Performance With Purpose

Transcription

1 Pepsico Performance With Purpose Delivering ering Performance with Purpose B.C. EPR Workshop op

2 Presentation Overview Pepsico Global Overview Presence in Canada Performance with Purpose PepsiCo Beverages Canada Environmental Initiatives Focus on Packaging 2

3 PepsiCo What comes to mind when thinking about PepsiCo? 285,000 employees world wide Operate in 200 countries $43B Net Revenue $108B Retail Sales world wide 3

4 Key Emerging Countries Snacks Beverages > $1B Mexico Brazil Russia Mexico China Russia China Turkey India > $0.2B Turkey Poland Colombia Chile India Saudi Arabia Egypt South Africa Poland Romania Ukraine Vietnam Egypt Based on 2009 pro forma results reflecting the bottling merger. 4

5 Large Established Brands 19 $1B+ brands $250MM $1B brands (examples) 5

6 6 Who We Are

7 We Have A Strong Canadian Presence 10,000 Employees 13 Manufacturing Facilities 73% of what we sell is Made In Canada 7

8 Our Sustainability Vision At PepsiCo, Performance with Purpose means delivering sustainable growth by investing in a healthier future for people and our planet. Performance with Purpose is at the foundation of every aspect of our business. We integrate a commitment to human, environmental and talent sustainability into all of our operations. Doing so creates a blueprint for PepsiCo to develop, manufacture and sell our products in a sustainable way, which gives us a competitive advantage in markets all over the world and drives long term growth. Indra Nooyi 8

9 Significant Achievements Nearly doubled our good for you product portfolio over the last five years. Conserved more than 12 billion liters of water through efficiency improvements within our operations as compared to the 2006 baseline. Achieved a 16% reduction in per unit use of energy in our beverage plants and a 7% reduction in our snack plants in 2009 compared to a 2006 baseline. Achieved the highest score in corporate governance for three consecutive years in the Dow Jones Sustainability World and North America indexes. 9

10 Human Sustainability To the people of the world It s a promise to encourage people to live healthier by offering a portfolio of both enjoyable and wholesome foods and beverages 10

11 Human Sustainability Increase whole grains, fruits, vegetables, nuts, seeds and low fat dairy in our global product portfolio. Reduce the amount of added sugar per serving in key global beverage brands, in key countries, by 25 percent by 2020, with a 2006 baseline. Display calorie count and key nutrients on our food and beverage packaging by Limit advertising to children under 12to products that meet ourglobal science based nutrition standards. Eliminate the direct sale of full sugar soft drinks to primary and secondary schools around the globe by Expand PepsiCo Foundation and PepsiCo Contributions initiatives to promote healthier communities 11

12 Human Sustainability Increase the amount of whole grains, fruits, vegetables, nuts, seeds and low fat dairy in our global product portfolio Reduce the average amount of sodiumper serving inkey global food brands, in key countries,by 25% by 2015, with a 2006 baseline Reduce the average amount of saturated fat per serving in key global food brands, in key countries,by 15% by 2020, with a 2006 baseline Our Gamesa Quaker business delivered nearly 1.4 billion servings of whole grains in Mexico. In the U.K., the business achieved a 10% further reduction of salt in Walkers Crisps, following salt reductions between 25% and55% since2003. In the U.S., Frito Lay has reduced saturated fats by 50% in its Lay s and Ruffles brands since Gatorade s G2 is a low calorie sports beverage that t has hlfth half the sugar and still delivers functional hydration Reduce the average amount of benefits that athletes need to compete. added sugars per serving in key global Tropicana s Trop50 juice has 50% less beverage brands, in key countries, by sugar and calories. 25% by 2020, with a 2006 baseline NA School guidelines implemented 12

13 Talent Sustainability To the associates of PepsiCo It s a promise to invest in our associates to help them succeed and develop the skills needed to drive the company s growth, while creating employment opportunities in the communities we serve 13

14 Talent Sustainability Ensure high levels of associate engagement and satisfaction. Foster diversity and inclusion by developing a workforce that reflects local communities. Encourage associates to lead healthier lives by offering workplace wellness programs globally. Support ethical and legal compliance through our Code of Conduct, Contribute to better living standards in the communities we serve. Create local jobs by expanding operations in developing countries. Support education through PepsiCo Foundation grants. Support associate volunteerism and community involvement Match eligible associate charitable contributions globally, dollar for dollar, through PepsiCo Foundation. 14

