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Nestlé CSV Report 2011 > How to Tackle Water Crisis

“The world’s supply of clean, usable water is decreasing faster than it can be replenished”… A combination to climate change and population growth, water scarcity needs to be tackled with significant measures. If the early education process is crucial in schools for the future, a growing number of “private sector companies” have an obligation to engage in managing natural resources and educating their customers for the present time. Initiatives like Nestlé’s “Meeting the Global Water Challenge” are instances of such aspiration. Discover how Nestlé – “the world's leading nutrition, health and wellness company” - proceed, from their latest report: “Creating Shared Value,” that has received the GRI A+ rating.


CHALLENGES

By 2050, “we will have to feed 9.3 billion people and food production has to double. The key is {{LNK|water, the scarcest resource on earth|https://www.wizness.com/wizness/go.asp?u=/pub/NP&nid=453&lngWiz=EN}}” say both Nestlé’s Chairman {{LNK|Peter Brabeck-Letmathe|http://www.nestle.com/AboutUs/Management/BoardOfDirectors/Pages/CVDetails.aspx?Name=PeterBrabeckLetmathe&PL=Peter%20Brabeck-Letmathe,%20Chairman%20of%20the%20Board%20of%20Directors,%20Nestl%C3%A9%20S.A.}} and CEO {{LNK|Paul Bulcke|http://www.nestle.com/mirrored/allmanagement/pages/paulbulcke.aspx}}. Facing the water crisis, which inevitably implies economic development slow down, food and beverages companies like {{LNK|Nestlé|http://www.nestle.com}} must provide short term answers to sustain their activity in the long run.

NESTLE’S ANSWERS

Calling for collective action, “{{LNK|Meeting the water challenge|http://www.nestle.com/Media_Center/Interactive_CSV_2011/#/1/}}” describes the various inputs private sector companies like Nestlé ought to make in the fields of technology innovation and public policy formulation to help face the water crisis. “The water challenge (…) calls for joint action”, and requires “board-level responsibility measures for Company-wide Water Policy” as much as “local action to reduce exposure to water-related risk” says Marcus Norton, Head of {{LNK|CDP Water Disclosure Project|https://www.cdproject.net/water}}, with who Nestlé collaborates.

{{LNK|The report|http://www.nestle.com/Common/NestleDocuments/Documents/Library/Documents/Corporate_Social_Responsibility/2011-CSV-Report.pdf}} offers a vision on the company’s direct operations in water management for “reducing water withdrawal and increasing reuse”, such as the establishment of a geographical Water-Stress index, the development of waste water treatment plants and the implementation of good water management practices across the supply chain.

Regarding community engagement, Nestlé is working towards contributing “to the universal goal of translating the human right to water and sanitation into reality” by ensuring “water, sanitation and hygiene” to areas close to business operations, but also to population in needs via its collaboration with the {{LNK|International Federation of Red Cross|http://www.ifrc.org/en/}}, and its sponsorship of the {{LNK|Water Education for Teachers project|http://www.projectwet.org/}} among many other partnerships and initiatives listed in the report. Since 2007, the big corporation has helped provide access to water and sanitation for over 100.000 people.

RESULTS OVERVIEW

With no less than 11 factories being subject to Nestlé Waters Resources Review process during 2011, the company announced a 28% reduction in “overall water withdrawals” in its factories since 2001, and a 36% reduction of “additional water” used by Nestlé Waters since 2005. Such actions owed the company a special distinction from French environment ministries for watershed conservation and biodiversity protection, and the {{LNK|Stockholm Industry Water|http://www.siwi.org/}} Award 2011. 254 water-saving projects currently run in the company’s factories. No less than CHF 500 million is to be invested by 2020 to support sustainable farming, and 200.000 farmers have already been trained through the Nestlé Cocoa Plan. Nestlé also became the first food company to partner with the {{LNK|FLA|http://www.fairlabor.org/}}.

Justified with reductions of GHG by 17%, and a drop in energy consumption by 42% per tonne of product since 2001, {{LNK|Creating Shared Value at Nestlé (CSV)|http://www.nestle.com/csv/Pages/Homepage.aspx}} clearly means value for shareholders, but also for society. If the water challenge is put forward in this report, many details can also be found about nutrition, rural development, and their engagement with the "Round Table on Sustainable Palm Oil" and the Malaysian Government regarding the palm oil issue and their chocolate candies (remember the Greenpeace campaign against KitKat: “Give Rainforest a break”?!). You will find below the complete sustainability report, with efficient KPI’s and significant measures wisely put in practice, as it seems.

Download the attached file: Nestle Report 2011.pdf


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