Sustainability at Blum Questions and answers 1. Sustainability has always been a core value at Blum. How do your areas of responsibility (quality, purchasing and sustainability) make a targeted contribution to this corporate value? Additionally: where do you see current challenges in your areas of responsibility when it comes to strengthening and advancing sustainable development within the company? Alongside timeless design, innovative features and excellent motion, our products are characterised above all by their durability. They are designed to remain in use throughout the entire lifespan of the furniture without compromising on functionality. That is what we understand by product sustainability and have established the conditions to safeguard this commitment by merging the quality, procurement and sustainability departments. Thanks to the resulting synergies, we are not only able to achieve sustainability but also profitability – be it in our own factories or in how we work with external partners. In my opinion, the greatest challenge currently lies in geopolitical developments. Cautious economic forecasts, wars and changing trade relations are pushing many companies to their economic limits, which unfortunately is forcing the issues of climate change and environmental destruction to take a back seat in many places. That makes it even more important to look for solutions that are both economically viable and ecologically sound. 2. What role does responsible procurement or purchasing play when it comes to product sustainability and do relevant market or customer requirements exist in this area? If so, how is Blum prepared for these? Given the risks posed by climate change, we have a greater responsibility than ever to largely do away with the use of with fossil fuels altogether in the future. This is a view that we share with our customers. Scandinavian clients in particular are among those who have set concrete demands for a reduction in the carbon emissions generated by us and by our products. Customers are also requesting and pushing for the use of low-carbon materials, despite the (sometimes significant) added costs this involves. Given that we are capable of accurately and transparently calculating the carbon footprint of our products, we already offer this option – for example by sourcing CO2-reduced steel for our fittings systems. 3. What influence does sustainability have on the design and development of new products? What positive design opportunities does it afford? Every new Blum product and the corresponding manufacturing processes are subject to an environmental and energy check during the innovation phase. The results highlight potential areas for improvement in relation to material use, energy sources and our environmental performance. The decisive factor here is which products we use for which application. The kitchen, for example, places the highest demands on our products and we satisfy these over the entire lifetime of the furniture. Conversely, the requirements in the living room and bedroom are significantly lower, meaning material savings are possible – although these must not compromise the quality or durability of our products in any way. After all, we talk about "Sustainable Quality by Blum" with good reason. Jochen Lubetz, Director Quality, Procurement & Sustainability 17
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