The content in this APC Annual Report is hereby endorsed by the Chief Executive Officer, or equivalent officer of the organisation.
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1 Signatory Name: Pacific Brands Status: Completed The content in this APC Annual Report is hereby endorsed by the Chief Executive Officer, or equivalent officer of the organisation. Industry sector (please select 1 only): Brand Owner / Wholesaler / Retailer Packaging Manufacturer Waste Management Other - Commercial Organisation Community Group Industry Association Government Raw Material Supplier Other: Industry type (please select 1 only): Food & Beverage Pharmaceutical / Personal Care / Medical Hardware Homewares Communications / Electronics Clothing / Footwear / Fashion Chemicals / Agriculture Fuel Large Retailer Tobacco Shipping Company Airline Other:
2 PART A Signatory progress in reaching goals and targets of the Covenant This section refers to signatory progress against Covenant KPIs. The data from this section will be aggregated across all signatories on an annual basis, and will enable the APC to assess overall progress against Covenant Goals and KPIs, and those of its own Strategic Plan. You can include any particulars relevant to your sector in Part B. Please indicate your organisation s reporting period: Financial Year: 1 July June Calendar Year: 1 January 31 December Goal 1: Design - optimise packaging to use resources efficiently and reduce environmental impact without compromising product quality and safety. KPI 1: % of signatories with documented policies and procedures for evaluating and procuring packaging using the SPG s or equivalent 1. Does your company have documented policies and procedures for evaluating and procuring packaging using the SPG s or equivalent? Definition of Packaging Type Reporting of the proportion of packaging reviewed using the Sustainable Packaging Guidelines, whether existing or new, need not be individual SKU or products. Signatories can review and report on their review by grouping their packaging into different types if this is more effective and efficient. Grouping into types can be by individual products (SKU s), or by related packaging / products, e.g. by type of material used (paper/ cardboard, plastic, glass, metals...), by brands, by packaging manufacturer, or by some other category which makes sense in their own design and production processes. Reporting the number or percentage reviewed should be by Type as defined by each signatory s own practices, and each signatory is free to decide how to do this. A manufacturer with a small number of products might review each package independently, with each considered a unique type. A large manufacturer with many products may group them for review by looking at each material type, or may review each brand or range of products in turn, or may have different packaging suppliers and work with each in order. In both cases, the reporting should simply be by the types of packaging that have been reviewed. 2. Of the types of packaging existing at the beginning of the reporting period, what percentage had been reviewed using the Sustainable Packaging Guidelines (SPG) by the end of the reporting 25 % 3. Of the new types of packaging introduced during the reporting period, what percentage has been reviewed using the Sustainable Packaging Guidelines (SPG) by the end of the reporting 25 %
3 4. Describe (other?) outcomes achieved using the SPG in regard to: Please indicate even if you have done nothing in this area a) Avoiding or minimising the use of materials and other resources Dunlop Flooring has reduced the gauge of plastic film in their bags by 25% saving approximately 15 tonnes of plastic film. 1,382,000 cartons were reused across our distribution centres in this reporting period. We are continuing to eliminate silica gel sachets from our shoe ranges replacing them with more environmentally friendly/sustainable micro pak stickers (placed on the inside lid of the box). We have reduced the amount of poly bags being shipped to major suppliers by consolidating orders b) c) Optimising recyclability and recycled content We have increased the amount of bags that are recyclable throughout our operating groups. Our retail stores are increasing the amount of recyclable bags in stores. Reducing litter impacts We have not undertaken a litter survey but we have 45% of our products with some form of recycling logos on them. In addition, we have an on-going relationship with SITA where product is recycled where possible (eg. cardboard, plastic etc) Goal 2: Recycling - efficiently collect and recycle packaging. KPI 3: % signatories applying on-site recovery systems for used packaging 4. Do you have on-site recovery systems for used packaging? at all facilities/ sites at some, but not all facilities/ sites 6. Describe what types of packaging materials are collected and recycled on-site We collect and recycle plastic and cardboard that cannot be reused at our distribution centres. All waste paper and comingled rubbish is collected and recycled from other Pacific Brands sites. Metals, timber, fluorescent tubes and toner cartridges are collected via third party contracts. Coat hangers are also retained by Pacific Brands to be reused/recycled. 7. Actual: Describe what progress (since the beginning of the reporting period), if any, has been made in collecting and recycling materials on-site Extension of contract with SITA has allowed us to increase collection amounts. Monthly reporting data is available identifying Pacific Brands performance. This information is published on our Intranet for sites to access. We do not have any historic base line data as we have used different suppliers. Going forward we will be able to measure the increase in recycling that the SITA relationship allows us to undertake. KPI 4: Signatories implement formal policy of buying packaging made from recycled products 8. Does your company have a formal policy of buying packaging made from recycled products? 9. Is this policy actively used?
