Royal Cup Sustainability Report 2014
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Transcript of Royal Cup Sustainability Report 2014
2 0 1 5 S U S T A I N A B I L I T Y
R E P O R T
Royal Cup Coffee’s Core Values
A s a company committed to environmental awareness and socially responsible
practices, Royal Cup takes pride in constantly researching and developing products and solutions. Our goal is to help customers achieve their objectives, while providing solutions that are environmentally and socially responsible.
Quality
We sell quality products and services and are proud of our work.
Customer Driven
We are a 100% customer-driven company and strive to create customer advocates.
Integrity
We maintain high integrity in all interactions and treat everyone like we
would like to be treated.
Social Responsibility
We are good corporate citizens with a developed sense of social responsibility
and we give back to communities our time, talent, & resources.
Work for Fun & Profit
We are a profitable, growing company with a fun-loving spirit, and a great place to work.
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At Royal Cup, we measure sustainability success using
the Triple Bottom Line.
This framework captures an expanded
spectrum of values and criteria for
measuring organizational success by
Social Responsibility, Economic Stability
and Environmental Stewardship.
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SocialResponsibility
At Royal Cup, Corporate Social Responsibility (CSR) is central to our core values. We conduct business in an ethical and responsible way. We are investing in a number of initiatives to maintain our strong CSR position for the future.
Royal Cup is an active
member of the National
Coffee Association,
the Specialty Coffee
Association of America,
and World Coffee
Research.
Royal Cup is committed
to its partnership
with The Nature
Conservancy for over
20 years.
Royal Cup contributes
over 5% of pre-tax
profit dollars to various
charities and non-profit
organizations every
year. Our associates are
encouraged to give of
their time, talent and
money in support of
their local community
activities.
1 2 3
SuSta inable Sourc ing
EconomicStability
Royal Cup recognizes the necessity of a healthy economic state in order to positively influence the well being of our employees, partners, and customers. We recognize and promote strategies that spur creativity, innovation, and entrepreneurship throughout the organization, which facilitates the creation of shared knowledge that impacts business and industry.
Doing business in a sustainable and
transparent way is a requirement for
Royal Cup Coffee and those in our
supply chain. This is particularly true in
sourcing and production of coffee, and we
are an industry leader in this area.
We support certified sustainable
organizations such as the Rainforest
AllianceTM and Fair TradeTM USA, but
believe deeply that true sustainability in
an organization and its supply chain is
cultural, and we work towards this
every day.
We value all players in the supply chain
who share our values, whether they
be farmers, exporters & importers, or
brokers as they play critical roles in
the sourcing and logistics around
coffee roasting.
We Work with coffee farmers and
cooperatives to support them and ensure
a viable supply chain of high quality coffee
and improve the livelihoods of these
producers. We are at origin continually
during the year working to understand
farm conditions, building relationships,
and sourcing great coffee.
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EnvironmentalStewardship
Royal Cup realizes the importance of being a good corporate citizen. We strive to make choices that positively impact our workplace and community. We believe in operational excellence. Royal Cup is committed to working towards operating in the most efficient, sustainable manner.
royal Cup uses a regenerative
thermal oxidizer to reduce gas usage and
clean smoke from the roasting process.
royal Cup aCtively promotes a rebuilt
brewing equipment program. We recycle
all unused metal.
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We are Continuing to work with a
nationally recognized waste management
company to design a waste recycling
program for all Royal Cup facilities
nationwide. Once implemented, these
efforts will allow Royal Cup to divert 99%
of all waste from land fills.
our espresship Department partners
with UPS to achieve a carbon neutral
footprint for its entire line of business.
royal Cup is testing route technology
to improve efficiencies in fuel
consumption and vehicle emissions.
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OurGoals
Current Status
ProjectedStatus
2014 Goal Complete
Give 5% of pre-tax profits to charity Complete Will complete annually
100%
90% of headquarters employees donate to United Way
Not Complete
85% of headquarters
94%
Royal Cup encourages and supports employee volunteerism in our local communities
Complete Will complete annually
100%
Link all Royal Cup community involvement around the country and develop an interactive map highlighting the company’s service from coast to coast
In Progress Complete in 2015 10%
Obtain Certification from MWBE (Minority and Women Businesses) with the goal of increasing partnerships with women and minority-owned businesses at 10% per annum.
In Progress Complete in 2015 50%
2014 ResultsAgainst Stated Goals
Social
OurGoals
Current Status
ProjectedStatus
2014 Goal Complete
Increase output of Rainforest Alliance CertifiedTM coffee by 5%; from 3.5 million to 3.675 million pounds.
Complete Sold 4.3M lbs of roasted coffee in FY 2014
100%
Increase output of Fair Trade USA CertifiedTM coffee by 60% from 250,000 to 400,000 pounds.
Complete Sold 505,000 lbs of roasted coffee in FY 2014
100%
Increase output of Organic coffee by 15%. Complete Sold 188,000 lbs of roasted coffee in FY 2014
100%
Reduce energy consumption in all our facilities. In Progress Installed Motion Sensor Lights in HQ, Working to convert to LED Lighting
Ongoing
OurGoals
Current Status
ProjectedStatus
2014 Goal Complete
Strengthen and further define supply chain transparency program by working with importers, co–ops, and farmers in producing countries.
