Glossary

Capacity building

Helping our business partners and others understand how to manage and improve workplace conditions, e.g. through training, producing guidance manuals, and sharing best practice.

Community Affairs

Corporate function which coordinates a network of employees managing corporate donations, volunteering programmes and community relations in the subsidiaries and other local entities of the adidas Group. This function has become part of the SEA team in 2005.

Corporate Social Responsibility (CSR)

Managing a company's business processes in a way that creates economic value while also respecting people and communities and minimising environmental impact.

Dow Jones Sustainability Indexes (DJSI)

Launched in 1999, the Dow Jones Sustainability Indexes are the first global indexes tracking the financial performance of the leading sustainability-driven companies worldwide. Based on the cooperation of Dow Jones Indexes, STOXX Limited and Sustainable Asset Management (SAM) they provide asset managers with reliable and objective benchmarks to manage sustainability portfolios.

Eco-Management and Audit Scheme (EMAS)

System designed to improve a company's environmental performance by ensuring that all environmental effects and impacts of a facility are recorded and documented.

Fair Factories Clearinghouse (FFC)

A collaborative industry effort involving retail and consumer brands and retail trade associations to create a system for managing and sharing social audit information.

Fair Labor Association (FLA)

Non-profit organisation working cooperatively with companies, NGOs and universities, to promote a workplace code of conduct based on International Labour Organization standards.

Flock transfer printing

Technology that allows structural and solid print designs.

FTSE4Good Index Series

The FTSE4Good Index Series has been designed to measure the performance of companies that meet globally recognised corporate responsibility standards, and to facilitate investment in those companies.

Global Operations

Group function which manages product development, commercialisation and distribution and also supervises the major part of manufacturing for the adidas, Reebok and TaylorMade-adidas Golf segments.

Global Reporting Initiative (GRI)

Independent institution developing a generally accepted framework for sustainability reporting.

International Labour Organization (ILO)

The ILO is the tripartite UN agency that brings together governments, employers and workers of its member states in common action to promote decent work throughout the world. Its main aims are to promote rights at work, encourage decent employment opportunities, enhance social protection and strengthen dialogue in handling work-related issues.

ISO 14000/1

Environmental management standard.

Key Performance Indicator (KPI)

Measures the effectiveness of actions taken by our suppliers to ensure compliance with the 'Workplace Standards'.

Lean

Manufacturing efficiency programme promoted by the adidas Group to improve overall factory performance in terms of delivery, quality and cost.

Multi-Fibre Arrangement (MFA)

Introduced in 1974, establishing the rules for international trade in textiles and garments. Through the MFA, quotas were set limiting the amount of imports of textiles and clothing to the developed world. The MFA expired at the end of 2004.

Non-Governmental Organisations (NGOs)

Special interest groups, often not-for-profit, raising awareness of sustainable development issues in business.

Occupational Health and Safety Assessment Series 18001 (OHSAS)

Occupational health and safety standard.

Polyvinyl chloride (PVC)

Synthetic material used in the manufacture of sports apparel and hardware that we are striving to phase out because of its adverse health and environmental impacts.

Social and Environmental Affairs (SEA)

Department of the adidas Group responsible for producing and developing sustainability policies and initiatives, and promoting social and environmental awareness throughout the company and its supply chain.

Socially Responsible Investment (SRI)

Investment that is made on the basis of the financial, environmental and social performance of a company.

Stakeholder

Person, community or organisation that affects, or is affected by, the operations of a company.

Sustainability

The ability to create economic, social and environmental value in the long term.

Volatile Organic Compounds (VOCs)

Solvents that can cause breathing and health problems. VOCs are by-products of the shoe manufacturing process.

Workplace Standards

The Group's supply chain code of conduct, formerly known as the 'Standards of Engagement' (SOE). A set of labour, health and safety, and environmental principles designed as tools to help the adidas Group choose supply chain partners, monitor their performance and identify problems.

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