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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 />

Occupational health <strong>and</strong> safety G4-DMA, G4-LA6<br />

Total number of fatalities of employees, on-site<br />

contractors <strong>and</strong> members of the public by region<br />

EMENA 1<br />

AMS 1<br />

AOA 8<br />

Number of employee fatalities (on-site <strong>and</strong> off-site)<br />

by region<br />

EMENA 1<br />

AMS 0<br />

AOA 7<br />

Number of on-site contractor fatalities by region<br />

EMENA 0<br />

AMS 1<br />

AOA 1<br />

Any unit or team that wants to start NCE advanced<br />

practices must first demonstrate it has successfully<br />

implemented the NCE foundations. This is done via a formal<br />

verification process, known as the NCE Gate. The gate process<br />

considers a range of safety <strong>and</strong> health activities <strong>and</strong> <strong>in</strong>cludes<br />

formal audit of functional compliance aga<strong>in</strong>st key global safety<br />

<strong>and</strong> health st<strong>and</strong>ards.<br />

When factories pass the NCE Gate, they typically start to<br />

implement Total Performance Management (TPM). The<br />

purpose of TPM is to improve equipment reliability <strong>and</strong><br />

process capability, thereby contribut<strong>in</strong>g to higher quality, more<br />

competitive costs, shorter lead times, <strong>and</strong> fewer <strong>in</strong>juries <strong>and</strong><br />

illnesses. TPM achieves this primarily through build<strong>in</strong>g<br />

competency <strong>and</strong> autonomy at the manufactur<strong>in</strong>g l<strong>in</strong>e level,<br />

<strong>and</strong> <strong>in</strong>troduc<strong>in</strong>g structured management rout<strong>in</strong>es. These<br />

changes are key drivers of safety <strong>and</strong> health performance <strong>in</strong><br />

manufactur<strong>in</strong>g, <strong>and</strong> fully aligned with <strong>our</strong> long-term strategy<br />

for achiev<strong>in</strong>g susta<strong>in</strong>able safety <strong>and</strong> health excellence.<br />

Externally reported fatalities by victim status (2005 – <strong>2015</strong>).<br />

<strong>Nestlé</strong> Cont<strong>in</strong>uous Excellence Tools<br />

<strong>and</strong> Methodologies<br />

<strong>Nestlé</strong> Cont<strong>in</strong>uous Excellence (NCE) is a global change<br />

programme, based on lean th<strong>in</strong>k<strong>in</strong>g. It is illustrated below.<br />

All three of the NCE Foundation modules (i.e. Compliance,<br />

Leadership Development, <strong>and</strong> Goal Alignment) are key<br />

enablers for improv<strong>in</strong>g <strong>our</strong> safety <strong>and</strong> health performance.<br />

Increas<strong>in</strong>gly we seek to leverage this change programme –<br />

<strong>and</strong> to simplify <strong>our</strong> operat<strong>in</strong>g model – by <strong>in</strong>tegrat<strong>in</strong>g safety <strong>and</strong><br />

health <strong>and</strong> NCE activities <strong>in</strong>to a s<strong>in</strong>gle common way of<br />

work<strong>in</strong>g. For example, through the Goal Alignment module<br />

– which is designed to align <strong>and</strong> engage everybody to deliver<br />

<strong>our</strong> bus<strong>in</strong>ess objectives – we ensure that safety <strong>and</strong> health is<br />

<strong>in</strong>tegrated <strong>in</strong>to the Plan-Do-Check-Act cycle used by teams<br />

across the bus<strong>in</strong>ess.<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> 273

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