Sustainability
and
responsibility
Sustainability
and
responsibility
In our sustainability reporting, we comply with the guidelines of the Global Reporting Initiative (GRI) from the version GRI Standards (2016), including the most recent updates of selected indicators from 2018.
In doing so, we conform to the highest application level “In accordance – Comprehensive,” which means that we fully account for all the material topics. As an active member of the Global Compact, we adhere to its universal principles for responsible corporate management as well as to the sustainable development goals of the United Nations (SDGs). We actively contribute to achieving them along our entire value chain, from the generation of raw materials and product development to our customer relationships. The following chapters focus on our sustainable activities throughout these stages of the value chain.
We have integrated all quantitative and qualitative transparency information, our strategic approach and the management concepts of our material topics into our sustainability record in accordance with the GRI and thus meet the requirements of the CSR Directive Implementation Law (CSR-RUG) pursuant to Section 289b (3) of the German Commercial Code (HGB). All information has been externally audited in accordance with the AA1000 Assurance Standard.
Corporate report
Focus
- Integrated corporate strategy
- Central non-financial management key figures
- An overview of sustainability management
and material topics - Contribution to the Sustainable Development Goals (SDGs) along the value chain
Sustainability-record
Focus
- All key figures and information are in accordance with the GRI standards
- Non-financial report pursuant to Section 289b (3) of the German Commercial Code (HGB)
- Progress report for the Global Compact
Available at:
cr2019.symrise.com/sustainability/sustainability-record
Increase in eco-efficiency*
% Reduction
in CO2 from
2010 to 2019
% Reduction
in COD** from
2010 to 2019
% Reduction in sensitive waste
from 2010 to 2019
Occupational safety
% Reduction in MAQ*** from
2013 to 2019, goal attainment
Sustainability in the supply chain
% Share of main suppliers based
on procurement volume and rated according
to sustainability criteria
*All figures in terms of added value of € 1 million
**COD = chemical oxygen demand
***MAQ = work accidents (> 1 lost day) x 1 million/working hours
2019 Partnerships
Entry into the Development and Climate Alliance
One Planet Business for Biodiversity (OP2B)
RE100 initiative
Our material topics
Our material topics
Comprehensive materiality analysis
In the 2019 reporting year, we updated our materiality analysis as part of an extensive online survey in combination with a qualitative survey of our stakeholders based on interviews of experts, ranging from investors and customers to NGOs, scientists and politicians and from our employees to our Executive Board.
Where appropriate, we’ve revised the names and focus of material topics. For example, what used to be the “compliance” topic is now “good corporate governance and compliance.” Once measured separately, the topics “sustainable forestry,” “sustainable agriculture and aquaculture” and “biodiversity” have been combined to create “protection of biodiversity” due to overlapping areas of focus. “Excellence in the supply chain” has been integrated into related topics. The climate protection activities of Symrise are now explicitly addressed with the topic of “climate protection and emission reduction,” which extends beyond the mere reduction of emissions.
The various surveys were conducted between June and August 2019 and have provided us with knowledge about the expectations of our stakeholders, the relevance of sustainability topics for business and the impact that the business activities of Symrise have on people, the environment and society. More than 1,500 fully completed online surveys and just under 30 qualitative expert interviews were evaluated.
The three central topics of focus identified among all of the stakeholders were “responsible sourcing,” “climate protection and emission reduction” and “responsible use of raw materials.” During the qualitative interviews, external experts also emphasized dependence on natural raw materials in the “race for resources” and the importance of a company’s climate protection activities.
Symrise employee
»The biggest social and environmental challenges […] are climate change, supplier management and increasingly complex supply chains.«Sustainability expert
*Sustainable partnerships, good corporate governance & compliance form the basis of all our material topics, the business activities of Symrise and all our activities.
