AUSTRALIAN PACKAGING COVENANT

Transcription

1 AUSTRALIAN PACKAGING COVENANT AWARDS CELEBRATING THE ACHIEVEMENT OF INNOVATIVE APC SIGNATORIES WEDNESDAY 24 August 2016

2 MESSAGE FROM THE CEO CONGRATULATIONS TO OUR 24 AWARD WINNING SIGNATORIES, WHOSE ACHIEVEMENTS WE ARE RECOGNISING HERE TONIGHT AT THE 2016 AUSTRALIAN PACKAGING COVENANT AWARDS. The award winners this year have clearly demonstrated that no matter where a business sits within the packaging supply chain, there are always opportunities for innovation and positive change. Using the Covenant as a framework, these organisations have worked extensively with suppliers, not-for-profits, government agencies, customers and Covenant partners to drive packaging sustainability. Many are going further, using the Covenant as the impetus for broader change - to reduce the environmental footprint of their operations or to address sustainability impacts in their product supply chain. Signatories that perform well are those who actively seek change. They look for opportunities to improve production efficiencies, packaging design, supplier relationships, waste management and consumer engagement. They take a positive approach - one that focuses on the material issues for their business and the environmental impacts that they can influence. They then communicate these opportunities and outcomes in a manner that engages key stakeholders and demonstrates accountability. This is a time of growth and transformation for the Australian Packaging Covenant, and it is fitting that we have raised the bar for our 2016 Awards. This year, all our signatories were required to score 4.2 or above in their annual report to be eligible for an award. We have also introduced three new Awards to recognise Outstanding Achievement in Design, Recycling and Product Stewardship, as well as one grand overall winner - our 2016 APC Signatory of the Year. These winners will be announced at the end of tonight s ceremony. The case studies in this booklet profile our award winners and offer insight and inspiration to those looking to lead change and embrace the values of the Australian Packaging Covenant. If you would like to learn more about these achievements, I encourage you to visit our website and read the full annual reports. And finally, I would like to say thank you - to our award winners, high performers and stakeholders - for your ongoing commitment to the Australian Packaging Covenant. I look forward to celebrating with you here tonight, and working together closely in the future to ensure the ongoing success of an enhanced Covenant. Trish Hyde, CEO. Australian Packaging Covenant 1

3 2016 AWARD WINNERS HIGHLIGHTS OF HIGH PERFORMERS ANNUAL REPORTS* Key Learnings Matrix The matrix highlights some of the key KPI successes and initiatives as reported by our 2016 APC Award winners in their annual report. The matrix can be used as a quick way to reference which award winning annual reports have learnings that may be of interest to you and your organisation. The 2016 Annual Report from all current signatories are available for review on the APC website. Packaging Design Innovation The Smith s Snackfoods Company and Sakata Rice Snacks Australia Unilever Australasia Australia Post Best & Less Birkenstock Australia Blackmores C A Henschke & Co. Cerebos Australia Dell Australia Fuji erox Australia Imperial Tobacco Australia Jurlique International Kathmandu Kenneth Ayres (Aust) McDonald s Australia Nintendo Australia O-I Australia SC Johnson & Son Sealed Air Corporation - Food Care Snack Foods Super Retail Group Sussan Group Recycling and Reuse Angove Family Wines 2 Employee Engagement 3M Australia Partner Collaboration AUSTRALIAN PACKAGING COVENANT AWARDS Sydney. 24 August 2016

4 * Note: This table is for illustrative purposes only. As such, it is not comprehensive. Please refer to signatories reports for explicit information reported. Recycled Content Packaging 3M Australia Angove Family Wines Australia Post Best & Less Birkenstock Australia Blackmores C A Henschke & Co. Cerebos Australia Dell Australia Fuji erox Australia Kathmandu Kenneth Ayres (Aust) McDonald s Australia Nintendo Australia O-I Australia SC Johnson & Son Sealed Air Corporation - Food Care Snack Foods Super Retail Group Sussan Group Imperial Tobacco Australia Jurlique International Litter Innovation Innovative Product Stewardship The Smith s Snackfoods Company and Sakata Rice Snacks Australia Unilever Australasia 3

5 CONTENTS Message from the CEO Award Winners 2 Contents 4 Award Winners 5 Food and Beverage 5 Retailers 10 Pharmaceutical and Personal Care 13 Hardware and Homewares 16 Communications and Electronics 18 Clothing, Footwear and Fashion 21 Packaging Manufacturer 24 Shipping, Transport and Tobacco 27 AUSTRALIAN PACKAGING COVENANT AWARDS Sydney. 24 August 2016

6 AWARD WINNERS - FOOD AND BEVERAGE SMALL FOOD AND BEVERAGE ANGOVE FAMILY WINES Founded in 1886, Angove Family Wines is a fifth generation family winemaking company with a focus on excellence and sustainability. A range of collaborative efforts reported this year saw Angove move from a high performer in 2015, to an award winner in Angove has leveraged the expertise of several signatory supply chain partners to improve packaging design, reuse and recycling. Recycling onsite Working with signatory partner Visy Recycling, Angove recycled all glass and cardboard waste produced at their sites nearly 70 tonnes. They are also working closely with Transpacific Cleanaway, another signatory partner, to identify opportunities to develop recycling solutions for other material streams. In addition, more than 60 tonnes of scrap metal was collected and recycled by a local company in Maximising reuse Returnable pallet and bin systems are used to maximise reuse and ensure no packaging from glass, cardboard or label deliveries is sent to landfill. In 2015, Angove developed an innovative reuse program, sending more than 1,400 cartons for their bottle caps to a local removalist company for a second life. Supplier collaboration Angove works closely with major packaging suppliers to identify packaging design and recycled content opportunities. In 2015, they attended Visy s Innovation Workshop and they are currently working with Visy to shift to recycled content R flute cartons. Proving that environmental performance doesn t mean reduced quality, these cartons are of a greater strength and use fewer materials than those being replaced. Beyond packaging Looking beyond packaging, Angove is undertaking a range of sustainabilityfocussed programs, including producing organic grapes and wines, shifting to low-voltage lighting and finding useful solutions for liquid waste. Angove also utilises a large-scale water catchment process, which allows rain water to be collected, filtered and reused. 5

