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INNOVATION WITH PURPOSE SUSTAINABILITY REPORT FY19

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Page 1: INNOVATION WITH PURPOSE - HH Global · Development Goals to tackle poverty, inequality, and climate change by 2030. Described as the world’s to-do list, these Global Goals will

I N N O V A T I O N W I T H P U R P O S ES U S T A I N A B I L I T Y R E P O R T

F Y 1 9

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Outsourced procurement, content development and customer experience services.

W H A T W E D O

An introduction to our first annual Sustainability Report and a view from Robert MacMillan and Kevin Dunckley.

W E L C O M E

We’re doing our part to support the Global Goals.

W H Y I T M A T T E R S

Explore our Innovation with Purpose sustainability strategy.

W O W !

Award-winning marketing execution on a global scale.

W H O W E A R E

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Our world is changing and the issues we face are more complex than ever. Satellite data is showing us that an area the size of a football pitch is being cleared in the Amazon rainforest every single minute. Snowfall in the Arctic now contains plastic particles. These issues are simply not compatible with human existence.

Despite the astonishing environmental damage occurring in today’s world it is up to businesses to remain optimistic and be the leaders of change. The combined effort of businesses can make a big difference to the ‘triple bottom line’ of people, planet, and profit.

The United Nations have defined 17 Sustainable Development Goals to tackle poverty, inequality, and climate change by 2030. Described as the world’s to-do list, these Global Goals will only be achieved if business leaders get behind them.

HH Global are committed to supporting these goals. This report outlines our strategy and efforts in our financial year 2019 and our plans for the future.

A famous African proverb says “If you want to go fast, go alone. If you want to go far, go together”. We’re proud to work with some of the world’s leading brands, and we look forward to collaborating with them to get behind the goals.

W E L C O M E W H O W H A T W O W ! W H Y

Welcome to Innovation with Purpose - our first sustainability report showing how we are using innovation to protect our planet and deliver economic benefit.

purposeWe have a

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Robert MacMillan, Group Chief Executive Officer

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innovationWe embrace

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Our business is uniquely positioned in the market to influence the environmental footprints of our clients. We do this by reviewing production methods and rethinking processes from the ground up. This not only helps our clients to meet valuable cost saving initiatives, but also assists them in achieving sustainability goals.

By introducing new materials, new business models, innovative solutions from startups and partnering with our supply chain and NGOs, we help our clients reduce

their environmental impact. Due to the scale of some of our client’s campaigns a small change to production methods can have a huge impact on reducing material waste and cost.

If we are to achieve the Global Goals by 2030 we will need to challenge existing methods and find new and innovative ways of working. We will continue to develop solutions that protect our planet, benefit society, and deliver economic advantages to our clients.

Consumers are opening their eyes, recognising climate change as a very real threat to our planet and their way of life. As influential and responsible collaborators, we believe that it is our responsibility to encourage our clients to be part of the solution.

Kevin Dunckley, Chief Digital and Innovation Officer

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Applying proven processes, industry-leading technology, and the deep expertise of over 1,300 employees, we develop innovative solutions that drive down the cost of our clients’ marketing print procurement and content development, while improving quality, sustainability, and speed to market.

HH Global is the world’s most innovative marketing execution partner, offering outsourced procurement and content development services to clients in over 40 countries.

Who we are1,300+

1991

USD 500m+

people

established

spend under management

We work with some of the largest, most exciting and progressive global brands, including Google, HP, Bayer, HSBC, Walmart and PepsiCo.

O U R C L I E N T S

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As a privately owned company, we are completely independent from manufacturing. This allows us to be more flexible as a business, whilst enhancing our innovation offering to our clients. Working on a consultative basis, we align closely to our clients’ business models, helping them drive down costs, boost speed to market, increase quality and improve sustainability.

HH Global provide a range of marketing execution services in outsourced procurement and content development.Our services support our clients and their agencies, including: strategic sourcing of print, POS, direct mail and marketing technology.

Content development services encompass strategy, design, artwork, photography, preflight/prepress services, data management, analytics, and transcreation of content for both traditional print and digital formats.

Customer experience is delivered by identifying, analysing, orchestrating and engaging with clients using the right message on the right channel at the right time.

What we do

Maximum value releaseEmploying HH Global across all service lines enables

the best return on investment for our clients.

Customer experience

Data onboarding

Data unification

Martech integration

Customer insight

Communications strategy

Customer experience orchestration

Communications execution

Engagement optimisation

Content development

Creative production

Asset management

Artwork adaptation

Template population

Transcreation

3D visualisation

Photography

Video editing

Digital content

Procurement services

Temporary POS

Permanent POS

Direct mail

Marketing print

Brochures

Collateral and kits

Signage

Promotional merchandise

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Innovation With PurposeInnovation with Purpose is HH Global’s sustainability strategy. It recognises that our greatest opportunity to make a difference is by working closely with our clients and our suppliers, and that we can do this by harnessing our focus on innovation.

