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Sustainability Light Report 2009
Heineken Hungária
... wants to be the greenest brewer in the country
2
Table of contents
1 Foreword ...................................................................................................................................3
2 Company Profile .........................................................................................................................4
3 Economic Dimension ..................................................................................................................5
4 Environmental Dimension ...........................................................................................................6
4.1 Energy ...................................................................................................................................... 6
4.2 Water and waste water ............................................................................................................ 8
4.3 Waste and recycling ................................................................................................................. 9
5 Social dimension ....................................................................................................................... 10
5.1 Safety ..................................................................................................................................... 10
5.2 Reporting unsafe working conditions ..................................................................................... 11
5.3 Supply chain responsibility ..................................................................................................... 11
5.4 Responsible beer consumption .............................................................................................. 11
5.5 Integrity ................................................................................................................................. 12
5.6 Community involvement ........................................................................................................ 13
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1 Foreword
Heineken Hungária is a proud part of the Heineken Group, one of the world’s leading international
brewing companies. The Heineken Group has formulated and maintained an active strategy in the area
of sustainability. As a result, Heineken Hungária has adopted an approach to sustainability that fits in
Heineken’s global strategy to minimize possible negative effects from our business and maximize
positive ones. Concretely, Heineken has determined seven focal areas in its global strategy:
• Energy
• Water, waste and recycling
• Safety
• Agriculture
• Supply chain responsibility
• Responsible beer consumption
• Impacts on developing markets
In this leaflet, we inform you about our performance in these areas and have also included a description
of some activities we believe are relevant in our national context.
We have done a lot and we realize we still need to do a lot more. Sustainability is a journey, a quest to
improve what can be improved with the aim of making our world a better world and our company a
better company. We cannot do this alone. We need you, our internal and external stakeholders to help
us with ideas and actions. This sustainability leaflet is intended to give you an oversight of what we, as a
company do. With this information, you will be able to better understand us and to better assist us in
our quest for excellence.
“Heineken Hungary as one of the leading players in the Hungarian beer market wants to be the greenest
brewer in the country, respecting the interest of the environment, the community, the stakeholders, and
the employees in order to operate a successfully sustainable business.”
Oladele Ajayi
General Manager
4
2 Company Profile
Heineken Hungária Sörgyárak Zrt. (Heineken Hungary Breweries Private Shareholding Company) owns
and operates two breweries in Hungary. Brewing traditions are well established in both Sopron and
Martfű, though each brewery has a different history.
In Sopron – centre of one of the country's historic wine-producing regions - there is a long-standing
tradition of beer brewing, and in 1895 the brewery was founded with the name Első Soproni Serfőzde és
Malátagyár (First Sopron Brewery and Malt Plant). In 1988 the brewery signed a licensing agreement
with Österreichische Brau AG: the Sopron Brewery produced and distributed Steffl beer according to the
original recipe. This agreement was followed by one for Zipfer in 1994 and another for Gösser in 1995. In
1992 the Sopron Brewery became a shareholding company, with BBAG the new majority shareholder.
The company's other brewery, in Martfű, is a younger brewery. 28 eastern Hungarian agricultural
associations and state farms founded the associate brewery in 1982 to meet the shortages at that time
on the beer market. This brewery, close to the city of Szolnok, began production in 1985, using modern
technology in an up-to-date environment which was unique in Hungary at the time.
In 1997 the Sopron Brewery merged with the Martfű First Hungarian Associate Brewery Company. From
1998 the Sopron Brewery Shareholding Company changed its name to the Brau Union Hungary
Breweries Shareholding Company to reflect its ownership. Following this, both plants underwent
significant modernisation. As a result of investment, annual production in 2001 reached 1.2 million
hectolitres in the Sopron brewery and 600 thousand hectolitres in Martfű. The 7000 square metre
warehouses at both the Sopron and Martfű plants can store up to 14 million bottles of beer.
From 2004 Amstel Breweries and Brau Union Hungary Breweries signed a production and distribution
agreement, resulting in the creation of a unique product and brand portfolio in Hungary. In 2005 the
Heineken group made a public bid for shares in Brau Union Hungary Breweries Shareholding Company,
after which the priority shares were delisted from the Budapest Stock Exchange. From June 1st, 2007
the company name changed to Heineken Hungária Sörgyárak NyRt (Heineken Hungary Breweries Public
Shareholding Company). The name change to Heineken reflects the increasing corporate value of the
company, and the image of the Heineken brand which has had a positive effect, increasing awareness
and bringing the firm closer to its consumers.
At the start of the year 2008 the Heineken group purchased the entire share package of the minority
shareholders, making the group the 100% owner. The change in ownership structure also necessitated a
change in the format of the company, and the name changed from Nyrt (public shareholding) to Zrt
(private shareholding company).
