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Wessanen Q2 2012 sustainability
1. Royal Wessanen nv
Wessanen & sustainability
25 July 2012
www.wessanen.co @RoyalWessanen
2. What is organic?!
Strict criteria to be allowed to be labelled organic
Demonstrably free from GMO, pesticides and growth hormones
Strict rules on animal welfare
Severe restrictions on fertilisers, herbicides and pesticides
Severe restrictions on additives and processing aids
All about being produced and processed in line with organic principles
Organic products promote health and well-being
Holding benefits for the planet and for future generations
All about nutrition and taste !
Organic food is controlled by a unique European certification system
At Wessanen, our vision is to make our organic brands most desired in
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3. Wessanen’s Strategy
ARENAS
Healthy & sustainable nutrition through organic food in Europe
STAGING VEHICLES
Boost growth of current Own/build organic
business and resolve ‘big pioneering brands in all
bets’ (OGSM!) ECONOMIC LOGIC relevant food channels
At least one major Preferred brands that can Focus on sizeable, growing
acquisition p.a. command a premium markets and categories
Divest non-core businesses European scale (COGS, where organic creates value
at sensible speed innovation, expertise) Acquire businesses with
strong brands and
European potential
DIFFERENTIATORS
Preferred brands and impactful innovation
Superior product quality
Orchestration of a fast, flexible and efficient value chain
We are Europe’s No 1 and committed to Organic: our people
have credibility and expertise (OEC) and we provide the most
comprehensive thought leadership, service, consumer insight,
product range
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4. Attractiveness organic food markets
European organic food an attractive, growing segment
Size €21 bn; 2011 growth around 6%
<3% of total European food market
Increasing consumer appreciation
Still low per capita consumption
European Union <€30> p.a.
Consumers increasingly convinced of benefits of organic food
regarding health, taste and environment
Grocery and HFS channels developing at different growth path
Decline percentage of households shopping in HFS channel in
the Netherlands halted
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5. Wessanen Business principles
Compliance with laws: being a responsible partner in society,
acting with integrity towards all stakeholders and others who
can be affected by our activities
Environment: in line with commitment to sustainable
development, we will do all that is reasonable and practicable to
minimise adverse effects on the environment
Product safety: we aim at all times to supply safe products
and services
Free market competition: we support free market
competition as basis of conducting business; we observe
applicable competition laws and regulations
Child, bonded and forced labour: under no circumstances we
are making use of forced or bonded labour; we do not employ
children in violation of relevant conventions of ILO
Human rights: we support and respect human rights and
strive to ensure that our activities do not make it an accessory
to infringements of human rights
We expect suppliers and business partners to comply with the above principles
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6. Commitment to minimise environmental impact
Committed to minimising impact on environment by
measuring and monitoring the effects of our operations
All our organic products are free of GMO
We are working on reducing our CO2 footprint and usage of
water
Additionally, organic products do not use pesticides, therefore
contributing to a decrease
ISO 14001 is an internationally recognised standard for
embedding processes to analyse and reduce our impact on
the environment
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8. Palm oil - member RSPO
Palm oil is important, versatile raw material for food
Only be cultivated in tropical areas of Asia, Africa and South America
Concerns that demand causing expansion of plantations into eco-sensitive areas
Since March 2011 Member of Roundtable on Sustainable Palm Oil (RSPO)
Global multi-stakeholder initiative
Encouraging sustainable production/use palm oil
Wessanen commits to organisation’s objectives
In 2011, we developed policy to govern palm oil sourcing and guidelines for implementation in
partnership with our suppliers
Committed to switching palm oil to RSPO certified sustainable palm oil during 2012-13
RSPO certified segregated palm oil for organic
GREEN PALM certificates for conventional
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9. Organic Expertise Centre (OEC)
We established our internal expertise - named OEC - in 2010
To stimulate exchange of knowledge / experience that is widely available
within Wessanen
To educate and inspire our internal / external stakeholders in organic values
Specialists join forces and work on pan-European issues
To legitimise our position in organic world by championing the organic case
Focal areas will be:
Training (incl. training package for newcomers) and founding Organic
Academy
Knowledge building by teaming up with external researchers and experts
Lobbying to promote organic food
Communication for more general awareness / knowledge of organic food
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10. Employee engagement
2012 Leadership development programme
Top-65
Focus on strategy execution, connected leadership
Employee turnover is key focus area
Competency model deployed
Defines behaviour expectations for all employees
Translates ambitions/values into behaviour conventions
and skills
100% 120 8
75% 6
80
50% 4
40
25% 2
0% 0 0
Executives Managers Associates 2009 2010 2011 2009 2010 2011
10
Men Women Injury severity rate Injury frequency rate