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Comparing Inditex and H&M to the GRI-standard Stakeholders inclusiveness ● Both companies identifies their stakeholders in a useful way, being customers, colleagues, business partners etc. ● Inditex tends to have constant dialogue with their stakeholders. ● H&M’s CEO mentions the engagements with their customers and their responses for the changes made by H&M. They also have an employee representative on their board. Materiality ● Both companies clearly outline their environmental policy goals. ● Inditex says less about their future goals but shows more complete data from the past. ● H&M sets specific goals for certain years in the future. Completeness ● Inditex has a table dedicated to Balance of material topics which clearly displays the boundary of different areas of their company. ● H&M approaches the topic of ‘boundaries’ within a block of text without mentioning it by name. Accuracy ● H&M had an error in their 2017 report which has now been corrected, so there has been past inaccuracy. ● Thorough approach this year to fix the past error which may have gone unnoticed by a potential investor. Comparability ● H&M tables provide beneficial and simple statistics across a number of years which shows their progress. ● Inditex has a few useful diagrams which show Global consumption along with their relative consumption of various resources. Clarity ● Inditex provide a lot of information, which may be considered overwhelming. ● A couple of Inditex diagrams are very unclear and the information could have been presented much better. ● In general, tables are thorough and easy to understand. ● H&M provide very clear tables relating to the text above on the same page. ● Perhaps H&M could provide more detailed numerical information on their sustainability achievements, more like Inditex. Timeliness ● Inditex have annual reports available from 1998, which they often publish at the beginning of each year, they also have a sustainability report available from 2002.

● H&M have annual reports available from 1999, usually published at the end of each year or the beginning of the following year, the company has had a Social Responsibility report starting from 2002 which they later changed to a sustainability report. Comparing Inditex with H&M ● Both companies mention in their annual report that they follow the GRI standard. We can clearly see in the Inditex report where they follow the GRI template. ● H&M does not follow it word for word. But on the other hand we think that H&M’s tables are easier to read and understand, therefore we prefer the simplicity of H&M’s Tables and find it more useful. ● We would combine both companies methods, we would follow the GRI template and make it easier for our stakeholders to find the information needed like Inditex does. ● We also prefer H&M’s choice of separating the sustainability report from the annual report and only mention the most important and relevant parts of it in the annual report. ● We also like the way in which H&M outlines their ideas for sustainability in the future. They are very easy to read and for a potential investor provide a clear vision of the direction the company will take going forward. ● The present and the future achievements give a better understanding of a companies’ sustainability moving forward, and we would therefore give those topics an important place in our report, while also providing some past data in simple tables. ● The H&M report is more accessible to people with a lower level of education, with simple tables showing a general view of improvements. ● Inditex go into a large amount of detail on topics which are fascinating to an expert, but would be difficult for the average investor to gain much benefit from....