Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Project Capwool significantly reduced plastic use in Woolite packaging.
• Implemented programs to reduce water and energy consumption per consumer unit.

Social Achievements

• Expanded stakeholder engagement to include investors, employees, and NGOs.
• Launched HERA project to assess risks associated with detergent ingredients.

Governance Achievements

• Appointed a Group Environmental Director to coordinate environmental management globally.
• Established a formal process for reporting environmental regulatory non-compliances.

Climate Goals & Targets

Environmental Challenges

• Water scarcity in some regions.
• Global climate change due to greenhouse gas emissions.
• Managing waste and hazardous waste.
• Stakeholder concerns about PVC packaging.

Mitigation Strategies

• Investigating water resource availability at manufacturing facilities.
• Setting targets to reduce energy consumption and greenhouse gas emissions.
• Implementing programs to reduce total and hazardous waste.
• Phasing out PVC packaging and replacing it with non-PVC alternatives.

Supply Chain Management

Responsible Procurement

• Environmental Supply Chain Programme

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI, UK Government Environmental Reporting General Guidelines, ACCA Environmental Reporting Criteria, ACCA Environmental, Social and Sustainability Reporting on the World Wide Web: A Guide to Best Practice, ABI Exposure Guidelines on Social Responsibility

Certifications: ISO 14001

Third-party Assurance: PricewaterhouseCoopers (independent review)

Environmental Metrics

ESG Focus Areas

• Environmental Management
• Product Life Cycle Management
• Supply Chain Management
• Stakeholder Engagement

Environmental Achievements

• Reduced global energy consumption by 3% in total and 2% per 1,000 Consumer Units compared to 2000.
• Reduced global greenhouse gas emissions from manufacturing facility energy use by 2% in real terms and 1% per 1,000 Consumer Units compared to 2000.
• Reduced total waste from manufacturing and R&D facilities by 16% in total and 15% per 1,000 Consumer Units compared to 2000.
• Reduced hazardous waste from manufacturing and R&D facilities by 18% in total and 18% per 1,000 Consumer Units compared to 2000.
• Reduced cardboard secondary packaging on Lysol and Wizard aerosol cans in North America by approximately 72%, resulting in a reduction of about 675 metric tonnes of cardboard packaging use in 2002.

Social Achievements

• Completed a two and a half-year program to identify and remove fragrances containing nitro and polycyclic musks from products (except for one product each awaiting regulatory approval for change).
• Launched Calgonit and Finish 3-in-1 dishwashing tablets, reducing the number of products required and improving resource efficiency.

Governance Achievements

• Re-established a formal program of environmental performance reviews (internal audits) of global manufacturing and R&D facilities.
• No Reckitt Benckiser owned manufacturing or R&D facility was prosecuted or fined for environmental regulatory non-compliance in 2001.
• Improved global environmental reporting system, leading to restatement of 2000 data.

Climate Goals & Targets

Environmental Challenges

• Increasing water consumption due to variations in product mix and changes in waste treatment.
• Global climate change due to fossil fuel combustion.
• Limited data on global air emissions and packaging volumes.
• Managing the environmental impacts of the supply chain.
• Stakeholder concerns regarding PVC packaging.

Mitigation Strategies

• Investigated options for moving to lower GWP energy sources and increasing renewable energy use.
• Investigated the relative availability of water resources used by manufacturing facilities and established water resource-based targets.
• Established reporting systems for global raw material use, air emissions, and packaging volumes.
• Undertook environmental engagement with selected suppliers.
• Implemented a program to replace PVC packaging with non-PVC alternatives.

Supply Chain Management

Responsible Procurement

• Environmental Supply Chain Programme

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI, UK Government Environmental Reporting General Guidelines (DEFRA), ACCA Environmental Reporting Criteria, ACCA Environmental, Social and Sustainability Reporting on the World Wide Web: A Guide to Best Practice, Association of British Insurers (ABI) Exposure Guidelines on Social Responsibility, BS EN ISO 14031

Certifications: ISO 14001 (14 of 52 manufacturing facilities)

Third-party Assurance: PricewaterhouseCoopers (limited assurance on specified processes)

Sustainable Products & Innovation

• Calgonit and Finish 3-in-1 dishwashing tablets

Environmental Metrics

ESG Focus Areas

• Climate change
• Supply chain responsibility
• Product safety
• Community investment

Environmental Achievements

• Launched Carbon 20 program to reduce products' total carbon footprint by 20% by 2020

