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p : 69 | c : 3 PUMA.SAfe f.16 t.1 f.17 t.1 7. 8 3 % 2012 final audiT key non-compliance issues 2012 worker complainTs By major failure caTegory Figure 16: The diagram shows the percentage of areas in which factories failed to comply with PUMA’s standards In 2012, factory workers in China, Indonesia, Vietnam, Cambodia, Bangladesh, India, Americas and EMEA contacted PUMA.Safe directly to complain about workplace issues. 109 issues were raised in various areas, with wage-related issues coming out as the main complaint area. These complaints came from factories across all grade classifications. PUMA BUSineSS And SUStAinABility RePoRt 2012 Basic h&s environmenTal 4 .0 0 % 6 % managemenT h&s managemenT 6. 8 5 % 2 2 .7 3 % 7 % freedom of associaTion 8 . 49 % 1. 31 % 2 .74 % 1 % 0.77% 1 % 2 .0 8 % 2 % 8.87 % 8 .9 3 % wages general hr managemenT BenefiTs 7 % 14 .6 8 % working hours grievance procedure conTracTs/Terms of employmenT dormiTory/welfare 12 % 10.7 3 % ameniTies harassmenT oThers 12 % 18 % Bringing our social compliance and performance sTandards up To speed PUMA.Safe initiated a review of its stakeholder engagement, monitoring and remediation systems and procedures that also analyzed incidents of 2011 and 2012. It was clear that PUMA had to strengthen and update its systems in order to better 3 4 % wages working hours conTracTs and Terms of employmenT forced laBor oThers BenefiTs harassmenT and aBuse Basic h&s general hr managemenT dormiTories and welfare ameniTies Figure 17: The diagram shows the percentage of issues that workers complained about address supply chain challenges. PUMA. Safe strengthened its collaboration in terms of audits with other brands that PUMA is sharing production facilities with so that also audit results can be shared. PUMA.Safe supported the development of the Core and Follow-Up Questions of the Sustainable Compliance Initiative (SCI) tool of the Fair Labor Association (FLA). PUMA. Safe initiated a restructuring of its tool incorporating both the tools of the ILO/Better Work program and the Core/Follow-Up questions of the FLA SCI. The ILO/Better Work tool is designed to be universally accepted because it is founded on ILO Core Conventions as well as national government input. The FLA SCI is aimed to be a performance management benchmark to attain
p : 70 | c : 3 PUMA.SAfe f.18 t.1 120.0 % 10 0.0 % 80.0 % 60.0 % 40.0 % 20.0 % 0.0 % resoluTion raTe 2012 10 0.0 % 8 8 . 3 % 7 5.0 % compliance through root cause and systems assessment. In October 2012, we showcased a new audit rating structure, Pay for Play. This new audit rating structure will cover all PUMA. Safe suppliers and is expected to go live in 2013. The new scheme supports our target achievement in terms of PUMA’s internal benchmark for sustainable products, S-Index, as well as PUMA’s internal supplier evaluation processes. In addition to a stratified structure, the new audit rating system takes into account worker complaints, their resolution and other issues emerging between audit inspections. Best practices, which previously had not been given scores, have been included in the new rating system as well. PUMA BUSineSS And SUStAinABility RePoRt 2012 5 0.0 % emea china indonesia india & Bangladesh 5 4 .5 % vieTnam & camBodia 0.0 % 7 8 .9 % americas ToTal Figure 18: The graphic shows the percentage of issues discovered during audits that were resolved In 2012, PUMA.Safe launched an improved audit quality assurance and grading guidance protocol that is used by our internal teams to assess specific regional or local situations that may not be covered by our Manual of Standards. This protocol is to be reviewed and renewed annually to take into account issues that may arise in all major sourcing markets. This includes an annual review of major and critical issues penalized in the audit rating system. Training our suppliers in social issues In 2012, PUMA supported numerous initiatives that strengthened the capabilities of our suppliers to be more responsible towards their workers and to improve employment relations within our factories. More importantly, we provided channels for those that are often voiceless, and we empowered them by involving them in the process. At the end of each audit, our PUMA.Safe team in China informed workers about local laws, benefit entitlements, grievance mechanisms and PUMA’s Code of Conduct. This step is particularly aimed at raising workers’ awareness of their basic rights. PUMA continued to organize annual roundtables with suppliers in China, Indonesia, Vietnam and Latin America. These roundtables were a platform for suppliers to raise and discuss issues that are relevant for creating sustainable workplace conditions. PUMA.Safe used these roundtables to update suppliers on recent developments in compliance policies and capacity building efforts. The Indonesia roundtable deepened the local suppliers’ understanding of specific local laws and commitments such as the Freedom of Association Protocol. In China, the roundtable increased interaction between the 52 participants representing 30 factories, the PUMA.Safe team and the PUMA sourcing team. In Vietnam, roundtable discussions addressed concerns relating to worker health and safety risk assessment, changes in labor law, and worker retention. In Latin America, roundtable participants formed sub-groups to support best practice learning in all areas of social and environmental sustainability. Of the issues raised in 2012, on average 79 % were properly resolved. List of Suppliers (as of reporting date 31.12.2012) › please click here
