sustain ability - Griffith Foods
Transcription
sustain ability - Griffith Foods
2014 s u s ta i n ability O U R JO U RNEY 95 Years of Growth: 1967: Griffith UK 1986: Griffith France 1929: Griffith Canada 1919: Griffith Founded Chicago, Illinois Date of First Entry into Griffith Locations 1973: Griffith Belgium 1977: Griffith Germany 1978: Griffith Italy 1982: Griffith Spain 1972: Griffith Japan 2006: Griffith Middle East 1954: Griffith Mexico Dean L. Griffith Chairman Emeritus “And now, Griffith Laboratories has a bright future…but we must continue to change to remain sustainable. So that’s a job you now have. To reinvent the world as far as Griffith is involved. The world moves faster than it ever has, so you have to move fast. Don’t be afraid of mistakes, but do your homework carefully. “ 1995: Griffith China 2005: Griffith India 1971: Griffith Costa Rica 1980: Griffith Hong Kong 2001: Griffith Thailand 1976: Griffith Colombia 1992: Griffith Brazil © 2015 Griffith Laboratories Worldwide, Inc. Contents 01 A Statement From Brian Griffith 04 People 16 Planet 22 Performance 28 India Profile 32 Colombia Profile 35 Awards 36 Continuing the Journey A Statement From Brian Griffith Brian L. Griffith Chairman of the Board Many of you have heard me tell the story of how my parents, Dean and Lois, introduced the concept of Sustainability at Griffith to me as a young child – that Griffith was “a vehicle for greater good”. Our Sustainability Platform is born from this powerful idea! It captures our efforts at “doing good” and enables us to structure and focus our intent to positively impact society as a whole. At Griffith, we are seeking to maximize positive outcomes and responsibly manage the resources required for our business to excel. Our Sustainability Framework has given structure and form to the spirit of Griffith as a “vehicle for greater good,” and we are committed to become more intentional and focused on driving positive change through our “triple bottom line” framework of People, Planet and Performance. This Platform is not an initiative, but a mindset to create greater impact inside and outside our business; to drive profit and create positive societal impact. We believe passionately that it is not an either/or proposition. We can both do well and good. Our Sustainability Platform is the lens that we look through to frame our activities, processes and initiatives, as well as a filter by which we make decisions. This ensures positive outcomes while maximizing our human potential, responsibly managing resources and driving growth for our customers, ourselves and society. So with this in mind we have organized ourselves to deliver on the goal of “working for a better tomorrow” through local, regional and global teams which guide and accelerate our progress in our Sustainability journey. Over the past year, I have seen and felt the enthusiasm, passion and commitment our employees around the world pour into the Sustainability Platform. Teams initiated projects to support our employees and communities, and have inspired environmental action. Through these activities, we also elevated the Company’s performance. Because of your contribution to our Platform, we are making a very real impact in all areas of our triple bottom line. Throughout these pages, we highlight the good work that we’ve done together, and the successes of units around the world. You will see just a few of the many accomplishments from 2014. These achievements are all possible because of your contributions and I thank you for your outstanding effort in making our Sustainability Platform real and meaningful. Together, let’s continue working for a better tomorrow. GRIFFITH LABORATORIES | SUSTAINABILITY REPORT 1 Working For A Better Tomorrow Griffith Laboratories’ Sustainability Platform is founded on caring for our communities in which we do business, driving responsibility towards environmental action and operating ethically and strategically to promote longterm sustainability of our Company and the world. We are guided by core values based on uncompromising integrity and respect for our employees, customers, suppliers and business partners. People Our culture is built on supporting our employees, their families and associations that are committed to serving individuals living in our surrounding communities. As a food company, we feel a special obligation to alleviate hunger and improve nutrition; we encourage our employees and business partners to be engaged citizens. Planet With locations on four continents, we understand the importance of being good stewards to our shared planet. Griffith is reinforcing our commitment to that promise through responsible administration of the Earth’s resources. Performance Griffith Laboratories’ continued success is directly related to the advancement of our customers and a strategic approach to business management. We are dedicated to ethically and responsibly growing our customers’ brands while maintaining our food safety excellence. 2014 Priorities This past year was dedicated to building foundational elements of the Sustainability Platform to position Griffith Laboratories for sustainable success. This included developing a Sustainability Framework and ensuring our priorities and activities fulfilled our stakeholders’ expectations, including our most important stakeholders, our employees. Griffith’s Sustainability Framework is separated into 18 subcategories, six within each segment of People, Planet and Performance. Each subcategory provides direction and opportunities to launch activities that continually help Griffith become more sustainable. In 2014, activities were completed in all subcategories, and focused on: People – Employee Safety; Engaged Employees; and Community Involvement. Planet – Solid Waste Reduction; Energy Efficiency; and Water Conservation. Griffith Values Sustainability is interconnected and embedded in our values as an organization. These values are collective behaviors that define our culture as a Company. We are proud to be a family company and strive to help each employee achieve their greatest potential, while encouraging a successful balance between home and business life. We think and behave with the passion of an owner. We invest wisely, take smart risks and always maintain the highest ethical and moral standards Recognizing that our success depends on our customers’ success, we work to create value, generating growth and prosperity for our customers. We take responsibility for meeting commitments, executing with excellence, measuring results and rewarding success. Performance – Griffith & Customer Growth; Company Investment; and Food Safety. Additionally in 2014, we evaluated our current state within Sustainability, establishing baselines for our metrics. Based on these baselines, we can now track our progress each year to accurately gauge our success or need to evolve. All of these foundational elements are critical to the long-term success of Griffith Laboratories’ Sustainability and overall performance. 