Progress Report Faber-Castell Leadership Declaration 2011/12

Transcription

1 Progress Report Faber-Castell Leadership Declaration 2011/12 Leadership Declaration: All signatory companies acknowledge and support the three objectives of the international Convention on Biological Diversity : 1 Conservation of biological diversity 2. Sustainable use of its components 3. Fair and equitable sharing of the benefits that arise out of the utilization of genetic resources. and commit themselves to: 1. Analyzing corporate activities with regard to their impacts on biological diversity; 2. Including the protection of biological diversity within their environmental management system; 3. Appointing a responsible individual within the company to steer all activities in the biodiversity sector and report to the Management Board; 4. Defining realistic, measurable objectives that are monitored and adjusted every two to three years; 5. Publishing activities and achievements in the biodiversity sector in the company s annual, environmental, and/or corporate social responsibility report; 6. Informing suppliers about the company s biodiversity objectives and integrating suppliers accordingly and step by step; 7. Exploring the potential for cooperation with scientific institutions, nongovernmental organizations (NGOs) and/ or governmental institutions with the aim of deepening dialogue and continuously improving the corporate management system vis-à-vis the biodiversity domain. To demonstrate ongoing commitment, member companies will provide the Initiative with a progress report every two years. 1

2 1. Analysis of the impact of corporate activities on biodiversity Sustainable management has been a core value of traditional brand Faber-Castell for generations. The company has been managed by Count Anton-Wolfgang von Faber-Castell since 1978, the eighth generation to do so, for whom bringing corporate responsibility and cost-efficiency in line with each other is a priority. The focus here is not on short-term profit, but on sustainable, profitable growth. The long-term success of the company depends on being able to secure raw materials from environmentally sustainable sources. As the largest single global manufacturer of wood-cased pencils, Faber-Castell needs to ensure it has a permanent supply of wood in particular. In addition to quality and price stability, it's primarily conservation and biodiversity that play a decisive role and are part of our corporate responsibilities. Therefore, in order to be able to do decent business (in both the monetary and ethical sense of the word) in future, too, the company is committed to the conservation and protection of biodiversity in and around our production sites worldwide, as well as many other ecological objectives. A project is presented below which takes this corporate strategy into account and in which the impact on local biodiversity is examined: Faber-Castell forestry project in Brazil For three decades, Faber-Castell has managed approx. 10,000 hectares of pine forest on what was previously fallow land in the Brazilian Prata (Minas Gerais). Almost 30% of the area is left in its natural state and not used for wood production; it is used for conservation and the preservation of the native flora and fauna. This is how Faber-Castell secures a unique habitat for many animal and plant species, some of which are endangered. The Animalis and Arboris biodiversity programmes launched in 2001 analyse the ongoing progress of biological diversity in the Brazilian forests. The Animalis project is arguably the most visible part of the environmental protection programme: in collaboration with recognised local universities, the local biodiversity has been recorded, the stocks controlled and the animals' habitat secured since To perform the annual survey, researchers record observations, footprints and droppings. Camera records from 2012 show that the number of bird and mammal species has grown steadily since records began in 1992: where the 2,700 hectare natural area provided habitat for around 145 bird and 27 mammal species in 1992, today it hosts 232 bird and 61 mammal species. 2

3 13 of the 512 total species observed are considered endangered, like the elusive Lobo Guará maned wolf, which garners national scientific attention for the project. So far, Project Arboris has seen 40,000 local trees and other crops planted in the reserved areas of the plantation to establish and promote the natural flora. Arboris, however, is not just aimed at preserving native plant species, but also at ensuring natural pest control for the forests through the multitude of insect populations settling on the plants. It is also securing high levels of soil and water quality and providing protection against erosion. Data on species development and other analyses are continuously updated and are to be published in future, too. Faber-Castell has also been driving forward the carbon offsetting of all their production sites worldwide since As climate change is one of the main causes of biodiversity loss, reducing greenhouse gas emissions takes on an important role in the fight against it 1. Creating a carbon offsetting scheme A Faber-Castell Carbon Footprint for the entire company was created in collaboration with PE International in accordance with current standards and scientific findings, adopting various measures to minimise greenhouse gas emissions. Other measures introduced are intended to protect the climate, promote environmentally-friendly energy sources as well as to improve production and logistics processes. In July 2011, the carbon footprint of the Faber-Castell Group was assessed by TÜV Rheinland and certified in line with the international ISO standard. More information and the carbon footprint data were published in the Faber- Castell Sustainability Report For further information about the link between climate change and biodiversity loss, see: Millennium Ecosystem Assessment (2005): Ecosystems and Human Well-Being: Synthesis Report. Washington DC: Island Press. and Millennium Ecosystem Assessment (2005): Ecosystems and Human Well-Being: Biodiversity Synthesis. A Report of the Millennium Ecosystem Assessment. Washington DC: Island Press.). 2 See Faber-Castell Sustainability Report 2011, pages 68-71, available from 3