Complete Continue initiative every year
100%
Engage the Rainforest Alliance and Fair Trade Organization in an effort to identify cause marketing programs to help support specific projects on one or more farms from which we buy coffee.
In Progress Continue initiative every year
50%
Continue our investment in the World Coffee Research organization’s pivotal work on genetic, disease treatment and prevention, variety trials and other efforts.
Complete Will complete annually
100%
Be a great place to work by actively promoting from within, monitoring and measuring against diversity goals, and developing and promoting safety and wellness programs.
Complete Will complete annually
100%
Environmental
Economic
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baseD on the quality of our response to
CDP, Royal Cup was invited to attend the
launch party for CDP’s S&P 500 Climate
Change report on the floor of the New York
Stock Exchange.
CompleteD CDp’s Carbon Disclosure
Project. Royal Cup was a first responder
for CDP in Alabama, putting Royal Cup
at the forefront of Sustainability for
Alabama based companies.
CDp (Carbon DisClosure projeCt)
holds the largest and most comprehensive
collection globally of primary corporate
climate change, water and forest-risk
information. CDP works to drive action
by companies and cities to reduce
greenhouse gas emissions, safeguard
water resources and prevent the
destruction of forests. www.cdp.netroyal Cup sCoreD 85 out of 100 on
CDP. The average out of 3400 reporting
companies was 53.
2014Highlights
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finalizeD plans for a major facility
expansion at our Birmingham campus,
which will add over 40 jobs and
will have a $3+ million impact in
our community.
testing fleet management softWare
to increase efficiency and minimize
environmental impact.
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5 gave 5% of pre-tax profits to charity
in 2014.
paiD $154,874 in fair traDe premiums
directly to farmer cooperatives in
Ethiopia, Brazil, Honduras, and Mexico.
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Continue giving a minimum of 5% of
pre-tax profits to charity.
90% of heaDquarters employees
donate to United Way.
Develop Digital resourCes that help
demonstrate Royal Cup community
involvement around the country.
establish Corporate volunteer
program framework.
inCrease partnerships with MWBE
(Minority and Women Businesses)
Certified organizations by 10%
per annum.
2015 Sustainable GoalsSocial
1
2
4
3
5
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ContinueD investment in the World
Coffee Research organization’s pivotal
work on genetics, disease treatment
and prevention, variety trials, and
other efforts.
Contributions to support variety
trials of 15 different coffees.
royal Cup q-graDeD Cupper to
participate in Sensory Lexicon Panel
designed to develop industry adopted
terminology around coffee tasting.
Contributions earmarked for roya
(Coffee Rust) relief.
Clearly Define Royal Cup’s
philosophy regarding responsible green
coffee sourcing.
traCe Coffees from various origins
and tell the complete story from seed to
cup. Identify all players in the sourcing
process and define the value that each
touch point brings.
quantify the impaCt of Fair Trade
purchases at specific origins – Mexico,
Honduras, Ethiopia, and Brazil.
proviDe an annual upDate on the
sustainable initiatives at Royal Cup’s
largest Rainforest Alliance CertifiedTM
coffee farms.
Supply Chain Transparency World Coffee Research
2015 Sustainable GoalsEconomic
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ConDuCt the great plaCe to Work
Trust Index Employee Survey with a goal
of 70% participation.
better unDerstanD anD iDentify high
impact focus areas for improvement,
while referencing best practices employed
by Best Companies.
ConDuCt the great plaCe to Work
Workplace Culture Assessment which
identifies gaps between the culture
we intend to create and the one that
employees experience.
aD hoC group assigned to evaluate
findings from the Culture Assessment to
determine if our investments in specific
programs and employee benefits are
truly aligned with employee values
and interests.
Work With stuDents anD faCulty
at Emory’s Goizueta Business School to
develop a Cause Coffee product and launch
strategy. If successful, proceeds from
sales of this coffee will go directly to the
designated charity.
Cause CoffeeGreat Place to Work 43
14 15
install light timers throughout the
Birmingham campus public facilities
(break rooms, restrooms, etc.).
reDuCe eleCtriCity Consumption in
our manufacturing facility and corporate
office by using high efficiency LED
lighting to achieve kWh usage savings of
approximately 750,000 kilowatt hours
annually by 2017.
implement a Waste removal program
for all Royal Cup facilities nationwide
with the goal of diverting 99.9% of the
waste away from a land fill by 2018.
strengthen eleCtroniC CommerCe
capabilities to reduce paper usage.
Work toWarDs eliminating the use of
Styrofoam in the corporate office.
Reduce Carbon Footprint
Reduce Energy Consumption
2015 Sustainable GoalsEnvironmental
1
2
expanD the usage of a fleet management
software to increase the efficiency of the
route system.
replaCe fleet vehiCles with more fuel
efficient vehicles.
Continue to replaCe passenger
minivans with smaller vehicles resulting
in 33% fuel savings annually.
Work Towards a More Environmentally Friendly Fleet
Continue to Work Towards CDP Goals
Increase Output of Sustainable Coffees
Complete CDp’s Carbon Disclosure
annually and continue to improve
our score.
Rainforest AllianceTM, Fair Trade USATM,
USDA OrganicTM
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