SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing...

55
SUSTAINABILITY REPORT 2013

Transcript of SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing...

Page 1: SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives

S U S T A I N A B I L I T Y R E P O R T 2 0 1 3

Page 2: SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives

Content

EXECUTIVE

SUMMARY

• Group Chief Executive O�cer’s Message 04

• Chief Sustainability O�cer’s Message 05

• Vision, Mission & Values 06

ORGANIZATIONAL

PROFILE

• Ownership & Legal Form 08

• Locations 08

• Number of Employees 09

• Primary Brands, Products & Services 10

• Market Presence & Industry Served 11

• Our Product Impact 12

ACT SUSTAINABLY

• Sustainability at Emery Oleochemicals 14

• Sustainability Commitments 17

• Responsible Production 20

• Stakeholder Engagement 21

• Materiality 22

• Participation in External Sustainability Initiatives 24

SUSTAINABLE

PRODUCTS

• RSPO 26

• Innovation 28

• Responsible Sourcing 32

SUSTAINABILITY

DASHBOARD

• Habitability 36

• Prosperity 45

• Profitability 49

Page 3: SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives

The Act Sustainably logo has two key components :

1] The infinity symbol represents “what being sustainable is” - continuous innovation to meet the needs of today without compromising the needs of the future.

2] The three colours represent the environmental, social and economic triple bottom line. Where they converge is where we want to be : the equilibrium in balancing habitability, prosperity and profitability.

Page 4: SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives

EXEC UTIVE SUMMARY

Page 5: SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives

Chief Sustainability O�cer’sMessage

Dear Readers, 2013 has been a year of transition for our sustainability journey. Building on our sustainability strategy, we are now identifying tangible long term sustainability targets and implementing sustainability initiatives that would impact our triple bottom line performance. With a focus on improving key sustainability performance within our operations, supply chain and products we continue to do our best to demonstrate our unflinching commitment in being a global responsible corporate citizen. Amongst others, we have initiated ways to improve our environmental footprint in all our manufacturing sites, we have developed our Responsible Sourcing Guide to work with our suppliers and actively embarked on producing RSPO certified products. Reflecting on our Sustainability Dashboard, we have seen positive improvements in various initiatives that further strengthens our aspiration for sustainability to be a business as usual philosophy within Emery Oleochemicals. We have marked increase in our green energy usage with our biogas facility and improvement in our water consumption and treatment footprint.

However, there remain areas of improvement of which we will continue to monitor and aspire to better year on year. As our Act Sustainability logo suggests, our sustainability journey is a continuous loop. With each achievement and improvement we set the bar higher so that we are able to innovate the ways we balance the consumption of finite resources and in meeting our business goals. Key to this innovation is enabling all our stakeholders, especially our people and partners to think and behave in a sustainable manner.

Today, we have sown those seeds and are confident we will soon reap the benefits of being a sustainable company with a sustainable and responsible organisation culture. Finally, I would like to thank all my colleagues, business partners, suppliers and stakeholders for driving us in becoming a sustainable and responsible organisation.

Let us continue to act sustainably!

Hans Peter Eckardt

Group Chief Executive O�cer’sMessage

When Emery Oleochemicals was founded in 1840, so did our journey in innovating in the area of natural-based chemicals. We went from manufacturing tallow candles to glycerine for soap manufacturing and wool yarn lubrication in under a decade. To put things into perspective, Thomas Edison’s incandescent lamp came about some four decades from when Thomas Emery Sr’s production of candles began. By 1860, we controlled some 75% of the wool lubricant market, followed by the introduction of emulsions – early forerunners of today’s broad line of surfactants.

Our unending commitment to discovering, innovating and leveraging the unique chemistries of natural-based chemicals provided the growth opportunity, and as we grew, so did the requirements of our key stakeholders. Customers sought products that allowed them to manufacture more efficiently, enhance product development in the making of cutting-edge industrial and consumer goods to become successful in their own right. Employees, on the other hand, placed importance in continuing the tradition instilled by the Emery founding family; to provide a safe working environment, be good and fair employers and to be good neighbours within the community we operate in.

Today, as global provider of natural-based chemicals that cater to the needs of high-growth sectors; we are proud to have extended our innovative renewable-based portfolio to include products that are Roundtable for Sustainable Palm Oil (RSPO) Supply Chain System Certified for

Segregated (SG) and Mass Balance (MB). As one of the few manufacturers of SG chemicals in the world, this in-demand product development typifies Emery Oleochemicals’ sustainability vision of balancing planet habitability, people prosperity and financial profitability and furthers our aspirations in providing solutions that are capable of addressing global issues such as rising landfill waste and carbon emissions while simultaneously delivering on high-performance.

In being a committed organisation, we have come a long way to ‘act sustainably’ and have built a stronger link in our global sustainable supply chain through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives surrounding green energy usage such as our biogas facility and improvement in our water consumption and treatment footprint.

As we continue our sustainability journey, we will invest with the aim of making life better for the current and future generations through a holistic commitment that go beyond creating economic value for our stakeholders. I thank you for your support in upholding Emery Oleochemicals’ sustainability vision.

Best regards,

Dr. Kongkrapan IntarajangGroup CEO Emery Oleochemicals

Kongkrapan Intarajang

S U S TA I N A B I L I T Y R E P O RT 2 0 1 3

04

Page 6: SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives

Chief Sustainability O�cer’sMessage

Dear Readers, 2013 has been a year of transition for our sustainability journey. Building on our sustainability strategy, we are now identifying tangible long term sustainability targets and implementing sustainability initiatives that would impact our triple bottom line performance. With a focus on improving key sustainability performance within our operations, supply chain and products we continue to do our best to demonstrate our unflinching commitment in being a global responsible corporate citizen. Amongst others, we have initiated ways to improve our environmental footprint in all our manufacturing sites, we have developed our Responsible Sourcing Guide to work with our suppliers and actively embarked on producing RSPO certified products. Reflecting on our Sustainability Dashboard, we have seen positive improvements in various initiatives that further strengthens our aspiration for sustainability to be a business as usual philosophy within Emery Oleochemicals. We have marked increase in our green energy usage with our biogas facility and improvement in our water consumption and treatment footprint.

However, there remain areas of improvement of which we will continue to monitor and aspire to better year on year. As our Act Sustainability logo suggests, our sustainability journey is a continuous loop. With each achievement and improvement we set the bar higher so that we are able to innovate the ways we balance the consumption of finite resources and in meeting our business goals. Key to this innovation is enabling all our stakeholders, especially our people and partners to think and behave in a sustainable manner.

Today, we have sown those seeds and are confident we will soon reap the benefits of being a sustainable company with a sustainable and responsible organisation culture. Finally, I would like to thank all my colleagues, business partners, suppliers and stakeholders for driving us in becoming a sustainable and responsible organisation.

Let us continue to act sustainably!

Hans Peter Eckardt

S U S TA I N A B I L I T Y R E P O RT 2 0 1 3

Group Chief Executive O�cer’sMessage

When Emery Oleochemicals was founded in 1840, so did our journey in innovating in the area of natural-based chemicals. We went from manufacturing tallow candles to glycerine for soap manufacturing and wool yarn lubrication in under a decade. To put things into perspective, Thomas Edison’s incandescent lamp came about some four decades from when Thomas Emery Sr’s production of candles began. By 1860, we controlled some 75% of the wool lubricant market, followed by the introduction of emulsions – early forerunners of today’s broad line of surfactants.

Our unending commitment to discovering, innovating and leveraging the unique chemistries of natural-based chemicals provided the growth opportunity, and as we grew, so did the requirements of our key stakeholders. Customers sought products that allowed them to manufacture more efficiently, enhance product development in the making of cutting-edge industrial and consumer goods to become successful in their own right. Employees, on the other hand, placed importance in continuing the tradition instilled by the Emery founding family; to provide a safe working environment, be good and fair employers and to be good neighbours within the community we operate in.

Today, as global provider of natural-based chemicals that cater to the needs of high-growth sectors; we are proud to have extended our innovative renewable-based portfolio to include products that are Roundtable for Sustainable Palm Oil (RSPO) Supply Chain System Certified for

Segregated (SG) and Mass Balance (MB). As one of the few manufacturers of SG chemicals in the world, this in-demand product development typifies Emery Oleochemicals’ sustainability vision of balancing planet habitability, people prosperity and financial profitability and furthers our aspirations in providing solutions that are capable of addressing global issues such as rising landfill waste and carbon emissions while simultaneously delivering on high-performance.

In being a committed organisation, we have come a long way to ‘act sustainably’ and have built a stronger link in our global sustainable supply chain through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives surrounding green energy usage such as our biogas facility and improvement in our water consumption and treatment footprint.

As we continue our sustainability journey, we will invest with the aim of making life better for the current and future generations through a holistic commitment that go beyond creating economic value for our stakeholders. I thank you for your support in upholding Emery Oleochemicals’ sustainability vision.

Best regards,

Dr. Kongkrapan IntarajangGroup CEO Emery Oleochemicals

Kongkrapan Intarajang

05

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Since being founded in 1840, Emery Oleochemicals has evolved to be a leader in the production of high quality, natural-based chemicals. Today, we remain a beacon of innovation, quality and success. This continued leadership is the result of staying true to our vision, mission and values.

We believe that tomorrow's world will be shaped by all that we do today. As we continue to succeed as a business in the coming years, we are guided by our purpose as a company. And in creating value, we are committed to achieving sustainable, quality growth.

For Emery Oleochemicals, our corporate values outline the way we do business. It is never good enough to just do business; rather we endlessly aspire to practice ethical business, stemming from our values and our code of conduct that creates principles for all our stakeholders. All employees are required to understand, sign, practice and adhere to our Code of Conduct at all times.

Our Human Resource Department ensures that our global employees are provided regular awareness and acceptance sessions on our corporate values – on how to internalise and link our values to our everyday work. As part of the internalising process, our behaviours are tied into our performance appraisal, making it a basic requirement to succeed in anything that we do.

Furthermore, all senior managers are required to submit an annual Letter of Representation to provide assurance and due diligence that every action under their influence is being conducted with adherence to our code of conduct and values expectation. Direct and open communication mechanisms are also put in place to encourage reporting of any non-compliance issues, so that actions can be taken on an immediate basis.

By combining science and innovation in implementing operational best practices throughout our international network, Emery Oleochemicals believes that through our understanding of our customers’ business needs and changing societal requirements, we are able to exceed their expectations and continuously create new business value. As we advance the skills necessary for us to be the world’s leader in natural-based chemicals, our core values and established business governance ensures that we operate responsibly, therefore ensuring a long-term sustainable future for our employees, business partners, community and investors.

After all, we are committed to building a brand that embraces innovation, diversity and quality that spans the spectrum of products and services we o�er.

Vision, Mission & Values

To Become The World Leader In Value Added Natural-based Chemicals.

Our VisionStatement

OurCore Values

S U S TA I N A B I L I T Y R E P O RT 2 0 1 3

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Page 8: SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives

Since being founded in 1840, Emery Oleochemicals has evolved to be a leader in the production of high quality, natural-based chemicals. Today, we remain a beacon of innovation, quality and success. This continued leadership is the result of staying true to our vision, mission and values.

We believe that tomorrow's world will be shaped by all that we do today. As we continue to succeed as a business in the coming years, we are guided by our purpose as a company. And in creating value, we are committed to achieving sustainable, quality growth.

For Emery Oleochemicals, our corporate values outline the way we do business. It is never good enough to just do business; rather we endlessly aspire to practice ethical business, stemming from our values and our code of conduct that creates principles for all our stakeholders. All employees are required to understand, sign, practice and adhere to our Code of Conduct at all times.

Our Human Resource Department ensures that our global employees are provided regular awareness and acceptance sessions on our corporate values – on how to internalise and link our values to our everyday work. As part of the internalising process, our behaviours are tied into our performance appraisal, making it a basic requirement to succeed in anything that we do.

Furthermore, all senior managers are required to submit an annual Letter of Representation to provide assurance and due diligence that every action under their influence is being conducted with adherence to our code of conduct and values expectation. Direct and open communication mechanisms are also put in place to encourage reporting of any non-compliance issues, so that actions can be taken on an immediate basis.

By combining science and innovation in implementing operational best practices throughout our international network, Emery Oleochemicals believes that through our understanding of our customers’ business needs and changing societal requirements, we are able to exceed their expectations and continuously create new business value. As we advance the skills necessary for us to be the world’s leader in natural-based chemicals, our core values and established business governance ensures that we operate responsibly, therefore ensuring a long-term sustainable future for our employees, business partners, community and investors.

After all, we are committed to building a brand that embraces innovation, diversity and quality that spans the spectrum of products and services we o�er.

Vision, Mission & Values

To Become The World Leader In Value Added Natural-based Chemicals.

Our VisionStatement

OurCore Values

ORGANISATIONAL PROFILE

Page 9: SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives

Number of Employees

Total Number of Employees

820 194

Global

2013 1,014

2012 966 782 184

217 35

North America

2013252

211 332012

244

245 62

European Union

2013307

268 722012

340

358 97

Asia Pacific

2013455

303 792012

382

NORTHAMERICA

EU

ASIA PAC

Number of employees in :

79%

78%

2013

2012

801

755

Non-Managerial Positions

21%

22%

2013

2012

213

211

Managerial Positions % of local citizens who are employees

98.5% 99.3%

2013 2012

2013 2012

% of women employees in managerial positions

29.5% 28.9%

Emery Oleochemicals is a joint venture between Sime Darby Plantation and PTT Global Chemicals. Both our shareholders own a 50:50 stake. With a global sales footprint, we are headquartered in Malaysia, with global operations in Germany, USA and Malaysia. This report is produced based on 'in accordance' - Core GRI G4 Reporting Principles, for the year 2013 and covers disclosure for our major manufacturing sites located in Malaysia, Germany & USA.

