Youth voices help influence Ingka Group’s sustainability agenda

Key takeaways include:

• The forum directly engages with Ingka Group’s senior leadership, offering insights on sustainability, human rights, digital ethics (including AI literacy), and fostering peace and justice. This collaboration ensures mutual learning and fresh perspectives.
• The community of young leaders commends Ingka Group’s reductions in greenhouse gas emissions, advancements in nature and biodiversity, commitment to fair wages, and progress in digital ethics.
• However, they urge Ingka Group to advance its efforts on climate adaptation and resilience, circularity, and plastics, and developing targets for petrochemical production. The Young Leaders Forum also calls for greater transparency on AI’s workforce impact and deeper integration of co-worker perspectives in AI governance.
• The forum emphasises Ingka Group’s unique role in influencing consumer behaviour and the importance of honest communication to build trust. They advocate for increased multi-stakeholder collaboration to address complex global challenges.

The Young Leaders Forum’s involvement highlights Ingka Group’s commitment to integrating diverse youth perspectives into its core strategies, shaping its journey towards a more just and sustainable future.

Full transcript available below:

Kat Wirth: Welcome to “Screw It,” a podcast from the world’s largest IKEA retailer. I’m Kat Wirth, and in today’s episode, I’ll be talking to members of the Young Leaders Forum, a group of independent activists and professionals. We’ll be discussing our annual summary and sustainability report, which is out now.

Kat Wirth: Joining me today are Cathy Li and Siddhi Pal from the Young Leaders Forum. Can you tell me a bit about what the Young Leaders Forum is?

Cathy Li: Certainly. We started in 2021, though conversations actually began in 2019 during New York Climate Week. In 2021, a group of young leaders came together to advise and challenge Ingka IKEA. Now we have a whole new set of young leaders alongside some of us who are “older leaders” in the mix. It’s been five exciting years so far.

Kat Wirth: Is it a big group? What are your backgrounds like? Tell me a little bit about the dynamics of the group.

Cathy Li: I focus mostly on environmental and justice issues. The group as a whole is very diverse. We have entrepreneurs, activists, young professionals, policymakers, and movement builders. It’s a whole big group.

Siddhi Pal: I am one of the newer members of the Young Leaders Forum, and so far, it’s been really interesting. The collaboration has been not just with Ingka, but also with the Young Leaders Forum members who were here before us, which has been very helpful. As Cathy mentioned, it’s a very diverse group with different expertise across policy areas and specific sectors. The collaboration has been insightful for me personally. We’ve been looking at the Annual Summary and Sustainability Report (ASSR) to assess it.

Kat Wirth: And the ASSR, for everyone listening, is the Annual Summary and Sustainability Report.

Siddhi Pal: Right. Before that, we’ve had conversations with Ingka’s leadership about what’s coming up in the next year, their priorities, and avenues for learning from different people’s experiences. We’ve had calls to discuss that, then we read the report and gave our opinion, which is included in the opinion letter. Now, we’re also discussing how we might have team-specific or topic-specific collaborations in the future, given the diversity of backgrounds in the Young Leaders Forum.

Kat Wirth: So, you sit with senior management or different working groups. What’s it like if you spot a challenge or something you’d like to see changed? How do you go about that?

Cathy Li: There are so many channels. Our work involves regular conversations with the Group Management, including the CEO and other leadership, but also with folks leading climate work, human rights work, digital, and AI initiatives. This year, the plan is to go deeper into operationalizing our recommendations and seeing the implementation side of things, which is very exciting. Sometimes I just “rant” about things. For example, when I lived in East Croydon and didn’t see plant balls for a while, I’d say, “Hey, folks, it’s been a challenge getting plant balls in the store canteen!” Or I’ll take pictures of sustainability messaging or social connection messaging in a store and say, “This is really cool!” Or, “I’d love to see more of this. It wasn’t easy to get to consumers.” For example, in December, I was in Bogotá at an Ingka IKEA store, and it was interesting to see their unique ways of framing sustainability messages that Ingka might learn from. So, we just say it.

Kat Wirth: And do they listen?

