Coty Inc.
Climate Impact & Sustainability Data (2019-07 to 2020-06, 2020-07 to 2021-06)
Reporting Period: 2019-07 to 2020-06
Environmental Metrics
Total Carbon Emissions:100.67 thousand Metric Tons CO2e (Market-Based Scope 2)
Scope 1 Emissions:30.99 thousand Metric Tons CO2e
Scope 2 Emissions:34.48 thousand Metric Tons CO2e (Market-Based)
Scope 3 Emissions:35.21 thousand Metric Tons CO2e
Renewable Energy Share:Not disclosed
Total Energy Consumption:211.90 GWh
Water Consumption:799 thousand m3
Waste Generated:Not disclosed
Carbon Intensity:9.72 Metric Tons of CO2e per US$m (2020)
ESG Focus Areas
- Climate Change
- Diversity, Equity & Inclusion
- Supply Chain Responsibility
- Clean Beauty
- Waste Reduction
- Water Conservation
- Ethical Sourcing
- Product Safety
- Employee Health and Safety
Environmental Achievements
- Reduced Scope 1 and 2 emissions by 34% compared to 2017.
- Reduced energy consumption by 14% compared to 2019 and 26% since 2017.
- Achieved less than 1% landfill waste from manufacturing and distribution sites.
- Increased recycling rate to 68% across factories and distribution centers.
- Reduced water consumption by 18% compared to 2019.
Social Achievements
- Launched Beauty That Lasts Index to integrate sustainability criteria into new product development.
- 40% of women in senior leadership roles.
- Launched DE&I project team to develop a three-year roadmap for inclusion.
- Donated resources to front-line workers and communities during the Covid-19 pandemic.
- Supported various charities including DKMS and Look Good Feel Better.
Governance Achievements
- Strengthened Code of Conduct for Business Partners.
- Launched a third-party due diligence program for ethical business practices.
- 73% of in-scope associates completed e-learning modules on the Code of Conduct.
Climate Goals & Targets
Long-term Goals:
- Not disclosed
Medium-term Goals:
- Reduce absolute CO2e emissions across the value chain by 30% by 2030.
- Reduce energy consumption by 25% and switch to 100% renewable energy by 2030.
- Send zero waste to landfill and recycle 80% of waste by 2030.
- Purchase 100% mass balance-certified palm oil by 2022.
- Ensure 100% of Indian Mica is responsibly sourced by 2022.
Short-term Goals:
- Roll out diversity, equity and inclusion training for all associates by 2025.
- Achieve gender balance in leadership positions by 2025.
- Broaden the measurement and reduction of gender pay gaps by 2025.
- Ensure 95% of associates complete annual compliance training by 2025.
Environmental Challenges
- Supply chain disruptions due to Covid-19.
- Challenges in achieving gender balance in leadership.
- Addressing waste from excess and obsolete products.
- Ensuring 100% responsible sourcing of mica and palm oil.
Mitigation Strategies
- Switched some factory operations to produce hydro-alcoholic gel.
- Established a Global DE&I project team and three-year roadmap.
- Partnering with organizations to find alternative uses for excess products.
- Working with RSPO and RMI to improve sourcing practices.
Supply Chain Management
Supplier Audits: 98 suppliers assessed in 2020.
Responsible Procurement
- Code of Conduct for Business Partners.
- Third-party due diligence program.
- Responsible Mica Initiative (RMI) membership.
- Roundtable for Sustainable Palm Oil (RSPO) membership.
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Not disclosed
Opportunities
- Not disclosed
Reporting Standards
Frameworks Used: UN Global Compact, GHG Protocol
Certifications: Null
Third-party Assurance: KPMG
UN Sustainable Development Goals
- Goal 5 (Gender Equality)
- Goal 8 (Decent Work and Economic Growth)
- Goal 12 (Responsible Consumption and Production)
- Goal 13 (Climate Action)
Activities described throughout the report contribute to these goals.