7 FOOD AND BEVERAGE SMALL FOOD AND BEVERAGE C A HENSCHKE & CO. C A Henschke & Co. has been producing wine in South Australia s Eden Valley since Today, the sixth-generation family company operates with a focus on the principles of biodynamic and organic farming and sustainability. Henschke has embedded its Covenant commitments into this broader sustainability model. The company has been actively working with suppliers, staff and industry peers to identify and implement improved packaging and recycling solutions. Design exploration Henschke is currently trialling a new keg-style bulk packaging format that enables restaurants to serve wine by the glass. Holding the equivalent of forty bottles of wine, the recyclable PET keg will reduce packaging weight per pallet by 85% (336kg) resulting in a significant reduction in freight costs and fuel use. Being a high-end wine producer, Henschke is also working with suppliers to explore innovative solutions that satisfy discerning customers. Landfill diversion All packaging waste generated at Henschke is recycled, and green waste is re-used on site for mulch and compost. The company is continually looking for ways to improve their current landfill diversion rate estimated to be well over 90%. One option that Henschke is exploring is the development of a regional cooperative for recycling to make waste management more economically viable. Employee engagement Recognising the importance of people in improving recycling, Henschke provides staff training to help find new opportunities for recycling. Employees are also encouraged to bring recyclables from home a great initiative providing those in rural communities with access to recycling opportunities. An annual litter collection event was also held at the winery, all vineyard sites, and along public roads, involving around 50 staff. 6 AUSTRALIAN PACKAGING COVENANT AWARDS Sydney. 24 August 2016

8 FOOD AND BEVERAGE MEDIUM FOOD AND BEVERAGE CEREBOS AUSTRALIA Cerebos Australia offers a comprehensive range of well-known Australian brands, including products such as sauces, gravies, beverages, coffee, deserts, toppings, condiments and cooking aids. Taking advantage of an extensive factory modernisation, the Cerebos design team has been able to redesign and rethink packaging as production lines were upgraded. A consistently high performing signatory, Cerebos actively works with its supply chain to identify and implement design changes. Design optimisation Using the Sustainable Packaging Guidelines to drive a review process, Cerebos was able to identify a more material efficient handle design for their two litre bottle. As one of the largest volume products, this change will save twenty tonnes of HDPE each year. Since 2013, Cerebos has been redesigning and refining its 500ml label range. The last step in this process, removal of the polyethylene laminate, was completed in In total, all of the label changes for this range will save over 20 tonnes of material per year. Recyclability communication Cerebos is also committed to ensuring consumers have appropriate recycling and disposal information relating to their packaging. 100% of new and redesigned packaging includes appropriate recyclability or disposal symbols in accordance with Cerebos labelling strategy. Buying recycled Since 2011, Cerebos has had a policy to buy recycled packaging, and targets to actively increase the percentage of recycled material purchased. Despite the restrictions of food grade material requirements, more than 70% of the packaging Cerebos purchased in 2015 had recycled content. Supplier engagement Cerebos holds formal reviews with key suppliers to identify packaging improvements. Several opportunities identified in 2015 will be trialled in 2016 including: further lightweighting of two and four litre bottle designs, label redesigns for the two and four litre bottles and shipper redesigns allowing improved pallet utilisation. 7

9 FOOD AND BEVERAGE MEDIUM FOOD AND BEVERAGE SNACK FOODS Snack Foods is a privately owned Australian manufacturer of snacks and potato chips. The company produces products under its own brands including Kettle, Thins, CC s, Natural Chip Co and Cheezels, as well as manufacturing retailers own label brands for the private label market. As a long-term signatory to the Australian Packaging Covenant, and its predecessor, the National Packaging Covenant since 2002, Snack Foods is focussed on reducing waste and improving inefficiencies. Waste management A major assessment was undertaken in January 2015 to review waste generation, storage and collection arrangements at both of the Snack Foods production sites. These sites have comprehensive waste management systems in place, diverting approximately 90% of waste from landfill. While new sources of recycling may be limited, the company is exploring opportunities to separate and divert packed finished product and metallised film from landfill. Beyond production areas, recycling facilities were made available to all office staff by June Supply chain initiatives Snack Foods is continuing to implement changes to its procurement process to ensure that only required materials are ordered and delivered. This means reducing obsolete stock, minimising waste and increasing cost efficiencies. Biannual assessments are conducted with all key suppliers, and participants are encouraged to identify environmental improvements. Beyond packaging Snack Foods is an active member of the Sustainability Advantage Program run by NSW Office of Environment and Heritage. Part of the Fabulous Foodies Group, the company is working to improve production yields and operational efficiencies. 8 AUSTRALIAN PACKAGING COVENANT AWARDS Sydney. 24 August 2016

