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Final India Sustainability Report 2014 PDF
Final India Sustainability Report 2014 PDF
Sustainability
Report
2013
Destination
Happiness the journey so far
Aligned to GRI G 3.1 (Application level ‘B+’)
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Coca-Cola India Sustainability Report 2013
About
the Report
Report Boundary
Neelima Khetan, Director, Public Affairs and Communications will be happy to take your comments
and inputs. She can be reached at nkhetan@coca-cola.com
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Coca-Cola India Sustainability Report 2013
Destination
Happiness the journey so far
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Coca-Cola India Sustainability Report 2013
Contents
Corporate Governance | 66
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Coca-Cola India Sustainability Report 2013
Message from
the President
Dear Friend,
Year 2013 was special to us as it marked the sustainability initiatives focused on our key
completion of 20 years since our re-entry stakeholder groups (including consumers,
into the Indian market in 1993. Our journey customers, communities and our employees
over these two decades has been extremely among others) and the ecosystem on which
fulfilling and we are proud that India has we all depend. Key highlights from some of our
emerged as the 6th largest market for The initiatives are presented below.
Coca-Cola Company (TCCC).
Society: Women play a crucial role in our
Our brands have become among the most value chain; we believe that unleashing the
loved in the country. They include home-grown entrepreneurial potential of women is one
brands with their unique taste and heritage –like of the surest ways to make our business
Maaza, Limca and Thums-Up – as well as our sustainable and also create lasting impact on
world famous global brands like Coca-Cola, families and communities. Through our ‘5by20’
Sprite and Fanta. We are indeed grateful to the program, we have economically empowered
millions of Indians who have made us part of over 26,000 women (in India alone), helping
their everyday lives. them realize their entrepreneurship dream.
Through our ‘Parivartan’ and ‘Pragati’
As the Coca-Cola system in India, that includes programs, we have been training mom-and-
our bottling partners, we directly employ over pop kirana retailers to keep pace with changing
25,000 people, while also creating indirect customer preferences. We have reached out
employment for more than 150,000 Indians in to over 200,000 retailers through these retail
related industries through our procurement, business management trainings.
supply and distribution systems. We also
provide a source of income to more than 7,000 Even as India continues to grow economically,
distributors, 200,000 farmers and 2.2 million there is much cause for concern when one
retailers. looks at the education and nutrition status of its
children. Studies have indicated that the lack of
To facilitate the next phase of growth in this amenities is one of the leading causes of high
dynamic market, the Coca-Cola system in drop-out rates witnessed in rural Indian schools.
India has committed to investing USD 5 billion Our ‘Support My School (SMS)’ program has
between 2012 and 2020. We firmly believe been helping provide basic amenities like toilets,
that our growth aspirations can only be met access to water and sports infrastructure in
in a socially inclusive and environmentally rural Indian schools. Over 350 schools across
responsible manner. the country have been revitalized through this
program, in which we have forged effective
The concept of sustainable development is at partnerships with like-minded corporates and
the heart of our business. We have continuously civil societies.
been striving to create lasting positive impacts
on the communities we proudly serve, actively Well-being: We believe that all foods and
leveraging partnerships with communities and beverages have a place in a sensible, balanced
government agencies – an approach we call diet that is combined with regular physical
‘the Golden-Triangle’. Our global ‘Me-We-World’ activity. Obesity is a serious and complex
sustainability framework helps us prioritize problem caused by many factors, including too
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Coca-Cola India Sustainability Report 2013
little exercise, consuming too many calories, Project Unnati, a sustainable agriculture
lifestyle, genetics, environmental, and other project, has been helping Mango farmers
factors. At Coca-Cola, we are committed in Andhra Pradesh adopt modern farming
to enabling our consumers make informed techniques like drip irrigation and Ultra-High
choice, as well as promoting the importance Density Plantation (UHDP). The program aims
of leading an active, healthy lifestyle. Our to help double crop yield and consequently
national level U-15 Football and U-16 Cricket boost agricultural income, while optimizing on
tournaments have turned-out to be breeding the two scarcest resources of water & land. The
grounds for talent; in 2013, these programs saw program aims to reach out to 50,000 farmers
an overwhelming participation of over 53,000 over the next few years.
enthusiastic players. Furthermore, focused
trainings offered to a few exceptionally talented Coca-Cola India will continue to play its part in
youngsters have assisted several participants providing safe, convenient, refreshing hydration
from these programs break into the national options, in the country. We will continue to
league. The India’s National Under-16 Soccer bring innovative, great tasting beverages across
team is drawn from the talent pool of this U-15 segments including low/no calorie options.
football tournament. We are proud to state that the manufacturing
processes involved across our system,
Environment: We realize that water is among ingredients used and the beverage products we
the most valued natural resources in our put in the market are of the highest standards
country. Moreover, being in the business of in the world.
hydration we have a direct connect with water.
Water, therefore, finds a special place in our It has been a privilege playing a small part in
approach to sustainability. Over the past 5 the growth and development of the country
years, our water use ratio has come down by and our communities and I thank each one of
over 40% and as of exit-2013; we are using you who have supported us in our journey over
only 1.98 litres of water to produce 1 litre the last twenty years. We are counting on your
of our beverage. Anandana (the Coca-Cola continued support and feedback to take the
India Foundation), and our bottling partners Coca-Cola India system through the next phase
have been undertaking water replenishment of growth.
projects in different parts of the country –
thereby adding to water availability in different
parts of India. The Coca-Cola system in India Warm regards,
safely returned to nature and communities
129% of all water used in our operations Venkatesh Kini
(without counting for the water replenishment President
work done by Anandana). Coca-Cola India and South West Asia
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Coca-Cola India Sustainability Report 2013
Strategy
and Vision
Vision, Mission & Values
Vision 2020 creates a long-term destination for
our business and provides us a ‘Road map’ for
winning together with our bottling partners.