Financial savings are important to our clients, but sustainability is also a growing consideration. Whilst many of these clients have robust programmes in place for direct procurement, indirect procurement is an area that is often overlooked.

Our strategy powers us to provide innovative marketing execution with minimal impact on the environment, produced in a socially and environmentally responsible manner.

We pride ourselves on being the global leader within the marketing execution industry for the delivery of indirect sustainable marketing programmes that take economic and environmental considerations into account. This balanced approach helps to improve our clients ‘triple bottom line’ of people, planet and profit.

W E L C O M E W H O W H A T W O W ! W H Y

www.hhglobal.com

INVOLVEMENT

INNOVATIONPURPOSE

Support the United Nations Global Goals for Sustainable Development

Develop innovative solutions that boost profits, protect the environment, and contribute to society

Work together with our clients, our suppliers, and our employees

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Environmental savings

We design and purchase a significant amount of printed materials and Point of Sale (POS) displays for our clients, the majority of which are made from paper and card.

In FY 2019, we measured the results of our efforts to reduce the impact of paper and card consumption. In total, we managed to save 28,000 trees, 130,000,000 litres of water, 9,246 MWh of energy, and 8,903 tonnes of carbon.

28,000 trees

130m litres of H2O

9,246 MWh of energy

8,903 tonnes of carbon

This is equivalent to:

14 football pitches

52 Olympic pools

786 average homes

1,895 average cars

Our FY19 savings!

I N N O V A T I O N W I T H P U R P O S E

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These 17 goals, which are also known as the Global Goals or SDGs, are highly ambitious and will only be achieved if businesses get behind them.

In 2015, 193 world leaders agreed to the UN Sustainable Development Goals with the aim of tackling poverty, inequality, and climate change by 2030.

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I N N O V A T I O N W I T H P U R P O S E

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The marketing industry uses a significant amount of resources and has a tremendous impact on consumer behaviour. We will use our skills in innovation to have a positive influence on the industry and the activities of major brands.

Every year, millions of tonnes of materials are used in the marketing industry.As a provider to many of the world’s largest brands, we will ensure products are sourced and produced responsibly, while also helping our clients to look at more sustainable forms of consumption.

Despite the growth in new technologies, paper and card still make up the majority of materials used in the marketing industry.We need to maintain our vital forest ecosystems by minimising the amount of materials consumed, increasing the use of recycled content, sourcing responsibly, and seeking out sustainable alternatives.

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Prioritised global goals

Although we aim to support all 17 of the Sustainable Development Goals, we are prioritising action for the following goals due to their relevance to our business.

What this means

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Our ambitionWe want to build on the environmental savings made in FY19.

Our ambition is to use 38,000 fewer trees, 120,000,000 litres less water, 10,000 MWh less energy in the production of materials, resulting in a reduction of 11,000 tonnes of carbon.

This is enough trees to cover 19 football pitches, enough water to fill 48 olympic size swimming pools, enough energy to power 850 average US homes, and the equivalent of taking 2,335 average US cars off the road.

trees

water

energy

carbon

38,000 individual trees

120m litres

10,000 MWh

11,000 tonnes

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Innovation is ingrained in our company culture - our vision statement is to be the “World’s most innovative marketing execution partner”. To support this we have an Executive Board Director who reports directly into our Global CEO whose primary focus is to drive our innovation and sustainability strategy. Chief Digital and Innovation Officer, Kevin Dunckley, and his team have a global remit to drive innovation and fresh ideas across our business, supported by a network of colleagues and solutions partners.

We will use our skills in innovation to have a positive influence on the industry and the activities of major brands.

What we plan to doBuild resilient infrastructure, promote inclusive and sustainable industrialisation and foster innovation.

Much of HH Global’s innovation comes through HH Labs, our internal ideas incubator. This initiative is made up of employees from across the business with experience and talent for innovative thinking, and links them with a wider network of digital technology and industry-leading partners. Part of the HH Labs remit is selecting, distilling and sharing the most useful trends and development with our account teams and clients.

Our award-winning Quality Printer Programme (QPP) uses cloud-based analytics to create consistent print results. In doing so we are reducing print waste and improving efficiency, which has resulted in savings of 2,625 tonnes of carbon for our clients to date.

For a global FMCG brand we are developing innovative new ways to repurpose and upcycle waste products in partnership with a progressive ideas agency. In doing so we are able to suggest completely new design ideas for retail Point of Sale display units.

We’ve developed a unique sustainability calculator, in partnership with Environmental Paper Network, to understand and share the environmental impact of the paper and card that we provide to our clients. Plastic measurement is under development now.

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We are committed to responsible consumption and production by reducing our material footprint. Our global sustainability targets recognise the carbon, energy emissions, and water consumption associated with the manufacture of paper. By promoting sustainable paper choices, we can assess the impact of marketing programmes on natural resources and seek to minimise these. To drive progress of our strategy we have developed environmental reporting dashboards that we can offer to all clients globally. We are then able to provide initiatives that promote responsible consumption and production, with measurable savings.