4 Goal 3: Product Stewardship - demonstrate commitment by all signatories KPI 6: % signatories with formal processes to work collaboratively on packaging design and / or recycling. 11. Does your company have formal processes in place for collaborating with other companies or organisations on improved packaging designs and/or recycling which aims to reduce or eliminate waste? 12. Briefly describe how your company collaborates with other companies or organisations to improve packaging designs and/or recycling Pacific Brands continues to work with suppliers and major customers to find ways to reduce the packaging that our products are shipped/received in. Pacific Brands has a relationship with SITA that allows us to continue to recycle waste as possible. On our behalf, SITA are currently undertaking some waste surveys that will allow us to find additional opportunities for recycling initiatives. 13. Briefly describe what progress, if any, has been made to improve packaging designs and/or recycling We have Pacific Brands marketing representatives on our internal Australian Packaging Covenant Committee (APCC). At these meetings, we discuss the need to improve packaging designs and recycling opportunities across all operating groups at Pacific Brands. Some operating groups have already established packaging that has full recycling logos. This packaging is environmental friendly packaging. We are currently rolling out to suppliers for please recycle labels to be added to all our cardboard packaging. Our retail businesses are implementing reusable/recycling bags for in-store purchases. KPI 7: % signatories showing other Product Stewardship outcomes 14. Since the beginning of the reporting period, has your company had any other outcomes related to product stewardship? KPI 8: Reductions in packaging items in the litter stream 16. Briefly describe what measures, if any, have been implemented to reduce litter. We are implementing recyclable and biodegradable packaging (where possible/practicable) across all Pacific Brands stock keeping units (SKUs). At this moment in time, it is difficult for us to measure this reduction General 17. Please provide details of any special circumstances or additional information that will help us interpret this report (you may include links to your website showing any case studies or relevant information). N/A
5 PART B Your annual performance This section will ask you for additional data on your progress made during this reporting period against the annual targets you have set for each of the Covenant KPIs. The data you provide in Part B will be used to determine your performance rating. Here we are looking at your achievements in changes to packaging outcomes rather than processes (e.g. 15 tonnes of material diverted from landfill rather than a process in place to investigate or actually divert waste from landfill). Please use this section to highlight any particulars that you think are relevant about your industry and sector and we will take this into account in the performance rating. Goal 1: Design KPI 1: % of signatories with documented policies and procedures for evaluating and procuring packaging using the SPG s or equivalent. Please indicate your progress this year towards achieving your annual targets and milestones for KPI 1 1. Documented policies and procedures for evaluation and procuring packaging using the SPG 2. All packaging materials are purchased according to the new sustainable procurement procedure 3. Consistent packaging manual overall operating groups Policy achieved. Procedures are included in each operating group s suppliers manual 30% we have developed a sustainable packaging policy that has been published. 4. List all packaging materials and group them 5. Develop list of all suppliers related to packaging materials 6. Develop/implement a new sustainable purchasing policy 50%. We purchase from a large number overseas suppliers. Suppliers manuals revised to include policy and supplier letter in the manual 7. Continue reviewing supplier manuals - this is on-going process 8. Engage with key stakeholders and get feedback and finalise SPG 9. Document a Sustainability Packaging Guidelines Checklist 30% we have started this process the SPG checklist was developed and put out for comment and distributed in early Operating groups struggled initially with concept but we did get these returned
6 Goal 2: Recycling KPI 3: % signatories applying on-site recovery systems for used packaging. Please indicate your progress this year towards achieving your annual targets and milestones for KPI 3 1. Reduce packaging from non renewable materials 20% - this is a long term goal for 2014 we have written our sustainable packaging policy, this is the first step in the process 2. Continue partnering with waste management provider in relation to litter and rubbish reduction - Relationship with SITA (third party) 3. Complete a site-waste based management survey 50% - there was a SITA waste audit undertaken at three of our sites in. We are currently undertaking waste surveys at our 13 biggest sites 4. Establish process to encourage internal all companies in packaging recovery systems for all brought and FG products 5. Establish a spreadsheet showing bin collection periods on each site 50% there is a process in distribution centres to reuse cartons. Our Dunlop Flooring business has a process to reclaim the packaging from suppliers by using the bags the carpet underlay is shipped in to return the used underlay. This underlay is then recycled. We have a partnership with SITA that is constantly looking for new recovery processes 6. Review packaging group include recycling content 7. Evidence of recycling program - Inventory of all recycling bins placed in each site 8. Evidence of establishing new recycling initiatives into business where recycled packaging potential has been identified through SPG review we have a on-going relationship with SITA 20% we are currently engaged with SITA doing a waste survey audit to see what extra can be recycled 9. Develop a b2b recycling program 50% Dunlop Flooring has implemented a business to business recycling program for post consumer foam
