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, Customer health <strong>and</strong> safety G4-DMA, Market<strong>in</strong>g communications G4-DMA, G4-PR6, Compliance G4-DMA (Product responsibility)<br />
Cross-functional WHO Code Compliance Committees<br />
We have put <strong>in</strong> place a Corporate WHO Code Compliance<br />
Committee system, which oversees compliance with the<br />
<strong>Nestlé</strong> Policy on the WHO Code, national regulations on<br />
implement<strong>in</strong>g the WHO Code <strong>and</strong> the FTSE4Good criteria.<br />
The committee is composed of, among others, three Executive<br />
Board members at the global level. In addition, all higher-risk<br />
countries have established local WHO Code Compliance<br />
Committees that meet regularly to oversee local compliance<br />
with the <strong>Nestlé</strong> Policy <strong>and</strong> local regulations. Read more about<br />
<strong>our</strong> governance systems.<br />
Policy sett<strong>in</strong>g<br />
The <strong>Nestlé</strong> Nutrition CEO, who is a member of <strong>our</strong> Group<br />
Executive Board, is accountable for implement<strong>in</strong>g <strong>and</strong> monitor<strong>in</strong>g<br />
<strong>Nestlé</strong>’s compliance with the aim <strong>and</strong> pr<strong>in</strong>ciples of the WHO<br />
Code. Global Public Affairs, which is separate from the <strong>in</strong>fant<br />
nutrition bus<strong>in</strong>ess, generates policies <strong>and</strong> reports externally on<br />
progress regard<strong>in</strong>g the application of the <strong>Nestlé</strong> Policy.<br />
Grievance systems<br />
In addition to the numerous <strong>in</strong>ternal <strong>and</strong> external audits of<br />
<strong>our</strong> practices each year, we recognise the importance of<br />
respond<strong>in</strong>g to the concerns consumers <strong>and</strong> other stakeholders<br />
may have about the market<strong>in</strong>g of <strong>our</strong> <strong>in</strong>fant food <strong>and</strong> BMS.<br />
Our monitor<strong>in</strong>g is complemented by <strong>in</strong>ternal <strong>and</strong> external<br />
grievance mechanisms, which enable both <strong>our</strong> employees<br />
<strong>and</strong> <strong>our</strong> external stakeholders to report any alleged<br />
non-compliance:<br />
• WHO Code Ombudsperson System: we cont<strong>in</strong>uously<br />
strengthen <strong>our</strong> <strong>in</strong>ternal WHO Code Ombudsperson System,<br />
which we launched <strong>in</strong> 2001. It allows employees <strong>in</strong> higherrisk<br />
countries to report concerns about <strong>our</strong> <strong>in</strong>fant food<br />
market<strong>in</strong>g practices confidentially, outside their l<strong>in</strong>e<br />
management. Any employee can report allegations or<br />
concerns about WHO Code compliance directly to the<br />
Group Ombudsman. In <strong>2015</strong>, <strong>Nestlé</strong> had 57 active WHO<br />
Code Ombudspersons;<br />
• <strong>Nestlé</strong> Integrity Report<strong>in</strong>g System: this WHO Code<br />
Ombudsperson approach is supported more widely by<br />
the <strong>Nestlé</strong> Integrity Report<strong>in</strong>g System, which enables all<br />
employees to anonymously report any non-compliant<br />
behavi<strong>our</strong> they observe; <strong>and</strong><br />
• Tell us system: we enc<strong>our</strong>age all <strong>our</strong> stakeholders to<br />
contact us if they have any questions or concerns regard<strong>in</strong>g<br />
the market<strong>in</strong>g of <strong>our</strong> BMS products. We <strong>in</strong>vestigate all<br />
concerns <strong>and</strong> allegations about non-compliance with the<br />
<strong>Nestlé</strong> Policy <strong>and</strong>/or national regulations implement<strong>in</strong>g the<br />
WHO Code. Our Tell us system, launched <strong>in</strong> January 2014,<br />
provides all external stakeholders with a means to report<br />