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Coca-Cola India Sustainability Report 2013
Our Mission
Our roadmap starts with our mission, which is enduring. It declares our purpose as a
Company and serves as the standard against which we weigh our actions and decisions.
Our Vision
Our vision guides every aspect of our business by describing what we need to
accomplish in order to continue achieving sustainable, quality growth.
People Planet
Be a great place to work where people Be a responsible citizen that makes a
are inspired to be the best they can be difference by helping build and support
sustainable communities
Portfolio Profit
Bring to the world a portfolio of quality Maximize long-term return to share
beverage brands that anticipate and owners while being mindful of our overall
satisfy people’s desires and needs responsibilities
Partners Productivity
Nurture a winning network of Be a highly effective, lean and fast-
customers and suppliers, together we moving organization
create mutual, enduring value
Our Values
Our values serve as a compass for our actions and describe how we behave in the world.
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http://www.coca-colaindia.com/ourcompany/missionvalues.html
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Coca-Cola India Sustainability Report 2013
Organizational
overview
Introduction to the
Coca-Cola System in India
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The Coca-Cola Company (TCCC) is the world’s largest beverage company, refreshing
consumers with more than 500 sparkling and still beverage brands. Globally, TCCC is the
No. 1 provider of sparkling beverages, ready-to-drink coffees, juices and juice drinks. While
we are simply viewed as ‘Coca-Cola’, globally, the Coca-Cola System operates through
multiple local channels; the ‘Coca-Cola System’ is not a single entity from a legal or
managerial perspective.
TCCC re-entered the Indian markets post the economic liberalization of 1991 and
established Coca-Cola India Private Limited (CCIPL) as its wholly-owned subsidiary in 1992.
Entities comprising the Coca-Cola System in India and brief descriptions of their
operations are presented below.
Anandana
The Coca-Cola
India Foundation
Registered Office: Plot No’s 1109-1110, Village – Pirangut, Taluka – Mulshi, District Pune,
Maharashtra – 412108
Corporate Office: Enkay Towers, Udyog Vihar Phase 5, Gurgaon, Haryana – 122016, India
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Bottling Partners
The authorised bottlers of The Coca-Cola Company prepare, package, distribute and sell
beverages to our customers and vending partners, who in turn sell our products to consumers.
Co-Packers of HCCBPL
HCCBPL Bottling Plants
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The BIG is one of the three major operating groups of
The Coca-Cola Company and one of the largest and most Franchise Bottlers
geographically diverse bottlers in the Coca-Cola system. It was
established to improve accountability and drive performance
of Company Owned & Managed Bottlers (CBOs).
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Coca-Cola India Sustainability Report 2013
Sustainability
Priorities, Risks and
Opportunities
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Me
Enhancing personal well-being
Our longstanding commitment to consumers’ well-being begins with ensuring that each and every
beverage we deliver is safe, delicious and refreshing. Further, we work to inspire consumers to
pursue happier, healthier lives—and provide opportunities to do so—through the wide variety of
products we offer, our transparent labeling practices, our responsible marketing practices and the
many physical activity programs we support around the world.
We
Building stronger communities
Community well-being for us means more than just giving back to the community - we firmly
believe that our businesses are only as strong as the communities which we serve. Women play a
crucial role in our value chain; we believe that unleashing the entrepreneurial potential of women
is one of the surest ways to make our business sustainable and also create lasting impact on
families and communities. Through suitable training programs, we are assisting retailers keep
pace with changing customer preferences. We are also contributing to the development of
local communities, through need-based programs – such programs are focused on education,
enhancement of employability and well-being. Respecting human and workplace rights is yet
another key constituent of the ‘We’ pillar.
World
Protecting the environment
Water is a top sustainability and business priority for Coca-Cola. It is critical to the communities we
serve and the ecosystems on which we all depend, and hence, finds a special place in our approach
to sustainability. The Coca-Cola system in India has been working with a variety of partners to
reduce and recycle packaging material. Project Unnati, a sustainable agriculture project, has been
helping Mango farmers in Andhra Pradesh adopt modern farming techniques like drip irrigation
and Ultra-High Density Plantation. The project substantially increases mango yield and enhances
farmer income. Our bottling locations are also focused on energy efficiency and adoption of
renewable energy, thereby reducing our carbon footprint.
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Coca-Cola India Sustainability Report 2013
Offer low or no-calorie Provide transparent Help get people Market responsibly,
beverage options in nutrition information, moving by supporting including no
every market featuring calories on physical activity advertising to children
the front of all our programs in every under 12 anywhere in
packages country where we do the world
business
Replenish 100% of Recover & recycle Reduce the carbon Sustainably source
the water used in our 50% of the bottles footprint of the drink key agricultural
finished products and cans introduced in your hand by 25% ingredients
in the market (through our full end-
Improve water to-end value chain)
efficiency by 25% by 2020
(compared to 2010
baselines)
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Coca-Cola India Sustainability Report 2013
Our industry as a whole and the Indian market is very dynamic in nature and is
susceptible to change. The ability to anticipate and be prepared for such change is the
hallmark of a successful corporate. With a legacy of 127 years, the global Coca-Cola
system exemplifies this value.
In the Indian context, the changing demographics and consumer preferences, regulatory
landscape and myriad of social issues are the prime forces at play. Accordingly, the
following are some key risks we have taken cognizance of. The table also summarizes
how we are geared to face any potential challenges and some of our leading initiatives in
response to the same.
