Climate Change Data

SGK

Climate Impact & Sustainability Data (2022)

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:6949.84 mtCO2e
Scope 1 Emissions:902.31 mtCO2e
Scope 2 Emissions:6047.53 mtCO2e
Renewable Energy Share:7.1%
Total Energy Consumption:20478 MWh
Water Consumption:1066.91 ML
Waste Generated:12418.33 tons

ESG Focus Areas

  • Responsible Supply Chains
  • Data Privacy & AI
  • Human Rights
  • Corporate Governance
  • Climate and Energy
  • Waste Management
  • Water Conservation
  • Advancing Sustainable Solutions to Drive Value Chain Performance
  • Diversity and Inclusion
  • Health, Safety & Wellbeing
  • Employee Engagement & Skills Development
  • Community Impact

Environmental Achievements

  • Reduced GHG emissions by 4.7% from 2021 to 2022 (6949.84 mtCO2e)
  • Reduced energy consumption by 1397 MWh from 2021 to 2022
  • Eliminated ~710kg CO2e a year through reduced employee commuting
  • Consolidated ~57,000 square feet of office space in the US in 2022, resulting in a direct reduction in energy consumption and GHG emissions
  • Reduced overrun material in the manufacturing process from 15% to 3%, resulting in a $1.8 million reduction in material usage annually
  • IDL reduced overall water usage and wastewater discharge by over 45%

Social Achievements

  • Launched Global Sustainability Ambassadors Network
  • Implemented several internal initiatives for employee mental health and wellbeing, including employee resources, employee assistance programs and flexible and hybrid work arrangements
  • Developed ELEV8TE D&I Strategy with eight focus areas
  • Developed an internal regional compliance system to track statutory compliance requirements
  • Launched Ukraine Giving Campaign
  • Maintained TRIR and DART rates significantly lower than industry average

Governance Achievements

  • Established Sustainability data management platform using Diligent
  • Developed the 10 Sustainability Pledges
  • Committed to the Ten Principles of the United Nations Global Compact in 2020
  • Implemented the Return-on-Investment Capital (ROIC) appropriation request process that considers potential environmental, health & safety, and sustainability benefits for all projects prior to implementation.
  • Established a Global Health and Safety Steering Committee

Climate Goals & Targets

Long-term Goals:
  • Commit to setting a Science Based Scope 1 & 2 reduction target towards Net Zero based on 2019 baseline and most recent measurements.
Medium-term Goals:
  • Increase the proportion of kWh from green energy sources by 20% annually, towards 100%
  • Scoping of sites suitable for on-site renewables
  • 50% of sites to have 100% green tariff procurement or equivalent offsets
  • Reduce scope 1 & 2 GHG emissions by 30%
  • Improve energy efficiency (i.e., usage per square meter or per head) by 30%
  • Reduce overall energy use by 20%
  • 100% of operations globally recycle waste by FY 2025
Short-term Goals:
  • 100% of hazardous waste to be disposed of in line with local regulations each year
  • Understand 2019 waste baseline & set reduction target for 2025
  • Ensure that every site is correctly measuring waste to landfill
  • Ensure that Ambassador Network provide all sites with guidance and training on locally -relevant and measurable recycling policies
  • Each site to conduct audit of Single Use Plastics (SUPs) and identify at least 2 changes
  • 80% of all operations globally recycle waste by FY 2025
  • Set year by year waste reduction goals by 2025
  • Identify water usage in water-stressed geographies
  • Set water reduction goals for all operations
  • 30% of suppliers (by spend) to sign on to the ethical procurement charter by end of 2023

Environmental Challenges

  • Scope 3 emissions not currently accounted for
  • Lack of waste reporting from leased facilities in APAC region
  • Potential water-related impacts from climate change
Mitigation Strategies
  • Ambition to account for Scope 3 emissions in the coming year
  • Working to gain more insight into waste data from APAC facilities in the coming years
  • Conducted a water risk assessment to identify actual and potential risks

Supply Chain Management

Responsible Procurement
  • Supplier Code of Conduct
  • UNGC 10 principles
  • Quarterly or semi-annual assessment of strategic suppliers
  • Membership in SEDEX for some locations

Climate-Related Risks & Opportunities

Physical Risks
  • Drought
  • Hurricanes
  • Sea level rise

Reporting Standards

Frameworks Used: SASB, GRI, UNGC

Certifications: ISO 14001, ISO 45001, ISO 9001

UN Sustainable Development Goals

  • Goal 7
  • Goal 8
  • Goal 9
  • Goal 12
  • Goal 13

Mapped material topics to UN SDGs and Ten Principles

Sustainable Products & Innovation

  • Icy Treasures packaging concept
  • Seventh Generation Zero Plastic product line packaging
  • Johnson & Johnson SEMPRE LIVRE® packaging
  • Nature Valley Crunchy Granola Bar wrappers
  • Signite brand decoration technology

Awards & Recognition

  • Vertex Awards
  • ABRE Brazilian Packaging Award
  • ACES Award
  • Pentawards
  • GDUSA Package Design Awards