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Sustainability Report 2011

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Profile of SEKEM’s Report on Sustainable Development 2011 The reporting period of the Report on Sustainable well, the hard facts in the Performance Report will update Development 2011 is January to December 2011 and thus them on the newest developments. continues the Sustainable Development story of the 2010 If not otherwise stated, the scope includes all SEKEM report that had been published at the end of August 2011. companies as of page 18-19, excluding SEKEM Europe SEKEM uses the report for communicating on all four and Predators. Where stated, the SEKEM Development dimensions of the Sustainable Development Flower including Foundation was included into the data. The basis for this the financial statement. report is mainly deduced from certified management and In this fifth Report on Sustainable Development, some changes quality management systems. We aimed to ensure that the were made regarding the structure. We have separated the data and information provided in this report is as accurate descriptive part of our approach to sustainable development as possible. Wherever data is based on estimations and/or from the annual hard facts. This was done to make the other limitations apply, this is indicated. In cases of significant information more accessible for all readers. For those just changes, these are described directly in the context. getting to know what SEKEM is all about, reading the first part A detailed index of the information requested by the GRI will be a good start. For those who already know SEKEM quite 3 and the Communication on Progress (CoP) of the UN Global Compact is provided at page 84 to 92. SEKEM GROUP 2008 2009 2010 2011 Sustainable Developement Balance ECONOMIC LIFE Product Portfolio Score Card Evaluation Responsibility to Customer and Consumer Innovation In order to assess its overall performance of continuous Organizational Process sustainable development and regeneration, SEKEM uses Partnerships - - - the Sustainable Development Balance Score Card (SBSC). Economic Value Distribution The evaluation steps are represented in the traffic light SOCIETAL LIFE colors – green stands for excellence, red for no action or Labor Rights negative impact and yellow means that awareness exists Health and Safety and actions have been taken, but that there is room for Diversity improvement. In the current review process of the Sustainable Employee Loyality and Motivation Development Flower, which forms the basis of the assessment Governance and Compliance framework, some performance aspects have been merged or Advocacy for Sustainable Development reformulated. The concrete explanations for the classification CULTURAL LIFE and annotations concerning changes are presented in the Training and Education Annex (see page 81). Research and Development Employee Self-fulfillment and Vitality - - - n.a. Values and Spiritualty 2011 Developments at the group level ECOLOGY Soil Quality * The new performance aspect “Partnerships” is one of SOIL Soil Use our core competencies. Through longterm partnerships Seeds we were able to develop the organic market in Egypt. PLANTS Biodiversity and showed positive impact (evaluated as “green”). Animal Husbandry Due to the political unrests and the resulting unstable ANIMALS Natural Habitats economic situation, the sales did not increase as we would Energy Use have expected under normal conditions. Accordingly, we ENERGY Energy Sources evaluate the status as yellow. AIR Emission Reduction The second new performance aspect “Employee Self- Water Use WATER fulfillment and Vitality” was added to the CULTURAL Water Sources * LIFE dimension. To analyse our performance, we plan to Positive impact 14 20 19 18 analyse the values and motivation of our employees and Initiatives for positive impact 11 5 6 8 the perception of their workplace in the year 2012. No actions / negative impact 0 0 0 0 The reformulation of the performance aspects “Soil Not relevant / not available 2 2 2 1 Quality” and “Water Sources” let to a downgrading to the level “yellow”. *downgraded after redefining the Performance Aspect and its For more detailed information, see from page 48 into the requirements, see page 32 and 41 “Performance Report for 2011” 1) 2) 3) 5) 4) EGYPT SEKEM Local and Export Markets SEKEM Locations AMERICA EUROPE 1) SEKEM Farm, Bilbeis SEKEM Farm is the founding site of the SEKEM United States of America, Austria, Belgium, initiative and does not only refer to the farmlands Canada France, Germany, that are cultivated there. It is also the main site for Greece, Hungary, all SEKEM Group companies including production AUSTRALIA Italy, The Netherlands, facilities. Furthermore, it is the base for the Norway, United Australia, New Zealand educational and medical