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Sustainability Report 2015 SCA Develops and Produces Sustainable Products That Make Everyday Life Easier for Millions of People All Over the World

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Sustainability Report 2015 SCA Develops and Produces Sustainable Products That Make Everyday Life Easier for Millions of People All Over the World Sustainability Report 2015 SCA develops and produces sustainable products that make everyday life easier for millions of people all over the world. 2015 at a glance CSR30 supplier audits were performed 2,000,000 people received hygiene education 500,0 00,000 people used SCA’s products every day Eighty six million seedlings were produced accidents recorded at 019 production sites 500,0 00,000 people used SCA’s products every day / This is SCA This is SCA SCA is a leading global hygiene and forest products company that develops and produces sustainable personal care, tissue and forest products. PERSONAL CARE SCA is a global leader in personal care and manufactures and sells incontinence products, baby diapers and feminine care products. Within these product segments, SCA also offers such products as wet wipes, soap, lotion, baby oil and cotton pads. The products are sold under SCA’s global and 30% regional brands, such as Libero, Libresse, Nosotras, Saba of SCA’s net sales for 2015 and TENA, as well as under retailers’ brands. And 29% of SCA’s operating profi t* TISSUE SCA is a global leader in tissue and manufactures and sells consumer tissue and Away-from-Home (AfH) tissue. The consumer tissue product portfolio comprises toilet paper, 55% kitchen rolls, facial tissues, handkerchiefs and napkins. In of SCA’s net sales for 2015 the consumer tissue segment, products are sold to retailers And 52% of SCA’s under SCA’s own brands, such as Lotus, Tempo and Zewa, operating profi t* as well as under retailers’ brands. In the AfH tissue segment, SCA develops and markets complete hygiene solutions, including tissue, soap, hand lotion, hand sanitizers, dispens- ers, cleaning and wiping products, service and maintenance for institutions and companies, under the globally leading brand Tork. FOREST PRODUCTS In the Forest Products business area, SCA manufactures and sells paper for packag- ing and print, pulp, solid-wood products and renewable energy. SCA is Europe’s 15% of SCA’s net sales for 2015 largest private forest owner and pro- duces forest products with a strong And 19% of SCA’s environmental pro le. operating profi t* *excl. items affecting comparability 2 SCA Sustainability Report 2015 / Content EMPLOYEES Part 1 This is SCA ...........................................................2 Dialog with SCA’s President and SVP Group Sustainability ..............................4 SCA’s way of working .................................... 6 Targets and outcome.......................................8 Business model .............................................. 10 Customer and consumer satisfaction .. 12 People and nature innovations ................ 14 Hygiene solutions ........................................... 16 Code of Conduct ............................................20 Health and Safety ...........................................22 Community relations .................................... 24 Climate and energy .......................................26 Fiber sourcing and biodiversity ...............30 Water ....................................................................32 44,000 Part 2 Strategic approach Stakeholder dialog ........................................35 Materiality analysis ........................................ 37 SALES – NUMBER SALES Systematic approach and results OF COUNTRIES SEK BN Economic value creation ............................38 Value creation for people ............................42 Value creation for nature .............................49 Control and assurance Sustainable governance .............................54 Environmental data .......................................56 Social data .........................................................64 About the report ..............................................65 Assurance report ........................................... 66 GRI index ............................................................67 approx. 100 115 Glossary .............................................................70 Addresses ..........................................................72 AWARDS AND MEMBERSHIP SCA’s initiatives and results have gained recognition – SCA is included in a number of sustainability indexes and has received several prestigious awards. SCA plays an active role in leading organizations at the global, regional and local level with the aim of contribut- ing to a sustainable future for compa- nies, society and the environment. About the report SCA’s annual Sustainability Report outlines the Group’s sustainability efforts during the 2015 calendar year from an environmental, social and economic perspective. The report has been prepared in accordance with the G4 Guidelines of the Global Reporting Initiative (GRI), Core option, and is also SCA’s Communication on Progress to the UN Global Compact. The report has been reviewed in its entirety by PwC. For further information regarding the Sustainability Report and its reporting principles, see page 65. SCA Sustainability Report 2015 3 / Dialog with SCA’s President and SVP Group Sustainability Good for society, good for business Magnus Groth looks back on an eventful fi rst year as President of SCA. When he and SVP Group Sustainability Kersti Strandqvist discuss the current and future role of SCA, they both agree that long-term value can only be created if the company simultaneously creates value for its operating environment. There are many different interpretations ness strategy. We must have systems and itation has a return on investment of nine of what sustainability really means. What processes to integrate sustainability into dollars from a socioeconomic perspective. is your interpretation? the operations. We do this, for example, by Our incontinence solutions improve peo- MG: If we succeed in turning social chal- including our targets for people and nature ple’s quality of life, while freeing up time lenges into business opportunities, we will – as well as our nancial targets – in our for caregivers and relatives. If people can create the conditions for pro table growth. business plans. We have also introduced work, or receive care at home instead of an Global warming is one of the most serious a procedure for reporting data for carbon institution, costs to society are substan- problems in the world today, and SCA is emissions and health and safety at our tially reduced. committed to nding climate-change and Executive Management Team meetings, energy-ef ciency solutions. Our invest- which places a new focus on these issues. KS: Handwashing is an effective and ment in a new biofuel plant in Nokia, Fin- Safety is always at the top of the agenda cheap way to prevent the spread of dis- land, is a good example of how we create and we held our rst global Safety Week ease. In some countries it is actually crit- value both for SCA and for society (see this year, which was also a great success ical and we conduct regular educational pages 28–29). The investment is increas- (see page 22). handwashing initiatives. For example, ing operational ef ciency and reducing our SCA and Vinda implemented a program energy costs, while carbon emissions have How does SCA create value for society? in China during the year that used the fallen by 40%. MG: The link between health and hygiene “Ella’s handwashing adventure” app to and growing prosperity is crystal clear. teach preschoolers and households about KS: Sustainability is part of our business The United Nations, for example, claims the importance of hand hygiene. We also model and an integral part of our busi- that every dollar invested in water and san- teach young girls about menstruation and puberty. This helps to break the taboo around menstruation that prevents girls and women from going to school or their work in some countries. 2015 was a year with a focus on sustain- ability. The UN adopted 17 Global Goals for Sustainable Development and, at the COP 21 climate change conference in We will revise our objectives and priorities based on even more ambitious goals than before.” Magnus Groth visiting SCA’s forest products operation in Sundsvall. 4 SCA Sustainability Report 2015 / Dialog with SCA’s President and SVP Group Sustainability The number of people who have to share the earth’s resources is increasing.” Paris, the global community agreed to for carbon emissions, biofuel production We have worked, and continue to work, limit the global temperature increase to and wind power. At the climate-change intensively to minimize risks of unethi- 1.5 degrees Celsius. What does this conference in Paris, SCA drew attention cal behavior in our operations and during mean for the business sector and for to the unique ability of the forest and for- the year, we worked hard with anti-trust SCA? est products to store CO2 and how active training. MG: No government can achieve the global forest management helps to limit global development goals on its own. Businesses, warming. KS: We have committed to supporting the organizations and authorities must nd Ten Principles of the UN Global Compact, new ways of working together. All 17 UN Business ethics is an increasingly which also entails a major responsibility. goals are relevant to SCA, but particularly important area. During the year, We have also taken further steps in our those related to health, well-being, sani- suspicions emerged that SCA had work related to supplier assessments by tation and responsible consumption and participated in cartels in Chile and delving deeper into the supply chain. production. Colombia. Would you like to make
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