Cada día salimos a nuestro mar pensando en lo que debemos
hacer por nuestra
tierra
Company Report
Comprometidos con nuestros recursos…
2007
...con nuestra gente...
Comprometidos con nuestro país Reporte de Sostenibilidad 2010
camino a la excelencia
PERÚ
PERÚ
2009
REPORTE DE SOSTENIBILIDAD
Sustainability Report
2008 G4 - 30 REPORTE DE SOSTENIBILIDAD
Sustainability Report
2012
2009 Comprometidos con nuestro país
Sustainability Report
2010
Sustainability Report
2011
IENTE INNOVADORA, ECOEFIC SABLE Y SOCIALMENTE RESPON
Sustainability Report
2012
Sustainability Report
2013
Sustainability Report
2014
GRI G4 - Comprehensive
G4 - 28
Since the year 2007 we have published our sustainability report on an annual basis. This is the seventh publication that comprises the year 2014. The information included in this document covers all of our operations, activities and branches. No relevant operation or economic, environmental or social matter has been excluded.
G4 - 32
For the preparation of this report, we used the Guide for the preparation of Sustainability reports of the Global Reporting Initiative, in its version G4. This report complies with the guidelines of the Comprehensive method, since it develops all the indicators of the aspects present in GRI G4 identified as material by our company.
2 Sustainability Report 2014
CONTENTS Message from the President of the Board of Directors
6
TASA 2014: synthesis
8
I. Our Business
10
II. Our Economic Performance
36
III. Our Sustainability Management
42
IV. Our Environmental Management
70
V. Our Human Talent Management
86
VI. Our Social Management
100
VII. Our Commitment to the Global Pact
114
GRI Index
115
3
4 Sustainability Report 2014
PEDRO BRESCIA CAFFERATA Don Pedro Brescia Cafferata, who was President of our company from the year 2002 until 2013, passed away on December 21, 2014. The Board of Directors, Management, and all the collaborators of TASA will remember Don Pedro with affection, admiration and gratitude. His vision, leadership and exemplary work capacity were fundamental pillars for the progress of our institution and of many other companies, contributing to the wellbeing of thousands of Peruvian families.
5
Message from the
OMEGA 3 oil plant. This commitment to innovation, research and development will make possible a reliable supply of Omega 3 to the food, nutraceutical and pharmaceutical industries, permitting the manufacture of products highly beneficial for health.
Board of Directors
In this framework of challenges and lessons learned, the cultivation of direct and transparent relations with our stakeholders becomes relevant.
President of the G4 - 1
2014 has been a year of great challenges for the Peruvian fishing sector due to climatic factors which affected the availability of the resource. This panorama significantly affected our production; however, the leadership and excellent reputation earned throughout our 12 years in the business enabled us to strengthen the bond of trust with our collaborators, suppliers and clients, who added their support to the measures taken to counteract the consequences caused by the situation. 2014 also highlights the conviction of the companies of the Breca Group to continue backing Peru, with the construction of the
6 Sustainability Report 2014
We are very pleased to present our seventh Sustainability Report, to publicize our Annual Report on economic, social and environmental matters. This year we introduce a focus on sustainability which addresses the key issues for TASA and its stakeholders. This new methodology is more comprehensive and structured, following on from the materiality analysis performed in 2013. Most significant among our sustainability challenges are environmental issues, such as climatic phenomena and resource sustainability. Currently, our good practices of fishing sustainability provide us with syste-
matized information for the monitoring of anchovy behavior; as well as other variability indicators of the marine ecosystem. These initiatives have been distinguished by the Ministry of the Environment with an honorable mention in the Biodiversity Management category of the National Environment Prize. In the field of Human Resources Management, we organized various internal and external training programs, which promoted a culture of knowledge management and responsible leadership, with special emphasis on occupational health and safety. In the social field, we subscribed new public-private partnerships for the development of projects which promote private investment in public works. As a result of this, we delivered our first Work for Taxes in Atico, benefitting more than 1,200 residents with the construction of roads, sidewalks and green areas. Thanks to these positive results, we have made new plans for future works. We continue promoting fish consumption through our distribution centers in the Highlands of Peru, where we deliver our TASA-Kontiki products at affordable prices for the local population, ratifying our commitment to the country’s nutrition. With the same end, the NutriTASA project completed its third and final year of intervention in the districts of Cusco and San Jerónimo, achieving an important level of nutritional recovery in children less than 3 years old, by incorporating anchovy rich in Omega 3 in the diet prepared for them. The management of this project was carried out jointly with the municipalities and
health centers. Our NutriTASA Project was awarded prizes by Perú 2021 and Caritas del Perú in the categories of Food Security, and Multistakeholders. Another important project was the one implemented in Atico, Arequipa where we achieved the formalization of 4 mypes (small and medium sized companies) of artisanal fishermen who have learned to manage their business with good practices in quality, order and commercial management, which has enabled them to increase their income and profits from the sale of fish and shellfish. This project of forming the Consorcio Pesquero de Mypes en Atico received the Prize from Peru 2021 in the Community category. We also received the distinction of Socially Responsible Company from the Asociación Perú 2021, in addition to being recognized by the Monitor Empresarial de Reputación Corporativa (Merco – Business Monitor of Corporate Reputation) in 49th place out of 100 top companies with the best reputation in Peru and in 38th place of the companies with the best practices of social responsibility and corporate governance. These prizes ratify our corporate commitment and that of more than 3000 collaborators who make up the TASA family, to whom I extend my recognition and gratitude for contributing to maintaining our leadership. Sincerely,
Mario Brescia Moreyra
7
3,101 collaborators form part of our human talent
about U$1 MM invested in projects and activities with Communities
more than U$6 MM of investment en gestiรณn ambiental
SYNTHES
national leader in exports 27% 26% meal oil of market participation
3 SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT PRIZES GRANTED BY PERU 2021 1er FOOD SAFETY 2do COMMUNITY 3er multistakeholder
88 Sustainability Report 2014
more u$ 469
IN INVO
more than 77 thousand hours of training of colaborators
more than U$ 223 mm OF PAYMENT ARE DESTINED TO
LOCAL SUPPLIERS
88% of our frozen products ARE COMMERCIALIZED
IN THE COUNTRY
SIS 2014
than 9 mm
conduct 1era work for taxes In atico, benefiting more than 1,200 residents
3 DISTINCTIONS OBTAINED
HONORABLE MENTION NATIONAL ENVIRONMENTAL PRIZE SRC DISTINCTION MERCO REPUTATION RANKING
OICING
9
I. Our Business
With 12 years of experience, we are a leading company in the sector and recognized on a world level as innovative, eco-efficient and socially responsible.
Who Are We? In TASA we extract, transform and commercialize hydro-biological resources for direct and indirect human consumption. We also provide shipyard services for the construction, maintenance and repair of naval vessels.
G4 - 3
All of our business units have an orientation towards quality and added value in harmony with the community and the environment.
G4 - 56
MISSION
VISION
To provide the world with marine elements and ingredients of high quality and added value, in harmony with the community and the environment.
To be a world class company, leader and innovator in the sustainable exploitation of marine resources for nutritional purposes.
VALUES Integrity We act ethically, seriously and reliably.
Comprehensive development We are committed to safety, learning and the improvement of our quality of life.
Excellence We are innovators and continuously improve our processes, quality and technology
Sustainability We are responsible in the use of the natural resources and respectful of the environment and the communities where we operate.
11
MANAGEMENT POLICY Our commitments respond to: Satisfying the needs of our clients. Providing safe products and high quality services. Acting as a responsible company with its natural resources and stakeholders. Preventing environmental contamination, the occurrence of injuries, diseases and unlawful activities. Promoting the participation, consultation and overall development of our personnel. Complying with the applicable regulations, standards and commitments. Continuously improving and innovating products, processes and technology.
Corporate Governance G4 - 34 G4 - 38
The two organs of governance of our company are: the General Shareholders Meeting and the Board of Directors. The General Shareholders Meeting is composed of Inversiones Breca with a participation of 99.96% and other minority shareholders, who meet once a year, at least.
BOARD OF DIRECTORS The Grupo Breca, with the support and advice of the Corporate Center, leads the strategic orientation of the Board of Directors of TASA, as well as the undertaking of its new projects and investments.
12 Sustainability Report 2014
The Board of Directors is composed of seven directors, who establish the guidelines for the management and operation of TASA. Four of these directors are, at the same time, members of an Executive Committee which is responsible for analyzing the performance of the company, risk prevention and management of human talent. As a governance organ, our Board of Directors fulfills the purpose of maintaining ethical values and principles in all levels of the organization, thus it establishes and controls the compliance of the corporate norms and policies. Additionally, it is responsible for appointing the members of Senior Management.
G4 - 39 G4 - 40
G4 - 35 G4 - 42
ORGANIZATIONAL STRUCTURE The Senior Management consists of 19 Management areas (4 Business Management areas and 15 support Management areas, and is led by the General Management. The performance indicators of each Management area, which also include sustainability metrics and impact management, are reported to the Board of Directors on a quarterly basis; and, on a monthly basis to the Corporate Center. We base the selection and evaluation of Senior Management on three aspects: measurement of indicators related to the position, role as team leader, as well as behaviors and competencies. Commitment is considered to: results: indicators and objectives; excellence: continuous improvement; people: teamwork; and oneself: family life and state of health. Additionally, within the competencies, the following are prioritized: business vision, impact and influence, orientation towards results and people management. The incentive system for Senior Management is defined based on the performance achieved in the above-mentioned aspects, which in the case of each management area is validated by the Central Managements and the General Management; and in the case of the General Management by the Executive Committee. The annual retribution of the Senior Management is established and regulated directly by our Corporate Center.
G4 - 36 G4 - 43
G4 - 40 G4 - 44
G4 - 51 G4 - 52
13
BOAR DIREC
Our Central and Support Management areas are defined in the following manner: Executive Director / General Manager* Carlos Pinillos
Central Administration and Finance Manager
Central Fishing Manager
Central Operations Manager
Pedro Lozada
Dereck Zimmermann
Edgar Aroni
Logistics Manager
Fishing Manager
Production Mana
José Tagle
Juan José Bellido
Claudio Castañe
IT Manager
Shipyard Manager
Roberto Da Cruz
Carlos Barrionuevo
Legal Manager
Maintenance Manager
Hortencia Rozas
Ignacio Agramunt
Comptroller Sonia Torres
14 Sustainability Report 2014
Safety, Occupatio Health and Environm Manager Fernando Altamir
RD OF CTORS
Audit Committee
Internal Audit Manager RubĂŠn Namihas
General Manager of TASA Omega Dave Mathews *
ager
Commercial Manager
eda
Rick Pope
onal mental
Plant Manager
rano
Soledad Mazu
Human Resources Manager Pablo Gamero
Quality Manager Javier Igarashi Research and Development Manager JosĂŠ Rainuzzo
Commercial Manager Gustavo Ferreyros
15
G4 - 41
In order to avoid conflicts of interest inside our governance organs, the following instances have been established: • The Corporate Center that enforces compliance of the standards and objectives of the Board of Directors, Senior Management, and of the organization in general. • The Compliance Committee of the Code of Conduct and Ethics, that enforces the dissemination and compliance of the internal code that establishes the
principles and norms that regulate the behavior of our collaborators. The main norms are related to discrimination, anticorruption measures, harassment or aggression by sex, age, color, religion, physical condition, or political affiliation. • The Internal Audit Management, which carries out the follow up of the compliance of the processes, standards and procedures of TASA.
Additionally, we have corporate policies originating from the BRECA Group, which include matters of corporate finance, internal audit, legal and strategic planning, among others, which regulate our actions. G4 - 38
MANAGEMENT COMMITTEES There are three Committees which meet with the Executive Committee: • Audit, Risk and Finance Committee. • Strategy and Performance Committee. • Human Talent Management Committee.
