Vision and strategy

We are committed to making it easier for our customers to eat more nutritious food, which helps to reduce the prevalence of diseases and increase overall vitality. We will reduce food waste, as part of our aim to responsibly manage the earth’s resources, and work with food banks to feed the undernourished in our communities. We are committed to celebrating a diverse and inclusive workforce and seeing associates reach their potential so they can thrive in life and business.

Our Sustainable Retailing 2020 strategy was shaped by our most material topics, the UN Sustainable Development Goals (SDGs) and market knowledge from our great local brands. We also considered trends in our markets and around the world, integrated stakeholder feedback, and referenced other global frameworks (such as the OECD Guidelines for Multinational Enterprises).

We will enable our brands’ customers and associates to eat healthier food every day by:

• Innovating to make healthier eating more affordable and more fun

• Inspiring customers and associates with programs and services that make healthier eating easy, every day

• Rewarding customers and associates for nutritious choices

• Improving our assortment to increase our sales of nutritious own-brand products to 50% of total own-brand food sales by 2020

We will contribute to the global goals to reduce food waste by:

• Decreasing food waste in our own operations by 20% (2016-2020)

• Maximizing the recovery of unsold food to reduce hunger in our communities

• Innovating with our suppliers to reduce food waste

• Helping customers reduce food waste at home

We will provide a healthy and inclusive workplace for associates by:

• Enabling associates to become healthy food ambassadors by supporting them in eating nutritious foods

• Creating a work environment in which everyone is valued and can reach their full potential

In addition, we will continue our journey to improve performance in the following five areas:

1. Associate development: We take care of people by encouraging associate development.

2. Climate impact: We take our responsibility for using the planet’s resources sustainably by reducing carbon emissions and waste.

3. Product safety and sustainability: The products we sell are safe and meet sustainable sourcing standards, while maintaining quality and affordability.

4. Safety at work: We integrate safe working practices for all associates into workplace designs, equipment purchases and operational procedures.

5. Local community connection: We partner at the local level to create healthier, more sustainable communities for future generations.

We are currently developing a new Sustainable Retailing strategy for 2025 integrated with and supportive of Leading Together. We aim to lead our industry in accelerating toward food systems that are healthier for people and the planet.

Global governance

We manage our sustainability strategy at multiple levels in the organization. Ultimately, the Executive Committee, supervised and advised by the Supervisory Board (and its Sustainability and Innovation Committee) has accountability for setting strategy and driving performance.

The Sustainable Retailing function reports directly to the President and CEO at the global level. The Vice President Sustainable Retailing and the Group Support Office Sustainable Retailing team are responsible for advising on Ahold Delhaize’s Sustainable Retailing strategy, reporting global performance internally and externally, engaging external stakeholders, supporting the brands in implementation, monitoring trends and tracking related issues and risks.

A global Sustainable Retailing Steering Committee, made up of Executive Sponsors from the local brands and relevant global functional leaders, reviews and recommends the strategic direction and public targets, and tracks overall performance. The leaders of the local brands are responsible for sustainable retailing within their brands. Each brand sets specific annual targets on all the Ahold Delhaize Sustainable Retailing performance indicators. On a quarterly basis, each brand leader performs an assessment on the brand’s year-to-date data and discusses progress and potential data quality improvements with the Ahold Delhaize President and CEO and the VP Sustainable Retailing.

Functional leaders across the brands, in areas such as Merchandising, Human Resources, Facility Management, Retail Operations, Occupational Health and Safety, and Product Integrity, are responsible for integrating sustainable retailing into their work and managing the relevant action plans.

Local action

While we have identified the areas we want to impact as a company, we empower the brands to create programs that also address these areas in market-specific ways. We build on the past achievements of all the brands while collaborating and sharing best practices to achieve our Sustainable Retailing goals. Each great local brand has set targets to ensure we grow our businesses and create value consistently. Our local management’s remuneration is directly tied to these targets.