LKQ Euro Car Parts sustainability - newsletter issue 3 - Sep

Sustainability Update

Edition: September 2023

Welcome to our sustainability newsletter

From sustainable packaging to a summer of FUNdraising, issue three of our sustainability newsletter shares all the latest updates across our Planet, People and Community pillars. In this issue we spotlight some of the important changes our suppliers have been making to improve the environmental impact of their packaging, we focus in on wellbeing and talk more about LKQ Europe’s ‘Inspired to Thrive’ initiative which we’re rolling out. We also continue to celebrate the amazing charity work and community support taking place across our business.

Sustainability Update

Edition: September 2023

Planet

Sustainable packaging in our supply chain

Our approach to sustainability and creating a sustainable future spans much further than just improving our own business and operations – it encompasses our entire supply chain. This is because our impact on the world goes far beyond just the energy we consume and the emissions and waste we generate directly. Every single one of the products we sell has a whole environmental lifecycle surrounding it, so we need to also work in collaboration with all of our suppliers and partners to truly make a difference. One area that we’ve had a particular focus on recently is packaging. It’s well known that packaging can have a huge impact on the environment when it’s sent to landfill, particularly when made of plastic that doesn’t degrade quickly or, in some cases, at all. But packaging can also have many other negative impacts, from contributing to air pollution during its production, to even affecting the volume of emissions produced during transportation. So, when it comes to packaging even some of the simplest of changes can have a positive effect on environmental impact and we want to share some of the important updates our suppliers and partners are already making.

Sustainability Update

Edition: September 2023

Planet

A pioneer in automotive technologies, Continental is also leading the way with its smaller packing concept for its timing belt ranges. Rolling out currently, the packaging is designed with 50% less cardboard, making each box 245g lighter and recyclable. The smaller boxes create 70%more capacity per pallet, leading to 98 fewer truck journeys per year and generating 390 tonnes less CO2 per year. There are also benefits for garages, with less waste to get rid of and creating a tidier workspace. For companies like ours, it creates more space on the shelf for bigger stock volumes or variety of products. Continental - a new timing belt packaging concept Bosch - packaging without plastics for wiper blades From April, Bosch introduced 100% cardboard packaging for almost all its wiper blades. Previously packaging consisted of a black coloured plastic (PET) blister used to stretch the wiper blade and protect the rubber lip against damage. Now the company is able to deliver the same functionality and protection but using a biofibre tray made out of a wood fibre-based material instead. Not only is this more sustainable to produce, it is also easier to recycle.

Sustainability Update

Edition: September 2023

Stabilus has made a number of changes to create a more environmentally considerate packaging for its boot springs range. This includes optimising the packaging to better fit the dimensions of every product which saves 50% on both transport and storage room, reducing their carbon footprint. The new packaging is also 95% recyclable making it easier to dispose of responsibly. Alongside our suppliers, we have a number of research projects and trials underway that will help us make significant changes in how we use and dispose of packaging within our own business. Anthony McAteer, PMP Director for UK and Ireland, explains “Environmental sustainability has gained momentum across both our suppliers and customers. We’re starting to see more of a shift towards reducing packaging as well as sustainable packaging alternatives. These examples are just the tip of the iceberg of what’s to come. With the packaging tax legislation looming we’ll see even more changes across our suppliers, within our own business and the wider industry.” Stabilus – eco packaging for boot springs

Keep an eye out for updates.

Sustainability Update

Edition: September 2023

Planet

Transforming our fleet

As a logistics focused business, we have a lot of vehicles on the road, so making these more carbon efficient goes a significant way towards achieving our sustainability goals. The pathway for decarbonising our fleet is clear – we’re making a timely migration to a “Sustainable Zero Emission Commercial Fleet Model” in a controlled way. This means we’ll meet our social, business and legal commitments, whilst continuing to provide exceptional support to our branch network and customers. As part of this transformation journey, we’ve been making some important changes and improvements across our fleet, here are some of the most recent ones:

EV infrastructure We’ve now installed the infrastructure for EV charging points at 19 sites across our operations and we have three further sites in planning. These include our Sheffield branch, Norwich RFC and following these, T1. We’re also in the process of installing seven new EV chargers at T2 with capacity to charge 14 vehicles. Alongside this, surveys are being undertaken at another 11 sites to inform planning for the next stage of our EV network. Rigid EVs Earlier this year we upgraded our rigid fleet with a number of vehicles powered by compressed natural gas (CNG), each saving 120t of CO2 emissions per year by replacing diesel models. Taking this a step further we’ll soon be conducting a trial with an electric rigid vehicle – watch this space for more updates.