16 Sustainability Report 2014
The Audit, Finance and Risk Committee meets every three months and is composed of two members of the Board, the General Manager, the Corporate General Manager, the Internal Audit Corporate Manager, the Senior Management Advisor, the Central Administration and Finance Manager, and the Internal Auditor. This instance evaluates the main risks of the company, on a reputational, regulatory, financial and operational level, for their correct management and control. The results obtained are presented to the Board of Directors. Likewise, Management committees have been established that meet on a monthly basis by area. Through them, collaborators have the opportunity to propose to their area Manager the inclusion of any relevant subject regarding social, economic and environmental aspects. In the year 2014, most of the consultations were related to the impact of the climatic phenomena, such as “El Niño”, on the company’s operations. Furthermore, 100% of the employees are represented in the Occupational Safety and Health Committees of each unit, which have monthly meetings in compliance with existing national regulations.
G4 - 45 G4 - 46 G4 - 47
G4 - 33 G4 - 49 G4 - 50
ETHICS TASA has the policy of reviewing, updating and transmitting in all of its branches the declaration of mission and values developed internally, as well as the Code of Conduct and Ethics and the relevant principles for its economic, social and environmental performance. For this purpose, it has formed two Committees: 1. The Audit Committee, composed of: four Directors, the General Manager, the Corporate General Manager, the Corporate Advisor of Senior Management, the Corporate Audit Manager and the Internal Audit Manager. 2. The Compliance Committee of the Code of Conduct and Ethics, composed of: The Advisor of the Senior Management, the General Manager, the Central Administration and Finance Manager, the Human Resources Manager, the Legal Manager and the Audit Manager.
17
In the year 2014 the Code of Conduct and Ethics was updated, taking into account the corporate guidelines and commitments of the BRECA Group, which are based on:
G4 - 56
• Commitments to the collaborators. • Commitments to the shareholders. • Commitments to the clients, suppliers and competition. • Commitments to the community, environment, government and media.
The responsibility for the dissemination and compliance of the Code of Conduct and Ethics has been assigned to the Internal Audit Management. For the dissemination of this guideline, internal communication mechanisms were used, such as RevisTASA, face-to-face talks and delivery of the physical document to each employee. In the case of consultations or doubts regarding the compliance of the Code of Conduct and Ethics, the direct superior is the first filter to resolve the questions of the collaborators. If there is not a clear and concise answer, this consultation must be directed to the Internal Audit area for adequate counseling. Functions and responsibilities have been defined for leaders, in order to safeguard the compliance of the Code: • Continually reinforce the compliance of the Code. • Ensure the understanding of the Code by the entire team and ensure the compliance of its requirements within the daily activities of the company. • Promote an environment of trust and communication so that collaborators can channel their consultations or complaints, among others. To report facts that represent a violation of the Code of Conduct and Ethics or that oppose the values of the company, we have the “INTEGRITY CHANNEL”, a communication channel that enables our stakeholders to formally report unethical events that are perceived or identified during daily work, especially those related to work practices.
G4 - 57 G4 - 58
In the year 2014 a total of 19 complaints were received, related to the breach of the Code of Conduct and Ethics, of which 63% originated from the operating units and 37% from the administrative areas.
19
The complaints received were classified in the following categories: • Conflict of interest: 32% • Willful misconduct/fraud/theft/embezzlement: 21% • Non-compliance of responsibilities/regulations/policies: 26% • Abuse/harassment/abuse of authority: 21% All the complaints were investigated by the Internal Audit area, based on the guidelines defined by the Compliance Committee. The results of the investigations have been presented to the Committee and the corresponding disciplinary or administrative measures have been taken.
G4 - 9
Business Units a. Fishmeal and fish oil: We have thirteen plants with a total processing capacity of 1,753 MT per hour of which 100% corresponds to Steam Dried (SD) or indirect steam and hot air drying. b. Frozen products: We have 1 plant with an installed capacity of 521 MT/day and a cold storage capacity of 14,960 MT.
20 Sustainability Report 2014
c. Shipyard: We have 1 shipyard that provides construction, repair and maintenance services of marine equipment on a national and international level. d. Fishing: We have 50 operating vessels. At present, eleven of them are parked.
PRESENCE ON A NATIONAL LEVEL
G4 - 6
Paita 100 TM/HR Parachique 50 TM/HR
Malabrigo 214 TM/HR
Chimbote Chimbote 226 TM/HR
Samanco 60 TM/HR Supe 80 TM/HR Végueta 140 TM/HR
Cusco
Callao 225 TM/HR Callao
Fishmeal and Fish Oil Plant Steam Dried (SD) Frozen Plant
Lima
Ayacucho Andahuaylas
Pisco Norte 100 TM/HR
Juliaca
Abancay
Pisco Sur 139 TM/HR Atico 141 TM/HR Matarani 140 TM/HR
Distribution Center Shipyard
Ilo 138 TM/HR
Authorized distributor Kontiki Store, Minka - Callao
MT/HR: Metric tons per hour
21
DMA SPECIFIC
PRODUCTS Unit
Product
Indirect Human Consumption
Fishmeal Fish Oil
Direct Human Consumption
Frozen products: Anchovy, Horse Mackerel and Mackerel (Whole, HG1), Salmon (Hon), Basa, Tilapia squid (mantle, fin, tentacle), Hake, Mahi-mahi, Silverside Canned products: Mackerel (Pieces, Âź club, RO1000) Others: Hamburgers (Anchovy and giant squid)
Shipyard
1
Legend: HG: Without head or guts
22 Sustainability Report 2014
Repair, modification and construction of naval vessels or equipment.
The labeling of our products has the following information required by the Instituto Tecnológico Pesquero:
G4-PR3
1. Origin of the components of the product or service. 2. Safe use of the product. Additionally, the Commercial area coordinates with the clients the additional requirements that they need or that are required by the competent authorities of their country.
PRODUCT SAFETY In TASA different actions are carried out in order to ensure the quality and safety of the products, among which we highlight the following: • We have a certified Safety Management System for all our products, under the standards GMP B2, GMP B3 and BRC, and based on the methodology of the HACCP risk assessment. • The database of undesirable substances was updated by type of product and country of destination, so as to carry out periodic monitoring. • We strengthened the scope of the Process control room, which allows us to identify and warn of deviations in all the processes during the production and discharge of raw material.
G4-PR1
• We have an instrumental laboratory, the work of which improved the reliability of the quality results of fishmeal and fish oil in real time, improving the control of the process and the classification by qualities of both products. • We successfully implemented the methodology of determination of the profile of amino-acids, which will enable us to obtain better knowledge of the nutritional values of the anchovy.
23
INTEGRATED MANAGEMENT SYSTEMS The certifications that currently comprise the Integrated Management System are presented in the following table:
Certifications
Fishmeal and Fish Oil Plants
General Frozen Plant Management
Shipyard
Fishing Port of Atico Management
Business Alliance for Secure Commerce BASC Commerce, Recollection, Storage and transfer GMP+ B3 *** Good Manufacturing Practices GMP+ B2 Hazard Analysis and Critical Control Point System HACCP Certification of Guarantee for the Muslim Market HALAL Global Standards for the Responsible Supply of Raw Material IFFO-RS Certification of sustainable fishing and aquaculture product FoS * Environmental Management System ISO 14001 Occupational Health and Safety Management System OHSAS 18001 British Retail Consortium BRC Quality Management System ISO 9001 Protection Plan and other certifications of the Port Facility** Certified unit En proceso de implementaciรณn
25
Clients MARKETS
G4 - 8
The destination markets of our products are those indicated in the following diagram Portugal
Spain
Belgium
H
Italy Denmark
United States
Canada United Kingdom
France
Haiti
Slovenia
Guatemala
Tunisia Colombia
Honduras Ghana Costa Rica Ecuador
Cape Verde Brazil
Peru
Gr Chile Uruguay
26 Sustainability Report 2014
South Africa
Holland
Germany
reece
Fishmeal Fish Oil Frozen Canned
Bulgaria
Norway
China
South Korea
Japan
Taiwan
Philippines
Thailand Micronesia Turkey Australia Libya
India Malaysia
Nigeria Indonesia Sri Lanka Egypt
Vietnam
27
CUSTOMER SATISFACTION
G4-PR5
We have a Listen to the Customer System, in order to maintain a close relationship, analyze relevant information regarding their needs, and know the market tendencies. The Commercial Management and the Shipyard Management maintain indicators and carry out surveys to know the degree of satisfaction of the customers, which serve to identify opportunities for improvement and implement the corresponding measures.
Business units
2013
2014
Direct Human Consumption
86%
89%
Indirect Human Consumption
89%
89%
Shipyard
86%
91%
29
Success Story TASA OMEGA BUSINESS
TASA
TASA OMEGA, a subsidiary company of TASA, is a new Peruvian organization dedicated to the processing of raw fish oil, to obtain refined and concentrated OMEGA 3 oil. It will mainly seek to supply the food, nutraceutical2 and pharmaceutical industry. DHA and EPA are fatty acids from the Omega 3 series, which are essential for the good functioning of our organism. These substances are obtained from foods such as fish and dark meat. The various benefits of this DHA compound include, essentially, the maximum development of the brain, reduction of the risk of Alzheimer’s, and prevention of attention deficit disorder. Furthermore, the EPA compound reduces the triglyceride levels in the blood, strengthening the immunological system and reducing the risk of suffering high blood pressure or cardiovascular illnesses. In June of 2013 construction began of the TASA OMEGA Plant in the district of Pucusana, to the south of Lima, in an area of 8 hectares, and with an investment of US$ 60 million. In the year 2014, the support areas began to work, preparing the beginning of operation for the 2ndsemester of 2015 2
Term derived from the words nutrition and pharmaceutical. Alludes to thoes foods known to possess a highly
beneficial effect on human health.
This plant operates in harmony with the environment, since it has an effluent treatment plant that will generate water suitable for the irrigation of green areas. Additionally, it concentrates a Research and Development Center with modern and high technology equipment. TASA OMEGA represents an ambitious and unique project in the business on a national level. Its high level of competitiveness resides in its modern automated system, its focus on Research & Development, and the assured supply of raw material from TASA, characteristics that place it on the level of world class companies. Likewise, the challenge entails a great responsibility towards the community of Pucusana which, according to the Human Development Index (HDI) 2012, obtained one of the lowest results in the province of Lima. Our intervention in the area also seeks to increase the socioeconomic levels and the quality of life through the generation of employment and the improvement of the entrepreneurial capacities of artisanal fishermen and other stakeholders. Until now, 100 new jobs have been generated, of which 60% represent residents of the community.
The Omega 3 Plant is a unique project in the country due to its modern automated system, its design and friendly functionality with the environment, the direct supply of raw material from TASA and its focus on research and development.
3
The HDI is a human development indicator . Prepared by UNDP on the basis of three parameters: long and
healthy life, education and standard of living of the countries.
G4 - 12
Value Chain The value chain of TASA is composed of three stages that synthesize its productive cycle. Specialized suppliers participate in each of these stages, such as, for example, third party fleets, in the fishing stage; or our stevedore contractors, in the Operation phase.
FISHING
In this stage the productive cycle of the industrial fishing of TASA begins. This implies the operative and logistical preparation for the fishing operations; as well as the fishing operations themselves until the discharge of the resource in the plants.
OPERATIONS This phase of the value chain is carried out in the 13 fishing plants of TASA. Here the transformation of fish into fishmeal and fish oil (IHC) is carried out. It also involves the transformation processes in the Human Consumption division. Furthermore, this stage also manages the processing, storage and transport of our products in an appropriate manner, so that they arrive in good condition, and in accordance with the standards required by our clients.
COMMERCIALIZATION This phase covers all the processes related to the sale and relationship with our clients. We ensure that our clients receive our product, according to their expectations and what was agreed with them, and respecting the standards and norms demanded by the international markets.
32 Sustainability Report 2014
One of the main characteristics of our activity is its seasonality, the specialization of tasks and the extensive use of labor. In our industry the ship owners assume a preponderant role as suppliers of the resource. These companies carry out the extraction of marine products and commercialize them to fishing companies who assume responsibility for the entire productive cycle, like TASA. Due to their importance in our value chain, they are identified in a differentiated manner from the rest of our suppliers.
