2012 SuStainability RepoRt UNILEVER BRAZIL

2012 Sustainability
Report
UNILEVER BRAZIL

unilever brazil Sustainability Report 2012
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PROFILE
STRATEGY
CORPORATE GOVERNANCE
OUR STAKEHOLDERS
IMPROVING HEALTH
AND WELL-BEING
REDUCING ENVIRONMENTAL
IMPACT
ENHANCING LIVELIHOODS
PEOPLE
PRODUCT
RESPONSIBILITY
The short version of the Unilever 2012
Sustainability Report is available here.
The document provides contextualized
information about our socio-environmental
performance, actions and initiatives
in our manufacturing and non-manufacturing
operations, on the themes of
our Materiality Matrix.
REPORTING PROCESS
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Message from the President
A great leader
BUSINESSES
CATEGORIES AND BRANDS
PLANTS AND OPERATIONS
Highlights in period
RECOGNITIONS
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Message from the President
Unilever Brasil is publishing its Sustainability Report, in which
we present our efforts and achievements over the last year to
the public and the market, for the tenth year running.
In 2012, Unilever Brasil consolidated its business model and
its position as the company’s second largest operation worldwide.
We grew significantly during the year, reaching revenues of
BRL 13.6 billion. At the same time, we reduced our environmental
impact and achieved a number of milestones in our Sustainable
Living Plan. Two years after the launch of The Plan, I can
confidently say that we are making an important contribution to
the global target of doubling the size of the business while reducing
its environmental impact.
In the environmental pillar, we reduced water consumption
in our plants by 12% and eliminated the disposal of solid waste
in landfills at four factories. We also exceeded our target of
replacing Kibon freezers with models having a lower environmental
impact.
We progressed in two other pillars of the Sustainable Living
Plan, enhancing the nutritional profile of our food products and
strengthening relations with customers and suppliers.
In the supply chain, we invested in mapping, engaging and
monitoring our commercial partners and sourced 100% of our
GRI 1.1 e 1.2
palm oil from suppliers who are members of the RSPO (Roundtable
on Sustainable Palm Oil), an international initiative to promote
best practice in the sector. We were also the first company
to buy sugar credits, ratifying our commitment to the sustainable
sourcing of production inputs.
We have a large number of initiatives in progress in every
area, ranging from new product development to the distribution
and post-consumption phases. But we still have a lot to learn
and even more to do. This became patent in June 2012, when
senior Unilever leaders from Brazil and overseas attended the
United Nations Conference on Sustainable Development, Rio+20,
participating in a series of dialogues and discussions and publicly
reinforcing the company’s commitment to sustainability.
A major achievement in the conference was the emphasis laid
on the importance of the business community in establishing
targets and commitments for the future. We have assumed our
part in this process, and it is precisely that which this report
seeks to show to our diverse stakeholders, presenting our commitments
and our targets, the results achieved and the measures
currently underway.
I would like also to underscore the challenge we face in educating
consumers and boosting their awareness through the force
and reach of our brands. These represent a powerful communication
channel and have incorporated the function of proving
that sustainability is a viable means of enhancing people’s lives
in the present and the future.
Bearing this in mind, I believe that in 2013 we need to maintain
our current course, keep the Sustainable Living Plan at the
heart of our business and carry on working, aware that everyone
will benefit from our achievements.
The priorities remain the same: to continue to grow ahead of
the market at a rate that will enable us to double the size of the
business in the short term, reducing our environmental impact
on a monthly basis, with very clear targets and measurements.
And to disclose our results annually in a balanced, transparent
manner, as shown by this report.
Enjoy reading it!
Fernando Fernandez
President, Unilever Brasil
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A great leader
A major presence in the country for more than 80
years and market leader in a number of categories,
Unilever Brasil maintains its status as the
company’s second largest operation worldwide
We are an Anglo-Dutch company present in 190 countries and
operating in four major consumer product categories: personal
care, foods, cleaning and refreshment (soy-based beverages and
ice cream). Our Food Solutions division supplies the out-of-home
meals segment with products for restaurants, hotels, catering
and similar establishments.
Active in Brazil for 83 years, Unilever currently markets 25
brands and more than 700 products in the country, including Omo,
Comfort, Fofo, Seda, Lux, Kibon, Hellmann’s, Knorr, Becel, Maizena,
AdeS, Dove, Axe, Close Up and Rexona. Leader in the powdered
detergent, deodorant, soy-based beverage and ice cream
segments, among others, we reach 100% of Brazilian households,
serving around 200 million people in the country at least once a
year. Brazil consumes around 200 Unilever products every second.
The company’s second largest operation worldwide with annual
revenues of BRL 13.6 billion, Unilever Brasil is based in São
Paulo (SP), where it has four offices and its CiiC (Customer Insight
and Innovation Center). The operation has nine manufacturing
plants installed in four states (São Paulo, Minas Gerais,
Pernambuco and Goiás), and 23 distribution centres delivering
GRI 1.2, 2.1, 2.2, 2.3, 2.4, 2.5, 2.7, 2.8 e EC9
products to customers in the Northeast, Centre-West, Southeast
and South of the country.
At the end of 2012, we had a total of 13,273 employees working
in our manufacturing operations, offices, innovation centres, distribution
centres and at the points of sale through which we commercialize
our products – such as supermarkets, drugstores and convenience
stores, among others. More than 90% of our production is
absorbed by the internal market, but as part of the company’s global
network we also supply South America and the other continents.
Global commitment, local implementation
Over recent years we have reinforced our commitment to
management practice, communication and business oriented to
sustainable development. With the launch of the Unilever Sustainable
Living Plan, conceived on a global level and translated
into specific commitments by company subsidiaries worldwide,
we intend to influence and transform people, in particular our
strategic stakeholders (employees, customers, consumers and
Our
products serve
million Brazilians at
least once during the
course of a year
suppliers), by promoting responsible and conscious consumption,
while reducing our environmental impact, increasing our
social impact and driving company growth.
Our vision is a reflex of this positioning: working to create a
better future means contributing towards a responsible consumer
goods industry, capable of meeting market needs without
neglecting important questions such as conscious consumption
and quality of life. For this reason, we promote initiatives centred
on the social mission of products in which we have invested in
recent years, such as the Pureit water purifier and Lifebuoy antibacterial
soap, as well as other brands created with a defined
focus, such as AdeS soy-based beverages, Becel margarine and
concentrated clothes care products like OMO, Surf, Comfort and
Fofo (see more at www.unilever.com.br/sustentabilidade).
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Every day we pursue the company’s greatest challenge, which
is to double in size while reducing our environmental impact. We
have progressed in reducing greenhouse gas emissions (GGE)
and improved monitoring of impacts from water consumption
and wastewater and solid waste generation.
One of our commitments is to eliminate the disposal of solid
waste in landfills at our plants and offices, a process which gained
momentum in 2012. We are also taking a closer look at the
value chain involved in our products and processes, promoting
greater responsibility in people and supplier management, governance
and consumer and customer relations. There is further
information on these questions throughout the report.
Food Solutions
Vision
We work to create a better future every day. We help
people feel good, look good and get more out of life with
brands and services that are good for them and good for
others.
We will inspire people to take small, everyday actions
that can add up to a big difference for the world.
We will develop new ways of doing business with the
aim of doubling the size of our company while reducing
our environmental impact.
Market presence
Worldwide
»»
Operations in 190 countries
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More than 400 brands, of which 14 generate annual
sales of more than 1 billion euros
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Growth rate of 6.9% in 2012 2 billion people use at
least one Unilever product per day
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171,000 employees
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160,000 suppliers
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252 plants
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Market leadership in seven categories: seasonings,
teas, mayonnaise and margarines, sauces, skin care,
ice cream and deodorants.
In addition to products commercialized at points of sale, we
are active in the out-of-home meals segment through the Unilever
Food Solutions division. In operation in 74 countries, including
Brazil, this division supplies products such as ingredients,
starters and desserts to restaurants, hotels, buffet services and
similar establishments.
The area also offers a service platform that includes consulting
and solutions for menu production. In Brazil, there are more
than 90 items in the Food Solutions portfolio, encompassing
brands such as Kibon, Hellmann´s, Knorr and Arisco. A number
of formulas, such as Meu Arroz, have undergone specific alterations
for use in industrial kitchens.
In Brazil
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Revenues of BRL 13.6 billion in 2012
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9 plants in four states (São Paulo, Minas Gerais, Goiás
and Pernambuco)
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200 products consumed per second
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86% of households impacted by our products per
month (and 100% in the year)
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13,273 employees
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Around 6,000 suppliers
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Market leadership in 10 of the 13 categories in which
the company operates
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60 new products launched in 2012
GRI 2.8, 4.8, 1.2, DMA EC Market presence
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The power of Brazil
Unilever’s business performance in the
country is a reflex of the search for new
markets and investment in renovation
Unilever Brasil ended 2012 with revenues of BRL 13.6 billion.
This performance is a reflex of the strength of our brands in the
country and our leadership in diverse segments, such as powdered
detergents, personal hygiene and beverages.
The concentrated liquid version of Omo launched in 2010 has
already captured a 50% share of the liquid detergent market. Our
soap powder is present in 78% of Brazilian homes, and we have
a more than 40% share of the soy beverage market. In the hair
care category, share currently stands at around 30% and is expected
to reach 35% by 2015.
In function of the economic situation in Europe and rising
commodity costs, the emerging countries have grown in importance
for Unilever. This group of countries, which includes China
and India, saw an 11% increase in sales and currently accounts
for 55% of Unilever’s total global revenues.
In 2012, there were advances in categories and regions which
are strategic for the business in the country. Unilever Brasil has
established specific growth targets for the coming years, focused
on expansion in growing markets, accompanying the millions of
Brazilians who have risen above the poverty line and increased
public access to consumer goods.
As a private company, Unilever does not disclose detailed
information on its economic performance by country. Data on
amounts, beneficiaries, shareholders and costs are considered
strategic and are therefore confidential. This information is the
responsibility of the global organization. The information determines
company profitability and is associated with our positioning
in relation to competitors in the consumer goods industry.
Additionally, variations in local economic performance could
lead to comparisons with the organization’s global performance,
impacting share prices on international stock exchanges. In the
Unilever Global report, available at www.unilever.com, information
is provided on the company’s global economic performance
by region (Americas; Western Europe; Asia, Africa, Central and
Eastern Europe).
Ongoing renovation
Aligned with the Unilever Sustainable Living Plan, our
business strategy is also focused on constant renewal of
our portfolio and innovations that can reduce environmental
impacts. During 2011 and 2012, we invested in
the renewal of 70% of our products with the intention of
boosting our market presence – including the segments
which we already lead.
Focused on ever better products and ever faster solutions,
we also want to introduce new brands in new
markets. We also seek sustainability-oriented innovations
that produce positive results for the business, such
as liquid soap sachets and concentrated liquid products,
which have more competitive costs and produce returns
while reducing waste generation.
GRI 2.8, EC1, DMA EC Economic Performance
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Within everyone’s reach
Perception of our corporate brand
has grown in tandem with our
presence in consumers’ homes
Categories and brands
Foods
Personal care
In addition to a corporate brand that is increasingly well known
to Brazilians – more than 87% recognition according to a survey
conducted by the Instituto Ipsos in 2011 –, we commercialize
brands that have been a part of consumers’ daily routine for decades,
such as Lux, Dove, Rexona, OMO and Kibon.
Currently, Unilever Brasil products reach 86% of Brazilian
households in the course of a month. Moreover, seven of our
brands are in the Top of Mind ranking, with Omo occupying the
position of outright leader since the 1990s. In addition to leading
the soap powder category since 1991, since 1993 the brand has
been first in the Top of Top category, for products with the highest
consumer recall.
Refreshment (ice cream and beverages)
*
Cleaning
*The Lipton product line is commercialized in partnership with Pepsico in Brazil.
GRI 2.2, 2.5
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Unilever Brasil
reaches 86% of Brazilian
homes in the course
of a month and leads a
number of the categories
in which it operates.
Seven of our brands are
in the Top of Mind survey,
with OMO excelling since
the 1990s.
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Where we are located
Our nine plants and 23 distribution
centres guarantee supply to
markets all over Brazil
If everyone eligible for remote
working adopted the model, we
would avoid around 200 tonnes of
CO2 emissions per year.
At the end of 2012 we had nine manufacturing plants in Brazil,
spread over the states of São Paulo, Minas Gerais, Goiás and
Pernambuco. We also have 23 Distribution Centres (DCs), located
in the Northeast, Centre-West, Southeast and South regions,
from which our products are shipped to customers’ premises.
For the cleaning, personal care and foods categories, we have
four DCs located in plants and seven external ones - situated in
strategic regions to serve different local markets. In the ice cream
category, in which product transportation is more complex
and requires greater capillarity, we have 12 DCs.
Major operational changes in 2011 and 2012 included the
transfer of part of powdered soap production from the Southeast
to the Northeast (Igarassu plant) and, in the opposite direction,
part of ice cream production from the Northeast to the Southeast.
These initiatives are part of project to improve distribution
and supply to local markets and reduce environmental impacts
from logistics operations.
Another significant alteration was the deactivation of the JK2
office used by the regional division in São Paulo’s Vila Olímpia
district. Unilever Brasil’s flexible working hours and home office
program, applicable to more than 1,300 work posts, enabled us
to bring all the teams together in the JK1 office, located in the
same district. Around 300 employees were transferred from JK2
to JK1, which now houses approximately 1,900 people. More than
400 third-parties were involved in the move, with no work accidents
recorded. During the move, we disposed of some 5 tonnes
of material from the JK1 and JK2 offices, in addition to equipment
and furniture which were reallocated to other sites. The
estimated reduction in impact is significant: if all the employees
eligible for home office working adopted this model, Unilever
Brasil would reduce CO 2
emissions by 200 tonnes a year, based
on petrol-powered cars.
In 2012, we neither closed plants nor opened new ones. Some
Unilever brands, such as Lipton, Becel and Cif, continue to be
manufactured or distributed by third-party partners.
GRI 2.3, 2.8
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Plants in Brazil
01 Vinhedo
Beginning of operation 1978
Products manufactured Softeners
(Comfort and Fofo), Shampoos and
Conditioners (Seda, Suave, Dimension,
Dove, TreSemme and Clear), Roll-on
deodorants (Dove, Rexona and Axe),
liquid soaps (Lux, Lifebuoy and Dove),
Moisturising lotions (Dove and Vasenol)
Employees 742
Region Industrial area
Certification ISO 9001 (since 1999)
ISO 14001 (since 1999) TPM 1
02 Valinhos Ice Cream
Beginning of operation 1970
Products manufactured Take Home (Kibon
pots) and Impulse (Kibon lollypops) ice
cream
Employees 1.339
(Ice Cream + Personal Care)
Region Urban
Certification ISO 9001
(since 2001) ISO 14001
(since 2001) TPM
03 Valinhos Personal Care
Beginning of operation 1895
Products manufactured Bar soap (Dove,
Lux, Vinólia, Lifebuoy and Fofo)
Employees 1.339
(Ice Cream + Personal Care)
Region Urban
Certification ISO 9001 (since 1998)
ISO 14001 (since 1999) TPM
04 Indaiatuba
Beginning of operation 1982
Products manufactured Powdered
detergent (Brilhante, Omo and Surf)
Employees 622
Region Industrial area
Certification OHSAS 18001 (since 2004)
05 Pouso Alegre
Beginning of operation 1975
Products manufactured Soy-based
beverages (AdeS), Bouillons (Arisco
and Knorr), Soups (Arisco and
Knorr), Powdered seasoning (Knorr)
Employees 1.020
Region Industrial area
Certification TPM
06 Goiânia
Beginning of operation 1969
Products manufactured Mayonnaise
(Arisco and Hellmann´s), salad dressing
(Hellmann´s), mustard (Arisco and
Hellmann´s), seasoning in powder and
paste form (Arisco), Carte D´Or desserts,
Knorr Meu Arroz, Food Solutions
(Knorr bouillons, Arisco bouillons,
Knorr seasonings, hot sauces, Knorr
Preparations), Knorr Meu Arroz
Employees 1.004
Region Industrial area
Certification TPM
07 Ipojuca
Beginning of operation 2005
Products manufactured Softener
(Comfort and Fofo), dental cream (Close
Up and Pepsodent, for export only),
spray deodorant (Rexona), shampoo,
conditioner, combing cream (Seda),
treatment cream (Seda), TRESsemmé line
Employees 450
Region Industrial area
Certification ISO 9001
(since 2003)TPM
08 Garanhuns
Beginning of operation 1991
Products manufactured Maizena corn
starch, corn flour with rice flour for
porridge (Arrozina), corn starch based
mixture for porridge (Cremogema),
glucose syrup (Karo), toppings (Karo)
Employees 185
Region Industrial area
09 Jaboatão dos Guararapes
Beginning of operation 1999
Products manufactured Take Home (Kibon
pots) and Impulse (Kibon lollypops) ice
cream, cups (Kibon)
Employees 1.025
Region Industrial area
10 Igarassu
Beginning of operation 1997
Products manufactured Powdered
detergent
(Ala, Brilhante, OMO and Surf)
Employees 337
Region Industrial area
Certificação ISO 9001(since 2004))
goiás
06 Goiânia
São Paulo
01 Vinhedo
02 Valinhos Sorvetes
03 Valinhos Cuidados Pessoais
04 Indaiatuba
Pernambuco
07 Ipojuca
08 Garanhuns
09 Jaboatão dos
Guararapes
10 Igarassu
minas gerais
05 Pouso Alegre
1 Total Productive Maintenance.
GRI 2.8
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Highlights in period
Improving Health and Well-Being
»»
In Well-Being and Hygiene, we launched the Unilever Health
Institute, a specialized division to drive closer company relations
with consumers and specialists and professionals in the
hygiene and health area.
»»
We progressed in sector dialogues on the reduction of sodium
in food products, with the signature of an agreement between
the Brazilian food industry association Abia and the Ministry
of Health. The objective is to reduce the sodium content in seasonings,
bouillons, breakfast cereals and vegetable margarines.
The proposal is to remove 8,800 tonnes of sodium from
these foods by 2020.
»»
We improved the nutritional profile of a number of food products,
as well initiating sponsorship of projects such as Meu
Prato Saudável.
»»
Throughout 2012, diverse actions revolving around Lifebuoy
helped disseminate the importance of handwashing, reaching
more than 5.7 million people in Brazil. The initiative involved
partnerships with the Pastoral da Criança and the Ministry of
Health; it also mobilized employee volunteers in a major action
on October 15 th , World Handwashing Day.
Reducing Environmental Impact
»»
Unilever Brasil reduced water consumption by 12% in the
course of the year.
»»
In solid waste management, we eliminated the disposal of
solid waste in landfills at the Indaiatuba (SP), Goiânia (GO),
Pouso Alegre (MG) and Vinhedo (SP) plants and exceeded
the Kibon freezer replacement target for 2012. We ended the
year with 100% of components being reused and/or recycled
at the end of their working life.
»»
We formalized our support for debates on conscious consumption
with the launch of the survey “What Brazilians
think of the environment and sustainable consumption “,
developed by the Environment Ministry in partnership with
other companies.
»»
Leading Unilever executives from Brazil and overseas, including
the global president Paul Polman and the president
of the Brazilian operation, Fernando Fernandez, were present
at Rio+20. At the conference they launched a public
manifesto reaffirming the company’s positioning on sustainable
development.
Enhancing Livelihoods
»»
The Responsible Sourcing programme refined partner management
practices and a questionnaire distributed to our
almost 6 thousand suppliers addressed questions ranging
from human rights to sustainability.
»»
The Integrare Programme saw a 29% increase in results
compared with the previous year.
»»
In Brazil, we started buying sustainable sugar certificates,
supporting the production of 3,200 tonnes of sugar with the
acquisition of these credits.
Targets and commitments
Unilever is committed to monitoring the performance
of all its global operations against the main targets set
forth in the Sustainable Living Plan. Every year, company
subsidiaries report on the actions taken to ensure fulfilment
of the quantitative and qualitative targets established
in the three pillars of the plan.
The results are compiled in the Unilever Sustainable
Living Plan Progress Report, published
at the end of the first quarter containing
data from the previous year. Available
at http://www.unilever.com.br/sustentabilidade, the
document presents the main targets and the current
status for global operations.
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Awards in 2012
Once again we are one of the Exame Sustainability
Guide model companies. See the awards
the company received during the year
As a reflex of our business chain and operational practices we
received a series of important recognitions in 2012. In November,
Unilever Brasil featured in the Exame magazine Exame Sustainability
Guide as one of its 20 model companies, in which organizations
are evaluated in terms of their capacity to promote more
sustainable business models.
The guide evaluates a number of areas such as use of natural
resources, in which Unilever received a score of 9.4, far above
the average score of 5.9. This was due to Unilever Brasil programs
and targets for monitoring water, paper, electricity and
fossil fuel consumption. In sustainability management, our score
was 9.2 against a general average of 5.9, due to factors such
as the Unilever sustainability committee. Also in 2012, Unilever
was recognized by Abrafarma as one of the five best overall suppliers
and the best in the hygiene and beauty market in Brazil.
Below there is a complete list of the awards the company received
in the period.
Award Position Organization
Exame Sustainability Guide Unilever in ranking of 20 model companies Exame Magazine
Best Companies for Leadership Best company for leadership in Latin America Hay Group
Best companies to work for Unilever in list of 150 companies Você S/A
Young Brazilians' dream company Unilever among top ten companies Companhia de Talentos
The Most Admired in Brazil
Top of Mind
Unilever in list of 10 most admired companies and outright
winner in the Hygiene and Cleaning category
OMO (for the 20th time, the brand with highest recall,
together with Coca-Cola); the Rexona, Lux, Kibon, Seda and
Hellmann´s brands also figured in the ranking
Carta Capital
Datafolha
continues
GRI 2.10
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The Strongest Brand in Brazil OMO was elected the strongest brand Istoé Dinheiro Magazine
The most sustainable companies
according to the media
The companies that communicate
best with journalists
Unilever was the winner in the Hygiene and Cleaning
category
Unilever was the winner
Imprensa Magazine
Partners of the Year Unilever was the winner Abrafarma
Negócios da
Comunicação Magazine
Reclame Aqui – Service Quality Best service in Hygiene and Cleaning category Reclame Aqui
Trade Awards 2012-2013 Unilever Dutchan
Nova Beauty Award
New Achievements Award
Materiality in Brazil – How companies
report material themes
TRESemmé shampoo and conditioner for damaged hair
among the products receiving best evaluation
Unilever was the winner in the Master Diamond category
Unilever was among the group of 17 companies with
the best materiality processes in a survey assessing
information provided in sustainability reports
Nova Magazine
Pague Menos
Drugstores
Report Sustentabilidade
Unilever
was among
the Exame
Guide top
model companies in
sustainability
GRI 2.10
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unilever brasil brazil Sustainability relatório de sustentabilidade Report 2012
2012
estratégia
Strategy
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Sustainable Living Plan
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unilever brazil Sustainability Report 2012
Strategy
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The path to 2020
Growing the business while reducing our
environmental impact is our key strategic objective for
the coming years
Unilever’s main strategic directive in Brazil and worldwide is
to grow while reducing the environmental impact of our activities
and operations by 2020. This ongoing challenge is also the
mainspring of the Unilever Sustainable Living Plan, launched
globally in 2010 and in place in the company’s subsidiaries worldwide,
as well as the Unilever Brasil 2012 (UB2012) strategy, initiated
in 2008.
In practice, these policies indicate that we want to grow significantly
in all our markets, based on innovation, diversification
of our portfolio and the development of long-term relationships
with suppliers, customers, institutions and employees. This business
strategy also incorporates the need to develop closer links
with consumers, strengthening the corporate brand and investing
in innovations that will enable us to maintain our leadership
in strategic - and increasingly competitive - segments.
Every year Unilever renews 70% of its portfolio. We maintained
our leadership in categories that are important for the Brazilian business,
such as ice cream, deodorants, soy-based drinks and soap
powder. In the latter, particularly worthy of note was Omo’s widespread
diffusion throughout the country, in addition to the share obtained
by products such as Ala in specific regions of the country.
Another recent focus for investment which furthers our objective
of allying business with best socio-environmental practice
is the concentrated liquids segment, currently represented
by the detergents OMO and Surf and the fabric softeners Fofo
and Comfort. A trend in a number of countries, Unilever was responsible
for introducing these products, which offer significant
competitive advantages, such as price and raw materials saving
in the manufacturing process through the use of less water and
packaging material, as well as reduced transportation costs, into
the Brazilian market.
In 2012, we were the leader in the liquids category in Brazil.
Liquids account for 13.5% of the detergents market– and the
share of concentrates grew 77% compared with 2011 (read more
in Reducing Environmental Impact ). Furthermore, these results
underscore the connection between our sustainability strategies,
the business and our consumers, who are encouraged to
adopt more responsible habits by using products that have a lower
environmental impact.
2012 saw the end of UB2012, a strategy launched in 2008 with
the aim of making Unilever Brasil the company’s second largest
operation within four years. Having accomplished the business
target of the strategy, our mission now is to drive the other objectives
outlined in UB2012 and supported by the Sustainable Living
Plan throughout every stage of our activities, such as sustainable
growth and cultural transformation in our operations, based
on innovation and building solid relations with our stakeholders.
GRI 1.2
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unilever brazil Sustainability Report 2012
Strategy
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»»
Launch of UB2012 strategic plan, establishing targets and
commitments on five fronts with the proposal to grow the business
by 2012 while maintaining its environmental impact at
the same level or lower than 2007.
»»
The UB2012 Journeys begin, aimed at aligning employees’
personal values with those of the company. To bring about the
change in culture, special emphasis is placed on three points:
connecting with business strategy, connecting with oneself
and connecting with the team.
»»
Unilever Brasil initiates its greenhouse gas inventory based on
GHG Protocol methodology, which is adopted internationally.
»»
Formation of the Sustainability Committee, charged with implementing
socio-environmental governance at Unilever Brasil.
»»
Dialogues initiated with different stakeholders focused on engagement
and enhancing business management.
»»
Globally Unilever announces its new corporate vision of doubling
in size while reducing its environmental impact.
»»
Brazil launches a specific strategy to ensure greenhouse gas
emissions in 2012 are at the same level or lower than 2007 in
absolute terms.
»»
We sign the Walmart Sustainability Pact, which proposes improvements
and partnerships to reduce retail trade impacts.
»»
We start engaging 60 suppliers in the development of joint
solutions focused on sustainability.
»»
The company prepares its Materiality Matrix to identify the
most relevant company themes from the perspective of its
main stakeholders
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unilever brazil Sustainability Report 2012
Strategy
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»»
The Sustainability Committee is restructured to include leaders
from the main company areas, with the establishment of
socio-environmental commitments and targets.
»»
Launch of the Unilever Sustainable Living Plan, which defines
global targets and commitments based on three pillars: Improving
Health and Well-Being, Reducing Environmental Impact
and Enhancing Livelihoods.
»»
Launch of Small Actions, Big Difference campaign, with the
corporate brand engaging Brazilian consumers in the adoption
of small actions that, together, can make a big difference.
»»
Beginning of For a Cleaner Planet programme, focused on
innovations in the company’s powdered detergent and fabric
softener brands, and the launch of liquid concentrated OMO.
»»
Unilever Brasil reduces energy consumption by 43%, water
consumption by 37% and non-recyclable waste generation by
89% between 1995 and 2010.
»»
Lifebuoy’s social mission is launched in Brazil with partnerships
to promote handwashing.
»»
Beginning of project to recycled deodorant aerosols with Pão
de Açúcar chain.
»»
Unilever Brasil’s sustainability report is verified externally for
the first time.
»»
The Sustainable Living Plan is disseminated within the company,
reaching 91% of employees in Brazil.
»»
We start to map the impact company plants have on biodiversity
and we join MEB (Business for the Conservation and Sustainable
Use of Biodiversity), with targets and commitments
for the following years.
»»
Launch of Responsible Sourcing Programme, enabling management
of suppliers in line with socio-environmental criteria.
»»
For the fourth year running, the company meets its target of
ending the year with an absolute volume of greenhouse gas
emissions lower than 2007, while growing production.
»»
The company increases sustainable sourcing, acquiring 100%
of its palm oil in Brazil from members of the RSPO (Roundtable
on Sustainable Palm Oil), an international initiative promoting
best practices in the sector.
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unilever brazil Sustainability Report 2012
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»»
Unilever Brasil assumes leadership of the liquid products
segment in Brazil, a market it helped consolidate in the country
with its concentrated liquid detergents and softeners.
»»
The company’s revenues reach BRL 13.6 billion in the year,
with an increase in share in critical sustainability-related segments,
such as antibacterial soap and purifiers.
»»
Unilever eliminates waste disposal in landfills at its Goiânia,
Indaiatuba, Vinhedo and Pouso Alegre plants, increasing
recycling and composting.
»»
Eco-efficiency projects in Unilever plants and operations enable
a 12% reduction in water consumption during the year.
»»
Unilever’s global president, Paul Polman, and its president
in Brazil, Fernando Fernandez, take part in Rio+20 and launch
a public manifesto reaffirming the company’s positioning
on sustainability.
»»
Sector agreement between Abia and the Ministry of Health
proposes a reduction of salt in food products with targets for
2020. The goal is to remove 8,800 tonnes of salt from seasonings,
bouillons, cereals, and vegetable creams.
»»
In Brazil, Unilever initiates purchase of sustainable sugar certificates,
acquiring 3,200 tonnes.
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unilever brazil Sustainability Report 2012
Strategy
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Sustainable Living Plan
Our strategy proposes socio-environmental targets
and examines the entire product life cycle
Last year was important for consolidating the Unilever Sustainable
Living Plan as a reference and guide for the positioning
of our business model and growth strategy.
During the year, we reaffirmed the importance of the plan
with a number of internal and external practices and initiatives.
We strengthened the company’s governance structure through
the Sustainability Committee; we addressed sustainability in our
climate survey, directly impacting all of Unilever’s more than 13
thousand employees; with suppliers, we improved our monitoring
and management systems, in addition to organizing engagement
encounters and reinforcing programmes such as Responsible
Sourcing (read more in Supplier Management); regarding
customers, we ensured the maintenance of major partnerships,
in particularly those involving best logistics and distribution practices
for our products.
Institutionally, we advanced in our dialogues with sector associations
and government bodies. We had a significant participation
in events such as the United Nations Conference on
Sustainable Development (Rio+20) and reinforced partnerships
to disseminate health, hygiene, environmental and other campaigns
by means of our products and brands (read more in Governments
and Institutions).
In the community area, we progressed in mapping the
stakeholders associated with Unilever plants, a stage which will
provide support in managing impacts and represents a first step
towards an effective dialogue with the communities surrounding
our plants in the country (read more in Our Stakeholders).
The plan directives
In the Sustainable Living Plan, we have established targets
related to the business and operations, such as reducing the
content of saturated fat, sugar and sodium in our food products,
encouraging a change in habits to improve quality of life, reducing
emissions of pollutants, water consumption and solid waste
generation in manufacturing operations, improving people management,
growing sustainably with our suppliers and promoting
sustainable consumption.
These directives are adapted to the reality of each country. In
Brazil, our sustainability commitments had already been made
public with the launch of the UB2012 strategy in 2008. However,
the Sustainable Living Plan helped to further structure governance
by bringing coordination under the Sustainability Committee.
We organized our initiatives around three pillars – which are
broken down into projects and targets for the plants, offices and
other operating arms of the company (click here to see the complete
version of the plan).
In 2011, we also elaborated our Materiality Matrix, which identified
the critical themes for the business and the different local realities
(read more in Reporting Process). Having defined the management
priorities, we established targets and an action plan overseen
by the Sustainability Committee, the primary instance of governance
in sustainability and composed of executives from different company
areas to ensure that the plan’s targets are achieved.
GRI 2.1, 2.2, 4.16
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unilever brazil Sustainability Report 2012
Corporate governance
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Spheres of decision-making
Transparency, ethics and
management practices
Codes, principles and commitments
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unilever brazil Sustainability Report 2012
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Spheres of decision-making
The governance structure in Brazil includes the
Sustainability Committee, driving sustainability
into overall business management
Unilever Brasil, a subsidiary of the Unilever group, is a private
company whose governance structure follows the directives
laid down by its Anglo-Dutch mother company. As part of a
group active in over 190 countries, with distinctly different businesses
and operations, decision-making takes place on three
levels: global, regional (in our case, Latin America) and local –
which in Unilever designates its country operations.
The level responsible for a decision varies according to the
process. Major negotiations with suppliers, for instance, are
conducted globally and regionally. Our plants in Brazil also report
regionally, while some of the office areas report to the local
structure.
Our highest governance body in Brazil is the Executive Board,
consisting of the president and eight vice presidents. In
2012, the post of Vice President of Corporate Communication,
also responsible for coordination of the area in Latin America,
was transferred to Argentina, but maintaining a report to the
president of the Brazilian company, the Argentinean Fernando
Fernandez, who has held this position since September 2011.
GRI 2.6, 4.1, 4.2, 4.3, 4.5, 4.7, 4.9
Responsible for strategic decision making in the country, the
board has no independent or non-executive members; neither
is there an external board in our governance structure in Brazil.
Support is provided for diverse processes through the constitution
of management committees, which assist the executives
in specific areas and cases – such as Sustainability and Crises.
Selection and membership of senior management follows Unilever
global guidelines and are based on overall experience.
The development of our UB2012 strategy and the global implementation
of the Sustainable Living Plan bolstered the inclusion
of socio-environmental criteria in the company’s spheres
of decision making. Consequently, appraisal of the performance
of our leaders – managers, directors and vice presidents, for
example – takes into account both sustainability and business
targets (read more in Targets and Commitments).
Each leader’s variable remuneration is defined by deliverables
related to priority Unilever Brasil themes. In 2012, we
maintained the target – applicable to some leaders – of publishing
our GRI A+ checked Sustainability Report by the end of
Members of Executive Board
»»
President
»»
VP Supply Chain *
»»
VP Sales*
»»
VP Finance*
»»
VP Human Resources
»»
VP Legal*
»»
VP Personal Care
»»
VP Home Care
»»
VP Foods and Refreshments
* Positions also responsible for the area in Latin America
the first quarter of 2012, as a tool for measuring commitment
and progress in sustainability governance. Analysis of environmental
performance, encompassing factors such as emissions,
water consumption, waste and biodiversity, was maintained as a
performance measure and rewarding for factory leaders; targets
linked with the Sustainable Living Plan, such as Lifebuoy’s
social mission and nutrition enhancement, for example, also
impact performance appraisals for leaders. As a result of the
reinforcement of a policy to eliminate excess and simplify processes,
material waste reduction targets were also established
in our units in 2012.
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Sustainability Committee
The Sustainability Committee, which reports to the Executive
Board, was restructured in 2010 to strengthen governance
in this area and incorporate sustainability into decision making.
The group’s objective is to ensure the dissemination of the global
Sustainable Living Plan throughout the company, as well
as to address and track sustainability targets and indicators.
The committee is also an internal and external communication
channel for sustainability-related questions and develops communication
and engagement plans for key stakeholders .
The committee members are leaders from diverse company
areas – Legal, Procurement, Media, Sales, Safety, Health and
Environment (SHE), Supply Chain, Consumer Research, Development
and Innovation, Finance, Human Resources, Marketing
and Sustainability. This diversified make-up is a means of
addressing the challenges inherent to the nature of the operation,
such as environmental management practices in the
plants, eco-efficiency in logistics, responsible communication
and supplier management.
Two vice presidents from the Executive Board – Supply
Chain and Sales – are also members of the group, to ensure
that its decisions are transmitted to the Board. Committee
members do not receive additional remuneration for participating
in the meetings.
The committee meets monthly, and the Sustainability area
and some committee members also participate in the Executive
Board meetings, as required.
Crisis Committee
Governance has progressed in the socio-environmental area:
comprising various company leaders, the Sustainability
Committee meets monthly to discuss and determine relevant
policy and practices.
The oldest management support body, the Crisis Committee
is convened when potential business risks are identified. Led
by the External Communication area, the group engages executives
from key areas, such as Legal, SHE, Quality and Supply
Chain, to discuss critical issues, minimize impacts and propose
corrective actions. Other areas which may also be convened
depending on the specific nature of the problem, include Marketing,
Sales, Consumer Service (SAC), Development and Innovation,
Sustainability and Human Resources.
When an issue has been analysed, a summary is sent to the
Board and the affected areas in Unilever Brasil. In addition to the
corporate team, we have crisis committees in all our operations
and plants. In this case, the groups, comprising managers and
directors from all areas, address local problems. When an issue is
not resolved by consensus, it is elevated to the central committee.
GRI 4.1, 4.5; 4.7; 4.9, 4.10
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unilever brazil Sustainability Report 2012
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Transparency, ethics and management practices
Mechanisms and codes to ensure global standards
of conduct in all company operations
Unilever Brasil has a series of tools, including codes, policies,
training programmes and communication channels, to
ensure its governance structure functions in accordance with
global Unilever standards of ethics and conduct. In Brazil, we
also apply a number of instruments designed to reinforce leadership,
such as performance appraisal, as well as mechanisms
designed to prevent conflicts of interest and corruption in
the operation.
In addition to being selected based on their competencies
and experience, our executives are appraised along the same
lines as the other hierarchical levels at Unilever Brasil. One of
the performance targets might be the result of the Global People
Survey (GPS, an organizational climate survey), held every
two years. This addresses areas such as decision-making, management
capacity and respect for company principles. Filled
out by all employees, the questionnaire impacts executive remuneration,
given that team satisfaction is their direct responsibility.
The last survey was held in 2012, with the participation
of 87% of Unilever Brasil’s employees.
GRI 4.6, SO3, DMA SO Corruption
Regarding prevention of corruption and questions involving
conflicts of interest, bribery, ethics and misconduct, we have the
Code of Business Principles which delineates company practice
(read more in Codes, Principles and Commitments), including
senior management decision-making, contracts with partners
and team responsibilities. There is a committee which analyses
any reports of inappropriate behaviour and breaches of these
guidelines within the company. All cases involving breaches of
the code are investigated and may result in disciplinary measures,
including dismissal.
In Brazil, we conduct four anti-corruption training sessions.
One is for all administrative employees and includes
contents on anti-competitive behaviour, in alignment with the
Code of Business Principle. A total of 957 hours of this course
took place during the year. There were 3,556 hours of training
in another module specifically addressing corruption. This
was taken by 100% of the eligible employees, 98% of whom
were managers and 26.2% below management level. The Supply
and Sales areas, which are more critical since they invol-
Unilever Brasil has a series of tools,
including codes, policies, training
programmes and communication
channels, to ensure its governance
structure functions in accordance with
global Unilever standards of ethics
and conduct.
ve more intense contact with outsiders, received two specific
modules of this training, which again was taken by 100% of the
eligible employees.
We do not have anti-corruption training for suppliers, but all
our contracts require that partners sign a term of awareness of
our Code of Business Principles, which addresses issues such as
corruption, human rights and working conditions. During the year,
all employees also participated in online training which addressed
a series of questions, including human rights and corruption.
Unilever Brasil has a hotline through which reports of breaches
or suspected breaches of conduct may be made anonymously.
These are investigated by the Business Principles Committee,
comprising professionals from diverse company areas,
such as Legal and Human Resources (read more in Codes, prin-
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unilever brazil Sustainability Report 2012
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ciples and commitments). There were no specific reports related
to corruption in 2012 (see more here).
We do not conduct formal corruption and fraud-related
risk assessments in our operations; however, we do carry out
annual studies and reviews of our internal controls covering
all the operations in the country, in compliance with the Sarbanes-Oxley
Law. This review is assessed by an independent
audit company.
Dialogue with management
In 2012, Unilever Brasil enhanced communication with its
employees. Two new channels were launched to facilitate employee
access to the company’s results. The president initiated
the production of regular videos in which he communicates the
main accomplishments for each quarter. The videos are a much
more dynamic and accessible substitute for written communications.
Employee surveys conducted after the exhibition of these
contents show that more than 95% agree that having access
to this kind of information in video facilitates transmission and
understanding of messages.
A new channel enabling direct dialogue between employees
and the president was also instituted. This is essentially a virtual
chat room in which the president answers questions. Two
of these events were held in 2012, with more than 60% of the
participants coming from the office teams and around 23% from
the plants. The main questions and answers were published
in BIS, the company’s internal electronic newsletter. A survey
conducted with some of the participants to evaluate the effectiveness
of the tools showed an approval rate of over 90% (read
more in People).
Other tools enabling employee participation include the internal
accident prevention committees (Cipa in the Portuguese
acronym), drawn from multiple levels of the company to discuss
occupational safety issues; and the Open Meeting, a face-
-to-face encounter promoted every six months by the president
to present employees with information on relevant strategy and
performance data.
In function of its legal status, Unilever Brasil does not have
shareholders or investors. However, if investors have any doubts
or recommendations to make about business in Brazil, these
may be channelled to senior global management – who will
analyse them and take action accordingly.
In 2012, we launched interactive
chats and videos with the
president to forge closer ties
between employees and senior
management.
GRI 4.4, SO2, SO4, DMA LA Labor/Management relations
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unilever brazil Sustainability Report 2012
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Codes, principles and commitments
Human rights, commercial practices and community
relations are some of the questions prioritised
and formalised in our guidance documents
To ensure ethical conduct in
our operations, the company
organised more than 3,400 hours
of online training in the Code of
Business Principles.
All company internal and external practices are managed in
accordance with the Code of Business Principles, a document
which sets forth company values, perceptions and beliefs concerning
honesty, integrity, ethics, respect, human and social
rights and Brazilian legislation.
More than just providing guidance, the Code ensures transparent
communication in our governance model and is the main
tool to guarantee that Unilever Brasil acts in an ethical and
socially and environmentally responsible fashion throughout
the business chain. In addition to making the content available
to employees on the intranet, the company carries out annual
training and refresher courses on the Code for all employees,
including senior management. All new hires receive specific
classroom training on the document as part of their induction
module. In 2012, 3,438 hours of online training in the Code of
Business Principles were given, with a focus on human rights
policies and procedures relevant to the operation; sales staff
and promoters received 1,751 hours of classroom training in
the same area.
