PPAI Magazine September 2024

Must Read | The State of Responsibility 2024 Distributor Benchmarking During the spring of 2024, PPAI Media asked industry distributors of all sizes a series of questions to assess their status on a number of corporate social responsibility fronts. The following survey questions, which were also used to score the 2024 PPAI 100’s Responsibility category, reveal how distributors at multiple competitive levels in the marketplace compare to one another. (All percentages have been rounded up.) The 2024 PPAI 100 is built on member feedback from the inaugural ranking. Among the suggestions that we’ve implemented to improve the program is grouping respondents into smaller competitive bands in the marketplace to produce more accurate data. After all, to paraphrase one respondent from last year, a distributor generating $50 million in revenue is very different from a distributor making $250 million in revenue. Distributors: How does your firm stack up to the competition, and are there areas you can improve or update? TABLE 1: Does your company have a dedicated staff member whose work at least in part relates to the environmental and/or social impact of your business? Yes No Other PPAI 100 Distributors 92% 3% 5% Distributors $100M+ 89% 0% 11% Distributors $50M-$100M 100% 0% 0% Distributors $25M-$50M 100% 0% 0% Distributors $5M-$25M 80% 16% 4% Distributors $1M-$5M 75% 13% 13% Distributors Under $1M 25% 63% 13% Although Kotis Design – the No. 42 distributor in the PPAI 100 – has someone dedicated to the environmental impact of the business, CEO Jeff Becker argues that the person’s hands are ultimately tied. “The unfortunate problem is not only do all of our clients who have interest in us doing this have different requirements and expectations, but also suppliers are all measuring, calculating and working off different expectations,” Becker says. “While this topic is extremely important, we’re so far away from being able to actually provide a true impact, as our supply chain is complicated and those truly doing the work don’t have the necessary information.” TABLE 2: Does your company have an internal sustainability team, committee or group that champions sustainability efforts across the business? Yes No Other PPAI 100 Distributors 83% 12% 5% Distributors $100M+ 83% 17% 0% Distributors $50M-$100M 91% 0% 9% Distributors $25M-$50M 89% 0% 11% Distributors $5M-$25M 72% 24% 4% Distributors $1M-$5M 88% 13% 0% Distributors Under $1M 16% 71% 13% A representative from Myron – the No. 39 distributor in the PPAI 100 – reported that sustainability is a shared, cross-departmental responsibility at the New Jersey-based company. “Stakeholders from operations, merchandising and supply chain promote green initiatives to reduce waste and minimize environmental impacts. We also leverage our presence in China to push sustainability within our network of suppliers.” TABLE 3: Does your company employ or use a third party to verify and ensure responsible supply chain and product safety choices are being made on your behalf? Yes No Other PPAI 100 Distributors 61% 29% 10% Distributors $100M+ 67% 17% 17% Distributors $50M-$100M 73% 18% 9% Distributors $25M-$50M 56% 33% 11% Distributors $5M-$25M 44% 52% 4% Distributors $1M-$5M 13% 25% 63% Distributors Under $1M 0% 92% 8% 80 • SEPTEMBER 2024 • PPAI

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