Additionally, we have two types of suppliers: those of general or specialized services; and those of goods, who provide us with supplies, parts and assets. We have the policy of prioritizing purchases through local suppliers for logistical goods and services. In this manner, we simplify the purchasing process, we ensure a prompt and efficient supply, and we achieve the loyalty of our strategic suppliers.
An efficient supply chain is fundamental for the good performance of our company, which is why we maintain a close relationship with our suppliers and we encourage them in the continuous improvement of their processes.
Fishmeal warehouses in Chimbote
33
Success Story
LOCAL PURCHASES PROJECT Under a win – win focus, in mid-2014 the Logistics Management supported a pilot project for the decentralization of purchases in TASA, seeking to identify the local suppliers, small and medium companies, of our main zones of influence. This good practice began in our Shipyard plant in Chimbote, considering local supply as an opportunity to improve efficiency in the compliance of the delivery times of services. Purchase management in TASA seeks to comply with high control and quality parameters, and therefore a face-to-face and personalized search for local suppliers was carried out in Chimbote which, following our terms and conditions, could supply us with the required products: approximately 400 items classified as being of immediate use and low rotation. The selection process for the tender of these products obtained the participation of 3 local candidates, which qualified as low financial risk; however two of them only supplied between 11% and 36 % of the products. Finally, the Supplier PRODUCTORES Y COMERCIANTES ASOCIADOS SRL (PROCASA) obtained the adjudication of the bid, with a contract of $50,000 dollars that ensures the provision of 79% of the total items required for the year 2015.
The first stage of the local purchase project has permitted the identification of new suppliers that comply with the high standards of TASA and the industry. This makes them strategic partners of the business, and motivates us to continue developing their potential as part of our value chain.
II. Our Economic Performance
Our growth goes hand in hand with the development of our stakeholders, since we know that sustainable companies require better environments and communities, and vice versa.
During the year 2014 a discharge of 2,248,902 tons of fish was recorded on a national level, 52.4% less than in 2013. This caused production during this year to be considerably less. Although our sales totaled US$ 469 million, representing a growth of 3.7 % compared with 2013, this is due to the fact that we began the year with a fishmeal inventory of 106,842 MT, greater than the initial inventory of 2013 which was 22,460 MT.
G4 - 9
Our activities not only generated benefits for our company, but they also rewarded our stakeholders.
Discharge of anchovy for production of fishmeal and fish oil
2,24
MILLION of Mt NATIONAL DISCHARGE
606, 7 Mt DISCHARGED BY TASA (27% OF THE NATIONAL QUOTA)
2014 37
Direct Economic Value Created (in US$) Sales G4 - EC1
Distributed Economic Value (In Us$)
2013 450.5 MM
2014 469.8 MM
2013
2014
Payment to national suppliers (MMS)
461 MM
223.4 MM
Payment to foreign suppliers (MMS)
19.7 MM
10.4 MM
Payment of salary and social benefits to employees (MMS)
42.2 MM
40.5 MM
Finance costs (MMS)
10.3 MM
8.3 MM
Payment of taxes (MMS)
22.5 MM
12.8 MM
Environmental Investments
4.1 MM
6.6 MM
1 MM
964.1 M
Investments in the Community 4 Investments in works for taxes
-
4 Includes donations, community outreach activities, volunteer work, sustainable projects, patronage and sponsorships and support for APRO`s
38 Sustainability Report 2014
636.3 M
Main Results FISHMEAL, FISH OIL AND HUMAN CONSUMPTION According to official figures, we maintained first place in the ranking of exporting companies of fishmeal and fish oil, with a participation of 27% and 26%, respectively. With regard to the production of oil, we channeled 30% to human consumption due to the improved profiles of EPA and DHA; and 70% to the salmon feed industry. Moreover, according to the Production Ministry, we obtained a participation of 43% in the local market of frozen products, which enabled us to attend the existing demand in our Distribution Centers in Lima, Abancay, Andahuaylas, Ayacucho, Cusco and Puno, of which the last five are zones with high indices of poverty and malnutrition.
SHIPYARD During the year 2014, the Shipyard invoiced US$ 4.7, which represented a reduction of 7.2% compared to the year 2013, due to the situation of the sector. During that same year, the Shipyard began the expansion activities of the stranded line, permitting it to increase its commercial capacity. This project will also allow a greater number of vessels to be attended to, both from our own fleet and those of third parties.
39
Success Story WORKS FOR TAXES
Improvements of the streets of the populated area of La Florida, Atico, Arequipa.
G4 - EC7
Under the framework of the law that promotes regional and local public investment with the participation of the private sector, TASA executed its first public infrastructure work in alliance with the District Municipality of Atico in Arequipa. Works for taxes is a legal mechanism that provides the private sector the opportunity to execute works through the direct investment of its Income Taxes. In this manner we decided to present and execute the project for the improvement of the populated sector of La Florida in Atico through the paving of its roads, the construction of berms and sidewalks, and the planting of green areas.
MILESTONES OF THE PROJECT As part of the process required for the presentation and execution of the project as a private initiative, our intervention in Atico began at the end of the year 2013 with the identification of an important demand in the zone: the improvement of the conditions of habitability and beautification.
KEY FACTS
INVESTMENT AMOUNT:
S/. 1.9 MM
TIME OF EXECUTION OF THE WORK:
180 days
NUMBER OF DIRECT BENEFICIARIES:
1,200 neighbors Once the project was preapproved by the local authorities, technical studies were carried out to ensure the conditions of viability and sustainability of the investment. In this manner, with the support of Proinversiรณn and the District Municipality of Atico, the project was adjudicated to us, for the financing of the preparation of the technical file and execution of the works. For their part, the local authorities assumed the maintenance of the work for the next ten years.
Identification Phase of the Project
Dec. 2013: • Identification of social demand. • Design of private initiative. • Validation of district authorities (Mayor and Council)
Jan. - May 2014: • Preparation of pre-investment Pre-investment profile. Phase • Process of call for public bids. • Adjudication of the winning bid. • Signing of agreement.
Investment Phase
• Jul. - Nov. 2014: • Preparation of technical file. • Execution of works.
Closing Phase of the Project
Dec. 2014: • Reception of the work by the community and the local authorities.
ACHIEVEMENTS OF THE PROJECT Paving of 13,000 m2 of roads, berms and sidewalks. Installation of road signposting and curbs with green areas. Generation of work with local labor. Participation of TASA employees in the planting of green areas in homes. Improvement of the living conditions and beautification of the sector that facilitates transit for commerce and tourism, this has increased the satisfaction of the neighbors and their intention to develop new businesses in the zone.
III. Our Sustainability Management
We live with sustainably as an ethical and responsible form of understanding and living business, leaving a legacy for our future generations. For the purposes of this sustainability report, which seeks to reflect the aspects that determine the context of our sector, and considering the results of our materiality analysis, we explain the economic, environmental, social, labor and regulatory issues that influence the behavior and sustainability of the industry and TASA.
G4 - 2
ECONOMIC MATTERS The National Institute of Statistics and Information (Instituto Nacional de EstadĂstica e InformĂĄtica - INEI) reported that national production during the year 2014 grew by 2,4%, below the figure projected by the Government at the beginning of the year. The result was based on the fall in the fishing, mining and manufacturing sectors; sectors that were affected by climatological problems, the context of international uncertainty that determined low prices for our main commodities, and a lower external demand for traditional products, such as mining and agricultural products.
Peru is a country with a fishing tradition and history, globally recognized for its leadership in the extraction, production and commercialization of fishmeal. Fishing activity, whether on an artisanal or industrial level, is close to the men and women of the Peruvian coast, which has an extension of 3.000 kilometers and an area of 400 square nautical miles.
DMA SPECIFIC
43
In this context, the fishing sector reduced the result of the national GDP by 0.15 points, with a reduction in its production of 27.94%, due to the reduction of fishing for indirect human consumption by 52,67%, compared to 2013. The low availability of anchovy was due to the unfavorable climatic conditions: the arrival and propagation of the Kelvin Waves and the presence of the moderate “El Niño” phenomenon. In view of this, the Production Ministry did not approve a fishing quota for the second season of 2014, neither in the center-north zone, nor in the south zone. The national discharge of anchovy was 2.25 million MT; while in the year 2013 it was 4.72 million MT. TASA discharged a total of 606,760 MT of anchovy (27% of the national quota of 2014), 47% less tons than those obtained in 2013. The scarcity of the resource generated an increase in the price of the fishmeal and fishoil. With regard to the sector of direct human consumption, a slight increase of 0.81% was achieved in its production compared to 2013. A national quota of 152,000 MT was assigned for the fishing of horse mackerel and mackerel, but it was only possible to extract 66,894 MT. In order to optimize the profitability of the horse mackerel and mackerel resource, we prioritized the frozen process, over the sale of fresh fish and canned products. The commercialization of both resources was concentrated in the local markets under the Kontiki brand, supplying Lima and the Distribution Centers in Abancay, Andahuaylas, Ayacucho, Cusco and Puno. The year 2014 also signified the beginning of the TASA OMEGA project, which in 2015 will begin its production of refined and concentrated OMEGA 3 oil. This product, highly beneficial for human health, will mainly supply the food, nutraceutical and pharmaceutical industry on a global level.
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G4 - EC2
ENVIRONMENTAL ASPECTS
DMA SPECIFIC
Environmental aspects, especially those related to climatic variability, constitute decisive aspects for the sustainability of our business. For this reason, we operate and promote a sustainable fishing model that ensures the sustainability of the marine resource. In 2014, the Pacific Ocean experienced the development of the “El NiĂąoâ€? Phenomenon of the Modoki5 variety, producing additional heating in the center of the Central Equatorial Pacific. According to the national authority, the phenomenon presented a weakwarm condition. Furthermore, from March until the month of August, Kelvin Waves impacted the marine ecosystem with greater intensity, which generated the withdrawal of the cold coastal waters, and a reduction of the biomass of phytoplankton and, therefore, of anchovy. In the beginning of October we evidenced the progressive recovery of the coastal upwelling which permitted a greater spatial distribution of the anchovy, although only 35% of the existing biomass was adult (more than 12 cm.), as a result of which the second season was restricted for the center-north zone, as well as the south zone, in order to preserve the marine resource. However, these warm conditions permitted the presence of other resources, such as horse mackerel, mackerel, bonito and tuna, all species from warmer waters. In the face of this context of high climactic variability, we have been perfecting our sys5The warmest temperatures occur in the Central Pacific Tropic, surrounded by colder waters to
the east and west, and they are associated with different atmospheric convection patterns.
46 Sustainability Report 2014
tem of good fishing sustainability practices for the collection of data which permits the understanding of the relationship existing between the superior marine predators and the anchovy, the horse mackerel, and the mackerel, knowing that the presence or absence of these resources is due to the increase of warm and cold events. At present, we have an information bank that permits us to make decisions regarding the fishing season, as well as have a more in-depth knowledge of our marine ecosystem and the changes that have been generated in recent years. This valuable information has even been useful for the national authorities. Additionally, we maintain a strong interest in optimizing our processes, especially on an energy efficiency level; therefore we have begun the change of the energy matrix to gas in the Pisco Plant. On the other hand, one of the main aspects of the sector with regard to its environmental control is the management of effluents, so that all our plants have industrial residual water treatment systems, which are discharged though their own emitters, or in some cases common emitters, such as in Chimbote and Pisco. This permits us to comply with the norms of Maximum Permissible Limits of 2015.