The dissemination and application of the directives set forth
in the document are overseen by the Code of Business Principles
Committee, which is in turn associated with a global committee.
In addition to receiving reports on management practice
and employee behaviour, the group is responsible for monitoring
compliance with the code, in which it is supported by senior
managers from the diverse areas.
Consisting of the president of Unilever Brasil and the vice
presidents of the Human Resources, Finance and Legal areas,
the committee monitors cases on a monthly basis via a system
managed by the Risk Management area with support from the
Legal area. Other company areas may be involved depending on
the nature and dimension of the case.
Each case reported is analysed without revealing the identity
of the person reporting it. Punitive measures (which may
include dismissal) are only taken after the incident has been
recorded formally – via a conversation with the relevant leader
or committee members or the Human Resources area. Reports
may be made in two ways. In the latter case: locally via telephone,
email or mail, or globally, via the Code Direct Line, which is
answered in London and receives 90% of the reports made.
In 2012, the company received 17 reports related to possible
cases of discrimination, harassment (racial, gender, age etc)
and bullying. None of these cases were proven and none resulted
in legal action. During the year, there were also 110 reports
through Code-related channels. Three of these were deemed
valid, and two resulted in administrative sanctions.
GRI 4.8, HR3, HR4
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unilever brazil Sustainability Report 2012
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Unilever Code of Business Principles
Standard of conduct
We conduct our operations with honesty, integrity and openness,
and with respect for the human rights and interests of our
employees. We shall similarly respect the legitimate interests
of those with whom we have relationships.
Obeying the law
Unilever companies and our employees are required to comply
with the laws and regulations of the countries in which we operate.
Employees
Unilever is committed to diversity in a working environment
where there is mutual trust and respect and where everyone feels
responsible for the performance and reputation of our company.
We will recruit, employ and promote employees on the sole
basis of the qualifications and abilities needed for the work to
be performed.
We are committed to safe and healthy working conditions for
all employees. We will not use any form of forced, compulsory
or child labour.
We are committed to working with employees to develop
and enhance each individual’s skills and capabilities. We respect
the dignity of the individual and the right of employees to
freedom of association. We will maintain good communications
with employees through company based information and consultation
procedures.
Consumers
Unilever is committed to providing branded products and
services which consistently offer value in terms of price and
quality, and which are safe for their intended use. Products and
services will be accurately and properly labelled, advertised
and communicated.
Shareholders
Unilever will conduct its operations in accordance with internationally
accepted principles of good corporate governance. We will
provide timely, regular and reliable information on our activities,
structure, financial situation and performance to all shareholders.
Business partners
Unilever is committed to establishing mutually beneficial
relations with our suppliers, customers and business partners.
In our business dealings we expect our partners to adhere to
business principles consistent with our own.
Community involvement
Unilever strives to be a trusted corporate citizen and, as an
integral part of society, to fulfil our responsibilities to the societies
and communities in which we operate.
Public activities
Unilever companies are encouraged to promote and defend
their legitimate business interests.
Unilever will co-operate with governments and other organisations,
both directly and through bodies such as trade associations,
in the development of proposed legislation and other
regulations which may affect legitimate business interests.
Unilever neither supports political parties nor contributes to
the funds of groups whose activities are calculated to promote
party interests.
The environment
Unilever is committed to making continuous improvements
in the management of our environmental impact and to the
longer-term goal of developing a sustainable business. Unilever
will work in partnership with others to promote environmental
care, increase understanding of environmental issues and disseminate
good practice.
Innovation
In our scientific innovation to meet consumer needs we will
respect the concerns of our consumers and of society. We will
work on the basis of sound science, applying rigorous standards
of product safety.
Competition
Unilever believes in vigorous yet fair competition and supports
the development of appropriate competition laws. Unilever
companies and employees will conduct their operations in
accordance with the principles of fair competition and all applicable
regulations.
GRI GRI 4.8
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unilever brazil Sustainability Report 2012
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Business integrity
Unilever does not give or receive, whether directly or indirectly,
bribes or other improper advantages for business or
financial gain. No employee may offer, give or receive any gift or
payment which is, or may be construed as being, a bribe. Any
demand for, or offer of, a bribe must be rejected immediately
and reported to management. Unilever accounting records and
supporting documents must accurately describe and reflect the
nature of the underlying transactions. No undisclosed or unrecorded
account, fund or asset will be established or maintained.
Conflicts of interests
All Unilever employees are expected to avoid personal activities
and financial interests which could conflict with their responsibilities
to the company.
Unilever employees must not seek gain for themselves or
others through misuse of their positions.
Compliance - monitoring - reports
Compliance with these principles is an essential element
in our business success. The Unilever Board is responsible for
ensuring these principles are applied throughout Unilever. The
Chief Executive Officer is responsible for implementing these
principles and is supported in this by the Corporate Code Committee
chaired by the Chief Legal Officer. Members of the Committee
are the Group Secretary, the Chief Auditor, the Senior
Vice President HR and the Senior Vice President Communications.
The Global Code Officer is Secretary to the Committee.
The Committee presents quarterly updates to the Corporate
Responsibility and Reputation and the Audit Committee, half-
-yearly reports to the Unilever Executive and an annual report
to the Board.
Day to day responsibility is delegated to all senior management
of the regions, categories, functions, and operating companies.
They are responsible for implementing these principles,
if necessary through more detailed guidance tailored to local
needs, and are supported in this by Regional Code Committees
comprising the Regional General Counsel together with representatives
from all relevant functions and categories. Assurance
of compliance is given and monitored each year. Compliance
with the Code is subject to review by the Board supported by
the Corporate Responsibility and Reputation Committee and for
financial and accounting issues the Audit Committee.
Any breaches of the Code must be reported in accordance
with the procedures specified by the Chief Legal Officer. The
Board of Unilever will not criticise management for any loss
of business resulting from adherence to these principles and
other mandatory policies and instructions. The Board of Unilever
expects employees to bring to their attention, or to that of
senior management, any breach or suspected breach of these
principles. Provision has been made for employees to be able
to report in confidence and no employee will suffer as a consequence
of doing so.
GRI 4.8, HR3, HR4, DMA EN, SO e PR Compliance, DMA SO Anti-competitive behavior
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All company practices are
managed in accordance
with the Code of Business
Principles which sets
forth company values,
perceptions and beliefs.
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unilever brazil Sustainability Report 2012
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Our commitments
On a global and local level, we are signatories to pacts and
initiatives linked with our business segments and to socio-environmental
guidelines. Over recent years, we have increased our
participation in discussions on sustainable supply chains, nutrition
enhancement, combating inequality and promoting health
and quality of life.
In Brazil, we participate in a series of consumer goods industry
sector initiatives. Below there follows a list of the commitments
and programmes to which we are signatories:
Global
»»
United Nations Organization Global Pact: we are committed
globally to the ten pact principles in our operations, making
an annual report on our progress towards achievement of
these goals.
»»
Roundtable on Sustainable Palm Oil: its main objective is to
“promote growth in the use of sustainable palm oil through
cooperation in the supply chain and open dialogue between
stakeholders”. This forum defines production targets based
on sustainable processes for palm oil. The commitment is
part of Unilever’s Global Sustainable Living Plan, with a target
of obtaining 100% of our raw materials from certified
sustainable sources by 2015.
»»
Roundtable on Responsible Soy – RTRS: this is a multi-
-stakeholder initiative aimed at facilitating global dialogue
on economically viable, socially equitable and environmentally
sound soy production. The RTRS gives stakeholders
(producers, social organizations, companies and the
industry) the opportunity to develop global solutions for
responsible soy production. This commitment is also part
of Unilever’s Global Sustainable Living Plan, one of whose
targets is to source all soy grain and soy oil sustainably by
2014 and 2020, respectively. This project aims to help producers
worldwide to meet growing consumer demand for soy
that does not contribute to the loss of biodiversity or to greenhouse
gas (GHG) emissions.
»»
Greenhouse Gas Protocol (GHG Protocol): we use this international
protocol to measure progress towards achieving our
UB2012 target of 2012 greenhouse gas emissions equal to or
lower than the 2007 figure.
»»
World Heart Federation: promotes improved heart health.
»»
Global Alliance for Improved Nutrition: works towards the
co-creation of new approaches to fortifying nutrients.
»»
FDI World Dental Federation: promotes improved oral health.
»»
Global Public-Private Partnership for Handwashing: provides
incentives for handwashing with toilet soap.
»»
Unicef: selected in 2011 as a global partner to improve sanitation
in developing countries through the UNICEF Community
Approaches to Total Sanitation (“CATS”) initiative, a
behavioural change programme that promotes good hygiene
habits, drives demand for access to sanitation facilities and
generates awareness about the sanitation crisis.
»»
Save the Children: selected in 2011 as a global partner to
improve living conditions for children worldwide by improving
access to health professionals and vaccinations that save lives
and ensure that more children and mothers are reached
by high impact health and nutrition programs.
»»
Oxfam: selected in 2011 as a global partner to enhance lives
worldwide through programmes to train individuals and provide
adequate nutrition, as well as clean drinking water.
»»
PSI: selected in 2011 as a global partner to improve family
and children’s health through behavioural change interventions
focused on handwashing and access to drinking water
and sanitation.
»»
WFP – World Food Program: selected in 2011 as a global
partner in the Laser Beam project, a public-private partnership
aimed at creating a scalable, sustainable model to improve
health, nutrition and means of subsistence in Bangladesh
and Indonesia.
»»
World Economic Forum: we are one of the main leaders of
the Global Forum, held every January in Europe.
GRI 4.8, 4.12, EC9
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Local
»»
Public Commitment for Responsible Advertising: a voluntary
document produced by major food and beverages companies
in Brazil aimed at promoting debate on responsibility and
ethics in communications for children.
»»
Brazilian GHG Protocol Programme: to conduct our greenhouse
gas (GHG) emissions inventory we adopted the GHG
Protocol methodology, currently the most widely used worldwide,
with some adaptations to the Brazilian reality.
»»
Business for the Conservation and Sustainable Use of Biodiversity
(MEB): aimed at leading business sector participation
in the construction of the Brazilian plan to conserve and promote
the sustainable use of biodiversity by 2020, with targets
in accordance with the country’s reality.
»»
Walmart Sustainability Pact: we are signatories of this commitment
designed to promote sustainability in the supply chain
»»
Child Friendly Company: we participate in this programme
created by the Fundação Abrinq in 1995 to encourage companies
to promote the rights promulgated in the Children’s and
Adolescents’ Statute
»»
CENAIDS (National Business Council for the Prevention of HIV/
AIDS): we are a founding member of CENAIDS, a council whose
mission is to mobilize companies to counter the HIV/AIDS epidemic,
reinforcing corporate social responsibility and sustainability.
»»
Conscious Cleaning Movement: a project developed by the
Brazilian Cleaning Products Industry Association Abipla to
promote sustainability in the Cleaning Products sector.
»»
Movimento +Mulher 360 (Business for the Economic Development
of Women): aligned with the UNO’s Women’s Empowerment
Principles, the movement proposes a 360 degree
vision of female empowerment in all the roles women exercise.
It also proposes gender balance and a wide-ranging approach
to enterprise in all spheres of business activity.
»»
Voluntary initiative with the Environment Ministry: signed in
November 2011 as part of the Environment Ministry’s Action
Plan for Sustainable Production and Consumption (PPCS), in
the presence of the Environment minister Izabella Teixeira.
The initiative is aimed at encouraging companies and sectors
to substitute the refrigerant gas used in commercial freezers
with gases that have a lower impact on global warming.
»»
Pacto na Mão Certa (Right Side of the Road Pact): an initiative
from the NGO Childhood Brasil aimed at mobilising governments,
companies and third sector organizations to more
effectively combat the exploitation of children and adolescents
on Brazilian highways.
»»
Network of Brazilian Female Leaders for Sustainability
(Rede de Mulheres Brasileiras Líderes pela Sustentabilidade):
the objective is to attract and mobilize female leaders in
private and public companies, government bodies, multilateral
and non-governmental organizations around sustainability-related
questions.
Our involvement in sector
movements and commitments
is aligned with the themes we
believe are priorities for the
industry in the country.
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Consumers
Customers
Communities
Social investment
Governments and institutions
sector practices
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Looking at the value chain
Over the last five years we have invested in
improving dialogue with diverse stakeholders in
Brazil, but we still face the challenge of engaging
all our units and operations in this proposal
The need to ally business activity with responsible practice is a
question that affects the entire value chain. In the last five years
we have initiated dialogues and undertaken engagement measures
and partnerships with our different groups of strategic
stakeholders in Brazil, involving employees, consumers, customers,
suppliers, surrounding communities, academics and
government institutions in the process.
By analysing the entire product life cycle, from the research
and development phase to post-consumption, we have identified
the main stakeholders exerting influence on and impacted by
Unilever Brasil’s businesses at each stage of this cycle.
The first survey, conducted in 2008, determined three priority
stakeholder groups for that moment: employees, suppliers and
customers. We then promoted an initiative aimed at employees,
that was later reinforced by the launch of the Unilever Sustainable
Living Plan. With our suppliers we have worked on reducing
production and value chain impacts. And, with support from our
customers, we have examined the need to reduce our emissions
footprint, particularly in the logistics area, and to take actions
that extend beyond the walls of our plants and offices.
Initiatives have also been undertaken with other stakeholders,
such as governments, academics and the communities around
our plants. Regarding consumers, we have maintained our strategy
of promoting education for conscious consumption through
campaigns supported by our brands and products (read more in
Consumers). We have continued our partnerships with government
bodies, supporting Ministry of Health and Ministry of the
Environment campaigns, with mutually beneficial outcomes for
all parties (read more in Governments and Institutions).
With a view to promoting accountability and engaging our
stakeholders, in 2012 we organized the event “Global Sustainable
Living Plan - One year on “. This was held in 25 countries,
including Brazil, and consisted essentially of a progress report
one year after the inception of the Unilever Sustainable Living
Plan (see the complete publication here,). This involved the exposition
and discussion of the results and progress towards
our sustainability targets, with the participation of numerous
company stakeholders either as speakers or spectators.
A challenge for the future
In 2011, we reviewed our Materiality Matrix, which brings together
and systematizes priority themes in company management
from the standpoint of our stakeholders in Brazil. This was
done by means of personal and telephone interviews with more
than 50 people, including specialists, suppliers, representatives
of NGOs and employees. The exercise resulted in the identification
of eight critical issues for Unilever Brasil (read more in Reporting
Process).
This process was the first steps towards enhancing dialogue
with our stakeholders. The work continued in 2012 with a pilot
project at four plants aimed at determining who the main stakeholders
are in these locations. The project should serve as a basis
for developing engagement actions over the coming years, in
line with our sustainability strategy.
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Consumers
Direct line
Relationship with the consumer occurs on a number
of levels and for diverse reasons – ranging from
conscious consumption to product improvement
The relations we establish with consumers provide us with information
that is fundamental for enhancing the quality of our
products and operations in the country. We have diverse service
and relationship channels with these stakeholders, supported by
a series of documents and internal and external codes; we conduct
research to identify trends and behaviours and to address
a question which is essential for the company’s business both in
Brazil and worldwide: education for conscious consumption.
Unilever has a team that manages and analyses the contacts
occurring throughout the different channels, enabling the company
to identify common complaints and doubts, collect opinions
and identify improvements to our brands and products. Two policies
underpin our practices involving consumers: the Code of
Business Principles and the Consumer Defence Code. We also
observe a global company privacy policy, as well as our Complaint
Treatment Policy, which has guided relations with consumers
and customers since 2008.
The consumer service team consists of more than 120 representatives
from a third-party company, in addition to a partner
that provides logistics and specialized consulting services, with a
further 153 employees. The relationship area is coordinated and
managed by a team of 15 Unilever Brasil employees, who also
deal directly with more complex cases that cannot be worked out
through conventional channels.
The main channel between consumers and Unilever Brasil is
the Consumer Service area or SAC in the Portuguese acronym,
with contacts occurring by telephone, email or mail. We also
have fanpages and profiles for our brands in networks such as
Facebook and Twitter, which have become an important channel
for dialogue in recent years.
In 2012, we developed an online tool that addresses consumers’
main questions. This enables 24-hour self-service on the websites
of our leading brands. Today, new consumers account for around
84% of the contacts, which poses the challenge of understanding
and working based on quite distinct doubts and considerations.
We also have a direct communication tool, the Vital portal,
part of the relationship programme bearing the same name. The
channel offers texts with recipes, information, tips on well-being
and healthy habits and guidance on the use of our products.
Readers are also invited to participate in activities promoted
in our interactive spaces, such as the Gourmet Studio, which
enable trial of our products and contact between Unilever professionals,
consumers and customers (read more in Improving
Health and Well-Being).
One of the main functions of the Consumer Service, together
with the Consumer Market Insights (CMI) team, is to gather information
that will permit the company to understand the expectations
and needs of the people who use our brands and products.
The area prepares weekly and monthly reports based on
a statistical tool which provides us with a basis for promoting
improvements, new communication and marketing strategies,
innovations and commercial measures.
Other company areas such as Media, Research and Development,
Quality and Logistics are also involved in this process. As
practical examples, recently we made changes to our Lux and
Dove liquid soaps based on contacts with consumers. We also
modified the label of Seda treatment creams as a result of complaints
about legibility.
To improve consumer insight, in 2012 the SAC area conducted
an analysis of more than 1,200 contacts made through our channels
to identify what the terms happiness and beauty mean to
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consumers. This provided important inputs for our categories
and brands. Requests for information on how to use products
are the main reason for consumer contacts.
Products are exchanged within 2 working days in the state
capitals and five days in other locations. In these cases, the material
is collected and sent to the plant where it was manufactured
for technical analysis. The result is made available in at most 30
days. The response time for email contacts is up to 72 hours. In
the event of an alleged product-related allergy or reaction, the
consumer is directed to a specialized medical consultancy.
Due to the use of third-party employees, maintaining Unilever
relationship management and quality standards can be challenging.
For this reason, we invest in training to integrate these
professionals into the company’s culture. As a result, the staff
turnover rate in the consumer service operation is around 5%,
half the market average.
In 2012, we launched the SAC Academy, a programme which
centralizes the training cycle on company brands, categories and
products for the third-party consumer service teams. The 23-hour
programme addresses topics considered essential to prepare the
SAC professionals to deal with consumers and clarify their doubts.
One measure during the year was the development of a dedicated
team to work on contacts concerning the Pureit purifier.
In the development of the courses and modules we draw on
specialized consultancies in dermatology for hair and skin care,
for example, and also address relevant themes such as the Sustainable
Living Plan and the Consumer Defence Code. All staff are
familiar with the Unilever portfolio and receive advance notification
of product launches and innovations. In 2012, we established
an award in conjunction with the consumer service provider to
recognize the best professionals in the team. We also conducted
a training programme to analyse the results achieved during the
year and discuss possible improvements to the service.
In 2012, Unilever Brasil also initiated a partnership with Senai,
the national industrial training service, to carry out studies on complaints
concerning clothing stains made by consumers via the SAC.
In this work, we will perform a more detailed analysis to identify the
extent to which our products interfere in the occurrence of stains
and their relationship with other elements - such as the washing
process, dosage or combined use with other products.
Service satisfaction
During 2012, we reduced the consumer service team due to
a decrease in the number of contacts over the last two years. At
the same time, we maintained satisfaction rates and obtained
significant improvements in attendance via email. This is a channel
the company has invested in over recent years, considering
it an important tool for positioning Unilever and providing consumers
with an objective response to their doubts and considerations.
During the year, there were 722,524 contacts, more than
50% via email, 38% via telephone and 5% via social networks. Of
these, 220,000 generated after-call work.
Our contract with the third-party SAC provider establishes
minimum satisfaction rates for contacts: 85%, for telephone and
mail; and 70% for email. In 2012, these figures remained stable
compared with the previous year, with an overall average of 80%.
The email contact satisfaction rate was 75% for the year (proportion
of consumers rating the service with a score of 8, 9 or 10).
The rate was 96% for telephone contacts.
Presence on the web
A swift, informed response is important in managing and preventing
risks to the image of our brands. To this end, over the last five years
we have reinforced our presence on social networks and relationship
sites, with profiles, accounts and fanpages on Twitter and Facebook.
These are monitored and managed by a partnering company, under
the coordination of our corporate team.
Our presence in digital media currently includes a number of Facebook
pages and Twitter accounts (see list below), always oriented to
messages from our 25 brands, including the corporate brand. This
is a strategic instrument for communicating with our consumers,
working on diverse aspects of the products and responding to criticisms
and thoughts about their composition, application and action.
Today, social networks account for 5% of total consumer contacts and
showed an increase over 2011, confirming an already apparent trend.
As a rule, consumers making contact via these new media
receive the same treatment as SAC users. But, in function of the
nature and reach of these vehicles, our virtual channels permit
specific questioning which may produce a rapid and widespread
repercussion and require a careful and considered response.
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In 2012, our fanpages received numerous comments on company
sponsorship of reality shows and international sports celebrities,
such as the football player Neymar. Another contact
that provoked considerable repercussion in mid-November involved
an AdeS consumer. Based on the analytical report prepared
by our plant in Pouso Alegre (MG), we responded that the
defect was not related to problems in manufacturing quality,
having probably been caused by a broken seal or by the product
remaining in the package a long time after having been opened.
There was also a resumption of contacts questioning our animal
testing practices. We reiterated our positioning that in Brazil and
most of the countries in which Unilever operates, we do not carry out
tests on animals. This only happens in countries where it is required
by local legislation and where there is no safe alternative.
Consumer research
The consumer research area – Consumer Market Insights
(CMI) – is charged with analysing trends, behaviours, perceptions
and the consumption habits of the people who use our products.
As in other Unilever areas, there are local (Brazil), regional (Latin
America) and global teams responsible for developing solutions
and providing inputs for specific innovations for each market and
region, in addition to monitoring our brands and their positioning.
The Brazilian CMI team works in partnership with the SAC based
on the Strategic Understanding Plan, which provides a framework
for understanding the consumer market. The area also carries out
In recent years we have increased
our presence in social media and
relationship sites with profiles,
accounts and fanpages that
transmit messages from our brands
qualitative and quantitative research with consumers of our food,
beverage, ice cream, personal care and cleaning product brands.
This enables the company to identify business opportunities by category,
region and audience, in addition to anticipating changes in consumption
habits for innovation development.
Research work is conducted in diverse locations, including
points of sale, the Gourmet Studio, the Customer Innovation
and Insight Centre (CiiC) and the homes of consumers who are
willing to collaborate with us. We also organize activities such
as Consumer Week, inviting people to participate in diverse activities
and discussions. On a national level, our main tools are
retail audits, household panels and monitoring communication.
We also undertake isolated studies in partnership with other
companies to analyse consumption habits, regions and specific
Virtual presence
Twitter profiles:
twitter.com/axebr
twitter.com/Ades_Brasil
twitter.com/beceloficial
twitter.com/ShampooClear
twitter.com/Dove_Brasil
twitter.com/hellmannsbrasil
twitter.com/kibonbr
twitter.com/knorrbrasil
twitter.com/LifebuoyBR
twitter.com/Omobrasil
twitter.com/rexonamen
twitter.com/rxt_oficial
twitter.com/rexonawomen
twitter.com/UnileverBrasil
twitter.com/SedaOficial
twitter.com/KnorrBrasil
Facebook Fanpages:
www.facebook.com/adesbrasil
www.facebook.com/axebr
www.facebook.com/Becelbr
www.facebook.com/BrilhanteBrasil
www.facebook.com/clearanticaspa
www.facebook.com/closeupbrasil
www.facebook.com/mundodecomfort
www.facebook.com/dove
www.facebook.com/hellmannsbrasil
www.facebook.com/kibonbr
www.facebook.com/Compromisso-
Lifebuoy
www.facebook.com/LuxBrasil
www.facebook.com/omobrasil
www.facebook.com/rexonawomenbr
www.facebook.com/rexonamenbr
www.facebook.com/SedaOficial
www.facebook.com/desafiopureit
www.facebook.com/FofoBrasil
www.facebook.com/Fruttarebr
www.facebook.com/tresemmebr
www.facebook.com/KnorrBrasil?ref-
=ts&fref=ts
www.facebook.com/Magnum?ref=ts-
&fref=ts
www.facebook.com/RexonaTeensBr
www.facebook.com/unilever
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market segments. In 2012, for example, we initiated a study to
assess the strength of the Brazilian liquid products markets, in
view of our investment in concentrated cleaning products.
Some recent Unilever innovations are the result of actions
focused on consumer understanding. The launch of the Meu
Arroz product line, for example, occurred after a study in which
we identified lack of time, cooking rice on a daily basis and the
use of instant seasonings (such as bouillons) as a constant for
Brazilian consumers.
Education for conscious consumption
Conscious consumption is a critical theme for the consumer
goods industry and a priority for the company. It is highlighted
in our Materiality Matrix and is one of the directives of the Sustainable
Living Plan. Global Unilever studies show that we need
to act at all stages of the product life cycle to meet the targets
we have set.
This work indicates that around 68% of the greenhouse gas
emissions from some of our products are associated with the
usage stage. This is due mainly to the need to heat water to
wash clothes, a common practice in developed countries, to
cook and also to bathe. For this reason, we strive to support
consumers through communication on diverse fronts, alerting
them of the environmental implications of the usage and the
post-consumption impacts of certain products, in addition to
benefits in terms of health, well-being and quality of life.
The fanpage of the Small Actions Big Difference campaign
launched in 2010 to sensitize and inspire people to take small
actions which, together, may make a big difference, had more
than 200,000 fans by December 2012. This concept was so successful
that it was gradually incorporated into Unilever’s global
strategy and positioning in the course of 2012.
Another action front consists of partnerships with the Ministry
of Health to include messages on good hygiene, health and
eating habits on our product packaging (read more in Governments
and Institutions). This is particularly the case with products
having social attributes – such as Lifebuoy and Pureit – or
nutritional ones, the case of AdeS.
We also collaborate with NGOs and customers, who have the
power to multiply our messages to a wider audience. Two examples
are the company’s partnerships with the Instituto Akatu
in diverse projects revolving around this theme, and initiatives
with some customers that underscore the importance of products
that provoke a lower environmental impact.
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Customers
Heading in the same direction
We use our presence at more than
400 thousand points of sale to engage
partners in sustainability projects
Unilever products are commercialized in more than 400,000 points
of sale all over Brazil, including supermarkets, drugstores, neighbourhood
stores, among others. This is a robust customer network,
which offers facilities and poses challenges, requiring a joint
agenda to minimize impacts and optimize processes.
At Unilever, customer relations are conducted by some four
thousand people, split between the commercial teams (responsible
for capturing and communicating with customers) and employees
who work at the point of sale (engaged in promotional
activities and orienting shop staff and consumers).
Since the implantation of the Sustainable Living Plan, we have
stepped up the communication of our values and business culture
throughout the customer chain by means of Joint Sustainability
Plans (JSP). These are aimed at developing partnerships
and implementing actions that offer environmental and economic
benefits for both parties. Measures include emission reductions
in the supply chain through projects such as fleet sharing and
cargo optimization (read more in the box).
Our main achievement in this area in 2012 was the signature
of a business plan with the Pão de Açúcar Group led by the Logistics
and Sales area. We mapped the emissions footprint of
our processes and commercial flows, from transportation between
Unilever plants and distribution centres and then on to the
customer’s distribution centres and sales outlets. Applying data
from our 2011 emissions inventory, we identified a significant
volume of emissions on routes between the distribution centres
and sales outlets. With this plan, we agreed to continue and expand
initiatives to reduce emissions and logistics costs.
During 2012, we also tested a project to optimize cargos by
including pallets with different product categories in trucks
transporting our products to customer distribution centres. In
the Northeast, we initiated the application of a similar system
aimed at improving truck occupancy rates, a practice hitherto
used only in the state of São Paulo. We organized an event at the
CiiC for one of our largest customers, from the state of Pará, to
present our Sustainable Living Plan and suggest the adoption of
joint eco-efficiency projects. As a result, this partner voluntarily
produced pamphlets on water economy for its customers and
organized a promotion of OMO liquid concentrate.
In 2012, we also maintained ongoing projects with our larger
customers, such as the Pão de Açúcar Unilever recycling station
programme, which has been in place for 11 years (read more in
Waste) and the Sustainability Pact signed with Walmart in 2009.
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Customer Insight and
Innovation Centre (CiiC)
The Customer Insight and Innovation Centre (CiiC) was inaugurated
in 2010 in the city of São Paulo with a view to providing
solutions and testing the efficiency of our product communication.
Unilever’s first interactive space for customers in Latin
America, the CiiC enables us to meet with partners to analyse
and modify business and communication strategies by means of
point of sale studies and simulations.
During the year, representatives from hypermarkets, supermarkets,
drugstores, small retail outlets and other segments
were invited to take part in training and tests involving product
layout in store shelves. We also study ways of communicating
our proposals and brands more efficiently with merchandising
activities and product rearrangement. A total of 126 visits to
the space were organized in 2012, comprehending major retailers,
drugstore and convenience store chains and regional
wholesale partners.
Built with recyclable or recycled materials and to high standards
of energy and water efficiency, the CiiC is also used to
train senior executives and to test new store management and
layout tools and materials. Since many of the procedures are
performed digitally, the company has eliminated the use of paper
and waste generation.
Partnerships with customers
enable the development of joint
logistics solutions that help reduce
greenhouse gas emissions.
Some joint projects with customers
Backhaul – A partnership with some of our larger customers
(such as Carrefour and Wal Mart) permits fleet sharing
and reduced costs and greenhouse gas emissions in logistics
operations (read more in Emissions). We added three
new routes in 2012.
Torre Project – Adjustments in the manual storage of
items sent to the Pão de Açúcar group, with the allocation
of different products in the same pallet. This eliminates
pallets from the operation, decreasing the number of
journeys and reducing costs. Implanted in four states in
the course of 2012.
Environmental Footprint – A joint project with the Pão de
Açúcar group which analysed the routes used to transport
our products, with a view to calculating CO2 emissions in
transportation from our distribution centres to the customer’s
stores.
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We engage in wide-ranging
dialogue with stakeholder
groups. Partnering with
other organisations, we
address consumers on
the question of conscious
consumption. We also
establish partnerships
with customers to reduce
our environmental footprint
and use the power of
our brands to support
government campaigns.
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Communities
Manufacturing
With industrial plants in different regions of the
country, our challenge is the more consistent
development of local community relations
Unilever’s nine factories in Brazil are located in four states in
three different regions of the country. This distribution makes it
necessary to examine the manufacturing operations and build
open relationship channels with local communities – a challenge
addressed in the Sustainable Living Plan and also delineated
in the stakeholder identification process initiated in 2012.
We have approached the challenge of engaging surrounding
communities with projects that include stakeholder mapping
and consultation, the assessment of social and environmental
impacts associated with the business and the use of environmental
survey mechanisms.
One of these tools is Laia (the Portuguese acronym for Environmental
Impact Survey), a mandatory standard procedure for
all Unilever units. In spite of its environmental focus, this survey
may also encompass social questions related to the surrounding
community. The survey is based on legal obligations and the
Framework Standards, the safety, health and environmental
management system used by Unilever.
In 2012 we advanced with a project to identify the stakeholders
associated with Unilever’s industrial operations. With support
from an external consultancy and providing continuity for the Materiality
Matrix consultations, we studied the main aspects and issues
involved in Unilever’s relations with governments, communities,
institutions and organizations in the areas around our plants.
This involved consultations with leaders from four operations:
Igarassu, Valinhos, Pouso Alegre and Vinhedo. The initiative
represents a first step towards understanding the most relevant
themes for each of the company’s manufacturing units. The
work will continue throughout 2013, as part of our stakeholder
engagement and relationship initiatives.
Community relationship programmes
To contact the company, our neighbours can get in touch with
the Call Centre or go directly to the factory gates. Some operations,
such as Garanhuns, Goiânia, Igarassu, Valinhos, Vinhedo
and Pouso Alegre have formal processes for handling complaints
from the local community. Others, such as Indaiatuba, Ipojuca
and Goiânia organize sustainability-related educational activities
for the community and employees’ families.
Another important measure for developing closer relations
with the community is the Conviver programme implanted at
the Valinhos factory, which has ice cream and personal products
plants. Created in 1992, Conviver has developed communication
channels with government and civic organizations, community
oriented social, environmental and educational programmes, in
addition to fronts to manage local impacts. In 2012, the distances
GRI EC8, SO1, DMA SO - Community
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between the plants and internal structural problems prevented
the extension of this programme, but we did design a unified
strategy for the plants which will be reinforced from 2013.
In the second half of 2012, we also initiated a pilot project
with communities in the areas around our plants which will use
a methodology aimed at boosting urban sustainability. The focus
is on enhancing community relations around questions related
to sustainability and local development. The pilot programme
will begin in 2013 in the cities of Valinhos (SP) and Pouso Alegre
(MG), with the prospect of extension to all company plants after
two years. The idea is to mobilize employees who are interested
in acting as agents of change, fomenting the development of the
region in which they live.
Unilever is also a sponsor of Enactus, an international notfor-profit
organization that foments the development of socially
responsible business leaders through volunteer work by university
students in communities with specific needs. While helping
these communities to find creative, sustainable solutions to their
problems, the students develop skills which will increase their
chances of being hired by reputable corporations.
company to measure its impacts and establish action plans. This
tool was used in Pouso Alegre (Minas Gerais) during the construction
of a new distribution centre, enabling us to prepare a
relationship plan with the local community.
Occupying 87 thousand square metres and generating around
one thousand work posts, both with Unilever and with partners,
this will be one of the company’s largest distribution centres.
Since the beginning of the project, the construction company responsible
for the building has had meetings with the local community
and representatives of the local environmental authority
to discuss questions such as pollution and the generation of traffic
on nearby viaducts and roads. The Pouso Alegre DC is being
built in accordance with Leed (Leadership in Energy and Environmental
Design) standards, which incorporate sustainability
into civil construction practices. The DC is scheduled to go into
operation in the third quarter of 2013. If certified, this site will the
third Unilever operation to receive Leed certification.
New Instalations
We have also sought to improve relationship in installations
that are in the construction phase. A tool that identifies the impacts
caused by our operations, developed by a group of trainees
in 2011 and reviewed and applied throughout 2012, enables the
GRI EC8, SO1
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UNILEVER BRAZIL SUSTAINABILITY REPORT 2012
OUR STAKEHOLDERS
BACK TO SUMMARY
IMPACTS IDENTIFIED IN 2012
Some impacts observed by surrounding communities notified
through our communication channels:
Igarassu – During the year, the Pernambuco state environmental
authority (CPRH) inspected the production lines and made
a series of recommendations for improvements to leaders and
the local SHE (Safety, Health and Environment) teams. The unit
did not receive any fines from the environmental authorities, nor
were complaints received from the neighbouring communities.
Pouso Alegre – With the construction of a new distribution
centre (DC) in the municipality, Unilever is applying a tool
developed by trainees to measure the impacts caused by
the new operation on the neighbourhood. In 2012, the company
elaborated relationship and communication measures
involving open encounters and meetings with local leaders.
In 2013, after the start-up of the operation, the tool will be
applied again to measure different impacts at each stage of
the business.
Managing community impacts
is still a challenge for Unilever
Brasil, in particular at its plants.
In 2012, we progressed in
mapping the stakeholders in these
operations.
Valinhos – Annually the unit monitors environmental noise
in the area around the plant. During the night noise levels
can exceed stipulated parameters. There were no complaints
from the community, but the monitoring led to
mitigation projects that will be carried out in 2013. Some
isolated complaints were received through the plant’s community
relations channel; these were dealt with by the company’s
environmental management system.
GRI EC8, SO9, SO10
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Social investment
Strategic support
We provide incentives for projects and initiatives
that further our global sustainability directives
Our private social investment in Brazil is aligned with global Unilever
strategies and guidelines. This investment takes place on
two fronts: the first is coordinated by the Instituto Unilever involving
projects receiving tax incentives; the second is centred on our
brands and entails direct company investment and sponsorship.
The main criterion for investment is support for projects,
partners and initiatives aligned with company values, strategies
and socio-environmental and business targets, with a focus on
our most relevant themes – such as nutrition, health, education
for conscious consumption, the reduction of product life cycle
impacts and responsibility in the value chain. We also prioritise
programmes that promote dialogue with our multiple stakeholders
and areas such as well-being, self-esteem, social and economic
development and environmental education.
All projects are evaluated by the Instituto Unilever cross-functional
team and the Unilever Brasil marketing areas to check the
credentials of the potential partner, compliance with Brazilian legislation
and alignment with the business. To be selected a project must
also be coherent with the Code of Business Principles, the Unilever
Sustainable Living Plan and company brand communication policies.
In 2012, the company’s social investment totalled around BRL
11.3 million, a 26% increase compared with the previous year.
Around BRL 2.5 million was invested through tax incentive laws
such as the Rouanet Law and the Sports Incentive Law.
One of the oldest initiatives supported by our corporate brand
is the Unilever Social Volleyball Programme. Aimed at children
and teenagers in Paraná and Rio de Janeiro, it was created in
1997 and is aimed at promoting self-esteem, human development
and social inclusion through sport. The work with children
aged 7 to 15 years prioritises four principles (responsibility, respect,
cooperation and autonomy). The project is coordinated by
the Instituto Compartilhar, run by the volleyball coach Bernardo
Rezende in partnership with the Paraná state government and
the Rio de Janeiro city hall.
During the course of 15 years, the project has benefited more
than 95 thousand children and young people in three states
(Paraná, Rio de Janeiro and São Paulo) with sports and educational
activities. During 2012, more than 1,480 teachers were
trained and 2,600 children and adolescents took part in the programme.
See more at www.facebook.com/unilevervolei.
Another source of company social investment on a global
level is the Unilever Foundation, the inauguration of which was
announced at the World Economic Forum in Davos, Switzerland,
in January 2012. With a fixed partner network including organisations
such as the World Food Program (WFP), Save the Children,
Oxfam, PSI and Unicef, the foundation is dedicated to improving
quality of life in areas such as hygiene, sanitation, access
to drinking water, nutrition and self-esteem.
GRI EC8, SO9, SO10
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In Brazil, Unilever is already engaged in some projects of
this nature with Save the Children, represented by the Fundação
Abrinq. We are also working on a partnership to be launched
with Unicef in 2013, based on the same principle as the global
project. This is aimed at engaging with municipal governments,
communities and schools to improve sanitation facilities in specific
regions of Brazil (more information about the global project
is available at www.domestosforunicef.com.
Another important programme that we support through the
Unilever brand having the highest recall in the country is OMO -
Every Child has the Right. Since 2008, the initiative has provided
recognition for activities developed by infant and primary schools
to value play, in line with our proposal that brands such as OMO
should encourage and disseminate quality of life and well-being.
During the last edition of the award, the results of which
were released at the beginning of 2012, we received entries from
more than 700 schools in 395 municipalities, 7% of the municipal
districts in Brazil. A total of 18 private and public schools
received awards, most of which were in the Southeast of the
country. In 2013, the award will undergo a reformulation which
is scheduled to be concluded in mid- 2014. Further information
about the programme is available on the programme’s webpage
(http://www.pelodireitodesercrianca.com.br).
In 2012, our AdeS brand also supported the “Lê pra mim?”
(Read for me?) project, which encourages young children to read
through literary encounters with public figures. More than 1,200
children benefited from the four-day encounter, which transforms
comedians, actors and teachers into story tellers. At the
end of each session, the participants received a book and an
AdeS beverage.
The Kibon brand also developed a project to develop a local
community in the city of Rio de Janeiro. The company sponsored
the construction of a facility for the NGO Educap (Espaço
Democrático De União, Convivência, Aprendizagem e Prevenção),
which offers courses on subjects suggested by the community
members, such as English focused on tourism, financial management,
entrepreneurism and preparation for the labour market.
More than 280 people attended the programme on a regular
basis during the year.
Action
Investment
Number
of people
impacted
Product donations BRL 9,256,191.76 769,849
Direct Investment BRL 6,621,038.49 3,208,227
Investment by
incentive laws
(Rouanet; LIE,
FDCA)
BRL 2,550,321.00 187,408
Total BRL 18,427,551.25 4,165,484
GRI EC8
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Other projects
Through the Instituto Unilever the company also
supported the following initiatives, which were either
undertaken in 2012 or will take place during 2013:
a not-for-profit non-governmental organization
promoting environmental awareness by means of
education for sustainability.
ways of preventing disease through basic hygiene.
There were 189 presentations of the show, attended
by 81,608 people in the two cities.
Alfasol Programmes: Alfasol, a not-for-profit
civic organization dedicated to social development
by means of sustainable educational practices,
carries out a number of projects, such as its Youth
Education and Professional Initiation Project for
Administration, Logistics, Trade and Retail Professions.
We started to sponsor this initiative in
2011 and the project will run until May 2013, benefiting
some 600 young people. In 2012, we made
a further donation which will be invested in the
initiative “Youth education in logistics” in 2013.
Praça vai à Escola Project: this promotes free
socio-environmental education and inclusion for
children and adolescents through transformational
educational activities aimed at preserving
the environment and driving sustainable development.
Implemented by the Instituto Verdescola,
Turma da Lancheira: The project, which took
place in 48 schools in São Paulo throughout the
year, reached more than 17 thousand people with
actions aimed at promoting awareness of healthy
eating choices and healthy life styles.
Unilever Social Volleyball Programme: we support
the Paraná State Volleyball Centres Tournament,
which seeks to nurture individual self-esteem and
human development through sport. The initiative is
part of the Unilever Social Volleyball Programme,
run in partnership with the Instituto Compartilhar.
