Corporate Social Responsibility Report
2017
01
Total Produce
Introduction 11 02
That our primary function is the marketing of products, the health promoting properties of which have been firmly and definitively established, is something about which we can all be justifiably proud. Few industry’s, can contend with such certainty that their core business- in this instance driving fresh fruit and vegetable consumption, makes so positive a contribution to public diet and general well being. Ours is an industry of worth. Prospects, though for increasing consumption still further and for our industry in general remain inextricably linked to the implicit trust attached to fresh produce by the consumer. This trust, of course remains ever contingent on a confidence in the supply chain through which produce is delivered and in the integrity of those from whom it is sourced.
Total Produce’s position at the forefront of the global industry- our size, our reach and our customer base, lends a particular relevance to this for us. Our commercial reputation- a reputation cultivated over 150 years is one of a progressive trading partner, accomplished at practically embracing our responsibilities and uncompromising in the pursuit of best practice. This is a reputation we are determined to maintain, though and it is appropriate that now at this time of heightened awareness, we in Total Produce reaffirm the role of principled trading practices in our delivery of operational excellence and superior produce. This Corporate Social Responsibility report is a step towards that end.
TOTAL PRODUCE - LET’S GROW TOGETHER
At this time of unprecedented interest in the impact of bodies corporate on the world in which we live, it is worth reflecting that, for those of us in the fresh produce sector, ours is a position of both great privilege and immense responsibility.
“Fresh
Produce.
“
An Industry Of Worth.
LOW
Sweets Beef
Olive Oil Dried Fruit
ND E
RE CO M
ME
Milk Yogurt
DC ON
SU
MP TIO
N
Cheese Eggs Poultry Fish Cookies
Bread, Pasta, Potatoes, Rice Legumes
Fruit Vegetables HIGH
FOOD PYRAMID
ENVIRONMENTAL PYRAMID
HIGH
Beef
Fish Cheese
Dried Fruit Legumes Eggs
VIR O
NM
EN
TA L
IM
PA CT
Pork Olive Oil Poultry
EN
Sweets Yogurt Pasta Cookies Rice Milk Bread
Potatoes Fruit Vegetables LOW
Source: “Double Pyramid 2016 - A More Sustainable Future Depends On Us.” www.barillacfn.com
08
Total Produce
Carbon Footprint
08 25,895
BEEF
20,000
9250
CHEESE BUTTER
8000
8305
PORK
5505
FISH
4405
POULTRY
4000
4020
RICE
3745
EGGS
3720
BREAKFAST CEREALS
3420
OLIVE OIL
3085
YOGURT 2000
2590
PASTA
2155
SWEETS DRIED FRUIT
1795
Legend
Average data + cooking
1660
LEGUMES COOKIES
1565
MARGARINE
cooking
min
max
1360
MILK
1255
POTATOES 1000
Carbon Footprint gCO2 – eq per kg or liter of food
2100
1205 1050
BREAD
VEGETABLES
775 600
SUGAR FRUIT
490 0
2000
4000
6000
8000
/
25,000
/
45,000
/
60,000
/
70,000
Source: “Double Pyramid 2016 - A More Sustainable Future Depends On Us.” www.barillacfn.com
08
Total Produce
Water Footprint
9650
OLIVE OIL PORK
9060
CHEESE
6260 6245
DRIED FRUIT 5555
BUTTER 5000
4805
POULTRY
4000
3260
EGGS
2710 3160
LEGUMES 2585
RICE
2335
SWEETS 2145
COOKIES
2000
PASTA
1775
YOGURT
1485
MILK
Water Footprint Liter of water per liter or kg of food
1330
MARGARINE 1000
10
18,800
BEEF
10,000
Legend
1325
BREAD
Average data
1170 970
SUGAR FRUIT
930
BREAKFAST CEREALS
920
POTATOES
555
VEGETABLES
335
0
2000
4000
6000
8000
15,000
26,000
Source: “Double Pyramid 2016 - A More Sustainable Future Depends On Us.” www.barillacfn.com
11
Total Produce
Ecological Footprint 12 BEEF
100
146
FISH
79
BUTTER
74
MARGARINE
66 66
CHEESE
50
61
PORK
48
OLIVE OIL
45
POULTRY
25
44
DRIED FRUIT
19
LEGUMES
18
EGGS
15
16 14
SWEETS BREAKFAST CEREALS
1313
YOGURT
5
13
PASTA
12
COOKIES
11 13
RICE
10
MILK
8
BREAD
Ecological Footprint m2 global per kg or liter of food Legend
average data + cooking
cooking
min
max
7 5
POTATOES
4
FRUIT
3
VEGETABLES 3
0
10
20
30
40
50
60
70
80
90
100
110
/
160
/
210
Source: “Double Pyramid 2016 - A More Sustainable Future Depends On Us.” www.barillacfn.com
15
Total Produce
Corporate Principles How We Do Business
Total Produce“Let’s Grow Together”
Total Produce“Championing The Consumer”
In Total Produce, we believe that the benefits of fresh produce marketing can be collective and that a balanced supply chain can deliver equitable dividends to all stakeholders. It is a philosophy enshrined in our corporate tagline “Let’s Grow Together”, a very visible expression of our intent to conduct our business in an inclusive manner and more importantly one engrained in our day to day trading practices and operations.