Cathy Li: Yes, it’s always interesting. Some responses are, “We’ll get this immediately done.” Others are more practical: “Let’s think about operationalizing it, what’s the best way to do it, and how do we collaborate to make it happen?” We understand that many of our recommendations require systemic collaboration and take time to implement. But it’s been great to have those conversations, face the sometimes uncomfortable realities and challenges Ingka is struggling with, and then see how we, together with Ingka, the wider IKEA family, and other stakeholders, can make it happen and reach the vision we want. This might not always be easy or have a quick fix.

Kat Wirth: And we’ll talk more about the challenges in a bit. But first, let’s look at some highlights. You’ve provided feedback on the report, and your letter is in it. I have your letter right here. Can you talk us through some of the highlights you’ve seen throughout the year?

Cathy Li: I think for anyone listening or watching, definitely read our letter from this year’s FY25 annual report, and also from the past couple of years. The theme in the past year has been quite consistent. Our overall message recognizes that we live in a complicated world with intensifying geopolitics, wars, and supply chain challenges. Many of our friends in the environmental and AI spaces also face various challenges. So, we recognize the world is going through a lot—cost of living crises and many other crises.

At the same time, we acknowledge that Ingka and IKEA, as a business that touches so many people’s daily lives (like many young leaders, I love going into IKEA shops and people-watching), have a unique role in influencing behaviours and driving systemic change, sometimes in very subtle ways. Even for folks who might not see sustainability as a big focus or passion in life, Ingka drives change. Our work, as you can read in the letter, provides recommendations where we’ve seen awesome progress, but also highlights challenges in some areas where we’d love to work with Ingka, and for Ingka to work with NGOs, governments, and businesses to make that change happen.

Siddhi Pal: I would add to your earlier question about listening: it’s been a very interesting two-way street. We have recommendations, but sometimes we miss some on-the-ground realities or specific challenges. There have been times when we’ve suggested something that was already attempted in the past, and there were challenges we didn’t know about. This has happened with both Ingka and the Young Leaders Forum. We might revisit past recommendations and try to understand if there’s been any change or how to approach the topic differently, knowing the challenges Ingka faces.

Cathy Li: Absolutely, the learning is mutual. In the past couple of years, leaders like Jesper, Karen, Simon, and many other lovely Ingka folks we’ve worked with, have taught us a lot, especially about taking leadership when the world looks challenging. Sometimes, as young leaders, we feel like the world is a bit doom and gloom, but Ingka often gives us that energy booster. There’s so much potential, and hope is something we need to carry on. Change is possible.

Kat Wirth: That’s an important aspect. You mentioned collaboration, multi-stakeholder collaboration, in your letter. What’s the role of big global organizations like Ingka Group, and how can they better collaborate with different stakeholders?

Siddhi Pal: An organization like Ingka Group has responsibilities in many domains. Specifically around electricity, for example, there’s a whole section on digital ethics that has been reported on, and significant leadership has been shown in this space, especially with emerging technology. It’s a new area where many organizations haven’t thought out their strategies long-term. Setting the tone and understanding what AI literacy means now, and what definitions are setting the standards, shows leadership. This has been done in collaboration with different sectors. For instance, the European Commission, in collaboration with the OECD, will soon define AI literacy. Ingka already has AI literacy programs that many employees have gone through and contributed to this defining process. So, I would say there’s a responsibility in taking up these leadership positions to set standards for sectors and society more broadly.

Kat Wirth: How can companies be better when it comes to AI literacy and the future of AI?

Siddhi Pal: That’s a very broad question, and it depends on the type of company. Companies building AI have a huge responsibility to build it responsibly. Then there are companies applying AI in their day-to-day functions, like IKEA or Ingka. We see technologies being used in stores, and it’s been applied in different ways for employees. There are now rules around how AI can and cannot be used in the workplace. There are many conversations to be had there.

