On the occasion of Coca-Cola HBC Group's latest goals in the area of sustainability, Tamara Đurđić, director of operational development sustainability, speaks to "Vreme" (operational ssustainability manager) in Coca-Cola HBC Serbia.
"TIME": Coca-Cola HBC Serbia is one of the promoters of the principles of sustainability in business and recently presented the domestic public with new plans until 2020. What exactly does that mean?
TAMARA ĐURĐIĆ: The new goals of the Group within which we operate mean that we in Serbia will also strive to use 40 percent of the total energy from renewable and clean sources, recycle at least 40 percent of the total packaging on the market and use recycled PET packaging and/or PET packaging from renewable material for 20 percent of total PET packaging. Also, we will strive to reduce the weight of packaging by 25 percent per liter of produced beverage and plan to certify more than 95 percent of key ingredients of agricultural and food origin in accordance with the Principles of Sustainable Agriculture of the Coca-Cola System. At the same time, we will invest at least two percent of our annual pre-tax profit in communities and double the number of employees who participate in voluntary initiatives during working hours to 10 percent of the total number of employees.
How do the new goals fit in with the existing practices of Coca-Cola HBC in Serbia?
Our operations in Serbia do not differ from other members of the Group in more developed countries. Achievements in Serbia are at a very high level in numerous areas, and for years we have been gaining the trust of our colleagues to be the first to introduce innovative solutions and practices. In support of this, two European Water Stewardship gold certificates, which were awarded to our bottling plants in Serbia, are the best evidence. Also, our results contribute significantly to the overall performance of the company and, thanks to the efforts of all of us, for the third year in a row we as a Group have been declared the leader in the field in the beverage sector according to the Dow Jones Sustainability Index.
Why is this recognition important to the company?
The Dow Jones Sustainability Index is one of the world's most credible measures of companies' achievements in the field of environmental protection and contribution to society. The criteria according to which the companies are ranked are very strict and the fact that the Coca-Cola HBC Group has been declared the leader in the beverage sector for the third year in a row is an exceptional recognition. This concretely means that our efforts are proven to contribute to the preservation of the environment and that our strategic commitment to weave sustainability into all aspects of business is recognized at the world level.
We often hear about environmental impact, but in fact it is not entirely clear how direct impacts are measured. Can you explain to us what parameters you are guided by?
The impact on the environment is measurable and companies that are committed to it in the right way can see and show their contribution in an extremely precise and transparent manner. For example, the monitoring of carbon dioxide emissions is a parameter that Coca-Cola HBC monitors in every business segment, from procurement, production, transport and logistics, but also through cooperation with suppliers because we also require our partners to apply technologies with reduced emissions . We also use modern cooling devices with significantly lower emissions, and from year to year we reduce our impact on the environment in this area as well. From 2007 to 2015, we reduced water consumption by as much as 50 percent, and we achieved this precisely by monitoring consumption on a daily basis, within our entire production and distribution chain. At the same time, we have been increasing the percentage of recycled waste generated in production for years, and in 2015 it amounted to a great 96,7 percent. So, through daily monitoring of parameters, setting new goals and applying new technologies, the impact is also measurable!
Is sustainability still just a trend in Serbia and does the state recognize companies that make additional efforts to reduce their impact on the environment in the course of their operations?
Bearing in mind that I have dedicated my career to sustainable development and that I work in a company that operates in accordance with world standards in this area, I must underline that investing in environmental protection is in the domain of exceptional investments. The state sets a certain framework and obligations, but we, as a company, introduce solutions and set goals that are far beyond the legally prescribed frameworks. Sustainability is part of all our processes and one of the parameters of success, and I think that both society and the state are listening more and more and recognizing the contribution we make.
Recently, the bottling plant in Belgrade received the EWS certificate, can you tell us a little more about this recognition?
Coca-Cola HBC Serbia is the only holder of even two gold EWS (European Water Stewardship) certificates, marks of quality and respect for standards in the field of responsible management of water resources and environmental protection. The first certificate was given to Rosa voda, and then this important recognition also came for our bottling plant in Belgrade. The European Agency for Water Management and Conservation, which awards the certificate, recognized our efforts in this area, and I would like to single out the fact that we were the first in Europe to introduce an eco-bottle that contains up to 30 percent plant-based materials, as well as that we paid special attention to the treatment waste water, which means that the water we return to nature is completely safe for flora and fauna.
During one visit to the bottling plant in Belgrade, we found out that within the factory you have a swimming pool with fish that live in the water you processed?
That's right, a few years ago we wanted to bring the topic of wastewater treatment closer to our partners and visitors, and we decided to show them the effect we achieve by creating a pool with fish that live in the water that we initially process. We return the same water to nature and they are proof that the water is safe.
There is another principle that you presented last year called Near Loss. Can you explain it to us?
Within the Coca-Cola HBC Group, as well as in Serbia, in 2014 we introduced a new environmental parameter - Near Loss, which represents a kind of mechanism for recognizing possible losses of ecological resources and their timely elimination. In everyday work, this means that every employee has the right to report anything that occurs to him as an unnecessary waste of natural resources. In this way, we very quickly notice the unnecessary consumption of water, electricity or other resources, eliminate defects or introduce new solutions. Through this additional principle, we achieved significant savings and results.
Recently, there has been a lot of talk about recycling and the processes that we as a country must go through in order to fulfill the criteria of the European Union. What would you highlight as key when it comes to packaging and reducing its impact on the environment?
Packaging plays a vital role in maintaining the top quality and safety of our products, and we are very committed to finding solutions to preserve its quality, in a way that is environmentally responsible. It is very challenging and on a daily basis we are working on reducing production waste, optimizing the packaging itself and increasing the content of recycled and renewable material in the composition of the new packaging - PET of plant origin. Also, with the reduction of PET packaging and other packaging, we are active in campaigns and associations that deal with educating consumers about recycling.
Traditionally in Serbia you present your report on sustainable business. What is the importance of reporting and in which segment do you recognize its greatest impact?
Presentation of results on an annual basis is of great importance to us. On the one hand, it gives us a very clear picture of progress, but it also points us to areas where we should focus more. At the same time, the Report gives our partners and consumers the opportunity to provide insight into everything we do for the community in a clear and methodologically credible way. And additionally, by presenting the Report and our results, we put the topic of sustainability in the focus of the wider public, because we are aware that there is still room for progress in this area and that it is important to contribute by example to the increasing awareness of the importance of community preservation.
How do you prepare the Report and is there any accepted methodology?
The report is traditionally prepared by the Smart collective according to the international GRI G4 standard and meets the high requirements of the United Nations Global Compact related to the Progress Report, which is a confirmation of the company's commitment to sustainable business in all segments.
