Lisa Nash, Natalia Chodelski, Monis Khan
Environmental Ethics and Leadership
Cadbury Schweppes Inc.
Cadbury Schweppes is the largest confectionary manufacturer in the world, as well as a
major drink company in much of North America and Australia. The company currently employs
over 67,000 people in five separate business units worldwide (“CSG Cadbury Schweppes PLC”
2006). As well as Cadbury’s chocolate, the business also controls major brands such as Trident,
Snapple, Halls, Dr Pepper, and Dentyne (“Cadbury to Cut Emissions by 50%” 2007). Cadbury’s
factories produce carbon and other green house gas emissions, as does the manufacture of its
equipment, packaging, growing of raw materials, and especially, product transportation. Current
CO2 emissions of the company are about 1.5 billion tons per year. (“Cadbury Schweppes
Recognised as Global Best in Class for Fourth Year Running” 2008).
Because of the warnings of global climate change, Cadbury Schweppes has recently
taken a stand against greenhouse gas emissions, especially the emission of carbon dioxide. The
company believes the problem of climate change is an especially important one; they have
devoted pages of their website to it calling it “one of the greatest environmental challenges
facing mankind” (“Corporate and Social Responsibility Report” 2006). As a globally known
multinational corporation, Cadbury’s also recognizes that its actions can affect things around the
world. With this mindset, Cadbury Schweppes has attempted to become a leader in precautions
against global climate change by setting goals for reduction of their carbon dioxide emissions
("Corporate and Social Responsibility Report 2006.").
“Cadbury Schweppes is absolutely
committed to tackling climate change,” says Steve Driver, President of Global Supply
Chain,…We are re-thinking the way we do business, embedding sustainability into every
decision we make” (“Cadbury Schweppes Recognized as Global Best in Class for Fourth Year
Running” 2008). With this dedication, Cadbury’s has been the only company to set absolute
Lisa Nash, Natalia Chodelski, Monis Khan
Environmental Ethics and Leadership
goals for reduction of carbon emissions, pledging a 50% reduction in emissions by the year 2020.
This contrasts with the mere relative goals set by other companies. An example that illustrates
the fault in relative goals is the pledges to reduce the carbon emissions per square meter of
business or ton of product sold, which allows for a large increase in emissions of the total area of
the business (Maung 2007). It is important to note that Cadbury is one of the fastest growing
companies in the world, and there pledge for an absolute reduction is a respectable challenge for
them to face.
As well as their absolute 50% reduction promise, Cadbury Schweppes has pledged that
30% of this 50% reduction will come from in-company actions(“Carbon Disclosure Project”
2008). In July 2007, the company launched their “Purple Goes Green” initiative: this plans to
reduce energy, packaging, and water usage by the year 2020. In addition, they also have joined
the Supply Chain Leadership Collaboration, which consists of different multinational
corporations partnering to reduce carbon dioxide emissions (Reuters 2008). One of their current
changes visible to the public is their printing of “carbon footprints” on some of their products;
these prints tell consumers the approximate carbon emissions caused by producing the item
(Benjamin 2007). Cadbury’s is also listed in Climate Leadership Index by the Carbon Disclosure
Project, which has named the company Global Best in Class for Response to Climate Change for
four consecutive years. The Carbon Discourse Project says that Cadburys is “distinguished by
its strategic awareness of the risks and opportunities of climate change, as well as the quality and
effectiveness of programs put in place to reduce emissions” ("Carbon Disclosure Project” 2008).
On a personal level, the company even educates its employees on environmentally friendly
practices.
Lisa Nash, Natalia Chodelski, Monis Khan
Environmental Ethics and Leadership
By starting programs and initiatives, Cadbury Schweppes has set itself up to tackle global
climate change and achieve its ambitious goals. The actual steps it must take to achieve these
goals are numerous: the company plans to reduce its energy use and cut down on packaging, find
ways to use alternative energy sources and, as a “last resort,” purchase carbon off-sets (“Cadbury
to Cut Emission by 50%” 2007). The changes Cadburys is already making in its business show
its dedication to helping the environment. To reduce pollution from energy generation, the
Canada headquarters purchase energy from an electricity supplier that uses only wind and lowimpact hydro-generators, thus reducing the pollution caused by powering that plant. Other
factories are installing renewable solar, wind, and biofuel energy generation on site, or
purchasing electricity on renewable energy tariffs (“Carbon Disclosure Project” 2008).