potential violations via the <strong>in</strong>ternet or by toll-free l<strong>in</strong>e.<br />
Transparency<br />
We believe transparency is key to build<strong>in</strong>g trust. This is why<br />
we make the follow<strong>in</strong>g <strong>in</strong>formation public:<br />
• Our external reports of compliance with the <strong>Nestlé</strong> Policy<br />
on the WHO Code, national regulations implement<strong>in</strong>g the<br />
WHO Code <strong>and</strong> the FTSE4Good’s BMS market<strong>in</strong>g criteria;<br />
• Our responses to external stakeholders who raise concerns<br />
directly with us regard<strong>in</strong>g <strong>our</strong> BMS market<strong>in</strong>g practices;<br />
• Our positions on maternal, <strong>in</strong>fant <strong>and</strong> young child nutrition;<br />
<strong>and</strong><br />
• A comprehensive Q&A section, address<strong>in</strong>g questions on<br />
why <strong>Nestlé</strong> supports breastfeed<strong>in</strong>g <strong>and</strong> the application of<br />
the WHO Code, <strong>and</strong> an explanation of what FTSE4Good is.<br />
Our progress on compliance with the <strong>Nestlé</strong> Policy on the<br />
WHO Code, national regulations implement<strong>in</strong>g the WHO<br />
Code, <strong>and</strong> FTSE4Good BMS market<strong>in</strong>g criteria, can be<br />
measured through the Annual External Report as well as the<br />
assurance statements produced by Bureau Veritas <strong>and</strong> the<br />
verification reports from PricewaterhouseCoopers (PwC),<br />
which we publish onl<strong>in</strong>e, as evidence of <strong>our</strong> commitment to<br />
transparency.<br />
We also make public <strong>our</strong> response to concerns regard<strong>in</strong>g<br />
<strong>our</strong> practices raised directly with us by external stakeholders,<br />
such as those conta<strong>in</strong>ed <strong>in</strong> the reports Break<strong>in</strong>g the Rules,<br />
Stretch<strong>in</strong>g the Rules (2014), published by the International Baby<br />
Food Action Network (IBFAN), <strong>and</strong> Superfood for Babies<br />
(2012), published by Save the Children.<br />
We are committed to mak<strong>in</strong>g <strong>our</strong> positions on maternal,<br />
<strong>in</strong>fant <strong>and</strong> young child nutrition publicly available:<br />
• Position statement on WHO maternal, <strong>in</strong>fant <strong>and</strong> young<br />
child nutrition (MIYCN) implementation plan (2012);<br />
• Position statement on promot<strong>in</strong>g health through the c<strong>our</strong>se<br />
of life (2013); <strong>and</strong><br />
• Position statement on WHO reform: governance reforms<br />
engagement with NGOs (2013).<br />
Engag<strong>in</strong>g constructively with stakeholders<br />
We consider collaboration between all key stakeholders,<br />
<strong>in</strong>clud<strong>in</strong>g governments, <strong>in</strong>dustry <strong>and</strong> civil <strong>society</strong><br />
organisations, essential to promot<strong>in</strong>g responsible conduct <strong>and</strong><br />
establish<strong>in</strong>g accepted st<strong>and</strong>ards for assess<strong>in</strong>g the market<strong>in</strong>g<br />
of BMS. We enc<strong>our</strong>age active <strong>and</strong> constructive engagement<br />
<strong>and</strong> when do<strong>in</strong>g so we follow the <strong>Nestlé</strong> Policy on transparent<br />
<strong>in</strong>teraction with authorities <strong>and</strong> organisations.<br />
It is <strong>our</strong> hope that all concerned stakeholders can come<br />
together to establish a widely accepted <strong>and</strong> transparent<br />
process for the assessment of <strong>in</strong>dustry-wide market<strong>in</strong>g<br />
practices of BMS, as a means to raise <strong>in</strong>dustry st<strong>and</strong>ards.<br />
Read about how we enc<strong>our</strong>age stakeholders <strong>and</strong> the<br />
general public to express their concerns.<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> 86