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Me
Enhancing Personal Well-Being
Well-Being
Working to inspire happier healthier lives
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Coca-Cola India Sustainability Report 2013
Well-Being
Working to Inspire Happier
Healthier Lives
Approach
Our commitment to well-being begins with our focus on product and ingredient
safety and quality. We want to ensure that consumers have the utmost confidence
that our products are made to the highest standards for ensuring consistent product
safety and quality.
CCIPL has embraced innovation to grow and evolve with our consumers’ needs and
preferences. One way we do this is by offering a broad portfolio of beverage choices that
provide great taste and refreshment—with or without calories.
We are also working to help inspire, empower and engage people worldwide regarding
the importance of an active, healthy lifestyle that includes a balanced diet and regular
physical activity.
Throughout our system, we are mobilizing our collective assets and engaging in
community outreach to raise awareness and spur action.
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Product &
Ingredient Safety
Pursuing the highest standards in
product safety and product quality
Approach
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Coca-Cola India Sustainability Report 2013
T. Krishnakumar
CEO,
Hindustan Coca-Cola Beverages Pvt. Ltd.
For further details on our global product safety and quality standards, please visit the
following web-link: http://www.coca-colacompany.com/stories/quality
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3
We Building Stronger Communities
Women’s Economic Empowerment
Supporting women’s entrepreneurship potential through our ‘5by20’ program
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Coca-Cola India Sustainability Report 2013
Women’s Economic
Empowerment
Approach
Women are pillars of the communities as entrepreneurs overcome the common
they invest a sizable portion of the money social and economic barriers they face
they earn on the health and education of due to the lack of business skills training,
their children and in their local economies, financial services, assets, peer networks
creating a tremendous economic impact. and mentoring.
As such, women are critical to local
Global Goal: Enable the economic
and global business success and are an
empowerment of 5 million women
essential cornerstone of our progress across our global value chain by 2020.
towards our 2020 Vision. Studies show
that women do 66 percent of the world’s India Progress: On-track
work, yet earn 10 percent of the world’s
India was one of the four markets, where
income—90 percent of which goes back
5by20 was piloted in 2010 (other pilot
to their families and communities. To
markets being Brazil, South Africa &
help address this disparity, we launched Philippines). Since then the program has
5by20™ in 2010, which is our global grown and become an integral part of our
commitment to enable the economic sustainability initiatives.
empowerment of 5 million women
entrepreneurs across all six segments of We are scaling up initiatives with high
the Company’s value chain by 2020. potential to create economic impact on
women entrepreneurs and our business.
Drawing on local expertise, capabilities
and resources, 5by20 aims to help women
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Coca-Cola India Sustainability Report 2013
‘eKOcool’ is an innovative solar cooler that has been pioneered by us and provides
income generating opportunity for women retailers in electricity deficit areas of rural
India. The solar coolers also help reduce the cost of running retail business since no
cost is incurred on account of electricity or ice procurement, used to chill beverages.
The cooler has in-built charging ports for mobile phones and a solar lantern (which
facilitates the retailer to keep her store open even after the sunset). Over 1,000
eKOcool units have been installed across 5 states in India in women run outlets by
the end of 2013
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2. Parivartan:
3. Pragati:
4. Unnati:
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Coca-Cola India Sustainability Report 2013
Producers Retailers
Increased Incomes
Overall performance
Since 5by20 began, we have enabled more than 26,000 women across our value chain
through business skill enhancement, access to assets and networking and mentoring.
Currently, our retailers constitute the biggest chunk of the beneficiaries under the 5by20
initiative (the rest being producers).
The Program received the World CSR award and was featured as a best practice by the
Ministry of Corporate Affairs for empowering women retailers in the distribution value
chain in an environment friendly way.
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Human and
Workplace Rights
Approach
http://www.coca-colacompany.com/our-company/
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workplace-rights-policy#TCCC
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Workplace safety
Approach
Our commitment to workplace safety our operations. KORE also requires that
begins with our systemwide safety vision: our manufacturing facilities implement
We will make and deliver our products BS OSHAS 18001 (British Standard
and provide services with a goal of zero Occupational Health and Safety
work-related injuries and illnesses for Assessment Series 18001, a framework for
our employees, contractors and the an effective occupational health and safety
communities in which we interact. We management system) or an equivalent
promote a culture of caring and safe internationally recognized safety
behavior, reaching beyond compliance management system.
to ensure continual improvement
through identification of hazards and To guide us in achieving a safe work
implementation of controls to minimize risk. environment for our associates, KORE
defines a rigorous set of operational
We believe that a safe and healthy controls to manage known risks. The
workplace is a fundamental right of every controls generally align with top global
person and also a business imperative. requirements and consensus standards. In
Our Workplace Rights Policy requires that addition, we engage recognized external
we take responsibility for maintaining a audit firms to assess the compliance of
productive workplace in every area of each of our manufacturing operations
our operation by minimizing the risk of with applicable laws and regulations
accidents, injury and exposure to health and our internal occupational safety and
hazards for all of our associates and health requirements.
contractors. In addition, we’re working to
help our bottling partners minimize health
We provide substantial safety training to
and safety risks for their employees and
our associates and employees of bottling
contract workers.
partners using the training requirements
defined in KORE as a global baseline.
The Coca-Cola Operating Requirements
(KORE) defines the policies, standards Training covers new-hire induction and
and requirements for managing safety, periodic refresher training for all associates
environment and quality throughout and other contract employees.