Galinha Pintadinha – O Musical: A playful, interactive
musical production that was presented in São
Paulo and Rio de Janeiro during the year. It features
the song “Lava a mão” (Wash your hands),
which provides guidance on one of the simplest
Cine Lifebuoy –Disney Magic Session: As part
of World Handwashing Day in 2012, Lifebuoy and
Disney promoted a project to open access to the
cinema to low-income segments of the population.
Classic Disney films were shown in a number
of cities in the northeast of Brazil, in the
states of Alagoas, Bahia, Pernambuco, Paraíba,
Rio Grande do Norte and Ceará.
Risadaria (Laughter): Programmed for 2013, the
initiative includes a series of platforms - such as
literature, cinema, radio, internet, cartoons, theatre,
photography, circus, stand-up comedy and
documentaries – to promote laughter.
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Our investments are
directed at projects,
companies and
partnerships aligned with
our values and goals.
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unilever brazil Sustainability Report 2012
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Governments and institutions
Unilever in public life
Dialogue with the municipal, state and the
federal governments enables us to participate
in and influence policies affecting the sector
It is our understanding that company relations with governments
and public institutions should reflect and reinforce our positioning
regarding various sustainability-related questions. We want to have
an active voice in regulatory and sector discussions, the reason we
have a Government Affairs and External Relations area.
The team reports directly to senior management and is responsible
for dealing with the company’s institutional stakeholders, such
as municipal, state and the federal governments, as well as Brazilian
trade and sector associations. Maintaining a close relationship with
these groups enables us to participate in and positively influence
debates related to regulation of the industry, such as the Brazilian
national solid waste policy, as well as to assist public authorities in
publicizing educational campaigns related to our business through
our brands and products.
The focus and relative weight of a particular issue determine
the course we adopt in these relations– direct dialogue or via trade
association. For regulatory questions involving state and federal
governments, we generally act in partnership with bodies such
as Abipla (Brazilian cleaning product industry association), ABA
(Brazilian advertisers’ Association), Abia (Brazilian food industry
association) and Abihpec (Brazilian cosmetics, toiletry and fragrance
industry association).
In many of these associations, Unilever executives act as consultants
(read more in Sector Practices). However, we also develop direct
partnerships with the federal government to disseminate messages
and campaigns through our brands and products. In questions concerning
our operations, plants and distribution centres, we also deal
directly with municipal and state governments when necessary.
Federal campaigns
In most cases, our direct relations with the federal government
involve support for its institutional and educational campaigns.
We use our multiple communication channels, including
product labels, to transmit messages on health, well-being and
social and environmental responsibility, providing information
designed to raise consumer awareness.
One of our oldest partners in this respect is the Ministry of
Health. Since 2007, we have been recognized as a “Partner in
Health” for assisting in the dissemination of campaigns to prevent
disease and problems related to hygiene and malnutrition,
for example. We included messages related to the national polio
vaccination campaign on OMO packs; the Maizena and Cremogema
brands supported a breast-feeding campaign, and our
200 ml AdeS packs carried seals promoting the importance of
the Guthrie test for new born babies.
In the cleaning and hygiene area, health actions are conducted
through Lifebuoy antibacterial soap, whose social mission
is to promote frequent handwashing. On October 15, 2012,
during the commemoration of World Handwashing Day, we con-
GRI SO5, DMA SO – Public Policy
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unilever brazil Sustainability Report 2012
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ducted a communication campaign and promoted activities with
employee volunteers and partners such as the Pastoral da Criança,
with the distribution of educational material (read more in
Improving Health and Well-Being).
We also work periodically with the Ministry of the Environment.
Our main commitment is to participate actively in initiatives
under the Sustainable Production and Consumption Plan
(PPCS in the Portuguese acronym) launched in 2011. One activity
included in this plan is the substitution of the refrigerant gas in
80% of Kibon’s ice cream cabinets by 2020, in partnership with
our freezer supplier Metalfrio.
The target of substituting the refrigerant gas in 20% of Kibon
freezers by the end of 2012 was exceeded, with the company ending
the year with 62% of its freezers using R290 gas (read more in Emissions).
The target of reusing and/or recycling 20% of the components
in freezers by the end of 2012 was also beaten. At the end of 2012,
100% of the components were being reused and/or recycled at the
end of the working life of the freezers (read more in Waste).
A good example of the reuse of materials is the process of
recycling polyurethane sheets used for thermal insulation in the
freezers. This material is transformed into thin plastic sheets
used to make a number of items, such as bins for post-consumption
packaging in the home - in the bathroom, for example,
where consumers do not usually sort packaging. This material
was also used to make an end of year gift that Unilever sent to
diverse stakeholders.
In 2012 we formalized our support for debates on conscious
consumption with the launch of the survey “What Brazilians think
of the environment and sustainable consumption “, developed by
the Environment Ministry in partnership with other companies.
Presented during Rio+20, the document analyses habits and behaviours
of Brazilian consumers and their perception of business
sector commitment to sustainability.
Unilever at Rio+20
The United Nations Conference on Sustainable Development
(Rio+20), held in June 2012, mobilized Unilever’s senior management
in Brazil and worldwide. The president of the Brazilian operation,
Fernando Fernandez, the global president global, Paul
Polman, and Brazilian and English executives took part in the
main conference encounters.
Prior to the conference, Unilever prepared a manifesto that
was presented publicly by executives from our the global operations.
It reaffirmed the company’s positioning and its expectation
that the business community and the consumer products industry
be engaged in promoting sustainable development. The text
addresses five priority areas: deforestation; sustainable sourcing
and climate change; food security; sanitation and hygiene;
waste, recycling and sustainable consumption.
The document presents the main risks and opportunities for
the organization’s companies worldwide, showing our commitments
and suggesting how governments, companies and civil
organizations could reduce impacts and improve quality of life.
The manifesto also underscores the need for all the agents and
stakeholders involved to commit to the Sustainable Development
Goals (SDGs). The full manifesto is available at www.unilever.
com.br/sustentabilidade.
During Rio+20, Unilever presented the advances it has made
in its Sustainable Living Plan and encouraged debate about the
adoption of more effective and consistent social and environmental
practices by the business world. The company also participated
in diverse round table discussions on themes such as
smallholder farmers and valuing and promoting the development
of agents in the supply chain.
GRI SO5, EN27
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Sector practices
A question of order
Relations with sector and trade associations empower
us in major public policy discussions in the country
Unilever seeks representation and active participation in major
nationwide discussions related to the environment, sustainability
and corporate responsibility in the sectors in which
it operates. Critical business themes which are under review
in the applicable legislation, such as labelling, advertising for
children, solid waste disposal and recycling, among others,
are debated by representatives of companies in the sector
and partners.
We are currently engaged in diverse projects and discussions
on Brazil’s national solid waste policy (PNRS). Sanctioned
in 2010, the new policy, which involved years of debates between
the government, consumer goods companies and diverse
spheres of civil society, introduces changes in the way waste is
disposed of, collected, treated and managed in the country. The
policy involves the gradual implementation of a series of measures,
such as the regularization of landfills and the assumption
of a number of obligations by companies between 2012 and
GRI SO5
2014; it also establishes the target of increasing the percentage
of dry waste recycled in Brazil to 20% by 2020.
Unilever participates in the solid waste policy discussion
groups through the trade associations of which it is a member,
such as Abihpec (Brazilian cosmetics, toiletry and fragrance
industry association) and Abipla (Brazilian cleaning product
industry association. These and other organizations are also
part of Cempre (Business Commitment to Recycling), of which
Unilever was a founding member and which is responsible for
articulating debates with the government.
Throughout 2012, a number of subjects were discussed under
the auspices of Cempre, with a focus on helping companies
to adapt to the new legislation and preparations for a possible
sector agreement. There were important advances in the
personal hygiene and cleaning segments during the year. An
example is the Dê a Mão para o Futuro programme (Give the
Future a Hand), the result of a partnership between Abihpec,
Abipla and diverse companies, aimed at implanting a selective
waste collection network in Brazil based on the concept of
shared responsibility.
The programme is for companies who are seeking appropriate
urban solid waste management solutions in line with national
policy. In this group, we seek to influence governments
and help organize recyclable waste collection cooperatives,
driving the social inclusion of these groups and helping to reduce
the impacts caused by diverse consumer goods.
The project is already in operation in Rio de Janeiro and
Paraná. In 2012, an agreement was signed with São Paulo
state government to enable the initiatives to be put in place in
the municipal districts in the State. During the year, the cooperatives
processed and commercialized 21,838 tonnes
(Paraná) and 255.8 tonnes (Rio de Janeiro) of recyclable materials.
More information about the project is available at
www.maoparaofuturo.org.br.
Another joint programme that is aligned with the new law
is the Pão de Açúcar Unilever Recycling Stations, which represent
a viable model for the free collection and channelling
of solid waste to cooperatives. This programme reduces the
volume of waste in disposed of in landfills, generates new jobs
and provides an incentive for consumers to dispose of their
waste properly.
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Participation in associations and organizations
Associations and councils
ABA (1969) – Brazilian advertisers association – Unilever
presides the Government Relations, Legal, Media Management
& Digital Marketing committees, and is vice president
of the sustainability committee.
Aberje (1972) – Brazilian business communication association
– member.
Abia (1963) – Brazilian food industry association – we are
members of the Consulting Council, the Board and are part
of the Regulatory group, through which the sector reviews
legislation in conjunction with the government and Anvisa.
We participate in Tributary group meetings to analyse tributary
legislation and advocate sector interests.
Abihpec (1995) – Brazilian personal hygiene, perfumery and
cosmetics industry association – Board member and participation
in the environment, overseas trade and regulatory working
groups. The latter is responsible for revising sanitary legislation
(for example, simplifying Anvisa product registration processes).
Reviews are carried in partnership with the government and Anvisa.
We participate in Tributary group meetings to analyse tributary
legislation and advocate sector interests.
Abipla (1976) – Brazilian cleaning products industry association
– We preside this association and participate on the
board and in the environment, labour, tributary and regulatory
working groups. The latter is responsible for revising
sanitary legislation (for example, simplifying Anvisa product
registration processes). Reviews are carried in partnership
with the government and Anvisa. We participate in Tributary
group meetings to analyse tributary legislation and advocate
sector interests. We also participate in the labour relations
group.
ABMN (2001) – Brazilian marketing and business association
– member.
Adial (2002) – State of Goiás industrial development association
– We are members and participate as vice president of
the administrative council.
Aevi (2010) – Vinhedo business association – a representative
of the Vinhedo unit participates in meetings on a
monthly basis.
Assesuape (2009) –Suape business association – member.
Associação ECR Brasil (1997) – Brazilian Efficient Consumer
Response association – We are members and represent the
industry in this association.
CEBDS (2012) – The Brazilian Business Council for Sustainable
Development – A group of companies installed in the
country aimed at discussing and disseminating best corporate
practice aligned with sustainability.
Cenaids (1998) – National business council for the prevention
of HIV/AIDS – Unilever is a founding member and participates
periodically in Cenaids meetings.
Ciesp (1934) – State of São Paulo Industry Confederation –
board member.
Conar (1980) – National advertising self-regulatory council –
Unilever participates as 2 nd vice president on the board and
as a member of the Ethics Council.
continua
GRI 4.13
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EAN Brasil (1987) – Brazilian automation association – member.
Civic organizations
Cempre (1992) – Business commitment to recycling – Unilever
is a founding member and active participant in Cempre.
The company has presided the organization twice and is currently
on its board.
Instituto Akatu para o Consumo Consciente (2010) – Unilever
supports the Instituto Akatu, which provides the company
with support in questions related to conscious consumption.
Instituto Ethos (1999) – Instituto Ethos de Empresas e Responsabilidade
Social – member
Instituto Integrare (2006) – We developed the Integrare programme
designed to incorporate micro and small companies
into our business. We are a member of the consulting council
and are engaged in recruiting new members
WWF (2010) – We are part of the Corporate Club as a partner
of WWF Brasil.
Intermunicipal Consortium
Consórcio PCJ (1996) –Intermunicipal
Consortium of Basins of the Piracicaba, Capivari
and Jundiaí Rivers – Member of the board, with
participation in meetings and the technical group of
consortium members.
Chambers of commerce
BRITCHAM (1995) – British Chamber of Commerce and Industry
in Brazil – member.
DUTCHAM (1952) – Dutch-Brazilian Chamber of
Commerce - member.
Federations
Sicongel (1997) – São Paulo frozen products industry federation
– We are a member company. The company representative
is vice president of the Ice Cream area.
Sipatesp (1941) – São Paulo perfume industry federation –
We are a member company. We participate in the Tributary
Group to analyze legislation and to advocate the sector’s
interests in the government sphere.
Sipla (1988) – National cleaning products industry federation
– We are a member company. We participate in the Tributary
Group to analyze legislation and to advocate the sector’s interests
in the government sphere.
GRI 4.13
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unilever brazil Sustainability Report 2012
Improving Health and Well-Being
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Nutrition
Health and hygiene
Lifebuoy
Pureit
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unilever brazil Sustainability Report 2012
Improving Health and Well-Being
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A target of one billion
We want to improve quality of life for one billion
people by 2020 by changing their hygiene habits, such
as promoting handwashing at least five times a day
As a market leading company that develops and produces food
and personal care products and reaches every Brazilian household,
Unilever has the responsibility of doing business in a way
that helps improve living standards, promotes health and hygiene,
increases people’s self-esteem and their well-being. We
play an important role in the dissemination of healthier eating
habits through the nutritional profile of our products and participation
in awareness campaigns.
In Improving Health and Well-Being we work on two fronts: in
our product communication, in which we underscore the products’
main attributes and qualities, either in terms of nutrition
or the promotion of hygiene, health and well-being; and through
campaigns and actions supported by our major brands, particularly
worthy of note being Lifebuoy, Pureit and Becel – which
help publicize questions such as proper handwashing, access to
pure, clean, treated water and the prevention of cardiovascular
disease, respectively.
The Unilever Sustainable Living Plan contains a series of global
targets for the years 2012, 2015 and 2020 in the Improving Health
and Well-Being area. It is guided by our commitment to help more
than one billion people adopt habits that will improve their health
and well-being by 2020. In the Health and Hygiene area, we intend
to take drinking water to 500 million people and to induce one billion
people to adopt more hygienic habits. In Nutrition, we will double the
number of products with an enhanced nutritional profile by 2020.
Globally, we have made significant progress in this pillar as
testified by the Sustainable Living Plan Progress Report, available
at www.unilever.com.br/sustentabilidade.
We have also established local targets based on the guidelines
of the Sustainable Living Plan and the attributes of the
brands and products commercialized in Brazil. Working through
initiatives, projects and communication, we will contribute to the
targets by impacting around 75 million people with actions related
to Lifebuoy, for example.
We influence stakeholders in sector initiatives, with encounters
and communication activities aimed at health professionals,
public authorities and organisations committed to promoting
health and safety in the country. Internally, we seek to launch
products and communications that are aligned with our business
and sustainability strategies.
To ensure the proper communication of information about our
products and strategies, we maintain a communication network
with health professionals. In addition to periodic visits, we issue
invitations to events and workshops focused on themes such as
healthy diets, new habits and quality of life.
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Our global targets
Health and Hygiene
»»
To provide 500 million people with drinking water by
2020 (Pureit).
»»
By 2015, our Lifebuoy brand intends to change the
hygiene habits of 1 billion consumers in Asia, Africa
and Latin America by publicising the benefits of proper
handwashing.
»»
By means of our dental cream brands, we will change the
oral health habits of 50 million people by 2020.
»»
We want to help 15 million young people improve their
self-esteem with our Dove brand.
Nutrition
»»
We are committed to improving the fat composition in
our products, reducing levels of saturated fats as far
as possible and increasing levels of essential fats. Our
target for 2012 was less than 33% saturated fat in the
composition of our leading margarines. By the end of
the year more than 90% of our major margarine brands
(in volume) had less than 33% saturated fat as a proportion
of total fat.
»»
Eliminate trans fat: in 2012 we achieved our target of eliminating
trans fat from partially hydrogenated vegetable
oils in all our products.
»»
Reduce sugar: we have already reduced sugar levels in
our ready-to-drink beverages. We will eliminate a further
25% by 2020.
»»
Reduce calories: by 2014, 100% of our children’s ice cream
products will have 110 kcal or less per portion. This
target was reached in 60% of our portfolio by 2012.
»»
Reduce sodium: we will reduce sodium content by up to
25% in all our food product categories by 2015.
»»
Information on healthy diets: our objective is to provide clear
and simple product labelling that will help consumers to
make the right choices for a nutritionally balanced diet. All
our products in Europe and North America provide complete
nutritional information. By 2012, Australia, New Zealand and
Latin America were already providing complete nutritional
information on product labelling.
Measures in the nutrition and
health and hygiene areas are
aimed respectively at improving
the profile of our food products and
disseminating healthier habits in the
regions in which we operate.
(See our progress against targets in http://www.unilever.com.br/sustentabilidade)
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Nutrition
Less sodium, less fat, less sugar
It is a permanent challenge to enhance our foods
portfolio, offering an appropriate nutritional
profile and satisfying consumer needs
Unilever is working hard on improving the nutritional profile of its
products to offer consumers in Brazil and worldwide a balanced
diet. Our food portfolio, which includes brands such as Becel,
Knorr, Hellmann’s and Maizena, is focused on three priority issues
on the Brazilian public health agenda: nutrient deficiency,
obesity and excess weight, and excessive sodium consumption.
Management of these themes is coordinated by the Nutrition
and Research and Development areas, which pay special attention
to the innovation phases. The objective is to launch
products with lower quantities of four ingredients – trans fats,
saturated fats, sugar and sodium, when possible aligned with
the recommendations of the World Health Organisation and
other bodies. The regional and Brazilian teams work together
on this so that our brands and products are also aligned with
critical questions in Brazil. The company’s Consumer Market
Insights (CMI) area provides support with research aimed at
understanding consumer expectations and needs (read more
in Consumers).
In 2012, we made significant progress in the reduction of
sodium levels in our products. In addition to being one of our
global targets, this issue was incorporated into the Brazilian
public policy agenda after the signature of an agreement between
the Ministry of Health and Abia (the Brazilian food industry
association) in August 2012. The commitment, which represents
the continuation of a cross-sector initiative initiated in
2008, addresses sodium reduction in diverse foods categories,
including seasonings, bouillons and margarines, and is part of
the federal government’s Strategic Plan to Combat Non-Transmissible
Chronic Diseases. The objective is to remove more
than 8.7 thousand tonnes of sodium from the Brazilian market
by 2020 – the equivalent of 378 fully-loaded 23-tonne Truck
class heavy goods vehicles.
Our participation in debates as Abia members enabled us to
identify areas for improvement and dialogue between the government’s
strategy and our own Sustainable Living Plan – which
targets a 25% sodium reduction throughout the foods category.
In 2012, improvements were already underway in some products,
such as our Frango Assado bouillon cubes and bouillons
in general, with an approximate reduction of 2% compared with
their original formulation.
Additionally, innovations and product launches under the
Knorr brand, such as the Meu Bife, Purê de Batatas Instantâneo
and Minha Carne Assada lines, are in accordance with the sodium
levels established in our own and in sector commitments.
In the Unilever Food Solutions division, which commercializes
products such as Meu Arroz, we also identified a reduction of
more than 15% in the salt content in recipes, in partnership with
an industrial meal provider.
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We think that our targets for the coming years are evolving
in the right direction, and whenever possible we seek to share
our experience with partners and the competition. Above all, we
are committed to ensuring that the products we commercialize
are in line with sector, company, national and international
guidelines. As such, our priority is to ensure that all variations
of Unilever brands and products have a flexible, high quality
nutritional profile.
On a global level, we have also reduced sodium levels significantly
over the last eight years. Our long-term target is to reach
the daily limit recommended by the World Health Organisation of
5 grams of salt per day.
Since 2009, we have deployed the Unilever Brasil Sodium Reduction
Strategy, which proposes specific targets to disseminate
the maximum daily ingestion of 5 grams of salt as standard. We
have already brought about significant reductions in our products
in the country over the last five years.
This is especially challenging in view of variations in consumer
preference from country to country - which we need to address
with specific innovations and improvements. And this needs to
done in conjunction with our competitors, in a way that neither
jeopardises our business nor affects consumer satisfaction.
As critical problems related to Brazilian public health, we have
identified two issues that reflect the need for Unilever to enhance the
nutritional profile of its food product lines: excess weight and obesity
on the one hand and, on the other, a deficiency in essential nutrients.
Data from the latest Family Budget Survey, released in 2010
by the IBGE, show that around 60% of Brazilian adults are overweight
or obese. Meanwhile, the issue of nutrient deficiency is
still very much linked with malnutrition and affects more than
170 million children worldwide. In Brazil, this problem affects
6% of the infant population, a reduction of 73% between 1974
and 2009, according to the study “The panorama of malnutrition
in Brazil over the last four decades”, published by the Fundação
Abrinq – Save the Children.
In Unilever, we believe we have an important role to play and can
help change this picture in a number of ways. In addition to improving
the profile of our products, making them important components
in a more balanced diet through programmes such as Nutrition Enhancement
(read more below), we are engaged on fronts that study,
analyse and seek to improve Brazilian eating habits.
In September 2012, Unilever Brasil started to sponsor a pioneering
initiative in this direction: the Meu Prato Saudável (My
Healthy Dish) programme. Aimed at observing how Brazilians
prepare their meals and increasing awareness of how to make
them more nutritive and healthier, the project, which is coordinated
by Latinmed and Incor (Heart Institute), is supported by
our corporate brand via the Unilever Health Institute (UHI – read
more below) and by the AdeS, Becel and Hellmann´s brands.
In its first phase alone, Meu Prato Saudável impacted more than
70 thousand people in the state of São Paulo with encounters, educational
materials, a website (www.meupratosaudavel.com.br) and
an application for iPhones and the Facebook social network containing
information about meal preparation and tips for consumers. In
2013, the programme should start in the state of Rio de Janeiro and
then be gradually extended to other regions in Brazil.
In addition to enhancing the
nutritional profile of our products,
we are engaged in fronts aimed at
studying, analysing and improving
Brazilians’ eating habits
Another initiative we support is the “Ame o Coração” (Love your
heart) website, aimed at increasing public awareness of methods
and dietary habits that can prevent cardiovascular disease. The
website, which is sponsored by our Becel brand, contains statistics,
life stories and advice. The site www.ameocoracao.com.br
will be included in a portal which receives a large number of accesses,
as a means of extending its reach.
In 2012, the AdeS brand also sponsored the play Turma da
Lancheira, an initiative designed to provide children studying at CEU
schools in São Paulo with information on healthy eating habits.
GRI FP4
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Nutrition Enhancement Programme
Since 2003, Unilever Brasil has been developing its Nutrition
Enhancement Programme (NEP), part of a global initiative to improve
the profile of our food products vis-à-vis components such
as sugar, sodium, saturated fats and trans fat – considered by
the World Health Organisation (WHO) to be potentially harmful to
health when consumed in excess.
There was a great improvement in retail products compliant
with NEP criteria. In 2011, 45.5% of our retail products observed
established limits for sugar, saturated fat, trans fat and sodium.
NEP compliance rose to 61% for these products in 2012. In the
Food Solutions category, which was evaluated for the first time in
2012, compliance with NEP criteria was 48%.
Currently, 100% of our soy and milk-based beverages and
vegetable creams meet NEP criteria. The compliance rate for the
dressings category, which includes mayonnaise, ketchup, mustard
and salad dressing is 75.8%, compared with 70.9% for the
bouillons, soups and seasonings category. Lastly, we are working
on steadily reducing the quantities of saturated fat and sugar
in the ice cream commercialized by Unilever.
In addition to reducing quantities of sugar, saturated fat, trans
fat and sodium, Unilever seeks to fortify some foods with nutrients
that are important for the organism, such as vitamins and
minerals. The company has a food and beverage fortification policy
which, among other things, requires studies on the incidence
of deficiencies in the population, as well as on the most efficient
way to delivering the nutrient. This involves joint work between
the Nutrition and Research and Development areas. Most of
these solutions are developed regionally by the Latin America
team, but involve the active participation of the teams in Brazil,
who help to adapt them to local needs.
Currently, in Brazil the main products that are fortified are
AdeS soy-based beverages, including the Original, Fruit and Flavoured
varieties; fortified Maizena, Arrozina and Cremogema receive
added vitamins and minerals; the Becel Original and Becel
Sabor Manteiga vegetable creams have added vitamins, Becel
Pro-Activ receives phytosterols; and our Becel milk-based beverages
have added vegetable oils containing omega 3 and 6.
In 2012, 61% of our retail products
were aligned with Nutrition
Enhancement Programme
guidelines, which establish
improved sugar, sodium, saturated
and trans fat levels
GRI FP4, FP6, FP7, DMA SO Healthy and affordable food
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Unilever Health Institute
A pioneering initiative, the Unilever Health Institute (UHI) was
launched in 2012. This is a division specialized in promoting dialogue
with consumers, specialists and professionals in the hygiene
and health area. The UHI represents a great step forward in
our relations because in addition to enabling us to work on specific
aspects of nutrition, it permits the use of certain skin care
and beauty brands as vehicles for our sustainability strategy.
The institute’s internet page (www.unileverhealthinstitute.
com.br) presents scientific research, news, interviews with
professionals, in addition to showcasing the benefits offered
by our products.
The Unilever Health Institute also works with global organizations
in support of health, hygiene and beauty-related programmes.
Through the institute, Unilever supported a study by
the International Union of Nutrition Science to understand eating
habits and barriers and opportunities for promoting behavioural
change. In Brazil alone, more than one thousand people were
consulted. The findings of the research should be published in
2013 and signal the importance of increasing consumer awareness
about the adoption of healthier habits.
A pioneering initiative launched in
2012, the Unilever Health Institute
is a division specialised in dialogue
with consumers and health and
safety specialists and professionals.
GRI FP4, FP6, FP7
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Promoting health is
a major focus of the
Sustainable Living Plan.
We use our product
communication and
organise campaigns to
help people modify their
habits and behaviours.
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Health and Hygiene
Increasing well-being
We use the reach of our products to transmit the
importance of good hygiene habits to consumers
Unilever has also established a series of targets for promoting
sound hygiene habits. It is our belief that the best way to do this
is through our business, using our brand communication to focus
on the prevention of potentially fatal diseases, such as diarrhoea
and respiratory diseases, as well as promoting quality of life.
This is a something Unilever has done since the very beginning:
in 1890, William Lever, one of the company founders, launched
Lifebuoy with the proposition of improving public hygiene.
The Sustainable Living Plan sets forth specific Health and Hygiene
targets for 2015 and 2020. These are linked with critical
themes in diverse markets, principally in developing countries
in Africa, Asia and Latin America and include access to drinking
water, handwashing, oral health and self-esteem (read more in
Improving Health and Well-Being).
As Unilever’s second largest operation worldwide, we have a
special responsibility in ensuring that these sustainability targets
are achieved. We use the reach of our brands to communicate
messages that can raise consumer awareness about how to
improve health and quality of life. In Brazil, we have prioritized
the Pureit and Lifebuoy brands to tackle two critical issues: access
to clean, treated water and handwashing.
Since 2010, when we relaunched Lifebuoy in Brazil, we have
sought to engage our partners – civil society, state and federal
governments and other organizations - in the social mission promoted
globally by the brand: to convince underprivileged children,
families and communities of the need for periodic handwashing
with soap.
Partnering with the Ministry of Health since 2007, we have encouraged
the dissemination of this theme in government campaigns
and initiatives. The importance is proven by statistics: the
lack of drinking water and basic sanitation facilities, combined with
low levels of handwashing, is responsible for 3% of the deaths occurring
in the world every year. These problems are also associated
with 18% of the cases of child mortality from acute respiratory
infections and diarrhoea. In Brazil, more than 50% of infant mortality
from diarrhoea occurs in the North and Northeast regions.
Given this situation, the company used Lifebuoy to create a
public agenda around this theme and developed actions in partnership
with the Pastoral da Criança (read more in Lifebuoy). In
parallel, we introduced World Handwashing Day, commemorated
on October 15 th in more than 80 countries, in Brazil.
Another important item on Brazil’s public health agenda is
public access to treated water. According to the 2010 IBGE Census,
around 83% of households in the country are connected to
mains water supplies; the other 17% still get their water from
wells, lakes, rivers and springs. Although there has been significant
progress in recent years, data show that this issue still
represents a serious social challenge: every year 28 thousand
Brazilians die from consuming contaminated water, according to
the World Health Organization (WHO).
In 2011, we started to address this issue through our Pureit
water purifier brand. Launched with the objective of providing
500 million people worldwide with access to pure, clean, treated
water, the product was integrated into our work with the Pastoral
da Criança in the course of 2012. During the year, we invested in
brand communication and made the product available through
retail outlets to drive increased consumer understanding of the
purifier and its capacity to generate value (read more in Pureit).
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Lifebuoy
Changing behaviour
One of Unilever’s oldest products, the
antibacterial soap was relaunched in Brazil
to disseminate the habit of handwashing
Launched in 1890 by a founder of Unilever and one of the company’s
oldest products, Lifebuoy antibacterial soap was relaunched
in Brazil in 2010 with a new proposition: to disseminate the importance
of handwashing as a simple and effective means of preventing
disease and combating child mortality. This mission has been
supported through a partnership with the Pastoral da Criança in
which the organization’s volunteers help to disseminate the importance
of good hygiene habits among low-income families.
This work is essential for us to achieve Lifebuoy’s ambitious
2015 target of improving quality of life through changes in hygiene
habits for one billion people in Asia, Africa and Latin America.
In addition to promoting the importance of frequent handwashing
in the target communities, annually we donate soap for
Pastoral volunteers to distribute to low-income families. In 2010,
these actions impacted 70 thousand families with children aged
from 0 to 6 years. In 2011, the figure increased to 150 thousand
families, reaching 225 thousand in 2012.
In 2012, the Pastoral conducted a survey in the municipal districts
that participated in the handwashing campaign supported by
Lifebuoy. The objective was to identify the relationship between the
organisation’s work and attendance of children with diarrhoea and
infections at local health clinics. Conducted in 214 communities in
14 states, the survey showed a 10.9% reduction in consultations.
Another important initiative during the period were the actions
for World Handwashing Day, which we have promoted since 2011
and helped insert in the Brazilian public agenda. With support
from various partners, including the Ministry of Health, we used
the date to promote debate, reinforce the importance of this habit
and drive public awareness. We estimate that the company impacted
5,769,232 people with educational messages on October
15 th 2012. In Brazil, in addition to communication media, our activities
involve volunteers, partners like the Pastoral da Criança,
itinerant activities and the distribution of educational materials.
The social networks are another important tool in Lifebuoy’s
social mission. We periodically conduct campaigns in which each
click on the “like” button results in a donation to the Pastoral. In
2012, this initiative produced 200 thousand donations, compared
with 89 thousand in 2011.
Stronger market position
In addition to the positive results in the social work the brand
supports, Lifebuoy’s business performance improved significantly
in 2012. Our market share in the antibacterial category
doubled, and there is still plenty of room for growth, particularly
in function of infrastructure problems in Brazil’s Northeast region
- an area where our social mission is especially relevant.
With responsible communication that has an educational
focus aimed at families and children (read more in Product Responsibility),
we maintained our advertising and sponsorships
in TV channels such as Discovery Kids and theatre productions
for children. We consider these practices to be aligned with our
global policies and commitments on advertising for children because
the brand is used to promote socially relevant messages
on the importance of handwashing.
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Pureit
The Pureit mission
The purifier, which eliminates
99.9% of viruses, bacteria and
germs, was conceived to improve
access to treated water
Launched in India in 2008, two years before the launch of our Sustainable
Living Plan, Pureit is a brand based on the proposition of
improving public access to treated water. Focused on countries
and regions which still have difficulties in infrastructure, access
to safe water and elevated rates of disease caused by contaminated
water, the purifier was introduced in Brazil in 2011 with
the objective of including this issue on the public health agenda.
The option to launch the product in India – where water quality
is a critical issue – is related to its properties: the main feature
of Pureit is its capacity to purify water completely, eliminating
99.9% of viruses, bacteria and germs, as well as hormones and
heavy metals, via filtering and chlorination processes. The product
is portable, enabling access to treated water in any location.
Pureit differentials compared with competing appliances include
non-dependence on electricity and an automatic locking
system that prevents the passage of water when the purifying
element needs to be changed. It is estimated that the incidence
of diarrhoea is reduced by 50% with use of the purifier.
Upon launching Pureit in Brazil, we underscored the dual
benefit for the consumer: control over the water consumed in
the home and the savings resulting from no longer having to
buy mineral water. This in turn means lower environmental impacts
due to the non-generation of packaging and waste and
the elimination of greenhouse gas emissions from the transportation
of bottled water
During the first year, in order to understand consumer needs,
we adopted a direct sale strategy, a departure from normal company
practice. This involved a partnership with Jequiti, a company
with experience in this segment. Around 160 thousand people
were trained to promote the product.
In 2012, we decided to change the commercial model and
started offering the purifier through retail outlets. At the end of
the year, Pureit was being sold in hypermarkets in the Southeast
of the country. In 2013, we intend to make the purifier available
through points of sale in other regions of Brazil.
Support for the Pastoral da Criança
The work we do with Lifebuoy and our partnership with the
Pastoral da Criança inspired the company to extend its activities
in low-income communities by including Pureit. Focused on
childhood development, the Pastoral provides assistance for 1.2
million families nationwide, with a focus on the importance of
clean water for health and hygiene. The organisation receives
support from Pureit in emergency situations.
Between 2011 and 2012, we donated one thousand units of
the purifier to communities assisted by the Pastoral and helped
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some 4 thousand people in communities affected by floods in
Paraná (Paranaguá and Foz do Iguaçu) and Acre (Brasileia). In
addition to the donations, we provided orientation on the problems
caused by untreated water in these communities.
Other work with a preventive focus was also conducted during
a six-month period in communities in Maceió (Alagoas) and
Paranaguá (Paraná). The Pastoral collected data from local inhabitants
and identified a 6.2% reduction in diarrhoea among
children in the nine locations studied. Although these results
may not be attributed exclusively to Pureit, they do underscore
the gains to public health enabled by access to clean, treated
water.
Another Pureit action launched in 2012 is Água Solidária
(Water Support), a page on the social network Facebook which
permits people to disseminate water-related causes and send
messages of support to volunteers and families, who will benefit
from some 3,500 purifiers in the course of 2013.
Unilever’s partnership with
the Pastoral enables educational
and preventive measures focused
on improving Brazilians’ quality
of life.
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WATER
GREENHOUSE GAS EMISSIONS
ATMOSPHERIC EMISSIONS
SOLID WASTE
EFFLUENTS
ENERGY
MANAGING BIODIVERSITY
MATERIALS USED
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Striving for efficiency
Our commitment to doubling in size while
reducing environmental impact is reflected in
the way we address issues such as emissions,
waste generation and water consumption
One of the main commitments in the Unilever Sustainable Living
Plan is reducing the environmental impacts of our activities and
operations, from sourcing raw materials to post-consumption.
At the same time, we want to double the size of our business,
which imposes the challenge of developing ever more efficient
management and monitoring solutions, as well as investing in
the production process. To achieve our targets, we also need to
engage our partners, customers and suppliers in the commitments
we have assumed.
In the Reducing Environmental Impact pillar, Unilever has
four global priorities: greenhouse gas emissions, water consumption,
waste generation and disposal and sustainable sourcing.
We have long-term targets set on a global level in each of
these areas; we also develop local and regional measures to fulfil
our commitments.
In Brazil, we have mapped the company’s challenges and
achievements over recent years, invested in management tools
and identified the most important themes for the business based
on the perceptions of our diverse stakeholders. This process,
referred to as Materiality, (read more in Reporting Process) confirmed
that GGEs and water consumption are also relevant for
Unilever on a local level.
Reducing water consumption - like solid waste generation
- has been a priority in our manufacturing operations for more
than 20 years, and the company has achieved consistent results
in these areas. GGEs continue to be one of Unilever’s major challenges
because of the nature of its business. With the target of
doubling in size while reducing environmental impact, we are
studying new technologies and methods that enable more efficient
production processes. In 2012, for example, the Pouso
Alegre unit in Minas Gerais inaugurated a boiler fuelled by biomass,
leading to a reduction of approximately 30% in the plant’s
direct emissions in the last four months of the year, compared
with same period of the previous year (read more in Emissions).
To reach our targets and fulfil our commitments, the involvement
of customers, suppliers and consumers is also fundamental
in activities throughout the chain. To reinforce this strategic
orientation, in 2012 Unilever set up a global group to share experience
among operations and teams worldwide. One of the focuses
is eco-efficiency in the distribution chain. Another seeks
to encourage the use of products that provoke a lower environmental
impact, exemplified by recent product launches such as
concentrated liquid detergents and fabric softeners.
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Integrated management
In 2012, we reinforced practices and initiatives that have been
in place since the 2010 launch of the Unilever Sustainable Living
Plan. We increased the interaction between the Sustainability
Committee, our main social and environmental governance body
in Brazil, and the SHE (Safety, Health and Environment) area,
responsible for environmental and safety questions in the nonmanufacturing
areas and for communication between the plants
and the committee.
In addition to monthly meetings, in which the committee
evaluates the evolution of indicators and directs the company’s
sustainability strategy, we promote quarterly meetings with SHE
leaders in the plants, the non-manufacturing area and the regional
SHE area (Latin America). These are referred to as Community
of Practice (COP) and present the advances and difficulties
experienced by each unit, with a view to promoting ongoing,
consistent improvement in environmental indicators.
Based on experience, in the COP we prioritise themes aligned
with the management and communication of sustainability. Biodiversity,
for example, was a key question in the commitments
disseminated in Unilever’s last two reports and one of the priorities
on our agenda for 2012. Another relevant factor during the
year was aligning waste management at some plants with Brazil’s
solid waste management policy and company waste reduction,
disposal and treatment targets.
We progressed in monitoring environmental indicators, which
currently involves three systems. The first and oldest is EPR (Environmental
Performance Reporting), a global tool for gathering
performance data from manufacturing operations for the SHE
teams. Based on this report, Unilever tracks progress against
targets and commitments and is able to compare the performance
of its operations on a global level. In Brazil, we also have
an EPR-based system for gathering data for non-manufacturing
operations – offices, research and development centres, distribution
centres and the sales and merchandising areas.
The second system, which collects Global Reporting Initiative
(GRI) social and environmental indicators from the plants, was
implemented in 2011 and led to improvements in the management
and monitoring of data. The metrics of this methodology,
which we have effectively employed since 2006, enable the quarterly
collection of the company’s main environmental indicators,
and annual consolidation of other data.
Reducing the impacts caused by
operations is a priority both at our
plants and our offices, sales offices
and distribution centres.
We also have a third system, based on GHG Protocol methodology,
for the monthly compilation of data for our GHG emissions
inventory in Brazil.
Impacts caused by plants
Unilever Brasil’s nine plants are located in the states of São
Paulo, Minas Gerais, Goiás and Pernambuco. As in any manufacturing
activity, the direct and indirect influence they have on the
environment and local communities requires control, monitoring
and specific activities to prevent and minimize social and environmental
impacts.
Water consumption, for example, is important in the foods category,
where this resource is a major component in the manufac-
GRI DMA EN Compliance
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ture of beverages such as AdeS and Kibon ice cream; it is also used
intensively in cleaning production lines. For this reason, the Pouso
Alegre (Minas Gerais) and Valinhos (São Paulo) plants have a significant
weight in company water consumption indicators.
Regarding emissions, the powdered detergent plants are responsible
for a large part of our greenhouse gas atmospheric
emissions. The Indaiatuba plant in São Paulo state accounts for
40% of our production volume and is responsible for around 40%
of Unilever Brasil’s direct emissions (scope 1). The reason for
this is its spray tower, a technology that transforms the detergent
into powder.
Valinhos is also important in this respect, with the highest rate of
GHG emissions per tonne produced and responsible for 30% of our
emissions in Brazil, mainly because of the use of steam in bar soap
and ice cream production.
Performance in 2012
We have improved performance in priority environmental indicators
at Unilever Brasil in recent years. We have progressed in
waste management with measures to improve the treatment of
waste from our processes. Regarding biodiversity, we have mapped
the impacts our plants have on protected areas and threatened
species, with significant progress towards achieving our commitments.
We fulfilled the target of developing action plans for
all the units, and most of the projects have already been executed
(read more in Biodiversity).
There was a 12% reduction in relative water consumption during
the year, resulting mainly from management and operational
changes introduced at the Jaboatão dos Guararapes, Goiânia and
Valinhos plants. The latter two also contributed significantly to the
reduction of Unilever Brasil’s effluent generation, which showed a
9% decrease from 2011 to 2012.
In relation to greenhouse gas emissions, we were unable to
reach our target of maintaining the index below 2007 levels in absolute
volume because of changes in the calculation coefficient used
by the Ministry of Science and Technology (read more in Emissions
Inventory). Considering only direct (scope 1) emissions, however,
there have been significant advances over recent years, with a 10%
decrease in 2012 against the base year of 2007. This improved performance
is the result of the adoption of eco-efficiency measures
and investment in new technologies, such as the boiler at the Pouso
Alegre plant in Minas Gerais, which uses biomass to generate steam.
Another priority in Unilever Brasil’s environmental policy, solid
waste management improved in 2012 with a reduction in the volume
of waste disposed of in landfills, in line with our sustainability
strategy. The Goiânia, Indaiatuba, Vinhedo and Pouso Alegre plants
achieved zero disposal in landfills during the year, and the other
plants are working towards this target. We did not, however, reach
our non-hazardous waste generation reduction targets, since our
focus was on improving destination rather than decreasing volume
(see more in Solid Waste). Hazardous waste generation targets were
met both in our manufacturing and non-manufacturing operations.
The table below shows our performance in the environmental
targets established for 2012 in our last sustainability report.
In 2012, we eliminated the disposal
of solid waste in landfills at four
plants. We also reduced water
consumption by 12% and advanced
in managing biodiversity.