DMA SPECIFIC
The environmental aspects, especially those related to climatic variability, constitute decisive issues for the sustainability of our business. For this reason, we operate and promote a sustainable fishing model that ensures the durability of the marine resource. 47
SOCIAL ASPECTS One of the most important pending subjects on the agenda of the fishing sector is the promotion of fish consumption to combat the indices of child malnutrition in the country. Therefore, the Production Ministry together with the Sociedad Nacional de Pesquería and its associates have implemented educational and awareness programs directed at the poorest sectors of the country, improving their health and nutrition through the introduction of the anchovy and other marine resources into the Peruvian family diet. Likewise, TASA, committed to the country’s nutrition, supplies quality marine products to the markets of Lima, Abancay, Andahuaylas, Ayacucho, Cusco and Puno through its Distribution Centers. In a complementary manner, it promotes the consumption of fish, especially anchovy, through the NutriTASA project, which in its three years of intervention through a public – private partnership, has achieved an important nutritional recovery level in the districts of Cusco and San Jerónimo, which reaches 39% in children under 3 years of age with chronic malnutrition and 36% of those with anemia due to iron deficiency. On the other hand, we generated a new partnership with the district municipality of Atico in Arequipa in the framework of Works for Taxes, which permitted us to assume the financing for the improvement of the streets of the populated sector “La Florida”. The work resulted in a successful experience for those involved, which strengthened our relationship with the local authorities and the community.
During 2014 the sustained, direct and close relationship with our stakeholders in the communities permitted a growth of 5% in the local actors who maintain a position in favor of the company compared to 2013 (from 88% to 93%). As part of our relationship with the community, more than 70 volunteer activities were carried out, organized and executed by approximately 2,000 employees from the thirteen units and five distribution centers of TASA located on a national level, executing training actions in schools and grassroots organizations, promoting health and care of the environment, gastronomical fairs to communal kitchens, cleaning of beaches and markets, among others.
DMA SPECIFIC
The industry has a business association that brings together the private capital of companies mainly dedicated to fishing for Indirect Human Consumption (IHC) and, to a lesser extent, to fishing for Direct Human Consumption (DHC). Likewise, for the purpose of contributing to the sustainable development of the main port communities of the coast, the association has nine Associations of Fishmeal and Fish Oil Producers (APROS): APROPAITA, APROSECHURA, APROCHICAMA, APROCHIMBOTE, APROCHANCAY, APROSUPE, APROPISCO, APROTAMBO and APROILO. The intervention of these Associations permits the focus of the responsible intervention of the companies through social and environmental programs.
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REGULATORY ASPECTS DMA SPECIFIC
The regulations in the fishing sector have contributed to control the extraction of the marine resource for its preservation, using as input the scientific studies of the Instituto del Mar del Perú regarding the evolution of the marine biomass during recent years. The validity of the legislation regarding the Maximum Capture Limits by vessel began in 2008, establishing a fishing ordering mechanism applicable to the extraction of the anchovy resources destined to indirect human consumption. This norm sought to promote the sustained development of the marine resource as a source of food, employment and income, and ensure a responsible exploitation of the hydro-biological resources.
50 Sustainability Report 2014
During 2014 new norms were enacted for the ordering of the extraction of the resource destined for direct human consumption, allowing the reception of additional resource due to greater demand. It should be stated that in terms of environmental control the Organism of Environmental Assessment and Supervision (Organismo de Evaluación y Fiscalización Ambiental – OEFA) has strengthened its supervisory role, regulating violations in the fishing sector. Finally, the regulation regarding the Maximum Permissible Limits (MPL) of effluents and emissions that help to reduce the environmental impact of the sector has also come into effect.
LABOR ASPECTS As a leading company in the sector it is necessary to have high levels of training, which increase the labor standards of the fishing activity. For this reason during 2014 we implemented the Crew Development project, which involved the participation of more than 800 employees (84% of the total fishing personnel). They received an average of 21.4 hours of training, of which 19.7 were of formation in occupational safety. The training carried out included the formation of brigades (basic life support, firefighting, survival and rescue in the sea, and simulation of emergency response in fishing vessels), as well as the use, inspection and maintenance of protection equipment, handling of dangerous materials and marine safety in fishing vessels.
Additionally, due to the importance that health and occupational safety requires in the industrial sector, we maintained the formation and strengthening campaigns of culture and leadership in Management and Occupational Health Systems, involving all the business units.
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TASA MANAGEMENT MODEL DMA SPECIFIC
The objective of TASA’s management model is the sustainability of the business under a logic of continuous improvement and strategic relationships with our stakeholders. Sustainability management in TASA is transversal to all the activities, processes and actions. It is supported on seven strategic pillars: leadership, strategic planning, orientation towards the client, measurement, analysis and management of knowledge, orientation towards personnel, focus on the operation and results.
01 02 03 04
Leadership
Strategic Planning
Orientation towards the Client
05 06 07
Orientation towards Personnel Focus on the Operation
Results
Measurement, Analysis and Management of Knowledge
1. Leadership. This model is based on our Mission, Vision and is anchored to our values Integrity, Excellence, Comprehensive development and Sustainability. TASA not only exercises a leadership position in the national and international fishing sector, but it also represents the industry that is at
52 Sustainability Report 2014
the forefront in social responsibility, commitment to its environment and transparency. 2. Strategic Planning. TASA develops its strategy based on its goals considering the expectations of its stakeholders, since its long
term reputation depends on them. In TASA we align these expectations with their objectives, plans and projects. 3. Orientation towards the client. We are oriented towards the client always considering their main concerns through bidirectional channels. This information serves to implement improvements and innovate in our processes and products. 4. Measurement, analysis and management of knowledge. We ensure our organizational learning through tools and systems that permit us to access securely the knowledge of our company.
5. Orientation towards Personnel. The human management of TASA is based on three pillars: work climate, culture management and talent management. 6. Focus on the operation. We promote a culture of continuous improvement through the promotion of competitive improvement projects between our employees. 7. Results. We have tools for the monitoring and measurement of the productive and financial indicators and results, as well as the relationship that we maintain with our stakeholders.
Stakeholders The continuous and transparent relationship with our stakeholders has generated a bond of trust that supports us and motivates us to continue managing new opportunities to win – win. In TASA we have identified and prioritized our stakeholders based on the following criteria: level of influence, perception and flexibility in their relationship with the company. For that, we carry out participative workshops twice a year in which the Management Committee and invited collaborators from each of our Plants participate.
G4 - 25 G4 - 29
Any change in the definition of the stakeholders has a direct impact on the strategic objectives. Therefore, any modification is subject to the annual revision and approval of Senior Management.
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G4 - 24
Stakeholders
Sub groups
1. Shareholders
There are no sub groups
2. Media
National and local
3. Ship-owners
Preferential and temporary Skippers Specialists (Machine engineers, pilots) Employees
4. Collaborators
Workers Crew Human consumption selectors
5. Community
Paita Plant
Paita
Parachique Plant
Sechura
Malabrigo Plant
Pázuri
Chimbote Plant
27 de Octubre
Samanco Plant
Samanco
Shipyard
Huanchaquito
Supe Plant
Supe
Vegueta Plant
Caleta de Végueta
Callao Norte Plant
Márquez
Pisco Plant
Pisco playa/ Pisco pueblo/ San Andrés
Atico Plant
Atico
Matarani Plant
Matarani 7 Mollendo
Ilo Plant
Ilo Construction
Shipyard
6. Clients
Repair A clients
Indirect Human Consumption (by sales volume)
B clients Institutional
Frozen and fresh
Wholesalers Supermarkets
Local governments
Other regulators
Ministry of the Environment 7. State
Ministry of Labor and Promotion of Employment Ministry of Production Ministry of Social Inclusion Suppliers of services
8. Suppliers
General and Specialized Inputs
Suppliers of goods
Spare Parts Assets
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COMMITMENTS TO STAKEHOLDERS We assume strategic commitments with each of our stakeholders, we collect and analyze their expectations and establish channels of communication that ensure an assertive relationship.
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G4 - 26
DIALOGUE AND RELATIONSHIP BUILDING
Sustainability Report
Social Networks
Intranet
Internal dissemination and communication materials7
Legal bulletin
Receipt of suggestions
TASA Te Comunica
RevisTASA (Bimonthly)
External dissemination and communication materials6
Satisfaction surveys
Bulletin ComuniTASA (Every four months)
Annual report
Our communication approach that we maintain with our stakeholders is based on relationship building and bi-directionality. We have direct communication, dialogue and consultation channels, such as satisfaction surveys, feedback and coordination meetings and personalized attention.
Shareholders Financial creditors Ship-owners Clients Collaborators Communities State Suppliers
Materiality Analysis G4 - 18
For TASA, the incorporation of a sustainability focus implies knowing its main impacts and economic, social and environmental risks, so that they can be included and managed as part of the continuity strategy of the business. For that, the materiality analysis is an important tool that facilitates the identification and determination of the important aspects for TASA and our stakeholders.
6
Includes diptychs, brochures, videos (induction, strategic planning and summary of internal and external activities, among others), radio spots, ads, among others. 7Includes summons, communications, advice, brochures, campaigns, flyers, diptychs, videos (induction, strategic planning, summary of internal and external activities, among others), radio spots, ads, among others.
56 Sustainability Report 2014
Based on this methodology, the results will be periodically reviewed to maintain or incorporate material aspects. In 2014, this process was composed of five stages:
1. Definition of materiality 2. Prioritization of materiality 3. Validation and discussion with leaders of the organization 4. Association with GRI aspects and indicators 5. Collection of expectations of the stakeholders
1. Definition of Materiality • Considering various sources of information that permit us to identify relevant aspects for the company, stakeholders and the sector, we defined a list of more than 100 aspects to be considered in the sustainability strategy of TASA. The consulted sources include: strategic map 2014 - 2015, SWOT TASA, Guidelines and axes of social responsibility intervention, list of impacts in the value chain, results of the dialogue panels with the community, Sustainability reports of the other fishing companies, guidelines for the competitiveness and sustainabi-
lity of the Peruvian fishing sector of the Sociedad Nacional de Pesquería, among others. • Through internal desktop review, the relevant aspects were grouped in macro aspects, and were then categorized under 6 subjects: economic, environmental, social, labor, regulatory – institutional, and other aspects.
This stage responds to the principle of Context of Sustainability and Completeness, according to the guidelines of the Global Reporting Initiative.
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2. Prioritization of materiality: • Based on the previous exercise and with those responsible for the main Managements of TASA, we prioritized the macro aspects according to a logic of Impact - Relevance. Through this initial stage of materiality analysis, we identified the impact on the business and the relevance for our stakeholders of each one of the aspects, allowing us to grade and obtain a priority ranking within each aspect. • With the results obtained, the data was analyzed using a statistical formula to determine three priority levels: strategic, primary and secondary. • Based on both stages of prioritization, we constructed our materiality matrix:
58 Sustainability Report 2014 58 Reporte de Sostenibilidad 2014
• As a last step of the prioritization, we validated the alignment of the strategic and primary aspects with our mission, vision and values, in such a manner that their management contributes to maintaining and strengthening the established management model. This stage responds to the principle of Materiality, according to the guidelines of the Global Reporting Initiative. 3. Validation and discussion with leaders of the organization The results obtained by the materiality analysis were validated by the General Management, which defined the strategic aspects as a priority for the sustainability strategy of TASA.
Material aspects
Coverage
Stakeholders involved
1. Climatic changes and phenomena
External
Environment, State, Community
G4 - 19 G4 - 20 G4 - 21
2. Sustainability of the marine resource
External
Environment, State, Community
3. Quality and safety of the product
Internal
Collaborators, Clients, Shareholders
4. Legal conformity and certifications
External/Internal
Environment, State
5. Public – private partnerships
External/Internal
State, Community
6. Efficient processes and high operation standards
Internal
Collaborators, Clients, Suppliers
7. Food sustainability and nutrition
External
State, Community
8. Omega 3 Business 8
Internal
Shareholders, Collaborators
8
This material aspect makes reference to the beginning of the business TASA OMEGA, a subsidiary company of TASA.
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4. Association with GRI Aspects and indicators In desktop review, the 8 strategic aspects were associated with 15 GRI – G4 aspects, and 42 management indicators that we report on in this document. Both stages also respond to the principle of Materiality, in accordance with the guidelines of the Global Reporting Initiative.