2 GRIFFITH LABORATORIES | SUSTAINABILITY REPORT Thriving on imagination and innovation, we foster an optimistic spirit that encourages risk-taking and the persistence to realize our dreams. We always believe the future can be even better. We act as one across national and organizational boundaries. We celebrate our cultural and personal differences knowing that, together, we create a unique source of strength. GRIFFITH LABORATORIES | SUSTAINABILITY REPORT 3 Employee Safety PEOPLE: A Statement From Steve Lee STEPHEN LEE Senior Vice President Global Human Resources 2015 Priorities Employee Safety Engaged Employees Community Involvement 4 Our Sustainability Platform begins with People – the people who work in our organization, their families and our communities. Our commitment is focused on enhancing their wellbeing, supporting their growth and engagement and improving lives. Just a few of our many initiatives are highlighted here. In 2014, we enhanced global programs to maximize the wellbeing of our employees through a culture of safety excellence. Global units also embraced initiatives focused on the wellness of employees and their families through health screening, programs and support. Additionally, 2014 saw the launch of the Global Employee Assistance Program based on a state of GRIFFITH LABORATORIES | SUSTAINABILITY REPORT the art service delivered by ComPsych, the world leader in employee support. Wellbeing also includes personal growth, so we continued to focus on supporting employee educational initiatives in multiple locations. Engaged employees and families remains an important goal. We continue to seek ways to better earn our employees’ commitment through benchmarking against the best companies and acting on our employees’ ideas for improvement. Our commitment to People extends into and beyond the communities in which we operate with the aim of improving the lives of those in need. Throughout the Griffith world, teams engage with institutions such as Ronald McDonald House Charities and many smaller organizations through countless volunteer hours and contributions. As a food company, we maintain a special focus on feeding the hungry. The highlight of 2014 was our global support of World Food Day in October, when employees in all Griffith locations, with the help of our supplierpartners, produced 1.2 million meals to feed the hungry. Our Company is committed to the sustainable growth of People. Thank you for supporting our People Sustainability goals in 2014. We look forward to continuing this journey together. To help ensure safe working conditions at all Griffith Laboratories facilities, Jim Swanson, Griffith U.S.A.’s Director of Safety and Security, collaborates with the Global Health & Safety (H&S) Steering Committee (comprised of global executive leadership) and with local management and safety leaders to develop worldwide standards of safety measured by regular audits. They address the organization and administration of safety practices, facility condition and preventative maintenance, how incidents are documented and resolved and other topics that create a culture of safety. Griffith’s safety standards provide a global framework that meets, and often exceeds, local standards in the communities in which our units operate, and establish best practices for safety that all units can follow and measure their progress against. 2014 marked the first year all global units were audited or participated in a self-assessment audit. These audits will be used as the baseline for future improvements. Along with the safety audits, the Global Health and Safety Steering Committee focused on specific areas, especially mixer safety. Components of mixer safety include installing fail safe switches and updating Lockout/Tag-out (LOTO) procedures. LOTO ensures that every technician or operator attaches a mechanical lock to which they only have the key. This prevents anyone from accidentally restarting a mixer while a technician is performing maintenance. Mixer safety also includes dust explosion prevention programs. These programs include assessment of risks, techniques to minimize and isolate dust, and training and retraining procedures. Additionally, the 7th Annual North American Safety Conference, which was held this past October, specifically focused on this topic. To further enhance and enable H&S efforts, Griffith will establish Regional Executive Health & Safety Committees. The Regional Committees, comprised of the top regional decision makers and safety leaders, will provide guidance and direction for H&S activities to the safety leaders in each of our units. The Regional Executive Safety Committees will work closely with the Global H&S Steering Committee to provide the support that is in line with our corporate values. Lock-out/Tag-out procedures stop accidents Safe working practices define who we are as a Company, and the growth of our global safety culture reflects that safety is not a program, but a fiscally and socially responsible way to conduct our business. It is everyone’s right to enjoy safe working conditions and everyone’s responsibility to participate in our common goal of protecting lives and preventing injury. GRIFFITH LABORATORIES | SUSTAINABILITY REPORT 5 Griffith Belgium’s Results 94% 83% 6 GRIFFITH LABORATORIES | SUSTAINABILITY REPORT an de deelnemers zou het programma aanraden of the participants would recommend the program werkte het programma succesvol af of the participants successfully completed the program 33% slaagde erin om 2 kg te verliezen succeeded in losing 2 KG 67% slaagde erin om 5 kg te verliezen succeeded in losing 5KG 88% slaagde erin om conditie te verbeteren succeeded in improving their overall health 33% slaagde erin om spiermassa te winnen succeeded in gaining muscle EU Walking Challenge Builds Culture Employee health and wellness are important to Griffith. For that reason, across all of Griffith Europe, 98 employees created 14 teams to participate in the 100 Day Get the World Moving Global Corporate Challenge (GCC). The GCC is a low BENELUX Sales Team holding their prize impact, pedometer-based workplace intervention program that encourages increased activity and tracks results through the Foundation for Chronic Diseases achievable goals, such as weight loss, stopping Prevention in the Workplace. smoking and other overall health targets. After completing the FitBees challenge, employees had a As a group, Griffith Europe committed to walking second medical check. Overall, 33% of participants at least 10,000 steps per day. An incredible 83% of lost two kilos, 67% lost five kilos, and 88% saw an individuals exceeded that mark, walking an average improvement in their overall condition. of 13,445 steps each day. In total, Griffith Europe participants walked 123,550,738 steps, equivalent But what is the best result? “There was a special to over 79,000 kilometers. Also as a team, Griffith atmosphere in the Company during the challenge,” Europe employees lost a combined 159 kilograms Veerle Vanvelk, Human Resources Manager Europe – over the 100 day challenge. Talent & Organisational Development said. “You could see people having salads for lunch and challenging Additionally, 65 Griffith associates in our Herentals, their team members to get their daily steps Belgium office participated in the FitBees program, completed. Now that the challenge is over, groups are also a walking challenge. Before the program started, still going for walks on breaks and kept the culture of participants had a medical check so they could set healthy lifestyles alive.” Stamps for the Greater Good Since 2006, Griffith Japan has been cutting used stamps from envelopes and collecting them for a greater good. The team in Japan has an existing partnership with the