Unilever’s Sustainable Living Plan & Sustainable Sourcing Keurmerken Jan Kees Vis Global Director Sustainable Sourcing Development Our vision: The Compass • We work to create a better future every day. • We help people feel good, look good and get more out of life with brands and services that are good for them and good for others. • We will inspire people to take small, everyday actions that can add up to a big difference for the world. We will develop new ways of doing business with the aim of doubling the size of our company while reducing our environmental impact. Unilever’s Sustainable Living Plan (USLP) sustainability what does it mean? a sustainable business is a growing and profitable business that delivers positive social, economical and environmental outcomes why? • fuels innovation & growth, with huge potential in developing & emerging markets • builds consumer preference - consumers won’t compromise • ensures you win with customers and shareholders • reduces waste - reduce, reuse, recycle Three Key Features ALL BRANDS ALL COUNTRIES Three Key Features ALL BRANDS ALL COUNTRIES Raw Materials Manufacture LIFECYCLE IMPACTS Transport Consumer Use Disposal Three Key Features SOCIAL ALL BRANDS ALL COUNTRIES LIFECYCLE IMPACTS ECONOMIC ENVIRONMENTAL Three Big Goals by 2020 HALVE ENVIRONMENTAL FOOTPRINT OF OUR PRODUCTS SOURCE HELP 100% 1 BILLION OF AGRICULTURAL RAW MATERIALS SUSTAINABLY PEOPLE IMPROVE THEIR HEALTH & WELLBEING Halve Environmental Footprint of our Products Greenhouse Gases Raw materials Distrib. / retail Manufacture 26% 3% Consumer use Disposal 68% 2% 1% Water use Raw materials In water scarce countries Water we add to the product 12% Water used by consumers In 1% 87% Waste Secondary packaging Primary packaging 54% + 13% materials recycled, reused or recovered Leftovers + 34% - X% Drive GROWTH and BRAND preference by hitting the consumer sweet spot CONSUMER Quality Value Convenience SWEET SPOT PLANET Reduced impact Drive GROWTH and BRAND preference by hitting the consumer sweet spot CONSUMER Quality Value Convenience SWEET SPOT PEOPLE Better Livelihoods Sustainable Sourcing mechanisms to substantiate 1. • • • • • • 2. • • • • • • 3. 4. Certification Why? – Unilever want brand driven or supply market entry Applicable to a limited number of raw materials Independent standard Audit – pass or fail Make part of specification E.g. Rainforest Alliance, RSPO, MSC, FSC, RTRS, Fairtrade Self-verification Why? – Unilever want supply driven Applicable to all raw materials Unilever Sustainable Agriculture Code (UL SAC) – externally endorsed Continuous improvement based – no definitive end points Suppliers sign up to work on sustainable development Performance reporting In the end it is all about evidence-based sustainability Important to make the right choice for Unilever materials Two options for implementation Certification Verification • • • • • In or out • Measured improvement Do’s and don’ts • Action plans Independent • Unilever driven The seal is the story • Tell your own stories System costs • Value chain investment *See latest version of scheme rules Standards Assessment • • • • Coordinated by ISEAL Large Steering Group Paid for by donors Published in June 2012 http://www.resolv.org/towardsustainability/. Increasing Proliferation of Standards and Certification Systems Direct and Indirect Impacts Evidence of impact? • Substantial evidence of improvement in practices on site or at the enterprise level. • Limited evidence of longer term outcomes or impacts – Difficult to attribute outcomes to certification – Few studies on durability of impacts • Methodological challenges – Dynamic nature of ecosystems and communities – Difficulty identifying an appropriate counterfactual – Financial costs and complexity Role of standards systems • • • • • What is it you want? Be different from others? Make sustainability mainstream? Will we create 40 more roundtables? Will we certify every farmer on the planet? Unilever’s Sustainable Living Plan