Sustainable Products & Innovation
- CK EVERYONE fragrance (Material Health Certificate)
- Sally Hansen Good. Kind. Pure. nail polish
- COVERGIRL Clean Fresh collection
- philosophy purity facial cleanser reformulation
Awards & Recognition
- Not disclosed
Reporting Period: 2020-07 to 2021-06
Environmental Metrics
Total Carbon Emissions:27,001 tCO2e (market-based)
Scope 1 Emissions:16,074 tCO2e
Scope 2 Emissions:3,163 tCO2e (market-based)
Scope 3 Emissions:7,764 tCO2e
Renewable Energy Share:57%
Total Energy Consumption:151.404 GWh
Water Consumption:481,969 m3
Waste Generated:Not disclosed
Carbon Intensity:Not disclosed
ESG Focus Areas
- Climate Change
- Diversity, Equity & Inclusion
- Responsible Sourcing
- Waste Reduction
- Water Conservation
- Product Safety
- Ethical Behavior
- Associate Health, Safety and Wellbeing
Environmental Achievements
- Reduced total energy consumption by over 10% compared to the 2019 baseline.
- Transitioned all factories and distribution centers to renewable electricity.
- Reduced waste generation by over 2,700 tonnes compared to the 2019 baseline.
- Achieved a 75% recycling rate across factories and distribution centers.
- Reduced water consumption by 16% compared to the 2019 baseline.
Social Achievements
- Launched a new diversity, equity and inclusion training curriculum for all associates.
- Established Employee Resource Groups (ERGs) in the US and Asia-Pacific.
- Launched initiatives to tackle gender bias, such as an internal executive mentorship scheme.
- Increased the percentage of women in the workforce to 62% and the proportion of women managers to 56%.
- Improved associate training hours to an average of 6 hours per employee.
Governance Achievements
- Formally integrated sustainability as one of Coty’s six strategic priorities.
- Updated all policies, including the Code of Conduct, and created additional guidance documents.
- Achieved a 98% completion rate for employee anti-corruption training.
- 131 business partners completed the due diligence program.
Climate Goals & Targets
Long-term Goals:
- Ensure 100% of Indian Mica is responsibly sourced by 2030.
Medium-term Goals:
- Achieve gender balance in leadership positions by 2025.
- Roll out diversity, equity and inclusion training for all associates by 2025.
- Purchase 100% mass balance-certified palm oil for third-party manufacturers by 2025.
- Send zero waste to landfill and recycle 80% of waste generated by factories and distribution centers by 2030.
Short-term Goals:
- Pay equitably for similar roles and performance, regardless of gender, by 2022.
- Purchase 100% mass balance-certified palm oil for production sites by 2022.
Environmental Challenges
- Supply chain disruptions due to the Covid-19 pandemic.
- Challenges in achieving 100% mass balance-certified palm oil due to business transformation and separation from Wella Company.
- Challenges in ensuring 100% responsible sourcing of Indian mica due to Covid-19 impacts, political climate, and change of project scope.
Mitigation Strategies
- Implemented remote working practices and safety protocols for on-site associates during the pandemic.
- Engaged all suppliers and included all production sites in the action plan for palm oil certification.
- Aligned efforts towards the Responsible Mica Initiative's (RMI) new 2030 ambitions.
Supply Chain Management
Supplier Audits: 697 sites assessed under SEDEX, 274 under EcoVadis, 131 completed due diligence program
Responsible Procurement
- Code of Conduct for Business Partners
- SEDEX self-assessment questionnaire
- EcoVadis 360° ESG assessment
- Third-party site audits
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Not disclosed
Opportunities
- Development of energy-efficient products and processes
Reporting Standards
Frameworks Used: UN Global Compact, GHG Protocol
Certifications: Null
Third-party Assurance: KPMG
UN Sustainable Development Goals
- Not disclosed
Not disclosed
Sustainable Products & Innovation
- Lancaster Sun Sensitive range with clean and ocean-friendly formulas
- Products using carbon-captured ethanol
Awards & Recognition
- Not disclosed