EV training & KPIs Transitioning our fleet to EVs not only brings carbon reduction benefits based on the fuels we’re using, it’ll also allow us to introduce different technologies that can contribute to more efficiencies. To take advantage of this, we’re in the process of creating new performance KPIs utilising telematics, Microlise, Jaama and ChargePoint data to evaluate driver impact and vehicle efficiency. We’re also creating a new dashboard to share these insights. We know this transition to EV brings with it a number of changes, so we have partnered with a specialist training agency to work with us to develop and deliver two new Driver Training modules. We’ll be rolling these out in the coming months.

Sustainability Update

Edition: September 2023

Planet

Transforming our fleet

EV delivery fleet We now have a number of EV vans deployed across our delivery network, including with our partner Greenhouse. These include 17 eCombo vans and one eVivaro, with 32 more eVivaro vans on route for delivery now, and 12 more entering production, due to be delivered by October. We’ve also been undertaking some exciting research into optimising capacity across our branch deliveries by utilising eScooters. An initial review has found that on average between 21% and 26% of manifested deliveries could be completed using an eScooter. Our Wembley branch has already been using these vehicles for deliveries and we’ll now be working with an external partner to trial the viability of introducing eScooter across our network.

Sustainability Update

Edition: September 2023

Planet

Progress towards ISO 14001 In our previous issue we gave an update on the work we’re doing to achieve ISO 14001 environmental accreditation at T1 and T2. We are very pleased to share that we passed the ISO 14001:2015 Stage 1 Document Audit and received only 5 minor non-conformances. Following the audit, we will be setting SMART targets to resolve our non-conformance areas and introducing some new documentation and processes including: • An organisation chart with definitive roles and responsibilities documented for T2 and T1. As part of this we have identified our environmental champions. • Recording SMART targets for the environmental objectives across our logistics at Tamworth. • Sharing an environmental policy statement of intent signed by our leadership team. This will soon be available on our website and on communication boards across our network.

Elaine Duffy, our environment and sustainability manager, said:

“The ISO 14001 certification centres on putting in place processes to ensure that good environmental practices are always followed, in every part of our business. It is an essential part of making sure that we operate sustainably and hold ourselves accountable for best practice long into the future.” The final stage in achieving the certification will be an on-site audit in December to confirm that the processes detailed in the documentation are being carried out on the ground. Our certification will then be valid for three years, with interim smaller audits to check we’re maintaining our processes consistently. Following our work at T1 and T2, we are looking to roll-out ISO 14001 across the remainder of our network in 2024.

Sustainability Update

Edition: September 2023

People

Spotlight on wellbeing

Staying active whilst at work It’s well known that too much sitting still has negative effects on our health, so what can you do to avoid being too sedentary at work? We’ve shared this before but it’s worth familiarising yourself again - check out this infographic for some great tips on how to stay active throughout the day.

• Introducing our ‘Inspired to Thrive’ initiative • Check out our infographic on how to stay physically active while at work • For Men’s Health Week, we focused on the importance of talking about health by asking some of our colleagues to share tips on how they stay healthy and happy We know that, as a business, we’re only as good as our people, so supporting all of our colleagues to perform at their best is our top priority. Health and wellbeing are a hugely important part of that. That’s why we’re rolling out the Inspired to Thrive initiative, which aims to raise awareness of physical and mental health issues in the workplace, and ensure you have the tools and resources you need to thrive in your professional and personal life. We have our wellbeing champions to provide touchpoints for people to go to and discuss their specific needs including mental health support.

Watch this space for more information in the months ahead.

Sustainability Update

Edition: September 2023

Men’s Health Week People

June 12-18 was Men’s Health Week, an international event that aims to raise awareness around men’s physical and mental health. To mark the occasion, we asked colleagues from across the business to share their thoughts via LinkedIn on why men can struggle to open up about their health and emotions, and why starting conversations about male health is so important. Thank you to Donall Goldrick, Andy Ramsden, Chris O’Rourke, and Richard Ware for contributing. Here’s a quick summary of some of their thoughts. Donall said: “It’s safe to say that as men, we’re not always great at talking about our health. Often, doing so can be perceived as a weakness or sign of vulnerability, but the truth is we’re not invincible.” Andy said: “It’s important to be honest and have open discussions with yourself, your friends and your family when you’re affected by something physically or mentally.” Chris said: “By encouraging conversations and education, we can help to improve the overall wellbeing of men and create a healthier, more inclusive society for everyone.” Richard Ware talked about his prostate cancer diagnosis, for which he is still receiving treatment, and how a blood test as part of a general health check helped identify it early. He said: “It is so important men visit their local GP if they notice anything unusual with their health, as otherwise there is a risk that a problem won’t be uncovered until it is too late.” If you need any support with your mental or physical health while at work, get in touch with your line manager, HR Business Partner or Employee Assistance Programme.