Social Achievements

• Continuing partnership with Save the Children
• Trees for Change carbon offset program
• Commitment to equal opportunity in employment

Governance Achievements

• Annual reviews of corporate governance, corporate responsibility, reputational and business risk
• Annual appraisal of Board performance
• Comprehensive set of policies and procedures including Code of Business Conduct, Environmental Policy, Global Manufacturing Standard, and product safety policy

Climate Goals & Targets

Environmental Challenges

• Industry sector/product & consumer safety risks related to long-term effects of household chemicals and OTC drug ingredients
• Supply chain risks related to labor standards, health, safety and environmental standards, raw material sourcing, and social/ethical/environmental performance of third-party manufacturers and suppliers
• Product quality & safety risks
• Competition from private label and unbranded products
• Supply constraints in the supply chain due to unexpected demand or production delays
• Risks to continuity of supply from specialized suppliers
• Expanding operations in developing economies may bring increased risks from economic volatility, governmental burden and regulation, political instability, and local labor conditions

Mitigation Strategies

• Comprehensive management processes to ensure product suitability and safety, meeting regulatory requirements and proactive engagement with industry associations
• Ingredient removal programs to remove specific ingredients from products and packaging
• Global Manufacturing Standard (GMS) mandating minimum requirements for employment, labor standards, and health, safety, and environmental management
• Monitoring and auditing of GMS compliance, including external audit of third-party manufacturers
• Comprehensive quality management processes and procedures
• Relatively well-spread supply chain in terms of geography and technology
• Deliberately well-spread supplier base
• Focus on delivering innovative new products with real consumer benefits and consistent marketing investment

Supply Chain Management

Responsible Procurement

• Global Manufacturing Standard (GMS)

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Climate change
• Community investment
• Employee well-being

Environmental Achievements

• Reduced GHG emissions from global manufacturing facilities energy use by 33% per unit of production and by 21% in absolute terms between 2000 and 2007.
• Launched Carbon 20 program aiming to cut the total carbon footprint of products by 20% by 2020.
• Became a carbon neutral manufacturer by offsetting remaining emissions through tree planting.
• Launched 'Our Home Our Planet' consumer communication program to reduce environmental impact of product use.

Social Achievements

• Delivered on a three-year campaign with Save the Children to save 150,000 lives.
• Top performer on shareholder return and margins, demonstrating that business can be both sustainable and profitable.

Governance Achievements

• Top performer in the UK’s Business in the Community (BITC) Corporate Responsibility Index.
• Awarded top status in the US Environmental Protection Agency’s Design for the Environment Safer Detergents Stewardship Initiative.
• Comprehensive internal training and awareness program on Code of Business Conduct.

Climate Goals & Targets

Environmental Challenges

• Industry sector and product & consumer safety / regulatory risks (household chemicals and OTC drug ingredients).
• Supply chain risks (labor standards, health, safety, and environmental standards of third-party manufacturers and suppliers).
• Product quality risks (failures in product quality controls).

Mitigation Strategies

• Comprehensive management processes to ensure product suitability and safety, meeting regulatory requirements.
• Global Manufacturing Standard (GMS) mandating minimum requirements for employment, labor standards, and health, safety, and environmental management.
• Comprehensive quality management processes and procedures, including Group, Area, Regional, and site-level Quality Assurance functions.

Supply Chain Management

Responsible Procurement

• Global Manufacturing Standard (GMS) mandates minimum requirements for employment, labor standards, and health, safety, and environmental management.

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

• Vanish Eco Pack (70% less plastic).

Awards & Recognition

• Top performer in the UK’s Business in the Community (BITC) Corporate Responsibility Index.
• Top status in the US Environmental Protection Agency’s Design for the Environment Safer Detergents Stewardship Initiative.

Environmental Metrics

ESG Focus Areas

• Environment
• Marketplace
• Workplace
• Community

Environmental Achievements

• 15% reduction in normalised Total Carbon Footprint (2007-2010)
• 39% reduction of the normalised total footprint of our products through our Carbon20 programme by the end of 2010.
• 15% reduction per unit of production in water use since 2000
• 19% reduction per unit of production in waste since 2000
• 4.5 million native trees planted in Canada

Social Achievements

• 150,000 lives saved with Save the Children, 2010
• 3% reduction in our accident rate, 2010
• Launched Million Brighter Futures Campaign to raise £10 million by 2015 for Save the Children

Governance Achievements

• Updated Code of Conduct policies and training programme available in twenty core languages
• External certification of its Group Occupational Health & Safety Management System to OHSAS 18001 was reconfirmed.