10 FOOD AND BEVERAGE LARGE FOOD AND BEVERAGE THE SMITH S SNACKFOOD COMPANY AND SAKATA RICE SNACKS AUSTRALIA PepsiCo s snackfood operating division in Australia is The Smith s Snackfood Company and Sakata Rice Snacks Australia. Its well-known brands include Smith s Chips, Doritos Corn Chips, Nobby s Nuts, Red Rock Deli, Twisties and Sakata Rice Snacks. The company s commitment to packaging sustainability shows in their long-standing status as a high-performing Covenant signatory, having received several awards in recent years. Smith s continues to improve packaging efficiencies, engage team members in waste and litter reduction programs and embed packaging sustainability systems throughout the business. Packaging improvements In 2015 Smith s made a number of positive changes to packaging, incorporating several opportunities that were identified in earlier assessments. For example, all pack sizes launched in 2015 were optimised, delivering significant savings in flexible film and carton board. Design improvements were supported by manufacturing process optimisation to improve packaging efficiency. The company also continued to explore and test bio-based compostable films to improve packaging sustainability while ensuring the packaging fulfils its primary purpose of keeping product fresh. Waste management Smith s has an ambitious zero waste to landfill goal. In 2015 the company achieved a 92.3% recycling rate for their manufacturing facilities, despite challenges associated with site upgrades and expansions. In 2015 Smith s worked with a waste contractor to trial improved separation of packed food waste, with the goal of recovering the packaging component as a fuel. Trials were promising and will continue in Litter management Smith s has a system in place to ensure all packaging has appropriate disposal or recycling information. Supporting this commitment to improve consumer education, the company is an active supporter of Clean Up Australia. In 2015 Smith s participated in six Clean-Up Day events, involving around 70 PepsiCo Australia team members. 9

11 RETAILERS RETAILER BEST & LESS Founded in 1965, Best & Less is an Australian apparel and homewares retailer employing approximately 4,000 people, across nearly 200 stores throughout Australia. Best & Less commitment to the Covenant is underpinned by one of the company s core values do the right thing. The company has a strong focus on working with suppliers to improve packaging and recycling efficiencies. Design efficiency Taking a strategic, systems-based approach, Best & Less has been able to achieve a range of design changes that have led to cost and environmental improvements. A new warehouse management system resulted in the reduction of labelling requirements for 65% of cartons. Global suppliers are also required to use standard-sized cartons made from 100% recycled material to ensure that they can be reused in the domestic supply chain. Supplier engagement Best & Less hold a yearly supplier summit that brings together all suppliers to discuss key initiatives, challenges and plans, including packaging efficiencies and procurement. Ongoing supplier engagement, such as training by the sourcing office and a quarterly supplier newsletter, is critical to achieving Best & Less packaging efficiency targets. Recyclable hangers Best & Less has worked with apparel suppliers and clothes-hanger manufacturers to develop a hanger recycling program. 100% of suppliers now source recycled and recyclable hangers resulting in a lot less hangers going to landfill. Staff engagement With thousands of team members, Best & Less has introduced a range of simple broad-scale initiatives that collectively achieve significant outcomes. These initiatives include: removing polystyrene cups and encouraging reusable mugs, printing optimisation, pallet return programs, toner cartridge recycling and e-waste recycling AUSTRALIAN PACKAGING COVENANT AWARDS Sydney. 24 August 2016

12 RETAILERS RETAILER SUPER RETAIL GROUP Founded in 1974 as a fledging automotive parts mail order business, Super Retail Group has grown to one of Australasia s largest retailers. The Group s network now extends to over 630 retail stores across Australia, New Zealand and China. Another consistent high-performer, Super Retail Group has shown a long-term commitment to the APC, continuing to report smart and effective packaging sustainability improvements each year. Packaging assessment The Sustainable Packaging Guidelines are embedded within Super Retail Group s new product development process. The 2015 results of this integrated process are impressive, including 27 product lines reviewed and improved with an average packaging reduction of 28%. Staff engagement In addition to assessing packaging at the point of design and procurement, Super Retail Group also undertakes packaging reviews in stores to identify improvement opportunities. Working closely with APC staff, Super Retail Group integrated the APC s Sustainable Packaging Toolkit into their in-house training platform in 2015 ensuring relevant staff have access to packaging sustainability education. Efficiency improvements An ongoing packaging optimisation project is continuing to deliver cost and environmental savings. By reducing air space and changing packing methods, Super Retail Group improved pallet utilisation by 25% and container utilisation by 9%. Supplier engagement The use of sustainable packaging materials by suppliers is promoted and encouraged in a number of ways. The company actively rewards suppliers through their Trade and Partner Recognition Program, with packaging sustainability forming part of the selection criteria. Product stewardship Following a successful automotive oil recycling trial in 56 stores in Queensland, Super Cheap Auto rolled the program out to 144 stores nationally. In addition to the packaging collected, an estimated 233,200 litres of oil were collected in stores and sent to recycling facilities. 11

13 RETAILERS QUICK SERVICE RETAIL MCDONALD S AUSTRALIA McDonald s is a global chain of fast food restaurants that serves millions of customers daily. In 1971, McDonald s Australia opened its first restaurant in Sydney with the restaurant conducting daily litter patrols a practice that continues at all of their restaurants today. Recognised by the APC as the highest-performing Quick Service Retailer since the inception of the award in 2013, McDonald s Australia continues to embed packaging sustainability within its design and procurement processes. McDonald s proactively works with other packaging stakeholders, including the APC, to develop new design and waste solutions. Sustainability assessment In 2015 McDonald s Australia updated its Eco-filter packaging assessment software (in use since 2010). Opportunities that were evaluated for implementation included down-gauging of their 12 oz. cup - saving tonnes of fibre per year, using % recycled material for take-away bags and transitioning double walled hot cups to a new, thinner outer wall design. Increasing recycling All McDonald s Australia s company-owned restaurants have cardboard recycling programs in place recycling more than 2200 tonnes of cardboard in Following a successful milk bottle recycling trial in 2014, McDonald s Australia is in the process of rolling out a commingled recycling program for back-of-house packaging. In addition to HDPE milk bottles, this will collect aseptic containers, aluminium cans and glass jars for recycling. McDonald s Australia has identified front-of-house waste as a focus for This will include a trial to collect leftover organic waste, paper and plastic from customers for recycling. This will serve as a template for other company-owned restaurants. Product stewardship McDonald s Australia was an active participant in the APC s research project on the recyclability of polymer-coated packaging. Reinforcing the company s commitment to litter reduction, McDonald s Australia is the Founding Partner of Clean Up Australia. Since the first clean up in 1989, McDonald s crew and managers have been joining local communities to help clean sites across the nation AUSTRALIAN PACKAGING COVENANT AWARDS Sydney. 24 August 2016

