Sustainability Report 2015 Brewing a Better World Introduction Our Focus Areas Our People Our Partners

Sustainability Report 2015 Brewing a Better World Introduction Our Focus Areas Our People Our Partners A Word from David David Forde, Managing Director A year of collaboration 2015 marked the 10th year of our partnership We’re enlisting the help of our colleagues to with Addaction, the UK’s largest alcohol make health and safety HEINEKEN’s number for good addiction charity. People often ask, how can one priority. 2015 was a disappointing year an alcohol company work so well with a charity for our safety record with 11 accidents. Welcome to our Sustainability Report and that’s dealing with alcohol harm? But great We clearly have more work to do, but I’m an update on how we performed in 2015. businesses shouldn’t shy away from difficult confident we can get back on track. We’ve conversations, and our long-standing developed 12 Life Saving Rules which we’ll In terms of the big picture, there’s a lot the partnership shows what can be achieved be rolling out in 2016, along with a safety business can be proud of. We’ve turned around when they don’t. It’s gone from strength awareness campaign. And importantly, I know cider sales and are in a great place with our to strength over the last 10 years and has everyone in the business is fully on board with Star Pubs and Bars estate. brought about real change. I was particularly our mission to create a culture where safe That said, we’re still operating in a challenging proud of how our colleagues continued to behaviours are lived day in day out. market. Beer volumes are declining and respond to our Act for Addaction campaign By working with colleagues, suppliers and competition is tough, especially in the grocery in 2015. Their enthusiasm for our partnership charities – and all those involved with our market. And we’re not alone in dealing with some saw us collectively volunteer 1,940 hours and business – we’re able to have a lasting positive major sustainability issues – climate change and fundraise £336,000 to help the service users impact. In 2016, we’ll further invest in the sustainable farming to name just a couple. we support over the past two years. strong partnerships we’ve fostered. We’ll Faced with difficult situations is a constant Our ‘moderation movement’ also gained respond to our partners’ guidance on how reminder of the volatile world we live in. But momentum in 2015. We aired the third in a we can better support the communities where importantly, this drives us to innovate – to look series of responsible drinking ads, ‘Moderate we work, promote alcohol moderation and for new and better ways to do things. Our Drinkers Wanted’, which reached around continue to reduce our environmental impacts Brewing a Better World strategy is so important 6.3 million consumers. across our supply chain. to our business because it makes us continually To help UK barley farming become more innovate and improve. It helps us have a positive sustainable, we’re working with our barley impact on the people and places where we work. suppliers on an exciting initiative, Profiting from It’s what makes us different. Sustainability. It’s ground-breaking because To deliver our strategy – and have a lasting it brings together not only the actors in our David Forde impact – we need partners. We need everyone supply chain – but other major businesses Managing Director, HEINEKEN UK involved in our business to help us on our and their suppliers too, working together 8 August 2016 sustainability journey. 2015 has been a great to create a sustainable food system. example of how we work in partnership to deliver on our ambitions. HEINEKEN UK Sustainability Report 2015 2 Introduction Our Focus Areas Our People Our Partners Our UK business Our Values Our values represent what we stand for as a business and employer. They inspire us and are brought to life by our colleagues at every level and function. Brands and pubs Respect for people Passion for quality Enjoyment of life that people love and planet Our Locations Quality Our passion for quality is at the heart h of everything we do. perfLivingstect cideron & beer experiences. EdinburghCaledonian Brewery Quality Our passion for quality is at the heart h of everything we do. perfLivingstect cideron & beer experiences. EdinburghCaledonian Brewery Tadcaster Manchester Herefordshire London Star Pubs & Bars HEINEKEN UK Sustainability Report 2015 3 Tadcaster Manchester Herefordshire London Star Pubs & Bars Introduction Our Focus Areas Our People Our Partners Brewing a Better World G WATER R Sustainability at HEINEKEN ECTIN ESOUR ROT CES is one of our six business P S E R priorities. Brewing a Better I E IT D N U U C I World is designed to create M N M G O C C O H 2 economic opportunities for E T I M W I S both our business and our G S I N O I N W S stakeholders. O R G BREWING Our six business priorities A BETTER ® P 1. Win in premium led