Our planet

Datatec is deepening its investment into minimising its environmental impact across its business value chain. It supports leading initiatives in the global sustainability space, and counts the United Nations Global Compact, CDP and SBTi among its formal commitments.

Emissions reduction is a significant pillar of Datatec's environmental stewardship strategy and its efforts are informed by its short and long-term ambitions. There is a strong focus on bolstering emission reduction action plans, whilst ensuring effective tracking and progress measurement. Datatec appreciates that a net zero impact strategy takes time and requires a holistic strategy and consistent, considered application.

Over the past seven years, Datatec has increased the scope of emissions measured, and in line with its commitment to establish a baseline of its emissions, Datatec had every region report into the CDP in FY23. The Group achieved a B CDP score, which is in the management band, and is a reflection that it is taking coordinated action on climate issues. Datatec is above the African and global averages, which are a B and C respectively. Datatec's highest scoring areas were risk management and governance, with its lowest scoring areas of targets and scope 3 emissions having since been addressed.

Understanding our broader value chain emissions

Datatec engaged GCX Africa to undertake a scope 3 relevance assessment and high-level screening of its scope 3 emissions to understand the broader value chain impacts, as per the GHG Protocol Corporate Value Chain (Scope 3) Accounting and Reporting Standard (also referred to as the Scope 3 Standard). Because the screening undertaken is a crude estimation of emissions and is not at an acceptable level of accuracy for emissions reporting, they have not been included in this report.

Emissions		tCO2e FY23	tCO2e FY22
Total scope 1 and 2 emissions – location-based		8 707	7 516
Total scope 1 and 2 emissions – market-based		8 571	7 951

* Note: The carbon emissions data presented in the table has not been audited and should not be considered as an assurance of the accuracy and completeness of such information.

The screening outcomes have allowed Datatec to better understand the scope 3 emission sources, that need to still be quantified in the future, as well as the key data required in order to quantify these, enabling the Group to align with SBTi criteria in setting science-based emission reduction targets.

For detailed information the results of the assessment, please refer to the Datatec 2023 Annual Report.

Stepping towards a net zero tomorrow

Following the screening process, the Group has committed to setting science-based targets to reach net zero carbon emissions by 2050. Our targets are aligned with the goals of the Paris Agreement and are based on the recommendations of the SBTi. Datatec has committed to reduce absolute scope 1 and 2 GHG emissions by 50% by 2030 from a FY22 base year, and we have committed that 80% of suppliers by spend covering purchased goods and services and the use of sold products will have science-based targets by FY25. SBTi is yet to approve Datatec's targets.

To enable us to meet our goals, we have developed carbon reduction plans specific to the regions in which we operate. We will perform annual reviews to ensure our targets remain aligned with climate science and we are confident that our targets will provide a platform for continued improvements in our environmental sustainability efforts.

Westcon International

Protecting our planet is important to Westcon International which is why it is acting to minimise its largest impact area: supply chain emissions. It plans to use its scale and influence in the supply chain to promote sustainability and help its partners do the same. Westcon International is also working to minimise its environmental footprint through circular and environmentally responsible technology, which provides commercial value to its partners and vendors.

Plans/targets for FY24

• Establish formal governance structures to ensure that sustainability is embedded within the broader Westcon International strategy
• Focus on improving data quality across environmental metrics, driven by increased collaboration with vendors
• Implement responsible business policies linked to travel and electric vehicles
• Increase procurement of renewable energy in Europe through tariff switches
• Further develop responsible business KPIs and internal targets
• Establish a baseline for the waste its business generates
• Launch EMEA sustainability ERG
• Obtain certification for ISO9001 (Quality) and ISO14001 (Environmental) in Australia, New Zealand and Singapore logistics centres
• Conduct qualitative climate-scenario analysis linked to annual carbon footprint calculation through CDP submission
• Obtain validation of decarbonisation targets by SBTi
• Perform system needs assessment to help plan for future tooling in two key areas:
  • Tracking progress against climate change targets
  • Supporting engagement and collecting data from supply chain

Westcon UK – Electric vehicle day.

Progress against FY23 goals

	FY23 goal		FY23 delivery
	Establish key metrics for ESG reporting dashboard		Significant progress made in implementing a third-party solution with a view to improving the efficiency of collecting environmental and emissions data across the division. The first iteration of the dashboard is expected to be completed in Q1 FY24.
	Improve both the accuracy and efficiency of waste and recycling reporting through ERP enhancements		The capability to hold additional information within product data records linked to packaging materials and dangerous goods (lithium batteries) has been improved within SAP, driving efficiencies in reporting for these areas.
	Implement and certify its operations across both EMEA and Asia-Pacific to the ISO14001 standard (environmental management) with a view to providing practical tools to help implement its sustainability strategy and better manage its environmental responsibilities		European logistics centres in the UK and Netherlands achieved certification to the ISO14001 standard. Implementation for logistics centres in Australia, New Zealand and Singapore is in progress, with a view to achieve certification by H1 FY24.
	Identify opportunities to collaborate with vendors on ESG topics		Engagement and collaboration with vendors will be critical in order to achieve scope 3 emissions reduction targets. The initial focus is to explore possibilities to share information linked to goods and services purchased. Opportunities for further engagement on topics linked to the circular economy will be identified.