15 Work With Local And Global Partners Expand Global Research and Development Expand capabilities and investment Grow our expertise in nutrition, science and health policy Create healthier products Provide effective nutrition education Partner to Increase our Impact and Support Like minded Initiatives Global Commitment to Action on the Global Strategy on Diet, Physical Activity and Health 15

16 Talent Sustainability Foster diversity and inclusion by developing a workforce that reflects local communities We increased the percentage of women executives globally to 30% in Ensure a safe workplace by continuing to reduce Lost Time Injury Rates while striving In addition, we spent nearly $1.3 billion with minority and womenowned vendors in 2009 a 41% hil tii increase since To improve other occupational health and safety metrics through best practices Reduced our Lost Time InjuryRate by 25% in our global manufacturing operations in

17 Environmental Sustainability To the planet we all share It s a promise to be a good citizen of the world, protecting the Earth s natural resources through innovation and more efficient use of land, energy, water and packaging gin our operations 17

18 Environmental Sustainability - Water Respect the human right to water through world class efficiency in our operations, preserving water resources and enabling access to safe water. Improve our water use efficiency by 20 percent per unit of production by Strive for positive water balance in our operations in waterdistressed areas. Provide access to safe water to 3 million people in developing countries by the end of

19 Environmental Sustainability Land and Packaging Rethink the way we grow, source, create, package and deliver our products to minimize our impact on land. Incorporate at least 10% recycled PET (rpet) in our primary soft di drink containers ti in the U.S., US and expand the use of rpet across key international markets. Increase U.S. beverage container recycling rates to 50 percent by Reduce packaging weight by 350 million pounds avoiding the creation of 1 billion pounds of landfill waste by Work to eliminate all solid waste to landfills from our production facilities. 19

20 Environmental Sustainability Climate Change Reduce the carbon footprint of our operations. Improve our electricity use efficiency by 20 percent per unit of production by Reduce our fuel use intensity by 25 percent per unit of production by Commit to a goal of reducing greenhouse gas (GHG) intensity for U.S. operations by 25percent through our partnership with the U.S. Environmental Protection Agency Climate Leaders program. Committo to an absolute reduction in GHG emissions across global operations. 20

21 Environmental Sustainability Community Respect and responsibly use natural resources in our businesses and in the local communities we serve. Apply proven sustainable agricultural practices on our farmed land. Provide funding, technical support and training to local farmers. Promote environmental education and best practices among our associates and business partners. Integrate our policies and actions on human health, agriculture and the environment to make sure they support each other. 21

22 Every Drop Counts PepsiCo India has 45 bottling and snacks plants in the country Recharged 6 billion liters and used 5.17 billion liters of water during 2009 with a net savings of 836 million liters. These figures were verified by auditfirm Deloitte eloittetouche Tohmatsu India 22

23 Key Accomplishments First national beverage brand with a 100% recycled PET bottle (Naked Juice) First national juice brand in the US U.S. to publish a third party verified carbon footprint (64 oz. Tropicana Pure Premium Original Orange Juice) 100% British grown potatoes (Walkers crisps) Launched the lightest weight national brand water bottle in the U.S. in 2009 (Aquafina) 23

24 The PepsiCo Chicago Sustainability Center One of 21 buildings around the world in April 2009 to achieve LEED Commercial Interior Platinum certification from the U.S. Green Building Council. Seating made from 100 percent post consumer recycled beverage bottles and flooring, carpeting and other materials that incorporate oat hulls from the Quaker Cedar Rapids plant. 24

25 2009 Sustainable Engineering Guidelines Apply to our new construction and major reengineering projects worldwide! 25

26 Tropicana First Brand In The United States to Certify With The Carbon Trust A 64 ounce carton of Tropicana Pure Premium orange juice. Partnered with third party experts at the Columbia Earth Institute Carbon Trust studied every facet of the product lifecycle from growing and squeezing oranges to getting the juice to the store shelf. The analysis found that each half gallon carton of orange juice generates about 3.75 pounds (1.7 kilograms) of total carbon dioxide emissions. This research is helping the brand improve its agricultural, manufacturing, transportation and packaging processes, all while still delivering a delicious and healthy orange juice. 26