Japan Overseas Christian Medical Cooperative Service (JOCS), an organization which sends medical personnel to countries in Africa and Asia to help communities in need. Griffith Japan employees send the collected stamps to JOCS, who sells them to stamp collectors. The collected proceeds are directed to the organization, which dispatches medical supplies and staff to the locations where it operates. GRIFFITH LABORATORIES | SUSTAINABILITY REPORT 7 Global Employee Assistance Program Are you looking to purchase a home, take your family on vacation, or would like to speak with a financial specialist? Do you just need to talk with someone about the typical stresses of home and work life? To help our employees with any type of life event, Griffith is excited to offer the Global Employee Assistance Program (EAP) as part of our global benefits beginning in 2015. The EAP offers a confidential source of assistance for employees and their immediate family members experiencing any type of life event, personal issue, or family change. The Global Employee Assistance Program is a free service, and is being administered by ComPsych® Corporation, the world’s largest provider of employee assistance programs and existing provider in the United States. Your local Human Resources team has the appropriate contact information, including a toll-free telephone number for immediate personal assistance. To work directly with ComPsych, call the number associated with your business unit. A ComPysch associate will direct you to the best representative to meet your need. Representatives are available twenty-four hours every day, seven days each week, so call at any time. You can also access the services by visiting www.compsych.com. The exact assistance program offered will vary from unit to unit to match local needs with the right system, but will generally include services such as assistance with: emotional health issues, such as anxiety; your relationships, including with your spouse, children and coworkers; work-related and home-life stress counseling; vacation and trip planning, as well as emergency assistance while traveling; and, lifestyle changes, such as eating habits and smoking cessation. The benefit not only includes coverage for Griffith employees, but also for spouses and children. As part of Griffith’s EAP, employees and their families can receive five face-to-face sessions with an emotional or grief counselor for any issue or incident. Employees and their families can meet with another counselor if any other separate issues occur. The benefit also includes unlimited telephone access to a financial planner and/or legal advisors. If you have specific questions, contact ComPsych or your local Human Resources manager to learn more. Some of the many services available to you through EAP: Health programs Counseling sessions Family conflict assistance 8 Financial planning Budget management Savings plans and opportunities GRIFFITH LABORATORIES | SUSTAINABILITY REPORT Housing search assistance Collegiate services Day care referrals Supporting Those in Need As part of Custom Culinary®’s commitment to putting action in Sustainability, the Company has been supporting Hesed House, a full-service shelter in Aurora, Illinois, for over six years. Hesed House uses a model called “Comprehensive Homeless Resource Center,” which is a campus-based approach that brings professionals together to help individuals and families overcome the many obstacles that contribute to chronic homelessness. To support this cause, Custom Culinary® participates in events such as sponsoring dinners at the shelter, hosting hands-on product training, and providing needed kitchen tools from the Lombard, Illinois office. Additionally, Custom Culinary® was able to donate $4,000 to Hesed House for their HEAT (Hesed Education and Training) Initiative, which teaches hard and soft skills to the residents of the shelter. Griffith Costa Rica’s “Chiqui Tour” Engages Entire Family Each year, Griffith Costa Rica engages employees’ families with the Chiqui Tour, an educational and fun day dedicated to introducing children to their parents’ workplace. All departments in the office and plant get involved by decorating and preparing activities for children to learn about their parent’s profession through talks and demonstrations. The Health & Safety team also participates to create a safe environment for the kids to tour the facility. Vacation planning Identity protection Passport and Visa assistance In 2014, 50 children accompanied by their parents participated in the event. After the tour, employees shared their families mutual excitement, and commented on an increased energy and pride seen among all Griffith associates. GRIFFITH LABORATORIES | SUSTAINABILITY REPORT 9 19 Griffith manufacturing facilities in 13 countries partnered with more than 50 suppliers worldwide during the “Produce for Hunger” initiative Griffith units to help create and facilitate relationships with local and national organizations. “This has been a global effort of Griffith employees and its vendors that has been months in the planning, and includes countless hours of dedicated volunteer time,” Jeffrey Klein, President and Chief Executive Officer at GFN said. “To say that we are thankful and pleased to be working in partnership with Griffith in providing this wonderful food to hungry people hardly seems adequate. Please know how truly appreciative we are for Griffith’s creativity and generosity, and the Company’s huge commitment to those less fortunate among us.” One Day: 1.2 Million Meals World hunger is a serious issue and one of great importance to Griffith as part of the food industry. In an effort to alleviate hunger, on World Food Day 2014 (Oct. 16), all 19 Griffith manufacturing facilities in 13 countries partnered with more than 50 suppliers worldwide during the “Produce for Hunger” initiative to support local communities where we operate and conduct business. The distributed product donations created 1.2 million meals to feed the hungry. “The business units around the globe really embraced this opportunity from the start. In a few months, they were able to connect with their local food bank, identify a meaningful product for donation, work externally to solicit key partners’ support for ingredients, labor, transportation, etc., and internally produce the donated product,” McCarville said. “Our partners were eager to step up and join this worthy cause when they saw the linkage to their business. It truly is motivating to work together to benefit the communities in which we live.” Griffith donations were sent to 15 food banks, most within the GFN’s network, as well as local communities in China and Thailand. “The food banks are excited to have this support so they can efficiently feed people in need. It really goes to show how a modest effort by everyone can add up to a significant impact of feeding people who are hungry around the world,” McCarville stated. The Global FoodBanking Network is delighted with efforts to support the other local and national organizations outside of GFN’s network, Klein also stated. “The Company remains committed to helping those in need, and will continue to serve local communities,” Brian Griffith, Chairman of Griffith Laboratories said. “Creating 1.2 million meals with the support and action of our employees on three continents is an incredible expression of