We provide comprehensive, transparent information on our sustainability activities and key figures in our online sustainability record:
cr2019.symrise.com/sustainability/sustainability-record
Footprint
Innovation
Sourcing
Care
Footprint
Innovation
Sourcing
Care
The highest-ranked topic from the previous year, “compliance with human rights,” continues to be extremely important. But this year it shares the spotlight with other prominently ranked topics associated with the key sustainability issues of “innovation” and “ecological footprint” as well as the overarching strategic, company-wide topics “good corporate governance” and “sustainable partnerships.” Collaboration and transparency were generally considered to be key drivers for sustainability from both an external and internal perspective.
The results were then discussed and validated by the Sustainability Board. See the following summary table for an overview of all the material topics, their definitions, goals, goal attainment, and management methods.
Goals and management of our sustainability topics
Goals and management of our sustainability topics
Definition
Transparency in terms of the origin of raw materials as well as supplier auditing in accordance with environmental and social standards to ensure fair working conditions and environmental protection throughout the entire value chain.
Selected goals
Increase the share of main suppliers rated according to sustainability criteria to 100 % by 2025.
Goal attainment
All of the main suppliers of Symrise (in terms of procurement volume) rated according to sustainability criteria.
Management methods
Supplier screening, certifications and audits; involvement in international (industry) initiatives (SAI, FSC, CDP supply chain program, Rainforest Alliance, RSPO, GIZ, Save the Children, IFFO, etc.)
Definition
Reduction of climate, noise and odor emissions and energy consumption as well as an increase in the use of renewable energies.
Selected goals
Symrise will be climate-positive as of 2030.
Goal attainment
Increase in eco-efficiency based on a reduction of 7,2 % in greenhouse gas emissions (Scope 1 and 2).
Management methods
TCFD-Commitment, CDP Climate Change
Definition
Efficient, economical use of finite raw materials, focus on renewable raw materials.
Selected goals
Reduction of 60 % in chemical oxygen demand in the water as well as our sensitive waste compared to 2010 by 2025.
Goal attainment
The chemical oxygen demand increased by 3.2 % in the reporting year, due to a significant increase in production volume.
Reduction of 3.9 % in sensitive waste in comparison to 2018.
Management methods
Green chemistry approach, recovery through patented SymTrap® process
Definition
Compliance with legislation, guidelines and internal rules, responsible company management, appropriate handling of risks.
Selected goals
By 2025, we are planning for an above-average global tax rate of 26 to 28 %.
Ensure that all Symrise sites are audited in accordance with relevant standards.
Goal attainment
In 2019, our global tax rate was 27.1 %..
100 % of Symrise sites audited in accordance with relevant standards.
Management methods
Further development of the Integrated Management System (IMS), external certifications, internal and external audits
Definition
Establishment of long-term partnerships and knowledge exchange to increase sustainability.
Selected goals
Establish and increase trust, knowledge transfer and synergies between Symrise companies and NGOs, suppliers, political institutions and local partners.
Goal attainment
Continuation of long-term project partnerships.
Joined new initiatives in 2019, including Development and Climate Alliance and One Planet Business for Biodiversity.
Management methods
Involvement in a variety of international industry collaborations, partnerships and competitive approaches
Definition
Development of eco-friendly and socially compatible production innovations in fragrances and flavorings.
Selected goals
More than 12 % of our sales with new product developments by 2025.
Systematic integration of the Nagoya Protocol requirements into our research and development activities by 2020.
Goal attainment
With 16.4 % of sales from new product developments, we have once again exceeded our target value.
Operational instructions implemented in accordance with EU Regulation 511/2014 for research and development as well as additional relevant functional areas.
Management methods
Market and trend research, consideration of regulatory requirements, product sustainability scorecard, green chemistry approach
Integrated management system, Nagoya Protocol Committee, Nagoya policy
Definition
Careful, efficient use of water, particularly in areas with water shortages.
Selected goals
Increased water efficiency at production sites located in regions affected by water stress.
Goal attainment
Water consumption at production sites in water stress regions increased by 3.2 % in the reporting year, due to an average increase of 15 % in production in these countries.
Management methods
Symrise water policy, CDP water
Definition
Promotion of biodiversity, minimization of direct and indirect human impact on natural ecosystems, environmental protection measures related to sustainable agriculture and aquaculture.