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Coca-Cola India Sustainability Report 2013
Performance
Sadly, four fatalities were reported in the year 2013 in our bottling operations (2
employees of bottling companies & 2 contracted laborers). These fatal accidents were
thoroughly analyzed and our systems were further strengthened.
59 593
40 416
36 368
LTIR
0.3
0.26
0.15
Note:
1. The LTIR indicated here is
defined based on KORE
standard and is calculated
based on 200,000 man-
hours worked.
2. A total of 46,999,220
2011 2012 2013 man-hours of work
were recorded across
the bottling operations
(considering both
employees of bottling
companies and contract
employees).
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Human Capital
Approach
Globally, Coca-Cola has been an employer At any level, employee compensations are
of choice since many years; we attract based on the position held/responsibility
the best of talent and strive to retain handled, experience, tenure in the
all employees. The wages and benefits organization and qualification.
we offer are competitive and consistent
with the market. Our employees at all Our pay structures include retirement
levels receive appropriate functional benefits as per applicable rules and
and behavioral trainings. We are an regulations. These include:
equal opportunity employer and do
not discriminate on the basis of gender, • Provident Fund (PF) – 12% of the
religion, ethnicity, race etc. We provide monthly basic pay of the employee
a safe, discrimination-free workplace, contributed to a dedicated PF
providing our employees the opportunity Account; an equivalent contribution is
to bring out the best in them. also made by the CCIPL (for which the
company has a dedicated fund). This
is applicable to all employees of CCIPL
Employee hiring and benefits: (corporate and plant) and Coca-Cola
India Foundation.
Coca-Cola India Private Limited is an
• Gratuity – company contributes
equal opportunity employer. We do not
15 days’ basic pay for each year of
discriminate people based on ethnicity,
employment completed, starting
religion, caste, nationality etc at the time
from the 5th year of continuous
of recruitment or anytime during an
employment. This benefit is applicable
employees’ tenure at CCIPL. While filling
for all employees of CCIPL and the
open positions, only the individual’s ‘fit’ for
Coca-Cola India Foundation
the positions is considered. Furthermore, as
a policy, we strive to offer open positions
Other benefits offered to our
to existing employees before sourcing
employees include
talent from the market. Such internal
transfers are encouraged with the view of
• Medical/accident/ life insurance
offering employees exposure to diverse
• Free health check-ups for employees
roles/business functions. In the reporting
and 50% expense coverage for their
period, hiring procedure documentation at
families
bottling locations were audited (under SGP
• Loans for purchase of vehicles and
audit) and no gender-based discrimination
utility loans
was found.
• Parental leave – 120 days for women, 14
days for men at the time of child birth
We pay competitive wages to our
• Partial sponsorship (up to INR 35,000)
employees and constantly benchmark our
for promoting active lifestyle of
compensation levels with the industry.
employees under our ‘Health Works’
For our entry level workers (concentrate
policy (includes purchase of sporting
plant), the wages we pay are substantially
equipment, payments made for
higher than those stipulated by Indian law.
membership in gymnasiums, etc.)
Furthermore, wages paid (compliance
to local minimum wage requirements
and non-discrimination by gender) by
our bottlers to their employees and the
contract workforce are also audited as a
part of the SGP audit.
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Coca-Cola India Sustainability Report 2013
Catalyst and Women in Leadership are Global programmes offered by TCCC; suitable
employees are nominated from each geography for these programs.
Both male and female employees of CCIPL at the corporate office received about 15
man-hours of training (average) in 2013. Likewise, the concentrate plant also conducts
need-based technical and behavioural trainings and in 2013 male and female employees
received close to 8 person days of training on an average.
At the end of each assessment year, all employees across hierarchies and role functions
receive performance feedbacks which help them identify areas of strength and
development.
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Coca-Cola India Sustainability Report 2013
Employee turnover:
1. Number of employees:
Following are the total number of employees on the payrolls of the company
as on 31st December 2013.
Women employees constitute about 26% and 19% of our workforce at the corporate
office and concentrate plant respectively.
2. New joinees and employees leaving the organization (by age group)
Following are the number of people who joined the company’s payrolls and those who
left the organization in the reporting period.
30-39 years 13 0 10 1
Male 40-49 years 3 0 5 0
50-59 years 2 0 3 0
Total 21 0 18 1
20-29 years 1 0 1 0
30-39 years 4 0 3 1
Female 40-49 years 2 0 0 0
50-59 years 0 0 0 0
Total 7 0 4 1
As can be seen from the table above, our attrition rate is quite low and we believe it is in-
line with the industry standards.
Male 8 5
Female 3 1
Total 11 6
Note: Of the people who availed parental leave in the previous reporting period (8 male and 3 female employees from
Corporate Office and 1 male employee at Concentrate plant), only one male employee from the Corporate Office left the
organization within 12 months (of returning from parental leave).
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Creating Sustainable
Communities
Approach
Yogesh Chandra
CEO
Anandana
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Project Jalagrahan
A watershed development project in Banswara, Rajasthan
District Banswara is backward in terms of agricultural productivity,
irrigation potential, education, health and other indicators of
development. The district has only 9.20% of total area under irrigation
(20.56 % total arable land). The Banswara district has lowest (40.78
%) rural literacy rate in the state. Close to 73.0% of total rural
households of Banswara district live below poverty line (BPL).
