouse and distribution
partner, these pallets are now being re-used for onward
distribution of goods.
This is an excellent outcome as prior to this, despite
extensive research, the only option was to send the
pallets were to landfill.
4. Work with our retail partners to improve packaging and Target: minimise consumer packaging, maximise
recycling outcomes. recycling outcomes
We have engaged with our dominant retail partners to
understand what packaging the consumer takes out of the
store. This has provided us with baseline information
which will help to direct future engagement with retailers.
Bags: Our calico bags re being made available to all
independent Birkenstock retailers at cost price with
encouragement for them to follow our lead and to
eliminate disposable bags. We have found uptake of
these bags to be relatively low since most retailers
choose to use their own branded carry bags. The majority
or our retailers use paper carry bags.
Shoeboxes: There is a wide variation reported from
retailers over the % of consumers who take shoeboxes -
this ranges from 99% down to less than 40%. All
shoeboxes left at the store are re-used or recycled. One
retailer donates surplus shoeboxes to a local
kindergarten.5. Investigate packaging options for On-line sales Birkenstock is making an increasing proportion of its sales
through the internet. The packaging and transport issues
are very different and we in the process of investigating
how to minimise environmental impact. Order fulfillment
is inherently less efficient - with multiple single shipments
using plastic satchels. Our initial investigations indicate
that a high proportion of plastic satchels are bio-
degradable. We are concerned that these satchels will
either increase landfill waste, or contaminate recycling
streams.
We are actively exploring the possibility of developing a
re-usable satchel. This has included commissioning a
prototype re-usable satchel made from calico. The main
challenge is that there is a cost involved, which contrasts
with the plastic satchels for which there is no separate
costs. In order to be economically viable we will need
significant economies of scale plus the incorporation of
value added features. We are actively working with a
number of third parties on this project and will report
outcomes in future Annual Reports.
23. Describe any constraints or opportunities that affected performance under this KPI
KPI 7: % signatories showing other Product Stewardship outcomes.
24. Please indicate your progress this year towards achieving your annual targets and milestones for KPI 7
Target: According to your Action Plan, what did you set Actual: What did you achieve?
out to do?
1. Incorporate renewable, recycled, recyclable materials into Birkenstock shoes contain cork footbeds. Cork itself is a
our products . highly sustainable material which is harvested without
destroying trees and therefore with minimal impact on
wildlife and ecosystems. The adhesives in the cork
footbeds are 95% solvent free.
2. Maintain efficient storage and transport systems between Birkenstock GMBH has very advanced warehouse
Germany and Australia management in Germany which includes strong highly
energy efficient automation, minimal movements of stock,
and flexible shipping arrangements to eliminate dead
space (both secondary and tertriary) in packaged goods.
3. Maintain efficient storage and transport systems between Shipments to WA are sent by train - which takes longer,
our head office in Australia and retail outlets but is cheaper and more energy efficient This increased
delivery time is acceptable to us and to our retailer based
on the reduced cost and increased environmental
benefits.4. Encourage consumers to use our repair service Birkenstock is committed globally to providing a repair
service. This is part of our brand promise of long lasting
shoes. It also reduces the resources and packaging
associated with new shoes. In Australia we have a repair
service at our head office. In 2013 this office repaired
shoes equivalent to 4% of our total sales for the year. In
addition we have a network of more than 50 repairers
nationally all using original Birkenstock materials. (See
http://www.birkenstockaustralia.com.au/index.php?
domain=birkenstock&menu=repair_birkenstock) Going
forward we are considering establishing metrics to track
the ratio of repairs to new shoe sales.
We are engaging with Birkenstock distributors in other
countries to share knowledge on shoe repairs. During
2013 we were assisted by the Japanese distributor in
sourcing repair materials. In addition we have engaged
with the distributors in Morocco and New Zealand to offer
support in establishing repair workshops in those
territories.
In May 2014 there is a global sales conference scheduled
in Spain. We intend to take this opportunity to engage
with Germany and with other territories to gain a broader
perspective on shoe repairs globally.
5. Complete our project to design a new office and online Our new multi-award winning head office was designed
sales centre as a best practice showcase of how sustainability can be
incorporated into a commercial and retail building. The
building has a huge array of sustainability features
including for example:
- New double façade for shopfront display areas,
consisting of 2 layers of operable double glazing -
allowing a wide range of heating and cooling options
- Many innovate features – including for example south
facing periscope-skylights that bring light to the office
desks, hold PV and Solar Hot Water Systems on their
north-facing back, and act as thermal chimneys to flush
out hot air over night
- Automated (with manual override) building system with
sensors to optimize window opening, heating and cooling
- Fitout with low VOC, recycled and renewable materials
Further information is available at
http://www.architectureanddesign.com.au/awards/2013-
bpn-sustainability-awards-winners/small-commercial-
2013-winner-headquarters-for-birk
25. Since the beginning of the reporting period, has your company had any other outcomes related to product
stewardship?
Yes No
If yes, please give examples of other product stewardship outcomes
Further information is available at http://www.architectureanddesign.com.au/awards/2013-bpn-sustainability-awards-
winners/small-commercial-2013-winner-headquarters-for-birk
26. Describe any constraints or opportunities that affected performance under this KPI
Birkenstock is a very established global brand with strong sustainability credentials. Within Birkenstock Australia there is
a similarly strong focus on sustainability.KPI 8: Reductions in packaging items in the litter stream.
27. Please indicate your progress this year towards achieving your annual targets and milestones for KPI 8
Target: According to your Action Plan, what did you set Actual: What did you achieve?
out to do?
1. Investigate consumer patterns of behaviour with In Germany 60% of consumers leave shoe boxes in the
consumer packaging (shoe boxes) store at the time of purchase. The remaining 40% can be
divided into things like “used for storage” , “stack your
shoes”, throw the box into your household recycling etc.
Littering is definitely not considered to be an issue at
Birkenstock in Germany.
In Australia we have surveyed our dominant retailers to
ascertain equivalent information. The results show that
that approximately 80% of consumers take both a
shoebox and a bag. In these circumstances, we believe
that the box will be re-used or disposed of within the
home.
A bigger issue for our industry is the shoes themselves.
80m pairs of shoes are disposed of annually in Australia -
mostly into landfill. But some inevitably appear in the litter
stream. We are searching for a contribution we can make
towards tackling this issue.
2. Elimination of disposable bags We have eliminated the use of disposable bags in our
own retail stores - replacing these with calico bags which
are sold to consumers at cost price. Last year we
redesigned these bags to increase the quality to ensure
they have a longer life, and made them available to all
independent Birkenstock retailers at cost price with
encouragement for them to follow our lead and to
eliminate disposable bags.
Further information is provided against KPI 6.
28. Describe any constraints or opportunities that affected performance under this KPI
We have given consideration to involvement in clean up Australia, but believe our efforts are better directed towards the
activities highlighted above.
Your Experiences
This section lets you share with us any achievements, good news stories and areas of difficulties in making progress against
your plan and the Covenant goals and KPIs.
29. Key achievements or good news stories
There are a number of good news stories contained with our annual report. Our single most significant achievement was
the completion of our new multi-award winning head office, which has set new standards in sustainability for retail/office
environments.
30. Areas of difficulties in making progress against your plan, Covenant goals or KPIs
Birkenstock is currently experiencing a "fashion spike" in Australia. As a result, there is great pressure across the supply
chain to meet this increased demand. In these circumstances it is more difficult to focus our suppliers and customers on
longer term sustainability matters. This has not impacted the current reporting period but could be challenge going
forward.You can also read