Griffith’s historical and ongoing commitment to feeding the hungry. This has been such a great testament of what can be achieved by all of us within Griffith, as well as our supply chain partners, who provide ingredients, packaging and transportation.” To continue the positive work, Griffith will engage in the Produce for Hunger initiative in the future, producing food to feed millions. Each of our manufacturing locations will participate again in 2015, and the Company will continue to foster and grow relationships to feed people in need. The distributed product donations created 1.2 million meals to feed the hungry. John McCarville, Senior Vice President of Global Supply Chain and IT, said it took a concentrated and committed global effort to successfully produce and distribute To ensure we were able to effectively feed as many individuals in need as possible, the high volume of donations on World Food Day. Griffith partnered with The Global FoodBanking Network (GFN). GFN worked with 10 GRIFFITH LABORATORIES | SUSTAINABILITY REPORT GRIFFITH LABORATORIES | SUSTAINABILITY REPORT 11 Food Banks & Feeding Programs Food Bank Feeding Program South Normanton Area Foodbank Voedselbank Antwerpen-Mechelen-Turnhout (VBAMT) North York Harvest Food Bank Greater Chicago Food Depository Second Harvest Food Bank of North Central Ohio Bancos de Alimentos Tarragona Local Community in Qingdao, China Second Harvest Japan Atlanta Community Food Bank Banco de Alimentos de Cáritas de Monterrey, A.C. (BAMTY) India Food Banking Network Local Community in Zhongshan, China Banco de Alimentos del Estado de Hidalgo (BAPACH) Bangalore Food Bank Khlong Charoen Raj School Banco de Alimentos de Costa Rica & Banco de Alimentos de Honduras Banco de Alimentos de MedellÍn MBS São Paulo | Coordenaçao Griffith Mexico Fosters Education For The Future Celebrating Company Values Many Griffith business units provide educational opportunities and assistance for employees working toward degrees and certificates that benefit their careers and personal lives. These programs range from language courses, such as English, Spanish and Portuguese at our Central and South America units, to financial assistance when earning educational degrees. Griffith Asia Pacific, with the support of the Region’s president, Eugenio Torres and each unit’s Managing Director, recently re-launched the Values Program to coincide with the development of Griffith’s Sustainability Platform. The re-launch was designed to ignite employee understanding of Griffith’s Values within Asia Pacific, and to bring the Values to life in the workplace by encouraging employees to “live” the values every day. Griffith Mexico, has engaged in a joint venture with the manufacturing labor union C.R.O.C. at our Monterrey facility, and the Educational Institution for Adult Education (INEA), a governmental agency, at the Atitalaquia facility. Currently, 26 employees from the Monterrey facility are enrolled in classes to earn their high school degree. Another seven employees successfully completed their junior high courses at the Atitalaquia plant. The unit is also working with the INEA to offer a high school program to those employees. These classes are ongoing and work on an “Open School” methodology. Students attend twice each week for two-hour instruction, then study the material on their own. Every month, a new subject is introduced and evaluations are given to test the students on their mastery of the material. Each student must attend at least 37 lectures to finish their courses! Three Values Champions were established to represent the business units in China, Thailand and Japan. In China, Jane Shi, Senior IT Manager, led the effort; in Thailand (Southeast Asia), Jennifer Anarna, Marketing Manager; and, in Japan, Minako Hirose, Marketing Manager, served as the key contacts. Also, Kingman Yue, VP of Finance and Administration, served as the team’s adviser and guide. The Values Champions visited units in Mexico and the US, taking their learnings back to the Griffith offices in Asia. The teams have already begun implementing the learnings from their trip and are continuously working with management to more effectively recognize employees who are “living Griffith’s Values.” To do this, teams are creating more engagement opportunities and activities that directly align with the Values that form the foundation of the Company. Contact any of the Values Champions for more information on their execution of the Values ReLaunch. Along with junior high and high school classes, 18 employees at Griffith Mexico are participating in English language classes. Classes like these advance our employees’ careers and help better prepare them and their families for the future. 14 GRIFFITH LABORATORIES | SUSTAINABILITY REPORT GRIFFITH LABORATORIES | SUSTAINABILITY REPORT 15 Griffith Canada: Zero Landfill PLANET: A Statement From John McCarville John McCarville Senior Vice President Global Supply Chain & IT 2015 Priorities Sustainable Sourcing In 2014, Planet initiatives focused in the areas of Solid Waste Reduction, Energy Efficiency, and Water Conservation. We established baseline metrics for energy and water usage and measured the current levels of recycling and solid waste to landfill. I want to thank our Planet leaders at all 19 facilities for your discipline in completing a full year of monthly recording to assess our current levels. Tracking of these target areas is foundational to accurately gauging future progress. Along with developing baselines this past year, 47 manufacturing Sustainability projects were completed within the target areas, reinforcing our company- 16 GRIFFITH LABORATORIES | SUSTAINABILITY REPORT wide commitment to resource usage and conservation. We also established a target of Zero Landfill waste by 2018. We already have three Zero Landfill locations and are aggressively working towards this goal at all others. Projects in Sustainable Sourcing are underway to standardize our key spice ingredients (chilies, peppers, sage). These projects will verify quality processes and traceability, contribute to the wellbeing of the farmer, leverage supplier relationships, drive efficiency through the supply chain/ logistics, and ultimately meet the customer needs. This initiative will be further developed in 2015. We are also very proud of the development of our new Leadership in Energy and Environmental Design (LEED) Certified manufacturing facility in India, scheduled to become operational in 2015. The facility is built to ensure we meet environmental needs of the community and maintain an eco-friendly design and operation. Griffith is committed to the conservation of the earth’s resources, the effective sourcing of materials, responsible operation of our facilities, and mitigating the impact of waste and emissions. On behalf of the entire Planet team, we thank you for being part of a strong foundation. Griffith Laboratories has set a goal to reach Zero Landfill in all manufacturing facilities by the end of 2018. To achieve this, we need to average a decrease of 33% of materials sent to landfill each year, beginning in 2015. Some Griffith facilities, like Griffith Canada, have exceeded this expectation and already achieved Zero Landfill status in the plant. Griffith Laboratories Canada, located about 25 kilometers northeast of downtown Toronto, works directly with U-Pak Disposals Ltd., a privately held