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Performance in environmental targets – 2012
Indicator Scope/area Target Achieved? Status
GHG Emissions Scopes 1, 2 and 3
2012 total lower or equal
to 2007 (257,000 tCO2e)
Water Manufacturing 5% reduction
Water
4% reduction
Hazardous waste Manufacturing 5% reduction
Hazardous waste
Non-hazardous
waste
Non-hazardous
waste
Biodiversity
Manufacturing
Nonmanufacturing
Nonmanufacturing
Nonmanufacturing
Manufacturing
5% reduction
5% reduction
4% reduction
Implement action plans
at plants to manage
biodiversity impacts
Due to the increase in the Ministry of
Science and Technology electricity factor,
our emissions increased 13% against 2011.
The increase against 2007 was only 1%.
Absolute water consumption was 12%
lower; at the plants it decreased from 1.47
m3/t produced to 1.29 m3/t produced.
There was an 11% increase in relative
consumption. Read more in Water.
Generation was reduced from 0.32 kg/t
produced to 0.27/t produced.
21% reduction from 0.0059 kg/t to
0.0075kg/t sold.
Increase in generation from 46.60 kg/t
produced to 46.86 kg/t produced. Read
more in Solid Waste.
Volume increased from 3.22 kg/t produced
to 3.95 kg/t produced. Read more in Solid
Waste.
More information about advances,
commitments and status in Biodiversity.
A major achievement in 2012 was
the reduction in hazardous waste
generation both in manufacturing
and non-manufacturing operations.
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In the Reducing
Environmental Impact
pillar we have four
global priorities:
GHG emissions,
water consumption,
waste generation
and disposal and
sustainable sourcing.
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Lower impact in consumption
According to a global Unilever study conducted in 14 countries,
a large part of the environmental impact of our products is
associated with the consumption phase. Based on an indicator
that calculates greenhouse gas emissions throughout the product
life cycle, we established that 68% of our greenhouse gas
footprint is associated with use by the consumer.
This kind of information was important in helping us to rethink
the development of some products and make changes in
manufacturing, in innovation and in the habits of the consumers
using our brands.
A trend in a number of countries, these products represent
an opportunity for the industry to adopt more sustainable criteria
in its production processes, benefiting all parties. With lower
impacts in production and transportation, due to the higher concentration
and reduced weight and volume of the packaging, the
category also occupies less space at the point of sale and in consumers’
homes.
The manufacturing and distribution processes, as well as the way
in which the product is used, mean that concentrated liquids permit
a reduction in CO2 emissions, water and waste; Omo, for example,
uses 34% less water compared with diluted liquids. This represents
a saving of 12.6 million litres per year, equivalent to 1,260 tanker vehicles.
Concentrated Omo also uses 48% less plastic per portion and
produces 43% less post-consumption solid waste.
Concentrated fabric softeners can generate similar water
savings. If all Comfort and Fofo users migrated to the con-
centrated version, the annual saving would be 75 million litres.
Comfort concentrated softener alone enabled Unilever Brasil
to economise 22.2 million litres of water annually by the end of
2012, enough to supply more than 2,000 homes in the country
with water during one month.
Unilever pioneered the launch of concentrated liquid detergents
and softeners in Brazil, and in 2012 became the leader
of the liquids segment, which represents 13.5% of the total detergent
market. The share of concentrates grew 77% compared
with 2011. Between 2010 and 2012, we launched diverse products
in the category, such as Surf Líquido Concentrado, OMO Líquido
Super Concentrado and the concentrated Comfort and Fofo fabric
softeners. As a means of gradually attracting users to this
product line, we also launched a liquid version of OMO. In 2012,
we launched 2 litre containers of concentrated Comfort and Fofo,
further reducing impacts.
The strategy to disseminate these products involves an advantageous
pricing policy and actions at the point of sale in which
we underscore the features of these innovations. Signs that this
market segment is gaining strength in Brazil have led to the reinforcement
of our business plan.
Another important front for reducing environmental impacts
is in the foods and ice cream categories, in which we have made
a number of improvements in the consumption of packaging materials.
A series of studies is underway to reduce waste generation
without compromising product quality for the consumer.
The commercialisation of
concentrated liquids enables
a reduction in our environmental
footprint, greater efficiency
in production and more
responsible consumption.
Some changes were implanted in 2012, as shown in the table
that follows.
In the personal care category, we launched a refill for Lux
and Lifebuoy soap, with packs that consume 70% less plastic per
tonne produced compared with the original versions.
GRI EN26, DMA EN Products and services
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Initiatives to reduce
product impacts - Packaging
Knorr Meu Arroz. Reduction of
cardboard density (from 250g/m2 to
225g/m2)
Reductions
obtained
43.9% reduction in
annual consumption
of cardboard
Initiatives to reduce
product impacts -
Packaging
Kibon 2L Pot (all variants).
Reduction in density of
cardboard supporting layer.
Reductions
obtained
13% reduction in annual
consumption of material
We strive to reduce the
packaging materials in our main
product innovations. See some of
the results in the table at the side
Knorr Meu Arroz. Change in
material in aluminium sachet to
metallised BOPP
5.5% reduction in
annual consumption
of material.
Kibon 2L Pot Recife (all
variants). Reduction in density
and weight of cardboard sleeve.
17.8% reduction in
annual consumption of
material
Knorr Meu Feijão. Optimization of
shipping carton columns
55% reduction in
annual consumption
of cardboard
Kibon 2L Pot (all variants).
New pot supplier, with reduced
weight.
5.8% reduction in
annual consumption of
material.
Ades 1.5L (all variants). Reduction
of shipping carton column, with
consequent reduction in weight
11.2% reduction in
annual consumption
of material
Kibon 1.8L Pot Recife (all
variants). Reduction in density
and weight of cardboard sleeve.
17.8% reduction in
annual consumption of
material
Mini Eskibon / Chicabon.
Replacement of triplex cardboard
with duplex, reducing density and
weight.
Kibon 2L Pot (all variants).
Reduction in density and weight of
cardboard sleeve.
7.4% reduction in
annual consumption
of material
11.4% reduction in
annual consumption
of material
Launch of 170g variant of Close-
Up dental gel.
A comparison between
the current 90g variant
and the 170g one shows a
reduction of almost 17%
in packaging material.
GRI EN26
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unilever brazil Sustainability Report 2012
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Environmental investments
In 2012, Unilever invested more than BRL 64 million in environmental
protection, management and impact reduction practices
and projects. The most part of these costs relate to waste
treatment and disposal – given that one of our priorities is to
dispose of these materials more efficiently – and in the development
of new technologies.
Regarding waste, costs were higher in function of improvements
to cost controls in the non-manufacturing area and diverse
changes in the destination of waste at the factories as part
of the Zero landfill project, which required higher investment.
In 2012, we reduced investment in equipment and materials
because our Indaiatuba and Pouso Alegre plants did not incur
costs with replacements and changes during the year. With respect
to new technologies, the focus was on the Indaiatuba plant,
where new packing lines were installed and a number of improvements
were promoted.
Environmental investment and spending
Cost of waste disposal,
emissions treatment and
mitigation
Waste treatment and
disposal
2011 Total 2012 Total
11,073,756.02 14,494,050.61
8,863,502.68 12,766,631.24
Emissions treatment 600,189.15 674,419.58
Equipment and materials 1,592,279.41 680,351.83
Environmental
responsibility insurance
Mitigation and
remediation of
environmental accidents
Environmental prevention
and management costs
Greenhouse gas
emissions inventory
Training in environmental
and environmental
education area
3,353.98 80,257.96
14,430.80 292,390.00
3,566,968.70 49,329,485.04
69,757.50 44,695.42
114,424.50 123,156.80
Environmental
management services
Certification of
management systems
Environmental
management activities
Research and
Development
2011 Total 2012 Total
1,121,729.78 466,375.06
105,248.42 102,799.40
3,832.00 128.733.31
17,783.45 50,056.00
Technology installation 2,117,010.61 48,253,446.30
Green procurement 18,000.00 160,222.75
Environmental prevention
/ remediation
21,000.00 -
Environmental protection 292,471.15 235,975.17
Environmental protection
with prevention
63,113.00 -
Other costs 229,358.15 235,975.17
TOTAL 14,933,195.87 64,059,510.82
Note: We identified an error in the total sum of costs in the 2011
report. We also encountered an error in the total costs with “Emissions
Treatment “, which was corrected in this report.
GRI EN 30, DMA EN Overall
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unilever brazil Sustainability Report 2012
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Solid waste
More recycling, more effective destination
With a target of halving waste from the disposal
of our products by 2020, we invest in technology,
processes and in engaging customers and suppliers
On a global and local level, the main objective of Unilever’s
solid waste strategy is to reduce the generation of materials for
disposal and involve the value chain in measures to improve treatment
and destination. In accordance with the Sustainable Living
Plan, by 2020 total waste disposed of should be at or below 2008
levels, representing a reduction of 80% per tonne produced and
an absolute reduction of 70% compared with 1995. This requires
heavy investment in technologies and processes that generate
less waste in production and include structured procedures at
diverse stages of the product life cycle.
Discontinued products or products with quality problems, for
example, are treated at two operations, one in the Northeast and
the other in the Southeast of the country, which render the items
unusable and dispose of them properly. Since 2011, most food
products unfit for consumption are sent for composting.
Our priority in all manufacturing operations in 2012 was to
improve destination, with a target of zero disposal in landfills for
some units. The Goiânia, Vinhedo, Pouso Alegre and Indaiatuba
plants achieved this target for the year.
The plants in the Northeast, which have specific targets in
this area, have difficulty in finding qualified partners to recycle
materials. Consequently, the Igarassu, Ipojuca, Jaboatão dos
Guararapes and Garanhuns units are developing a supplier management
plan for the region. Mapping was initiated in 2012 (read
more in Enhancing Livelihoods) and progress is expected for the
next reporting cycle.
In the non-manufacturing operations, the focus is on improving
means of treatment and disposal, as well as reducing material
consumption. An example is a project developed by trainees
to reduce paper use in company offices which was put into practice
in 2012. A challenge we still face is monitoring other areas of
the company such as the distribution centres, many of which are
managed by third-parties and depend on engagement measures
to improve results.
These and other questions are addressed in Brazil’s national
solid waste policy (PNRS), which proposes a series of alterations
in the way industry, government and society handle the question
(read more in Sector Practices). The new legislation mandates
changes in the collection, disposal, treatment and management
of waste in the country. The schedule determines the gradual
implementation of various measures, such as the regularization
of landfills and the assumption of a series of obligations by
companies between 2012 and 2014, in addition to increasing dry
waste recycling by 20% by 2020.
The new legal requirements and the long-term commitments
we have assumed have led us to seek to involve the entire chain
in sustainability projects, such as the Pão de Açúcar Unilever
Recycling Stations, a programme run in partnership with one of
our customers that has permitted the collection of more than 64
thousand tonnes of recyclable materials.
GRI Emissions, effluents and waste
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unilever brazil Sustainability Report 2012
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Performance in 2012
With respect to the targets established for the year, results
were good in the reduction of hazardous waste generation. Plant
targets were met, mainly in function of reduced pitch residue production
in the Valinhos glycerine refinery. This involved a series of
measures, such as a reduction in the interval of filter changes, ensuring
the disposal of the paste/solid mass and the reutilisation of
the water in the process, the reduction of cleaning intervals, maintenance
of filters and periodic reviews of operating standards. The
Goiânia plant also showed a reduction in this indicator due to operational
changes implanted in the tomato business in 2011.
In the other plants, hazardous waste generation increased.
In the Jaboatão dos Guararapes unit, this was due mainly to the
introduction of new compressors in the utility area resulting in
higher lubricating oil consumption. In Igarassu, there was also
an impact due to vaccination campaigns conducted by the Health
team. At Garanhuns and Pouso Alegre, broken light bulbs were replaced
and some were substituted with more economical ones. At
the Indaiatuba plant, the increase was due to equipment maintenance
and the disposal of light bulbs that were previously stored.
These increases, however, did not impact the overall result.
In non-manufacturing, there was a 21% reduction in hazardous
waste volume due to lower demand for ice cream freezer
deactivation – the process of destroying, old, out-of-date or malfunctioning
equipment.
We had difficulty in achieving the non-hazardous waste targets
set for the year. In general terms, the focus was on improving
disposal rather than decreasing volume. In the plants, the
level was similar to 2011 with a 48% reduction in the volume of
waste disposed of in landfills.
The factory with the best result was Valinhos, mainly because
of the lower number of product innovation tests on
the ice cream lines. At Garanhuns, the reduction was due to
work on improving sorting of food leftovers in the canteen, as
well as improvements in machinery efficiency and loss prevention
measures – which resulted in lower losses in starch
(used in animal feed) and packaging material (recycled). At
the Igarassu plant, we held a week-long food consumption
reduction campaign.
At Ipojuca, however, there was an increase in the generation
of organic material due to a 14% increase in headcount.
This came on top of an increase in the sludge removed from
the wastewater treatment plant, impacting the volume of
waste used in composting. In Pouso Alegre, problems were
identified in the efficiency of the lines, with energy cuts and
breakages. At Vinhedo, the main reason for the increase was
the cleaning of the effluent treatment reservoir in order to
seal it, increasing the generation of biological sludge.
There was a significant increase in the non-manufacturing
operations. This occurred because we initiated monitoring of
non-hazardous waste generated by the Merchandising area
in 2012. However, even discounting merchandising waste,
achievement of the reduction target was compromised by an
increase in the volume of product residues unfit for consumption
rendered unusable in our DCs.
By 2020, total waste disposed
of should be at or below 2008
levels, representing a 70%
reduction in absolute terms
compared with 1995.
GRI DMA EN Emissions, effluents and waste
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Specific waste
generation by
operation
Hazardous Waste
(kg/t produced)
Non-Hazardous
Waste (kg/t
produced)
Total Waste
(kg/t produced)
2011 2012 2011 2012 2011 2012
Garanhuns 0.05 0.06 11.89 8.98 10.08 9.04
Goiânia 0.01 0.00 43.72 42.89 43.73 42.89
Igarassu 0.00 0.00 9.68 7.06 9.68 7.06
Indaiatuba 0.00 0.01 3.18 3.48 3.18 3.49
Pouso Alegre 0.04 0.05 173.29 188.71 173.33 188.76
Jaboatão dos
Guararapes
0.05 0.23 165.55 166.86 165.60 167.09
Ipojuca 0.00 0.00 35.70 47.63 35.70 47.63
Valinhos 2.35 1.93 67.87 56.63 70.22 58.55
Vinhedo 0.51 0.47 16.84 16.97 17.35 17.44
Manufacturing total 0.32 0.27 46.60 46.85 46.53 47.13
Non-manufacturing
(kg/ t commercialized)
0.01 0.01 3.22 3.95 3.10 3.96
Waste generation and destination
Waste per
operation
Breakdown –
Hazardous
Breakdown –
non-hazardous
Breakdown -
total waste
2010 2011 2012 2010 2011 2012 2012
Garanhuns 0.13% 0.29% 0.38% 0.18% 0.39% 0.32% 0.32%
Goiânia 0.23% 0.24% 0.03% 56.51% 8.76% 7.35% 7.31%
Igarassu 0.06% 0.00% 0.06% 0.25% 1.14% 1.00% 1.00%
Indaiatuba 0.20% 0.21% 0.74% 1.61% 2.50% 2.65% 2.63%
Pouso Alegre 2.03% 1.77% 2.69% 24.32% 49.73% 53.00% 52.73%
Jaboatão dos
Guararapes
0.55% 0.50% 2.47% 4.22% 11.02% 9.81% 9.77%
Ipojuca 0.00% 0.00% 0.02% 0.93% 1.96% 2.54% 2.52%
Valinhos 80.71% 74.83% 67.97% 7.61% 14.09% 10.98% 11.29%
Vinhedo 11.34% 19.98% 23.53% 2.13% 4.31% 4.64% 4.75%
Nonmanufacturing
4.74% 2.16% 2.10% 2.24% 6.10% 7.71% 7.68%
GRI EN22
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Percentage by
destination of
waste
Hazardous
Non-Hazardous
Proportion of total
waste
2010 2011 2012 2010 2011 2012 2012
Composting 0.00% 0.00% 0.00% 9.35% 19.51% 19.49% 19.38%
Animal Feed 0.00% 0.00% 0.00% 36.08% 49.09% 50.74% 50.46%
Reuse 13.05% 22.01% 28.75% 40.31% 7.96% 4.64% 4.77%
Re-refining 2.71% 2.87% 4.55% 0.00% 0.00% 0.00% 0.02%
Recycling 3.73% 14.63% 56.15% 7.70% 13.76% 15.99% 16.21%
Incineration 1.73% 0.48% 1.25% 0.54% 1.21% 0.00% 0.01%
Co-processing 76.78% 57.01% 7.19% 0.00% 0.00% 2.59% 2.61%
Landfill 2.01% 3.24% 2.12% 4.48% 6.32% 4.35% 4.33%
Others 0.00% 0.01% 0.09% 1.53% 2.14% 2.21% 2.20%
Transportation of hazardous waste
Unilever neither imports nor exports hazardous waste. When
we transport waste from one municipality to another, it is to ensure
more environmentally appropriate disposal, which is not always
possible close to the plant generating it.
In 2012, the total hazardous waste transported increased due
to higher generation at Pouso Alegre and the greater number of
providers from São Paulo supplying this operation. The increase
is also explained by the fact that in 2011 Jaboatão dos Guararapes
did not transport waste to other states.
Most of the waste generated by the Garanhuns operation is
used in co-processing by companies in the state of Pernambuco.
A smaller quantity is incinerated and the lubricating oil used in
our equipment is sent for re-refining in Piracicaba (Saõ Paulo).
Pouso Alegre transports its materials to São Paulo, mainly because
of the service quality offered by the supplier, which is compliant
with legislation and with internal Unilever standards.
Hazardous waste transported (t)
Hazardous waste transported and treated (kg)/tonne
produced
2010 2011 2012
0.0105 0.0058 0.0142
(1) We altered the historical data due to a correction in the calculation, which took into account all destinations.
GRI EN22, EN24
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unilever brazil Sustainability Report 2012
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Materials utilized
Focus on reuse
In 2011 and 2012, Unilever Brasil saw
a 30% increase in the use of recycled
materials among its major suppliers
We maintain a permanent
dialogue with our production item
suppliers to assess and foment
the use of recycled material in
their processes.
Material use is one of Unilever Brasil’s most important tools
for monitoring our resource base and achieving the renewable
materials targets set forth in our Sustainable Living Plan.
n 2012, we resumed use of the methodology applied in our
2010 sustainability report to calculate the proportion of materials
which are renewable or use recycled content among our production
item suppliers.
The results of this calculation methodology indicate that the
personal and home care product categories use a higher proportion
of recycled material for raw materials. An important consideration
here are the legal restrictions on the use of recycled
materials that come in contact with food products in the ice cream
and food categories.
In comparison with the results in 2011, the changes may be
explained mainly by the alteration in the criteria for choosing the
suppliers to be consulted – around 54 in 2012. Results were positive
throughout the year (see tables).
Based on spending and the suppliers who responded to our
survey in 2012 and 2011, there was a 30% increase in the use of
recycled material, which is aligned with Unilever policy of consuming
more sustainable materials.
GRI EN2, DMA EN Materials
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unilever brazil Sustainability Report 2012
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Recycled materials used
recycled pieces used % of recycled materials
Foods 40,751,733 3%
ICE 6,803,352 4%
HPC 62,986,003 2%
TOTAL 110,541,087 3%
Total per category - Inputs/ Raw materials
2012 2011
toneladas peças Litros toneladas peças Litros
Foods 120,238 0 0 110,957 188,200 0
Ice cream 9,640 0 0 10,781 955,128 279,793
HPC 411,173 4,994,933 0 986,494 0 0
TOTAL 541,051 4,994,933 0 1,108,232 1,143,328 279,793
Total per category - Packaging
2012 2011
tonnes pieces litres tonnes pieces litres
Foods 2,099 2,995,920 1,296,607,215 112 3,751,006 1,928,247
Ice cream 653 0 170,465,534 0 10,945,320 324,228
HPC 893 0 2,577,792,608 360 28,129,532 5,414,747
TOTAL 3,645 2,995,920 4,044,865,357 472 42,825,858 7,667,223
GRI EN1, EN2
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unilever brazil Sustainability Report 2012
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Total volume of materials (inputs + packaging) and percentage (renewable and non-renewable), per category
2012 2011
tonnes metres tons tonnes metres tons
Foods 122,337 2,995,920 1,296,607,215 111,069 3,751,006 2,116,447
% non-renewable Foods 2% 100% 52% 0% 78% 39%
% renewable Foods 98% 0% 48% 100% 22% 61%
ICE 10,293 0 170,465,534 10,781 10,945,320 1,279,356
% non-renewable ICE 0% - 83% 0% 100% 19%
% renewable ICE 100% - 17% 100% 0% 81%
HPC 412,066 0 2,582,787,541 986,855 28,129,532 5,414,747
% non-renewable HPC 82% - 65% 81% 89% 61%
% renewable HPC 18% - 35% 19% 11% 39%
TOTAL 544,696 2,995,920 4,049,860,290 1,108,705 42,825,858 8,810,550
% non-renewable TOTAL 62% 100% 62% 72% 91% 49%
% renewable TOTAL 38% 0% 38% 28% 9% 51%
Volume and percentage of materials (renewable and non-renewable), by type (input and packaging)
2012 2011
INPUTS
PACKAGING
tonnes metres tons Litres tonnes metres tons litres
Total 541,051 0 4,994,933 0 1,108,232 0 1,143,328 279,793
Renewable 38% - 4% - 28% - 97% 100%
Non-renewable 62% - 96% - 72% - 3% 0%
Total 3,645 2,995,920 4,044,865,357 0 472 42,825,858 7,667,223 1
Renewable 51% 0% 38% - 7% 9% 44% 50%
Non-renewable 49% 100% 62% - 93% 91% 56% 50%
GRI EN1, EN2
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unilever brazil Sustainability Report 2012 reducing environmental impact back to summary
Pão de Açúcar Unilever Recycling
Stations Programme
Joint solution
A joint programme with one of our
customers enabled the collection
of more than 64 thousand tonnes
of recyclable materials
GRI EN26, EN27 e EC9, DMA EN oducts and services, DMA SC Biofuels
Since 2001, Unilever’s main initiative at the final stage of
the product life cycle has been the Pão de Açúcar Unilever
Recycling Stations Programme, which enables consumers to
dispose correctly of packaging, containers and diverse materials,
including paper, glass, plastic, metal and cooking oil.
Developed in partnership with one of our major customers
in Brazil, the programme is in place in eight states and in
the Distrito Federal, with stations located at 124 retail outlets.
Unilever’s OMO, AdeS, Knorr, Seda, Rexona and Comfort
brands sponsor the initiative.
The stations are built from recycled materials and function
on the basis of voluntary delivery by consumers. As such, they
support the business chain, offering social, economic and environmental
benefits which are aligned with the new Brazilian
national solid waste policy.
In eleven years, we have collected more than 64 thousand
tonnes of material for recycling. The amount collected in 2012
was more than 12 thousand tonnes, 14% up on the previous year.
The material collected is donated to 37 partnering cooperatives,
generating direct and indirect work posts and benefiting more
than 1,700 families per month.
Since 2007, we have collected more than one million litres of
oil, most of which is used in the production of biofuels. Whereas
aerosol spray cans, collected at the Pão de Açúcar stores in São
Paulo since 2010, are a challenge for the industry: the correct
disposal of these packs, which contain a number of gases kept
at high pressure within an aluminium container, requires the development
of special partners and consumes a large quantity of
energy. A total of 6.5 tonnes of aerosols have been collected at 16
stores over a two-year period.
We believe that this project constitutes an important contribution
to proper waste disposal in the industry, in particular
from the perspective of shared responsibility. The diverse agents
involved benefit from the process: the company, which as the
manufacturer, reduces the environmental impact of its products;
our customer, as a retailer, who reinforces waste management
within its business; our consumers, who dispose of their domestic
waste correctly; and partners in the recycling chain, who are
able to commercialize the material at a competitive price and
build a business that generates environmental, social and economic
benefits for the entire chain.
Results –Pão de Açúcar Unilever
Recycling Stations
Stations 124
Distribution in Brazil
Partnering cooperatives 37
Work posts (direct and
indirect) generated
Total volume collected
(2001-2012)
Total volume collected (2012)
Total volume collected (2011)
Oil collected in 2012
Eight states + Distrito
Federal
34 municipalities
1,731
64.449.947,3 kg
12,505,569 kg
10,953,008.7 kg
319,508.8 l or 287,557.9 kg
80

unilever brasil relatório de sustentabilidade 2012
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Globally Unilever is
committed to halving
its product life cycle
greenhouse gas
impact by 2020.
81

unilever brazil Sustainability Report 2012
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Greenhouse gas emissions
A challenge for the
entire chain
Initiatives to reduce greenhouse
gas emissions involve production
processes and value chain impacts
Globally Unilever is committed to halving its product life cycle
greenhouse gas impact by 2020. This target is even more ambitious
in the light of a study coordinated globally by Unilever,
which suggests that from a life cycle perspective, the most critical
phases are sourcing and manipulating raw materials and the
consumption of our products. Together, they account for 94% of
the company’s GHG emissions. According to the survey, only 6%
are generated by manufacture, transportation and disposal.
These numbers do not reflect some peculiarities of the Brazilian
reality – we do not use hot water to wash clothes, as many
European countries do, for example, and the main means of
transportation both for cargo and passengers in Brazil is road –,
but they underscore the need for focus on the entire value chain.
Consequently, we strive to improve indicators at every stage of
the product life cycle, from the development of a project and the
use of sustainable technologies and energy sources in manufacturing
processes to distribution. We also seek to use more efficient
vehicles and modes of transportation in partnership with
suppliers and distributors, in addition to promoting changes of
habit among consumers of our brands.
In Brazil, we have progressed significantly in recent years,
both in monitoring and managing indicators and in reducing our
life cycle emissions footprint. 2012 was the deadline for the target
established in 2008 in our UB2012 strategy: to end the year
with GHG emissions lower (in absolute volume) than in 2007, a
level we had maintained since 2008.
The company’s results were excellent during these years, with
emissions at levels lower than 2007 from 2008 through 2011. However,
it was not possible to meet this target in 2012, mainly in
function of the 134% increase in the coefficient used to calculate
electricity emissions stipulated by the Ministry of Science and
Technology (read more in Emissions Inventory).
The good performance we have shown in recent years is a
result of the focus on eco-efficiency in our plants and in logistics
activities and the development of sustainability-oriented
partnerships and projects with suppliers and customers
throughout Brazil.
Unilever runs ongoing evaluation and engagement programmes
revolving around social and environmental factors throughout
its supply chain (read more in Enhancing Livelihoods). The
company also seeks to engage customers in relation to their logistics
activities and environmental responsibilities, Similarly,
through communication and promotions consumers are constantly
encouraged to adopt habits that reduce GHG emissions,
such as using concentrated liquid products. In the distribution
chain, we progressed with the establishment of global group based
in Switzerland, dedicated to discussing and promoting impact
reduction.
In 2012, we implemented improvements in some plants, worthy
of note being the biomass-powered boiler at Pouso Alegre
(read in box), which permitted a significant reduction in emission
GRI DMA EN Emissions, effluents and waste
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unilever brazil Sustainability Report 2012
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levels. Other units that use biofuels in their boilers are Garanhuns
and Goiânia.
In general terms, these initiatives are aligned with a strategy
that takes into account business risks and opportunities related
to social and environmental questions. The Unilever Sustainable
Living Plan also addresses the question of climate change and
in Brazil a project developed by trainees approached the theme
from the perspective of the GRI guidelines.
All areas were considered and studied to identify the risks
and opportunities arising from environmental and regulatory
changes and the emergence of new technologies, for example.
In practice, we calculate the financial implications of these risks
and opportunities, but do not disclose this information because
it is deemed to be strategic. Similarly, in 2011 the SHE area concluded
a CO 2
emissions roadmap which enables us to identify
medium and long-term trends and opportunities.
Lower logistics impact
From the manufacturing stage to the point of sale, our products
circulate between our plants, distribution centres and our
customers’ facilities. Consequently, we observe the different
phases of the chain to develop plans to reduce our carbon footprint
in logistics, which today represents more than 50% of the
company’s CO 2
impact - according to our Greenhouse Gas Inventory.
In the Unilever Sustainable Living Plan, the company
committed to a 40% reduction in logistics emissions by 2020. To
this end, we have developed a series of projects with customers,
suppliers and other partners to optimize transportation by
reducing the mileage covered and increasing vehicle occupancy
rates (read more in Customers). In 2012, the emissions avoided
totalled 16,129 tCO 2
e, equivalent to removing 268 heavy goods
vehicles from the roads. Some of the logistics efficiency projects
in place throughout 2012 are detailed below.
Static circuit and backhaul
In 2005, Unilever initiated a new merchandise transportation
model known as the static circuit. This consists of the connection
of two or more points via closed routes with periodic
cycles and predetermined volumes. This reduces the number
of trips with empty vehicles and cuts logistics costs for all the
parties involved.
With this model, we avoid having a lorry take a cargo to the
Northeast and returning empty to a unit in Minas Gerais, for example.
In conjunction with partnering companies, a cargo is
found to supply the market on the return journey. At the end of
2012, there were 16 active static circuits in operation in Brazil.
Another important initiative is backhaul operations. These
also consist of static circuits, but in this case in conjunction with
our customers. There were 11 backhaul routes in place at the
end of 2012.
Together, the static circuit and backhaul projects meant that
Unilever Brasil avoided emissions of 664.6 tonnes of CO 2
eq compared
with 2011. This was equivalent to removing 11 heavy goods
vehicles from the roads.
Efficiency in the plants
Measures adopted in the company’s plants in 2012 permitted
a 3,688 CO 2
tonne equivalent reduction in our
total emissions. In Garanhuns (PE), we achieved a 18.04
CO 2
e reduction through initiatives to reduce energy consumption,
to optimize the use of electrical equipment
(such as air compressors and ventilation systems) and
to use vegetable oil – which has fuelled the plant’s boiler
since 2011.
In Pouso Alegre (MG), we substituted the fuel oil (LFP)
boilers with a biomass-powered model. This new technology
has resulted in a 3.569 t CO 2
e reduction since
it was installed in August 2012, the result of a 67%
decrease in the use of LFP oil. Fuelled by wood chips,
the equipment, consisting of a 30-metre chimney and
an 800 cubic metre silo, has amplified the plant’s clean
energy matrix.
In Indaiatuba (SP), turning the compressor off at peak
times (6 p.m. to 9 p.m.) generated an 89.79 t CO 2
e reduction
(read more in Energy).
GRI EN18, EN26, EN29, EC2, DMA EN Transport
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Double Trailer
In use since 2011, this system employs seven-axle vehicles
that carry twice as much cargo as conventional semi-trailers.
This reduces the number of journeys and reduces fuel consumption
and GHG emissions by almost 50%. In 2012, we included another
route, totalling three circuits between the Southeast and
Southern regions. This enabled CO 2
e emissions avoidance of
307 tonnes compared with 2011, the equivalent of removing five
heavy goods vehicles from the roads.
Production reallocation
Three projects carried out by Unilever Brasil brought production
closer to our customers, reducing the distances covered in
product transfers and sales. In one of them, powdered detergent
production was partially reallocated from Indaiatuba (São Paulo)
to Igarassu (Pernambuco) to supply the local market.
In the opposite direction, one of our ice cream lines was transferred
from Jaboatão dos Guararapes (Pernambuco) to Valinhos
(São Paulo), and a Seda shampoo line was switched from
Ipojuca (Pernambuco) to Vinhedo (São Paulo). These transfers
enabled emissions avoidance of 4,649.5 tCO 2
eq up to September
2012 – the equivalent of removing 77 heavy goods vehicles from
the roads.
Freight optimization
There were seven freight optimization projects during 2012:
two were focused on transfers – that is, transportation between
our plants and distribution centres or between distribution centres
– and another five on the sales area, where products are
transported from our centres to the customer’s facilities (read
more in Customers). The focus was also on reducing idle capacity
and the mileage covered by vehicles.
In the transfers, we unified domestic cleaning and personal
care product loads to maximize vehicle occupancy without jeopardising
quality standards.
In the sales area, the objective was to unify cargos to avoid
idle capacity and to determine vehicle and fleet profiles in accordance
with type of customer and cargo volume. In 2012, the
projects permitted emissions avoidance of 1,851 tCO 2
e compared
with the previous year, the equivalent of removing 30 heavy goods
vehicles from the roads.
Alternative modalities
Geographical factors and infrastructure in Brazil represent a
challenge in the adoption of alternative, lower impact transportation
modalities for our logistics processes. Issues with quality
and delivery efficiency, together with financial considerations,
led us to discontinue the rail transportation that had been in use
on some routes.
One system we use is cabotage, alternating waterway transportation
with road transportation. This system is applied on
routes between the cities of Santos (SP), Ipojuca (PE) and Fortaleza
(CE), as well as Manaus (AM), leading to an estimated reduction
in emissions of 8,657 tCO 2
e in 2012 in comparison with
road transportation – the equivalent of removing 144 heavy goods
vehicles from the roads.
Kibon cabinets
To reduce energy consumption and GHG emissions associated
with our non-manufacturing operations, we are replacing
all Kibon freezers at points of sale with equipment using a new
technology whose global warming potential is 99% lower. This
initiative resulted from a partnership established between Unilever
and the Ministry of the Environment in 2011 (read more in
Governments and Institutions).
The new freezers use the refrigerant R290, which does not
affect the ozone layer and has a much lower greenhouse impact
than other gases used in similar systems, such as R404 and
R134. The short-term target we had established of substituting
the refrigerant in 20% of the freezers by the end of 2012 was exceeded:
by the end of the year 62% of the cabinets were already
using R290 gas.
Furthermore, we exceeded the target of 20% set for the reuse
and recycling of freezer components at the end of their working
life by the end of 2012. We reached a recycling rate of 100%, particularly
worthy of note being the uses found for polyurethane.
GRI EN18, EN26, EN29
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Emissions inventory
The main tool used to manage greenhouse gas emissions
in Brazil, since 2008 Unilever’s emissions inventory has been
based on the GHG Protocol – an internationally recognized methodology
which permits historical analysis and the definition of
metrics to measure an operation’s carbon footprint.
We have gradually increased the scope of the inventory; today
it covers not only direct emissions and emissions from the
purchase of electricity (scopes 1 and 2), but also indirect emissions
(scope 3), such as those generated by third-party product
distribution. Since 2010, our inventory has been gold seal certified,
attesting to the accuracy of the data with verification by external
audit.
In 2012, we did not achieve our target of maintaining GGEs
below the absolute amounts for 2007. The main cause of this was
the 134% increase in the co-efficient used to calculate electricity
emissions stipulated by the Ministry of Science and Technology.
If the conversion factor used in the previous year had been
maintained we would have met this target easily (read more in
Emissions Inventory). In 2012, Unilever Brasil emissions were 1%
above the reference period. The comparison with 2011, however,
shows a 13% increase in emissions, which totalled 258,872.43
tonnes of CO 2
e.
Unilever Brasil has elaborated its emissions inventory based on the GHG
Protocol since 2008, gradually broadening its scope. Today it includes direct
emissions, those from the purchase of electricity (scopes 1 and 2), as well
as indirect emissions, such as those generated by third-party product
distribution (scope 3).
GRI EN16 e EN17, DMA EN Emissions, effluents and waste
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Direct and indirect greenhouse gas emissions (tonnes CO 2
equivalent)
2007 2008 2009 2010 2011 2012
Scope 1 107.111 105.077 96.952 100.055 92.015 95.813
Scope 2 21.722 21.310 11.551 25.566 13.676 36.416
Scope 3 127.860 125.433 114.080 129.261 122.782 126.644
Total 256.693 251.820 222.582 254.882 228.473 258.872
Comparative greenhouse
gas emissions 2011/2012
Absolute
variation in
tCO 2
e
Percentage
variation
Scope 1 3,798 4%
Scope 2 22,740 166%
Scope 3 3,862 1%
Total 30,399 11%
GRI EN16, EN17
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Emissions by scope and operation (t CO ²
equivalent)
Scope 1 Scope 2 Scope 3
% in relation to
total emissions
Garanhuns 17 121 469 0.2%
Goiânia 619 1035 0 1%
Igarassu 3178 870 226 2%
Indaiatuba 36762 3698 0 16%
Pouso alegre 11433 2223 256 5%
Jaboatão dos Guararapes 2652 1844 431 2%
Ipojuca 751 557 0 1%
Valinhos 28748 3717 0 13%
Vinhedo 2917 955 0 1%
Manufacturing 87078 15021 1382 40%
Distribution 7218 20958 125217 59%
Sales 960 6 0 0.4%
Research and development, offices 557 431 45 0.4%
Non-manufacturing 8735 21395 125261 60%
TOTAL 95813 36416 126644 100%
GRI EN16 e EN17
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Water
A focus of action and attention
Investment in reuse and other eco-efficiency
measures have helped reduce consumption
of this essential manufacturing resource
In its 190 operations worldwide, Unilever strives to reduce
water consumption at all phases of the product life cycle,
with a particular focus on the cultivation of raw materials,
manufacturing and use by the consumer in the home. This
objective is driven by water scarcity in diverse parts of the
world - including developing countries in which the company
aims to grow and considers to be priority markets, such as
China, Mexico, Indonesia, India, South Africa, Turkey and the
United States.
Even though Brazil is not part of this group, the issue is a
priority for the company in the country, particularly in view of
water scarcity in the Northeast region, limited access to treated,
clean water and water stress in environmentally degraded locations.
Another sensitive point is the impact of urban or industrial
occupation, as is the case with the water basins of the Capivari,
Jundiaí and Piracicaba rivers where, respectively, our Valinhos,
Vinhedo and Indaiatuba plants are installed.
Our approach to water management at Unilever Brasil has
a dual focus. On the one hand, we develop eco-efficiency projects
at our plants, offices, research and development facilities
and distribution centres and, on the other, educational measures
aimed at encouraging consumers to use this resource responsibly
with our products.
The Unilever Sustainable Living Plan provides global data
showing the importance of focusing on these two fronts: our
analyses indicate that water consumption in the life cycle of
company products is intimately linked with the usage stage
(50%) and also with the cultivation of agricultural raw materials.
The major part of our water footprint is associated with
the detergent and fabric softener category (38%), followed by
personal hygiene products, such as soaps, bath gels and skin
care items (37%).
With respect to the consumer, Unilever Brasil strives to develop
products that require less water when they are used and
contain less water in their composition – the case of liquid and
concentrated cleaning products, for example.
The units requiring most water for production processes are
those in the foods categories, due to the composition of the products
and the need for more frequent washing of the production
lines to guarantee quality. Internally, we also run operating efficiency
and employee awareness projects.
In 2012, we achieved a 12% reduction in relative water consumption
compared with 2011, against a target of 5%. This was
due mainly to the Goiânia, Valinhos and Jaboatão dos Guararapes
plants. The first two underwent partial modification in 2011, respectively
because of the sale of the tomato products business to
Cargill and the termination of margarine production. Even so, a
comparison of the months after the operational changes shows
reductions of 24% and 8% respectively.
GRI DMA EN Water
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Our priority in manufacturing
operations in 2012 was
improving disposal of solid
waste. By the end of the year
we had eliminated disposal in
landfills at four plants.
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The only plant showing a significant increase in absolute water
consumption was Vinhedo; this was mainly due to increased production
volume. Another less significant influence was a quality
project requiring higher water volumes for cleaning and sanitising
the bottling lines.
In the non-manufacturing operations, there was an 11% rise
in the relative indicator caused by a significant increase in water
consumption at the distribution centres. A leak in the water mains
entry valve and cleaning of the water tank at the Nilcen DC and
an increase in headcount at the Louveira DC were the main reasons
we did not reach the target of reducing consumption by 4%,
in cubic metres per tonne produced, at these facilities.
Other non-manufacturing operations in which water consumption
increased were the JK2 and Rochaverá offices. This was the
result of increased demand by the occupants, mainly in the use of
air conditioning.
Percentage of total consumption by operation
Operation 2010 2011 2012
Garanhuns 0% 0% 0%
Goiânia 44% 22% 17%
Igarassu 1% 1% 2%
Indaiatuba 6% 8% 8%
Pouso Alegre 15% 24% 28%
Jaboatão 9% 13% 11%
Ipojuca 1% 2% 2%
Valinhos 15% 16% 16%
Vinhedo 7% 10% 12%
Nonmanufacturing
1
2% 3% 4%
1. The amount was altered due to an error encountered in the 2011 calculation
2. We revised the water supplied by utilities at Indaiatuba, taking mineral
water into account.
Relative consumption (m 3 /t)
2011 2012
Garanhuns 0.23 0.17
Goiânia 3.43 2.59
Igarassu 0.39 0.28
Indaiatuba 0.30 0.30
Pouso Alegre 2.58 2.61
Jaboatão dos
Guararapes
6.14 4.92
Ipojuca 0.94 0.95
Valinhos 2.32 2.19
Vinhedo 1.19 1.21
Manufacturing
total
Nonmanufacturing
total
1.47 1.29
0.06 0.06
GRI EN8
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In 2012, we increased the percentage use of ground water,
reducing use from other sources, mainly in function of the
Pouso Alegre, Valinhos and Jaboatão dos Guararapes operations.
Pouso Alegre had a proportional reduction in the use of
water supplied by utilities and a proportional increase in the
consumption of ground water. This was the result of greater
control on the Ades and Knorr production lines and day-to-day
monitoring of this indicator. As a result, there was a decrease
in the purchase of more expensive emergency water supplies,
while observing well replenishment needs and the withdrawal
volumes authorized by the environmental body.
Valinhos increased its proportional consumption of ground
water and reduced use of surface water. This was the result of
higher volumes of reuse in the soap plant and the treatment
plant, which use surface water. The higher consumption of
ground water was due to the ice cream plant, where production
was increased in 2012. At Jaboatão dos Guararapes, the
increased consumption of ground water was in function of the
reactivation of a well.
