Water and environmental sustainability
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- Magnus Underwood
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1 GRI content index Profile Disclosures 1. Strategy and Analysis Profile Description disclosure 1.1 Statement from the most senior decision-maker of the organization Cross-reference section CSVR: Page 3: A message from our Chairman and CEO 1.2 Description of key impacts, risks, and opportunities CSVR: Pages 8-9: Material issues, Key Performance Indicators and focus areas CSVR: Pages 10-11: Challenges 2. Organizational Profile Profile Description Cross-reference section disclosure 2.1 Name of the organization AR: Page 36: Shareholder information 2.2 Primary brands, products, and/or services AR: Pages 8-15: The Nestlé Roadmap to Good Food, Good Life AR: Page 19: Overview Operational structure of the organization, including main AR: Pages 20-22: Overview divisions, operating companies, subsidiaries, and joint ventures FinancialOverview/Introduction.htm CFS: Pages: 52-63: Notes, Segment, : Companies of the Nestlé Group 2.4 Location of organization's headquarters AR: Page 36: Registered offices 2.5 Number of countries where the organization operates, and names of countries with either major operations or that are specifically relevant to the issues covered in the report. AR: Pages 32-33: Geographic data: people, factories and sales 2.6 Nature of ownership and legal form. AR: Page 34-35: Corporate Governance and Compliance CFS: Pages : Companies of the Nestlé Group 2.7 Markets served (including geographic breakdown, sectors served, and types of customers/beneficiaries). AR: Pages 32-33: Geographic data: people, factories and sales 2.8 Scale of the organization. AR: Key figures (consolidated): Pages II-III AR: Pages 28-33: Geographic data: people, factories and sales CSVR: Pages 26-28: Key indicators CFS: Page 116: Financial information 91
2 2.9 Significant changes during the period regarding size, structure, or ownership. AR: Pages 2-5: Letter to our shareholders 2.10 Awards received in the period. CSVR: Page 62: Transport and distribution 3. Report Parameters Profile Description disclosure 3.1 period (e.g., fiscal/calendar year) for information provided. Cross-reference section CSVR: Page 19: 3.2 Date of most recent previous report (if any). CSVR: Page 19: 3.3 cycle (annual, biennial, etc.) CSVR: Page 19: 3.4 Contact point for questions regarding the report or its contents. ContactUs.htm 3.5 Process for defining report content. CSVR: Pages 8-9: Material issues, Key Performance Indicators and focus areas CSVR: Page 19: CSVR: Page 13: Stakeholder engagement 3.6 Boundary of the report (e.g., countries, divisions, subsidiaries, leased facilities, joint ventures, suppliers). See GRI Boundary Protocol for further guidance. CSVR: Page 19: 3.7 State any specific limitations on the scope or boundary of the report (see completeness principle for explanation of scope). 3.8 Basis for on joint ventures, subsidiaries, leased facilities, outsourced operations, and other entities that can significantly affect comparability from period to period and/or between organizations. 3.9 Data measurement techniques and the bases of calculations, including assumptions and techniques underlying estimations applied to the compilation of the Indicators and other information in the report. Explain any decisions not to apply, or to substantially diverge from, the GRI Indicator Protocols Explanation of the effect of any re-statements of information provided in earlier reports, and the reasons for such restatement (e.g.,mergers/acquisitions, change of base years/ periods, nature of business, measurement methods) Significant changes from previous periods in the scope, boundary, or measurement methods applied in the report Table identifying the location of the Standard Disclosures in the report Policy and current practice with regard to seeking external assurance for the report. CSVR: Page 19: CSVR: Page 19: CSVR: Page 28: Key Performance Indicators, Key definitions and notes There are no restatements on information provided in earlier reports There are no significant changes CSVR: Page 91: GRI Content Index CSVR: Pages 20-23: Independent assurance statement 92