Canadian-owned and operated waste disposal and recycling company located in Ontario. U-Pak takes Griffith’s waste materials, sorts them and recycles what they can. All other materials are sent to Algonquin Power Energy from Waste (APEFW) for further processing. APEFW is a state-of-the-art alternative energy facility that incinerates non-recyclable materials, generating steam from the process. This diverts hundreds of thousands of tonnes from landfills while producing thousands of megawatts of electricity. In fact last year, the facility produced at least nine megawatts of electricity from the thermal treatment of waste, enough to power 6,000 homes. OTHER UNITS AT ZERO-LANDFILL Qingdao Shizuoka Somercotes GRIFFITH LABORATORIES | SUSTAINABILITY REPORT 17 Energy Conservation At Griffith Laboratories units around the world, we have been focusing on ways to reduce our impact on the environment. A key way to accomplish this is through projects directed toward Energy Conservation. Projects to reduce our energy usage in 2014 included everything from new air conditioning units to cool areas more efficiently, to evaluating our manufacturing processes to minimize the Company’s energy usage through production. Perhaps the most common project to reduce our energy usage in 2014 has been through lighting upgrades. In fact, almost 20% of all Griffith Continuous Improvement (GCI) projects have been focused on lighting, such as installing LED lights in our China plants or installing new sensors that control lighting in Spain. Lighting projects have been completed on every continent where Griffith operates units, including projects in China, Japan, Thailand, Spain, Canada, the United States, Colombia and Costa Rica. 18 GRIFFITH LABORATORIES | SUSTAINABILITY REPORT INNOVA Agriculture Diversion Innova Flavors is the leading manufacturer of Hydrolyzed Vegetable Protein (HVP) in the food industry. Vegamine®, Innova’s benchmark HVP for over 50 years, is sourced from soy, corn, wheat or yeast and is the ideal starting point for applications such as appetizers, soups, gravies, side dishes and more. The filtering process to produce HVPs, such as Vegamine®, yields a bi-product known as humin, which is not soluble in water and difficult to breakdown. Annually, Innova generates about 3.6 million gallons of humin, with portions being sent to a local farm in Illinois. The farm uses this as a fertilizer source by adding it into the soil in the Spring and Fall. Recently, Innova found a second sustainable and energy efficient method for reducing their bi-product, especially in the winter when the farm cannot use it in the frozen soil. Along with using humin as a fertilizer, they began to work with an anaerobic digester (producer of only biogas). The biogas producer mixes the humin with other organic waste to create methane gas, which is then turned into electricity. The transformation of humin to an energy source has yielded enough energy to power 900 residential homes. Office Sustainability Action Squad Griffith USA employees in the Alsip, Illinois office created a new team to generate Sustainability initiatives throughout the entire facility. The Office Sustainability Action Squad (OSAS) is a cross-functional group with members from Product Development, Marketing, Sensory, Engineering, Pricing and other departments, providing an opportunity to make a real impact in each area of the office and the plant. In their first few months, OSAS has already started Sustainability Awareness campaigns, began a new cafeteria recycling program, distributed ceramic coffee mugs to decrease the amount of waste from paper cups, and initiated many other projects to inspire employees and reward participation. In late 2014, Griffith was officially accepted into the Sustainable Spices Initiative (SSI) organization. Originally created by the Dutch group “The Sustainable Trade Initiative,” SSI is now an international consortium of independent companies, government agencies and other organizations who aim to scale up sustainable sourcing practices throughout the entire food industry. Griffith is the nineteenth organization voted into the group, joining companies such as Unilever, McCormick and Olam. Griffith’s involvement with SSI allows the Company to participate in existing projects started by the group, as well as start new projects designed to increase sustainable sourcing opportunities for heavily used spices and ingredients, such as sage and black and white pepper. To accomplish this, SSI partners with the Rainforest Alliance to create standards for pepper, ginger, turmeric, chilies, vanilla, cloves and cassia. As a member, Griffith will have access to the standards and tools created by SSI which will improve our sustainable sourcing practices around the world. GRIFFITH LABORATORIES | SUSTAINABILITY REPORT 19 Treating Water On-Site In Fiscal 2014 and moving forward into 2015, Griffith units around the world are focused on methods to reduce, recycle and reuse water from their manufacturing facilities. There are two common methods by which conservation and reduction is achieved: a mechanical solution, which typically involves equipment or other structures, such as new efficient washing systems or cleaning nozzles; and process improvements, which relies on evaluating processes, such as water overshoot while cleaning kettles, and developing a solution to solve identified issues. At Griffith Mexico’s facility in Monterrey, the team has developed a solution that combines both mechanical and process methods to reuse the unit’s water by installing their own waste water treatment plant. This new system will treat water used at the facility, then reuse the treated water as Griffith Mexico’s irrigation for the facility’s grounds. This new system yields several benefits, especially decreased water usage. In fact, the new water treatment plant will result in over 18,000 cubic meters of water savings to the Monterrey aquifer, and an improvement to the City of Monterrey’s capacity to treat other water sources. Additionally, the plant has been developed to meet local regulations, as well as possibly more stringent standards in the future. In 2014, 11 water conservation projects were completed throughout units in Griffith. Through February 2015, Griffith facilities around the world have already completed or started 14 water projects. 