The
company is also putting in a huge effort towards reducing emissions. In 2005, they changed the
coal-fired boilers in their Bourneville, UK factory to natural gas powered boilers. This small
change reduced their global emissions by 1%, every year; this single change will remove 15,000
tons of carbon from their emissions (Kenney 2007). Throughout the world, they have worked to
use lower or zero carbon fuels in their factories and transportation systems. Cadbury Schweppes
is also installing more efficient boilers, energy efficient lighting, variable frequency inverter
speed controllers, better thermal insulation, building management systems, and Combined Heat
and Power (CHP) or co-generation plants, all in effort to reduce emissions. The most astounding
change to date, however, is their Cadbury India factory: this factory switched their steam
generation and water chilling systems to run on burning bagesses briquettes, witch are waste
products of the sugar industry. The sites total carbon dioxide emissions were reduced by 99%,
including the carbon dioxide absorbed by the local growing sugarcane. (“Corporate and Social
Responsibility Report 2006”). This truly remarkable reduction shows the dedication Cadburys
Lisa Nash, Natalia Chodelski, Monis Khan
Environmental Ethics and Leadership
has to changing its business to combat global warming. Rethinking their business and energy
practices has already paid off for the company. It has already been able to reduce carbon
intensity by 15% from 1990 levels by implementing new and different technologies, while still
increasing production and profits dramatically. ("Corporate and Social Responsibility Report
2006."). As a last resort, Cadburys says it will reduce any remaining carbon emissions by
incentivising Saving and Switching by others and by purchasing "carbon offsets" or buying and
retiring "carbon credits" for any remaining carbon emissions. The Group External Affairs
Director, Neil Makin, however, says that this will not occur, since the initiation of the “Purple
goes Green” initiative (“Carbon Disclosure Project” 2008).
Lisa Nash, Natalia Chodelski, Monis Khan
Environmental Ethics and Leadership
Works Cited
Benjamin, Alison. "Chocolate Bars and Toilet Paper to Get Carbon Footprint Label."
Guardian.Co.Uk. 19 Sept. 2007. 8 May 2008
<http://www.guardian.co.uk/environment/2007/sep/19/uknews.carbonfootprints>.
"Cadbury Schweppes Recognised as Global Best in Class for Fourth Year Running."
Cadbury Schweppes. 2008. Apr. 2008
<http://www.cadburyschweppes.com/EN/MediaCentre/PressReleases/cadbury+schweppes+reco
gnised+as+global+best+in+class+for+fourth+year+running.htm%3E%3E>.
"Cadbury to Cut Emission by 50%." Environmental Leader. 5 July 2007. Apr. 2008
<http://www.environmentalleader.com/2007/07/05/cadbury-to-cut-emissions-50/>.
"Carbon Disclosure Project." Cadbury Schweppes. Apr. 2008
<www.cadburyschweppes.com/EN/MediaCentre/News/2006_Carbon_Disclosure_Project.htm>.
"Corporate and Social Responsibility Report 2006." Cadbury Schweppes. 2006. 8 May
2008 <http://csr2006.cadburyschweppes.com/environment/env_sustainability.html>.
"CSG: Cadbury Schweppes PLC." AOL Money & Finance. 01 May 2008. 8 May 2008
<http://finance.aol.com/company/cadbury-schweppes-public-limited-company/csg/nys>.
Dirksen, Kirsten. "Food (II): Footprint of Smoothies." *Faircompanies. 8 May 2008
<http://faircompanies.com/main.aspx?uc=notampl&id=302&sec=2>.
Kenney, Brad. "Cadbury Schweppes Announces "Absolute" Commitment to Climate
Action." IndustryWeek. 18 July 2007. 8 May 2008
<http://www.industryweek.com/readarticle.aspx?articleid=14613>.
Lisa Nash, Natalia Chodelski, Monis Khan
Environmental Ethics and Leadership
Maung, Zara. "Ethical Corporation: Climate Change-Cadbury Schweppes: Egging on
Competitors to Reduce Emissions." Ethical Corporation. 4 Sept. 2007. 8 May 2008
<http://www.ethicalcorp.com/content.asp?ContentID=5341>.