4 2. Protecting biodiversity and sustainable usage as part of the environmental management system The integrated FABIQUS management system (Faber-Castell's integrated management system for quality, environment and social issues) is a milestone in the implementation of sustainable corporate policies. Using standardisation and unified requirements, it ensures identical, efficient implementation of the corporate strategy in every country. Faber-Castell's core strategies are defined by its board of directors and implemented by all worldwide subsidiaries. The 10 GUIDING PRINCIPLES are paramount in all company decisions and objectives, and contain descriptions of company values regarding: 1. Tradition & Heritage, 2. Staff, 3. Our Brand, 4. Products, 5. Innovation, 6. Globalisation, 7. Customer Benefits, 8. Environment & Social Responsibility, 9. Organisation and 10. Future. Faber-Castell has defined four core values defined based on the 10 GUIDING PRINCIPLES. These core values are known as the BRAND ESSENTIALS, and they set out clear guidelines as to how things are done both within the company and in our dealings with customers, business partners, society and the environment. These core values are widespread throughout the company at all levels thanks to training courses, making it possible to successfully implement them. Binding department-specific action and omission rules ( DOs and DON'Ts ) have been specified for each topic. (see fig. 1) As a part of the FABIQUS management system, the issue of the environment is considered integral and also contains aspects of biodiversity. FABIQUS here includes methods and tools for compliance with requirements in the fields of quality, environment, social issues and safety at work, the implementation of company guidelines, the social charter and ISO as well as FSC standards. FABIQUS is a flexible system where stakeholders' requirements (incl. society, environment, staff, customers, suppliers) are taken into account and fulfilled. A PDCA cycle (Plan, Do, Check, Act) based on the Faber-Castell corporate strategy delivers continuous improvement in individual processes. (see fig. 2) A regular analysis of quality, environmental and social data through our proprietary FABIQUS Information System (FIS report) helps to measure positive effects such as savings, and to identify and implement potential improvements early on. It also queries and analyses the biodiversity indicators of the Global Reporting Initiative. In terms of protecting and conserving biological diversity, the FABIQUS integrated management system has achieved the following results: - increased resource conservation, energy savings and the involvement of suppliers in terms of environmental, quality and social criteria 4

5 - Raising awareness of staff in quality, environmental and social issues using communicative measures - Strengthening credibility and transparency through both the internal and external communication of the integrated management system as well as the inclusion/awareness raising of suppliers Faber-Castell has a certified ISO environmental management system at all production sites and in major sales organisations. All production sites and sales organisations are certified in accordance with FSC Chain of Custody and the forests in accordance with FSC Forest Management. The environmental management system is regularly audited internally, externally and as part of an integrated management system. 5

6 Fig. 1: Integration of the FABIQUS management system 6

7 Fig. 2: FABIQUS - continuous improvement process 3. Creating a responsible entity in the company which manages all biodiversity activities and reports to the management The issues of sustainability and ensuring biodiversity fall under the remit of the QA (quality assurance) department which has been managed by Gisbert Braun since Besides ensuring quality, safety and environmental requirements for the entire Faber-Castell group, it is also responsible for coordinating the FABIQUS management system (quality, environmental, social issues) which it then implements for all production facilities across the globe thanks to support from the local staff. QA has been established as a central management unit reporting directly to the Board which reflects the department's importance for the company. 4. Realistic, measurable goals to improve the protection of biodiversity and its sustainable usage Faber-Castell's sustainability programme's objectives include: Including additional Scope 3 emissions (indirect emissions) in the carbon footprint as defined in the Greenhouse Gas Protocol - Optimising carbon data and defining concrete targets for action - Target deadline: 2013/14 Implementing a programme on the issue of biodiversity in the supply chain - Identifying biodiversity issues and defining optimisation measures 7