20 GRIFFITH LABORATORIES | SUSTAINABILITY REPORT GRIFFITH LABORATORIES | SUSTAINABILITY REPORT 21 PERFORMANCE: A Statement From Drew Bandusky Drew Bandusky Senior Vice President Global Business Performance 2015 Priorities Wholesome, Innovative Products Risk Management 22 Performance is embodied in our Company Value to “Deliver Results” – both financial results and in continuing to strengthen our business for the future. In 2014, Performance priorities focused on growth, investment and food safety. During the year, we made excellent progress against each of these priorities. We achieved record net sales in 2014, marking our fifth consecutive year of sales growth. This continuous achievement reflects the strong commitment we have in serving our customers around the world. Growth is the engine for Sustainability, for our customers, communities and us. GRIFFITH LABORATORIES | SUSTAINABILITY REPORT Throughout 2014, we made important investments with new plants in both India and Spain. We strengthened our food safety and quality systems through BRC certification of our plants and began the global rollout of our One Griffith ERP system. Each of these investments helps to position us for the future. Fiscal 2014 was a year of successful financial Performance for Griffith. These results came not only from our focus on growing, but also through identifying and executing Griffith Continuous Improvement projects and the efficient management of our costs and working capital. Your efforts in these areas exemplify our value to “Behave Like Owners,” and allows us to invest in the facilities, equipment, people and programs that support Sustainable Performance into the future. This is essential to continue increasing our positive impact on People and the Planet. Fiscal 2015 will be challenging in many respects, but also full of opportunities. We have a strong financial foundation, excellent business momentum and a talented team that gives us confidence moving into the new year. I look forward to working together to continue to deliver a strong and Sustainable future. Thank you for all that you do! BRC Grade A at 17 Griffith Facilities Worldwide To guarantee food safety in our manufacturing facilities, Griffith follows standards as directed by the British Retail Consortium (BRC). The BRC Food Safety Standard is benchmarked by the Global Food Safety Initiative (GFSI), an international standard created by the world’s largest retailer and food manufacturing companies. The standard covers management commitment to continuous improvement, food safety plans, quality, product and process control, site standards and personnel practices. In 2014, Griffith had 17 out of 19 facilities successfully certified as BRC Grade A. The two locations not certified in India and Brazil are constructing new facilities and are pending certification. As a food company, food safety is our top priority, and we will continuously improve to guarantee the safety of consumers worldwide! Implementation in USA In October, Griffith Laboratories USA successfully implemented and launched Microsoft Dynamics AX, also known as One Griffith ERP. Enterprise Resource Planning (ERP) is a software tool that integrates information across an entire organization to coordinate all internal operational business functions (purchasing, manufacturing, accounting, etc.), as well as relationships with external suppliers and customers. One Griffith ERP replaces multiple systems and processes with one tool, enabling alignment critical to business success. It will drive efficiency and consistency, presenting one common face to the business, customers and suppliers everywhere. After the successful launch in the US businesses, One Griffith ERP will be gradually implemented at all units. The specific timeline will be created following completion of the US implementation using the best practices developed by Microsoft. One Griffith ERP links our global business and enables the Company to deliver success in our rapidly evolving industry. GRIFFITH LABORATORIES | SUSTAINABILITY REPORT 23 New Investment in Spain The overall growing consumer need for convenience, snacking and product customization has led to the development of new innovative products both in retail and foodservice. Building on this trend, sauces and marinades have been among the biggest growth accelerators and a major focus for Griffith Europe over the last few years. In 2013, the Company decided to invest in a new sauces and marinades facility in the South of Europe, more specifically in Valls, Spain (near Tarragona). largely serve the Southern European markets, as well as potential export markets in Africa and the Middle East. The sauces facility the Company operates in the United Kingdom will continue to serve the markets in the UK and Northern Europe. The growing capability to produce a wide range of sauces will allow Griffith Europe to meet the diverse needs in terms of taste, texture and packaging requirements for the European markets and consumers. The new plant will gradually generate more sauce capacity through 2020. By investing in sauces and marinades in Spain, Griffith Europe will be able to The new facility in Spain will be operational in April 2016 and has been constructed with the latest Showcasing Capabilities Differentiating a company’s value in a growing and diversified marketplace is a challenge for any organization. To show their unique value and successfully demonstrate Innova Flavors’ contemporary products of meat and savory flavors, the Innova team created the Flavors worth remembering™ brand. The updated brand reinvigorates Innova’s image with a fresh look that syncs with the tastes of today’s consumer while highlighting the Company’s 24 GRIFFITH LABORATORIES | SUSTAINABILITY REPORT Global Food Safety Council One of several concept drawings of new facility manufacturing and food safety regulations and technologies. Like our new plant in India, this plant will also be constructed according to LEED principles. Leadership in Energy and Environmental Design (LEED) is a set of rating systems for the design, construction, operation, and maintenance of green buildings, homes and neighborhoods. The plant in Spain will also be Halal certified. commitment to long-term evolution and innovation. With design elements such as the “Flavor Burst,” which represents the spectrum of customized flavors offered, Innova’s new message and brand image are meant to convey a warm, connecting and inviting feeling while remaining relevant, fresh and modern. Most importantly, the Flavors worth remembering™ brand is a reminder to have a strong connection and impact with the customers they serve by creating the bold and memorable flavor experiences consumers demand. In 2006, Griffith established the Global Food Safety of our customers and prepare for our British Retail Council (GFSC) to lead, implement and manage key Consortium (BRC) annual certification. processes that ensure delivery of safe and wholesome food offerings by the Company. The GFSC is committed to sharing ideas and solutions with all units, and gathers each year at The primary responsibility and mission of the group is an annual summit to exchange best practices and to standardize and implement food safety and quality review challenges and opportunities as a global systems practices at every business unit around team. Additionally, the regional groups meet once the world. To accomplish this goal, the Food Safety a month to review their initiatives’ progress. Every Council is comprised of a 20 person team of global manufacturing location is represented in the team to and regional multi-functional employees that have ensure holistic implementation and application. direct and indirect quality responsibilities. Among the team’s initiatives in Fiscal Year 2014, The team is also responsible for coordinating the Global Food Safety Council focused on growing proactive annual internal audits on Food Safety, Griffith’s Food Safety Culture by highlighting every Quality Systems, Operational Practices, Food Defense employee’s role in food safety through engagement and Formula Security. Audits are conducted by our and exposure. This included senior management external partner, DNV, a consulting firm certified by participation in audits and “Food Safety Weeks.” the Global Food Safety Initiative (GFSI). By completing Additionally, the GFSC supports Global Regulatory, these audits each year, Griffith is better prepared