Ownership and Legal Form

Location

International Offices(Production, Sales & Marketing and Technical Development Centres)

USA

Germany

Malaysia

Emery Oleochemicals (M) Sdn BhdTelok Panglima GarangLot 4, Jalan Perak Kawasan PerusahaanTelok Panglima Garang 42500Selangor, Malaysia

Emery Oleochemicals LLC4900 Este Avenue45232 Cincinnati,Ohio, USA

Emery Oleochemicals GmbHHenkelstr. 67, Building L1040589 Düsseldorf, Germany

Emery Oleochemicals LoxstedtHelmut-Neynaber Str. 4927612 Loxstedt, Germany

Emery Oleochemicals GroupLevel 5, Building E, Peremba SquareSaujana Resort, Section U2 40150 Shah Alam, Selangor, Malaysia

Emery Oleochemicals HQ

S U S TA I N A B I L I T Y R E P O RT 2 0 1 3

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Page 10: SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives

Number of Employees

Total Number of Employees

820 194

Global

2013 1,014

2012 966 782 184

217 35

North America

2013252

211 332012

244

245 62

European Union

2013307

268 722012

340

358 97

Asia Pacific

2013455

303 792012

382

NORTHAMERICA

EU

ASIA PAC

Number of employees in :

79%

78%

2013

2012

801

755

Non-Managerial Positions

21%

22%

2013

2012

213

211

Managerial Positions % of local citizens who are employees

98.5% 99.3%

2013 2012

2013 2012

% of women employees in managerial positions

29.5% 28.9%

Emery Oleochemicals is a joint venture between Sime Darby Plantation and PTT Global Chemicals. Both our shareholders own a 50:50 stake. With a global sales footprint, we are headquartered in Malaysia, with global operations in Germany, USA and Malaysia. This report is produced based on 'in accordance' - Core GRI G4 Reporting Principles, for the year 2013 and covers disclosure for our major manufacturing sites located in Malaysia, Germany & USA.

Ownership and Legal Form

Location

International Offices(Production, Sales & Marketing and Technical Development Centres)

USA

Germany

Malaysia

Emery Oleochemicals (M) Sdn BhdTelok Panglima GarangLot 4, Jalan Perak Kawasan PerusahaanTelok Panglima Garang 42500Selangor, Malaysia

Emery Oleochemicals LLC4900 Este Avenue45232 Cincinnati,Ohio, USA

Emery Oleochemicals GmbHHenkelstr. 67, Building L1040589 Düsseldorf, Germany

Emery Oleochemicals LoxstedtHelmut-Neynaber Str. 4927612 Loxstedt, Germany

Emery Oleochemicals GroupLevel 5, Building E, Peremba SquareSaujana Resort, Section U2 40150 Shah Alam, Selangor, Malaysia

Emery Oleochemicals HQ

S U S TA I N A B I L I T Y R E P O RT 2 0 1 3

09

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Market Presence & Industries ServedPrimary Brands, Products & ServicesFurthering your product development needs with customised natural-based solutions.

Through a global operation that spans three regions: Asia Pacific, Europe and North America; we provide customers with best-in-class renewable solutions recognised for its ability to improve processing e�ciencies, deliver outstanding technical performance and enhance environmental safety. Our products, derived from renewable resources are predominantly made from natural oils and fats such as palm kernel oil and tallow. From commodity chemicals to semi-specialty to specialty chemicals, we are able to meet your specific application needs in many high-growth sectors such as home and personal care, construction, automotive, lubricants, packaging, food and beverage, pharmaceutical, textiles, electrical and electronics, and agriculture.

Additionally, through our focus in research and technological advancements, we are poised to provide you, di�erentiated, customisable and innovative solutions. Backed by our regional Technical Development Centres, Emery

Oleochemicals is in the position to further support both exclusive and joint solutions development e�orts with our customers. Together, we aim to bring our business closer to the high-growth marketplace, leveraging our pipeline of renewable resources, global operations, market insights and oleobasics capabilities.

Emery Oleochemicals’ solutions portfolio spans six business units, providing you with over 3,000 products and a growing base of leading product brands. Today, our expanded portfolio includes products that are Roundtable for Sustainable Palm Oil (RSPO) Supply Chain System Certified for Segregated (SG) and Mass Balance (MB).

In remaining committed to producing e�ective renewable and sustainable solutions that contribute towards the development of more e�cient end user goods and industrial products for our customers; our natural-based solutions are o�ered through the following business units:

S U S TA I N A B I L I T Y R E P O RT 2 0 1 3

10

Page 12: SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives

Market Presence & Industries ServedPrimary Brands, Products & ServicesFurthering your product development needs with customised natural-based solutions.

Through a global operation that spans three regions: Asia Pacific, Europe and North America; we provide customers with best-in-class renewable solutions recognised for its ability to improve processing e�ciencies, deliver outstanding technical performance and enhance environmental safety. Our products, derived from renewable resources are predominantly made from natural oils and fats such as palm kernel oil and tallow. From commodity chemicals to semi-specialty to specialty chemicals, we are able to meet your specific application needs in many high-growth sectors such as home and personal care, construction, automotive, lubricants, packaging, food and beverage, pharmaceutical, textiles, electrical and electronics, and agriculture.

Additionally, through our focus in research and technological advancements, we are poised to provide you, di�erentiated, customisable and innovative solutions. Backed by our regional Technical Development Centres, Emery

Oleochemicals is in the position to further support both exclusive and joint solutions development e�orts with our customers. Together, we aim to bring our business closer to the high-growth marketplace, leveraging our pipeline of renewable resources, global operations, market insights and oleobasics capabilities.

Emery Oleochemicals’ solutions portfolio spans six business units, providing you with over 3,000 products and a growing base of leading product brands. Today, our expanded portfolio includes products that are Roundtable for Sustainable Palm Oil (RSPO) Supply Chain System Certified for Segregated (SG) and Mass Balance (MB).

In remaining committed to producing e�ective renewable and sustainable solutions that contribute towards the development of more e�cient end user goods and industrial products for our customers; our natural-based solutions are o�ered through the following business units:

S U S TA I N A B I L I T Y R E P O RT 2 0 1 3

11

Page 13: SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives

All our products adhere to various local and international laws and regulations. However, we do take a precautionary approach in whom we sell our products to. Our sales system is configured to highlight any dubious party that may be trying to purchase our products. To avoid discrimination the dubious customer list is provided by sanctioned governmental institutions.

Our products are compliant to REACH regulations and are provided with Safety Data Sheets that highlight health and safety impact of the product. For our products that enter the food industry, Halal and Kosher products are also o ered, ensuring their safety and purity to be used as food additives. In this reporting period, we have had no cases of non-compliance incidents to expected regulatory standards of our products.

Our Product Impact

Although we are Business to Business (B2B) in nature, our solutions appear in many everyday products available to end users. Being renewable feedstock

based provides several competitive advantages for our product rangeand they primarily are:

Viable alternative to non-renewable based derivatives with equal or better performance capabilities

Some of our end products are recyclable thus extending usability life and reducing carbon footprint

Greener and safer products to both environment and users due to natural-based ingredients

S U S TA I N A B I L I T Y R E P O RT 2 0 1 3

12

Page 14: SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives

All our products adhere to various local and international laws and regulations. However, we do take a precautionary approach in whom we sell our products to. Our sales system is configured to highlight any dubious party that may be trying to purchase our products. To avoid discrimination the dubious customer list is provided by sanctioned governmental institutions.

Our products are compliant to REACH regulations and are provided with Safety Data Sheets that highlight health and safety impact of the product. For our products that enter the food industry, Halal and Kosher products are also o ered, ensuring their safety and purity to be used as food additives. In this reporting period, we have had no cases of non-compliance incidents to expected regulatory standards of our products.

Our Product Impact

Although we are Business to Business (B2B) in nature, our solutions appear in many everyday products available to end users. Being renewable feedstock

based provides several competitive advantages for our product rangeand they primarily are:

Viable alternative to non-renewable based derivatives with equal or better performance capabilities

Some of our end products are recyclable thus extending usability life and reducing carbon footprint

Greener and safer products to both environment and users due to natural-based ingredients

ACT SUSTAINABLY

Page 15: SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives

4Ensuring Sustainable Product Stewardship

to o�er products that protect environmental and societal interest whilst contributing to profitability.

3Embedding Sustainable Supply Chains

to transition sustainable practices into an e�cient and responsible supply chain management system.

2Future Proofing our Environment

to respect and protect the environment and biodiversity around us and strive to continuously reduce our ecological footprint.

Our innovation approach broadly encompasses new and improved policies, procedures and processes to ensure development of newer, better and innovative products that meet highest sustainability standards. In terms of sustainability, we aim to move from merely compliance, to industry best practice and setting the standards for others to emulate. In doing so, we continue to invest in innovative

solutions to ensure that all impacts to the planet, the people, and the profitability of our organization are accounted for.

Our sustainability model of achieving planet habitability, people prosperity and financial profitability are focused on four specific sustainability pillars :

PERFORMANCE

QUALITY

SUSTAINABILITY

INNOVATIVENESS

COMPETITIVENESS

“In our complex business of oleochemicals derivatives, we believe that our business must ‘act sustainably’ to create value and, sustained value at that so as to be the preferred long term partner to our employees, customers, community and shareholders. Therefore, we have a responsibility to produce e�ective renewable and sustainable solutions that contribute towards the development of more e�cient end user goods and industrial products with minimum environmental footprint in the process.”

Dr Kongkrapan Intarajang, Group CEO, Emery Oleochemicals

1Being a Preferred Partner

to create, nurture and maintain strategic partnerships with key stakeholders to meet and advance sustainability agendas.

Sustainability at Emery Oleochemicals

“Act Sustainably is a rallying call to our people to consider the sustainable impact of their decisions and what they can do to contribute to a better world.”

Businesses today are faced with the daunting challenge of ensuring development that meets the needs of the present without compromising future abilities. Whilst short-term economic gain could be achieved, a failure to account for social and environmental impacts would make those business practices unsustainable. At Emery Oleochemicals, corporate sustainability is a business approach that creates long-term stakeholder value by taking into consideration of how we operate in the environment, social and economic dimensions. It also enables us to formulate strategies to be an organisation that fosters longevity through transparency and proper stakeholder engagements.

Echoing our vision to become the world leader in value added natural-based chemicals, our sustainability approach subscribes to a philosophy to “ACT SUSTAINABLY”, where our actions across the board aim to deliver a more sustainable approach for our long term goals and day-to-day behaviours. Act Sustainably is a rallying call to our people to consider the sustainable impact of their decisions and what they can do to contribute to a better world. It means carrying out our business in a socially responsible and holistic manner.

This is to ensure continued growth as well as success for the benefit of present and future generations where we operate. We are also committed to strengthening our sustainability agenda in line with industry and stakeholder expectations. We embrace responsible management and operational practices, policies and procedures that complement as well as accelerate business performance and delivery.

Driven by our sustainability vision : to grow and create value by acting sustainably to achieve planet habitability, people prosperity and financial profitability, we continually strive to achieve a delicate balance by ensuring world class quality and guaranteed performance, are achieved without sacrificing sustainability credentials. This “triple helix” of quality, performance, and sustainability underlines our commitment to delivering more while consuming less. We understand that the only way to achieve this is by balancing the act to produce innovative and a�ordable solutions.

S U S TA I N A B I L I T Y R E P O RT 2 0 1 3

14

Page 16: SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives

4Ensuring Sustainable Product Stewardship

to o�er products that protect environmental and societal interest whilst contributing to profitability.

3Embedding Sustainable Supply Chains

to transition sustainable practices into an e�cient and responsible supply chain management system.

2Future Proofing our Environment

to respect and protect the environment and biodiversity around us and strive to continuously reduce our ecological footprint.

Our innovation approach broadly encompasses new and improved policies, procedures and processes to ensure development of newer, better and innovative products that meet highest sustainability standards. In terms of sustainability, we aim to move from merely compliance, to industry best practice and setting the standards for others to emulate. In doing so, we continue to invest in innovative

solutions to ensure that all impacts to the planet, the people, and the profitability of our organization are accounted for.

Our sustainability model of achieving planet habitability, people prosperity and financial profitability are focused on four specific sustainability pillars :

PERFORMANCE

QUALITY

SUSTAINABILITY

INNOVATIVENESS

COMPETITIVENESS

“In our complex business of oleochemicals derivatives, we believe that our business must ‘act sustainably’ to create value and, sustained value at that so as to be the preferred long term partner to our employees, customers, community and shareholders. Therefore, we have a responsibility to produce e�ective renewable and sustainable solutions that contribute towards the development of more e�cient end user goods and industrial products with minimum environmental footprint in the process.”

Dr Kongkrapan Intarajang, Group CEO, Emery Oleochemicals

1Being a Preferred Partner

to create, nurture and maintain strategic partnerships with key stakeholders to meet and advance sustainability agendas.