Relative water consumption by source
in the plants (m 3 /t produced)
Surface water (rivers, lakes,
wetlands, oceans)
2010 2011 2012
1.08 0.55 0.42
Ground water 0.66 0.71 0.74
Municipal supply or other
utilities
0.11 0 0.13
Percentage of water used by source
(manufacturing and non-manufacturing)
Surface water (rivers, lakes,
wetlands, oceans)
2010 2011 2012
56% 36% 31%
Ground water 35% 47% 55%
Municipal supply or other
utilities
9% 17% 14%
GRI EN26, EN8
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Sources by Unit
2011 2012
Surface Ground Utility Surface Ground Utility
Garanhuns 0% 100% 0% 0% 100% 0%
Goiânia 100% 0% 0% 100% 0% 0%
Igarassu 0% 100% 0% 0% 100% 0%
Indaiatuba 91% 9% 0% 90% 9% 1%
Pouso Alegre 0% 93% 7% 0% 97% 3%
Jaboatão dos
Guararapes
0% 34% 66% 0% 40% 60%
Ipojuca 0% 0% 100% 0% 0% 100%
Valinhos 45% 49% 6% 44% 53% 3%
Vinhedo 0% 100% 0% 0% 100% 0%
Non-
Manufacturing
0% 0% 100% 0% 0% 100%
Unilever 36% 47% 17% 31% 55% 14%
Consumption reduction measures
»»
Goiânia
Inspections for leakages using factory shutdown checklist;
environmental awareness campaign; reuse of treated water and
replacement of faucets with ones containing sensors at entrance
to factory.
»»
Jaboatão
Periodic inspections from effluent treatment plants to manufacturing
area and educational campaigns; improvement project
in moulded line, with individualisation of lollypop demould bath.
»»
Valinhos
Reuse of water in following activities: ice cream homogenizer,
effluent treatment plant, water treatment plant and soap condensers.
»»
Garanhuns
Educational and awareness campaigns on rational use of water;
leakage detection; daily monitoring of water consumption to
detect deviations and optimise cleaning of Karo production lines
and tanks.
GRI EN26, EN8, DMA EN Water
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»»
Igarassu
Introduction of daily monitoring enabling rapid detection of
deviations, monitoring and maintenance of instruments, and increased
reuse of wastewater through restricting runoff.
Reuse and recycling
We consider the reuse and recycling of water fundamental for
reducing our consumption indicators while increasing production.
In 2012, we managed to increase our water recirculation
rate by two percentage points, reaching 9%.
The Valinhos plant contributed most to the improvement in
this indicator by refining reuse in diverse processes such as
wastewater treatment, backwashing of filters, condensers and
ice cream homogenizers. Vinhedo also made an important contribution
with improvements to its effluent treatment plant and
more effective filter cleaning processes.
At Pouso Alegre, reuse was applied in the homogenizers, in the
effluent treatment plant, and in the automatic return of water from
the boiler condensate. At the Igarassu plant, we increased powdered
detergent production, a process which also permits the reuse
of water. This enabled us to eliminate the generation of industrial
effluent and reuse 100% of this water in the production process. At
Ipojuca, we acquired a new pump to increase reuse in gardens and
toilet facilities. However, the reutilization rate dropped because of
the decrease in production and the consequent decrease in the volume
of effluent that could be treated and reused.
Withdrawal and impacts on water sources
The water used in our production processes is withdrawn
from the ground and from surface sources; the company also resorts
regularly to utility supplies. All the operations comply with
stipulated limits and with environmental legislation in order not
to impact the sources they use.
According to GRI criteria, we exercise significant impacts
over five water sources used by our plants. In two of them, Garanhuns
and Igarassu (Pernambuco), we withdraw more than 5% of
the flow of the underground water body. At Indaiatuba, Valinhos
and Goiânia, we withdraw water from surface sources located
in permanent preservation areas (APP), as defined by Brazilian
legislation.
All the sources we use have a high value for the surrounding
communities, with the exception of Valinhos, where our study
indicated that availability in the region is high. With respect to
biodiversity value, we do not consider this to be high in the aquifers
we use due to the low levels of light and development of life
forms. In the case of the two surface water sources, these are
classified as “Class 3 and 4” by law, having medium and low biodiversity
value.
We are unable to state whether our impact is significant in the
other five water sources we use. The aquifers are not located in
protected areas, but we do not know whether we consume more
than 5% of the volume of the water body. There are only studies
available at Pouso Alegre (Minas Gerais) showing that our withdrawal
does not have a significant impact on the water table.
Percentage of water recycled /reused
in relation to total consumed 1
2010 2011 2012
Unilever Total 11% 7% 9%
Garanhuns 0% 0% 0%
Goiânia 16% 3% 5%
Igarassu 2 0% 6% 13%
Indaiatuba 2 57% 61% 63%
Pouso Alegre 0% 1% 1%
Jaboatão dos
Guararapes
0% 0% 0%
Ipojuca 19% 20% 18%
Valinhos 3 0% 1% 6%
Vinhedo 2% 4% 6%
Nonmanufacturing
0% 0% 0%
GRI EN9, EN10, DMA EN Water
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Water sources affected by Unilever Brasil operations
Significant
withdrawals
Withdrawal
from source is
5% or more of
annual average
volume
High probability
of withdrawal
causing
significant
impact according
to specialists
Are water
bodies from
which water
is withdrawn
in protected
areas?
Type of source
Volume of
water body
(m³/h)
Volume
withdrawn
(m³/h)
Biodiversity
value of water
body
Value/
importance of
source for local
community
Total of significant
sources
2
No source offers
high probability of
causing significant
impacts
3
No source having
high biodiversity
value
7 with high value
Garanhuns 9%
No. In compliance
with limits
determined by local
environmental
body to ensure
withdrawal does
not cause impact.
no
Aquifer (ground
water)
11.2 0.96 Low value-Aquifer
High value (low
volume available to
local community)
Continuation
GRI EN9
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unilever brazil Sustainability Report 2012
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Significant
withdrawals
Withdrawal
from source is
5% or more of
annual average
volume
High probability
of withdrawal
causing
significant
impact according
to specialists
Are water
bodies from
which water
is withdrawn
in protected
areas?
Type of source
Volume of
water body
(m³/h)
Volume
withdrawn
(m³/h)
Biodiversity
value of water
body
Value/
importance of
source for local
community
Goiânia 0.02%
No. In compliance
with limits
determined by
environmental body.
APP
Meia Ponte
river (Surface
withdrawal)
565,200 130 Low value-Class 4
High value (low
water quality
in region, e.g.
pollution and
silting).
Igarassu 11%
No.In compliance
with limits
determined by
environmental body.
no
Aquifer (ground
water)
40.72 4.56 Low value-Aquifer
High value (low
value to local
community)
Indaiatuba
2%
na
No. In compliance
with limits
determined by
environmental body.
No. In compliance
with limits
determined by
environmental body.
APP
no
Jundiaí river
(Surface
withdrawal)
Aquifer (ground
water)
3,340.8 70 Low value-Class 4
na 5.8 Low value-Aquifer
High value (low
availability of
ground water in
region).
Pouso Alegre
na
No. In compliance
with limits
determined by
environmental body.
no
Aquifer (ground
water)
na na Low value-Aquifer
High value (low
availability of
ground water in
region).
Continuation
GRI EN9
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unilever brazil Sustainability Report 2012
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Significant
withdrawals
Withdrawal
from source is
5% or more of
annual average
volume
High probability
of withdrawal
causing
significant
impact according
to specialists
Are water
bodies from
which water
is withdrawn
in protected
areas?
Type of source
Volume of
water body
(m³/h)
Volume
withdrawn
(m³/h)
Biodiversity
value of water
body
Value/
importance of
source for local
community
Jaboatão dos
Guararapes
na
No. In compliance
with limits
determined by
environmental
body.
no
Aquifer (ground
water)
na 558 Low value-Aquifer
High value (low
availability of
ground water in
region).
Valinhos
na
na
No. In compliance
with limits
determined by
environmental body.
No. In compliance
with limits
determined by
environmental body.
no
APP
Aquifer (ground
water)
Valinhos Invernada
river (Surface
withdrawal)
na 21 Low value-Aquifer
na 16
Medium value -
Class 3
Medium value
(high availability in
region)
Vinhedo
na
No.In compliance
with limits
determined by
environmental
body.
no
Aquifer (ground
water)
na 36 Low value-Aquifer
High value (low
availability of
ground water in
region).
*Observation: Ipojuca uses only water supplied by utilities
GRI EN9
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In 2012, changes in
management and
some plant operations
enabled a 12%
reduction in relative
water consumption
compared with 2011.
The target for the
year was 5%.
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Effluents
Reusing wastewater
Improvement in treatment and water reuse
reduced effluent generation by 9%
Effluent management involves both improvements to treatment
and the reduction of wastewater in our operations – which
is also affected by water consumption targets. We are committed
to ensuring discharges preserve the quality of water bodies in
line with the country’s environmental standards.
Considering Unilever’s operations in Brazil as a whole,
effluent generation is a more salient question for the foods
category. Consequently, the Goiânia, Pouso Alegre, Jaboatão
dos Guararapes and Valinhos plants have a greater weight in
this indicator.
In addition to monitoring the volume of effluents discharged
by all our operations, we accompany the treatment methods and
quality at each unit, extending this control to the companies contracted
to treat our effluent.
In 2012, Unilever Brasil reduced wastewater generation by
9%, mainly in function of improvements undertaken in the Goiânia
and Valinhos plants. In the former, we modified the drainage
process, making it possible to remove substances previously
absorbed by the wastewater and use them in co-processing. In
Valinhos, results improved due to the implementation of water
reutilization in effluent treatment plant processes, soap production
and backwashing of the ice cream filters and homogenizers.
The installation of an equalization tank improved the stability of
the biological processes, also contributing to the positive results.
Other operations which showed significant reductions in
effluent generation were Garanhuns, where a number of measures
were adopted to reduce consumption (read more in
Water), and Ipojuca, where production was decreased, the washing
process was standardized and daily monitoring of generation
improved.
The only operations in which effluent volumes increased significantly
were Indaiatuba and Igarassu. In the former, there were
problems due to the infiltration of rainwater in the collection networks,
where it mixed with the effluent awaiting treatment. At
Igarassu, we installed an effluent treatment plant and initiated
control of effluent that was previously contained in a septic tank,
infiltrating the soil.
GRI DMA EN Emissions, effluents and waste
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Treatment Methods
Garanhuns
(1)
Quantity
discharged *
(m³)
Discharges in
external effluent
treatment plants
(m³/year)
2010 2011 2012
Quantity
discharged
(m³)
Discharges in
external effluent
treatment plants
(m³/year)
Quantity
discharged
(m³)
Discharges in
external effluent
treatment plants
m³/year
7,245 - 7,381 70 5,107.70 49
Goiânia 1,399,443 - 552,057 - 447,358.83 -
1 – Internal treatment: anaerobic treatment in septic
tanks followed by deposition in soil via a system of
infiltration trenches
2 - External treatment: sludge treated in external
plant and then composted.
Effluent treatment plant: Primary and secondary
treatment with biological reservoirs.
Igarassu (2) - 956 - 1,472 8,540.00 558.68 Activated sludge
Indaiatuba 21,070 - 23,019 - 30,664.00 - Chemical and biological treatment.
Pouso
Alegre
378,979 586 401,686 315.85 395,646.53 - Chemical and biological treatment
Jaboatão
dos
Guararapes
242,500 - 280,199 - 293,767.00 6,615
Ipojuca 17,307 - 15,642 - 8,565.10 -
Physical-chemical treatment, followed by sludge
activated by prolonged aeration.
Primary treatment, physical-chemical and
biological.
Valinhos 283,502 21,605 210,434 19,837 147,719.00 16044 Physical-chemical and biological treatment
Vinhedo (3) 41,000 - 33,153 608 34,312.00 210
Total 2,391,046 23,147 1,523,571 22,303 1,371,680 23,477
(1) The volume of external effluent in 2011 was revised because the sludge treated in the treatment plant was classified as waste rather than effluent.
(2) The volume at Igarassu was measured by the average m3/day of treated effluent at the treatment station. A meter will be installed this year.
(3) Externally treated effluents were not reported by the Vinhedo operation in 2011, therefore we had to revise all the operation’s records.
Industrial treatment: physical-chemical and
biological
GRI EN21
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To guarantee the quality of the treated effluent we monitor
certain parameters, such as chemical oxygen demand (COD).
During the year, there was a COD reduction of approximately
60%, driven mainly by the Jaboatão and Valinhos plants.
Some factors contributing to this performance at Jaboatão
were training of the treatment plant team, fulfilment of the
treatment plant maintenance plan, modernization of the air
blowers and measures to raise plant employee awareness. In
Valinhos, we also offered training to the team operating the treatment
plant and installed an equalization tank which improved
stability of the biological process, in addition to establishing
operational controls such as bench tests and automation of the
treatment plant.
Other operations in which there was a significant reduction in
COD were Igarassu, Goiânia and Pouso Alegre. In the latter, the
decrease was due a change in the disposal of effluent. Previously
it was disposed of in the treatment plant, and now it is transformed
into animal feed. In Goiânia, the result was due to a reduction
in effluent volume.
The two major increases in this indicator occurred at the Indaiatuba
and Vinhedo plants. At Indaiatuba, there was an increase
in effluent volume; at Vinhedo, we enlarged the treatment
plant. This was concluded in the middle of the year and resulted
in more efficient treatment of industrial effluents.
Water bodies
In accordance with GRI criteria, all of our operations with the
exception of Garanhuns and Igarassu have a significant impact
on water bodies because wastewater is discharged into rivers.
These discharges do not reach 5% of the flow of the water bodies
- except at Ipojuca, which uses a stream that is not perennial
– and are in compliance with local environmental authority
standards.
Unilever’s wastewater treatment standards exceed those
stipulated by CONAMA resolution 430/2011 regulating discharges.
According to the environmental authority’s classification,
only the Ribeirão Pinheiro river and the Capivari river, in which
Valinhos and Vinhedo discharge their wastewater, are considered
sensitive. The former is a river that shelters aquatic communities
and is used for human consumption after treatment; the latter
is used for human consumption after treatment. The remaining
water bodies used for our discharges are less sensitive, with
functional considerations limited to landscape and navigation.
Based on this information and expert opinions, it may be stated
that only the water bodies into which Valinhos and Vinhedo
discharge wastewater have high and medium biodiversity value,
respectively.
COD (kg/ t prod) 2011 2012
Garanhuns 0.46 0.526
Goiânia 0.31 0.286
Igarassu 0.01 0.002
Indaiatuba 0.00 0.003
Pouso Alegre 0.21 0.098
Jaboatão 6.54 2.137
Ipojuca 0.02 0.023
Valinhos 0.48 0.181
Vinhedo 0.01 0.008
Total 0.34 0.13
GRI EN21, EN25
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Effluent discharge in water bodies
Water bodies
affected
Discharges of 5%
or more of average
annual volume of
water body
Water bodies
considered
sensitive
Water body
receiving discharge
Average volume of
receiving body (m³/h)
Goiânia 0.01% No- Class 4 Meia Ponte River 565200 56
Indaiatuba 0.07% No- Class 4 Jundiaí River 3.340,80 2.225
Pouso Alegre 0.37% No- Class 4
Patinho River, tributary of
Sapucaí-mirim River
12,672.00 47
Jaboatão dos Guararapes n.a. No- Class 4 Tejipió River n.a. 35
Ipojuca
Yes
Sensitive water source
with insufficient flow and
no classification.
Volume discharged
(m³)
Biodiversity value
Low value by
classification and surveys
done with ANA and UFG
Low value by
classification
Low value by
classification and surveys
done with ANA
Low value by
classification
Tabatinga River n.a. 1.625 Low value
Valinhos 0.04% Yes - Class 2 Riberão Pinheiro River 43,560 17
Vinhedo 0.08% Yes- Class 3 Capivari River 5,279.40 4
Obs: Garanhuns and Igarassu do not discharge effluents in water bodies.
High value by
classification
Medium value, because
oxygen conditions are
relatively higher than
class 4
GRI EN25
101

UNILEVER BRAZIL SUSTAINABILITY REPORT 2012
ENVIRONMENTAL IMPACT
BACK TO SUMMARY
BIODIVERSITY
ACTION AND PRESERVATION
Plans launched in 2012 aim to reduce impacts
on the areas surrounding our plants
With operations located in diverse biomes in Brazil, we are responsible
for mitigating the impact we cause on the surrounding
areas, with a focus on fauna and flora, conservation of water
resources, effluent discharge and permanent environmental
protection areas.
We reinforced this commitment from 2010 on, driven by
the Sustainable Living Plan and by national and international
initiatives such as the Brazilian Business Movement for
the Conservation and Sustainable Use of Biodiversity (MEB –
www.mebbrasil.org.br), which establishes a series of commitments
around conservation and sustainable development. We
have been signatories to this group since 2011.
In Brazil, our biodiversity measures are concentrated on manufacturing
operations, due to their location and the impacts caused
by the plants. With the exception of Igarassu, all these units
have protected or restored areas. Additionally, all the areas are
used predominantly for product manufacturing. The Garanhuns,
Goiânia, Jaboatão and Suape units do not have subsurface or
underground installations. The other plants have small areas
with underground facilities such as parking lots, wells, electrical
and hydraulic installations, sewage tanks, drying beds,
among others.
The main biodiversity impacts caused by Unilever operations
are pollution, habitat conversion and the reduction of animal
and vegetable species, all of which are reversible.
THREATENED SPECIES
In 2011 and 2012, during the mapping of biodiversity at our
plants, we identified eight species of flora and fauna that are
threatened or at risk of extinction according to national lists and
the IUCN (International Union for the Conservation of Nature).
No threatened species or species at risk of extinction were identified
in the areas around the Valinhos, Vinhedo, Igarassu, Indaiatuba
and Jaboatão dos Guararapes plants.
GRI EN12, EN14, DMA EN Biodiversity
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unilever brazil Sustainability Report 2012
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Location and status of protected areas
Unit
Position in relation to
protected area and area
with high biodiversity index
outside protected area
Size of operating unit
in km 2 Biodiversity value 1
Garanhuns
Within area administered by the
organisation
0.73
High Value:
- Land and freshwater ecosystem.
- CONAMA ruling nº31/1994 – Secondary vegetation area at
mid-stage of regeneration and existence of spring.
- species of fauna: hoary fox (Lycalopex vetulus), of lesser
concern according to IUCN.
Goiânia
Within area administered by the
organisation
0.07
High Value:
- Forestry reclamation project of approximately 5 years –
initial regeneration phase.
- one species of fauna: Blue-crowned motmot (Momotus
momota) threatened with extinction (IBAMA, 2003).
- one species of fauna: crab-eating fox (Cerdocyon thous) of
lesser concern according to IUCN.
Igarassu No protected area 0.095 No protected area inside and/or outside the site.
Continuation
GRI EN11, EN12, EN13, EN15
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unilever brazil Sustainability Report 2012
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Unit
Position in relation to
protected area and area
with high biodiversity index
outside protected area
Indaiatuba APP area within plant 0.027
Pouso Alegre
Within area administered by the
organisation
Size of operating unit
in km 2 Biodiversity value 1
0.31
Low Value:
- Environmental rehabilitation term of commitment in
course with CETESB (Case nº 82.401/2011): In 2012, 4,309
native seedlings were planted in the protection area on
the site boundary and the company is monitoring and
maintaining this area.
High Value:
- Secondary vegetation at initial stage of regeneration and
compensatory planting in APP.
- one species of fauna: Neotropical otter (Lontra
longicaudis) vulnerable according to COPAM nº147/2010
- three species of flora: (guanandi, copaíba, marinheiro do
brejo) almost under threat according to SMA resolution
nº08/2008.
Continuation
GRI EN11, EN12, EN13, EN15
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unilever brazil Sustainability Report 2012
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Unit
Jaboatão dos Guararapes
(Jaboatão)
Position in relation to
protected area and area
with high biodiversity index
outside protected area
APP area within plant = 0.004 0.011
Ipojuca APP area outside plant 0.07
Valinhos APP area within plant 0.25
Vinhedo APP area within plant 0.11
Size of operating unit
in km2
Biodiversity value 1
Low Value:
- Land ecosystem
- CONAMA ruling nº10/93 and CONAMA nº31/94, APP
area vegetation classified as secondary at initial stage of
regeneration. Planting of seedlings in APP (Tejipió river)
over approximately four years.
High Value:
- CONAMA ruling nº10/1993 secondary vegetation area at
initial stage of regeneration.
- one species of flora: (Melocactus violaceus) considered
vulnerable according to IUCN.
Low Value:
- Land and freshwater ecosystem.
- Environmental compensation project at approval stage
with environmental authority.
Low Value:
- Land and freshwater ecosystem.
- Environmental compensation project in APP (Capivari
river). In progress.
(1) As a criterion of biodiversity value we used the area’s stage of regeneration and isolation in the case of the spring. We also considered the number of species threatened by level of risk (EN15).
GRI EN11, EN12, EN13, EN15
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unilever brazil Sustainability Report 2012
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Plants and Protected Areas
Operation Area /
Project
Jaboatão
APP
Pouso Alegre APP
Garanhuns
Goiânia
Two areas:
one APP
and one with a
high biodiversity
rate
APP
Size (km²) and
location of
protected area
Protected or
reclaimed?
Voluntary or
compulsory?
0.004
Industrial zone Reclaimed Compulsory
0.025
Peri-urban zone
0.56
Peri-urban zone
0.015
Mixed area
Status (at end of
reporting period)
Planting of seedlings in
the APP (Tejipió river)
over approximately 4
years.
Was the result of
the reclamation
measures approved
by external
specialists?
Yes
Partnerships (to
protect or restore)
No partnerships
Reclaimed Voluntary Rehabilitation underway Yes No partnerships
Protected
Reclaimed
Part compulsory and
part voluntary
Compulsory
Secondary vegetation
area at mid-stage of
regeneration - CONAMA
nº 31/94 and existence of
spring.
Forestry reconstitution
project of approximately
five years – initial stage
of regeneration
Yes
Yes, realization of two
(2) Conduct Adjustment
Terms - TAC´s. Prepared
by Conflora and approved
by Environment and Water
Resources Department -
SEMARH.
No partnerships
We addressed with
theme in the accident
prevention week (SIPAT)
in partnership with Cargill
and Environment Day
campaign in 2012.
Continuation
GRI EN13
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unilever brazil Sustainability Report 2012
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Operation Area /
Project
Size (km²) and
location of
protected area
Protected or
reclaimed?
Voluntary or
compulsory?
Status (at end of
reporting period)
Was the result of
the reclamation
measures approved
by external
specialists?
Partnerships (to
protect or restore)
Ipojuca
APP (adjacent
area)
Legal Reserve
0.015
Industrial zone
Reclaimed
Compulsory
0.1
Industrial zone Reclaimed Compulsory
Secondary vegetation
area at initial stage of
regeneration - APP
(adjacent area).
Secondary vegetation
area at initial stage of
regeneration - APP
(adjacent area).
Yes
Yes
No partnerships
No partnerships
Vinhedo
APP
0.82
Industrial zone Reclaimed Voluntary
Environmental
compensation project in
the APP (Capivari river)
undertaken in 2012.
Yes, approved by CETESB
(Case nº 05/00039/05).
No partnerships
Indaiatuba
APP
0.042
Industrial zone Reclaimed Compulsory
4,309 native seedlings
were planted in the APP
at the site boundary in
2012.
Yes, environmental
reclamation commitment
with CETESB (Case nº
82.401/2011)
No partnerships
Valinhos
APP
0.021
General
commercial zone
Protected
Compulsory
Environmental
reclamation project and
commitment underway.
Yes, environmental
reclamation project and
commitment underway
with CETESB.
No partnerships
GRI EN13
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unilever brazil Sustainability Report 2012
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Impacts on biodiversity
Unit
Nature of impacts
Pollution: Emissions to
air (fixed and stationary)
and effluent discharge
Conversion of
habitats: changes in
vegetation type, loss of
forest mass
Garanhuns Yes Yes No
Goiânia Yes Yes Yes
Igarassu Yes Yes Yes
Indaiatuba No (1) Yes Yes
Pouso Alegre Yes Yes Yes
Jaboatão dos
Guararapes
Yes Yes Yes
Ipojuca Yes Yes Yes
Valinhos Yes Yes Yes
Vinhedo Yes Yes Yes
(1) Not considered a significant impact
Species reduction: Loss
of species of fauna and
flora
GRI EN12
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unilever brazil Sustainability Report 2012
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Reduzimos em 54% o total
de emissões de CFC por
tonelada produzida nas não
manufaturas, resultado
que se deve especialmente
à diminuição do número de
conservadoras de sorvete
no período.
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unilever brazil Sustainability Report 2012
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Action plans
In 2012, we continued a project initiated the previous year with
support from a specialized consultancy, resulting in the mapping of
the areas surrounding Unilever’s industrial operations. The objective
was to identify the main impacts and associated commitments by
means of field inspections, the collation of historical data on the occupation
of the plant areas and immediate surroundings, as well as
the collection of biotic and abiotic indicators on and off site. After collecting
field data and office records, the main biodiversity indicators
were tabulated and cross-referenced, with a focus on the principal
environmental questions.
This resulted in the drafting and implementation of action plans
for each plant. These were monitored on a quarterly base by the SHE
team, the deadline being the end of 2012 (see table on page xx). For
2013, we will create a committee consisting of representatives of diverse
company areas to discuss biodiversity-related questions in the
context of the business.
These recommendations were the result of a study that evaluated
the environmental quality of the soil, air, fauna and flora, surface
and ground water resources, and also took into account the opinions
of our employees and the surrounding communities. As a reference
for this work, we used the existing environmental legislation and technical
standards applicable to the abiotic and biotic media, as well
as quality of life indices. Furthermore, the plants carry out periodic
surveys on the environment and impacts which can raise relevant
questions related to biodiversity.
In Brazil, we do not issue public reports on biodiversity, since
this information is included with the other indicators in this sustainability
report.
Action plans
Plants 2011 Commitments Result of commitment Other results
Garanhuns
1. Preservation of spring
and ground water
resources.
2. Control of forest fires and
protection of boundaries.
1. Monitoring of entry by
animal species.
2. Monitoring of vegetation
around plant to check for
smoke / fire; placement of
fire break in critical location.
Under the EN15 indicator, on this site there is a species of less concern from the IUCN list. To increase
employee awareness, we included information in the plant induction process. We also included information
on this question in the plant training programme. There are also signs warning people not to kill or mistreat
animals at the plant entrances.
Continuation
GRI EN14, DMA EN Biodiversity
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unilever brazil Sustainability Report 2012
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Plants 2011 Commitments Result of commitment Other results
Goiânia
Promote environmental
protection campaigns for
third parties and local
communities.
The plant conducted the following campaigns:
1.World Water Day campaign, in which we focused on scarcity, our
role and the impact of pollution on local biodiversity;
2. Creation of “Green Space” in the plant for visits and provision of
environmental information (e.g.: examples of inadequate selective
waste collection in the operation; mapping of points in plant where
we are losing water, steam and compressed air; environmental
news from Goiânia, Brazil and the world).
3. Launch of Zero Landfill project, which has addressed
opportunities to improve generation, sorting and disposal of waste,
improvements in management and changes in habits;
4. Quality Week, involving Unilever and other companies and 3rd
parties on the industrial estate, with talks on biodiversity and
sustainability aimed at preserving natural resources and the
environment.
- Under the EN15 indicator, on this site
there is a species under threat and
another of less concern from the IUCN
list. To increase awareness the plant
provided information about these species
in the induction process of employees and
family members.
- To reduce the risk of people and animals
being run over, a traffic light and speed
limit were introduced on the access road
to the plant.
Igarassu
1. Investigation of
environmental liabilities –
soil matrix.
2. Forest reclamation.
1. The plant investigated the liabilities. The report is currently
under analysis.
2. The forestry reclamation actions will be implanted in 2013.
Daily monitoring of boundaries and fences
to plant, prohibition of feeding animals to
prevent entry of pets and animal species.
Continuation
GRI EN14
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unilever brazil Sustainability Report 2012
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Plants 2011 Commitments Result of commitment Other results
Indaiatuba
Reclamation of APP forest.
In 2012 4,309 native seedlings were planted in the APP area on the
plant boundary. To ensure adequate growth of the seedlings during the
rainy season, they are monitored and maintained continuously. This
was the result of a term of commitment; however we went beyond
government requirements. In a space in which 54 seedlings were
requested, we planted 99.
Ipojuca
Adjustment of effluent
discharges in compliance
with Conama ruling 430/2011.
We fulfilled the commitment and are compliant with the legislation.
- Under the EN15 indicator, on this site
there is a species considered vulnerable
from the IUCN list. To increase awareness
the plant provided information about this
species in the induction process.
- Fire breaks were installed to prevent
forest fires.
- Campaign among employees and planting
of 70 seedlings in the legal reserve,
exceeding the legal requirement of 20.
Jaboatão dos Guararapes
1. Adjustment of effluent
discharges in compliance
with Conama ruling
430/2011, as well as removal
of rubble from water course
–Tejipió river.
2. Reassessment of APP
forestry project.
1. We fulfilled the first commitment and are compliant with the
legislation. Additionally, we assessed the feasibility of removing
external waste from water bodies; however, this was not viable.
2.The reclamation underway is proceeding as planned. The plant
removes grass and weeds that might jeopardise the species
planted.
The waste management programme was
reviewed. This led to the purchase of
containers and awareness training.
Continuation
GRI EN14
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unilever brazil Sustainability Report 2012
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Plants 2011 Commitments Result of commitment Other results
Pouso Alegre
1. Adjustment of effluent
discharges in compliance
with Conama ruling.
Adjustment of sampling plan
for the Patinho river
2. Forestry reclamation in APP.
3. Investigation of
environmental liability in
soil matrix and water table
(underway).
1. We fulfilled the first commitment and are compliant with the
legislation. Analyses show that effluents and the water body meet
the legal parameters.
2. In 2012 we planted more than 500 native trees in the site’s APP
area and installed a hedge to prevent the entry of wild animals and
pets.
3. Investigation of environmental liability in soil matrix and water
table was concluded.
Under the EN15 indicator, on this site there
is a species which is vulnerable and three
almost under threat from the IUCN list.
To increase awareness the plant provided
information about these species in the
induction process and in communications
to the plant
- To reduce the risk of people and animals
being run over, an elevated crossway and
a traffic light were installed on the access
road to the plant.
- The plant is planning to install fire breaks
in 2013.
Valinhos
- Forestry reclamation in APP
(underway).
The plant presented a forestry reclamation proposal to CETESB at
the beginning of 2012. We carried out studies which showed that
external compensation would be more beneficial than an internal
project. Cetesb then requested an external compensation plan 10
times larger than one inside the plant. This plan will be presented
to Cetesb at the beginning of 2013.
Vinhedo
- Forestry reclamation in
APP (underway).
The APP reclamation project was initiated voluntarily in 2012 with
native species. There are plans for more planting in 2013.
GRI EN14
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unilever brasil relatório de sustentabilidade 2012
reducing environmental impact
back to summary
We identified the
main impacts and
commitments related
to biodiversity,
tabulated the data and
cross-referenced the
associated indicators,
drafting action plans
for each plant.
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Atmospheric emissions
Controlling impacts
In 2012, we stepped up monitoring of particulate
materials emitted by the plants and progressed
in non-manufacturing indicators
Company strategy to reduce environmental impacts includes
controlling emissions of gases harmful to the ozone layer, as
well as sulphur oxides, nitrous oxides and particulate materials.
Minimising refrigerant gas emissions, for example, is important
for the company in its manufacturing processes, its distribution
centres (because of air conditioning equipment) and at
points of sale (where our ice cream freezers are installed). Substances
harmful to the ozone layer are monitored in the manufacturing
operations, as well as at the points of sale and distribution
centres. The data is reported in CFC11 (Chlorofluorocarbon),
a measure used to compare various substances based on their
relative ozone destruction potential.
In 2012, we recorded a 54% reduction in total CFC emissions
per tonne produced in non-manufacturing due to the decrease in
the number of freezers using 141 B refrigerant gas.
CFC11 emissions (in g/t product
commercialized or produced)
2010 2011 2012
Manufacturing (g/t produced) 0.067 0.048 0.051
Non-manufacturing (g/t
commercialized)
0.004 0.014 0.006
With respect to sulphur oxides (SOx), associated with the
burning of fuel in the boilers at the plants and the spray tower in
Indaiatuba, we reduced emissions by 36% in Brazil. The improvements
were significant, in particular in Pouso Alegre, where a
biomass-powered boiler replaced two oil-powered ones (read
more in Emissions).
Atmospheric emissions
2010 2011 2012
SOx (emission kg/t produced) 0.03 0.031 0. 020
NOx (emission kg/t produced) - 0.045 0.021
Particulate material (emission
kg/t produced)
- 0.031 0.082
VOC - 0.0002 0.0002
The Valinhos plant also made an important contribution with
a reduction in production volume of around 9%, which resulted
in a 21% decrease in the consumption of natural gas (the only
source of SOx and NOx emissions). Furthermore, the margarine
plant had been in operation up until April 2011, resulting in higher
natural gas consumption.
GRI EN19, EN20, DMA EN Emissions, effluents and waste
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There was, however, an accentuated increase of 162% in emissions
of particulate material during the period. This was due, in
particular, to the spray tower at the Indaiatuba plant – where
the previous measurement of atmospheric emissions had been
taken at a moment when the flow was reduced, compromising
the measurement of the particulate material and the efficiency
of the process. Additionally, in 2012 we started to monitor emissions
at Igarassu, which also contributed to the increase.
In Garanhuns, there was a reduction in particulate material and
SOx emissions due to variations in the sulphur content of the vegetable
oil received – there was a prevalence of oils with a low content,
which had a positive effect on the indicator. Particulate material
emissions were halved with the substitution of the boiler fuel.
At the Goiânia plant, SOx emissions were reduced, while particulate
material emissions remained at the same level, figures
that continue to reflect sale of a part of tomato production to
Cargill in 2011.
In Vinhedo, SOx emissions vary according to the type of fuel
used (natural gas and petrol), which also oscillate depending on
production volume. In 2012, production increased 12% compared
with the previous year, and we had problems with natural gas
supplies. Consequently we had to use diesel oil in the boiler, provoking
a direct impact on SOx emissions.
In 2012, the Jaboatão dos Guararapes and Vinhedo operations
also started to monitor NOx emissions - Pouso Alegre and
Valinhos already performed this exercise. At Valinhos, we also
control emissions of volatile organic compounds (VOC), toxic and
carcinogenic pollutants that are harmful to health.
Methodology used to calculate the volume of atmospheric emissions
SOX
NOX
MP
VOC
Garanhuns, Goiânia, Pouso
Alegre, Jaboatão, Ipojuca,
Valinhos and Vinhedo
Igarassu
Indaiatuba
Pouso Alegre and Valinhos
Jaboatão dos Guararapes
Pouso Alegre and Valinhos
Valinhos
Business standard emission by fuel consumption.
Direct measurement
Collections according to EPA/ABNT/Cetesb/NBR
8969, NBR 12020, 5282 NBR10700, NBR 10701/
Cetesb L9.221, Epamethod 03B/Cetesb L9.210
methodology.
Measurements taken in annual study using kg/h x
hours boiler is in operation per month
Direct measurement
Measurements taken in annual study using kg/h x
hours boiler is in operation per month.
Measurements taken in annual study using kg/h x
hours boiler is in operation per month
GRI EN20
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unilever brazil Sustainability Report 2012
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Energy
For a cleaner matrix
A higher share of renewable energy in the matrix
Unilever Brasil constantly strives to use renewable energy
sources in both its manufacturing and non-manufacturing operations.
Up until 2010, the proportion of renewable fuels, such
as vegetable oil, ethanol and biomass in our direct consumption
energy matrix was increasing. However this trend was altered in
2011 with the sale of part of our Goiânia (Goiás) operation, which
has biomass-powered boilers.
Nevertheless, we maintain our focus on increasing the share
of renewable fuels in our operations, in particular in the plants.
At these units, we have developed fuel substitution projects, and
in our offices and distribution centres we continue to work on
raising employee awareness of the need for rational energy use
in routine activities.
Currently, the plants which consume the most energy are Indaiatuba,
Goiânia, Valinhos and Pouso Alegre, due to the type of
production processes they employ. At Pouso Alegre, there was
an important change in the energy matrix with the substitution of
the boilers using LFP oil for a biomass-powered one. This came
into operation in September 2012, enabling a 36% reduction in
the consumption of non-renewable energy in the plant compared
with 2011, and a 4% overall reduction overall in the manufacturing
area.
For strategic reasons, we only disclose relative data and not
total energy consumption. For the plants, the amounts are presented
in GJ/tonne produced; for non-manufacturing they are in
GJ/t commercialized.
Performance in 2012
In our manufacturing plants, there was an 8.6% reduction in
non-renewable (Scope 1) energy consumption compared with
2011. This was due mainly to improvements in natural gas consumption
at the Indaiatuba plant through the optimization of
production flow, and to operational changes at Valinhos, whose
indicators were also impacted by the deactivation of the margarine
business in April 2011. The exception was the Igarassu
plant, where natural gas consumption rose due to an increase in
production to meet higher demand in the Northeast region. This
increase, however, was not significant in terms of the overall results
in manufacturing.
At Garanhuns, consumption of non-renewable energy was
reduced by 42%, due to production enhancements; a trend that
was replicated at the Pouso Alegre plant with lower use of LFP
oil in the boilers – replaced by a biofuel-powered boiler in August
2012.
With respect to renewable energy, in 2012 there was a reduction
in the consumption of biomass in the boilers at the Goiânia
plants, whose results for 2011 were impacted by the sale of the
tomato products line to Cargill. The Igarassu and Vinhedo units
also had a significant variation, but did not impact the consolidated
indicator for all the operations. In the former, there was
a reduction in the consumption of biodiesel during the year because
the mechanical digger was not in operation. In Vinhedo,
GRI EN3, DMA EN Energy
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there was a decrease in ethanol consumption because the vehicle
using this fuel is not in use. On the other hand, the Pouso
Alegre plant showed an important increase due to the installation
of the biomass-powered boiler.
Scope 2 consumption from the acquisition of electrical and
thermal energy increased in 2012. The distribution centres and
ice cream freezers at points of sale account for most of this consumption.
Among the factories, Indaiatuba and Valinhos use
the highest percentage of energy in Unilever, followed by Pouso
Alegre and Jaboatão dos Guararapes.
Considering direct and indirect energy consumption (GJ per
tonne produced or commercialized), there was a 5% reduction in
company plants and a 28% increase in non-manufacturing operations.
This growth is due primarily to electricity consumption
by ice cream cabinets, which grew as a result of the purchase of
more freezers during the year and a decrease in the deactivation
of older ones. In partnership with the freezer supplier, we
reviewed electricity consumption by type of model in use, which
also influenced the result for the year.
In non-manufacturing operations, we reduced the consumption
of non-renewable energy with initiatives such as reduced
petrol consumption in our ice cream sales fleet, stemming
from the implantation of the company’s ethanol policy in 2011
(read more in Emissions). This policy made a significant contribution
to the 44% increase in the consumption of renewable
energy. Additionally, the company reduced consumption in its
technical assistance operations in 2012 through outsourcing of
part of the fleet.
Total energy consumption (Scopes 1 and 2)
2010 2011 2012
Manufacturing (GJ/t produced) 1.614 1.231 1.165
Non-manufacturing (GJ/t
commercialized)
Scope 1 – Percentage of renewable
and non-renewable energy used
0.471 0.557 0.653
2010 2011 2012
Renewable 42% 18% 21%
Non-renewable 58% 82% 79%
GRI GRI EN3, EN4
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Direct energy consumption discriminated by primary energy source – Unilever total
Non-renewable
energy (GJ) -
SCOPE 1
GJ/t prod.
(Man)
GJ/t
commer.
(NM)
Breakdown
by source
2010 2011 2012
GJ/t prod
(Man)
GJ/t
commer.
(NM)
Breakdown by
source
GJ/t prod
(Man)
GJ/t
commer.
(NM)
Breakdown
by source
Diesel oil 0.003 0.000 0.3% 0.002 0.000 0.2% 0.000 0.000 0.1%
Petrol 0.001 0.015 1.1% 0.000 0.029 3.0% 0.000 0.008 0.9%
Fuel oil 0.069 - 5.6% 0.071 - 8.0% 0.045 - 5.5%
Natural gas 0.600 0.000 48.1% 0.601 0.000 67.2% 0.571 - 68.9%
LPG 0.015 0.023 2.8% 0.010 0.026 3.8% 0.008 0.023 3.8%
Subtotal nonrenewable
energy
0.688 0.038 57.9% 0.683 0.054 82.2% 0.625 0.031 79.1%
GRI GRI EN3
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Renewable energy
(GJ) - SCOPE 1
GJ/t prod.
(Man)
GJ/t
commer.
(NM)
Breakdown by
source
2010 2011 2012
GJ/t prod
(Man)
GJ/t
commer.
(NM)
Breakdown by
source
GJ/t prod
(Man)
GJ/t
commer.
(NM)
Breakdown by source
Biomass 0.503 - 40% 0.131 - 15% 0.132 - 16%
Vegetable oil 0.003 - 0% 0.002 - 0% 0.000 - 0%
Ethanol 0.000 0.020 1% 0.000 0.028 3% 0.000 0.041 5%
Biodiesel 0.000 0.000 0% 0.000 0.000 0% 0.000 0.000 0%
Sub-total renewable
energy
Total Direct Energy
Generated and
Consumed (GJ) - Scope 1
0.506 0.020 42% 0.133 0.028 18% 0.133 0.041 21%
1.194 0.059 0.816 0.083 0.757 0.072
Energy (GJ) - SCOPE 2 2010 2011 2012
Energy generated and produced /
t prod. Commerc.