institutions of the SEKEM Kingdom, Slovenia, Development Foundation and offers eco-tourism Sweden, Switzerland AFRICA opportunities at the SEKEM guesthouse. Egypt (local market), 2) Headquarters, Salam City, Cairo South Africa GULF Region The SEKEM Headquarters premises host the SEKEM ASIA United Arab Emirates Holding as well as some management functions Kuwait, Qatar, Oman of the SEKEM Group companies, the Heliopolis Japan, South Korea, China Kingdom of Saudi Academy for Sustainable Development and the Arabia Egyptian Biodynamic Association (EBDA). SEKEM Europe SEKEM Europe, Bochum, Germany 3) New Farm Sinai 4) New Farm Minya 5) New Farm Bahareya II The Concept of the Sustainable Development Flower What is the Sustainable Development Flower? Why does SEKEM use the Sustainable Development Flower? The Sustainable Development Flower represents a management, assessment and communication tool The Sustainable Development Flower supports SEKEM symbolizing the concept of sustainable development in its in: four dimensions (economic life, societal life, cultural life • Understanding all important development processes, and ecology with its six sub dimensions). It was developed setting targets and taking action accordingly within a network of international organizations from the • Making development transparent for all stakeholders organic / biodynamic movement cooperating under the of SEKEM (clients, employees, customers, investors, umbrella of the „International Association of Partnership business partners, media etc.) for Ecology and Trade“ (IAP). • Giving a platform to disclose SEKEM’s self-concept as In the process of revising the Sustainable Development a responsible company and, thus, make it possible that Flower, we added a new element that represents the SEKEM serves as a role model for other organizations cosmic influences on our planet. Examples for those that aim at sustainable development effects are the low and high tides of our oceans and the planet’s magnetic field. These forces also influence all living organisms. While this year’s report does not How does SEKEM use the Sustainable address this new element in the text and assessment yet, it already displays it graphically. The cosmic influences Development Flower? are displayed as the symbols of the zodiac on the In the operations of the SEKEM companies, the blue background surrounding the dimensions of the Sustainable Development Flower is fully applied in Sustainable Development Flower (see page 9). its three functions as a management, assessment and Each dimension consists of several performance aspects, communication tool. defined in detail through performance indicators. These In the dimension ECONOMIC LIFE, SEKEM reflects what are, wherever possible and applicable, linked on the kind of products it sells and in which way it distributes international standard for sustainability reporting, the values along the value chain. In SOCIETAL LIFE, the GRI G3.1 of the Global Reporting Initiative. protection and regulation of human rights is in the focus. In the last years we learnt a lot through applying this CULTURAL LIFE concentrates on the question of how concept to our work; also which performance aspects to support the development of the individual. These are easy to assess and which are not. In a thoroughly three areas of society are surrounded by the six sub- review process we adapted the Sustainable Development dimensions of ECOLOGY: SOIL, PLANTS, ANIMALS, Flower framework according to our learnings, so ENERGY, AIR, and WATER; to understand the positive that also other companies can make better use of the and negative impact on the environment. tool. This year we use for the first time the redefined For our annual evaluation process, we formulated framework to assess our performance (comments on strategic, tangible targets aligned with SEKEM’s vision, mergers and reformulation can be found at page 81). mission and policies. The continuously ongoing data In order to make the provided data more accessible collection on SEKEM’s economic, social, cultural we separated the detailed status and target overviews and ecological performance results in a Sustainable filled with hard facts from the general information about Development Scorecard that we use for improvement SEKEM. and communication purposes e.g. for our annual Sustainable Development Report. Sustainable Development Performance Performance Goals Targets Measurement Evaluation Communication Flower Aspects Indicators Dimensions ACTION implementation and regular review process annual evaluation process III Table of Contents I Report Profile II Export and Local Market Sustainable Development Balance Score Card III The Concept of the Sustainable Development Flower 2 CEO Statement 46 Chairman’s Epilogue 3 The SEKEM Idea 4 SEKEM Story APPROACH
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