Report on Sustainable Development 2010

Page 15

ECONOMIC LIFE

Eco-friendly products

Eco05.1

Socio-friendly products

Eco06.1

Eco06.2

Eco07.1

Customer responsibility

Eco07.2

Eco07.3

Eco08.1

Eco-effective packaging and transportation

Eco08.2

Eco09.1

Sustainable waste management

Nine product carbon emission assessments in progress; assessment of packaging input material on company level

Product carbon assessment for three prodcuts; status quo maintained

Full impact assessment of all products; carbon-neutral products; improved material and packaging usage

Social standards status quo and health and customer needs maintained; increased number of Fairtrade certified suppliers

Theoretical research on how to measure social impact of products started

Starting to apply social footprinting methodology with systematic measurement

“True cost pricing�, i.e. internalization of environmental costs

Status quo maintained

Pricing based on comprehensive product impact assessment (economical, social, cultural, environmental)

Good product quality, product information usually above legal requirements

Status quo maintained

Product quality improvement to reach excellence

Own organic retail channel with awareness campaigns for sustainable development and organic food

Status quo maintained

Improvement of product availability, information and marketing of healthy products

Customer Relationship Management maintained and customer hotline for some companies

Single issue assessment of customer satisfaction; customer hotline for some companies

Customer Relationship Management improvement

Recycled packaging material ratio: 11.4%; no assessment for output material

Recycled input packaging mateiral ratio: 16.1%; no assessment for output material

100% recycled input and 100% reusable or biodegradable output material

8

Less than 5 % air freight in food

Status quo maintained

5% air freight in food export (by quantity)

Further capacity increase of waste recycling facility with nonorganic waste recycling ratio of 47%

Status quo maintained with non-organic waste recycling ratio of 42%

Support full waste recycling capacity and 100% non-organic waste recycling

9 8

SEKEM has reached 100% strict alignment and permanent monitoring for the sustainability strategy performance management and has implemented sustainability-based risk assessment, both big steps towards our vision for sustainable development. After the global financial crisis, SEKEM achieved the target of having between 15 and 20% growth in sales and (although not achieving the target of 10% profit margin) and has achieved to almost double its increase in profit margin. Innovation

8 8 9 8 9 9

continues to be a main focus of SEKEM and it still requires a lot of attention to reach the targets that were set in 2007. As for the eco-friendliness and socio-friendliness of the products, apart from an already implemented external-cost inclusion pricing, they have still some challenges to face, especially with the availability of eco-friendly packaging in Egypt. Customer relationships were improved through an implemented company hotline and improved management.

SEKEM Report on Sustainable Development 2010

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