Sustainability at Emery Oleochemicals

“Act Sustainably is a rallying call to our people to consider the sustainable impact of their decisions and what they can do to contribute to a better world.”

Businesses today are faced with the daunting challenge of ensuring development that meets the needs of the present without compromising future abilities. Whilst short-term economic gain could be achieved, a failure to account for social and environmental impacts would make those business practices unsustainable. At Emery Oleochemicals, corporate sustainability is a business approach that creates long-term stakeholder value by taking into consideration of how we operate in the environment, social and economic dimensions. It also enables us to formulate strategies to be an organisation that fosters longevity through transparency and proper stakeholder engagements.

Echoing our vision to become the world leader in value added natural-based chemicals, our sustainability approach subscribes to a philosophy to “ACT SUSTAINABLY”, where our actions across the board aim to deliver a more sustainable approach for our long term goals and day-to-day behaviours. Act Sustainably is a rallying call to our people to consider the sustainable impact of their decisions and what they can do to contribute to a better world. It means carrying out our business in a socially responsible and holistic manner.

This is to ensure continued growth as well as success for the benefit of present and future generations where we operate. We are also committed to strengthening our sustainability agenda in line with industry and stakeholder expectations. We embrace responsible management and operational practices, policies and procedures that complement as well as accelerate business performance and delivery.

Driven by our sustainability vision : to grow and create value by acting sustainably to achieve planet habitability, people prosperity and financial profitability, we continually strive to achieve a delicate balance by ensuring world class quality and guaranteed performance, are achieved without sacrificing sustainability credentials. This “triple helix” of quality, performance, and sustainability underlines our commitment to delivering more while consuming less. We understand that the only way to achieve this is by balancing the act to produce innovative and a�ordable solutions.

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15

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Emery Oleochemicals recognises its responsibility to conduct business in a way that protects and improves the state of the environment for future generations. As a global firm, we understand that the long-term wellbeing of society, the wellbeing of our employees, the strength of the global economy, and the continuing success of our own business depend on our commitment to a sustainable environment.

Emery Oleochemicals has for many years conducted business and implemented strategic and

operational decisions with environmental sustainability as a core corporate principle, and we have now elevated this principle as an integral part of our business agenda. We are rea�rming our commitment to integrate environmentally friendly policies and practices into our organization by operating in a manner that promotes energy and materials conservation, as well as waste reduction. We are also committed to assisting our clients in analyzing, reducing, and managing their own environmental impact and risks.

Sustainability CommitmentsThe core to our principles in being sustainable is for us to act sustainably. In order for us to create greater value for our internal and external stakeholders, our approach based on the 4 sustainability pillars enables more innovative solutions and products with a keen eye on maintaining competitiveness in the industry whilst taking steps for the future. Emery Oleochemicals prides itself on aspiring to achieve the ‘gold standard’ of sustainability in the natural-based chemicals industry.

We are committed to do business that is ethical and valuable to people and planet. Our foundation is built on values that distinguish and direct us towards acting sustainably to achieve planet habitability, people prosperity and financial profitability. All our sustainability actions are governed by our Sustainability Steering Committee, which is led by our Group Chief Executive O�cer and Chief Sustainability O�cer.

“We grow and create value by acting sustainably to achieve planet habitability, people prosperity and

financial profitability ”

Create, nurture and maintain strategic

partnerships with key stakeholders to

meet and advance sustainability

agendas

Respect and protect the environment and biodiversity around

us and strive to continuously reduce

our ecological footprint

Transition sustainable practices into an efficient and responsible supply chain management

system

Offer products that protect

environmental and societal interest

whilst contributing to profitability

PARTNERSHIP TRUSTCOMPETITIVEADVANTAGE INNOVATION

Co

reV

alu

es

Sust

ain

abil

ity

Pill

ars

Def

init

ion

Being aPreferred

Partner

FutureProofing OurEnvironment

EmbeddingSustainable

SupplyChains

EnsuringSustainable

ProductStewardship

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16

Page 18: SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives

Emery Oleochemicals recognises its responsibility to conduct business in a way that protects and improves the state of the environment for future generations. As a global firm, we understand that the long-term wellbeing of society, the wellbeing of our employees, the strength of the global economy, and the continuing success of our own business depend on our commitment to a sustainable environment.

Emery Oleochemicals has for many years conducted business and implemented strategic and

operational decisions with environmental sustainability as a core corporate principle, and we have now elevated this principle as an integral part of our business agenda. We are rea�rming our commitment to integrate environmentally friendly policies and practices into our organization by operating in a manner that promotes energy and materials conservation, as well as waste reduction. We are also committed to assisting our clients in analyzing, reducing, and managing their own environmental impact and risks.

Sustainability CommitmentsThe core to our principles in being sustainable is for us to act sustainably. In order for us to create greater value for our internal and external stakeholders, our approach based on the 4 sustainability pillars enables more innovative solutions and products with a keen eye on maintaining competitiveness in the industry whilst taking steps for the future. Emery Oleochemicals prides itself on aspiring to achieve the ‘gold standard’ of sustainability in the natural-based chemicals industry.

We are committed to do business that is ethical and valuable to people and planet. Our foundation is built on values that distinguish and direct us towards acting sustainably to achieve planet habitability, people prosperity and financial profitability. All our sustainability actions are governed by our Sustainability Steering Committee, which is led by our Group Chief Executive O�cer and Chief Sustainability O�cer.

“We grow and create value by acting sustainably to achieve planet habitability, people prosperity and

financial profitability ”

Create, nurture and maintain strategic

partnerships with key stakeholders to

meet and advance sustainability

agendas

Respect and protect the environment and biodiversity around

us and strive to continuously reduce

our ecological footprint

Transition sustainable practices into an efficient and responsible supply chain management

system

Offer products that protect

environmental and societal interest

whilst contributing to profitability

PARTNERSHIP TRUSTCOMPETITIVEADVANTAGE INNOVATION

Co

reV

alu

es

Sust

ain

abil

ity

Pill

ars

Def

init

ion

Being aPreferred

Partner

FutureProofing OurEnvironment

EmbeddingSustainable

SupplyChains

EnsuringSustainable

ProductStewardship

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17

Page 19: SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives

Our sustainability programme and targets have four key components:

Our commitment to take action to reduce sustainability risks of our own and partners' activities by institutionalising our "Act Sustainably" philosophy, ensuring that our own supply chains endeavor to operate in a sustainable manner.01

Our commitment to produce innovative and a�ordable sustainable derivatives and ingredients that contribute to sustainable products, and solutions that help our clients with their own sustainability challenges, and to support them with opportunities where issues are present.

02

Our commitment to create a culture of responsible and sustainable practices for our internal and external stakeholders to meet our short term and midterm targets. Our core values foster an environment dedicated to integrity, mutual respect and social responsibility. With a team-oriented approach and passion for what we do, Emery Oleochemicals’ employees use their experience and technical expertise to develop, produce and support specialised, innovative, value-adding products and services.

04

Our commitment to build a business model that consciously seeks to reduce our environmental footprint and continuously endeavours to transition into ‘clean manufacturing’ processes. 03

As a global organisation with a diverse workforce of more than 1,000 people and an extensive distribution network covering over 50 countries, Emery Oleochemicals will continue to work to develop and implement environmentally responsible business practices throughout its organisation and strive for the sustainable growth of both its own and its clients' businesses. We encourage our employees and all stakeholders to join us in the journey by supporting and furthering our sustainability e�orts.

2015

Establish 3 programmes that further strengthens Emery Oleochemicals’ responsible business mindset and practices with a focus on internal stakeholders.

2017

Establish 3 key initiatives that embed a culture of sustainability and responsible business within internal and external stakeholders and create win-win partnerships.

2015

Increase the uptake of sustainable palm products by o�ering commercially viable RSPO MB & SG Grade solutions.

2017

Produce 5 innovative solutions that improve environmental & social impact whilst increasing profitability.

Growing our business responsibly and continuously striving to improve financial performance has led to the longterm success at Emery Oleochemicals. We are firmly rooted in our commitment to financial responsibility, providing a stable business for employment and the economy, and to provide a better world for future generations.

Concern and caring for current and future generations is a critical part of sustainability.

Investing in employee education, training, health and wellness and plant safety are some of the ways we make a di�erence. By living our core values and providing opportunities to others, we impact many communities - and many countries - in positive ways, helping to ensure the sustainability of our business, employees, customers and fellow global citizens. With this in mind we have set ourselves our sustainability targets:

SUPPLY CHAINS

SUSTAINABLE PRODUCTS

PARTNERSHIPS

2015

50% key suppliers self-audited against Sourcing with Respect Guidelines

2017

100% key suppliers self-audited against Sourcing with Respect Guidelines

Being the strongest sustainable link in global supply chains

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18

Page 20: SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives

Our sustainability programme and targets have four key components:

Our commitment to take action to reduce sustainability risks of our own and partners' activities by institutionalising our "Act Sustainably" philosophy, ensuring that our own supply chains endeavor to operate in a sustainable manner.01

Our commitment to produce innovative and a�ordable sustainable derivatives and ingredients that contribute to sustainable products, and solutions that help our clients with their own sustainability challenges, and to support them with opportunities where issues are present.

02

Our commitment to create a culture of responsible and sustainable practices for our internal and external stakeholders to meet our short term and midterm targets. Our core values foster an environment dedicated to integrity, mutual respect and social responsibility. With a team-oriented approach and passion for what we do, Emery Oleochemicals’ employees use their experience and technical expertise to develop, produce and support specialised, innovative, value-adding products and services.

04

Our commitment to build a business model that consciously seeks to reduce our environmental footprint and continuously endeavours to transition into ‘clean manufacturing’ processes. 03

As a global organisation with a diverse workforce of more than 1,000 people and an extensive distribution network covering over 50 countries, Emery Oleochemicals will continue to work to develop and implement environmentally responsible business practices throughout its organisation and strive for the sustainable growth of both its own and its clients' businesses. We encourage our employees and all stakeholders to join us in the journey by supporting and furthering our sustainability e�orts.

2015

Establish 3 programmes that further strengthens Emery Oleochemicals’ responsible business mindset and practices with a focus on internal stakeholders.

2017

Establish 3 key initiatives that embed a culture of sustainability and responsible business within internal and external stakeholders and create win-win partnerships.

2015

Increase the uptake of sustainable palm products by o�ering commercially viable RSPO MB & SG Grade solutions.

2017

Produce 5 innovative solutions that improve environmental & social impact whilst increasing profitability.

Growing our business responsibly and continuously striving to improve financial performance has led to the longterm success at Emery Oleochemicals. We are firmly rooted in our commitment to financial responsibility, providing a stable business for employment and the economy, and to provide a better world for future generations.

Concern and caring for current and future generations is a critical part of sustainability.

Investing in employee education, training, health and wellness and plant safety are some of the ways we make a di�erence. By living our core values and providing opportunities to others, we impact many communities - and many countries - in positive ways, helping to ensure the sustainability of our business, employees, customers and fellow global citizens. With this in mind we have set ourselves our sustainability targets:

SUPPLY CHAINS

SUSTAINABLE PRODUCTS

PARTNERSHIPS

2015

50% key suppliers self-audited against Sourcing with Respect Guidelines

2017

100% key suppliers self-audited against Sourcing with Respect Guidelines

Being the strongest sustainable link in global supply chains

S U S TA I N A B I L I T Y R E P O RT 2 0 1 3

19

Page 21: SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives

Emery Oleochemicals actively engages with stakeholders to build trust and foster dialogue, leveraging their expertise and perspective to strengthen our business. This engagement provides insight into emerging issues that are important to our stakeholders and to our business, as well as ideas for solutions to address those issues within our company walls and beyond.

We strongly believe in being inclusive and transparent in our stakeholder management. In our engagement pipeline are town hall sessions and dialogues focused on supply chain responsibility and sustainability concerns. We also engage subject-matter experts from academia, industry, NGOs and investor communities.

We understand that our processes, actions and products inevitably a�ect more than just our

operations. By having a comprehensive understanding of the various viewpoints of our stakeholders, we are well equipped to integrate a broader range of ideas, expectations and possibilities into our decision making process. This in turn, enables us to create win-win environments with all parties that are directly or indirectly a�ected by our business. We uphold our continuous e�orts to understand and gauge the impact of our business, primarily by identifying the various stakeholders and the suitable approaches to meet their evolving expectations. In addition to these targeted sessions, Emery Oleochemicals holds several one-on-one meetings with stakeholders to review our previous year’s sustainability report and solicit feedback on how we could improve the reporting process in the future.

Stakeholder Engagements

Below are some additional examples of how we engaged with stakeholders:

Stakeholders Approach Key Sustainability Concerns

• Meetings

• Townhalls

• Site Tours

• Audits

• Dialogues

• Feedback forms

• Suggestion schemes

• Product & Service Quality• Environmental, Social & Community Impacts• Sustainability Certifications

Customers

• Ethics & Corporate Values• Corporate Governance

Shareholders

• Health & Safety• Talent Management• Labour Rights

Employees

• Creating Economic & Social OpportunitiesPolicymakers

• Supply Chain ManagementBusiness Partners

• Environmental & Social ImpactsCommunities

• Accountability & TransparencyNGOs

The increasing global demand for resources, coupled with diminishing reserves, environmental degradation, geopolitical uncertainty and the threat of climate change are all factors influencing production of goods. As the industries which we operate and supply to more often than not reap its harvest from natural resource bases, there is the dilemma of trade-o� between the desire for economic growth and the imperative to protect the environment and the interests of the population. As an industry leader, we believe in a shared responsibility to produce e�ective and renewable solutions that contribute towards the development of sustainable and more e�ective end products.