3 4. Governance, Commitments, and Engagement Profile Description disclosure 4.1 Governance structure of the organization, including committees under the highest governance body responsible for specific tasks, such as setting strategy or organizational oversight. 4.2 Indicate whether the Chair of the highest governance body is also an executive officer. 4.3 For organizations that have a unitary board structure, state the number of members of the highest governance body that are independent and/or non-executive members. 4.4 Mechanisms for shareholders and employees to provide recommendations or direction to the highest governance body. 4.5 Linkage between compensation for members of the highest governance body, senior managers, and executives (including departure arrangements), and the organization's (including social and environmental ). 4.6 Processes in place for the highest governance body to ensure conflicts of interest are avoided. 4.7 Process for determining the qualifications and expertise of the members of the highest governance body for guiding the organization's strategy on economic, environmental, and social topics. 4.8 Internally developed statements of mission or values, codes of conduct, and principles relevant to economic, environmental, and social and the status of their implementation. Cross-reference section CGR CGR: Pages 10-18: Section Internal organisational structure to Section 4.2 Professional background and other activites and functions The Chairman is not also the CEO CGR: Pages 6-18: Sections 3 - Board of Directors; Section 4 - Executive Board All members of the Board of Directors are independent/non executive officers with the exception of the Nestlé CEO. AR: Page 36: Shareholder information CSVR: Page 89: Employee engagement CGR: Pages 36-40: Appendix 2: Articles of Association of Nestlé SA CGR: Pages 23-33: Appendix 1: Compensation Report CGR: Pages 10-11: Section Tasks and area of responsibility for each Committee of the Board of Directors CGR: Pages 23-33: Appendix 1: Compensation Report CGR: Pages 12-18: Sections Definition of areas of responsibility, Information and control instruments vis-à-vis the Executive Board; 4 Executive Board CGR: Pages 23-33: Appendix 1: Compensation Report CSVR: Page 2: Value at Nestle CoBC 93
4 Profile disclosure Description Cross-reference section 4.9 Procedures of the highest governance body for overseeing the organization's identification and management of economic, environmental, and social, including relevant risks and opportunities, and adherence or compliance with internationally agreed standards, codes of conduct, and principles Processes for evaluating the highest governance body's own, particularly with respect to economic, environmental, and social Explanation of whether and how the precautionary approach or principle is addressed by the organization Externally developed economic, environmental, and social charters, principles, or other initiatives to which the organization subscribes or endorses Memberships in associations (such as industry associations) and/or national/international advocacy organizations in which the organization: * Has positions in governance bodies; * Participates in projects or committees; * Provides substantive funding beyond routine membership dues; or * Views membership as strategic. CSVR: Pages 2-3: Value at Nestlé, A message from our Chairman and CEO CGR: Pages 12-13: Sections Definition of areas of responsibility and Information and control instruments vis-à-vis the Executive Board AR: Page 26: Principal risks and uncertainties CGR: Pages 23-33: Appendix 1: Compensation Report CSVR: Pages 2-3: Value at Nestlé, A message from our Chairman and CEO AR: Pages 8-14: The Nestlé Roadmap to Good Food, Good Life AR: Page 26: Overview CSVR: Pages 16-18: Support for global principles and goals CSVR: Pages 13-15: Stakeholder engagement CSVR: Pages 16-17: Support for global principles and goals (CEO Water mandate) CSVR: Pages 42-43: Advertising to children (EU Pledge, IFBA) CSVR: Page 46: Education and engagement (AIM) CSVR: Pages 57: Supply chain and watershed management (SAI) CSVR: Pages 60-61: Partnerships on climate change (SAI, AIM) CSVR: Pages 71-72: Managing supplier relationships (SAI, AIM) CSVR: Pages 77-80: : Sustainable coffee platforms (4C); SAI-Platform projects; Palm Oil (RSPO) 4.14 List of stakeholder groups engaged by the organization. CSVR: Pages 13-15: Stakeholder engagement 4.15 Basis for identification and selection of stakeholders with CSVR: Pages 13-15: Stakeholder engagement whom to engage Approaches to stakeholder engagement, including frequency of engagement by type and by stakeholder group Key topics and concerns that have been raised through stakeholder engagement, and how the organization has responded to those key topics and concerns, including through its. CSVR: Pages 13-15: Stakeholder engagement CSVR: Page 89: Employee engagement CSVR: Pages 14-15: Key issues identified CSVR: Page 8: Material issues, key incidators and focus areas 94
