Business

IKEA executive Karen Pflug emboldened by Donald Trump to stand up for the environment


“In reality he is bringing many people … together. It is united Europe. Many companies that say are united:” No, we will not stand it “.

Andrew Petersen, CEO of the Business Council of Sustainable Development Australia (BCSDA), said that the crusade led by Trump against climatic action has not spread on the Australian coast.

“Unlike the United States, where it is probably faithful to say that political change is shaking the company resolution, Australian affairs are really relying on climatic commitments,” he said. “You are seeing, for example, things like executive bonuses [tied] to deny the zero goals put in place.

“The main listed companies are increasingly judged by a global ESG benchmark and by the expectations of the supply chain … it is becoming operational rather than optional.”

Walking in the speech

For a global dealer, Ikea is unusual for his string commitment to integrate sustainability in his operations. It has statistics to demonstrate it: greenhouse gas emissions from products and foods have decreased by 31.2 percent from the 2016 fiscal year, with a wider goal to achieve zero net emissions by 2050. Almost 97 % of its electricity comes from renewable sources, compared to 69.7 percent in 2016.

In Australia, all its retail sales operations are now powered by renewable energy and almost half of the orders of its customers have been delivered in a zero -emission vehicle. Ha Local wind farm projects supportedReduced food waste by 37 % and diverted almost one million products from the landfill.

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As the action on climate change becomes even more politicized, PFLUG believes that maintaining sustainability on the agenda in the council rooms and in leadership meetings should be justified in the budget. “Bust on a stick” and “be[ing] Too activist in this regard “can often be the wrong approach.

“The numbers have to speak for themselves,” he said. “Talking about the language of a CFO, talking the language of businessmen, do not fight them with scientific and climatic figures. Often they don’t want to have a good bigger conversation.

“You have to inspire both the elderly and colleagues to take them with you,” he added. “You need both inspiration and data to make better business decisions.”

Pflug recognizes that he is speaking from something of a privileged position and recognizes that managers in typical companies are often tied by shareholders and focused on short -term profits. Ikea’s parent company, Ingka Group, is owned by Ingka Foundation, a philanthropic organization; In 2024, 85 % of the company’s profits (1.3 billion euros, or $ 2.3 billion) were reinvested in the business, while 15 % went to the Ikea Foundation, which focuses on the fight against poverty and climate change.

The efforts of the Swedish manufacturer can act as a model for companies of other dimensions and sectors for what is possible, said Petersen. “Strengthen the point you can be sustainable and profitable.”

Ikea holds the progress of the progress on its sustainability objectives Full annual reports. It is to demonstrate that voluntary relations are not only feasible, but they can guide the transformative change through an organization, but the responsibility of this cannot be put in silence in a division, said Pflug.

“What we have done is to present reports in the financial team,” he said. In every market in which Ikea operates, the country manager plays the double role of CEO and Chief Sustainability Officer.

Pflug at the Ikea Time shop.

Pflug at the Ikea Time shop.Credit: Pickles Edwina

“When I talk to other companies, a lot [of the responsibility] It is still sitting under the Chief Sustainability Officer and feel all the weight on their shoulders. Must be co -owner throughout the company. “

Sell ​​sustainability: do not charge more for this

Consumers vote with their dollar and do not want to pay more for the choice of a more ecological option, says Pflug. Ikea has created sustainability in its products moving on to recyclable materials and more sustainable cotton and wood.

It only sells rechargeable batteries and its appliances are designed to reduce energy consumption (such as a night light with a sensor that turns off automatically). Its famous vegetable -based balls, at the same price or lower than the real meatballs, are part of an effort to reduce the consumption of red meat, an important contribution to carbon emissions.

“” Why should I have less in my wallet to try to help save the planet or do the right thing? “I think it’s a very fair assumption for my client,” said Pflug.

“It’s not a luxury for the few chosen … everyone can afford to be sustainable,” he added. “Let’s see other companies potentially load more for sustainable products.”

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