Have you heard about ESG? If so, how much do you know about ESG? ESG stands for Environment, Social, and Governance. Many companies have recently emphasized it because sustainable growth is possible only when companies protect the environment, cherish social values, and balance transparent and ethical governance. CJ Logistics is also leading ESG activities as a global innovative logistics company. CJ Logistics’ ESG team disclosed the details of what efforts they have made and how they are contributing to CJ Logistics’ ESG activities.
ESG team is a team that leads CJ Logistics to create a healthier world with responsibility not only in the financial but also in the non-financial areas with the goal of sustainable management. It can be considered as a 'control tower' of CJ Logistics’ ESG management activities. Starting with the establishment of mid to long-term ESG strategies and detailed tasks for the company, the ESG committee and consultative body consisting of the board of directors and working-level staff are formed to strengthen the execution power to the site. In addition, we are actively participating in achieving the Sustainable Development Goals (SDGs) adopted by the UN and publishing Sustainable Management Reports every year since 2017 that include activities and achievements to improve our ESG management.
* SDGs (Sustainable Development Goals): 17 objectives adopted by the UN to solve universal problems in human society, including the economy, society, and environment
CJ Logistics was actively engaged in activities related to the environment and corporate social responsibility even before the term ESG emerged. In the past, the terms CSV (Creating Shared Value) and CSR (Corporate Social Responsibility) were widely used. The most representative example is the Silver Delivery service. CJ Logistics was selected as the ‘Change the World 50’ by Fortune in 2017 with a project to create quality jobs for seniors. In 2018, we were awarded the UN SDGs Corporate Implementation Award. We also carried out a traffic safety campaign for children and a project to create urban forests (Green Map Campaign).
In the past, if companies and society focused on creating shared values, ESG now deals with a broader scope of solving universal problems in human society such as economy, society, and environment, as well as creating a sustainable business environment for companies like human rights, safety, and transparent management. CJ Logistics is evolving and developing a wider range of ESG management activities, including existing social contribution activities. As a result, CJ Logistics was selected as the No. 1 group in the domestic index of the Sustainable Development Goals Business Index (SDGBI) for the consecutive years in 2019 and 2020, and the best group in the global index for the first time in 2021.
The most well-known case is the environment one. Protecting the environment is also a task that must be solved as a logistics company. We introduced 'Eco-friendly Packaging Solution' to reduce environmental pollution caused by packaging materials. ‘Eco-friendly Packaging Solution’ replaces cushioning, tape, and packaging materials with paper and reduces excessive use of packaging materials. The customer ‘Atomy’ saved about 230 tons of plastic per year at the logistics center.
Recently, social awareness of safety has been increasing, and the logistics sites are also striving to strengthen on-site safety as it is a space where not only executives and employees but also employees of numerous partner companies cooperate. We are closely communicating with the sites to detect various risks that may occur in advance and to prevent safety accidents.
Moreover, we are improving the win-win program to protect the human rights of CJ Logistics with our partner employees to grow together. In terms of governance, 'compliance' is more important than anything else. CJ Logistics holds the compliance committee every year, and it is the first logistics company to obtain ISO37301, which is the international certification for compliance through regular education and inspection. Furthermore, we have established the ESG committee to build ESG strategies to enhance ESG management execution.
Our goal is to create a better sustainable ecosystem in logistics. To this end, the external part is important, but it is also crucial to increase the understanding of internal executives and employees and to encourage voluntary participation. We will provide various support to create ESG sensitivity by internalizing ESG. Externally, we would like to create a better world through ESG management and provide more quality logistics services to spread good influence on various stakeholders.
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