2015 Sustainability Reporting Criteria

Transcription

1 2015 Sustainability Reprting Criteria 1 Our general reprting principles We have sught t ensure that: The reprted data accurately reflects ur perfrmance and serves the general needs f the Sustainability Reprt s users. The data is meaningful and cnsistent with the definitins, scpe and bundaries stated in these Reprting Criteria. Any specific, material exclusins are stated and explained. We use cnsistent methdlgies year t year wherever pssible and, unless therwise stated, t allw fr sustainability perfrmance cmparisn ver time; any material changes in measurement methdlgies versus the previus reprting year are made clear. We are clear regarding the use f assumptins we make and regarding ur measurement and calculatin methds. We reprt transparently such that the Sustainability Reprt s users can have cnfidence in the integrity f the data and infrmatin we reprt. Uncertainty and estimates, assumptins & extraplatins Every effrt has been made t capture all relevant data glbally. Hwever it is nt always feasible r practical t capture every single item f data acrss r relevant t ur glbal peratins, particularly in cnnectin with sme parts f the Scpe 3 elements f ur glbal prducts lifecycle carbn and water use ftprints which are utside f ur direct/indirect cntrl, in relatin t ur Ttal Carbn and Water Measurement System. Where we have made estimates, assumptins r extraplatins t cver such ccasins we make this clear in the Sustainability Reprt. Where it has been necessary t apply assumptins and extraplatins during calculatin f ur glbal prducts lifecycle carbn and water use ftprint (i.e. where apprpriate primary r secndary data surces have nt been available), infrmatin r data fr assumptins has been surced in a clear rder f pririty: e.g. seeking reputable market research befre general public available data. Where assumptins and extraplatins have been required, these have been applied in a cnservative manner, with the verall aim being t nt materially under r ver-estimate the resulting carbn r water impact. The same principle has been applied t the applicatin f emissin / water factrs fr calculatin f CO2e emissins and water use assciated with the manufacture f raw and packaging materials, and dispsal f waste. Where tw r mre factrs fr a material have been available and an uncertainty as t the crrect factr t apply has existed, the highest factr in terms f CO2e r litres per unit f material has typically been applied, t prevent under-reprting. As a prcess f cntinuing imprvement, and in line with n-ging develpments f data availability n carbn and water ftprints f individual materials, cmpanies and prcesses fr example, the quality f the data used in the carbn, water use and water impact ftprint will by nature imprve further ging frward. Althugh verall it des cmprise the best infrmatin currently available, bth internally and externally, at the time f reprting. Restatement f reprted data We undertake cntinual, year-n-year imprvement in ur sustainability reprting prcesses and cntrls. Where it makes data and perfrmance trends between years mre cmparable, and r where any variance in prir years data has been identified, we restate that data in the Sustainability Reprt. This year we have made a mre significant update t ur calculatin methd than in typical years. We d therefre include revised numbers in ur Sustainability Reprt 2015 fr several parameters fr several previus years. Material revisins were made in the fllwing cases: We cntinually imprve ur glbal prducts lifecycle carbn and water use ftprint and water impact methdlgy, data and assumptins. During 2015 and 2016, we have made an effrt

2 t update ur methd fr calculating the impacts frm raw and packaging materials. The new bttm-up methd gives us mre insight int the impact drivers and htspts in ur prtfli but is a sufficiently significant methd change t warrant restatement in previus years. Our revised bttm-up methd is als nw used t calculate the number f dses sld in each categry and therefre affects the cnsumer use calculatin. Fr cnsumer use this is a relatively minr methd revisin frm previus years but the change future-prfs ur analysis against an internal primary data surce which is being discntinued. Therefre t ensure cmparability f perfrmance frm the baseline year this revised methd has been backdated. Cnsequently, we have restated figures previusly reprted fr the 2012 and 2014 lifecycle carbn, water use and water impact ftprint t enable these t be cmparable with the latest available data and ging frwards. Ttal waste generatin has been restated fr t reflect updated reprting guidelines Reprting bundaries Our Sustainability Reprt 2015 prvides data and infrmatin fr the perid 1 January 2015 t 31 December 2015 acrss all Reckitt Benckiser Grup plc cmpanies glbally, as fllws: Envirnment: 47 manufacturing facilities, 9 stand-alne R&D centres and 7warehuses ver which we had peratinal cntrl at the start f 2015; and, in terms f ur glbal prducts lifecycle carbn and water use ftprint, the Scpe 1, 2 & 3 greenhuse gas emissins in terms f carbn dixide equivalents (CO2e) and direct and indirect freshwater use (litres) and water impact (e litres) assciated with all stages f ur glbal prducts lifecycle ftprint, in line with the principles f PAS2050, the GHG Prtcl and the Water Ftprint Assessment Manual Health & Safety: the 47 manufacturing facilities, 11 stand-alne R&D centres and 7 warehuses ver which we had peratinal cntrl fr ne r mre mnths during HR: all Grup cmpanies and facilities as at 31 December 2015, unless explicitly stated. Our emplyment breakdwn and diversity figures are based n data fr 25,789 glbal Grup emplyees, which is 74% f the average number f peple RB emplys r cntracts with glbally. In line with the methd changes identified fr ur 2014 numbers, fr sme elements f ur carbn, water use and water impact ftprint it has nt been pssible t cllect and prcess full calendar year (1 January 2015 t 31 December 2015) vlume data (e.g. litres used, sales vlumes etc.) in sufficient time t include in the numbers prvided in the 2015 Reprt. Therefre where full year data was nt available, data fr the perid 1 January 2015 t 30th September 2015 has been cllected and then scaled up t include the final quarter; r wherever pssible end f year prjectins have been prvided by relevant experts within the business (e.g. sales frecasts). The apprach fr 2015 is cnsistent with that fr 2014 The rule applied cncerning data frm new acquisitins/new facilities is as fllws: Envirnment: data is included fr the first full calendar year f RB wnership/cntrl (e.g. data frm a manufacturing facility purchased in Nvember is included frm 1 January f the fllwing year).

3 Health & Safety: data is included frm the date f purchase (e.g. data frm a manufacturing facility purchased in Nvember is included frm the date f purchase).hr: data, as held in the Cmpany s Human Resurces database n 31 December f the year being reprted is included (e.g. data frm a manufacturing facility purchased in Nvember is included). Ecnmic: all Grup cmpanies and facilities fr ur financial (calendar) year 2014 (see Basis f Cnslidatin n page 76 f ur Annual Reprt and Financial Statements 2014). The rule applied cncerning data frm site dispsals/clsures is as fllws: Envirnment: data is included up until the last full mnth f RB wnership / cntrl, as far as practical (e.g. data frm a manufacturing facility sld in Nvember is included up t the end f Octber). Health & Safety: data is included up until the date f sale / clsure, as far as practical (e.g. data frm a manufacturing facility sld in Nvember is included up until the date f sale). HR: data, as held in ur Human Resurces database, n 31 December f the year being reprted is included (e.g. data frm a manufacturing facility sld in Nvember is nt included as at 31 December f that reprting year). 2 Reprting Specifics and Methdlgy 2.1 Envirnment (frm manufacturing, warehuses and R&D where applicable) Parameter: Energy use at manufacturing and warehuse facilities Definitin: energy cnsumptin frm ur glbal manufacturing and warehuse facilities. Scpe: energy cnsumed within the calendar year at facilities under management cntrl f the Grup; including the energy cnsumed by Cmbined Heat and Pwer (CHP) plants. Units: gigajules (GJ). Methd: Energy data is cllected using Entrpy, the Cmpany s EHS database. T ensure cnsistency this can be reprted in the same units as the inviced quantity. This is then cnverted t kwh using standard factrs. The final stage is cnversin t GJ. Surce: Data is taken frm n-site r third party meter readings r inviced quantities. Cnsumer units are reprted by the sites t Grup using Entrpy. Cnsumer units are measured at the site. The fllwing measurement methds have been identified (thugh mre methds may be in place): Autmatic scanning f labels n the prductin line. Cunting the number f cases at the end f the prductin line. The number f cnsumer units prduced is fed int the JD Edwards system (linked t the financial reprting system). A cnsumer unit is defined as: the nrmal unit f prduct purchased by the end-cnsumer (e.g. a single bx, bttle, can). A case f prducts prduced at a factry will nrmally cntain several cnsumer units (e.g. six aersls in a case = six cnsumer units). Where several cnsumer units are cmbined tgether int a single pack (e.g. prmtins / gift packs), each individual cnsumer unit is reprted. T avid duble cunting, if the site cmbines cnsumer units int a single pack it shuld nly reprt each cnsumer unit if they are made n site any cnsumer unit prduced in anther site shuld nt be reprted as the ther site wuld have already reprted these.