5 Disclosure on Management Approach (DMA) and Performance Indicators Economic Goals and Performances Policy Additional context AR: Pages 16-35: Financial Review AR: Pages 16-35: Financial Review Economic EC1 Direct economic value generated and distributed CSVR: Page 26: Key Performance Indicators AR: Pages 16-35: Financial Review EC2 Risks and opportunities due to climate change CSVR: Pages 59-61: Climate change EC3 Coverage of defined benefit plan obligations EC4 Significant financial assistance from government Market presence EC5 Entry level wage compared to local minimum wage EC6 Policy, practices and spending on locally-based suppliers CSVR: Pages 71-80: EC7 Local hiring CSVR: Page 28: Key Performance Indicators Indirect economic impacts EC8 EC9 Development and impact of infrastructure investments and services provided primarily for public benefit through commercial, in-kind, or pro bono engagement. Understanding and describing significant indirect economic impacts, including the extent of impacts. CSVR: Pages 78-80: SAI-Platform projects and Cocoa Plan CSVR: Page 58: Community engagement in water projects CSVR: Pages 69-80: CSVR: Page 4: 2009 focus: the value chain Environment Goals and Performances Policy CSVR: Pages 26-27: Key Performance Indicators CSVR: Page 50: sustainaibility CSVR: Page 60: Our CoBC 95
6 Organizational Responsibilities Training and Awareness Monitoring and Follow Up Additional context CSVR: Page 51: Compliance with sustainable CSVR: Page 11: Governance structure CSVR: Page 51: Compliance with sustainable CSVR: Pages 2-15: Value at Nestlé CSVR: Pages 24-28: CSVR: Page 12: Compliance CSVR: Page 51: Compliance with sustainable CSVR: Pages 49-68: Material EN1 Materials used by weight or volume. CSVR: Page 26: Key Performance Indicators EN2 Energy Percentage of materials used that are recycled input materials. EN3 Direct energy consumption by primary energy source. Partially reported, CSVR: Page 27: Key Performance Indicators EN4 Indirect energy consumption by primary source. CSVR: Page 27: Key Performance Indicators EN5 EN6 EN7 Water Energy saved due to conservation and efficiency improvements. Initiatives to provide energy-efficient or renewable energy based products and services, and reductions in energy requirements as a result of these initiatives. Initiatives to reduce indirect energy consumption and reductions achieved. CSVR: Page 64: Improving our energy efficiency CSVR: Page 64: Improving our energy efficiency CSVR: Page 64: Improving our energy efficiency EN8 Total water withdrawal by source. CSVR: Page 27: Key Performance Indicators CSVR: Page 55: Our perfomance: direct operations EN9 Water sources significantly affected by withdrawal of water. EN10 Percentage and total volume of water recycled and reused. 96
7 Biodiversity EN11 Location and size of land owned, leased, managed in, or adjacent to, protected areas and areas of high biodiversity value outside protected areas. EN12 Description of significant impacts of activities, products, and services on biodiversity in protected areas and areas of high biodiversity value outside protected areas. EN13 Habitats protected or restored. EN14 EN15 Strategies, current actions, and future plans for managing impacts on biodiversity. Number of IUCN Red List species and national conservation list species with habitats in areas affected by operations, by level of extinction risk. Emissions, effluents and waste EN16 EN17 Total direct and indirect greenhouse gas emissions by CSVR: Page 27: Key Performance Indicators weight. Other relevant indirect greenhouse gas emissions by weight. EN18 Initiatives to reduce greenhouse gas emissions and reductions achieved. EN19 Emissions of ozone-depleting substances by weight. CEPI CSVR: Pages 59-61: Climate change CSVR: Page 65: Renewable energy EN20 NOx, SOx, and other significant air emissions by type and Partially reported, CEPI weight. EN21 Total water discharge by quality and destination. CSVR: Page 27: Key Performance Indicators CSVR: Page 57: Water treatment EN22 Total weight of waste by type and disposal method. CSVR: Page 26: Key Performance Indicators CSVR: Page 66: Waste and recovery of by-products EN23 Total number and volume of significant spills. EN24 EN25 Weight of transported, imported, exported, or treated waste deemed hazardous under the terms of the Basel Convention Annex I, II, III, and VIII, and percentage of transported waste shipped internationally. Identity, size, protected status, and biodiversity value of water bodies and related habitats significantly affected by the organization's discharges of water and runoff. 97