Climate Goals & Targets

Environmental Challenges

• Increased total emissions due to business growth
• Increased water consumption due to new product introductions and stringent cleaning requirements
• Increased total waste volume despite reduction per unit of production
• Data quality concerns for Johannesburg site waste data

Mitigation Strategies

• Carbon20 programme to decouple emissions from growth
• Improving machine efficiency, insulating pipes and using natural lighting at Cali, Colombia site
• Reducing heat output in warehousing areas at Milton, Canada facility
• Replacing high-carbon fuels with biomass at Hosur and Jammu sites in India and Semarang in Indonesia
• Waste reduction schemes at Derby, UK
• Addressing data quality issues for future reporting

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Global Manufacturing Standard (GMS)

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI G3

Certifications: OHSAS 18001

Third-party Assurance: PricewaterhouseCoopers LLP

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Air Wick Aqua Mist
• Reformulated Finish
• Reformulated Vanish powder
• Finish Quantum dishwashing capsules

Awards & Recognition

• Britain’s Most Admired Company in the Health & Household sector
• Joint first in the Carbon Disclosure Project 2010 FTSE-350 Report
• Sector leaders in the 2010 Global 500 Report

Environmental Metrics

ESG Focus Areas

• Healthier Communities
• Better Design (Product Metrics)
• Environment, Health & Safety Metrics
• Diversity

Environmental Achievements

• 15.8% reduction in energy consumption per unit of production since 2012
• 13.8% reduction in greenhouse gas emissions per unit of production since 2012
• 30% reduction in water use per unit of production since 2012
• 14.4% reduction in waste per unit of production since 2012
• 89% of factories achieved zero waste to landfill (hazardous and non-hazardous waste)
• 96% of factory sites held ISO 14001 certification and 96% held OHSAS 18001 certification

Social Achievements

• 237 million people reached to improve their health and hygiene (cumulative)
• 25% reduction in lost work day accident rates since 2012
• Launched Project DARE to improve the drop-off rate of talented women
• Introduced leadership training programmes covering Inclusive Leadership and Unconscious bias
• Deployed a Women in Leadership programme for women in managerial roles

Governance Achievements

• Board composition was 29% female at 31 December 2015
• All employees are required to complete annual Code of Conduct training
• RB employees receive formal training on the UK Bribery Act

Climate Goals & Targets

Environmental Challenges

• Achieving full traceability in the palm oil supply chain in India
• Managing frost, high winds, and vole damage in the tree planting program
• Addressing non-compliances identified in health & safety, working hours, and lack of sustainability management systems at supplier sites

Mitigation Strategies

• Focusing on achieving traceability to port by the end of 2016 for Indian palm oil
• Developing initiatives to manage frost, high winds, and vole damage
• Establishing partnerships between Global Sustainability, Procurement, Manufacturing and suppliers to address non-compliances
• Implementing corrective action plans for outstanding issues

Supply Chain Management

Supplier Audits: 85% of high-risk suppliers completed self-assessment; 51% more high-risk third-party manufacturers audited compared with 2014

Responsible Procurement

• Sustainability contract clauses in all supply contracts
• Sustainability Supplier Guide
• Risk-based approach to compliance monitoring
• GMS compliance audits for high-risk RB facilities
• SMETA audits for high-risk suppliers

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI G4 Sustainability Reporting Guidelines

Certifications: OHSAS 18001, ISO 14001

Third-party Assurance: Ernst & Young LLP

Environmental Metrics

ESG Focus Areas

• Healthier lives
• Workplace
• Human rights
• Greenhouse gas emissions
• Water
• Waste
• Product stewardship
• Responsible sourcing
• Gender equality
• Clean water and sanitation

Environmental Achievements

• 25% reduction in GHG emissions per unit of production compared with 2012 baseline
• 31.8% reduction in water use per unit of production over 2012 baseline
• 98% of factories achieved zero waste to landfill
• 13% reduction in GHG emissions vs 2015

Social Achievements

• Reached 365 million people with health & hygiene messaging since 2013
• £8 million committed to the 'Save a Child Every Minute' programme in 2016
• 20% of women in senior management
• 86% of site management and procurement professionals trained in human rights