Material issue
Aspect
Indicator
Name of the Indicator
G4 - EC1
Direct economic value generated and distributed.
G4 - EC2
Economic consequences and other risks and opportunities of the organization derived from Climatic Change.
G4 - EC3
Coverage of the obligations of the organization derived from its presentations plan.
G4 - EC4
Economic aid granted by Government organs.
G4 - EC5
Relationship between the initial salary disaggregated by gender and the minimum local salary in places where significant operations are carried out.
G4 - EC6
Percentage of senior management originating from the local community in places where significant operations are carried out.
Economic Performance
Omega 3 Business
Presence in the Market
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Material issue
Aspect Materials Energy
Water
Indicator
Name of the Indicator
EN1
Materials by weight and volume.
EN2
Percentage of the materials used that are recycled materials.
EN3
Internal energy consumption.
EN8
Collection of water according to the source.
EN9
Water sources that have been significantly affected by the collection of water.
EN10
Total percentage and volume of recycled and reused water.
EN11
Operating facilities own, leased, managed that are adjacent, contain or are located in protected areas and non-protected areas of great value for biodiversity.
EN12
Description of the most significant impacts in the unprotected biodiversity, derived from the activities, products and services.
EN13
Protected or restored habitats.
EN14
Number of species included in the red list of the UICN and in national conservation lists whose habitats are located in areas affected by the operations, according to the level of danger of extinction of the species.
EN15
Direct emissions of greenhouse gasses (scope 1).
EN16
Direct emissions of greenhouse gasses upon generating energy (scope 2).
EN17
Other indirect emissions of greenhouse gasses (scope 3).
EN18
Intensity of the emissions of greenhouse gasses (define calculation unit, it is suggested to be produced ton)
EN19
Reduction of the emissions of greenhouse gasses.
EN20
Emissions of substances that deplete the ozone.
EN21
Nox, Sox and other significant atmospheric emissions.
EN22
Total discharge of waters, according to their quality and destination.
EN23
Total weight of residues, according to type and method of treatment.
EN24
Total number and volume of the significant discharges.
EN25
Weight in the residues that are transported, imported, exported or treated, considered dangerous by virtue of annexes I, II, III and IV of the Basilea Agreement and percentage of residues internationally transported.
EN26
Identification, size, state of protection and value of biodiversity of the water masses and the related habitats significantly affected by discharge and runoff originating from the organization.
EN31
Breakdown of the environmental expenses and investments.
Biodiversity
Sustainability of the resource Climatic change and climatic phenomena Emissions
Effluents and residues
General
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Material issue
Aspect Indirect economic consequences
Public – private partnerships Food safety and nutrition
Indicator
Name of the Indicator
G4-EC7
Development and impact of the investment in infrastructures and the types of services.
G4-EC8
Significant indirect economic impacts and scope thereof.
G4-SO1
Percentage of centers where development programs, impact evaluations and participation of the local community have been implemented.
G4-SO2
Center of operations with significant negative effects, possible or real, on the local communities.
G4-SO11
Number of claims of social impacts that have been presented, addressed and resolved through formal claim mechanisms.
G4-PR1
Percentage of categories of significant product and services, the impacts of which in terms of health and safety have been evaluated to promote improvements.
G4-PR2
Number of incidents derived from the noncompliance of the norms or of the voluntary codes related to the impacts of the products and services in health and safety during their life cycle, broken down based on the type of results of those incidents.
G4-PR3
Type of information required by the procedures of the organization related to the information and the labeling of its products and services, and percentage of categories of significant products and services that are subject to these requirements.
G4-PR4
Number of non-compliances of the regulation and of the voluntary codes related to the information and the labeling of its products and services, broken down based on the type of result.
G4-PR5
Results of the surveys to measure customer satisfaction.
G4-EN29
Monetary value of the significant fines and number of non-monetary sanctions due to the non-compliance of the environmental legislation and norms.
G4-SO8
Monetary value of the significant fines and number of non-monetary sanctions due to the non-compliance of the legislation and norms.
G4-PR9
Cost of the significant fines due to the non-compliance of the norms and the legislation related to the supply and use of products and services.
Local communities
Social impact claim mechanisms
Health and safety of the clients
Quality and safety of the products Efficient processes and high operation standards
Labeling of the product
Normative compliance of the fishing regulation
Regulatory compliance
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5. Collection of expectations of the stakeholders G4 - 27
For the fourth consecutive year, we have conducted dialogue spaces with multiple stakeholders (the community, the local government, organizations of the civil society, collaborators, among others). On this occasion, the chosen locality was Atico, where in recent years we have been working on various social responsibility and relationship activities. The more than 20 participants evaluated, scored and provided their opinions regarding the sustainability focus of our company, based on four challenges: commitment to nutrition, environmental management for resource sustainability, relationship for sustainable development and processes of excellence. On a scale from 0 to 3, the challenges obtained between 2 and 3 points, which classifies them as good and excellent performance. Among them the score attributed to our processes of excellence stands out, for which some participants supported the idea that our high production standards and certifications differentiate us from the competition and reinforce our position as a leading company. During the dialogue we identified the high knowledge and valuation of the national products of TASA, such as OmegaBurguer and Anchovy nuggets. Likewise, those who attended this workshop this workshop valued the importance of the creation of the Atico Fishing Consortium, emblematic project of our social responsibility management, recently awarded a prize. The formalization, training and promotion of the employment of the artisanal fisherman is recognized as an important milestone in the commitment of our company to the population of Atico.
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On the other hand, critical positions are maintained regarding the impacts that the sector produces in the Environment, such as the compliance of Permissible Limits in the emission of effluents, or the various measures established by PRODUCE. Even so, they congratulated the investments in technology and process improvement, as well as the promotion of an environmentally responsible culture in the community.
G4 - 27
As a main result we found the good reputation that we have within the community of Atico, who value our commitment and actions as highly positive for local development and wellbeing. Additionally, as an opportunity for improvement, greater knowledge and information is required regarding the specific aspects of our overall management. This last stage corresponds to the principle of Participation of the stakeholders, according to the guidelines of the Global Reporting Initiative.
“Because TASA does what is possible to help us, it teaches and trains us to be able to form our company� - Neighbor of Atico
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Risk Management G4 - 14
Risk management covers our entire company and is based on the guidelines of the Board of Directors and General Management. All management areas are responsible for identifying and controlling risks in coordination with all the responsible units. • Operational risks are monitored through the Planning and Innovation Sub-management. This area identifies and updates the risks of all the processes of the organization in the Operating Risk Matrix in which the action plans, schedules and indicators are established. This matrix includes the analysis of market, credit and liquidity risks and those occasionally produced by the effects of climatological changes, thus it represents a key input for the annual process of Strategic Planning. Thanks to the materiality process that we have undergone this year, in the case of this sustainability report, we have established the inclusion of sustainability risks for the next Strategic Plan-
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ning processes. • Financial risks are managed by the Controller Management, the area responsible for the revision and approval of the company’s procedures to ensure that it has adequate controls in this area. • The Internal Audit Management is responsible for determining whether TASA’s administrative, accounting and financial processes, as designed and approved by Management, are reliable, adequate, and functional and/or complied with. The results of the evaluations carried out are reported to the Audit Committee, considering the following aspects:
• Materiality and risk level. • Regulatory non-compliance. • Significant matters in TASA’s processes, and the improvements identified. • The Head of Physical Safety has the Risk Management Procedure, to prevent unlawful activities and incidents of corruption in the operations and determine the threat context and scenarios in each one of the company’s facilities. In this manner, relevant or significant risks are identified, analyzed, monitored and communicated to all the personnel involved in the process and/or in the installation. This evaluation is incorporated into the Physical Safety Risk Matrix, which establishes a treatment and mitigation program of the identified risks, permitting us to obtain and maintain the
BASC recertification in all of the operating units. • Finally, we have a Crisis Management Plan and a Business Continuity Plan. These documents are a guide for facing situations that could affect the operations and/or the reputation of the company, establishing action plans and assigning people responsible for their implementation.
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Prizes and Distinctions In 2014, TASA received the following awards: XI PERÚ 2021 PRIZE FOR SOCIAL RESPONSIBILITY AND SUSTAINABLE DEVELOPMENT – THREE PRIZES The NUTRITASA program obtained the first prize in the Food Safety category granted by Cáritas and the second prize in the Multistakeholders category. On the other hand, the project Consorcio Pesquero Atico won the second prize in the Community category. With these three awards, TASA became the company with the greatest number of recognitions in the XI Perú 2021 Prize. NATIONAL ENVIRONMENTAL PRIZE – HONORABLE MENTION The project “Good practices of fishing sustainability focused on the ecosystem” was recognized by the Ministry of the Environment with an honorable mention in the National Environmental Prize, for positioning itself among the best projects related to the care of the ecosystem.
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SOCIALLY RESPONSIBLE COMPANY DISTINCTION - 2012 - 2013- 2014 Granted by the Asociación Perú 2021 and the Centro Mexicano de Filantropía, which evaluates our progress and commitments in four dimensions: quality of life, entrepreneurial ethics, relationship with the community and care of the environment. TASA forms part of the 65 companies which received this distinction in Peru during 2015. MERCO REPUTATION RANKING: The 100 companies with the best reputation and the most responsible of Peru-edition 2014 En la categoría de las empresas con mejor reputación, TASA obtuvo el puesto 49 (mejorando siete puestos respecto al 2013) y en la categoría de las empresas más responsables y con mejor gobierno corporativo, el puesto 38 (mejorando una posición respecto al 2013). The 100 best companies to work in Peru-edition 2014 TASA obtained 31st place and was considered the best company to work for in the fishing sector.
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III. Our Environmental Management
We invest in the constant improvement of our environmental management in order to mitigate our impacts on our surroundings. In the last three years, our environmental investment has exceeded $50 million.
Biodiversity and Sustainable Fishing The geographical location of Peru, where the Humboldt and El Niño currents flow together, is the source of our great ichthyologic wealth which includes 400 species of crustaceans, 1,100 species of mollusks and 1,052 species of fish, of which 150 currently support fishing. In terms of commercial importance, the species that stand out in our ecosystem are the anchovy and the squid. Other important species are horse mackerel, mackerel, tuna, bonito and mahi-mahi.
G4-EN11 G4-EN12 G4-EN13 G4- EN14
Since Peru is a country with a great biodiversity and marine wealth, the red list of the IUCN (International Union of Conservation of Nature) considers as endangered (with a high risk of danger of extinction) in the categories “In critical danger, in danger and vulnerable a total of ten species of birds, five species of turtles and one species of whales.” For its part, the Peruvian state considers in “Critical danger, danger and vulnerable state” five species of turtles, eleven species of birds and, two species of sea lions. Our operations are carried out in a responsible manner close to some protected marine areas, such as the bays of Paracas, Samanco, Végueta, Atico and Ilo. In order to mitigate the impact on these bays we take care to comply with the environmental norms to ensure that we do not damage the ecosystem. It should be stated that no significant impacts on the biodiversity have been recorded. During 2014, TASA joined the initiative “Ten commitments for responsible and sustainable fishing”, supported by the Production Ministry for the purpose of promoting the care of the ocean and the preservation of marine resources through the respect of the off-seasons, the restraint of overfishing of species of less than the permitted sizes and respect of the reserved fishing zones.
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Para cuidar las especies del mar peruano y desarrollar una pesca responsable y sostenible, nos comprometemos a:
1
Preserve the species of the sea, rivers and lakes, protecting them from their possible reduction or extension.
2
Not fish, or consume protected species (dolphin, turtle and sea lions) and respect the temporary off-seasons.
3
Respect the prohibition of fishing in reserved zones.
4
Avoid the contamination of the sea, rivers and lakes, as well as the informal processing of fishing resources in the open.
5
Support the surveillance and control for responsible fishing, facilitating the work of the inspectors.
6
Use only the tackle and equipment allowed for the extraction of the fishing resource.
7
Comply with the requirements and conditions established in the permits, licenses and authorizations obtained.