14 PHARMACEUTICAL AND PERSONAL CARE SMALL PHARMACEUTICAL AND PERSONAL CARE JURLIQUE INTERNATIONAL Established in the Adelaide Hills in the 1980s, Jurlique sells skin care products containing natural, organic and biodynamic ingredients in more than 19 countries. Jurlique extends these sustainability principles to its design and selection of packaging. The company takes a long-term strategic approach to working with packaging suppliers, and actively engages with employees and customers to ensure they are part of the sustainability journey. Packaging design Jurlique uses the Sustainable Packaging Guidelines and a life cycle assessment tool (PIQET) to identify and review packaging sustainability changes. Two of the projects currently being explored include shifting all standard cartons to FSC certified paper stock, and introducing recycled content or bio-based plastics into plastic bottles. Communicating sustainability Jurlique actively communicates packaging improvements internally via a newsletter Sustainability in Action. Externally, those improvements are shared with customers through in-store messaging and the Jurlique website. Communicating recyclability On-pack recyclability and disposal information is currently being updated to improve clarity and consistency. Building on this, education is being provided to retail teams via a customer toolkit that includes information on correct methods for recycling Jurlique packaging items. Supplier engagement Jurlique is taking strategic steps to build long-term collaborative relationships with suppliers. In 2015, this included an environmental assessment of major Chinese packaging suppliers, and developing a Supplier Selection scorecard. This scorecard, based on quality, sustainability, finance and innovation, is then used to award top performers with the Jurlique Supplier Award. Jurlique is also passionate about social sustainability concerns through the supply chain. The internal procedures to manage suppliers social responsibility are being improved, and will be the key focus in

15 PHARMACEUTICAL AND PERSONAL CARE MEDIUM PHARMACEUTICAL AND PERSONAL CARE BLACKMORES Founded in 1932, Blackmores is a natural health company that combines traditional naturopathic expertise with scientific research. Committed to developing innovative natural health products and services, Blackmores now reaches consumers in 16 countries. A high-performing signatory for several years, Blackmores continues to develop and improve its business systems and processes to ensure that packaging sustainability is considered in all of its operations. Blackmores leadership in many aspects of packaging sustainability is reflected in both their packaging outcomes and their APC report. Considered design Blackmores uses packaging assessments against the Sustainable Packaging Guidelines as the basis for identifying improved packaging solutions. This approach was strengthened in 2015 by formally integrating Planet Ark s Australian Recycling Label and associated authorised Packaging Recyclability Evaluation Portal (PREP). Increased recycling Following a waste audit and benchmarking process undertaken in 2014, Blackmores comprehensive waste management plan was rolled out in Implementation of the plan has included: the installation of a baler for plastic film and a compactor for cardboard, organic waste collection for food scraps, detailed monthly reporting based on actual weights, and perhaps most importantly, training for all staff. The result waste diverted from landfill increased significantly, from 43% to 67%. Blackmores continues to seek solutions to increase this diversion rate. Closed Loop In 2014, Blackmores introduced a new Closed Loop Packaging process. This enabled the delivery of primary packaging components to be bulk delivered on returnable pallets and layer pads avoiding single use inward goods packaging. This past year (2015/2016) was the first full year the Closed Loop process operated, and resulted in substantial avoidance of cardboard/paper, plastic wrap and packing tape waste; beyond expectation. The process has also improved efficiencies while reducing the potential for repetitive injuries. One activity saw their line operator s task improve from 120 seconds to 20 seconds. Recyclability labelling Building on their commitment to assess packaging for recyclability, Blackmores has worked closely with Planet Ark to introduce the new Australian Recycling Label (ARL) across their extensive product range. Not just adopting the label themselves, Blackmores is showing leadership by actively encouraging other signatories to support the program. Product stewardship Blackmores commitment to product stewardship has also seen the organisation work with a range of not-for-profits, community groups and product stewardship organisations. In 2015, Blackmores supported 25 staff to hold a Business Clean-Up Day event at Mona Vale Beach and nearby Warriewood Beach AUSTRALIAN PACKAGING COVENANT AWARDS Sydney. 24 August 2016

16 PHARMACEUTICAL AND PERSONAL CARE LARGE PHARMACEUTICAL AND PERSONAL CARE UNILEVER AUSTRALASIA Unilever s history in Australia began in 1899, with the opening of the first ever soap production factory in Sydney. Unilever now supplies food, home and personal care products in over 190 countries, and the company s portfolio in Australia includes brands such as Flora, Lipton, Bushells, Dove, Rexona, Lynx, Vaseline, Omo, Surf, Continental, Toni and Guy, Clear and Streets. An APC high performer for several years, Unilever s approach to packaging sustainability is underpinned by the Unilever Sustainable Living Plan. Launched in 2010, this global plan embeds sustainability into every stage of the life cycle of Unilever s products and packaging. Packaging sustainability Unilever s global target - to reduce the weight of packaging used by one third by is one of the driving forces behind their approach to packaging design. Some of the highlights in 2015 included: redesign of 500ml Lipton Ice Tea bottles, resulting in an annual saving of 343 tonnes of PET and 60 tonnes of polypropylene; and the removal of foil wrapping for Lipton Black Tea, saving an average 41 tonnes of material each year. Waste management In 2015, Unilever achieved its goal of zero non-hazardous waste to landfill across its manufacturing network, warehouses and offices in Australia. Some specific new waste initiatives rolled out in 2015 include recycling bins for soft plastic installed by the Red Group, and the reuse of cartons by Food Bank. Product stewardship Unilever has partnered with several not-for-profits to improve the stewardship of their packaging. They have incorporated Planet Ark s Packaging Recyclability Evaluation Portal (PREP) into the assessment process, partnered with the Red Group to improve recycling of flexible films and work with Keep NSW Beautiful to support the Take the Pledge program. 15