Governance Achievements

• Implemented a dedicated Safety, Quality and Compliance (SQC) team
• Updated Human Rights and Responsible Business Policy
• 80% of supply chain human rights, environment and health & safety non-compliances addressed in 2016

Climate Goals & Targets

Environmental Challenges

• Deaths and respiratory injuries caused by an RB product in South Korea
• Varying social, economic, political and environmental circumstances of suppliers
• Challenges in obtaining buy-in from small suppliers to improve conditions
• Water scarcity in some operating regions
• Traceability challenges for palm oil in India

Mitigation Strategies

• Full investigation and comprehensive response to the South Korea incident
• Compulsory human rights training for site management, Global Procurement, and Supply Services DvM functions
• Supplier engagement through workshops and initiatives
• Investment in waste water treatment facilities and monitoring systems
• Traceability workshops with suppliers and other brands to address palm oil traceability challenges

Supply Chain Management

Responsible Procurement

• Human rights training for suppliers
• Workshops on responsible sourcing
• Self-assessments on Sedex

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI G4

Third-party Assurance: PricewaterhouseCoopers LLP (PwC)

UN Sustainable Development Goals

• SDG 3: Good health and well-being
• SDG 5: Gender equality
• SDG 6: Clean water and sanitation

RB's products, brand programmes, and social investments contribute to these goals.

Sustainable Products & Innovation

• Optrex Night Repair Gel Drops
• Dettol Squeezy Liquid Handwash

Awards & Recognition

• CDP Leadership position in Carbon, Water and Forest disclosures
• FTSE4Good Index Series inclusion
• Dow Jones Sustainability Index World Index inclusion
• Newsweek Green Rankings 2016 (2nd out of 500)
• Corporate Knights Global 100 index (76th)

Environmental Metrics

ESG Focus Areas

• Healthier lives
• Happier homes
• Climate change
• Water consumption
• Waste reduction
• Responsible sourcing
• Human rights
• Employee health and safety
• Diversity and inclusion
• Data security and privacy
• Bribery and corruption

Environmental Achievements

• Reduced energy consumption by 19.9% since 2012
• Reduced water use by 36.5% since 2012 (achieved ahead of schedule)
• Achieved zero waste to landfill status at all factories
• Signed first power purchase agreement (PPA) for renewable electricity in India

Social Achievements

• Reached 568 million people through health and hygiene messaging (exceeding 2020 goal)
• Increased number of female senior managers
• Launched liveyourbest employee wellbeing program
• Increased support for Save the Children, bringing total investment to over £33 million
• 100% of management employees completed human rights training

Governance Achievements

• Introduced Responsibility as a core value
• Established a dedicated Human Rights team
• Operational leadership for sustainability moved to Corporate Affairs function for better integration

Climate Goals & Targets

Environmental Challenges

• Disappointing progress in reducing carbon and water impacts of products
• Narrowly missed inclusion in the Dow Jones Sustainability Index
• Addressing water scarcity in some operational locations

Mitigation Strategies

• Reassessing energy and carbon emission goals informed by Science Based Targets and TCFD recommendations
• Working to address areas identified for improvement in DJSI assessment
• Investing in better metering systems to monitor water usage and identify efficiencies
• Increasing water reuse and recycling at factories in water-scarce locations

Supply Chain Management

Supplier Audits: Over 100 audits conducted (2017)

Responsible Procurement

• Policy and Standard for Responsible Natural Raw Materials Sourcing
• Partnership with The Forest Trust (TFT) for palm oil sourcing

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards

Third-party Assurance: PricewaterhouseCoopers LLP (PwC)

UN Sustainable Development Goals

• SDG 2: Zero Hunger
• SDG 3: Good Health and Well-being
• SDG 5: Gender Equality
• SDG 6: Clean Water and Sanitation

RB's purpose to deliver healthier lives and happier homes aligns with these SDGs.