Quality Control, Quality Systems, and Supply Chain to meet the evolving standards and expectations teams through cross-functional programs that further Global Food Safety Council Team with Engineering Team highlight the role all employees have in food safety. Food safety will always be among the highest priorities for Griffith. In 2015, the Global Food Safety Council remains committed to enhancing Griffith’s Food Safety Culture through continued employee engagement and communication, as well as activities in sanitary design, food safety regulations and foreign material control. GRIFFITH LABORATORIES | SUSTAINABILITY REPORT 25 Griffith’s Range of Products Marinad es Pr s Profile Spotlights nin aso Se Flav ors & ein ot Ba se s& Sauce s gs In the next section of Our Journey, we take the opportunity to introduce Griffith employees to their colleagues in two units, India and Colombia, and the incredible accomplishments at each unit. Both groups showcase integration of the entire Sustainability Platform into their everyday lives and the impact achieved through this work. Each year, we will feature different units and their progress in achieving Sustainability, as well as the best practices and ideas that lead to success. We are all excited to see which unit will be showcased next year! na ck gs tin Coa Se aso ning As you know, for Sustainability to truly affect an organization and the world, actions and results are required in all three of our categories: People, Planet and Performance. All Griffith units around the world are doing exactly that, and we are proud of these efforts. S B ak ery & Dough Blends 26 GRIFFITH LABORATORIES | SUSTAINABILITY REPORT GRIFFITH LABORATORIES | SUSTAINABILITY REPORT 27 to the three food banks in Delhi, providing 11,000 meals to the hungry. Opening ceremony for Bangalore Food Bank India Profile Griffith Laboratories India has been a company front-runner in implementing all three areas of Griffith’s Sustainability Platform. The business unit based in Bangalore has created new methods to feed the hungry, is building facilities that are both high-capacity and energy efficient, and has been a leader in sustainably sourced ingredients that meet both environmental and human standards. Fact Sheet Location: Bangalore History/Year Founded: 2005 President: Shyam Mohan Capabilities: Flavoring Systems (Rubs, Glazes, Marinades), Seasonings, Bases, Sauces (Dry Mix & Paste Concentrates), and Coating & Breadings 28 GRIFFITH LABORATORIES | SUSTAINABILITY REPORT The Bangalore Food Bank Through the leadership of Mr. Shyam Mohan, Griffith India Middle East’s president, the unit stepped forward to create the first food bank in India outside of the Delhi Metro Area. The Bangalore Food Bank, officially named “The Feeding Bangalore Foundation,” was launched on October 16 in celebration of the 2014 World Food Day. The new food bank is part of the India FoodBanking Network (IFBN), the India affiliate of The Global FoodBanking Network (GFN), the same group with which Griffith partners to serve communities around the world. In further celebration of the launch, Griffith produced 1,100 kilograms of kichdi, a locally inspired porridge that uses the flavors and tastes of the region. Five hundred kilograms was given directly to the Bangalore Food Bank, and 600 kilograms were sent The Bangalore Food Bank will continue to grow, building city-wide awareness, capturing surplus food for distribution, improving delivery of food to those in need and building new programs to serve more people. “We are working closely with GFN to reinforce global best practices for food bank creation and development,” Shyam said. “Our team wants this to be a catalyst to spur the movement to end hunger and see more food banks become successful through this design and concept.” New India Facility LEED Certified of Bangalore, will continue with the same capabilities as the current facility but will increase the capacity to serve the area and continue to grow the Company’s presence in the expanding region. Additionally, the new facility was designed and built to be LEED Certified by the US Green Building Council. Griffith India will also achieve the Indian Green Building Council (IGBC) Green Factory Building Certification, which focuses on local regulations and India’s national priorities for green buildings, such as water conservation, handling of waste and reduced use of fossil fuels, among others. After the plant is operational, we expect to be fully certified under both bodies. To ensure successful LEED and IGBC Certifications, Griffith is partnering with Godrej & Boyce MFG. Co. Ltd. to guide the Company through the process. After the building is complete, Godrej & Boyce will prepare a final report to detail Griffith India’s progress against both certifications. How do you meet emerging demands in growing parts of the world while focusing on more environmentally friendly methods of manufacturing? The team at Griffith India is accomodating this growth through a new facility scheduled to launch in mid 2015. Griffith’s newest manufacturing plant, located outside New facility under construction GRIFFITH LABORATORIES | SUSTAINABILITY REPORT 29 R SOU CED IFFITH S GR Y TAINABL US Sustainable Sourcing Griffith India continues to lead the development of sustainably sourced, highquality peppers, and has been a pioneer in the Griffith Sustainably Sourced (GSS) program, formerly Griffith Quality Assured. GSS is a strategic sourcing program that targets farm-level integration to help farmers improve their production while enabling the Company to trace the produce and raw materials in Griffith’s product from their beginning. This tracing also consolidates shipments, reduces incidences of stock shortages, and guarantees the quality of finished products. Griffith India’s IPM Chili Project has been a key success of the GSS program. The Company is looking to continuously increase the amount of peppers which 30 GRIFFITH LABORATORIES | SUSTAINABILITY REPORT meet GSS standards in 2015. The program currently includes 91 farmers who cultivate and grow the peppers under the direction of Griffith’s field staff of four supervisors. The GSS program in India continues to grow and evolve with our Sustainability Platform. For instance, Griffith India recently signed an agreement with the Rainforest Alliance for audit and certification of the IPM Chili project for the 20142015 fiscal year. We will continue to work with local organizations and farmers to accomplish even more through these efforts. GRIFFITH LABORATORIES | SUSTAINABILITY REPORT 31 Colombia Profile Griffith Colombia is a prime example of what it means to truly live sustainability. Our team in Central and South America has made great strides in all phases of Sustainability, and continues to inspire employees and their families to do more to benefit People, Planet and the Company’s Performance. Fact Sheet Location: Marinilla / Antioquia History/Year Founded: 1976 General Manager: Oscar Patiño Capabilities: Protein Seasonings, Functional Ingredients, Snack Seasonings, Breading and Coating Systems, Sauces, Liquids, Dry Mixes (sweet and savory) and Beverages. Griffith Colombia has an R&D Center, Culinary Center, Pilot Plants for each Category and a Sensory Room. 32 GRIFFITH LABORATORIES | SUSTAINABILITY REPORT Caring for the Whole Person Taking care of Griffith associates means more than providing a healthy