In line with our drive towards greater sustainability, the vast majority of our products are derived from renewable palm and tallow-based feedstock, making our products regenerative in nature, and o�er a “greener”, cleaner and safer alternative to the other options on the market. This is further compounded with our strict adherence to required standards in our manufacturing processes demonstrated with our high standards for employee health and safety, environmental protection, energy e�ciency and waste management

As palm oil and palm kernel oil are the primary feedstock consumed by us in Asia Pacific, they are often associated with issues in the countries where they are produced. Emery Oleochemicals is fully aware of the risks in using palm oil from non-sustainable and questionable sources. Hence, we are ethically bound to our long term commitment to the Roundtable for Sustainable Palm Oil (RSPO).

By joining RSPO, Emery Oleochemicals has embarked on a traceability initiative to ensure that our palm oil sources adhere to the stringent sustainability standards set by RSPO. We have actively participated and contributed to various research initiatives, discussions and forums via the RSPO. As a result, the operational processes employed by us are guided by the industry,

consumers and customers’ evolving requirements for a more sustainable approach. In 2012, our Asia Pacific manufacturing site was accredited RSPO Supply Chain System Certified. In 2013, our Europe manufacturing site was accorded the same as well.We are one of the few players in the market with the capabilities to produce RSPO Certified products for Segregated (SG) and Mass Balance (MB) grades. In doing so, we are able to drive our commitment to act sustainably towards a more responsible and accountable identity to our products.

As one of the world's leading natural-based chemical solutions provider using palm and palm kernel oil as feedstock, we strive with greatest e�orts in ensuring our feedstock originates from sustainable sources.

We are able to demonstrate this by:

1. Our alignment with our shareholder, Sime Darby Plantation, who is the world's largest producer of RSPO certified palm oil and one of the founders of RSPO, ensures that we adopt and practice global sustainability standards especially in the palm industry.

2. Our manufacturing sites are RSPO Supply Chain System certified

3. We are currently developing our product traceability map to be able to better minimise chances of ‘conflict palm oil’ entering into our supply chains.

In the North America region, tallow is our primary feedstock. This is a by-product of the meat industry which in itself has a significant impact footprint on the environment. Although there is no set standard for sustainable tallow, we do not procure from suppliers that do not comply with the American Fats and Oils Trade Rules and with GROFOR or NOFOTA Trade Rules in the EU. It should be noted that by using inedible tallow, we have extracted maximum usability from the source product.

Responsible Production

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20

Page 22: SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives

Emery Oleochemicals actively engages with stakeholders to build trust and foster dialogue, leveraging their expertise and perspective to strengthen our business. This engagement provides insight into emerging issues that are important to our stakeholders and to our business, as well as ideas for solutions to address those issues within our company walls and beyond.

We strongly believe in being inclusive and transparent in our stakeholder management. In our engagement pipeline are town hall sessions and dialogues focused on supply chain responsibility and sustainability concerns. We also engage subject-matter experts from academia, industry, NGOs and investor communities.

We understand that our processes, actions and products inevitably a�ect more than just our

operations. By having a comprehensive understanding of the various viewpoints of our stakeholders, we are well equipped to integrate a broader range of ideas, expectations and possibilities into our decision making process. This in turn, enables us to create win-win environments with all parties that are directly or indirectly a�ected by our business. We uphold our continuous e�orts to understand and gauge the impact of our business, primarily by identifying the various stakeholders and the suitable approaches to meet their evolving expectations. In addition to these targeted sessions, Emery Oleochemicals holds several one-on-one meetings with stakeholders to review our previous year’s sustainability report and solicit feedback on how we could improve the reporting process in the future.

Stakeholder Engagements

Below are some additional examples of how we engaged with stakeholders:

Stakeholders Approach Key Sustainability Concerns

• Meetings

• Townhalls

• Site Tours

• Audits

• Dialogues

• Feedback forms

• Suggestion schemes

• Product & Service Quality• Environmental, Social & Community Impacts• Sustainability Certifications

Customers

• Ethics & Corporate Values• Corporate Governance

Shareholders

• Health & Safety• Talent Management• Labour Rights

Employees

• Creating Economic & Social OpportunitiesPolicymakers

• Supply Chain ManagementBusiness Partners

• Environmental & Social ImpactsCommunities

• Accountability & TransparencyNGOs

The increasing global demand for resources, coupled with diminishing reserves, environmental degradation, geopolitical uncertainty and the threat of climate change are all factors influencing production of goods. As the industries which we operate and supply to more often than not reap its harvest from natural resource bases, there is the dilemma of trade-o� between the desire for economic growth and the imperative to protect the environment and the interests of the population. As an industry leader, we believe in a shared responsibility to produce e�ective and renewable solutions that contribute towards the development of sustainable and more e�ective end products.

In line with our drive towards greater sustainability, the vast majority of our products are derived from renewable palm and tallow-based feedstock, making our products regenerative in nature, and o�er a “greener”, cleaner and safer alternative to the other options on the market. This is further compounded with our strict adherence to required standards in our manufacturing processes demonstrated with our high standards for employee health and safety, environmental protection, energy e�ciency and waste management

As palm oil and palm kernel oil are the primary feedstock consumed by us in Asia Pacific, they are often associated with issues in the countries where they are produced. Emery Oleochemicals is fully aware of the risks in using palm oil from non-sustainable and questionable sources. Hence, we are ethically bound to our long term commitment to the Roundtable for Sustainable Palm Oil (RSPO).

By joining RSPO, Emery Oleochemicals has embarked on a traceability initiative to ensure that our palm oil sources adhere to the stringent sustainability standards set by RSPO. We have actively participated and contributed to various research initiatives, discussions and forums via the RSPO. As a result, the operational processes employed by us are guided by the industry,

consumers and customers’ evolving requirements for a more sustainable approach. In 2012, our Asia Pacific manufacturing site was accredited RSPO Supply Chain System Certified. In 2013, our Europe manufacturing site was accorded the same as well.We are one of the few players in the market with the capabilities to produce RSPO Certified products for Segregated (SG) and Mass Balance (MB) grades. In doing so, we are able to drive our commitment to act sustainably towards a more responsible and accountable identity to our products.

As one of the world's leading natural-based chemical solutions provider using palm and palm kernel oil as feedstock, we strive with greatest e�orts in ensuring our feedstock originates from sustainable sources.

We are able to demonstrate this by:

1. Our alignment with our shareholder, Sime Darby Plantation, who is the world's largest producer of RSPO certified palm oil and one of the founders of RSPO, ensures that we adopt and practice global sustainability standards especially in the palm industry.

2. Our manufacturing sites are RSPO Supply Chain System certified

3. We are currently developing our product traceability map to be able to better minimise chances of ‘conflict palm oil’ entering into our supply chains.

In the North America region, tallow is our primary feedstock. This is a by-product of the meat industry which in itself has a significant impact footprint on the environment. Although there is no set standard for sustainable tallow, we do not procure from suppliers that do not comply with the American Fats and Oils Trade Rules and with GROFOR or NOFOTA Trade Rules in the EU. It should be noted that by using inedible tallow, we have extracted maximum usability from the source product.

Responsible Production

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Page 23: SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives

At Emery Oleochemicals, we know having clear governance and accountability mechanisms are essential to meeting our sustainability commitments. Since we began this journey, we have

continually adapted our systems and structures to maintain strong performance while planning for future challenges.

Our governance mechanisms are based on the Emery Oleochemicals code of conduct with documented policies on :

Expected ethical and accountable behaviour for all employeesA

Compliance to all rules of law and regulations

B

Zero tolerance towards corruption

C

Respect forlabour rights

D

Whistle-blowing and anti-competitive mechanismsE

Fraudprevention

F

Fair treatment of stakeholders

G

Highest degree for safety, health and environmentH

Transparency and good governance

I

Sustainability is rooted in our company values and has long been part of our approach to business. Today, it drives us to work collaboratively across our entire value chain to address the environmental and social impacts of product manufacturing and production. Our aim is to improve the sustainability of our products and processes, while helping to create shared value for all our stakeholders.

Recognising that sustainability is a journey rather than a final state, we strive to embed it into everything we do to help deliver increased value to

our customers, employees and shareholders. With a focus on continuous improvement, we seek to protect the health and safety of our employees, conserve natural resources, reduce the environmental impact of our operations, o�er sustainable solutions and products and support community programmes that have a positive impact.

The following aspects have been identified as essential to be managed, measured, reported and continuously improved upon.

Materiality

Within Organisation

Outside Organisation

Economic Performance •

Market Presence •

Indirect Economic Impacts • • Local communities at all our sites

Procurement Practices •

Materials •

Energy •

Water •

Biodiversity • • Local communities at all our sites

Emissions • • Local communities at all our sites

Effluents & Waste • • Local communities at all our sites

Products & Services •

Transport • • Local communities at all our sites

Employment •

Labour/Management Relations •

Occupational Health & Safety •

Training & Education •

Diversity & Equal Opportunity •

Labour Practices Grievance Mechanisms •

Non-discrimination •

Assessment •

Aspect Boundary External entities affected

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Page 24: SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives

At Emery Oleochemicals, we know having clear governance and accountability mechanisms are essential to meeting our sustainability commitments. Since we began this journey, we have

continually adapted our systems and structures to maintain strong performance while planning for future challenges.

Our governance mechanisms are based on the Emery Oleochemicals code of conduct with documented policies on :

Expected ethical and accountable behaviour for all employeesA

Compliance to all rules of law and regulations

B

Zero tolerance towards corruption

C

Respect forlabour rights

D

Whistle-blowing and anti-competitive mechanismsE

Fraudprevention

F

Fair treatment of stakeholders

G

Highest degree for safety, health and environmentH

Transparency and good governance

I

Sustainability is rooted in our company values and has long been part of our approach to business. Today, it drives us to work collaboratively across our entire value chain to address the environmental and social impacts of product manufacturing and production. Our aim is to improve the sustainability of our products and processes, while helping to create shared value for all our stakeholders.

Recognising that sustainability is a journey rather than a final state, we strive to embed it into everything we do to help deliver increased value to

our customers, employees and shareholders. With a focus on continuous improvement, we seek to protect the health and safety of our employees, conserve natural resources, reduce the environmental impact of our operations, o�er sustainable solutions and products and support community programmes that have a positive impact.

The following aspects have been identified as essential to be managed, measured, reported and continuously improved upon.

Materiality

Within Organisation

Outside Organisation

Economic Performance •

Market Presence •

Indirect Economic Impacts • • Local communities at all our sites

Procurement Practices •

Materials •

Energy •

Water •

Biodiversity • • Local communities at all our sites

Emissions • • Local communities at all our sites

Effluents & Waste • • Local communities at all our sites

Products & Services •

Transport • • Local communities at all our sites

Employment •

Labour/Management Relations •

Occupational Health & Safety •

Training & Education •

Diversity & Equal Opportunity •

Labour Practices Grievance Mechanisms •

Non-discrimination •

Assessment •

Aspect Boundary External entities affected

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Page 25: SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives

As a responsible business with a global footprint, we partake in a number of global sustainability related platforms to adopt best practices and share our own experience with others.

Participation in External Sustainability Platforms

Involved inRSPO Trade &

Traceability Sub Working Group.

Voluntary signatory

Voluntary signatory (Asia Pac)

Voluntary signatory

Voluntary signatory

Working group member for

Malaysian Chapter

Represented industry views during regional

workshop

Roundtable for Sustainable Palm Oil

United Nations Global Compact

Responsible Care SEDEX

Together For Sustainability Initiative (TFS)

Sustainable Development Solution Network

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24

Page 26: SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives

As a responsible business with a global footprint, we partake in a number of global sustainability related platforms to adopt best practices and share our own experience with others.

Participation in External Sustainability Platforms

Involved inRSPO Trade &

Traceability Sub Working Group.

Voluntary signatory

Voluntary signatory (Asia Pac)

Voluntary signatory

Voluntary signatory

Working group member for

Malaysian Chapter

Represented industry views during regional

workshop

Roundtable for Sustainable Palm Oil

United Nations Global Compact

Responsible Care SEDEX

Together For Sustainability Initiative (TFS)

Sustainable Development Solution Network

SUSTAINABLE PRODUCTS

Page 27: SUSTAINABILITY REPORT 2013 · 2020-01-30 · through the recently launched ‘Responsible Sourcing Guide’. In addition, we have implemented corporate sustainability initiatives

In 2013 we conducted a pioneering pilot project to supply RSPO Segregated derivatives to a global FMCG player. Armed with the success of this pilot, we are now gearing to ramp up our capacity to produce and o�er cost-e�ective RSPO Segregated derivatives in a larger scale to enhance the production of sustainable and responsible palm-based end consumer products. With both our Asia Pacific and European manufacturing sites RSPO supply chain system certified, we are well positioned to be an enabler in the uptake of more

sustainable palm derivatives and reshape our industry as a whole.

To further champion our drive to advance sustainable oleochemicals and derivatives industry we are a representative of the Asean Oleomanufacturing Group in the RSPO Supply Chain Certified Review Task Force with the aim to input industry views in the development and uptake of RSPO certified oleochemicals and derivatives.