Environmental Metrics

ESG Focus Areas

• Healthier Lives and Happier Homes
• Climate Change
• Water Resources
• Plastics and Packaging
• Waste from Operations
• Human Rights
• Responsible Supply Chains
• Diversity and Inclusion
• Employee Health & Safety
• Sustainable Innovation
• Responsible Sourcing
• Business Conduct

Environmental Achievements

• 35.2% reduction in GHG emissions per unit of production vs 2012
• 22.6% reduction in energy consumption per unit of production vs 2012
• 38% reduction in water use per unit of production vs 2012
• 26.3% reduction in waste per unit of production vs 2012
• 93% of factories achieved Zero Waste to Landfill status
• 90.5% of paper and board from certified or recycled sources (excluding co-packers)
• 88% traceability of palm oil to mill for suppliers globally (excluding surfactants)

Social Achievements

• 765 million people informed through health and hygiene educational programmes and behavioural change communications (2013-2018)
• Launched #HeDaresSheDares campaign to promote gender equality
• RB Australia recognised as an Employer of Choice for Gender Equality
• 86% of employees immensely proud of being part of RB
• Over 64,000 hours of employee training in 2018
• 25% of senior management positions held by women

Governance Achievements

• Revised RB Code of Conduct and associated mandatory employee training
• Expanded Ethics and Compliance function
• 296 Speak Up cases investigated in 2018
• No fines, penalties or settlements in relation to corruption during 2018 or preceding four years

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to deforestation and other environmental issues
• Maintaining 100% Zero Waste to Landfill across all newly acquired sites
• Reducing GHG emissions across the full value chain
• Influencing consumer behavior to reduce water and energy consumption
• Ensuring the sustainability of corrective actions in supply chain
• Addressing issues concerning migrant labor in Malaysia

Mitigation Strategies

• Partnership with Earthworm for palm oil traceability and sustainability initiatives
• Active engagement with suppliers to drive improvements in standards
• Investment in energy efficiency projects and renewable energy sources
• Development of water-efficient products
• Capacity building initiatives for suppliers
• Collaboration with industry peers and governments to address systemic challenges

Supply Chain Management

Supplier Audits: 170 audits completed in 2018

Responsible Procurement

• Policy on Human Rights and Responsible Business
• Code of Business Conduct
• Due diligence analysis of human rights for significant investment agreements

Climate-Related Risks & Opportunities

Physical Risks

• Changing weather patterns
• Floods
• Droughts

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of energy-efficient products and processes
• Investment in renewable energy

Reporting Standards

Frameworks Used: GRI Standards: Core option, AA1000 Assurance Standard (2008), AA1000 AccountAbility Principles Standard

Certifications: ISO 14001

Third-party Assurance: ERM CVS

UN Sustainable Development Goals

• Goal 3: Good Health and Well-being
• Goal 6: Clean Water and Sanitation
• Goal 5: Gender Equality
• Goal 2: Zero Hunger

Initiatives contributing to improved health, hygiene, sanitation, gender equality, and nutrition

Sustainable Products & Innovation

• Dettol Squeezy liquid handwash
• Finish in-wash dishwasher cleaner
• Redesigned packaging for Durex Play lubricant

Awards & Recognition

• Safety Innovation Award (RB Mysore)
• National occupational Safety and Health Award (RB Bangplee)
• UK Packaging Award (new trigger spray design)

Environmental Metrics

ESG Focus Areas

• Purpose-led brands
• Healthier planet
• Fairer society
• Global health and development
• Product quality and safety
• Packaging and waste
• Traceable, responsible ingredients
• Water consumption
• Fair wages and working practices

Environmental Achievements

• 53% reduction in LWDAR since 2012
• 65% reduction in TRFR since 2013
• 53% reduction in GHG from manufacturing by 2020
• 27% reduction in energy consumption per unit of production compared to 2012
• 39% reduction in water use in manufacturing since 2012
• 96% of manufacturing sites achieved zero waste to landfill
• 18% reduction in carbon footprint per dose
• 13% reduction in water impact per dose

Social Achievements

• Dettol’s #HandWashChallenge generated more than 125 billion views
• Mobilized £52.8 million from Fight for Access Fund to combat COVID-19
• Launched comprehensive guide, ‘Navigating our New Normal’, for employee wellbeing and safety
• Launched the Sir James Reckitt Award to celebrate exceptional work
• Developed new targets on gender representation in management teams
• CEO hosted ‘Stronger Together’ virtual town halls
• 75% of net revenue came from products with disclosed ingredient information
• Reached 1.41 billion individuals with health and hygiene messaging

Governance Achievements

• Published a new Code of Conduct
• Conducted compliance risk assessments in more than 33 countries
• Completed roll-out of privacy programs in the US and Brazil
• No reportable incidents relating to customer privacy breaches
• 98% of employees completed mandatory Compliance Training
• Established a new global Inclusion Board