5
The company presently employs nearly 600 people, with net revenues of 47.3 billion forints in 2009. It is
a market leader in several segments of the Hungarian beer market.
The company is a leader in environmental protection, and pays constant attention to helping
environmental conservation by using the most modern production methods. The brewery in Martfű was
the first in Hungary to have its own wastewater treatment plant, and the results of continuous authority
inspections show that the water quality more than meets the very strict limit value requirements of the
river Tisza. The wastewater sludge from Martfű is composted and then utilised by Hungarian agriculture,
while the plant in Sopron operates the most modern type of anaerobic wastewater treatment facility,
enabling the use of the biogas emitted by the wastewater.
Products distributed by Heineken Hungary are: Heineken, Soproni, Gösser, Amstel, Edelweiss, Kaiser,
Steffl, Zlaty Bazant, Adambrau
Official company website: www.heinekenhungaria.hu
3 Economic Dimension
Heineken Hungária is one of the largest brewing companies in Hungary. We employ almost 600 people
directly. In the sectors that supply us, there are an additional 740 jobs in Hungary while in the hospitality
sector around 5,900 jobs can be attributed to our activities. Including some 700 jobs in retail, the total
employment related to our brewing activities is around 8,000.
In 2009, the Hungarian government received a total of 19.8 billion forints excise duties, VAT, income
taxes and corporate and other taxes.
Heineken Hungária has a policy in place that favours local suppliers - 59% of our supplies came from
Hungarian companies in 2009.
6
4 Environmental Dimension
Heineken Hungária has the certificated Environment Management System (ISO 14001) since 2000.
According to our environment policy our company has committed itself to decrease the effects of beer
production on the environment:
“The environmental protection has been handled as one of the most important issues of the company.
We are continuously controlling the impact of our activities and products on the environment and nature
and these play an important role in the setting of our environmental targets. We are doing our everyday
work in harmony with our environment, and improving our environmental performances with the help of
preventing environmental load and initiating environmental friendly solutions. The management of our
company is engaged to decide according to these ideas and demand the same behaviour from every
colleague.”
In line with Heineken policy, we focus our attention on energy and water consumptions. In addition to which we have a lot of activities to increase the recycling ratio of our by-products, industrial and
packaging waste.
4.1 Energy
Energy is important to our company. First and foremost, it is a scarce resource that comes at a cost.
Secondly, burning fossil fuels contributes to global warming and we feel a responsibility in reducing our
carbon emissions in order to help reduce the problem.
Over the past year, our specific thermal energy consumption (the thermal energy (heat) we need to
brew one hectolitre of beer) has decreased by 7% from 98,4 to 91,2 MJ/hl. This improvement is mainly
due to a better performance of the Sopron site, where our Total Productive Management programme
delivered considerable results. Overall, Heineken Hungária performs a little above the Heineken Group
average of 89 MJ/hl.
Our specific electricity consumption
decrease by 6% from 8.10 to 7,64 kWh/hl from 2008 to 2009. This is lower than the Heineken average of
8,99 kWh/hl and our internal target was met.
cific electricity consumption (the electricity we need to brew one hectolitre
64 kWh/hl from 2008 to 2009. This is lower than the Heineken average of
target was met.
7
hectolitre of beer) saw a
64 kWh/hl from 2008 to 2009. This is lower than the Heineken average of
As a result of our lower thermal energy and electricity consumption, t
emissions in kg per hectolitre of beer have
is lower than the Heineken average
4.2 Water and waste water
Water is our most important raw material
installations.
From 2008 to 2009, our specific water consumption
hectolitre of beer) fell by 9% from 4
hl/hl. Our internal target was only just missed
water consumption, with Sopron contributing
in the packaging mix, reduction of losses and continuous training and awareness of operators.
s a result of our lower thermal energy and electricity consumption, the resulting direct and indirect CO
emissions in kg per hectolitre of beer have decreased by 19% from 10.1 in 2008 to 8
is lower than the Heineken average of 9,4 kg CO2/hl and our internal target of 8,3 kg/hl was met.
and waste water
raw material. In addition, we also use water to clean our bottles and
specific water consumption (the quantity of water needed to brew one
from 4,3 to 3,9 hl water/hl. This is lower than the Heineken average
only just missed. Both our Martfű and Sopron breweries
water consumption, with Sopron contributing the most in absolute figures. This
in the packaging mix, reduction of losses and continuous training and awareness of operators.
8
resulting direct and indirect CO2
to 8,2 kg/hl in 2009. This
3 kg/hl was met.
. In addition, we also use water to clean our bottles and
(the quantity of water needed to brew one
9 hl water/hl. This is lower than the Heineken average of 4,77
breweries improved their
is the result of a change
in the packaging mix, reduction of losses and continuous training and awareness of operators.