8
Maintain the satellite equipment (SISESAT) installed in the fishing vessel, active and without interruption.
9
Maintain the adequate functioning of the scales, avoiding their manipulation.
10
G4 - 15
Comply, in all of the productive stages, with the preservation conditions of the fishing resources for consumption.
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Success Story GOOD FISHING SUSTAINABILITY PRACTICES
TASA develops good fishing sustainability practices that permit the care and preservation of our marine ecosystem. The program has the purpose of implementing a data collection system that permits the understanding of the existing relationship between the superior marine predators, and the anchovy, horse mackerel and mackerel, within a highly variable climatic environment. The initiative began with the implementation of the “fishing log�, document in which our crewmembers record geo-referenced information every thirty minutes, such as the presence of fishing in category values of relative abundance, their vertical location, the surface temperature of the sea and the sightings of the main marine predators. Starting in 2011, a follow-up control of the quality of the recorded information was implemented, which permitted us to obtain greater detail of the behavior, distribution and abundance of anchovy, horse mackerel and mackerel; and in 2012, we began to record and identify the superior marine predators, increasing by 69% until 2014 the number of sightings of marine birds, dolphins, whales, sea lions and marine turtles. Year after year, the program has incorporated new tools for the coaching and training of our nearly 1,000 crewmembers:
• Prospection kit: poster, guide and digital video of the main superior marine predators, guide of restricted zones, ichtyometers, among others. • Training to correctly identify and free the main superior predators. Likewise, we have invested in new technologies to mitigate the accidental capture of dolphins. Since 2011 and in a progressive manner pingers are being installed in the nets of the vessels to avoid any possible damage to this species. Another contribution originating from the vessels is the detection of fishing resources through digital echo sounders that are located in 14 of our vessels. They collect information through digital acoustic detections which are later processed in a post processing software, which permits us to know the presence and characteristics of the shoals of anchovy, horse mackerel, mackerel and other species observed; as well as other variability indicators of the marine ecosystem, such as the vertical distribution of zooplankton, the depth of the thermocline and oxycline, the latter as a global warming indicator. These good fishing practices are aligned with our commitment to the sustainability of the resource, and reflect how our crewmembers live this culture on a daily basis. The main results that we have obtained until now include:
• 88% of our crewmembers aware of the importance and the role that the marine predators fulfill in the Peruvian sea. • An increase of 69% in the total sightings of superior predators from 2012 until now, correctly identified by their common name. • Obtaining an important source of information of the ecosystem from the year 2008 until now, with a database of close to 62,981 rows, adequately geo-referenced. • Reduction of accidental capture of dolphins thanks to the pinger technology. • Evidence of liberations of the main Superior Marine Predators in the fishing activities. • Use of information collected from the fishing log and from the digital echo sounders in scientific workshops. NATIONAL ENVIRONMENTAL PRIZE – HONORABLE MENTION
ENVIRONMENTAL INVESTMENT G4-EN31
In the year 2014, the environmental investments exceeded 6.6 million dollars. The most important investments are related to the implementation of clean energy, the change of the combustion system from industrial petroleum to natural gas in the Pisco Plants and the conversion of the FAQ plant capacity to Steam Dried in Ilo, among others. They are detailed below: Unit
Name of the Project
Paita
Installation of an ecological pump in the dock.
Malabrigo
Purchase of a cauldron of 1500 BHP for replacement of assets.
Chimbote
Purchase of a tricanter.
Samanco
Change of fish pipeline.
Pisco Norte Pisco Sur Ilo
76 Sustainability Report 2014
Conversion of the combustion system from industrial petroleum to natural gas. . Conversion of the combustion system from industrial petroleum to natural gas . Conversion of plant from FAQ to Steam Dried from 80 T/h to 138 T/h. Purchase of a tricanter
RAW MATERIAL TASA discharged a total of 606,760 MT of anchovy, 47% fewer tons than those obtained in 2013. The characteristics of the first fishing season did not permit the achievement of the quota; additionally, its intermittence did not permit us to reach the production capacities of our plants, therefore the yield ratios increased slightly for each ton of fishmeal produced.
DMA SPECIFIC
In the case of fish oil its efficiency is directly related to the quantity of fat that the resource possesses. 2013
2014
1’ 144, 318
606, 760
Tons
281, 362
145, 695
Yield
4.067
4.165
Tons
46, 429
31, 452
Yield
4.06
5.18
DISCHARGE ANCHOVY TM
Fishmeal produced
Oil produced
G4-EN1
With regard to horse mackerel and mackerel for direct human consumption, TASA captured 27,739 MT, equivalent to 41.5% of the national discharge according to IMARPE.
77
OTHER SUPPLIES The consumption of other important supplies for our production was also reduced, such as antioxidants and quantities of bags. In the case of antioxidants, we used more than 116,000 kg, which represents 80,000 kg less than the year 2013; and in the case of quantities of bags, we used more than 2 million units, half the consumption of 2013.
WATER CONSUMPTION G4-EN8 G4-EN9 G4-EN10
DMA SPECIFIC
In TASA we manage a logic of exploitation and circulation of water in our industrial processes. Our sources of water consumption are the public network, wells and cisterns. The greatest volume of water is used in cauldrons for the cooking and drying of fishmeal, in both processes the water is reused, which allowed us to save 70% of the water employed in our units in the year 2014.
Year
Volume of recycled and reused water (m3)
Volume of current water demand (m3)
Total consumption of water (m3)
Savings of water
2013
480, 614
199, 810
680, 424
71%
2014
254, 329
108, 858
363, 187
70%
78 Sustainability Report 2014
ENERGY CONSUMPTION At present, our main energy sources are concentrated in Diesel 2 B2 and Petroleum R500; however, our projection is to implement clean energy (natural gas) in all of our plants, since they generate greater energy and work capacity per ton of CO2. Our energy consumption was distributed in the following sources:
GJ9
%
tCO2e
%
Natural Gas
211, 572
11.9%
11,883
11.8%
Diesel 2 B2
762, 637
42.8%
39, 877
39.6%
Petroleum R 500
745, 051
41.8%
47, 921
47.5%
Electrical energy acquired from the network
63, 564
3.6%
1, 131
1.1%
TOTAL
1, 782, 823
100%
100.811
100%
G4-EN15 G4-EN16
9
Gigajoule is a unit used to measure energy.
79
The total energy produced and emissions were reduced due to the reduction in production; however, due to intermittent fishing, which results in a greater on-off frequency of the equipment, the ratio of energy per ton of fishmeal increased from 9.87 to 12.24
G4-EN18
2013
2014
Total Energy Produced (GJ)
2, 777, 560
1, 782, 823
Total Emissions (tCO2e)
171, 029
100, 811
Total Energy (GJ) / Total Fishmeal (Mt)
9.87
12.24
Total Emissions (tCO2e) / Total Fishmeal (Mt)
0.61
0.69
EFFLUENTS G4-EN22
Our main effluent is the pumping water that results from the mixture of seawater and fish because it contains organic waste and fat. This effluent is treated by means of filtration, flotation and dehydration systems; and subsequently it is discharged by an outfall to deeper areas in order to preserve the marine ecosystem.
80 Reporte de Sostenibilidad 2014
On a national level, the amount of effluents generated reached a total of 1,100,447 m3 during 2014, which complied with the Maximum Permissible Limits. The indicators and the goals of fats and solids in the pumping water are analyzed on a monthly basis, achieving reductions under the Maximum Permissible Limits that will be in effect as from this year, these values have been reduced due to a combination of better efficiency in our treatment and the reduced fishing obtained this year.
2013
2014
MPL valid with effect form 2015
Oil and fat %
0.005
0.004
0.035
Total suspended solids %
0.059
0.034
0.070
DBO54 %
0.41
0.24
Not regulated
4 Domestic water is treated in treatment plants to be reused in the irrigation of more than 40,000 m2 of green areas.
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EMISSIONS The environmental investments that we made out are directly associated with improving the efficiency of our processes, aiming at a reduction in our consumption and emission of CO2. Therefore, during the year 2014 a change was made from the combustion of industrial petroleum to natural gas in the two plants of Pisco, and the conversion of the capacity of the FAQ plant to Steam Dried was culminated in Ilo. The following table shows the generated consumption of natural gas and the projected consumption of Residual R, the latter in case the energy matrix conversion has not been implemented in the mentioned plants. This improvement in our processes enables us to obtain important reductions in the total emissions of CO2.
G4-EN19
2013
Fuel
Consumption
Emission of tons of equivalent Carbon Dioxide
Residual R 500
2, 082, 877 gal
21, 824 tCO2e
Natural Gas
8, 044, 358 sm3
18, 278 tCO2e
82 82 Reporte de Sostenibilidad 2014
2014 Total reduction of emissions
-3, 546 tCO2e
Consumption
Emission of tons of equivalent Carbon Dioxide
1, 470, 384 gal
15, 406 tCO2e
5, 678, 824 sm3
12,903 tCO2e
Total reduction of emissions
-2, 503 tCO2e
The results of the monitoring of the fishmeal plants carried out in 2014 are the following:
Plant
NOx (kg)
SOx (kg)
Particulate material (PM10, PM2,5)(kg)
Paita
Sd
Sd
Sd
Parachique
Sd
Sd
Sd
Malabrigo
362.00
129.33
210.20
Chimbote Norte
338.86
741.86
174.71
Samanco
209.00
--
283.00
Supe
130.25
44.25
724.25
Vegueta
249.25
1, 247.00
335.75
Callao Norte
65.38
87.88
16.63
Pisco Norte
1, 049.40
652.80
887.20
Pisco Sur
344.29
1, 220.71
141.29
Atico
Sd
Sd
Sd
Matarani
Sd
Sd
Sd
Ilo
Sd
Sd
Sd
G4-EN21
nd: No Data (there was no monitoring in these plants due to low production)
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As a result of other emissions, we obtained increased results due to the turning on and off of equipment because of the intermittent fishing. The figures are shown below:
2013
2014
G4-EN17 G4-EN20
Grams Eq CFC-1110 Diesel/ MT of Meal
0.19
0.36
Grams Eq CFC-11 Petroleum R500/MT of Meal
0.08
0.16
Grams Eq CFC-11 Natural gas/MT of Meal
0.02
0.05
WASTE The solid wastes generated in our facilities are managed from their origin, carrying out the segregation in colored recipients; and then through service providing companies that have the respective authorizations from the national authority for their transport, disposal and commercialization.
2013
G4-EN23
2014
Hazardous solid waste (MT)
Non-hazardous solid waste (MT)
Hazardous solid waste (MT)
Non-hazardous solid waste (MT)
396
1, 710
432
2, 773
Our waste increased compared with the previous year due to the gas conversion works in 02 plants and the transformation of FAQ in one plant.
G4-EN2
The commercialization of more than 2.5 tons of recyclable waste during the year permitted us to obtain income totaling 2,277,929 New Soles. 10
Equivalents Trichlorofluoromethane.
85
IV. Our Human Talent Management
Our employees are the great strength of TASA and what make us a great company. We are convinced that the effective management of talent is a key factor to ensure the attraction, retention and growth of people. EMPLOYEES
G4 - 9
In the year 2014 we had 3,101 employees among all our labor categories. More than 70% of our personnel is concentrated in fishing and production activities, thus we pay a lot of attention to their professionalization. 2013
G4 - 10
DMA SPECIFIC
2014
Category
No of Employees
No of Employees
% by Category of Employee
Officers
41
40
1.3%
Employees
754
730
23.5%
Workers
1, 417
1, 336
43.1%
Crew
1, 018
995
32.1%
TOTAL
3, 230
3, 101
100%
In TASA there is a diversity of gender, our Recruitment and Selection Policy promotes hiring announcements without any type of exclusion due to gender; however, there are labor categories, such as the crew, where the presence of male labor predominates.
