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Canada - forestry
This is a filtered view based on 2014 - Forests Risk Assessment.
| Row number | Year | Organization | Country HQ | Forest Risk Commodity | Forest Risk Assessment | Forest Risk Process | Regulatory risks - Risk Present | Regulatory risks - Further Details | Reputational Risks - Risk Present | Reputational Risks - Further Details | Operational Risks - Risk Present | Operational Risks - Further Details | Water 2014 - Number of drivers |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 101 | 2014 | Johnson Controls | USA | Soy | Partial | Soy derivatives are currently available from multiple sources at competitive prices. Should prices increase due to shortages, etc., then other chemical sources are readily available as a replacement. | Non-material risk | Amounts acquired are relatively insignificant compared to overall market for this commodity. Overall, we are unaware of any significant issues or risks with acquiring these commodities by our company. | Non-material risk | Amounts acquired are relatively insignificant compared to overall market for this commodity. Overall, we are unaware of any significant issues or risks with acquiring these commodities by our company. | Non-material risk | Amounts acquired are relatively insignificant compared to overall market for this commodity. Overall, we are unaware of any significant issues or risks with acquiring these commodities by our company. | |
| 102 | 2013 | Jerónimo Martins SGPS SA | Portugal | Biofuels | Partial | In 2011, Jerónimo Martins carried out a risk assessment process focusing on threats and opportunities – both for the company and for its supply chain – associated with the different ecosystems services. The process used the Corporate Ecosystem Services Review (ESR) methodology developed by the World Business Council for Sustainable Development (WBCSD) and the World Research Institute (WRI), and encompassed the assessment of operational, regulatory, reputational and market risks and opportunities. Use of forest risk commodities, including palm oil, was included in the assessment, tough not subject to detailed analysis as it was not selected as priority action area (corporate priority was decided on sustainable fish procurement). Use of biofuels relates to the supply of diesel in our own gas stations (under partnership with a fuel supplier) and to diesel use in the company fleet. Commercial road diesel currently contains around 7% of biofuel. The supplier of diesel for our gas stations holds ISCC (International Sustainability and Carbon Certificate) for all fuel incorporating biodiesel. | Non-material risk | Possible enactment, in countries of origin, of further restrictions on the production of biofuels. This could affect availability and price of the commodity and thus affect commercial road diesel supply (regulation in Portugal imposes a minimal biofuel content – current level is 7%). Risk is deemed material as sale of fuel in our own gas stations is increasingly relevant in sales. | Non-material risk | Reputational risk arising from possible non-sustainable sources of biofuel incorporated into diesel sold in our gas stations are expected to increase as public awareness of the issue continues to rise. Risk is deemed non-material as our fuel supplier holds ISCC (International Sustainability and Carbon Certificate) for all diesel sold .The ISCC assures traceability of biodiesel along the supply chain. | Non-material risk | Operational risk arising from reduced availability of biodiesel for incorporation into fuel sold in our gas stations could exist. Risk is deemed non-material as current incorporation level is 7%. | |
| 103 | 2014 | Jerónimo Martins SGPS SA | Portugal | Timber | Partial | In 2011, Jerónimo Martins carried out a risk assessment process focusing on threats and opportunities – both for the company and for its supply chain – associated with the different ecosystems services. The process used the Corporate Ecosystem Services Review (ESR) methodology developed by the World Business Council for Sustainable Development (WBCSD) and the World Research Institute (WRI), and encompassed the assessment of operational, regulatory, reputational and market risks and opportunities. Use of forest risk commodities, including timber, was included, though not subject to detailed analysis as it was not selected as priority action area (priority was decided on sustainable fish procurement and sustainable agriculture). The company undertakes an annual assessment process of the use of wood and wood fiber on products sold in its stores (Jerónimo Martins' Private Brand and Perishable products). The process encompasses the scoping of product portfolio and a materiality assessment based on the amount of commodity used and the proportion of sales associated with the products that contain them. It also involves a comprehensive supplier survey focused on the identification of commodity origin and its sustainable production certification. Operational risk assessment is based on the intensity of use of wood and wood fiber on Private Brand products (no use of the commodity in the Perishable products category) and on availability of information on its sources. Regulatory risk assessment is based on the review of European Union regulations on timber imports (EU Regulation 995/2010). Reputational risk assessment is based on the level of public awareness on the issue of sustainable timber sourcing and on market recognition of forest certification schemes. In 2013, timber risk assessment process included the scoping of all Jerónimo Martins´ Private Brand portfolio. A total of 5,246 products (SKU) were scoped and the respective suppliers surveyed. The company aims to further detail this analysis by evaluating methods for full assurance of sustainable timber use in all its Private Brand products and packaging. | Non-material risk | EU Regulation on timber and timber imports (EU Regulation 995/2010) may have some impact on supply chain patterns. Risk is deemed non-material as most of our imports come from inside the European Union and that survey of Private Brand suppliers found that 50% could certify a sustainable origin of the commodity (FSC, PEFC and SFI certification). | Non-material risk | Exposure to reputational risk arising from possible non-sustainable sources of wood/wood fibers used in our Private Brand products and packaging is expected to increase as public awareness of the issue continues to rise. Risk is deemed non-material as wood/wood fiber is found in 5% of our Private Brand SKUs (6% of sales for this product category) and survey of Private Brand suppliers found that 60% could certify a sustainable origin of the commodity (FSC, PEFC and SFI certification). | Non-material risk | Operational risk arising from reduced availability of wood/wood fibres used in Private Brand products could exist. Risk is deemed non-material as company dependency on the commodity is limited. Wood/wood fiber is found in 5% of our Private Brand SKUs (6% of sales for this product category). | |
| 104 | 2014 | Jerónimo Martins SGPS SA | Portugal | Palm Oil | Partial | In 2011, Jerónimo Martins carried out a risk assessment process focusing on threats and opportunities – both for the company and for its supply chain – associated with the different ecosystems services. The process used the Corporate Ecosystem Services Review (ESR) methodology developed by the World Business Council for Sustainable Development (WBCSD) and the World Research Institute (WRI), and encompassed the assessment of operational, regulatory, reputational and market risks and opportunities. Use of forest risk commodities, including palm oil, was included, though not subject to detailed analysis as it was not selected as priority action area (priority was decided on sustainable fish procurement and sustainable agriculture). The company undertakes an annual assessment of the use of palm oil, palm kernel oil and derivatives on products sold in its stores (Jerónimo Martins' Private Brand and Perishable products). The process encompasses the scoping of product portfolio and a materiality assessment based on the amount of commodity used and the proportion of sales associated with the products that contain them. It also involves a comprehensive supplier survey focused on the identification of commodity origin and its sustainable production certification. Operational risk assessment is based on the intensity of use of palm oil on Private Brand and Perishable products and on availability of information on its sources. Reputational risk assessment is based on the level of public awareness on the issue of sustainable palm oil sourcing and on market recognition of palm certification schemes. In 2013, palm oil risk assessment process included the scoping of all Private Brand portfolio, as well as Perishable product subcategories that might contain the commodity (fresh bakery and pastry). A total of 6,173 products (SKU) were scoped and the respective suppliers surveyed. The company aims to further detail this analysis by evaluating methods for full assurance of sustainable palm oil use in all its Private Brand and Perishable products. | Non-material risk | No specific legislation identified. Enactment, in countries of origin, of restrictions on palm plantation may occur but likelihood is uncertain. | Material risk | Exposure to reputational risk arising from possible non-sustainable sources of palm oil and derivatives used in our Private Brand and Perishable (fresh pastry) products are expected to increase as public awareness of the issue continues to rise. NGO attention is currently particularly strong for this commodity. Risk is deemed material – though both likelihood and magnitude are uncertain – as the company currently cannot ensure full traceability of the commodity. Palm oil, palm kernel oil or derivatives are found in 9% of our Private Brand SKUs (18% of sales for this product category) and in fresh bakery and pastry products that account for less than 1% of sales in the Perishable products category. Survey found that only 10% of our palm oil containing Private Brand and Perishable products (SKU) currently use certified sustainable commodity (RSPO certification). | Non-material risk | Operational risk arising from reduced availability of palm oil used in Private Brand products could exist. Risk is deemed non-material as company dependency on the commodity is limited. Palm oil, palm kernel oil or derivatives are found in 9% of our Private Brand SKUs (18% of sales for this product category) and in fresh bakery and pastry products that account for less than 1% of sales in the Perishable products category. | |
| 105 | 2014 | Jerónimo Martins SGPS SA | Portugal | Cattle Products | Partial | In 2011, Jerónimo Martins carried out a risk assessment process focusing on threats and opportunities – both for the company and for its supply chain – associated with the different ecosystems services. The process used the Corporate Ecosystem Services Review (ESR) methodology developed by the World Business Council for Sustainable Development (WBCSD) and the World Research Institute (WRI), and encompassed the assessment of operational, regulatory, reputational and market risks and opportunities. Use of forest risk commodities, including cattle products, was included, though not subject to detailed analysis as it was not selected as priority action area (priority was decided on sustainable fish procurement and sustainable agriculture). The company undertakes an annual assessment process of the use of fresh bovine meat (Perishable products) and processed beef (Jerónimo Martins's Private Brand) on products sold in its stores. The process encompasses the scoping of product portfolio and a materiality assessment based on the amount of commodity used and the proportion of sales associated with the products that contain them. For Private Brand products it also involves a comprehensive supplier survey focused on the identification of commodity origin and its sustainable production certification. For Perishable products, Jerónimo Martins assures full traceability to point of origin for all bovine meat, most of which is locally breed and slaughtered. Fresh meat accounts for almost all cattle products sold at Jerónimo Martins stores. Operational, regulatory and reputational risks were not further assessed as they were deemed immaterial considering the level of control the company has over a significant part of its meat supply and because over 98% of fresh meat sold can be traced to farms located in countries where deforestation risk is very low. | Non-material risk | No specific legislation identified. Risk is deemed non-material as, in 2013, over 85% of fresh meat sold in our stores came from identified farms in Poland, Portugal and Spain. Over 98% was produced in countries with low deforestation risks. Fresh meat accounts for most beef sold in our stores. | Non-material risk | Exposure to reputational risk arising from possible non-sustainable sources of bovine meat - sold in our stores as fresh meat or contained in our Private Brand products - is expected to increase as public awareness of the issue continues to rise. Risk is deemed non-material as, in 2013, over 85% of fresh meat sold in our stores came from identified farms in Poland, Portugal and Spain. Over 98% was produced in countries with low deforestation risks. Fresh meat accounts for most beef sold in our stores. | Non-material risk | Risk is deemed non-material as, in 2013, over 85% of fresh meat sold in our stores came from identified farms in Poland, Portugal and Spain. Over 98% was produced in countries with low deforestation risks. Fresh meat accounts for most beef sold in our stores. | |
| 106 | 2014 | Jerónimo Martins SGPS SA | Portugal | Soy | Partial | In 2011, Jerónimo Martins carried out a risk assessment process focusing on threats and opportunities – both for the company and for its supply chain – associated with the different ecosystems services. The process used the Corporate Ecosystem Services Review (ESR) methodology developed by the World Business Council for Sustainable Development (WBCSD) and the World Research Institute (WRI), and encompassed the assessment of operational, regulatory, reputational and market risks and opportunities. Use of forest risk commodities, including soy, was included, though not subject to detailed analysis as it was not selected as priority action area (priority was decided on sustainable fish procurement and sustainable agriculture). The company undertakes an annual assessment process of the use of soy bean, soy oil an derivatives on products sold in its stores (Jerónimo Martins' Private Brand and Perishable products). The process encompasses the scoping of product portfolio and a materiality assessment based on the amount of commodity used and the proportion of sales associated with the products that contain them. It also involves a comprehensive supplier survey focused on the identification of commodity origin and its sustainable production certification. Operational risk assessment is based on the intensity of use of soy on Private Brand and Perishable products and on availability of information on its sources. Reputational risk assessment was based on the level of public awareness on the issue of sustainable soy sourcing and on market recognition of soy certification schemes. In 2013, soy risk assessment process included the scoping of all Jerónimo Martins´ Private Brand portfolio, as well as Perishable product subcategories that might contain the commodity (fresh bakery and pastry). A total of 6,173 products (SKU) were scoped and the respective suppliers surveyed. The company aims to further detail this analysis by evaluating methods for full assurance of sustainable soy use in all its Private Brand and Perishable products. | Non-material risk | No specific legislation identified. Enactment, in countries of origin, of restrictions on palm plantation may occur but likelihood is uncertain. | Material risk | Exposure to reputational risk arising from possible non-sustainable sources of soy and derivatives used in our Private Brand products are expected to increase as public awareness of the issue continues to rise. Risk is deemed material – though both likelihood and magnitude are uncertain – as the company currently cannot ensure full traceability of the commodity. Soy bean, soy oil or derivatives are found in 8% of our Private Brand SKUs (13% of sales for this product category) and in fresh bakery and pastry products that account for less than 0.5% of sales in the Perishable products category. Survey found that only 2% of our soy containing Private Brand and Perishable products (SKU) currently use certified sustainable commodity (RTRS certification). | Non-material risk | Operational risk arising from reduced availability of soy used in own brand products could exist. Risk is deemed non-material as company dependency on the commodity is limited. Soy bean, soy oil or derivatives are found in 8% of our Private Brand SKUs (13% of sales for this product category) and in fresh bakery and pastry products that account for less than 0,5% of sales in the Perishable products category. | |
| 107 | 2014 | Millennium & Copthorne Hotels | United Kingdom | Soy | Partial | Our procurement teams continue to work on sustainability initiatives within the supply chain. Within the European region, a supplier evaluation matrix is used as a basis for approving or rejecting suppliers. The matrix requests suppliers to identify whether their company has a formal system to identify the point of origin of Forest Risk Commodities, specifically those products which contain timber, palm oil, bio fuels, beef or soya). | No risk | No risk | No risk | ||||
| 108 | 2013 | Johnson Controls | USA | Timber | Partial | Used mostly for pallets, which our risk assessment showed that numerous suppliers and soruces for pallets are available. Pallets and dunnage are made often from scrape or low quality timber. Also, numerous other types of pallets are available besides timber which further reduces shortage or pricing risks. We have also implemented aggressive pallet recycling programs within our automotive group which is significantly reducing our demand for pallets, which is also significantly reducing operational costs. | Non-material risk | Amounts acquired are relatively insignificant compared to overall market for this commodity. Overall, we are unaware of any significant issues or risks with acquiring these commodities by our company. | Non-material risk | Amounts acquired are relatively insignificant compared to overall market for this commodity. Overall, we are unaware of any significant issues or risks with acquiring these commodities by our company. | No risk | Amounts acquired are relatively insignificant compared to overall market for this commodity. Overall, we are unaware of any significant issues or risks with acquiring these commodities by our company. | |
| 109 | 2013 | Johnson Controls | USA | Palm Oil | Partial | Little or none known to be used or purchased. | Non-material risk | Little or none known to be used or purchased. | Non-material risk | Little or none known to be used or purchased. | No risk | Little or none known to be used or purchased. | |
| 110 | 2013 | Johnson Controls | USA | Cattle Products | Partial | We evaluated availability and it appears a large number of suppliers can provide the type of leather needed at suitable prices. Options have been identified should leather supplies become short for whatever reason. | Non-material risk | Amounts acquired are relatively insignificant compared to overall market for this commodity. Overall, we are unaware of any significant issues or risks with acquiring these commodities by our company. | Non-material risk | Amounts acquired are relatively insignificant compared to overall market for this commodity. Overall, we are unaware of any significant issues or risks with acquiring these commodities by our company. | No risk | Amounts acquired are relatively insignificant compared to overall market for this commodity. Overall, we are unaware of any significant issues or risks with acquiring these commodities by our company. | |
| 111 | 2013 | Johnson Controls | USA | Soy | Partial | Soy derivatives are currently available from multiple sources at competitive prices. Should prices increase due to shortages, etc., then other chemical sources are readily available as a replacement. | Non-material risk | Amounts acquired are relatively insignificant compared to overall market for this commodity. Overall, we are unaware of any significant issues or risks with acquiring these commodities by our company. | Non-material risk | Amounts acquired are relatively insignificant compared to overall market for this commodity. Overall, we are unaware of any significant issues or risks with acquiring these commodities by our company. | No risk | Amounts acquired are relatively insignificant compared to overall market for this commodity. Overall, we are unaware of any significant issues or risks with acquiring these commodities by our company. | |
| 112 | 2013 | Johnson Controls | USA | Biofuels | Partial | Elimination of ethanol from our commerically purchased vehicle fuel would increase fuel efficiency. | Non-material risk | Amounts acquired are relatively insignificant compared to overall market for this commodity. Overall, we are unaware of any significant issues or risks with acquiring these commodities by our company. | Non-material risk | Amounts acquired are relatively insignificant compared to overall market for this commodity. Overall, we are unaware of any significant issues or risks with acquiring these commodities by our company. | No risk | Amounts acquired are relatively insignificant compared to overall market for this commodity. Overall, we are unaware of any significant issues or risks with acquiring these commodities by our company. | |
| 113 | 2014 | Johnson Controls | USA | Timber | Partial | Used mostly for pallets, which our risk assessment showed that numerous suppliers and soruces for pallets are available. Pallets and dunnage are made often from scrape or low quality timber. Also, numerous other types of pallets are available besides timber which further reduces shortage or pricing risks. We have also implemented aggressive pallet recycling programs within our automotive group which is significantly reducing our demand for pallets, which is also significantly reducing operational costs. | Non-material risk | Amounts acquired are relatively insignificant compared to overall market for this commodity. Overall, we are unaware of any significant issues or risks with acquiring these commodities by our company. | Non-material risk | Amounts acquired are relatively insignificant compared to overall market for this commodity. Overall, we are unaware of any significant issues or risks with acquiring these commodities by our company. | Non-material risk | Amounts acquired are relatively insignificant compared to overall market for this commodity. Overall, we are unaware of any significant issues or risks with acquiring these commodities by our company. | |
| 114 | 2014 | Johnson Controls | USA | Palm Oil | Partial | Little or none known to be used or purchased. | No risk | No known risk, since little or none purchased or used. | No risk | Little or none known to be used or purchased. | No risk | Little or none known to be used or purchased. | |
| 115 | 2014 | Johnson Controls | USA | Cattle Products | Partial | We evaluated availability and it appears a large number of suppliers can provide the type of leather needed at suitable prices. Options have been identified should leather supplies become short for whatever reason. | Non-material risk | Amounts acquired are relatively insignificant compared to overall market for this commodity. Overall, we are unaware of any significant issues or risks with acquiring these commodities by our company. | Non-material risk | Amounts acquired are relatively insignificant compared to overall market for this commodity. Overall, we are unaware of any significant issues or risks with acquiring these commodities by our company. | Non-material risk | Amounts acquired are relatively insignificant compared to overall market for this commodity. Overall, we are unaware of any significant issues or risks with acquiring these commodities by our company. | |
| 116 | 2014 | Kajima Corporation | Japan | Timber | Partial | コンクリート型枠については、違法伐採材およびその加工製品の日本への輸入状況をNPOよりヒアリングを実施。 コピー紙に関しては国のグリーン購入基準への適合状況を確認。 | Non-material risk | 日本政府のグリーン購入指針の対象が本設木製品から仮設木製品にも拡大される可能性あり。また合法性に関しても現地の森林管理状況の確認を求めるものに強化されることも想定される。いずれも国産材等の代替材での対応が可能 | Non-material risk | 日本に輸入されている木材、木製品の一部は違法に伐採されt物が含まれており、型枠材として当社の協力会社が使用してしまう可能性がある。このようなことが起こると関連NGOから熱帯林破壊に加担する企業として非難される。 | Non-material risk | 違法伐採木を中心に南洋材の輸入規制が強化されれコンクリート型枠合板が品薄になる可能性があるが、そのような材料を使用してしまうことによるリスクのほうが大きく、望ましい方向。不足分については国産材等の代替材で対応可能。 | |
| 117 | 2013 | Kellogg Company | USA | Timber | Yes or 100% third party certified raw materials already achieved | Product packaging is essential for protecting our foods in their journey from manufacturing facilities to retailers to consumers’ homes. The outside of the packaging also provides us with space to communicate product attributes and nutrition information. Packaging is a component of every product we make and much of that packaging is based on forest products. It was important to Kellogg to have a strategy in place to address potential deforestation associated with timber based packaging due to the large purchase volume of these materials. Our process to identify the risks in our timber-based products started through discussions by executives to identify a strategy to mitigate potential risks. By identifying FSI in the United States and FSI for the rest of the world, Kellogg found the vehicle to ensure sustainable sourcing was occurring. After this decision was made, additional risk assessment was done at the individual level within the Procurement department to weigh availability, pricing and risk for each sourcing region and application. We continually look at packaging innovations that can help reduce the amount of timber based packaging we use. Our commitments are summarized on our company website at: http://crr.kelloggcompany.com/en_US/corporate-responsibility/overview/our-commitments.html | No risk | We have not found that any regulations are or will be in place in the future that will significantly affect the sourcing of our timber-based packaging | No risk | Since Kellogg Company has been using recycled content in our packaging since its inception, we have a reputation for being thoughtful around the content of our packaging. We continue this commitment by buying recycled content packaging and FSC/FSI certified virgin boards. | No risk | There are no operational risks for timber-based packaging products because the supply is secure. | |
| 118 | 2013 | Kellogg Company | USA | Palm Oil | Yes or 100% third party certified raw materials already achieved | We are a very minor user of palm oil – buying about 0.1 percent of the global supply annually – but we are deeply concerned about its environmental impacts. Based on these impacts we have developed a sourcing strategy to address the environmental risk associated with our purchases of palm oil. Since 2008 Kellogg has taken steps to source sustainably grown palm oil and to do our part to end the deforestation associated with palm oil cultivation. In fact, all of the palm oil we use today is 100 percent sustainably sourced through a combination of GreenPalm certificates, mass balance and segregated, sustainably grown supply. Also, 100 percent of the palm oil we use comes from suppliers who are members of the Roundtable on Sustainable Palm Oil (RSPO), a multi-stakeholder organization (of which Kellogg is also a member) working to ensure that palm oil production is economically viable, environmentally appropriate and socially beneficial. Specifically, •In Europe, we began using a segregated supply of sustainably grown palm oil in the summer of 2012. By the end of 2013, we expect that at least 90 percent of the very small volume of palm oil we use in Europe in our products, aside from Pringles® , will be segregated sustainably grown. The palm oil we use in Pringles® in Europe is sourced through the mass balance system, which combines sustainably grown and conventional palm oil. •In other markets where neither a segregated or mass balance supply are sufficient or feasible, we are continuing to help growers fund the transition to sustainably grown palm oil by purchasing GreenPalm certificates to cover 100 percent of our current palm oil use, as we have done since 2010. With the RSPO and other stakeholders, we continue to explore solutions to this global issue and to encourage our mass balance suppliers to increase their percentage of sustainable palm oil as the supply increases. We also require, through our Supplier Code of Conduct, our vendor partners to commit to reducing their impact on the environment. We are a member of the Consumer Goods Forum (CGF) and support the CGF’s pledge to help achieve zero net deforestation by 2020. Our purchasing policies relating to palm oil help us to meet this commitment. These commitments are summarized on our company website at http://crr.kelloggcompany.com/en_US/corporate-responsibility/overview/our-commitments.html | No risk | Although we are very engaged in procuring sustainably sourced palm, we have not found any regulations that are or will be in place in the future that will significantly affect the sourcing of our palm oils. | Material risk | Palm oil continues to be an area of great concern for our consumers and our customers. Although there are reputational risks present with the use of palm oil, we have mitigated these risks by procuring 100% sustainably sourced palm through GreenPalm certificates, mass balance and segregated, sustainably grown supply. | Non-material risk | There are no operational risks for palm oil because we are able source our supply from RSPO suppliers and acquire GreenPalm certificates. | |
| 119 | 2013 | Kellogg Company | USA | Soy | Yes or 100% third party certified raw materials already achieved | Soy and soy oils are components in many of our products. When assessing our risk associated with soy, we first did an analysis to determine where our soy is grown for our products globally. We do not purchase soy products from tropical deforested regions. Instead, we purchase soy almost exclusively from the U.S., with a small amount from Argentina. Due to the volume of our annual purchases of soy and the risk associated with soy production in some parts of the world, we felt it important to document this sourcing strategy for soy and soy oils. By buying almost all of our soy products in the United States, we know that there is a very small risk of deforestation for soy cultivation. Further, through assessment based on cost and risk within our procurement department, we source our soy from Argentina, rather than Brazil or other neighboring countries that have a larger likelihood of deforestation. Going forward, we will continue to be aware of the risk of deforestation associated with soy and will periodically reassess our business needs and supplier performance. Our commitments are summarized on our company website at: http://crr.kelloggcompany.com/en_US/corporate-responsibility/overview/our-commitments.html | No risk | We have not found that any regulations are or will be in place in the future that will significantly affect the sourcing of our soy or soy oils. | No risk | Soy does not have a reputational risk for Kellogg. Soy is mostly sourced from the United States, where the risk of deforestation is much lower. | No risk | There are no operational risks for soy since the supply is readily available and freely traded. | |
| 120 | 2014 | Kellogg Company | USA | Timber | Yes | Product packaging is essential for protecting our foods in their journey from manufacturing facilities to retailers to consumers’ homes. The outside of the packaging also provides us with space to communicate product attributes and nutrition information. Packaging is a component of every product we make and much of that packaging is based on forest products. It was important to Kellogg to have a strategy in place to address potential deforestation associated with timber based packaging due to the large purchase volume of these materials. Our process to identify the risks in our timber-based products started through discussions by executives to identify a strategy to mitigate potential risks. By identifying FSI in the United States and FSI for the rest of the world, Kellogg found the vehicle to ensure sustainable sourcing was occurring. After this decision was made, additional risk assessment was done at the individual level within the Procurement department to weigh availability, pricing and risk for each sourcing region and application. We continually look at packaging innovations that can help reduce the amount of timber based packaging we use. Our commitments are summarized on our company website at: http://www.kelloggcompany.com/content/dam/kelloggcompanyus/PDF/Corporate%20Responsibility%20Sustainability%20Commitments%201112.pdf | No risk | We have not found that any regulations are or will be in place in the future that will significantly affect the sourcing of our timber-based packaging. | No risk | Since Kellogg Company has been using recycled content in our packaging since its inception, we have a reputation for being thoughtful around the content of our packaging. We continue this commitment by buying recycled content packaging and FSC/SFI certified virgin boards. | No risk | There are no operational risks for timber-based packaging products because the supply is secure. | |
| 121 | 2014 | Kellogg Company | USA | Palm Oil | Yes | We are a very minor user of palm oil but we are deeply concerned about its environmental impacts. Based on these impacts we have developed a sourcing strategy to address the environmental risk associated with our purchases of palm oil. Since 2008 Kellogg has taken steps to source sustainably grown palm oil and to do our part to end the deforestation associated with palm oil cultivation. In fact, all of the palm oil we use today is 100 percent sustainably sourced through a combination of GreenPalm certificates, mass balance and segregated, sustainably grown supply. We are committed to the protection of forests, biodiversity, and peat lands, to mimimizing the carbon footprint of our palm oil supply chain, and to respecting human rights including no forced or child labor, slavery or human trafficking. Also, 100 percent of the palm oil we use comes from suppliers who are members of the Roundtable on Sustainable Palm Oil (RSPO), a multi-stakeholder organization (of which Kellogg is also a member) working to ensure that palm oil production is economically viable, environmentally appropriate and socially beneficial. Specifically, in Europe, we began using a segregated supply of sustainably grown palm oil in the summer of 2012. The palm oil we use in Pringles® in Europe is sourced through the mass balance system, which combines sustainably grown and conventional palm oil. In other markets, we are continuing to help growers fund the transition to sustainably grown palm oil by purchasing GreenPalm certificates to cover the remaining palm oil, as we have done since 2010. With the RSPO and other stakeholders, we continue to explore solutions to this global issue and to encourage our mass balance suppliers to increase their percentage of sustainable palm oil as the supply increases. We also require, through our Supplier Code of Conduct, our vendor partners to commit to reducing their impact on the environment. We are a member of the Consumer Goods Forum (CGF) and support the CGF’s pledge to help achieve zero net deforestation by 2020. Our purchasing policies relating to palm oil help us to meet this commitment. These commitments are summarized on our company website at http://www.kelloggcompany.com/content/dam/kelloggcompanyus/PDF/Corporate%20Responsibility%20Sustainability%20Commitments%201112.pdf | No risk | Although we are very engaged in procuring sustainably sourced palm, we have not found any regulations that are or will be in place in the future that will significantly affect the sourcing of our palm oils. We work with our government relations team to determine if there are regulatory opportunities to grow sustainable and traceable palm oil supply. | Material risk | Palm oil continues to be an area of great concern for our consumers and our customers. Although there are reputational risks present with the use of palm oil, we have mitigated these risks by procuring 100% sustainably sourced palm through RSPO mass balance and segregated, GreenPalm certificates that are a sustainably grown supply. As customers continue to expand requirements of palm oil use, we may be required to have segregated supplies as we go forward. | Non-material risk | There are no operational risks for palm oil because we are able source our supply from RSPO suppliers and acquire GreenPalm certificates. As customers continue to expand requirements of palm oil use, we may be required to have segregated supplies of which there is a limited supply. | |
| 122 | 2013 | PrimeAsia Leather Company | USA | Cattle Products | Yes or 100% third party certified raw materials already achieved | PrimeAsia manages beyond the first tier of our hide suppliers thru the hide traceability section of the Leather Working Group audits. Our hide suppliers must know exactly where their cattle farms are located, date of slaughter/slaughterhouse, and in the case of Brazil have those farms GPS'd. | Material risk | We need to manage the risk of our wet blue suppliers. | Material risk | PrimeAsia prides itself on buying from reputable wet blue suppliers who meet strict standards. | No risk | ||
| 123 | 2014 | Kellogg Company | USA | Soy | Yes | Soy and soy oils are components in many of our products. When assessing our risk associated with soy, we first did an analysis to determine where our soy is grown for our products globally. We do not purchase soy products from tropical deforested regions. Instead, we purchase soy almost exclusively from the U.S., with a small amount from Argentina. Due to the volume of our annual purchases of soy and the risk associated with soy production in some parts of the world, we felt it important to document this sourcing strategy for soy and soy oils. By buying almost all of our soy products in the United States, we know that there is a very small risk of deforestation for soy cultivation. Further, through assessment based on cost and risk within our procurement department, we source our soy from Argentina, rather than Brazil or other neighboring countries that have a larger likelihood of deforestation. In 2013, we engaged our soy suppliers in discussing risks of deforestation and potential engagement opportunities. Going forward, we will continue to be aware of the risk of deforestation associated with soy, communicate this risk with our suppliers and will periodically reassess our business needs and supplier performance. Our commitments are summarized on our company website at: http://www.kelloggcompany.com/content/dam/kelloggcompanyus/PDF/Corporate%20Responsibility%20Sustainability%20Commitments%201112.pdf | No risk | We have not found that any regulations are or will be in place in the future that will significantly affect the sourcing of our soy or soy oils. | No risk | Soy does not have a reputational risk for Kellogg. Soy is mostly sourced from the United States, where the risk of deforestation is much lower. | No risk | There are no operational risks for soy since the supply is readily available and freely traded. | |
| 124 | 2014 | Kesko Corporation | Finland | Timber | Yes | It has been recognised that there are risks related to the origin of timber. The risk is managed with the help of timber certification. FSC or PEFC required of all wood products with raw materials originating from tropical forest or endangered wood species. All wood products originating from Europe (excluding RU) are FSC or PEFC. | Material risk | EU's FLEGT directive | Material risk | ngo, media | Material risk | Potential shortage | |
| 125 | 2014 | Kesko Corporation | Finland | Palm Oil | Partial | Palm oil is one of the ingredients in the products we sell. We are able to influence the raw materials of our own brand products. Kesko Food is a member of RSPO. CSPO is estimated to account for 5% of all palm oil in our own products. | Material risk | Renewal of energy directive could affect the availability. | Material risk | ngo, media | Material risk | Potential shortage | |
| 126 | 2014 | Kesko Corporation | Finland | Cattle Products | Partial | This commodity concerns several divisions. Kesko Food sells beef, the home and speciality goods division sells leather shoes etc. | No risk | Material risk | ngo, media | Material risk | Potential shortage | ||
| 127 | 2014 | Kesko Corporation | Finland | Soy | Partial | Soy is related to animal feed and the food manufacturing industry. | Material risk | Biofuels directive | Material risk | ngo, media | Material risk | Potential shortage | |
| 128 | 2013 | Kimberly-Clark Corporation | USA | Timber | Yes or 100% third party certified raw materials already achieved | Kimberly-Clark has a Global Fiber Procurement Policy that applies to all of its wood fiber suppliers. As a first step, K-C requires all of its suppliers to acheive certification of their forest management and/or wood fiber procurement activties to one of five forest certifications systems we recognize. The goal is have all supplies certified by 2015 but we already acheived this goal in early 2012. K-C also has a thorough fiber supplier approval and audit process. All wood fiber suppliers must complete a forestry questionnaire annually and K-C conducts a forestry assessment of all of its suppliers on a frequency not to exceed 3 years between site visits. Any requirements related to a supplier's forestry operations are incorporated into their pulp supply agreement with time bound requirements. | Non-material risk | In some US States and countries that K-C sources wood fiber from, there are applicable Forest Practice Codes and Regulations that affect some of our suppliers. Most require companies to demonstrate compliance with sustainable forest management practices. | Non-material risk | We believe that there can be a reputational risk to our company from using wood fiber in our products, however, we believe that these risks are minimal. K-C only sources wood fiber from suppliers that practice sustainable forest management and has a goal to source 100% of its wood fiber from third-party certified suppliers to keep any potential reputational risks to a minimum. | Non-material risk | We believe that there are minimal operational risks to K-C from buying wood fiber to make our products. K-C blends a variety of hardwood and softwood wood fibers to make our tissue products and the optimal blend of fiber types is determined by the technical fiber characteristics and the specific tissue machine requirements. | |
| 129 | 2014 | Kimberly-Clark Corporation | USA | Timber | Yes | Kimberly-Clark has a Global Fiber Procurement Policy that applies to all of its wood fiber suppliers. As a first step, K-C requires all of its suppliers to acheive certification of their forest management and/or wood fiber procurement activties to one of five forest certifications systems we recognize. The goal is have all supplies certified by 2015 but we already acheived this goal in early 2012. Kimberly-Clark has instituted a due diligence process to evaluate deforestation risk in its supply chain to meet requirements of various illegal timber regulations such as the US Lacey Act and EU Timber Regulations and developing revisions to the Forest Stewardship Council chain-of-custody standards. Kimberly-Clark has identified all high risk countries that we currently source timber products (market pulp and fiber-based packaging). K-C also has a thorough fiber supplier approval and audit process. All wood fiber suppliers must complete a forestry questionnaire annually and K-C conducts a forestry assessment of all of its suppliers on a frequency not to exceed 3 years between site visits. Any requirements related to a supplier's forestry operations are incorporated into their pulp supply agreement with time bound requirements. | No risk | Kimberly-Clark is in compliance with applicable laws regarding the legality of wood products and associated deforestation sourced by the company such as the US Lacey Act and the EU Timber Regulations. | No risk | Kimberly-Clark maintains agreements with WWF as a member of the Global Forest & Trade Network and has a signed Memorandum of Understanding with Greenpeace and meets annually with both ENGOs to discuss timber risk issues to minimize any potential reputational risk to the company in sourcing its wood fiber. | No risk | Kimberly-Clark has been very successful in sourcing vrgin wood fiber from certified suppliers and increasing its purchases of FSC-certified annually since 2007 to meet its sourcing commitments and tissue business needs to label a significant proportion of our tissue products with the FSC logo. | |
| 130 | 2013 | Kimberly-Clark de México S.A.B. de C.V. | Mexico | Timber | Yes or 100% third party certified raw materials already achieved | Kimberly Clark de Mexico has a Global Fiber Procurement Policy that applies to all of its wood fiber suppliers. As a first step, KCM requires all of its suppliers to achieve certification of their Forest Management and/or wood fiber procurement activities to one of five forest certification systems we recognize. Back in 2008 we set the Goal to have all suppliers certified by 2015, but this Goal has been already achieved in 2011.We are under the same supply agreements as Kimberly Clark Corporation who conducts audits and make sure that all suppliers complete a questionnaire anually on their forestry operations. | No risk | Non-material risk | We believe that there can be a reputational risk to our Company from using wood fiber in our products; however, we believe that these risks are minimal and under control.. KC de Mexico only sources wood fiber from suppliers that practice sustainable forest management and currently is using 100% of its wood fiber from third party certified suppliers keep any potential reputational risk to a minimum. | Non-material risk | We believe that there are minimal operational risks to KCM from buying certified wood fiber to manufacture our products. in addition KC de Mexico has developed tissue products containing up to 100% recycled fiber and has set Sustainability Goals to keep the use of Certified wood fiber at 100 %. | ||
| 131 | 2014 | Kimberly-Clark de México S.A.B. de C.V. | Mexico | Timber | Yes | Kimberly Clark de Mexico has a Public Sustainable Fiber Procurement Policy that applies to all of its wood fiber suppliers. As a first step, KCM requires all of its suppliers to achieve certification of their Forest Management and/or wood fiber procurement activities to one of five forest certification systems we recognize. Back in 2008 we set the Goal to have all suppliers certified by 2015, but this Goal has been already achieved in 2011.We are under the same supply agreements as Kimberly Clark Corporation who conducts audits and make sure that all suppliers complete a questionnaire anually on their forestry operations.We know what certifications schemes have each of our suppliers.We give priority to the use of recycled fibers, which accounted for 68 % of our fiber consumption in Tissue production in 2013. The balance is virgin fiber ( market pulp ) that is 100 % certified. | No risk | There is not applicable regulation to our operations and businesses regarding deforestation risk as we do not source wood pulp from suppliers in Mexico. However, we do comply with all applicable environmental laws in our country. | Non-material risk | We consider that it can be a reputational risk to our Company from the use of wood fibers in our products, however we believe that potential risks are minimal and under control. KCM only sources wood market pulp from responsible sources that practice sustainable forest management and currently is using 100% third party certified suppliers. In addition KCM through its post-consumer paper recycling operations and absorbent design for environment products avoids the use of more than 400,000 Tons of virgin fibers. Another example of this is in our Away from Home tissue products, which product portfolio counts on an Environmental / Ecologic line of products using 100 % post-consumer recycled fibers. | Non-material risk | We believe that there are minimal operational risks to KCM from buying certified wood fiber to manufacture our products. In addition KCM has developed tissue products containig up to 100 % recycled fiber and has set Sustainability goals to increase its use and hold the current use of 100 % certified fibers and an increased amount of FSC certified fiber, therein. | |
| 132 | 2014 | Kingfisher | United Kingdom | Timber | Yes | Risk must first be placed within a framework of materiality: Timber makes up 10% of the Cost of Goods, drives 16% of revenue, is found in up to 40% of the products in store and drives footfall in store. With a loss of 5.2 million hectares of forest each year around the world the global supply chain scenario could result in a material risk for Kingfisher amounting to 30% global timber shortages possible by 2020 and 75% price rises, could result from global timber shortages by 2020. Other risk assessment tools/mechanisms: Internal Audits. QA Approval processes. CR team Due Diligence. Operating Company level risk assessments. Product specific identification and action plans. On timber, our assessment of risk is species and country of origin specific e.g. For products which contain hardwood species sourced from the tropics: All Kingfisher Operating Companies will adopt the position where all products which contain hardwood species sourced from the tropics are ‘Certified, Well-managed or Recycled’. All Kingfisher Operating Companies will request, and where available within equal business terms accept, either FSC certified sources with a full chain of custody, verifiable recycled material or timber sourced via a TFT project, Rainforest Alliance (SmartStep) participant or from a forest source working with WWF (GFTN). Over the past 2 years Kingfisher has developed an internal Quality Management Tool (QMT) for unified responses to quality and legislative risk. The tool includes a risk matrix, designed to respond to the requirements of the EU Timber Regulation and harmonise the evaluation of risk and actions to mitigate risk across the Group. The QMT also includes a traceability element and document filing system as part of the Groups wider due diligence. In other areas of the business (Brico Dépôt France) the assistance of monitoring organisations and verifiers has been sub-contracted e.g. SGS/TFT/FTN etc.. with a view to verify across all product areas not just those pertaining to the schemes. | Material risk | New EU regulations on timber due diligence will have an impact on our EU operating companies. They will be required to demonstrate that they have exercised adequate due diligence to ensure they are using legally sourced timber. Kingfisher welcomes the new regulation and played a leading role in helping to set up the Timber Retail Coalition in support of the due diligence approach. Once fully implemented, we hope that the regulation will help provide a level playing field in the market place and fortify voluntary measures currently in-place. | Material risk | Consumer trust in the Kingfisher brands is dependent on the reputation of the Group to act responsibly on behalf of its consumers. | Material risk | Timber is used in up to 40% of our products in store and we rely on an area of forest the size of Switzerland each year. Deforestation and growing global demand could result in shortages and price volatility. Taking a restorative approach is the best way to safeguard our future timber supplies at an affordable price. It is also important to protect biodiversity and to help mitigate the effects of climate change. In order to plan product strategies it is imperative to understand where we will be getting our timber from in the next 5 - 10 years. Tropical hardwood timbers and other species are gradually becoming scarcer, the market response has focussed demand on the 8% of certified forest resources. It is our obligation to build a product offer that customers can rely on. The availability of timber products is, due to the increasing demand for sustainable options, perhaps one of the biggest supply chain challenges facing the retail sector and Kingfisher has designed a foreword thinking timber policy designed to guide the business towards strategic responses. The team has also initiated internal timber strategy workshops. One key response will be the ability to incorporate sustainability into the product design phase. | |
| 133 | 2014 | Kingfisher | United Kingdom | Palm Oil | Yes | Palm oil is not a material risk to the business as it is found in a limited number of products and can be replaced with alternative derivatives. The business has gone through a process of identifying products that might contain palm oil derivatives. We are screening B&Q, Screwfix and Castorama France products. Suppliers must confirm which oil derivatives are in their products and its source. | No risk | We do not consider palm oil to be a material issue for our business. | Non-material risk | UK voluntary commitments. Increased focus from campaigning groups presents a reputational risk. Criticism of RSPO and media interest in forest and fires in Indonesia all raise the profile and therefore reputational risk of being associated with poorly sourced palm oil. However, our palm oil footprint is relatively low and Kingfisher is one of the first companies to address this issue outside of the food sector. | Non-material risk | The volumes and products involved in most cases would allow the business to find alternative materials or are of insignificant sales impact and if found to have any links with deforestation, could be delisted. | |
| 134 | 2014 | Kingfisher | United Kingdom | Cattle Products | Yes | Leather is not a material risk to the business as in the Operating Companies it will make up less than 10 SKU's. It is however a potential reputational risk and its production could impact the sustained use of timber sources. Own-Brand risk assessed. Source region risk identification. We have requested and collated supply chain information from our suppliers of own brand products which contain leather and highlighted the risk of procuring leather from areas suffering from deforestation caused by cattle ranching such as the Amazon | No risk | We do not consider leather to be a material issue for our business. | Non-material risk | Campaign to highlight the link between deforestation and cattle ranching to produce leather products. | Non-material risk | The volumes and products involved in most cases would allow the business to find alternative materials or are of insignificant sales impact and if found to have any links with deforestation, could be delisted. | |
| 135 | 2014 | L'Oréal | France | Soy | Yes | L’Oréal is well aware that some agricultural commodities may lead to deforestation and has been implementing specific action plans to avoid contributing to this phenomenon by favouring sustainable sourcing of soya oil, palm oil and wood-fibre based products. As part of its “zero deforestation” commitment by 2020, the Group plans to take this commitment further by closely involving its suppliers in this objective. Although L’Oréal is a low volume purchaser of soya oil and derivatives, L’Oreal sourced from second semester 2013, 100% of its soya oil from certified sustainable sources. We have started to work on traceability of derivatives. | Non-material risk | No regulatory risk considering that we comply with existing regulations and considering our extremely low consumption of this commodity for very specific uses. | Non-material risk | No reputational risk given our extremely low levels of consumption and given to our sustainable sourcing. The Group obtains its organic soy from agricultural producers in Capanema in Brazil, who use traditional and ancestral multi-crop methods to plant, cultivate and harvest the soybeans, which are thus organic and GMO-free. By virtue of this Community Fair Trade programme, Capanema farmers obtain just and fair income from their soybeans and can therefore maintain their traditional lifestyle. At the end of 2013, all the Group’s soybean oil procurements were certified as sustainable: guaranteed GMO-free, produced by organic farming not contributing to deforestation and obtained from fair trade sources. The goal is now to use 100% of soya oil from sustainable sourcing and to work actively with suppliers to improve traceability to point of origin, to address sustainability of soy-based derivatives so that 100% are sustainably sourced by 2020. | Non-material risk | No operational risk considering our supply chain control & monitoring process (see below). | |
| 136 | 2013 | Kingspan Group PLC | Ireland | Timber | Partial | We apply an ethical purchasing policy and also use chain of custody certs, along with sourcing FSC & PEFC certified timber to eliminate these risks where possible. Those divisions which buy large quantities of timber have carried out risk assessments in accordance with the requirements of the PEFC and FSC standards through TRADA and are audited in some cases by TRADA. | Non-material risk | No material risk here where FSC and PEFC certification is required. | Material risk | Yes, but to eliminate reputational risk, we purchase FSC or PEFC certified timber and have suitable environmental policies, statements and audits where these risks are negated. There is a risk that buying uncertified timber will affect the customers and investors which would have a negative effect on the Group. There are also negative media and publicity concerns for not having an ethical or sustainable purchasing policy. For this reason we are fully aware of this risk and aim to purchase all materials that are FSC and PEFC certified to eliminate this risk. | Material risk | Yes, but to eliminate operational risk, we maintain certification and audits thereby negating these risks. Risk such as price instability or lack of supply might arise but we are committed to purchasing 100% FSC/PEFC certified timber where possible thereby negating this risk somewhat. The legal framework in the EU is assisting here by preventing illegal timber entering the EU. | |
| 137 | 2014 | Kingspan Group PLC | Ireland | Timber | Partial | Our main divisions which use large amounts of timber have annual audits for chain of custody certification to FSC and PEFC through BM Trada. Other divisions use small amounts of timber which are not material and there is no need for a risk assessment process for these. | Material risk | EUTR regulations + CE Marking. Risk reduced through certification. | Non-material risk | Low risk due the requirement of certification and success in achieving this. | Material risk | 1. Structural failure within timber products/components, mitigated through careful specification and insistence of CE marked materials. 2. Without pallets we cannot manufacture products, therefore we look to have duel source of supply at each site. We are also exploring alternatives to timber pallets to mitigate this risk. 3. A shortage of timber supply is a risk to our business but the level of timber currently consumed is at a relatively low level from a group perspective but as we emerge from a global recession and the construction industry activity grows, we will require greater volumes. 4. Biomass is an alternative to fossil fuels and subsidies for biomass plants to purchase timber for burning gives them a competitive advantage over the board mills. As the board mills are already oversold and demand increasing then continuity of timber supply could be an issue. | |
| 138 | 2013 | Kirin Holdings Co Ltd | Japan | Timber | Partial | The Kirin Group, particularly in its Integrated Beverages business, uses a wide range of paper packaging to safely deliver its products to customers. For these purposes, we have consistently pursued green procurement methods and made purchases prioritizing recycled and certified paper products. However, in assessing the risks toward the ecosystems of the food-producing communities from which we acquire biological resources, we have gained an increased awareness of global forest resource issues, and it has become clear that sustainability in the use of forest resources and conservation of ecosystems and biodiversity are also essential for us to continue operating as a company. With this in mind, in 2012 we conducted a preliminary survey of suppliers for container materials and copy paper. Our responses indicated that there were no major problems regarding raw materials used by our major suppliers; however, we also learned that the legality of some paper in circulation within Japan today cannot be confirmed. <Tea leaf> Sri Lanka is one of the world's major tea exporting countries. Approximately 60% of tea leaves imported to Japan are from Sri Lanka, and approximately 25% of the tea leaves imported to Japan from Sri Lanka are used for Gogo-no-Kocha, the No.1 bottled tea brand produced by Kirin. Under such a circumstance, the Kirin Group has conducted surveys on their supplier tea plantations in Sri Lanka concerning their sustainability and efforts to conserve the ecosystem. First, we identify the plantations from which we procure black tea leaves, and evaluate their compliance with ecosystem conservation efforts, starting with the certifications they have acquired. The Group discovered that approximately 40% of its supplier plantations have acquired certification for contributing to biodiversity, and the proportion of those who have acquired the certification has gradually increased. On the other hand, the Group also discovered that the plantations that can acquire the certification are limited to those with relatively ample capital, and that there are many plantations that are willing but are unable to acquire the certification. | No risk | Non-material risk | They may lead to us gaining a bad reputation from consumers and NGOs,and a decrease in our brand power. Furthermore, if we lose consumers and NGOs trust, this may result in a potentially significant financial risk, although this is difficult to calculate. | Material risk | Our business produces beer and beverages using biological resources, and thus is subject to risks such as: not being able to manufacture the required amount of products because of an inability to obtain the required amount of biological ingredients; and suffering a financial impact due to a steep rise in the price of biological ingredients. | ||
| 139 | 2013 | Kirin Holdings Co Ltd | Japan | Palm Oil | Partial | From 2011 to 2012 we surveyed all of our raw material procurement activities and ascertained the status of our palm oil purchasing. While it is a relatively small amount, we managed to find that the Kirin Group is also using some palm oil as a raw material. Palm oil is a versatile vegetable oil obtained from the highly productive oil palm plant that grows only in tropical regions. However, there are numerous issues involved, including the ecological impact of the deforestation of tropical rain forests on oil palm plantations, and working conditions for laborers on these plantations. With this in mind, we consulted with the WWF on methods to address these issues, and decided to use the RSPO*1 certified Book & Claim*2 purchasing method for oil in our action plan as part of our efforts to procure sustainable palm oil. | No risk | Non-material risk | They may lead to us gaining a bad reputation from consumers and NGOs,and a decrease in our brand power. Furthermore, if we lose consumers and NGOs trust, this may result in a potentially significant financial risk, although this is difficult to calculate. | Material risk | Our business produces beer and beverages using biological resources, and thus is subject to risks such as: not being able to manufacture the required amount of products because of an inability to obtain the required amount of biological ingredients; and suffering a financial impact due to a steep rise in the price of biological ingredients. | ||
| 140 | 2014 | Kirin Holdings Co Ltd | Japan | Timber | Yes | The Kirin Group operates its risk management system across group companies, and assesses risks and opportunities from a general point of view. The level of importance is assessed for risks and opportunities on a yearly basis based on an impact x incidence scale, and a priority ranking is assigned to each risk and opportunity. Forest risk is also reflected in the business plan of the entire group based on KISMAP (a management system unique to the Kirin Group) upon establishing policies for the entire group at a corporate level on the basis of assessment results for those risks and opportunities. KISMAP is a management system unique to the Kirin Group that uses a balance scorecard. Under this system, strategies are developed from four points of view (i.e. financial point of view, customer’s point of view, process point of view, and learning/development point of view), and the performance of each process is confirmed by PDCA cycle to ensure that a target can be achieved. Kirin Group uses many paper packages to safely deliver products to customers, particularly in the integrated beverages business. Therefore, the Kirin Group has promoted green procurement and prioritized purchasing of recycled paper and eco-certified paper. However, with growing awareness for ecological risks in the source regions of biological materials used by our Group, it has become more apparent that preserving the ecological system including bio-diversity and sustainable use of forestry resources are imperative challenges for the sustainability of the Kirin Group. To address these challenges, we conducted a preliminary supply chain survey in 2012 for package materials and copy paper. The results demonstrated that there were no major problems related to the raw materials supplied by our dominant suppliers. On the other hand,as a result of risk analysis of the impact to ecosystem in the source regions of biological materials, it has become more apparent that global awareness to the issue of forest resources has increased and we also found that paper materials were distributed in the domestic market for which legal authenticity could not be verified. | Non-material risk | At present, no domestic laws and regulations refer to the sustainability of paper packages applicable to business organizations. While there is the “Green Purchasing Law” in Japan, this is applicable to government agencies, and private companies comply with the Law only as a guideline. Because we have already achieved the standard stipulated by the Green Purchasing Law, there is no material risk. We understand that EU countries ban timber obtained from illegal deforestation; therefore, such timber diverted to Japanese and Australian markets is increasing. However, Kirin controls the origins of timber based on our procurement standards and questionnaire to supply chain partners, so this has had no significant impact so far. Furthermore, we consider that there are no signs of potential implementation of regulatory controls. However, we continue to monitor regulatory controls. | Material risk | At present, awareness of the sustainability of paper among the general public is not high in the countries where we operate; Japan, Australia, and Brazil. However, because paper packages are a commodity used in people’s daily lives, there could be serious reputational risk if a problem arises as in the following cases: Several years ago, in Japan, deceptive labeling on the percentage of recycled paper used by paper manufacturers caused a serious problem with regard to paper available in the general market. In Australia, discussions are ongoing about regulatory controls for general package recycling. This trend could lead to reference to the sustainability of paper packages, while the probability is not very high. As a result, while there is no individual risk currently manifested, paper packages, which are familiar commodities in daily life, could cause a serious reputational risk if a problem attracts public attention. | Material risk | At present, awareness of the sustainability of paper among the general public is not high in the countries where we operate; Japan, Australia, and Brazil. However, because paper packages are a commodity used in people’s daily lives, there could be serious reputational risk if a problem arises as in the following cases: Several years ago, in Japan, deceptive labeling on the percentage of recycled paper used by paper manufacturers caused a serious problem with regard to paper available in the general market. In Australia, discussions are ongoing about regulatory controls for general package recycling. This trend could lead to reference to the sustainability of paper packages, while the probability is not very high. | |
| 141 | 2014 | Kirin Holdings Co Ltd | Japan | Palm Oil | Yes | The Kirin Group operates its risk management system across group companies, and assesses risks and opportunities from a general point of view. The level of importance is assessed for risks and opportunities on a yearly basis based on an impact x incidence scale, and a priority ranking is assigned to each risk and opportunity. Forest risk is also reflected in the business plan of the entire group based on KISMAP (a management system unique to the Kirin Group) upon establishing policies for the entire group at a corporate level on the basis of assessment results for those risks and opportunities. KISMAP is a management system unique to the Kirin Group that uses a balance scorecard. Under this system, strategies are developed from four points of view (i.e. financial point of view, customer’s point of view, process point of view, and learning/development point of view), and the performance of each process is confirmed by PDCA cycle to ensure that a target can be achieved. With regard to palm oil, we comprehensively surveyed raw materials during the period from 2011 to 2012 to understand the status of palm oil procurement. As a result, we confirmed that the Kirin Group uses palm oil as a raw material, although the amount is insignificant. Because palm oil is often produced in plantations reclacing from tropical rain forests, many international food manufacturers that use raw materials obtained from non-sustainable sources are already exposed to reputational risk. There is also a risk to leading integrated beverages manufacturers such as us. To address this challenge, we examined countermeasures in collaboration with WWF and started procurement of sustainable palm oil using the procurement method for sustainable eco-certified oil (Book & Claim method) approved by Roundtable on Sustainable Palm Oil (RSPO) for sustainable palm oil in the current “Action Plan.” | Non-material risk | At present, no domestic laws and regulations refer to the sustainability of palm oil. There are no signs of the potential introduction of regulatory controls. We consider that regulatory risk is low also in the countries of origin (Malaysia, Indonesia, etc.). | Material risk | It is often said that palm oil is used in almost half of the commodities sold in supermarkets. Therefore, people are gradually becoming aware of its sustainability. While some detergent manufacturers (chemical manufacturers) have been advised to take action to address this issue by NGOs etc., food manufacturers such as instant noodle manufacturers have been becoming targets recently. Within the Kirin Group, palm oil is used only for margarine and the amount used is extremely small. Although we consider the Kirin Group is less likely to become a target for this reason given such a trend, reputational risks are sometimes unpredictable. | Non-material risk | It is often said that palm oil is used in almost half of the commodities sold in supermarkets. Therefore, people are gradually becoming aware of its sustainability. While some detergent manufacturers (chemical manufacturers) have been advised to take action to address this issue by NGOs etc., food manufacturers such as instant noodle manufacturers have been becoming targets recently. Within the Kirin Group, palm oil is used only for margarine and the amount used is extremely small. Therefore, it is very unlikely that Kirin Group will become a target given such a trend. Besides, because alternative botanical oils are available, it is not difficult to replace the palm oil with one of them if using palm oil causes a problem. For this reason, operational risks are extremely low, although not 0%. | |
| 142 | 2014 | Kirin Holdings Co Ltd | Japan | Soy | Yes | The Kirin Group operates its risk management system across group companies, and assesses risks and opportunities from a general point of view. The level of importance is assessed for risks and opportunities on a yearly basis based on an impact x incidence scale, and a priority ranking is assigned to each risk and opportunity. Forest risk is also reflected in the business plan of the entire group based on KISMAP (a management system unique to the Kirin Group) upon establishing policies for the entire group at a corporate level on the basis of assessment results for those risks and opportunities. KISMAP is a management system unique to the Kirin Group that uses a balance scorecard. Under this system, strategies are developed from four points of view (i.e. financial point of view, customer’s point of view, process point of view, and learning/development point of view), and the performance of each process is confirmed by PDCA cycle to ensure that a target can be achieved. The Kirin Group manufactures and sells carbonate alcohol beverages with a beer-like taste in the Japanese market using soy as a raw material, and the Group is the top player in this sector (it is the only case in which soy is used as a raw material within our Group). With regard to soy, an issue related to the deforestation of rain forests in the Amazon Basin has been reported recently, because soybeans are often cultivated in resulting pastures. The Kirin Group could be exposed to reputational risk if it happens to purchase and use soybeans produced in such an area. In 2011, the Kirin Group investigated procurement source of soy and confirmed that it is in China. The Group also confirmed that there was no forest risk related to this procurement source. In this investigation, we confirmed that forest risk associated with soy existed mainly in Brazil. Therefore, we established a rule that our Procurement Division should consult the Environmental Management Division if any procurement of soy from Brazil is planned. While the United States is currently included as a procurement source, we also confirmed that procurement from the United States has no negative impact on forests. | Non-material risk | At present, no domestic laws and regulations refer to the sustainability of soy. There are no signs of the potential introduction of regulatory controls. We consider that the regulatory risk is low also in the countries of origin (China and the United States). | Non-material risk | Soy is used as a raw material only for a carbonate alcohol beverage with beer-like taste for the Japanese market. However, in the Japanese market, the general public is not aware of forest risk particularly in the Amazon Basin, caused by soy and concern is still low. Furthermore, currently, procurement source countries are China and the United States only. And we consider that there is no reputational risk. | Material risk | Soy is an agricultural product. Heavy rain or drought due to climate change would inevitably affect harvests. Besides, we cannot exclude the possibility that soy could compete with bio-fuels in the long run. In our case, soy is used as a raw material for a carbonate alcohol beverage with a beer-like taste for the Japanese market. So we consider that, even in the event of a supply risk, we can properly negotiate the purchase amount with our supply chain partners through the appropriate use of our influence supported by our bulk purchases of other raw materials, paying due care on our business needs and other social impacts.Besides, because both China and the United States are the countries of origin, we consider it is possible to reduce the risk. Even if one of these countries is affected by climate change, we could purchase from the other country. | |
| 143 | 2013 | Klabin S/A | Brazil | Timber | Partial | own timber - FSC certified third parties - follows FSC controlled wood procedure | No risk | Timber supply in Brazilian Southern Region for pulp and paper industry comes from legal planted forests. | No risk | Positive reputation cause uses timber from certified or controlled wood from planted foests. | No risk | ||
| 144 | 2014 | Klabin S/A | Brazil | Timber | Partial | Klabin adopts tools and processes to mitigate the principal risks involving the business, so as to maintain expected results in operations and their longevity. The management of risk is also intended to evaluate future aspects, capable of provoking negative impacts both on the activities and the reputation of the company and its relationship with its strategic stakeholders. The principal risks identified in the business are: Financial risks, Market risks, Credit risk, Environmental risks To act in a sustainable way, Klabin obeys strict guidelines laid out by its Environmental Management System, certified by ISO 14001, in its manufacturing operations and by FSC® in the forestry operations. Measures of Assessment of Aspects and Impacts, concerning the conservation of environment and maintenance of human health, ensure that the Principle of Precaution is applied, established by ECO92. Our own timber is covered by annual assessments conducted by an independent certification body for the FSC Certification System. FSC (Forest Stewardship Council) is a certification system that assures social, economical and environmental management of forests. Klabin is certified by Rainforest Alliance (one of certification bodies accredited by FSC) since 1998.Every year our forest management is audited in accordance to FSC Principles and Criteria (These Principles covers Social, Environmental and Economical Aspects) The timber coming from our suppliers is covered by a procedure called Controlled Wood of FSC. This procedure guarantees that this production of timber is made in a correct way and covers the main subjects of sustainability. In the controlled wood procedure, it is necessary to conduct some internal audits that are every year checked by certification bodies in the Chain of Custody Audit. Klabin has been increasing its program over the years to “insource” its labor in the Forestry operations, which has reduced the social risk of contracting outsourced workers in the wood supply chain. | Non-material risk | Timber supply in Brazilian Southern Region for pulp and paper industry comes from legal planted forests. Klabin planted forests are certified by FSC, what guarantees that this wood is produced in a sustainable way and there is a low risk regarding illegality or forest risk. Native forests are preserved in a mosaic system. Klabin adopts tools and processes to mitigate the principal risks involving the business, so as to maintain expected results in operations and their longevity. The management of risk is also intended to evaluate future aspects, capable of provoking negative impacts both on the activities and the reputation of the company and its relationship with its strategic stakeholders. The principal risks identified in the business are: Financial risks, Market risks, Credit risk, Environmental risks To act in a sustainable way, Klabin obeys strict guidelines laid out by its Environmental Management System, certified by ISO 14001, in its manufacturing operations and by FSC® in the forestry operations. Measures of Assessment of Aspects and Impacts, concerning the conservation of environment and maintenance of human health, ensure that the Principle of Precaution is applied, established by ECO92. Our own timber is covered by annual assessments conducted by an independent certification body for the FSC Certification System. FSC (Forest Stewardship Council) is a certification system that assures social, economical and environmental management of forests. Klabin is certified by Rainforest Alliance (one of certification bodies accredited by FSC) since 1998.Every year our forest management is audited in accordance to FSC Principles and Criteria (These Principles covers Social, Environmental and Economical Aspects) The timber coming from our suppliers is covered by a procedure called Controlled Wood of FSC. This procedure guarantees that this production of timber is made in a correct way and covers the main subjects of sustainability. In the controlled wood procedure, it is necessary to conduct some internal audits that are every year checked by certification bodies in the Chain of Custody Audit. Klabin has been increasing its program over the years to “insource” its labor in the Forestry operations, which has reduced the social risk of contracting outsourced workers in the wood supply chain. | Non-material risk | Klabin adopts tools and processes to mitigate the principal risks involving the business, so as to maintain expected results in operations and their longevity. The management of risk is also intended to evaluate future aspects, capable of provoking negative impacts both on the activities and the reputation of the company and its relationship with its strategic stakeholders. The principal risks identified in the business are: Financial risks, Market risks, Credit risk, Environmental risks To act in a sustainable way, Klabin obeys strict guidelines laid out by its Environmental Management System, certified by ISO 14001, in its manufacturing operations and by FSC® in the forestry operations. Measures of Assessment of Aspects and Impacts, concerning the conservation of environment and maintenance of human health, ensure that the Principle of Precaution is applied, established by ECO92. Klabin has been increasing its program over the years to “insource” its labor in the Forestry operations, which has reduced the social risk of contracting outsourced workers in the wood supply chain. Also, looking for defend its position, reputation and strengthen its strategy, Klabin participate in voluntary initiatives such as the Brazilian Program Companies for Climate (EPC – Empresas Pelo Clima), ongoing business platform, created by the Center for Sustainability Studies of the Fundação Getulio Vargas (FGV - GVCes), which has the commited to mobilize, sensitize and articulate business leaders to manage and reduce GHG emissions, the climate risk management and to propose public policies and positive incentives in the context of climate change. The Company also joined the Carbon Efficient Index (ICO2) of São Paulo´s Stock Exchange (Bovespa), launched in partnership with the Brazilian National Bank for Economic and Social Development (BNDES). The main objective of ICO2 is encouraging issuers of the most traded stocks on the Stock Exchange to assess, promote and monitor their GHG emissions, preparing thus to act in an economy of low carbon. | Material risk | Timber supply in Brazilian Southern Region for pulp and paper industry comes from legal planted forests. Klabin planted forests are certified by FSC, what guarantees that this wood is produced in a sustainable way and there is a low risk regarding illegality or forest risk. Native forests are preserved in a mosaic system. Klabin adopts tools and processes to mitigate the principal risks involving the business, so as to maintain expected results in operations and their longevity. The management of risk is also intended to evaluate future aspects, capable of provoking negative impacts both on the activities and the reputation of the company and its relationship with its strategic stakeholders. The principal risks identified in the business are: Financial risks, Market risks, Credit risk, Environmental risks To act in a sustainable way, Klabin obeys strict guidelines laid out by its Environmental Management System, certified by ISO 14001, in its manufacturing operations and by FSC® in the forestry operations. Measures of Assessment of Aspects and Impacts, concerning the conservation of environment and maintenance of human health, ensure that the Principle of Precaution is applied, established by ECO92. Our own timber is covered by annual assessments conducted by an independent certification body for the FSC Certification System. FSC (Forest Stewardship Council) is a certification system that assures social, economical and environmental management of forests. Klabin is certified by Rainforest Alliance (one of certification bodies accredited by FSC) since 1998.Every year our forest management is audited in accordance to FSC Principles and Criteria (These Principles covers Social, Environmental and Economical Aspects) The timber coming from our suppliers is covered by a procedure called Controlled Wood of FSC. This procedure guarantees that this production of timber is made in a correct way and covers the main subjects of sustainability. In the controlled wood procedure, it is necessary to conduct some internal audits that are every year checked by certification bodies in the Chain of Custody Audit. Klabin has been increasing its program over the years to “insource” its labor in the Forestry operations, which has reduced the social risk of contracting outsourced workers in the wood supply chain. | |
| 145 | 2014 | Kokuyo Co., Ltd. | Japan | Timber | Partial | Process: We select the products that are large production in our business, and we undertake a risk assessment of these products covering regulatory, reputational, and operational deforestation risk based on the criteria of F1.5. Solutions: - In 2011, KOKUYO established "KOKUYO group basic policy for timber procurement" that defines that we procure the sustainable forest resources as our material. - We procure materials for the most of paper product from Japanese paper manufacturing company through trading firms. The trading firms conduct appropriate forest management, so we can confirm that illegal logging does not happen. - In the case of office furniture, the Ministry of the Environment establishes "Law on Promoting Green Purchasing", and the criteria of its law include the legality of wood and wood products. Our office furniture meets the criteria so the deforestation risk is low. | Material risk | When we sell the products that meet the criteria of "Law on Promoting Green Purchasing," we must have full traceability and certificate that the product surely meets criteria. That is because our reliability is spoiled if the product does not meet the criteria. | Material risk | There is a risk of the decrease of brand reputation and sales because of NGO campaigns and corporate exposés, and high levels of media coverage around the issue. | Material risk | As the cost increases, the price of product increases. Especially, we sell many paper products, and there is no alternative source of supply. | |
| 146 | 2014 | PrimeAsia Leather Company | USA | Timber | No | No, as PrimeAsia is unable to source from office suppliers that provide enough information on their source to assess risk. | No risk | No regulatory risk in Asia for timber products. | No risk | Little reputation risk as the company purchases few timber products compared to other inputs. | No risk | ||
| 147 | 2013 | L'Oréal | France | Timber | Partial | L'Oréal only uses wood fibers from tree residues not suitable for wood making. The residues are obtained from a mixture of "hardwood" and "softwood" trees. We have put in place a process (supported by a database) to ensure that a balance is maintained between the ratio of hardwood/softwood residues. As a result, we have moved from 37 references to 12 references over the past few years - while maintaining our quality standards. Furthermore, according to our position paper on Paper Cardboard (in attachment), we explicitly demand that all of our suppliers of wood fiber-based products only use wood fibers from forests that are managed sustainably and that provide appropriate traceability. The wood fibers must come from a forest that is certified. All forests we are supplied from are either FSC or PEFC (and other certifications recognized by PEFC) certified. The process we have put in place ensures that all stages of our supply chain (forest-pulping-board-printing) use only FSC certified material. In France, the certificates are delivered by Bureau Veritas. Regarding packaging, 97,6% (compared to 93% in 2011) of worldwide cardboard is certified (among which 66% is FSC certification), 98;6 % of Europe sourced cardboard is certified, 87% of Asia sourced cardboard is certified, 100% Latin America sourced cardboard is certified (38% FSC, 62% PEFC), 100% USA sourced cardboard is certified (55% FSC, 45% PEFC). The same process has recently been put in place regarding POS : 56% of cardboard used in our POS is certified. The teams are actively working to achieve 100% certification for Flat Print POS starting with Europe zone. | Non-material risk | No regulatory risk considering that we comply with existing regulations and considering our extremely low consumption of this commodity for very specific uses. | Non-material risk | All of our timber for construction as well as packaging paper/board come from certified sustainable sources, and therefore should not be exposed to reputational risk | Non-material risk | No operational risk considering our supply chain control & monitoring process (see below) | |
| 148 | 2013 | L'Oréal | France | Palm Oil | Yes or 100% third party certified raw materials already achieved | At the end of 2012, all of L’Oréal’s palm oil purchases were made according to sustainable procedures whose aim is to guarantee preservation of the biodiversity of forests in South East Asia. Since 2010, direct purchases of palm oil (approximately 850 tonnes in 2012) have been based on total traceability certified by RSPO SG (Roundtable on Sustainable Palm Oil, Segregated Model). Since 2012, another category of ingredients, palm oil derivatives, whose supply channels are very complex, have also been certified as sustainable by the RSPO. This includes, for example, certain surface active agents which provide the detergent and foaming qualities of shampoos. They are compensated for by GreenPalm (RSPO Book & Claim) certificates, the purchase of which enables the marketing of an equivalent volume of palm oil certified as sustainable. The aim in the long term is that all raw materials obtained from palm trees should come directly from plantations certified as sustainable by the RSPO. | Non-material risk | No regulatory risk considering that we comply with existing regulations and considering our extremely low consumption of this commodity for very specific uses. | Non-material risk | Since the beginning of 2010, 100% of our palm oil comes from sustainable sources and CSPO certified (Segregated model). Therefore, there is no reputational risk for palm oil. For the palm oil derivatives, whose supply channels are very complex, they have also been certified as sustainable by the RSPO. They are compensated for by GreenPalm (RSPO Book & Claim) certificates, the purchase of which enables the marketing of an equivalent volume of palm oil certified as sustainable. However, we consider that they could represent in the furture a reputational risk. That is why, the aim in the long term is that all raw materials obtained from palm trees should come directly from plantations certified as sustainable by the RSPO. | Non-material risk | No operational risk considering our supply chain control & monitoring process (see below). Concerning the derivatives, we buy small volumes compared to the market size. Therefore, we could be impacted by a suppliers risk and a price risk. In addition, it is hard today to find in the market derivatives sourced via the Segregated model. | |
| 149 | 2013 | L'Oréal | France | Soy | Yes or 100% third party certified raw materials already achieved | Although L’Oréal is a low volume purchaser of soya oil and derivatives, L’Oreal sourced in 2012, 100% of its soya oil from certified sustainable sources. We want to go a step further by working on derivatives. | Non-material risk | No regulatory risk considering that we comply with existing regulations and considering our extremely low consumption of this commodity for very specific uses. | Non-material risk | No reputational risk given our extremely low levels of consumption and given to our sustainable sourcing. The Group obtains its organic soy from agricultural producers in Capanema in Brazil, who use traditional and ancestral multi-crop methods to plant, cultivate and harvest the soybeans, which are thus organic and GMO-free. By virtue of this Community Fair Trade programme, Capanema farmers obtain just and fair income from their soybeans and can therefore maintain their traditional lifestyle. At the end of 2012, all the Group’s soybean oil procurements were certified as sustainable: guaranteed GMO-free, produced by organic farming not contributing to deforestation and obtained from fair trade sources. | Non-material risk | No operational risk considering our supply chain control & monitoring process (see below). | |
| 150 | 2014 | L'Oréal | France | Timber | Yes | To make sure that none of its products were linked to deforestation, and conscious that some agricultural commodities may lead to deforestation, L’ORÉAL has been implementing specific action plans as regards to the sustainable sourcing of wood fiber based products since 2007. L'Oréal only uses wood fibers from tree residues not suitable for wood making. The residues are obtained from a mixture of "hardwood" and "softwood" trees. We have put in place a process (supported by a database) to ensure that a balance is maintained between the ratio of hardwood/softwood residues. As a result, we have moved from 37 references to 12 references over the past few years - while maintaining our quality standards. Furthermore, according to our position paper on Paper Cardboard (in attachment), we explicitly demand that all of our suppliers of wood fiber-based products only use wood fibers from forests that are managed sustainably and that provide appropriate traceability. The wood fibers must come from a forest that is certified. All forests we are supplied from are either FSC , PEFC and other certifications recognized by PEFC certified. The process we have put in place ensures that all stages of our supply chain (forest-pulping-board-printing) use only certified material. In France, the certificates are delivered by Bureau Veritas. To date, over 98% of paper and cardboard packaging comes from certified forests. Regarding packaging, 98% (compared to 93% in 2011) of worldwide cardboard is certified (among which 71% is FSC certification), 100 % of Europe sourced cardboard is certified, 85% of Asia sourced cardboard is certified, 100% Latin America sourced cardboard is certified, 98% USA sourced cardboard is certified. A similar process has been put in place regarding POS materials : more than 60% of cardboard used in our POS is certified ( considering that we get a 66% response rate from our sites). The teams are working to achieve 100% certification for Flat Print POS starting with Europe zone. The goal is to have 100% certified board and paper for packaging and POS by 2020. | Non-material risk | No regulatory risk considering that we comply with existing regulations and considering our extremely low consumption of this commodity. | Non-material risk | All of our timber for construction as well as packaging paper/board come from certified sustainable sources, and therefore should not be exposed to reputational risk | Non-material risk | No operational risk considering our supply chain control & monitoring process ( 94% of the printing companies that work with L'Oréal are FSC certified at our explicit request. L’Oreal requiremnts increased years after years, starting with the certified paper for packaging and then the request of certified printers, the work done on office paper in Europe and the on going job all over the world, and finally the implementation of same strong requirements for POS.). |
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Description
CDP’s forests program targets the largest companies globally, collecting data on their management of deforestation risk through the lens of key agricultural drivers of deforestation (timber, palm oil, soy, cattle products & biofuels). In 2015, 700 companies are requested to respond to the program. The request is issued on behalf of 298 investor signatories with $19 trillion in assets.
Dataset of risk data from respondents to CDP’s forests program in 2013 and 2014. Includes data on company risk assessment processes, as well as the reputational, regulatory and operational risks they identified. This dataset excludes private responders.
Please note that not all companies report on all forest risk commodities. This may be due to the company submitting a partial disclosure or because only a limited number of the commodities are relevant to their business.
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