workplace; it means helping to better employees’ lives personally and professionally while supporting the community. To ensure necessary resources for employees to maintain physical and emotional health, Griffith Colombia offers many health programs. Along with on-the-job safety programs, such as hazard identification and risk assessment training, employees can meet with family psychologists, and have access to medical evaluations. Several educational opportunities are also available to help Griffith Colombia employees achieve personal and professional goals. Some of these programs include: High School Diploma; Associates and/or Bachelor Degree programs; Master’s Degrees, Specializations, Doctoral Degrees; and several other certificate and vocational programs to strengthen the skills of the employees. Along with these programs, Griffith Colombia offers employees the ability to improve their communication proficiency in English, Spanish or Portuguese so they can better interact with customers, suppliers and peers throughout all of Central and South America. Food Banking Griffith Colombia has supported SACIAR Foundation (member of The Global FoodBanking Network) for many years by donating food and providing volunteers during work hours in Medellin. Through this effort, SACIAR Foundation has been able to serve about 38,000 individuals in need throughout Colombia thanks to product and financial donations. To provide further benefit to SACIAR, the Griffith Colombia R&D team has helped the organization to develop Nutriamor®, a powdered nutritional supplement that uses abundant and surplus green banana flour as a base. Nutriamor® provides necessary but scarce vitamins and minerals and is used to nourish hungry people, especially children, pregnant mothers and the elderly. Griffith Colombia is also donating raw materials for this product, helping individuals in need to receive much of their daily nutritional requirements. GRIFFITH LABORATORIES | SUSTAINABILITY REPORT 33 Giving Back to the Earth To contribute to the conservation of water resources, a primary objective of Griffith Laboratories around the world, Griffith Colombia began establishing programs and goals in 2012 with the Water Footprint Project. The main objective was to identify the environmental impacts associated with the use of water in plant operations and to understand how to minimize them. After evaluating everyone’s carbon footprint, Griffith Colombia made the decision to take action and return natural resources to the planet we share. To do this, every member of the Company planted nine trees, raising the funds through recycling material brought from their homes, reinforcing and building a recycling culture within the facility. All trees were planted near the head of the La Cascajo Creek, the water source for the facility. Therefore, Griffith is directly contributing to and protecting the most used natural resource. A primary goal for our Company has always been the proper management of generated solid waste. For that reason, Griffith Colombia has been working to build a company culture that looks for strategies to reduce the amount of waste sent to landfill. In 2014, they successfully recycled 60% of the waste generated, achieving a sizeable decrease in the environmental impact associated with landfill. This constitutes an increase of 33% in recycling since 2011, demonstrating the strides made to positive environmental management practices. In 2015, they will continue this trend and increase recycling efforts by an additional 5%. Like all other units, they aspire to the goal to be Zero Landfill by 2018. The results of the project have been outstanding! Since 2011, Griffith Colombia has been able to reduce our water consumption by 66%. In fact, every year, the unit has seen a larger reduction in water usage than the prior year, with a 35% reduction in consumption between 2013 and 2014. In 2015, Griffith Colombia’s goal is to use less than 0.85 cubic meters per produced ton. Griffith’s facility in Colombia is committed to evaluating Griffith’s impact on the environment and coming up with solutions that all of their employees can follow. Because personal culture affects this progress, they decided to measure the carbon footprint of each of employee, and then invited them to participate in a program to contribute back to the Earth. 34 GRIFFITH LABORATORIES | SUSTAINABILITY REPORT Solid Waste Reduction New trees planted near La Cascajo Creek Awards Griffith Laboratories earned many awards from customers due to outstanding service and development of innovative solutions to many complex issues. In 2014, after the official launch of our Sustainability Platform, we began receiving a different type of award: those given to organizations with outstanding service in humanitarian and environmental efforts. Griffith’s VP of McDonald’s North America, Paul Huebener accepts the 2014 KEYSTAR® Corporate Social Responsibility Award on behalf of Griffith USA. Griffith’s YUM! Southeast Asia team showcasing awards received in 2013 and 2014. Griffith USA received the 2014 KEYSTAR® Corporate Social Responsibility Supplier Award from Keystone Foods for the inaugural Produce for Hunger event, as well as Griffith’s Benedictine Educational Program. The Benedictine University On-Site Degree Program enables employees at Griffith USA in Alsip, Illinois to participate in on-site courses that will lead to an Associate’s Degree. Keystone Foods provides some of the world’s finest consumer brands with high-quality, fresh and frozen animal protein products, making this Sustainable partnership even more impactful. Our unit in Thailand also made great strides in 2014 for awards recognizing Sustainability. Griffith Laboratories Ltd. was given the World Hunger Relief Big Heart Award from YUM! for their activities to fight hunger in Southeast Asia. Along with the Sustainability award, the group also received the Cost Excellence Award, the Achievement Award and the Chef Council Award from YUM!. GRIFFITH LABORATORIES | SUSTAINABILITY REPORT 35 Our Journey Continues As you can see in this collection of stories from our Sustainability journey, we are making an impact on the communities and the people we serve, the planet on which we live, and the performance of our Company. Our time for action is now and we have great opportunities before us to make a difference at work, in our communities and on the planet. Each of us has a role to play as we continue our Sustainability journey at Griffith. We can all make a difference in our own way. As you think about our business, your role and how we can contribute toward our Sustainability Platform, I encourage each of you to ask “What if I…?” and answer that question with, “I will…!” Thank you for everything you do to grow our culture of Sustainability! As Dean always says – “The best is yet to come!” Brian L. Griffith Chairman 36 GRIFFITH LABORATORIES | SUSTAINABILITY REPORT 2015 Priorities People Planet Performance Employee Safety Engaged Employees Community Involvement Sustainable Sourcing Wholesome, Innovative Products Risk Management In 2015, we will continue to build on our progress by focusing on six areas of our Sustainability Framework. These key areas were selected through a materiality assessment that aligns our activities with our stakeholders’ interests, our ability to create positive impact, and the magnitude of the existing gap.