Progress against FY22 goals noted as "in progress" in prior year report

	FY22 goal		FY23 delivery
	Establish more accurate data from offices in multi‑occupancy buildings		Although some progress has been made in this area, obtaining accurate data continues to be challenging for some smaller office locations, and certain geographies. There is close alignment between the ESG team and facilities resources to engage with landlords to obtain this information.
	Reduce the amount of waste to landfill		Availability of waste data remains challenging to obtain outside of Westcon International's larger facilities. Efforts are being focused on establishing a clear baseline for waste generation to enable the setting of targets to reduce waste to landfill. A number of its UK offices have partnered with zero-waste providers to minimise waste to landfill.
	Increase renewable energy usage where contracts allow		An emissions reduction action plan has been developed which outlines a goal to achieve 100% renewable energy usage by 2030. Westcon International's actions are focused around three key areas, transition to green energy, energy efficiency and electrification of its car fleet. Changes to tariffs have already been made within Europe to progress against this target. The year-on-year increase will be confirmed post completion of the FY23 carbon footprint calculation.

Achieved

Partially achieved

In progress

For detailed information on Westcon's our planet activities, please refer to the Datatec 2023 Annual Report.

Logicalis

Improving its environmental performance has fast become a business imperative for both Logicalis International and Logicalis Latin America.

Logicalis has committed to being a carbon neutral global organisation by 2025 and made a formal commitment to the SBTi to actively drive the reduction in global emissions. By actively aligning Logicalis' strategies with the goals of the Paris Agreement, the transition to a low carbon economy can be accelerated by SBTi to avoid the worst effects of climate change. Logicalis has developed a number of short and long-term targets in line with the SBTi's methodology which have been submitted to SBTi for formal validation, and has designed a number of policies and initiatives to enable it to exceed these goals.

Logicalis' work in sustainability has been supported by the "2022 employee sustainability challenge", an initiative to encourage employees to implement environmental projects across the world, driving new local initiatives to help reduce emissions, water use or waste generation.

During the year, Logicalis launched a customer sustainability score, providing its managed services customers with an environmental impact score across its global technology solutions, to help them understand their IT emissions, together with recommendations on how they can improve. This is offered as a scalable, agile, managed service. It is also part of Cisco's global initiative to responsibly repurpose and recycle end-of-use products. Logicalis currently holds the Cisco environmental sustainability specialisation in eight countries across the world and will continue to build on this.

Logicalis International

Progress against FY23 goals

	FY23 goal		FY23 delivery
	In FY23, have every region report into the CDP for the first time		Baseline of carbon emissions established by having all regions report to the CDP.
	Implement at least one environmental project (to help reduce emissions, water use, or waste generation, as examples) in every country that Logicalis operates in, equating to 27 new environmental projects		32 environmental projects implemented or continued across Logicalis (including Logicalis Latin America). Not all were executed in every country due to constraints such as capacity and size of operation.
	Have a minimum of 25% of global operations powered by renewable energy in the coming year		Five of Logicalis' global operations switched to renewable energy, supporting the implementation of its robust decarbonisation strategy.

Achieved

Plans/targets for FY24 and beyond

• Become carbon neutral on scope 1 and 2 emissions by 2025. Logicalis International is implementing many sustainability initiatives to achieve this goal, primarily through the implementation of carbon reduction initiatives
• Reduce absolute scope 1 and scope 2 emissions by 50% by 2030
• Support 80% of suppliers by spend covering purchased goods and services to have their own science-based targets by 2025
• Progress Logicalis International's waste management journey by extending the scope of management plans and policy from e-waste to general waste
• Have 50% of the waste generated by its operations diverted from landfill and have 75% of its operations powered by renewable energy by FY25
• Annual commitment to energy reduction targets based on energy efficiency for every region of operation, ranging between 2% (for Europe) and 5% for all other regions
• Continue to switch to renewable energy, with all operations achieving the switch by 2029
• For operations with mobile fleets, switch to electric or biodiesel fuel at a rate of 6% per year

In the first quarter of FY24, launch two new global policies as part of our responsible business strategy:

• A global e-waste policy to facilitate the proper disposal of electronic waste
• A global sustainable travel policy to reduce carbon footprint while travelling
• Launch responsible business/ESG training module for all employees in Q2 of FY24
• Produce a Logicalis International responsible business report for FY24

  For detailed information on Logicalis International's our planet activities, please refer to the Datatec 2023 Annual Report.

Logicalis Latin America

Progress against FY23 goals

	FY23 goal		FY23 delivery
	In FY23, have every region report into the CDP for the first time		Baseline of carbon emissions established by having all regions report to the CDP.

Achieved

Plans/targets for FY24

• Expand electric vehicle fleet in Brazil
• Continue with the conscious disposal of obsolete equipment in Brazil
• Develop a reverse logistics campaign to incentivise customers in São Paulo to utilise its reverse logistics service, a specific channel to assist customers dispose of products that cannot be disposed of in general waste
• Conduct an ESG-themed Logicalis' suppliers event in Brazil
• Conduct an e-waste campaign in 2023
• Develop a carbon emissions inventory for Logicalis Chile, together with BlockC, based on its 2022 (calendar year) emissions. Continue the process, which has already begun, in Logicalis Brazil
  

  For detailed information on Logicalis Latin America's our planet activities, please refer to the Datatec 2023 Annual Report.