Selected goals
100 % sustainable sourcing of our strategic agricultural and aquacultural raw materials as of 2025.
Goal attainment
Strategic biobased raw materials from agriculture and aquaculture were identified in 2019 and will be sourced from sustainable sources by 2025.
Management methods
Sustainable supply chain management, raw material certifications, backward integration, CDP forest
Involvement in a variety of international (industry) initiatives
Definition
Ensuring safe, high-quality products.
Selected goals
Maintaining a high level of product safety management.
Goal attainment
No significant product safety incidents in 2019.
Management methods
Internal and external audits; safety certifications
Definition
Obligation to comply with social standards at the company and throughout the entire supply chain as well as measures for fulfilling these standards.
Selected goals
Increase the share of main suppliers rated according to sustainability criteria to 100 % by 2025.
Goal attainment
All of the main suppliers of Symrise (in terms of procurement volume) rated according to sustainability criteria.
Management methods
Internal and external audits and certifications; supplier screening (Sedex)
Definition
Compliance with occupational safety provisions, measures to prevent work accidents and work-related ill health, promotion of employee health.
Selected goals
“Zero-accident culture” and reduction in frequency of accidents to MAQ < 1.5 by 2025.
Goal attainment
Routine management safety visits by global managers.
Management methods
Management safety visits, ISO 45001 as of 2020, both internal and external audits, continuous safety training courses
Definition
Compliance with safety regulations to avoid and minimize harmful impacts on people, the environment and assets at company sites.
Selected goals
Maintain a high level of safety management at the facilities.
Goal attainment
No significant facility safety incidents in 2019.
Management methods
Internal and external audits, certifications and inspections
Definition
Personal and professional employee support through active talent management, training courses, long-term planning for training, education and personnel development.
Selected goals
Maintenance and expansion of training courses and employee support at all sites.
Goal attainment
2019: Symrise acknowledged as a training company that systematically promotes cross-border mobility in vocational training and instruction in Europe.
Management methods
Talent management, personnel development and employee recruitment
Definition
Management diversity, the promotion of equal opportunity for all employees, fair remuneration, inclusion, measures to help balance work and family life.
Selected goals
At least 25 % women at the first global management level directly below the Executive Board and at least 40 % at the second global management level by 2025.
Goal attainment
Of the 10,340 employees worldwide in 2019, 4,059 were women, which corresponds to a proportion of 38.5 %.
The share of women at the first level of management beneath the Executive Board amounted to 24 % in 2019; at the second level of management it amounted to 41 %.
Management methods
Integrated Management System, talent management, employee recruitment
Definition
Internal and external perception as an attractive employer, measures to promote site attractiveness.
Selected goals
Maintain and increase site attractiveness, establish Symrise as an “employer of choice”.
Goal attainment
Recognized again in 2019 as one of the best training companies in northern Germany by two respected German business newspapers.
Management methods
Site activities, employee recruitment
Definition
Measures to protect the health and well-being of animals, proper care, compliance with regulations, and voluntary commitments.
Selected goals
Fulfill animal welfare standards in our supply chain.
100 % of our chicken-based raw materials procured from sustainable sources in the US by 2023 and in Europe by 2026.
Goal attainment
The introduction of our Higher Animal Welfare (HAW) policy in the US had to be shelved due to the sale of a business unit; the impact of the new acquisition of ADF/IDF on the HAW policy can only be assessed in 2020.
Management methods
Animal welfare policy, commitment to international animal welfare standards with partners, supplier qualification, supplier assessments and audits, traceability
Definition
Active discussion, investment in and support for local communities and stakeholders.
Selected goals
Maintain and expand collaboration with local partners and communities.
Goal attainment
Tailored support for local communities (charitable, social) in areas where Symrise sources its strategic raw materials.