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Business and sustainaBility RepoRt
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Content 5 PUMA.Creative 77 Creative
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“ OUR MISSION IS TO BECOME the mo
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p : 7 | C : 1 To our ShareholderS f
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p : 9 | C : 1 To our ShareholderS T
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PUMAVision “ ThE pROpER USE of sc
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p : 13 | C : 2 TM PUMAvision Fair H
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p : 15 | C : 2 PUMAVision STakEhOld
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p : 17 | C : 2 PUMAVision AwARDS AN
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Page 36 and 37: “ The world as we have creaTed iT
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Page 66 and 67: p : 65 | c : 3 PUMA.SAfe For the fi
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Page 74 and 75: p : 73 | c : 4 PUMA BUsiness And sU
Page 76 and 77: p : 75 | c : 4 puma.peace PUMA.PeAc
Page 78 and 79: puma.creative Creative Art Network
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Page 82 and 83: p : 81 | c : 5 the oasis Pietra Bre
Page 84 and 85: p : 83 | c : 5 A large range of int
Page 86 and 87: P : 85 | C : 5 PUMAviSion PUMA BUSi
Page 88 and 89: “ At PUMA, we Are driven to look
Page 90 and 91: P : 89 | c : 6 brAnd StrAtegy FOLLO
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Page 94 and 95: P : 93 | c : 6 rUnning Exceptional
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Page 100 and 101: P : 99 | c : 6 Spreading the puma v
Page 102 and 103: P : 101 | c : 6 FitneSS Join in the
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Page 106 and 107: Financial Year 2012 ManageMent Repo
Page 108 and 109: p : 107 | c : 2 overview 2012 2012
Page 110 and 111: p : 109 | c : 2 general economic co
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P : 119 | C : 2 Earnings bEforE tax
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p : 121 | c : 2 F.14 t.1 € millio
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p : 123 | c : 2 pUMa BUsiness and s
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p : 125 | c : 2 F.17 t.1 gross cash
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p : 127 | c : 2 t.4 t.1 pUMa BUsine
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p : 129 | c : 2 We are well positio
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P : 131 | C : 2 emPloyees number of
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p : 133 | c : 2 managing directors
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p : 137 | c : 2 ensure that PUMA pr
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p : 139 | c : 2 main Features oF th
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p : 141 | c : 2 pUMa BUsiness and s
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p : 143 | c : 2 Effective implement
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31 December 2012 Consolidated Finan
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p : 149 | c :8 t.1 assets consolIDa
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p : 151 | c :8 t.3 t.1 After tax Ta
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p : 153 | c :8 t.5 t.1 Subscribed R
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p : 155 | c :8 notes to the consolI
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p : 157 | c :8 The surplus of the a
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p : 159 | c :8 60. Brandon Services
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p : 161 | c :8 cash flow from that
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p : 163 | c :8 proDuct Development
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p : 165 | c :8 The age structure of
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p : 167 | c :8 9. propertY, plant a
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p : 169 | c :8 12. other non-curren
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p : 171 | c :8 The table below show
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p : 173 | c :8 Net income by measur
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p : 175 | c :8 Actuarial gains and
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p : 177 | c :8 capItal reserve The
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p : 179 | c :8 Changes in the “SO
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p : 183 | c :8 Investments and depr
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p : 185 | c :8 Total expenses resul
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p : 187 | c :8 The following overvi
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p : 189 | c :8 statutorY auDItor’
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p : 194 | c : 9 CFAO S.A., Sèvres/
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p : 218 | c : 11 puma Year-on-Year
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