17 HARDWARE AND HOMEWARES MEDIUM HARDWARE AND HOMEWARES 3M AUSTRALIA 3M Australia is a global subsidiary of 3M Company headquartered in St. Paul, Minnesota in the USA, which has operations in more than 70 countries and serves customers in nearly 200 countries. 3M s product diversity includes well-known brands such as Scotch, Post-it, 3M, Scotch-Brite, Scotchgard and Nexcare. Building on a solid foundation developed over the last five years and utilising the Sustainable Packaging Guidelines process, 3M Australia has achieved significant packaging improvements in the last reporting period. This was done by undertaking a number of initiatives, such as prioritising packaging redesign. Packaging redesign - To ensure maximum effect of packaging redesign, 3M Australia prioritised packaging redesign projects that delivered the greatest environmental improvements. By doing this, they were able to save 1306 kilograms of packaging material across 95 different local projects in These savings were achieved through a number of simple design changes such as reducing the size of flaps on shippers, carton dimensions and core sizes. Global impact - Sustainability is a key driver from 3M s global parent. Strong policies are in place going forward which account for a large part of the success. These policies address working closely with the supply chain to purchase raw materials from sustainable and or recycled resources, helping in the reduction of waste to the litter stream, as well as having a significant impact on the global reduction of forestry. Green facilities - 3M Australia continued to drive environmental improvements within its facilities. These included recycling more than 260 tonnes of packaging, a 5% increase on 2014, and reducing power consumption by an impressive 24% through the use of more energy efficient lighting AUSTRALIAN PACKAGING COVENANT AWARDS Sydney. 24 August 2016

18 HARDWARE AND HOMEWARES LARGE HARDWARE AND HOMEWARES SC JOHNSON AND SON SC Johnson and Son is a family company based in the USA, which began selling products in Australia in The company manufactures household cleaning products and products for home storage, air care, pest control and shoe care, and includes brands such as GLADE, KIWI, OFF!, PLEDGE, RAID, SCRUBBING BUBBLES, SHOUT, WINDE and ZIPLOC. SC Johnson s packaging sustainability activities have a strong focus on supply chain collaboration. Through sourcing policies and a supplier code of conduct, suppliers are encouraged to continually improve packaging and take efforts to reduce carbon, waste and water footprints. Packaging improvements SC Johnson has a comprehensive packaging development process. Building on reviews undertaken in previous years, SC Johnson made several improvements to its packaging in One example is the move to a lighter weight HDPE bottle for Mr Muscle 5 in 1, which resulted in a 27% reduction in HDPE per bottle. A similar light-weighting project for the Windex PET bottle reduced plastic consumption by 13% and enabled the company to fit an additional 16 cases of product on each pallet. Packaging assessments In 2015 SC Johnson conducted a full lifecycle assessment of four different aerosol cans (two steel, one aluminium and one plastic) to determine the environmental footprint from cradle to grave. These detailed and rigorous assessments enabled the company to make informed decisions on the most sustainable packaging options for aerosols and where attention should be focussed to minimise impacts. Supplier engagement SC Johnson actively engages with suppliers to minimise the environmental impacts of packaging. In addition to a Supplier Code of Conduct, the organisation works with suppliers to establish metrics and targets as part of a recently initiated supply chain transparency project. The project, currently in its start-up phase, is designed to collect valuable insights that can be used to formalise a sustainable supply chain strategy. 17

19 COMMUNICATIONS AND ELECTRONICS SMALL-MEDIUM COMMUNICATIONS AND ELECTRONICS NINTENDO AUSTRALIA A pioneer of interactive entertainment, Nintendo Co. Ltd. launched its Nintendo Entertainment System in A wholly owned subsidiary, Nintendo Australia Pty Ltd. markets hardware and software for its Wii U and Nintendo 3DS systems. A consistent high-performer, Nintendo Australia continues to find innovative and interesting opportunities to improve packaging sustainability and engage staff, community groups and industry peers in product stewardship. Consumer engagement With most packaging design and artwork completed overseas, Nintendo Australia instead produced a Product Packaging Recycle Q and A which is used by the company s customer service team to ensure they are able to provide recyclability information to customers and consumers. Peer partnerships - Following the APC awards night in July 2014, Nintendo Australia contacted a number of other attendees and organised the first APC Members Networking Group. The group s meetings led to a project to recycle the wooden boxes, lids and pallets that Confoil receive their rolls of foil in from overseas. This culminated in one member recycling 120 boxes and Nintendo receiving orders from staff for over 700 boxes. Deliveries to Nintendo are still being made, with 455 boxes, 191 pallets and 138 lids being delivered to date (end Dec 2015). Another opportunity explored was to approach neighbouring businesses with the aim of consolidating orders and deliveries of photocopy paper. Product stewardship Nintendo Australia proactively participates in a range of other sustainability programs; notably Business Clean Up Day. Staff participation in the event doubled in 2015, resulting in an award from the APC for the most number of bags collected per participant. Nintendo continued their commitment to Business Clean Up Day in 2016 by increasing their number of participants from the previous year AUSTRALIAN PACKAGING COVENANT AWARDS Sydney. 24 August 2016

