Nestlé in society Creating Shared Value and meeting our commitments 2015
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<strong>Nestlé</strong> <strong>in</strong> <strong>society</strong>:<br />
Creat<strong>in</strong>g <strong>Shared</strong> <strong>Value</strong><br />
Nutrition, health<br />
<strong>and</strong> wellness<br />
Rural development<br />
Water<br />
Environmental<br />
susta<strong>in</strong>ability<br />
Human rights<br />
<strong>and</strong> compliance<br />
Our<br />
people<br />
G4-15, G4-26, G4-27, Water G4-DMA<br />
We already commit to provid<strong>in</strong>g access to clean<br />
water to <strong>our</strong> employees at all of <strong>our</strong> direct<br />
operations, as part of <strong>our</strong> exist<strong>in</strong>g commitment on<br />
water stewardship. By sign<strong>in</strong>g the WASH pledge, we<br />
are reaffirm<strong>in</strong>g this commitment <strong>and</strong> <strong>our</strong> recognition<br />
of <strong>our</strong> responsibilities as manufacturer <strong>and</strong> employer.<br />
We hope that together with the other companies<br />
that have already signed up, we can enc<strong>our</strong>age more<br />
bus<strong>in</strong>esses to do the same.”<br />
Carlo Galli, Water Res<strong>our</strong>ces Technical<br />
Director, <strong>Nestlé</strong><br />
Collaborat<strong>in</strong>g to assess <strong>and</strong><br />
mitigate water risks<br />
Our objective<br />
By 2016 – Work with the Susta<strong>in</strong>able Agriculture Initiative<br />
Platform (SAI Platform) <strong>and</strong> the Susta<strong>in</strong>able Food Lab<br />
(SFL) to implement the Water Risk Assessment <strong>and</strong><br />
Mitigation collaboration <strong>in</strong>itiative <strong>in</strong> at least one s<strong>our</strong>c<strong>in</strong>g<br />
area of agricultural raw materials.<br />
In June 2014, the Susta<strong>in</strong>able Food Lab (SFL) <strong>and</strong> SAI Platform<br />
launched the Jo<strong>in</strong>t Water Risk Assessment <strong>and</strong> Mitigation<br />
project. This facilitates the shar<strong>in</strong>g of strategies for assess<strong>in</strong>g<br />
<strong>and</strong> mitigat<strong>in</strong>g water risks among food companies, <strong>and</strong><br />
partners with exist<strong>in</strong>g platforms such as the Water Futures<br />
Partnership to take advantage of their unique competencies.<br />
Led by food <strong>and</strong> beverage companies, <strong>in</strong>clud<strong>in</strong>g <strong>Nestlé</strong>, <strong>and</strong><br />
now jo<strong>in</strong>ed by many other organisations, the potential for<br />
collaborative projects <strong>in</strong> Mexico, California <strong>and</strong> India has been<br />
identified. A year after the project was launched, <strong>Nestlé</strong><br />
participated <strong>in</strong> the <strong>in</strong>itial phase, mapp<strong>in</strong>g s<strong>our</strong>c<strong>in</strong>g <strong>in</strong>formation<br />
from found<strong>in</strong>g companies <strong>and</strong> additional experts, <strong>and</strong> <strong>in</strong> 2016,<br />
we plan to support the SAI Platform <strong>in</strong> implement<strong>in</strong>g its<br />
mitigation efforts. To date:<br />
• The California Water Action Collaboration was launched <strong>in</strong><br />
March <strong>2015</strong>. The unsusta<strong>in</strong>able use of groundwater caused<br />
by prolonged drought saw <strong>Nestlé</strong> <strong>and</strong> other food <strong>and</strong><br />
beverage companies support efforts to improve<br />
groundwater management plann<strong>in</strong>g, replenish groundwater,<br />
<strong>and</strong> engage <strong>in</strong> dialogue with farm<strong>in</strong>g communities <strong>and</strong><br />
supply cha<strong>in</strong> stakeholders;<br />
• General Mills, <strong>our</strong> jo<strong>in</strong>t venture with Cereal Partners, is<br />
fund<strong>in</strong>g scientific analysis for the mapp<strong>in</strong>g phase of the<br />
water collaboration project <strong>in</strong> the water-scarce Bajio region<br />