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Coca-Cola India Sustainability Report 2013
Project Santushti – II
A watershed project in Sambhar Lake, Rajasthan
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Coca-Cola India Sustainability Report 2013
Project Jaldhara
Anandana, in partnership with the Jan
A watershed project in five villages of Shiksha Evam Vikas Sansthan (PEDO), has
Nagina block (Mewat district), Haryana. identified 10 villages of Simalwara block
Mewat is a largely agricultural district in of Dungarpur district for an integrated
the semi-arid region of Haryana. Mewat watershed development project.
suffers from lack of good quality water,
as it is underlain with mostly saline PEDO has so far constructed nine check
groundwater aquifers and surface water dams and five farm ponds. Further, four
resources are sparse. old ponds are being renovated that
together could help in creating a storage
S.M.Sehgal Foundation is implementing capacity of 87,340 m3 of water. A total of
a project in Nagina block covering 5 2850 hectares have been chosen for the
villages - Dhadola Khurd, Dhadoli Kalan, watershed development activities. This
Raniyala Patakpur, Dungra shahzadpur project is intended to benefit over 9,000
and Bazidpur which will help increase people from 1500 households spread over
the availability of surface and fresh 11 villages of the district.
groundwater resources for household
and agricultural use. The proper disposal Watershed project in Jhansi
of wastewater will help improve overall district, Uttar Pradesh
sanitation and hygiene conditions in the
villages, leading to better health. The This project is being implemented by the
interventions aimed at minimizing the International Crops Research Institute
leakage in the public water supply system for the Semi-Arid Tropics (ICRISAT),
will improve the access, coverage and supported by Anandana. The project
equitable distribution of household water. location comprises three villages from
Use of bio sand-filters will ensure removal Babina block, with distinct transitional
of any bacteriological contaminants. agro-climatic conditions in the central
plateau region of Bundelkhand.
Watershed project in Dungarpur,
Rajasthan ICRISAT, in collaboration with the
watershed committees and the villagers,
The Planning Commission of India was able undertake the following activities:
has identified Dungarpur as one of
the most backward districts in terms • A number of locations for harvesting
of development. The rural population surface runoff have been identified.
completely consists of tribals and their • Nearly 40,000 m3 of storage capacity
livelihood and agricultural practices are is being developed in the watershed
totally dependent on natural resources like areas by constructing 8 water
water, forest and livestock. harvesting structures.
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Coca-Cola India Sustainability Report 2013
The two-year program, focuses on Since its inception and till December 2013,
skill development in the areas of sales, over 1000 youth completed their training
management, retailing and merchandizing. at CDC and over 362 have been offered
It also includes market work for six months employment with organizations like Big
each year and prepares students for a career Bazaar, KFC, McDonald’s, Easy Day and
as Market Development Executives. The HCCBPL to name a few.
course is currently offered in four colleges in
Mumbai. As a pre-requisite, students need to The initiative also aspires to be a model
have completed senior secondary schooling. that can be replicated and scaled up. In
40% of the seats are offered to girl students 2013, ‘Being Human- The Salman Khan
Foundation’ joined hands with HCCBPL to
and those from economically weaker
set up Career Development Centers across
sections of the society.
the country. HCCBPL plans to establish
four new CDC’s in Pune (Maharashtra),
HCCBPL has also offered experiential
Khurdha (Odisha), Ameenpur - Hyderabad
learning to 140 students through live market
(Andhra Pradesh) and Bidadi (Karnataka)
projects. The response to this program has
in partnership with NIIT Foundation and
been overwhelming.
Being Human.
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The year 2013 is special for several With 20 refreshing and informative
reasons. This year not only marks the 100 chapters, the 2013 edition of the record
year journey of Indian cinema but also book celebrates over 10,000 remarkable
commemorated 20 years of Coca-Cola achievements out of which 6,000 are new
in India since its re-entry in 1993. It also records, all showcasing extraordinary feats
began the countdown to the Silver Jubilee of Indians across the globe.
of the Limca Book of Records in 2014.
The company commemorated 24 glorious The 2013 edition salutes the remarkable
years of the Record book by launching contributions of the country’s unsung
the Limca Book of Records 2013 - ‘Cinema heroes and as well as the outstanding
Special’ edition in April, 2013. The all-new personalities of Indian cinema over the
edition celebrated 100 glorious years of years who have had the spirit and the
Indian cinema and catalogued a special persistence to excel and follow their goal
Cinema section acknowledging the with single-minded passion - once again
extraordinary achievements of 20 Indian truly showcasing ‘India at her best’.
cinematic icons as ‘People of the Year’.
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4
World
Protecting the Environment
Water Stewardship Climate Protection
Working to protect watersheds, reduce Working to reduce our impacts and
risks to water supplies and moving partnering to take action against
towards balancing our water use. climate change.
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Water Stewardship
Approach
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Withdrawal Quantity (KL) Percentage of Our bottling plants recycle and reuse
source total water to the extent possible. Rest of the
Well water 5,100,900.3 63% water is treated to stringent standards,
Surface water 2,000,334.2 24.68%
used in secondary applications (examples
gardening and toilet flushing) and the
Municipal water 910,979.1 11.24% balance returned to nature at a level that
Others 92269.8 1.14% supports aquatic life. The following table
represents our total water discharged by
Total 8,104,483.4 100%
our system, by destination.
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Sustainable Packaging
Approach
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Global Goal: Source 25 percent of our Global Goal: Improve the packaging
PET plastic from recycled or renewable material efficiency per liter of product
material by 2015. sold by 7 percent by 2015.