4 Parameter: Greenhuse gas (GHG) emissins frm energy use in R&D, manufacturing and warehuse facilities Definitin: greenhuse gas (GHG) emissins arising frm energy cnsumptin at ur glbal R&D, manufacturing and warehuse facilities, in carbn dixide equivalents (CO2e). Where GHGs cmprise, in line with the GHG Prtcl Crprate Accunting and Reprting Standard (WRI & WBSD, 2004), the six gases listed in the Kyt Prtcl (carbn dixide (CO2); methane (CH4); nitrus xide (N2O); hydrflurcarbns (HFCs); perflurcarbns (PFCs); and sulphur hexafluride (SF6). Scpe: Scpe 1 and Scpe 2 CO2e emissins frm energy cnsumptin within the calendar year at manufacturing and warehuse facilities under the management cntrl f the Grup. Scpe 2 emissins reprted in 2015 are net emissins which equals grss emissins minus emissins frm renewable electricity Units: tnne CO2e. Methd: calculated by multiplying the reprted energy quantities in kwh by the cnversin factrs derived frm the mst recently currently available internatinal surces utlined belw and lcal factrs where available. Surce: CO2e emissins are calculated using internatinally recgnised methdlgies frm the WRI/WBCSD Greenhuse Gas Prtcl (GHG Prtcl) and Internatinal Energy Authrity (IEA), with the additin f IPPC t accunt fr CH4 & N2O. Parameter: Water cnsumptin at manufacturing and warehuse facilities Definitin: water cnsumptin at ur glbal manufacturing and warehuse facilities. Scpe: water cnsumed n-site, within the calendar year, inclusive f peratinal water cnsumptin, water included in ur prducts and dmestic water use at facilities under management cntrl f the Grup. Units: cubic metres. Methd: this is cllected using Entrpy. The quantities can be reprted in units t suit the user and are autmatically cnverted int cubic metres. Surce: this is extracted frm internally managed databases derived frm direct meter readings r third-party meter readings and inviced quantities. Parameter: Water discharges at manufacturing and warehuse facilities Definitin: water discharged frm ur glbal manufacturing and warehuse facilities. Scpe: water discharges arising frm ur facilities under management cntrl f the Grup, excluding water reuse and recycling and water used n-site fr irrigatin purpses. Units: cubic metres. Methd: this is cllected using Entrpy. The quantities can be reprted in units t suit the user and are autmatically cnverted int cubic metres. Surce: this is extracted frm internally managed databases and where pssible this infrmatin is based n inviced quantities r direct measurement. Where discharges are nt metered, r are partially metered, water balance assumptins are made by the reprting site.

5 Parameter: Ttal waste at manufacturing and warehuse facilities Definitin: ttal nn-hazardus and hazardus waste generated frm ur glbal manufacturing and warehuse facilities. Scpe: waste materials generated frm ur facilities within the calendar year (excluding cnstructin, demlitin wastes and whle wden pallets returned t suppliers), under management cntrl f the Grup and remved frm site fr either recycling r ultimate dispsal by third party waste cntractrs. Units: metric tnnes. Methd: using Entrpy all wastes are reprted and, where required, the quantities are cnverted t metric tnnes. Vlumes f liquids are cnverted t metric tnnes using an assumed density f 1 (i.e. 1 cubic metre is 1 metric tnne). Surce: this data cmes frm internal r third-party databases and is derived frm inviced quantities/direct measurement, derived frm waste transfer ntes. Parameter: Waste t landfill frm manufacturing and warehuse facilities Definitin: % f ttal nn-hazardus and hazardus waste generated frm ur glbal manufacturing and warehuse facilities that is sent t landfill. Sent t landfill is defined as waste which is dispsed f by landfill. Scpe: waste materials generated frm ur facilities within the calendar year (excluding cnstructin and demlitin wastes), under management cntrl f the Grup and remved frm site fr landfill. Units: % sent t landfill Methd: using Entrpy all wastes are reprted and, where required, the quantities are cnverted t metric tnnes. Vlumes f liquids are cnverted t metric tnnes using an assumed density f 1 (i.e. 1 cubic metre is 1 metric tnne). Surce: this data cmes frm internal r third-party databases and is derived frm inviced quantities/direct measurement, derived frm waste transfer ntes. Parameter: Hazardus waste at manufacturing and warehuse facilities Definitin: hazardus waste, defined as: wastes which exhibit ne r mre hazardus characteristics, (such as being flammable, xidising, pisnus, infectius, crrsive, ectxic) which cause them t be classed r cnsidered by relevant regulatrs as hazardus. This is a cmpnent f ttal waste and is als reprted separately. Scpe: hazardus wastes materials generated frm ur facilities within the calendar year (excluding cnstructin and demlitin wastes), and remved frm site fr either recycling r ultimate dispsal by third-party waste cntractrs. Units: metric tnnes. Methd: using Entrpy all wastes are reprted and, where required, the quantities are cnverted t metric tnnes. Vlumes f liquids are cnverted t metric tnne using an assumed density f 1 (i.e. 1 cubic metre is 1 metric tnne).

