Corporate Social Responsibility


Corporate Social Responsibility

Similar to previous years, the Company continued to put important focus toward Corporate Social Responsibility (CSR) to all stakeholders in 2017. During the year, it was involved directly in several social activities focusing on community development, education support and environmental preservation. Those activities were conducted through cooperative partnerships with several Indonesian NGOs to manage certain social programs, especially the donation program.

The Company’s CSR activities were focused within several categories:
Social and Community Development

The Company puts high attention toward social development, especially on community development and education support. Regular workshops are conducted for food handling, food safety and food quality as well as other issues for SME. These efforts are expected to bring benefits to MPPA through better knowledge resulting in higher food quality delivered to customers.

Coordinating with its parent shareholder group, the Company is always at the front line in giving financial aid to students or schools in-need in various regions and helping victims of natural disasters. Donations are provided for less fortunate schools in certain regions through financial aid, books, teaching tools and other helpful materials. In 2017, the Company continued working with its parent shareholder group to give annual financial donation support aid for 10 national universities and higher education institutions throughout the country and mobilized aid for victims of natural disasters.

Consumer Protection

The Company always values consumer safety as an important priority. It ensures that all products offered at all stores have passed certain quality standards in terms of information, ingredients, packaging and other elements. For compliance to stakeholders, the Company ensures that products being offered have certifications from the regulatory authority and include data about ingredients, expiration dates and other important information. This is a strong effort aimed at customer protection. Certain refund policies have been put in place to ensure customers’ satisfaction with all of their purchases at our stores.

Environment

The Company puts priority on environmental issues in all stores. Certain measures continue to be implemented to foster better environments surrounding the stores. It actively promotes environment preservation through recycling efforts as well as reducing the usage of plastic bags. The Company also puts strong emphasis on managing material waste including proper disposal. In addition, it ensures that all standard operating procedures are well communicated, personnel are trained and general information is distributed to all staffs including emergency SOP’s for critical situations.

MPPA & Unilever

In 2017, the Company continued its CSR joint effort with PT Unilever Indonesia Tbk, a leading FMCG producer in Indonesia, focusing on environmental preservation. The “Zero Waste To Nature” campaign program was initiated at Hypermart stores in Surabaya, East Java. Focusing on the recycling of used plastic bottles and sachet which are most commonly used items found in the FMCG industry, the campaign invites and educates consumers to start recycle their household plastic waste, which would be processed using the latest technology CreaSolv®, owned and operated by Unilever, to become useful recycled consumer products. The Company believes that this campaign will work well and expand to more Hypermart and Foodmart stores in 2018. In the previous 2016, the Company cooperated with PT Unilever Indonesia Tbk and WWF Indonesia for the NEWTrees CSR program with #beliyangbaik campaign. It also had “Cuci Tangan Pakai Sabun” campaign which built 16 hand-washing facilities at selected schools in Greater Jakarta.

MPPA & Nobu: Bedah Warung

The Company initiated a new CSR “Bedah Warung” Program in late 2017, coordinating with PT Bank Nationalnobu Tbk (Nobu Bank), an affiliated company from the Company’s main shareholder Lippo Group. Within this program, the Company successfully remodeled 5 warungs at no cost for the warung owners, in Giriroto-Boyolali, Central Java. Hypermart provides merchandise for these warungs at very competitive prices, door-to-door delivery and training for display and stock management. At the same time, Nobu Bank provides capital loans to these warung owners and mobilise UniKas, a B2B online smartphone application developed within Lippo Group, for managing the warung daily operation, stock reordering to Hypermart, topping up funds and others. The Program plans to remodel 5 additional warungs in early 2018. The Company will review this program in greater detail for the opportunities of remodeling more warungs in 2018 and beyond.