Donall Goldrick

Andy Ramsden

Chris O’Rourke

Richard Ware

Sustainability Update

Edition: September 2023

People

Igniting the next generation of talent

We recently welcomed 204 students from St Francis of Assisi College in Walsall to T2 to help them discover the different career paths that our business offers, during an exciting ‘school safari’. Our current finance interns, Jaskiran Kaur, Alessandro Kumarasinghe, and Gurlyn Sandhu, spoke to the students about their internship experience, while Andy Hamilton shared his thoughts about the automotive industry and the types of roles the students could explore in the future.

From logistics, finance, digital and retail, all the way to events, marketing, communications, operations and even our branch network, we need a wide range of skills in order to keep thriving. It’s vital that we do our bit to foster that new generation of talent that will drive our business into the future. It was great to see so many young people engaged and interested in one day joining the team. We can’t wait to see where their career paths take them.

Sustainability Update

Edition: September 2023

Communities

• We set some ambitious money raising targets across the business as we look to help some amazing charities • Supporting efforts in Ukraine remains a central objective To spur us on, we introduced an element of healthy competition to see which part of the business can raise the most. Our ongoing commitment to making a positive difference in the world means constantly striving to support the communities where we work and live, as well as those that might be further away but who desperately need our help. To ensure we deliver on our promise this summer, we introduced an element of competition to our fundraising, by splitting the business into three teams who competed to see who could raise the most for good causes. The four teams – North and Ireland, South, Central and Regional Senior Leadership – battled it out to see who could hit the highest figure for funds raised. In little over a month, together we raised an incredible £100k, with the central team topping the leader board with a huge £32k raised. This was followed by North and Ireland with £28k, South with £27k and Regional Senior Leadership team at £10k. Supporting causes close to our hearts in the UK and further afield

Here are some highlights from the month:

• The Regional Senior Leadership team trekked 13 miles across the Jurassic Coast • The South team completed an incredible 300- mile bike ride • Our North and Ireland team completed the Five Peaks, conquering Ben Nevis, Snowdon, Scafell Pike, Slieve Donard and Sugar Loaf • Centrally we saw an epic swim across the channel. • Plus, we saw raffles, fun days, car washes, silent auctions and more across our whole business. • From the money raised, we’ll be donating £45k to Ben, £45k to the Ukraine and €10k to Pieta.

An enormous thank you to everyone who took part and donated to support these important causes.

Sustainability Update

Edition: September 2023

Communities

Environmental volunteering day update It was a while back now but once again a big thank you goes out to everyone who got involved in the recent volunteering day with our partner One Tree Planted. This time we focused our efforts on Rowheath Pavilion in Bournville, Birmingham. The fantastic team rolled up their sleeves and had a had a huge impact in a short time, from maintaining the formal borders around the pavilion and parkland to creating a sustainable future by constructing raised beds for a new food growing space. It’s been amazing to be involved in keeping this beautiful green space thriving for everyone to enjoy.

Our community Fund in action Last issue we launched our brand-new community fund to support causes that matter personally to individuals and teams in our branches across the UK and Ireland. The fund enables each branch to apply for up to £500 to go to a cause of their choice, and we’re proud to have supported so many of your requests already. These include making donations to The Riff Raff Society in Manchester, a charity which helps those facing hardships, and the Na Magha Doire club in Derry to support the U15 Derry Camogie Féile team in the Ulster Féile championship. We’ve also helped the Stepping Stones Family Learning Centre with updating their outdoor spaces for children, creating new vegetable plots, outdoor picnic areas and a sensory space. We’ve had 50 applications so far and are looking forward to seeing more! If you have a great cause you would like to support, get in touch with your local RM.

Supporting athletic excellence We’re proud of our track record of sponsoring both our colleagues and industry friends undertaking endeavours that are close to their hearts. We’d like to say congratulations to Phil Mann from the AA on his debut for British Triathlon. It’s been a pleasure to give Phil our backing and watch his incredible progress. Keep up the hard training, and best of luck for the Powerman Zofingden World long-distance Duathlon Championships later this year!

Sustainability Update

Edition: September 2023

Share your story

If you have a story or an achievement you’d like to share in this newsletter, let us know by emailing Central.Communications@eurocarparts.com.

And don’t forget we have lots of opportunities for you to get involved, including becoming a Sustainability Ambassador. If you’re interested in becoming one of our Sustainability Ambassadors, simply drop an email to lkq-ecp-sustainability@eurocarparts.com to find out more.