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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 />

Customer health <strong>and</strong> safety G4-DMA<br />

Our research <strong>and</strong> development<br />

As the lead<strong>in</strong>g Nutrition, Health <strong>and</strong> Wellness company, we have a responsibility to use <strong>our</strong> nutrition knowledge<br />

<strong>and</strong> research to make a positive contribution to <strong>society</strong>. <strong>Nestlé</strong> has built the world’s largest private nutrition<br />

research network, which works with lead<strong>in</strong>g academic <strong>in</strong>stitutions to share underst<strong>and</strong><strong>in</strong>g, improve <strong>our</strong> foods <strong>and</strong><br />

beverages, <strong>and</strong> push <strong>our</strong> company <strong>and</strong> <strong>in</strong>dustry to address key public health <strong>and</strong> nutrition challenges. By learn<strong>in</strong>g<br />

about how, what <strong>and</strong> when people eat <strong>and</strong> dr<strong>in</strong>k throughout their lives, we can produce foods <strong>and</strong> beverages that<br />

can help consumers make better, more <strong>in</strong>formed <strong>and</strong> healthier choices. We seek to support public health by<br />

<strong>in</strong>vest<strong>in</strong>g <strong>in</strong> both <strong>in</strong>dividual- <strong>and</strong> population-based scientific research, which allows us to help develop measurable<br />

strategies <strong>and</strong> mean<strong>in</strong>gful <strong>in</strong>itiatives to address local nutrition gaps.<br />

Research<strong>in</strong>g nutrition’s impact on<br />

health <strong>and</strong> wellness<br />

Balanced nutrient consumption is critical for daily bodily<br />

functions. However, determ<strong>in</strong><strong>in</strong>g what <strong>and</strong> how much<br />

<strong>in</strong>dividuals should be eat<strong>in</strong>g each day can be confus<strong>in</strong>g.<br />

Our aim is to help people make better-<strong>in</strong>formed, sciencebased<br />

lifestyle choices. For example, we’re currently<br />

conduct<strong>in</strong>g research <strong>in</strong>to the <strong>in</strong>teraction between diet,<br />

lifestyle, <strong>in</strong>herited genetic factors <strong>and</strong> <strong>in</strong>dividual metabolism.<br />

The research we conduct among certa<strong>in</strong> groups – <strong>in</strong>clud<strong>in</strong>g<br />

the elderly, mothers, <strong>in</strong>fants <strong>and</strong> young children – <strong>and</strong> <strong>in</strong><br />

specific countries, can shape <strong>our</strong> <strong>in</strong>novation work <strong>and</strong> <strong>in</strong>form<br />

<strong>our</strong> food <strong>and</strong> beverage portfolio <strong>and</strong> related services.<br />

Our research also aims to go beyond improv<strong>in</strong>g <strong>our</strong> food<br />

<strong>and</strong> beverage portfolio. We seek to help the wider public<br />

health community by <strong>in</strong>vestigat<strong>in</strong>g specific disorders <strong>and</strong><br />

illnesses, such as metabolic health <strong>and</strong> micronutrient<br />

deficiencies. We are able to do this through a robust, global<br />

network that <strong>in</strong>cludes research partnerships with lead<strong>in</strong>g<br />

academic <strong>and</strong> scientific bodies.<br />

Our f<strong>in</strong>d<strong>in</strong>gs, which are <strong>in</strong>dependently assessed <strong>and</strong><br />

reviewed, are shared publicly. <strong>Nestlé</strong>’s long-term commitment<br />

to <strong>in</strong>novation has resulted <strong>in</strong> partnerships with lead<strong>in</strong>g<br />

scientific organisations that are look<strong>in</strong>g <strong>in</strong>to disease<br />

progression across the stages of life.<br />

We believe we can advance faster <strong>and</strong> further through<br />

scientific collaboration, with results that can ultimately<br />

improve public health.<br />

Our R&D network<br />

As the largest private R&D network <strong>in</strong> the <strong>in</strong>dustry, we employ<br />

more than 4800 people. The work of <strong>our</strong> global network is<br />

shaped by <strong>our</strong> science <strong>and</strong> research centres: the NRC, the<br />

CDU, <strong>and</strong> the NIHS. These focal po<strong>in</strong>ts are supplemented by<br />

40 Product Technology <strong>and</strong> R&D Centres across the world.<br />

In <strong>2015</strong>, <strong>Nestlé</strong> <strong>in</strong>vested approximately CHF 1.7 billion <strong>in</strong><br />

R&D, predom<strong>in</strong>antly for food <strong>and</strong> beverage bus<strong>in</strong>esses, <strong>and</strong><br />

filed 292 patents.<br />

Process<strong>in</strong>g for improved<br />

nutrition <strong>and</strong> consumer value<br />

The common misconception of processed <strong>and</strong> frozen food is<br />

that it is always high <strong>in</strong> sodium, sugar, fats <strong>and</strong> calories, <strong>and</strong><br />

therefore a less nutritious option. At <strong>Nestlé</strong>, we believe that<br />

processed foods <strong>and</strong> beverages can be a nutritious <strong>and</strong><br />

convenient option. We know process<strong>in</strong>g thoughtfully <strong>and</strong><br />

responsibly can yield a number of benefits, <strong>in</strong>clud<strong>in</strong>g improved<br />

nutrition, food safety <strong>and</strong> food accessibility. This belief led us<br />

to open <strong>our</strong> new US R&D Centre <strong>in</strong> Solon, Ohio, <strong>in</strong> July <strong>2015</strong>.<br />

The primary focus of the new facility will be to develop<br />

<strong>Nestlé</strong>’s R&D strategy for the worldwide frozen <strong>and</strong> chilled<br />

foods bus<strong>in</strong>ess. Furthermore, the experts at <strong>Nestlé</strong> R&D Solon<br />

will <strong>in</strong>novate <strong>and</strong> renovate products that meet the <strong>Nestlé</strong><br />

Nutritional Profil<strong>in</strong>g System (NNPS) criteria requirements <strong>and</strong><br />

balance taste with nutrition. The team will also provide expert<br />

technical assistance to <strong>Nestlé</strong> production facilities around the<br />

world, particularly <strong>in</strong> the important areas of nutrition, food<br />

process<strong>in</strong>g, food quality <strong>and</strong> food safety.<br />

We’re still focused on offer<strong>in</strong>g good food that<br />

provides added health benefits, fulfils the highest<br />

safety st<strong>and</strong>ards <strong>and</strong> offers nutritional advantages.<br />

Food also must look <strong>and</strong> taste good, <strong>and</strong> offer<br />

convenience to consumers. Our <strong>Nestlé</strong> R&D Solon<br />

team will help to improve every aspect of the frozen<br />

<strong>and</strong> chilled foods we market with this vision <strong>in</strong> m<strong>in</strong>d.”<br />

Johannes Baensch, Head of Global Product &<br />

Technology Development, Nestec Ltd<br />

F<strong>in</strong>d out more about the new centre.<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> 48

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