A consumer orientated organisation, in Total Produce the delivery of premium quality, safe, traceable produce to the consumer is our primary priority. Meeting and exceeding customer expectations is what we do. We are committed to consumer empowerment; educating and inspiring consumers about the extraordinary properties of fresh produce and presenting the widest possible range of fresh options to the fresh produce consumer, including Organic and Fairtrade alternatives.
CANADA
IRELAND
Total Produce- “Local At Heart, Global by Nature” Unsustainable production practices impact most, locally. In Total Produce, we believe Sustainability Management is best implemented locally; by empowered local people working with local bodies and local supply chain partners to affect change, locally. We do this, within the confines of an overarching group framework promoting the best international practices, sharing core competencies and generating synergies, efficiencies materially affect our impact on the environment.
NETH.
GERMANY
FRANCE
ITALY
SPAIN
UNITED STATES OF AMERICA
IRELAND
UNITED KINGDOM
Total Produce- “Promoting The People Behind Your Produce” In Total Produce, we recognise our responsibility to the emerging and developing nations from which we source, and most specifically to our partners in production- the local and global growers with whom we have partnered and the people that work on their behalf. Operating ourselves within the markets in which we trade, we understand too, our social and commercial obligations to our stakeholders; our employees, our customers, our shareholders and the communities we serve across the global marketplace and commit to constructively contributing to the communities we serve and the regions from which we source.
17
Overall Objectives
‘e-Plan’ Sustainability Wheel The Total Produce ‘e-Plan’ is the group programme developed to assure best economic, environmental and social practices are implemented across our operations.
Overall objectives
‘e-Plan’ Aspirations & Objectives The Total Produce ‘e-Plan’ details the overall direction of group measures to improve collective sustainability. Localised technical plans outline specific targets and timelines.
RISK MANAGEMENT Our Business. Our Customers Business. The Consumer. COMPETITIVE ADVANTAGE GOTO Sustainability partner for growers, customers & other stakeholders.
PROMOTION Differentiate fresh produce through excellence in sustainable production.
MAKE A DIFFERENCE! Influence global diet & the environmental impact of fresh produce promotion.
21
An ongoing journey...
‘e-Plan’: Pillars & Values 22
An ongoing journey...
Evolution of the ‘e-Plan’ The ongoing harmonisation of existing local sustainability plans under the Total Produce group ‘e-Plan’
% of group penetration*
24
*expressed as a percentage of turnover.
25
Employees
The People Behind Our Produce
Our Business model is important in this regard. Our decentralised structure and commitment to empowering local management affords a degree of entrepreneurial freedom that provides every opportunity for our people to thrive. Across many of our operations graduate programmes are in place encouraging the next generation of fresh produce professionals to step forward. Having developed by way of acquisition led growth, Total Produce is today a
diverse, decentralised, international group. Human Resource policies can vary across our operations in accordance with local practices and legislative requirements. Benefits typically include life assurance and retirement benefits, on site employee health screening, company funded continuous professional development, special provisions for maternity and paternity leave, flexible working hours policies, sick pay policies, executive critical illness cover and employee profit sharing schemes. Engaging with our people is important to us too. Employee forums in many of our operating companies afford employees the opportunity to contribute to the management of their businesses while newsletters and intracompany communications keep employees abreast of developments across the broader company on an ongoing basis.
26
TOTAL PRODUCE - LET’S GROW TOGETHER
Fresh Produce is a people industry. The expertise and experience of those operating in this sector, perhaps like few others, is pivotal in preserving competitive advantage. In Total Produce, we recognise that we can count amongst our number some of the most accomplished fresh produce professionals in our industry. We are privileged too that, by virtue of our growth, we are the beneficiaries of an ongoing infusion of new produce people; experienced professionals possessing diverse talents, ideas and core competencies. We are wholly committed to providing a safe working environment and rewarding careers to all our employees.