Understanding how applying a general-purpose technology like AI impacts workers in terms of job replacement is crucial. It might introduce uncertainties, with people feeling like AI will replace them, which has been a general sentiment recently. So, how do you ensure AI enhances people’s work rather than replaces it, and do that responsibly? That was one of the recommendations in the Young Leaders letter. There’s been reporting on AI upskilling and the tools used for this, like the “My AI portal” created for employees. But what’s expected in the near future when applying AI in operations? How does that augment people’s workforce versus automating certain processes? What impact might it have on Ingka IKEA teams? It would be interesting to learn more about this. This applies more broadly to most organizations, not just Ingka or IKEA, where people don’t know how this might impact workforces. Learning more, coming up with numbers, and having more transparency in this space might help us better understand what we can expect in the coming years.

Kat Wirth: What’s the responsibility of a company when it comes to educating the consumer?

Cathy Li: I think it’s everything. Siddhi can talk more about the AI side of things. Ingka has the responsibility to both internally educate its workforce and use AI responsibly. But like sustainability issues, and AI issues, IKEA can’t drive the change it wants purely by itself. It would be really awesome to see, and there have been incredible collaborations from Ingka with NGOs and coalitions like We Mean Business and B-Team, which I love a lot, and also with international and local NGOs, civil society stakeholders, and governments. It takes everyone to drive the change that we and everyone in the Group Management want to see.

Siddhi Pal: I would say the responsibility here can also be better understood by just looking at the goals you’re setting for yourself. What do you need to do to achieve those goals? Maybe it requires educating people further, or perhaps for messaging to actually reach consumers, a baseline level of sustainability literacy is needed. So, in that space, I would say the goals themselves show there’s some responsibility in terms of educating to reach them in the first place, which can be done through many meaningful collaborations.

Cathy Li: Today’s generation grew up very distant from nature. I grew up in mega-cities. Ingka has a unique opportunity and responsibility to help consumers reconnect with, for example, the fact that a piece of furniture comes from a particular forest. That emotional connection. When you go into a forest, you feel so re-energized and connected with nature. But when you see a piece of furniture or product in a store, sometimes you don’t even make that mental connection. So, that’s a small example of how Ingka, Inter, and other stakeholders can and perhaps should join forces even more going forward to help consumers see that connection with nature better and then encourage them, of course, to consume responsibly.

Kat Wirth: So, more transparency, more communication around sustainability, forestry, etc.

Cathy Li: Yes, and to communicate in a way that reaches the hearts and minds of consumers without feeling like we’re preaching. Ingka has already been doing a lot in driving behavioral change, like the vegan products being cheaper than meat options. Personally, I’m addicted to the plant balls. Every IKEA coworker who knows me would know there are always a few packs in my freezer. As a personal example, I always find alternative meat products boring, but Ingka IKEA plant balls are the only ones I’m absolutely addicted to. This is not an advert!

Kat Wirth: I want to touch on greenwashing. There’s a fine line. You know, and I know, obviously, sustainability is my topic area. Sometimes the conversations we have are, “Okay, we have this really cool project. Can we communicate it, or is it too soon? Do we have enough details? Are we sure this will work?” At the same time, you need to talk about these things to build collaboration between peers and the public and educate people. What advice would you give businesses when it comes to communicating around these topics?

Cathy Li: There’s a lot of similarity between sustainability, civil society, youth engagement, and AI. Many of us young leaders have experience working with different organizations, engaging with them as young leaders and youth advisors. I’ve seen very extreme versions of engaging with young people, focusing on taking pictures of them for donors and annual reports, and having them wear branded t-shirts. That’s an extreme that, unfortunately, many youth activists experience. Then there are organizations like Ingka and others, where we’ve been quite silent about our collaborations and the Young Leaders Forum to the public for the first couple of years. We spent a lot of time behind the scenes talking to Ingka’s Group Management and working on critical topics like human rights and consumption.

So, it’s great to see companies and organizations like Ingka trying to be humble in how they design partnerships and communicate externally, but actually thinking about it from the get-go. IKEA introduced us to many coalitions and initiatives like We Mean Business and the World Economic Forum. We’ve had many closed-door dialogues with other business leaders, young leaders, and stakeholders where we discuss challenging topics that one business would struggle to solve, and one young leader’s expertise would struggle to advise on. It’s really interesting, and I’d love more businesses to join forces in empowering young leaders on these topics.