6 Surce: this data cmes frm internal r third-party databases and is derived frm inviced quantities/direct measurement, derived frm waste transfer ntes.. Parameter: Significant spills (nt part f the RB sustainability data assurance prcess) Definitin: ttal number f spills f ptentially hazardus materials. Defined as any incident during which, r as a result f which, primary cntainment measures were breached by a ptentially hazardus material (e.g. fuel / chemical release frm a drum, intermediate bulk cntainer (IBC) r rad tanker). Scpe: ttal number f spills recrded in Units: number f spills. Methd: using Entrpy all significant spills are reprted and, where apprpriate, the material spilled, the vlume and any ther relevant infrmatin. Surce: this data cmes frm internal r third-party databases, data is input by site level EHS c-rdinatrs. 2.2 RB Trees Prgramme Parameter: The expected emissins reductins frm the trees planted n ur land in Canada as part f the RB Trees prgramme Definitin: Carbn dixide equivalent (CO2e) sequestered by the trees we planted between Scpe: Our apprach accunts fr carbn transfer between the fllwing: Abve-grund live bimass Belw-grund live bimass Abve-grund dead rganic matter (DOM) pls Belw-grund DOM pls Mineral sil Emissins int the atmsphere. The mdel des nt include the carbn emissins assciated with transprt r energy used t manage the prject as, ver the whle prject, these emissins are estimated t nt be material. Units: net tnnes CO2e sequestered in the pls listed abve. Methd: We have adpted a methdlgy that fllws ISO standards and is in line with the Intergvernmental Panel n Climate Change s Gd Practice Guidance fr Land Use, Land- Use Change and Frestry (LULUCF) prjects (2003). Our apprach t quantifying initial carbn stcks is based n Canada s Natinal Frest Inventry Grund Sampling Guidelines (2004) and we carry ut sampling at each f ur sites prir t planting. The apprach we use

7 fr the prjectin f future carbn stcks uses this initial carbn stck data and then mdels tree grwth, based n the number and species mix planted, ver 100 years. The peratinal scale carbn budget mdel f the Canadian Frest Sectr (CBM-CFS3) is used fr the carbn mdelling. The methdlgy als uses yield tables generated with the Tree and Stand Simulatr II (TASS II) frm site prductivity estimates, planted trees and ingress as input fr the CBM-CFS3 mdel. Site index is used as a measure f site prductivity and is estimated frm the BC prvincial site index by bigeclimatic eclgical classificatin system (SIBEC). Planted tree survival and ingress are peridically measured t BC stcking and free grwing standards. Surce: publicly available infrmatin in additin t data gathered thrugh sampling. 2.3 Ttal Carbn and Water/Glbal Prduct Lifecycle Carbn and Water Use Ftprint and Water Impact Parameter: glbal prduct lifecycle carbn ftprint Definitin: the ttal carbn ftprint is a measure f direct and indirect greenhuse gas (GHG) emissins (GHG Prtcl Scpe 1, 2 & 3 emissins) that RB s glbal prducts have, in terms f the amunt f carbn dixide equivalent (CO2e) GHG emissins assciated with their entire lifecycle, during the calendar year (1 January 2015 t 31 December 2015). Where GHGs cmprise, in line with the GHG Prtcl Crprate Accunting and Reprting Standard (WRI & WBSD, 2004), (carbn dixide (CO2); methane (CH4); nitrus xide (N2O); hydrflurcarbns (HFCs); perflurcarbns (PFCs), sulphur hexafluride (SF6) and nitrgen trifluride (NF3). Scpe: GHG Prtcl Scpe 1, 2 & 3 emissins (i.e. thse assciated with the entire lifecycle f the Grup s glbal peratins and prduct prtfli frm raw and packaging material supply chain, thrugh prduct manufacturing, distributin, retail peratins and cnsumer use, t subsequent dispsal/recycling f the prduct and its packaging). This includes the lifecycle GHG emissins assciated with prducts manufactured at the Cmpany s wn manufacturing facilities as well as thse manufactured by external third party facilities prducing prducts fr RB under cntract. Units: lifecycle CO2e emissins per unit dse f prducts sld in the calendar year. A dse is defined as the amunt f each individual RB prduct required t deliver that prduct s intended service, either fr a single use r fr a defined perid f time e.g. ne Finish autmatic