RSP

O F

AQ

What is RSPO?

The Roundtable on Sustainable Palm Oil (RSPO) is a global, multi-stakeholder initiative on sustainable palm oil. Members and participants come from many di�erent backgrounds and include environmental NGOs, banks and investors, growers, processors, manufacturers and retailers of palm oil products and social NGOs. They come from the many countries that produce or use palm oil.

The principal objective of the RSPO is “to promote the growth and use of sustainable palm oil through cooperation within the supply chain and open dialogue between its stakeholders.”

What is RSPO certification?

RSPO Certification is a seal of approval that the palm oil used in products is produced with undue harm to the environment or society and volumes are traceable. Producers are certified through strict verification of the production process by accredited certifying agencies. The certification may be withdrawn at any time upon infringement of the rules and standards. The certified sustainable palm oil (RSPO Oil) is traceable through the supply chain by certification of each facility along the supply chain that processes or uses the certified oil.

Which RSPO certification has Emery Oleochemicals obtained?

We have obtained RSPO Supply Chain System certification for segregation (SG) and mass balance (MB) for our Asia Pacific and European sites. The SG supply chain model assures products come only from RSPO certified sources. Segregated products require complete separation from conventional products during the manufacturing process. The MB system allows for mixing of RSPO and non-RSPO certified palm oil at any stage in the supply chain provided that overall facility quantities are controlled. In short it is a volume in – volume out mechanism.

Which Emery Oleochemicals products are available in RSPO certified grades?

All of our palm-based products can be produced as RSPO SG or MB certified.

As consumers are increasingly demanding the products they buy and use are produced in a responsible manner, it is critical that all pieces of the supply chain jigsaw demonstrate adherence to international sustainability standards. Whilst there has been significant advancement in the food industry on the usage of RSPO certified palm oil, there remains the more complicated sector of the palm-based oleochemicals and derivatives industries in ensuring integration of RSPO standards.

Such complications arise when palm oil and palm kernel oil have to be fractionated and blended to produce the various derivative ingredients required to produce every day end products needed by consumers. Such processes are lengthy, complicated and expensive thus compounding the issues in being able to produce commercial quantities of RSPO certified derivatives. However, consumers have a right to be able to buy products that are made of sustainable ingredients despite such complications.

Most consumer product manufacturers typically source their derivatives to be blended into formulations of their own product ranges. This means for them to be able to produce RSPO certified products it is critical that they have access to RSPO certified derivatives. This is where Emery Oleochemicals aspires to excel and be a world leader:

In being the critical bridge in connecting product manufactures to consumers by enabling sustainable palm based chemical ingredients in product development and production via our RSPO certified Mass Balance (MB) and Segregated (SG) derivatives. These MB & SG solutions are available across all our product platforms.

Roundtable on Sustainable Palm Oil (RSPO)

RSPO Products

CertifiedPlantations

CertifiedMills

CertifiedRefineries

Consumer GoodsProducers

CertifiedDerivativesManufacturers?

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In 2013 we conducted a pioneering pilot project to supply RSPO Segregated derivatives to a global FMCG player. Armed with the success of this pilot, we are now gearing to ramp up our capacity to produce and o�er cost-e�ective RSPO Segregated derivatives in a larger scale to enhance the production of sustainable and responsible palm-based end consumer products. With both our Asia Pacific and European manufacturing sites RSPO supply chain system certified, we are well positioned to be an enabler in the uptake of more

sustainable palm derivatives and reshape our industry as a whole.

To further champion our drive to advance sustainable oleochemicals and derivatives industry we are a representative of the Asean Oleomanufacturing Group in the RSPO Supply Chain Certified Review Task Force with the aim to input industry views in the development and uptake of RSPO certified oleochemicals and derivatives.

RSP

O F

AQ

What is RSPO?

The Roundtable on Sustainable Palm Oil (RSPO) is a global, multi-stakeholder initiative on sustainable palm oil. Members and participants come from many di�erent backgrounds and include environmental NGOs, banks and investors, growers, processors, manufacturers and retailers of palm oil products and social NGOs. They come from the many countries that produce or use palm oil.

The principal objective of the RSPO is “to promote the growth and use of sustainable palm oil through cooperation within the supply chain and open dialogue between its stakeholders.”

What is RSPO certification?

RSPO Certification is a seal of approval that the palm oil used in products is produced with undue harm to the environment or society and volumes are traceable. Producers are certified through strict verification of the production process by accredited certifying agencies. The certification may be withdrawn at any time upon infringement of the rules and standards. The certified sustainable palm oil (RSPO Oil) is traceable through the supply chain by certification of each facility along the supply chain that processes or uses the certified oil.

Which RSPO certification has Emery Oleochemicals obtained?

We have obtained RSPO Supply Chain System certification for segregation (SG) and mass balance (MB) for our Asia Pacific and European sites. The SG supply chain model assures products come only from RSPO certified sources. Segregated products require complete separation from conventional products during the manufacturing process. The MB system allows for mixing of RSPO and non-RSPO certified palm oil at any stage in the supply chain provided that overall facility quantities are controlled. In short it is a volume in – volume out mechanism.

Which Emery Oleochemicals products are available in RSPO certified grades?

All of our palm-based products can be produced as RSPO SG or MB certified.

As consumers are increasingly demanding the products they buy and use are produced in a responsible manner, it is critical that all pieces of the supply chain jigsaw demonstrate adherence to international sustainability standards. Whilst there has been significant advancement in the food industry on the usage of RSPO certified palm oil, there remains the more complicated sector of the palm-based oleochemicals and derivatives industries in ensuring integration of RSPO standards.

Such complications arise when palm oil and palm kernel oil have to be fractionated and blended to produce the various derivative ingredients required to produce every day end products needed by consumers. Such processes are lengthy, complicated and expensive thus compounding the issues in being able to produce commercial quantities of RSPO certified derivatives. However, consumers have a right to be able to buy products that are made of sustainable ingredients despite such complications.

Most consumer product manufacturers typically source their derivatives to be blended into formulations of their own product ranges. This means for them to be able to produce RSPO certified products it is critical that they have access to RSPO certified derivatives. This is where Emery Oleochemicals aspires to excel and be a world leader:

In being the critical bridge in connecting product manufactures to consumers by enabling sustainable palm based chemical ingredients in product development and production via our RSPO certified Mass Balance (MB) and Segregated (SG) derivatives. These MB & SG solutions are available across all our product platforms.

Roundtable on Sustainable Palm Oil (RSPO)

RSPO Products

CertifiedPlantations

CertifiedMills

CertifiedRefineries

Consumer GoodsProducers

CertifiedDerivativesManufacturers?

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Recycled Content Polyols

INFIGREEN® polyols are derived through unique and sustainable polyol chemistry using recycled polyurethane foam. INFIGREEN® polyols are first of its kind aromatic polyether/ester polyols, produced via Emery Oleochemicals’ proprietary chemical process that uses scrap polyurethane as the key raw material. It o ers a highly innovative solution for dealing with scrap polyurethane. As a result, there is

improved value vs current reuse options and reduced landfill costs while demonstrating environmental stewardship. INFIGREEN® polyols can be made from many types of scrap polyurethane foam and are highly reactive, which provides for solutions that are tailored to customer applications. It is also much more cost e ective in comparison with petroleum-based polyols.

Polymeric polyols are generally used to produce other polymers. They are reacted with isocyanates to make polyurethanes. The wide-spread and varied use of polyurethane foam spans across diverse industries including building & construction, furniture, automotive, appliances, packaging, footwear, machinery & foundry, textiles & apparels, and electronics.

SCRAP POLYURETHANE

FOAM

GLYCOL

TRANS-ESTERIFICATION

POLYOL INITIATOR

PROPRIETARY

STEP

2STEP

1

TYPICAL PROPERTIES

PRODUCT HYDROXYL VALUEmg/KOH/g

FUNCTIONALITY RECOMMENDED APPLICATION

INFIGREEN™ 100 180 4 Flexible slab and moulded foams, Memory foams

INFIGREEN™ 300 300 4 Memory foams, Semi-rigid foams, Isocyanurate foams

INFIGREEN™ 420A 370 4 Rigid foams, Spray-foams, Semi-rigid foams

INFIGREEN™ 420R 370 4 Rigid foams, Pour-in-place, Semi-rigid foams

2010 Accelerate Michigan Innovation Award for Advanced Materials

2010 Michigan Green Leader Award

2011 Accelerate Michigan Innovation Award for Advanced Materials

2011 Enabling Technology Award in Renewable Automotive Plastics for North America

2012 Environmental Achievement Award from Environmental Management Association

2012 Environmental Innovation Award from the Society of Plastic Engineers (Automotive Division)

2012 Chrysler’s Environmental Achievement Award

At Emery Oleochemicals, innovation is at the heart of delivering products that are in harmony with our “Act Sustainably” philosophy. Through continued investment in state of the art R&D e�orts, we have given rise to innovative solutions which are both sustainable and highly productive.

Innovation

A naturally derived bio-stimulant that enables plants to continue a healthy growth in spite of abiotic stress, transplant shock and big climate change (e.g., drought, floods, heat and cold). It is a naturally occurring chemical derived from fatty acids. It is biodegradable, eco-friendly, renewable and sustainable.

By adopting EMERLIFE™ a new agricultural breakthrough that has the potential to revolutionise farming was achieved in Australia in 2013. Deemed the Snowden Potato Trial, it began on October 7 when early potatoes of Snowden seed (a full season variety with a vigorous and full vine growth) were planted at Barooga, a small town situated on the riverside in Victoria, Australia. These potatoes were planted in red sand with a standard fertilizer for district and fixed sprinkler.

After a month, four applications of Emery Oleochemicals’ Agro Green EMERLIFE™ were applied on Snowden potatoes by boom sprayer at the label rate of 20g/Ha in 1000L of water on the same day. Both treated and untreated crops received the same inputs, irrigation schedule and the same amount of

water. The maximum temperature the potatoes were kept, less than 30°C, 35°C & 40°C for 32 days, 15 days and six days respectively and the minimum temperature was greater than 10°C for nine days. The applications of EMERLIFE™ on the treated crops resulted in significant increase in potato yields, significant improvements in potato quality or uniformity and reduction in small potatoes on the commencing day itself. In summary, EMERLIFE™ produced a total yield increase of 10.2%. On the monetary front, the overall trial resulted in a significant increase in returns to the grower of $2,000 / Ha and a pay-back of $25/ $1 invested.

Untreated Treated

Naturally Derived Bio-Stimulant

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Recycled Content Polyols

INFIGREEN® polyols are derived through unique and sustainable polyol chemistry using recycled polyurethane foam. INFIGREEN® polyols are first of its kind aromatic polyether/ester polyols, produced via Emery Oleochemicals’ proprietary chemical process that uses scrap polyurethane as the key raw material. It o ers a highly innovative solution for dealing with scrap polyurethane. As a result, there is

improved value vs current reuse options and reduced landfill costs while demonstrating environmental stewardship. INFIGREEN® polyols can be made from many types of scrap polyurethane foam and are highly reactive, which provides for solutions that are tailored to customer applications. It is also much more cost e ective in comparison with petroleum-based polyols.

Polymeric polyols are generally used to produce other polymers. They are reacted with isocyanates to make polyurethanes. The wide-spread and varied use of polyurethane foam spans across diverse industries including building & construction, furniture, automotive, appliances, packaging, footwear, machinery & foundry, textiles & apparels, and electronics.

SCRAP POLYURETHANE

FOAM

GLYCOL

TRANS-ESTERIFICATION

POLYOL INITIATOR

PROPRIETARY

STEP

2STEP

1

TYPICAL PROPERTIES

PRODUCT HYDROXYL VALUEmg/KOH/g

FUNCTIONALITY RECOMMENDED APPLICATION

INFIGREEN™ 100 180 4 Flexible slab and moulded foams, Memory foams

INFIGREEN™ 300 300 4 Memory foams, Semi-rigid foams, Isocyanurate foams

INFIGREEN™ 420A 370 4 Rigid foams, Spray-foams, Semi-rigid foams

INFIGREEN™ 420R 370 4 Rigid foams, Pour-in-place, Semi-rigid foams

2010 Accelerate Michigan Innovation Award for Advanced Materials

2010 Michigan Green Leader Award

2011 Accelerate Michigan Innovation Award for Advanced Materials

2011 Enabling Technology Award in Renewable Automotive Plastics for North America

2012 Environmental Achievement Award from Environmental Management Association

2012 Environmental Innovation Award from the Society of Plastic Engineers (Automotive Division)

2012 Chrysler’s Environmental Achievement Award

At Emery Oleochemicals, innovation is at the heart of delivering products that are in harmony with our “Act Sustainably” philosophy. Through continued investment in state of the art R&D e�orts, we have given rise to innovative solutions which are both sustainable and highly productive.

Innovation

A naturally derived bio-stimulant that enables plants to continue a healthy growth in spite of abiotic stress, transplant shock and big climate change (e.g., drought, floods, heat and cold). It is a naturally occurring chemical derived from fatty acids. It is biodegradable, eco-friendly, renewable and sustainable.

By adopting EMERLIFE™ a new agricultural breakthrough that has the potential to revolutionise farming was achieved in Australia in 2013. Deemed the Snowden Potato Trial, it began on October 7 when early potatoes of Snowden seed (a full season variety with a vigorous and full vine growth) were planted at Barooga, a small town situated on the riverside in Victoria, Australia. These potatoes were planted in red sand with a standard fertilizer for district and fixed sprinkler.

