The number of online orders with home delivery increased by 21% this year compared to the previous year, reflecting the growing interest in fast and convenient shopping. The number of online orders with home delivery has increased by 21% this year compared to the previous year, reflecting a growing interest in quick and convenient shopping. We are constantly trying to identify and develop solutions that streamline processes and provide our colleagues with smart tools to help them carry out their activities. PENNY stores aim to be more convenient and focused on the presentation of food products. All stores in the country aim to be renovated based on the same concept in the coming years, so that customers find a familiar, easy and comfortable environment to navigate while looking for their favorite products at the best prices or exploring promotions and special offers. While a welcoming and pleasant environment is created in all new and renovated stores, in 2024 we have made an extra effort to ensure a convenient shopping experience for families: we have set up dedicated parking spaces for pregnant women and people with young children. In 2023 we started the design of the first autonomous PENNY store in the world and implicitly also in Romania, which was later inaugurated in May 2024. This store is completely autonomous, and customers can quickly solve their shopping list without spending time at the cash register. The items are scanned automatically, through a smart camera system, and once customers launch the products back on the shelf, they will be automatically deducted from the receipt. More information is available on the dedicated page of our website. We continue to refine our commercial offering, internal processes, communication and payment tools, as well as order processing methods. Our stores are integrating more and more digital elements, such as communication and organization systems, digital orders for employees, electronic price tags and electronic monitoring of fresh pastry stocks. At the same time, we continue the energy efficiency measures through which we want to increase sustainability performance for all our stores, such as: • certification of all newly opened stores according to BREEAM In-Use standard • prioritizing the use of renewable energy through the purchase of certified green energy and the expansion of its own network of photovoltaic panels • maintaining ISO 50001 certification The value chain is essential for both sustainability reporting and the growth of our business. This way we can identify the challenges that influence both stakeholders and the company's performance. By accurately understanding the components of the value chain, we can implement practices of continuous improvement, innovation and effective collaboration with all actors involved. We are dedicated to the continuous optimization of our operations, paying special attention to inventory planning from one end of the supply chain to the other. We control and automate the supply chain, streamlining and simplifying complex processes to maximize product availability with minimal inventory. Integrated inventory planning is a priority for us. To anticipate customer demand in each store and manage inventory needs in the PENNY network, we implemented advanced forecasting using artificial intelligence and digital twin modeling. These technologies help us improve the visibility of warehouse inventory and ensure efficient supply. We automatically monitor inventory and order levels automatically and almost in real time, allowing us to respond quickly to changes in demand by placing regular orders with our suppliers. MESSAGE FROM THE GENERAL MANAGEMENT SUSTAINABILITY STRATEGY AND GOVERNANCE ABOUT US AND OUR VALUE CHAIN ABOUT THE REPORT THE FUTURE IS MADE TODAY SUSTAINABILITY MILESTONES SUSTAINABILITY REPORT PENNY ROMANIA 2024 28/276 ABOUT US AND OUR VALUE CHAIN
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