20 COMMUNICATIONS AND ELECTRONICS SMALL-MEDIUM COMMUNICATIONS AND ELECTRONICS FUJI ERO AUSTRALIA Fuji erox Australia is part of a global enterprise for business and document management services. They provide a broad portfolio of document technology, services, software and supplies to support efficient business solutions and effective communication. Well recognised for its commitment to sustainability, Fuji erox Australia has received several awards for leadership in sustainability. This environmental focus is supported by the active use of technology to engage key partners to maximise efficiencies and reduce waste. Packaging partnerships Fuji erox Australia uses cloud-based software to collaborate with their head office and suppliers on sustainable packaging requirements. The software allows these partners to have direct input into packaging sustainability assessments and to identify opportunities for improvement. Working with overseas suppliers and third parties, saw the introduction of pre-assembling a component of their large format printers prior to shipping, rather than the assembly taking place in Australia. This resulted in reduced packaging requirements overall. This will achieve significant environmental benefits due to reduced cardboard packaging requirements and in turn reduced waste management requirements on delivery of the equipment into the Australian market. Waste management With a long-term aim of zero waste, Fuji erox Australia is diverting at least 90% of waste from landfill. With the company s Eco Manufacturing Centre handling 17 waste streams, and various wastes being generated at other sites, the use of software is helping Fuji erox Australia to actively manage waste. This is made possible through collaboration between their waste contractors, environment department and onsite staff. Beyond packaging All Fuji erox Australia paper products are from sustainable sources, with several ranges now certified to the National Carbon Offset Standard. Fuji erox Australia is certified for FSC and PEFC Chain of Custody, which means at every stage agreed systems and processes are in place to ensure integrity of certified products. Fuji erox Australia is also a founding member of the Australia and New Zealand Recycling Platform, an industry body formed to fulfil obligations to the Product Stewardship Act 2011 and associated regulations for the management of e-waste in Australia. 19

21 COMMUNICATIONS AND ELECTRONICS LARGE COMMUNICATIONS AND ELECTRONICS DELL AUSTRALIA Dell Australia is a subsidiary of Dell Inc., a technology company founded in Today, Dell offers technology solutions for every person and every profession, including desktop computer systems, servers, networking products, mobility products, software and services. Dell has an overarching commitment to sustainability; part of its 2020 Legacy of Good Plan which puts technology and expertise to work where it can do the most good for people and the planet. Dell s closed-loop recycling process is just one example of Dell s commitment to sustainable IT. Dell also uses innovative packaging material solutions including bamboo, mushroom and straw as part of a broader vision to establish a waste-free packaging stream. Supplier engagement At a global and a local level Dell engages with its key manufacturers, communicating the importance of the Sustainable Packaging Guidelines design considerations. Suppliers are a key part of Dell s sustainability strategy, and asked to provide advice on packaging optimisation and future material options. Recycling partnership Dell Australia worked with a third party recycling partner to significantly increase the amount of material being recycled in Based on 2014 levels, an additional 50 tonnes of plastics, 100 tonnes of cardboard and 5 tonnes of pallets were recycled 99% of foam and plastic and 95% of paper and cardboard is currently being diverted from landfill. Beyond packaging Dell Australia offers recycling for e-waste, batteries and phones, and a cigarette-butt recycling program at its Sydney office. The company actively participates in a range of other sustainability programs that engage staff. These include a number of activities during Planet Ark s National Recycling Week, clean-up days at local parks, tree planting, and of course, participation in the National Television and Computer Recycling Scheme AUSTRALIAN PACKAGING COVENANT AWARDS Sydney. 24 August 2016

22 CLOTHING, FOOTWEAR AND FASHION SMALL CLOTHING, FOOTWEAR AND FASHION BIRKENSTOCK AUSTRALIA Birkenstock Australia imports and distributes high quality, German-made footwear. The company s design and production operations in Germany place a high priority on sustainability. Locally, Birkenstock Australia is also demonstrating leadership in sustainability through initiatives such as the introduction of reusable calico bags for retail and internet sales. Global impact Being the local arm of a global company, Birkenstock Australia has actively engaged with Birkenstock Germany on local packaging initiatives, and in relation to global packaging plans. Of particular note are discussions on the potential for a global roll-out of the Australian calico bag initiatives described below. Encouraging reuse Birkenstock Australia has eliminated the use of disposable bags (both paper and plastic) from their retail stores, instead offering a reusable, ethically sourced calico bag at cost price. Taking this initiative one step further, Birkenstock Australia offers customers a full refund if the bags are returned at a later date. Staff and consumer engagement has been critical in helping to drive this successful program. Looking to extend this initiative to online purchases, Birkenstock Australia worked with a third party to design, test and roll out a calico satchel. Online customers can choose to buy a calico mailing satchel, which can be kept to store or exchange shoes, or returned to a Birkenstock store for a full refund. Reducing waste Birkenstock Australia has taken a holistic approach to reducing waste, finding recycling solutions for a range of packaging and non-packaging materials at their retail stores, head office and distribution centres. In most instances, in-bound cartons are reused for outgoing shipments, and shoeboxes left at stores by consumers are reused, donated for use at local kindergartens or recycled. 21