Going back to greenwashing, there’s a lot of geopolitical pressure and tension. But it’s great to see that many businesses like Ingka are still stepping up. For example, on climate, the goals are still solid. For the audience, you can check out those goals on the Science Based Targets initiative website or Ingka’s own plans. The same applies to its nature goals, where Ingka is still relatively in the process of thinking about how to best lead and collaborate with the industry. So, it’s great to see areas where Ingka is absolutely leading the way and not backing off when there’s external pressure. Also, in areas like nature and engaging with indigenous leaders, where they recognize they’re still learning, it’s great to see we have so many closed-door dialogues in the process.

Siddhi Pal: I would just add that communicating around this is good for business. Recent reports show that consumers, especially young people, want to engage with organizations whose values align with their own. So, communicating sustainability goals, where we are, and being honest and genuine about the communication actually helps people better connect with Ingka IKEA and is good for business.

Kat Wirth: What advice would you give consumers? You’re subject to so many different messages every day. When it comes to sustainability, what can you trust? What tools or advice would you give consumers regarding all the messages they receive?

Cathy Li: Read the ASSR report! It helps. But it’s true, dig deeper.

Siddhi Pal: This is the first ASSR report I’ve read in detail only because we were supposed to give feedback on it. That holds true for most people; it’s difficult, or rather, people don’t go and check out all these reports in detail. But again, that’s also why there are other ways of communicating messages that many organizations, including IKEA, are putting so much effort into. They’re communicating the findings of this report in a more digestible way for consumers. But I would say it’s also the consumer’s responsibility to find this information somehow, even if it’s not through the reports.

Kat Wirth: So, just making it more obvious and putting it out there.

Cathy Li: Yes. Consumers, I guess the message for consumers would be: you have so much power in driving change. As a consumer, you influence how businesses design and sell products. But also, in your own right, as an employee, for example, of an organization, be rebellious and voice your demands. It might not always be easy, but it’s worth doing it.

Kat Wirth: It’s not always easy, and I guess your work is challenging. Do you feel worried about the future?

Cathy Li: I sometimes feel outrage. Sometimes I feel very optimistic. I started this year, of course, with all the news we’ve seen on geopolitics, feeling very optimistic with my current passion for how we bring together international climate, nature, and gender issues closer together and implement them. I feel very passionate that so many governments are stepping up despite the challenges we’re facing. So many businesses, like Ingka and many others, have been voicing this, and so many NGOs are committed. So, I think my own work gives me hope this year. But also, seeing ambitious businesses not backing off and still being loud and clear and making their point, cutting across, is tremendously helpful. We need businesses like Ingka and many others to continue stepping up and to help the public understand that their position does not change.

Siddhi Pal: Completely agree. That being said, I think it’s the general atmosphere you wake up in; you read the news, and it’s difficult not to be worried for a bit. Yes, you can look at what you can do and what action you can take. But in a lot of instances, I feel like there’s still a lot that needs to be done. There is this general sentiment of worry, at least for me. It takes a lot of active effort to look at the problems constructively and be like, “Okay, so this is what’s happening. Here’s what I can do. This is my bit. This is where I can contribute.” But I think it’s a challenge for businesses, and it’s also a challenge for individuals. So, it’s not an easy thing to do, but just as Cathy said, that makes it even more important to keep going and keep pushing back and keep fighting.

Kat Wirth: On that point, I do want to really dive into the challenges or the progress that you would like to see from Ingka. You’ve mentioned climate adaptation and resilience. You mentioned circularity in plastics. You mentioned petrochemical production significantly contributing to climate change. Can you talk a little bit about that area that you would like to see improvements in?

Cathy Li: Absolutely. Karen, Simon, and the team really deserve a big shout-out for all the incredible work they’ve done. When I worked in businesses, everyone looked at them as leading voices. When I worked at the UN initiatives engaging with businesses, people also saw, “Wow, we need leaders like this.” When I worked at NGOs, people also found inspiration in them. It’s great to see that Ingka is absolutely taking the lead across businesses on climate ambition. But also for emerging topics, for example, how do we tackle plastics, not just the ongoing UN negotiations, but how do we actually make that happen in the real economy? And in terms of fossil fuel transition, Ingka has been doing a lot in investing in renewable energies, both in terms of external investments and its own operations. So, it’s great to see businesses stepping up on this. It would be even better to see Ingka work further with other businesses and organizations in driving change and helping them tackle the challenges.