8 Products and services EN26 EN27 Initiatives to mitigate environmental impacts of products and services, and extent of impact mitigation. Percentage of products sold and their packaging materials that are reclaimed by category. CSVR: Pages 49-68: Compliance EN28 Transport EN29 Overall EN30 Monetary value of significant fines and total number of nonmonetary sanctions for non-compliance with environmental laws and regulations. Significant environmental impacts of transporting products and other goods and materials used for the organization's operations, and transporting members of the workforce. Total environmental protection expenditures and investments by type. CSVR: Pages 62-63: Transport and distribution Social: Labor Practices and Decent Work Goals and Performances Policy Organizational Responsibilities Training and Awareness Monitoring and Follow Up Additional context CSVR: Page 28: Key Performance Indicators CSVR: Pages 82-85: Our People CoBC CSVR: Pages 84-85: A fair workplace CSVR: Page 11: Governance structure CSVR: Pages 84-85: A fair workplace CSVR: Page 85: Compliance with sustainable CSVR: Page 86: Training and learning CSVR: Page 85: Compliance with sustainable CSVR: Pages 81-90: Our People 98
9 Employment LA1 LA2 LA3 Total workforce by employment type, employment contract, and region. Total number and rate of employee turnover by age group, gender, and region. Benefits provided to full-time employees that are not provided to temporary or part-time employees, by major operations. Partially reported, CSVR: Page 28: Key Performance Indicators CSVR: Page 82: Labor/management relations LA4 LA5 Percentage of employees covered by collective bargaining agreements. Minimum notice period(s) regarding significant operational changes, including whether it is specified in collective agreements. Occupational health and safety LA6 LA7 LA8 LA9 Percentage of total workforce represented in formal joint management-worker health and safety committees that help monitor and advise on occupational health and safety programs. Rates of injury, occupational diseases, lost days, and absenteeism, and number of work-related fatalities by region. Education, training, counseling, prevention, and risk-control programs in place to assist workforce members, their families, or community members regarding serious diseases. Health and safety topics covered in formal agreements with trade unions. Partially reported, CSVR: Page 28: Key Performance Indicators CSVR: Page 83 84: Health and safety Training and education LA10 LA11 LA12 Average hours of training per year per employee by employee category. Programs for skills management and lifelong learning that support the continued employability of employees and assist them in managing career endings. Percentage of employees receiving regular and career reviews. CSVR: Pages 86-88: Training and learning Diversity and equal opportunities LA13 LA14 Composition of governance bodies and breakdown of employees per category according to gender, age group, minority group membership, and other indicators of diversity. Ratio of basic salary of men to women by employee category. 99
10 Social: Human Rights Goals and Performances CSVR: Page 27: Key Performance Indicators CSVR: Page 82: Our People CSVR: Page 85: Compliance with sustainable Policy CoBC Organizational Responsibilities CSVR: Pages 84-85: A fair workplace CSVR: Page 11: Governance structure Training and Awareness CSVR: Pages 84-85: A fair workplace CSVR: Page 86: Training and learning : Page 10: Human rights Monitoring and Follow Up CSVR: Page 71: Nestlé Supplier Code CSVR: Pages 75-76: Assessing at farm level (RISE) Additional context CSVR: Pages 69-80: CSVR: Page 17: UN Global Compact Principles Investment and procurement practices HR1 Percentage and total number of significant investment agreements that include human rights clauses or that have undergone human rights screening. HR2 Percentage of significant suppliers and contractors that have undergone screening on human rights and actions taken. HR3 Total hours of employee training on policies and procedures concerning aspects of human rights that are relevant to operations, including the percentage of employees trained. Non-discrimination HR4 Total number of incidents of discrimination and actions taken. Freedom of association and collective bargaining HR5 Operations identified in which the right to exercise freedom of association and collective bargaining may be at significant risk, and actions taken to support these rights. Child labor HR6 Operations identified as having significant risk for incidents of child labor, and measures taken to contribute to the elimination of child labor. CSVR: Page 28: Key Performance Indicators CSVR: Pages 84-85: A fair workplace 100