by Heineken R O M O Y L 2. Shape the cider category T WORLD B I N A G N I 3. Lead by cool marketing & innovation H A E T A S L U T S 4. Be commercially assertive H G A N N I D C 5. Drive end2end productivity R S U A O FE S 6. Brewing a Better World TY A DV ON OCA PTI TIN SUM G RESPONSIBLE CON Our focus areas AGRICULTURE MALTING BREWING PACKAGING DISTRIBUTION CUSTOMER CONSUMER High FOCUS AREAS Responsible Consumption PROTECTING Water WATER RESOURCES Sustainable Sourcing rs Human Rights Energy & Carbon REDUCING e CO2 EMISSIONS ld Labour Conditions o h e k a Biodiversity t s SOURCING o t Circular SUSTAINABLY Economic e c Economy* Impact & Tax an Diversity t r Community Investment ADVOCATING o RESPONSIBLE p m CONSUMPTION I Business Conduct PROMOTING Gene Technology Health & Safety HEALTH AND SAFETY Remuneration GROWING WITH COMMUNITIES Low Low High Current or potential impact on HEINEKEN VALUES AND BEHAVIOURS Focus Area Global Policy/Standard Locally Managed New Our focus areas Our most important issues We focus on the six areas that are most important to our business In 2015 we updated our materiality matrix based on an ongoing and stakeholders and where we can make the biggest difference. dialogue with our stakeholders, reputation research, benchmark results Our approach to sustainability covers the entire value chain, from and internal risk analysis. The top three clusters mentioned were: Barley to Bar. 1. Environment (climate change, environmental protection, water, waste, energy) 2. Public health (responsible consumption, obesity) 3. Economic conditions (growth, competitiveness, unemployment, income) HEINEKEN UK Sustainability Report 2015 4 Introduction Our Focus Areas Our People Our Partners From Barley to Bar – a global overview We work with farmers worldwide to sustainably grow raw materials, like barley and hops, needed to brew our beers. In We pursue an increasingly holistic approach to sustainability. Our strategy focuses addition, we use bittersweet apples for cider on the entire value chain ‘From Barley to Bar’. This value chain includes many forms making. Local sourcing is a priority because AGRICULTURE of the shared value it creates for the local of capital, from the vital natural resources needed to make our products, through communities, the country and for HEINEKEN. to financial capital from the sale of our products. We continuously consider HEINEKEN Outputs the sustainability of each step with respect to our key focus areas. Financial €20.5 billion revenue €822 million income tax expense (beia) 27.8% e¡ective income tax rate (beia) Total dividend of €1.30 per share (to be approved at HEINEKEN Inputs 2016 AGM) Financial Natural Shareholders’ equity, Capex, assets Sustainably sourced raw materials: and borrowing 21% barley, 53% hops and 71% bittersweet apples 21% renewable electricity under green certificates Natural BREWING 2% own-generated renewable electricity Land, water, energy, biodiversity and ecosystem EMPLOYEES 3.8% renewable thermal energy used Human Human MALTING Brewing beer and making cider is a craft. We own 11 malteries across the world HEINEKEN employs more than 81,000 people. They enjoy the benefits and rewards – Over 1.5 million training hours completed by employees Employees, training and benefits, safety and and buy malted barley from business partners who have all signed our Supplier Code. pay, training, healthcare, career opportunities – their hard work deserves. The HEINEKEN 50,000 employees completed HeiCode e-learning training Code of Conduct We also operate 156 breweries, cider plants and other production facilities. Strict Employees’ and Human Rights Policy supports and guides us all to act according to our core 2,000+ employees completed Road safety training values. And our global Code of Conduct provides guidance so that every employee knows safety standards are adhered to. We invest in capacity expansion and build greenfield employees completed Anti-bribery e-learning module Manufactured 6,000+ what is expected of them. The annual employee ‘Climate’ survey tracks engagement levels breweries, respecting all land rights. We are committed to improving energy and water nationalities represented in senior management Buildings, breweries, packaging materials, 53 and action is required on dimensions that fall short. eciency and switching to more environmentally friendly energy sources where feasible. 77% employee ‘Climate’ engagement score transport, equipment and supply chain Manufactured Social 167 breweries, malteries, cider plants and other Communities, NGOs, customers, suppliers and production facilities trade groups 26% water reduction since 2008 24% energy reduction since 2008 Intellectual 115,000+ green fridges purchased in 2015 with Brands, R&D, innovation, processes and 45% average energy saving compared with 2010 corporate reputation PACKAGING Social The majority of our beer and cider is served in bottles, €23.6 million donations cans and kegs.

Load more