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Aligning with our core purpose to “empower”, Abco acknowledges the important role that business plays in promoting and pursuing meaningful actions for positive societal change.
In addition to our core commitments to customers, Abco’s corporate purpose to “Empower our People, Empower Cleaners, Empower the Community” forms the basis for some of our key commitments to sustainability covering different Environmental, Social and Governance (ESG) aspects.
In many ways Abco is very early in its ESG journey and we are excited to have taken some key steps in 2023 such as measuring our key Scope 1 and 2 emissions, adopting a formal Reconciliation Action Plan, and implementing our Supplier Code of Conduct to ensure our suppliers are aligned with our values when it comes to sustainability.
We look forward to seeing the progress and tackling the challenges in our journey over the coming years, and most importantly playing our part as a business to make a positive difference for a sustainable future.
James Bagshaw Managing Director
Abco Products Pty Ltd (Abco) is a leading supplier of cleaning products, equipment, services, and technology to commercial cleaning providers in Australia with a corporate mission “to empower our people, to empower cleaners, to empower the community.” Abco believes in collaboration with our customers and suppliers to ensure we stay at the forefront of innovative solutions to meet and exceed market expectations with a key focus on sustainability. Established in 1998, the business has grown from a small family business in WA to over 120 full-time employees across 5 distribution sites across Australia.
What sets Abco apart are its people and its exceptional service offerings including: Abconet, which is Abco’s dedicated and industry-leading online platform providing seamless ordering, tracking and reporting; and zero back order commitment on core stocked items. Having its own delivery fleet for metro deliveries means that Abco has customised control over its service to customers, and equipment service and maintenance by a highly experienced team of field technicians perfectly complement the core business, all of which make Abco the ultimate choice to supply commercial cleaning and facility management businesses. Abco is particularly passionate about its Enviroplus range where it encourages its customers to reconsider ‘green cleaning’ by offering products that are not only designed to have minimal environmental impacts and be safe in use, but critically, offering products that are designed to work in alternative ways to traditional cleaning chemistry that can rival or often outperform them. One such example is the use of specialised strains of live microbes which can penetrate and colonise deep inside porous surfaces that traditional cleaners can’t reach, providing long lasting cleaning and deodourisation at the source.
Independent certification of the products through highly reputable eco-labels including GECA and Global GreenTag provides added assurance of Abco’s environmental and safety claims and is further supported by numerous customer testimonials that the products work and exceed expectations.
Abco has taken a renewed focus on its ESG strategy to ensure it remains aligned with the issues that matter the most to our relevant stakeholders and where Abco can make the most impact. Abco acknowledges that there is always room for improvement and we expect that our approach will continue to be refined over the coming years.
This report is Abco’s first annual sustainability report on our ESG performance against key targets and objectives and applies to all operations owned and controlled by Abco.
All reported values and actions are current as of the end of 2023 unless otherwise specified. Our first report is focusing on establishing foundations and targets for the coming years which will be continually reviewed to achieve the best outcomes.
Information was collected based on internal discussions with Directors and internal stakeholders, along with information gathered from various interactions with major customers and suppliers, industry trends and regulatory sources to form a broad list of ESG topics. These were compiled into categories or themes and assigned a relative rating based on relative importance to our key stakeholders, ability to control or influence, relevance to the industry or market trends, regulatory landscape and those aligned with the business values and long term strategy. These were then mapped into a materiality matrix comprising of importance internally to the business versus importance to external stakeholders to identify the key focus areas to develop our ESG strategy.
From our materiality assessment, we have selected several core themes to focus our efforts whilst incorporating the UN Sustainable Development Goals into our key initiatives to ensure our goals are aligned with global challenges and broader societal objectives as highlighted against each category.
Carbon Management
Renewable and Clean Energy
Product Stewardship
Circular Economy
Indigenous Engagement
Work Health, Safety and Wellbeing
Training and Development
Diversity, Equity and Inclusion
Human and Labour Rights, and Modern Slavery
Responsible Supply Chain
Consumer Health and Safety
More information about the United Nations Sustainable Development Goals can be found on www.un.org/sustainabledevelopment. The content of this publication has not been approved by the United Nations and does not reflect the views of the United Nations or its officials or Member States.
