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Responsibility Strategy Development

Materiality Assessment

In 2023, we launched our Responsibility Strategy. In order to create this, we undertook a materiality assessment to identify and prioritise the key Environmental, Social and Governance (ESG) topics. Those topics, which are considered to be most relevant to the company and its stakeholders, are described as “material topics”.



DEFINITION OF SUSTAINABILITY TOPICS

In order to define which sustainability topics are the most important to Chilly's, we have to understand the full list of sustainability topics. To align with industry standards, we based this list on the disclosures published by the GRI (Global Reporting Initiative) Standards. This was condensed to create a list of sustainability-related topics that companies should consider when assessing their ESG targets.



IDENTIFYING STAKEHOLDERS & ANALYSIS

The purpose of the materiality assessment is to establish which of these topics are important to Chilly's, and therefore deserve to be addressed in our strategy. In order to guarantee that all expectations and needs from all the main stakeholders are taken into account, it is important to identify who the brand’s stakeholders are.

We categorised our stakeholders into three groups:

  1. INTERNAL STAKEHOLDERS
    Our internal stakeholders were identified as Chilly's employees. Our employees filled in our Sustainability Survey, which identified how they view sustainability, what they see as relevant to Chilly's and to what degree Chilly's can improve our impact.

  2. PEERS AND INDUSTRY LANDSCAPE
    An assessment was undertaken focusing on Chilly's industry landscape, including how and in what ways our peers are approaching different ESG topics. Based on publicly available information, we established a metric to quantify different approaches in the industry.

  3. WIDER SUSTAINABILITY LANDSCAPE
    We also undertook an analysis of the performance and focus areas for those outside of our industry. This included ESG investment indicators from across the globe, company sustainability reports and industry specific or overarching governing bodies.

By using the data we compiled from each stakeholder group, we analysed the relationship of each ESG topic’s metrics to Chilly's. The topics were then mapped on a materiality matrix.



MATERIALITY MATRIX

The results from the internal and external analyses carried out have been aggregated and weighted. These have been plotted on a materiality matrix which signifies importance and relevance.

The X axis is the IMPORTANCE TO COMPANY (RELEVANCE & INFLUENCE). This relates to what can be impacted (positively or negatively) by Chilly's, and the degree to which Chilly's has control over said impact.

The Y axis is the RELEVANCE TO EXTERNAL STAKEHOLDERS. This is what is seen as important for Chilly's to address by our external stakeholders. This reflects what our and other industries are focusing on now, as well as identifying what will be important in the future.



From this, we identified the following as "material" for Chilly's, meaning these are the topics we need to address.

  • Climate action
  • Waste minimisation
  • Local community protection and support
  • Freshwater use
  • Diversity, inclusion and equal opportunity
  • Responsible use of materials and resources
  • Transparent communication
  • Health, safe & secure spaces
  • Upholding human rights
  • Ethical business practices
  • Ethical sponsorship & partnership


Pillars & Strategy

By grouping the topics identified as "material", we created our six Responsibility Pillars: Materials, Circularity, Footprint, People, Suppliers and Our Values. By using this to underpin and frame our approach to sustainability, we can ensure that we are addressing all of the topics found to be "material".



The ambition of this strategy is to bring together Chilly’s approach to sustainability in a holistic way, providing a clear, shared approach to sustainability for our team to collectively work towards.



Chilly’s Responsibility Strategy launched in June 2023, framed by the six pillars. Under each, we established ambitious targets, which we'll be outlining our progress on during this report.

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