dishwashing tablet fr ne lad f dishwashing, the recmmended number f Nurfen tablets fr 24 hurs f pain relief, ne hard skin file (which lasts fr 12 mnths) etc. In Lifecycle Assessment (LCA) terminlgy a dse is the functinal unit f cnsumer use. The number f dses per year is nt cmparable t ther measures f sales r prductin vlume used in either ur financial r nn-financial reprting. Methd: we have adpted a methdlgy that is based n and aligned with the principles f: PAS 2050:2011, Specificatin fr the assessment f the lifecycle greenhuse gas emissins f gds and services, Final versin, September 2011; Greenhuse Gas Prtcl, Crprate Value Chain (Scpe 3) Accunting and Reprting Standard, September 2011; and

8 Greenhuse Gas Prtcl, Crprate Accunting and Reprting Standard, March Whilst the cre methdlgy remains cnsistent year n year, we cntinue t seek ways t imprve data prcessing, data surces and assumptins. The key imprvement in the 2015 calculatins has been t review the methd t calculate raw and packaging material cnsumptin. Surce: ur GHG emissins are calculated by multiplying publicly available emissin factrs by amunts f materials bught, used and dispsed f, energy used and distances travelled. Where available, primary data has been surced directly frm RB s established envirnmental reprting and ther business management systems and its suppliers/cntractrs. Where this has nt been available, secndary data has been btained frm surces including publicly available LCA databases, jurnal articles and surces f industry/prduct/cnsumer use data. We have endeavured t apply cmplete cverage f ur glbal emissins based n the scpe and bundaries defined in the standards referenced. Hwever, there are limited, specific and (in terms f ur glbal prducts verall lifecycle carbn ftprint) nn-material exclusins frm the scpe f the reprted data, which includes business travel by frms ther than air (i.e. in cmpany cars, use f private cars fr business travel and train travel) and cnsumer use f certain very small vlume reginal prducts assciated with the frmer SSL business. GHG emissins assciated with these surces were estimated fr 2006 (business travel) and 2011 (excluded SSL prducts) and fund t be less than 0.1% f ur glbal prducts carbn ftprint, therefre we exclude these frm regular reprting n the basis f nn-materiality. N surces were knwingly excluded withut initial quantificatin and assessment t cnfirm that they did nt make a material cntributin t the Ttal Carbn Ftprint either in islatin r in aggregate. Parameter: Glbal prduct lifecycle water use ftprint Definitin: the ttal water use ftprint is a measure f direct and indirect water use that RB s glbal prducts have, in terms f the amunt f water use (litres) assciated with the entire lifecycle, during the calendar year (1 January 2015 t 31 December 2015). Where water use cmprises rainwater used in grwing materials such as paper, cttn, leather i.e. cnsistent with the principles f green water in water ftprinting terms; and freshwater including water abstracted frm surface and grundwater, municipal water i.e. cnsistent with the principles f blue water in water ftprinting terms. The use f nn-freshwater (i.e. sea water) has been excluded. Scpe: direct and indirect water use (i.e. thse assciated with the entire lifecycle f the Grup s glbal peratins and prduct prtfli frm raw and packaging material supply chain, thrugh prduct manufacturing, distributin, retail peratins and cnsumer use, t subsequent dispsal/recycling f the prduct and its packaging). This includes the lifecycle water use assciated with prducts manufactured at the Cmpany s wn manufacturing 1 PAS2050 was develped t assess the carbn ftprint f individual gds and services; hwever RB s Ttal Carbn and Water Measurement System applies PAS2050 t determine the carbn ftprint cntributin f all key stages in the prduct lifecycle f its glbal prduct prtfli n an annual basis. As a result f this difference between intended use and the actual use in the cntext f RB s Measurement System, direct applicatin f every single element f PAS2050 acrss the whle lifecycle f RB s glbal prducts has by nature nt been apprpriate n every single ccasin althugh verall the Measurement System is in line with the PAS2050 specificatin.