Scope 2: Energy from acquisition of electricity or thermal energy by company.
Manufacturing NM Manufacturing NM Manufacturing NM
0.421 0.413 0.414 0.606 0.408 0.581
GRI EN3, EN4
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Relative
energy (GJ/t)
- SCOPE 2 -
per unit
Total
Electricity GJ/t
prod.
Breakdown by unit
Garanhuns 0.19 0%
Goiânia 0.32 3%
Igarassu 0.34 2%
Indaiatuba 0.26 10%
Pouso Alegre 0.43 6%
Jaboatão dos
Guararapes
1.62 5%
Ipojuca 0.58 2%
Valinhos 1.00 10%
Vinhedo 0.19 3%
Manufaturas 0.41 41%
Distribuição 0.57 57%
R&D, HO, GS 0.01 1%
NM 0.58 59%
SCOPE 2 - per
unit
Percentage
of GRID
electricity
Percentage
of electricity
receiving
incentives
Garanhuns 100% 0%
Goiânia 99% 1%
Igarassu 3% 97%
Indaiatuba 41% 59%
Pouso Alegre 3% 97%
Jaboatão dos
Guararapes
3% 97%
Ipojuca 7% 93%
Valinhos 42% 58%
Vinhedo 3% 97%
MANUFACTURING 30% 70%
Distribution 100% 0%
R&D, HO, GS 99.7% 0.3%
NM 99.7% 0.3%
It is a major challenge to purchase
100% energy benefiting from
incentives for the plants due to
market scarcity.
Renewable energy and energy
benefiting from incentives
We purchase energy benefiting from incentives for the manufacturing
area, while for the non-manufacturing operations we
acquire only energy from the national GRID. According to the
2012 National Energy Balance Sheet (base year 2011), only 11%
of this energy is not renewable.
We seek to extend renewable energy solutions in the plants
having the greatest impact. Our target for 2012 was to acquire
100% energy receiving incentives for the Igarassu, Ipojuca,
Jaboatão dos Guararapes and Pouso Alegre plants. None of the
plants achieved their targets because it was necessary to go to
the market to meet their energy needs. There was not sufficient
incentive energy available to fully meet demand.
GRI EN3, EN4, DMA EN Energy
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Measures to reduce consumption
Diverse conservation and efficiency projects at the plants enabled
Unilever Brasil to reduce its energy consumption by 6,239
GJ in 2012. At Garanhuns, we saved 947 GJ of electricity through
the optimization of use of high consumption electrical equipment
(air compressors and ventilation system) and greater efficiency
in Karo production.
In Indaiatuba, we achieved a reduction of 392 GJ/month and
4,713 GJ in the year through measures such as turning off compressors
at peak times (18:00 to 21:00). Other plant projects include
a rotation system for unloading heavy goods vehicles, decreasing
the time compressors are on, checking for steam and
compressed air leaks in the compressors used to generate energy
and a review of the operating standards for the drying towers.
In Pouso Alegre, we developed simple projects such as removing
surplus light bulbs in the production and external areas,
automating the Knorr production line conveyors, installing light
sensors and timers in little used locations, repairing compressed
air and steam leaks and reinforcing thermal insulation.
The main driver of reduced indirect energy consumption in
the year was the incentive to work from home for employees at
coordination level and above at our São Paulo head office. A survey
conducted at mid-year, some months after the home office
programme was introduced, showed that 21% of eligible employees
work at home up to twice a month; 35%, once a week;
and another 7%, twice a week. Calculating the average distance
between employees’ homes and the office and assuming the use
of mostly petrol-powered vehicles, the commuting eliminated
means a reduction in consumption of approximately 1500 GJ and
emissions avoidance of 100 tonnes of CO 2
e.
Another initiative promoting energy and GHG emission reduction
in the company is the use of telepresence infrastructure.
However, it was not possible to make a quantitative estimate of
the savings achieved.
Ethanol incentives
Introduced in September 2011, the company’s ethanol policy
has enabled emissions avoidance of approximately 2,200
tCO2e since its launch, equivalent to removing 36 heavy goods
vehicles from the road annually. Studies demonstrated the economic
and environmental viability of using ethanol. The policy
makes filling up with renewable fuels mandatory in our vehicle
fleet in Brazil whenever possible, avoiding the use of petrol and
encouraging ethanol. The capillarity of the company’s activities
throughout the country enables the compensation of fluctuations
in price and availability caused by seasonal factors associated
with the fuel.
The entire Unilever fleet consists of flexible fuel vehicles, and
reimbursement of fuel expenses for the 1,130 employees who
drive in the course of their work, such as HPF (hygiene and beauty)
sales staff and technicians, is conditioned to the use of ethanol.
Continuous improvement projects
in the plants enabled energy
savings of more than 6 thousand
GJ during the year.
GRI EN5, EN7, DMA EN Energy
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unilever brazil Sustainability Report 2012
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Managing suppliers
Responsible Sourcing
Supplier engagement
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unilever brazil Sustainability Report 2012
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Shared growth
Actions throughout the chain seek to foment the sustainable
development of suppliers and our own business
environmental practice. We have also enhanced our mechanisms
for managing, selecting and evaluating suppliers based on systems
such as the Responsible Sourcing and SEDEX programmes.
Another relevant point during the year was the application of
a questionnaire among our 6 thousand suppliers in the country
to collect data on best practices, encompassing areas such as
human rights, child and slave labour and environmental management
(read more in Supplier Management).
One of Unilever’s global targets is to contribute to the social
and economic development of all the communities and countries
in which it operates. This commitment is formalised in our
Sustainable Living Plan, which proposes to support and qualify
agents in the supply chain as a means of enhancing the livelihoods
of our suppliers.
In addition to our large commercial partners, we work with
hundreds of thousands of little businesses – smallholder farmers
and micro-businesses - in the 190 countries in which we
operate. This is a group that has great potential to grow and increase
its productivity, provoking a positive impact on our business
and throughout the value chain.
Currently Unilever has mechanisms in place to help these
suppliers to grow and to adopt practices in line with social and
environmental guidelines. In the Enhancing Livelihoods pillar,
the Unilever Sustainable Living Plan mapped the work fronts we
should adopt between 2010 and 2020 to reach our targets. On the
one hand, we have a target to include more than 500 thousand
smallholder farmers and small distributors in our supply chain.
On the other, we need to source all our agricultural raw
material sustainably by the end of the decade, a question that
involves both our approach to the supply chain and our environmental
management policies. This target is especially relevant
considering that Unilever buys 3% of all the palm oil and 1% of
the soy produced in the world every year.
Another point addressed in the pillar is people management.
Our focus on themes such as diversity, development and occupational
safety is intended to make our employees strategic
partners in the company’s growth (read more in People).
Another Unilever Brasil commitment is to develop mechanisms
to manage, engage and qualify the suppliers who help
the company to achieve its strategic objectives. Consequently,
our actions throughout the chain are a priority that saw important
advances between 2010 and 2012.
Since 2011, we have progressed in our supplier engagement
plan in Brazil, including partners from diverse segments, such
as logistics and production inputs, in encounters involving the exchange
of experience and know-how related to best social and
Our global targets
Suppliers – By 2020, we will have more than 500 thousand
smallholder farmers and small distributors in our
supply chain.
Sustainable sourcing – By 2020, 100% of our agricultural
raw materials will come from sustainable sources.
Work force – By 2020, we will reduce the accident frequency
rate in our plants and offices by up to 50%
against a base date of 2008.
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unilever brazil Sustainability Report 2012
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Supplier management
Working on different fronts
Unilever develops a series of measures to engage
its almost 6 thousand partners in Brazil in the
company’s socio-environmental commitments
Suppliers in Brazil
Proportion of spending on local suppliers
2010 2011 2012
99% 99% 89%
note: the basis of calculation for production items was altered in 2012
to show actual spend on suppliers, resulting in this variation.
In Brazil, our supply chain consists of approximately 6 thousand
companies of varying sizes, operating in different categories
and regions, in addition to other markets in which we do business.
Management of these partners and the purchase of inputs
can take place on three levels: national (Brazil), regional
(Latin America) or global. As a question of cost optimization and
homogenization of quality, for high volume products most of
these processes are managed at regional and global level.
Suppliers are broken down into three main categories: production
items (inputs used in the manufacture of our products,
such as packaging, ingredients, chemicals and commodities),
logistics (storage and distribution services for products and
some raw materials) and non-production items (machinery, office
supplies and equipment, for example).
We consider all suppliers with operations in Brazil to be local
suppliers. Currently, spending on production items from local
suppliers accounts for 89% of the company’s purchase volume.
Of these, 62% supply raw materials and 38%, packaging.
By 2014, we intend to map and identify the location of suppliers
by region of the country, determining whether their facilities are
in metropolitan regions or states in which we have operations,
for example.
Supplier selection at the three levels of governance is based
fundamentally on the development of best sustainability practices,
competitive costs and service quality. We use regional or
global suppliers when determined inputs are not found locally
or when local suppliers do not meet specifications. In these
cases, the main inputs come from Asia, Europe and the United
States. The advances related to mapping suppliers are detailed
in Responsible Sourcing (link to corresponding text, below).
In 2012, to identify the percentage of purchase volume in
compliance with Unilever standards, we performed an analysis
based on the amounts spent with suppliers. This analysis took
into account the fact that 20% of suppliers account for 80% of
the company’s spending (read more in Responsible Sourcing.
Supplier selection is part of global management and involves
diverse programmes such as Partner to Win, projected to
establish long-term relationships with strategic suppliers, and
Supplier category
Number of suppliers
Production items 508
Non-production items 5.396
Logistics services 188
Total 6.092
Responsible Sourcing, which includes diverse supplier management
and monitoring mechanisms for partners we consider
to be critical in determined social and environmental areas
(read more in Responsible Sourcing).
At the local level, the company has a team specialised in
developing the value chain, promoting assessments, engagement
actions and training aligned with the Sustainable Living
GRI EC6, FP2, DMA HR Investment and procurement practices, DMA SC Fair trade and fair compensation for labor
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unilever brazil Sustainability Report 2012
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Plan and company business strategy. The procurement area
also maintains a direct relationship with these suppliers, with a
structured policy comprehending selection, management, monitoring
and evaluation.
However, our major advances during the year were in engaging
and monitoring these strategic partners (see more in
Supplier Engagement). We also learned more about these companies
by applying a questionnaire focused on human rights,
labour practices and other sustainability-related questions, the
objective being to understand our six thousand suppliers’ commitments
and directives.
Certified partners
One of the most complex targets in procurement will be obtaining
100% of the company’s agricultural raw materials from
certified sustainable and renewable sources by 2020. This target
encompasses the Top 10 agricultural raw materials, which
account for 70% of global volume. This commitment is challenging,
given that two thirds of our global inputs come from
agricultural sources. In order to reach this target, therefore, we
seek to work with suppliers committed to sustainable practices
the world over. Some of the standards with which the Sustainable
Sourcing pillar is aligned are: the Rainforest Alliance;
the Round Table on Responsible Soy Association (RTRS); the
Roundtable on Sustainable Palm Oil – RSPO; Bonsucro (sugar);
and the FSC.
Currently Unilever buys 3% of the world’s annual production
of palm oil, 1% of its soy, 12% of its black tea and 6% its
of tomatoes, an indication of the positive impacts the company
may promote by engaging its suppliers. The target for palm oil,
which accounts for 17% of Unilever’s agricultural input purchases
worldwide, is even more audacious: we intend to get all
of our palm oil from certified sources by 2015.
In Brazil, 100% of our palm oil is acquired from members
of the RSPO (Roundtable on Sustainable Palm Oil), an international
organization comprising producers, distributors and
other stakeholders interested in promoting the sustainable
use of this commodity. By acquiring RSPO certificates, Unilever
contributes to the bonus market and to the development
and dissemination of best practices in this sector.
Similarly, almost 100% of the paper and cardboard we use
comes from forests that are managed sustainably and are FSC
(Forest Stewardship Council) or PEFC (Programme for the Endorsement
of Forest Certification) certified. In 2012, Unilever
also joined the Global Traceability System (GTS), an auditable
programme enabling consultation of the volume of certified and
non-certified paper and cardboard materials supplied.
The procedures adopted with soy follows the same guidelines
as the inputs above. Certificates issued by the Round Table
on Responsible Soy Association (RTRS), account for 95% of the
soy oil and soy acquired by Unilever Brasil.
In 2012, we organized an encounter with five producers who
are important for the business of the Pouso Alegre (MG) plant,
where the AdeS soy beverage is produced, to engage them in
our target of sourcing 100% of our agricultural raw material
sustainably. These suppliers, who provide 35% of our current
annual soy needs, were shown our production and processing
areas and engaged in discussion of our plans.
In 2012, we became the first company in the world to acquire
sugar credits from Bonsucro, an association that has a certification
programme for the sugar-ethanol industry aimed at
promoting best social and environmental practice. During the
year, we supported the sustainable production of 3,200 tonnes
of sugar with the purchase of these credits. By 2016, 100% of
our sugar purchases will be certified by Bonsucro, with annual
targets of 15 thousand (2013), 30 thousand (2014) and 40 thousand
tonnes (2015).
Small and mid-sized suppliers
In Brazil, our efforts to integrate small and medium suppliers
into the chain are centred on the Integrare programme. Coordinated
by the homonymous NGO, the initiative involves more
than 110 large companies, including Unilever Brasil, interested
in engaging suppliers from socio-economic minorities in the
business chain.
A total of 53 Integrare companies are active in our supplier
base. Most of these provide products such as gifts, communications
materials and event organisation services. In 2012, the
volume of business with these companies reached BRL 5.56
million, a 29% increase over the previous year - surpassing the
GRI FP2, DMA SC Protecting natural resources, DMA SC Traceability
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target set for 2012 by 18%. During the year, 21 companies conducted
negotiations with Unilever, which has been a member of
the programme since 2007.
Co-makers
In determined categories, such as domestic cleaning and
foods, some of our products are partially manufactured by suppliers.
These partners, called co-makers, usually have factories
installed close to Unilever Brasil plants and supply some of the
materials for our brands, lines and products.
There are currently 15 companies working in this format,
representing around 3% of the chain. These partnerships work
in two ways: in the first, Unilever buys the finished product from
the supplier and only packages and commercialises it. In the
second, Unilever provides the inputs the suppliers will use to
produce and package the end product.
To ensure quality control in line with Unilever standards,
there is a team responsible for managing these partners
through periodic factory visits to check compliance with company
practices.
All the co-maker plants are subject to audits by our Quality
and Safety, Health and Environment (SHE) teams. The results
and indicators are analysed in periodic meetings, in which action
and improvement plans are established (all co-makers have
plans of this nature) focused on qualification, maintenance of
quality standards, cost improvement and business opportunities.
GRI FP1
The Foods categories has eight such suppliers, Personal
Care, three, and Hygiene, five. One partner supplies both the
Hygiene and Personal Care divisions. In 2012, all the co-makers
were audited and were either approved or are awaiting the audit
results. None of the third-parties failed the audit.
Our transactions with small and
mid-sized businesses through the
Integrare Programe in 2012 were
worth BRL 5.56 million - 29% up
on the previous year.
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Processes such as
Responsible Sourcing
enable us to map, monitor
and control social,
environmental and labour
performance at suppliers
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unilever brazil Sustainability Report 2012
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Responsible sourcing
Calculated risks
Global programmes implemented in Brazil monitor
and evaluate the socio-environmental performance
of the company’s most critical suppliers
Unilever Brasil requires that all its suppliers be compliant with
national and international standards, Brazilian legislation and our
socio-environmental and business policies. All purchase orders
also require that the contractor accept the terms of the company’s
Code of Conduct and Principles. The document addresses human
rights throughout Unilever’s and business partners’ operations
(read more in Corporate Governance). In 2012, there was just one
investment operation which was also subject to this process. We
investigate breaches of the Code and, if necessary, terminate supply
contracts in the event of non-compliance.
In addition to the code, the company’s purchase order process
involves a standard contract which contains clauses related
to human rights, slave and child labour.
Company procedures to assure responsibility throughout
our supply chain comprehend management and monitoring of
commercial partners in accordance with their size, location and
segment of activity. In 2012, we continued to implant the Unilever
Supplier Qualification System (USQS) in Brazil. This is a
platform designed to manage all production item suppliers and
some non-production item and logistics providers.
The USQS unifies the registration of our suppliers and helps
the procurement area to better understand the potential risks
involved in buying determined inputs and materials in different
regions, as well as driving improved standards and accelerating
the qualification of partners. All Unilever Brasil production item
suppliers should be registered in the USQS system; however,
not all had finalized the process by the end of 2012. There are
three stages in the process (registration, assessment and audit),
each of which should be undertaken in accordance with the
degree of criticality identified in the supplier.
The Responsible Sourcing programme is also a global process
aimed at all partners in the production item chain. It constitutes a
sub-process of the USQS and has been in operation in Brazil since
2011. This programme enables the company to map, monitor and
control determined information on some 600 suppliers, with a primary
focus on social, environmental and labour questions.
The classification attributes varying levels of risk to suppliers,
with the higher levels being subject to mandatory audits.
The programme was initiated in 2011. In 2012, 202 Unilever
Brasil suppliers were classified as high risk and 72 as medium
risk. Our target was to have 100% of suppliers approved by the
end of 2012; however, it was necessary to extend the deadline to
March 2013. At the end of the year, 80% of the companies supplying
Unilever had either been approved in the Responsible
Sourcing programme or did not require approval.
Within the Responsible Sourcing sub-process, high and medium
risk suppliers must also register in the Sedex (Supplier
Ethical Data Exchange) system, with high risk companies subject
to audit procedures. Developed by AIM (European Brands
Association), Sedex assesses partners’ compliance in relation
to sustainability-related questions such as labour relations,
business integrity, safety, health and environmental management.
For the time being, the assessment is not applied to suppliers
of non-production items.
Currently we do not exclude suppliers for substandard performance
in the Sedex system, since the main purpose of this process
is to identify critical points and elaborate action plans jointly
with partners to remediate them. Even so, all production item
suppliers must be approved in the system. Those not approved in
the first assessment may receive special authorization to supply
the company for a determined period, until they have made the
necessary adjustments and undergo reassessment.
GRI HR1, HR2, HR6, HR7, EC6, DMA HR Investment and procurement practices, Child labor, Forced and compulsory labor
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Quality assurance
In addition to the social and environmental factors assessed
in the Responsible Sourcing programme, Unilever Brasil subjects
suppliers to quality assurance under the Supplier Quality
Assurance or SQA system. Another USQS sub-process, the SQA
is designed to analyse production inputs in accordance with
international protocols and production standards. This enables
the company to guarantee the quality of the inputs it acquires.
Products offering medium to high risk of microbiological
contamination, in particular in the foods category, are also subject
to external audit by a specialized consultancy to assure the
quality of the supplier’s manufacturing process.
All production items in the supply chain are submitted to the
SQA. Suppliers of inputs classified as medium risk, accounting
for 38% of the total, are audited every two years, whereas
the 14% providing highly critical materials undergo this process
every year. Around 77% of the companies supplying Brazil have
either been approved in the SQA or do not require approval.
in Brazil, covering human rights, the environment and labour
practices, such as child, forced or slave labour, freedom of association,
remuneration practices and human rights training
for employees.
The questionnaire was based on documents such as our
Code of Business Principles, international labour and human
rights standards and Global Reporting Initiative (GRI) guidelines,
which orient our reporting and sustainability management
processes. A total of 282 suppliers responded to the questionnaire,
including 135 suppliers of non-production items.
In 2012, no cases of breaches of human rights were received
via this channel.
Human rights monitoring
Unilever Brasil has a special channel for receiving reports on
breaches of human rights among its suppliers. A more detailed mapping
of suppliers with respect to human rights was initiated in 2012.
The first stage in this process was the preparation of a
questionnaire sent to all the company’s 6 thousand suppliers
GRI HR2, DMA HR Non-discrimination
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Supplier engagement
Sharing best practices
Programme encourages the sharing of ideas and knowhow
with suppliers to provide solutions in joint operations
Supplier participation in measures to reduce socio-environmental
impacts throughout the chain and product life cycle is an essential
element for the success of the Unilever Sustainable Living Plan. We
have had an engagement programme since 2009, which has been
reinforced over the last two years, driving the development of joint
efficiency and socio-environmental responsibility solutions.
Another key activity for suppliers is the annual Engagement
Wave. This is a series of encounters with the company’s most
relevant suppliers, both in terms of the quality of the services
provided and their strategic importance for Unilever Brasil.
During the meetings, Unilever presents its targets for 2020
based on the Sustainable Living Plan, and participants are invited
to actively collaborate with these commitments, generating
efficient business solutions and best sustainability practices
both for themselves and for Unilever.
In the first engagement stage in 2010, we brought together
60 production item suppliers who generated 45 ideas for sustainability-related
operational improvements.
In 2011, engagement evolved in two aspects: participation in
Unilever’s global Partner to Win programme; and the inclusion
of two more supplier categories – production items and logistics
– in the programme. A total of 35 partners helped develop
35 projects – one of which was implemented in 2011 and three
in 2012. We also consulted 13 representatives from eight suppliers
during the preparation of our Materiality Matrix, which
highlights critical management themes for the company from
the standpoint of stakeholders (read more in Reporting Process).
In 2012, we organized a workshop with 64 suppliers to encourage
and offer them advice on the communication of social
and environmental performance based on the Global Reporting
Initiative (GRI) guidelines used by Unilever Brasil in its reporting
process. Regardless of whether the supplier publishes a
sustainability report or not, Unilever believes that the indicators
proposed by the GRI are a useful tool in promoting good governance,
ensuring control of the supply chain and enhancing a
company’s reputation and image.
Another important measure during the year was a workshop
focused on engaging this group, in which we presented our Sustainable
Living Plan, targets, commitments and actions. This event
involved 35 suppliers. We presented our experiences and management
gains from the more systematic monitoring of socio-environmental
indicators in the company. On the occasion, the Secretary
of Institutional Relations and Environmental Citizenship from the
Ministry of the Environment, Samyra Crespo, spoke about the attributions
of her department, the Rio+20 Conference and the government’s
Sustainable Production and Consumption Plan (PPCS in
the Portuguese acronym), leading a number of the representatives
present to identify partnership opportunities.
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unilever brazil Sustainability Report 2012
PEOPLE
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Employee profile
Health and safety
Our benefits
Employee engagement
Developing people
Feel Good Programme
Diversity
Labour relations
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unilever brazil Sustainability Report 2012
PEOPLE
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Key asset
People management at Unilever Brasil is
focused on ensuring employee development
and satisfaction, retaining talent and promoting
diversity, occupational health and safety
At Unilever Brasil, multiple factors are involved in people management.
Company actions are focused on ensuring employee satisfaction,
improving the organizational climate, retaining and developing
talent and leaders, qualifying people and promoting diversity, occupational
health and safety throughout our operations.
Our approach is aligned with the company’s global directives
and reflects our commitment to business and sustainability targets.
Currently, our main focus is on attracting and retaining the
best professionals in Brazil, a challenge we face in common with
many other companies.
To develop improvement plans, we favour internal communication
and dialogue with employees using tools such as an organizational climate
assessment, the Global People Survey, or GPS. We promote internal
recruitment and have created a performance culture based on the
periodic analysis and review of targets between employees and leaders.
These measures are employed throughout the company, from
the plants to the offices, distribution centres and points of sale.
A major objective is to reduce employee turnover, particularly in
leadership positions.
Another important initiative is the Trainee programme,
which, in addition to grooming future company leaders,
encourages the development of projects focused on sustainability,
engaging trainees in the company’s approach to this
theme (read more in Development). Currently more than 20%
of Unilever Brasil’s senior managers are ex-trainees. This is a
reaffirmation of our belief in long-term career building in the
company, filling leadership roles by promoting from within.
Periodically, we conduct market surveys to ensure Unilever’s
salaries are competitive. With a view to retaining talents,
we also offer variable remuneration, worthy of note being the
company’s profit share programme (PPR).
In 2012, there was considerable progress in programmes
such as Feel Good, in particular in the Feel Free pillar, with
the implementation of flexible working hours – a programme
that entitles more than 1,300 employees (over 9% of our
labour force) to work from home or adopt flexible working
hours. In 2012, 88% of the eligible employees took advantage
of this system. This project enabled the company to reduce its
operational structure, with the deactivation of one of our offices
in São Paulo and the concentration of employees in the
JK1 building.
In Brazil, we also launched a new platform for the Personal
Development Plan (PDP), a 360° appraisal system for company
leaders. In internal communication, progress was made in the
use of teleconferencing facilities, reducing business travel and
enabling greater interaction between teams all over Brazil.
In the area of health and safety, we advanced in our accident
reduction targets. The Total Recordable Frequency Rate
for accidents, the measure we use to set targets and record
information, was around 0.65 in 2012, below the 1.14 target
established for the year. Particularly noteworthy were the
plants, with Garanhuns, Ipojuca and Vinhedo recording no accidents
– except for incidents only requiring first aid.
Our Vinhedo plant gained global recognition within Unilever
as a reference in safety (read more in Health and Safety). We
have a global target of reducing accident frequency by up to
50% against the base year 2008.
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Reducing staff turnover continues to be Unilever Brasil’s
main challenge. In 2012, as happens every year, we identified the
company’s key professionals and continue to invest in retaining
these talents. The leadership positions considered to be critical
for business strategy are mapped and reviewed as deemed
necessary. At 1.6%, our significant loss rate (employees with the
potential to occupy higher positions), which is monitored to guide
internal promotion policy, was below the target of 2%, and lower
than in 2011.
Climate Survey
One of the main tools guiding policy in this area is the Global
People Survey (GPS), which measures organizational climate.
Every two years, all employees at the company’s plants, offices,
distribution centres and points of sale are consulted with a view
to identifying critical questions and advances from the standpoint
of the work force. We also apply the GPS Pulse, aimed at
management level and above. This provides ongoing monitoring
of key aspects of the biennial survey and is conducted on alternate
years to the GPS, the last one being in 2011.
The GPS was applied in 2012, showing an engagement rate of
77% with the participation of 87% of the company’s employees.
For the first time, the theme of sustainability was made explicit
to the entire company – in 2010, the term used was Corporate
Social Responsibility.
The survey findings showed that 79% of company employees
agree with sustainability-related questions, declaring their satisfaction
with the inclusion of this theme throughout the business
and their perception that sustainability can contribute to
the fulfilment of business objectives. According to employees,
the company provides incentives for the adoption of environmentally
correct work practices, such as measures to save energy
and sort solid waste for recycling.
The survey showed that employees believe that Unilever does
good work in the communities in which it is present. The GPS
once again indicated areas for improvement that will orientate
company management and strategy, providing continuity for the
2011 GPS Pulse survey, which is applied among leaders.
In 2012, our accident frequency
rate was 0.65, below the 1.14
target. We recorded zero
accidents in three company plants.
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Employee profile
Nationwide presence
Our teams are spread over Brazil, in plants, offices,
distribution centres and commercial operations
We have enhanced management
of the third-party employees
working in areas such as the call
centre, cleaning, security and
transportation. In 2012, there were
3 thousand partners engaged in
our operations.
In 2012, headcount remained stable compared with the previous
year, with around 13,200 employees. Our teams are distributed
throughout the country, in factories, distribution centres,
research centres, offices or engaged in sales and the provision
of technical assistance. The bulk of our employees are located in
the southeast region, where our head offices are also situated.
All our employees are contracted on a full-time basis, with
priority given to Brazil’s CLT labour regime in all operations. We
do not use freelance workers, except for specific services such
as consultancy.
During the year, progress was made in mapping and analysing
third-party and contract workers, in particular those engaged in
activities such as cleaning, security, call centres, product distribution
and transporting employees. The company mapped its
main contracts and, whenever possible, seeks to extend company
policy and procedures to these partners. Service contracts,
for example, require compliance with a number of company management
policies and the Unilever Code of Business Principles
(read more in Corporate Governance and in Supplier Management).
Unilever Brasil has a specific policy for contracting third-parties,
which is administered by each company area. In 2012, there
was a significant decrease in the volume of third-party workers,
with a total of 2,500 partners working on our premises at the end
of the year.
In 2012, there were reductions in some functional areas compared
with the previous year. This was mainly the result of operational
reorganization at the end of the production lines in the
Goiânia and Pouso Alegre plants, as well as the rescaling of operations
at Indaiatuba and Valinhos.
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Team profile
Number of employees
by functional level
Number of employees by type of
contract
2010 2011 2012
Total Men Women Men Women
Director level 122 75 48 72 49
Management 503 276 245 277 255
Administration 4761 4948 1912 4915 2003
Production 6407 4444 1266 3999 1179
Apprentices 83 41 28 109 35
Trainees 57 31 29 29 36
Interns 131 124 172 119 196
Total by gender - 9939 3700 9520 3753
Total 12064 13639 13273
Third-parties - 4713 3000
Total (including third-parties) - 18352 16273
2010 2011
Men
2012
Women
Fixed term 527 615 460 346
Permanent 11537 13024 9060 3407
Total by gender - - 9520 3753
Total 12064 13639 13273
Number of employees by type of
employment
2010 2011
Men
2012
Women
Full-time 12064 13639 9520 3753
Part-time 0 0 0 0
Total by gender - - 9520 3753
Total 12064 13639 13273
Number of employees by region 2010 2011
Men
2012
Women
South region 298 707 574 144
Southeast region 7363 8525 5966 2521
Centre-West and North regions* 2230 1705 1046 377
Northeast region 2173 2702 1934 711
Total by gender - - 9520 3753
Total 12064 13639 13273
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Turnover
With respect to employee turnover, the main challenge for the
company is to reduce the number of people discharged per year
and boost talent retention policies, in particular for leadership
positions. In 2012, 2,800 employees were discharged, compared
with over 3,500 in 2011. In general terms, our operations are not
affected significantly by seasonal factors. Only the ice cream operation
at the Jaboatão plant has a variation in staff during the
summer, when from 100 to 150 people are admitted to increase
production in function of higher demand.
Employee Turnover at Unilever Brasil
Employees discharged, by
gender.
2010 2011 2012
Men Women Men Women Men Women
Total by gender 1751 664 2602 909 2038 792
Total 2415 3511 2830
Total number of employees admitted and discharged in the same reporting
period, by gender.
Men
2012
Women
Total by gender 216 91
Total 307
Number of employees discharged and admitted, by gender (2012)
Total discharged Discharge rate Total admitted Admission rate
Men 2038 15% 1686 13%
Women 792 6% 894 7%
Total 2830 21% 2580 19%
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Total number of employees discharged,
by age group.
2010 2011 2012
Below 30 years. 1317 1675 1479
Between 30 and 50 years 1037 1671 1253
Above 50 years. 61 165 98
Total 2415 3511 2830
Total number of employees admitted and discharged in the same
reporting period, by age group.
2012
Below 30 years. 211
Between 30 and 50 years 95
Above 50 years. 1
Total 307
(1) the number of admissions was monitored using different age groups (up to 25; 25 to 35; 35 to 50; above 50). An
estimate was made dividing the «25 to 35» category equally between the previous (up to 25) and next (35 to 50)
categories and readjusting them.
Number and rate of discharges and admissions, by age group (2012)
Total
discharged
Discharge rate
Total
admitted1
Admission
rate
Below 30 years. 1479 11% 1.697 13%
Between 30 and 50 years 1253 9% 873 7%
Above 50 years. 98 1% 11 0%
Total 2830 21% 2580 19%
(1)the number of admissions was monitored using different age groups (up to 25; 25 to 35; 35 to 50; above 50).
An estimate was made dividing the «25 to 35» category equally between the previous (up to 25) and next (35 to
50) categories and readjusting them.
Total number of workers
discharged, by region
2010 2011 2012
South region 34 97 166
Southeast region 1450 1703 1518
Centre-West and North regions2 728 1133 459
North region 203 578 687
Total 2415 3511 2830
(2) Due to the reduced number of workers in the North region, it was consolidated with the Centre-west region for
staff turnover data.
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Number and rate of discharges and admissions, by region (2012)
Total
discharged
Discharge
rate
Total
admitted
Admission
rate
South region 166 1% 181 1%
Southeast region 1518 11% 1533 12%
Centre-west and
North region2
459 3% 209 2%
North region 687 5% 657 5%
Total 2830 21% 2580 19%
To reduce employee turnover rates, we have invested in
attracting and retaining talent in diverse company areas.
As a result, the number of employees discharged in 2012
was lower than the previous year.
Number of discharges of new admissions, by region. 2012
South region 19
Southeast region 188
Centre-west and North region² 34
North region 66
Total 307
(2) Due to the reduced number of workers in the North region, it was consolidated with the Centre-west region for
staff turnover data.
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We conduct market surveys
to ensure salaries at Unilever
are competitive. We also use
variable remuneration, such as
the Profit Share Programme, as
a tool to retain talent.
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Occupational Health and Safety
Minimizing risks
Accident prevention and risk management
underscore the importance of a health
and safety culture in the work place
The areas responsible for managing Health and Occupational Safety
in our operations are Health and SHE (Safety, Health, Environment).
These themes are discussed every two months by the Central
SHE Committee , led by the company president, with leaders
from the Sales, Human Resources, Legal and other areas. The
committee is charged with developing strategies and initiatives
related to employee health and safety and ensuring they are implemented
and communicated to the operations.
Activities are divided between manufacturing, covering all the
plants, and non-manufacturing, which includes the distribution
centres, offices, Sales, Merchandising and Research and Development.
This work is aligned with Unilever global guidelines,
which promote continuous improvement of the management
system and a programme based on safe behaviour to ensure the
physical integrity of employees and service providers.
The management system, called the Framework Standards
(FWS), is based on international standards and directives, such
as ISO 14001 and OHSAS 18001. Divided into 17 topics, the FWS
orients management practice related to safety and the environment
in our activities. This methodology enables us to improve
structural conditions, identify environmental factors and impacts,
occupational risks, as well as applicable legislation, and
draft guidelines aimed at ensuring that all employees are prepared
to minimize risks and prevent accidents.
With a focus on changing employee behaviour and promoting
a safety culture in the work place, we implemented the BeSafE
(Behaviour Safety Excellence) programme, derived from its predecessor
BBS (Behaviour Based Safety), which was developed in
partnership with Dupont and was in place in seven plants and the
sales and merchandising operations.
With support from a specialised consultancy, we prepared a
strategy applicable both to manufacturing and non-manufacturing
operations aimed at changing the habits of our employees.
BeSafE will be implanted at every stage of each operation
over the next two years. The core principle of the programme
is the engagement of senior management in the question of
safety, driving a change in culture which extends beyond the
factory premises.
In recent years, we have achieved important progress in occupational
health and safety and are on track to fulfil our target of a
50% reduction in workplace accidents by 2020, against the base
year of 2008. We ended 2012 with a Total Recordable Frequency
Rate (TRFR) for accidents with injuries of 0.65 in the country –
below our target of 1.14. Three of the company’s plants in Brazil
(Garanhuns, Ipojuca and Vinhedo) had zero accidents, excluding
incidents requiring only first aid. Pouso Alegre had its lowest rate
since monitoring of the indicator was begun in 2002, with a 77%
reduction compared with 2010. Goiânia also performed well, with
a 61% reduction in its TRFR – from 1.59 in 2011 to 0.63 in 2012.
Among the units recording no accidents, Vinhedo, in São Paulo
state, received important recognition in 2012 for its safety record and
campaigns. The unit was the winner of the global Unilever Safety
Awards, presented during the Global Compass Awards ceremony.
Competing with Unilever plants worldwide, Vinhedo beat the other
finalists, from India and Poland, with its program to build a safety
culture among employees, resulting in zero accidents (excepting incidents
requiring first aid) over a period of more than two years.
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One of the initiatives it adopted was the Guardian Angels programme
aimed at eliminating critical behaviour that can lead to
accidents, which was replicated in other plants in Brazil and Latin
America. In 2012, it was implemented in the Goiânia plant, for
example, where 7,552 behavioural observations were made. The
director of the Vinhedo unit, Rodnei Moraes, received the award
from the global president, Paul Polman.
Non-manufacturing
Currently one of the main challenges in employee health
and safety for Unilever Brasil is in its non-manufacturing operations,
where we have the opportunity to work on safe behaviour
within a framework that will ensure employees are
prepared to minimize risks and prevent accidents.
This is especially important in locations where our influence
is restricted, such as the environments in which our merchandising
and sales teams work, which are not on Unilever
premises. In these operations, the establishment of the Be-
SafE programme is considered a priority.
In this respect, the most critical area is Merchandising.
Working in an environment not controlled by Unilever, these
teams are exposed to specific risks which depend on the conditions
on our customers’ and partners’ premises. To reduce
risks and reinforce guidance or preventive programmes, the
company implemented the Merchandising Committee in 2012.
This is responsible for identifying improvements and systematizing
safety behaviour to prevent accidents among these professionals.
During the year, the committee extended its sphere
of influence and involved other company areas, with preparations
to implement a series of tools to improve safety performance.
Even so, there was one fatality during the year, the result
of a work accident involving one of our sales promoters in the
North of the country. The promoter was working in the stock
area of a sales outlet when he fell off a ladder. As is standard
practice at Unilever, our Health team provided the employee’s
family with all the necessary assistance after the accident. In
parallel, a SHE team was created for the merchandising area
to identify specific safety improvements for these employees.
A number of advances have been achieved in health and
safety in locations such as distribution centres, research and
development centres and offices. No accidents were recorded
in these locations during the year, with the exception of incidents
requiring only first aid. This contributed to a 33% reduction
in accidents in our non-manufacturing operations in Brazil.
During the year, we also maintained our Safe Driving programme,
monitoring and providing company drivers with orientation
on reducing the risk of traffic accidents. This involves
training and orientation on safety items that are mandatory in
the Unilever fleet, such air bags and ABS brakes. In 2012, more
than 450 eligible employees underwent this training. We also
established the Safe Driving Committee, led by the vice president
of Sales, to oversee improvements. The committee acts
nationwide and includes a plant representative.
Occupational Health
In the Occupational Health area, the focus is on promoting
quality of life and preventing occupational illnesses. The company’s
Occupational Health area is responsible for implementing
an adequate work environment and making it comfortable and
healthy for our employees.
This work is undertaken in line with Unilever standards and includes
a risk management plan that also takes into account Brazilian
legal standards, with some structural adaptations to ensure that
we are not restricted only to legal requirements. At the plants, for
example, our system employs a tool that identifies risks to which homogenous
groups may be exposed, enabling the adoption of control
measures to ensure operational and workplace safety. This system
is revised annually, and as the controls are refined, the risk management
process becomes more critical and more detailed.
To reinforce the prevention of accidents and occupational illnesses,
we organize annual training sessions on occupational
risk, incorporating themes such as respiratory protection, auditory
health and ergonomics, among others. The focus on Health
Education is replicated in periodic training and refresher courses
for homogenous employee groups and during the induction
process for new employees. Specific proactive health themes are
also the object of corporate campaigns, such as World Health
Day and World No Tobacco Day, among others. Our challenge is
to cover all the employees exposed to specific risks.
At the plants, other campaigns are organised in accordance
with local needs, such as dengue prevention, tuberculosis, blood
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pressure, serious illnesses etc. Health tips are also disseminated
via our notice boards, the electronic newsletter BIS (which
circulates companywide) and internal TV, providing objective and
active communication of important subjects, such as epidemics,
healthy habits, coronary health, diabetes, Aids and smoking.
In the non-manufacturing area, the main risks employees are
exposed are related to ergonomics, in particular posture. Over
the last four years almost all employees have received training in
this and had their works stations assessed and adjusted. These
measures are in addition to already existing programmes such
as workplace exercises and orientation on posture.
In 2012, the planning for the period was carried out and health
controls maintained under the Occupational Health and Medical
Control Programme (PCMSO in the Portuguese acronym). We
also monitored occupational risk in line with the Environmental
Risk Prevention Programme (PPRA), as well as analysing medical
and dental assistance plans to identify deviations and ensure
more focused and assertive management.
Injury rate and work accidents
Unilever work accident
rates (data monitored
globally)
TRFR: Total Recordable
Frequency Rate1
2010 2011 2012
2,03 0,8 0,65
Lost time accidents (LTA) 11 16 15
Restricted work cases (RWC) 10 4 1
Medical treatment cases (MTC) 12 12 8
First aid cases (FAC) 140 101 84
Non-injury frequency rate (NIFR)² 0,67 0,41 0,31
Severity Rate³ 0,27 0,31 0,34
(1) calculation of Number of Injuries / per 1,000,000 man/hours worked*
(Does not include minor injuries requiring first aid)
(2) Index for traffic accidents involving employees, without injuries,
expressed in 1 million kilometres driven
(3) Calculation of days lost through general illness (not including injuries and
occupational illnesses) divided by the effective average number of employees.
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Days lost rate
Days lost rate
2010 2011 2012
8,00 5,59 8,55
Days lost rate - women NA NA 8,41
Days lost rate - men NA NA 7,12
Injury rate by gender
Injury rate
2010 2011 2012
2,21 1,35 1,21
Injury rate for women NA NA 1,45
Injury rate for men NA NA 1,12
Number of injuries / Total man/hours worked *200.000
Days lost rate, by operating
unit and gender
Overall Women Men
Garanhuns 7,96 0,00 9,44
Goiânia 30,47 36,53 27,50
Igarassu 0,24 0,00 0,27
Indaiatuba 58,08 0,00 65,21
Recife 2,96 0,00 4,58
Pouso Alegre 5,87 8,33 5,06
Suape 0,00 0,00 0,00
Valinhos 4,72 6,05 4,01
Vinhedo 0,00 0,00 0,00
NM 5,33 9,56 0,84
TDP = Total days lost / Total man/hours worked *200.000
Injury rate by operational unit
Injury rate, by operational unit
and gender
Overall Women Men
Garanhuns 2,34 0,00 2,78
Goiânia 1,68 1,57 1,73
Igarassu 3,77 5,41 3,52
Indaiatuba 1,09 0,00 1,22
Recife 0,93 1,10 0,84
Pouso Alegre 2,61 2,63 2,60
Suape 1,69 1,06 1,98
Valinhos 1,27 1,41 1,19
Vinhedo 1,42 2,79 0,95
NM 0,85 1,29 0,67
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Absenteeism Rate
Absenteeism
Rate*
Absenteeism rate -
Women
Absenteeism rate -
Men
2010 2011 2012
1.662 1.908
1.834
NA NA 932
NA NA 387
Number of days lost due to injuries, occupational illnesses and other
illnesses / Total man/hours worked*200.000
* takes into account days lost through injury, occupational illnesses and
other illnesses.