of Central Mexico; <strong>and</strong><br />
• The water risk collaboration <strong>in</strong> Guanajuato, Mexico, is still <strong>in</strong><br />
the scop<strong>in</strong>g <strong>and</strong> research phase, <strong>and</strong> <strong>Nestlé</strong> Mexico may<br />
engage when the <strong>in</strong>itiative is launched <strong>in</strong> 2016.<br />
We believe the <strong>in</strong>itiative will open new avenues to promote<br />
susta<strong>in</strong>able agricultural methods <strong>and</strong> l<strong>and</strong>scape level<br />
collaboration. Where water risk <strong>in</strong>tersects agricultural uses, a<br />
collaboration of companies has the potential to br<strong>in</strong>g together<br />
susta<strong>in</strong>able s<strong>our</strong>c<strong>in</strong>g programmes across multiple crops <strong>and</strong> to<br />
work with farmers <strong>and</strong> suppliers to address the <strong>in</strong>centives<br />
needed for change.<br />
International st<strong>and</strong>ards for<br />
water footpr<strong>in</strong>t<strong>in</strong>g<br />
The publication of the <strong>in</strong>ternational st<strong>and</strong>ard ISO 14046:2014<br />
Environmental management – Water footpr<strong>in</strong>t – Pr<strong>in</strong>ciples,<br />
requirements <strong>and</strong> guidel<strong>in</strong>es <strong>in</strong> 2014 marked the culm<strong>in</strong>ation of<br />
five years of collaboration between more than 90 experts<br />
across the world, <strong>in</strong>clud<strong>in</strong>g representatives from <strong>Nestlé</strong>. The<br />
st<strong>and</strong>ard specifies a methodology for assess<strong>in</strong>g the impact of<br />
products on water, from farm to consumer <strong>and</strong> beyond,<br />
provid<strong>in</strong>g transparency, consistency <strong>and</strong> credibility to<br />
organisations’ water footpr<strong>in</strong>t assessments.<br />
In <strong>2015</strong>, we contributed to the development of the ISO/AWI<br />
TR 14073 Environmental management – Water footpr<strong>in</strong>t<br />
document, which will provide illustrative examples on how to<br />
apply ISO 14046. We submitted a case study on how to identify<br />
material environmental issues along the life-cycle cha<strong>in</strong> for<br />
spray-dried coffee, compared with drip filter coffee <strong>and</strong> capsule<br />
espresso coffee.<br />
In France, we have already used the new st<strong>and</strong>ard to<br />
measure the water impact of a cup of Nescafé. The assessment<br />
determ<strong>in</strong>ed that more than half of the water impact occurs<br />
dur<strong>in</strong>g the agricultural stage of <strong>our</strong> value cha<strong>in</strong>, <strong>and</strong> a quarter at<br />
the consumer stage. As a result, the Nescafé Plan is help<strong>in</strong>g<br />
farmers improve agricultural practices, boost<strong>in</strong>g water sav<strong>in</strong>gs<br />
<strong>in</strong> factories, <strong>and</strong> provid<strong>in</strong>g consumers with tips to use the right<br />
amount of water, at the right temperature, when prepar<strong>in</strong>g a<br />
cup of coffee.<br />
In Italy, we conducted a life-cycle assessment (LCA)<br />
compar<strong>in</strong>g the environmental performance of the new Nescafé<br />
smart pack with the previous glass jar. The assessment<br />
<strong>in</strong>cluded a comprehensive set of environmental <strong>in</strong>dicators,<br />
<strong>in</strong>clud<strong>in</strong>g greenhouse gas (GHG) emissions, water withdrawals<br />
<strong>and</strong> res<strong>our</strong>ce consumption. When compared with the glass jar,<br />
the new smart pack reduces GHG emissions by 79%, water<br />
withdrawals by 72% <strong>and</strong> res<strong>our</strong>ce consumption by 77%.<br />
Read more about LCAs.<br />
<strong>Nestlé</strong> <strong>in</strong> <strong>society</strong> – Creat<strong>in</strong>g <strong>Shared</strong> <strong>Value</strong> <strong>and</strong> meet<strong>in</strong>g <strong>our</strong> <strong>commitments</strong> <strong>2015</strong> 151