Management methods
Needs assessments according to site
Sustainability along the value chain
Sustainability is rooted in our corporate strategy and reflected throughout our entire value chain, including the cultivation and decomposition of our key raw materials, our local partners and suppliers around the world, product development and optimization of our manufacturing processes at the Symrise sites, and sale of our products to our customers and consumers worldwide. We keep an eye on each and every stage of this value chain to ensure a transparent, traceable and sustainable supply chain.
The 17 global sustainability objectives pave the way for sustainable development and provide the framework for what we as a company can and must achieve to guarantee successful operations in the future as well. Due to our broad positioning and our multilayered business model, we ultimately have to keep an eye on all of the goals. However, we are aware that we cannot tackle every goal equally but must focus on those where we can make the most effective contribution. On the basis of the SDG subgoals, we identified six SDGs (8, 12, 13, 14, 15, 17) in 2018, with which we at Symrise, in collaboration with our partners, can achieve a particularly high impact with regard to our business activities and the effects of our actions on the environment and society – throughout our entire value chain.
Knowledge transfer and synergies between the company, suppliers, political institutions, actors from civil society and local partners form the basis of the business activities of Symrise and thus all of our operations.
Knowledge transfer and synergies between the company, suppliers, political institutions, actors from civil society and local partners form the basis of the business activities of Symrise and thus all of our operations.
Raw materials
Global biodiversity is an indispensable source of inspiration and natural raw materials for Symrise when it comes to creating new flavors, fragrances and other products in customer industries. Protecting biodiversity and thus natural habitats on land and underwater is therefore an essential concern for Symrise. With the sustainable sourcing of our raw materials, the assessment of our main suppliers in accordance with sustainability criteria and our involvement in international initiatives and partnerships for biodiversity and supply chain transparency, we as a global company have an effective lever for helping to achieve SDGs 14 and 15. Throughout the process, we also take into account the working conditions of our employees, partners and suppliers in order to make a direct contribution to humane economic growth in accordance with SDG 8.
Global biodiversity is an indispensable source of inspiration and natural raw materials for Symrise when it comes to creating new flavors, fragrances and other products in customer industries. Protecting biodiversity and thus natural habitats on land and underwater is therefore an essential concern for Symrise. With the sustainable sourcing of our raw materials, the assessment of our main suppliers in accordance with sustainability criteria and our involvement in international initiatives and partnerships for biodiversity and supply chain transparency, we as a global company have an effective lever for helping to achieve SDGs 14 and 15. Throughout the process, we also take into account the working conditions of our employees, partners and suppliers in order to make a direct contribution to humane economic growth in accordance with SDG 8.
Product development & manufacturing processes
The core business of Symrise and its products are closely linked with sustainable production cycles, the efficient use of natural resources, environmentally compatible use of chemicals and waste minimization, thanks to avoidance, reduction, recycling and reuse. We and our partners have a direct impact on SDG 12 particularly in the product development phase. As a production company in a high-energy industry, we also have considerable responsibility and leverage when it comes to SDGs 8 and 13 and implementing humane working conditions, comprehensive climate protection measures and concrete reductions in CO2 at our production facilities and sites around the world.
Product development & manufacturing processes
The core business of Symrise and its products are closely linked with sustainable production cycles, the efficient use of natural resources, environmentally compatible use of chemicals and waste minimization, thanks to avoidance, reduction, recycling and reuse. We and our partners have a direct impact on SDG 12 particularly in the product development phase. As a production company in a high-energy industry, we also have considerable responsibility and leverage when it comes to SDGs 8 and 13 and implementing humane working conditions, comprehensive climate protection measures and concrete reductions in CO2 at our production facilities and sites around the world.
Customers and consumers
The central concern of Symrise is to meet basic human needs for health, nutrition and well-being. Due to our sustainable product solutions in line with SDGs 12 and 13 (see previous stage of the value chain), we thus have the responsibility and leverage – at our own sites and beyond – to both satisfy and initiate/re-initiate the future consumption patterns and behaviors of our customers and consumers.