1.3%
OFFICERS 3 8%
32.1%
37 92%
CREW 995 100%
23.5%
EMPLOYEES 209 29%
521 71%
43.1%
WORKERS 174 13%
1162 87%
87
With regard to the distribution of our personnel by zones it is distributed into north, center and south, with a large part of our human capital concentrated in the center zone because it represents the plants with a greater volume of production. Zone
Female
Male
Total
North Zone Paita, Parachique, Malabrigo, Shipyard, Chimbote, Samanco, northern Fishing.
24
505
529
Center Zone Supe, Vegueta, Callao, Pisco, Fishing, Frozen, Fishing, Administration, San Isidro.
340
1905
2246
2
304
326
South Zone Atico, Matarani, Ilo, south Fishing.
G4-EC6
The plant located in Callao is one of our main operation centers where fishmeal and fish oil are produced, human consumption products and fleet and fishing activities. Given its importance, four of our officers work in this location, which represents 100% of officers originating from the local community.
88 Sustainability Report 2014
More than 169 persons started work at TASA in the past period, between employees and workers. It is important to state that 42% of the vacancies in those categories were replaced from internal sources. With regard to the crew, the new hiring depends on the demand required for the fishing season.
Employees
Interns
Workers
2013
2014
Men
59
29
Women
33
25
Men
37
38
Women
43
36
Men
85
39
Women
3
2
The average rotation of employees was 13.99% and of the working personnel it was 9.40%. Of the workers dismissed during 2014, three workers decided to take advantage of Retraining and six of them joined the Development and Promotion Program of SMES (small and medium enterprises).
G4-EC3
89
G4-EC5
G4 - 54
G4 - 55
With regard to the Peruvian minimum living wage at December 31, 2014, the average wage in TASA was 86% higher. Average Initial Wage in TASA (S/.)
1,392
Minimum Living Wage
750
% by which average wage exceeds the minimum living wage
86%
Within the group of workers, which represents 43% of the total employees, the relationship between the remuneration of the best paid person and the average obtained within the group is of 1.61. This is due to the annual increases granted based on the performance and fulfillment of their objectives. In 2014, the increase was 5.63% on average for all the employees. En relaciĂłn al incremento anual, todos los colaboradores recibieron un incentivo anual, que fue de 5.63% en promedio. El resultado se basa en el desempeĂąo y cumplimiento de objetivos.
90 Sustainability Report 2014
There have been no changes related to the working day. If changes occur, these will be notified to our collaborators with at least one week’s prior notice and, in the case of termination of the work relationship for objective reasons, we will adhere expressly to the provisions established by current law with terms of between 10 and 90 days.
LABOR RELATIONSHIPS The union committees are distributed in the following manner: 2 union committees (Shipyard in Chimbote and Atico), 2 company unions (Ilo and Malabrigo) and 1 National union (Vegueta, Callao and Pisco).
G4 - 11
Furthermore, there is a branch union (SUPNEP – Sindicato Único de Pescadores de Nuevas Embarcaciones Pesqueras), to which most of the crew members in the country belong, and almost all of our crew members. In total we have 1,177 employees covered by collective agreements, who represent 37.96% of the total collaborators. 2013 Category
% Unionized
2014 Unionized
NOT Unionized
% Unionized
Officers
0.00%
0
18
0.00%
Employees
0.00%
0
752
0.00%
Workers
9.67%
187
1,149
16.28%
Crew
99.51%
990
5
99.50%
TOTAL
35.60%
1,177
1,924
37.96%
91
OCCUPATIONAL SAFETY AND HEALTH TASA has an Occupational Health and Safety Administration System as stipulated by the national legislation. Said system is implemented in each one of the branches and vessels, which have implemented the Annual Occupational Health and Safety Plan, the danger and risk Matrix, the Occupational Health and Safety Regulation, the Risk Map, and the permanent training of our personnel. Our activities are controlled through the implementation of the IPERC (Identification of dangers, evaluation of risks and determination of controls), the AST (Safe Analysis of the Workplace) and the PTS (Safe Workplace Permits), for the purpose of establishing preventive controls for all the work that could cause an injury to the worker, as well as for the permanent training and awareness of the personnel, such as “5 minute talks� prior to the beginning of each work day. We also carry out occupational hygiene monitoring, such as lighting levels, ergonomic risk, noise dosimetry, exposure to gasses, among others, for the purpose of controlling any agent that could cause illnesses to our personnel. During 2014 our accident index reported the following results:
92 Sustainability Report 2014
Accident Index 2013 - 2014
The accident index increased considerably in April, month in which we had an accident in the fishing unit, which subsequently caused the death of one of our employees. Its causes were rigorously analyzed, so that we could apply the corrective measures for the benefit of the health and safety of our collaborators, which are detailed in the Annual Safety Plan.
93
FORMATION OF CAPACITIES AND PERFORMANCE During 2014 we conducted 77,523 hours of training, obtaining an average of 25.14 hours per employee per year.
0.77% OFFICERS
42.72% EMPLOYEES
27.49% CREW
29.02% WORKERS
94 Sustainability Report 2014
The Development Program of middle managers continued, in which the Universidad Peruana de Ciencias Aplicadas (UPC) presented the Diploma Course in Management of the Human Factor, which has the goal of consolidating our leaders in their role as guides and managers of their work teams. The initiative was carried out in Lima, Mollendo and Trujillo, achieving the satisfactory approval of more than 260 leaders.
In 2014, the Operator School Program permitted the leveling of knowledge of mathematics, physics and communication of 150 employees from the plants of Paita, Pisco Norte, Pisco Sur, Supe, Malabrigo, Vegueta and Matarani. The employees who were able to satisfactorily culminate the leveling stage participated in the course held by the Instituto Tecnológico Superior TECSUP, which certified 129 employees this year.
Likewise, we launched our new Competency Development Program, which seeks to develop personal and professional abilities inherent to the TASA culture and through dynamic and experiential workshops. Under this framework, the Seminary-Workshop “Communication: The key for teamwork” was implemented, composed of two workshops developed in Lima, Mollendo and Chimbote, with the participation of 218 employees from all the units and managements. In them, various competencies were worked on and strengthened, such as the commitment to results, assertive communication and teamwork.
95
PERFORMANCE EVALUATION In 2014 we launched our new Performance Evaluation model, based on objectives and competencies. In the case of the performance objectives, these are defined at the beginning of the year by the managers and chiefs of areas along with their collaborators; while the competencies are established by the company, as essentials and of leadership, the latter specifically for collaborators responsible for personnel. All the employees and operators with more than 6 and 3 months in the company, respectively, participate in our annual Performance Evaluation process, which includes revision stages of progress in the middle and at the end of the year, which permit corrective or empowering measures to be taken to obtain the best results possible. The information collected in this process permits us to establish action commitments for the improvement of individual performance, and training programs for the improvement of organizational performance. The flow of the process is detailed in the following table:
96 Sustainability Report 2014
During 2014, 728 employees and 1336 voperators participated, which represents a coverage of 96.8% and 100% of the total employees in each category, respectively. Based on the workers who participated in the Performance Evaluation process and considering all its stages, a compliance level of 96.5% was achieved Based on the performance evaluation, the position and the Policy of annual increases, TASA carried out an average increase of 5.63% in the salary of its personnel during 2014.
97
Success Story
SENATI
SCHOLARSHIPS Since 2014 we have promoted technical education among our employees and families, providing complete study scholarships at SENATI. By the end of the year, 85 people were benefited. This management is oriented towards complementing the technical formation of our personnel, as well as forming future professionals for society, offering the children of our employees the opportunity to have a technical career. In the beginning, we worked with the cooperation of the Human Management coordinators, who carried out a prior analysis of the needs of their respective units for the delivery of the sponsorships. The courses selected by the participants of the program include: Automotive and Industrial Electricity, Automotive Mechanics, Construction, Maintenance, Refrigeration, Welding, among others. For the year 2015, we are defining new criteria for their granting, and evaluating potential beneficiaries belonging to the communities where we have a presence.
V. Our Social Management
TASA Allied with the Community We are concerned about maintaining good relationships with our stakeholders from the communities where we operate. Therefore, we promote respect for the environment, we improve the consumption per capita of food with a high nutritional value through our distribution centers and we also invest in sustainable projects to strengthen the capacities of potential entrepreneurs.
In the 17 localities where we are present, TASA is an important economic actor, especially in the coastal zone, specifically in the localities of Paita, Parachique, Malabrigo, Chimbote, Samanco, Supe, Vegueta, Callao, Pisco, Atico, Matarani and Ilo, where fishing activity constitutes the main source of economic income. In that sense, we assume a commitment to value shared with our stakeholders, such as for example with our collaborators, to whom we offer the best human management standards, for their hiring, formation and training; or with our suppliers, with whom we maintain transparent agreements and fair payment conditions, as well as decentralization programs of purchases
which favor local businesses. Este compromiso se mantuvo durante la This commitment was maintained during the stage of recession and crisis of the sector in 2014, which was produced by the cancellation of the second fishing season. TASA faced the adverse situation with savings and adjustment measures, but not the downsizing of personnel, which enabled us to maintain a secure climate for all our stakeholders, especially all our collaborators and their families.
G4-EC8
DMA SPECIFIC
101
As part of our social commitment, we have established four intervention axes in the Social Responsibility Policy: Intervention Axis
Description
Scope
Promote the consumption of healthy marine products and of easy access, which contribute to the country’s nutrition.
Children between 0 and 5 years old, pregnant mothers and infants.
Strengthen educational and cultural competencies through aspects that promote social responsibility and the value of the local, regional and national identity.
Children, adolescents and young children from the communities.
BUSINESS DEVELOPMENT • Learn and Undertake (Strengthening of business capacities). • Association of sustainable entrepreneurs. • Business activities alternative to artisanal fishing.
Strengthen business capacities and associations of entrepreneurs through collective work mechanisms, insertion in the market and in the financial system.
Artisanal fishing unions, stevedores, adult men and women from the community.
SOCIAL RESPONSIBILITY CULTURE • Social projection plans/ participative volunteering. • Loyalty of media. • Strengthening of environmental awareness.
Spread and increase awareness regarding good practices through transparent communication and the relationship with key factors.
Employees
QUALITY NUTRITION • Nutritional promotion based on anchovy. • Campaign – Fish Consumption.
EDUCATION AND CULTURE • Development of juvenile leadership in environmental management. • Promotion of the culture through the Centenario cultural center Chimbote.
102 Sustainability Report 2014
Authorities Communities
During 2014, we complied with our social commitments with various activities and sustainable projects: For the promotion of a quality nutrition, we have carried out, for the fourth consecutive year, “CAMIONETASA, with the best from the sea for your home”, offering marine products (horse mackerel, mackerel and others) at a promotional price in Cusco, Juliaca, Abancay and Andahuaylas. The activity was accompanied by demonstrative sessions to promote the preparation and consumption of these products in the family diet. In total, approximately 12 TN were sold, reaching 24 thousand beneficiaries. Additionally, we consider that it is necessary to place special emphasis on the formation and strengthening of business capacities, as is the case through the project UNDERTAKE WITH TASA, addressed at the wives and children of our employees, for the purpose of accompanying them in the development of a new business. We also continued with the project LEARN AND UNDERTAKE in Atico, which has permitted the improvement of the negotiation and payment conditions of the artisanal fishermen who belong to the Atico Fishing Consortium. With regard to our Education and Culture axis, we encouraged the formation of the Young Environmental Network of Chimbo-
te, to prepare a park improvement project based on recycled material. Under this same axis, the TASA Effect Campaign was held for the second consecutive year, which challenges our employees to assume environmental challenges that disseminate internally and externally to the company a culture of environmental responsibility. Until now, this activity has reached 2,650 beneficiaries, 300 allied participants and 650 participating employees. We carried out 65 community relationship activities and 10 volunteering activities as part of our social responsibility culture, organized and executed by 1,100 employees from the 13 units and 5 distribution centers of TASA located nationwide, carrying out training actions in schools and grassroot organizations, promoting the health and the care of the environment, gastronomic fairs in communal kitchens, cleaning of beaches and markets, among others. We also became allies with Group companies, such as Compañía de Pinturas Qroma, to carry out “Paint your neighborhood” in the Human Settlement 15 de Abril in Chimbote, where our employees transformed the locality through the painting of facades, remodeling of the playing area and sowing of green areas. All of these initiatives enabled us to benefit 33,530 people, and award prizes to the plants with the greatest commitment and best social responsibility practices: Matarani (first place), Atico (second place) and Pisco (third place).