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to COVID-19
• High demand for disinfectants outstripped supply of PCR
• Weak recycling infrastructure in many countries
• Increased pressure on logistics and delivery services due to e-commerce
• Difficulty in switching to more sustainable ingredients due to high demand
• Challenges in achieving 100% recyclable packaging due to regulatory limitations

Mitigation Strategies

• Mobilized resources to address supply chain issues
• Introduced more recycled paper and cardboard
• Developed alternative sourcing strategies
• Worked with industry peers, retail customers, waste management industry, and governments
• Introduced more recycled paper and cardboard
• Developed new sustainable packaging solutions
• Invested in new infrastructure and systems
• Launched new digital technology in trial sites
• Launched an omnichannel platform to enhance consumer engagement

Supply Chain Management

Supplier Audits: 179 audits completed in 2020

Responsible Procurement

• Human Rights and Responsible Business policy
• Responsible Sourcing of Natural Raw Materials policy

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather patterns
• Flooding
• Drought
• Water stress

Transition Risks

• Regulatory changes
• Market shifts
• Carbon pricing
• Commodity cost increases

Opportunities

• Development of energy-efficient products
• Investment in renewable energy
• Sustainable innovation

Reporting Standards

Frameworks Used: GRI Standards: Core option, SASB Household and Personal Products Standard, AA1000 Assurance Standard (2008), AA1000 AccountAbility Principles Standard, TCFD

Certifications: ISO 14001, ISO 45001

Third-party Assurance: ERM CVS

UN Sustainable Development Goals

• SDG 2
• SDG 3
• SDG 5
• SDG 6
• SDG 13

Initiatives contribute to these goals through purpose-led brands, social impact partnerships, and value chain improvements

Sustainable Products & Innovation

• Lysol Smart
• Dettol alcohol-free hand sanitizer
• Harpic Essential toilet cleaners
• Air Wick Freshmatic
• Scholl’s Expert Support Insoles
• Veet Minima
• Durex Natural lubricants
• Air Wick Botanica

Awards & Recognition

• Reckitt India won the Diversity, Equity and Inclusion award

Environmental Metrics

ESG Focus Areas

• Purpose-led brands
• Healthier planet
• Fairer society

Environmental Achievements

• 66% reduction in absolute carbon emissions from operations since 2015
• 29.3% net revenue from more sustainable products (excluding IFCN)
• 96% of factories achieving zero waste to landfill

Social Achievements

• £38.2m invested in Fight for Access Fund in 2021
• 49% gender balance at all management levels
• Launched Dettol Hygiene Quest, a primary school hygiene program

Governance Achievements

• MSCI ESG rating upgraded to AA
• Sustainalytics score of 22.9, ranking in the top 15% of peers
• Re-entered the Dow Jones Sustainability Index for Europe

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to the pandemic and global events
• Cost inflation impacting margins
• Fluctuating demand for COVID-19 related products

Mitigation Strategies

• Investment in foundational capabilities (supply chain, R&D, digital)
• Productivity program delivering £1.1 billion in cumulative savings
• Active portfolio management (acquisitions and disposals)

Supply Chain Management

Supplier Audits: All suppliers audited

Responsible Procurement

• Code of conduct
• Supplier sustainability requirements
• Fair Trade premium for Durex rubber suppliers

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events
• Water stress

Transition Risks

• Regulatory changes
• Consumer preferences
• Technological change

Opportunities

• Development of energy-efficient products
• Innovation in sustainable packaging

Reporting Standards

Frameworks Used: GRI, TCFD

Certifications: ISO 45001

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• SDG 2
• SDG 3
• SDG 5
• SDG 6
• SDG 13

Initiatives contributing to goals through purpose-led brands, community programs, and sustainability efforts

Sustainable Products & Innovation

• Lysol Smart refill
• Dettol Tru Clean
• Finish 0%
• Air Wick Botanica

Awards & Recognition

• Walmart Supplier of the Year
• Effie Awards for Finish, Dettol, and Durex

Environmental Metrics

ESG Focus Areas

• Climate Change
• Healthier Planet
• Fairer Society

Environmental Achievements

• Reduced GHG emissions in operations by 66% since 2015 (exceeding the 65% Science Based Target for 2030)
• 93% of overall electricity from renewable sources in 2022
• All purchased electricity for manufacturing sites was renewable in 2022