7 KPI 4: Signatories implement formal policy of buying packaging made from recycled products. Please indicate your progress this year towards achieving your annual targets and milestones for KPI 4 1. Introduce a policy to buy products made from recycling packaging 2. Develop buy-recycled policy and integrate into business units doing design and development activities 3. List of products with recycled content in their packaging 4. Formal documented policy of buying recycled products or materials 80% - we have introduced a sustainability packaging policy. 20% - this is still in the development stage we are working with designers though our internal APC Committee 50% 80% our sustainability packaging policy covers this 5. Review packaging group - include recycled content 80% currently underway Goal 3: Product Stewardship KPI 6: % signatories with formal processes to work collaboratively on packaging design and / or recycling. Please indicate your progress this year towards achieving your annual targets and milestones for KPI 6 1. Formal process for working with others to improve design and recycling of packaging 2. Demonstrating product stewardship outcomes (correspondence through mail or meetings to suppliers) 3. Specify the sustainability requirements in the tender documents 40% 60% meetings are being undertaken with results being shown in the amount of packaging that is being reduced. Our supplier manuals that are sent out cover reducing packaging that is coming in. Marketing teams have meetings with suppliers. KPI 7: % signatories showing other Product Stewardship outcomes. Please indicate your progress this year towards achieving your annual targets and milestones for KPI 7 1. Complete a life cycle study of the entire manufacturing process collate information related to non renewable materials used in the system implement reduction transition measures for these materials Ongoing. This is a long term goal for Dunlop Flooring has completed a life cycle analysis of their processes and are currently working with their suppliers and customers
8 KPI 8: Reductions in packaging items in the litter stream. Please indicate your progress this year towards achieving your annual targets and milestones for KPI 8 1. Continue partnering with waste management provider in relation to litter or rubbish reduction on-going involvement with SITA currently collaborating with them to find more ways to collect waste 2. Complete a site based waste survey 60% - currently being undertaken 3. Formal process to recover detachable products to recycle/reuse 4. Identify any packaging material in the litter bins 50% we undertook a waste audit on three sites in. In 2012, we have engaged SITA to do a full waste audit on 13 of our biggest sites 5. List of products with detachable packaging in end product use 6. Conduct a waste-stream audit of on-site litter program 70% 40% this is currently in progress and will be completed in the first half of 2012 PART C Your Experiences Please use the fields below to share with us any achievements, good new stories or areas of difficulty in making progress against your plan and the Covenant Goals and KPIs. Provide as much detail as you feel is appropriate. 24. Key achievements or good news stories. Silica gel sachets are being removed from our shoe boxes - these are being replaced with micro pak stickers. Pacific Brands is moving towards please recycle labels across all packaging (where possible). Our Workwear group is continually reviewing packaging (including swing tags, plastic etc). We have changed how we ship shoe brands and styles of shoes allowing for more shoes per box with reducing packaging. We have reduced the packaging waste with boxes containing one item (altered the packaging). We are in the process of rolling out biodegradable/reusable retail bags (some operating groups have already implemented this). Our distribution businesses are reusing non-damaged cardboard boxes. 25. Areas of difficulty in making progress against Covenant KPIs. As an organisation with three operating groups (made up of 33 businesses) it has been hard to always engage the right people who can influence packaging outcomes. We attempt to drive this centrally via our internal Australian Packaging Covenant Committee (APCC). This will be on-going during As a number of our products are sourced and shipped from overseas, items can be exposed to the elements so it is important that there is sufficient packaging to product our products during transit Resourcing remains a challenge for us. With minimal funding available to us, and with our ISO (environmental management system) accreditation, we support the APC initiatives as best we can without dedicated full-time environmental resources in our business. When we rolled out the sustainable packaging checklist, many of our internal APCC members were daunted by the volume of information because of the number of stock keeping units (SKUs) we have. Products were grouped together by the type of packaging used, but I think our teams will get a better understanding of this next time around. 26. Any other comments. Nil
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