Customers and consumers
The central concern of Symrise is to meet basic human needs for health, nutrition and well-being. Due to our sustainable product solutions in line with SDGs 12 and 13 (see previous stage of the value chain), we thus have the responsibility and leverage – at our own sites and beyond – to both satisfy and initiate/re-initiate the future consumption patterns and behaviors of our customers and consumers.
Sustainability along the value chain – using vanilla as an example
Sweet, smoky, nutty – natural vanilla is one of the most complex spices in the world, consisting of 400 to 500 individual flavor components that influence the taste and scent of the beans. The global demand for vanilla is increasing every year, with demand for natural vanilla exceeding the supply – both an opportunity and challenge for creating value at Symrise.
Around 80 % of the world’s annual demand for vanilla beans is produced in Madagascar, with small-scale farmers harvesting around 2,000 tons of vanilla beans each year. Vanilla orchids still need to be pollinated by hand, which is a laborious process. Vanilla is conventionally sourced through an expansive network of intermediate suppliers, which makes it just about impossible to trace the origin of the beans. Symrise has been doing things differently since 2006: We’re the only company in the industry to maintain a local presence in the heart of global vanilla production, the northeastern SAVA region, where we work locally and directly with over 7,000 small-scale farmers in 74 villages. In collaboration with the German Society for International Cooperation (GIZ), Symrise supports the local farmers with training courses in culture diversification and soil management, health services and the development of local co-ops of small-scale farmers. Our work in the region benefits nearly 50,000 people in over 70 villages. This form of direct sourcing creates trust and enables product traceability for a sustainably integrated supply chain.
Around 80 % of the world’s annual demand for vanilla beans is produced in Madagascar, with small-scale farmers harvesting around 2,000 tons of vanilla beans each year. Vanilla orchids still need to be pollinated by hand, which is a laborious process. Vanilla is conventionally sourced through an expansive network of intermediate suppliers, which makes it just about impossible to trace the origin of the beans. Symrise has been doing things differently since 2006: We’re the only company in the industry to maintain a local presence in the heart of global vanilla production, the northeastern SAVA region, where we work locally and directly with over 7,000 small-scale farmers in 74 villages. In collaboration with the German Society for International Cooperation (GIZ), Symrise supports the local farmers with training courses in culture diversification and soil management, health services and the development of local co-ops of small-scale farmers. Our work in the region benefits nearly 50,000 people in over 70 villages. This form of direct sourcing creates trust and enables product traceability for a sustainably integrated supply chain.
Global demand for vanilla far exceeds the natural supply, which is why synthetic vanillin is so important. Vanilla flavors are manufactured by combining two or more extracts or mixing extracts with other raw materials such as lemon oil. Symrise produces more than 4,400 tons of vanilla flavors like these each year. Our expertise ranges from the extraction of natural vanilla to the production of synthetic and nature-identical vanillin.
Vanilla is also a key component when it comes to creating the finest fragrance profiles. These days, up to 500 fragrances can be launched every year, compared to just around 20 new fragrances in 1974. Our team of perfumers, valuers and marketing employees updates this comprehensive Symrise genealogy of fragrances every year. These fragrances reach our customers and consumers by means of perfumes and functional fragrance creations for detergents and deodorants.
Vanilla is also a key component when it comes to creating the finest fragrance profiles. These days, up to 500 fragrances can be launched every year, compared to just around 20 new fragrances in 1974. Our team of perfumers, valuers and marketing employees updates this comprehensive Symrise genealogy of fragrances every year. These fragrances reach our customers and consumers by means of perfumes and functional fragrance creations for detergents and deodorants.
Symrise conducts regional insight and trend studies in order to fulfill widely varying consumer desires all over the world. With sales growth of nearly 70 % within the past five years, Brazil is the largest perfume market in the world. At a combined 80 %, the world’s largest markets for vanilla are the US, Germany and France, where the vanilla flavors of Symrise enhance a whole host of beverages and foods, including Wall’s ice cream brands Cornetto, Calippo and Solero. Since spring 2019, consumers in the UK have been able to view information about the origin of vanilla via a QR code on these products and support a nonprofit project with their purchase (Read more).