After a month, four applications of Emery Oleochemicals’ Agro Green EMERLIFE™ were applied on Snowden potatoes by boom sprayer at the label rate of 20g/Ha in 1000L of water on the same day. Both treated and untreated crops received the same inputs, irrigation schedule and the same amount of

water. The maximum temperature the potatoes were kept, less than 30°C, 35°C & 40°C for 32 days, 15 days and six days respectively and the minimum temperature was greater than 10°C for nine days. The applications of EMERLIFE™ on the treated crops resulted in significant increase in potato yields, significant improvements in potato quality or uniformity and reduction in small potatoes on the commencing day itself. In summary, EMERLIFE™ produced a total yield increase of 10.2%. On the monetary front, the overall trial resulted in a significant increase in returns to the grower of $2,000 / Ha and a pay-back of $25/ $1 invested.

Untreated Treated

Naturally Derived Bio-Stimulant

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Lubricants

LOXIOL® Lubricants are known to be amongst the most eective internal and external lubricants in the market by optimising the processing characteristics of all plastics materials, especially PVC. For the processing of PVC to window frames and foamed or compact sheets, internal lubricants are used to give a better flow of the polymer melt and a glossy surface. Over the last years Emery Oleochemicals developed new internal lubricants for the converting of PVC based on renewable raw materials which are phthalate free. The new developed lubricants areLOXIOL® G 59 and LOXIOL® G 62. Both products have a content of renewable raw material of about 85% and have excellent properties during the processing of PVC.

LOXIOL® G 59 has a base of fatty acids which can be produced from several oils and fat. LOXIOL® G 62 is derived from a specially developed and patented process, which allows the direct conversion of oils and fats like hardened palm oil into these lubricants. Both products show excellent processing properties and are eective external lubricants with low volatility. This result in less plate out during processing, and better long running properties of the PVC formulations.

Renewable Polyols

EMEROX™ Polyols, on the other hand, are first of its kind renewable polyols produced via Emery Oleochemicals’ proprietary ozonolysis technology. They are derived from renewable sources such as palm oil and soy, and o�er a cost-e�ective replacement for petroleum-based polyols available for rigid and flexible foams, coatings, adhesive, and elastomers.

GLYCERIN

NATURAL OILS

EMERYOZONOLYSIS

POLYPOL

TYPICAL PROPERTIES

PRODUCT HYDROXYL VALUEmg/KOH/g

FUNCTIONALITY RECOMMENDED APPLICATION

EMEROX™ 14001 59 3.5 Flexible slab and moulded foams, Memory foams

EMEROX™ 14050 50 6 Flexible slab and moulded foams, Memory foams

EMEROX™ 14055 50 5 Flexible slab and moulded foams, Memory foams

EMEROX™ 14100 215 5 CASE, Memory foams, Semi-rigid & isocyanurate foams

EMEROX™ 14200 375 7 Rigid polyurethane foams

EMEROX™ 14250 375 5.5 Rigid polyurethane foams

EMEROX™ 14275 375 7 Rigid polyurethane foams

Emery Oleochemicals’ value-added bio-based and recycled polyol products boast the following:

Reduce dependence on crude oil for today’s polyols. Market is predominantly petrochemicals based (~95%). 1

Meet market demand for greater sustainability (with a 20% reduction in electricity consumption and 35% reduction in CO emission). 2

Our polyol chemistry provides a flexible and sustainable solution to the customer for polyurethane foam formulations.

3

O�er customised polyol solutions for a wide range of market applications, which conventional polyols or other bio-based polyols cannot o�er. 4

They are competitively priced and provide a value added solution for scrap foam

5

Unique manufacturing process enabling competitive edge in production.

6

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Lubricants

LOXIOL® Lubricants are known to be amongst the most eective internal and external lubricants in the market by optimising the processing characteristics of all plastics materials, especially PVC. For the processing of PVC to window frames and foamed or compact sheets, internal lubricants are used to give a better flow of the polymer melt and a glossy surface. Over the last years Emery Oleochemicals developed new internal lubricants for the converting of PVC based on renewable raw materials which are phthalate free. The new developed lubricants areLOXIOL® G 59 and LOXIOL® G 62. Both products have a content of renewable raw material of about 85% and have excellent properties during the processing of PVC.

LOXIOL® G 59 has a base of fatty acids which can be produced from several oils and fat. LOXIOL® G 62 is derived from a specially developed and patented process, which allows the direct conversion of oils and fats like hardened palm oil into these lubricants. Both products show excellent processing properties and are eective external lubricants with low volatility. This result in less plate out during processing, and better long running properties of the PVC formulations.

Renewable Polyols

EMEROX™ Polyols, on the other hand, are first of its kind renewable polyols produced via Emery Oleochemicals’ proprietary ozonolysis technology. They are derived from renewable sources such as palm oil and soy, and o�er a cost-e�ective replacement for petroleum-based polyols available for rigid and flexible foams, coatings, adhesive, and elastomers.

GLYCERIN

NATURAL OILS

EMERYOZONOLYSIS

POLYPOL

TYPICAL PROPERTIES

PRODUCT HYDROXYL VALUEmg/KOH/g

FUNCTIONALITY RECOMMENDED APPLICATION

EMEROX™ 14001 59 3.5 Flexible slab and moulded foams, Memory foams

EMEROX™ 14050 50 6 Flexible slab and moulded foams, Memory foams

EMEROX™ 14055 50 5 Flexible slab and moulded foams, Memory foams

EMEROX™ 14100 215 5 CASE, Memory foams, Semi-rigid & isocyanurate foams

EMEROX™ 14200 375 7 Rigid polyurethane foams

EMEROX™ 14250 375 5.5 Rigid polyurethane foams

EMEROX™ 14275 375 7 Rigid polyurethane foams

Emery Oleochemicals’ value-added bio-based and recycled polyol products boast the following:

Reduce dependence on crude oil for today’s polyols. Market is predominantly petrochemicals based (~95%). 1

Meet market demand for greater sustainability (with a 20% reduction in electricity consumption and 35% reduction in CO emission). 2

Our polyol chemistry provides a flexible and sustainable solution to the customer for polyurethane foam formulations.

3

O�er customised polyol solutions for a wide range of market applications, which conventional polyols or other bio-based polyols cannot o�er. 4

They are competitively priced and provide a value added solution for scrap foam

5

Unique manufacturing process enabling competitive edge in production.

6

S U S TA I N A B I L I T Y R E P O RT 2 0 1 3

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Respect for our planet and the natural

environment whichsupports present and

future generations Respect forhuman dignityand decentworkingconditions

Respect for our suppliers with which we grow

together

OurSRG

Values

1

2

3

We are guided by the10 principles of the United

Nations Global Compact (UNGC). The UNGC

addresses human rights, labour, the environment and

corruption, and provides a framework for engagement

by enlightened global business.

Our SRG Principles

Our SRG Objectives

Emery Oleochemicals actively seeks opportunities to reduce or eliminate emissions, reduce the use of resources and create solutions to secure the future of our business. We ensure appropriate management processes are in place to measure and reduce environmental impacts that are material to our business operations, as well as engage with partners to investigate and develop new solutions to reduce our environmental impacts. 1

Developinghabitable environments

As a responsible organisation, Emery Oleochemicals commits to protect human rights and labour standards. Our minimum standards cover aspects such as diversity, freedom of association, elimination of child labour and forced labour.

2

Advancing prosperityfor all

Ethical business practices are a critical aspect of sustainability. At Emery Oleochemicals, we assure you that we conduct all our business, across the globe, in an honest and ethical manner and we want to ensure that all our associates and business partners do the same. 3

StrengtheningProfitability

Sustainable development for Emery Oleochemicals means leveraging technology and innovation to increase e�ciency and productivity with less impact on the environment and helping our customers do the same – enabling their businesses to become more productive by providing products, services and solutions that use resources more e�ciently. Of course, it starts with our own operations, with our customers in mind.

We aspire to develop and maintain a supply chain that is built on the principles of traceability and responsibility. We are part of a complex supply chain involving thousands of businesses. More importantly, our customers include many leading multinationals that demand high sustainability standards.

It is in this context that we have developed our Sourcing with Respect Guidelines (SRG) which encapsulates our aspirations to be a world leader in value added natural based chemicals by trusting and partnering with our other responsible partners, and driving innovation to provide a competitive advantage.

We strive to work together with our partners and suppliers to improve our collective environmental, social and financial performance through resource savings and innovation.

Responsible Sourcing

Our Sourcing With Respect Framework

A reputation and brand is strengthened when each partner in the supply chain practices environmental and social responsibility. Sustainable supply chain management built around ethical and environmental sourcing principles leverages the purchasing power to mitigate supply chain risks, reinforce long-term supplier relationships, and build stakeholder and customer trust.

S U S TA I N A B I L I T Y R E P O RT 2 0 1 3

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Respect for our planet and the natural

environment whichsupports present and

future generations Respect forhuman dignityand decentworkingconditions

Respect for our suppliers with which we grow

together

OurSRG

Values

1

2

3

We are guided by the10 principles of the United

Nations Global Compact (UNGC). The UNGC

addresses human rights, labour, the environment and

corruption, and provides a framework for engagement

by enlightened global business.

Our SRG Principles

Our SRG Objectives

Emery Oleochemicals actively seeks opportunities to reduce or eliminate emissions, reduce the use of resources and create solutions to secure the future of our business. We ensure appropriate management processes are in place to measure and reduce environmental impacts that are material to our business operations, as well as engage with partners to investigate and develop new solutions to reduce our environmental impacts. 1

Developinghabitable environments

As a responsible organisation, Emery Oleochemicals commits to protect human rights and labour standards. Our minimum standards cover aspects such as diversity, freedom of association, elimination of child labour and forced labour.

2

Advancing prosperityfor all

Ethical business practices are a critical aspect of sustainability. At Emery Oleochemicals, we assure you that we conduct all our business, across the globe, in an honest and ethical manner and we want to ensure that all our associates and business partners do the same. 3

StrengtheningProfitability

Sustainable development for Emery Oleochemicals means leveraging technology and innovation to increase e�ciency and productivity with less impact on the environment and helping our customers do the same – enabling their businesses to become more productive by providing products, services and solutions that use resources more e�ciently. Of course, it starts with our own operations, with our customers in mind.

We aspire to develop and maintain a supply chain that is built on the principles of traceability and responsibility. We are part of a complex supply chain involving thousands of businesses. More importantly, our customers include many leading multinationals that demand high sustainability standards.

It is in this context that we have developed our Sourcing with Respect Guidelines (SRG) which encapsulates our aspirations to be a world leader in value added natural based chemicals by trusting and partnering with our other responsible partners, and driving innovation to provide a competitive advantage.

We strive to work together with our partners and suppliers to improve our collective environmental, social and financial performance through resource savings and innovation.

Responsible Sourcing

Our Sourcing With Respect Framework

A reputation and brand is strengthened when each partner in the supply chain practices environmental and social responsibility. Sustainable supply chain management built around ethical and environmental sourcing principles leverages the purchasing power to mitigate supply chain risks, reinforce long-term supplier relationships, and build stakeholder and customer trust.

S U S TA I N A B I L I T Y R E P O RT 2 0 1 3

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SUSTAINABILITY DASHBOARD

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Other efforts include:

Sustainable development is the guiding principle behind Emery Oleochemical’s long-term planning. It means fulfilling present needs without compromising the ability of future generations to also meet their needs. We recognise that today’s decisions can have consequences for generations to come, so we proactively manage our operations and resources to ensure a sustainable business model for all.

With disciplined application, our commitment to planet habitability facilitates the simultaneous pursuits of economic prosperity, environmental quality and social consciousness. We operate in a highly regulated industry; our sustainability aspiration is to reduce our environmental footprint with innovative technologies.

This includes expanding our global manufacturing footprint while adhering to strict environmental impact assessments and engagement with local stakeholders to address any key issues that may a ect them. Wherever possible we leverage the concept of green infrastructure by harnessing natural energy for e­ciencies. Exploration activity, mine modelling and strategic decisions reflect corporate edicts to balance current and future demand for oil palm products with prudent resource management and environmental stewardship.

Habitability

Overview

A risk management model that focuses on reducing the risks of a�ecting environmental and social issues in our manufacturing sites.

All our global manufacturing sites are ISO14001 certified and are continuously monitored to improve on environmental issues.

Unusual for manufacturing sites, our North America site host a certified wildlife habitat zone for Monarch Butterflies.

In 2013, we saw increase in direct Ghg emissions due to some technical issues resulting in us temporarily reverting to generate energy from generators running on light fuels. However, there is an increase of more than 40% in our biogas production and utilization for Asia Pacific operations

Improved on our water discharge by ensuring all no untreated waste water is discharged.

Our operating philosophy encourages community interface and participation, so that we may collectively create a sustainable and environmentally friendly future.