Case Studies in
Sustainability
29
Case Study One
Total Produce Ireland commits to Origin Green initiative. In 2016, Total Produce signed up to the Government sponsored Origin Green programme in Ireland. An initiative orchestrated by Bord Bia, the Irish Food Board, Origin Green is Ireland’s National Sustainability Accreditation. It is a programme through which leading Irish food producers and distributors are recognised for adhering to best international practices in Sustainability and Corporate Social Responsibility. To become accredited, companies are required to produce approved and independently verified sustainability plans, benchmarking current performance and targeting on-going improvements. The plan requires clear objectives across three key areas: •
Raw Material Sourcing.
•
Manufacturing Processes.
•
Social Sustainability.
The completion of Total Produce’s 2017 Origin Green plan will entail collating, documenting and presenting a variety of Sustainability projects and initiatives already in place or at an advanced stage of planning across our Irish operations. Typical projects include programmes to provide agronomic and financial support to local producers, innovations in promoting energy efficiencies across Total Produce operations nationally, waste reduction initiatives and positive contributions made by Total Produce to the communities in which we operate and society as a whole. Across each of the three key areas, Total Produce has committed to setting out ambitious, but achievable targets for completion in accordance with an agreed timeline. Total Produce’s 2017 plan, will be independently verified by a third party agency and will be updated and monitored on an annual basis thereafter.
30
Case Study Two
Total Produce Invests In Environmentally Friendly LPG Autogas Fleet Eco Fleet Will Distribute Grá Irish Fresh Produce Brand
This conversion will yield immediate and dramatic dividends in Environmental terms. When compared to a regular diesel fuelled lorry, each vehicle delivers: - A reduction in diesel consumption of up to 35%. - A reduction in noise pollution of up to 10%. - A reduction in Greenhouse Gas emissions of up to 48% - A reduction in NOx emissions of up to 45%
Managing Director of Total Produce, Mr. Des McCoy with Mr. Mark Gallagher of Gallagher Bros. Haulage in front of the first Grá branded LPG Autogas branded lorry.
Pictured at the unveiling of the first Grá branded vehicle in the LPG Autogas fleet, Des McCoy, Managing Director of Total Produce Ireland commented: “As Ireland’s largest fresh produce provider, we in Total Produce are committed to minimising our impact on the environment. I know that this is a conviction that we share with our Grá group of local growers across the island, so it is particularly appropriate that the introduction of these vehicles coincides with the launch of the Grá range of local fruits & vegetables nationally.” Mark Gallagher, who together with brother Terry manages Gallagher Bros. Haulage added“Efficient and innovative distribution has a central role to play in the fresh produce supply chain and we are very proud to lead the way in embracing this new technology and partnering Total Produce in this exciting venture.” TOTAL PRODUCE - LET’S GROW TOGETHER
In what is a first in Irish agri-business, Total Produce has partnered with Gallagher Brother Haulage to convert a fleet of eight 40ft lorries from conventional diesel fuelled vehicles to BIO LPG Autogas.
Case Study Three
Total Berry- Partnering and pioneering responsible Strawberry production in the United Kingdom. Creating a sustainable farm of the future for strawberry production. Working in conjunction with a major British Retailer and a Canadian leader in Greenhouse technologies, Total Berry, Total Produce UK’s specialist berry division is currently trialling a technologically advanced new Strawberry growing system. Based at the company’s Kent trial site, Total Berry have Installed a state of the art single, double and moveable table top growing system to grow Sonato 60 day cropping strawberries. The object of the exercise being to improve quality still further while delivering a higher yielding crop.
Over a two year period the internal and external climate conditions are being monitored and compared to a comparative conventional tunnel grown crop. If disease and climatic stresses can be reduced, plant health, yield duration, quality and quantity increases should follow.
The ability to harness the potential of both the natural outdoors and a protective greenhouse environment facilitates more proactive crop management. Similarly, the ability to rapidly change the light, temperature and humidity allows for utilization of the natural outdoors, providing an advantage over existing tunnel growing systems. Results so far have been very encouraging. In early trials, crop yields produced 96% first class fruit and an increase of 22% overall in comparison to tunnel production. In addition, a 94% reduction in chemical applications and a 0% residue test result was achieved. These positive early results illustrate how stakeholders in fresh produce can collaborate to infuse innovation into the supply chain and deliver a win:win result, one where commercial dividends are achieved in tandem with material advances in responsible production.
32
Case Study Four
Promoting Best Practice Across ProductionTotal Produce & Argofruta Establish the Argofruta Foundation in Brazil
The creation of the Argofruta foundation reflects our joint commitment to environmental, social and governance practices and illustrates our understanding of how our long term relationship with the environment and important stakeholders such as communities, employees, suppliers and customers can enhance our business. The initiative focuses on four areas: 1. Employee and local community needs.
often are not encouraged at home or in school but which are worthwhile for the whole community, such as; sustainable development, diversity and solidarity. Up to 45 children of Argofruta workers will attend each day with class split across two shifts; morning and afternoon to complement the children’s schoolwork. Two meals will be provided per day and dental and medical support will be provided. Activities will include storytelling, arts, music, gardening, games and recreational activities. Argofruta and Total Produce will fund 100% of the cost for the physical space for this project while contributions from stakeholders across the supply chain will also contribute to the monthly costs for teachers, food and materials.