Ethics and Integrity
Transparency and Reporting
ESG Policies
Privacy and Data Security
We support the Sustainable Development Goals
1054 tonnes of CO e* Scope 1 and 2 GHG emissions measured
5 electric vehicles purchased for company fleet
RAP commenced in December
8.4/10 average rating in quarterly worker survey for the year
16 New or updated policies relating to ESG areas
*Data from FY22-23
Our first installation of solar panels at our QLD site
Over 370kgs of virgin plastic avoided per year by converting to 50% PCR in our 1L Enviroplus bottles
86% Modern slavery assessments completed by key suppliers
All staff shared bonus scheme “GBS” launched
EcoVadis reassessment submission underway
88% of key suppliers signed our Supplier Code of Conduct
Over 49% supply chain spend in resale goods were with local suppliers
Annual grid energy use baseline established at 377008 kWh *
258 m paper/cardboard recycled across our operations * 3
Targetted cyber testing with less than 5% lower risk events identified and a single higher risk event
Over $129,000 donated to ILF and 254 trees planted with GreenFleet in 2023
Lost time injury frequency rate tracking at 4.8
15 Products certified or undergoing third party recertification
As a starting point in our carbon journey, Abco has focused initially on its Scope 1 and 2 carbon emissions within our operations comprised mostly of purchased electricity and direct emissions from company owned vehicles. Using the Australian National Greenhouse Accounting Factors, the annual emissions over the 2023 financial year were calculated to be 1054 tonnes of CO2e. Estimates were made on the refrigerant leakage from office air conditioning and refrigerators however air conditioning used in company owned vehicles were excluded at this time and estimated to not be a significant source of emissions with respect to overall emissions. The FY23 was chosen to be the baseline year due to availability of data and in subsequent years, the value will be compared as a carbon intensity value based on emissions per revenue. Scope 3 represents a more significant challenge to measure and further work is expected to be undertaken in this area.
As emissions from our company owned vehicles make up a major component of emissions, Abco is focusing its efforts on switching part of the fleet to electric vehicles which has already commenced with 5 electric vehicles procured in 2023. Our commitment to customers is that by the end of 2026, all metro deliveries by Abco will be carbon neutral which will be achieved by switching to electric vehicles where possible, with the remainder to be offset by verified carbon offsets.
Closely linked with our Carbon Management commitment, Abco has commenced with the installation of solar panels at our Queensland site and aims to roll out at our other owned sites by the end of 2026. Initial estimates anticipate that up to 74% of our energy usage on the Park Ridge site will be from solar energy, avoiding up to 48 tonnes of CO2e emissions annually.
As part of product stewardship, we continue to maintain independent certification of key lines to provide assurance to our customers and stakeholders of our commitment to provide products which make environmental impacts at the forefront of consideration. The GECA certification for our key Enviroplus products in particular, ensures products come from a responsible source, contain ingredients that are considered safe to both human health and the aquatic environment, are biodegradable and contain minimal packaging. Furthermore, our Bioactive paper range is also rated Platinum by Global GreenTag LCARate which assesses the environmental impacts over the entire product life cycle and has determined the product to be a carbon sink which removes greenhouse gases over its life cycle.
Abco also has a compostable range of bin liners derived from corn starch which are certified to meet the Australian Standards for both home and commercial composting which helps to reduce reliance on the petrochemicals for the production of virgin polymers used in traditional liners, and will biodegrade under composting conditions reducing its long term persistence in the environment.
A total of 15 of our own-branded products are covered by independent certifications relating to minimising environmental impacts including many more which are covered by supplier certifications such as FSC certification on paper-based products.
Abco recognises the importance and value of promoting a circular economy to reduce waste and encourage responsible use of limited resources.
We have introduced 50% PCR packaging into our key 1L Enviroplus range limited only by the functional features of the unique dosing bottle which are required to be maintained. From this initiative, we are expected to avoid over 370kg of virgin plastic each year.
Projects are currently in our pipeline which include 100% PCR in our 5L Enviroplus range, as well as 2 new product developments incorporating 80 to 100% PCR in the finished product. Abco has started documenting the PCR content for our full product range on our website to help empower customers to make informed decisions when it comes to promoting a circular economy. While most of our product packaging is typically recyclable, Abco is keen to explore ways to promote and increase rates of recycling through a collection scheme facilitated by the fact that Abco conduct their own metro deliveries and often return to our sites with an empty vehicle. We are committed to exploring proposals and conducting feasibility assessments to ensure both practical and environmental considerations can be met.