Progress: Off-track India Progress: On Track
TCCC came out with a revolutionary Packaging plays an essential role for our
new packaging material in 2009 – the business in meeting consumer needs
PlantBottleTM. This material is made from and preventing waste by protecting
sugarcane-based ethanol, designated as our products during delivery. We
an “Advanced Renewable Fuel” by the continuously try to make packaging
United States Environmental Protection more environmentally and economically
Agency—so its manufacture has a lower sustainable. In 2008, we set a global goal
environmental impact and does not of improving the packaging use efficiency
consume agricultural resources that could by 7% by 2015. Through our sustained
efforts over this period, we have leveraged
otherwise be used for food production.
technological advancement to reduce the
bottle weights upto 15% on sparkling PET
In comparison to normal PET resin
packages, upto 12% on Juice PET packages
which is produced locally in India, the upto 30% on packaged water PET packs.
PlantBottle resin is not produced in India We are rolling out these new packages in
due to poor demand. Through 2013 the a phased manner for different pack sizes,
price differential between local PET and in different markets. Likewise, over the last
imported PlantBottle resin was in the decade or so, we have also light weighted
range of 14-16% which made it difficult for our Returnable Glass bottles by almost
our bottlers to absorb it in their prevailing 33% in some packs.
value chain.
These initiatives make good business
With bio-based MEG and finished PET resin sense but more importantly, benefit the
production both located in India, we are environment and our natural resources.
now exploring a tie-up for local PlantBottle
resin production so that the premium Further, in some of the water SKUs
differential with respect to normal PET can (specifically the 500 ml SKU), the weight
be narrowed to 0-3% levels. of PET used has been brought down from
15.6 grams to 10.4 grams representing a
material saving of about 33%. For this,
HCCBPL has focused on bottle design,
type of plastic used and reduction of
size of bottle necks and closures. The
squeezable and collapsible features of the
bottle allow folding of the water bottle, to
simplify recycling.
It is expected that the pilot will also provide valuable insights on the challenges and
possibilities for bringing about this behavioral change.
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Waste generated in our plant operations: through third party vendors authorized by
the State Pollution Control Boards. 42,236
The bottling system in India generated tons of non-hazardous waste generated
waste to the tune of 52,324 tons (including has been sent to suitable third party
2,951.8 tons of hazardous waste). In recyclers. The rest of the non-hazardous
accordance with Indian law, hazardous waste has been disposed through suitable
waste generated has been disposed means (e.g., disposal at landfills etc).
Total waste generated in Waste sent for recycling/ Percentage waste sent for
plants (tons) recovery (tons) recycling/recovery
52,324.26 42,236 80.7%
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Climate Protection
As a global organization concerned with The Coca-Cola System in India has an
the well-being of people and the planet, we unrelenting focus on energy efficiency
believe the consensus on climate science enhancement across our plant operations.
is increasingly unequivocal – global climate Our efforts have yielded significant
change is happening and man-made results over the years. Energy Use Ratio,
defined as the amount of energy used for
greenhouse gas emissions are a crucial
producing a litre of beverage came down
factor. With impacts already beginning
by about 9% in 2013 (0.72 MJ/Litre).
to be felt in agriculture, human health,
ecosystems, water supplies and economies
Energy Use Ratio (MJ/Litre)
themselves, we are committed to help
responsibly manage our climate impacts. 0.86
0.84
0.8
Approximately 10 percent of the emissions 0.79
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2012 28.1%
Emission factors considered for primary fuels (in grams CO2/MJ: Light Fuel oil - 70.4,
5
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Sustainable
Agriculture
Approach
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Project Unnati
Maaza is the biggest fruit based juice as compared to seven to nine years in
brand in India, contributing to about traditional farming. This farming method
40% of India’s total volume. Totapuri and conserves water and land resources by
Alphonso are the two mango varieties utilizing drip irrigation and high tree
which form the pulp input for Maaza Juice. densities in combination with specialized
Total demand for Totapuri Mango pulp pruning. With 600 trees per acre (viz-a-
is growing at 20% year-on-year whereas viz 40 under traditional farming), UHDP
supply growth is 2%. Mango productivity dramatically raises productivity. The
in India, at 6 tons per hectare per annum program also increases incomes of small
(as per figures published by the National farmers as they feed directly into the INR
Horticulture Board), is substantially lower 5,000 crore a year (~US $830 million)
as compared to other leading producers Indian juice drink market, two-thirds of
(Brazil 16.8 tons/hectare, Indonesia 10.9 which is constituted by mango drinks.
tons/ hectare and so on).
Under Phase I of the project, financial
In Chittoor district of Seemandhra, Project assistance was provided to 200 farmers
Unnati has successfully piloted the use (including 87 women – contributing to
of ultra-high-density plantations (UHDP) the 5by20 initiative) to facilitate the
in mango cultivation. This proven system development of demo-farms. Also, training
maximizes photosynthesis and brings new on UHDP technique was provided to close
plantings to maturity in three to four years to 15,000 farmers by end of 2013.
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5 Corporate Governance
Committees under the Board
Coca-Cola India Private Limited is a India Advisory Board (IAB)
‘Limited’ company incorporated under the
Companies Act, 1956, in India. The CCIPL The India Advisory Board (IAB) is the
Board consists of the following members, foremost advisory body within CCIPL.
who are Whole-time Directors of the The IAB is ably led by its Chairman Mr.
company: Naresh Chandra, who is a former Cabinet
Secretary –Government of India and a
1. Mr. Venkatesh Kini - President – Coca- former Indian Ambassador to the United
Cola India and South West Asia States. Mr. Naresh Chandra has headed
2. Mr. Sanjeev Kumar – Vice President - several Committees constituted by the
Finance Government of India including one on
3. Mr. Asim Parekh – Vice President – Corporate Governance and Civil Aviation.
Technical & Supply Chain He was awarded the country’s second
4. Mr. Devdas Baliga – Vice President – highest civilian award – ‘Padma Vibhushan’
Legal in 2007. He is an Independent Director
on the Boards of several well -known
Considering various topics that are of companies in India.