23 CLOTHING, FOOTWEAR AND FASHION MEDIUM CLOTHING, FOOTWEAR AND FASHION KATHMANDU Founded in the mid-1980s, Kathmandu has grown to become an international retailer of clothing and equipment for travel and adventure. Kathmandu has a strong focus on product stewardship, which for them involves understanding, controlling and communicating a product s environmental, health and safety effects throughout its lifecycle. An APC high-performer for several years, Kathmandu s approach to packaging sustainability is driven at a strategic level, while actively involving a broad range of stakeholders, including retail staff, design teams, executives and material suppliers. Sustainability strategy Following a comprehensive materiality assessment involving interviews with key stakeholders such as the APC, Kathmandu is finalising a new sustainability plan. The plan will include key deliverables and accountabilities related to Kathmandu s APC Action Plan goals. Kathmandu also uses an international sustainability assessment tool called the Higg Index. Packaging design Kathmandu has reduced materials across their product range, including swing tags and their self-inflating mattresses. They are in the process of replacing metallic inks from swing tags, as these can release hazardous emissions during production and printing processes. Kathmandu is also working with their polybag supplier, Avery Dennison, to explore compostable alternatives to their current polyethylene bags. Waste management In 2015, Kathmandu surveyed its 160 retail stores on their waste management practices. The survey provided benchmark data and identified a range of improvement opportunities, such as implementing #4 LDPE soft plastic recycling for a number of their stores and national distribution centre. Store teams commonly reported that printed materials, booklets and brochures were not being used, and that everything could be dealt with via electronic communications. Beyond packaging Kathmandu s strong commitment to product stewardship was demonstrated through progress achieved towards the use of 100% certification to the Responsible Down Standard and the Trade for New campaign that enables customers to recycle their old or unwanted clothing. Kathmandu also upcycled over 1.2 million post-consumer plastic bottles into backpacks and garments for the year, as part of their Repreve range AUSTRALIAN PACKAGING COVENANT AWARDS Sydney. 24 August 2016

24 CLOTHING, FOOTWEAR AND FASHION LARGE CLOTHING, FOOTWEAR AND FASHION SUSSAN GROUP The first Sussan store was opened in Little Collins Street, Melbourne, in Today the Sussan Group incorporates Sussan, Suzanne Grae and Sportsgirl, and offers a range of women s fashion through more than 500 retail stores and online. For two years the Sussan Group has been awarded as an APC high-performer. The group continues to reduce packaging waste, engage staff and suppliers, and partner with not-for-profits on their sustainability journey. Packaging savings Building on previous packaging sustainability achievements, the Sussan Group made significant packaging savings in The company avoided the use of nearly 77,000 polyethylene bags and more than 225,000 pieces of tissue within their bag lines. They also completed a major project resulting in the removal of more than one million plastic bags from apparel. Where plastic bags have been deemed essential, the company has sought to use bags with recycled content. Waste management Through a comprehensive review of its retail stores, the Sussan Group found that while carton and paper recycling is widespread, flexible plastic recycling is a challenge. Strategies to address this have included the plastic bag removal initiatives outlined above and shipping pre-hung garments to stores. The group also has a hanger recycling program in place, resulting in more than 650,000 hangers being recycled in Sustainability collaboration The Sussan Group communicates its APC commitments to all suppliers and has actively increased the number of Covenant signatories it buys from. The group also collaborates with various not for-profits, including the Salvation Army and Smith Family, donating more than 18 tonnes of product in

25 PACKAGING MANUFACTURER SMALL PACKAGING MANUFACTURER KENNETH AYRES (AUST) Kenneth Ayres (Aust) is an Australian owned, family run business that commenced operations in Melbourne in The company is well known in the presentation packaging and display industry, with a broad and diverse range of products. A relatively recent signatory to the Covenant, Kenneth Ayres started on a high note taking out the First Time Reporter award in This year, the company has backed up that effort by continuing to identify cost-effective, local solutions that deliver environmental benefits. Sustainability assessment After completing reviews of all existing packaging in 2015, Kenneth Ayres was able to identify and implement a range of improvements. A new strapping machine was installed to reduce waste, inner cores from supplied rolls are now re-used as packaging for posters sold to customers, and usable scrap is donated to local schools and kindergartens. Waste management Using the APC as a catalyst, Kenneth Ayres has identified a range of practical and cost-saving waste management opportunities. In addition to recycling 1600 litres of ink, in 2015 the company found a solution for waste ink by mixing 50% waste ink with a new stronger black ink from their supplier to achieve a good result in printing. The initiative is expected to deliver a 25% reduction in waste ink in Product stewardship Working with customers, Kenneth Ayres has continued to promote the recyclability of paper bags, while also changing their tooling to support production of bags from 100% post-consumer paper. Kenneth Ayres encourages customers to incorporate recyclability and other sustainability labels into their artwork to promote the benefits of their paper bags. Presentation Packaging & Display Specialists 24 AUSTRALIAN PACKAGING COVENANT AWARDS Sydney. 24 August 2016

26 PACKAGING MANUFACTURER MEDIUM PACKAGING MANUFACTURER SEALED AIR CORPORATION - FOOD CARE Food Care is the food packaging division of Sealed Air Corporation, a US based multinational manufacturer of materials and systems for fresh food packaging. A consistently high performing signatory, Food Care pursues a range of packaging design, waste reduction and infrastructure improvement projects. These not only improve their own environmental footprint, but also those of their food manufacturing customers and end consumers. Packaging design Food Care has designed a new tub with an integrated spoon that allows consumers to scoop out almost 100% of all contents. This helps drive a reduction in food waste and minimises contamination in the recycling stream. Improving recycling Food Care continued to improve its recycling performance in At its Fawkner site, paper and cardboard recycling increased by 25%, and 239 tonnes of metal and 269 tonnes of wood were recycled. 1,190 tonnes of plastic was also recycled, resulting in an impressive 37% reduction in plastic waste sent to landfill. Food Care has also begun measuring cafeteria and office waste with a view to identifying future improvements. Reducing waste Flexible, multi-material plastic films remain a recycling challenge for Food Care, both within its own operations and at customers sites. The company is currently evaluating a new recycling technology for these materials. If the pilot plant in the US is successful, it will be rolled out in Australia. Green infrastructure Being a packaging company, improvements to the environmental footprint of Food Care operational sites have a direct benefit for signatories using their packaging. In 2015, the company installed new LED lighting generating a 300,000KWh saving, and installed a 263,000 litre rainwater harvesting system. 25