We will ensure products are sourced and produced responsibly, while also helping our clients to look at more sustainable forms of consumption.

Ensure sustainable consumption and production patterns.

Helping our clients understand the environmental impact of their marketing creates conversations on how they can reduce their impact. We’ve designed dashboards to clearly show the impact of their purchases, and include these in our regular business reviews.

We created our Sustainable Materials policy in conjunction with our NGO partner Canopy to set standards for the products we provide. It prioritises the use of recycled materials, and ensures we carefully consider the origin of everything we purchase.

Sometimes innovation can be delivered by reengineering, meaning the simple changes are the most effective.

By reducing paper weight from 100gsm to 90gsm, we helped one of our clients save 2,500 trees and nearly £100,000.

HH Global successfully produced 60,000 sustainable water bottles to support the launch of new Primark stores in 2019. The bottles were made from 60% recycled plant-based material and are recyclable after use.

We are partnering with a leading social enterprise to drive social plastic into our supply chain. Plastic reclaimed from beaches and waterways in some of the poorest countries delivers local income and a new raw material for POS and Promo products for our suppliers.

What we plan to do

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In 2018, we launched our global sustainability targets, setting out to save 32,000 trees - enough to occupy 40 acres - for the 2019 fiscal year. Our partnerships with clients help them make ecologically-sound paper choices that have the power to reduce deforestation.

We will minimise the amount of materials consumed, increase the use of recycled content, source responsibly, and seek out sustainable alternatives.

Protect, restore and promote sustainable use of terrestrial ecosystems, sustainably manage forests, combat desertification, and halt and reverse land degradation and halt biodiversity loss.

We’re continually researching and trialling substrates made from agricultural residues, including sugar cane, grass fibres and wheat straw.

Our initiatives resulted in 28,000 fewer trees being used to produce materials during FY19. In FY20, we’re targeting savings of 38,000 trees - enough to cover 19 football pitches.

Using the ForestMapper tool from Canopy, an Environmental Non-Governmental Organisation, we’ve been reviewing our supply chain to understand the risks associated with materials being sourced from ancient and endangered forests.

Our Sustainable Materials Policy, supported by our alliance with the forest conservation organisation Canopy, is the implementation of our commitment to reduce the impact on forests. It commits us to directly sourcing 100% of our forest-based products from FSC-certified sources.

In FY19 we reached the milestone of 1,000 employees in the business. To mark this we donated the planting of 1,000 trees through non-profit organisation One Tree Planted. The trees were planted in California as part of a major project to reforest after the devastating wildfires, which destroyed 1.3 million acres.

What we plan to do

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HH Global were invited guests at MetLife’s annual Supplier Forum in New York in November 2018. The event celebrates diversity and sustainability and brings together MetLife’s key strategic suppliers and partners for a networking and awards event.

We raise awareness of the Sustainable Development Goals through our Supplier Code of Conduct, and partner with our suppliers to develop solutions that advance the goals.

We work closely with Canopy and Environmental Paper Network - environmental not-for-profit organisations that help us to understand how we can make a difference.

By helping our clients to make sustainable product choices we saved 8,903 tonnes of carbon in FY19 - the equivalent of taking 1,895 average cars off the road!

By helping our clients to make sustainable product choices we saved 130,000,000 litres of water - enough to fill 52 Olympic sized swimming pools!

By helping our clients to make sustainable product choices we saved 9,246MWh of energy - enough to power 786 average homes for a whole year!

In March 2018, HH Global sponsored a team of six employees on a 50km trek by foot to the Indian Himalayas with 93 others from around the world, to raise money and awareness for Laureus Sport for Good Foundation.

HH Global raised a total of $95,931 which would provide 300 disadvantaged children in India the opportunity to engage in education and sport for one year, including the funding of equipment, training and volunteers to build a sustainable programme.

What we’ve done What we’ve done

What we’ve done

What we’ve done

What we’ve done

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We believe that being a sustainable business is a journey. As our business grows, we’ll continue to develop exciting and innovative ways to support our customers, to protect our planet, and to contribute to society.

Our report helps us to share our journey, and we’ll be continually developing our content and alignment with reporting standards.

Always improving

General Standards Disclosures Disclosure requirements Page number

102-1 Name of the organisation 01

102-2 Activities, brands, products, and services 06, 07, 08

102-4 Location of operations 06

102-6 Markets served 06

102-7 Scale of the organisation 06

102-12 External initiatives 09

102-14 Statement from senior decision maker 03, 04, 05

102-50 Reporting period 01

102-52 Reporting cycle 01, 03

102-53 Contact point for questions regarding the report 19

102-55 GRI content index 18

302-1 Energy consumption outside of the organisation 10

We’re delighted to have been awarded a maximum four star rating by ‘Support the

Goals’ for communicating our support of the UN Sustainable Development Goals.

The table shows how our report aligns with General Standards Disclosures from the Global Reporting Initiative (GRI).

CHECK OUT OUR RATING HERE

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[email protected]

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