27 At PepsiCo Canada We Are Re designing Our Entire Operating Footprint Make 10 9 Move Sell Support 27 Assets Practices External

28 Pepsico Recycling Standards Our recycling efforts will concentrate on 15 common recycling streams located throughout our plants, satellites and offices. A site champion must be established in each facility. That person will be in charge of overseeing the rollout of the outlined recycling standards. Use of 3 rd party vendors, Oakleaf and Allegiant, to accurately track data and identify new opportunities for recycling. It is the responsibility of each site champion to determine necessary signage and containers for all recycling streams and work centers. 28

29 PBG Recycling Standards Plastic Bottles Cans Aluminum Glass Scrap Metal Stretch Wrap Paper Cardboard Full Product Wood E Waste Pallet Bands HDPE 29

30 Environmental Audits This document provides an up-to-date reference for all controlled Environmental Documents (ENV-docs) (P1 of 3) 30 Always make sure that you are using the most current version of a ENV doc as shown on this MCD. PBC DOCUMENT NUMBER REVISION FILE NAME CURRENT ISSUE DATE ENV FRM 1 1 SPCC AST Recordkeeping Form 5/26/06 ENV FRM 2 1 Storm Water Recordkeeping Form 5/26/06 ENV FRM 3 1 Hazardous & Universal Waste Recordkeeping Form 5/26/06 ENV FRM 4 1 Refrigerant Personnel Certification and Equipment Listing Form 5/26/06 ENV FRM 5 1 Daily AST Inspection Form 11/13/09 ENV FRM 6 3 Monthly AST Inspection Form Fueling Operations Only 11/18/07 ENV FRM 7 1 UST Recordkeeping Form. 5/26/06 ENV FRM 8 3 SW Qtrly Visual Examination Requirements and Form 10/01/08 ENV FRM 9 4 Monthly Storm Water Inspection Form 10/01/08 ENV FRM 10 3 Universal and Special Waste Inspection Form 5/08/08 ENV FRM 11 4 Hazardous Waste Inspection Form 8/25/08 ENV FRM 12 2 Waste Characterization Form 11/18/07 ENV FRM 130 Wastewater RecordkeepingForm 5/26/06 ENV FRM 14 4 Monthly Wastewater Inspection 4/22/10 ENV FRM 15 2 Accountability Matrix Form 02/03/09 ENV FRM 16 3 Monthly UST Inspection Form 11/18/07 ENV FRM 17 1 Truck Engine Vehicle Washing Recordkeeping Form 5/26/06 ENV FRM Non Saleable Product Disposal Companies Form 10/1/10 ENV FRM 19 1 Universal and Special Waste Recordkeeping Form 11/18/07 ENV FRM 20 3 Storm Water Annual Evaluation Form 09/10/08 ENV FRM 21 0 Training Sign In Sheet Form 01/08/07 ENV FRM 22 0 Monthly AST Inspection Form 10/01/08 ENV FRM 23 PENDING DOCUMENT ENV FRM 24 0 Evaluation of Environmental Parameters Not Posted ENV LOG 1 0 Refrigerant Accidental Venting Log 12/18/06 ENV LOG 2 4 Hazardous and Universal Waste Tracking Log 06/08/09 ENV LOG 3 1 Refrigerant Equipment Listing Log 05/26/06

31 PepsiCo Beverages Canada Plastic (PET) bottles are on average 29% lighter than when first implemented Additional i 10% in % Recycled Content in PET soft drink bottles Aluminum cans contain 41% recycled content And lighter PET & aluminum beverage packages are 100% recyclable Gatorade Waterless Rinsing 31 31

32 PepsiCo Beverages Canada New Pepsi refrigeration equipment is Energy Star rated and 54% more efficient than older models Eliminated HFCs as an insulating agent in coolers & vendors Improved Pepsi brand fleet efficiency through anti idling and speed limiting iti systems and testing ti new hydrogen fueled vehicles Gatorade Waterless Rinsing 32 32

33 PepsiCo Beverages Canada Expanded internalrecycling recycling programs and achieved a recovery rate of 75% across production facilities, satellite warehouses and offices Serveonboardsofseveral of several not for profit provincial recycling organizations to continuously improve the programs and recycling rates across Canada Launched CBCRA Manitoba Gatorade Waterless Rinsing Model 33 33