Recent years have seen a sharp rise in global demand for green and healthy products such as Rainforest Alliance, Fairtrade and organic products for use in fragrances and flavorings and thus an increase in demand for health, well-being, naturalness and sustainability.
Raw materials
Natural raw materials form the basis of our products and thus represent a key starting point for our business. When it comes to sourcing our raw materials, we rely on an environment rich in biodiversity as well as the collaboration and trust of local communities and small-scale farmers. We actively promote discussion and dialogue and thus nurture sustainable partnerships.
Knowledge
exchange in the
onion ring
As a flavor carrier, base material and spice, onions are used in 95 % of all sauces, ready meals, frozen foods, fish and meat preparations. Symrise has been processing them for nearly 70 years and puts its array of flavors to use in onion juice concentrates, essential onion oils and other flavors in around 8 % of all products. Symrise obtains the majority of its onions from farmers within 50 kilometers of the plants where the vegetables are processed – in Germany, around the company’s headquarters in Holzminden in the Weser Uplands of Lower Saxony. Working with the farmers, Symrise has established the so-called onion ring, where pest control, fertilizers and cultivation of various onion varieties are tested in close collaboration with universities, institutes and chambers of agriculture, with the aim of reducing and optimizing their use over the long term. Symrise also helps the farmers with the technological infrastructure, which includes an extensive network of weather stations on the fields that prepare scientific climate data in real time, supply information about the right time to implement fertilizer and pest control measures, and develop a system for a robust yield forecast model. Optimized methods for processing the onions also make it possible to reduce food waste by using plant byproducts. This close collaboration also offers options for implementing new projects and income opportunities for farmers. One such example is the recent cultivation of the hemp plant, which is increasingly in demand in the cosmetics and food industries. (Read more)
A dialogue between
bergamot and mint
Symrise actively encourages farmers to share their proven working methods and experience with each other, even if they cultivate different crops in different regions. For instance, we’ve connected the family-run company Capua, based in Calabria, which is our partner for sourcing the citrus fruit bergamot, with our partner for mint oils in North America, Norwest Ingredients, which is also a family-run company. The Italian partners provided the Americans with unique insights into their activities associated with the Sustainable Agriculture Initiative (SAI) and their commitment to biodiversity. With this type of mutual knowledge exchange, Symrise makes an active contribution to the sustainable success of the next generation of farmers and thus ensures access to high-quality natural raw materials.
Learning partner-
ships in the Sustain-
able Alliance network
Learning partner-
ships in the Sustain-
able Alliance network
With the UN Global Compact’s “Bridging the Gap” program in collaboration with GIZ, Unilever, Save the Children and Kellogg’s, Symrise enables learning partnerships between suppliers and customers – and thus a unique, direct connection throughout the entire value network. These transparent networks allow Symrise to help design effective intervention programs that improve local conditions for the farmers and offer our customers an uninterrupted overview of their extended supply chain. For example, steps will be taken to ensure that, by 2023, more than 70 % of our farmers will be using climate-intelligent farming practices, financial resources will be more accessible, and tailored support will be available locally for young entrepreneurs. Symrise and its project partners will thus be investing € 10 million in the coming four years as well as another € 15,000 through our employees to support Save the Children in Madagascar’s SAVA region. This quality-assured chain of custody provides customers with a transparent certificate of origin, which minimizes supply chain risks such as human rights violations and negative environmental impacts locally.
Biodiversity coali-
tion across multiple
sectors
In collaboration with 17 other international companies, Symrise has founded the coalition One Planet Business for Biodiversity (OP2B). The partners are committed to working together to develop environmentally friendly agricultural methods and to change how they create value. The aim is to preserve biodiversity as the basis for a stable agricultural system in times of global change. The initiative focuses on developing sustainable farming methods to protect the soil, increasing product range diversity for food manufacturers to protect endangered crop varieties and developing strategies to maintain and restore threatened ecosystems. The coalition aims to achieve these three goals by 2030.
30,000