11 Forced and compulsory labor HR7 Operations identified as having significant risk for incidents of forced or compulsory labor, and measures to contribute to the elimination of forced or compulsory labor. Security practices HR8 Percentage of security personnel trained in the organization's policies or procedures concerning aspects of human rights that are relevant to operations. Indigenous rights HR9 Total number of incidents of violations involving rights of indigenous people and actions taken. Social: Society Goals and Performances Policy Organizational Responsibilities Training and Awareness Monitoring and Follow Up Additional context Community SO1 Nature, scope, and effectiveness of any programs and practices that assess and manage the impacts of operations on communities, including entering, operating, and exiting. Corruption SO2 Percentage and total number of business units analyzed for risks related to corruption. SO3 Percentage of employees trained in organization's anticorruption policies and procedures. CSVR: Page 28: Key Performance Indicators CSVR: Pages 84-85: A fair workplace CSVR: Pages 26-28: Key Performance Indicators CSVR: Page 70: CSVR: Page 71: Managing supplier relationships CoBC CSVR: Page 11: Governance CGR CSVR: Page 71: Managing supplier relationships CSVR: Page 78: Coffee (SAI Platform) CSVR: Page 79: Cocoa CSVR: Page 71: Managing supplier relationships CSVR: Pages 69-80: SO4 Actions taken in response to incidents of corruption. CSVR: Page 28: Key Performance Indicators CSVR: Page 85: Compliance with sustainable 101
12 Public policy SO5 Public policy positions and participation in public policy and lobbying. SO6 Total value of financial and in-kind contributions to political parties, politicians, and related institutions by country. Anti-competitive behaviour SO7 Total number of legal actions for anti-competitive behavior, anti-trust, and monopoly practices and their outcomes. Compliance SO8 Monetary value of significant fines and total number of non-monetary sanctions for non-compliance with laws and regulations. Social: Product Responsibility Goals and Performances Policy Organizational Responsibilities Training and Awareness Monitoring and Follow Up Additional context CSVR: Pages 13-15: Stakeholder engagement CSVR: Pages 26-28: Key Performance Indicators CSVR: Page 30: CSVR: Page 11: Governance structure CSVR: Pages 31-32: Our global research and network CSVR: Page 34: Branded Active Benefits CSVR: Pages 34-35: Micronutient fortification CSVR: Page 38: Portion guidance for a balanced diet CSVR: Pages 39-40: Special nutritional needs: complementary foods for infants and malnutrition in older people CSVR: Page 41: al information for consumers CSVR: Page 42: Responsible advertising and marketing CSVR: Page 86:Training and learning CSVR: Pages 26-28: Key Performance Indicators CSVR: Page 44: Infant food marketing, Audits CSVR: Pages 29-48: 102
13 Customer health and safety PR1 Life cycle stages in which health and safety impacts of products and services are assessed for improvement, and percentage of significant products and services categories subject to such procedures. PR2 Total number of incidents of non-compliance with regulations and voluntary codes concerning health and safety impacts of products and services during their life cycle, by type of outcomes. Product and service labeling PR3 Type of product and service information required by procedures, and percentage of significant products and services subject to such information requirements. PR4 Total number of incidents of non-compliance with regulations and voluntary codes concerning product and service information and labeling, by type of outcomes. PR5 Practices related to customer satisfaction, including results of surveys measuring customer satisfaction. Marketing communications PR6 Programs for adherence to laws, standards, and voluntary codes related to marketing communications, including advertising, promotion, and sponsorship. PR7 Total number of incidents of non-compliance with regulations and voluntary codes concerning marketing communications, including advertising, promotion, and sponsorship by type of outcomes. Customer privacy PR8 Total number of substantiated complaints regarding breaches of customer privacy and losses of customer data. Compliance PR9 Monetary value of significant fines for non-compliance with laws and regulations concerning the provision and use of products and services. CSVR: Page 26: Key Performance Indicators CSVR: Page 26: Key Performance Indicators CSVR: Pages 42-43: Advertising to children CSVR: Page 44: Infant food marketing CSVR: Page 26: Key Performance Indicators CSVR: Page 44: Infant food marketing Abbreviations: CSVR: Value Report 2009 AR: Annual Report 2009 CGR: Corporate Governance Report 2009 CFS: Consolidated Financial Statements of the Nestlé Group : Nestlé Corporate Business Principles CoBC: Code of Business Conduct CEPI: 2009 Consolidated Environmental Performance Indicators Key: Additional indicators are shown on a white background 103
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