Absenteeism
rate, by unit
and gender
Overall Women Men
Garanhuns 2898 NA NA
Goiânia 5866 5965 5818
Igarassu 701 NA NA
Indaiatuba 2453 NA NA
Recife 2877 5291 1554
Pouso Alegre 3418 NA NA
Suape 3190 NA NA
Valinhos 1874 NA NA
Vinhedo 2535 NA NA
NM 922 76 7
injuries among third-parties
Number of injuries among
third-parties
Number of injuries among thirdparties
- women
Number of injuries among thirdparties
- men
2010 2011 2012
NA 36 362
NA NA 241
NA NA 94
*takes into account work accidents and accidents on way to/from work
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Number of injuries among
third-parties, by operational
unit and gender
Overall Women Men
Garanhuns 1 NA NA
Goiânia 10 1 9
Igarassu 6 1 5
Indaiatuba 2 0 2
Recife 13 0 13
Pouso Alegre 10 5 5
Suape 7 1 6
Valinhos 7 3 4
Vinhedo NA NA NA
NM 306 230 50
Days lost, third-parties
2010 2011 2012
NA 312 90
Total days lost among thirdparties,
by operational
unit and gender
Overall Women Men
Garanhuns 15 NA NA
Goiânia 0 0 0
Igarassu 3 3 0
Indaiatuba 0 0 0
Recife 29 0 29
Pouso Alegre NA NA NA
Suape 15 NA NA
Valinhos 9 2 7
Vinhedo 0 NA NA
NM 19 14 5
Number of injuries among third-parties - women NA NA 19
Number of injuries among third-parties - men NA NA 41
*takes into account days lost through work accidents and accidents on way to/from work
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In addition to training,
we promote educational
and preventive measures
and health and safety
services. These involve
specific initiatives
extensive to employees’
immediate families
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Support for employees
Through the Crescer programme, in place in a number
of manufacturing and non-manufacturing operations,
we provide employees with financial, psychological,
legal and social orientation.
In addition to training, we promote educational and preventive
measures and health and safety attendance for our employees.
Some activities, in particular those focused on disease prevention
and treatment, are extensive to employees’ immediate families,
but not to the communities under Unilever’s sphere of influence.
These actions consist of specific initiatives in areas such as smoking,
prevention of cardiovascular disease, preventive health, risk behaviours
and oral health. Orientation is provided via the Health Portal
on the company intranet and our newly-launched Unilever Health
Institute (http://www.unileverhealthinstitute.com.br).
One of the main initiatives is the Crescer (Grow) Programme,
which provides financial, legal, psychological and social assistance
for employees and their dependents. The programme is
offered in three plants and three offices, the distribution centres,
as well as to the Sales teams. Most of the assistance provided is
related to health, an area in which employees also have access
to a consultancy comprising doctors, nurses and technicians.
Management of company medical and dental assistance plans
comes under the Benefits area, the aim being to improve quality
of life and monitor the use of the plans and the most common
illnesses and risks among employees and dependents.
With respect to third-parties, in 2012 we promoted a Drivers’
Encounter in the cities of Contagem (Minas Gerais) and Pinhais
(Paraná). This engaged 209 lorry drivers in the discussion of Unilever
working procedures and questions related to health and
quality of life. During the four days of the event (two in each location),
the drivers underwent medical examinations which included
cardiovascular risk, blood pressure, glycaemia, weight,
BMC, among others. Participants also received a booklet with
information and advice on daily activities, such as traffic safety,
customer service, vehicle inspections and tips for a healthy and
balanced life style.
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Development
Closer focus on the work force
Appraisal and training processes focus on
each area’s needs and reinforce the company’s
commitment to employee development
To ensure our teams are integrated with the company’s culture
and participate in its growth, Unilever Brasil employs management
mechanisms that range from the admission process to
employee appraisal and development programmes.
Given the geographical dispersion and the differences
between our manufacturing and non-manufacturing operations,
employee recruitment at Unilever Brasil is coordinated
by the Human Resources area and conducted by specialized
consultancies.
In accordance with the region and the qualifications required
for each position, we prioritise labour from the surrounding
community and the admission of local residents whenever possible.
However, a major management directive is to contract
from within the company – giving preference to existing employees
in filling internal vacancies and investing in the construction
of long-lasting, successful careers within the organisation.
Depending on the type of operation – plants, regional sales
offices, distribution centres, offices –, the proportion of local
employees may reach up to 80% of the work force. The remaining
positions are leadership roles – at director, coordinator or
manager level – where employees are subject to our relocation
or promotion policies in alignment with their career plans.
In a number of cases, local hiring accounts for 95% of the
headcount at a unit. The percentage reported corresponds to
Unilever in Brazil.
The organisation’s global reach, on the other hand, favours
employee interchanges with other group companies. We ended
2012 with 66 Brazilians working in other Unilever subsidiaries
around the world; in Brazil, there were 28 foreign employees
occupying leadership positions.
With respect to employee development, we believe that our
appraisal processes, combined with training and development
focused on the needs of each area or operation, are important
in understanding the improvements our managers and teams
should address. The company is committed to ensuring that
employees’ growth exceeds that of the business.
Members
of local
community (2012)
Employees
Senior
management *
Vinhedo 98% 54%
Valinhos 64% 50%
Goiânia 79% 38%
Garanhuns 99% 0%
Indaiatuba 98% 30%
Pouso Alegre 94% 0%
Igarassu 40% 0%
Suape 36% 20%
Overall average 76% 24%
* “Senior management” refers to the positions of Area Manager, Factory
Manager and Regional Sales Manager.
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Our main appraisal tool is the Performance Development Plan
or PDP, which has been in place for more than seven years. This
is used to assess all employees and prepare a development plan
for them with support from their immediate superior, establishing
targets and objectives linked with their career development.
Interns and third-parties are subject to other performance analysis
processes.
For determined groups, we elaborate specific models based
on the PDP. Administrative, management and director level positions
use a system called Talent Online Plus for appraisals. In the
case of sales promoters, due to their geographical dispersion,
we use plans that reproduce this tool. At the plants, we apply
PDP-F, which was extended to more units in 2012.
We also support employees with training courses elaborated to
develop general and specific skills for different work posts in the
company. Some modules, such as those addressing human rights
and sustainability, are applicable to all employees at management
level or above. All new employees also undergo specific training
focused on the Sustainable Living Plan and company operations.
Furthermore, there are mandatory courses on quality and safety.
These programmes are extended to third-parties working in our
buildings and plants and last approximately one hour. In 2012, the
company provided a total of 425 thousand hours training, particularly
noteworthy being the number of hours training per employee
for the administrative teams and the trainees (see table).
To drive employee retention and development, we have a variable
remuneration policy which includes the employee profit share
plan (PPR) and bonuses for managers. Additionally, there are targets
for team satisfaction and sustainability deliverables which
impact leaders’ remuneration (read more in Corporate Governance).
Another focus in this policy is the retention of professionals
upon return from leave, in particular maternity leave. At Unilever
Brasil, maternity leave for employees is six months, two more
than the period stipulated by law. In 2012, 169 women took this
leave (including those who left in 2011 and returned the following
year) and only one did not return to work after the birth of her
child. Of the women who received this benefit during the year,
22 are no longer in the company (13%). The reasons for leaving
include performance, restructuring or resignation.
Hours of training /2012
Functional
category
total
hours
training
total
no. of
employees
hours per
employee
director 1.896,65 121 15,67
management 12.926,40 532 24,30
administrative 374.430,50 6918 54,12
operational 25.708,90 5178 4,97
apprentices 3.342,75 144 23,21
trainees 2.440,75 65 37,55
interns 4.573,55 315 14,52
total 425.319,50 13.273 32
The company also strives to reintegrate those returning from
maternity leave to keep them engaged in the company culture
and enable them to fully exercise their family and other nonwork
related activities. The turnover rate for these employees is
similar to the average for the company as a whole. As part of this
incentive we have a nursery for children aged 0 to 2 years at Unilever’s
head office (JK1), and we offer courses for mothers-to-be
and talks on subjects related to childhood and adolescence. In
our other units, employees are entitled to a crèche allowance.
With respect to paternity leave, we are in compliance with legislation,
which allows five days leave after the birth of a child. However,
there is no formal policy or accompaniment in these cases.
GRI LA10, LA11, LA12, LA15, DMA LA Training and education
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Future leaders
In place for more than 40 years, the Unilever Brasil Trainee
Programme is one of the company’s most important tools
for attracting and grooming talent for leadership positions.
Annually, we organize a selection process which receives an
average of 46 thousand applications. From these, young candidates
are selected to be integrated and trained for all areas of
the business.
Currently, around 21% of senior management positions are
occupied by ex-participants in the three-year programme. Similarly,
43% of the company’s manager and director level vacancies
during 2012 were filled internally, reflecting our strategy of
prioritizing long-term career building within the company.
The trainee programme is aimed at developing middle and
senior managers in the medium to long term. For this reason,
we seek to engage participants in our business and sustainability
strategies and targets to drive their commitment to our
plan to grow while reducing our environmental impact.
As part of the plan to develop management competencies,
one and a half years after entering the company, all trainees
take part in a Project Management training module, involving
initiatives to familiarise participants with Unilever project management
tools and techniques.
Since 2009, this module has been integrated with the Sustainable
Living Plan, which shapes the themes and priorities
for these projects. This enhances the company’s capability to
respond to indicators or questions requiring attention.
The Trainee programme enables future Unilever Brasil leaders to
access knowledge and develop sustainability-related efficiency measures.
Currently, 21% of senior management positions are occupied by ex-participants
in the programme.
Elaborated and approved by the Sustainability Committee,
which is also responsible for the final evaluation of each project,
the themes are related both to the manufacturing and non-manufacturing
areas. A core criterion is alignment with the most relevant
themes established in the Sustainable Living Plan and the
Unilever Brasil Materiality Matrix. We also prioritize initiatives
aimed at enhancing company management tools and addressing
a number of indicators monitored internally.
During two months, the trainees meet in groups to develop
projects that incorporate sustainability-related themes into business
strategy. At the end, the Sustainability Committee evaluates
each project, selecting those showing greater technical and
financial feasibility and defining an action plan to implant them
during the following year.
For example, one of the proposals presented in 2011 led to a
pilot project to assess the impacts that the installation of a Unilever
operation - either a plant, distribution centre or office - has
on the surrounding community. The tool evaluates the effects of
our business in the social, environmental and economic dimensions
of the community. Implantation was initiated in 2012, accompanying
work on the construction of a new distribution centre
in the city of Pouso Alegre (Minas Gerais).
In 2012, the Sustainability Committee evaluated five projects
developed by the trainees. The initiatives addressed Supplier
Monitoring, Education for Conscious Consumption, Sustainability
in Sales, Zero Landfill and Community Impacts. After evaluation
and some isolated adjustments, all the projects were selected
and implementation will be underway in 2013.
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In 2012, we brought the
Sustainable Living Plan
closer to our employees’
daily routines. We also
maintained a specific
training programme for all
new employees.
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Engagement
Integrated thinking
Training and communication between teams
reinforce the diffusion of the company’s strategic
directives, driving the creation of a single
culture focused on our targets and goals
Since 2008, with the strategic planning set forth in UB 2012,
we have been involved in the cultural transformation of our
business, with the objective of engaging diverse stakeholder
groups and developing a growth model that also enables the
reduction of social and environmental impacts. It is Unilever’s
understanding that the participation of all the factory,
office, logistics centre and regional sales teams in this process
is essential.
Since early 2011, in the wake of the Sustainable Living Plan, we
have focused on engaging employees and communicating our goals
to embed them in the business.
At the end of the first year results were positive: we had engaged
91.2% of our employees through both online and face-to-face tools
designed to reach the entire work force, including those working off
Unilever premises, such as the sales and merchandising teams. The
content was formatted in accordance with the employees’ area of
activity to ensure they would assimilate it and understand it in the
context of their own activity.
In 2012, we took this concept a step further and brought the Sustainable
Living Plan closer to the daily routines of our employees. We
also organized a training programme for new employees to ensure
they are aware of Unilever Brasil’s targets and goals from the outset.
One of the main challenges is driving employee awareness of Unilever
Brasil’s projects to reduce social and environmental impacts in
the context of the diverse functions they exercise in the company. The
Sustainability area organizes periodic meetings and presentations
with the different teams to engage them in these commitments.
These measures are allied with institutional actions. In our offices,
we implanted projects to reduce water and paper consumption,
as well as promoting selective waste collection. Also, whenever possible,
we included socio-environmental themes in leadership, team
and factory meetings in an effort to integrate them into the everyday
operations of the business.
In line with our global target of reducing printing volume, we
developed measures on a national scale to engage all Unilever
computer users in the impact reduction initiative. From 2011 to
2012, we conducted a campaign that in just three months resulted
in an average reduction of 10% in printing volume at Unilever
Brasil’s head office – corresponding to an economy of around 140
thousand pages per month.
Comparing September to December 2011 with the 4-month corresponding
period in 2012, we achieved a 23% reduction in total volume,
equivalent to printing 400 thousand pages less a month. Our
global target is to reduce paper consumption by 30% per capita in
our 21 main markets by 2015.
This measure was reinforced by a trainee project implemented in
2012 aimed at raising employee awareness, which led to a reduction
in the number of pages printed in different Unilever offices and units.
The project calculated the company’s spending on printing, the environmental
impact this generates and proposed small measures to
reduce costs with office supplies. It also indicated potential solutions
to reduce printing in specific areas, such as storing and transmitting
information electronically, for example, in expense reimbursement
requests for transportation providers and suppliers.
GRI 4.15, 4.16
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Communication channels
Unilever’s internal communication is structured to drive the
company’s sustainable growth aspirations through the active involvement
and participation of employees.
Relations between the company and its professionals are
supported by diverse communication channels aimed at creating
and reinforcing ties between employees and corporate strategy
and commitment to sustainable development.
Some important channels are described below:
BIS!: a weekly electronic newsletter for all employees having
a Unilever email address (around 6 thousand)
Inside.Unilever – the company intranet, which is updated daily.
Notice boards: notice boards in the offices, plants, regional
sales offices and distribution centres, updated weekly.
Encontro magazine: For the first time, the magazine reached
all employees, with delivery to the homes of sales promoters.
In March 2012, the launch of the electronic version
of Encontro enabled a 50% reduction in the volume of printed
magazines distributed in the plants and offices. Around
90% of the people working in these locations approved the
reduction in the number of print copies.
Corporate TV: Television channels in the administrative
offices, combining varied internal text and video content, as
well as external news.
Internal campaigns: dissemination of varied themes in
campaign format.
Corporate email: internal email for diverse communications,
through which employees may contact the communication area
to request information, clarify doubts and send suggestions.
Chat with the president: Two of these encounters were
organised in 2012. Participation was open to all employees,
with questions addressed directly to the president in real-time.
The questions and answers were also published in BIS.
President’s video: A quarterly broadcast by the president
presenting the company’s results to all Unilever Brasil employees.
These were previously communicated by email. The
president recorded five videos in 2012.
GRI 4.16
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Feel Good
Flexible working
In 2012, Unilever’s well-being programme
was focused on developing work regimes and
routines that enable greater flexibility and quality
of life without compromising performance
In place in the main Unilever operations in Brazil since 2004, the
Feel Good programme offers employees diverse leisure, wellness
and health-related activities aimed at promoting a healthy
and stimulating working environment.
Based on six pillars (see box), in the offices and plants we
have organised programmes ranging from sports to reading
and talks on quality of life and culture. In 2012, we filled 31%
of the places offered to employees, compared with 36% the
previous year.
Since 2011, we have focused on communicating and reinforcing
the Feel Free pillar of this programme, whose core
objective is to enable employees to improve quality of life and
develop more flexible work routines without jeopardising their
performance, based on the concept of Agile Work.
With flexible working hours and remote work for administrative
and management positions, we believe our staff can establish
their own schedule and do their work normally, resulting
in a better fit with their personal needs and obligations.
Throughout 2012, we stepped up the implantation of Feel Free,
in particular in our offices, and mapped a total of more than 900
employees eligible for flexible working hours and home office
schemes. More than 30% of managers and more senior employees
now participate in these programmes.
This policy was essential in enabling us to deactivate the JK2
office in São Paulo’s Vila Olímpia district. The 300 employees
from Unilever’s regional operations who worked in the building
were transferred to the JK1 office, which already housed
1,300 people. Layouts and meeting areas were also reorganized
to increase teleconference and videoconference facilities, thus
reducing the need for employees to travel.
With the conclusion of this measure in November 2012, we
have produced positive results in our environmental impact -
with lower energy consumption, for example-, reduced operating
costs and greater quality of life of our employees.
This is reflected in the results of the GPS survey, according to
which 78% of the company’s employees in Brazil agree that they
are able to achieve a balance between work and their private life.
A survey of Feel Free participants conducted at the end of 2012
showed that 81% adopted flexible working practices more frequently
during the year and that 88% of the eligible employees
take advantage of one modality of flexible working (home office
or flexitime).
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Feel Good Pillars
Feel Free – Offers employees flexible work alternatives enabling
them to balance their professional and private lives.
It is linked with the implementation of the Home Office and
Flexible Working Hours programmes.
Feel Fresh – This encourages employees to engage in physical
activities and stay fit, with running and walking, yoga,
Pilates, shiatsu, dance classes and nutritional guidance.
Most of these activities take place on Unilever premises, but
we also sponsor activities outside the company.
Feel Fun – Activities such as choir singing, corporal expression
to stimulate creativity and make employees think,
laugh and have fun in the work place.
Feel Easy – Designed to make life easier for employees by providing
services through partnerships with commercial establishments
and an exclusive Unilever store with special prices.
Feel Good Kids – This activity provides support for employees
who have children, with facilities such as a nursery for
children up to two years of age at the Unilever head office,
courses for mothers-to-be and talks about children and
teenagers by specialists. Every year we promote Unilever
Kids, an event in which children visit their parents’ work
place.
Feel Alive – A series of reading activities and talks aimed at
promoting self-knowledge.
A priority in 2012, the Feel Free
pillar extended flexitime and
remote working policies for
employees. By the end of the year,
more than 30% of those eligible
had adopted these schemes.
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Our benefits
Complete package
The benefits policy strengthens Unilever’s
ties with it employees and helps build
robust careers in the company
To attract and retain the best professionals in the market, we offer
our direct employees a structured benefit policy that includes
medical, financial and professional support, in addition to diverse
types of allowances, leaves, meal and transportation subsidies.
In an increasingly competitive labour market, Unilever Brasil
has prioritised the construction of solid careers within the company.
We promote the development of employees in their field of
activity and offer programmes for them to plan their retirement.
Currently our benefits are extended to all employees, with the
exception of the medical check-up, which is restricted to leaders,
and the share acquisition plan, which is for directors, vicepresidents
and the president. The third-parties working in Unilever
Brasil operations are subject to their employers’ benefit
policies, while interns have specific contract terms. We do not
employ part-time or temporary workers.
To help employees plan their retirement, since 2009 we have
had the Vital&Idade – Retirement Planning Programme, open to
employees aged 53 or over. In 2012, approximately BRL 63.000
was invested in the programme, directly benefiting 37 employees,
a similar number to last year. Vital&Idade offers employees
the support of a consultancy which organizes workshops, talks
and other activities; no financial assistance is involved.
Benefits
Benefit
Parking
Crèche allowance or crèche
Meal vouchers or Canteen
Company bus
Personal accident and life insurance
Share acquisition plan
Meal vouchers
Medical check-up
Dental assistance
Life insurance for international travel
Retirement medical assistance plan
Subsidised drugstore purchases
Preventive medicine programmes
Annual examination
Allowance for disabled children
Funeral allowance
Recognition for length of service
after 15 and 25 years
Christmas toy hamper
Distribution
Some locations
Some locations
All
Some locations
Interns
Directors, vice
presidents,
president
Goiânia unit
Managers
All
All
All
All
All
All
All
All
All
All
continuation
GRI LA3, LA11
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Purchase of company products
Assistance in purchase of
school material
Transportation allowance
Life insurance
Health plan
Incapacity /invalidity coverage
Maternity/paternity leave
Retirement fund
All
All
All
All
All
All
All
All
Pension plan
UnileverPrev is a private, not-for-profit pension benefit plan
providing employees with a pension to complement the state
pension scheme and a retiree medical assistance programme.
The UnileverPrev Complementary Pension Plan is a variable
contribution plan depending on salary band, providing a normal
retirement benefit (60 years of age and three years participation
in plan) and an early retirement benefit (between 55 and 59 years
and 11 months of age and 3 years participation in the plan), in addition
to a minimum benefit, a sickness allowance, a widow(er)’s
pension, as well as fulfilling the mandatory legal requirements
(self-sponsorship, deferment, withdrawal and portability).
In addition to offering the private pension plan, Unilever
makes a matching contribution of 100% of the amount paid in by
the employee, the maximum amount being determined by the
employee’s basic salary. In November 2012, the fund had a reserve
of BRL 2 billion. The fund is aligned with the Unilever Code
of Business Principles and its managers are oriented to prioritise
investments in companies that incorporate social and environmental
values, as well as high standards of corporate governance
and transparency in their operations.
Our benefits policy is an important
tool for retaining talent and
ensuring employee satisfaction.
GRI EC3
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Diversity
The importance of inclusion
The overriding objective is to develop an
environment open to multiple influences,
reflecting all the diversity of Brazilian society
Diversity is a critical question in people management for Unilever
Brasil. Our main objective is to develop a diverse internal environment,
mirroring the complexity of Brazilian society in our operations.
Since 2010, we have had a Diversity Committee with leaders
responsible for promoting inclusion at different levels and in
different areas of the company, with a primary focus on: gender,
social inclusion, inclusion of the disabled and leadership styles.
In 2011, we initiated a project to map diversity at Unilever Brasil.
Because it is a strategic focus for the company, this project
was extended throughout 2012. Our principal target is to achieve
a gender balance by 2015, increasing the number of women in the
company, in particular in leadership positions. During the year,
we managed to increase the participation of women at practically
all levels, particularly worthy of note being the number of
female directors. Here, the percentage of women grew from 39%
to 45% (see tables).
Diversity at Unilever Brasil
Percentage of employees by gender
2011 2012
Men Women Men Women
Director level 61% 39% 55% 45%
Management 53% 47% 52% 48%
Administrative 72% 28% 71% 29%
Production 78% 22% 75% 25%
Apprentices 59% 41% 77% 23%
Trainees 52% 48% 47% 53%
Interns 42% 58% 42% 58%
Total 73% 27% 71% 29%
continuation
GRI LA13, DMA LA Diversity and equal opportunity
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Total and percentage of
disabled people
Total number
% (in relation
to total in
category)
2011 2012
Total number
% (in relation
to total in
category)
Director level 0 0% 0 0%
Management 0 0% 1 0%
Administrative 251 2% 239 3%
Production 194 1% 193 4%
Apprentices 0 0% 1 0%
Trainees 0 0% 0 0%
Interns 0 0% 0 0%
Total 445 3% 434 3%
Percentage of employees, by age group (%)
Up to 30
years
Between
30 and 50
years
Above 50
years
2011 2012
Up to 30
years
Between
30 and 50
years
Above 50
years
Director level 0% 89% 11% 0% 92% 8%
Management 16% 77% 7% 14% 78% 8%
Administrative 45% 51% 3% 43% 53% 4%
Production 37% 56% 7% 33% 57% 10%
Apprentices 100% 0% 0% 100% 0% 0%
Trainees 100% 0% 0% 98% 2% 0%
Interns 99% 1% 0% 100% 0% 0%
Total 42% 53% 5% 39% 55% 6%
For this reason, many career development programmes and plans
are focused on women, with a balance already having been achieved
or being close to achievement at some levels, such as in trainee and
middle management positions. It should be noted, however, that the
company offers equal development opportunities, and that there are
no salary differences between men and women at Unilever.
Any differences between posts at the same hierarchical level are
due to other factors such as length of service or performance bonuses,
rather than gender. Among administrative staff, for example,
women earn proportionally more. This is due to the fact that there are
more women in coordination positions, for example. In the production
area, the opposite is true, with slightly higher salaries for men,
due to the predominance of men in higher positions in the structure.
In 2012, the lowest salary paid by Unilever was 1.15% higher than
the national minimum salary; 0.67% received this amount, 0.15% of
whom were men and 0.52%, women.
Our main tool for engaging our female employees is the global
Women’s International Network programme, a network to share
know-how and experience aimed at driving the professional development
and establishing career plans for women.
In 2012, we organised a calendar of meetings for both male and
female employees in different positions at management and director
level. Brazilian and international specialists were invited to discuss
subjects such as female presence in organisations and diversity in
corporate management, among others. We also organised networks
of up to 15 women each to discuss the topics raised in the WIN events
in Brazil. In 2012, there were four such meetings involving 160 people,
of whom 119 were women.
GRI EC5, LA13, DMA LA Equal remuneration for women and men
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Proportional salary – gender
Average
remuneration by
functional category
Proportion
m/w
2011 2012
Proportion
m/w
Director level 88% 96,94%
Management 100% 105,66%
Administrative 108% 63,81%
Production 100% 142,36%
Apprentices 100% 100,96%
Trainees 141% 104,91%
Interns 107% 102,21%
The company maintained the counselling programme initiated
in 2011 to develop high potential female employees. Focused
on professionals eligible for director and vice president
level positions, the Mentoring Programme consists of pairs (a
female manager and a senior manager) who elaborate development
plans during the course of the year. 70% of the activity
is developed in the work place, 20% in mentoring activities and
10% in training, reading and courses. Around 19% of the eligible
employees joined this initiative during the year.
At management level, a coaching programme was established
to prepare men and women who have been promoted recently
or who have the potential to assume management positions. In
2012, 51% of the eligible employees took part in the programme.
This has led to some improvements in our gender indicators.
54% of our trainees are women, for example, a six percentage
point increase over 2011. In management roles, women occupy
47% of the positions. However, some levels, such as administration,
are still a challenge for the company.
With respect to social inclusion, we have not yet reached the
minimum level of disabled employees required by law (5% of
total headcount for companies with more than a thousand employees).
In part, this is due to the nature of our activities. It is
difficult to employ people with certain kinds of disability in our
manufacturing plants – where frequently inaccessibility constitutes
a problem, thus restricting the options available. Furthermore,
irrespective of the sector or kind of activity, in Brazil there
is an accentuated scarcity of skilled disabled manpower.
To advance in this field, more important than hiring human resources
consultancies to recruit disabled employees, we have identified
the necessity to develop our employee body as a whole, placing
value on the integration of the disabled and enabling them to build
a career in the company. We have developed a partnership with the
company Proton whereby our employees may recommend disabled
people for company selection processes. Under the scheme, employees
supply the name and contact details of potential candidates,
who are then invited to apply for the positions.
In 2012, we maintained the integration of young people from
underprivileged communities through our Social Inclusion project.
Developed with support from NGOs, institutes and specialised
consultancies, the programme offers training and educational
subsidies (educational materials, course fees, allowance,
transportation allowance, etc.), enabling the young people to
participate in internship programmes.
GRI LA14
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Since it was created in 2004, more than 50 young people have
benefited from the programme, with 73% concluding it. Around
47% have been contracted as employees, with a retention rate of
more than 70%. In 2012, 29 young people took part in the inclusion
project activities.
Whenever possible, we seek to hire local residents in our
business, training them to meet production needs and market
demands. In Indaiatuba (SP), for example, we established a partnership
with the Senai (National Industrial Training Service in
the Portuguese acronym) whereby 60 students on the institution’s
chemistry course have classes at our plant in the same
district. This activity will be extended to other operations in 2013.
The effort to create an internal environment that
reflects the diversity of Brazilian society has lead to
investments to include women in leadership roles and
to value ethnic and social minorities.
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A social
inclusion project
developed with
NGOs and other
partners offers
full support
and training for
young people
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Labour relations
In the common interest
Union relations seek to protect the mutual
interests of the company and its employees
Unilever Brasil maintains relations with around ten unions representing
the main employee categories in the company. Our
relations are based on transparency and defence of the mutual
interests of the company and its work force. We believe that this
dialogue has been positive: in 2012 and 2011, there were no paralysations,
conflicts or strikes in our operations.
All union and class association policy is based on the Code
of Business Principles, resulting in a systematic information exchange
network. Unions are informed of all strategic decisions
affecting our employees.
Unilever Brasil has a policy of providing notice of at least
three months and sometimes more (up to one year), in the event
of major changes in routines, while union agreements and conventions
do not establish a formal period for the communication
of such alterations.
In 2012, the main focus of talks on operational changes was
the transfer of production between the Southeast and Northeast
regions in the powdered soap and ice cream categories,
as part of our growth strategy (read more in Plants and Operations),
and the implementation of the Ideal Factory concept in
Valinhos (São Paulo).
At Valinhos, communication to employees about the changes
was initiated one and a half years before implementation.
We provided guarantees on rights to the workforce, unions and
local public authorities and managed to reallocate ten employees
in the Indaiatuba and Vinhedo units, from a total of 94 layoffs.
The same occurred in Pouso Alegre, where there was a
reduction of 80 work posts due to a project to automate the
end of the production lines. Many employees were transferred
to other positions or benefited from scheduled promotions. In
Goiânia, 290 workers were laid off, with due regard for company
and legal procedure.
The company organised sessions to clarify doubts about severance
packages and the guarantee of some benefits for up to 12
months after dismissal, as well as accompaniment of the formal
discharge procedure.
During 2012, all workers were covered by collective bargaining
agreements. We consider that there is no threat to our employees’
right to freedom of association, for which reason the
company does not promote measures to support or encourage
the right to free association.
The union agreements to which we are party cover a series
of questions, such as medical and laboratory examinations and
the employee’s right to refuse to work in situations of serious
or imminent risk, in line with occupational health and safety
considerations in the work place.
We comply with formal conventions such as internal accident
prevention commissions (CIPA in the Portuguese acronym)
and safety engineering and workplace medicine services
(Sesmet), in addition to providing job-specific safety training.
There are accident prevention committees in all Unilever business
units. In the Sales and Merchandising areas the committees
are structured regionally.
GRI LA4, LA5, LA6, LA9, HR5, FP3, DMA HR Freedom of association
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Product life cycle
Marketing and communication
Legislation and labelling
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Product responsibility
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Quality and control
Preserving our business involves accountability
beyond rigorous control of processes and operations
Our brands and products are part of the lives of millions of
people in Brazil and worldwide. On a daily basis, we deal with
consumer health, eating habits, safety and well-being, which
entails responsibility that goes beyond the rigorous control of
our processes and operations, from the innovation phase to
product disposal. For any consumer goods company, in particular
in the foods and personal care categories, this question is
essential for the preservation of its business.
At Unilever, assuring the quality of what we produce extends
to the various phases of the product life cycle, from
creation and development to manufacture, labelling, warehousing,
distribution, brand communication, sales and consumption.
The application of standards that ensure all new
product launches are in accordance with global nutrition and
health standards is mandatory.
We conduct tests on products and packaging to eliminate
risks and evaluate performance and quality throughout every
process. In our plants, we have internal programmes to check
samples and security systems that identify manufacturing
anomalies. We comply with industry standards and develop our
own methods of storage and distribution for each product category;
in the labelling, communication and sales phases, we act
in accordance with our Code of Business Principles, internal
policy and Brazilian and international legislation to ensure the
information we transmit is accurate.
Whenever we discover an anomaly via the consumer service,
social networks or email, we analyse and investigate the case.
The product is returned to the factory and we prepare a report
on the problem, either replacing it or reimbursing the consumer,
in addition to adopting corrective measures in production
when an internal failure is identified (read more in Consumers).
In addition to the consumer service team, we have specialized
consultancies for our domestic cleaning, foods and personal
care categories, responsible for dealing with consumers who
report any kind of reaction to our products.
Our major challenge, however, is not restricted to the question
of product quality. In line with the directives of the Unilever
Sustainable Living Plan, we actively engage with all the actors
in our value chain to persuade them to consider environmental,
social and economic impacts in the product life cycle.
We also strive to ensure efficiency and responsibility
throughout the business chain. This means that after leaving
the factory the product must reach the consumer in accordance
with our global quality standards, regardless of the route it follows
or the outlet in which it is commercialized. To ensure this,
Unilever needs to engage its customers, suppliers and commercial
partners in these processes.
Company policy also mandates the use of raw materials
and inputs in compliance with the legislation of the countries in
which we operate. We do not, however, apply the Precautionary
Principle, whereby the use of determined products or ingredients
about which there may be scientific uncertainties is avoided,
as is the case with genetically modified organisms.
GRI 4.11, DMA PR Customer health and safety, DMA SC Minimizing Toxicity, DMA SC Genetically Modified Organisms
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Product life cycle
As a company with global businesses and operations, Unilever
has product life cycle practices that involve different
spheres of management. Processes related to the supply chain,
innovation and some aspects of logistics and distribution, for
example, are the responsibility of the regional team. In Brazil,
all our activities are governed by global directives, documents
such as the Code of Business Principles, the Sustainable Living
Plan, product communication guidelines, in addition to Brazilian
legislation.
Below we show how we manage impacts at each stage of
our product life cycle.
Innovation
The development of food, home care and personal care
products is coordinated by the Research and Development area,
comprising the local, regional and global management teams,
in line with our governance framework. Depending on the category
and specific product attributes, innovations are submitted
for assessment by SEAC, the company’s Safety and Environmental
Assurance Centre located in England.
Our specialists and scientists analyse all aspects of the
product, from chemical composition to the design and type of
packaging, to check its suitability and compliance with standards
in the market in which it is to be commercialised. We also
apply allergenic and dermatological tests, to identify possible
risks to the consumer during use and handling.
Critical aspects of this process are the durability and quality
of packaging – essential for conserving the product, in particular
in the foods category– as well as socio-environmental
considerations. We test the strength and analyse how materials
should be conditioned to guarantee conservation and facilitate
handling from the factory to the consumer.
In the foods category, we conduct research to measure the
positive and negative impacts of nutrients, with particular attention
to the sodium, fat and sugar content in products.
Manufacturing
Production, the definition of the suppliers of inputs and
technologies and the establishment of management programmes
in conjunction with customers come under the
responsibility of the regional and local divisions. In addition
to identifying critical process controls, all the manufacturing
units assure product quality through routine checks on
the production lines, using an internal standard called CRQS
(Consumer Relevant Quality Standard). This analysis consists
of sensorial assessments and evaluation of physical-chemical
properties to ensure that no products with quality deviations
leave the plants.
Our processes are also based on specific standards for each
category, defined or applied at a global level. Some plants, such
as Vinhedo, Valinhos, Indaiatuba, Ipojuca and Igarassu are ISO
9001 certified, and undergo annual assessments to maintain
this standard. In 2012, our Vinhedo plant received global recognition
in the Unilever Safety Awards, which is presented to the
company plants showing the best performance in health and
safety worldwide.
In all our plants, food quality and safety on the production
lines is guaranteed by two processes: the QVP (Quality Verification
Program), organised annually in the manufacturing and
non-manufacturing operations, and the OQR (Operational Quality
Review) for more vulnerable operations. These programmes
establish handling, hygiene and control procedures in the operations,
ensuring the verification, evaluation and conformance
of the end product. In 2012, internal OQR audits were held in the
Vinhedo and Goiânia units.
Another focus of attention for Unilever are its co-makers,
suppliers responsible for part of our production (read more in
Enhancing Livelihoods). In some lines, such as shampoos and
conditioners, we carry out periodic audits on our partners to
verify compliance with quality and safety standards. In the
event of non-compliance, improvements are executed under
Unilever’s supervision.
In 2012, some units were prepared for certification under
the international food safety standard (FSSC 22000), which
will take place in 2013. This preparation included programmes
to maintain current certifications, in addition to reviews of
best manufacturing practices for each product category and
internal audits carried out by the global team to identify and
correct potential critical areas in the quality and safety of our
food products.
GRI PR1, FP5
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Warehousing and distribution
At this stage we engage our employees and the partners responsible
for handling and shipping our products, in addition to
the customers who undertake part of the distribution.
Products are packed in accordance with category and sanitary
standards in Brazil and overseas; in the latter case global
Unilever standards are applied. The temperature of these materials
is controlled, and they are maintained free of pests.
Pallets and cartons are stored in distribution centres (DCs)
managed by Unilever or by third-parties, and which are subject
to regular cleaning procedures. In 2012, we progressed in the
development of a co-storage project, with tests to store personal
care and domestic cleaning products together with food
products without compromising safety or quality. This enabled
greater flexibility in product storage at distribution centres
without jeopardising product quality.
In the distribution phase, special attention is also given to
hygiene in heavy goods vehicles and ensuring the separation
of cargos during transportation in order not to compromise
product quality. We have specific standards for the receipt and
stocking of materials in logistics centres in which we engage
our suppliers and customers. Since 2011, we have used a palletization
criteria protocol that defines the maximum pallet
height and maximum weight and dimension for shipping cartons,
among other factors.
We carry out annual audits at all our distribution centres.
These are projected to identify non-conformance and improvement
opportunities. The company employs a system of Quality
GRI PR1, FP5
Notifications, which are sent to Unilever management when
non-compliant products are received. These documents are
analysed on a monthly basis in forums that involve diverse company
areas.
For 2013, the challenge will be to implant the co-shipping
policy (joint transportation of hygiene/ beauty and food products),
reducing costs and CO 2
emissions.
Sale and post-consumption
The final stages of the product life cycle are commercialization
at the point of sale and use and disposal by the consumer.
Before reaching the consumer’s home, the products are stored
and displayed on the shelves at points of sale. Our teams
throughout Brazil are engaged in ensuring hygiene, quality and
safety in these outlets, in partnership with our customers, for
whom we provide training courses to ensure the correct handling
of products and packs.
In the course of the year, we also carry out five point of sale
audits all over the country to evaluate the quality of Unilever
products and brands on shelves in supermarkets, drugstores
and other outlets. These are based on the global Consumer
Relevant Quality Standards (CRQS) protocol. Quality assurance
is particularly relevant in categories like ice cream, which requires
storage in freezers that maintain the product’s texture
and flavour.
In 2012, the Quality area was engaged in a programme to
ensure temperature control throughout the ice cream distribution
chain; in the second half of the year we initiated a project
Unilever product responsibility
practice encompasses every
phase of the life cycle, with a
focus on consumer safety and
permanent quality in delivery.
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with one of our major customers to monitor Kibon cabinets.
In 2013, we plan to develop similar projects focused on AdeS
beverages to guarantee quality throughout the chain and at the
point of sale.
At the post-consumption phase, we believe that strong
consumer relations are fundamental in managing and reducing
business impacts. It is for this reason that we receive criticisms,
doubts, suggestions and complaints on a daily basis via
our consumer service, the social networks and email. These
data are compiled by category, analysed and passed on to the
different areas of the company in monthly meetings, enabling
improvements and innovations based on consumer perceptions
and insights (read more in Consumers).
We have developed a number of modifications in packaging
based on contacts received from consumers. In 2012, we
started to commercialise smaller tubes of Close Up dental
cream. This change was introduced during 2011, after
a number of contacts were received by the consumer service
complaining about air bubbles in the pack. The change
helped the company to reduce waste generation by more
than 7%.
In 2012, we also reduced the number of complaints associated
with Meu Frango Assado by strengthening the seal and the
plastic bubble in which the product is commercialized. Other
questions presented to the consumer service were handled in
conjunction with the Research and Development team with a
view to verifying consumer complaints and reviewing processes
to ensure consumer health and safety.
As a result of complaints about ice cream damaged through
melting in some regions, in 2012 an action plan to adjust and
prevent the misuse of freezers was developed. The plan included
internal actions in the cold distribution chain and measures
by promoters working in stores with customers, such as training
in the maintenance of ice cream cabinets and in the correct
handling of the product. This resulted in a 12% decrease
in complaints related to melting. In 2013, the project will be
extended to include more customers and will involve increased
internal training for employees in the ice cream business.
Animal testing
Unilever does not carry out tests on animals in Brazil. The
company works with other businesses and research centres
in Brazil to develop alternative testing methods which
provide the information necessary for safe product and
ingredient assessments without the use of live animals.
On a global level the company restricts animal testing,
except in the rare cases where this is required by law - normally
when no safe alternative method (laboratory tests or
computer modelling) is available. We work with international
researchers and diverse groups to share our experience
and promote innovative testing methods.
In line with its policy of transparency, Unilever is committed
to the total elimination of animal testing in its
products. The company is equally committed to consumer
health and safety, and to the safety of its workforce
and the environment.
GRI PR1, PR5, FP9, FP10, DMA SC Animal welfare
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As the second largest
advertiser in Brazil,
Unilever has a heightened
sense of responsibility in
product communication
and in advertising for
children
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Marketing and communication
Clear message
Investments in advertising and promotion reflect
the size of our business and involve a critical
question for the consumer goods industry
In 2012, Unilever Brasil maintained its position as second
largest advertiser in the country, with a 17.5% increase in
advertising investment. According to Ibope, during the year
the company spent R$ 3.05 billion on publicity and advertising
in diverse channels, ranging from print to electronic and digital
media, as well as point-of-sale merchandising. This robust
promotional activity reflects the size of our business and
also imposes a great responsibility: acting in line with our
Sustainable Living Plan and our Materiality Matrix in Brazil,
which address themes such as conscious consumption and
promoting responsible communication, both strategic priorities
for the company
All new advertising and campaigns for our brands are assessed
by different company areas, including the Legal and
Nutrition areas, to ensure legal compliance and the coherence
of the communication to be presented to the consumer. It is
the responsibility of the brand leaders to evaluate the different
opinions and authorise the release of commercials.