34 PepsiCo Beverages Canada Water Conservation Teams established at all plants Majority of production lines in Canada use ionized air rinsing Re engineered sanitization process to use less water Reduced the water required for each litre of production by over 22% since 2007 Gatorade Waterless Rinsing 34 34

35 Secondary Packaging 500mL multi packs are padless nationally 70% of 591mL multi packs are padless nationally No increase in shrink wrap weight 35

36 Empty Bottle Self-Manufacturing Produce bottles in house Ship pre forms forms, not bottles Now 1 Truck versus 10 90% fuel saving 29% electricity saving 35% Reduction in GHG s 36

37 Naked Juice renewabottle Naked Juice strives to reduce its footprint Launched July 2009 with ith32oz bottle 100% With conversion of the entire line up in 2010 each year: Virgin plastic consumption will be reduced 8.1MM lbs 57M barrels of oil reduced the equivalent of taking 3,460 cars 37

38 Canadian Breast Cancer Run For The Cure October 3rd, 2010 over 1000 PepsiCo Employees from across Canada participated in The CIBC Run For the Cure. 1,022 runners raised over $175,000 PepsiCo has become one of the strongest participating and fundraising first timesponsors The PepsiCo Women s Network and Diversity Council showed their support by dedicating numerous hours to ensure the day of the run was a success. 38

39 people submit ideas. people vote on ideas. pepsi gives grants to the ideas people like best. refresheverything.ca 39

40 Joannie Rochette Named As An Pepsi Refresh Ambassador Pepsico will award more than $1 million in grants to fund refreshing ideas that make the world a better place. As a Pepsi Refresh Project Ambassador and spokesperson, Rochette will support and encourage individuals and groups across Canada to submit their ideas to the Pepsi Refresh Project. She will also participate in events to celebrate grant recipients and their impact on their communities. Rochette hopes to take her experience of achieving her Olympic dream to everyday people to inspire them to realize their dreams through the Pepsi Refresh Project. 40

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42 The World Is Noticing Global 500/World s Largest Corporations Fortune World s Most Ethical Companies Ethisphere Magazine America s Most Reputable Companies Forbes.com Community Partnership Awards Food and Drink Federation Best Foods for Women Women s Health Product of the Year Awards Russian National Trade Association Best Places to Launch a Career BusinessWeek Best Companies for Multicultural Women Working Mother Best Employers for Healthy Lifestyles National Business Group on Health Diversity Elite Hispanic Business Magazine Companies Where Women Could Be Promoted the Fastest Forbes Turkey Dow Jones Sustainability World and North American Indexes Dow Jones U.S. EPA Top Partner Rankings U.S. EPA Energy Star Partner of the Year Green Rankings Newsweek US Environmental Excellence Award National Forum for Environment & Health 42

43 Awards & Recognition Achieved highest score in corporate governance for three consecutive years in the Dow Jones Sustainability World and North America Indexes Corporate Social Responsibility Award from the Federation Of Indian Chamber of Commerce in recognition of PepsiCo India s work on Paithan check dam project Environmental Contribution of the Year Award (2010 Global Water Awards) in recognition of Arizona Sun Chips facility net zero environmental footprint EPA awarded PepsiCo a 2010 Energy Star Sustained Excellence Award 2008 GE Return on Environmental Leadership Award Mississauga Pepsi Beverages Facility United Way Contribution Award contribution of $1,000,000 or more in 2010 to United dway Canada 43

44 44 Select Recognitions

45 Environmental Sustainability Journey PepsiCo formalizes sustainability initiative Established a goal of 10% PET recycled content in plastic bottles in the US Awarded LEED Gold Level Certification for Frito-Lay distribution center Environmental Task Force formed to share best practices Sustainability Vision defined Admitted to Dow Jones Sustainability World Index 45

46 Environmental Sustainability Journey Walkers was the first major food brand in the world to display a carbon footprint reduction logo on its packs PepsiCo India achieves positive water balance PepsiCo, an Energy Star partner since 2007, was awarded the Energy Star Sustained Excellence Award Tropicana Pure Premium orange juice became the first consumer brand in NA to certify its carbon footprint Test-marketed our first-ever 100% compostable snack bag for SunChips Dream Machine recycling initiative launched to help increase U.S. recycling rate 46

47 THANK YOU! For more information: