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CERVEJA Sustainability Report 2013 Brewing a Better Future

Sustainability Report 2013 - Central de Cervejas · approach, see the HEINEKEN global online report. Each focus area is underpinned by clear commitments that state our ambitions for

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Page 1: Sustainability Report 2013 - Central de Cervejas · approach, see the HEINEKEN global online report. Each focus area is underpinned by clear commitments that state our ambitions for

CERVEJA

SustainabilityReport 2013Brewing a Better Future

Page 2: Sustainability Report 2013 - Central de Cervejas · approach, see the HEINEKEN global online report. Each focus area is underpinned by clear commitments that state our ambitions for

SCC is part of the HEINEKEN Company, the world’s most international brewer, with its brands available in 178 countries around the world. Sustainability is one of the core business priorities of SCC, and the program Brewing a Better Future is one of SCC’s strategic focus.

We are A proud, independent, brewer committed to surprising and exciting consumers everywhere.

We value A passion for quality, enjoyment of life, respect for people and our planet.

We want To win in our chosen markets with our major brands Sagres, Heineken® and Água de Luso.

Note: SCC-Sociedade Central de Cervejas e Bebidas, or simply SCC refers to the Group Sociedade Central de Cervejas e Bebidas, S.A., Sociedade da Água de Luso, S.A. (SAL) and Novadis.

Our Sustainability Report 2013

Welcome

Page 3: Sustainability Report 2013 - Central de Cervejas · approach, see the HEINEKEN global online report. Each focus area is underpinned by clear commitments that state our ambitions for

In a context of economic difficulties, it tends to be easier to focus on the short term. However, we must continue looking at the future, investing and adapting ourselves to promote a sustainable business.

The past two years as Central de Cervejas e Bebidas (SCC)’s CEO, have been quite challenging.

In an increasingly demanding market and economically difficult context, it is easy to overlook the future and simply focus on solving the immediate problems of today. In 2014, SCC celebrates its 80th anniversary and to ensure that the company will become even stronger, it must invest in the future: in our brands, our equipment and facilities, our People and our relationship with the market.

Over the last few years we GREW our business in a sustained manner, particularly in the domestic market: we invested in value-generation areas and we want to WIN, through the strength of our brands, our innovations and our People’s talent.

Focused on the “GROW and WIN” strategy, in 2013 we were able to achieve good results:• We had over 1 400 days without a lost time accident

at our water plant in Vacariça;• We innovated with Sagres Radler, SCC’s largest ever

launched product; • Sagres beer became leader in the Off Trade market

and kept its leadership in the On Trade channel, consolidating its position as the favourite beer among the Portuguese population;

• Our Route to Market underwent a turnaround, with the implementation of Novadis, the aim of which is to become our clients’ preferred partner and the preferred Route to Market of all beverage suppliers;

• The Luso brand grew both in volume and market share, thanks to the success of Luso de Fruta’s latest innovation and the 7-litre Água de Luso bottle;

• Conclusion of major investment in the modernisation and automation of our brewhouse (mashing) in Vialonga.

Emphasising what I said before about investing in the future, namely in our brands, our equipment and facilities, our People and our relationship with the market, these good results reflect and contribute to SCC’s business sustainability.

Imbedding and integrating sustainability in our activity is crucial to the generation of shared value for the Company, our Stakeholders, Society and the Planet.

SCC has shown that it is possible to “GROW and WIN” in the market while “Brewing a Better Future”, reducing water and energy consumption, cutting down CO2 emissions along the value chain, obtaining raw materials from sustainable sources, promoting responsible consumption and always ensuring our People’s safety, health and human rights.

Throughout this report, we share with our Stakeholders the best examples of our good practices developed during 2013, which are the result of the combined efforts and involvement of all parties and express the fulfilment of our pre-defined objectives, the success of our strategy and SCC’s recognition as a Company with high reputation in the national brewing sector.

Ronald den ElzenCEO SCC

Central de Cervejas e Bebidas 1Sustainability Report 2013

CEO Foreword

Page 4: Sustainability Report 2013 - Central de Cervejas · approach, see the HEINEKEN global online report. Each focus area is underpinned by clear commitments that state our ambitions for

Our ways of working

Advocating responsible consumption

Our focus

Protecting waterresources

Our strategy

Our business priority Embed and integrate sustainability

Reducing CO2

emissions

Values andbehaviours

Sourcingsustainably

Sustainability is one of the six key business priorities of the Group, to which we belong. The strategy is focused in four different areas in which we believe that we can really make a difference: water, CO2, raw material sourcing and responsible consumption. These are areas with great relevance both to our business and to our Stakeholders. In turn they are based on our values and behaviours, that is, to live according to our values, led by example and work together to make a difference.

Brewing a Better Future is HEINEKEN’s aligned strategy, whose aim is creating shared and sustainable value: for our Company, society and the planet.

2 Central de Cervejas e BebidasSustainability Report 2013

The big picture

Brewing a Better Future

Page 5: Sustainability Report 2013 - Central de Cervejas · approach, see the HEINEKEN global online report. Each focus area is underpinned by clear commitments that state our ambitions for

1 Baseline 20082 Baseline 20103 Baseline 2011

For more information about our Brewing a Better Future approach, see the HEINEKEN global online report.

Each focus area is underpinned by clear commitments that state our ambitions for 2020, with three-year milestones to be achieved by 2015.

Central de Cervejas e Bebidas 3Sustainability Report 2013

The global 2020 commitments

Protecting water resources• Reduce specific water consumption in the breweries by 25%1 to 3.7 hl / hl• Aim for significant water compensation/balancing by our production units

in water-scarce and distressed areas.

Reducing CO2 emissions • In production by 40%1

• Of our fridges by 50%2

• Of distribution by 20%3 in Europe and the Americas.

Sourcing sustainably • Aim for at least 50% of our main raw materials from sustainable sources • Deliver 60% of agricultural raw materials in Africa via local sourcing within the continent• Ongoing compliance with our Supplier Code procedure.

Advocating responsible consumption• Make responsible consumption aspirational through Heineken®

• Every market in scope has and reports publicly on a measurable partnership aimed at addressing alcohol abuse

• Deliver global industry commitments.

Page 6: Sustainability Report 2013 - Central de Cervejas · approach, see the HEINEKEN global online report. Each focus area is underpinned by clear commitments that state our ambitions for

From barley to bar

Values and behaviours

Responsible consumption

Sourcing

CO2

Water

Focus areas

Ways of working

ConsumerCustomerDistributionPackagingBrewingMaltingAgriculture

Our approach to sustainabilitycovers the entire value chain.

4 Central de Cervejas e BebidasSustainability Report 2013

The big picture

From barley to bar

Page 7: Sustainability Report 2013 - Central de Cervejas · approach, see the HEINEKEN global online report. Each focus area is underpinned by clear commitments that state our ambitions for

ConsumerCustomerDistributionPackagingBrewingMaltingAgriculture

ConsumerCustomerDistributionPackagingBrewingMaltingAgriculture

ConsumerCustomerDistributionPackagingBrewingMaltingAgriculture

ConsumerCustomerDistributionPackagingBrewingMaltingAgriculture

ConsumerCustomerDistributionPackagingBrewingMaltingAgriculture

ConsumerCustomerDistributionPackagingBrewingMaltingAgriculture

ConsumerCustomerDistributionPackagingBrewingMaltingAgricultureAgriculture

Our main raw materials arebarley and hops. We continuously cooperate with farmers and national agricultural coops encouraging them not only to grow malting barley but also purchasing the entire national crop production. We always privilege national raw materials.

Malting

We malt barley in our own malteries. In the process, we consume energy and water and therefore we have implemented active energy and water reduction programmes.

Brewing

The brewing process also consumes energy and water. Reducing energy consumption means increasing energy efficiency and switching to alternative energy sources where feasible. Water reduction is mainly achieved by optimising the brewing process.

Packaging

Beer is packed in cans, bottles and kegs or sold in beer drivers . Improving the impact of packaging can be achieved by optimising the production process, changing the design and increasing the recycling and reuse rate.

Distribution

After beer is packaged, it is distributed to a warehouse or customer using different transportation modes, including truck and sea freight. Distribution is optimised by changing transportation forms, drivers’ training, and using more efficient engines and vehicles and networks with improved design.

Customers

Beer is consumed cold and is therefore cooled at the point of consumption in fridges or draught equipment. All new fridges purchased by SCC, are compliant with the Group’s defined green standards.

Consumers

We have been promoting the responsible consumption of beer for a long time. In 2006 we subscribed the APCV (Portuguese Brewers Association) self-regulatory code that banned advertisements that might potentially have appealed to those under the legal drinking age. Today, our standards for Responsible Commercial Communication have evolved from these first few steps into a far-reaching set of rules. As a beverage industry, we have put in place a set of binding commitments and partnerships aimed at reducing alcohol-related abuse.

Central de Cervejas e Bebidas 5Sustainability Report 2013

Page 8: Sustainability Report 2013 - Central de Cervejas · approach, see the HEINEKEN global online report. Each focus area is underpinned by clear commitments that state our ambitions for

Balancing the needs of the community with our needs is at the heart of our approach to water usage.

Why this is important Water is one of the most important ingredient in beer production: about 95% of beer is water. As such, it is vital to our business and is hence one of the focus areas in the Brewing a Better Future programme. It is our commitment to reduce water usage in our operations.

Water is not only vital to our business, but also for each one of us living on this planet. Fully aware of the urgent need for responsible water usage, we have developed strategies for water resources management.

We continue working hard on improving water consumption efficiency at our production facilities, warehouses and offices. Our 2013 results encourage us to continue our journey, promoting the responsible use of this priceless resource, water.

Our priorities • Protect our water resources, considering the risk of water

shortage in the forthcoming decades • Reduce the amount of water used in production • Keep implementing processes that lead us to a significant

reduction in water consumption in our sites.

6 Central de Cervejas e BebidasSustainability Report 2013

Our focus areas

Protecting water resources

“ Water is an important resource, both now and in the future. Considering its scarcity, we must all contribute to mitigate the challenges related with this issue.”Manuel GalvãoBrewery Manager

Page 9: Sustainability Report 2013 - Central de Cervejas · approach, see the HEINEKEN global online report. Each focus area is underpinned by clear commitments that state our ambitions for

2.5

2.7

2.7

2013

2012

2011

Actions and results Water ConsumptionThe specific water consumption of the beverage production units of Sociedade Central de Cervejas e Bebidas, S.A. decreased from 2.7 hl / hl in 2012 to 2.5hl / hl in 2013.

With 2.5 hl / hl, the specific water consumption of the beverage production units of SCC is lower than the HEINEKEN group average of 4.1 hl / hl.

Specific water consumptionhl / hl beer + soft drink + water

Protecting Water ResourcesAt SCC we continuously seek to improve the impact of our brands and business, engage people and the communities where we operate and communicate positively the role of beer in our society. Brewing is a process which is water intensive and we are therefore committed to improving the sustainability of our business by reducing the consumption of such a priceless resource.

Considering the risk of water shortage in the forthcoming decades, SCC continuously seeks to achieve a positive balance between the existing challenges for the environment, industry and sustainability. Reusing water enables to obtain big savings in consumption, thus helping to avoid its scarcity.

By using low fouling reverse osmosis membranes and advanced chemistry technology, SCC was able to improve tertiary water treatment performance, thus increasing the rate of recovered water usage by 21 million litres compared to 2012.

Utilization of this recovered wastewater in the cooling towers enables us to avoid the yearly water discharge of 72 million litres, reducing therefore the annual fresh water consumption by the same amount.

Technologic advances over recent years have led to additional initiatives, namely:• The improvement of Cooling Towers monitoring systems

combined with advanced chemistry techniques allowed us to reduce make-up water consumption in the process by controlling concentration cycles at higher rates;

• Improvements implemented in the pasteurisation process also led to a significant reduction in water and steam consumption.

In recognition of SCC’s sustainability initiative and its commitment to reuse water and reduce both its fresh water consumption and wastewater discharge, the GE ecomaginationSM Award was given to Sociedade Central de Cervejas e Bebidas.

Central de Cervejas e Bebidas 7Sustainability Report 2013

72 million litres of recovered water usage

with GE Technology

Page 10: Sustainability Report 2013 - Central de Cervejas · approach, see the HEINEKEN global online report. Each focus area is underpinned by clear commitments that state our ambitions for

SCC ACHIEVED A REDUCTION IN CO2 EMISSIONS FROM DISTRIBUTION

13.8%

17%

6%8%

28%

31%

10%

In 2013, we made good progress in reducing our CO2 emissions. Our focus is on reducing the total carbon footprint of our products across the value chain.

Why this is importantCO2 emissions directly contribute to climate change, causing temperatures and sea levels to rise. This in turn has an impact on the availability and cost of raw materials and other resources.

We believe it is our responsibility to play an active role in the reduction of CO2 emissions across the value chain, from barley to bar. We have ambitious targets for doing so within the brewing, cooling, and distribution areas of our business.

The Group breweries are increasingly using renewable energy sources like solar, wind and biogas. We are also working with suppliers to reduce emissions in the design and production of our packaging, and with consumers to focus on recycling.

Carbon footprint HEINEKEN Global From barley to bar

8 Central de Cervejas e BebidasSustainability Report 2013

Our focus areas

Reducing CO2 emissions

Agriculture Malting and adjuncts Beverage production Packaging material production Distribution Cooling

Page 11: Sustainability Report 2013 - Central de Cervejas · approach, see the HEINEKEN global online report. Each focus area is underpinned by clear commitments that state our ambitions for

Our priorities• Reduce emissions in production, by increasing energy

efficiency and making renewable energy sources part of the energy mix

• Keep lowering emissions of our fridges, by working with suppliers to develop best-in-class draught equipment technology and making sure that all our fridges comply with the global fridge policy

• Pursuing improvements in the areas: Logistics and distribution and packaging materials production in order to have carbon emissions reduction in all chains.

Actions and resultsProductionAt SCC we are working hard to increase the energy efficiency of our production units, offices and warehouses. In 2013, we made good progress.

Specific total energy consumptionThe specific total energy consumption of the beverage production units of SCC dropped from 74.4 MJ / hl in 2012 to 63.6 MJ / hl in 2013, lower than the HEINEKEN group average of 103.0 MJ / hl.

Specific total energy consumption MJ/hl beer + soft drink + water

Note: As from 2013, a new methodology has been used.

The specific thermal energy consumption of the beverage production units of SCC decreased from 49.5 MJ / hl in 2012 to 40 MJ / hl in 2013. In Vialonga Brewery, a new brewhouse was installed, thereby increasing thermal efficiency. This specific thermal energy consumption is lower than the HEINEKEN group average of 72.8 MJ / hl. The specific electricity consumption of the beverage production units of SCC decreased from 6.9 kWh / hl in 2012 to 6.6 kWh / hl in 2013, lower than the HEINEKEN group average of 8.4 kWh / hl.

Specific direct and indirect CO2 emissionThe specific direct and indirect CO2 emission of the beverage production units of SCC decreased from 5 kg CO2 / hl in 2012 to 4.3 kg CO2 / hl in 2013. With 4.3 kg CO2 / hl, the specific direct and indirect CO2 emissions are lower than the HEINEKEN group average of 7.7 kg CO2 / hl.

Green DistributionSCC achieved a 13.8% reduction in emissions from distribution. This result shows that Portugal exceeded the 2013 reduction target of 3.4% and was one of the best performing OpCo’s in HEINEKEN. Some of the drivers of CO2 reduction were:• TPM initiatives for more optimised routing (leading

to km/shipment reduction)• Reduction in inter-unit FG shipments.

With the Brewhouse Master Plan Project (BMP), several changes and improvements were done in two Brewhouses, including a new Meura filter, allowing the stoppage of Brewhouse 3 (less efficient in thermal consumption), while maintaining the same production capacity. A new control and automation system was installed, improving boiling control. Several thermal losses that occurred before were eradicated through insulations. All these changes produced a 25% reduction of thermal consumption on Brewhouse.

63.6

74.4

72.3

2013

2012

2011

Central de Cervejas e Bebidas 9Sustainability Report 2013

Page 12: Sustainability Report 2013 - Central de Cervejas · approach, see the HEINEKEN global online report. Each focus area is underpinned by clear commitments that state our ambitions for

SCC wants to operate in a way that improves the quality of life for local individuals and communities, helps the environment and ensures a consistent supply of our raw materials.

Why this is important As global demand for food continues to grow, responsible agriculture and sourcing have never been more important. The key issue facing global agriculture is on how to increase productivity in a more sustainable way in order to meet this rising demand.

Through our local sourcing projects for barley, we are helping farmers and farmers associations to improve yields and compete against imported crops. Local sourcing also benefits SCC and the Portuguese economy, as it reduces imports, secures a sustainable supply of raw materials and reduces our transport-related footprint.

Our suppliers are the key to help us reach our sourcing commitments. We are working together to ensure we implement the right practices throughout our value chain, and we ask them to respect and abide by the principles expressed in our Supplier Code.João Paulo Mendes

Malt, Brewing and Utilities Manager

“ The long term SCC’s policy for national barley has been consistent: our support to new varieties development has enabled farmers to get more efficient cultures, improving their yield.”

10 Central de Cervejas e BebidasSustainability Report 2013

Our focus areas

Sourcing sustainability

Page 13: Sustainability Report 2013 - Central de Cervejas · approach, see the HEINEKEN global online report. Each focus area is underpinned by clear commitments that state our ambitions for

Our priorities • Support the development of the barley value

chain, through the Brewers Association (Barley and Malt Committee)

• As a key player in the market, develop long term relationships with farmers and farmers associations

• Ongoing compliance with our Supplier Code procedures.

Actions and resultsDevelopment of the barley value chainA barley and malt committee has been set up by the Brewers´ Association with the aim of promoting the barley culture and supporting the research and approval of the most efficient barley varieties. Higher yield varieties will improve barley competitiveness among other cereals and thus guarantee higher returns for farmers.

Both malting companies are represented at the committee, together with an agriculture research organization. Tests on barley varieties are carried out annually involving its different dimensions (agriculture, malting and brewing), the results of which are then analysed and a bulletin is issued indicating the approved varieties. This work has already led to important results: the variety Pewter was evaluated under this procedure, approved for 2009 crop and in 2013 represented 87% of the supplied barley.

In terms of maize grits, SCC is supplied with 100% national maize grits. As a result of the support given to local farmers and to SCC’s extremely demanding specifications, national producers use 100% national maize for grits production.

Long term relationshipsOver the years, SCC has been supporting both farmers and farmers associations’ so that they opt for barley as their preferred crop. Supporting the commitment with farmers and promoting new contracts, SCC provides a steady approach to the market. This approach has enabled SCC to increase Portuguese barley purchases by 30% in relation to 2012.

Supplier CodeBy the end of 2013, 934 of our suppliers had signed the Supplier Code. The Supplier Risk Assessment has been made to these 934 suppliers. The result was encouraging since only 24 suppliers of the total (2,6%) were identified to join the EcoVadis monitoring. We didn’t have suppliers with the status of “High Risk”.

We are committed to making a positive contribution to society by extending our ways of working to our suppliers. We expect all our suppliers to help us to fulfil this commitment by actively supporting and respecting our values in their own business practice. By signing the Supplier Code, suppliers agree to comply with key elements of integrity, environment and human rights.

In Portugal, the barley varieties are yearly revised and approved in order to standardize the market and improve results’ reliability. The barley and malt committee of the Brewers’ Association is an important sector stakeholder, recognized by its work on strengthening the Barley culture.

Central de Cervejas e Bebidas 11Sustainability Report 2013

Page 14: Sustainability Report 2013 - Central de Cervejas · approach, see the HEINEKEN global online report. Each focus area is underpinned by clear commitments that state our ambitions for

Responsible consumption is one of our greatest business challenges. We want to contribute with solutions that are advantageous for all Society, Consumers and the Company.

Why this is important Alcohol abuse is a very real societal issue. It is the world’s third largest health risk factor and the second major risk factor in Europe.

Responsible Consumption is a critical issue to our business and SCC is committed to being a part of the solution, promoting an innovative and comprehensive approach to alcohol-related harm and making moderate consumption a part of a positive lifestyle.

Through partnerships, we have made significant progress in addressing the issue of abusive consumption, underage drinking and drinking and driving. The partnerships with credible and recognised stakeholders, such as PRP – Prevenção Rodoviária Portuguesa, ACP – Automóvel Clube de Portugal and more recently with APR – Aliança para a Prevenção Rodoviária represent the efforts we are making to raise awareness, by promoting educational programmes to prevent and reduce risk behaviours, particularly when driving.

“ For us, responsible consumption is a public commitment. We are fully aware that abusive drinking is a complex problem for Society and we want keep helping to minimizing its impact.”Nuno Pinto de MagalhãesHead of Corporate RelationsSustainability Coordinator

12 Central de Cervejas e BebidasSustainability Report 2013

Our focus areas

Advocating responsible consumption

PROMOTION OF OUR NON-ALCOHOLIC BEER SAGRES SEM ÁLCOOL

Page 15: Sustainability Report 2013 - Central de Cervejas · approach, see the HEINEKEN global online report. Each focus area is underpinned by clear commitments that state our ambitions for

Our priorities • Make responsible consumption aspirational bringing the

message directly to our consumers, through our brands.• Build consistent partnerships and work closely together

with local the authorities, NGOs and specialists to encourage responsible consumption and address alcohol-related harm

• Taking action at industry level, in collaboration with our Brewers Association in the following key areas: underage drinking, binge drinking and drinking and driving.

Actions and resultsPartnership with EPIS promotes Responsible ConsumptionIn the scope of our support to the CAIS – Futebol de Rua Project and in a joint initiative with EPIS – Empresários pela Inclusão Social, we organised a workshop specifically focused on the Responsible Consumption of Alcoholic Drinks. This initiative was carried out among a group of youths that use sport not only as a social inclusion tool, but also to help them develop different skills and to fight against poverty.

Around 210 youths, aged between 16 and 24, participated in this interactive action. These young people were informed about the alcohol-related risks.

Simultaneously with this, other skills essential for youngsters with social exclusion problems like self-control and motivation and required for any process involving change, were also discussed.

Campaign “Segurança sobre Rodas” (Safety on Two Wheels)The campaign “Segurança sobre Rodas”, launched by Fundação da Juventude (Youth Foundation), sponsored by APCV and its members, SCC included, raised the awareness of young drivers (or future drivers) of two wheel-vehicles to the issue of road safety.

The aim of this campaign is to educate young drivers, mostly secondary school students, to be civically responsible, avoiding risk behaviours such as abusive alcohol intake, alerting them to the establishment of safe and clear drinking limits.

Sagres provides free transportation to the Lisbon Popular FestivitiesOn the evening of June 12th, Sagres beer, the leading brandin the domestic market, once again offered the Lisbonpopulation and anyone else interested, free transportationto the Lisbon popular festivities. This reflects the concernwith safe driving and our consumers’ well-being and safety,promoting the latter’s individual and social responsibility.

Heineken® was Premium Sponsor and official beer of Optimus Alive’13 for the second consecutive year. In the scope of the Heineken® Responsible Consumption action, whose motto was “Think you look cool? Drink in moderation” Optimus Alive festival goers, aged over 16 years old, were challenged and filmed while walking along a circuit drawn on the ground, using special glasses that simulated the vision of a person with 0.8g of alcohol in the blood. With this initiative we raised awareness to the moderate and responsible consumption of beer. Around 1,100 people participated in this challenge.

Central de Cervejas e Bebidas 13Sustainability Report 2013

4 RELEVANT PARTNERSHIPS FOCUSING ON RESPONSIBLE CONSUMPTION

Page 16: Sustainability Report 2013 - Central de Cervejas · approach, see the HEINEKEN global online report. Each focus area is underpinned by clear commitments that state our ambitions for

Commerce Logistics and Distribution Production

670EMPLOYEES HAVE ACCESSTO HEALTH INSURANCE

3%

16%

81%

1.2

1.4

2.4

2013

2013

2012

Target Actual

Brewing a Better Future is integral to our way of working. Health and safety of our employees’ as well as human rights have long been embedded in our culture and processes. Through our Code of Business Conduct we are committed to conducting business with fairness, integrity and respect for the law and our values. We also have a long history of contributing to the communities in which we operate.

Health and SafetyAccident frequency In 2013 we continued focused on safety and accident prevention; however accident frequency increased from 1.4 in 2012 to 2.4 in 2013.

Our values represent what we stand for as a corporate citizen, a business partner and employer. How we behave and how we work together is key to our success.

Accident frequencycases/100 FTE for all sites

These results can be justified by the acquisition by SCC, on 31st January, of Sodicel’s beverage sales and distribution business, now NOVADIS. An effort has been made by promoting training and raising awareness of our employees in order to avoid and reduce these accidents rate.

Accidents per functionTotal casesSociedade Central de Cervejas e Bebidas

14 Central de Cervejas e BebidasSustainability Report 2013

Our ways of working

Values and behaviours

Page 17: Sustainability Report 2013 - Central de Cervejas · approach, see the HEINEKEN global online report. Each focus area is underpinned by clear commitments that state our ambitions for

Accident severity decreased from 79 to 67, even though there was an increase of 117 in FTE. Compared with 2012, the number of serious accidents involving company personnel increased between 2012 and 2013, with 16 accidents reported. The number of incidents decreased. In 2013 it was not registered any accident involving contractors.

HealthcareSCC signed up for health insurance with Generali, which works with the Advance-Care system, one of the country’s major health care providers. All SCC’s permanent staff members are now covered with health insurance. We aim to continue investing in a quality service and above all in our employees’ well-being.

IntegrityHEINEKEN’S new Code of Business Conduct came into force on January 1, 2013 and was made available in Portuguese, both in paper and online, to all SCC’s employees on October 8, 2013. Our Code (HeiCode) reflects HEINEKEN’s values and the way in which all employees must behave and perform their respective business duties on a daily basis. By displaying our values, establishing trusting relationships and adhering to our Code of Business Conduct we are helping to keep our excellent reputation and pave the way for our future success.

Investing in our CommunitiesThe SCC, as part of its Social Responsibility Policy, has offered on the Christmas season, a different day full of excitement and surprises to over 100 users of the IPSS (Private and Social Solidarity Institutions), organizations that integrate young people, with special needs, from the Municipality of Vila Franca de Xira, where we operate.

Another volunteering programme supported by SCC/SAL was the establishment of a partnership with Junior Achievement and the Municipality of Aveiro for the implementation of the programme – “Learning Entrepreneurship – The Community” in local schools, carried out by volunteers of Sociedade Água de Luso.

SCC renewed the protocol with the Vila Franca de Xira Municipal Council, with a donation of € 100.000 intended to help families in need and various associations in the municipality. One of the company’s top concerns is to participate in the region’s economic and social development, supporting the council’s community, in which the Vialonga Brewery is located.

SAGRES has added Braille information in all its packs, a tactile function with information about the different types of beer (whether it is a Bohemia, Lager, Dark, Non-Alcoholic or Radler), the bottle’s capacity and alcohol content. This unique initiative, launched by the leading beer brand in the domestic market, was created in conjunction with ACAPO – Associação dos Cegos e Amblíopes de Portugal (Portugal’s Association for the Blind and Visually Impaired) and is part of the brand’s social responsibility policy.