We follow a series of guidelines and commitments to ensure
our communications contribute to proper consumption habits
and provide consumers with adequate information. Communication
is also subject to the Unilever Code of Business Principles
and to the company’s Food and Beverage Global Marketing
Principles , which are reviewed periodically to ensure the conformance
of our practices in this particular category.
This document addresses questions such as the communication
of the nutritional profile of products, the disclosure of
data based only on sound science and the commitment to only
advertise product aspects that are relevant to consumer diets.
Globally, we are signatories to diverse advertising pacts and
agreements (read more in Sector Practices).
We strive to remain attuned to the demands and debates current
in the Brazilian reality and to engage in relevant initiatives
and commitments. We are active participants in Conar, the country’s
advertising self-regulatory council. Some of our executives
hold consulting positions in the organization, and we apply its
standards in communicating our brands and products. The Corporate
Affairs and Legal areas also monitor and contribute to debates
in the legislative sphere, anticipating potential modifications
in Brazilian marketing norms for the consumer goods industry.
As a member of Conar, we accept and support the body’s
decisions and recommendations regarding restrictions, adjustments
and even the withdrawal of our advertising from circulation.
In 2012, Unilever Brasil did not receive any significant fines
related to marketing communications; we did, however, receive
14 representations through Conar during the year (compared
with 11 in 2011) arising from campaigns conducted by brands
such as Hellmann´s (mayonnaise and ketchup), Ades, Keratinology,
Lux, Axe, TRESemmé, Close Up and Omo.
Of these representations, four resulted in adjustments to
our commercials, six cases were filed away with no need for adjustment
after Unilever defended them, and none were removed
from the air. At the end of the year one case was still undergoing
appeal at the council, and four were awaiting judgement. One of
GRI PR6, PR7, DMA PR Marketing communications
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the major repercussions involved a Hellmann´s campaign on the
nutritional benefits of mayonnaise, in which the commercial compared
the product’s properties with those of olive oil. Based on the
Conar decision, the company opted to alter its advertisements.
The Conar representations originate from consumers or
competitors in the consumer goods industry who might question
the claims or veracity of our communications. Unilever
Brasil also makes representations against other companies
when it identifies non-conformances; in 2012, we questioned
seven advertisements from three companies.
In addition to Conar, sometimes our communications are
questioned by other organisations that monitor advertising. In
2012, for example, the Instituto Alana questioned the insertion
of Lifebuoy in the soap opera “Carrossel”, shown on the TV
channel SBT. In this case, we arranged a meeting with representatives
of the organisation to clarify Lifebuoy’s social mission
(see more on page xx).
Advertising for children
In our advertising for children, the principle we apply is that
of producing commercials that promote improved quality of life,
be it in eating and hygiene habits or behaviour. We do not downplay
the question of price, we do not encourage children to pester
their parents to buy our products, and we strive to clarify the
role of parents and other adults in providing guidance on the
nutritional profile of our products.
In line with our Global Food and Beverage Marketing Principles,
we do not produce advertising aimed at children under 6
years of age and, since 2008, we have reduced activities directed
at children and adolescents throughout our portfolio.
Food category communication is limited to the 6 to 12 year
age group and to products that are aligned with our Nutrition
Enhancement Programme (NEP), with reduced fat, sugar and
sodium content.
Since 2009, we have been signatories to the Compromisso
Público de Publicidade Responsável (Public Commitment to
Responsible Advertising), which promotes responsibility and
ethical conduct in communication for children by consumers
goods companies.
One of the main products in this respect is the antibacterial
soap Lifebuoy. With commercials on the cable channel Discovery
Kids, on the website www.discoverykidsbrasil.com/lifebuoy
and campaigns in television programmes such as the SBT soap
opera “Carrossel”, the brand transmits messages on the importance
of handwashing to children and their families, in support
of its social mission (read more on page xx). As such, we believe
that Lifebuoy advertising is aligned with the Unilever Sustainable
Living Plan and our children’s advertising commitments.
The brand also supports the children’s musical production
Galinha Pintadinha, which has played in a number of state
capitals. In an interactive, playful way, and with the song “Lava
a mão” (Wash your hand) which promotes handwashing, the
proposition is to promote basic hygiene habits that prevent diseases
and infections.
Commitments in advertising
for children
In its advertising for children, Unilever Brasil is committed
to not:
»»
conveying misleading messages;
»»
undermining parental influence;
»»
encouraging pester power;
»»
suggesting time or price pressure;
»»
encouraging unhealthy dietary habits;
»»
blurring the boundary between promotion and content.
GRI SO5
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Legislation and labelling
Information for consumers
We are in compliance with Brazilian regulations
on product communication, with internal
policies that go beyond legal requirements
In addition to offering products manufactured according to
rigorous quality and safety standards, Unilever Brasil is committed
to providing consumers with accurate information.
Our labelling practices are in compliance with Brazilian
legislation and provide information on ingredients –for food,
personal and home care products-, handling, disposal, environmental
impacts associated with use and disposal and outsourcing
of manufacture.
In our operations, we also apply material use and control
policies which are normally more rigorous than those required
by law. These policies are regularly reviewed and updated by
specialists, based on scientific research and regulations.
In 2012, Unilever Brasil had no significant cases of non-conformance
with regulations and voluntary codes related to product
and service information and labelling.
Regarding food products, the company details ingredients in
accordance with nutritional standards and resolutions, as well
as the legislation in force and the sector agreements in which
we participate.
The nutrients in Unilever’s products are developed in line
with guidelines such as the Nutrition Enhancement Programme
(NEP). The assessment carried out under the NEP is extended
to all products, with the application of criteria such as limits to
the quantity of the nutrients potentially harmful to health that
may cause chronic diseases and obesity, with a specific focus
on saturated and trans fats, sodium and sugar (read more in
Improving Health and Well-Being).
Furthermore, based on the nutrition targets in the Unilever
Sustainable Living Plan, the company is reducing the salt, sugar
and saturated fats in its products, eliminating trans fats, and increasing
quantities of essential fats, such as omega 3 and 6. We
also follow the external guidelines for sodium reduction defined
in the agreement between Abia (the Brazilian food industry association)
and the Ministry of Health.
GRI PR3, PR4, FP8, DMA PR Product and service labelling
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Resolutions and technical norms adopted by Unilever Brasil
Theme
Standard
Outsourcing of product or service components Decree.º 7.212/2010
Content, particularly related to substances that
may generate environmental or social impacts
Reforestation sticks
Resolution nº 180, October 3 2006
In addition to technical
protocols and legal standards,
we have our own directives for
enhancing the nutritional profile
of company products.
Safe product or service use
Product disposal and environmental/social
impacts
Others
Resolution nº 03, January 18 2012
Resolution nº 16, April 12 2011
Resolution nº 55, November 10 2009
Resolution nº 40, June 05 2008
Resolution nº 211, July 01 2005
Resolution nº 360, December 20 2003
Resolution nº 259, September 20 2002
Law n 10.674, May 16 2003
Decree n.° 4680/pr, April 24 2003
“My Choice” Seal
Resolution nº 180, October 3 2006
Resolution nº 163, September 11 2001
Technical Ruling nº 5, December 21 2010
Technical Ruling nº 4, December 21 2010
Technical Ruling nº 1, May 28 2004 (modified on May 20 2005)
Technical Ruling nº 5, September 28 2001
GRI PR3
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Materiality
Assurance statement
GRI Index
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New cycle of communication
In its tenth report, Unilever Brasil presents
information on the company’s performance and
its main social and environmental commitments
Continuing the cycle of communicating Unilever Brasil’s social
and environmental performance, the company is publishing its
tenth Sustainability Report, covering the period from January
1st to December 31st 2012. Once again we have based the document
on Global Reporting Initiative (GRI) guidelines, a methodology
first adopted in 2006. An advance in 2012 was the adoption
of version G3.1, which adds new indicators and information
in areas such as diversity and labour relations.
Under the coordination of the Sustainability Committee since
2010, the process constitutes an important management tool for
the company. Again the report achieved GRI checked application
level A+. In this report, we collect and make public information
on Unilever Brasil’s social and environmental performance
throughout its Brazilian operations, encompassing plants, offices
and distribution centres.
Data and indicator collection is done by the management
team, with the participation of leaders from the Sustainability
and Safety, Health and Environment (SHE) areas. These are analysed
by representatives of all company areas, including Procurement,
Research and Development, Legal, Marketing, Finance,
Nutrition and Human Resources.
To determine the contents of the report, once again we crossreferenced
the themes featured in the three pillars of Unilever’s
global Sustainable Living Plan (Improving Health and Well-Being,
Reducing Environmental Impact, Enhancing Livelihoods)
with the most relevant themes for management and communication
from the perspective of our strategic stakeholders, as determined
in the Materiality process (read more in Materiality).
The scope of the quantitative and qualitative information did
not undergo significant alterations, except for the unification of
the activities of our JK1 and JK2 offices in the São Paulo district
of Itaim Bibi, resulting in the closure of the latter in November,
which affected our operating structure. Some ice cream and
powdered detergent production lines were transferred between
plants in the Southeast and Northeast of the country. For some
indicators, we broadened the scope of the information provided
in function of the GRI G3.1 guidelines - for example, in the indicators
related to diversity and remuneration.
The company has learned a great deal in the course of the
last reporting processes, which is also reflected in the way we
manage sustainability. The challenges and difficulties involved in
reporting some data and indicators led to internal projects to improve
management. For example, we implanted an impact management
tool prior to, during and after the installation of a new
Unilever Brasil facility, the result of one of the socio-environmental
projects undertaken by our trainees. In 2012, we started to use
the methodology in the construction of a new distribution centre
in Pouso Alegre (Minas Gerais) (read more in Communities).
We also progressed in communicating some of our critical
themes, such as relations with surrounding communities and
the impacts caused by our operations on Brazilian biodiversity –
these are now being mapped and analysed, with the results and
targets published in this report. We maintained our response to
the indicators in the Food Sector Supplement, which concerns
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one of our core businesses, and we also sought improvements in
reporting and managing indicators on human rights.
With respect to data collection, 2012 was the first year in which
we managed to implant a system for the prior collection of indicators,
with a view to tracking the data and analysing long-term
trends in certain areas. With support from a consultancy and under
the coordination of the Safety, Health and Environment (SHE)
area, we periodically assess our performance in GRI methodology,
which is now integrated into our environmental management system
– and used in our internal Environmental Performance Reporting
(EPR) tool. The EPR is used for monthly monitoring and
support for the operations in areas such as energy and water consumption,
emissions and waste and effluent generation.
The methods are specified in the indicators and seek to
maintain historical series of at least three years. The absolute
amounts are not disclosed because we consider this information
to be strategic. However, we do disclose many numbers related
to product production volume (in the case of the plants)
and commercialisation (for non-manufacturing). This relative
measurement unit is used in diverse calculations throughout the
report (x/tonnes produced), in order to maintain comparability of
results and impacts.
At the beginning of the reporting process, we once again held
meetings and workshops with the management teams in diverse
areas to provide guidance on how to respond to the indicators,
ways of obtaining evidence and complementary information.
As in the previous year, the process was submitted to external
verification, achieving application level A+ in accordance with GRI
guidelines, with the application level checked by the Global Reporting
Initiative. The assurance statement was elaborated by BSD Consulting,
which verified the information reported and offered support
in the identification of improvements for coming cycles.
Our Sustainability Report is an important management
tool; moreover, it is the main vehicle for demonstrating accountability
to our diverse stakeholders – including, but not
limited to, suppliers, customers, employees, members of the
Sustainability Committee, consumers, governments, institutions,
communities and NGOs. The team responsible for the
report welcomes the participation of readers, who are invited
to submit their suggestions, doubts, criticisms and opinions
about our sustainability reporting process via the email
sustentabilidade@unilever.com.
Two versions of this report will be published: a PDF file with
the complete content and a summarized version in digital format,
both available for download from the Unilever Brasil site. In the
latter, we have addressed only the themes set forth in the Materiality
Matrix with a view to presenting our stakeholders with a
summary of the major initiatives, strategies and challenges concerning
the most relevant questions for the business.
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Materiality
Managing priorities
In addition to mapping critical themes,
in 2012 we initiated a project to consult
stakeholders associated with our plants
We consider the development of the Materiality Matrix to be a
key tool through which Unilever Brasil may monitor and enhance
business and relationship practices in alignment with the
company’s Sustainable Living Plan and the expectations of its
stakeholders. More than just an instrument for prioritizing the
themes to be reported, we believe that the materiality processes
we have conducted with varying levels of complexity since
2008 have been essential in the implementation of our sustainability
strategies and actions.
The most recent matrix was developed in 2011. In it, the
main challenge was to map the situation in Brazil and align it
with the guidelines of the Sustainable Living Plan in a manner
that would enable us to develop our own approaches for the
operations in the country.
The integration of relevant themes from the perspective of
our strategic stakeholders, aspects of the Brazilian reality and
the challenges and commitments assumed globally involved a
process of dialogue comprising face-to-face meetings and consultations
by telephone with more than 40 people – including suppliers,
consumers, specialists, customers and representatives of
NGOs –, in addition to internal consultations with more than 20
leaders from diverse company areas, such as Human Resources,
Sales, Marketing, Legal and the Sustainability Committee.
Over time, with the mapping exercise and analysis of questionnaires
and the subjects each group considered most relevant,
we identified eight priority themes for managing sustainability at
Unilever Brasil. As a reflex of our experience and learnings in
the course of the last reporting cycles, some themes have been
repeated since our first materiality matrix, such as controlling
waste, the environmental impacts from production processes
and the reduction of impacts in the post-consumption phase.
Others, such as managing suppliers based on sustainability
criteria and education for conscious consumption, emerged in
the 2011 matrix, an indication of new needs and challenges in
Priority Themes for Unilever Brasil
1. Education for conscious consumption and new consumption
habits
2. Inclusion of socio-environmental criteria in decision-making
processes and business routines
3. Development of sustainability criteria for the selection,
evaluation and management of suppliers and
multi-sector partners, when applicable
4. Development of practices to minimize environmental
impact during the use and post-consumption
phases of product life cycles, including solid waste
management, as set forth in Brazil’s solid waste
legislation
5. Reduction of greenhouse gas emissions (GGE)
throughout the business chain
6. Management of production process environmental
impacts and analysis of impacts throughout the
product life cycle
7. Raising employee awareness and engagement in
sustainability
8. Transparent communication, responsible marketing
and advertising practices going beyond legal requirements,
especially for children
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relation to which the company will need to adopt a position. The
eight themes (see box) are closely related to the pillars of the
Sustainable Living Plan, enabling the adoption of unified strategies
recognised in our matrix. The work involved in consolidating
these themes and aligning them with global directives was coordinated
by the Sustainability Committee.
We think that addressing and dealing with the relevant questions
we have identified during the course of the construction of
the Materiality Matrix is a long-term process. Consequently, in
2012, we opted to extend the materiality process by mapping the
stakeholders associated with our manufacturing operations in
Brazil. With a view to enhancing management of critical themes
and adapting it to the needs and contexts of each of the plants in
Brazil, we initiated a pilot project that included the mapping of
secondary sources – such as the press, public authorities and
reference documents from inside and outside Unilever–, online
questionnaires and telephone consultations with leaders at the
Igarassu (Pernambuco), Pouso Alegre (Minas Gerais), Valinhos
(São Paulo) and Vinhedo (Saõ Paulo) plants.
The objective of the process was to help us understand relations
with the communities around our plants, which stakeholders
relate (or should relate) to Unilever Brasil on a more permanent
basis and what the main advances and challenges are in
this dialogue in each of the locations or operations in question.
We also analysed the way in which the Unilever Sustainable Living
Plan had been disseminated among employees in each of
these operations. During this pilot phase, we contacted the HR
and SHE managers at each of the four plants, obtaining important
inputs upon which to base future dialogue and measures to
engage strategic stakeholders.
Going beyond those stakeholders to whom we relate on a more
systematic basis, such as customers, suppliers, employees and consumers,
we believe that the company can forge closer ties, principally
with the communities in which our operations are located.
Our management perspective is to use the dialogue established
in the course of the materiality processes and consultations with
stakeholders in our operations as engagement and communication
tools to effectively integrate sustainability into our practices throughout
the value chain. In 2013, we will review the material themes internally,
without consulting external stakeholders, as stated in our
2011 report. The objective for the next cycle is to conclude the exercise
initiated in 2012 of mapping stakeholders associated with our
plants. This will enable us to build a more broad-based and representative
consultation process, ensuring that our next materiality
matrix gains greater consistency.
To enhance management
we use the dialogue established
in the course of the materiality
processes and consultations
with stakeholders in our
operations as engagement
and communication tools.
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unilever brazil Sustainability Report 2012
REPORTING PROCESS
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Assurance Statement
BSD Consulting carried out an independent verification of the
process of drafting the Unilever Brasil 2012 Sustainability Report
in accordance with GRI G3.1 (Global Reporting Initiative) guidelines.
This is the third year running that this verification process has been
conducted with the purpose of providing Unilever Brasil stakeholders
with an independent opinion on: the quality of the report; stakeholder
engagement processes; adherence to AA1000AS 2008 principles;
and management of sustainability within the company.
Independence
We work independently and guarantee that no BSD staff maintain
consulting contracts or other commercial ties with Unilever
Brasil. BSD Consulting is an AccountAbility AA1000 Licensed Assurance
Provider, registered under the number 000-33.
Our Competency
BSD Consulting is a company specialized in sustainability.
The work was carried out by a team of experienced professionals
trained in external verification processes.
Unilever Brasil and BSD Responsibilities
The drafting of the Sustainability Report and the definition of
its content are the responsibility of Unilever Brasil. The assessment
of the report and the verification of the GRI application level
was the objective of the work done by BSD.
Scope and Boundaries
The scope includes the information in the complete version
of the Unilever Brasil 2012 Sustainability Report for the
reporting period. The independent report verification was
carried out according to AA1000 Assurance Standard 2008,
type 1, which provides reasonable assurance. The process
includes assessing the organization’s compliance with the
three AA1000AS principles: Completeness, Materiality and
Responsiveness.
Methodology
The approach employed to verifying the AA1000 process
consisted of:
»»
Evaluation of the content of the 2012 Sustainability Report;
»»
Understanding of the process of generating information for
the Sustainability Report, taking into account the engagement
process and the definition of materiality;
»»
Research of publicly available information on the sector and
the company (press, websites and legal frameworks);
»»
Visit to the Vinhedo unit in the state of São Paulo to evaluate
the unit’s management and control over indicators;
»»
Interviews with executives, managers and employees in key
areas with respect to the relevance and context of the information
for the report and for management;
»»
Whenever relevant, confirmation of sustainability performance
information with the senior management of the company; and
»»
Based on sampling, confirmation of information contained in
the Sustainability Report through supporting documentation,
internal management reports and official correspondence.
Key Conclusions – AA1000AS Principles
In the opinion of BSD Consulting, in 2012 Unilever Brasil
evolved in the management of sustainability, adopting a transversal
approach to the theme in the different company areas. The
importance of maintaining and stepping up the effort to consolidate
the theme of sustianability throughout its management processes
should be emphasized. Engagement is being enhanced
by mapping the stakeholders related to the operational units.
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unilever brazil Sustainability Report 2012
REPORTING PROCESS
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Key Conclusions on Adherence
to AA1000AS 2008 Principles
1. Completeness – addresses stakeholder participation
in the development of a transparent and
strategic sustainability management process.
In 2012, the engagement process was focused on mapping
stakeholders of the company’s operating units, representing an
evolution in the prioritization of stakeholders.
Unilever maintains strategic alliances with large retail trade
partners. It is important that the company evaluate its approach
to engagement with a view to identifying possibilities of broadening
relations with small retailers and suppliers, encouraging
the adoption of sustainable management practices throughout
its business chain. Internally, it is necessary to maintain and intensify
initiatives to engage the internal audience to ensure strategic
alignment.
The next Sustainability Report could demonstrate how stakeholder
engagement contributes to managing sustainability at
Unilever, presenting concrete actions taken in relevant areas and
the results achieved.
2. Materiality (or Relevance) – themes necessary
for stakeholders to draw conclusions about the
organization’s economic, social and environmental
performance.
The process of assessing material themes progressed in
2012 with the mapping of stakeholders at the operational units.
Continuity of this process should encompass a new assessment
of relevant themes among priority Unilever stakeholders, taking
into account: the context of sustainability (positive and negative
events), significant organizational changes, past and future
impacts, conflicts and dilemmas among stakeholder groups or
operational units.
Unilever adopts consistent positioning on the critical themes
and dilemmas of the sector. An example is the establishment of
clear targets for the reduction of sodium in its products together
with the measures planned to reach these targets. Also worthy of
note are the company’s actions related to the sustainable sourcing
of agricultural raw materials and the development of more
sustainable products.
The sustainability report mentions some social and environmental
risks, such as human rights risks in the value chain and
climate change-related risks. The presentation of a structured
risk management process integrated with sustainability management
would represent an evolution in the process.
3. Responsiveness – addresses the measures
taken by the organization in response to specific
stakeholder demands.
As in the previous report, the 2012 Sustainability Report is
aligned with the company’s Sustainability Plan and with stakeholder
demands. There is adequate adherence to GRI G3.1 guidelines,
encompassing the main material themes.
The indicator data collection system was enhanced in 2012.
The environmental indicator data gathering process using the
company intranet enabled greater interaction between the corporate
area and the operational units. There were improvements
in the consolidation of social indicators with the direct involvement
of the units; however, the establishment of a single formal
process is important to guarantee standardization and the quality
of the information collected.
With the exception of the environmental, health and safety and
labour information, the importance of systematizing the collection
of GRI indicators in the course of the year must be underscored.
This will lead to continuous monitoring and the integration of the
different areas into the reporting process, resulting in an improvement
in the quality of the information presented.
The report presents clear targets for Unilever Brasil’s material
themes. These include the target of sustainable sourcing of
100% of the company’s agricultural raw materials by 2015. The
target is more audacious than Unilever’s global target of 2020.
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REPORTING PROCESS
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Unilever demonstrates commitment to continuous improvement
in the management of sustainability by using the results from the
assurance process, defining and implementing priority actions.
Application Level GRI-G3.1
In accordance with guidance for GRI-G3.1 guidelines, BSD declares
that Unilever Brazil’s 2012 Sustainability Report is classified
at application level A+. The report presents information on
the items related to the company profile and provides a description
of sustainability management and approach processes. Information
is provided on all categories, aspects and indicators:
economic, environmental, human rights, labour practices, society
and product responsibility, in addition to Food Processing
Sector Supplement indicators.
São Paulo, March 18 th 2013.
BSD Consulting (Brasil)
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REPORTING PROCESS
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unilever brazil Sustainability Report 2012
reporting process
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GRI Index
Check the location and level of response for
the GRI indicators presented in this report
General G3.1 indicators Direct Response Page
Response
level
Global
Pact
General G3.1 indicators Direct Response Page
Response
level
Global
Pact
1.1. Message from the president Some information on economic trends is
considered strategic and is therefore not
1.2. Impacts, risks and
opportunities
published. There are more details about
Unilever’s sustainability strategy and
performance at http://www.unilever.com.br/
sustentabilidade/
3 Complete
3; 4; 5; 15 Partial
2.1. Name of organization 4;19 Complete
2.2. Brands, products and/or
services
4; 7; 19 Complete
2.3. Operational structure 4; 9 Complete
2.4. Location of organization’s
headquarters
2.5. Countries in which
organization operates
2.6. Nature of ownership and
legal form
4 Complete
4 Complete
21 Complete
2.7. Markets served 4 Complete
2.8. Scale of organisation
Data about finances, beneficiaries,
shareholders and costs are considered
strategic and are therefore confidential.
4 to 6;
9; 10
Complete
2.9. Changes in reporting year 171 Complete
2.10. Awards and certifications 12; 13 Complete
3.1. Reporting period 171 Complete
3.2. Previous report 171 Complete
3.3. Reporting cycles 171 Complete
3.4. Contact details 172 Complete
3.5. Definition of content 171 to 173 Complete
3.6. Boundary of report 171 Complete
3.7. Scope of report 171; 172 Complete
3.8. Basis for elaboration of
report
3.9. Data measurement
techniques and bases of
calculations
3.10. Restatement of
information
171 Complete
172 Complete
171 Complete
3.11. Significant changes 171 Complete
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General G3.1 indicators Direct Response Page
Response
level
Global
Pact
General G3.1 indicators Direct Response Page
Response
level
Global
Pact
3.12. GRI summary 179 Complete
3.13. External assurance 175 Complete
4.1. Governance 21; 22 Complete
4.2. Identification of whether
president of the highest
governance body is also an
executive
21 Complete
4.3. Independent members 21 Complete
4.4. Communication channels
with board
4.5. Remuneration for
sustainability
24 Complete
21; 22 Complete
4.6. Conflicts of interest 23 Complete
4.7. Qualifications of members 21; 22 Partial
4.8. Internal values, codes and
principles
5; 25 to
27; 29
Complete
4.9. Board activities 21; 22 Complete
4.10. Board self-assessment 22 Complete
4.11. Precautionary principle 161 Complete
4.12. Charters, principles and
initiatives
4.13. Membership of
associations
29; 30 Complete
50; 51 Complete
4.14. List of stakeholders
4.15. Identification of
stakeholders.
4.16. Stakeholder engagement.
4.17. Stakeholder demands.
Management approach – Economic performance (EC)
32; 33;
173
32; 148;
173
19; 32;
148; 149;
174
32; 173;
174
Complete
Complete
Complete
Complete
Economic performance 6 Complete
Market presence 5 Complete
Indirect economic impacts 4 Partial
EC1. Direct economic value
As a private company in Brazil, Unilever
Brasil does not disclose detailed information
on its economic performance in the country.
This is confidential information for which
the global operation is responsible and is
considered strategic.
6 Complete
EC2. Climate change 83 Complete
EC3. Pension plan 153 Complete
EC4. Subsidies
Since incentives and tax policy constitute a
competitive differential, this data is considered
strategic and therefore confidential.
Complete
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unilever brazil Sustainability Report 2012
reporting process
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General G3.1 indicators Direct Response Page
Response
level
Global
Pact
General G3.1 indicators Direct Response Page
Response
level
Global
Pact
EC5. Ratio internal/local
minimum salary
155 Complete 1
EC6. Spending on local suppliers 120; 124 Complete
EC7. Local hiring 144 Complete 6
EC8. Infrastructure investments
EC9. Indirect economic impacts
In 2013, there will be a pilot project at two
plants to identify potential community
engagement measures. A cross-functional
working group was formed to conduct the
projects. In 2012 there was no formal process
to undertake infrastructure investments based
on specific local demands.
In 2103, there will be a pilot project at two plants
to identify potential community engagement
measures. These actions may help to identify
indirect local economic impacts.
Management approach – Environmental performance (EN)
40 to 44 Complete
4; 29; 80 Partial
Materials 77 Complete
Energy
112; 116;
117
Complete
Water 88; 90; 91 Complete
Biodiversity 99; 105 Complete
Emissions, effluents and waste
73; 74;
82; 85;
95; 110;
Complete
Products and services 70; 80 Complete
Compliance 27; 66 Complete
Transportation 83 Complete
General 72 Complete
EN1. Materials used
The volume of direct inputs in the end
product is considered to be confidential
information and is not reported.
78; 79 Complete 8
EN2. Recycled materials 77 to 79 Complete 8; 9
EN3. Direct energy consumption 117 to 121 Complete 8
EN4. Indirect energy
consumption
118; 120;
121
Complete 8; 9
EN5. Energy saved 122 Complete 8
EN6. Eco-efficient products
and services
EN7. Reduction in energy
consumption
EN8. Water withdrawal
by source
Unilever focuses on energy reduction during
the production and post-consumption
phases. In 2012, there were no initiatives to
manufacture products with reductions in
energy requirements.
Complete
122 Complete
90 a 92 Complete 8; 9
EN9. Water sources affected 93 e 94 Complete 8
EN10. Water recycled
and reused
93 Complete 8
EN11. Protected areas 103 a 105 Complete 8
EN12. Impacts on biodiversity
102 to
105; 108
Complete 8
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unilever brazil Sustainability Report 2012
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General G3.1 indicators Direct Response Page
Response
level
Global
Pact
General G3.1 indicators Direct Response Page
Response
level
Global
Pact
EN13. Habitats protected
or restored
EN14. Managing impacts
on biodiversity
103 to 107 Complete
102; 110
to 113
Complete
EN15. IUCN Red list 103 to 105 Complete
EN16. Direct greenhouse gas
emissions
EN17. Indirect greenhouse gas
emissions
EN18. Greenhouse gas
emission reduction
85 a 87 Complete 8
85; 87 Complete 8
83; 84 Complete 7; 8; 9
EN19. Ozone layer 115 Complete 8
EN20. NOx, SOx and other
emissions
115; 116 Complete 8
EN21. Water discharge 99; 100 Complete 8
EN22. Total weight of waste 75; 76 Complete 8
EN23. Significant spills
EN24. Hazardous waste
transported
EN25. Water bodies and
habitats affected
There were no significant spills. We consider
a spill to be significant when it causes
significant persistent or isolated alterations
in the quality of a water body.
Complete 8
76 Complete
100; 101 Complete
EN26. Mitigation of product/
service impacts
EN27. Products and packaging
reclaimed
EN28. Environmental noncompliance
Regarding waste management, Unilever
is engaged in discussions on a sector
agreement in line with national legislation.
In the 2013 report we will publish further
information on sectors dialogues.
No fines for non-compliance with
environmental laws or regulations were
recorded.
70 e 71;
80; 83;
84; 91; 92
Complete 7; 8; 9
48; 80 Complete 8; 9
Complete 8
EN29. Transportation impacts 83; 84 Complete 8
EN30. Investments and
spending on environmental
protection
Management approach – Labour practices (LA)
72 Complete 7; 8; 9
Employment 133 Complete
Relationship between workers
and governance
24 Complete
Occupational Health and Safety 148 Complete
Training and Education 150 Complete
Diversity and equality of
opportunity
Equality of remuneration
between men and women
159 Complete
160 Complete
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General G3.1 indicators Direct Response Page
Response
level
Global
Pact
General G3.1 indicators Direct Response Page
Response
level
Global
Pact
LA1. Work force profile 135; 136 Complete
LA2. Employee turnover rate 137; 139 Complete 6
LA3. Benefits 157 Complete
LA4. Collective bargaining 164 Complete 1; 2; 3
LA5. Minimum notice
period regarding
operational changes.
LA6. Health and safety
committees.
LA7. Occupational diseases,
days lost and fatalities.
LA8. Serious disease prevention
programmes
LA9. Health and safety
agreements with unions
LA10. Average hours of
training per year
The number of hours of training was not
broken down by gender. This information will
be provided in the next report.
164 Complete
164 Complete 1; 2; 3
141 to 146 Complete 1
138; 148 Complete 1
164 Complete 1
150 Complete 6
LA11. Ongoing learning 150; 157 Complete
LA12. Career development
LA13. Diversity
All employees receive performance and career
development appraisals on a regular basis.
Unilever is currently adjusting reporting of
this indicator. The breakdown by gender of
board members, disabled employees and age
groups will be provided in the next report.
150; 151 Complete
159; 160 Complete 1; 3
LA14. Ratio of men’s to
|women’s salaries
LA15. Return to work and
retention rates after
maternity/paternity leave,
by gender.
Management approach – Human rights (HR)
Investment practices and
procurement processes
Unilever reported this indicator for the first time.
Since this involves leaves occurring in 2012 and
we do not have a historical data base, the number
of female employees retained for 12 months after
returning from leave is not reported.
161 Complete 1; 2; 3
150 Complete
125; 129 Complete
Non-discrimination 130 Complete
Freedom of association 164 Partial
Child labour 129 Partial
Forced or slave labour 129 Partial
Security practices 193 Complete
Assessment 193 Complete
Remediation 193 Complete
HR1. Human rights clauses in
investment contracts
HR2. Suppliers screened for
human rights
129 Complete
129; 130 Complete 1; 2; 3; 4
HR3. Training in human rights 25; 27 Complete
HR4. Cases of discrimination 25; 27 Complete 1; 2; 3
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unilever brazil Sustainability Report 2012
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General G3.1 indicators Direct Response Page
Response
level
Global
Pact
General G3.1 indicators Direct Response Page
Response
level
Global
Pact
HR5. Freedom of association
HR6. Child labour
HR7. Forced or slave labour
HR8. Human rights training for
security personnel
In its next report Unilever will provide more
accurate mapping of the most critical
suppliers regarding freedom of association
and collective bargaining.
In its next report Unilever will provide more
accurate mapping of the most critical
suppliers regarding child labour.
In its next report Unilever will provide more
accurate mapping of the most critical
suppliers regarding forced or slave labour.
Security of Unilever property is conducted
by two third-party companies, which provide
their employees with human rights training. In
2012, 100% of the security guards underwent a
six-hour training course addressing questions
such as: human rights and human relations
in the workplace, respect for human rights,
dealing with the public and priority treatment
for the disabled.
164 Partial 1; 2; 3
129 Partial 1; 2; 3
129 Partial 1; 2; 3
Complete
HR10. Percentage and total
number of operations
analysed with respect
to human rights-related
risks and/or the impacts
of such risks.
HR11. Number of grievances
related to human rights
filed, addressed, and
resolved through formal
grievance mechanisms.
Management approach – Society (SO)
Unilever has in place preventive measures
related to human rights, such as training on
its Code of Business Principles, channels
for reporting breaches and the framework
for managing these questions. There is
no specific formal assessment related to
human rights in the operations, although
the preventive measures do support such
assessments.
We received a total of 72 grievances, all of
which were addressed. None were proven
and were therefore filed away.
Complete
Complete
Local communities 40 Complete
Access to healthy foods 57 Complete
Corruption 23 Complete
HR9. Infringement of indigenous
people’s rights
Unilever does not have operations in regions
inhabited by indigenous peoples.
Not
Material
Public policy 47 Complete
Anticompetitive practices 27 Complete
Compliance 27 Complete
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unilever brazil Sustainability Report 2012
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General G3.1 indicators Direct Response Page
Response
level
Global
Pact
General G3.1 indicators Direct Response Page
Response
level
Global
Pact
SO1. Management of impacts
SO2. Analysis of corruption
related risks
Unilever local community engagement
programmes do not entail public consultation
(community) committees that include
vulnerable groups or health committees with
external representation. The programmes are
described in the report, as are the units in
which they are in place.
40; 41 10
24 Complete 10
SO3. Anticorruption training 23 Complete 10
SO4. Cases of corruption 24 Complete 10
SO5. Public policy and lobbying
SO6. Contributions to
political parties
SO7. Anticompetitive practices
SO8. Non-compliance with laws
and regulations (taxes,
labour charges, frauds)
SO9. Operations with significant
potential or actual negative
impacts on local communities.
Unilever does not support political parties or
organizations, neither does it conduct political
campaigns for employees, in accordance with
the company’s code of principles.
There is no record of significant judicial
cases pending or ended in 2012 related to
anticompetitive or monopolistic practices.
There were no significant cases resulting in
fines or penalties in 2012.
In 2013, there will be a pilot project at two plants
to identify potential community engagement
measures. A cross-functional working group
was formed to conduct the projects.
47 to 49;
172
Complete 10
Complete
Complete
Complete
42; 43 Partial
SO10. Prevention and mitigation
measures implemented in
operations with significant
potential or actual
negative impacts on local
communities.
In 2013, there will be a pilot project at
two plants to identify potential community
engagement measures. A cross-functional
working group was formed to conduct
the projects.
Management approach – Product responsibility (PR)
Customer health and safety 166
Product and service labelling 173
Communication and marketing 171
Compliance 27
42 e 43 Partial
PR1. Assessment of impacts 167 to 169 Complete
PR2. Non-compliance – product
health and safety
In 2012, there were no significant cases
of non-compliance with regulations and
voluntary codes related to product and
service impacts on health and safety.
Complete
PR3. Product labels 173; 174 Complete
PR4. Non-compliance - labelling 173 Complete
PR5. Customer satisfaction
PR6. Adherence to standards
– communication and
marketing
PR7. Non-compliance –
communication and
marketing
34; 35;
38; 169
Complete
171 Complete
171 Complete
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unilever brazil Sustainability Report 2012
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General G3.1 indicators Direct Response Page
Response
level
Global
Pact
General G3.1 indicators Direct Response Page
Response
level
Global
Pact
PR8. Breach of privacy
PR9. Non-compliance – product
supply and use
Management approach – Supply (SC)
There were no significant cases resulting in
fines or penalties in 2012.
Not Material
Complete
Protection of natural resources 126 Complete
Minimization of toxicity 166 Complete
Fair trade 125 Complete
Fair compensation for work 125 Complete
Traceability 126 Complete
Genetically Modified
Organisms (GMOs)
166 Complete
Animal well-being 169 Complete
Biofuels 80 Complete
FP1. Percentage of
volume purchased from
suppliers in accordance
with organization’s
outsourcing policy.
FP2. Percentage of volume
bought in accordance with
credible, internationally
recognized responsible
production standards
127 Complete
125; 126 Complete
FP3. Percentage of working time
lost due to labour conflicts
and/or strikes
FP4. Nature, scope and
effectiveness of any
programmes and practices
involving access to healthy
lifestyles and foods
FP5. Percentage of production
volume manufactured
in locations certified
under the food safety
management system
FP6. Percentage of sales volume
of consumer products
with reduced saturated
and trans fat, sodium and
added sugar.
FP7. Percentage of sales volume
of consumer products with
added nutritive ingredients.
FP8. Policies and practices
on communication
to consumers about
ingredients and nutritional
information beyond legal
requirements
164 Complete
56 to 58 Complete
167; 168 Complete
57; 58 Complete
57; 58 Complete
173 Complete
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unilever brazil Sustainability Report 2012
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General G3.1 indicators Direct Response Page
Response
level
Global
Pact
General G3.1 indicators Direct Response Page
Response
level
Global
Pact
FP9. Percentage and total
animals raised and/or
processed by species and
breed type
FP10. Policies and practices,
by species and breed
type, related to physical
alterations and the use of
anaesthetics
Due to the characteristics of our food products,
we do not acquire live animals or animals for
slaughter, but rather sub-products - such as
fish meal and powdered meat - used in soup
and bouillon recipes. All our suppliers of these
raw materials have declared that they have
policies in place to regulate the transportation
or slaughter of animals.
Due to the characteristics of our food products,
we do not acquire live animals or animals for
slaughter, but rather sub-products - such as
fish meal and powdered meat - used in soup
and bouillon recipes. All our suppliers of these
raw materials have declared that they have
policies in place to regulate the transportation
or slaughter of animals.
169 Complete
169 Complete
FP12. Policies and practices
on antibiotic, antiinflammatory,
hormone,
and/or growth promotion
treatments, by species
and breed type.
FP13. Total number of cases
of significant non-compliance
with laws and regulations,
and adherence with voluntary
standards related to
transportation, handling, and
slaughter practices for live
terrestrial and aquatic animals
Not Material
Not Material
FP11. Percentage and total
of animals raised and/or
processed, by species
and breed type, per
housing type
Not Material
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unilever brazil Sustainability Report 2012
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credits
SC – Sustainability
Committee
EB – Executivo Board
(in alphabetical order)
Sustainability Team
Cristiane Lourenço
Érica Ikuno
Jorge Kostrisch
Juliana Nunes SC
Laís Rocha
Lígia Camargo SC
Content
Alessandra Rondinelli SC
Ana Aguilera
Ana Cortez SC
Ana Cortopassi
Ana Paula Candido
Ana Paula Duarte
Anderson Hass
Anderson Rocha
Anderson Utembergue SC
Andrea Salzano SC
Betania Gattai
Bruno Carramenha
Carla Schuchmann
Caroline Lima
Carolina Reis
Cecília Dias SC
Claudia Cavalcante
Claudio Weschler
Crisley Oliveira
Cristiana Amaral
Daianne Galvão
Daniela Bombonatti
Eduardo Reis EB
Elaine Molina
Elizabeth Vargas SC
Fabiola Carvalho
Fernanda Marques
Fernando Bigliazzi
Fernando Fernandez EB
Fernando Prado
Fernando Rodrigueiro SC
Gabriela Jacob
Gilberto Soares
Gisele Pavin
Jeicy Caldas
Jessica Custodio
Joana Rudiger
Jose Andreosi
José Negrete SC/EB
Juliana Barrichello
Juliana Marra SC
Juliana Torres
Júlio Campos SC/EB
Karina Zimerfeld
Katrin Wrede
Leonice Ferreira
Luciana Tudeia
Ludmila Lopez
Marcelo Montovaneli
Maria Luisa Lopez SC
Maria Luisa Orlando SC
Mariana Angerame
Marina Yoko
Mauricio Pinto
Meire Odloak
Miguel Ortiz
Milton Brandt
Nelcina Tropardi SC
Newman Debs EB
Paula Lopes
Paulo Souza
Rafael Zanetti
Raul Fernando Rodriguez
Renata Coltro
Sergio Castro
Sueli Cagliari
Thaís Moreira
Thaisa Proni
Thaíssa Proni
Uwe Hagemann
Vannessa Silva
Vanessa Toro
Vanessa Vilar
Viviane Feitoza
Zelia Martini
GRI Consulting, editorial and
content coordination
Report Sustentabilidade
Review
Assertiva Produções Editoriais
Diagramation and visual production
Report Comunicação
Assurance
BSD Consulting
Photography
Acervo Unilever
Na Lata
UNPHOTO/Nicole Algranti (pg. 20)
Typefaces
FF Din, Albert-Jan Pool and Erik
Spiekermann, 1994.
Contact information
sustentabilidade@unilever.com
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