Managing our environmental impacts has been a key focus for us in 2010. We have reviewed the life cycle of our products to understand what impacts occur where in our business processes. We have looked all along the value chain where our products are designed, created, manufactured, transported and sold. The illustration shows a simplified picture of the adidas Group's value chain.

adidas Group's value chain

adidas Group's value chain enlarge

Where do the environmental impacts occur? In short, all along the value chain crude oil is used to manufacture polyester, water is needed to grow cotton and chemicals are used for dyeing and finishing fabrics or for tanning leather. Once the products have been made, there are emissions associated with transporting them to where they are sold, and at the end of their useful life they become waste.

To reduce our environmental footprint we need to manage all these issues at the most relevant stage in the process. So we aim to deliver guidelines and tools to the people within the specific business operations who can actually influence the impacts, even though the actual impact might occur somewhere else. For example, decisions taken at the design stage have a direct bearing on impacts further along the value chain.

This section is structured around our value chain. So first we present our Environmental Strategy 2015 which helps us to coordinate and manage our Group's environmental initiatives. Then under Product creation, we include the efforts we are making at the Innovation, Design, Marketing and Development stages of the value chain. This is followed by Sourcing and Manufacturing, Green Company, which is the name for the environmental programme for our own operations, and finally Sales.

Reading this report

Performance counts and reporting is about making performance clear to readers.

So in this year's report each page identifies which Global Reporting Initiative (GRI) indicators it addresses, complementing the GRI Index.