2. The natural environment. 3. Direct customer concerns. 4. Final consumer needs. An important first step in the work of the Foundation will be the Argofruta Daycare Project, the objective of which is to create the physical space and opportunity for children and families to interact, play, learn and develop skills that very
It is our hope that the Argofruta Daycare Centre will be but the first in a number of initiatives that positively contribute to the welfare of workers and their families on the ground across production in Brazil.
TOTAL PRODUCE - LET’S GROW TOGETHER
Argofruta, a producer and exporter of premium quality exotic produce from Brazil joined the Total Produce Group in 2016. In 2017,Total Produce and Argofruta are, together, establishing the Argofruta Foundation, a body dedicated to funding and administering social initiatives on the ground in Brazil.
Case Study Five
Engaging With Our People “Championing Change” in North America.
As part of this programme, a team of 20 people is nominated from across all Oppy’s divisions with representatives from all departments. This team are responsible for being a conduit of information from both employees to managers and vice versa. In March each year an anonymous on-line employee engagement survey is conducted while team members conduct group facilitated interviews to gather employee views on Oppy’s culture and any issues of importance to them. The data from both the group sessions and the on-line survey are collated, reviewed by the “Champions of Change” team and distilled into recommendations for the Executive. Typically 80 to 90 typed pages of feedback and questions are provided a copy of the entire report to look for any areas of improvement in their “Champions of Change” identify 3 to 4 common themes from employees that they
themes are then incorporated into Oppy’s year two members of the Champions of Change team are invited to attend Oppy’s senior management meeting and present the recommendations. They then actively participate in the 3 day strategic planning providing the communications and feedback to employees regarding action circulated regularly to answer many of the are updated as to what issues are being acted on, what will take some time, and items that are not being actioned and just one of the reasons Oppy has been rated as one of the 50 Best Managed Companies in Canada for the last 16 years.
TOTAL PRODUCE - LET’S GROW TOGETHER
Based in Vancouver, Oppy (the Oppenheimer group) markets fresh produce across Canada and the United States. Committed to ongoing engagement with employees across their operations, Oppy has put in place a programme called “Champions of Change”.
Case Study Six
Fresh Ideas In Fresh Produce- Engaging and Inspiring the Consumer
To this end, across our group operations we employ creative marketing solutions to engage and inspire consumers in a contemporary way. Online, we have developed Websites (www.topfruit.com), Social Media platforms and Smartphone Apps exclusively dedicated to “Finding the fun in fruit.” On-pack and in-store, we employ the latest consumer interface technologies including QR codes, NFC Technologies and iBeacons to empower and encourage consumers. Sample typical content by scanning the QR code below.
New Product Development across products and packaging also has a critical role to play. 2017 will see the introduction of a new brand, Grá (the Irish word for “Love”) to promote locally grown produce in Ireland. In the Netherlands, Total Produce BV will introduce a new variety of Melon, the “Dino” (it looks like a dinosaur egg!), specifically developed for children and in Spain, Grupo Eurobanan will launch “Avocado Light”, an Avocado variety with 40% less fat.
Watch a 30 second video explaining our NFC Smartstands by scanning the QR code below.
TOTAL PRODUCE - LET’S GROW TOGETHER
The healthy properties of fresh produce, widely known and understood, tend to dominate the traditional fresh produce promotional message. While highlighting to consumers the importance of a balanced diet is undoubtedly important, in Total Produce we believe the greatest potential for increasing consumption lies in affecting behavioural change through sophisticated category management (for example “nudging”) and in promoting fresh fruits and vegetables in terms of fun, versatility and taste; as treats, rather than as a perscription.
International Sustainability Partners to the Total Produce Group CANADA
IRELAND
UNITED KINGDOM
NETH. POLAND GERMANY CZECH REP.
SLOVAKIA FRANCE
ROMANIA
SWEDEN
ITALY
UNITED STATES OF AMERICA
SPAIN
DENMARK
IRELAND NETH.
UNITED KINGDOM
GERMANY
CZECH R
FRANCE
ITALY SPAIN
BRAZIL
N
POLAND
REP. SLOVAKIA
For more information, please visit www.totalproduce.com/our-values Scan the QR code to take a 3 minute tour of the Total Produce group.