27 PACKAGING MANUFACTURER LARGE PACKAGING MANUFACTURER O-I AUSTRALIA O-I Australia is the local arm of the glass container manufacturer, Owens-Illinois Inc. Operating a vertically integrated sorting, recycling and production process, they are Australia s largest glass container manufacturer, supplying packaging solutions for many signatories. A consistent Covenant high performer, O-I Australia continues to use collaborative approaches to develop and deliver packaging solutions with improved sustainability performance. Working with Covenant partners has been a key element of O-I Australia s success. Customer collaboration O-I Australia s collaborative approach was strengthened in 2015 with the hosting of Customer Innovation Workshops. O-I Australia successfully worked with brandowner signatories such as Carlton and United Breweries, Lion and Taylor s Wines, to identify more than 60 packaging opportunities. Covenant collaboration With support from the APC, O-I Australia s South East Queensland optical sorting facility, Brisbane Cullet, commenced operating in The new glass cullet facility is capable of processing more than 100,000 tonnes of recovered glass. This has significantly improved recovery and the opportunity for closed-loop recycling back into new bottles. Waste management O-I Australia is also helping its customers to reduce their own waste by encouraging them to return distribution packaging including pallets, plastic dividers and frames. Most of these are reused for distribution, with any that are no longer functional being reused or recycled through a range of innovative solutions. Packaging redesign O-I Australia has progressively reviewed and redesigned their packaging, delivering some impressive results. They are working with key customers to improve the design, size and weight of seven unique bottle shapes, accounting for production of almost 400 million containers. This has resulted in an annual saving of 5,778 tonnes of glass. Since the introduction of O-I Australia s Covenant Action Plan in 2011, 64 light-weighting projects have achieved a combined annual saving of almost 24,000 tonnes of glass AUSTRALIAN PACKAGING COVENANT AWARDS Sydney. 24 August 2016

28 SHIPPING, TRANSPORT AND TOBACCO SHIPPING AND TRANSPORT AUSTRALIA POST Australia Post has been serving Australians for over 200 years, providing mail and other related services that help businesses and communities connect. Collaboration with suppliers, customers and not-for-profits is helping Australia Post deliver sustainable solutions to the Australian community. Using design principles and ambitious targets, Australia Post is driving a packaging sustainability agenda that is having a real impact. Waste reduction Following a strategic benchmarking and waste management planning process, the volume of waste being sent to landfill was reduced by 17% in 2015 alone a massive 1,700 tonnes. Building on that achievement, Australia Post has set an ambitious target of recycling, reusing and responsibly diverting 100,000 tonnes of material by Recycled and recyclable Australia Post is actively searching for recycled content options when designing and procuring packaging, which is resulting in some positive design changes. Australia Post s new international mailbags are made with recycled polypropylene and are also recyclable. Development of a new recycled content and recyclable letter tray design is also underway. This project will see more than 800,000 trays produced in 2017, resulting in significantly less landfill. Design collaboration Australia Post has taken an innovation and industry leadership position working closely with customers, universities and suppliers. Work has commenced with design teams, RMIT University and customers to find creative solutions for this waste stream. Product stewardship Recognising the key role that they can play in improving the recovery of a diverse range of products, Australia Post is part of a range of product stewardship projects and programs. This list includes: the APC s cross-industry coffee cup recycling group, Cartridges 4 Planet Ark, Mobile Muster, the Australian Battery Recycling Initiative, Tyre Stewardship Australia and various Terracycle programs. 27

29 SHIPPING, TRANSPORT AND TOBACCO TOBACCO IMPERIAL TOBACCO AUSTRALIA Imperial Tobacco Australia is a wholly owned company and a part of Imperial Brands PLC. The company manufactures and sells cigarettes, tobacco, cigars, rolling papers and accessories. Due to standardised packing and legal restrictions, Imperial Tobacco Australia is constrained in its approach to packaging sustainability. A consistent high-performer, the organisation has found innovative ways to improve performance through collaboration with not-for-profits, waste service providers and industry peers. Sustainability engagement In 2015 Imperial Tobacco Australia developed an APC communications plan to engage staff and communicate key packaging sustainability activities and commitments. Specific activities included articles in the company s magazine, sustainability events and a mobile phone recycling drive during Planet Ark s National Recycling Week. In addition, strong communication channels are maintained with the global head office to align local and international efforts. Waste management Following a review of Imperial Tobacco Australia s recycling and waste management system, including five separate waste audits, a range of opportunities were successfully trialled. These included new centralised bin stations, food waste recovery and clearer signage. The trial resulted in an increase in landfill diversion and is currently being rolled out across the remainder of the business. Recognising the importance of cleaners in improving recycling, cleaners were engaged to conduct regular waste assessments and identify potential sources of contamination. Managing litter Working with industry peers, Imperial Tobacco Australia continued several cigarette butt litter minimisation programs in Highlights included the collection and recycling of 3.4 tonnes (equating to over 7 million butts) via a program with TerraCycle, research into littering behaviour and support for Butt Free Australia (Keep South Australia Beautiful) to implement anti-littering communications AUSTRALIAN PACKAGING COVENANT AWARDS Sydney. 24 August 2016