8 - Target deadline: 2013/14 Further expanding the forestry holdings in Columbia - Long-term securing of our own demand for wood from sustainably managed forests, protecting biodiversity and promoting climate protection - Target deadline: 2014/15 5. Publishing all activities and achievements in the field of biological diversity in the annual, environmental or sustainability report All activities on Faber-Castell's roster in the field of biological diversity are presented in the Faber-Castell Sustainability Report. This document is reviewed and updated annually. The report is published every three years in hard copy updates are published in the intermediate years on the Faber-Castell website. 3 We intend to publish the next detailed, printed Faber-Castell Sustainability Report in 2014, covering the 2011, 2012 and 2013 financial years. 6. Notifying suppliers about the company biodiversity objectives and including the suppliers in hitting targets The supplier evaluation system was reviewed, standardised, modernised and introduced as mandatory for all suppliers in 2010: an online portal is used to gather information on suppliers' ecological and social commitments and includes detailed questions on their handling of raw materials, production processes, disposal methods, exhausts and packaging, as well as any environmental certifications. Regular audits are also carried out at major suppliers' premises and then used to classify them into categories A, B and C as a basis and verification for future collaboration. Faber-Castell's aim is to use the online supplier evaluation system on an international level in all production facilities and to carry out more audits. In addition to the adoption of and compliance with Faber-Castell's high environmental and social standards, suppliers must also be actively supported in their efforts to improve. 7. Collaborations with potential partners In order to do justice to our responsibility to people and nature, Faber-Castell has established strategic partnerships with numerous governmental and nongovernmental organisations in recent years. Besides joining the Biodiversity in 3 See 8

9 Good Company association, this means the company has also become a member of the following initiatives, for example: WWF Wood Group UN Global Compact B.A.U.M. e.v. Umweltpakt Bayern (Environmental Pact of Bavaria) Deutsches Netzwerk für Wirtschaftsethik, DNWE (German Network for Business Ethics) PEFC Verband für nachhaltiges Umweltmanagement (Association of Environmental Professionals) FSC The B.A.U.M annual meeting and awards ceremony is due to take place in June 2013 at the Count von Faber-Castell's Castle Stein with representatives from the industry, politics and the media at the invitation of Faber-Castell. The event will be put on under the banner of companies in the context of global change and sustainable corporate management and is also intended to shine a light on aspects of biodiversity from various perspectives. Other projects: The Faber-Castell forestry project in Colombia In the economically underdeveloped north of Colombia, 67 farmers are cultivating 1,561 hectares of woods for Faber-Castell to supply the company's production plants with raw materials. For this purpose, they provided part of their own land which had previously been used mainly for grazing cattle. The species planted in the new woods is Gmelina arborea, commonly known as Melina. In return for taking care of the trees, the farmers now get an assured monthly income for the first time. After felling, they receive 30% of the proceeds from the timber. Faber-Castell intends to extend the forest area to 3,000 hectares by The forestry project is part of a large-scale restructuring programme in the municipalities along the Rio Magdalena that have been seriously affected by overgrazing and soil erosion. The project is expected to save the region battered by floods and crop failure in ecological terms, as well as to stabilise it economically and politically. Investor Faber-Castell offers the farmers a future whilst securing our own raw materials supply from ecologically sound sources. 9

10 The forestry project has gained highest recognition: The UN have certified it for the Clean Development Mechanisms programme. Due to this certification, Faber-Castell is the first private company in the world entitled to deal in emission certificates from forests, as foreseen by the Kyoto protocol to reduce world-wide emissions of carbon dioxide. In order to monitor the effectiveness of the project, Faber-Castell has ascertained the CO 2 absorption of the Colombian forests in accordance with the CDM project analysis. In retrospect over the last three years, a continuous increase in absorption has been observed. Where the value was 33,578 tonnes in 2009, it rose to 103,122 in Faber-Castell has set itself the goal of achieving a CO 2 absorption rate of 1,159,680 tonnes by 2029 in accordance with the CDM project analysis through the Colombian forests. 10