interest to the company, CCIPL has
constituted committees drawing external The IAB guides the management on various
experts to guide the organization. Such operational and environment-related
committees, their constitution and matters to help formulate short and long
functions are detailed below: term strategies. The IAB meets two - three
times a year and reviews the performance
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of the Company in India. Other members of The members of the HWAC and the areas
the Board include champions of the Indian of their expertise are as follows:
Industry like Mr. Deepak Parekh (Chairman
HDFC Limited) , Mr. SK Munjal (MD – Hero • Dr. J S Pai – Ex-Prof & Head of Food
Corporate Services Limited) , General VP Technology , UDCT Mumbai
Malik (Former Chief of the Indian Army), • Dr. PSM Chandran- Sports Medicine
Ustad Amjad Ali Khan (Eminent Musician) expert
and Ms. Kiran Mazumdar Shaw (CMD • Dr. Vinay Aggarwal - Medical Science
Biocon Limited). expert
• Prof. R H Singh, Professor Emeritus
Advisory Council on Environment in the Faculty of Ayurveda at BHU,
and Sustainability (ACES) Varanasi
The ACES advices CCIPL and its bottlers The HWAC meets once every quarter; the
on issues pertaining to environment and members of the HWAC understand our
sustainability. This body is headed by business, give inputs on current issues
General V. P Malik (retired), Former Chief while also giving us an external perspective
of the Indian Army who has also been a to such issues.
member of the National Security Advisory
Board, Government of India and Honorary Internal Complaints committee
Advisor to the Centre for Policy Research.
The other members of the board are listed In 2013, CCIPL constituted an Internal
below and are experts from the fields of Complaints Committee (ICC) in line with
water, environment and pollution control. the Sexual Harassment of Women at
Workplace Act, 2013. This committee
• Prof. Subhash Chander (former consists of senior associates from Legal,
professor – IIT Delhi), Human Resources, Workplace Rights,
• Dr. Saleem Romani (former Chairman – Coca-Cola India Foundation & an external
Central Ground Water Board) NGO. Employees may report any incidents
• Mrs. Binoo Sen (retired IAS), of the nature of sexual harassment to this
• Dr. B. Sengupta (retired environmental committee; the committee would conduct
scientist, Central Pollution Control a fair & independent probe into the
Board), reported incident and take suitable action.
• Mr. Vishwanath Anand (retired IAS) Members of the ICC are as follows:
Apart from the above, Mr Kisan Mehta • Ms. Alpana Vartak, GM, HR, CCIPL
(ex-CEO of Coca-Cola in India) is a special • Ms. Shubha Sekhar, Human &
invitee to the ACES. The ACES visits bottling Workplace Rights Director, Global
locations and meets once every quarter Workplace Rights
• Mr. Yogesh Chandra, CEO, Coca-Cola
Health and Wellness Advisory India Foundation
• Mr. Ish Bali, Director Legal, CCIPL
Council (HWAC) • Ms. Barsha Poricha, Director – National
Foundation for India (external member)
CCIPL is committed to provide its
consumers a variety of hydration choices
that are safe and healthy. In this endeavour Coca-Cola India Foundation
we are assisted by HWAC, which guides
and assists CCIPL to: Coca-Cola India Foundation is registered
under Section 25 of the Companies Act,
• Identify and highlight the evolving 1956. The operations of the Foundation are
nutritional needs of Indian consumers guided by the Board of Directors, which
• Suggest viable health & wellness includes:
solutions for beverage applications; and
• Support consumer education programs Mr. Venkatesh Kini
that promote a healthy and active Mr. Sanjeev Kumar
lifestyle. Mr. Devdas Baliga
Mr. Yogesh Chandra (retired IAS)
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Appendix – 1
Reporting Process
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TCCC, which operates in over 200 countries, has identified facets of sustainability based
on the nature of our global operations and what our stakeholders expect of us. This has
resulted in the ‘Me-We-World’ Framework – covering key sustainability issues from the
triple bottom-lines of ‘People, Planet & Profits’. This multi-pronged framework covers
material sustainability issues that enhance personal wellbeing, build strong communities
and help protect the environment. CCIPL believes that this framework adequately
represents issues that are ‘material’ to us and all our stakeholders’ w.r.t to the India
operations. Please refer the section on ‘Sustainability priorities’ for further details.
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Sustainability Performance
Management across the India System
Coca-Cola is a Global group with local scorecard lists all sustainability aspects
connects. We believe it is essential for us applicable to bottling operations covered
to ensure that our products and systems under our Me-We-World Sustainability
governing over operations are consistently framework and respective targets
better than what our stakeholders expect (yearly targets for each bottler that
of us. As has been described in the previous would in-turn help achieve the 2020
sections, TCCC has put in place a host of Global Commitments). The performance
policy interventions to facilitate this. This is in relation to the scorecard targets
also backed by a strong internal governance are regularly updated by the bottlers
mechanism. Strong in-house teams from (quarterly -on a Year-to-Date basis) and
CCIPL (and TCCC) constantly engage with the same is shared with CCIPL. This helps
and assist bottlers in staying complaint to the bottlers stay focused on the goals,
KORE and related policies/standards. while also helping us keep a track of
our performance and provide assistance
CCIPL has also rolled-out a ‘Sustainability where necessary.
Scorecard’ for bottlers in early 2013. The
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Product Responsibility
Customer Not applicable for
health & safety Anandana as Anandana
only undertakes
community projects
Product and Not applicable for
service labelling Anandana as Anandana
only undertakes
community projects
Marketing com- Marketing and consumer/
munication customer communication
is done only by CCIPL.