9 facilities as well as thse manufactured by external third party facilities prducing prducts fr RB under cntract. Water assciated with the prvisin f energy (i.e. cling water used in the pwer statin, water used in extractin f il, cal) has been excluded frm the scpe f the water use ftprint acrss all lifecycle stages. Units: lifecycle water use (litres) per unit dse f prducts sld in the calendar year. A dse is defined as the amunt f each individual RB prduct required t deliver that prduct s intended service, either fr a single use r fr a defined perid f time e.g. ne Finish autmatic dishwashing tablet fr ne lad f dishwashing, the recmmended number f Nurfen tablets fr 24 hurs f pain relief, ne hard skin file (which lasts fr 12 mnths) etc. In Life Cycle Assessment (LCA) terminlgy a dse is the functinal unit f cnsumer use. The number f dses per year is nt cmparable t ther measures f sales r prductin vlume used in either ur financial r nn-financial reprting. Methd: the water use measurement methdlgy has been develped in general accrdance with the requirements and principles f the fllwing recgnised water accunting guidance dcument: The Water Ftprint Assessment Manual: Setting the Glbal Standard (Hekstra, A.Y., Chapagain, A.K., Aldaya, M.M. and Meknnen, M.M.) 2011 Direct applicatin f every element f the water ftprint assessment manual has nt been applied t every element f the water use ftprint. Mst significantly the water ftprint cncept was intrduced as an indicatr f freshwater cnsumed bth directly r indirectly t prduce the gds and services cnsumed by any well-defined grup f cnsumers (e.g. individual cuntry r natin) r prducers (e.g. a public rganisatin). The ttal water use ftprint calculates the water use and nt water cnsumptin. The ttal water use ftprint calculates the water use, which is the amunt f water withdrawn, rather than the apprach mre ften taken fr water ftprinting which cnsiders nly the amunt f water that des nt return t the catchment frm which it was withdrawn. This apprach and deviatin frm the water ftprint definitin/methdlgy is driven by the desire t drive behaviur change acrss all life cycle stages particularly within prduct Research & Develpment, new prduct innvatin and cnsumer use f prducts. Water pllutin and water quality impacts (referred t as grey water in water ftprinting terms) have als nt been included in the measurement system and water pllutin is mnitred thrugh ther crprate prgrammes. Whilst the basic methdlgy remains cnsistent year n year, we cntinue t seek ways t imprve data prcessing, data surces and assumptins. The key imprvement in the 2015 calculatins has been t review the methd t calculate raw and packaging material cnsumptin. Surce: ur water use is calculated by multiplying publicly available water factrs by vlumes f materials and packaging brught, frm primary peratinal water use data cllected r surces f prduct / cnsumer use data. Where available, primary data has been surced directly frm RB s established envirnmental reprting and ther business management systems and its suppliers / cntractrs. Where this has nt been available, secndary data has been btained frm surces including publicly available LCA databases, jurnal articles and surces f industry/prduct /cnsumer use data. We have endeavured t apply cmplete cverage f ur glbal water use based n the scpe and bundaries defined in the standards referenced. Hwever, there are limited, specific and (in terms f ur glbal prducts verall lifecycle water use ftprint) nn-material exclusins frm the scpe f the reprted data, which includes direct water use in transprt

10 (e.g. vehicle washing) and waste dispsal and cnsumer use f certain very small vlume reginal prducts assciated with the frmer SSL business. These have been excluded frm regular reprting n the basis f nn-materiality. N surces were knwingly excluded withut initial quantificatin and assessment t cnfirm that they did nt make a material cntributin t the ttal water use ftprint either in islatin r in aggregate. Parameter: Glbal prduct lifecycle water impact Definitin: water use factred t cnsider lcal water scarcity. Scpe: impact assciated with direct and indirect water use (i.e. thse assciated with the entire lifecycle f the Grup s glbal peratins and prduct prtfli frm raw and packaging material supply chain, thrugh prduct manufacturing, distributin, retail peratins and cnsumer use, t subsequent dispsal / recycling f the prduct and its packaging). This includes the lifecycle water impact assciated with prducts manufactured at the Cmpany s wn manufacturing facilities as well as thse manufactured by external third-party facilities prducing prducts fr RB under cntract. Water impact assciated with the prvisin f energy (i.e. cling water used in the pwer statin, water used in extractin f il, cal) has been excluded frm the scpe f the water impact ftprint acrss all lifecycle stages. Units: lifecycle water impact litre equivalents (e