Environmental

Total fuel consumption from non-renewable sources

Energy Consumption Within The Organization

2013 2012 2011

LNG 74,640 117 380144 410

294 000 282 000*267 000

175 177 167 235173 917

(‘000 nm3)

Electricity(‘000 kWh)

Steam(‘000 kWh)

2013

2012

2011

2013

2012

2011

2013

2012

2011

11 382

Total fuel consumption fromrenewable sources

2013

7 6342012

6802011

Biogas (‘000 kWh)

Total energy consumption(000‘000 kWH)

1,091 1,251*

1,429

2013

2012

2011

* 2012 data has been updated since our last report

Materials Used By Weight Or Volume

Renewable Materials : Fats & Oils (’000 mT)

4582013

5222012

Non-renewable materials : Chemicals & Processing Aids (’000 mT)

902013

342012

5292011

382011

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Other efforts include:

Sustainable development is the guiding principle behind Emery Oleochemical’s long-term planning. It means fulfilling present needs without compromising the ability of future generations to also meet their needs. We recognise that today’s decisions can have consequences for generations to come, so we proactively manage our operations and resources to ensure a sustainable business model for all.

With disciplined application, our commitment to planet habitability facilitates the simultaneous pursuits of economic prosperity, environmental quality and social consciousness. We operate in a highly regulated industry; our sustainability aspiration is to reduce our environmental footprint with innovative technologies.

This includes expanding our global manufacturing footprint while adhering to strict environmental impact assessments and engagement with local stakeholders to address any key issues that may a ect them. Wherever possible we leverage the concept of green infrastructure by harnessing natural energy for e­ciencies. Exploration activity, mine modelling and strategic decisions reflect corporate edicts to balance current and future demand for oil palm products with prudent resource management and environmental stewardship.

Habitability

Overview

A risk management model that focuses on reducing the risks of a�ecting environmental and social issues in our manufacturing sites.

All our global manufacturing sites are ISO14001 certified and are continuously monitored to improve on environmental issues.

Unusual for manufacturing sites, our North America site host a certified wildlife habitat zone for Monarch Butterflies.

In 2013, we saw increase in direct Ghg emissions due to some technical issues resulting in us temporarily reverting to generate energy from generators running on light fuels. However, there is an increase of more than 40% in our biogas production and utilization for Asia Pacific operations

Improved on our water discharge by ensuring all no untreated waste water is discharged.

Our operating philosophy encourages community interface and participation, so that we may collectively create a sustainable and environmentally friendly future.

Environmental

Total fuel consumption from non-renewable sources

Energy Consumption Within The Organization

2013 2012 2011

LNG 74,640 117 380144 410

294 000 282 000*267 000

175 177 167 235173 917

(‘000 nm3)

Electricity(‘000 kWh)

Steam(‘000 kWh)

2013

2012

2011

2013

2012

2011

2013

2012

2011

11 382

Total fuel consumption fromrenewable sources

2013

7 6342012

6802011

Biogas (‘000 kWh)

Total energy consumption(000‘000 kWH)

1,091 1,251*

1,429

2013

2012

2011

* 2012 data has been updated since our last report

Materials Used By Weight Or Volume

Renewable Materials : Fats & Oils (’000 mT)

4582013

5222012

Non-renewable materials : Chemicals & Processing Aids (’000 mT)

902013

342012

5292011

382011

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Energy Consumption Portfolio - 2013

Energy Consumption Within The Organization

LNG(68.4%)

Biogas(0.8%)

Electricity(12.2%)

Steam(18.7%)

2012 Guidelines to Defra / DECC’s GHG Conversion Factors for Company Reporting

Methodology Paper for Emission Factors, Pg 25, Table 11

www.iea.org/countries/non-membercountries/malaysia/ www.epa.gov/cleanenergy/documents/egridzips/eGRID2012V1_0_year09_SummaryTables.pdf

www.umweltbundesamt.de/energie-e/politik.htm

1

2

3

4

Report standards, methodologies, and assumptions used

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Total Water Withdrawal By Source (’000 m3)

8962013

Total

Waste water fromanother organization

10302012

11002011

24962013

23832012

23072011

Water utilities

Ground water

37312013

37982012

38822011

Volume of recycled water Water used in our cooling towers are continuously recycled

3402013

3852012

4752011

Water Sources Significantly A�ected By WithdrawalOf Water

At our Cincinnati plant, we are supplied water by Southwestern Ohio water drawn from nearby aquifer. There is a risk that over exploitation may drain the aquifer.

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Emissions (’000 tCO2)

2292013

1992012

4212011

Direct Greenhouse Gas (Ghg)Emissions (Scope 1) (CO2, HFC, PFC, NOx)

1912013

2722012

2902011

Energy Indirect GhgEmissions (Scope 2)

4202013

4732012

7122011

Total Ghg Emissions

Reduction Of Greenhouse Gas (Ghg) Emissions

Use of renewable energy for boilers

Improved steam boiler combustion

and insulation e�ciency

Switching to cleaner

refrigerants

Motor power consumption optimisation

We reduced our Ghg emission through concentrated e�orts including:

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Emissions (’000 tCO2)

2292013

1992012

4212011

Direct Greenhouse Gas (Ghg)Emissions (Scope 1) (CO2, HFC, PFC, NOx)

1912013

2722012

2902011

Energy Indirect GhgEmissions (Scope 2)

4202013

4732012

7122011

Total Ghg Emissions

Reduction Of Greenhouse Gas (Ghg) Emissions

Use of renewable energy for boilers

Improved steam boiler combustion

and insulation e�ciency

Switching to cleaner

refrigerants

Motor power consumption optimisation

We reduced our Ghg emission through concentrated e�orts including:

NOx, SOx And Other Significant Air Emissions

104 mT2013

2012

2011

NOx

83 mT

593 mT

0.1 mT2013

2012

2011

HFC/PFC

4 mT

2.6 mT

0.9 mT2013

2012

2011

SOx

0.7 mT

631 mT

27 mT2013

2012

2011

VOC

32 mT

33 mT

7.7 mT2013

2012

2011

Dust

6.2 mT

28 mT

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Total Water Discharge By Quality And Destination

33152013

26672012

27572011

Chemical Oxygen Demand (mT)

Untreated Wastewater (’000 m3)

02013

3852012

4752011

11492013

15112012

12302011

Treated Wastewater (’000 m3)

17052013

16452012

18022011

Biological Oxygen Demand (mT)

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Total Water Discharge By Quality And Destination

33152013

26672012

27572011

Chemical Oxygen Demand (mT)

Untreated Wastewater (’000 m3)

02013

3852012

4752011

11492013

15112012

12302011

Treated Wastewater (’000 m3)

17052013

16452012

18022011

Biological Oxygen Demand (mT)

Total Weight Of Waste By Type And Disposal Method (’000 mT)

13 mT

20 mT

15 mT

8 mT

13 mT

8 mT

0.4 mT

0.4 mT

0.27 mT

1.9 mT

2 mT

2.5 mT

11 mT

7 mT

17 mT

Total General Waste Generated

Total General Waste Recycled

Total Hazardous Waste Disposed

Total Hazardous Waste Recycled

Non Hazardous Waste To Landfill

2013

2012

2011

2013

2012

2011

2013

2012

2011

2013

2012

2011

2013

2012

2011

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Emery Oleochemicals works to achieve sustainable development on the ground.

Case Studies

Continuous reduction of wastes has always been a top priority for us. For almost a decade our Düsseldorf manufacturing facility has focused on improving the e�ciency of product yield and, at the same time, reducing the amount of wastes which have to be disposed.

Since 2007, the overall amount of wastes has been reduced by over a third. Waste for disposal reached a level of just 7% in 2013, which is 20% of the original rate. This has been achieved by process optimization and supporting waste valorization in subsequent stages. Meanwhile, conditioning and certified valorization in addition to thoughtful monitoring by our people have led to zero waste for disposal in significant parts of Düsseldorf’s production.

This has contributed to savings of over USD 1 million. The achievement underlines that in the spirit of acting sustainably it is possible to demonstrate that sustainable and environmental friendly operations can indeed go hand in hand with business needs.

Efficient waste reduction - Düsseldorf

Emery Oleochemicals’ new Technical Development Centre has been equipped with modern geothermal heating, which also allows for cooling in summer conditions. The drilling goes an amazing 80 meters deep into the ground. A heat transfer fluid is circulated by pump under pressure which is closely monitored with several probes.

The basic principle corresponds to a simple refrigerator process in which both heating and cooling are possible. By harnessing natural conditions we are able to o�set the need of consuming natural gas for heating. This has allowed a saving of €10,000 annually.

Harnessing Geothermal Energy at the new Technical Development Centre - Loxstedt

To Emery Oleochemicals, people are our core. The health of our workers and consumers is of the utmost importance. Our products promote healthy lifestyle choices. We aspire to provide our workers with a safe and healthy work environment. Employees are provided benefits such as life and disability insurance, pension schemes, medical and dental support, car schemes, education loans and paid vacations.

We seek to enhance work-life balance by providing a mix of flexi hours option for varying level of employee levels. Learning and development too are given top priority. A blend of formal training, on the job learning opportunities, inter departmental placements, peer and mentor learning relationships and empowering employees to become self-aware

on their own developmental needs are example of programmes that we o�er our sta�. Inter-regional postings and cross functional working teams are also implemented to encourage learning, knowledge sharing and transfer of best practices.

At Emery Oleochemicals, we take our business seriously. Although we are stern in our values, we have a policy of positive engagement. All key employees are provided with anti-corruption training. We are consistently audited for risks on corruption in line with our strict zero-corruption policies throughout all our operations. It is audited internally and by both shareholders. We pride ourselves in keeping a clean record of zero corruption since 2013.

Prosperity

Labour Practices and Decent Work

Employee Attrition

Total Number of Employee Attrition

2013 5.7%

2012 5.6%

2011 6.4%

2013 7.7%

2012 8.7%

2011 8.1%

2013 5.2%

2012 4.9%

2011 6.0%

Minimum Notice Periods Regarding Operational Changes

Malaysia1 month

USA2 months

Total Attrition Women Attrition Men Attrition

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Emery Oleochemicals works to achieve sustainable development on the ground.

Case Studies

Continuous reduction of wastes has always been a top priority for us. For almost a decade our Düsseldorf manufacturing facility has focused on improving the e�ciency of product yield and, at the same time, reducing the amount of wastes which have to be disposed.

Since 2007, the overall amount of wastes has been reduced by over a third. Waste for disposal reached a level of just 7% in 2013, which is 20% of the original rate. This has been achieved by process optimization and supporting waste valorization in subsequent stages. Meanwhile, conditioning and certified valorization in addition to thoughtful monitoring by our people have led to zero waste for disposal in significant parts of Düsseldorf’s production.

This has contributed to savings of over USD 1 million. The achievement underlines that in the spirit of acting sustainably it is possible to demonstrate that sustainable and environmental friendly operations can indeed go hand in hand with business needs.

Efficient waste reduction - Düsseldorf

Emery Oleochemicals’ new Technical Development Centre has been equipped with modern geothermal heating, which also allows for cooling in summer conditions. The drilling goes an amazing 80 meters deep into the ground. A heat transfer fluid is circulated by pump under pressure which is closely monitored with several probes.

The basic principle corresponds to a simple refrigerator process in which both heating and cooling are possible. By harnessing natural conditions we are able to o�set the need of consuming natural gas for heating. This has allowed a saving of €10,000 annually.

Harnessing Geothermal Energy at the new Technical Development Centre - Loxstedt

To Emery Oleochemicals, people are our core. The health of our workers and consumers is of the utmost importance. Our products promote healthy lifestyle choices. We aspire to provide our workers with a safe and healthy work environment. Employees are provided benefits such as life and disability insurance, pension schemes, medical and dental support, car schemes, education loans and paid vacations.

We seek to enhance work-life balance by providing a mix of flexi hours option for varying level of employee levels. Learning and development too are given top priority. A blend of formal training, on the job learning opportunities, inter departmental placements, peer and mentor learning relationships and empowering employees to become self-aware

on their own developmental needs are example of programmes that we o�er our sta�. Inter-regional postings and cross functional working teams are also implemented to encourage learning, knowledge sharing and transfer of best practices.

At Emery Oleochemicals, we take our business seriously. Although we are stern in our values, we have a policy of positive engagement. All key employees are provided with anti-corruption training. We are consistently audited for risks on corruption in line with our strict zero-corruption policies throughout all our operations. It is audited internally and by both shareholders. We pride ourselves in keeping a clean record of zero corruption since 2013.

Prosperity

Labour Practices and Decent Work

Employee Attrition

Total Number of Employee Attrition

2013 5.7%

2012 5.6%

2011 6.4%

2013 7.7%

2012 8.7%

2011 8.1%

2013 5.2%

2012 4.9%

2011 6.0%

Minimum Notice Periods Regarding Operational Changes

Malaysia1 month

USA2 months

Total Attrition Women Attrition Men Attrition

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Training & Development

Total Training Hours

21,969

2013

20,990

2012

17,155

2013

19,401

2012

15,595

2011

2,911

2013

6,762

2012

4,035

2011

19,628

2011

2013

88%

2012

86%

2011

86%

Percentage of Employees with Regular Performance And Development Plans

Total Training Hours for Sta� (non-managers)

Total Training Hours for Managers

At Emery Oleochemicals, sustainability begins within our own operations. We have established high performance standards for environment, health and safety at our facilities that extend beyond compliance with laws and regulations. Proactive implementation of these standards demonstrates our commitment to sustainability leadership in our industry.

We are dedicated to the long-term health and safety of everyone on Emery Oleochemicals’ property and protecting the environment in which we operate. Our Health, Safety and the Environment (HSE) professionals have teamed with Emery Oleochemicals’ leadership to drive

tremendous improvement and heightened awareness of the importance of HSE across our enterprise. Employees are engaged in identifying and managing risk and are active participants in continuously improving the environment, health and safety of our operations.