Of the 559 cubic metres of ‘waste’ from our annual operations, over 46% was diverted from landfill in the form of paper and cardboard recycling which is a key waste stream in our operations.
Our employees are what sets Abco apart and the safety and wellbeing of our workers are paramount. At the end of 2023, our LTIFR (Lost Time Injury Frequency Rate - number of lost time injuries per 1,000,000 hours worked) tracked at 4.8 while the total recordable injury rate was 14.4. As part of continual improvement and an aim to have zero injuries, Abco has implemented an action plan to bolster our efforts to ensure the safety of our workers. This includes monthly safety topics and refresher training on key safety risks in the business. The business is also promoting upskilling of its workforce by supporting an internally appointed WHS Coordinator to receive formal WHS qualifications in 2024.
To foster wellbeing, Abco provides its employees with access to a human resources platform subscription which provides various employee benefits and resources for personal development. In addition, Abco’s committment to provide further opportunity for employees to share in business success resulted in the launch of its Growth by Sharing program towards the end of 2023 which provides a financial bonus to all employees in line with business targets and performance. This is in addition to annual pay reviews which help to reduce cost of living pressures.
In order to gauge and monitor employee wellbeing, Abco conducts an “Employee Happiness Survey” each quarter to monitor staff engagement and satisfaction including opportunity for staff to provide feedback on what can be improved. Our annual average over the quarter is over 8.4/10 and further work is planned to review the survey to provide more detailed data and encourage increased response rates.
While Abco has invested in training and development opportunities for its workers with both internal and external training, we are committed to establishing a formal training program which helps to identify gaps and opportunities to develop our employees.
While we currently don’t have any metrics in this area, upon establishment of the program, we are looking to aim for a minimum number of training hours annually for each employee.
Abco recognises the significant benefits of a diverse workplace with the different backgrounds and experiences that each individual brings and strongly believes in providing an equal opportunity for all when it comes to employment, training, promotion or any other related opportunites. Strengthening and reinforcing the principles in various policies including Anti-Discrimination, Bullying and Harassment, Equal Opportunity, HR Recruitment Policy have reaffirmed our commitment to ensure that opportunities are promoted and evaluated in ways that take diversity and inclusion into account.
start of the our contribution partnership.
By formally adopting a Reconciliation Action Plan (RAP), we believe this will help guide and provide structure to our actions in a manner that is respectful and consultative. Our RAP plan was formally endorsed by Reconciliation Australia and commenced in December 2023. The RAP documents our key goals and deliverables, and will guide our actions in the area of reconciliation and Indigenous engagement over the coming 18 months.
Respecting the dignity and rights that all people are entitled to, Abco takes steps to ensure that human and labour rights are respected in both its operations, and particularly in its supply chain where there is often less visibility in labour practices.
While Abco is not required to report under the Commonwealth Modern Slavery Act 2018, Abco has implemented a Modern Slavery Risk Management Plan with a view to voluntarily report in the coming year. Part of the program involves annual assessments of our major suppliers and screening of new suppliers where suppliers are assigned a risk rating based on potential red flags and other indicators of high risk factors for modern slavery. Abco were strongly encouraged by our supplier engagement in the first year of the program where 86% of our targeted suppliers responded to the assessment and we are currently working through the assessments to determine further actions required to help in the collaborative global effort to fight modern slavery of which the private sector plays a significant part.
In addition, Abco established its Supplier Code of Conduct which covers various aspects of human and labour rights, where over 88% of suppliers acknowledged compliance to its Code.
As well as the management of human and labour rights risks as part of responsible supply chain management, Abco is passionate about pursuing opportunities to support and promote local Australian businesses including Indigenous businesses. In FY22/23, over 49% of our supply chain spend for resale goods was with either an Australian manufacturer, an Australian-owned business, or a business with Australian-based operations. Where opportunities are sometimes limited due to the nature of goods that the business supplies, we aim to maximise opportunities for goods and services used within our internal operations.
We also choose to partner with suppliers who take positive action for sustainability including i-Team who as a result of our sales have contributed over 1.6 million litres of clean drinking water to those who need it most via the Made Blue Foundation.