litres) per dse f prducts sld in the calendar year. A dse is defined as the amunt f each individual RB prduct required t deliver that prduct s intended service, either fr a single use r fr a defined perid f time e.g. ne Finish autmatic dishwashing tablet fr ne lad f dishwashing, the recmmended number f Nurfen tablets fr 24 hurs f pain relief, ne hard skin file (which lasts fr 12 mnths) etc. In Lifecycle Assessment (LCA) terminlgy a dse is the functinal unit f cnsumer use. The number f dses per year is nt cmparable t ther measures f sales r prductin vlume used in either ur financial r nn-financial reprting. Methd: the water impact measurement methdlgy has been develped in general accrdance with the requirements and principles f the fllwing recgnised water accunting guidance dcument: The Water Ftprint Assessment Manual: Setting the Glbal Standard (Hekstra, A.Y., Chapagain, A.K., Aldaya, M.M. and Meknnen, M.M.) 2011 Unlike carbn ftprinting, in water ftprinting and accunting, understanding the lcatin f the water use is as imprtant (if nt mre s) as understanding the amunt used. This is because the impacts f water are lcal rather than glbal as with CO2. Understanding nly the number f litres water used is f limited value if there is n cnsideratin f gegraphical spread and the water resurce availability in the area in which the water is cnsumed r used. In line with these principles, and t be able t measure, mnitr and minimise the impacts t glbal water resurces as a result f the manufacture and use f RB s glbal prduct prtfli, a measure f water scarcity has been incrprated int the water use calculatin t numerically accunt fr the glbal variatins in water availability and allw the quantificatin f water impact. Water impact litres equivalents (e litres per dse) is calculated by multiplying water use (litres per dse) by a scarcity factr relevant t the lcatin f where the water is used. The lcatin f the water use at each pint in the lifecycle has been defined as accurately as pssible using supplier names and cuntry f purchase, direct engagement with suppliers, site addresses and financial data regarding sales f finished prducts per cuntry.

11 Surce: data regarding water scarcity has been surced at bth a cuntry and watershed level frm the Water Ftprint Netwrk. Chapagain, A.K. and Hekstra, A.Y. (2004) Water Ftprints f Natins, Value f Water Research Reprt Series N.16, UNESCO-IHE. Appendix XXI Hekstra, A.Y. and Meknnen, M.M. (2011) Glbal Water Scarcity: Mnthly Blue Water Ftprint Cmpared t Blue Water Availability fr the Wrld s Majr River Basins, Value f Water Research Reprt Series N.53, UNESCO-IHE, Appendix IX In the past 20 years many metrics have been develped t evaluate water scarcity and stress. It is cnsidered that the mst recent water scarcity indicatrs published by the Water Ftprint Netwrk, cmparing water ftprint t water availability, prvide the mst apprpriate measure currently available. Hwever research in this area is rapidly develping and it is anticipated that the methdlgy and the water scarcity data available will cntinue t imprve and evlve. Parameter: Percentage f net revenue frm mre sustainable prducts Definitin: Percentage f Reckitt Benckiser Grup plc net revenue (excluding RB Pharmaceuticals) attributable t mre sustainable prducts during the perid f 1 Octber 2014 t 31 September Scpe: Percentage f Reckitt Benckiser Grup plc net revenue (excluding RB Pharmaceuticals) attributable t sales frm mre sustainable prducts during the perid f 1 January 2015 t 31 September Mre sustainable prducts are measured by RB s Sustainable Innvatin Calculatr (SIC), a streamlined Life Cycle Assessment (LCA) tl that mdels the mst imprtant envirnmental impacts f prducts. Units: percentage (%) Methd: The RB sustainability team cmpile and validate a master list f mre sustainable prducts frm the RB SIC. The list is then prvided t the finance team wh pull statistical case infrmatin and net revenue attributable t mre sustainable prducts frm RB s financial management reprting systems by cuntry. The net revenue by cuntry is cmbined by finance wh prvide a ttal net revenue (excluding RB Pharmaceuticals) attributable t mre sustainable prducts. RB finance als prvide the Reckitt Benckiser Grup plc net revenue figure frm which the percentage f net revenue frm mre sustainable prducts is calculated. Surce: Reckitt Benckiser Grup plc net revenue figures cme frm cuntry submissins in the audited financial management reprting systems (these systems are fed frm the lcal cuntry JDE transactinal ledger systems). 2.4 HR Perfrmance Parameter: Natinalities Definitin: the number f natinalities in the tp-fur bands f management f the Grup (the Bard, the Executive Cmmittee, the Tp40 and the Tp400) and amngst the 74% f all emplyees glbally fr whm data is available, n the last day f the Cmpany s financial year (31 December). Scpe: all full r part time permanent emplyees (i.e. excludes cntract emplyees).