Each site has a HSE committee meeting regularly to track, monitor and improve HSE performance. Committees are a mix of managerial and non managerial, meeting on average 25 times annually in all global locations focusing on HSE issues such as safety improvement, accident avoidance, health improvement and general well being.

Health & Safety

2013

0.41

2012

0.86

2011

1.33

2013

0.2

2012

0

2011

0.2

2013

1.15

2012

5.0

2011

18.0

2013

0

2012

0

2011

1

2013

1.93

2012

1.85

2011

1.9

Total Recordable Injury Frequency (TRIF) per 100 employees

Injury Absence Frequency per 100 employees

Total Recordable Injury Rate (TRIR) per 100 employees Work Related Fatal Accidents

Worked Hours(in millons)

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At Emery Oleochemicals, sustainability begins within our own operations. We have established high performance standards for environment, health and safety at our facilities that extend beyond compliance with laws and regulations. Proactive implementation of these standards demonstrates our commitment to sustainability leadership in our industry.

We are dedicated to the long-term health and safety of everyone on Emery Oleochemicals’ property and protecting the environment in which we operate. Our Health, Safety and the Environment (HSE) professionals have teamed with Emery Oleochemicals’ leadership to drive

tremendous improvement and heightened awareness of the importance of HSE across our enterprise. Employees are engaged in identifying and managing risk and are active participants in continuously improving the environment, health and safety of our operations.

Each site has a HSE committee meeting regularly to track, monitor and improve HSE performance. Committees are a mix of managerial and non managerial, meeting on average 25 times annually in all global locations focusing on HSE issues such as safety improvement, accident avoidance, health improvement and general well being.

Health & Safety

2013

0.41

2012

0.86

2011

1.33

2013

0.2

2012

0

2011

0.2

2013

1.15

2012

5.0

2011

18.0

2013

0

2012

020

11

1

2013

1.93

2012

1.85

2011

1.9

Total Recordable Injury Frequency (TRIF) per 100 employees

Injury Absence Frequency per 100 employees

Total Recordable Injury Rate (TRIR) per 100 employees Work Related Fatal Accidents

Worked Hours(in millons)

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We believe that our commitment to socially responsible practices sets us apart. As we embrace innovation in our business, we strive to be of positive impact to the immediate societies we have our operations in. By uniting our people in this common cause, Emery Oleochemicals’ operations in each region has identified relevant stakeholders, depending upon the needs of the local community,

in developing initiatives that are as diverse as our people.

While practicing management styles synonymous with corporate social responsibility, we contribute to the realisation of a sustainable society, through various activities:

Community

Some 40 secondary school students are beneficiaries of Emery Oleochemicals’ “Adopt-a-Class” programme that has been held since 2010. The initiative is in aid of students who have slower learning abilities, come from financially di�cult circumstances or are challenged by other socio-economic issues. Students of the “Emery Class” also undergo leadership and motivation camps, extra classes and workshops on studying techniques that have enabled these teenagers to improve on their performance and development in and out of the classroom.

In Europe, Emery Oleochemicals generously provides internship and scholarships for youths from neighbouring schools and universities. Since 2011, we have been growing social and vocational skills through specially developed programmes. We also promote career opportunities in the field of sciences, amongst women during Girls’ Day.

Over the last 6 years, Emery Oleochemicals has contributed to the building and management of an “Emery Family Room” at the Ronald McDonald House, as part of the association’s e�ort to provide a “home-away-from-home” for families so they can stay close by to their hospitalised children at little or no cost.

Between 50 and 75 employees bring in Christmas gifts for the children at St. Joseph Orphanage, above and beyond the company’s donations, allowing all of the children to receive during the festive season. This is an employee initiative that we are proud to be doing for over 10 years.

Recognised as the second oldest zoo in the United States, some 1.2 million people visit the Cincinnati Zoo and Botanical Gardens annually. Through a partnership that began in 2009, we partake in an annual; sponsorship designed to better support the welfare of the Asian elephant, Malayan tiger and Sumatran rhinoceros as part of our e�orts in biodiversity preservation.

Profitability

Financial Data : Net Revenue (USD)

897 mil

2013

GLOBAL

NORTH AMERICA

294 mil

ASIA PACIFIC

300 mil

303 milEUROPE

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Profitability

Financial Data : Net Revenue (USD)

897 mil

2013

GLOBAL

NORTH AMERICA

294 mil

ASIA PACIFIC

300 mil

303 milEUROPE

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Contact PointFor further enquiries please contact : Faroze Nadar, Senior Manager, Global Corporate Sustainability, Emery Oleochemicals T : +60 3 7844 9262 (DL) • +60 3 7844 9333 (GL) F : +60 3 7844 9334 • M : +60 12 235 0875 E : [email protected]

Code Description Page

Provide a statement from the most senior decision-maker of the organization about the relevance of sustainability to the organization and the organizations strategy for addressing sustainability

Provide a description of key impacts, risks & opportunities

Report the name of the organization

Report the primary brands, products & services

Report the location of the organizations HQ

Report the number of countries where the organization operates and names of countries where either the organization has significant operations or that are specifically relevant to the sustainability topics covered in the report

Report the nature of ownership and legal form

Report the markets served (including geographic breakdown, sectors served and types of customers and beneficiaries)

Report the scale of the organizations including • Total number of employees• Total number of operations• Net sales• Quantity of products or services provided

• Report the total number of permanent employees by employment type and gender• Report the total workforce by region and gender

Report the percentage of total employees covered by collective bargaining agreements

Describe the organizations supply chain

Report whether and how the precautionary approach or principle is addressed by the organization

List externally developed economic, environmental and social charters, principles, or other initiatives to which the organization subscribes or which it endorses

List memberships of associations in which the organization• Participates in projects or committees• Views membership as strategic

This report is produced based on ‘in accordance’ - Core GRI G4 Reporting Principles, for the year 2013 and covers disclosure for the listed entities below:

G4-1

G4-2

G4-3

G4-4

G4-5

G4-6

G4-7

G4-8

G4-9

G4-10

G4-11

G4-12

G4-14

G4-15

G4-16

4

12,14,15,16

8

10,11

8

8

8

11

9

9

44

32

17

24

27

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Code Description Page

a) Explain the process for defining the report content and the Aspect Boundariesb) Explain how the organization has implemented the Reporting Principles for Defining Report Content

List all the material Aspects identified in the process for defining report content

For each material Aspect, report the Aspect Boundary within the organization as follows:• Report whether the Aspect is material within the organization• Report any specific limitation regarding the Aspect Boundary within the organization

For each material Aspect, report the Aspect Boundary outside the organization as follows:• Report whether the Aspect is material outside of the organization• If the Aspect is material outside the organization, identify the elements for which the Aspect is material

Provide a list of stakeholder groups engaged by the organization

Report the basis for identification and selection of stakeholders with whom to engage

Report the organizations approach to stakeholder engagement, including frequency of engagement by type and by stakeholder group and an indication of whether any of the engagement was undertaken specifically as part of the report preparation process

Report key topics and concerns that have been raised through stakeholder engagement, and how the organization has responded to those key topics and concerns, including through its reporting.

Reporting period for information provided

Date of the most recent previous report

Reporting cycle

Provide the contact point for questions regarding the report or its contents

a) Report the ‘in accordance’ option the organization has chosen

Report the governance structure of the organization, including committees of the highest governance body. Identify any committees responsible for decision making on economic, environmental and social impacts

Report processes for consultation between stakeholders and the highest governance body on economic, environmental and social topics. If consultation is delegated, describe to whom and any feedback processes to the highest governance body

Report the composition of the highest governance body and its committees

Report the highest governance body’s and senior executives roles in the development, approval, and updating of organizations purpose, value or mission statements, strategies, policies and goals related to economic, environmental and social impacts

a) Report the highest governance body’s role in the identification and management of economic, environmental and social impacts, risks and opportunities. b) Report whether stakeholder consultation is used to support the highest governance body’s identification and management of economic, environmental and social impacts, risks and opportunities

Report the highest governance body’s role in reviewing the effectiveness of the organizations risk management processes for economic, environmental and social topics

G4-18

G4-19

GG4-20

G4-21

G4-24

G4-25

G4-26

G4-27

G4-28

G4-29

G4-30

G4-31

G4-32

G4-34

G4-37

G4-38

G4-42

G4-45

G4-46

21

22

22

22

21

21

21

21

8

36

8

48

8

16

15

15

15

16

16

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Code Description Page

Report the frequency of the highest governance body’s review of economic, environmental and social impacts, risks and opportunities

Describe the organization’s values, principles, standards and norms of behavior such as codes of conduct and codes of ethics

a) Report the direct economic value generated and distributed (EVG&D) on an accrual basis including the basic components for the organizations global operations • Revenue

a) Report the percentage of senior management at significant locations of operation that are hired from the local community. b) Report the definition of ‘senior management’ used. c) Report the organization’s geographical definition of ‘local’. d. Report the definition used for ‘significant locations of operation’.

a) Report the total weight or volume of materials that are used to produce and package the organization’s primary products and services during the reporting period, by: - Non-renewable materials used - Renewable materials used

a) Report total fuel consumption from non-renewable sources in joules or multiples, including fuel types used. b) Report total fuel consumption from renewable fuel sources in joules or multiples, including fuel types used. c) Report in joules, watt-hours or multiples, the total: - Electricity consumption - Steam consumption e) Report total energy consumption in joules or multiples. f) Report standards, methodologies, and assumptions used. g. Report the source of the conversion factors used.

a) Report the total volume of water withdrawn from the following sources: - Ground water - Waste water from another organization - Municipal water supplies or other water utilities b) Report standards, methodologies, and assumptions used.

a) Report the total number of water sources significantly affected by withdrawal by type: - Size of water source - Whether or not the source is designated as a protected area (nationally or internationally) b) Report standards, methodologies, and assumptions used.

a) Report gross direct (Scope 1) GHG emissions in metric tons of CO2 equivalent, independent of any GHG trades, such as purchases, sales, or transfers of offsets or allowances. b) Report gases included in the calculation (whether CO2, CH4, N2O, HFCs, PFCs, SF6, NF3, or all). e) Report standards, methodologies, and assumptions used.

a) Report gross energy indirect (Scope 2) GHG emissions in metric tons of CO2 equivalent, independent of any GHG trades, such as purchases, sales, or transfers of offsets or allowances. b) Report gases included in the calculation, if available.d) Report standards, methodologies, and assumptions used.

a) Report the amount of GHG emissions reductions achieved as a direct result of initiatives to reduce emissions, in metric tons of CO2 equivalent. b) Report gases included in the calculation (whether CO2, CH4, N2O, HFCs, PFCs, SF6, NF3, or all). d) Report standards, methodologies, and assumptions used.

a) Report production, imports, and exports of ODS in metric tons of CFC-11 equivalent. c) Report standards, methodologies, and assumptions used.

G4-47

G4-56

EC1

EC6

EN1

EN3

EN8

EN9

EN15

EN16

EN19

EN20

16

23

48

9

36

36

38

38

39

39

39

40

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Code Description Page

a) Report the amount of significant air emissions, in kilograms or multiples for each of the following: - NOX - SOX - Volatile organic compounds (VOC) - Other standard categories of air emissions identified in relevant regulations b) Report standards, methodologies, and assumptions used.

a) Report the total volume of planned and unplanned water discharges by: - Destination - Quality of the water including treatment method b) Report standards, methodologies, and assumptions used.

a) Report the total weight of hazardous and non-hazardous waste, by the following disposal methods: - Recycling - Landfill b) Report how the waste disposal method has been determined: - Disposed of directly by the organization or otherwise directly confirmed

a) Report the total weight for each of the following: - Hazardous waste treated b) Report the percentage of hazardous waste shipped internationally.

a) Report quantitatively the extent to which environmental impacts of products and services have been mitigated during the reporting period.

b) Report the total number and rate of employee turnover during the reporting period, by age group, gender and region.

a) Report the minimum number of weeks’ notice typically provided to employees and their elected representatives prior to the implementation of significant operational changes that could substantially affect them. b) For organizations with collective bargaining agreements, report whether the notice period and provisions for consultation and negotiation are specified in collective agreements.

a) Report types of injury, injury rate (IR), occupational diseases rate (ODR), lost day rate (LDR), absentee rate (AR) and work-related fatalities, for the total workforce (that is, total employees plus supervised workers), by:

a) Report the average hours of training that the organization’s employees have undertaken during the reporting period, by: - Gender - Employee category

a) Report the percentage of total employees by gender and by employee category who received a regular performance and career development review during the reporting period.

a) Report the percentage of operations with implemented local community engagement, impact assessments, and development programs, including the use of: - Social impact assessments, including gender impact assessments, based on participatory processes - Environmental impact assessments and ongoing monitoring - Public disclosure of results of environmental and social impact assessments - Local community development programs based on local communities’ needs - Stakeholder engagement plans based on stakeholder mapping - Broad based local community consultation committees and processes that include vulnerable groups - Works councils, occupational health and safety committees and other employee representation bodies to deal with impacts - Formal local community grievance processes

a) Report the total number and percentage of operations assessed for risks related to corruption. b) Report the significant risks related to corruption identified through the risk assessment.

EN21

EN22

EN23

EN25

EN27

LA1

LA4

LA6

LA9

LA11

SO1

SO3

40

41

42

42

35

44

44

46

45

45

47

47

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