In an enlightening interview, Mark Lacey, Chief Human Resources Officer at Save A Lot, detailed the company’s commitment to sustainability and how they manage to intertwine eco-friendly practices within their retail operations.
Lacey elaborated on a range of strategies that not only foster environmental stewardship but also bolster community ties, all while navigating the unique challenges of the discount retail market.
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Integrating sustainability across multiple fronts
Mark Lacey began by outlining the extensive measures Save A Lot has undertaken to improve their operational sustainability.
“We’ve optimised our outbound delivery system through smarter routing and partnerships for fuel data analysis, and continually upgrading our fleet to newer, more efficient truck models,” Lacey explained.
This approach extends to their distribution centres which have shifted to ammonia refrigeration, boasting zero global warming potential.
On the community front, Lacey highlighted the importance of their locally-owned retail partner stores which “authentically support communities in a grassroots way.”
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By GlobalDataHe shared, “Our stores frequently partner with food banks, relief organisations, schools, and other community groups based on locally-identified needs.
This decentralised model empowers our retail entrepreneurs to lead sustainability efforts tailored specifically for their areas.”
Overcoming challenges in discount retail
When asked about the obstacles faced while implementing sustainable practices, Lacey admitted the discount grocery space comes with its set of challenges, primarily around cost pressures and maintaining slim margins.
“Our unique licensing model creates agility – our stores operate very lean compared to conventional grocers. This model also enables our local Retail Partners to nimbly adapt sustainable practices based on their communities’ specific needs and interests,” he asserted.
This adaptability has been crucial, as Lacey detailed, in making sustainability an integrated part of core activities like transportation routing and refrigeration, which are built into business operations over time.
Measuring impact and future directions
Turning to the evaluation of their environmental, social, and governance (ESG) initiatives, Lacey was clear about the metrics employed to track progress.
“We use a variety of quantitative metrics, including baselines for Scope 1 and 2 emissions, tracking fuel efficiency, and waste diversion quantities through our recycling program,” he noted.
He proudly shared that in 2023, they donated over 1 million pounds of food through partnerships with food banks and shelters.
Looking ahead, Lacey is excited about expanding Save A Lot’s ESG strategy.
“We plan to expand measurement into indirect emissions and develop reduction targets across all three emissions scopes,” he said, adding that on the sourcing side, “We want to prioritise ethically-sourced products, reduce packaging waste through optimised design, and strengthen our oversight of supply chain sustainability principles.”
Supporting retail partners in sustainability
Discussing the pivotal role of retail partners, Lacey illustrated how they are encouraged to promote sustainable practices.
“Our licensing model and decentralised operations empower owners to make decisions and investments tailored specifically to each community’s needs around sustainability,” he stated.
He provided an example of a Retail Partner in Philadelphia who contributed significantly to local community efforts during the back-to-school season.
Community engagement and feedback
Lastly, Lacey emphasised the importance of engaging with the communities they serve. “Engaging with the communities is deeply embedded into our business model through our network of Retail Partners,” he remarked.
He shared how community feedback directly influences corporate programming and local initiatives, which not only meet immediate needs but also foster long-term sustainability.
Through this comprehensive dialogue, it’s clear that Save A Lot is steadfast in weaving sustainability into the fabric of their operations, ensuring that their practices are not only beneficial for the environment but also supportive of the communities they serve.