12 Units: number f different natinalities (i.e. emplyees self-stated natinality, as determined in line with the United Natins current list f glbal cuntries). Methd: the number f emplyee self-stated natinalities. Where an emplyee states that they have tw r mre natinalities, the natinality that they state first (r in the case f the Bard and Executive Cmmittee, that they asked t be taken as their principal natinality) is the natinality which is used. Surce: the Grup s glbal HR database system, myrb. Parameter: Gender split Definitin: the percentage f female emplyees in the tp-fur bands f management f the Grup (the Bard, the Executive Cmmittee, the Tp40 and the Tp400) and amngst the 74% f all emplyees glbally fr whm data is available, n the last day f the Cmpany s financial year (31 December) Scpe: all full r part time permanent emplyees (i.e. excludes cntract emplyees). Units: percentage (%). Methd: percentage calculated as the number f female emplyees divided by the ttal number f emplyees t give a percentage f the ttal ppulatin fr which data is reprted (i.e. fr the tp-fur bands f management f the Cmpany and fr all emplyees). Surce: the Grup s glbal HR database system, myrb. 2.5 Health & safety at wrk Health & safety data cmprises the data reprted t and by RB s manufacturing facilities, R&D centres and warehuses. Parameter: Lst Wrk Day (LWD) Accidents Definitin: a wrk-related accident/incident during the reprting perid which resulted in an emplyee (including cntract labur/temprary emplyees) being unable t undertake/cmplete their duties n the fllwing scheduled wrk day/shift. This includes wrkrelated travel but excludes travel t and frm an emplyee s nrmal place f wrk. Scpe: cvers RB emplyees (including cntract labur / temprary emplyees) at ur manufacturing sites, warehuses and R&D sites ver whm we have management cntrl (but nt: (i) cntractrs wh visit the facility fr a shrt perid f time t cmplete a specific task such as the repair f a wall r testing f the site s electrical system, ver which we d nt have management cntrl; r (ii) permanent n-site cntractrs ver which we d nt have management cntrl, such as thse wh may run the site canteen, wh manage their wn area and staff). Units: number f accidents. Methd: abslute number reprted. Surce: glbal, facility-level mnthly health & safety reprting; and, glbal, facility-level annual health & safety data reprting/assurance prcess. Parameter: Lst Wrk Day (LWD) Accident Frequency Rate (FR)

13 Definitin: number f LWD accidents suffered per 100,000 hurs wrked. Wrking hurs include standard hurs and vertime and exclude absence thrugh sickness, hliday and apprved leave. Scpe: same scpe as LWD Accident (abve). Units: rate per 100,000 hurs wrked. Methd: number f LWD accidents per 100,000 hurs wrked. Surce: glbal, facility-level mnthly health & safety reprting; and glbal, facility-level annual health & safety data reprting / assurance prcess. Parameter: Severe Accidents Definitin: a wrk-related accident /incident during the reprting perid which resulted in permanent disability f an emplyee (including cntract labur/temprary emplyees) n site r whilst n cmpany business (including business travel) e.g. amputatins r any permanent lss f sensry r mtr dexterity (e.g. lss f a finger tip). Scpe: same scpe as LWD Accident (abve). Units: abslute number. Methd: abslute number reprted. Surce: glbal, facility-level mnthly health & safety reprting; and, glbal, facility-level annual health & safety data reprting / assurance prcess. Parameter: Fatality Definitin: a wrk related accident/incident during the reprting perid which resulted in the death f an emplyee (including cntract labur/temprary emplyees) n-site r whilst n cmpany business (including business travel), r f a cntractr/visitr whilst n-site. Scpe: cvers RB emplyees and cntract labur/temprary ver whm we have management cntrl, plus cntractrs wh visit the site fr a shrt time t cmplete a specific wrk task, plus permanent cntractrs wh manage their wn area and staff, plus visitrs t the site. Units: abslute number. Methd: abslute number reprted. Surce: glbal, facility-level mnthly health & safety reprting; and, glbal, facility-level annual health & safety data reprting/assurance prcess.