Next to water consumption, we pay attention to the quality of the wastewater we return to the
environment. The effluent organic load to surface water
4.3 Waste and recycling
Like every industry, the business of
of this waste and by-products are recycled.
By-products like surplus yeast and
agent by beer processing) and waste water sludge is used in the agriculture as soil improver. The other
wastes (like packaging material) are collected separated and
and waste are re-used or recycled.
We also take care of the packaging waste which is produced by selling one
multipacks etc). Heineken Hungá
recycling coordination company in
symbol and is responsible for the
Next to water consumption, we pay attention to the quality of the wastewater we return to the
organic load to surface water remained stable at 11 tonnes COD in 2009.
Like every industry, the business of Heineken Hungária produces by-products and waste.
products are recycled.
and spent grain are used as cattle food. The kieselghur (used as filter
agent by beer processing) and waste water sludge is used in the agriculture as soil improver. The other
wastes (like packaging material) are collected separated and recycled. 96% of the produced by
used or recycled.
the packaging waste which is produced by selling one-way beer packaging (cans,
). Heineken Hungária is a founding member of Öko-Pannon, the
ecycling coordination company in Hungary. Öko-Pannon is the owner of the Hungarian Green Dot
for the collection and recycling of packaging waste in Hungary.
9
Next to water consumption, we pay attention to the quality of the wastewater we return to the
remained stable at 11 tonnes COD in 2009.
products and waste. However, most
are used as cattle food. The kieselghur (used as filter
agent by beer processing) and waste water sludge is used in the agriculture as soil improver. The other
recycled. 96% of the produced by-products
way beer packaging (cans,
biggest packaging waste
Pannon is the owner of the Hungarian Green Dot
packaging waste in Hungary.
5 Social dimension
In line with the Heineken global strategy, we focus on safety, supply chain responsibility, responsible
beer consumption, integrity and community involvement
5.1 Safety
The safety of our workforce is of
accidents per 100 FTEs) has decreased
Group average value of 1.5 cases/100 FTE.
Sopron brewery, while our facility in
Our accident severity value decreased from
accident severity of Heineken Hungá
accident frequency of 53 lost days per 100 FTE's for 2009.
In 2009, we started with Total Productive Management (TPM),
One of the pillars of this programme is the
is to use the advanced tool of the TPM methodology to reach our Safety Vision: “Zero accident brewery
operation”.
The Mission of the Safety Pillar is: “
improving the safety awareness of people and establishing a system in which we can report and analyse
all accident, incident, near misses, unsafe working condition and behaviour.
lobal strategy, we focus on safety, supply chain responsibility, responsible
beer consumption, integrity and community involvement.
The safety of our workforce is of the utmost importance to us. Our accident frequency
has decreased from 1.19 to 0.42 cases/100 FTE. This is lower than the Heineken
average value of 1.5 cases/100 FTE. The improvement is due to a better performance
our facility in Martfű continued to operate without any accidents.
decreased from 40 to 12 lost calendar days/100 FTE from 2008 to 2009. The
Heineken Hungária is significantly better than the average reported Heineken
accident frequency of 53 lost days per 100 FTE's for 2009.
al Productive Management (TPM), our strategic improvement program
One of the pillars of this programme is the Safety Pillar for both of the breweries. The aim of this activity
is to use the advanced tool of the TPM methodology to reach our Safety Vision: “Zero accident brewery
The Mission of the Safety Pillar is: “Evaluate all potential safety risks and eliminate
improving the safety awareness of people and establishing a system in which we can report and analyse
all accident, incident, near misses, unsafe working condition and behaviour.”
10
lobal strategy, we focus on safety, supply chain responsibility, responsible
accident frequency (the number of
1.19 to 0.42 cases/100 FTE. This is lower than the Heineken
improvement is due to a better performance at our
operate without any accidents.
days/100 FTE from 2008 to 2009. The
better than the average reported Heineken
our strategic improvement programme.
both of the breweries. The aim of this activity
is to use the advanced tool of the TPM methodology to reach our Safety Vision: “Zero accident brewery
tial safety risks and eliminate them by means of
improving the safety awareness of people and establishing a system in which we can report and analyse
11
5.2 Reporting unsafe working conditions
The key to reach or Safety Vision: “Zero accident brewery operation” is to involve the shop floor people
on safety issues. It has a simple reason: they are working all day long with the machines they are the
ones who see the first time the small and also bigger problems, E.G. slippery surfaces, hot surfaces,
missing or damaged safety covers and so on. Based on that idea we introduced a safety tagging system.
Operators, maintenance staff have to write a tag (small failure record) about dangerous working
conditions. We collect these records in a register in which we indicate the responsible person and
deadline to remove the tag (eliminate the problem). In 2009 we eliminated more than 280 safety tags
which means that we have eliminated the same number of possible source of incident or accidents.