103
Considering the achievements obtained, our social investment was efficiently managed, since it has not only contributed to develop high impact initiatives, but also to strengthen the positive relationships with our stakeholders and consolidate the reputation of TASA.
G4-SO2
G4-SO1
Based on our ethical performance and socially and environmentally responsible performance, no significant negative social impacts have been identified, neither have social claims been generated during the course of the year. In the case of any type of occurrence, we maintain direct and interpersonal communication channels with the representatives of TASA in the communities: Plant Superintendents and Administrators. As part of our Annual Community Relationship Plan, we carried out a semiannual inventory of information to identify the main local actors who interact with the company in the
104 Sustainability Report 2014
communities where we are present. Based on this process, which brings together more than 400 stakeholders on a national level, including individuals and institutions, a close and transparent relationship is developed, which establishes collaborative agreements and initiatives for mutual benefit. During 2014, the sustained, direct and close relationship with our stakeholders permitted an increase of 5% in local actors who maintain a position in favor of the company compared with 2013 (from 88% to 93%).
G4-SO1
With regard to the identification of environmental impacts, we have an Environmental Management System in all our plants to control, reduce or mitigate any eventual environmental impact. Our commitment to the care of the marine biodiversity is reflected by the complete compliance of the responsible fishing norms established by the Production Ministry PRODUCE. Furthermore, we have the IFFO-RS Certification for the responsible supply of the raw material in all our fishmeal and fish oil plants, and the Friends of the Sea Certification which reaffirms our sustainable fishing model. For this, and as part of our Management System, we train our crews in aspects related to sustainability, conservation and responsible management of the sea’s resources, we carry out and participate in marine research activities, identifying and recording the biodiversity; and we have a guide of protected zones that describes and indicates the exact location and dimension of these conservation areas along our entire coast. With regard to the emission of our main effluent, the pumping water resulting from the mixture of sea water and fish is treated through filtration, flotation and dehydration systems, and is then discharged to areas with greater depth through our submarine outlets. By the end of 2014 we had achieved outstanding compliance of the norms, including the permissible limits established for 2015.
105
Success Story SUSTAINABLE PROJECTS “Improvement of the business capacity and institutional strengthening of the Fishermen’s Union of Atico, third stage”
Peru, as well as being characterized for its fishing industrial activity, is also a country with a great tradition on a small scale, since various coastal populations count on artisanal fishing activity as their main means of support. The results of the First Census of Artisanal Fishing prepared by the INEI indicate that we have 44.161 artisanal fishermen, who exclusively depend on the income generated by this activity to maintain their families. However, artisanal fishing faces great challenges to overcome to advance into development, such as informality and low labor standards. In this context and considering the importance that this stakeholder group deserves for an improvement in the competitiveness of the national fishing industry. TASA identified a great opportunity in the formalization and formation of the members of the Artisan Fishermen’s Union of Atico, accompanying them since 2012 in the strengthening of their business capacities and competencies to improve their working and socioeconomic conditions. After concluding the stages of formalization and strengthening of business capacities during 2012 and 2013, respectively, the FISHING CONSORTIUM OF ATICO was formed, which brings together the family based SMES, beneficiaries of the project, with the objective of adding capacities and resources to attend to more important orders
and do business with the largest national and international fishing companies. During 2014, emphasis was placed on the strengthening of the productive capacity of the Consortium through the optimization of its exit expenses (fishing operations):saving of fuel and food supplies due to improvements in time searching for fishing zones, or acquisition of wholesale food supplies, among others. Additionally, the Consortium has increased its earnings due to the commercialization of its products in cold chambers (processors and wholesale markets), which in previous years was limited to direct sale on the docks. This has permitted its sale volumes to increase by 85% (from 462 TN in 2013 to 855 TN in 2014), and its profits by 165% compared to the previous year.
2013 55
Production (TN) Exit expenses (food supplies, fuel, ice, etc.)
Commercializ ation st age on dock
S/. 2,000
S/. 1,700
COSTS / TN
S/. 400
S/. 340
Dock payment / TN
S/. 800
S/. 800
Total dock payment (5TN)
S/. 4,000
S/. 4,000
Gross profit
S/. 2,000
S/. 2,300
S/. 500
S/. 550
S/. 1,000
S/. 1,150
Payment crew (2 crew + employer + ship owner)
Net profit (employer + ship owner)
Commercializ ation st age in cold chamber
2014
Handling expenses
S/. 200
Dock payment / TN
S/. 800 S/. 1,100
Expenses in chamber/ TN
S/. 100
Commercialization profit
S/. 500
Total profit (5TN)
Profit per year
S/. 1,000
S/. 1,650
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Installed producction capacity by boat: 5 tons approx.
SEGUNDO PUESTO CATEGORĂ?A COMUNIDAD
Success Story PROJECT The prevalence of chronic child malnutrition on a national level has declined in recent years; however, the problem remains as a challenge in the national agenda, since a significant gap persists for the recovery of children in a state of malnutrition, especially in rural zones. Likewise, on a macro dimension, the problem limits human development opportunities: a malnourished child cannot learn, which invalidates or delays his education and potential for the generation of sources of income, exacerbating the vicious circle of poverty.
As of 2013, according to the Nutritional State Information System (Sistema de Información del Estado Nutricional - SIEN) of the National Food and Nutrition Center (Centro Nacional de Alimentación y Nutrición - CENAN), in the district of Cusco and San Jerónimo, chronic malnutrition affected 14,4% of children under 5 years old, and anemia, 16,7% of children under 3 years old. In view of this situation, and considering as a precedent the intervention of the Nutritional Surveillance Centers (Centros de Vigilancia Nutricional - CVN) of Cusco, and the Nutritional Orientation and Early Stimulation Modules (Módulos de Orientación Nutricional y Estimulación Temprana - MONET) in San Jerónimo, NUTRITASA began to operate with the goal of improving food practices and promoting the consumption of anchovy within the family diet, under a public – private partnership scheme. During the 3 years of intervention, we have reached more than 3,000 beneficiaries: 2012
2013
2014
TOTAL
Boys and girls under 3 years old attended
117
153
203
473
Mothers of boys and girls under 3 years old trained
90
143
176
409
Members of the benefitted families
401
899
834
2134
Personnel of the CVN and MONET trained (*)
9
19
20
20
The main achievements of the project include the expansion of the coverage to attend to children in a state of malnutrition, since 437 children had access to a better health service, of whom 223 reached a significant recovery level; likewise, the mothers and promoters were trained in good feeding practices and care of the child, incorporating fish rich in OMEGA 3 into the family diet. Upon the termination of the project, a nutritional recovery level of up to 39% has been achieved in 3 year old infants with malnutrition, and 36% in those with anemia due to iron deficiency; additionally, the strengthening of the capacities of the personnel of the CVN and MONET has permitted the incorporation of tools for the management of information in the nutritional follow up of the children. At present, we maintain a strategy for the sustained supply of fish in the highlands of the country, specifically in Cusco, Andahuaylas, Juliaca, Abancay and Ayacucho, through our Distribution Centers, which have been ensuring the quality of the products that we commercialize in the zone.
PRIMER PUESTO CATEGORÍA SEGURIDAD ALIMENTARA
SEGUNDO PUESTO CATEGORÍA MULTISTAKEHOLDER
VI. Our Commitment to the Global Compact
Human Rights in TASA In TASA we fully respect Human Rights and have been working to incorporate them into our supply chain. The main commitment of our company, in this sense, is the compliance of the 10 Principles of the Global Compact of the United Nations to which we have subscribed since 2009.
Los Diez Principios del Pacto Mundial Principle 1: Companies must support and respect the protection of the universally recognized fundamental human rights, within their area of influence. No incidents related to the violation of human rights were reported within our business units, or within the communities in which we operate. In order to promote the protection of human rights, in 2014 we have disseminated our new Code of Ethics and Conduct, as well as the Internal Work Regulation. Both documents establish appropriate conducts for internal and external relationship with all our stakeholders. Principle 2: Companies must make sure that their companies are not complicit in human rights abuses.
see the strict compliance of the Code of Conduct and Ethics. This Code is of mandatory compliance for all our employees and a guide for action for our suppliers, ship owners, clients and third parties with whom we do business. In our registration processes of suppliers we include questions related to compliance with the 10 Principles of the Global Compact of the United Nations.
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Principle 3: Companies must uphold the freedom of association and the effective recognition of the right to collective bargaining. We have maintained cordial relations and constant communications with each of our union organizations. All of the collective bargaining has been closed in direct dealings.
Through the Audit Management, we over-
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Principle 4: Companies must support the elimination of all forms of forced or compulsory labor. In strict compliance with what is established in articles 23 and 24 of the Political Constitution and ILO Agreements 29 (art. 1) and 105 (art. 1), none of our employees is obliged to carry out work without his free consent and without adequate remuneration. Furthermore, a clause is established in the contracts with our suppliers whereby they declare that they will not use or sponsor the use of forced labor. Principle 5: Companies must support the eradication of child labor. TASA signed, together with 16 other large companies from various sectors, the Business Commitment for the Prevention and Eradication of Child Labor, an initiative that includes the participation of the Network of the Global Compact in Peru. Through this agreement, we are committed to promoting action plans with initiatives directed at the stakeholders to contribute to
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preventing and eradicating child labor. Furthermore, we have a hiring policy that regulates the exclusive hiring of adults. In the case of our productive chain, our suppliers adhere to the clauses in their contracts that prohibit child labor, directly or indirectly. In TASA we do not have underage workers in compliance with the provisions of Law Decree No. 26102. Principle 6: Companies must support the elimination of discriminatory practices in respect of employment and occupation. In our Code of Ethics and Conduct we make explicit our commitment of respect towards cultural plurality and diversity, as well as the promotion of an inclusive environment free from discrimination, intimidation and harassment. Principle 7: Companies must maintain a preventive approach that favors the environment. Our Management of Operations, Quali-
ty and Investigation and Environmental Research and Development constantly carries out lab tests to optimize our processes and develop new environmentally friendly technologies. TASA complies with the MPL (Maximum Permissible Limits) for oils and fats and total suspended solids, according to the regulations of Supreme Decree 10-2008-PRODUCE that have been in force since 2013.
We test and apply clean technologies for production in all the business units, which are the result of research oriented towards mitigating the environmental impact. An example of this is the gradual change from our FAQ (direct heat drying) drying process to the Steam Dried (indirect steam dried) system in our plants. During 2014 we carried out the first tests to incorporate clean and renewable energy, like solar energy.
Principle 8: Companies must undertake initiatives that promote greater environmental responsibility.
Principle 10: Companies must work against corruption in all its forms, including extortion and bribery.
We have incorporated the care of the environment within our mission, vision and values. In that way, and through training and workshops in good environmental practices, we involve our collaborators and a sector of our communities in the development of initiatives to contribute to the preservation of the environment.
Our Code of Conduct and Ethics establishes a series of norms to fight against corruption in all its forms. We train our personnel every year and monitor their compliance through the Audit Management.
Principle 9: Companies must encourage the development and dissemination of technologies that respect the environment.
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This Sustainability Report, as well as the previous editions, is available in our website www.tasa.com.pe in its English and Spanish versions.
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Any enquiry related to the information included in this report may be addressed to: Wendy Rojas Lรณpez Assistant Manager of Social Responsibility Las Begonias 441 Off. 352 - San Isidro, Lima Telephone (511) 611-1400, extension 1735 wrojas@tasa.com.pe
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Las Begonias 441 0F. 352 San Isidro - Lima 27, PerĂş Telef. (551) 611 1400 Fax (551) 611 1401 www.tasa.com.pe