Staples 2013 Annual Report Download - page 93

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through a combination of direct mail catalogs, customized catalogs and a field sales force. We change the level of marketing
spend, as well as the mix of media employed, depending upon market, customer value, seasonal focus, competition and cost factors.
This flexible approach allows us to optimize the effectiveness and efficiency of our marketing expenditures. We continue to
improve our systems and capabilities to track our customers' multi-channel purchasing behaviors, execute more effective
personalized and dynamic offers, and promote enhanced direct marketing and customer loyalty programs to drive higher sales
across all our channels.
Supply Chain
We operate two networks to fulfill the majority of our replenishment and delivery needs in North America. Our network
of 65 delivery fulfillment centers supports our North American Commercial and Staples.com operations. We currently fulfill the
majority of customers’ orders through our distribution network. As we expand our assortment, we are increasingly relying on
third parties to fulfill orders and deliver products directly to our customers. We operate a separate network of four large distribution
centers to support our U.S. retail store operations. Our retail distribution centers provide us with significant labor and merchandise
cost savings by centralizing receiving and handling functions, and by enabling us to purchase in full truckloads and other
economically efficient quantities from suppliers. Our centralized purchasing and distribution systems enable our store associates
to spend more time on customer service and store presentation. Since our distribution centers maintain backup inventory, our in-
store inventory requirements are reduced, allowing us to more efficiently operate our retail stores.
In Europe, we are in the process of reducing the complexity and redundancy of our distribution network. We are
standardizing all of our supply chain processes and systems architecture, and continuing to consolidate facilities. These efforts
are expected to improve customer service and quality, drive cost savings and increase overall operating efficiency.
Associates
We have a strong corporate culture. Our corporate values guide our interactions with customers and each other. These
values represent what matters most at Staples, are critical to bringing our vision to life, and include: own it; say it like it is; be
caring; keep it simple; and work together. We place great importance on recruiting, training, retention and providing the proper
incentives for high quality associates. Offering attractive growth and development opportunities and a commitment to a diverse
and safe work environment, we pride ourselves on being a great place to work.
We consider customer relations and our associates' knowledge of our product and service offerings to be key to our
marketing approach and our ability to deliver customer satisfaction. Associates are trained in a number of areas, including, where
appropriate, sales techniques, management skills and product knowledge.
As of February 1, 2014, Staples employed 46,361 full-time and 36,647 part-time associates.
Staples Soul
Staples is committed to responsible corporate citizenship, or what we refer to as Staples Soul. Staples Soul is a holistic
approach to business that recognizes the close connection between our financial success and our desire to make a positive impact
on our associates, communities and the planet. We believe Staples Soul helps to make us an employer and neighbor of choice,
differentiates our brand and allows us to grow profitably and responsibly. To support this commitment, Staples recently created
the role of chief cultural officer, responsible for driving improved associate engagement and coordinating Staples' approach to
corporate responsibility. For more information, visit www.staples.com/soul.
Ethics - Ethics at Staples is part of our culture. Staples maintains ethical business practices by encouraging open and
honest communication and fostering an environment where it is safe to speak up without fear of retaliation. Through our Code
of Ethics, ongoing communications and training programs, and other resources, we provide our associates around the world with
the information they need to make sound decisions in the best interests of our company and shareholders. These efforts help
ensure that our associates build trusting relationships with customers and other stakeholders, thus strengthening and protecting
Staples' brand reputation.
Environment - At Staples, our vision is to generate business and environmental benefits - for ourselves, our customers
and our communities - by leading the way in sustainable business practices. We are working to achieve this vision through a
continued focus on sourcing and selling more sustainable products, improving our offering of recycling and other green services,
maximizing our energy efficiency and renewable energy use and eliminating waste.
Diversity - Staples' unwavering commitment to diversity and inclusion stems from our recognition that being a successful
company requires people with diverse backgrounds and perspectives. We believe that differences in age, race, gender, gender
identity, nationality, sexual orientation, physical ability, background and thinking style allow us to be more innovative as a company.