5.3 Supply chain responsibility
We have implemented the Heineken Supplier Code, holding requirements in the areas of integrity,
human rights and environmental management in our purchasing processes. This means that we ask our
suppliers to confirm their compliance with the provisions of the Supplier Code in all contracts where we
issue a tender or where we believe there could be a risk of non-compliance with the provisions of the
Supplier Code. To date, 20% of our suppliers have returned our compliance statement. There are no
known cases of non-compliance.
5.4 Responsible beer consumption
Our policy to promote responsible consumption focuses on four different areas:
1. Alcohol consumption by our own employees
2. Responsible commercial communication
3. Promoting responsibility
4. Engaging in partnerships that tackle alcohol abuse and misuse
Cool@Work
Our Cool@Work programme aims to teach our employees how to deal with alcohol. We have a formal
policy on this issue as well as rules on the consumption of alcoholic beverages on our premises. Every
employee receives training on it as part of their induction programme. Periodically, we re-emphasize the
importance of our internal alcohol policy through internal media such as articles in our employee
magazine, posters and through our intranet.
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Responsible advertising
Heineken Hungária follows the Heineken Rules for Responsible Commercial Communication. We have a
written approval procedure for all our commercial communication. People who work in our marketing
and sales department and who have decision or budget authority are regularly trained on the content
and application of our rules. We also follow the strict rules of self-regulation. We undergo the rules of
the Ethical Code of the Hungarian Self-Regulatory Body and follow the Ethics Code of the Association of
Hungarian Brewers as a responsible player of the brewing industry. As a result of our efforts, in 2009, we
did not suffer any complaints regarding our commercial communication.
Promoting responsibility
We print an “Enjoy Responsibly” message with a reference to their responsible consumption websites
on all our packaging for the Heineken, Soproni and Gösser brands – labels of bottles and cans, multipack
packagings. For the Heineken brand we have implemented the Know The Signs campaign, an online
awareness campaign that demonstrated the various unwanted effects associated with drinking too
much.
Partnerships
In co-operation with EIKKA, Est Media Group and Sziget Ltd. we started a new program called “Where is
the limit? See clearly, decide responsibly” in 2009. The partners in this initiative want to draw the
attention to young adults in risk groups to the fact that irresponsible alcohol consumption can lead to
serious problems and thus to help them to make their drinking decisions responsibly. The programme
also aims to widen the knowledge about alcohol, to support preparation of the conscious consumer
decision, and to generate the topic of conscious and responsible alcohol consumption in the media.
The result of the programme during the first few months after the launch was 13.500 viewers on
www.holahatar.hu and 50.000 downloads of the videos prepared at our sponsored events based on the
research results made by EIKKA.
5.5 Integrity
At Heineken Hungária, we value integrity in everything we do. We actively inform and where necessary
train new employees in the application of our Code of Business Conduct. Every employee signs a
declaration of awareness after entering the company. The information is available in the Employee
Brochure that everyone receives. We also reinforce the topic in staff meetings. Through our whistle
blowing procedure, employees can report infringements.
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5.6 Community involvement
Heineken Hungária wants to be an active and valuable part of the communities in which we operate. To
this end, we are an active supporter and sponsor of local initiatives. In 2009, we invested three million
forints in cash in community projects. Our most important programs in this respect are connected to
Sopron and Martfű; the two cities where we operate.
Heineken Hungária’s initiative to support the communities living in the towns which are home to the
company's breweries can already be described as traditional. The charity program entitled "Heineken
Hungária for Sopron and Martfű" started in 2008, continued in 2009, and was warmly welcomed right
from the start by the towns' inhabitants. For the company, the greatest achievement is seeing the
objectives set by the candidates taking part in the charity program finally become a reality.
The main patrons of the program are the mayors of the towns, whose task each year is to nominate the
three foundations or associations which will compete for the financial award donated by us. The
nominated candidates have to set an objective which they will put into practice should they win.
On the official websites (www.heinekensopronert.hu and www.heinekenmartfuert.hu ) citizens can vote
for their chosen candidate during a one month period. The candidate that receives the most votes on
the website is awarded the financial support.
Representatives of the winners in Sopron in 2009, the "Frigyes Rösch Foundation for Fire Protection in
the City of Sopron", donated the money to the local fire brigade, who bought 144 pairs of special
protective gloves, making it easier for them to carry out their life-saving work. In Martfű in March 2010,
the "Good Hope Club Association" organised a Health Day in the town, during which local residents were
offered medical screening examinations which are otherwise not available in the town. Thanks to the
support funding, more than 200 people were able to have special medical check-ups for free.
- end -
This is the first Sustainability Light report published by Heineken Hungária. We welcome any feedback
on the content of this report. Feel free to contact us via email: [email protected]