Awareness of carbon emission and ESG issues was minimal in Indonesia at that time. However, today we are encouraged by the growing consciousness and concern for these crucial issues. 

One significant challenge is plastic usage. While we aim to reduce plastic consumption, customer awareness and retailer preferences often dictate our packaging choices. Balancing our plastic footprint with consumer expectations remains an ongoing task. 

The lack of standardized disclosure and regulatory requirements for volatile organic compounds (VOC), lead content, post-customer disposal methods, and other hazardous materials presents additional difficulties. To address this, we have voluntarily adopted stringent non-local regulations, including following South Coast Air Quality Management District (SCAQMD) guidelines for VOCs and ensuring our paint’s lead content is below the WHO recommendation of 90 ppm. 

Traceability of raw materials is another complex issue impacting our ability to accurately disclose environmental impact, risks, and opportunities, as well as our carbon footprint. Tracking the origin and journey of raw materials requires robust systems and cooperation from all parties involved. We are actively working with our supply chain to resolve these issues and enhance traceability. 

Financial considerations are also crucial. Implementing and sustaining ESG practices requires substantial investment. Balancing the price point with the need for responsible practices and eco-friendly solutions presents a financial challenge that demands careful planning and resource allocation. 

We believe ESG can create a virtuous cycle. By implementing ESG principles, we create positive impact and foster customer loyalty, which in turn boosts financial performance and fuels innovation, leading to deeper ESG integration. 

Effective communication of our ESG efforts is essential to avoid greenwashing and build trust with our stakeholders. Clear, honest, and impactful communication is necessary to convey our commitment to ESG principles without overstating our achievements. 

Each challenge requires a strategic approach and collective effort from all levels of the organization. As we navigate these obstacles, our commitment to ESG principles remains a core of our company, driven by the belief that responsible practices are integral to our long-term success and the well-being of our planet.