Of course, there are many other areas like circularity. It’s such an opportunity for Ingka to envision what the world needs to be in 20 years’ time and what Ingka’s role is in driving sustainable consumption and behavioral change across society.

Siddhi Pal: Some of the recommendations we made were also for the next year and what’s coming up. It will be interesting to keep engaging throughout this year to already see what’s happening in this space. Based on the conversations we’ve had just in the last couple of days, we see that things are underway. So, it’s an exciting time. Of course, there are challenges that we have highlighted in the letter itself, saying, “Okay, it would be good to see progress in these spaces,” not to say that nothing’s happening there, but we will find out what’s happening there.

Kat Wirth: Because there are challenges from different perspectives. I think earlier, when we were talking before being sat here, you had a personal example, and I think that was a really good one.

Siddhi Pal: Definitely. It was more around circularity. There’s this challenge when we want to return furniture to IKEA, but how do you do that? It’s heavy, you need transport, and you need to carve out time to come back to the store. I realized recently, when I was getting my apartment renovated, that the contractor helping us was also doing this for five or six other apartments in the area. He mentioned he comes to the IKEA store every day, sometimes twice a day. He took it upon himself to say, “If you want to return anything, I’m going anyway. I have a big car; I’ll just take it for you.” He was doing this for multiple apartments in the region. So, I think there are some very interesting and meaningful collaborations that can be made in this space. There are people and actors whom we don’t see as partners in our day-to-day business functioning but are playing a really big role in circularity. Maybe there’s a way of making this more formal or figuring out how to collaborate with them better or support them in what they’re already doing.

Kat Wirth: Is this something you would bring to the Young Leaders Forum?

Siddhi Pal: Yes, I just came up with this idea the day before yesterday, so at the next meeting, I’m bringing this up.

Kat Wirth: Final question for you guys, and it’s a broad one: for your respective areas, what would you like to see for the future?

Cathy Li: Oh, that’s a big question. For the world this year, I hope for peace and progress on sustainable development, particularly in my pet areas: climate, nature, and environmental justice overall. For Ingka and other businesses, I would really love to see other businesses drawing from Ingka’s experience collaborating with the Young Leaders Forum to also come up with innovative and meaningful ways to engage with civil society stakeholders and rights holders in their top leadership decision-making, but also on the ground operations, engaging with communities. I also love to see Ingka collaborating more within its ecosystems with Inter, with the IKEA Foundation, but also with other businesses, with NGOs, with governments, and research.

Siddhi Pal: I think you pretty much covered it all, but I would just add one more thing, which would be having more difficult conversations. I think it takes a lot to understand different perspectives, especially in very polarized times like now. It’s not easy to sit with people with different opinions and different lived experiences and have a conversation where you can be honest about your challenges and expectations for the future. So, I think having more difficult conversations is something that I would hope for more businesses and also individuals. As a policy researcher, I feel like I go through this on a day-to-day basis where people just don’t talk enough. Then there are realities that decision-makers aren’t aware of. So, I think it’s very important to have these conversations with all types of stakeholders and make sure that we are being honest about having these conversations and not just creating spaces but actually listening.

Kat Wirth: Great. Well, Siddhi and Cathy, thank you so much for joining me and thank you for the work that you guys do with the Young Leaders Forum.

Cathy Li: Thank you for having us and for letting me borrow this cutie.

About Ingka Group

With IKEA retail operations in 32 markets, Ingka Group is the largest IKEA retailer and represents 87% of IKEA retail sales. It is a strategic partner to develop and innovate the IKEA business and help define common IKEA strategies. Ingka Group owns and operates IKEA sales channels under franchise agreements with Inter IKEA Systems B.V. It has three business areas: IKEA Retail, Ingka Investments and Ingka Centres. Read more on Ingka.com.