Environmental, Social and Governance (ESG) strategies have
become paramount to steer positive change for the planet, people, communities
and other stakeholders. Sustainability has garnered headlines with measures for
waste reduction, carbon emissions and higher raw material costs. The global
push to boost ESG performance has compelled brands to emphasize recycling and
waste management.
Notably, the adoption of the Sustainable Development Goals
suggests countries' commitment to helping halve per capita food waste at the
consumer and retail levels and minimize food losses by 2030. Amidst efforts to
bolster food accessibility, around 687 million people go hungry each day,
according to a report cited by the World Bank. In essence, the organization
notes that 1.3 billion tons of food are wasted by consumers and retailers or
lost along the supply chain.
Investors, shareholders and other stakeholders are
emphasizing the reduction of environmental footprint. Government agencies and
organizations are responding to demands for ESG reporting. The emergence and
implementation of policies have made a profound difference in the industry. In
August 2022, U.S. President Joe Biden inked an Inflation Reduction Act,
alluding to the injection of USD 369 billion into energy and climate
projects in the next 10 years. Several provisions of the Act aim to minimize
greenhouse gas emissions by a billion metric tons by 2030.
Key Companies in Food Waste Management Industry
• Veoli
• Suez
• Waste Management, Inc.
• Republic Services, Inc.
• Covanta Ltd.
• Stericycle, Inc.
Discover
more regarding the practices and strategies being implemented by industry
participants in the Food Waste Management Industry ESG Thematic Report, 2023,
published by Astra ESG Solutions
Environmental Perspective
Food waste management companies have exhibited bullish
traction for ESG as they augment greenhouse gas emission- and food waste- reduction
targets. Boosting sustainable practices to motivate vendor partners,
stakeholders and communities can solidify the company's position in the global
ecosystem. To illustrate, Albertsons Companies mentioned in its report the
commitment to zero food waste going to landfills by 2030.
The American grocery company is vying to propel the
reusability, recyclability and compostability of Own Brands packaging by 2025.
Furthermore, it is gearing to achieve net zero emissions in its operations by
2040 and 47% carbon reduction from its operation by 2030. Prominently, the
company suggested it diverted over 215 million pounds of food from landfill
with the help of anaerobic digestion. Industry partners and leaders are
expected to be inclined towards creating a sustainable food system, eradicating
hunger and undergirding food security.
Is your business one of the participants in the Food Waste
Management Industry? Contact us for focused consultation around ESG Investing, and help you build
sustainable business practices
Social Perspective
Amidst the prevalence of food insecurity, an emphasis on
customers' and employees' well-being has prompted industry leaders to bank on
the social pillar. In doing so, stakeholders have upped their efforts on
diversity, equity and inclusion to foster community engagement, augment the
pool of diverse candidates, expand training and promote racial equity and
social justice. For instance, in 2021, Kellogg's included Potential Severe
Injury Fatality cases and rolled out EHS Insight Dashboards to offer better
trends analysis of EHS data. The company claims to have no fatalities in 2021,
with a global total Kellogg total reportable incident rate of 0.42.
The food company has furthered its efforts on diversity
globally. For instance, as of December 2022, 25% of the 3,000 employees in
Kellogg India are women. Women of Kellogg + (WOK+) has become pivotal in
empowering women and advocating gender equity in the workplace. The American
food manufacturing company is committed to Human Rights Campaigns Best Place to
Work for LGBTQ Equality and Diversity Best Practices Index, among others.
Companies are expected to embrace the commitment to diversity, equity and
inclusion to deliver upsides to the communities, people and the environment.
Governance Perspective
Food waste management companies are counting on corporate
governance, transparency, board diversity, corporate behavior and ethics to
stay ahead of the curve. Diversity of experience, skills, backgrounds,
qualifications, expertise and age will hold the key to selecting board members.
Notably, in Veolia, seven out of ten directors on the Board of Directors of
Environment are independent. The BoD is responsible for drafting the agenda of
the annual shareholders meeting and appointing the chairman and the financial
statements. The company has four committees: Research, Innovation and
Sustainable Development Committee, accounts and audit committee, nominations
committee and compensation committee.
Brands, such as Veolia, have made a giant stride in gender
diversity to bolster their position in ESG performance. Prominently, the
company has 33% women on the Executive committee and is gearing up for 25%
women among Group executives by 2023. With gender diversity and professional
equity gaining ground, companies are poised to create meaningful change through
investments in governance.
The competitive landscape alludes to an emphasis on organic
and inorganic strategies to tap into the global landscape. To put things in
perspective, commitment to environmentally friendly food practices using
state-of-the-art technologies may become pronounced in the ensuing period. The
use of machine learning and AI could become the next big thing to reduce waste
and propel sales through inventory management. Amazon asserts the Amazon
Forecast has helped its customers in Greater China minimize product waste by
37%, leading to 22% cost savings across three merchandise categories and 168 stores.
About Astra – ESG Solutions by Grand View Research
Astra is the Environmental, Social, and Governance (ESG)
arm of Grand View Research Inc. - a global market research publishing &
management consulting firm.
Astra offers comprehensive ESG thematic assessment &
scores across diverse impact & socially responsible investment topics,
including both public and private companies along with intuitive dashboards.
Our ESG solutions are powered by robust fundamental & alternative
information. Astra specializes in consulting services that equip corporates and
the investment community with the in-depth ESG research and actionable insight
they need to support their bottom lines and their values. We have supported our
clients across diverse ESG consulting projects & advisory services,
including climate strategies & assessment, ESG benchmarking, stakeholder
engagement programs, active ownership, developing ESG investment strategies,
ESG data services, build corporate sustainability reports. Astra team includes
a pool of industry experts and ESG enthusiasts who possess extensive end-end
ESG research and consulting experience at a global level.
For more ESG Thematic reports, please visit AstraESG Solutions, powered by Grand View Research