An issue that resonates strongly with our corporate purpose is the safety of products to the people that use them the most - the cleaners. As an important aspect of product stewardship, the Enviroplus line was developed with safety to cleaner health, and ultimately the health of occupants in the cleaned environment, being a crucial priority. Achieving a Platinum HealthRATE rating by Global GreenTag provides independent assurance of its safety to human health as assessed by its experienced auditors and consultant toxicologists. Being rated in the highest category further affirms our commitment to ensure the product is the safest it can be in use, where several of the products are also rate Asthma and Allergy Sensitive meaning they are free of all known allergens and triggers.
Ethical business conduct has always been a key component of our Code our Conduct. This year we established our Anti-Bribery and Corruption Policy to define our stance and we aim to implement compulsory refresher training program throughout the year in addition to induction training in key ESG areas for all new starters.
With the aim to be more transparent about our ESG targets and commitments, this year marks the first year of our Annual Sustainability report, and the beginnings of our carbon reduction journey.
Third party assessment is an important indicator to our performance and progress and last year we established our baseline with EcoVadis to help identify areas for improvement. As of the end of 2023, we are in the process of preparing our next submission and expect to submit early in 2024.
As a commitment to continual improvement, we have set a target for year on year score improvement across all facets.
7 new ESG policies were implemented in 2023 including Whistleblower Policy, Anti-Bribery and Corruption Policy and HR & Recruitment Policy, with another 9 ESG-related policies updated to communicate and reinforce our commitment across the business. In addition, Abco implemented an Employee Handbook which further highlighted the responsibilities and expectations of every employee in key ESG areas.
Cyber security remains an area of risk and concern where one of the largest vulnerabilities is from staff inadvertently falling victim to malicious cyber attacks. Targetted testing was conducted with positive results and encouraging indicators where a large number of employees informed the IT team and other colleagues of a potential cyber threat. Initial training was rolled out and further testing and training programs are under development.
The following summarises our key goals and objectives and their status as at the end of 2023.
Reduction in carbon intensity of the business; development of net zero target and strategy.
All Abco metro deliveries to be carbon neutral by end 2026.
Solar technology to be installed at all Abcoowned sites by end of 2026
Qld site solar panels installed.
5 vehicles replaced by electric vehicles
Promote circular economy in product design; encourage customers to make responsible choices; and encourage recycling internally and externally.
2 new PCR product or packaging projects in 2024 PCR content available on website for all products by June 2024.
Used packaging collection proposal finalised for Board consideration by June 2024.
Enviroplus 1L X Range changed to 50% PCR bottles.
Product and packaging designed to consider entire produc t life cycle.
Maintain product eco-label certifications.
Establish minimum criteria for all new product development.
Worker Safety and Wellbeing
Zero injuries,
High worker satisfaction
0 LTIFR
> 9/10 average for the quarterly employee happiness survey
Implement bonus incentive scheme based on company performance
GBS Program launched
WHS improvement plan in progress
Training and Development
Build up the skills, knowledge and capabilities of employees.
Implement formal training and development program.
Program framework under development
The following summarises our key goals and objectives and their progress as at the end of
2023.
Indigenous Engagement
Strengthen relationships and facilitate equal opportunity with First Nations Peoples. Deliverables achieved according to plan continued contributions to ILF Book Supply Program. RAP Commenced.
Mitigate risks of Modern Slavery in operations and the supply chain. Ensure supply chain partners across all tiers are aligned with ESG values and responsible practices.
100% key suppliers sign Supplier Code of Conduct
100% key suppliers assessed for Modern Slavery Risks
Actions taken to address risks identified.
88% Signed Supplier Code of Conduct 86% Completed Modern Slavery Risk assessment.
All existing and new staff to receive annual training/refresher on Ethics and Integrity.
Training program developed and 100% staff trained by end of 2024; ongoing annual training program.
100% policy acknowledgement;
Continuous improvement across all ESG areas.
Staff well trained to identify and avoid cyber security risks.
100% testing success.
100% staff training completion.
Initial phishing simulation testing completed with less than 5% lower risk events identified and one higher risk event. Staff training in progress.
Year on year score improvement in EcoVadis rating across all areas.
Preparing for re-assessment in early 2024
Australia’s most trusted commercial cleaning products supplier
Adelaide 507 Cross Keys Road, Cavan SA 5094
Brisbane 2-14 Prospect Place, Park Ridge QLD 4125
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Perth 44 John Street, Bentley WA 6102
Sydney 3B 34 Yarrunga Street, Prestons NSW 2170