Central de Cervejas e Bebidas 15Sustainability Report 2013

SCC’s SOCIAL INVESTMENT € 114,500

Page 18: Sustainability Report 2013 - Central de Cervejas · approach, see the HEINEKEN global online report. Each focus area is underpinned by clear commitments that state our ambitions for

39 SCC IS ONE OF THE 39 HEINEKEN OPERATING COMPANIES THAT PUBLISHED A LOCAL SUSTAINABILITY REPORT

GovernanceThe governance model for Brewing a Better Future applied both on a global and local level. In 2013, the model was updated at global level.

At a local level, each Operating Company of HEINEKEN group, such as SCC, has its own three-year plan and a local sustainability committee responsible for its implementation. This Committee is responsible for delivering our plans and establishing clear functional duties and alignment across the business.

All developments and issues related with the Brewing a Better Future programme are regularly on the agenda of the Executive Committee and on the agenda of every management team in our operating business.

Building sustainability into performance plans Sustainability remains an ongoing part of the performance plans of SCC’s and the Group’s senior management. It is one of the five merit areas for senior managers in their Annual Performance Appraisal.

In 2013, 100% of SCC’s senior managers had an objective based on sustainability. The basis for the objective setting is the four focus areas and the values and behaviours, which have in turn been created as objectives for each Operating Company and function.

Measuring progressBrewing a Better Future is one of HEINEKEN’s six strategic priorities. It therefore forms part of the Company Scorecard, used for measuring progress on each of these priorities.

This is done via a dedicated measurement system called ‘Green Gauge’. The system measures progress on each commitment across all companies and allows to assess delivery by commitment, Operating Company, region, function and the global Company.

Local sustainability reportingAs part of our commitment to transparent reporting, in 2013 a total of 39 HEINEKEN Operating Companies published a local sustainability report or fact sheet. These can all be viewed on HEINEKEN’s website.

Brewing a Better Future will only succeed if the preconditions for success are defined and in place. A clear governace model and a system that measures progress are essential.

16 Central de Cervejas e BebidasSustainability Report 2013

The bigger picture

Embedding sustainability

Page 19: Sustainability Report 2013 - Central de Cervejas · approach, see the HEINEKEN global online report. Each focus area is underpinned by clear commitments that state our ambitions for

Stakeholder groups with which HEINEKEN NV engaged at a global level in 2013

Governments

Industryassociations

Suppliers

NGOs & internationalorganisations

Consumers

Employees

Employeerepresentatives

Investors

Stakeholderengagement

Crucial to our Brewing a Better Future journey are our stakeholders. They help us to stay focused and tell us when they feel we are moving off-track.

Engaging with stakeholdersSCC’s Reputation Research shows that, overall our stakeholders have a very favourable perception of the Company. They consider SCC as a Company leading on its long term relationship with stakeholders, its overall market share, and a strong emotional connection to the Company and its brands. Leadership and Business Performance are also seen by our stakeholders as strengths based on close relationships with our business partners, founded on trust and good communication.

By actively listening and building close relationships with our partners, we are able to instil their suggestions for improvement in the way we do our business.

Increasing visibility and communication on CSR initiatives, in particular on water usage and responsible drinking habits among young people; Developing more environmentally-concerned initiatives, involving business partners; Ensuring relevance in the current economic climate are key issues that we should address as we strive to be stronger, bolder and better.

Working with partnersThroughout 2013 we continued actively engaging our stakeholders, promoting new partnerships and consolidating existing ones.

Of extreme relevance to the Brewing a Better Future programme is the unique partnership with the Environmental NGO – Quercus, committed with the development of environmental and sustainability good practices.

What our Stakeholders say about SCC and its brands

Central de Cervejas e Bebidas 17Sustainability Report 2013

Stakeholder dialogue

Page 20: Sustainability Report 2013 - Central de Cervejas · approach, see the HEINEKEN global online report. Each focus area is underpinned by clear commitments that state our ambitions for

See the SCC’s Sustainability Report 2013 in

www.centralcervejasbebidas.pt

For the full Sustainability Report 2013 including detailed performance data and moving images, visit

www.sustainabilityreport.HEINEKEN.com

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