Social Achievements

• Launched #SkipTheRinse campaign saving millions of liters of water annually
• Supplier Environmental Performance Programme in partnership with Manufacture2030, resulting in significant carbon, water, and waste savings

Governance Achievements

• Board-level oversight of climate-related issues
• ESG measures included in the Long-Term Incentive Plan (LTIP) for CEO, CFO, and corporate executive team

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to extreme weather events
• Increased indirect costs due to carbon pricing mechanisms
• Limited supply and high price of renewable electricity in certain regions (e.g., Singapore)

Mitigation Strategies

• Global Energy Reduction Programme to improve energy efficiency and switch to lower-carbon fuels
• Sustainable Innovation Calculator to assess and reduce the carbon footprint of products
• Partnership with Manufacture2030 to help suppliers reduce emissions
• Developing a water catchment area approach in water-stressed locations

Supply Chain Management

Responsible Procurement

• Third-Party Code of Conduct
• Sourcing for Sustainable Growth Policy
• Partnership with Manufacture2030

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events
• Water stress
• Supply chain disruptions

Transition Risks

• Carbon pricing
• Changing consumer preferences
• Climate-related regulation

Opportunities

• Energy efficiency improvements
• Renewable energy
• Development of low-carbon products

Reporting Standards

Frameworks Used: GRI, TCFD, SBTi, TNFD, UNGC, WBCSD, RE100

Third-party Assurance: ERM CVS (Limited Assurance)

UN Sustainable Development Goals

• SDG 2
• SDG 3
• SDG 5
• SDG 6
• SDG 13

Initiatives contribute to these goals through sustainable product development, water stewardship, and climate action

Sustainable Products & Innovation

• Finish Quantum All in One tabs (reduced carbon and water impacts)
• Dettol powder to liquid solution (reusable packaging)
• Finish detergent pouches (reduced plastic)

Environmental Metrics

ESG Focus Areas

• Innovating Purpose-led Brands
• Enabling a Healthier Planet
• Contributing to a Fairer Society

Environmental Achievements

• 67% absolute reduction in operational (Scope 1 and 2) GHG emissions since 2015
• 94% renewable electricity by 2023
• 100% zero waste to landfill from our factories
• 29.6% of net revenue from more sustainable products (up from 24.4% in 2022)

Social Achievements

• 1.9 billion people engaged with purpose-led partnerships, programmes and campaigns (cumulative since 2020)
• £31 million invested in the Fight for Access Fund
• Gender balance at all management levels: M: 49% F: 51%

Governance Achievements

• Appointment of Kris Licht as CEO and Shannon Eisenhardt as CFO
• Updated Code of Conduct
• Launched a new Speak Up whistleblowing campaign

Climate Goals & Targets

Environmental Challenges

• Continued macroeconomic headwinds
• Supply chain disruptions
• Effects of the continuing war in Ukraine and conflict in the Middle East
• US Nutrition market share rebasing after competitor supply issues
• Product liability claims related to Necrotizing Enterocolitis (NEC)

Mitigation Strategies

• Investments in supply chain resilience and flexibility
• Productivity programmes to optimize processes and costs
• Alternative sourcing strategies
• Increased manufacturing capacity for Strepsils
• Alternative supply for infant formula in the US market

Supply Chain Management

Responsible Procurement

• Supplier sustainability requirements
• Code of conduct
• Promoting supplier diversity
• Securing sustainable livelihoods for suppliers

Climate-Related Risks & Opportunities

Transition Risks

• Changes in regulatory environment
• Shifting stakeholder expectations

Reporting Standards

Frameworks Used: UN Global Compact, TCFD, TNFD

Third-party Assurance: ERM CVS

UN Sustainable Development Goals

• Goal 6 (Clean Water and Sanitation)
• Goal 3 (Good Health and Well-being)
• Goal 5 (Gender Equality)
• Goal 12 (Responsible Consumption and Production)
• Goal 13 (Climate Action)

Products and initiatives contribute to these goals through hygiene promotion, self-care solutions, sexual health support, specialized nutrition, and environmental sustainability efforts.

Sustainable Products & Innovation

• Finish Ultimate Plus
• Harpic Hygienic and Fresh
• Dettol surface cleaner refill

Awards & Recognition

• Best Healthcare Partner at Watsons Singapore Health, Wellness and Beauty Awards
• Dettol featured as a ‘Must Have’ in the Boots Thailand Most Loved Beauty Awards
• Bronze for ‘best technology’ at the Learning Technologies Awards