Customer Marketing and consumer/
privacy customer communication
is done only by CCIPL.
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Independent
Assurance Statement
Introduction prepared based on GRI G3.1 for Application
DNV GL represented by DNV Business Level B. In particular the assurance
Assurance India Private Limited (‘DNV engagement included:
GL’) has been commissioned by the • Verification of the application of Report
management of Coca-Cola India Private Content Principles set out in GRI G3.1
Limited (‘CCIPL’ or the ‘Company’), to and quality of information presented in
carry out an independent assurance the Report over the reporting period 1st
engagement on the Company’s January 2013 to 31st December 2013;
Sustainability Report 2013 (‘the Report’) • Review of the disclosures with respect
in its printed format. The Report is to policies, initiatives, practices and
prepared by the Company based on the performance described in the Report;
principles of Accountability Principles • Review of the Report against the
Standard (AA1000APS (2008)), and the requirements of Type 2, moderate
Global Reporting Initiative Sustainability level assurance engagement based on
Reporting Guidelines Version 3.1 (GRI
AccountAbility’s AA1000 Assurance
G3.1) including its Food Processing Sector
Standard 2008 (AA1000AS (2008)),,
Supplement (FPSS).
and VeriSustain with moderate level of
assurance;
The intended users of this assurance
• Verification of the reliability of selected
statement are the management of the
Company. The management of the GRI G3.1 performance indicators and
Company is responsible for all information performance information specifically
provided in the Report as well as the related to the requirements for
processes for collecting, analyzing and Application Level B.
reporting the information presented in
the printed Report. Our responsibility The reporting boundary is as set out
in performing this work is regarding in the Report, covering sustainability
the verification of the Report only, in performance of CCIPL, Hindustan
accordance with the agreed scope of Coca-Cola Beverages Private Limited
work. The assurance engagement is based (HCCBPL), Anandana – the Coca -Cola
on the assumption that the data and India Foundation and Franchise Bottling
information provided to us is complete, Operations (FBO) in India.
sufficient and authentic. DNV GL expressly
disclaims any liability or co-responsibility Our engagement did not include
for any decision a person or entity would assessment of the financial disclosures,
make based on this Assurance Statement. adequacy or effectiveness of Company’s
Our assurance engagement was planned strategy or management of sustainability
and carried out during September 2014 to related issues. During the assurance
December 2014. process, we did not come across
limitations to the scope of the agreed
Scope, Boundary and Limitations of
assurance engagement. No external
Assurance
The scope of the assurance as agreed stakeholders were interviewed as part of
upon with Company included the this assurance engagement.
verification of the content of the Report,
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Appendix – 2
GRI Index
Indicator Section Name Disclosure Page
status
1. Strategy and Analysis
1.1 Strategy and analysis Message from the Full 6
President
1.2 Description of key impacts, risks and Risks and Partial 15
opportunities opportunities1
2. Organizational Profile
2.1 Name of the organization Organizational Full 11
overview - Introduction
to the Coca-Cola
System in India
2.2 Primary brands, products or services Well-Being Full 22
2.3 Operational structure of the organization Organizational Full 11
overview - Introduction
to the Coca-Cola
System in India
2.4 Location of organization’s headquarters Organizational Full 11-13
overview -
Introduction to the
Coca-Cola System in
India
2.5 Number of countries where organization Organizational Full 13
operates overview - Introduction
to the Coca-Cola
System in India
2.6 Nature of ownership and legal form Organizational Full 11-13
overview - Introduction
to the Coca-Cola
System in India
2.7 Markets served (geographic/types of customers) Organizational Full 13
overview - Introduction
to the Coca-Cola
System in India
2.8 Scale of the reporting organization Message from the Full 6
President;
2.9 Significant changes during the reporting period Organizational Full 13
overview - Introduction
to the Coca-Cola
System in India
2.10 Awards received in the reporting period Awards and Full 70
accolades – Corporate
Governance
3. Report parameters
3.1 Reporting period About this report Full 1
3.2 Date of most recent report Report for the year Full N.A
2012, published in 2013
3.3 Reporting cycle About this report Full 1
Information on sustainability targets, trends and key risks have been presented across the relevant sections of the report
1
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What is in a
Coca-Cola?
Water 89%
Natural Flavours Most people get about
They contribute to the unique 80% of total fluids
taste of Coca-Cola. each day from drinking water and other
beverages, with the other 20% coming
from food. Coca-Cola contains > 85%
water, which can help contribute to
Caramel Colour meeting of daily fluid needs.
Brown colored caramel is the 3rd
most commonly used Color in
processed food industry. It gives
Coca-Cola its characteristic color. Sugar 11%
A glass bottle (200 ml) of
Coca-Cola contains 22 gram of
sugar. It is available in fruits,
Caffeine vegetables, and also in daily food.
Caffeine is found naturally in tea
leaves, coffee beans and cocoa
beans. It can also be man made.
200 ml of Coca-Cola contains Carbonation
about 20 mg of caffeine, Carbonation puts the “fizz” in
which is less than 1 cup of Tea sparkling beverages. A major part
and significantly less than 1 cup of carbon dioxide escapes when
of Coffee. the beverage container is opened
before being sipped. It is also
present in some mineral waters.
For centuries, carbonated
beverages have been thought to
Phosphoric acid help ease indigestion, or stomach
It is used to regulate acidity and 0m
l pack
c upset, but more studies are
give Coca-Cola its tangy taste. needed in this area.
0
on
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tains
CONSUMER
HELPLINE
indiahelpline@coca-cola.com 1800-208-2653
TOLL FREE
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